Jammu: City of Wine Shops ?

Rajan Gandhi
Our Jammu and Kashmir, once the biggest state of British ruled India with distinct honor of 21 gun salute, just couldn’t enjoy the fruits of independence like other parts of India. Blunders by then ruling class of India led to one catastrophic decision to another and cycle goes on and on till date. First it was land to tiller policy implemented by Sheikh Abdullah, with a ceiling of 186 kanals for owners and the rest was redistributed among landless labourers, with no compensation to the landlords. Separate PM, Sadar-e-Riyasat, what not and constituent assembly elections set the dark future of Jammu and ever since the wheel of misfortune is just grinding Jammu one way or another. Jammu has been fighting for even basic facilities like railway station, roads, hospitals, airport, road, electricity, water and struggle is still on. But one thing which Jammu has been gifted by Kashmir centric rulers are liquor vends so much so that once known as ‘City of Temples’ now has turned into ‘City of Wine Shops’. Just like government employees and budget which is unjustifiable as compared to population and size of other bigger states, Jammu has unique distinction of 200 plus wine shops and much more bars in numbers. It is beyond one’s imagination how a school and wine shop can have common wall at Kachi Chawni just besides BJP old office or Bhairon mandir with a wine shop just opposite to it with a gurudwara besides it or less than 100 meters distance between a wine shop, a Hanumanji mandir, a gurudwara and a masjid at Lakhdatta bazaar. Matter of fact is every mandir road in Jammu has a wine shop, how and why no one wants to answer?
Jammu and Kashmir Excise Act was drafted in 1901, by 1968 only 2 Liquor Licenses were issued but after that it was like a monsoon of liquor licenses year after year. In 1969-70 licenses granted 10, 1970-71 granted 13, 1972-73 granted 19, 1974-75 granted 14, 1975-76 granted 4 ,1976-77 granted 21,1977-78 granted 5, 1979-80 granted 4. 1981-82 granted 15, 1983-85 granted 2, 1998-99 granted 18, 1999-2000 granted 32, 2000-01 granted 1. In addition to this 2 sub vends were regularized in 2005 and one liquor vend was allotted in January 2011. All these licenses were issued by Finance Ministers of respective times without any process or policy and allottee continued their business for decades without any further changes in license fee and auction. Bumper year was 2005 when 60 more vends were allotted on temporary basis in August 2005 for a period of four months by lottery system and are continuing till date in view of various interim orders passed by court in different cases. So at present there are 223 functional liquor vends in Jammu and Kashmir, except 2-3 in Kashmir, rest all in Jammu Division. The whole cozy nexus turned turtle when a complaint was made by some private person stating that the entire process of 2005 draw of lots had been manipulated. The matter was referred to SVO, which referred the matter to CBI, report was sent to the Government on which it was decided to cancel the temporary licenses granted as such show-cause notices were issued to the appellants and subsequently matter went to High Court.
Normally Judiciary simply do not interfere in utilities, tax and economic regulation cases as the legislature after all has the affirmative responsibility but this loot was too much to be ignored. The opening remarks of HC speak about the state of affairs of Jammu and Kashmir, “This Court has once again being called upon to clear the skeletons from the cup-board in Union Territory of Jammu and Kashmir. The case in hand is not in isolation where rule of law has been kept aside and there is total arbitrary exercise of power. Earlier many glaring issues came before the court. The same were, challenge to the Jammu and Kashmir State Land (Vesting of Ownership to Occupants) Act, 2001, popularly known as Roshni Act, grant of licenses for extraction of minor minerals, rampant encroachment of public/forest land, adhocism in government service, keeping investigation of criminal cases against senior officers and politicians under the Prevention of Corruption Act pending for decades and occupation of government accommodation by private persons, ex-politicians, retired employees, political workers, whereas the government employees are waiting for allotment. This time it is in liquor trade, which had always remained lucrative.”
2003 Excise Policy was the basis for draw of lots pertaining to the new vends. Even Country Made Liquor Vends were converted into Indian Made Foreign Liquor vends. Moreover, same licensee was operating two vends in the area. The program by which draw was done itself was tutored to pick up more numbers of specific categories in the draw of lots, practically 42.6% applicants, who were successful, were out of 10.4% applicants in the category of 1, 2 and 3 digit number applications as the program was heavily skewed in its favour. There were number of proxy applicants on behalf of serving or retired government employees including of Excise Department and some allottees were relatives of the employees of the department including brother in law of the programmer as well. Another serious observation was that out of 160 liquor licenses granted up to the year 2000-01 without following any procedure, 34 are in the name of women whereas in 25, they are partners with other males. Out of 60 licenses which are subject matter of dispute having been allotted in the draw of lots, 21 are in the name of women which clearly establishes that there are other persons behind the scene as women folk are not sitting on the vends to take care of the business. But ironically old vends were never reauctioned. The Jammu and Kashmir Excise Act was enacted in the year 1901 AD, but first procedure was framed in the year 1984. In the absence of any rules it was simply a pick and choose policy. In the 13 years practically there was no increase in the license fee for JKEL-2 licenses, continued with allotted vends merely by approaching the court and with interim orders passed in their favour and the object of the government to generate revenue got totally defeated. In the Excise Policy for the year 2017-18, on the one hand, Clause 3.2.1 of the aforesaid policy provides that grant of licenses for operating liquor vends shall be strictly in terms of the provisions of the Act and the Rules and according to judgment of Hon’ble Supreme Court and High Court, however, going beyond that Clause 3.2.7 was added which provides that grant of new licenses shall be for a period of five years, contrary to the provisions of the rules. According to 2017 excise policy new licenses for underserved areas shall be determined and the licenses shall be granted through e-auction mode. All vends were made regular in 2019, as such issuance of Excise Policies were merely an eye-wash and apparently only for renewal of the earlier licenses granted. HC in its order observed that no transparent procedure was adopted for allotment of sub-vends so excise policies were just made to follow the principle, ‘you show me face I show you rule’.
More serious are the observation of Court Order about bureaucrats, “The conduct of the officers at the helm of affairs who had issued the aforesaid Excise Policy for the year 2017-18 till 2019-20 and acted totally contrary to the provisions of the Act and the Rules and interim order dated 23.03.2017 passed in these appeals needs to be examined by the competent authority, as to whether in future they can be entrusted with any responsible position. Their mindset of violating the law and court orders is another factor which is required to be taken care of as they are capable of tinkering with provisions of law and violate the mandate contained therein or rewrite the same.” What action has been taken on these erring officers including Financial Commissioners, Excise Commissioners, nothing and fact is they have been promoted or awarded with much better career postings even after abrogation of Article 370 and are still enjoying fruits of power. Such is the sad state of affairs in Jammu and Kashmir where number of government employees per lakh of population is about 3,600, whereas one of the good governed State of Gujarat has about 830 government employees per lakh of population. The connivance of the Excise and Taxation Department is apparent on the face of it where they have maintained conspicuous silence with connected matters. Court also recommended complete overhaul in the working of the Advocate General’s office as it has also failed to protect the interest of the Government by showing delinquent with connected matters.”
Even the new Excise Policy has many loop holes and apprehensions are there that these will be fully exploited by liquor mafia. No income tax return is required for applicants as such any dummy can participate in auction as was done in Roshni land scam earlier. Despite all government focus on Kashmir Tourism why only 4 vends proposed for whole Kashmir. In the past also government was unable to establish one even at International Srinagar airport, there seems no course correction in new Excise Policy towards Jammu. Why government is interested in turning Jammu Division as liquor hub despite it being land of Devi/Devtas? Is government really serious or all this is just an eyewash to counter stringent High Court verdict?
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