50 liquor contractors have surrendered license, MP HC informed

Nagrath, appearing for the petitioners, said those who surrendered their licenses were to contribute about Rs 6,700 crore or 63 percent of total annual revenue expected from liquor sale in the state. The court was informed about the short term tender issued by the government for liquor sale on June 12 wherein it reduced the reserve price by 20 percent, the counsel said.

The Madhya High Court was informed on Wednesday that fifty contractors, who were supposed to contribute 63 percent of revenue from liquor sale in the current financial year, have surrendered their licenses. Fifty out of 290 contractors across the state have surrendered their licenses, senior advocate Naman Nagrath said.

A division bench of Chief Justice A K Mittal and Justice V K Shukla was hearing a bunch of petitions filed by liquor contractors, seeking revision of the terms and conditions of their contract or recalling of the entire bidding process of liquor sale in view of the economic slowdown caused by the coronavirus pandemic. Nagrath, appearing for the petitioners, said those who surrendered their licenses were to contribute about Rs 6,700 crore or 63 percent of total annual revenue expected from liquor sale in the state.

The court was informed about the short term tender issued by the government for liquor sale on June 12 wherein it reduced the reserve price by 20 percent, the counsel said. In addition to it, the government on June 13 issued an order for the remaining months of the current financial year on liquor sale in which no reserve price is fixed, the counsel said.

Nagrath said that these two steps of the government itself endorse the petitioners' claim that due to COVID-19 pandemic it is not possible to meet the targeted revenue fixed for the license period. The next hearing will be on June 23.