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Explained: Delhi Excise policy faulty or faulty implementation?

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AAP government’s new excise policy 2021-22 that came into force on November 17 last year has drawn severe criticism from the opposition and the industry experts in the national capital for multiple reasons.

Under the new policy, the retail licences were given to private bidders for 849 vends across the city divided into 32 zones. Opposing the policy, the opposition has lodged complaint with the L-G as well as central agencies seeking a probe into it.

The allegations

Delhi LG Vinai Kumar Saxena has recommended a CBI probe based on the Delhi Chief Secretary’s July 8 report which has flagged “deliberate and gross procedural lapses to provide post tender undue benefits to liquor licensees for the year 2021-2022”.

The Chief Secretary report has also pointed out prima facie violations of GNCTD Act 1991, Transaction of Business Rules (ToBR)-1993, Delhi Excise Act-2009 and Delhi Excise Rules-2010.

As the Excise Department is headed by Manish Sisodia, he faces allegations of financial quid pro quo in executing major decisions around the excise policy which reportedly huge financial implications.

He also extended undue financial favours to the liquor licensees much after the tenders had been awarded and thus caused huge losses to the ex-chequer.

The Excise Department reportedly gave a waiver of Rs 144.36 crore to the licencees on the tendered licence fee citing pandemic as an excuse. The excise department under Sisodia revised the formula of calculation of rates of foreign liquor and removed the levy of import pass fee of Rs 50 per case on beer on in its November 8, 2021 order.

The AAP government is also accused of attempting to legalise “these illegal decisions” by getting the nod of cabinet as recently July 14 which is said to be in violation of laid down rules and procedures.

Aam Admi Party’s defence

In a press briefing shortly after LG recommended a CBI probe, Delhi Chief Minister Arvind Kejriwal termed the case “false” and said that BJP is afraid of AAP’s expansion.

“The whole case is fabricated. I have known Sisodia for the past 22 years. He is honest. When he became a minister the Delhi government schools were in a poor condition. He worked day and night to bring them to the level where a judge’s child and a rickshaw driver’s child sit together to study,” said CM Kejriwal.

Policy that led to liquor crisis

Delhi residents are facing the shortage of liquor of their choice as the capital city is witnessing shortage across various categories at many outlets in the city. Even some premium category whiskies are not available in below one litre quantity at various outlets.

On being asked about the reason behind such shortage, the outlet keepers have one word to say “supply chain problem”. Among many other reasons, one important factor causing shortage is the new policy which has led to the sharp decline in the number of wine shops being operated currently in the market.

“Only around 464 shops are in operation currently in the market whereas the city like Delhi must have around 850 outlets to serve the residents”, said an industry expert on condition of anonymity.

What Expert says

The industry expert says that policy was good, however on ground level, the implementation was not good. “I believe that the Excise policy was and is fundamentally good. It takes a different and progressive look at alcohol sale and consumption befitting a modern metropolis that Delhi is. However, I think that implementation on ground fell short. It was too slow, in patches and unable to break away from historical bureaucratic apathy towards trade. In its concept, the size of zones is too big”, Vinod Giri, Director General of the Confederation of Indian Alcoholic Beverage Companies (CIABC) told IANS.

Giri said that the industry has repeatedly raised the matter of keeping zone sizes small to reduce financial stakes of licensees, improve loss bearing capacity if any, and prevent monopolies. “We also have suggested more simplicity and flexibility in operational issues such as license ownership changes. I am of view that with some tweaking the policy can deliver what it was meant to – positive dividend for all stakeholders”, Giri told IANS.

Opposition’s Claims

Union minister and New Delhi BJP MP Meenakshi Lekhi on Friday alleged the violations by Delhi government in the Delhi liquor policy.

Addressing a press conference, Lekhi showed documents saying that they “exposed” discrepancies by the government in giving waivers to liquor firms.

Lekhi claimed, “firms were given a waiver of Rs 144.36 crore on 14 July 2022 without the Cabinet’s nod.”

She further claimed that in another instance, a company was returned its Rs 30 crore earnest deposit money without following the due procedure.

National News

Change certain in Bengal, will perform brilliantly in other states: NDA leaders on exit polls

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New Delhi, April 30: As multiple exit polls projected notable gains for the BJP in West Bengal and Assam, leaders of the National Democratic Alliance (NDA) on Thursday voiced confidence that “double-engine governments” would be formed in both states, while also expressing optimism about the party’s performance in Tamil Nadu and Kerala.

According to Matrize exit poll findings, the BJP is likely to register a strong showing in the West Bengal Assembly elections, with projections placing the party in the range of 146–161 seats and a vote share of around 42.5 per cent.

The same survey indicates that in Tamil Nadu, which has a 234-seat Assembly, the DMK-led alliance is expected to retain power. In Kerala’s 140-seat Assembly, a close contest is anticipated between the two main fronts. Matrize projects the Congress-led UDF to secure 70–75 seats, slightly ahead of the Left Democratic Front (LDF), which is estimated to win 60–65 seats.

The reuslts will be announced on May 4.

Reacting to the projections, Union Minister Gajendra Singh Shekhawat said, “This time in Bengal, the people of Bengal have made up their mind for change. Change is definitely going to happen.”

Bihar BJP President Sanjay Saraogi struck a cautious note while referring to the exit polls, and told media, “According to exit polls, the Bharatiya Janata Party appears to be leading. However, the final results will only be known on counting day… For the first time, many people who were previously deprived of voting rights were able to cast their votes.”

He further added that based on exit poll results, “it appears that the Bharatiya Janata Party will come to power in West Bengal.”

“For the first time, voters in Bengal have been able to cast their votes in a peaceful and fear-free environment. In past elections, there have been allegations of violence and booth capturing, but this time, voters were able to exercise their right freely and in large numbers,” he said.

JD(U) Rajya Sabha MP, Sanjay Kumar Jha, also stated that the BJP will win in Bengal. Speaking to the reporters, Jha said, “Many exit polls from Bengal indicate that the NDA is ahead. The results will come on the 4th, but based on the feedback from journalists and political people who went, and since it is a neighbouring state, an NDA government is coming to Bengal.”

Delhi Chief Minister Rekha Gupta said the trend was expected, remarking, “This was bound to happen. The people have given their full blessings… The change in Bengal is certain, which will be visible to us on the 4th in the form of results.”

Delhi Minister Kapil Mishra added a lighter tone to the political anticipation, saying, “May 4 is about to come, and saffron is visible everywhere. The mood of the public is now understandable. I think we should wait for the evening of the 4th, everyone will eat jhalmuri, everyone will eat jalebi.”

Speaking to the reporters, Uttar Pradesh Deputy Chief Minister Brajesh Pathak said, “In West Bengal, the BJP is seen coming with a strong majority in the exit polls. After voting, we should wait for the counting of votes.”

JD(U) national spokesperson Rajeev Ranjan Prasad said, “Undoubtedly, the exit poll trends and almost all surveys indicate that a massive mandate is going to be received by the Bharatiya Janata Party in Assam.”

BJP National Spokesperson Shahnawaz Hussain, speaking to media, also expressed strong confidence in the party’s prospects, stating, “The exit poll results indicate that in Assam and West Bengal, our government is going to be formed with a huge majority. We will also perform well in Tamil Nadu, and in Keralam, we are expected to deliver a surprise result. In West Bengal, just as the sunrise is certain, the formation of the Bharatiya Janata Party government is also certain.”

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Business

India, New Zealand set to sign FTA for improved market access on April 27

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New Delhi, April 24: As India and New Zealand prepare to sign a Free Trade Agreement (FTA) on Monday, both sides are expected to benefit from expanded trade ties and improved market access, New Zealand Prime Minister Christopher Luxon has said.

Taking to the social media platform X, Luxon said, “We will sign a Free Trade Agreement with India on Monday.”

In a video message, Luxon said the agreement would improve market access for New Zealand exporters, particularly manufacturers of marine jet systems used in boats and exported to over 70 countries.

He added that the deal would help reduce trade barriers and strengthen commercial engagement between the two countries.

He also noted that certain exporters currently face tariffs while accessing the Indian market, and said the agreement would gradually ease such duties, improving competitiveness and supporting higher trade flows.

Luxon said the FTA would support increased business activity, employment opportunities and economic growth in New Zealand, while also strengthening bilateral trade linkages with India.

He added that the agreement would bring ‘more jobs, higher wages and more opportunities,’ highlighting the broader economic impact of the deal.

Once signed, the FTA is expected to expand trade and investment ties between the two countries and enhance export opportunities on both sides in a large and growing global market environment.

Earlier this month, legal verification of the New Zealand-India FTA was completed, with both countries agreeing to sign the pact on April 27 in the presence of a large contingent of business representatives, New Zealand Trade and Investment Minister Todd McClay said.

In a statement, McClay described the agreement as a “once-in-a-generation opportunity,” saying it would strengthen bilateral trade relations and provide improved access to each other’s markets.

He said that amid global economic and geopolitical uncertainty, strengthening trade partnerships remains important for long-term economic stability.

McClay added that signing the FTA would allow New Zealand to formally initiate parliamentary treaty examination, enabling public scrutiny of the agreement.

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Crime

Delhi Police bust illegal LPG racket in Palam-Dwarka; 137 cylinders seized

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New Delhi, April 23: In a major breakthrough, the AGS/Crime Branch of Delhi Police, acting on specific and credible intelligence, carried out coordinated raids at multiple locations in the Palam and Dwarka areas, uncovering a large-scale illegal operation involving the unauthorised storage and refilling of LPG cylinders, officials said on Thursday.

The crackdown resulted in the recovery of 137 LPG cylinders along with refilling equipment, exposing serious violations of safety norms and regulatory guidelines. Officials said the operation points to a deliberate misuse of the LPG distribution system.

Keeping in view the prevailing circumstances, and as a preventive step against hoarding and black marketing of LPG cylinders, a dedicated team was constituted to identify and apprehend those involved in such activities.

The team comprised Inspector Krishan Kumar, along with Sub-Inspectors Narender Kumar and Agam Prasad; Assistant Sub-Inspectors Surender, Mintu, and Deepak; Head Constable Shyam Sunder; and Constable Dheeraj. The operation was carried out under the close supervision of ACP Bhagwati Prasad, ACP/AGS, and overall supervision of IPS officer Harsh Indora, DCP/Crime Branch.

Following sustained groundwork, specific and credible secret information was received regarding hoarding and illegal refilling of LPG cylinders in the Dwarka and Palam areas of Delhi.

Acting on the input, a raiding team was formed, and a search operation was conducted at JJ Colony, Sector-7, Dwarka. During the raid, 77 LPG cylinders were found stored at the premises. Some cylinders were also discovered loaded in vehicles present at the spot.

The following persons, all residents of Delhi, were found present along with their vehicles — Arjun (45), a resident of Bagdola; Surajpal Pandey (42), resident of Raj Nagar-II, Palam Colony; Amarjeet Kumar (28), resident of Raj Nagar-II, Palam Colony; Prempal Singh (52), resident of Raj Nagar-II, Palam Colony; Sukh Ram (48), resident of Goyla Dairy, Kutub Vihar Phase-1; and Vikram (42), resident of Dada Dev Road, Dev Kunj, Palam.

When questioned about the possession of such a large number of LPG cylinders, they failed to produce any valid documents or a satisfactory explanation. Subsequent interrogation led to further raids at two additional locations.

In a second recovery, 25 LPG cylinders were seized from a tempo parked near the premises. The owner of the vehicle, Malkhan (59), a resident of Sector-7, Dwarka, was found present at the spot.

A third recovery led to the seizure of 35 LPG cylinders from premises in Gali No. 6, near Bachpan Play School, Dev Kunj, Raj Nagar-II, Palam Colony, where the cylinders were stocked in an open area adjoining a house.

At this location, the following persons were found present: Raju Rai, a resident of Manglapuri Phase-II; Chander Pal, a resident of Palam Dada Dev Road; Bablu, a resident of Goyla Dairy; and Sujeet Kumar, a resident of Shyam Vihar Phase-1.

Considering the scale of the recovery, the Food and Supply Officer (FSO), Palam-Dwarka, was informed and called to the spot. The official stated that such accumulation of LPG cylinders is not authorised without proper permission. In his presence, all the recovered cylinders were seized.

The FSO subsequently informed the Senior Manager (LPGS), New Delhi and South-West District, and the case property was handed over to Shivam Jain, Senior Manager (LPGS).

All the accused persons have been apprehended. Investigations revealed that they were illegally storing domestic LPG cylinders for black market purposes and were involved in unauthorised refilling and tampering of cylinders, officials said.

A case has been registered at the Crime Branch police station under Sections 125/3(5) of the BNS and Section 3/7 of the Essential Commodities Act, 1955.

During interrogation, it emerged that the accused had procured LPG cylinders from a gas agency, but instead of delivering them as per the assigned targets, they diverted and stored them illegally at the identified premises.

They maintained an unauthorised stock and used illegal equipment to transfer gas from filled cylinders into empty ones, which were then sold in the open market for unlawful gains.

Further investigation into the matter is currently underway.

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