Chapter III Chapter III

Private Bonded Warehouse

Transitional.—

1. (1) Every stockist, dealer or vendor of liquor shall give a declaration in writing to the Commissioner or an Officer nominated by him in this behalf, containing detailed particulars and account of the various categories of liquor in his possession or control on the date of coming into force of this Act.
2. (2) No such liquor shall be sold by him except on payment of duty equal in amount to that leviable on liquor of a like kind if manufactured in, or, as the case may be, imported into the [State] after the commencement of the Act and on the grant of permission to sell the same by the Commissioner or his nominee.
3. (3) The Commissioner may permit the sale of the whole or part of any such stock of liquor on the deposit of a suitable amount pending the payment of the duty leviable or on executing a bond therefor in the form and manner prescribed.

Power of Government to make rules.—

1. (1) The Government may make rules generally for the purpose of carrying out the purposes of this Act.
2. (2) In particular and without prejudice to the generality of the foregoing provisions, such rules may provide for—
   • (a) regulating the delegation of any power by the Commissioner;
   • (b) defining the powers and duties of officers of the Excise Department;
   • (c) regulating the extraction and distillation of toddy and its sale to licensed vendors;
   • (d) regulating the extraction of cashew juice, the price to be charged for its sale, the distillation of liquor therefrom and the sale;
   • (e) regulating the import, export, transport or possession of any [excisable article];
   • (f) prescribing the mode of and conditions for the grant of licence to [manufacture any excisable article or sell such article or foreign liquor] by wholesale or by retail, including conditions as to the period of validity of the licence, areas in which it is valid and the procedure to be followed before its grant;
   • (g) the prohibition of sale of any [excisable article or foreign liquor] to such persons or class of persons in such circumstances as may be prescribed;
   • (h) the prohibition of the employment by the licensee of such persons or class of persons as may be specified, to assist in his business in such capacity as may be specified;
     • (i) the prevention of drunkenness, gambling or disorderly conduct in or near any licensed premises and the assembly of persons of bad character in such premises;
   • (j) regulating the deposit of any liquor in a warehouse and its removal therefrom or from any distillery, pot still or brewery;
   • (k) prescribing the manner of levying or computing the fees payable in respect of any licence or permit or in respect of storage or any [excisable article or foreign liquor];
   • (kk) fee leviable in respect of appeal;
   • (l) regulating the time, place and manner of payment of any duty or fee;
   • (m) prescribing the restrictions and conditions subject to which any licence or permit may be granted;
   • (n) fixing the days and hours during which any licensed premises may or may not be kept open, and regulating the closure of such premises on special occasions;
   • (o) regulating the form of accounts to be maintained and the returns to be submitted by licensees;
   • (p) declaring the process by which spirits manufactured in India shall be denatured and for causing such spirit to be denatured through the agency or under the supervision of Excise Officers;
   • (q) providing for the destruction or other disposal of any [excisable article or foreign liquor] deemed to be unfit for use;
   • (r) regulating the disposal of articles confiscated and the sale proceeds thereof; [and] the terms and conditions under which the Government distillery units may be leased.
3. (3) All rules made under this Act shall be published in the Official Gazette and shall be laid on the table of the Legislative Assembly at its first session immediately after they are made and shall be subject to such modifications as the Assembly may make during the session in which they are so laid and the one immediately following.

Power to enter and inspect place of manufacture and sale.—

1. (1) The Commissioner or any Excise Officer not below such rank as may be prescribed, may,—
   • (a) enter and inspect at any time by day or by night any place in which any licensed manufacturer carries on the manufacture of or stores any [excisable article]: Provided that no Excise Officer other than the Commissioner shall so enter or search any residential premises unless he is accompanied by the Sarpanch, or the Panch or any other respectable person of the locality.
   • (b) enter and inspect at any time within the hours during which sale is permitted and at any other time during which the same may be open, any place in which any [excisable article or foreign liquor] is kept for sale by any person holding a licence under this Act;
   • (c) examine any book, account, or register or examine, test, measure or weigh any materials, stills, utensils, implements, apparatus, [excisable article or foreign liquor] found in any such place as is referred to in clauses
   • (a) and
   • (b) above; and
   • (d) seize any measures, weights or testing instruments which he has reason to believe to be false.
2. (2) Any Police Officer, not below such rank as may be prescribed, may also exercise the powers conferred on the Commissioner or an Excise Officer under sub-section
3. (1) in respect of intoxicating drug or opium.

Power of certain officers to investigate into offences.—

1. (1) Any Officer of the Excise Department not below such rank as may be prescribed may investigate into any offence punishable under this Act committed within the limits of the area in which such office exercise jurisdiction: Provided that any Police Officer, not below such rank as may be prescribed, may also investigate into an offence relating to intoxicating drug or opium committed within the limits of the area in which such Police Officer exercises jurisdiction.
2. (2) Any such officer may exercise the same powers in respect of such investigation as an officer in charge of a police station may exercise in respect of an investigation into a cognizable case under the provisions of the [Code of Criminal Procedure 1973 (Central Act 2 of 1974)] and, if specially empowered in that behalf by the Government, such officer may for reasons to be recorded by him in writing, stop further proceedings against any person concerned in any such offence into which he has investigated.

Power of seizure and detention.—

1. (1) Subject to such restrictions as may be prescribed, any officer of the Excise, Police, Customs or Land Revenue Department not below such rank as may be prescribed, and any other person duly authorized in this behalf by the Government, may seize and detain any [excisable article, foreign liquor] [or other article] which he has reason to believe to be liable to confiscation under this Act and may search any person, vessel, raft, vehicle, animal, package, receptacle or covering upon whom, or in or upon which, he may have reasonable cause to suspect any such [excisable article, foreign liquor] or other article to be or to be concealed.
2. (2) Where as a result of such search, no [excisable article, foreign liquor] or other article is actually found to be concealed on such person, vessel, raft, vehicle, animal, package, receptacle or covering, a certificate to that effect shall be given in the prescribed form by the officer to the person concerned.

Search warrants.— If any Magistrate upon information given by any Excise or Police Officer or any other person has reason to believe that an offence under this Act has been, is being or is likely to be committed, he may, after recording the information in writing signed by the informant, issue a warrant for the search of any place in which he has reason to believe that any [excisable article or foreign liquor] or any utensil, implement, apparatus or materials, in respect of which such offence has been, is being, or is likely to be committed, is kept or concealed.

Power to search without warrant.—

1. (1) Whenever an officer of the Excise Department, not below such rank as may be prescribed, has reason to believe that an offence punishable under this Act has been, is being or is likely to be committed in any place and that a search warrant cannot be obtained without affording the offender an opportunity of concealing evidence of the offence, he may after recording his reasons and grounds of his belief, at any time, by day or night, enter and search such place and may seize anything found therein which he has reason to believe to be liable to confiscation under this Act: Provided that no search [except in case of an offence relating to intoxicating drug or opium,] shall be made during the hours from 7 p.m. to 7 a.m. save in exceptional circumstances and with the prior approval of the Commissioner.
2. (2) Any such officer may arrest any person found in such place whom he has reasons to believe to be guilty of any offence under this Act;
3. (3) Any Police Officer, not below such rank as may be prescribed, may also exercise the powers conferred on an officer of the Excise Department under sub-sections
4. (1) and (2), if he has reason to believe that an offence relating to intoxicating drug or opium has been, is being, or is likely to be committed in any place and that a search warrant cannot be obtained without affording the offender an opportunity of concealing evidence of the offence.
5. (4) Every person arrested under this section for an offence which is bailable shall be admitted to bail by such officer as aforesaid if sufficient bail be tendered for his appearance before a Magistrate or an Excise Officer.

Duty of officers of certain departments to report offence and to assist excise officer.— Every officer of the Police, Customs and Land Revenue Departments shall be bound to give immediate information to an officer of the Excise Department of any breach of any of the provisions of this Act which may come to his knowledge and to aid any officer of the Excise Department in carrying out the provisions of this Act upon request made by such officer.

Duty of officer-in-charge of police station to take charge of article seized.— Every officer-in-charge of a police station shall take charge of and keep in safe custody, pending the order of Magistrate or the Commissioner or an Excise Officer duly empowered in that behalf, all articles seized under this Act which may be delivered to him; and shall allow any officer of the Excise Department who may accompany such articles to the police station or may be deputed for the purpose by his superior officer, to affix his seals to such articles, and to take samples of or from them.

Powers of certain officers to close liquor shops Powers of certain officers to close liquor shops.— It shall be lawful for the District Magistrate or a Sub-Divisional Magistrate by notice in writing to the holder of a licence or his agent to require that any shop in which liquor is sold shall be closed at such times or for such period as he may think necessary for the preservation of the public peace.

If a riot or unlawful assembly is apprehended or occurs in the vicinity of any such shop, it shall be lawful for any Magistrate or for any Police Officer not below the rank of Inspector who is present, to require such shop to be kept closed for such period as may be necessary:

Provided, however, that when any such order is passed by a Police Officer, he shall, within 24 hours, report the fact to the Sub-Divisional Magistrate or the District Magistrate and shall thereafter, abide by such directions as the Magistrate may give in this regard.

Penalty for contravention of provision.— Whoever, in contravention of this Act, or of any rules or orders made thereunder, or of the conditions in any licence or permit obtained under this Act,—

1. (a) imports, exports, transports or possesses any excisable article; or
2. (b) manufactures or produces any excisable article or bottles liquor; or
3. (c) constructs or works any distillery, brewery or pot still; or
4. (d) uses, keeps, or has in his possession any materials, still, utensils, implements or apparatus whatsoever for the purpose of manufacturing any excisable article; or
5. (e) sells any excisable article or foreign liquor; or
6. (f) draws toddy from any tree, shall, on conviction before a Magistrate, be punished for each such offence with—
   • (i) [rigorous] imprisonment which may extend to [seven] years, with or without fine, if the offence relates to intoxicating drug or opium as defined in clauses
7. (kkk) and
8. (oo) respectively of section 2: Provided that the minimum punishment shall not be less than six months.
   • (ii) a fine which may extend to [ten thousand rupees] or imprisonment for a term which may extend to [two years] or; with both, if the offence relates to any other matter:

Penalty for certain Acts or omissions by holders of licence Penalty for certain Acts or omissions by holders of licence.— Whoever, being the holder of a licence or permit granted under this Act or being in the employ of such holder and acting on his behalf,—

1. (a) fails to produce such licence or permit on demand by any Excise Officer or any other officer empowered to make such demand; or
2. (b) wilfully does or omits to do anything in breach of any of the conditions of his licence or permit not otherwise provided for in this Act; or
3. (c) wilfully contravenes any rule made under section 22 of this Act; or
4. (d) permits drunkenness, disorderly conduct, riot or gambling in any place in which any liquor is sold or manufactured; or
5. (e) permits persons of notoriously bad character to meet or remain in any such place, shall, on conviction before a Magistrate, be punished for each such offence with fine which may extend to [ten thousand rupees or with imprisonment which may extend to six months] or with both.