Bangalore: Opposition to the Government takeover of the wholesale trade in liquor is mounting, particularly in the coalition partner, the Janata Dal (Secular). The Government has cancelled the licences of private parties and entrusted the trade to Karnataka State Beverages Corporation Ltd.

Deputy Chief Minister B.S. Yediyurappa announced in the State Budget for 2006-07 the abolition of wholesale liquor licences from the new excise year (July 1, 2006). He said the decision would bring in additional revenue of Rs. 125 crore a year. The issue has now spilled over from the Legislative Assembly to the Cabinet room and threatens to divide the coalition partners. While the Bharatiya Janata Party is for the move, the JD(S) wants status quo maintained.

Opposition members in the Assembly in the recent session of the House demanded the withdrawal of the order taking over the wholesale liquor business. The members were of the view that the takeover would lead to the loss of jobs for over 10,000 people employed by the wholesalers.

Deputy Chief Minister B.S. Yediyurappa refused to oblige the Opposition.

But, the Opposition reiterated its demand in the Assembly on the last day of the session when Chief Minister H.D. Kumaraswamy was present in the House.

The Chief Minister said he was sympathetic to the plight of the employees working in the wholesaler dealerships. But, he said Mr. Yediyurappa was firm on the issue. He said he would talk to Mr. Yediyurappa on the matter.

Comes up in Cabinet

The issue is said to have figured at a Cabinet meeting held recently. Ministers from the JD(S) camp, it is said, were vociferous in demanding that the order be withdrawn. They argued that politically it would be an unwise decision to antagonise such a large number of workers.

One of the Cabinet members, it is said, even urged Mr. Yediyurappa to realise the political fallout of his decision, if the Opposition utilised the issue to its advantage by whipping up an agitation. If that happened, even the JD(S) would have to bear the brunt.

The JD(S) Ministers, it is said, tried to convince him that the corporation would have to take buildings on rent, make appointments on a large scale and make arrangements for transporting the liquor, all of which would cost not less than Rs. 60 crore a year. The workers would have to be paid according to government pay scales. Mr. Yediyurappa, it is said, could not give convincing replies.

Excise officials upset

Officials and employees of the Excise Department are reportedly upset over the gradual weakening of the department in favour of the beverages corporation.

There is a feeling that the Government is not serious in filling vacant posts, including 32 posts of superintendent and inspector, in the department.

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