Orissa High Court Upholds Government’s Policy Decision on Liquor Shop Reopening: Not Subject To Routine Judicial Revie

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In a significant ruling that underscores the sanctity of government policy decisions, the Honourable Dr. Justice B.R. Sarangi and The Honourable Mr. Justice Murahari Sri Raman delivered a judgment upholding the denial of reopening an IMFL “ON” shop. The judgment, issued on August 14, 2023, carries far-reaching implications for the judicial review of government policies and decisions.

The petitioner had sought to challenge the rejection of their representation for reopening a liquor shop that had been previously closed due to a Supreme Court judgment prohibiting liquor sale along highways. The shop owner argued that subsequent relaxations provided by the apex court warranted the reopening of the establishment.

In their insightful observation, the bench emphasized, “The Government’s discretion to formulate policies and decisions, including licensing, is not subject to routine judicial review. Courts consider legality, not the wisdom of policy decisions.” The judgment made it clear that while the judiciary has the authority to review decision-making processes, it should not interfere with the rightful power of the government to make policy decisions.

The case revolved around the delicate balance between individual business interests and government policies aimed at ensuring public welfare. The bench held that the petitioner’s claim for reopening the shop in its original location was in direct conflict with the government’s well-considered policy decisions based on directions from the apex Court. This ruling reinforces the principle that judicial review should focus on the legality of the process rather than the correctness of policy decisions.

This judgment echoes several landmark cases that have reaffirmed the separation of powers between the judiciary and the executive branch. The bench’s decision serves as a reminder that the courts must exercise restraint in matters of government policy while safeguarding citizens’ rights through legal scrutiny of the decision-making process.

The ruling not only settles the specific case at hand but also contributes to the jurisprudence surrounding the review of government policies. As the legal landscape continues to evolve, this judgment stands as a testament to the judiciary’s commitment to upholding the principles of democratic governance and the rule of law.

 Date of Decision: 14th August, 2023

Shiv Prasad Bhagat vs State of Odisha & Ors. 

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