Chapter VI OFFENCES AND PENALTIES

Whoever, in contravention of provision of this Act or of any rule or order made or notification issued under this Act or in contravention of any condition of any license or permit or pass, renewed under this Act or without a valid license, permit or pass issued under this Act -

1. (a) manufactures, possesses, buys, sells, distributes, collects, bottles, imports, exports, transports or removes any intoxicant or liquor; or
2. (b) cultivates any hemp plant; or
3. (c) constructs or establishes or works any manufactory, distillery, brewery or warehouse; or
4. (d) uses, keeps or has in his possession any material, still, utensil, implement or apparatus, or premises, whatsoever, for the purpose of manufacturing any intoxicant or liquor ;or Explanation – The word “material” means any material,and includes any food or non food item, that may be used for preparing any liquor or intoxicant.
5. (e) possesses any material or film either with or without the State Government logo or logo of any State or wrapper or any other thing in which liquor or intoxicant can be packed or any apparatus or implement or machine for the purpose of packing any liquor or intoxicant; or
6. (f) removes any liquor or intoxicant from any distillery, brewery, warehouse, other place of storage licensed, established, authorized or continued under this Act; or
7. (g) manufactures, possesses, sells, distributes, bottles, imports, exports, transports or removes, any preparationor ingredient madewith or without the use of any intoxicant or liquor , which can serve as an alcohol or a substitute for alcohol and is used or likely to be used or consumed for the purposes of getting intoxicated , shall be punishable with imprisonment for a term not less than ten years but which may extend to imprisonment for life and with fine which shall not be less than one lakh rupees but which may extend to ten lakh rupees. Explanation: -“Possession” here means the possession by any family or member of that family and includes the knowledge of possession where any member of a family or the family itself know that such possession is illegal, whether it is in his or her own possession or with some other member of the family.

1. (1) If the person committing an offence under this Act is a company, the company as well as every person in charge of and responsible to, the company for the conduct of its business at the time of commission of the offence, shall be deemed to be guilty of offence, and shall be liable to be proceeded against and punished accordingly. Provided that where a company has different establishment or branches or different units in any establishment or branch, the concerned Chief Executive and the person in charge of such establishment, branch, unit nominated by the company as responsible for the conduct of business shall be liable for contravention in respect of such establishment, branch or unit: Provided further that nothing in this sub-section shall render any such person liable to any punishment if he proves that the offence was committed without his knowledge or that he exercised all due diligence to prevent the commission of such offence.
2. (2) Notwithstanding anything contained in sub-section (1), where an offence under this Act has been committed by a company and it is proved that the offence has been committed with the consent or connivance of, or that the commission of the offence is attributable to any neglect on the part of any director, manager, secretary, or other officer of the company, such director, manager, secretary or other officer shall be liable to be proceeded against and punished accordingly.
3. (3) This section shall not apply to such companies where the majority shareholding is held by Central or any State Government or such companies as the Board may exempt. Explanation– For the purpose of this section -“company” means any body corporate and includes a firm or other association of individuals; and “director”, in relation to the firm, means a partner in the firm.

1. (1) In prosecution under any relevant provision of this Act, it shall be presumed, until the contrary is proved, that the accused person has committed the offence punishable under that section in respect of any liquor, intoxicant,material, still, utensil, implement or apparatus, for the possession of which he is unable to account satisfactorily.
2. (2) Where any equipment, machinery, animal, vessel, cart, vehicle, conveyance or any premises is used in the commission of an offence under this Act, and is liable to confiscation and/or liable to be sealed, the owner or occupier thereof shall be deemed to be guilty of such offence and such owner or occupier shall be liable to be proceeded against and punished accordingly, unless he satisfies the court that the offence was committed without his knowledge or that he had exercised due care in the prevention of the commission of such an offence.
3. (3) Where an offence is said to have been committed , -at a place or inside any premises where any toxicant or liquor is found, consumed, manufactured, sold or distributed, or -inside any house occupied by a family where any intoxicant or liquor is found or consumed, it shall be presumed that all the adults above the age of eighteen occupyingor working at the place or in the premises or the members of the family above eighteen years of age occupying the house are having the knowledge of commission of such an offence, unless proved otherwise.

Whoever alters or attempts to alter any denatured spirit with the intention to make it fit for human consumption, whether as a beverage or as a medicine, or in any other way and by any other method or has in his possession any spirit in respect of which he knows or has reason to believe that such attempt has been made, shall be punishable with imprisonment for a term which shall not be less than ten years but which may extend to imprisonment for life and with fine, which shall not be less than one lakh rupees but which may extend to ten lakh rupees.

Explanation: -“Possession” here means the possession by any family or member of that family and includes the knowledge of possession where any member of a family or the family itself know that such possession is illegal, whether it is in his or her own possession or with some other member of the family.

Whoever,

1. (a) mixes or permits to be mixed with any liquor sold or manufactured or possessed by him, any noxious drug or any foreign ingredient; or
2. (b) makes, sells or possesses any preparation, whether solid, semi solid, liquid,semi liquid or gaseous, either made locally or otherwise, that may serve as an alcohol or a substitute for alcohol and is used or consumed for the purposes of getting intoxicated. , which is likely to cause disability or grievous hurt or death to human beings, shall be punishable -
   • (i) if as a result of such an act, death is caused, with death or imprisonment for life and shall also be liable to fine, which shall not be less than five lakh rupees but which may extend to ten lakh rupees;
   • (ii) if as a result of such an act, disability or grievous hurt is caused to any person, with rigorous imprisonment for a term which shall not be less than ten years but which may extend to imprisonment for life, and with fine which shall not be less than two lakh rupees but which may extend to ten lakh rupees;
   • (iii) if as a result of such an act, any other consequential injury is caused to any person, with imprisonment for a term which shall not be less than eight years but which may extend to life imprisonment and with fine, which shall not be less than one lakh rupees but which may extend to ten lakh rupees;
   • (iv) if as a result of such an act, no injury is caused, with imprisonment which shall not be less than eight years but which may extend to ten years and fine which shall not be less than one lakh rupees but may extend to five lakh rupees. Explanation 1 – For the purpose of this section the expression “grievous hurt” shall have the same meaning as in section 320 of the Indian Penal Code, 1860 (XLV of 1860). Explanation 2:-“Possession” here means the possession by any family or member of that family and includes the knowledge of possession where any member of a family or the family itself know that such possession is illegal, whether it is in his or her own possession or with some other member of the family.

Whosoever,

1. (a) sells or keeps or exposes for sale as foreign liquor imported into India, any liquor which he knows or has reason to believe to be Indian made foreign liquor or country liquor; or
2. (b) sellsor keeps or exposes for sale, as Indian made foreign liquor, any liquor which he knowsor has reason to believe to be country liquor; or
3. (c) labels any bottle,case, package or other receptacle containingcountry liquor or Indian made foreign liquor, or the cork of any such bottle,or deals with any bottle, case, package or such other receptacle containingcountry liquor or Indian made foreign liquor or deals with any bottle, case, package or other receptacle containing country liquor or Indian made foreign liquor with the intention of causing it to be believed that such bottle, case, package or other receptacle contains foreign liquor; or
4. (d) labels any bottle,case, package or other receptacle containing country liquor, or the cork of any such bottle, or deals with any bottle, case, package or such other receptacle containing country liquor or deals with any bottle, case, package or other receptacle containing country liquor with the intention of causing it to be believed that such bottle, case, package or other receptacle contains Indian made foreign liquor; or
5. (e) camouflages or attempts to camouflage any liquor or liquor bottle in order to cheat any consumer or buyer, by use of any means with the objective to project the liquor what it is not ; shall be punishable with imprisonment which shall not be less than ten years but which may extend to imprisonment for life and with fine, which shall not be less than one lakh rupees but which may extend to ten lakh rupees.

Whoever,manufactures, possesses, sells,

distributes, bottles, imports, exports, or transports any spurious liquor ,shall be punishable with imprisonment for a term which shall not be less than ten years but which may extend to imprisonment for life and with fine, which shall not be less than one lakh rupees but which may extend to ten lakh rupees.

Explanation: -“Possession” here means the possession by any family or member of that family and includes the knowledge of possession where any member of a family or the family itself know that such possession is illegal, whether it is in his or her own possession or with some other member of the family.

Whoever, in contravention of this Act or the rules, notification or order made there under -

1. (a) consumes liquor or intoxicant in any place; or
2. (b) is found drunk or in a state of drunkenness at any place; or
3. (c) drinks and creates nuisance or violence at any place including in his own house or premises; or
4. (d) permits or facilitates drunkenness or allows assembly of drunkenelements in his own house or premises; shall be punishable,

1. (1) in case of an offence falling under clause (a) and (b), with a term which shall not be less than five years but which may extend to seven years and with fine, which shall not be less than one lakh rupees which may extend to ten lakh rupees.
2. (2) In case of an offence falling under clause (c) and (d), with a term which shall not be less than ten years but which may extend to imprisonment for life and with fine, which shall not be less than one lakh rupees which may extend to ten lakh rupees. Explanation (a)– “Consuming intoxicant” includes consumption of any medicine or any ingredient of a medicine or medicinal preparation that may have an intoxicating effect. Explanation (b)- “drunkenness” includes drunkenness due to any medicine or medicinal preparation.

If any person has

1. (1) in his possession, without lawful authority, any liquor or intoxicant, knowing or having reason to believe the same to have been unlawfully imported, transported, manufactured, or knowing or having reason to believe that the prescribed duty has not been paid thereon; or
2. (2) any knowledge about the possession or storage without lawful authority, of liquor or intoxicant, in his premises or the premises that he is occupying and if he fails to inform the nearest excise officer or the police officer, then; he shall be punished with imprisonment for a term which may not be less than eight years but which may extend to ten years and shall also be liable to fine which may extend to ten lakh rupees and in default of payment of fine, shall be punished with a further imprisonment for a term which may extend to one year. Explanation:--“Possession” here means the possession by any family or member of that family and includes the knowledge of possession where any member of a family or the family itself know that such possession is illegal, whether it is in his or her own possession or with some other member of the family.

1. (1) If a chemist, druggist, apothecary or a keeper of a dispensary, allows any medicine or medicinal preparation which has been declared by the State Government to be an intoxicant or any liquor or intoxicant which has not been bonafidely medicated for medicinal purposes to be consumed on his business premises by any person, he shall be punishable with a term which shall not be less than eight years but which may extend to ten years and with fine, which shall not be less than one lakh rupees which may extend to ten lakh rupees
2. (2) If a person consumes any such liquor or intoxicant on such premises, he shall be punishable with a term which shall not be less than five years but which may extend to seven years and with fine, which shall not be less than one lakh rupees which may extend to ten lakh rupees.

Whoever prints, publishes or gives an

advertisement directly or indirectly in any media, including films &television, or any social platform soliciting the use of any liquor or intoxicant, shall be punishable with imprisonment for a term which shall not be less than three years but which may extend to five years or with fine which may extend to ten lakh rupees, or with both.

(1) Where any intoxicant or liquor has been imported, exported, manufactured, transported or sold or is possessed by any person on account of any other person and such other person knows or has reason to believe that such import, export, manufacture, transport or sale was or that such possession is, on his account, the intoxicant or liquor shall, for the purpose of this Act, be deemed to have been imported, exported, transported, sold or manufactured by or to be in possession of such other person who shall be punishable with a term which shall not be less than eight years but which may extend to ten years and with fine which may extend up to ten lakh rupees.

1. (2) Nothing in sub-section (1) shall absolve any person who manufactures, sells or has in possession any intoxicant or liquor on account of another person, from liability to any punishment under this Act or unlawful manufacture, sale or possession of such intoxicant or liquor.

Notwithstanding anything contained in the Code of Criminal Procedure, 1973 (2 of 1974) the Collector, while passing an order under this Act may, if he is satisfied that death or injury has been caused to any person due to consumption of liquor sold in any place, order the manufacturer and/or seller, whether or not he is convicted of an offence, to pay, by way of compensation, an amount not less than four lakh rupees to the legal heirs of each deceased or two lakh rupees to the person to whom grievous hurt has been caused, or twenty thousand rupees to the person for any other consequential injury:

1. (2) The Collector may recover the said compensation as “Public Demand” under the Public Demands Recovery Act, 1914 (Bihar and Orissa Act IV of 1914).
2. (3) Any person aggrieved by an order under sub-section (1) may, within thirty days from the date of the order, prefer an appeal to the High Court: Provided that no appeal can be filed against any order filed under this Section unless 50% of the amount ordered to be paid under sub-section (1) is deposited by the appellant in the court: Provided further that the High Court may entertain an appeal after expiry of the said period of thirty days if it is satisfied that the appellant was prevented by sufficient cause from preferring the appeal in time.

Whoever being a holder of a license or permit granted or issued under this Act or being in the employment of such holder and acting on his behalf, -

1. (a) Fails to produce such license or permit on demand by any excise officer or any other officer duly empowered to make such demand; or
2. (b) Willfully does or omits to do anything in contravention of the conditions of the license or permit not otherwise provided in this Act; or
3. (c) fails to cooperate during the inspection by any excise officer of his premises ,
4. (d) Fails to submit returns. shall on conviction , be punished -

1. (1) In the case of an offence falling under clause (a), with fine which shall not be less than one lakh rupees but which may extend to ten lakh rupees.
2. (2) In the case of an offence falling under clause (b), with an imprisonment for a term which shall not be less than five years but may extend to sevenyears and with fine which shall not be less than one lakh rupees but which may extend to ten lakh rupees.
3. (3) In the case of an offence falling under clause (c) and (d), with fine which shall not be less than one lakh rupees but whichmay extend to ten lakh rupees and ten thousand rupees per day for subsequent delay.

1. (1) If any person employs any minor below the age of eighteen years or women for the purposes of hiding, selling, possessing, transporting, or distributing any liquor or intoxicant, he shall be punishable with a term which shall not be less than ten years but which may extend to life imprisonment and with fine, which shall not be less than one lakh rupees which may extend to ten lakh rupees, or with both.
2. (2) If any person threatens, cajoles, lures or encourages or makes any attempt to threaten, cajole, lure or encourage women or any minor below the age of eighteen, into possessing, storing, distributing, selling, purchasing, transporting or consuming any intoxicant or liquor,he shall be punishable with a term which shall not be less than eight years but which may extend to ten years and with fine, which shall not be less than one lakh rupees which may extend to ten lakh rupees, or with both

Notwithstanding anything contained in the Indian Penal Code, 1860 (XLV of 1860) any person who assaults or threatens to assault or obstructs or attempts to obstruct any excise officer or police officer or any other officer in the discharge of his official duties shall be punishable with a term which shall benot be less than eight years but which may extend to ten years and with fine, which shall not be less than one lakh rupees which may extend to ten lakh rupees.

If any person fails to pay any duty or fee,

which under this Act he is liable to pay, he shall be punishable with imprisonment for a term which shall not be less than three years but which may extend to five years and also with fine which shall not be less than one lakh rupees but which may extend to ten lakh rupees.

Whoever, whether being a licensee under this Act or otherwise, and having the control or use of any house, room, enclosure, space, animal or conveyance, knowingly permits it to be used for commission by any other person of an offence punishable under any provision of this Act, shall be punishable in the same manner as if he had himself committed the said offence.

Whoever attempts to commit an offence

punishable under this Act, shall be liable for half the maximum punishment provided for the offence under this Act.

Every Proceeding under this Act before a Collector or

before any officer, of such rank as the State Governmentmay by notification prescribe, who is exercising power of the Collector, shall be deemed to be a judicial proceeding within the meaning of section 228 of theIndian Penal Code ( 45 of 1860)and any person guilty of the offence of contempt shall be punished accordingly.

Any excise officer, police officer or any other person who vexatiously and without reasonable ground for suspicion -

1. (a) enters or searches or causes to be entered or searched any closed place under color of exercising any power conferred by this Act; or (b) seizes the movable property of any person on the pretext of seizing or searching for any article liable to confiscation under this Act; or (c) searches, detains or arrests any person;or (d) in any other way exceeds his lawful powers under this Act, shall be liable to imprisonment for a term which may extend to three years, or with fine which may extend to one lakh rupees or with both.

Any excise officer or

police officer who, without lawful excuse, refuses to perform or withdraws himself from the duties of his office, unless expressly allowed to do so in writing by the Excise Commissioner or Collector, or unless he shall have given to his official superior officer two months’ notice in writing of his intention to do so, or who shall be guilty of cowardice shall be punishable with imprisonment which may extend to three months or with fine which may extend to ten thousand rupees, or with both.

Whoever does any act in

contravention of any of the provisions of this Act or any rule or order made there under and punishment for which has not been otherwise provided for such contravention, shall be punishable with imprisonment for a term which shall not be less than six months but which may extend to seven years or with fine which shall not be less than one lakh rupees but which may extend to ten lakh rupees or both.

If any person, after having been

previously convicted of an offence punishable under this Act, subsequently commits and is convicted of an offence under this Act, he shall be liable to twice the punishment, provided for the first conviction.

unlicensed manufacture or cultivation or consumption–

1. (1) Whenever any liquor or intoxicant or other excisable item is manufactured, sold, bottled, possessed, stored, consumed or any excisable plant is cultivated in contravention of this Act, the owner or occupier(s) of that land or building or his agents, are bound to give information to the nearest excise official, police official or the Collector as soon as the fact comes to their knowledge.
2. (2) Failure to give information as per subsection (1) above shall amount to committing an offence and the person concerned shall be liable to be prosecuted under Section 30 and 64 of this Act. Explanation – For the purposes of this Section, the word “occupier” means and includes all the adult occupiers of the land or building above the age of eighteen.

Any offence committed in contravention of the provisions of this Act shall be non-compoundable under this Act.

Whenever an offence has been committed, which is punishable under this Act, following things shall be liable to confiscation, namely -

1. (a) any intoxicant, liquor, material, still, utensil, implement, apparatus in respect of or by means of which such offence has been committed;
2. (b) any intoxicant or liquor unlawfully imported, transported, manufactured, sold or brought along with or in addition to, any intoxicant, liable to confiscation under clause (a);
3. (c) any receptacle, package, or covering in which anything liable to confiscation under clause (a) or clause (b), is found, and the other contents, if any, of such receptacle, package or covering;
4. (d) any animal, vehicle, vessel or other conveyance used for carrying the same.
5. (e) any premises or part thereof that may have been used for storing or manufacturing any liquor or intoxicant or for committing any other offence under this Act. Explanation: The word “premises” include the immoveable structure, all moveable items within the structure and the land on which the premises is situated.

If the article in question is liable to speedy and natural decay, or if the Excise Commissioner, Collector, Court or the officer authorized by the State Government in this behalf is of opinion that the sale would be in public interest or the sale would be for the benefit of the owner, the Excise Commissioner, Collector, Court or the officer may, at any time, before passing the Order of confiscation, direct such articles to be soldand proceeds be deposited with the Government:

Provided that, where anything is liable to speedy and natural decay, or is of trifling value or which can be put to misuse, the Collector or the officer concerned, may, order such thing to be destroyed, if in its or his opinion such order is expedient in the circumstances of the case.

1. (1) Notwithstanding anything contained in this Act or any other law for the time being in force, where anything liable for confiscation under this Act is seized or detained under the provisions of this Act, the officer seizing and detaining such property shall, without any reasonable delay submit a report to the District Collector who has jurisdiction over the said area;
2. (2) On receipt of the report under sub-section (1), the District Collector if satisfied that an offence under this Act has been committed, may, whether or not prosecution is instituted for the commission of such an offence and whether or not a case is pending before any court, order confiscation of such property;
3. (3) The Collector shall, before passing an order under subsection (2), give a reasonable opportunity to the person concerned, of being heard;
4. (4) While making an order of confiscation under sub-section (2), the District Collector may also order that such of the properties which the order of confiscation relates, which in his opinion cannot be preserved or are not fit for human consumption, be destroyed. Whenever any confiscated article has to be destroyed in conformity with these provisions, it shall be destroyed in the presence of a Executive Magistrate or officer ordering the confiscation or forfeiture, as the case may be, or in the presence of the Excise Officer not below the rank of a Sub-Inspector;
5. (5) While making an order of confiscation under sub-section (2), if the District Collector is of the opinion that it is expedient in the public interest to do so, he may order the said property or any part thereof to be sold by public auction or dispose of departmentally and proceeds deposited with the State Government;
6. (6) The District Collector shall submit a full report of all particulars of confiscation to the Commissioner of Excise within one month of such confiscation.

The

order of any confiscation under section 58 shall not prevent imposition of any order punishment to which the person affected thereby is liable under this Act.

Whenever any liquor, material, still, utensil,

implements or apparatus or any receptacle, package, any animal cart, vessel, or other conveyance used in committing any offence, is seized or detained under this Act, no court shall have, notwithstanding anything to the contrary contained in any other law for the time being in force, jurisdiction to make any order with regard to such property.

When an order for confiscation of any

property has been passed under section-57 and such order has become final in respect of the whole or any portion of such property, such property or portion thereof, as the case may be, shall vest with the State Government free from any encumbrance.

If it comes to the notice of any Excise officer or any

police officer, not below the rank of a Sub Inspector, that any liquor or intoxicant has been found at a particular premises or a particular premises or a part thereof is or has been used for committing any offence under this Act, he may immediately seal the premises and send a report to the Collector for the confiscation of the same.

Provided that if the said premises are temporary structures which cannot be effectively sealed , then the Excise Officer or the police officer, with the order of the Collector, may demolish such temporary structures.

Explanation: The word “premises” here include the immoveable structure, all moveable items within the structure and the land on which the premises is situated.

1. (1) If the Collector is of opinion that it is in the interest of public peace to close any place in which any liquor or intoxicant is sold, it shall be lawful for the Collector, by an order in writing to the person holding a license for the sale or manufacture of such intoxicant, to require him to close such place at such time or for such period as may be specified in the order.
2. (2) If a riot or unlawful assembly is imminent, or takes place, it shall be lawful for any Executive Magistrate who is present to direct that such place shall be closed and kept closed for such period as he thinks fit, and in the absence of any Executive Magistrate, the person referred to in subsection (1) shall, himself, close such place.
3. (3) Any order given under this section, shall be appealable before Collector, if given by any other Executive Magistrate, and before the Excise Commissioner, if given by the Collector.

(1)If the Collector is satisfied, whether on a report of any excise officer or police officer or otherwise, that a particular village or town or any locality within a village or town or any particular group/community living in that village or town have been repeatedlyviolating any of the provisions of this Act or are habitually prone to commit an offence under this Act or are obstructing the administration of this Act, then the Collector may, by an order ,impose a suitable collective fine on such group of people living in such area of the town or village and may recover such fine as if they were Public Demands under the Bihar & Orissa Public Demands Recovery Act, 1914( Bihar and Orissa Act IV of 1914);

1. (2) The Collector, upon receipt of the report or information under subsection (1), may if consider necessary, conduct or cause such enquiry to be conducted as he deems fit;
2. (3) The Collector shall, before passing an order under subsection (1), give a reasonable opportunity to the people of the area, of being heard;
3. (4) Upon hearing the accused persons or upon such an enquiry under subsection (2), the Collector may pass a suitable order which shall be duly proclaimed in the area by such means as the Collector may decide.

The State Government may, by a notification to be published in the Official Gazette, impose reasonable restrictions or prohibit or withdraw certain facilities, privileges, contracts, licenses, benefits extended under any other Act, schemes , projects etcon the persons charge sheeted under any of the offences in this Act.