The Delhi government has instructed its agencies to refrain from granting P-10 liquor permits to independent restaurants organizing events and parties. The decision is motivated by concerns about a decline in excise revenue. Officials revealed that the excise department observed numerous instances where independent restaurants utilized P-10 permits to host events and parties involving the service of liquor.
The department has already debarred such restaurants from hosting functions using the P-10 permits as they are eligible for obtaining excise licences, they said.
“These restaurants use P-10 permits to get liquor instead of having excise licence to serve liquor because of the higher licence fee. This leads to excise revenue loss to the state exchequer,” said a senior excise officer.
A recent order issued by the excise department said, “All the L-6 retail vends are directed to ensure that no P-10 Permits be issued to the independent restaurants for hosting functions.”
“Non-compliance of the order will be viewed seriously and stern action including cancellation of licence may be taken against the defaulter L-6 vends,” it said.
Over 650 liquor stores in the city are operated by four Delhi government agencies: Delhi State Industrial and Infrastructure Development Corporation, Delhi Tourism and Transportation Development Corporation, Delhi Consumers Cooperative Wholesale Store, and Delhi State Civil Supplies Corporation.
An INR 10,000 fee is required to obtain a P-10 license for serving liquor at any party, function, wedding, or similar events, with the exception of motels, banquet halls, and farmhouses where the P-10 license fee is INR 15,000.
As per conditions for issuing P-10 licences, the specific premises should not be any public park or such other place, and must be screened off from public view. Also, liquor should not be served to a person below 25 years of age.
A P-10 licence holder can purchase liquor from maximum three vends.
The officials said there are 935 hotels, clubs and restaurants in the city with excise licence to run bar at their premises. On the other hand, there are 5,374 independent restaurants that are eligible for excise licence but do not have it, they said.