The Delhi High Court has come to the rescue of Hauz Khas Social, a popular South Delhi restaurant, allowing it to continue serving liquor after its operations were abruptly halted by the excise department.
The court criticized the actions of both the excise department and the Delhi Police, calling them “misconceived” and unfair.
What Happened?
Hauz Khas Social, run by Epiphany Hospitality Pvt. Ltd., had its liquor service stopped on April 3 after an inspection by the excise department. Officials claimed the restaurant lacked a valid “Eating House License” and ordered it to halt alcohol sales, even though it had a valid liquor license until March 31.
The restaurant argued that it had already applied to renew its Eating House License and submitted all required documents, but the Delhi Police had been delaying the renewal process.
Police Show Cause Notice
Instead of renewing the license, the Delhi Police issued a show cause notice in February, alleging that the restaurant was serving liquor illegally within 100 meters of a school and temples—based on a report from the fire department. Hauz Khas Social responded to the notice in February, but no further action was taken.
Then in April, the excise department stepped in, seized their liquor stock, and issued another show cause notice, demanding an explanation and ordering a temporary suspension of liquor service.
Court’s Verdict
Justice Sachin Datta stated that the delay by the Delhi Police in issuing the necessary reports should not be held against the restaurant. He emphasized that as per the Delhi Eating House Regulations, 2023, the restaurant should be allowed to continue operations until their license is either officially renewed or denied.
The court clarified that Hauz Khas Social will be considered “duly registered” until a final decision is made on its license renewal, effectively allowing the restaurant to resume liquor service.
