Corruption in Karnataka's Excise Department

Mysuru: The Karnataka Excise Department is embroiled in a major scandal as allegations of widespread corruption andbriberysurface, implicating Excise MinisterR B Thimmapur and various department officials. The Karnataka Wine Merchants’ Association has brought forward these accusations, calling on state authorities, including the Chief Minister and the Lokayukta, to investigate the alleged misconduct.

According to Association President Guruswamy, the corruption within the excise department extends far beyond isolated incidents. He claims that the department has seen extensive financial malpractice, amounting to hundreds of crores, with officials openly demanding bribes to issue licenses and approve transfers. The alleged involvement of high-ranking officials and even ministerial staff has led to an environment where bribes are reportedly standard practice, impacting liquor merchants statewide.

One of the core allegations involves bar licenses, which allow hotels to serve liquor in Karnataka. These licenses, typically priced between Rs. 4 to Rs. 8 lakh annually depending on location, have allegedly been issued illegally in exchange for bribes ranging from Rs. 30 to Rs. 70 lakh per license. In the past year alone, the association claims that 1,000 such licenses were issued through corrupt means, resulting in a cumulative loss of up to Rs. 700 crore.

Further complaints suggest that the minister’s office has engaged in extortion practices, targeting the proceeds from these licenses as well as monthly collections from bars across the state. Guruswamy alleges that officials have openly acknowledged their payments to the minister, emphasising how deeply entrenched these practices have become.

The Karnataka Wine Merchants’ Association has formally submitted a letter to the Chief Minister, seeking an end to the alleged corruption and a reduction in the excessive costs tied to licenses. Despite these complaints, Guruswamy noted that little attention has been paid to the matter thus far, even as public funds and industry resources continue to be misappropriated on a massive scale.

The association has warned that if immediate action is not taken, they will escalate their complaints to central investigative agencies, including the Central Bureau of Investigation (CBI). The plea underscores the growing frustration within the industry, with liquor merchants experiencing regulatory and financial strain under the current system.

As these allegations come to light, there is significant public pressure on the Karnataka government to conduct a thorough investigation into the excise department’s practices and ensure accountability for the alleged corruption.