Leader of Opposition Pinarayi Vijayan on Tuesday levelled corruption allegations against the Kerala government over a Budget proposal granting tax concessions to low-alcohol liquor, triggering a fierce standoff inside the Kerala Legislative Assembly in Thiruvananthapuram. The Opposition walked out after the Speaker rejected their adjournment motion on the issue.

What Vijayan Alleged

Speaking during the discussion on the Opposition's adjournment notice, Vijayan claimed the tax concession proposal had been inserted into the Budget to benefit a specific private liquor company. He alleged the move was designed to favour a Karnataka-based liquor firm, naming Bacardi as the intended beneficiary.

'This will create an opportunity for a private liquor company to make huge profits. That is the serious issue involved,' Vijayan said. He further argued that the manner in which the proposal appeared in the Budget schedule itself suggested it had not been properly deliberated or planned.

Speaker's Ruling and Opposition Protest

Speaker Thiruvanchoor Radhakrishnan declined to admit the adjournment motion, ruling that the matter fell within the scope of the ongoing Budget debate and that the government would respond at the appropriate time. He also stated that Watch and Ward staff would not be deployed despite the protest inside the House.

Following the ruling, Opposition members raised slogans, entered the well of the Assembly, and subsequently staged a walkout — one of the more dramatic confrontations of the current Budget session.

Opposition's Broader Concerns

After the walkout, former Finance Minister K.N. Balagopal told reporters that the proceedings on the issue had reportedly been deleted from Sabha TV, which he said was 'something new' and deepened the Opposition's suspicions. 'Our fears of corruption are increasing as even this aspect has been deleted from the Sabha TV,' Balagopal said.

Balagopal also recalled that during the previous Left Democratic Front (LDF) government's tenure, a similar proposal — to produce wine and low-grade alcohol from fruits and vegetables — had been deliberately kept on hold owing to concerns about its potential social impact.

Context and What Comes Next

The controversy centres on whether a targeted tax reduction on low-alcohol liquor in the state Budget amounts to preferential treatment for a private player. The government is yet to formally respond to the specific allegations; the Speaker has indicated a rebuttal will come during the Budget debate. The episode adds to a pattern of Budget-session disruptions in the Kerala Assembly, where fiscal proposals touching on liquor policy have historically drawn sharp political reactions. How the ruling side addresses the Bacardi allegation in the House will determine whether the row escalates further.