(1)
On the expiry of his licence (unless a fresh licence has been granted to him) or if his licence be cancelled or suspended, the contractor shall be bound to leave, if so ordered by the Excise Commissioner, in each of the warehouses quantity of spirit equal to the average quantity sold in one month at such warehouse during the 12 months immediately preceding, provided that the quantity of spirit so left shall be paid for at the rate at which the new contractor shall have agreed to supply country spirit to such warehouse, or, if such rate be not accepted by him or if there be no such licensee then such rate as may be fixed by the State Government. The outgoing contractor, shall within 10 (ten) days of the receipt of written notice from the District Collector, remove any quantity of spirit in any warehouse in excess of such quantity as is required to be left as prescribed above, on payment of dull duty, or under bond for payment of duty, unless he can arrange its disposal with the incoming contractor.
(2)
If he shall fail so to remove or dispose of all surplus spirits within 10 (ten) days of receipt of written notice from the District Collector, the cost of any establishment which may be necessary to employ at any of the warehouses may be recovered from him, and in default of his so doing within 1 (one) month, the spirit shall be liable to forfeiture at the discretion of the Excise Commissioner.