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The Attorney General has informed the Supreme Court that five liquor manufacturing companies, including the leading W. M. Mendis & Co., risk having their licences suspended if they fail to settle outstanding tax arrears by 30 November.
The announcement was made yesterday during a hearing before a Supreme Court bench comprising Justices Prithi Padman Surasena, Yasanta Kodagoda, and Priyantha Fernando.
Additional Solicitor General Nerin Pulle, representing the Commissioner General of Excise, stated that the Excise Department has issued final notices to the five companies to clear their arrears by the end of the month. If the payments are not made, the department has decided to proceed with suspending the companies’ licences.
This directive came in response to a Fundamental Rights Petition filed by social media activist Sanjay Mahawatta, alongside other petitioners, demanding that the Commissioner General of Excise take action against the companies, which collectively owe the Government nearly Rs. 6 billion. The petition requests the Court to ensure that the owed tax is collected and to cancel the licences of defaulting companies if they fail to meet their tax obligations.
The Supreme Court bench has scheduled the next hearing for 22 January, instructing that an update on the tax collection process be provided at that time.