Delhi HC Reserves Verdict on Restaurant bodies' plea against service charge ban

Following a fire incident at a Rajouri Garden restaurant that forced students from a nearby coaching institute to escape by jumping to an adjacent building, the Delhi government has ordered a comprehensive fire safety audit across the city.  

Delhi Chief Minister announced that the restaurant’s fire No Objection Certificate (NOC) had already been canceled prior to the incident due to non-compliance with fire safety norms, specifically the requirement for two exit points in every restaurant.  

Addressing the issue, she stated, “Whoever is found guilty in this incident will face the strictest action. I have also directed the Delhi Fire Services to conduct a fire safety audit across the city. If any restaurant is found violating fire safety norms, immediate action will be taken.”  

The directive highlights the government’s focus on ensuring adherence to fire safety regulations in commercial establishments, especially those operating in high-density areas. The citywide audit is expected to assess existing safety measures and enforce compliance to prevent similar incidents in the future.

The government has invited milk cooperatives to run Delhi Milk Scheme (DMS) a dairy retail unit started by the first President of India Rajendra Prasad in 1959 on lease for 30 years, an alternative of cater to the milk needs of Delhiites.

The bid document for the same was released by Union agriculture ministry released on Wednesday.

DMS has piled up losses of nearly Rs 900 crore and just has 6% market share in the capital’s milk market, but it sits on huge real estate and retail infrastructure in prime areas of Delhi.

It could be picked up by Amul brand owner Gujarat Cooperative Milk Marketing Federation (GCMMF) or other prominent milk cooperatives that have shown interest in it in the past, officials said.

The document said, “The agriculture ministry intends to hand over the operations and management of DMS to a profitable and professionally run cooperative dairy federation or other semi-government organisation with a proven track record in dairy processing and marketing for an initial period of 30 years and renewable thereafter.”

DMS has a milk processing plant of 5 lakh litres of milk per day capacity located in the heart of Delhi and spread over 25 acres. It also has five milk collection and chilling centres plus 566 milk booths located at various places in Delhi and NCR. “It is expected that with the viable operation of DMS, through the appointment of a concessionaire, the financial burden on the government on account of funding losses incurred by DMS would reduce and there shall also be a net gain by way of realised lease rentals,” the government bid document said.

Around 700 employees, working with DMS, shall be placed in the ‘surplus pool’ and can be redeployed elsewhere by the government, if they opt not to work for the cooperative or are not selected to work for it.

The bid winner will earn all the rights to use DMS assets and the brand for 30 years and decide price of the milk product, but the ownership will be retained by the government of DMS’ land, buildings and the brand.

The cooperative are also open to revamp, modernise, and increase capacity of the land and building, plant and the machinery of DMS for milk at their own expenditures. The contract could be given this September.

The decision to lease DMS took its time coming as the proposal had been pending since the time of the previous UPA government.

The Indian Medical Association flagged objection to South Delhi Municipal Corporation's proposal prohibiting open display of meat by restaurants, and said the move was not rational and if hygiene was the concern why keep vegetarian food out of the order.

IMA President Dr K K Aggarwal said “if contamination of food was the reason behind the decision, saying the move was not justified as vegetarian food and snacks which are sold at kiosks and carts by vendors on the street are equally at risk of getting contaminated. We do not find any rational behind the move that prohibits display of only non-vegetarian food outside shops, restaurants. If contamination of food is the concern then why keep out vegetarian food and snacks out of this order. Vegetarian food and snacks like veg rolls, aloo-tikki, golgappe which are sold at kiosks and thelas by vendors on the street are equally at risk of getting contaminated.

Similar reservations were flagged by doctors of AIIMS, who had described the move as "baseless" considering it was suggested to keep food hygienic.

A senior doctor said “Any food, be it vegetarian or non vegetarian, prepared along roadside can become contaminated and cause food poisoning, typhoid, dysentery, etc. Bacterial pathogens which are found in roadside eateries may cause vomiting and diarrhoea along with typhoid, food poisoning and inflammation of the gastrointestinal tract”.

A spokesperson of the SDMC said, "The proposal would now be sent to the Commissioner to be examined, if it in accordance with the DMC Act."

South Delhi is home to many eateries and restaurants selling meat products, such as Hauz Khas, New Friends' Colony, Kamal Cinema in Safdarjung Green Park, Amar Colony Market near Lajpat Nagar.