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2025 Supreme(Telangana) 2

IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
G. RADHA RANI, J.
M/s. Sri Sai Srinivas Wines - Petitioner
Vs.
The State of Telangana - Respondent
Writ Petition No.7682 of 2025
Decided On : 04-06-2025

Advocates:
Advocate Appeared:
For the Petitioner: D Y L N CHARYULU
For the Respondent: GP FOR PROHIBITION EXCISE

The authority granting permission for shifting a licensed premises must provide valid reasons, and failure to do so allows for revisionary intervention by a higher authority.

Headnote:(A) Telangana Excise (Grant of Licence of Selling by Shop and Conditions of Licence) Rules, 2012 - Rule 28(3) - Telangana Excise Act, 1968 - Section 63 and 64 - Writ Petition challenging the order of the 1st respondent setting aside the permission granted by the 2nd respondent for shifting a liquor shop - The 1st respondent's order found arbitrary, lacking in valid reasoning and violation of natural justice principles - The 2nd respondent's order did not adequately record valid reasons for the shift, rendering it a non-speaking order. (Paras 6, 10, 27, 32)

(B) Jurisdiction - The 1st respondent acted within its jurisdiction in revising the order of the 2nd respondent, which was initially set aside due to lack of valid reasons. (Paras 33, 36)

Facts of the case:
The petitioner, holding an A4 licence to operate a retail liquor shop, sought to shift the shop from a notified area to a non-notified area due to poor sales. The 2nd respondent initially granted permission for the shift, which was later set aside by the 1st respondent on appeal, leading to this writ petition.

Findings of Court:
The order of the 2nd respondent was found to be a non-speaking order lacking valid reasoning for the shift, thus justifying the 1st respondent's action in setting it aside.

Issues: Whether the 1st respondent's order setting aside the 2nd respondent's permission was justified based on valid reasons and jurisdictional authority.

Ratio Decidendi: The court held that the 2nd respondent's failure to provide valid reasons for the order permitted the 1st respondent to exercise its revisionary powers, affirming that jurisdictional issues do not negate the substance of the authority's actions.

Result: Writ Petition dismissed.

ORDER :

G. RADHA RANI, J.

This Writ Petition is filed with the following prayer:

“This Hon’ble Court may be pleased to issue any order or direction writ or writs more particularly on in the nature of WRIT OF MANDAMUS declaring that the action of the 1st respondent in issuing the Memo No. 6390/Excise – II(i)/2024 dated 15.02.2025 by setting aside the proceedings of the 2nd respondent dated 20.02.2024 and directing the 5th respondent to implement the orders of the 1st respondent, is arbitrary, illegal and violation of principles of natural justice and consequently, set aside the same and further direct the 5th respondent to remove the lock on the on the shop of the petitioner bearing Premises No.4-100/78, Lakshmidevipally Village, Sarangapur Mandal, Jagtial District pending disposal of the writ petition and pass such other order or orders as this Hon’ble Court may deem fit and proper in the circumstances of the case.”

2. Heard Sri L.Ravi Chander, learned Senior Counsel appearing for Sri D.Y.N.L.N.Charyulu, learned counsel for the petitioner, and learned Government Pleader for Prohibition and Excise appearing for respondent Nos.1 to 5, and Sri B.Mallesh Yadav, learned counsel appearing for respondent No.6, and perused the record.

3. The case of the petitioner, in brief, is that it has been granted A4 licence, vide Licence No.JTL043/2023-25 dt.05.12.2023, to run a retail liquor shop at Sarangapur Village, for a period of two years; that since, the place at which it has been granted licence to run a retail liquor shop was not doing good business, it had approached the 4th respondent authority and made an application under Rule 28(3) of the Telangana Excise (Grant of Licence of Selling by Shop and Conditions of Licence) Rules, 2012 (for short, ‘the Rules’), for shifting of the shop from Sarangapur Village to Laxmidevipally Village, since both the villages fall within the same mandal.

4. It is the further case of the petitioner that on the petitioner approaching the 4th respondent and submitting the above-mentioned application, the said application was forwarded to the 2nd respondent, who, in turn, by his proceedings No.2403/2023/CPE/TS/F4 dt.20.02.2024 permitted the petitioner to shift the shop from the premises bearing No.4-9, Sarangapur Village and Mandal to newly proposed premises No.4-100/78 of Laxmidevipally Village of Sarangapur Mandal on certain terms and conditions; that on the 2nd respondent issuing the aforesaid proceeding, the petitioner had complied with the conditions specified under the Rules by paying 2% of tax in an amount of Rs.2,00,000/-; and that thereafter, shifted the shop to the newly permitted premises at Laxmidevipally Village and doing business since, 2024.

5. It is the further case of the petitioner that the unofficial respondent herein, who was granted licnece to run a retail liquor shop, vide Licence No.JTL/044/2023-25 dt.05.12.2023, had filed an appeal against the proceedings dt.20.02.2024 of the 2nd respondent before the 1st respondent who by Memo No.6930/Ex.II(1)/2024-1 dt.16.03.2024 had set aside the order of the 2nd respondent dt.20.02.2024; that the petitioner has assailed the order of the 1st respondent dt.16.03.2024, by filing a Writ Petition before this Court, vide W.P.No.8126 of 2024 and this Court by its order dt.27.03.2024 was pleased to suspend the order of the 1st respondent; and that thereafter, the said Writ Petition was disposed of by order dt.22.04.2024 by setting aside the order of the 1st respondent dt.16.03.2024 and remanding the matter dt.22.04.2024 back to the 1st respondent directing the 1st respondent to conduct enquiry and pass orders in accordance with law within a period of four (4) weeks from the date of receipt of a copy of the order.

6. It is the further case of the petitioner that on this Court setting aside the order dt.16.03.2024 and remanding the matter back to the 1st respondent, it had filed objections dt.11.11.2024 requesting the authorities to consider and pass appropriate o

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