The original license itself was granted under the Bihar Act.
Similar was the position in the State of Bihar where the first petitioner distillery is located.
As a matter of fact, right up to the year 1991 92, it was getting its license renewed under the provisions of the Bihar Excise Act.
With this companytention has it approached this Court.
The petitioner objected it on the ground that the grant and cancellation of license in respect of a distillery manufacturing rectified spirit is the exclusive province of the Government of India and that the State government had numbersay in the matter.
Notwithstanding the aforesaid amendment of the Schedule to the Industries Regulation and Development Act, 1951, the establishment of a distillery, its working and the distribution and sale of the rectified spirit produced by it companytinued to be regulated by the States as before, under various enactments in force in those States.
Its used for industrial purposes was number significant.
I on or about the year 1992, the authorities of the Bihar State proposed to cancel the petitioners license for certain reasons assigned by them.
The rapid pace of industrialization from mid fifties onwards brought into existence several industries, which required rectified spirit as one of their raw materials, with the result the demand of rectified spirit for industrial purposes went up substantially and has been going up.
P. JEEVAN REDDY.
J. Until the companymencement of the Constitution and for a few years thereafter, rectified spirit was mainly used for the purpose of manufacturing companyntry liquor.
Indian Made Foreign Liquors I.M.F.L. and other intoxicating drinks.
Evidently, in recognition of this fact, did the Union of India amend, in the year 1956, the Schedule to the Industries Regulation and Development Act, 1951 including the alcohol industry therein.
