Liquor Distillery From MP Moves Supreme Court Against CCI Probe Into Alleged Bid Rigging

Associated Alcohols & Breweries Ltd has moved the Supreme Court challenging the Madhya Pradesh High Court's September 17, 2026 order upholding the Competition Commission of India's (CCI) probe into alleged bid rigging, collusive bidding and market allocation by liquor distilleries operating in Madhya Pradesh.

The High Court had dismissed a batch of writ petitions challenging the CCI proceedings, including its direction to the Director General to investigate the alleged anti-competitive conduct.

A Bench of Justices K.V. Viswanathan and Arun Palli while hearing the matter, took note of the submission made on behalf of the Union that it had also challenged the same High Court order before the Supreme Court by filing a separate Special Leave Petition.

"Learned counsel for the State submits that against the same order, the State has also filed a special leave petition in SLP Diary 69500/2026. Let the matter be listed along with SLP Diary No. 34869/2026, after obtaining orders from Hon'ble the Chief Justice of India.", the Court said.

Appearing for Associated Alcohols & Breweries Ltd, counsel submitted that the genesis of the dispute lay in the allegedly flawed excise policy of the Madhya Pradesh Government. He argued that the State's policy permitted only manufacturers having distilleries within Madhya Pradesh to manufacture country liquor.

Counsel explained that the State determined the price at which country liquor was to be sold, while manufacturers supplied liquor to retailers, who subsequently determined the price at which it was sold to the ultimate consumers.

He submitted that the challenge also concerned the validity of the underlying State excise policy and informed the Bench that the Madhya Pradesh Government had independently approached the Supreme Court by filing an SLP against the High Court's order.

The Court indicated that the State's SLP could be listed along with the pending proceedings arising from the distilleries' challenge.

Additional Solicitor General N. Venkataraman appeared for the Union of India.