Bhopal: Excise policy to make a big dent in government revenue

Bhopal: Excise policy to make a big dent in government revenue

FPJ BureauUpdated: Thursday, May 30, 2019, 12:28 AM IST
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BHOPAL: The Excise Policy for FY ’19, which was approved by the cabinet on Wednesday, will cost the state government dear in terms of revenue. The policy provides that the licencees of liquor shops for 2018-19 will be re-allotted the shops in 2019-20 at the same rate.

This means that the state government will be deprived of the additional revenue that would have accrued to it, on renewal of licences at a higher rate. The policy says that if at least 51 per cent of the licencees in a district are willing to renew their licences for the next year, it would be done at the same rate.

As the finance department would have surely objected to this provision, the policy was not even put up for the opinion of the department before tabling it in the cabinet.

ACS, Finance A.P. Shrivastava had objected to the finance department being kept out of the loop at the cabinet meeting on Thursday. He said that the policy was not sent to him. After this, the chief secretary B.P. Singh clarified that it had come directly to him.

The précis for the cabinet meeting merely said that ACS, finance was present when a presentation on the Excise Policy was made before the chief minister. It did not mention whether the finance department’s opinion was obtained.

The business conduct rules envisage that no policy would be brought before the cabinet without obtaining the opinion of the finance department on it. But the finance department was bypassed despite the fact that the policy had revenue implications.

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 ‘I can’t say anything; ask the CS’

ACS, Finance A.P. Shrivastava said that he cannot comment on the decision of the cabinet. Only the chief secretary can say anything about it.

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Leader of opposition in the Vidhan Sabha Ajay Singh said that bunglings have become the order of the day in the present government. He said that the business conduct rules are drafted with the consent of the Governor and the Excise Policy being placed before the cabinet without seeking the opinion of the finance department was a violation of the rules. He said that he would lodge a complaint with the Governor on the issue. He said that provision providing for allotment of shops at the same rate for two consecutive years was objectionable. It is an attempt to make a dent in the revenue of the government in collusion with liquor contractors.

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