SC Stays Rajasthan HC Order on Highway Liquor Shop Restrictions

The State Government cited an earlier Supreme Court ruling in Tamil Nadu case in which liquor shops located within urban municipal limits were exempted from this restriction

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January 20, 2026 – The Supreme Court has stayed the compliance of the Rajasthan High Court’s order directing the removal or relocation of 1,102 liquor shops in Rajasthan located within urban limits along national and State highways.

A Bench comprising Justice Vikram Nath and Justice Sandeep Mehta passed the interim stay on Monday (January 19) while hearing special leave petitions filed by the State Government and liquor shop license holders.

Earlier, on November 24, 2025, the Rajasthan High Court had ordered the removal or relocation of liquor shops falling within a 500-metre radius of national and State highways. Expressing serious concern over the rising number of road accidents owing to the availability of liquor near highways, the High Court had observed that public safety under Article 21 of the Constitution is more important than a potential revenue loss of Rs 2,100 crore.

Appearing for the State Government, Solicitor General Tushar Mehta and Additional Advocate General Shivmangal Sharma argued that the High Court had effectively re-imposed the 500-metre liquor ban, which is contrary to the Supreme Court’s ruling in the Tamil Nadu case. Following the Supreme Court’s earlier order, liquor shops located within urban municipal limits were exempted from this restriction.

Senior advocates Mukul Rohatgi and Naveen Pahwa, representing liquor licence holders, also opposed the High Court order.

Source: Media Reports

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