Karnataka Excise (Neera) Rules, 2017
[20 November 2017]
Whereas the draft of the following rules further to amend
Karnataka Excise (Neera) Rules, 2017, was published as required by sub-section
(1) of Section 71 of the Karnataka Excise Act, 1965 (Karnataka Act 21 of 1966)
in Notification No. FD 02 PES 2017, dated 05.07.2017 in Part-IV-A of the
Karnataka Gazette (Extra Ordinary) No. 644 dated 05.07.2017 inviting objections
and suggestions from all persons likely to be affected thereby within thirty
days from the date of its publication in the Official Gazette.
And whereas the said Gazette was made available to the
public on 5th June 2017.
And, whereas objections and suggestions received in respect
of the said draft have been considered by the State Government.
Now, therefore, in exercise of the powers conferred by
section 71 of the Karnataka Excise Act 1965 (Karnataka Act 21 of 1966) the
Government of Karnataka hereby makes the following rules, namely:-
Rule - 1. Title and commencement :-
(1)
These
rules may be called the Karnataka Excise (Neera) Rules, 2017.
(2)
They
shall come into force from the date of their final publication in the Official
Gazette.
Rule - 2. Definitions :-
(1)
In
these rules, unless the context otherwise requires,-
(a)
"Act",
means the Karnataka Excise Act, 1965 (Karnataka Act 21 of 1966);
(b)
"Applicant"
means the Coconut Producers Company or Farmer Producers Organization;
(c)
"Coconut
Farmer" means a person growing coconut trees in his own land, not less
than 5 healthy bearing palms.
(d)
"Coconut
Development Board (CDB)" means the Board established under the Coconut
Development Board Act,1979 (Central Act 5 of 1979);
(e)
"Coconut
Producers Company (CPC)" means a federation of association of coconut
farmers and registered or deemed to have been registered under the Companies
Act, 2013 and subsequently registered with the Coconut Development Board;
(f)
"Competent
Authority" means the Deputy Commissioner of Excise of the concerned
district;
(g)
"Farmer
Producers Organization (FPO)" means a Company registered under the
Companies Act, 2013 having minimum of 1000 coconut farmers as its members;
(h)
"Form"
means forms appended to these rules;
(i)
"Horticulture
Department" means the Horticulture Department of Government of Karnataka;
(j)
"Neera
Technician" means trained person in tapping of Neera methodically by
Horticulture Department, Coconut Producers Company or Coconut Development Board
or Farmer Producers Organisation;
(k)
"Licence"
means the permission granted to Coconut Producers Company or Farmer Producers
Organisation by the Competent Authority to extract and collect Neera from the
coconut trees and for manufacture of value added products from Neera and
distribution of Neera and its value added products;
(l)
"Palm
tax" means a specified amount levied in respect of each coconut tree
marked by the marking officer (Revenue Officer not below the rank of Revenue
Inspector) in the licenced coconut garden;
(m)
"Processing
cum Storage Unit" means the room or building specified in the licence for
processing and storing (including cold storage) of Neera and its products;
(n)
"Tree"
means a Coconut tree;
(o)
"Value
added products" from Neera include packed Neera, fresh Neera dispensed
through a cold chain, Neera syrup, Neera honey, Neera jaggery, Neera cookies,
Neera chocolates, Neera candy and Neera sugar or any other products in which
Neera or Neera concentrate or Neera sugar is an ingredient;
(2)
All
other words and expressions used herein and not defined in these rules shall
have the meaning respectively assigned to them in the Act and other rules
framed thereunder.
Rule - 3. Issue of Licence :-
(1)
Licence
under these rules shall be issued by the Competent Authority, for the privilege
of tapping, production, possession and processing of Neera and production of
value added products on payment of an annual licence fee of rupees one thousand
by the applicant.
(2)
No
person shall be eligible for license for Tapping, production, processing
distribution or possession of Neera unless he is a coconut producers company or
farmer producers organization.
(3)
Licence
under these rules shall be issued by the Competent Authority for the
distribution of Neera and its value added products on payment of an annual
licence fee of rupees one thousand by the applicant.
(4)
The
Government reserves the right to declare the number of licences that can be
issued in each district during the financial year, subject to the conditions as
may be specified by the Government from time to time.
(5)
All
licences issued under these rules shall be in force from the 1stday of April to
the 31st day of March of succeeding year. If the licence is obtained on any
date after the first day of April it shall be valid until the 31st day of March
of that financial year.
(6)
No
licence to tap Neera shall be issued to any tappers Society or to any tapper
employed by such Society or individuals except the applicants.
(7)
No
Neera or its value added products shall be manufactured or distributed without
a licence obtained under these rules.
Rule - 4. Conditions for issue of Licence :-
(1)
No
applicant is eligible for the privilege, if he is convicted for any offence
under the Karnataka Excise Act, 1965 and rules made there under or any other
criminal offence and sentenced to imprisonment for more than three years.
(2)
The
application for the grant of licence for the privileges of tapping, production,
possession and processing of Neera and production of value added products shall
be made in Form I and that for the distribution of Neera, value added products
from Neera shall be made in Form III to the Competent Authority. On receipt of
the application, the Competent Authority shall verify the application, and if
the conditions prescribed for the grant of licence are found to have been
complied with, may issue the licence for the privileges of tapping, production,
possession and processing of Neera and production of value added products in
Form II and the licence for the privilege of distribution of Neera and its
value added products may be issued in Form IV. The Competent Authority may
reject the application for reasons to be recorded in writing.
(3)
Coconut
Producer Company or Farmer Producers Organizations shall obtain in principle
approval from Excise Department before establishing the Neera Processing Unit
or a cold chain.
(4)
Any
Coconut Producer Company or Farmer Producers Organizations shall be given
licence only when they set up Neera Processing Unit or a cold chain.
(5)
The
assignment and marking of Coconut trees for tapping shall be in accordance with
the Karnataka Excise (Tapping of Trees) Rules, 1991.
(6)
The
Licensee shall engage only Neera technicians for tapping/ collection of Neera.
(7)
Palm
tax of rupees ten shall be levied on each tree marked for the purpose of
tapping tree.
(8)
The
technology adopted for extracting, transportation and processing of Neera shall
be as specified and approved by the Department of Horticulture.
(9)
The
quality of Neera produced shall be as per the standards adopted by the
Department of Horticulture for quality of Neera.
(10)
Applications
for grant of licence shall be made at least one month before the commencement
of tapping of trees.
(11)
Applications
for renewal of licence shall be made at least one month before the expiry of
licence already granted.
(12)
On
receipt of the application for grant or renewal of licence, the Competent
Authority may require such other particulars as he may deem necessary and may
make inquiries for verification of the particulars furnished by the applicant
and also such other inquiries as he deems fit. In any case, the Deputy
Commissioner of Excise shall take a decision for the grant or renewal of
licence, as the case may be, within fifteen working days from the date of
receipt of application.
(13)
No
Neera shall be drawn except during the currency of such licence.
(14)
The
licensee or his authorised representatives shall not tap any tree in excess of
the number of trees for which he is licensed to tap.
(15)
No
tree shall be tapped nor Neera shall be drawn from any tree, or any
vessels/receptacles be attached for the purpose, until the trees have been
marked by the authorised officer in accordance with these rules.
(16)
The
Transportation of Neera to Processing Unit and to the distribution point is the
responsibility of the Company.
(17)
The
licensee shall be responsible to ensure that Neera is not converted into Toddy.
(18)
Violation
of any of the provisions of these rules is an offence under the Karnataka
Excise Act, 1965 and it is punishable under sub-section (4) of section 32 of
the Act.
Rule - 5. Procedure for taking samples of Neera from processing unit :-
(1)
Neera
samples from the licensed persons shall be periodically drawn for testing the
quality.
(2)
The
Excise Officer not below the rank of Sub-Inspector of Excise of the
jurisdiction may at any time take samples from the fresh Neera drawn, from the
processed Neera kept ready in the storage unit and also from the unit where
Neera is sold and subject it to chemical analysis in the accredited quality
control Laboratories, so as to ensure that it is fit for human consumption and
does not contain any alcohol. Every sample shall be taken in triplicate (in
three bottles separately) labelled as A, B and C. In each bottle 300 ml of
Neera shall be collected. The bottle marked as A shall be sent to the
accredited quality control Laboratory for chemical analysis, B sample shall be
handed over to the licensee for keeping in safe custody in cold storage and C
sample shall be handed over by the Sub-Inspector of Excise of the jurisdiction
to the licensee for keeping in cold storage on his behalf. While taking the
samples, in addition to the seal of the officer concerned, the seal of the
licensee or his representatives shall also be affixed.
Rule - 6. Renewal, Suspension or Cancellation of Licence :-
(1)
The
Competent Authority shall be competent to renew the licence issued under these
rules.
(2)
If
a licensee or any person in his employment contravenes any of the provisions of
the Karnataka Excise Act, 1965 or the rules made there under or the conditions
of the licence, the Competent Authority may suspend or cancel the licence and
the licensee shall not be entitled to claim any compensation for suspension
period or for remaining period of licence:
Provided that, no such Order of suspension or cancellation
shall be passed without giving an opportunity of being heard to the licensee.
Provided further that, in addition to the suspension or
cancellation of licence the concerned Competent Authority may proceed against
such licensee or any person in his employment, in accordance with sub-section
(4) of Section 32 of the Act.
Rule - 7. Licence for Research Purposes :-
Notwithstanding anything contained in these rules, the
Deputy Commissioner of Excise may permit issue of licence for tapping of Neera
for research purposes, subject to such conditions as the Deputy Commissioner of
Excise specify by notification.
Rule - 8. Fine and Penalty :-
(1)
Whoever
manufactures or causes to manufacture Neera or its value added products in
contravention of these rules or any order issued thereunder shall be punished
under sub-section (4) of Section 32 of the Act. Such offender may be prosecuted
before the jurisdictional Judicial Magistrate of First Class (JMFC) Court.
(2)
The
imposition of fine or the cancellation of a licence shall not however relieve
the licensee or his agent from the liability of being prosecuted in the event
of conversion of Neera into Toddy against the provisions of the Act and rules
made there under.
Rule - 9. Appeals :-
(1)
An
appeal against the order of the Deputy Commissioner of Excise under these rules
shall be made to the Deputy Commissioner within ninety days from the date of
passing of the impugned order.
(2)
An
appeal against an order of the Deputy Commissioner under these rules shall be
made to the Excise Commissioner within ninety days from the date of passing of
the impugned order.
(3)
An
appeal against an order passed by the Excise Commissioner shall be made to the
Karnataka Revenue Appellate Tribunal within ninety days from the date of
passing of the impugned order.
Provided that, the Deputy Commissioner or the Excise
Commissioner or the Karnataka Revenue Appellate Tribunal, as the case may be,
may entertain the appeals beyond the period of ninety days on the application
made by the party concerned if sufficient reasons shown to the satisfaction of
the Deputy Commissioner or the Excise Commissioner or the Karnataka Revenue
Appellate Tribunal, as the case may be.
FORM I
(See sub-rule (2) of rule 4)
Application for obtaining privileges
of tapping, production, possession, processing of Neera/production of value
added products.
(1)
Name
of the CPC/ FPO applying for licence. :
(2)
Name
and designation of the person authorised by the CPC/FPO for licencing purpose.
:
(3)
a)
If the applicant is a CPC, registered under the Companies Act, 1956,
registration number with date (copy to be enclosed)
b) If the applicant is a FPO, under
the Companies Act, 2013, registration number with date (copy to be enclosed) :
(4)
Whether
the CPC/ FPO is convicted of any Excise offence or any criminal offence and
sentenced to imprisonment for more than three years. :
(5)
Whether
any Excise arrears pending against the CPC/ FPO, if so whether it is fully
discharged with receipt number and date :
(6)
No.
of Neera technicians employed by the CPC/ FPO.
(7)
No.
of coconut farmers in the CPC/ FPO with the total number of coconut trees
available for tapping :
(8)
Recommendation
of the Horticulture Department/Coconut Development Board (copy to be enclosed)
:
DECLARATION
l/We hereby declare that the information furnished above are
true and correct to the best of my knowledge and belief.
Place:
Date:
Name and signature of the authorised person of the CPC/FPO
Form II
(See sub-rule of (2) of rule 4)
LICENCE FOR THE PRIVILEGE OF
TAPPING, PRODUCTION, POSSESSION AND PROCESSING OF NEERA AND PRODUCTION OF VALUE
ADDED PRODUCTS.
I................ the Deputy Commissioner of Excise of the
................ District hereby grant licence under the provisions of the
Karnataka Excise (Neera) Rules, 2017 to you ................ to tap, produce,
possess and process Neera/production of value added products from Neera in
wholesale in the building situated as shown in the schedule during the period
from the 1st day of April................to the 31st day of
March................ subject to the following conditions, namely:
(1)
The
privilege under this licence includes the privilege of tapping, production,
possession, processing of Neera and the production of value added products from
Neera.
(2)
The
licensee shall point out to the marking officer, the trees approved for marking
without any delay.
(3)
The
licensee or his authorised representatives shall not tap any tree in excess of
the number of trees for which he is granted licence to tap.
(4)
No
tree shall be tapped nor Neera be drawn from any tree or any pot be attached
for the purpose, until the trees are marked by the authorised officer in
accordance with these rules.
(5)
The
licensee shall set up a Neera Processing Unit or a cold chain.
(6)
Neera
shall be drawn only between 6 a.m and 6 p.m.
(7)
No
Neera drawn under this licence shall be sold to any Tappers Society.
(8)
The
licensee shall maintain day to day true accounts of transactions in such
registers as may be prescribed from time to time by the Horticulture
department/Coconut Development Board and shall furnish such information and
statistics as may be called for by the Horticulture department/ Coconut
Development Board and the State Excise Department.
(9)
The
licensee shall not lease out, sell or otherwise transfer his licence under any
circumstances.
SCHEDULE SHOWING THE BOUNDARIES OF
THE LICENCED PREMISES
|
Taluk, Village
|
Building No.
|
Bounded on the
|
|
North by
|
East by
|
South by
|
West by
|
|
|
|
|
|
|
|
Place: Deputy Commissioner of Excise
Date:
FORM III
(See sub-rule (2) of rule 4)
Application for obtaining licence
for the distribution of Neera/value added products from Neera
(1)
Name
of the CPC/ FPO applying for licence. :
(2)
Name
and designation of the person authorized by the CPC/ FPO for licencing purpose.
:
(3)
a)
If the applicant is a CPC, registered under the Companies Act, 1956,
registration number with date (copy to be enclosed)
b) If the applicant is a FPO, under
the Companies Act, 2013, registration number with date (copy to be enclosed) :
(4)
Whether
the CPC/ FPO is convicted of any Excise offence or any criminal offence and
sentenced to imprisonment for more than three years. :
(5)
Whether
any Excise arrears pending against the CPC/ FPO, if so whether it is fully
discharged with receipt number and date :
(6)
Specify
the room/building where the distributor intends to store the products
(7)
Recommendation
of the manufacturer of Neera/value added products, from whom the distributor
intends to purchase stock and distribute and copy of the agreement made between
them :
DECLARATION
l/We hereby declare that the information furnished above are
true and correct to the best of my knowledge and belief.
Place:
Date:
Name and signature of the authorised person of the CPC/ FPO
Form IV
(See sub-rule of (2) of Rule 4)
LICENCE FOR THE PRIVILEGE OF
DISTRIBUTION OF NEERA/ VALUE ADDED PRODUCTS.
I................. the Deputy Commissioner of Excise of the
................. District hereby grant licence under the provisions of the
Karnataka Excise (Neera) Rules, 2017 to you ................. to store and
distribute Neera/value added products from Neera in wholesale for the purpose
of sale/export in the building situated as shown in the schedule during the
period from the 1st day of April .................to the 31st day of March
................. subject to the following conditions, namely:
(1)
The
privilege under this licence includes the privilege of storage, distribution
and sale of Neera and value added products from Neera in wholesale.
(2)
The
licensee shall maintain day to day true accounts of transactions in such
registers as may be prescribed from time to time by the Horticulture
department/Coconut Development Board and shall furnish such information and
statistics as may be called for by the Horticulture department/Coconut
Development Board and the State Excise Department.
(3)
The
product shall not be subjected to any type of adulteration.
(4)
The
licensee shall not lease out, sell or otherwise transfer his licence under any
circumstances.
SCHEDULE SHOWING THE BOUNDARIES OF
THE LICENCED PREMISES
|
Taluk, Village
|
Building No.
|
Bounded on the
|
|
North by
|
East by
|
South by
|
West by
|
|
|
|
|
|
|
|
Place:
Date:
Deputy Commissioner of Excise