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Supreme Court of India 2017-04-13 partly_allowed

State of Kerala & Ors vs Palakkad Heritage Hotels

Bench: 2 — A.M. Khanwilkar

In Brief

A hotel applied for a liquor licence (FL-11) on 1 March 2012. The Excise Commissioner recommended approval on 28 March 2012, but before the State Government could grant final approval, the Foreign Liquor Rules were amended on 18 April 2012, introducing a stricter 200-metre distance requirement from temples and other objectionable institutions. The hotel was only 70 metres from a temple. The High Court allowed the hotel's writ petition, holding that the rules existing on the recommendation date applied. The Supreme Court reversed and remanded. It held that the legally relevant date is when the competent authority (State Government) takes the final decision, not when the Excise Commissioner recommends. Since final approval was pending after 18 April 2012, the amended rules applied. The case was remanded to the High Court for fresh decision on other issues.

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Excise Law Liquor Licensing Administrative Procedure Statutory Interpretation Retroactive Application of Rules

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