UGAR SUGAR WORKS LTD. versus DELHI ADMINIS1RATION AND ORS.

UGAR SUGAR WORKS LTD. versus DELHI ADMINIS1RATION AND ORS.

Challenge to executive policy based on Article 19(1)(g) is misplaced as there is no fundamental right to trade in liquor. The prescription of MSF as a criterion for grant of licence is neither arbitrary nor unreasonable and serves a legitimate objective of ensuring quality and acceptability, uniformly applied without a pick-and-choose policy. Judicial review does not extend to prescribing or revising policy unless it is shown to be mala fide, arbitrary, or in violation of any constitutional or statutory provision.

Parties
Petitioner: UGAR SUGAR WORKS LTD.; Respondents: Delhi Administration and Ors.
Jurisdiction
India
Judgment Date
22 March 2001
Procedural Posture
Writ Petition (civil) Under Article 32 of the Constitution / Final Judgment
Outcome
Petition dismissed
Legal Topics
Right to Trade in Intoxicants, Judicial Review of Executive Policy, Minimum Sales Figures as Licence Criterion
Constitutional Law Excise Law Administrative Law Right to Trade in Intoxicants Judicial Review of Executive Policy Minimum Sales Figures as Licence Criterion

Case Brief

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Parties

UGAR SUGAR WORKS LTD.

Petitioner

Delhi Administration and Ors.

Respondents

Procedural Posture

Writ Petition (civil) Under Article 32 of the Constitution / Final Judgment

Legal Issues

  1. 1 Whether the notification prescribing Minimum Sales Figures (MSF) as a criterion for licence under the Punjab Excise Act, 1914 and Delhi Liquor Licence Rules, 1976 violates Articles 14, 16 and 19(1)(g) of the Constitution
  2. 2 Whether the executive policy laying down MSF is arbitrary, unreasonable or discriminatory

Ratio Decidendi

Challenge to executive policy based on Article 19(1)(g) is misplaced as there is no fundamental right to trade in liquor. The prescription of MSF as a criterion for grant of licence is neither arbitrary nor unreasonable and serves a legitimate objective of ensuring quality and acceptability, uniformly applied without a pick-and-choose policy. Judicial review does not extend to prescribing or revising policy unless it is shown to be mala fide, arbitrary, or in violation of any constitutional or statutory provision.

Court Disposition

Petition dismissed

Orders

  • The writ petition is dismissed. No order as to costs.