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HC flags ‘hand in glove’ nexus in Chandigarh liquor vend case, seeks affidavit from Chief Secretary

HC asks Chandigarh Chief Secretary to explain why a show cause notice issued in this regard as far back as August 7, 2025, has not been taken to its logical conclusion

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Punjab and Haryana High Court.
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Admonishing the UT Administration for a prima facie “hand in glove” nexus with the owner of a Sector-17 building and a liquor licencee, the Punjab and Haryana High Court has directed the Chief Secretary, Chandigarh Administration, to explain how a building declared unsafe and ordered to be demolished continues to house a liquor vend.

The bench headed by Chief Justice Sheel Nagu also asked the officer to explain why a show cause notice issued in this regard as far back as August 7, 2025, has not been taken to its logical conclusion.

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“The Chief Secretary of the Chandigarh Administration is directed to file an affidavit explaining as to why the show cause notice dated August 7, 2025, has not yet been taken to its logical end? And as to how the building unsafe for human habitation, which was ordered to be demolished, has been allowed to be occupied for running a liquor vend. Let an affidavit be filed before the next date of hearing," the bench observed.

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Fixing the matter for further hearing on April 30, the Bench asserted: “The UT Administration prima facie seems to be hand in glove with the owner and the licencee.”

The court expressed surprise at the manner in which the UT proceeded in the matter.

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“It is not only surprising but also shocking to note that since August 7, 2025, instead of taking further action, the concerned competent authority — the Sub-Divisional Magistrate (Central), exercising the powers of the Estate Officer, U.T. Chandigarh — has issued liquor licence in favour of CBD Biomedica India Pvt. Ltd. and allowed it to occupy a dilapidated building directed to be demolished,” the bench observed.

The bench added that the owner, obviously for earning money, had very conveniently occupied the premises and leased out the building to the liquor licencee.

Appearing for the petitioner were senior advocate Anand Chhibbar, along with counsel Vaibhav Sahni, Utkarsh Khatana and Inderjeet Singh. Additional Solicitor-General of India Satya Pal Jain appeared on behalf of the respondent Union of India, along with counsel Saigeeta Srivastava.

The proceedings arise out of a PIL concerning a building in Sector 17, Chandigarh, where the basement area was allegedly being misused as a liquor “Ahata”. The petitioner’s senior counsel submitted that the issue was no longer under litigation in view of an earlier final order dated April 8, 2025.

It was pointed out that the show cause notice had already been issued under Rules 10 and 14 of the Chandigarh Estate Rules, 2007, read with Section 8A of the Capital of Punjab (Development and Regulation) Act, 1952.

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