BENGALURU: Closure notices have been issued to hundreds of liquor vends in Bengaluru and across Karnataka ahead of the July 1 ban on sale of liquor within 500 metres of a highway. With no relief from the Centre on denotifying highway stretches in the state, shutters are likely to come down on liquor establishments on MG RoadBrigade Road, Church Street, Indiranagar and areas around Hosur Road.

The Karnataka excise department has been issuing closure notices to liquor licence holders since June 22.The notice, a copy of which is with TOI, reads: “...As per the SC order, we are instructed to close any shop selling alcohol within 500 metres from national and state highways by June 30. The relaxation (under Karnataka Excise Act) that liquor could be served in these areas given that they are within the city and have a population of more than 20,000 has also been struck down.“ The Karnataka government is sending a team to Delhi on Tuesday in a bid to convince the central authorities to denotify the six national highway stretches running through Bengaluru. Also, the CM said the government was seeking legal advice, a day after the law minister said a review petition would be filed in the apex court, should the Centre reject the state's proposal.

Barring an intervention, guzzlers in India's pub capital are looking at house parties or neighbourhood bars far away from the highways.

The deputy commissioners of excise from different zones have started enforcement of the SC ruling in the city. The move will result in a huge dent in the department's pockets. On an average, the excise department earns Rs 500 crore to Rs 600 crore in licence fees. “With closure of these outlets, we are looking at a licence fee loss of Rs 50 crore to Rs 100 crore,“ additional excise commissioner Rajendra Prasad told TOI.

The department, which had a target of Rs 18,050 crore for the year -including Rs 7,220 crore from Bengaluru -is staring at a revenue loss of Rs 5,000 crore due to closure of bars across the state. Around 40% of that loss will be from closures in Bengaluru.

Some 11% of the department's revenue comes from beer, and 85% of it is through duty levied on sale of IML (Indian-made liquor).Confusion over challans A day before the closure notices began to go out, the excise department issued challans for licence renewal to these establishments, leaving several owners confused.

“I think we may get the licence renewed because we have been issued the challan, but I have also got the closure notice. I am meeting the excise inspector on Tuesday,“ said a retail licence holder who would have to pay Rs 7 lakh for renewal.

Prasad, however, said there was no question of licence renewal unless the shops shifted from 500 metres of highways in the city. “We are ready to renew the licence if they relocate to a different address,“ he said.

Bar and pub owners feel that with six highways crisscrossing the city, there is no place for relocation. A general manger from a five-star hotel said, “There is a lot of confusion over which is a highway and which is not... We are in talks with NHAI and the state government. We hope to remain operational.“

While waiting to see if the state team in Delhi delivers, some bar owners have decided to move court. “We feel we are not being represented correctly. If no solution emerges, we will approach the court, explaining how these stretches of the roads are not highways and the ban around them must be relaxed,“ said G Honnagiri Gowda, president of Karnataka Wine Merchants' Association. One of Gowda's liquor outlets has been served a closure notice. The National Restaurant Association of India , on the contrary, is not looking at legal recourse.

“All we can do is pressure the government, whose job it is to resolve the issue. If they had acted early, we wouldn't be in this situation,“ said Ashish Kothare , member of the association's management committee.



In Video: Bengaluru no more Pub City? Outlets get closure notice