Gujarat HC: Relief to Liquor Shop Owners in Union Territories

The Gujarat HC delivered a significant verdict on Friday, stating that the Gujarat Prohibition Act does not extend its jurisdiction to the Union Territory of Daman. This ruling comes as a relief to liquor shop owners operating in the adjacent union territories.

Questioning the Application of the Prohibition Act by Gujarat HC:

A recent inquiry by a bench led by the Chief Justice raised concerns over the implication of liquor shop owners from neighboring states/union territories under the Gujarat Prohibition Act, particularly when they are not directly conducting business within Gujarat.

The court’s decision stemmed from a petition filed by Daman resident Ishwar Patel, seeking to nullify an FIR filed against him by the Valsad police. The FIR was lodged after the arrest of five individuals in 2015 who were caught transporting 251 bottles of whisky and beer from Daman to Valsad.

Legal Defense and Outcome:

Patel’s counsel argued that Patel held a valid license for the retail sale of liquor in Daman and should not be held responsible for the actions of the other accused. Despite acquitting the five key accused, Patel remained under scrutiny as an absconder.

While quashing the FIR, Justice Vimal Vyas emphasized that Patel’s liquor sales in Daman, where prohibition laws do not apply, did not constitute any offense. This ruling underscores the distinction between jurisdictions and the legality of liquor transactions in Daman.

Previous Legal Challenges by Gujarat HC:

The High Court’s decision aligns with previous rejections of Public Interest Litigations (PILs) filed by the Daman Wine Merchant Association and liquor shop owners from Maharashtra. 

These PILs highlighted instances of harassment by Gujarat police, emphasizing the legal status of the associations.

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