The arbitrary cancellation or modification of a license, such as directing a business to shift premises, without adhering to the principles of natural justice—specifically the failure to issue show-cause notices or provide an opportunity for the affected party to be heard—is legally unsustainable and liable to be set aside.

ORDER

This writ petition is filed seeking following relief:

“...to issue Writ order or direction more particularly

one in the nature of Writ of Mandamus declaring the

action of the respondents more particularly 4th

respondents in issuing proceedings No.1753/2025/B,

dated 23.12.2025 directing the petitioner to shift the

existing licensed A4 and A4 B liquor shop to new

premises is being arbitrary, illegal, perverse,

discrimination contrary to Section 31 , 32, 34 and 36 of

the Telangana Excise Act, 1968 Rules therein and the

Telangana Municipalities Act, 2019 besides being

violation of Article 14, 19 and 300A of the

Constitution of India and Consequently direct the

respondents not to interfere with the business

operations of the petitioners A4 and A4B liquor shop

at the licensed premises and permit the petitioner to

carry on its business strictly in terms of the existing

valid Licence No.NLG 128/202527/B, dated

28.11.2025 by setting aside the proceedings

No.1753/2025/B, dated 23.12.2025 issued by the 4th

respondent and pass”

2. Heard learned counsel for the petitioner and learned Assistant Government Pleader for Prohibition and Excise appearing for respondent Nos.1 to 5. Perused the record.

3. Learned counsel for the petitioner vehemently contended that the petitioner has been granted licence for running an A4 and A4(B) retail liquor outlet vide Gazette Notification No.58, dated 26.09.2025, mentioned at Serial No. NLG128, Nandikonda Municipality. He further submitted that the said selection was made pursuant to an auction conducted by respondent No.3.

3.1. He further submitted that the petitioner has paid the requisite excise duty for the purpose of running the A4 liquor shop. He also submitted that the petitioner’s application was thoroughly examined and upon being found satisfactory, and with no objection from the rightful owner, a license was granted to the petitioner vide License No.NLG.128/2025-27/B, dated 28.11.2025.

3.2. The petitioner stated that he had deposited an amount of Rs.9,16,667/- on 28.10.2025 and an equal amount in subsequent renewals of the said license as installments for every quarter, and that he has not defaulted in the payment of license fees to the official respondents.

3.3. He would submit that, surprisingly, the petitioner has not been supplied with liquor to run the shop as specified under the terms of the license granted to him, despite the fact that the petitioner has made the requisite payment for the purpose of obtaining liquor from the Telangana Beverage Corporation.

3.4. He would submit that, surprisingly, the petitioner was issued a show cause notice dated 08.12.2025 vide C.R.No.1752/2025/B. In response to the said show cause notice, the petitioner filed a detailed explanation on 16.12.2025. Irrespective of the explanation submitted by the petitioner, and relying upon the report of the Commissioner, Nandikonda Municipality, it was stated that the premises belonging to the landlord, Mr. Erigi Srinath, do not pertain to him but are Government property held by the Nagarjuna Sagar Project. The said property is not permissible for private occupation, and the wine shop is situated adjacent to a church, thereby causing inconvenience and raising concerns of public sensitivity.

3.5. Based on the recommendation made by the Commissioner of Nandikonda Municipality, the permission granted to the petitioner was cancelled. Under those circumstances, the petitioner was advised to shift the existing licensed premises to a new location within one week from the date of receipt of the said proceedings.

3.6. He would submit that reasonable time has not been granted to the petitioner in the first place, and secondly, no observations have been made in the said order regardin