THIRUVANANTHAPURAM: Allegations and counter-allegations apart, the government's move to allow private players to set up blending units and
breweries will stand legal scrutiny as the rules clearly say that the licences for blending units and breweries can be given by excise commissioner and secretary of the department, respectively.
A key allegation raised by the UDF on issuing licences to breweries and blending units was that such a major policy decision should have been discussed in the cabinet. But, as per government sources, the matter was an ethical question and not a legal one, for which unrest is likely to brew within the LDF.
As per rule 3 of the Kerala Foreign Liquor (Compounding, Blending and Bottling) Rules, 1975, any person desiring to undertake compounding, blending and bottling, should write to the excise commissioner. As per rule 4, if the commissioner is satisfied that the applicant can be issued the licence, he can do so, which means that legally, the power of issuing such a licence is held by the commissioner.
According to rule 2 of the
brewery rules 1967, the application for setting up a brewery unit should be given to the excise commissioner, and according to rule 3, the licence will be granted by the government. This would mean that licence will be issued only after the concerned minister clears the application.
The UDF has also raised the allegation that the licences for blending units have been granted overruling the position taken in 1999, which says that no more blending units will be considered in the state.
However, the order issued by the then principal secretary (taxes)
Vinod Rai on September 29, 1999, was based on a scrutiny committee's recommendations to examine the 100-odd applications received by the then government for blending licences. The order says that none of the applications need to be considered other than that of the Mannam
Sugar Mills.
Indicating that the order had no bearing on the excise policy, neither the excise policy for 1998-99 nor the policy for 1999-2000 mentions anything regarding a decision not to granting anymore licences for blending units or breweries.
Moreover, all policy decisions on
abkari matters will be reflected in the rules, which will be amended through a notification whenever policy matters are decided. When the UDF government decided to grant bar licences to only five-star hotels, the foreign liquor rules were changed and when the present government decided to change the policy to grant bar licence to three-star hotels and those above, the rules were again changed. No such changes were made in the case of either brewery rules or the compounding, blending and bottling rules.
However, sources say the government is likely to take the resentment in face value only in the case of its own allies, especially the CPI, which has expressed its displeasure.
"The issuing of licences for setting up blending units and breweries could have been definitely brought before the cabinet considering the sensitivity of the matter," said a top government source.
