M/S. Kedia Distilleries vs. State Of Telangana

Original PDF →
WP/32301/2026HC TelanganaGSTCNR HBHC01066516202628 September 2026Bench: NAMAVARAPU RAJESHWAR RAO7 pages
For Petitioner: SRI S. RAVI REPRESENTING, M/S R.S. ASSOCIATESFor Respondent: AGp FOR PROHIBITION EXCISE
AI SummaryRemanded

Facts

M/s. Kedia Distilleries (Petitioner) sought a Writ of Mandamus against the State of Telangana and the Commissioner of Prohibition and Excise (Respondents) for their inaction in considering the Petitioner's request for extension/renewal of a Letter of Intent (LOI) dated 03.04.2023. The Petitioner had initially applied for establishing a distillery in 2016. Following a previous writ petition (W.P.No.16571 of 2017), the Government agreed to issue an LOI. The LOI was granted for manufacturing Rectified Spirit/Extra Neutral Alcohol. Due to the original site being unsuitable, the Petitioner sought extensions and informed the Respondents about an alternative site, acquiring land there. Despite submitting multiple representations and reminders for extension/renewal of the LOI, and also submitting a fresh application for grant of LOI, the Respondents took no decision. The Petitioner, aggrieved by this inaction, filed the present writ petition.

Held

The Court, without expressing any opinion on the merits of the case, directed Respondent No.1 (State of Telangana) to consider the representation dated 09.12.2024 submitted by the Petitioner. The Court further directed that appropriate orders should be passed in accordance with the law, as expeditiously as possible, preferably within a period of ten (10) weeks from the date of receipt of a copy of the order. The Writ Petition was disposed of with this direction. The Court did not decide on the legality or arbitrariness of the inaction, nor did it delve into the merits of the Petitioner's claim for extension or renewal of the LOI. The primary decision was to direct the authority to consider the pending representation.

Key Issues

1. Whether the inaction of the Respondents in considering the Petitioner's request for extension/renewal of the Letter of Intent bearing Cr.No.270/2016/CPE/G1, dated 03.04.2023, is illegal, arbitrary, unreasonable, and violative of Articles 14 and 19(1)(g) of the Constitution of India? Petitioner's Contention: The Petitioner argued that the Respondents' failure to consider their representations for extension/renewal of the LOI and the pending application for a fresh LOI constitutes illegal and arbitrary inaction, violating their fundamental rights. They sought a direction for the Respondents to consider and dispose of these representations and applications by passing a reasoned order. Respondents' Contention: The learned Assistant Government Pleader for Prohibition and Excise submitted that the Petitioner's representation dated 09.12.2024 would be considered, and appropriate orders would be passed in accordance with the law.

AI-generated summary — verify with the full judgment below

Cause title — parties, addresses and appearances
[ 33041 IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Jurisdiction) MONDAY, THE TWENry EIGHTH DAY OF SEPTEMBER TWO THOUSAND AND TWENTY SIX PRESENT THE HONOURABLE SRI JUSTICE NAMAVARAPU RAJESHWAR RAO WRIT PETITION NO: 32301 OF 2026 Between: M/s. Kedia Distilleries,, Unit at Vada Palli (V1, Damercherla (M), Nalgonda District, Telangana, Represented by its Managing Partner Shri Niranjan Lal Agarwal, S/o. Late Shri Ramswaroop Agarwal, R/o.710, Varuna Block, Nawadweepa Apts, My Home, Madhapur, Hyderabad-500081. ...PETITIONER AND 1. State of Telangana,, Represented by its Principal Secretary, and Excise Department, Secretariat, Hyderabad. 2. The Commissioner of Prohibition and Excise,, Government of Telangana, Abkari Bhavan, Nampally, Hyderabad, Telangana-500001 ...RESPONDENTS Petition under Article 226 of the Constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue an appropriate writ, order or direction, more particularly one in the nature of Writ of Mandamus, declaring the inaction on the part of the Respondents in not considering the request of the Petitioner for extension/renewal of Letter of lntent bearing Cr.No.270l2016lCPElG1, dated 03.04.2023, as illegal, arbitrary, unreasonable and violative of Articles 14 and 19(1)(g) of the Constitution of lndia and consequently direct the Respondents to consider and dispose of the representations made by the Petitioner, particularly the representation dated 0911212024 and the subsequent representations/reminders, for extension/renewal of the said Letter of lntent as originally granted, and further consider the application pending before the *"==; Assistant commissioner of Prohibition and Excise (Distille.ies) vide cr No. cl234l2023lAcDH-lllEx dated 28.02.2026 for grant of Lol, by passing a reasoned and speaking order within a time frame to be stipulated by this Hcnourable court Counsel for the Petitioner: SRI S. RAVI REPRESENTING M/S R.S. ASSOCIATES Counsel for the Respondents: AGp FOR PROHIBITION EXCISE

The Court made the following: ORDER

IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD THE HON'BLE SRI JUSTICE NAMAVARAPU RAJESHWAR RAO DATE:24.09.2026 WRIT PETITION No,32301 OF 2026 (CNR No.HBHCO10565162O26) Between: M/s. Kedia Distilleries AND State of Telangana, Represented by its Principal Secretary, Prohibition and Excise Department, Secretariat, Hyderabad and another. ...Petitioner ...Respondents ORDER This Writ Petition has been filed seeking the following relief: ....to issue an appropriate writ, order or direction, more particularly one in the nature of Writ of Mandamus, declaring the inaction on the part of the Respondents in not considering the request of the Petitioner for extension/renewal of Letter of Intent bearing Cr.No.270/2016/CPE/G1, dated 03.04.2023, as illegal, arbitrary, unreasonable and violative of Articles 14 and 19(1)(fl of the Constitution of India; and consequently direct the Respondents to consider and dispose of the representations made by the Petitioner, particularly the representation dated 09,12.2024 and the subsequent representations/reminders, for extension/renewal of the said

Letter of Intent as originally granted, and furthe'r consider the application pending before the Assistant Comn'issioner of Prohibition and Excise (Distilleries) vide Cr No. C/234/2023/ACDH-II/Ex dated 28.02.2026 for grant of LOI, by passing a reasoned and speaking order within a time frame to be stipulated by this Hon'ble Court; and pass..'

2.

Heard Sri S. Ravi, learned Senior Counsel representing R.S. Associates, appearing for the petitioner, and Mr. P. Vishal Kumar, learned Assistant Government Pleader for Prohibition and Excise, appearing for the respondents.

3.

The brief facts of the case are that the petitioner il; registered under the Goods and Services Tax and obtained IEM No.IEM/,\/ ACK/67L612024 dated 28.03.2024 for distilling, rectifying and blending of spirits' The petitioner submitted an application dated 72.07 2016 along with Challan No.125812 dated 12.01.2016 for Rs.20,00,000/- for establishment of an RS/ENA producing distillery at Kankal Village, Pudur Mandal, Ranga Reddy District. Pursuant to W.P.No.1657l of 2017, the Government, by Memo dated 01.04.2023, agreed for issuance of Letter of Intent to the Petitioner and the Director, Prohibition and Excise issued Letter of Intent bearing Cr.No.270/2016/CPE/Gt dated 03.04.2023 for manufacture of Rectified Spirit/Extra Neutral Alcohol vvith a capacity oF 360 lakh BLs per annum. As the original site was found technically unsuitable, the petitioner submitted representations oated 29.09.2023, 03.01.2024 and 24.07.2024 seeking e5tension of time and informed the J respondents about the alternative site at vadapalli village, Damaracherla Mandal, Nalgonda District, and thereafter acquired the rand under sale Deeds dated 24.04.2024 and 15.05.2024. 4. The petitioner submitted further representations dated 08.07.2024, L3.09.2024, 04.LL.2024 and 09.t2.2024 and subsequent reminders seeking extension/renewal of the Letter of Intent, but no decision was taken by the respondents. The petitioner also remitted Rs.20,00,000/- vide challan No.6401163641 dated 03.07 .2024 and submitted an application dated 28.02.2026 vrde Cr.No.c /234/2023/ACDH-II/Ex for grant of LoI, which is pending consideration. w.p.No.1657l of 2ol7 was disposed of as withdrawn on 22.04.2026 with liberty to approach this Court in respect of the surviving and subsequent cause of action. Aggrieved by the continued inaction of the respondents, the petitioner filed the present Writ petition. 5 Learned senior counser appearing for the petitioner submits that the respondents may be directed to consider the petitioner,s representation dated 09.I2.2024 and pass appropriate orders in accordance with law.

6.

Learned Assistant Government pleader for prohibition and Excise submits that the representation dated og.72.2024 submitted by the petitioner would be considered and appropriate orders wourd be passed in accordance with law.

-l

7.

In view of the submissions made by the learnecl counsel for the respective parties, this Court, without expressing an) opinion on the merits of the case, directs respondent No.1 to consider tie representation dated 09.12.2024 submitted by the petitioner and pass appropriate orders in accordance with law, as expeditiously as possible, preferably within a period of ten (10) weeks from the date of rer:eipt of a copy of this order.

8.

With the above direction, the Writ Petition is disposed of. There shall be no order as to costs. As a sequel, miscellaneous applications pending, if any, in this Writ Petition, shall stand closed. K.V.O. NARSI BABU ASSISTANT REGISTRAR //// SECTION OFFICER To,

1.

The Principal Secretary, and Excise Department' State of Telangana'' Secretariat, HYderabad.

2.

The Commissioner of Prohibition and Excise,, Government of Telangana' - nOt<arl Bhavan, Nampally, Hyderabad, Telangana-500001

3.

One CC to M/s. R S. Associates, Advocate [OPUC]

4.

Two ccs to GP for Prohibition Excise, High court for the state of Telangana' at Hyderabad [OUT]

5.

Two CD CoPies TJ PSK

HIGH COURT DATED: 2810912026 CC TODAY c 51ATE gi rtI s .\: A-\\' li3 $1 \";. -\\'. 1 \\'-l': ' \. ORDER WP.No.32301 of 2026 DISPOSING OF THE WRIT PETITION WITHOUT COSTS. +L 10 \'

Reproduced from the public record of the Telangana High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.