[1][THE
KERALA ABKARI (DISPOSAL OF CONFISCATED ARTICLES) RULES, 1996] In exercise of the
powers conferred by sub-section (1) and clause (q) of subsection (2) of section
29 of the Abkari Act I of 1077, and in supersession of the rules published
under Notification dated 31st Edavam 1079 ME (13th June, 1901) in the Cochin
Gazette dated 26th Mithunam, 1079 ME, the Government of Kerala hereby make the
following Rules for the disposal of confiscated articles, namely:- (1)
These
rules may be called the Kerala Abkari (Disposal of Confiscated Articles) Rules,
1996. (2)
They
shall extend to the whole of the State of Kerala. (3)
They
shall come into force at once. In these rules, unless the context otherwise
requires:- (a)
"Act"
means of the Abkari Act 1 of 1077; (b)
"Ethyl
Alcohol" means the liquid having the chemical formula C2H5OH, also known
as ethanol; (c)
"Higher
alcohol" means all alcohol other than ethyl alcohol; (d)
"Methyl
alcohol" means the liquid having the Chemical formula CH3OH. Its other
chemical names are methanol, carbinol, and methyl hydrate and it includes wood
naptha, wood spirit, wood alcohol, pyroxylic spirit and pyroligenous spirit. (e)
"Molasses"
means the heavy dark coloured residual syrup drained away in the final stage of
manufacture of gur or sugar, containing in solution or suspension sugars which
can be fermented; (f)
"Specified
distillery" means the public sector distilleries or other distilleries to
be specified by Government; (g)
"Wash"
means a sacharine solution from which spirit is obtained by distillation. It
also includes fresh wash or wort; (h)
"Wort"
or "fresh wash" means a mixture of water and sacharine material
before fermentation; All other words and expression used herein
and not defined in these rules shall have the meaning respectively assigned to
them in the Act. When an order for confiscation of any
property passed under section 67B or section 67E or section 67F of the Act has
become final in respect of the whole or any portion of such property and such
property or portion thereof as the case may be, had vested in the
Government free from all encumbrances in pursuance of section 67H of the Act,
it shall be sold or disposed of or destroyed by the Officer in charge of the
Excise Division after observing the procedure prescribed in these rules. (1)
(a)
When an authorised officer adjudging a confiscation of cart, vesselor other
conveyance under section 67E or 67F of the Act offers the owner of such
property the option of paying in lieu of confiscation, a fine equivalent
to the market value of the cart, vessel or other conveyance as fixed by the
Mechanical Engineer of the Excise Department or any Mechanical Engineer of and
above the rank of an Assistant Executive Engineer of the Public Works
Department of the State, and if the owner of such property agrees to accept
such option, he shall be required to pay forthwith such sum as may already have
been spent towards the safe custody and upkeep of such property, and to deposit
such further sum as may appear likely to be required for such purposes until
the payment of the fine. (b) A period of fifteen days shall be allowed
for the payment of such fine, if the fine is paid within such period, the
property shall at once be released to the owner together with such part of the
sum so deposited as may remain unspent on such purposes, and, if the fine is
not paid within the said period of 15 days, the order of confiscation shall
remain in full effect in the same way as if no option of the payment of a fine
had been offered. (c) There shall be no appeal against
adjudication of an optional fine. (d) An appeal may be preferred against the
amount of such fine provided that the fine has already been paid. (2)
(a)
The cart, vessel or other conveyance liable to be confiscated under the Act may
be released temporarily by the authorised officer to its owner on depositing an
amount equivalent to the market value of the cart, vessel or other conveyance,
fixed by the Mechanical Engineer of the Excise Department or any Mechanical
Engineer of and above the rank of an Assistant Executive Engineer of the Public
Works Department of the State in the Treasury Savings Account in favour of the
Commissioner of Excise. (b) The cart, vessel or other conveyance so
released (temporarily) shall be produced before the Authorised Officer when
final order of confiscation is passed by the Competent Authority and
communicated to the owner of such property by Registered Post. (3)
(a)
As and when the owner of the cart, vessel or other conveyance produces the same
before the Authorised Officer, he shall reassess the market value of such cart,
vessel or other conveyance in the like manner detailed in sub-rule (i) (b) If the reassessed market value of the
cart, vessel or other conveyance is found to be less than the original market
value so fixed at the time of temporary release, the difference between the two
market value of the same shall be adjusted from the deposit already made and
credited to the proper head of account of the Excise Department and the balance
amount due to the owner shall be released to him or in the case of death of the
owner, to his legal heirs on production of necessary evidence in support of
their claim as the case may be. within three months from the date of death of
the owner. (c) If no person has appeared to receive the
sum so placed in deposit. it shall be forfeited to Government: Provided that the Authorised Officer
concerned shall forfeit the entire deposit made under sub-rule (2), if the
owner fails to produce before the Authorised Officer the cart, vessel or other
conveyance temporarily released to him, within 15 days from the date of
communication to produce the same. (1)
(a)
Whenever potable spirit exceeding permissible limit is seized /detained under
the Act, it shall be confiscated by the authorised officer, after following the
procedure. (b) If, after chemical examination, the
confiscated spirit is found fit for human consumption, the same shall be
disposed of in open auction to the arrack shop contractors. (c) The concerned Assistant Excise
Commissioners shall be the Auctioning Officers. (2)
Current
arrack shop licensees who produce certificates from the concerned Excise
Inspectors with the specimen signature of the licensee duly attested shall be
allowed to participate in the auction. (3)
(a)
Each intending bidder shall deposit a sum of Rs. 1000 (Rupees One thousand
only) as earnest money with the Auctioning Officer concerned in advance before
the time fixed for auction and shall obtain a receipt in Form No. T.R. 5 from
that officer. (b) The earnest money so deposited shall be
refunded to the unsuccessful bidders as soon as possible after the auction, on
production of original cash receipt therefor which shall be cancelled
immediately. (c) The successful bidder shall immediately
remit the entire bid amount and the sales tax thereof and in case he fails to
do so, the earnest money deposited by him shall be forfeited to Government by
the Auctioning Officer and the next highest bidder shall be declared as the
successful bidder. (d) The earnest money deposited by the
successful bidder shall be credited towards the bid amount and the balance
amount of earnest money deposit if any, shall be refunded to the bidder on
proper receipt. (4)
(a)
The upset price per bulk litre of spirit may be fixed at Rs. 30 (Rupees thirty
only) or any other amount that may be fixed by Government from time to time. (b) If the quantity of the potable spirit put
up for, auction exceeds 2000 bulk litres, the Officer conducting the sale may,
if necessary, divide it into convenient lots and put up to auction separately. (5)
(a)
The Officer conducting the sale, as the auction proceeds, should enter in the
sale list against each item put up for the auction the name of the person
declared by him to be the auction purchaser and the amount of his bid. (b) The sale list shall be signed and dated
at the place of sale by the Officer conducting the sale and by the persons
declared by him to be the auction purchasers. (6)
The
auction records in original shall be forwarded to the Excise Commissioner,
Board of Revenue immediately after the auction. (7)
The
Excise Commissioner, Board of Revenue is empowered to confirm the auction, if
the auction amount is higher than the upset value. (8)
The
spirit may be released to the highest bidder as soon as the confirmation is
received from the Board of Revenue (Excise). (9)
If
there is no bid at the upset price or above, the spirit shall be transported to
the nearest specified distillery within 24 hours of auction. (10)
(a)
The confiscated spirit shall be accompanied by the certificate issued by the
Chief/Regional Chemical Examiner to Government to show that such spirit is fit
for human consumption. (b) The Chief/Regional Chemical Examiner to
Government issuing such certificate shall give top priority in analysing the
samples of spirit confiscated and sent to him for examination. (11)
The
price of spirit so transferred shall not be less than the price of imported
potable spirit: Provided that the price can be reduced in
proportion to the strength of spirit so transferred against the approved
strength, based on ISI specification. (12)
(a)
The cost of transportation of spirit from the custody of Excise Department to
the nearest public sector distillery will be met from the contingencies by the
concerned Assistant Excise Commissioner. (b) The amount so incurred for the
transportation of spirit from the Excise custody to the said distillery shall
be collected from the distillery under proper receipt on production of actual
vouchers. (c) The amount so received shall be remitted
by the Excise Office who collects it, to the concerned Revenue Head, on the
next working day itself in the Treasury nearest to the distillery concerned. (13)
(a)
The distillery will forthwith remit the price of spirit after deducting the
cost of transportation mentioned in sub-rule (xii) in the Government Treasury
under the specified head of account by means of a challan duly countersigned by
the Distillery Officer. (b) "Issue Permits" for arrack
supply for the month after which the spirit is utilised by the distillery shall
not be issued by the Distillery Officer without production of proof of payment
to the above Head of Account by the Distillery. (14)
The
Auctioning Officer shall give wide publicity to the auction in the newspapers
through the District Information Officer concerned so as to make adequate
participation in the auction procedure. (15)
The
Auctioning Officer shall follow the procedure of auction prescribed under
sub-rules (3), (5) and (6) of rule 5 also in respect of the auction of
confiscated articles mentioned in rule 16 and 17 of these rules. (1)
(a)
In the case of denatured spirit, a sample of not less than 500 ml. shall be
sent to the Chief/Regional Chemical Examiner to Government of Kerala for
analysis to verify whether it confirms to the specification of denatured spirit
permitted for sale. (b) If the analysis shows that the
confiscated denatured spirit conforms to such specifications, it shall be sold
to the highest bidder, provided he holds a current licence for the wholesale of
denatured spirit. (c) If no adequate bid is received in
auction, such spirit shall be transported to the specified Distillery for
disposal. (2)
(a)
The price of denatured spirit so transferred and the reimbursement towards cost
of denaturing shall be fixed by the Commissioner of Excise from time to time. (b) The loss in storage, processing,
evaporation etc., as certified by the Distillery Officer will be treated as
wastage for which the Distillery will not be held liable. (3)
(a)
If the chemical analysis shows that the confiscated denatured spirit does not
conform to the specifications, the distillery to which it is transferred shall
convert the same to the required specifications. (b) In such a case the Distillery can reduce
the actual cost incurred by it from the price of the denatured spirit due to
Government. (4)
(a)
The cost of transportation of denatured spirit from the custody of the Excise
Department to the Distillery will be met from the contingencies by the
Assistant Excise Commissioner. (b) The amount so incurred for the
transportation of denatured spirit from the Excise custody to the Distillery
shall be collected from the Distillery under proper receipt on production of
actual vouchers. (c) The amount so received shall be remitted
by the Excise Officer who collects it, to the concerned Revenue Head, on the
next working day itself in the nearest Treasury of the concerned Distillery. All confiscated Methyl alcohol or higher
alcohol except ethyl alcohol shall be destroyed. Confiscated toddy whether fermented or not,
shall be destroyed. (1)
Confiscated
arrack shall be destroyed if it is less than 5 litres. (2)
In
all other cases sample of such arrack shall be sent to the Chief/ Regional
Chemical Examiner to the Government of Kerala for analysis to verify whether it
conforms to the specification of arrack permitted for sale. (3)
If
the analysis shows that the confiscated arrack conforms to such specifications
and certified to be fit for human consumption; it shall be sold to the highest
bidder, provided he holds current licence for the sale of arrack. Confiscated wash and wort shall be destroyed. (1)
(a)
Confiscated Molasses, if deemed fit for use, may be sold, to any person holding
a licence for the sale or use of the same. (b) The price of the same shall be fixed by
the Commissioner of Excise. (2)
Where
molasses cannot be sold, it shall be destroyed. Confiscated Chloral Hydrate having the
chemical formula C2 H3 O2 C13 shall be destroyed. (1)
All
confiscated toilet preparations, perfumes and essences containing alcohol other
than essences used in the manufacture of potable liquors shall be sold in
public auction: Provided that where such articles are not of
the nature, quality and substances which they purport to be shall be destroyed. (2)
Essences
containing alcohol used in the manufacture of potable liquors shall be
destroyed. (1)
All
other confiscated liquors except those mentioned in the foregoing rules shall
be destroyed, if the same are less than 5 Bulk litres. (2)
Quantity
exceeding 5 Bulk litres shall be transferred to specified distillery for redistillation
and conversion into denatured spirit. (3)
The
distillery can reduce the actual cost on redistillation and conversion of
confiscated liquor into denatured spirit from the price of denatured spirit. (4)
The
cost of transportation and its remittance will be met as specified in sub-rule
(12) of rule 5. (1)
Whenever
the quantity of confiscated liquor specified in rules 5,6 and 14 is less than
1000 Bulk litres, it shall be transported under the orders of the concerned
Deputy Excise Commissioner to a specified collecting centre for being
transported to the Distillery concerned as and when/ sufficient quantity is
collected for an economic transportation. (2)
The
liquor so collected shall be transported to the concerned Distillery by the
Assistant Excise Commissioner in whose jurisdiction the collecting centre is
situated, in accordance with the provisions of these rules (1)
The
carts, vessels and other conveyances confiscated under the Act shall be
disposed of in public auction within one month from the date of such orders
becoming absolute. (2)
If
the sale amount of such carts, vessels or other conveyances is less than the
upset price fixed by the Mechanical Engineer of the Excise Department or any
Mechanical Engineer of and above the rank of an Assistant Executive Engineer of
the State Public Works Department, prior sanction of the Commissioner of Excise
shall be obtained for such sale. (1)
(a)
All confiscated articles other than those dealt with in the preceding rules and
which are deformed and made useless as per sub-rules (2) and (3) shall, unless
otherwise directed by the Commissioner of Excise, be put up to auction and sold
to the highest bidder after giving wide publicity. (b) If the market value of the confiscated
articles put to auction, exceeds Rs. 2000, wide publicity through newspapers
also should be given. (c) If there is no bid, then also, they shall
be destroyed under the orders of the Commissioner of Excise. (2)
Stills
and all implements and apparatus for the manufacture of liquor or intoxicating
drugs shall be broken up or rendered useless before being offered for sale. (3)
Confiscated
utensils and such other articles of metal shall, in the presence of Assistant
Excise Commissioner, be broken up or rendered unless before they are offered
for sale. The sale or other disposal of confiscated
articles shall be deferred till the period of limitation for appeal against the
order of the Court, Commissioner of Excise, Joint Excise Commissioner, or any
other Officer ordering confiscation has expired or if an appeal is made against
such order, till that appeal is finally disposed of: Provided that. (a) in the case of confiscated
animal, the sale shall not be so deferred unless the owner thereof deposits
with the Authorised Officer such sum as that Officer deems to be sufficient for
the feeding and upkeep of such animal till the end of the period required for
preferring an appeal or till the disposal of such appeal, as the case may be; (b) If the article confiscated is liable to
speedy and natural decay or if the disposal thereof would be for the benefit of
the owner, it may be sold immediately and if the sale of such thing is not
advantageous to the owner, the Authorised Officer may direct it to be
destroyed. (1)
If
an order of confiscation of any article is reversed on appeal, such articles or
the sale proceeds thereof and the balance of the amount if any deposited for
feeding, upkeep, or safe custody in case of animals, after deduction of the
expenditure if any, incurred in its maintenance, shall be returned to the owner
thereof, or his duly authorised agent. (2)
If
no one is appearing within two months from the date of the order on appeal, to
claim such article or the sale proceeds thereof, the same shall vest with the
Government free from all encumbrances. Any property confiscated in a case compounded
under section 67 of the Act, shall be disposed of in accordance with these
rules. The sale proceeds of all confiscated articles
shall be paid into the nearest Government Treasury on the next working day
itself. Whenever any confiscated article has to be
destroyed in conformity with these rules, it shall be destroyed in the presence
of the officer ordering the confiscation or in the presence of an Excise
Officer not below the rank of a Circle Inspector of Excise. The Commissioner of Excise may, with the
previous sanction of the Government retain or allot confiscated vehicles which
are vested in Government free from all encumbrances, for the use of the Excise
or other Department and the value thereof, as assessed by the competent
authority, shall be credited to the departmental revenue by per contradebit to
the expenditure head of account of the other Departments to which the
confiscated articles is allotted. An appeal against the orders of an Authorised
Officer made in exer-cise of the powers conferred by the Act or these rules,
shall lie to the Joint Excise Commissioner, provided that the appeal shall be
filed within 30 days from the date of communication of such order to the owner
of such property. (1)
The
Commissioner of Excise may, before the expiry of thirty days from the date of
an order passed under the Act or these rules by the Authorised Officer or the
Appellate Authority, suomotu call for and examine the records of that order and
may make such inquiry or cause such inquiry to be made and pass such orders as
he may deem fit: Provided that the Commissioner of Excise
shall not call for and examine the records of any order passed under these
rules by the Authorised Officer if an appeal against such order is pending
before the Appellate Authority: Provided further that no order prejudicial to
any person shall be passed under these rules without giving him an opportunity
of being heard. (2)
An
order of the Commissioner of Excise under sub-rule (1) shall be final. [1]
Issued under G.O. (P) 46/96/TD dated 11-3-1996, Pub. in. K.G. Ex. No. 368 dated
11-3-1996 as SRO 263/96.THE KERALA ABKARI (DISPOSAL OF
CONFISCATED ARTICLES) RULES, 1996
PREAMBLE