A Single Bench of Justice Bharat P. Deshpande of Bombay High Court upheld the cancellation of the liquor license by the Excise Commissioner in the application of the legal heirs of the deceased partner.
The Petitioner, Dattaram Govind Naik has challenged the impugned order of the Commissioner of Excise who cancelled the liquor licence or the retail sale of IMFL & CL for consumption standing in the name of Late Mr. Joaquim C.Souza Ferrao.
The petitioner and the deceased were the partners by way of a Deed of Partnership executed on 21/12/2009. The petitioner was permitted to operate a bar and restaurant wherein the sale of liquor was undertaken on the basis of a licence issued in the name of Joaquim C.Souza Ferrao.
According to the contention of the counsel of the petitioner, the Deed of Partnership was executed on 21/12/2009. However, Mr. Joaquim C.Souza Ferrao expired. Admittedly, the licence was issued in the name of said Joaquim C.Souza Ferrao. It was also claimed that the petitioner is entitled to transfer of the license.
However, respondents apart from the state, being the legal heirs of the late Joaquim C.Souza Ferrao applied for cancellation of licence with the Excise Department.
The High Court bench referring to clause 15 of the Deed of Partnership has stated that it was crystal clear that the said clause nowhere permits the petitioner to apply for transfer of the liquor licence in his name in the event of the death of the licence holder.
Further, the clause showed that the legal heirs were supposed to join as partners upon the death of the original licence holder and in that case, the licence was required to be transferred in the name of such legal heirs.
The bench stated that “The appellate authority in its impugned order has rightly observed that the petitioner is trying to mix the issues with regard to the Deed of Partnership with that of transfer of licence under the provisions of the Goa Excise Duty Act.”
It was also stated that it is the duty of the concerned authority and when the legal heirs of the deceased licence holder applied for cancellation, the excise Commissioner was duty bound to cancel it.
Thus, the Bombay High Court rejected the appeal.
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