No takers for 54 liquor vends in city
The auction of 173 liquor vends conducted by the UT excise and taxation department on Tuesday evoked moderate response with only 119 vends finding takers for 2014-15 financial year.chandigarh Updated: May 28, 2014 12:17 IST
The auction of 173 liquor vends conducted by the UT excise and taxation department on Tuesday evoked moderate response with only 119 vends finding takers for 2014-15 financial year.
A total of 173 vends, both Indian made foreign liquor ( IMFL) 123 a nd country 50 , were put under hammer of which only 119 vends - 91 IMFL and 28 country liquor - were sold. There were no takers for nearly 54 vends - 32 IMFL and 22 country. The de par tment collected Rs 92.32 crore as revenue on the opening of financial bids, which is around 16% higher than revenue generated in the last financial year. Last year, the revenue was Rs 84.20 crore.
Under the new policy, the administration has decreased the number of retail sale vends from 217 to 173 vends, which will be granted licence for a period of 10 months.
The new policy announced on May 12 will remain in force for a period of 10 months commencing from June 1.
UT assistant de puty commissioner (ADC) Tanvi Garg appeared satisfied with the response of the auction. “We have re gistered a g rowth of around 16% as compared to the last year’s opening bid,” Garg said.
Under the new policy, the administration increased the earnest money to be paid along with application by the traders.
For vends up to Rs 60 lakh, the earnest money was increased from Rs 7 lakh to Rs 10 lakh while in case of vends up to Rs 1 crore, the earnest money was enhanced from Rs 10 lakh to Rs 20 lakh. Similarly, for vends above Rs 1 crore to Rs 1.5 crore, the earnest money saw a jump from Rs 13 lakh to Rs 30 lakh. For shops above Rs 1.5 crore to Rs 2.5 crore, the earnest money was increased from Rs 25 lakh to Rs 40 lakh.
Last year, the administration had incurred a loss of around
Rs 60 crore after it failed to sell nearly 90 vends of the total 217, despite repeated attempts. For attracting bidders, the department had even reduced t he reserve price of vends by 30%.