In Brief
The Supreme Court heard four appeals by Bihar State against High Court orders directing refunds of licence fees and differential amounts for country liquor manufacturers whose premises were sealed or licences suspended. The Court held that when premises are sealed or licences suspended based on prior judicial findings of illegality, refund is due. However, when closures result from breach of tender conditions and lack prior adjudication of illegality, no refund is warranted—though mandatory show-cause notices must precede punitive actions. The Court allowed the first appeal (Riga Sugar) as prior High Court orders found the sealing illegal; dismissed the second (Welcome), third (Shipra) and remanded the fourth (K.M. Sugar) on different factual grounds.
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