Chandigarh announces fresh auctions for allotment of 48 liquor vends
PTC News Desk: Amid ongoing controversy surrounding the allotment of 96 liquor vends, the UT Excise and Taxation Department has announced plans to conduct a fresh auction for 48 of the shops.
The department revoked the licences of 47 liquor vends last night after the allottees failed to provide the required bank guarantees totaling Rs 40 crore, as stipulated in the Excise Policy 2025-26. Officials stated that one additional licence was cancelled today.
Additionally, the liquor vend in Sector 20 may also be included in the re-auction, as the bidder mistakenly submitted an unusually high bid of Rs 55.50 crore against the reserve price of Rs 7.50 crore. If the bidder does not pay the licence fee, the department will forfeit the Rs 25 lakh earnest money, cancel the licence, and re-auction the vend.
According to Clause 21 of the policy, every successful bidder must submit a bank guarantee equal to 15% of the licence fee within seven working days of being allotted a vend. Failure to comply results in the cancellation of the allotment and forfeiture of the security deposit.
Darshan Singh Kler, president of the Chandigarh Wine Contractors Association, had raised concerns about cartelization in the initial auction. He claimed that out of the 96 liquor vends, 87 were awarded to just two or three individuals who participated using different companies or through their relatives, associates, and employees.
- PTC NEWS
