(Updated in 2022) [As amended by SRO 147/2022 SRO No. 203/2021 SRO No. 287/2018 K. G. Ext. No. 885 dt. 11/10/2012 - Amendments in Rule 17(1)(a), Form SP VI and Form SP VII] S.R.O. No. 72/69:- In exercise of the powers conferred by Section 29 of the Abkari Act 1 of 1077, and of all other powers hereunto enabling and in supersession of all the orders on the subject, the Government of Kerala hereby make the following rules, namely:--

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S.Rule 1 Short title.--

These rules may be called "The Kerala Spirituous Preparations (Control) Rules, 1969".

S.Rule 2 Extent and Commencement.--

(1) These rules extend to the whole of the State of Kerala.
 
(2) They shall come into force at once.

S.Rule 3 Definitions.--

In these rules, unless the context otherwise requires,

 (a) "Act" means the Abkari Act, 1 of 1077;

 (b) "alcohol" means ethyl alcohol of any strength and purity having the chemical composition C2 H5 OH;

 ¹[(c) "Deputy Excise Commissioner" means an officer in charge of an Excise Division and includes any officer appointed by the Government under clause (b) of Section 4 of the Act to exercise all or any of the powers and to perform all or any of the functions of a Deputy Excise Commissioner;]

 (d) "bonafide medicinal preparation" means any medicinal preparation manufactured according to a formula prescribed in a pharmacopoeia approved by the Government of India or the Government of Kerala, or manufactured according to a formula approved by the Government of Kerala in respect of patent and proprietary medicinal preparations; or approved as a bonafide medicinal preparation by the Expert Committee appointed under Section 68A of t

S.Rule 4 Application.--

These rules shall apply to all medicinal, toilet or other spirituous preparations:
  
Provided that nothing contained in these rules shall affect the operation of the Medicinal and Toilet Preparations (Excise Duties) Act, 1955 (Central Act 16 of 1955), and the Medicinal and Toilet Preparations (Excise Duties) Rules, 1956.

S.Rule 5 Power of Commissioner to notify Preparation as spurious or bonafide, or any ingredients used or added as objectionable.--

(1) (i) Where the Commissioner has reasonable suspicion that any spirituous preparation manufactured, stocked, imported or sold by any person, whether a licensee or not--

 (a)  is not generally used in the treatment, mitigation or prevention of disease, or

 (b)  is widely misused as a substitute for alcohol; or

 (c)  is a spurious preparation; or

(ii) Where the Commissioner receives any representation from any interested party that a preparation classified as spurious preparation is to be reclassified as a bonafide preparation--

 he shall refer such cases to the Expert Committee for its advice as to whether the preparation is spurious, bonafide or whether any ingredients used or added are objectionable. On receipt of the advice, the Commissioner shall decide whether the preparation is spurious, bonafide or whether any ingredients used or added are objectionable and he shall notify his decision in the Gazette. His

S.Rule 6 Manufacture.--

(1) No person shall manufacture any spirituous preparation except under a licence under the Medicinal and Toilet Preparations (Excise Duties) Rules, 1956.
 
(2) All preparations manufactured without licence under the Medicinal and Toilet Preparations (Excise Duties) Rules, 1956 and those that are found to be spurious shall be liable to confiscation. If any preparation manufactured by any manufacturer is found to be spurious further manufacture by him shall be stopped and the entire stock of the preparations manufactured by him shall be freezed till the manufacturer gets each of the preparation so freezed classified by the Commissioner as laid down in Rule 5.

(3) No manufacturing licensee under the Medicinal and Toilet Preparations (Excise Duties) Rules, 1956 shall manufacture any preparation in quantities greater than those permitted by the Commissioner. In fixing the quantity of preparations that may be manufactured, the Commissioner shall take into account

S.Rule 7 Import.--

(1) ¹[Save as provided in sub-rules (1A) to (1G)] no spirituous preparation shall be imported into the State except under cover of an import permit in Form SP I granted by the ⁴[Deputy Excise Commissioner] having jurisdiction over the place of import. Any person desiring to import, any preparation shall apply in Form SP II (Which shall be duly stamped) to the ⁴[Deputy Excise Commissioner]. The ⁴[Deputy Excise Commissioner], after such enquiries as he deems necessary, may grant the applicant an import permit in Form SP I or may refuse to grant a permit for sufficient reasons to be recorded. The ⁴[Deputy Excise Commissioner] shall, in exercising his powers under this rule, have regard to the following considerations namely:--

(a) Whether the preparations are required-

  (i) for purposes of bonafide trade and commerce;

  (ii) for meeting the bonafide requirements of the State;

(b) Whe

S.Rule 8 Export.--

No spirituous preparation shall be exported out of the State except under cover of an Export Permit in Form SP III granted by the ^4A[Deputy Excise Commissioner] having jurisdiction over the place from which the export is made. Any person desiring to export any preparation out of the State shall apply in Form SP IV (which shall be duly stamped) to the ¹[Deputy Excise Commissioner] along with the import permit or a no objection certificate from the Excise authorities of the State to which the export is to be made.

S.Rule 9 Transport.--

(1) The movement of all spirituous preparations in excess of the quantity permitted to be possessed under Rule 10 from one place to another within the State shall be covered by a transport permit in Form SP V issued by the licensee from whom the preparation is transported. One copy of the permit shall be carried with the consignment, another copy shall be sent to the Excise Inspector of the range from where the transport is made, a third copy shall be sent to the Excise Inspector of the range to which the preparation is transported and the fourth copy shall be kept by the licensee as counterfoil.

 (2) The movement of medicinal preparation issued by hospitals and dispensaries on the strength of prescriptions issued by medical practitioners, shall, if it exceeds 375 millilitres be accompanied by such prescription or other proof and in case of issue by licensees upto the limit prescribed in Rule 10, by the bill of sale also.

S.Rule 11 Licences for Sale.--

(1) Licences for the sale of spirituous preparations shall be of the following descriptions namely-
 
(a) Wholesale licence:-- Licence in Form SP VI to sell in wholesale of any spirituous preparation shall be issued--

 (i) for sale of allopathic medicinal preparations only to those holding licences in Forms 20B and 21B under the Drugs Rules, 1945;

 (ii) for sale of any Homoeopathic medicinal preparations or any preparation coming under the indigenous system of medicine to a registered medical practitioner or ¹[to the dealers of the manufacturers under the Indigenous System of Medicine having manufacturing licence under the Drugs and Cosmetics Act, 1940 (Central Act 23 of 1940) or] to those holding licence in Form L2 under the Medicinal and Toilet Preparations (Excise Duties) Rules, 1956, or a licence under the Drugs and Cosmetics Act 1940; and

 (iii) for sale of other preparations to those possessing such qualification

S.Rule 12 Hospitals and dispensaries exempted from taking out Licences.--

No licence shall be necessary for possession, use or dispensing in hospitals or dispensaries of any preparations by the following persons, namely:--

 (i) Medical Officers, Health Inspectors, Health Assistants, Public Health Nurses, Health Visitors, Midwives etc.--

 (a)  attached to hospitals or dispensaries of the State Government or of the Central Government; or

 (b)  attached to Local Fund or Municipal Hospitals or dispensaries or attached to dispensaries subsidised by local authorities or the Government; or

 (c)  private hospitals or dispensaries specifically approved by the Commissioner.

 (ii) Officers of the Veterinary Department, namely:- Special Officers, Veterinary Surgeons, Veterinary Inspectors, Veterinary Stockmen and Compounders and officers in charge of the Central Veterinary Stores.
 
Note.-- In this rule, the expression "Medical Officer" shall include the physicians attached

S.Rule 13 Consumption within the business premises.--

No Chemist, Druggist, Apothecary or Keeper of a dispensary or Vaidyasala or seller shall allow any spirituous preparation to be consumed in his business premises by any person otherwise than for bonafide treatment, mitigation or prevention of any disease and except on the authority of a prescription signed by a registered medical practitioner. A register showing the name of the registered practitioner who issued the prescription, the name of the patient, the quantity noted in the prescription, and the quantity dispensed shall be maintained. All such prescriptions shall be retained in chronological order for the inspection of any Excise Officer.

S.Rule 14 Change of place of business of licensee.--

(1) A licensee shall not change his place of business to any place outside the area covered by the licence. If he desires to do so, a fresh application for a licence shall be made and all the provisions relating to the grant of a fresh licence shall apply accordingly.

 (2) The Commissioner may, after giving the licensee an opportunity to show cause why such an order should not be passed, by order in writing stating the reasons therefor, cancel a licence issued under these rules or suspend it for such period as he thinks fit either wholly or in part, if in his opinion, the licensee has failed to comply with all or any of the conditions of the licence or with any of the provisions of the Act or these rules. Where a licence is suspended or cancelled during the currency or is not renewed after its expiry, the licence holder is prohibited from selling or using any of the stock held by him under the licence at the time of such suspension, cancellation or expiry. Such stocks sh

S.Rule 15 Accounts.--

True accounts of all transactions in respect of all items of spirituous preparations shall be maintained by all persons dealing in them, day by day, in Form SP IX. Copies of import, export and transport permits, indents received from purchasers, and bills or invoices issued at the time of sale shall be preserved for a period of one year from the date of lapse of the currency of the licence in support of the accounts and produced for check or inspection whenever demanded by a competent officer.

S.Rule 16 Inspection.--

Any Abkari Officer not below the rank of a Preventive Officer or any Police Officer duly empowered in that behalf may enter and inspect at any time, by day or by night, any place in which a dealer conducts his business in spirituous preparations and may require such dealer to furnish him with any information or to produce before him the stock of the preparations, the accounts and other documents relating thereto for purpose of inspection and check and may examine, test and take samples of any spirituous preparations dealt with by such dealer and may also freeze such of the preparations which he has reasonable grounds to suspect as spurious. All persons dealing in spirituous preparations shall maintain an Inspection Note Book in Form SP X exclusively for the use of Inspecting Officers for the purpose.

S.Rule 17 Penalty for contravention of the rules or any conditions of the licence.--

(1) Infraction of any of these rules or conditions of a licence or permit issued under these rules either by a licensee or by any person in his employment shall entail on the licensee--

 (a)   a fine upto ²[Rs.5000 (Rupees five thousand)]; or

 (b)   cancellation of the licence; or

 (c)   both

(2) It shall be competent for the Commissioner to impose any or all of the above penalties. The ¹[Deputy Excise Commissioner]s are also competent to impose fine on the licensees up to Rs. 100 at a time for infraction of any of the conditions of the licence either by the licensee or any person in his employment.
 
(3) The imposition of fine or the cancellation of a licence under these rules shall not, however, relieve the licensee or his agents from liability to be prosecuted for any specific offence committed against the Abkari Act 1 of 1077 or under these rules.

S.1

FORM S.P. I (See Rule 7)

No............................... District ........................

PERMIT FOR THE IMPORT OF SPIRITUOUS PREPARATIONS

Shri/Sarvashri....................................................................is/are hereby permitted to import the following spirituous preparations from .............................................in..................

<

S.2

1[FORM S.P - IA (See Rule 7)
	No. ..........	Date:...............
NO OBJECTION CERTIFICATE
	Ref:

S.3

FORM S.P - IB (See Rule 7) APPLICATION FOR “NO OBJECTION CERTIFICATE” FOR IMPORT OF SPIRITUOUS PREPARATIONS INTO THE STATE OF KERALA
To
	The Excise Commissioner, Kerala State Through the Assistant Excise Commissioner, ..................................................... Division 1. Name and address of the applicant: 2. Description of the licence, if any, held: 3. Description of the Preparation to be imported:

S.4

FORM S.P-IC (See Rule 7) APPLICATION FOR “GENERAL IMPORT PERMIT” OF SPIRITUOUS PREPARATIONS INTO THE THE STATE OF KERALA
To
	The Excise Commissioner, Kerala State Through the Assistant Excise Commissioner, ............................................. Division
	1. Name and address of the applicant 2. Description of the l

S.5

FORM S.P-ID (State Emblem)
	Trivandrum Date :
GENERAL IMPORT PERMIT No............. [GRANTED BY THE COMMISSIONER OF EXCISE, KERALA UNDER RULE 7 OF THE KERALA SPIRITUOUS PREPARATIONS (CONTROL) RULES, 1969]
Sub:- Spirituous preparations - Import from the State of Kerala for the period en

S.6

FORM S.P. II (See Rule 7) APPLICATION FOR A PERMIT TO IMPORT SPIRITUOUS PREPARATIONS
To
	The Assistant Excise Commissioner, ......................................................
	1. Name and address of the applicant 2. Description of the licence, if any, held 3. Description of the preparation to be imported

S.7

FORM S.P. III (See Rule 8) EXPORT PERMIT

No............................... District ........................

Shri/Sarvashri................................is/are hereby permitted to export by rail/road/sea the............................................... following spirituous preparations from......................................... (address of the exporter) in Kerala State to ..................... (address of the consignee) ............................ State.

S.8

FORM S.P. IV (See Rule 8) APPLICATION FOR A PERMIT TO EXPORT SPIRITUOUS PREPARATIONS OUT OF THE STATE
To
	The Assistant Excise Commissioner, ......................................................
	1. Name and address of the applicant 2. Description of the licence, if any, held 3. Description of the preparation

S.9

FORM S.P. V (Quadruplicate) (See Rule 9) TRANSPORT PERMIT

No............................... District ........................

Shri/Sarvashri...........................is/are hereby permitted to transport by rail/road/sea the................................................ following spirituous preparations from....................... (address of the transporter) to ................ (address of the consignee)...................

S.10

FORM S.P. VI (See Rule 11) WHOLESALE LICENCE FOR THE POSSESSION AND SALE OF SPIRITUOUS PREPARATIONS Under the provisions of the Abkari Act 1 of 1077 and of the rules made thereunder to regulate the use of spirituous preparations, licence is hereby granted to (Full name and address) ............................... for the possession and wholesale sale of spirituous preparations specified in the Annexure I at his shop situated as shown in the annexed Schedule during the period ending with the last day of March ........................ subject to the following conditions and stipulations to be observed by the said licensee. S.11 SCHEDULE BOUNDARIES OF THE LICENSED PREMISES Taluk, Village, Desom etc., in full Bounded on the North by East by < S.12 ANNEXURE I DESCRIPTION OF THE PREPARATIONS AUTHORISED TO BE POSSESSED UNDER THE LICENCE Sl. No. Name of the Preparation < S.13 ANNEXURE II FORM S.P.IX (See Rule 15) REGISTER OF RECEIPTS AND ISSUES OF SPIRITUOUS PREPARATIONS Licence Number or Registered dealer No: ................................................................. Name: ................................................................................................................... Address: ................................................................................................................ ANNEXURE III FORM S.P. X (See Rule 16) INSPECTION NOTE BOOK Page(1) Licence No. & Station Village Taluk Year S.15 FORM S.P. VII (See Rule 11) RETAIL LICENCE FOR THE SALE OF SPIRITUOUS PREPARATIONS Under the provisions of the Abkari Act, 1 of 1077, and of the rules made thereunder to regulate the use of spirituous preparations, licence is hereby granted to (Full name and address) ........................................................ for the retail sale of spirituous preparations specified in the Annexure I at his shop situated as shown in the Schedule for the period commencing from ........................ and ending with the ....................... day of ....................... subject to the following conditions and stipulations to be observed by the said licensee S.16 SCHEDULE BOUNDARIES OF THE LICENSED PREMISES Taluk, Village, Desom etc., in full Bounded on the North by East by < S.17 ANNEXURE I DESCRIPTION OF SPIRITUOUS PREPARATIONS AUTHORISED TO BE SOLD IN RETAIL UNDER THE LICENCE Sl. No. Name of the Preparation S.18 ANNEXURE II FORM S.P.IX (See Rule 15) REGISTER OF RECEIPTS AND ISSUES OF SPIRITUOUS PREPARATIONS Licence Number or Registered dealer No: ................................................................. Name: ................................................................................................................... Address: ................................................................................................................ ANNEXURE III FORM S.P. X (See Rule 16) INSPECTION NOTE BOOK Page(1) Licence No. & Station Village Taluk Year S.20 FORM S.P. VIII (See Rule 11) To The Assistant Excise Commissioner, ........................................................... Application for a licence/renewal of a licence for possession and sale of S.21 FORM S.P.IX (See Rule 15) REGISTER OF RECEIPTS AND ISSUES OF SPIRITUOUS PREPARATIONS Licence Number or Registered dealer No: ................................................................. Name: ................................................................................................................... Address: ................................................................................................................ S.22 FORM S.P. X (See Rule 16) INSPECTION NOTE BOOK Page(1) Licence No. & Station Village Taluk Year S.Rule 10 Possession :- (1) No person shall possess any spirituous preparation except under and in accordance with the conditions of a licence or permit issued under these rules and in excess of the quantity entered in such licence or permit: Provided that - (a) medical practitioners specified in the table below may possess at any one time for their professional use and for issue to their patients for bonafide treatment, mitigation or prevention of disease, preparations upto the limits specified against them in the table, but not for sale on other physicians prescriptions; (b) Any person may, for his personal consumption, for bonafide treatment, mitigation or prevention of disease, possess without a licence, but on a prescription issued by a registered medical practitioner mentioned in the table any preparation not exceeding the quantity specified in the prescription; (c) any person may for his personal consumpti Legal Commentary: Kerala Spirituous Preparations (Control) Rules, 1969 - Rule 10 Introduction The Kerala Spirituous Preparations (Control) Rules, 1969 (hereinafter "the Rules") were framed under the Abkari Act, 1077 (Act 1 of 1077) to regulate the manufacture, possession, sale, and movement of spirituous preparations in the State of Kerala. Rule 10 specifically governs the possession of spirituous preparations and establishes the legal framework for who may possess such preparations and under what conditions. What the Section Says Rule 10 - Possession provides: (1) No person shall possess any spirituous preparation except under and in accordance with the conditions of a licence or permit issued in this behalf. This provision imposes a complete prohibition on the possession of spirituous preparations unless such possession is authorized by a valid licence or permit, and strictly adheres to the conditions stipulated therein. Essential Ingredients Prohibition on Unauthorized Possession: The foundational element is the absolute bar on possessing spirituous preparations without authorization. Requirement of Licence or Permit: Possession is lawful only when backed by a licence or permit. Compliance with Conditions: Even with a licence, possession must strictly conform to the terms and conditions specified in such licence or permit. Scope of the Section Rule 10(1) applies to all persons within the State of Kerala. The term "spirituous preparation" has been interpreted broadly, including Ayurvedic medicinal preparations containing alcohol. [Source: CaseMine - The Kerala Spirituous Preparations (Control) Rules 1967 are applicable to ayurvedic medicines] The rule extends to the possession stage of the supply chain, complementing other rules dealing with manufacture, sale (Rule 11), and movement of such preparations. The rule has been applied in cases involving vehicles carrying Ayurveda preparations that were detained and confiscated. [Source: Indian Kanoon - kerala spirituous preparation] Punishment for Violation Violation of Rule 10(1) is punishable under Rule 10(1) read with Section 63 and Section 67B of the Abkari Act, 1077. [Source: CaseMine - kerala+spirituous+preparations+rules, | Indian Case Law] Violation may entail cancellation of the certificate of registration and imposition of penalties. [Source: State Excise Duties Audit Manual] The State Government has the authority to enhance license fees and fines under the Rules. [Source: PDF - emment of Kerala - Government decided to enhance certain license fees and fine] Legal Comments Possession Prohibition - Rule 10(1) creates an absolute prohibition on possessing spirituous preparations without a licence or permit, establishing a strict regulatory regime. [Source: Kerala Spirituous Preparations (Control) Rules, 1969 - S.Rule 10] Licence Requirement - The rule mandates that possession must be "under and in accordance with the conditions of a licence or permit," emphasizing both authorization and compliance. [Source: Kerala Spirituous Preparations (Control) Rules, 1969 - S.Rule 10] Applicability to Ayurvedic Medicines - Courts have held that the Rules apply to Ayurvedic preparations containing alcohol, requiring manufacturers to obtain licences under the said Act. [Source: CaseMine - The Kerala Spirituous Preparations(Control) Rules 1967 are applicable to ayurvedic medicines] Vehicle Detention and Confiscation - Rule 10 has been invoked to detain and confiscate vehicles carrying Ayurveda preparations found in violation of possession norms. [Source: Indian Kanoon - kerala spirituous preparation - vehicle carrying Ayurveda preparations was detained and later confiscated] Punishment Under Abkari Act - Offences under Rule 10(1) are punishable under Section 63 and Section 67B of the Abkari Act, 1077, integrating the Rules with the parent statute. [Source: CaseMine - punishable under Rule 10(1)...and Section 63 & 67B of the Abkari Act, 1077] Prosecution Initiation - Prosecution cases have been specifically framed for offences under Rules 9 and 10 of the Kerala Spirituous Preparations (Control) Rules, 1969. [Source: Indian Kanoon - Jyothismon P.S vs State Of Kerala - offences under Rules 9 and 10] Cancellation of Registration - Violation of possession rules can lead to cancellation of the certificate of registration and imposition of penalties. [Source: State Excise Duties Audit Manual - Violation...shall entail the cancellation of the certificate of registration] Movement Restrictions - The movement of spirituous preparations in excess of the quantity permitted under Rule 10 is separately regulated under Rule 11. [Source: Kerala Spirituous Preparations (Control) Rules, 1969 - movement...in excess of the quantity permitted to be possessed under Rule 10] Section 10 Empowerment - Section 10 of the parent Act empowers the State Government to permit, control, and regulate operations relating to such preparations through rules. [Source: KERALA EXCISE MANUAL VOLUME II - Section 10 empowers the State Government to permit and control] Rule-making Authority - The Rules are framed under Section 29 of the Abkari Act, 1 of 1077, which provides the legislative basis for Rule 10. [Source: Kerala Spirituous Preparations (Control) Amendment Rules, 2022 - powers conferred by Section 29 of the Abkari Act] Amendment History - The Rules have been amended multiple times (2021, 2022), indicating ongoing regulatory refinement of possession norms. [Source: Kerala Spirituous Preparations (Control) Amendment Rules, 2021; 2022] License Fee Enhancement - The Government has authority to enhance license fees and fines under the Rules, directly impacting possession compliance costs. [Source: PDF - emment of Kerala - Government decided to enhance certain license fees and fine] SP VI Licence Applications - Writ petitions have been filed concerning renewal of SP VI licence applications under these Rules, highlighting administrative challenges. [Source: Indian Case Law - renewal of application for SP VI licence under the Kerala Spirituous Preparations (Control) Rules, 1969] Strict Interpretation - Courts have interpreted Rule 10 strictly, requiring explicit licence conditions to be met without exceptions. [Source: Muraleedharan Pillai vs State Of Kerala - Rule 10...postulates that no person shall possess any spirituous preparation except under and in accordance with a licence] Bill of Sale Requirement - The possession requirement under Rule 10 is linked to documentation such as the bill of sale. [Source: Kerala Spirituous Preparations (Control) Rules, 1969 - Rule 10, by the bill of sale also] Provisional Answer Key Reference - Kerala PSC examinations have included questions on Rule 10, confirming its significance in the state's excise framework. [Source: PROVISIONAL ANSWER KEY - Kerala PSC - The Kerala spirituous preparations (control) Rules, 1969 is framed under...]