Bengal liquor scam fallout deepens: Retailers seek overhaul after The Statesman’s expose

The alleged multi-crore liquor scam first exposed by The Statesman continues to cast a long shadow over West Bengal’s excise sector. As allegations linking Trinamool Congress (TMC) leader Abhishek Banerjee to the purported racket refuse to die down, an association representing more than 1,000 foreign liquor retailers has urged the BJP-led state government to overhaul the liquor distribution system and introduce sweeping reforms.

A delegation of the Society for the Welfare of West Bengal Foreign Liquor Licences met state’s Finance Minister Swapan Dasgupta at state secretariat Nabanna and submitted a memorandum seeking a series of policy and regulatory reforms aimed at improving business viability, simplifying licensing procedures and enhancing transparency in the regulated liquor trade.

Advertisement

The development comes weeks after The Statesman exclusively reported details of a confidential Excise Department report alleging that sweeping changes to West Bengal’s liquor distribution policy introduced in 2017 under the previous Mamata Banerjee-led TMC government paved the way for a monopolistic distribution network that allegedly siphoned off thousands of crores of rupees.

According to the report, the West Bengal State Beverages Corporation Ltd. (WBSBCL) replaced the existing network of 55 private wholesalers handling the distribution of foreign liquor and beer. The report alleges that the new arrangement compelled bottlers and liquor manufacturers to pay an additional ₹4 per crate towards warehouse charges and ₹3 per crate towards transportation, even though the logistics costs were ultimately borne by the manufacturers.

The confidential report further alleges that the policy, introduced in the name of improving transparency, preventing cartelisation and expanding consumer access, instead created a mechanism through which funds were diverted through a network of distributors. It claims that a portion of the collections ultimately reached the Trinamool Congress and Abhishek Banerjee. Banerjee has not publicly responded to the allegations.

The report also alleges that bottlers who refused to comply with the arrangement faced pressure. It cites IFB Agro Industries Ltd., which is said to have complained to the Excise Department alleging extortion and unlawful interference after resisting certain demands. The report is said to have been placed before Chief Secretary Manoj Kumar Agarwal, while Chief Minister Suvendu Adhikari has also been briefed on its findings.

Against this backdrop, the retailers’ association urged the government to introduce structural reforms to strengthen the regulated liquor trade.

Among its key demands were an end to differential treatment in excise-related cases until legal proceedings are concluded, enhancement of retailer margins, rationalisation of penalties and the formulation of clear guidelines for handling excise-related matters.

The association also flagged operational issues with the BEVCO portal and the electronic point-of-sale (EPOS) system, seeking technological improvements to ensure smoother business operations. It further urged the government to introduce a single-window clearance mechanism for licence approvals and expedite permissions for additional godowns required for business expansion.

Other demands included ensuring uninterrupted availability of liquor brands, reviewing additional charges reflected in invoices, compensating retailers for losses arising from supply disruptions and improving transparency by displaying product expiry dates on digital platforms.

“Licensed retailers are an important part of West Bengal’s regulated liquor distribution framework. We appreciate the opportunity to place our concerns before the Finance Minister. Our objective is to work collaboratively with the government towards practical reforms that address operational challenges, improve efficiency and strengthen the overall ecosystem while continuing to contribute positively to the state’s revenue,” Bijon Patra, the secretary of the Society for the Welfare of West Bengal Foreign Liquor Licences told The Statesman on Wednesday.