TAMIL NADU DENATURED SPIRIT METHYL ALCOHOL AND VARNISH (FRENCH POLISH) RULES, 1959 (UPDATED) 1 NOTIFICATION APPENDIX I In exercise of the powers conferred by Sections 4, 16, 17,17C, 17D, 17E, 18B, 18C, 21 and 54 of the Tamil Nadu Prohibition Act and in supersession of the Madras Denatured Spirit, Methyl Alcohol Rules, 1930, published with Revenue Department Notification No.216, dated 16 th January, 1930 at pages 284-295 of Part I of the Fort St. George, Gazette dated the 07 th march 1939, as subsequently amended and of the rules regarding the manufacture, import, use and sale of varnish published with the late Development Department Notification, dated the 10 th December, 1952, at pages 513 to 520 of the Rules supplement to Part I of the Fort Saint George Gazette, dated the 31 st December, 1952 as subsequently amended and also in supersession of Home Department Notification No.200, published at pages 371-372 of Part I of the Fort Saint George Gazette, dated the 24 th March, 1954 and Home Department Notification No.14, published at Page 9 of Part I of the Fort Saint George Gazette, dated the 04 th January, 1956 permitting K.C.P. Limited, Vuyyuru, Andhra Pradesh and Indian Sugars and Refineries Limited, Hospet, Mysore State respectively to store at a private godown in Chennai, denatured spirit issued from their distilleries and intended for export from the Chennai Harbour, the Governor of Tamil Nadu hereby makes the following rules:- G.O.(MS.) No.50, Prohibition and Excise (III), dated 18-2-2002 In exercise of the powers conferred by Section 16 of the Tamil Nadu Prohibition Act, 1937 (Tamil Nadu Act X of 1937), the Governor of Tamil Nadu hereby cancels the Prohibition and Excise Department Notification No.10(2)/PE/5200(a)/84, dated the 4 th September 1984, published at page 1 in part II- Section 2 of the Tamil Nadu Government Gazette, Extraordinary, dated the 5 th September 1984.
G.O.(MS.) No.51, Prohibition and Excise (III), dated 18-2-2002.
Accordingly the Government made necessary amendments.
TAMIL NADU DENATURED SPIRIT, METHYL ALCOHOL AND VARNISH (FRENCH POLISH) RULES, 1959 1 Short Title and Commencement
(1) These rules may be called the Tamil Nadu Denatured Spirit Methyl Alcohol and Varnish (French Polish), Rules, 1959.
(2) These rules shall come into force on the 1 st April 1959.
2 Definitions
(1) In these rules, unless there is anything repugnant in the subject or context.
(a) The „Act‟ means the Tamil Nadu Prohibition Act, 1937.
(aa) „Collector‟ means the Collector of the Revenue district.
2
(b) „Commissioner‟ means the Commissioner of Prohibition and Excise, Chennai
(c)(i) G.O.(Ms.) No. 128, Prohibition and Excise (III) Department dated:
7.7.2003.
„Denatured Spirit‟ means spirit subjected to any one of “following procedure with the addition of one gram of Denatonium Saccharide or Denatonium Benzoate for the purpose of rendering it unfit for human consumption”
(i) the admixture of light caoutchoucine and pyridine bases in the proportion of half a litre of light caoutchoucine and half a litre pyridine bases with 99 litres of spirit of strength not less than 60 o Over Proof.
Provided that during the periods, when pyridine bases are not available in the market, 1.5 litres of light caoutchoucine can be added to 98.5 litres of spirit, instead of half litre of Light Caoutchoucine + one and half litres of pyridine bases, with the prior approval of the Commissioner.
(ii) the addition of 4 litres of formalin to 96 litres of Rectified Spirit of 66 o Over Proof strength.
(iii) the addition of liquid soap (i.e.) a preparation made by mixing together and heating 0.5 litre of castor oil and 0.06 kg. of caustic soda) in the proportion of 1 litre of liquid soap to 99 litres of spirit of strength atleast 66 o Over Proof
(iv) the addition of castor oil and caustic soda as specified below:- to 100 litres of spirit of strength not less than 66 o Over Proof, add one litre of castor oil and 0.4 litre of caustic soda solution. (The caustic soda solution may be prepared by dissolving one kg of caustic soda in three litres of water).
The castor oil is to be mixed with one and half litres of spirit and stirred, to which the caustic soda solution is to be added. The resultant clear solution is to be added to the remaining 98.5 litres of spirit.
(v) the addition of ammonia in the proportion of 3 litres of liquid ammonia containing 25 to 26% by weight of ammonia gas to 97 litres of spirit of strength not less than 66.0 o Over Proof
(vi) the addition of 5 litres of concentrated sulphuric acid to 100 litres of spirit of strength not less than 66 o Over Proof.
(vii) the addition of 2 litres of cyclohexane, with the following specification, to 98 litres of spirit of strength not less than 66 o Over Proof.
(a) Specific gravity at 20 o C …0.776 to 0.780
(b) Boiling range … 95% shall distill between 80 o C and 82 o C
(viii) the addition of 0.5 litre of methyl ethyl ketone, with the following specifications, to 99.5 litres of spirit of strength not less than 66 o Over Proof.
(a) Specific gravity at 20 o C : 0.803 to 0.807
(b) Distillation range: Not less than 90% shall distill within the range of 78 o C to 85 o C
(ix) the addition of 1 or 2 kilogram of Caustic Soda (Sodium Hydroxide), as the case may be to 100 litres of spirit of strength not less than 66 o Over Proof.
3
(x) The addition of any other denaturant except chloral hydrates, conforming to the requirements given in I.S. 4117 either single or in combination as per formulae specified in I.S.4117.
Provided that the Commissioner may permit the manufacture of special denatured spirit for the purpose of export to any other State with such percentage and denaturants, as may have been approved by the Excise authorities of the State, to which such export is made, with the prior approval of the Government.
Explanation:- Light cacutchoucine and pyridine bases shall satisfy the laboratory tests as described in Appendix-I ammonia and concentrated sulphuric acid shall be a Laboratory Reagent grade.
Provided further that in the manufacture of Acetic Acid, Ethyl Acetate and Diethyl Phthalate, “one gram (10 parts per million) of Denatonium saccharide or Denatonium Benzoate (Bitterant) “ vide G.O. 128 Prohibition and Excise (III) Department dated:
7.7.2003 should be added to every 100 litres of spirit used in addition to the approved denaturant.
Provided also that in the manufacture of Thinner, Varnish, French Polish , Surgical Spirit etc., 5 particles per million of Crystal Violet ( Colourant ) and 50 particles per million of Denatonium Saccharide or Denatonium Benzoate (bitterant) should be added to the spirit used in addition to the approved denaturant.
Provided also that where the bitterant namely Denatonim Saccharide or Denatonium Benzoate alone is permitted to be used as the denaturant for denaturing the spirit the quantum to be used shall be 1.5 grams of Denatonium Saccharide for Denatonium benzoate per 100 litres of spirit.
Provided also that the Commissioner with the prior approval of the Government may exempt addition of bitterant (viz Denatonim saccharide or Denatonium Benzoate) or colourant (Crystal Violet or Methylene Blue) or both in favour of any licensee where he is satisfied on the basis of the recommendation of the Denaturant Committee that such addition of bitterant or colourant or both may interfere with the quality and marketability of the end product”
(d) „Distillery‟ means a distillery established in the State under the rules for the time being in force for the purpose of manufacture and issue of denatured spirit, methylated spirit or methyl alcohol, therefrom.
(da) “Distillery Officer” means an Officer of the Prohibition and Excise Department entrusted with the immediate supervision and working of a Distillery”.
(e) „Government‟ means the Government of Tamil Nadu.
(f) „Licensing Authority‟ means the Collector defined in Section 3 of the Act or an Officer or Person empowered as such for the purpose of issue of licences under Section 25 of the Act.
(g) Methyl Alcohol means the liquid having the chemical formula CH3OH. Its other chemical names are Methanol, carbinol and Methyl Hydrate and includes wood naptha, wood spirit, wood alcohol pyroxylic spirit and pyroligenous spirit.
4
(h) “Methylated spirit” means denatured spirit rendered effectively unfit for human consumption by the admixture of methyl alcohol in the proportion of one part of methyl alcohol to nine parts of spirit strength 66 o over proof.
(i) “Ordinary methylated spirit” means spirit subjected to the following process for the purpose of rendering it unfit for human consumption namely:- The admixture of 19 Volume of alcohol (66 o over proof) and one volume of methyl alcohol (The spirit so denatured is industrial methylated spirit of Pharmacopia standards).
Explanation:- Methyl alcohol also known as methanol shall be a clear and colourless liquid having chemical formula CH3OH and it shall comply with the requirements for methanol as specified in I.S. 4117.
(j) „Retail Sale‟ means sale made to the public who do not hold licences issued under these rules, in quantities not exceeding the limits prescribed for possession without a licence;
Admixture of 19 volume of alcohol (95 percent) and of one volume of approved woodnaptha. (The spirit so denatured is methylated spirit of B.P.
Standard of Industrial Methylated Spirit).
(k) Omitted.
(l) 'State' means the State of Tamil Nadu.
(m) 'Varnish' means spirit varnish, commonly known as French Polish, containing shellac, resin or both dissolved in denatured spirit, that is, spirit denatured by the addition of half a litre of light caoutchoucine and half a litre of pyridine to ninety nine litres of spirit at a minimum strength of 50 degree over proof or denatured under the process sanctioned under sub rule (2) [G.O.(Ms.)
No.3017, Home, Department dated 7.9.66] [B.P. Perm. 1375/66]
(n) 'Wholesale' means sale made to holders of licences issued under these rules:-
(2) Spirit shall not be denatured by any process other than those specified in sub-rule (1) except with the sanction of the Government.
(G.O. (Ms.) No. 185, Home, Department, dated 11 th January, 1962).
(3) It shall be the responsibility of the Distillery Officer issuing the denatured spirit to ensure that the denatured spirit issued for the above purposes is added with the appropriate bitterant or colourant or both in such proportion as approved for the licensee. The licensee for whom the addition of colourant or bitterant or both has been made mandatory shall lift the denatured spirit from the distillery only after ensuring that the denatured spirit so lifted has been added with the approved colourant or bitterant or both as the case may be “.
vide G.O.No. 128 Prohibition and Excise (III) Department dated 7.7.2003.
3. Manufacture
(a) No denatured spirit / methylated spirit or methyl alcohol shall be manufactured except by the holder of a distillery licence issued for the purpose of establishment of a distillery for the manufacture and issue 5 therefrom the denatured spirit, methylated spirit or methyl alcohol in accordance with the rules from the time being in force relating to the issue of such licence.
(b) No Varnish shall be manufactured except in accordance with the terms and conditions of a licence issued for the purpose under these rules.
(G.O. (Ms.) No. 185, Home, Department dated 11 th January, 1962).
3-A Constitution of Denaturant Committee - (1) The Government may constitute a Denaturant Committee to investigate and recommend special and general denaturants for industrial and general uses, their specifications and proportions to prevent the abuse of alcohol and spurious preparations contrary to the aims and policy of Prohibition.
(2)(a) The Committee shall consist of the following persons as Chairman and
1.
members, namely:- Director, Forensic Science Department, Chennai - 600 004 - Chairman
2. Additional Commissioner, Prohibition and Excise, Chennai - 600 005 – Member
3. Additional Director, Forensic Science Department, Chennai - 600 004 – Member
4. Deputy Director (Chemicals), Industries and Commerce Department, Chennai - 600 005 – Member
5. Professor of Organic Chemistry, Presidency College, Chennai - 600 005 – Member
6. Professor of Biochemistry, Chennai Medical College, Chennai-600 003 – Member.
7. State Drug Controller, Chennai - 600 006 or his nominee -Member
8. A non-official nominated by the Government -Member
9. The President of the Tamil Nadu Chemical Manufacturers Association, Chennai - 600 086 – Member
(b) The Committee shall be a first class Committee for the purpose of travelling allowance of the non-official member.
(3) Four Members shall form a quorum for transaction of the business of the Committee.
(4) The procedure regarding the work of the Committee shall be such as may be laid down by the Government from time to time by order.
(5) The Committee shall examine denovo the existing list of denaturants medical preparations, their applications and properties and suggest to Government changes and modifications that may be necessary and also on all questions relating to denaturants referred to it from time to time.
6
4. Export
(1) No denatured spirit / methylated spirit / methyl alcohol or varnish shall be exported except by the holder of a licence for manufacture and issue of such spirits or varnish, as the case may be, referred to in rule 3. Such export shall be made only under cover of an export permit in the prescribed from in these rules and issued by the Collector of the district in which the distillery is situated in the case of export of denatured spirit/methylated spirit/methyl alcohol and by the Commissioner in the case of Varnish. Before the issue of such an export permit, the exporter shall produce an import permit or a „No Objection Certificate‟ from the competent authority of the State or place to which export is made, signifying that there is no objection to the issue of the export permit sought for.
Provided that the Government may permit the manufacture of Special Denatured spirit for the purpose of export to any other State with such percentage and denaturants, as may have been approved by the Excise authorities of the State, to which such export is made with the prior approval of the Government ( G.O.No. 128 Prohibition and Excise (III) dated: 7.7.2003.
Exception:-It shall not be necessary for military units in this State to obtain permits for export of denatured spirit / methylated spirit / methyl alcohol.
(2) Notwithstanding the provision of sub-rule (1), the Officer-in-Charge of the Medical Stores Depot, Chennai may supply denatured spirit or export to the Railway Hospitals or dispensaries outside the State under cover of export permits issued by him on the strength of the application from the indentor supported by an import permit or a „No Objection Certificate‟ granted by the excise authorities of the State to which the export is made.
5. Import
(i) “No denatured spirit / methylated spirit / methyl alcohol or varnish shall be imported except by persons or institutions who hold licences under these rules to deal in or use denatured spirit / methylated spirit / methyl alcohol or varnish, or by the distillers in the State for dealing in denatured spirit / methylated spirit and methyl alcohol. Denatured spirit imported from other States by and with the previous permission of the Commissioner should be fully denatured as laid down in Clause (c) in sub-rule (1) of rule 2. If spirit proposed to be imported is not sufficiently denatured it must either be denatured afresh at the expense of the importer or he must pay duty at the full tariff rate as for portable spirit “.
The import shall in every case be covered by an import permit in form D.I.P.
prescribed under these rules and granted by the Commissioner of Prohibition and Excise on payment of an annual fee of Rs.1,500/- (Rupees one thousand five hundred only). Bonafide travellers may, however, bring into the State without an import permit denatured spirit up to maximum of one litre for domestic purposes.
Officers of Government may, for Government purposes, import any quantity of denatured spirit or varnish under an import permit issued by the Commissioner of Prohibition and Excise free of any fee.
“Provided that the distilleries in the State need not take out a licence for the import of methanol and wood-naphtha to be used as denaturants in the manufacture of methylated spirit subject to the condition that the import is made under a permit and the quantity so imported is produced immediately before the officer-in-charge of the distillery for safe custody.
(G.O. (Ms.) No. 1208, Home, Prohibition and Excise Department dated 14 th May, 1979) 7 Exception :- It shall not be necessary for the military units in this state to obtain permits for import of denatured spirit / methylated spirit / methyl alcohol.
(G.O. (Ms.) No. 214, Home, Department dated 3 rd February, 1970)
(ii) Before the permit for import of denatured spirit / methylated spirit / methyl alcohol or varnish is issued under sub-rule (1) the importer shall pay import permit fee at the rate fixed by the Government from time to time.(This has been proposed as provided for in the Tamil Nadu Rectified spirit Rules,2000).
Provided that the Government may notification issued whether prospectively or retrospectively make the exemption or reduction in the rate of gallonage fee payable by the person or class of persons.
(G.O. (Ms.) No. 28, Prohibition and Excise Department, dated 12 th May, 1981).
(iii) In the case of preparations or commodities containing a high percentage of denatured spirit / methylated spirit / methyl alcohol imported or proposed to be imported, the Commissioner, may after getting a sample of such preparation or commodity analysed, levy a gallonage fee at the rates specified in sub-rule (ii) of this rule on the spirit contents of the preparation before any such preparation is allowed to be imported. The requirements of this rule relating to import of denatured spirit / methylated spirit / methyl alcohol or varnish shall be complied with in regard to the import of any such preparation or commodity. The importer need not, however, take out a licence under these rules for possession or sale of such commodities in the State.
6. Possession, Transport and Interim Storage
(i) Any person or institution may without a licence possess within any area in the State denatured spirit upto a maximum of ½ litre and varnish up to a maximum of 2 litres. Provided that the denatured spirit or varnish to be possessed under this sub-rule shall be obtained from a retail dealer holding a licence in form D.L. 4 or D.L.
8 as the case may be in accordance with the customer permit system formulated for the purpose and laid down in Appendices V and VI respectively to these rules.
Exception I:-It shall not be necessary for officers of the Government or officers in charge of Local Fund and Municipal Hospitals or Dispensaries or Central Drug and Medical Practitioners-in-charge of rural dispensaries subsidised by the Government or local boards to obtain licences for possession and use of, or transport permits for the transport of, any quantity of denatured spirit or varnish for Government purposes or for the purposes of the hospital or dispensary or other institutions referred to above as the case may be. The Commissioners of Municipalities and Municipal Health Officers including the Health Officers, Corporation of Chennai, may obtain and possess without licence and transport without permits, any quantity of denatured spirit for the use in vaccination and inoculation work.
(G.O. (Ms.) No. 650, Home, Department dated 30 th February, 1968).
Exception II: - A registered medial practitioner may without a licence possess for his professional use denatured spirit up to a maximum of two litres.
8 Exception III:- The Medical Stores Depot, Chennai, may obtain from a distillery in the State, without a licence and transport to its premises. Without a permit, any quantity of denatured spirit or supply to indentors. But issues of denatured spirit from the Medical Stores Depot to the indentors in the State shall be covered by a transport permit in the form prescribed under these rules granted by the Collector of Chennai.
Exception IV:-It shall not be necessary for the military units in the state to obtain permits for transport of any quantity of denatured spirit/methylated spirit/methyl alcohol.
Exception V :-It shall not be necessary for the distilleries in the State to take out a licence to possess methanol and wood-naphtha to be used as denaturants in the manufacture of methylated spirit.
(G.O. (Ms.) No. 1208, Home, Prohibition and Excise (IV) Department dated 14 th May, 1979) (G.O. (Ms.) No.860, Home Department dated 10 th March, 1961) (G.O.(Ms.) No. 214, Home, Department dated 03 rd February, 1970).
(ii) Lawful consignments of denatured spirit from outside the State intended for export through the Chennai Harbour the Tuticorin Port shall be permitted to be stored in Chennai pending export. This permission shall be granted in each individual case by the Commissioner of Prohibition and Excise conditions governing the storage are set forth in Appendix II.
If any licensee desired that the indent shall be signed by the power-of-attorney agent he shall intimate in advance the name and address of his power of attorney agent to the Deputy Commissioner (Excise)/Assistant Commissioner (Excise)/Excise Supervisory Officer/ Divisional Excise Officer/ Taluk Excise Officer, if in Chennai City or to the Deputy Commissioner(Excise)/ Assistant Commissioner(Excise) concerned, if in any of the other districts and shall obtain the acknowledgement of the Officer concerned for the receipt of such intimation “.
[G.O. (Ms.) 2829, Home, Department dated 25 th September, 1968 (Prohibition Department)] 7 Sale :- No person or institution shall sell denatured spirit or methylated spirit or methyl alcohol or Varnish except in accordance with the provisions of these rules and on the terms and conditions of a licence issued under these rules. Such licence may be issued for wholesale or retail sale or both as the case may be.
8 Licence and Permits
(a) The licences issued under these rules shall be of the following kinds and issued in the forms mentioned in Appendix III and shown in Appendix IV for any of the purposes specified in Section 18 of the Act.
D.L.I Licence for Wholesale vend of Denatured spirit and Methylated spirit :- A licence in this form shall be issued, on payment of an annual fee of Rs.1,000(Rupees one thousand only) and shall cover possession and wholesale vend of denatured spirit and methylated spirit by distilleries and possession and wholesale vend of denatured spirit by others. The licensee shall obtain his supplies from the warehouse of a distillery in this State, or from out of the quota held by a distillery under its licence in Form D.L.I or from sources outside the State or from such other sources as the Commissioner may, in special cases, appoint or approve subject to such terms and conditions as he may impose in that regard. The licensee shall issue the spirit in wholesale to holders of licences issued under these rules in accordance with the provisions of these rules and the special conditions mentioned in the licence. The licensee shall maintain accounts of transactions under this licence in Form D. Ac. 1.
D.L.2 Licence for possession and use of denatured spirit, methylated spirit or methyl alcohol in the manufacture of specified commodities other than Varnish :-
(1) Licence in this form shall be issued on payment of an annual licence fee on a slab rate as set out in the table below and shall cover the possession and use of denatured spirit, methylated spirit or methyl alcohol, either as such and/or in the manufacture of specified commodities except varnish such as printing ink, paint remover, gasket, shellac etc.
1[ “THE TABLE” Item No Quota of Spirit per Annum Rate of Licence Fee (in Rupees)
(1) (2) (3) 1 Not exceeding 500 litres 500 2 Above 500 litres, but not exceeding 10,000 litres. 5,000 3 Above 10,000 litres, but not exceeding 50,,000 litres 25,000 4 Above 50,000 litres, but not exceeding 1,00,000 litres 50,000 5 Above 1,00,000 litres, but not exceeding 5,00,000 litres 75,000 6 Above 5,00,000 litres, but not exceeding 10,00,000 litres 1,50,000 7 Above 10,00,000 litres 2,50,000 G.O.(Ms.) No.2,Home, Prohibition and Excise (III) Department, dated 04.01.2018 No sale of spirit as such is permitted under this licence. An application for this kind of licence shall indicate in his application (In Form D.A.I.) the purpose for which he requires the denatured spirit, methylated spirit or methyl alcohol and specify whether he wishes to use it in the manufacture of commodities. In latter case an applicant for the licence should have registered his name with the Director of Industries and Commerce under the appropriate small scale or cottage industry. The applicant shall also specify the names and other particulars of the commodities proposed to be manufactured by him and the particular kind of denatured spirit or methylated spirit [vide Rules 2(1), (c), (j) and (g)] required for the purpose shall be indicated. Only commodities of recognised standard or standards approved by the Commissioner of Prohibition and Excise in consultation with Director of Industries and Commerce shall be allowed to manufacture under this licence. The licensing authority namely the Commissioner of Prohibition and Excise, shall enter in the licence, the quantity of each kind of denatured spirit or methylated spirit allowed and the commodities which the licensee is allowed to manufacture by using the spirit. The licensee shall not manufacture any commodity other than those entered in the licence without the prior approval of the licensing authority and getting the name of the commodity entered in the licence. The licensee shall, unless otherwise permitted, get his supply of denatured spirit from the holder of a licence in Form D.L.1 in the same district in case the annual 1,000 (One thousand) litres and more, he may obtain his supply from any distillery in the State or from the distillery who holds a licence in form D.L. 1 or from the Medical Stores Depot, when outside the State or such other sources as the Commissioner may, in special cases, appoint or approve, subject to such terms and conditions as he may impose in that regard. As regards methylated spirit / methyl alcohol, the licensee may get his supply from a distillery in the State or from a distillery who holds a licence in Form D.L. 1 or from the Medical Stores Depot, Chennai when specifically authorised to get his supplies therefrom or from the sources outside the State.
1 [ substituted G.O.Ms.No.2, H,P&E(III) Dept, dt.04.01.2018.
with effect on and from 1 st April 2018) 10
(2) Each of the specified commodities manufactured in each batch shall be given a Batch Number and each batch shall be separately accounted for in the account in form D.Ac. 2.
The licensee shall also maintain an account in Form D.Ac. 9 as shown in Appendix IV showing the day to day transactions in spirit, including the spirit used for manufacture of different kinds of commodities. Labels showing the name of the commodity, the name of the licensee and the Batch Number shall also be affixed to the commodities manufactured.
G.O.(Ms.)No.191, Prohibition and Excise (III) Department, dated 6.9.2002 in rule 8, in sub rule (1) under the DL-2 licence after the second paragraph the following paragraphs shall be substituted.
(2-A) In the case of licensee where the annual possessional limit is 50,000 Bulk Litres and above, all transactions pertaining to receipt transfer, storage, issue and consumption of denatured spirit and the manufacture, sampling packing and despatch of the end products permitted under the licence shall be under the supervision of the Excise Supervisory Officer.
The strength of the establishment to be maintained for supervision of the operations shall ordinarily be one Excise Supervisory Officer in the cadre of Tahsildar or Deputy Tahsildar and one Office Assistant, but the Commissioner may with the prior approval of the Government increase or reduce the strength of the staff if he considered it necessary.
Every such licensee whose annual possessional limit is 50,000 bulk litres and above shall pay the cost of establishment including the allowances leave salary and pension contribution for every month in advance. The Excise Supervisory Staff shall be provided by the licensee suitable residential accommodation to the satisfaction of the Commissioner at rents not exceeding 10 per cent of the pay. The Excise Supervisory Officer shall maintain a parallel act of accounts prescribed for maintenance by the licensee. The Excise Supervisory Officer shall maintain a diary in which he shall in ink, record any transaction that takes place then and there. He shall supervise the implementation of orders and directions from the licensing authority and send reports to the Commissioner of Prohibition and Excise on the bonafide functions or otherwise of the licensee then and there.
(3) The licensees themselves shall send samples of the commodities in respect of every batch to the Chemical Examiner (The Assistant Director-in-charge of the State Forensic Science Laboratory, Chennai) for chemical analysis on the very first day of manufacture of each commodity. The licensee shall also sent intimation to the Excise Supervisory Officer/ Divisional Excise Officer/ Taluk Excise Officer concerned the date when he proposes to manufacture the specified commodities. The Excise supervisory Officer / Divisional Excise officer/ Taluk Excise Officer shall inspect the licensed premises and shall take samples by surprise in respect of every batch and send them to the Chemical Examiner, if any of the samples is found sub-standard, the licensee concerned shall be liable for prosecution or cancellation of licence or to other suitable action. The licensee shall pay of the fee prescribed by the Chemical Examiner (The Assistant Director in-charge of the State Forensic Laboratory, Chennai) for testing of each and every sample.
Provided that in respect of the Government undertakings and Public Sector undertakings the random sample of each product shall be analysed once a month.
(4) The accounts for the quantity of the ingredients purchased and the quantity of the ingredients used in the manufacture of various kinds of commodities, shall be maintained and the bills or invoices for the sale of the finished produce shall be maintained in the Forms D.Ac.10 and D.Ac.11 respectively as shown in Appendix IV.
11 D.L.3 Licences issued to an Officer of the Southern Railway for storage and use of denatured spirit/ methylated spirit / methyl alcohol and its distribution to outstations or other railway institutions in Tamil Nadu State and/or in other States under his control :- The licence in this form will be issued free of licence fee, to an officer of the Southern Railway and covers possession and use of denatured spirit/methylated spirit/ methyl alcohol to the outstations or other Railway institutions in this State and or in other States, under his control. The licensee shall obtain his supplies of denatured spirit / methylated spirit / methyl alcohol from a distillery in this State or from sources outside the State. He shall mention in an account of transactions under the licence in Form D. Ac. 3.
Similar accounts shall be kept at the outstations and other railway institution which obtain supply from the licence holder, who shall be responsible for the correct maintenance of accounts at such outstations and institutions.
(GO.(Ms.) No. 1318, Home, Department, dated 30 th April, 1964) D.L.4 Licence for retail sale of denatured spirit licence in this form will be issued on payment of an annual fee as follows :- For annual quota :
Upto 300 litres Rs.500/-(Rupees five hundred Only) Exceeding 300 litres Rs.1000/-(Rupees one Thousand only) (G.O.(Ms.) No.81, Prohibition and Excise (III) Department, 01.04.1999) It shall cover possession and retail sale of denatured spirit for any of the purposes mentioned in Section 12 of the Act. The licensee shall get his supplies of denatured spirit, from the holder of a licence for wholesale vend of denatured spirit in Form D.L. 1 in the same district or by import from sources outside the state, or from such other source as the Commissioner, may in special cases, appoint or approve, subject to such terms and conditions as he may impose in that regard, retail sales of denatured spirit under the licence to private persons and institutions who may, under sub -rule (I) of Rule 6 possess without a licence denatured spirit up to the maximum limit of ½ a litre at a time, shall be strictly in accordance with the consumer permit system formulated for the purpose and laid down in Appendix V to these rules. The sales by the licensees shall also be in accordance with the special conditions mentioned in the licence itself. The licensee shall maintain accounts of transactions under the licence in Form D.Ac 4.
D.L.5 Licence for possession and use of denatured spirit in the manufacture of varnish and use or sale of varnish :
Licence in this form will be issued on payment of an annual licence fee of Rs.1,000.
It covers possession of spirit denatured with reference to rule 2(1) (c) (I) or under the process sanctioned under sub-rule (2) of Rule 2 only, and its use in the manufacture of varnish (French Polish) which may either be used by the licensee himself or sold by him in wholesale to holders of licences in Forms D.L. 6, D.L.7 and D.L. 8 or to officers of Government and others exempted from taking out a licence under Rule 6. It does not confer the privilege of both use and sale. The applicant for a licence in this form shall indicate in the application whether he proposes to use or sell the varnish manufactured under the licence at the time of its issue whether it covers use or sale. The licensee shall obtain his supplies of denatured spirit from the holder of a licence for wholesale vend of denatured spirit from the holder of a licence for wholesale vend of denatured spirit in Form D.L.1 in the same district 12 or by import, or from such other source as the Commissioner may in special cases appoint or approve subject to such terms and conditions as he may be imposed in that regard. “If the annual quota of denatured spirit of a licensee is 1,000 (one thousand) litres and more, he may obtain his supplies either from any distillery in the State or from the holders of licences in Form D.L. 1” [G.O. (Ms.) No. 2685, Prohibition and Excise Department, dated 2 nd November, 1978].
[G.O. (Ms.) No. 81, Prohibition and Excise (III) Department, dated 01.04.99].
No spirit as such shall be sold under the licence. The licensees themselves shall send samples of varnish in respect of every batch to the Chemical Examiner (The Assistant Director in charge of the State Forensic Science Laboratory, Chennai) for chemical analysis on the very first day of manufacture of varnish. The licensees shall also send intimation to the Excise Supervisory Officer/ Divisional Excise Officer/ Taluk Excise Officer concerned the date when he proposed to manufacture varnish. The Excise Supervisory Officer/ Divisional Excise Officer/ Taluk Excise Officer shall also inspect the licensed premises and take samples by surprise in respect of every batch and send them to the Chemical Examiner. The samples also shall be analysed by the Chemical Examiner. If any of the samples is found sub-standard, the licensee concerned shall be liable for prosecution or cancellation of licence or other suitable action. The licensees shall pay the fee prescribed by the Chemical Examiner, (The Assistant Director in charge of the State Forensic Science Laboratory, Chennai) for testing of every sample. The licensee shall maintain accounts of manufacture of varnish and transactions in varnish in Form D.Ac. 5 and Form D.Ac. 5-A and Form D.Ai. 6 and Form D.Ai. 8 according as the varnish manufactured is used by the licensee himself or sold. An account in Form D.Ac.6 shall be maintained at each of the work spots to which the varnish is distributed and where the use of the varnish by the licensee is required. The sale of varnish shall be strictly in accordance with the special conditions mentioned in the licence.
D.L. 6 Licence for possession and use of Varnish :- Licence in this form will be issued on payment of an annual fee of Rs.500 and shall cover possession and use of varnish. No varnish possessed under this licence shall be sold.
The licensee shall obtain his supplies of varnish from holder of licence in Form D.L.5 manufacture and sale of varnish) or in Form D.L.8 (for sale of varnish) or by import. The licensee shall maintain an account of transactions under the licence in Form D.Ac.6.
Licence for possession of Varnish by an Officer of the Southern Railway for use and distribution to outstations or other railway institutions in Madras State and/or in other States under his Control :- The licence in this form will be issued on payment of annual licence fee of Rs.200 to an officer of the Southern Railway to possess varnish for use and its distribution to outstations or other Railway Institutions in the State and/or in other States, under his control.
Varnish shall not be sold under this licence. The licensee shall obtain supply in varnish from a holder of a licence in form D.L.5 (for manufacture and sale of varnish) or in Form D.L.8 (for sale of varnish or by import). The licence in shall maintain accounts of transactions under the licence in Form D.Ac.7. Accounts in similar form shall be maintained in the outstations and other Railway Institutions supplied by the licensee.
[G.O. (Ms.)No. 1318, Home, Department, dated 30 th April, 1964] D.L. 7 13 D.L. 8 Licence for the sale of Varnish :-
(a) Licence in this form shall be issued on payment of an annual fee of Rs.1000/- (Rupees one thousand only). It covers possession and sale of varnish in wholesale or retail. The licensee shall get his supplies of varnish from the holder of a licence in Form D.L.5 (for manufacture and sale of varnish) or from sources outside the State by import or from such other sources as the Commissioner may in special cases, appoint, or approve, subject to such terms and conditions as he may impose in that regard. The retail sales of varnish by the licensee to private persons and institutions who may, under sub-rule (i) of the rule 6 possess varnish, without a licence, upto a maximum limit of two litres at a time shall be strictly in accordance with the Consumer Permit System formulated for the purpose and laid down in Appendix VI. The sales of varnish under the licence shall also be in accordance with the special conditions mentioned in the licence itself. The Licensee shall maintain accounts of transactions under the licence in Form D.Ac.8.
[G.O. (Ms.) No. 214, Home Department dated 3 rd February, 1974].
(b) The licensee shall intimate to the Licensing Authority on the loss of a licence during the period of its currency forthwith explaining the circumstances under which the loss occur. A fee of Rs.25/- (Rupees Twenty Five) shall be payable for a duplicate licence and such licence may be granted by the licensing authority after making such enquiries as he deems fit. The licensee shall return the duplicate licence, for cancelling it as and when the original licence is traced.
[G.O.(Ms.) No. 162, Home Department dated 19 th January, 1971].
© Indent for supply of denatured spirit / methylated spirit / methyl alcohol or varnish:
(1)(i) Supplies of denatured spirit / methylated spirit / methyl alcohol or varnish obtained by licensees shall be on indents in Form D.I. and in Appendix IV to these rules. The indent shall be in printed forms bound in books in triplicate and machine numbered consecutively. Whenever a licensee indents for spirit or varnish he shall prepare an indent with fly leaf (from D.L.F.) of the licence concerned to the distillery in the State or supplying licensee if supply is sought for from sources within the State and to the authority, competent to issue import permit in case supply is required from source accompanied by an application for an import permit together with the treasury receipt (Chalan) on payment of Import permit fee as fixed by the Government from time to time on the quantity of spirit or varnish proposed to be imported. The duplicate of the indent shall be sent immediately to the Collector of the District in which the indentor is and the triplicate retained by the indentor for his file.
(ii) “The indent for spirit or varnish shall be prepared in triplicate using carbon paper and signed by the licensee himself or as stated in the following paragraph, by his power of attorney Agent. The original of the indent, along with the licence and the fly-leaf, in the initial indent, and the fly -leaf relating to the licence in case of subsequent indents, to the D.L. 1 supplying licensee if supply is sought for from sources within the State and to the authority competent to issue import permit, in case supply is required from sources outside the State”
(2) On receipt of the indent, the supplying licensee (within the State) if he decides to comply with the indent shall make necessary endorsements on the fly-leaf of the licence and issue a transport permit in Form D.T.P. to cover the transport of the commodity from the supplying licensee‟s premises to those of the indentor. The currency of the transport permit 14 shall be restricted to the reasonable period from the time it may reasonably be expected to reach the indenting licensee. In case the supplier is the distillery, the issue shall be made only after collection of the amount of gallonage fee leviable on the quantity supplied. The transport permit issued to cover the transport from the distillery also, shall be in the same Form (i.e.), Form D.T.P. and it shall be issued by the Officer-in-charge of the distillery. If the distillery or the supplying licensee is not able to or decides not to comply with the indent either in full or in part, he shall inform the indentor accordingly furnishing his reasons therefor. A copy of the communication shall be sent to the Collector of the District in which the indenting licensee is. The transport permit issued shall, in all cases be prepared in triplicate, the original issued to the indentor to be carried along with the consignment the duplicate sent to the Collector of the District in which the indenting licensee is and the triplicate retained by the supplier for his file. For this purpose, the transport permit forms also shall be bound books in triplicate, consecutively machine numbered.
(3) In cases of supply sought from outside the State, the authority competent to issue the import permit, shall, if there is no objection, issue an import permit in Form D.I.P. and return the indent and the fly-leaf of the licence after making necessary endorsement thereon to the indentor to enable him to import the stock he applied for. The import permit shall be made out in triplicate, original issued to the applicant for accompanying the consignment, duplicate sent to the Collector of the District in which the indenting licensee is and triplicate retained as office copy.
(4) Consignment imported shall not be opened by the indentor and taken into stock until and unless verified by an Officer of the Prohibition and Excise Department, not below rank of an Excise Supervisory Officer / Divisional Excise Officer / Taluk Excise Officer concerned shall forward the copy of the import permit along with the copy of the indent received by him to the verifying officer with directions to return the permit after verification within ten days of arrival of the consignment at the importer‟s licensed premises. The importer shall given intimation to the verifying officer as soon as the consignment is received so that the verification may be done without delay.
(5) Officers of Government and others who are exempted from taking out a licence for possession or permit for transport of denatured spirit / methylated spirit / methyl alcohol or varnish may get their supplies from a distillery in this State or from the Medical Stores Depot, Chennai, if authorised to obtain supplies wherefrom, or from licensees whose licences allow such supply or by import where these rules allow such import. In case any Government or other Officer or person exempted as above, requires varnish in quantities exceeding two litres from any licence holder in the State for sale of varnish, the holder of such licence shall supply varnish only when an authorisation is issued by the Collector to the Officer or person concerned. While issuing such authorisation, the Collector shall send one copy of the authorisation to the supplying licensee who shall file it in support of the sales, make in such cases and another copy to the Collector of the District in which the exempted Officer or person is.
Rule 9(i) Grant of Licences etc-.
Application for licence. A person desiring to obtain a licence under these rules shall apply to the licensing authority (collectors of the District in respect of all kinds of licences except licence in Form D.L. 2 and the Commissioner of Prohibition and Excise in the excepted case) in Form D.A. 1 appended to these rules, specifying the nature of the licence required. The application shall be affixed with court fee label of rupee one only if it is to the 15 Collector of the District and of rupees two only if it is to the Commissioner as required under the Tamil Nadu Court Fee and Suits Valuation Act, 1955 (Madras Act XIV of 1955).
(ii) Duration of Licence :- Every licence granted under these rules shall be valid for the financial year (beginning from the 01 st April or date of issue of the licence and ending with the 31 st March immediately following) unless otherwise stated in the licence.
(iii)Conditions to be satisfied before a licence is granted and the procedure to be followed in dealing with application :- (A) On receipt of the application referred to in sub-rule (i), the licensing authority shall forward it to the Deputy Commissioner(Excise) / Assistant Commissioner(Excise) concerned or the Collector concerned, as the case may be, who shall have the particulars furnished in the application verified and shall also satisfy himself after due enquiry ;
(a)That the applicant does not hold or does not have vested interest in, any licence already issued, so as to disqualify him for the grant of licence under sub-rule (i).
(b)That the applicant has not been convicted of any offence against the Act or the rules framed thereunder or of any cognisable or non-bailable offence.
(c)That the applicant is a resident of the place where the licence is required.
That the applicant does not already possess, or has vested interest in any kind of licence issued under these rules, in the same or different district either in his individual capacity, or as a member of a joint family, or as a partner of a partnership concern or as a member of a Corporate body
(d)That the applicant‟s personal circumstances and the local needs justify the grant of the licence ; and
(e)That the privilege is not likely to be misused. The Deputy Commissioner (Excise)/ Assistant Commissioner (Excise) or the Collector, as the case may be, shall then send the application to the licensing authority, with his remarks, based on the result of the enquiry, the local conditions and any other relevant factors, for example, whether applicant held a similar licence previously. If he recommends the licence applied for he shall indicate the annual quota of denatured spirit, methylated spirit, or varnish as the case may be, that may be allowed under the licence.
(B) On receipt of the aforesaid reports, the licensing authority may make such further enquiries as it deems necessary and it is satisfied that the applicant is eligible for the grant of the licence applied for and that the grant of the licence is justified with reference to the conditions and circumstances specified above. The licensing authority may order the issue of the licence after satisfying himself that the fee, if any, prescribed, therefor has been paid.
In the case of Methyl Alcohol no licence shall be granted without prior approval of the Government where the annual possessional limit exceeds 30 litres per annum.
G.O.(Ms.)No.51, Prohibition and Excise(III) Department, dated 18.02.2002.
16 The licence shall always be on the name of the person who applied for it. In the case of applications from a recognised institution or a registered firm or company, the licence shall be issued in favour of the accredited office bearer or agent or other functionary, who has been duly authorised by power of attorney, Articles of Association of similar rules relating to the management of the institution, firm or company. The quantity of denatured spirit, methylated spirit, methyl alcohol or varnish, as the case may be, to be allowed under the licence shall be fixed by the licensing authority at its discretion after taking into account the bonafide demands of the Deputy Commissioner (Excise)/ Assistant Commissioner(Excise) or the Collector, as the case may be. The quantity once fixed shall not be altered at any time without the prior approval of the Commissioner of Prohibition and Excise or the Government as the case may be. The hours of business declared by the applicant shall be entered in the licence and the hours once entered shall not be altered during the currency of the licence without the prior approval of the licensing authority”.
[G.O. (Ms.) No. 2900, Home Department, dated 24 th October, 1970].
(B.P. Perm. 31469, dated 14 th April, 1969).
“The Commissioner may, however, enhance or reduce the quantity of denatured spirit / methylated spirit / methyl alcohol fixed under all the D.L. series licences issued under these rules to the Central and State Government establishments and also to the scientific and educational institutions situated in the State “ [G.O.(Ms.) No.319, Prohibition and Excise Department, dated 27 th October, 1976].
(c) In the case of the licences in Form D.L. 1 the licensing authority, namely the Collector of the District, shall take the prior approval of the Commissioner, before granting a new licence of sanctioning enhancement of the annual quota of spirit allowed under an existing licence.
Against an order passed by the Collector in such cases, an appeal shall lie, to the Government.
(iv) Refusal of Licence :- If the licensing authority is satisfied that the applicant is not eligible for the licence or that the grant of the licence is not justified with reference to conditions and circumstances specified in sub-rule (m), he shall by an order in writing, refuse to grant the licence for reasons to be specified in order. In that case, the licence fee if any, paid by the applicant shall be refunded to the applicant.
(v) Renewal of Licence :- A licence holder desiring to renew the licence shall make an application to the licensing authority, in Form D.A. 1 at least two months before the expiry of the licence and send the licence and fly-leaf not later than the tenth of March of that year by which time, he could draw his supplies for the quarter. The provisions of sub-rules (i) to (iv) and (vii) shall, as far as may, apply to an application for renewal of licence as if it were an application for the original grant of a licence.
Provided that the licensing authority may, for good and sufficient reasons, entertain an application for removal or a licence made after the period specified in this sub rule but before the expiry of the licence, if the licensee pays an additional fee of 25 percent of the licence fee or Rs. 25/- (Rupees Twenty five only) whichever is higher.
[G.O.(Ms.)No.139, Prohibition and Excise (III) Department, dated 16.08.1994.
17 “Provided further that in the case of DL- 2, DL-4, DL-5 and DL-8 licences, the application for renewal shall be made to the District Revenue Officer / Additional Collector/ District Collector, as the case may be, who shall be the authority to renew such licences.” With effect from 29-1-1991.
(G.O.(Ms.)No.231, Prohibition and Excise (III) Department, dated 17-11-2000)
Provided that in the case of DL 2 licence granted for the possession and use of denatured spirit in the manufacture of Varnish (FP) Picture Varnish, Insulating Varnish, Paint remover, Gasket Shellac, Printing ink or such other commodities as may be specified by the State Government from time to time under clause(i ) of the Section 20 c of the Act, the applications for renewal shall be sent to the Government.
(vi) Cancellation or Suspension of Licence:- The Licensing authority may after giving the licensee an opportunity to show cause within a reasonable time not ordinarily exceeding fourteen days against the order proposed to be made by an order in writing stating the reason therefor, cancel a licence issued under these rules or suspend it for such period as he thinks fit, either wholly or in part if subsequent to the grant of the licence it is brought to notice that the licensee is suffering from leprosy or any contagious disease, or if in the opinion of the licensing authority, the licensee has failed to comply with any of the conditions of the licensee or any of the provisions of the Act or the rules framed thereunder. Where a licence is cancelled or suspended as aforesaid or is not renewed after its expiry, or its renewal is refused, the licensee shall not sell, use or otherwise dispose of any of the stock held by him at the time of such cancellation, suspension, expiry or refusal and shall abide by the orders of the licensing authority regarding the disposal of such stock by sale in auction or otherwise among the licensees or by any other method so as to enable the licensee to get the price for such stock. If the stock is found to not saleable or on Chemical analysis is found to be substandard or to contain any impurities or ingredients not specifically permitted to use, or if the stock when sold is not likely to fetch a price, it may be destroyed after obtaining the orders of the Commissioner. The licensee shall not be entitled to claim any compensation on account of such cancellation, suspension or refusal of the licence or destruction of stock.
[G.O. (Ms.) No. 185, Home Department dated 11 th January 1962 and G.O.(Ms.) No. 214, Home Department dated 03 rd February 1970 ]
(vii) (a) Security :- In the case of applications for a licence in Forms D.L. 1, D.L. 2, D.L. 4, D.L. 5, D.L. 6 or D.L. 8, the licensing authority, before granting the licence shall require the applicant to Deposit with the Collector in cash or in Government Promissory Note, National Savings Certificate, Post Office Savings Bank Pass Books or Post Office Cash Certificate duly endorsed in favour of Collector of the District concerned as security for the due observance of the conditions of the licence as required by the licensing authority vide G.O.(Ms.)No. 256, Prohibition and Excise (III) Department, dated: 22.12.98 2[a sum calculated at the rate of forty three paise per bulk litre of the annual quota proposed to be allowed under the licence for denatured spirit and/or methylated spirit and / or methyl alcohol, in respect of licence in Form D.L.1 , D.L.2, D.L.4 and D.L.5, and at the rate of fifty paise per litre of the annual quota of varnish proposed to be allowed under the licence in respect of licences in Forms D.L.6 and D.L.8 . In the case of an application for licence in Form D.L.1 from a distillery, however, a security deposit to be required shall be calculated at the rate of five paise per bulk litre of the annual quota of denatured spirit and methylated spirit and methyl alcohol. 3[Provided that the maximum limit of security deposit as Rs. two lakhs Government letter (Ms) No. 118 P&E (III)/2000 dt: 6.6.2002. In the case of non-observant of the terms of the licence the security so deposited may be forfeited to Government and the licence cancelled, provided that no forfeiture of deposit shall be made unless the licensee has had a reasonable opportunity of showing cause against such a forfeiture.
2[substituted G.O.Ms.No.
2 H.P&E(III) Dept, dt.4.01.2018 with effect on and from 1st April 2018) 3 [May be deleted 18 G.O.(Ms.) No.256, Prohibition and Excise (III) Department, dated 22.12.98 should be received with Government letter No.9167/P&E(III)/2000-15, dated 06.06.2002 (available in R.Dis.(c) 646/96, dated 24.11.2000)
Provided further that in respect of licences in Form D.L.1,D.L.4 and D.L.8 licence to the co-operative societies, the security deposit at the rates prescribed under the rules shall be calculated on the quota of a month (1/12 of the annual quota) proposed to be allowed under the licence for denatured spirit only.(G.O.(Ms.)No.109, Home Department, dated 19-1-1980-B.P.Rt 797/V, dated 24.8.1979)
Provided further that all educational institutions, laboratories of Central/State to Medical Department, Public undertakings and all Government Medical institutions, who are issued with D.L.2 licences for possessions and use of Denatured spirit/Methylated spirit shall be exempted from payment of security deposit towards D.L.2 licence.(G.O.(Ms.)No.99, Prohibition and Excise Department, dated 27.01.1984) In respect of licence in Form D.L. 1, D.L. 2, D.L. 4 and D.L. 5 and at the rate of fifty paise per litre of the annual quota of varnish proposed to allow under the licence in respect of licences in Forms D.L. 6 and D.L. 8. In the case of an application for a licence in Form D.L. 1, from a distillery, however, the security deposit to be required shall be calculated at the rate of five paise per bulk litre of the annual quota of denatured spirit and methylated spirit and methyl alcohol. In case of non-observance of the terms of the licence the security so deposited may be forfeited to Government and the licence cancelled.
Provided that no forfeiture of deposit shall be made unless the licence has had a reasonable opportunity of showing cause against such forfeiture.
4 [“ Provided also that the total amount or security deposit shall not in each case exceed twenty five lakh rupees”
(viii) Transfer of licence, change of premises or locality:- Licence issued under these rules shall not be sold, transferred or sub-rented without previous permission of the licensing authority. A licensee shall not change the premises in which he carries on business under his licence except with previous permission of the licensing authority. Permission to shift business outside the area where the licensee is intended to serve shall be treated as the grant of a fresh licence and all provisions relating to grant of a licence shall likewise apply to the granting of such permission.
(ix) Notwithstanding anything to be contrary in the above provisions or any other provision in these rules, or any other rules, the Government may, under any scheme for enforcing stricter control over the possession, use or sale of denatured spirit, methylated spirit and methyl alcohol and over the manufacture, possession, use or sale of varnish, order a review by the Commissioner of Prohibition and Excise, on or after the date notified in the Official Gazette, of the licences already granted for the purposes of giving effect to such further measures as they deem fit to implement or duly provided for in these rules. Against every order passed by the Commissioner of Prohibition and Excise, as a result of such general review, directing the cancellation or withdrawal of any licence, or the reduction or deletion of any quota for spirit or methyl alcohol or varnish already allowed under any licence an appeal shall lie to the Commissioner of Prohibition and Excise and a revision petition to Government.
4[substituted G.O.Ms.No.2, H,P&E(III) Dept, Dated:
04.01.2018 with effect on and from 1 st April 2018 19
(x) Grant of Licences, etc :- General Principle of Granting Licences :- On and with effect from the 01 st January 1970, no person or institution shall be granted more than one licence and more than one kind of licence in the same or different districts. An applicant shall not be granted a licence if he belongs to a joint family, any other member of which already possesses a licence issued under these rules, or if he is a partner of a partnership concern or a member of a corporate body in whose (partnership concern‟s or corporate body‟s) name a licence has already been issued under these rules:-
Provided that these provisions will not be applicable to renewal of licences granted before the 01 st January 1970 and the licences granted for a specific industry.
[G.O.(Ms.) No. 1776, Home Department, dated 28 th July 1970].
Provided further that in the case of DL-2 licences, separate fly-leaves in Form D.L.
shall be granted for Denatured spirit, Methylated spirit permitted to possess under such licences by the licensing authorities, referred to in sub-rule(1) and rule (13). While renewing DL 2 licence also, under sub rule (v), the District Revenue Officer or the Collector, as the case may be, shall grant separate fly-leaf.
In respect of cases for which the Government are the licensing authority, separate fly-leaf shall be issued by the Government, while renewing the licence.(G.O.(Ms.)No.208 Prohibition and Excise Department, dated 15- 2- 1984) 10 General conditions applicable to the licences issued under these rules :- (I) The licence shall except where no business under the licence is transacted be hung up in a conspicuous place in the premises in which the business under the licence is transacted. A signboard shall be fixed at the licensed premises showing the kind of licence and its business hours. The hours of business specified by the licensee shall in no case reduced to less than six hours excluding an hour‟s interval for rest, where paid assistants are employed.
(II) The licensed premises shall in all cases except as provided hereunder be kept open for business and/for inspection by authorised officers during the hours of business shown in the sign board referred to in condition I and in the licence, irrespective of the fact whether there is any transaction or not, though, in case, there is no stock on all days except on weekly holidays declared under the Tamil Nadu Shops & Establishment Act, 1947 (Tamil Nadu Act XXXVI of 1947), or under the Weekly Holidays Act, 1942 (Central Act XVIII of 1942) whichever is applicable and such other days on which the Commissioner may order closure. In the absence of the licensee, his authorised representative shall be in charge of the licence, stocks and account books:- „Provided that when the licensee desires to have his shop closed under certain circumstances on any particular day or days, he shall give intimation thereof in advance to the authorities empowered to inspect the licensed premises and where an advance intimation is not possible, owing to unforeseen circumstances, he shall give such intimation immediately preceding or after the closure of the shop through the quickest means possible.
[G.O. Ms. No. 2200, Home Department dated 22 nd October 1979] [B.P. No. 314/69, dated 14 th April, 1966] 20 (III) The possession or sale of denatured spirit /methylated spirit/methyl alcohol or varnish outside the licensed premises is forbidden.
(IV) Denatured spirit, methylated spirit, methyl alcohol or varnish possessed or exposed for sale in the licensed premises shall be of good quality and undiluted and unadulterated.
The possession and sale of denatured spirit whose hydrometre apparent strength is below 50 degree overproof is prohibited. Varnish either manufactured in or imported into this State, shall contain a minimum of 15 percent (weight in volume) or shellac or resinous matter or both. If any inspecting officer is of opinion that any spirit or varnish found by him in the licensed premises is not of the required standard, he may after recording his reasons take in the presence of the licensee or his authorised representative two samples from each of the receptacles containing such suspected spirit or varnish and forward one sample in sealed bottle to the Chemical Examiner for analysis, and cause the other to be sealed and kept with the licensee. Pending receipt of the report of analysis or test from the Chemical Examiner, such officer shall cause the stock of the suspected spirit or varnish to be sealed with his private seal and leave the stock so sealed with the licensee, with written direction that it should be kept in safe custody. If the result of the analysis or test shows that the suspected stock is not of the prescribed standard, the licensee shall abide by the orders of the licensing authority regarding its disposal. Otherwise the sealed stock shall forthwith be released. The Officer who takes action under this rule, shall send a report forthwith to the licensing authority through the official superior detailing, the circumstances in which the samples were taken.
NOTE:- The rendering or attempting to render any spirit or preparation containing spirit, which has been denatured, fit for human consumption or the possession of any such spirit or preparation in respect of which such an attempt has been made, is punishable under section 5 of the Act.
(V)(i) Every bottle, jar, cask or other receptacle containing denatured spirit or methylated spirit or methyl alcohol received into and kept for storage or sale in a premises licensed under these rules or possessed by a private person or institution permitted to be in possession of such spirit or methyl alcohol shall have affixed to it in a conspicuous manner a label which should contain the picture of a full human skeleton at least 7.5 centimetres in length extending from the top to bottom of the label with the following words printed on the right and left of the picture :- „Poison – Not to be taken internally‟ DENATURED SPIRIT METHYLATED SPIRIT METHYL ALCOHOL Spirit made in ______________ denatured and _______________________ in methylated Methyl Alcohol made in _______________ 21 The words „Poison – Not to be taken internally‟ shall be printed in red and bold letters in English and the regional language. The design and the style of the label shall be as in Form D.L. b. (I, II, III) as the cases may be, the words „Poison – Not to be taken internally‟ in the form being expressed in English and Regional Language only.
a. During transport of Methyl Alcohol a responsible officer of the licensee should also accompany the vehicle in addition to driver and cleaner to prevent diversion or pilferage during transit.
b. Stickers with warning “POISON” should be affixed in all Tankers carrying Methyl Alcohol.
c. Licensees dealing in and also the transporter who carries Methyl Alcohol either within the State or from other States in Tamil Nadu, should follow the following “DOS” and “DONTs” during transportation:
i. The route to be taken by the tanker carrying the Methyl Alcohol should be specified beforehand ii. There should not be any deviation from the prescribed route.
iii. If the vehicle is to be halted enroute for repairs, or for other unforeseen reasons the nearest police station should be informed immediately.
iv. The vehicle carrying Methyl Alcohol should not be parked unguarded.
v. The container carrying Methyl Alcohol should be sealed.
vi. The Transport emergency card (TERM CARD) should be made available in the vehicle transporting Methyl Alcohol.
vii. The driver and cleaner of the lorry should be trained in first aid and should be well equipped for handling emergencies due to leakage of Methyl Alcohol.
viii. Under no circumstances the container carrying Methyl Alcohol should be unloaded at a place other than the designated place.
ix. There should be proper documentation for the quantity of Methyl Alcohol being transported .
x. At the destination the entire quantity should be unloaded as per record.
There should not be any remnant quantity in the container.
xi. The container carrying Methyl Alcohol should have “DANGER”- warning stickers printed in red colour pasted on all sides of the tanker.
d. Methyl Alcohol should be sold only after adding with one gram of crystal violate for every 200 litres of Methyl Alcohol (5ppm) or one gram of Methylene Blue for every 100 litres of Methyl Alcohol(10ppm) Unless it is specifically exempted by an order of the licensing authority.
e. Methyl Alcohol should be sold only in securely packed closed containers and every such containers shall be labelled by the vendor as given below with a red label bearing in English and in Tamil :
i. The name of the poison as METHYL ALCOHOL ii. The name of the vendor iii. The address of the shop at which the poison is sold.
The word POISON must be shown prominently at the top of the label.
(ii) Every bottle, jar, cask or other receptacle containing varnish shall also have affixed to it, in a conspicuous manner, label containing the picture of full skeleton as described in sub-rule (i), with the following words printed in red and bold letters, in English and the regional language, on the right and left of the picture:- 22 „Poison – Not to be taken internally‟. The labels should also given, besides the name of the selling licensee, the name of the manufacturer, and the batch number of the varnish, even in cases where the bottling of varnish is done by a holder of licence in Form D.L. 8 after getting his supply in bulk, in drums and other receptacles, from a manufacturing licensee holding a licence in Form D.L. 5. The label should be in Form D.L. IV.
(VI) “True accounts of transactions shall be maintained from day to day in ink in the form prescribed for the respective kind of licence and shown in Appendix IV to these rules. The accounts shall be in printed books and be kept only at the licensed premises. The accounts, copies of indents, invoices, vouchers, bill books and permits relating to the purchase import, export, transport, manufacture and sale of denatured spirit / methylated spirit/ methyl alcohol / varnish or other preparations including those relating to raw materials, shall be preserved in support of the accounts for a period of five years from the date of expiry of the licensing year to which they relate and shall be produced whenever called for by any officer authorised to inspect the licence.” [G.O.(Ms.) No. 302, Prohibition and Excise Department, dated 13 th October, 1976].
They shall be handed over to such officer on a receipt being given therefor. The licensee shall furnish to the licensing authority as such statistics or information as may be required from time to time regarding the working of the licence.
(VII) An inspection book in the form prescribed in Appendix IV shall be maintained at the licensed premises for the use of the inspecting officers. Instructions regarding the maintenance of this book are given in the book itself and those instructions shall be adhere to. The book is the property of the Government and shall be handed over to the licensing authority or any inspecting officer, on a receipt given therefor.
(VIII) The holder of a licence issued under the rules shall, if so ordered by the licensing authority, provide himself with such weights and measures as may be prescribed for use in the licensed premises. The weights and measures shall be got tested and stamped by the stamping establishment of the district or by such authority as may be nominated for the purpose. The weights and measures shall be available at the licensed premises for use by the inspecting officers whenever they need them.
[G.O. (Ms.) No. 227, Prohibition and Excise Department, dated 15 th September, 1976].
(IX) Vend fee shall be payable for the holder of distillery licence under rule 6 of the Tamil Nadu Distillery Rules, 1981.
(X) No remission, refund or abatement of fee leviable under these rules or under the terms of any licence issued thereunder shall be allowed on grounds of loss, leakages etc., of denatured spirit / methylated spirit/ methyl alcohol or varnish or any other licensee shall be adjusted from the deposit if any, furnished by the licensee, or collected from him under the Revenue Recovery Act, as arrears of land revenue. Any shortage, leakage or loss of denatured spirit / methylated spirit / methyl alcohol or varnish not accounted for to the satisfaction of the licensing authority will render the licence liable to cancellation and licensee being proceeded against under the provisions of the Act or those rules.
(XI) The licensee shall be bound by any additional rules and conditions that may be prescribed under the Act and shall, if so required by the licensing authority or any officer authorised by such authority, deliver the licence for amendment or for issue of a fresh licence.
23 (XII) Officers of the Prohibition and Excise Department, not below the rank of an Excise Supervisory Officer/Divisional Excise Officer/Taluk Excise Officer and Officers of the Police Department not below the rank of Sub-Inspector of Police and Officers of the Revenue Department not below the rank of a Revenue Inspector, are authorised to inspect the licensed premises, check the accounts maintained under the licence, and carry out the duties and perform the functions pertaining to them under the Act and these rules. The licensee is prohibited from having any pecuniary dealings whatever with such officers.
(XIII)The licensee shall not employ any person who suffer from leprosy or any contagious disease or a person convicted of any offence, in any capacity within the licensed premises.
[G.O.(Ms.) No.185, Home Department, dated 11 th January, 1962] (XIV) At the closure of each month, the licensee shall prepare a return of transactions in Form D. Rt. Showing the opening balance, receipts, issues and closing balance, with amount of gallonage fee, if any, paid by him during the month and send it on or before the 15 th of the succeeding month to the Collector of the District through the Deputy Commissioner (Excise)/Assistant Commissioner (Excise) concerned. The particulars in respect of each commodity dealt with under the licence shall be shown separately in the return.
11. The provisions of sections 13 and 14 and Chapter V of the Act shall apply mutatis mutandis to a breach of all / any of this rules.
12. Nothing in these rules shall affect the operation of the Medicinal and Toilet Preparations (Excise Duties) Act, 1955 (Central Act 16 of 1955) or the rules made thereunder.
[G.O.(Ms.) No. 222, Home Department dated 31 st October 1968].
13. Special Provisions in respect of licensees for the possession and use of denatured spirit in the manufacture of specific commodities etc :- Notwithstanding anything contained in these rules :-
(1) Any licence:-
(a) For the possession and use of denatured spirit in the manufacture of spirit based commodities specified in clause (i) of section 20 C ;
(b) For the possession and sale whether wholesale or retail of denatured spirit or of varnish (French Polish) specified in clause (ii) of the said section 20-C shall be issued only by the State Government.
(2) The State Government while granting a licence for the purposes mentioned in clause
(1) may impose a condition :-
(a) As to the maximum quantity upto which the spirit based commodities may be manufactured.
(b) As to the maximum quantity upto which denatured spirit or varnish (French Polish) may be possessed and sold either wholesale or retail ;
(c) As to the maximum quantity upto which denatured spirit shall be supplied for the purpose mentioned in sub-clause (a) of clause (1) ;
(d) The licensees for the purpose mentioned in clause (1) shall obtain denatured spirit only in accordance with the terms and conditions of the licences and from the sources specified therein.
(3) Any sale of denatured spirit or of varnish (French Polish) by the licensees for the purpose mentioned in sub-clause (b) of clause (1) shall be subject to prior approval of the State Government.
24 [G.O.(Ms.) No. 2380, Home ,Prohibition and Excise Department, dated 30 th September, 1970].
13A. Payment of duty and fee in certain cases not withstanding anything contained in these rules any holder of a licence under these rules paying a lower duty or fee immediately before the 12 th May 1981, then the fee or duty specified under these rules as amended by the notification issued with G.O.(Ms.)No.28, Prohibition and Excise Department, Dated 12 th May 1981 shall be liable to pay the fee or duty specified in these rules as so amended, subject to any remission or reduction if any ordered by the Government.
(G.O.(Ms.)No.28 Prohibition and Excise(III) Department, dated 12.05.81).
Rules Amendment -2018 13.6.18 25 APPENDIX - I OFFICIAL LABORATORY TESTS TO ASCERTAIN THE SUITABILITY OF SAMPLES OF LIGHT CAOUTCHOUCINE AND PYRIDINE BASES FOR DENATURING SPIRIT SPECIFICATION OF LIGHT CAOUTCHOUCINE
1. Nature :- By “Caoutchoucine” is meant the liquid obtained by the dry distillation of vulcanised rubber. By “Light Caoutchoucine” is meant the liquid obtained by re-distilling “caoutchoucine” and collecting that portion which possess over at or below about 200 degree centigrade.
2. The Specific Gravity of Light Caoutchoucine :- The Specific Gravity of light Caoutchoucine at 15.5 centigrade should lie between 0.835 taking the specific gravity of water to be 1000.
3. Boiling Test :- For the purpose of this test 100 ml. of light Caoutchoucine should be redistilled in the pyridine testing flask (see specification for pyridine bases). Under those conditions not more than 15 ml of distillate should pass over at or below 100 degree centigrade. Whilst a total (including the foregoing) of at least 70 ml. should pass over at or below 200 degree centigrade.
4. Absence of Soluble Constituents :- When 25 ml. of light Caoutchoucine are shaken with equal volume of water in a stoppered graduated cylinder and due time is allowed for the liquids to separate again into two layers, the light Caoutchoucine should show no appreciable diminution in volume.
5. Neutrality :- The aqueous layer obtained from test (4) should show no marked acidity or alkalinity when tested with both red and blue litmus papers.
6. Limit of Saturated Hydro-Carbons :- At least 70 percent ml. of the light Caoutchoucine should be soluble in concentrated sulphuric acid. For testing this, 25 ml.
should be measured off in a tapped and stoppered separating cylinder of suitable capacity and sulphuric acid should be added, at first with great care and in very small quantities.
After each addition of acid, the cylinder should be shaken and cooled to avoid lose of volatile constituents. Sufficient acid must be used (usually about 50 ml.) for the high coloured layer to become quite fluid so that it can separate readily from the upper layer of un-attacked constituents. After a final thorough shaking and cooling, the cylinder should be left for about three hours to effect complete separation of the two layers and the lower layer be then tapped off. The almost colourless upper layer should be again shaken with strong sulphuric acid until it appears free from soluble constituents (as judged by the colour imparted to the Sulphuric Acid) and separated as before after standing. It should finally measure not more than 7 ml. The acid used should be of specific gravity 1.84 and may be of commercial quality.
26
7. Freedom from Water :- Light Caoutchoucine should not contain any appreciable amount of water. Any officer engaged in drawing samples for test should certify on the bottle that he has drawn the sample from the bottom of the containing vessel where the water, if present will be found. For this purpose he should employ a syphon tube of which the shorter limp reaches to the floor of the containing vessel. He should also assure himself that the sample is collected in a bottle free of moisture.
II. SPECIFICATION OF PYRIDINE BASES
1. Colour :- The colour must not ordinarily be darker than that given by 2 ml. of deconormal iodine solution dissolved in one litre of distilled water.
2. Mixibility with Water :- The Pyridine bases should mix readily and completely with spirit and should give a clear or only a lightly opalescent solution when mixed with twice their volume of water.
3. Amount of Water Presence :- From 20 ml. of the Pyridine bases mixed with 20 ml. of Caustic Soda Solution (density 1.4) at least 18.5 ml of the bases should separate after having been repeatedly shaken together and allowed to stand.
4. TITRATION :- Dissolve 1 ml. of Pyridine bases 9.5 ml of distilled water. Titrate with normal sulphuric acid until a drop of the mixture gives a definite blue spot, on congored paper (the blue colour should at once disappear). At least 9.5 ml of the normal sulphuric acid should be required to produce this reaction. (To prepare the congored paper, dissolve one gram of congored in one litre of distilled water. Soak filter paper in this and then dry).
5. Cadmium Choride reaction :- Vigorously shake together 10 ml. of a solution of 1 ml of Pyridine bases in 100 ml of a distilled water with 5 ml of a five percent solution of dry fused cadmium choride. A distinct crystalline precipitate should immediately result and there should be an abundant separation of crystals with ten minutes.
Another 10 ml. of the above 1 percent aqueous solution should give a white precipitate when mixed with 5 ml. of Nesseler‟s Reagent.
6. Boiling Point :- Distil 100 ml. of Pyridine base in the manner described below. At least 50 ml. should distil over at or under 140 degree centigrade and a total of 90 ml. at or under 160 degree centigrade.
Method :- One hundred millilitres of Pyridine bases are placed in a short necked copper flask of about 200 ml. capacity. The flask is arranged on an absetors card which has a circular hold of 30 mm diameter out in it. To the flask is attached a fractioning column (consisting of a tube 13 mm. Wide and 170 mm long provided with one bulb), or which the side tube (issuing 1 mm above the bulb) joints a liebig‟s condenser of which the cooled part is atleast 400 mm long. A standard thermometer is placed in the head of the column so that its bulb occupies the centre of the bulk of the column.
27 The speed of distillation is adjusted to 5 ml per minute, the distillate being received in a graduated glass cylinder. Atleast 50 ml should distil over at or under 140 degree centigrade and 90 ml at or under 160 degree centigrade at a baromatric pressure of 760 ml.
If the barometer varies from 760 mm, a correction of 1 degree centigrade for each 30 mm of variation should be applied, e.g., under 770 mm of pressure 50 ml of distillate should come over at or under 140.3 degree centigrade whilst under 750 mm the same amount of distillate should come over at 139.7 degree centigrade.
Note :- „Pyridine proper‟ is a single definite compound (CH5N) boiling at about 116 degrees centigrade. „Pyridine bases‟ are mixture of Pyridine with closely allied compounds boiling at various temperatures. They are cheaper and more effective denaturants than pure Pyridine.
III. Specification for Woodnaptha :-
(a) Not more than 30 ml of the Woodnaptha should be required to decolourise 0.5 gm of Bromine.
(b) It should be neutral or slightly alkaline to litmus. 25ml. of Wood Naptha should require at least 5 ml. of N/10 acid using Methyl orange as indicator.
(c) It must contain atleast 72 per cent by volume of methyl alcohol (methanol) ; in order to estimate the amount of methanol the fractional distillation test (Government Laboratory, London) will be taken as standard.
(d) In 100 ml of woodnaptha, there should not be less than 5 gms of substances present (calculated as acetone) as measured by Messingner‟s test ; and
(e) There should not be less than 1.5 grams of esters pre-calculated as methyl acetate.
Note (1) :- The fractional distillation test is preferred to the methyl iodide test because certain difficulties are associated with carrying out the methyl iodide test as a regular practice in laboratories in India on account of the high temperature frequently prevailing.
Note (2) :- The following U.K. specifications in lieu of specifications (d) and (e) above are prescribed for woodnaptha provided the spirit denatured with it is not exported to places outside the state :-
(i) It should contain not more than 12 gms of acetene, aldehydes and higher ketones per 100 ml estimated as Acetone by the formations of iogorom according to Messenger‟s method.
(ii) It should contain not more than 3 grams of esters per 100 ml estimated as methyl acetate by hydrolysis.
28 APPENDIX II THE INTERIM STORAGE AT PRIVATE GODOWN IN TAMIL NADU STATE OF CONSIGNMENTS OF DENATURED SPIRIT BROUGHT FROM OUTSIDE THIS STATE AND INTENDED FOR SHIPMENT THROUGH THE CHENNAI HARBOUR OR THE TUTICORIN PORT SHALL BE SUBJECT TO THE FOLLOWING CONDITIONS CONDITIONS
1. The godown for the storage shall be sufficiently strong and secure and shall be provided with locking arrangements to the satisfaction of the Collector.
2. All means of communications from and to the godown shall be effectively barred, when the main entrance of the godown is closed and locked as required in conditon 3.
3. The godown shall be under the joint lock and key of the Excise Supervisory officer/ Divisional Excise Officer/ Taluk Excise Officer and of the Company. The Excise Supervisory Officer/ Divisional Excise Officer/ Taluk Excise Officer shall secure it with an Abkari lock.
4. Only the quantity of denatured spirit actually allowed for export on any particular occasion shall be brought into the godown. The Company shall satisfy the Excise Supervisory Officer/ Divisional Excise Officer/ Taluk Excise Officer in charge of the godown as to the bonfides of each export.
5. The place of export and the quantity contained in each drum shall be indicated on each drum in red paint in addition to usual marks made on it, at the time of issue from the distillery. Only metallic drums in sound condition shall be used for the purpose and they should be serially numbered in respect of each consignment.
6. The export permit granted by the Excise authorities of the exporting State shall accompany the consignments intended to be stored at the godown in Chennai or at Tuticorin Port and shall be handed over to the Excise Supervisory Officer/ Divisional Excise Officer/ Taluk Excise Officer in charge of the godown or arrival of the consignments. The Excise Supervisory Officer/ Divisional Excise Officer/ Taluk Excise Officer will make necessary verification and endorse the results on the reverse of the export permit and return it to the company. Similarly at the time of releasing the consignment for export the company shall hand over the export permit to the Excise Supervisory Officer/ Divisional Excise Officer/ Taluk Excise Officer who will again endorse the fact of release of the consignments on the export permit.
7. The Company shall pay a supervision fee of Rs. 5 (Rupees Five only) for each visit made by the Excise Supervisory Officer/ Divisional Excise Officer/ Taluk Excise Officer.
29 The amount shall be credited into the Reserve Bank of India, Chennai under the head VIII, State Excise Duties – (K) Collection of payments for services rendered. The company shall send a written requisition to the Excise Supervisory Officer/ Divisional Excise Officer/ Taluk Excise Officer with a chalan for Rs. 5 as evidence of payment of supervision fee, two days in advance of the date on which the consignment is expected to arrive at the godown or expected to be released for export.
8. No allowance will be made for wastage either during the storage of the consignment or during its passage through this State. The Company shall obtain an authenticated certificate from the Officer-in-Charge of the distillery of issue showing the quantity of denatured spirit in each drum and its gross weight at the time of issue from the distillery and produce the certificate before the Excise Supervisory Officer/ Divisional Excise Officer/ Taluk Excise Officer along with the export permit mentioned in condition 6.
Similarly the company shall furnish satisfactory evidence showing the quantity of denatured spirit accepted for shipping and the gross weight of each drum and produce the certificate before the Excise Supervisory Officer/ Divisional Excise officer/ Taluk Excise officer on the day following the shipment of the consignments from the harbour. Any difference in the weights and at the time of shipping shall be accounted for by the Company to the satisfaction of the Commissioner of Prohibition and Excise, Chennai.
9. If leakage of denatured spirit is noticed in any drum or if any drum shows signs of having been tampered with in transit, duty will be levied on the quantity of the spirit found deficient at the rate applicable to plain rectified spirit as calculated from the strength of the spirit at the time it left the distillery.
10. The Company shall deposit with the Collector of Chennai in cash or in Government Promissory Notes, a sum of Rs.1,000 (One Thousand only) as security for the due observance of the conditions and shall execute a counter part agreement in the Form in Annexure B stipulating the conditions prescribed herein.
In case of non-observance of the terms of the special permission the security so deposited shall be forfeited to Government and the permission withdrawn. The forfeiture of deposit and withdrawal of permission shall not be held to prevent the Company from being prosecuted under the Tamil Nadu Prohibition Act, 1937 of the Tamil Nadu Denatured Spirit, Methyl Alcohol and Varnish (French Polish) Rules, 1959.
11. True accounts of all receipts into and despatches from the godown shall be maintained in the Form Annexure „A‟ and shall be produced for inspection before the Excise Supervisory officer/ Divisional Excise officer/ Taluk Excise officer in charge of the godown or any other Government Officers competent to inspect them.
12. The Government shall not be held responsible for the destruction or loss of, or damage to any consignments of spirits deposited in the godown by fire or theft or by any other cause whatever. In respect of matters not provided for herein, the decision of the Government shall be final.
13. The Company shall abide by any order or instructions which may be issued from time to time by the Government or by the Commissioner of Prohibition and Excise, Chennai.
30 ANNEXURE – A Date of arrival of Number and Date of Quantity and Weight of Date of the consignment export permit granted by kind of each Drum verification of denatured the exporting State denatured by the Asst.
spirit (period of currency to be spirit. Commercial
(1) entered)
(3) (4) Tax Officer
(2) (5) Qty. Qty. No. and Date of Weight of each Difference Remarks found on released for the Chalan in drum as in Weight verificat- export which the recorded by [Column (4) ion (place to be amount of Customs Dept. minus mentioned) Supervisor’s fee at the time of Column(9)] is remitted. accepting the goods for
(6) (7) (8) shipment.
(10) (11)
(9) ANNEXURE – B (TO BE EXECUTED ON STAMP PAPER OF THE VALUE OF RS. 2.50) We _________________ the above named company agree with the Governor of Tamil Nadu to be bound by all the terms and conditions herein before mentioned and have deposited with the Collector of _____________________ the sum of Rs.______________________ as Security for the due observance by us of the said terms and conditions and reagree further the Government of Tamil Nadu are entitled to forfeit the said security deposit in case of nonobservance by use of the said terms and conditions.
Witness (1) Witness (2) Dated :- Signature of the Company 31 APPENDIX – III (List of Forms) Sl.No Code Letter Description Rule Number of the Form
(1) (2) (3) (4) 1 D.A. 1. Form of application for grant / renewal of licence 9 (i) under the Tamil Nadu Denatured Spirit, Methyl Alcohol and Varnish (French Polish) Rules, 1959.
2 D.L. 1. Form of licence for wholesale vend of denatured 8(a) spirit / Methylated spirit / methyl alcohol.
3 D.L. 2. Form of licnece for possession and use of 8(a) denatured spirit / Methylated spirit / methyl alcohol either as such and/or in the manufacture of specified commodities other than varnish.
4 D.L. 3. Form of licence issued to an officer of the 8 (a) Southern Railway for storage and use of denatured spirit / Methylated spirit / methyl alcohol and its distribution to outstations or the Railway institutions in Tamil Nadu under his control.
4-A D.L. 3 (a) Form of licence issued to the Chief Ordinance 8(a) Officer, Base Ordinary Depot, Avadi, for storage of denatured spirit and its distribution to Military Hospitals, Laboratories and other Army units in Tamil Nadu and/or in other States.
5 D.L. 4 Form of Licence for retail sale of denatured spirit 8(a) / Methylated spirit / methyl alcohol.
6 D.L. 5 Form of licence for possession and use of 8(a) denatured spirit in the manufacture of varnish and use of sale of varnish.
7 D.L. 6 Form of licence for possession and use of 8(a) Varnish.
8 D.L. 7 Form of licence for possession of varnish by an 8(a) officer of the Southern Railway of use and distribution to outstations or other Railway institutions in Tamil Nadu under his control.
9 D.L. 8 Form of Licence for sale of varnish. 8(a) 10 D.L.9 8(a) 32 Sl.No Code Letter Description Rule Number of the Form
(1) (2) (3) (4) 11 D. Ac. 2 Form of account to be maintained by holder of a 8(a) licence in Form D.L. 2.
12 D. Ac. 3 Form of account to be maintained by holder of a 8(a) licence in Form D.L. 3.
12-A D. Ac. 3(a) Form of account to be maintained by holder of a 8(a) licence in Form D.L. 3(a)
13. D. Ac. 4 Form of account to be maintained by holder of a 8(a) licence in Form D.L. 4
14. D. Ac. 5 Form of account to be maintained by holder of a 8(a) licence in Form D.L. 5
15. D. Ac. 6 Form of account to be maintained by holder of a 8(a) licence in Form D.L. 5 / D.L. 6.
16. D. Ac. 7 Form of account to be maintained by holder of a 8(a) licence in Form D.L. 7
17. D. Ac. 8 Form of account to be maintained by holder of a 8(a) licence in Form D.L. 5 / D.L. 8 18 D.Id. Form of indent for denatured spirit/ Methylated 8(b) spirit/methyl alcohl/varnish.
19. D. Lf. Form of flyleaf of the licence to be used whenever licensees indents for supply.
20. D. L. b I Form of label to be affixed on bottle, jar, cask or 10 (VI) (i) any receptacle containing denatured spirit.
21. D. L. b II Form of label to be affixed on bottle, jar, cask or 10 (VI) (i) any receptacle containing Methylated spirit.
22. D. L. b. III Form of label to be affixed on bottle, jar, cask or 10 (VI) (I) any receptacle containing methyl alcohol.
23. D. L. b IV Form of label to be affixed on bottle, jar, cask or 10 (VI) (ii) any receptacle containing varnish.
24. D. Rt. Form of return showing the transactions to be 10 XVI sent by holder of a licence under the Tamil Nadu Denatured Spirit, Methyl Alcohol and Varnish (French Polish) Rules, 1959.
25. CIB Form of Inspection Book 10 VIII 33 Sl.No Code Letter Description Rule Number of the Form
(1) (2) (3) (4)
26. DIP Form of Import Permit 5 (I) and (ii) and 8 (b)
27. D.T.P. Form of Transport Permit. 6 (ii) and 8(i) 34 APPENDIX – IV FORM D.A. I [See Rule 9(1)] APPLICATION FOR GRANT / RENEWAL OF LICENCE UNDER SECTION 54 OF TAMIL NADU PROHIBITION ACT, 1937 (TAMIL NADU ACT 10 OF 1937, UNDER THE TAMIL NADU DENATURED SPIRIT, METHYL ALCOHOL AND VARNISH (FRENCH POLISH) RULES, 1959.
HERE AFFIX TWO RUPEE COURT FEE LABEL.
To The Collector(except DL 2) and renewal.
The Commissioner of Prohibition and Excise, Chepauk , Chennai-600005 Kind of licence f