Chapter IV Chapter IV

Import, Export, Transport and Possession of Denatured Spirit and Rectified Spirit or Absolute Alcohol

Penalty for certain acts by holders of licence for sale or manufacture.— Whoever, being the holder of a licence for the sale or manufacture of liquor under this Act, or being in the employ of such holder acting on his behalf,—

1. (a) mixes or permits to be mixed with the liquor sold or manufactured by him any noxious drug or any foreign ingredient likely to add to its actual or apparent intoxicating quality or strength [or to affect its purity];
2. (b) sells or exposes for sale foreign liquor [or Indian made foreign liquor] which he knows or has reasons to believe to be country liquor;
3. (c) marks any bottle or its corks, or any case, package or other receptacle containing liquor manufactured from rectified spirit or country liquor with the intention of causing it to be believed that such bottle, case, package or other receptacle contains foreign liquor, 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.

Penalty for possession of contraband excisable article.— Whoever, without lawful authority, has in his possession any quantity of [excisable article] knowing the same to have been unlawfully imported, transported or manufactured or knowing that the prescribed duty has not been paid thereon, shall, [without prejudice to the provisions of section 30,] on conviction before Magistrate, be punished with fine which may extend to [ten thousand rupees or with imprisonment which may extend to one year] or with both.

Vexatious search seizure, etc., by officers.—

1. (1) [Any Excise Officer or a Police Officer] or other person exercising powers under this Act, or under the rules made thereunder, who,—
   • (a) without reasonable ground of suspicion searches or causes to be searched any place;
   • (b) vexatiously and unnecessarily detains, searches or arrests any person;
   • (c) vexatiously and unnecessarily seizes the movable property of any person, on pretence of seizing or searching for any article liable to confiscation under this Act;
   • (d) commits, as such officer, any other act to the injury of any person, without having reason to believe that, such act is required for the execution of his duty; shall, on conviction before a Magistrate, be punished with fine which may extend to two thousand rupees.
2. (2) Any person wilfully and maliciously giving false information and so causing an arrest or a search to be made under this Act shall be punishable with fine which may extend to two thousand rupees or with imprisonment for a term which may extend to two years or with both.

Penalties for offences not otherwise provided for.— Whoever is guilty of any act or intentional omission in contravention of any of the provisions of this Act, or of any rule or order made under this Act, and not otherwise provided therein shall be punished for each such act or omission with fine which may extend to [ten thousand rupees].

Punishment for attempt to commit offences.— Whoever attempts to commit an offence punishable under this Act, or to cause such an offence to be committed, and in such attempt does any act towards commission of such offence, shall be punishable—

1. (a) where the offence is punishable with imprisonment only, with imprisonment for a term which may extend to one half of the longest term of imprisonment provided for such offence, or
2. (b) where the offence is punishable with fine only, with such fine as is provided for the offence, or
3. (c) where the offence is punishable with both imprisonment and fine, with imprisonment for a term which may extend to one-half of the longest term of imprisonment provided for such offence and also with such fine as is provided for such offence.

Presumption as to commission of offence in certain cases.— In every prosecution for an offence punishable under this Act, it shall be presumed until the contrary is proved that the accused person has committed such offence in respect of [any excisable article or foreign liquor], or any still, utensil, implement, or apparatus whatsoever for the manufacture [of excisable articles] or any such materials as are ordinarily used in the manufacture [of excisable articles] for the possession of which he is unable to account satisfactorily; and the holder of a licence or permit under this Act shall be punishable, as well as the actual offender, for any offence committed by any person in his employ and acting on his behalf as if he had himself committed the same, unless he establishes that all due and reasonable precaution were exercised by him to prevent the commission of such offence.

Cognizance of offences.—

1. (1) No court shall take cognizance of an offence under this Act or under the rules made thereunder other than an offence under section 34 except on complaint made by the Commissioner or any other officer authorized by him either generally or specially in writing or by any Police Officer of such rank as may be prescribed where the offence relates to intoxicating drug or opium.
2. (2) No Court inferior to that of a Magistrate of the First Class shall try any offence under this Act or the rules made thereunder.
3. (3) Notwithstanding anything contained in the Code of Criminal Procedure, 1973 (Central Act 2 of 1974) any offence under this Act may be tried summarily.
4. (4) All offences punishable under this Act shall be cognizable and bailable, except that an offence relating to intoxicating drug or opium shall be non-bailable.

Confiscation. —

1. (1) In any case in which an offence has been committed under this Act, the excisable articles, foreign liquor, materials, still, utensil, implement or apparatus in respect or by means of which such offence has been committed shall be liable to confiscation. Provided that no confiscation under this sub-section shall be made in cases where,—
   • (a) duty paid liquor is transported within the State without the authority of a permit granted under this Act; or
   • (b) any licensed premises are kept open in contravention of any rule made under clause
   • (n) of sub-section
2. (2) of section 22.
3. (2) Any excisable article or foreign liquor lawfully imported, exported, transported, manufactured, had in possession or sold alongwith, or in addition to, any excisable article or foreign liquor liable to confiscation under this section, and the receptacles, packages and coverings in which any such excisable article, foreign liquor, materials, still, utensil, implement or apparatus as aforesaid is or are found and the other contents, if any, of the receptacles or packages in which the same is or are found, and the animals, carts, vessels or other conveyances used in carrying the same, shall likewise be liable to confiscation: Provided that no such animal, cart, vessel, or other conveyances shall be so liable to confiscation if the owner thereof, is not the owner of the articles thereby removed and establishes that he had no reason to believe that such offence was being or was likely to be committed.
4. (3) When anything mentioned in sub-section
5. (1) and
6. (2) is found in circumstances which afford reason to believe that an offence under this Act has been committed in respect or by means thereof, or when such offence has been committed and the offender is not known or cannot be found, the Commissioner may order confiscation of the same: Provided that no such order shall be made until the expiration of one month from the date of seizing the thing or animal in question or without hearing the person, if any, claiming any right thereto, and considering the evidence, if any, which he produces in support of the claim: Provided further, that if the thing in question is liable to speedy and natural decay, or if the Commissioner is of the opinion that the sale of the thing or animal in question would be for the benefit of its owner, he may at any time direct it to be sold; and the provisions of this section shall, so far as may be, apply to the net proceeds of such sale.
7. (4) When anything is confiscated under sub-section
8. (1) or
9. (2) above, it shall thereupon vest in the Government.

Limits of confiscation and/or penalty.— Without prejudice to the limits of fines/penalties provided hereinbefore in every case in which, under this Act, anything is liable to confiscation and/or liable to penalty, as the case may be, such confiscation and/or penalty or with both may be ordered—

1. (a) without limit by the Commissioner, or
2. (b) up to confiscation of goods not exceeding ten thousand rupees and imposition of penalty not exceeding one thousand rupees by such other Excise Officer as the Government may, from time to time, empower in that behalf. Explanation:— Penalty construed herein shall be in relation to the nature and gravity of offence committed by the licensee in person or by his/her agent acting on his/her behalf and includes violation of condition of licence or of a bond.

Fine in lieu of confiscation.— Whenever confiscation is authorised by this Act, the officer ordering the same may give the owner of the goods an option to pay in lieu of confiscation such fine as the officer thinks fit.

Power of Commissioner to compound offences Power of Commissioner to compound offences.—

1. (1) Subject to such conditions, if any, as may be prescribed, the Commissioner may accept from any person alleged to have committed an offence under this Act or under any rules made thereunder other than an offence under section 34 [or an offence relating to intoxicating drugs or opium as defined in clause
   • (kkk) and
   • (oo) of section 2], either before or after the commencement of any proceedings against such persons in respect of such offence, by way of composition for such offence, a sum not exceeding [five thousand rupees].
2. (2) When compounding of an offence is accepted the power to confiscate the goods seized under this Act in respect of such offence shall be vested in the Commissioner.
3. (3) On payment in full or such sum as may be determined by the Commissioner under sub-section (1),—
   • (a) no proceedings shall be commenced against such person aforesaid; and
   • (b) if any proceedings have been already commenced against such person as aforesaid, such proceedings shall not be further proceeded with.

Appeals.— Any person deeming himself aggrieved by any decision or order passed under this Act or the rules made thereunder by any Excise Officer other than the Commissioner may, within ninety days from the date of such decision or order, appeal against such decision or order, to the Commissioner; and where the decision or order is passed by the Commissioner including the order passed in revision under section 41 the appeal shall lie to the Chief Secretary. In disposing of the appeal the Commissioner or the Chief Secretary, as the case may be, may, after giving reasonable opportunity of being heard:—

1. (a) confirm the decision or order appealed against; or
2. (b) reduce, enhance or annul any amount involved in the decision or order appealed against; or
3. (c) pass such other orders as he may think fit.