2015 (5) TMI 438 - HC - Indian Laws

Court upholds liquor vend licenses in Shopping Centers, orders framework for residential area nuisances

Residents Welfare Association (Regd.), Virender Kumar Gupta Versus Govt of NCT of Delhi, Department Of Excise (GNCT of Delhi) & Others

The court found no illegality in granting licenses for liquor vends in Convenience Shopping Centres (CSCs), noting compliance with rules. It directed the ... Permissibility of a liquor vend in a “Convenient Shopping Centre” - Held that:- on what basis DDA has taken a stand that a liquor vend though is permitted in a LSC is not permitted in a CSC. If both, LSC and CSC can be situated in the midst of a cluster of houses, whether housing 5000 or 1000 persons and naming thereof as LSC or CSC is dependent only on the area of land on which it is constructed, the problem / nuisance highlighting which both proceedings have been filed will persist, whether it is a LSC or a CSC. MPD 2021 appears to be half baked in this respect. - a CSC as a small shopping centre in the midst of the houses within the colony or a block thereof with shops therein selling items of daily need of households of perishable items and which shops ordinarily an outsider from the colony would not visit and a LSC as situated outside the residential colony, to cater to the needs of the households of consumables which may be required say once a month and also having offices, service centres like travel agents, car rentals, clinics, laboratories, banks, restaurants etc. and which will be frequented by residents of several surrounding localities and may be by others as well. In such case it could have been said that as per our culture, there ought not to be a liquor vend in a CSC. However we do not find the MPD-2021, though having the nomenclature of CSC and LSC to have made any such distinction. The draftsman of the Master Plan, after drawing the five tier system of commercial areas comprising inter alia of LSC and CSC, has provided retail shopping without any restriction on the size of the retail shop or on the commodities to be retailed therefrom, in both LSC and CSC and the only restrictions are on commercial offices of size more than 125 sq. mtrs., Clinical Laboratory, Polyclinic, Guesthouse, Coaching Centre, which activities though can exists in a LSC but not in a CSC. When there is no restriction on the commodities / items which can be retailed from a shop in a CSC, we fail to see on what basis DDA can say that retail of liquor is not permitted from therein. Not only so, restaurants have been permitted in both, LSC and CSC. Though the concerns expressed by the petitioner/appellant cannot be said to be totally unfounded but cannot be addressed on the basis of MPD-2021, pegging on which the Court has been approached. The same is the position under the Excise Act and the Rules framed thereunder. Though care has been taken therein to prohibit a liquor shop in close proximity to an educational institution, religious place etc. but there is no such limitation placed with respect to proximity to residences. - in the said state of affairs are unable to find any illegality in the grant of license for liquor vends at the subject sites. All that we can do is to direct that in accordance with the minutes of the 11th meeting of the Advisory Group of the DDA held on 23rd August, 2013, a suitable framework be formulated so as to curb the nuisance associated with consumption of liquor around CSCs in residential neighbourhood. The same be done preferably within a period of four months - Petition disposed of. Issues Involved:1. Permissibility of a liquor vend in a Convenience Shopping Centre (CSC) under the Master Plan of Delhi 2021 (MPD-2021).2. The legality of the grant of L-7 licenses for retail sale of liquor in CSCs.3. The impact of liquor vends on residential areas and the associated public nuisance.4. The interpretation of the Master Plan of Delhi 2021 regarding the classification and permissible activities in CSCs and Local Shopping Centres (LSCs).Issue-wise Detailed Analysis:1. Permissibility of a liquor vend in a Convenience Shopping Centre (CSC) under the Master Plan of Delhi 2021 (MPD-2021):The primary issue was whether the MPD-2021 permits the operation of liquor vends in CSCs. The judgment noted that the MPD-2021 does not explicitly prohibit liquor vends in CSCs. The Single Judge observed that retail activity is generally permissible in CSCs, and there is no specific reason to exclude the retail of liquor. Additionally, the Delhi Excise Rules, 2010, do not prohibit liquor vends in CSCs, and the definition of retail shop under MPD-2021 is broad enough to include liquor sales.2. The legality of the grant of L-7 licenses for retail sale of liquor in CSCs:The petitions challenged the grant of L-7 licenses for retail sale of liquor from specific shops in CSCs, arguing that such licenses were issued in violation of the MPD-2021 and the Delhi Excise Rules, 2010. The court found that the licenses were granted in compliance with the rules and regulations, including spot inspections to ensure the liquor vends were not within prohibited distances from educational institutions, religious places, or hospitals. The court also noted that the land use of the shops was commercially approved, which aligns with the requirements of the Delhi Excise Rules, 2010.3. The impact of liquor vends on residential areas and the associated public nuisance:The petitioners argued that liquor vends in CSCs created a nuisance and posed a security risk to residents, particularly women and children. They cited incidents of anti-social behavior around liquor shops. While the court acknowledged these concerns, it concluded that they could not be addressed based on the MPD-2021 or the Delhi Excise Rules, 2010, as these regulations did not impose restrictions on the proximity of liquor vends to residences. The court suggested that a suitable framework be formulated to curb the nuisance associated with liquor consumption around CSCs in residential neighborhoods.4. The interpretation of the Master Plan of Delhi 2021 regarding the classification and permissible activities in CSCs and Local Shopping Centres (LSCs):The court examined the distinction between CSCs and LSCs under MPD-2021. It found that both CSCs and LSCs permit retail shopping, repair shops, banks, ATMs, and restaurants, with the primary difference being the size of the land and the population they serve. The court noted that there is no specific restriction on the size of retail shops or the commodities sold in CSCs. The court also highlighted that the Master Plan does not provide a clear basis for prohibiting liquor vends in CSCs while allowing them in LSCs.Conclusion:The court concluded that there is no illegality in the grant of licenses for liquor vends in the subject CSCs. It directed that a suitable framework be formulated to address the nuisance associated with liquor consumption around CSCs in residential neighborhoods within four months. The writ petition and the appeal were disposed of accordingly, with no costs awarded.