P.N. Ravindran, J.

Can a hotelier or a restauranter, who possesses a licence in Form FL-11, issued under rule 13(11) of the Foreign Liquor Rules, 1953 (hereinafter referred to as "the Rules" for short), sell beer in bottles, for consumption outside the licensed premises, is the short question that arises for consideration in this writ appeal. A learned single Judge of this court held, by judgment delivered on 18.10.2016 in W.P.(C) No.22730 of 2016, that, there is no stipulation in such licences, prohibiting such sales. The State of Kerala and the other respondents in W.P.(C)No.22730 of 2016 have, aggrieved thereby, filed this writ appeal. The brief facts of the case are as follows:

2. The sole respondent in this appeal, a firm represented by its managing partner, has established and is running a three star hotel under the name and style "Hotel Elegance" at Kanjirappally. Its partners possessed an FL-3 licence issued under rule 11(3) of the Rules, which was valid and current till 31.3.2015. In view of the policy decision taken by the State Government to confine the grant/renewal of FL-3 licences to five star and five star deluxe hotels and the consequential amendments to the Rules, the partners of the respondent firm applied for a licence in Form FL-11 to vend beer/wine in the hotel. Ext. P1 licence was thereupon issued on 4.5.2015, licensing the partners of the respondent firm to vend beer/wine at the premises of Hotel Elegance, Kanjirappally, subject to the terms and conditions stipulated therein, for the period ending with 31.3.2016. It was renewed on 28.3.2016, for a period of one year, commencing from 1.4.2016.

3. While matters stood thus, on getting information that beer in bottles is being sold from Hotel Elegance for consumption outside, the Excise Inspector, Excise Range, Kanjirappally inspected the premises of the hotel at about 8 pm on 19.6.2016. He then found that one Toji V. George, S/o. V.M. George, who was attempting to leave the parking ground of Hotel Elegance on a motor bike, had in his possession, three bottles of beer in a plastic bag. The Excise Inspector seized the said three bottles of beer, after preparing Ext. P2 mahazar. He also registered Cr. No.41 of 2016 of Kanjirappally Range, alleging commission of the offence punishable under section 56(b) of the Abkari Act, as can be seen from Ext. P3 crime and occurrence report against the licensees and the salesmen. W.P.(C)No.22730 of 2016 was thereupon filed in this court, praying for the following reliefs:

"(i.) declare that as per Ext. P1 FL-11 license and as per condition No.2 in Ext. P1 license, there is no prohibition for sale of beer bottle wise to a person for consuming within the premises specified in the license and even for removal outside the hotel;

(ii.) issue a writ of mandamus or other appropriate writ, order or direction commanding the respondents not to interfere with the sale of the beer bottle wise by the petitioner and his workers to any person as per Ext. P1 license for consumption within the premises specified in Ext. P1 license and even for removal outside the hotel."

4. The writ petitioner contended that Ext. P1 licence does not contain a stipulation prohibiting retail sale of beer in bottles to any person for consumption outside the hotel, as in the case of FL-3 licences; that the Rules also do not prohibit such sales and therefore, the licensee is entitled to sell beer in bottles to any person, for consumption outside the hotel. It was contended that punitive action for such sales is without the sanction or authority of law.

5. The Circle Inspector of Excise, Ponkunnam filed a statement dated 30.9.2016 resisting the writ petition. Paragraphs 2, 3 and 4 of the said statement read as follows:

"2. The petitioner Hotel has been granted FL-11 Licence in terms of Rule 13(11) of the Foreign Liquor Rules (hereinafter referred to as "the FL Rules" for brevity and convenience). The licence is issued in Form No. FL-11 appended to the FL Rules.