Law to regulate prices of hotel food

Thiruvananthapuram:  Kerala Cabinet on Wednesday approved a Bill seeking to regulate food prices in hotels and restaurants in the State.

The Bill proposes formation of food prices regulation authority at the district level. The main function of the authority will be registration of hotels and restaurants and regulation of food prices. A district judge or person with qualifications for appointment as a district judge will head the authority. The government will nominate six members.

Hotels and restaurants shall not sell food items at prices other than that fixed by the district authority. If they proposed to hike prices, they should apply to the authority with prescribed fees and the authority shall take a decision on the application within a month.

The authority will be empowered to cancel registration of hotels and restaurants if they violate the rules. Local self governments should cancel their licenses when the authority communicates to them the cancellation of registration. The authority can impose a fine of Rs. 5000 if an eating house is being run without registration or if a registered hotel or restaurant overcharges the customers. Decisions of the authority could not be questioned in a civil court.

The proprietors could, however, appeal to State Food Commission against orders of the district authority. Appeal on decisions of the Commission will lie with State Government. The Government could also, suo motto, review decisions of district authorities.

Bakeries, makeshift eateries (tattukadas) and fast food centres will come within the definition of hotels. However, star hotels, heritage hotels and staff canteens of government and private institutions will not come under the purview of the proposed law.