S.N.JHA,C.J. - (1.) THIS special appeal is directed against the order of the learned Single Judge dated 12.5.2005 dismissing the writ petition of the appellant along with another writ petition preferred by Hotel Rajputana Palace. Facts of the case briefly stated are as follows:
(2.) THE appellant which is engaged in hotel business obtained licence for retail sale of foreign liquor in the hotel premises in terms of the Rajasthan Excise (Grant of Hotel Bar/Club Bar/Restaurant Beer Bar Licences) Rules, 1973 read with the Rajasthan Excise Rules, 1956 under the Rajasthan Excise Act, 1950. The case of the appellant is that it held licence for the period 2004 -05 expiring on 31.st March, 2005. On 28.2.2005 the appellant submitted application after depositing the required amount in terms of Rule 72A of the Rules of 1956 which requires application for renewal should be made at least one month before commencement of the year along with the prescribed licence fee Rs. 1.50 lakhs, and it was entitled to have the licence renewed on the same terms and conditions as prevailing on 28.2.2005 in accordance with the existing licence. However, the respondents demanded higher licence fee as per the amended rule which came into force with effect from 1.4.2005 by which the licence fee had been raised from Rs. 1.50 lacs to Rs. 3.00 lacs. In the circumstances, even though the appellant deposited the entire licence fee as prescribed in the rules, the licence was not renewed, and by communication dated 8.4.2005 it was asked to deposit further amount of Rs. 1.50 lacs. Feeling aggrieved the appellant filed writ petition for quashing the communication dated 8.4.2005 and a direction upon the respondents to renew the licence for the year 2005 -06 forthwith. The writ petition having been dismissed by the learned Single Judge, the appellant has come to the Division Bench in appeal. Shri Sunil Joshi appearing for the appellant submitted that in terms of Rule 72A of the Rajasthan Excise Rules, 1956, application for renewal is required to be filed at least one month before commencement of the year that is the next year, 'along with a treasury receipt showing payment of licence fees'. According to the counsel, on plain reading of the rule, it is clear that what the licensee is required to deposit for getting the licence renewed is the licence fees in force at the relevant time on the date of application. Any subsequent revision/increase in the licence fee by amendment is not relevant as it cannot be retrospectively applied. In the instant case, it was submitted, the appellant had a right to get the licence renewed as per the existing terms and conditions and on deposit of the fees as applicable at the relevant time, and the respondent authorities have no right to demand additional amount on the strength of subsequent amendment, and the renewal of licence could not be withheld or refused on that ground. In support of his submissions, counsel placed reliance of State of Rajasthan and Ors. v. Hotel Hillock Pvt. Ltd. 2002 (2) RLR 197, Sri Vijayalakshmi Rice Mills v. State of Andhra Pradesh : [1976]3SCR775 and Gurucharan Singh Baldev Singh v. Yashwant Singh and Ors. : AIR1992SC180 .
(3.) BEFORE considering the submissions of counsel, it would be appropriate to notice the relevant provisions at one place. Section 24 of the Rajasthan Excise Act provides for grant of exclusive privilege of manufacture, sale - by wholesale or by retail - etc. of country liquor, foreign liquor etc. under a licence. Section 41 of the Act empowers the State Government to make rules, among other things, prescribing the procedure to be followed in the matter of grant of licence for vend by wholesale or by retail any excisable article. In exercise of the said power the State Government has framed the Rajasthan Excise Rules, 1956 (in short, 'the 1956 Rules') and the Rajasthan Excise (Grant of Hotel Bar/Club Bar/Restaurant Beer Bar Licences)Rules, 1973(in short, 'the 1973 Rules'). The 1956 Rules are general in application as compared to the 1973 Rules which are applicable to hotels, clubs and restaurants and have an overriding effect in case of any conflict. The relevant provisions are as under - Rules of 1956 72A. Application for Licences -Every application for a licence shall clearly describe the premises in which the applicant intends to conduct his business and shall be submitted in case of renewal at least one month before the commencement of the year 'and where the licence is granted for a longer period at least one month before the commencement of the first year of the period,' for which it is required and shall be accompanied by a treasury receipt showing payment of licence fee, provided where an application for renewal of licence is not made within the prescribed period, it shall be accompanied by additional fee, at the following rates: (i) Rs. 5,000A or 5% of the licence fee whichever is less, if the delay in deposition of fee is upto one month. (ii) Rs. 10,000/ - or 10% of the licence fee which ever is less, if the delay in deposition of fee is more than a period of one month.. Rules of 1973 3. Eligibility and procedure for grant of hotel licence - (1) Any person who owns and runs a hotel as defined in these rules and who does not possess any of the disqualifications mentioned in Sub -rule (8) below shall be eligible to apply for a Hotel Bar/club Bar licence.. (3) Every application for a Hotel Bar/club Bar licence shall be properly signed and shall be accompanied by the following amount of initial fee which shall be in addition to the usual annual fee payable under Rule 69(1) of the Rajasthan Excise Rules, 1956.. 7A. Fees for the renewal of licences -(1) A licence granted under the principal rule shall expire on the 31st day of March every year. (2) A person possessing a licence under these rules and seeking renewal of the same shall apply in accordance with Rule 72 -A of the Rajasthan Excise Rules, 1956 and such application shall be accompanied by a treasury receipt showing the payment of (i) renewal fee equivalent to the initial fee prescribed in Rule 3(3), and (ii) the usual licence fee payable under Rule 69(1) of the Rajasthan Excise Rules, 1956. 8. Rules to have overriding effect - In case there is any conflict between the provisions of these rules and the Rajasthan Excise Rules, 1956, the former shall prevail. ;