The Bombay High Court said in its remarks, "The onset of the pandemic was not the fault of the government. The government had more responsibilities, beyond the narrow business concerns of hotel and restaurant associations and their foreign liquor vending business.
MUMBAI: The Bombay High Court on Wednesday dismissed a plea by hotel and restaurant associations seeking reduction in liquor license renewal fees and said that businessmen have been repeatedly asked to do so by the pandemic. “Extraordinary concessions” cannot be given by referring to the Covid-19 Pandemic.
The petition, filed by the Hotel and Restaurant Association in April 2021, had sought a 50% reduction in the license renewal fee fixed by the state government for selling foreign liquor in hotels, bars and restaurants. Advocate Virag Tuljapurkar, representing the association, argued that the license holders carry on their business seven days a week between 11.30 am and 1.30 am.
He said that since business hours were restricted during the pandemic (hotels and restaurants were closed), they are entitled to concession or adjustment of license fee. Responding to this argument, a bench headed by Justice Gautam Patel and Justice Madhav Jamdar said businessmen cannot get "extraordinary concessions" by repeatedly referring to the pandemic.
Pandemic affected everyone, everyone suffered
The Bombay High Court said, "The pandemic affected everyone. All businesses suffered. There was no extraordinary prejudice to the present petitioners. In times of global crisis, the petitioners do not have absolute right to do business. The coming of the pandemic was not the fault of the government. The government had more responsibilities, beyond the narrow business concerns of hotel and restaurant associations and their foreign liquor vending business."
The Bombay High Court emphasized the government's struggle to provide essential services and goods and concluded that "the needs of the many always exceed the needs of the few. We believe it is time to send a firm signal that court time should not be taken lightly nor should there be any attempt to gamble on litigation. When the court's time is wasted in frivolous matters, the consequences will also have to be faced."
Bombay High Court imposed a fine of 9 lakhs on the petitioners
With this observation, the Bombay High Court, while disposing of the petitions filed by hotel and restaurant associations, directed the association to pay Rs 9 lakh to the Chief Minister's Relief Fund within two weeks as a fine for wasting the time of the court. .
The Maharashtra government had increased the license renewal fee by 15% for hotels and restaurants serving foreign liquor. Of the total 17,605 license holders in Maharashtra, 16,683 got their license renewed by paying the full fee, but 922 paid only 50% of the fee. The last date for license renewal was 31 March 2022.
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