(1) No person shall have in his possession any quantity of liquor in excess of such quantity as the State Government has under section 25, declared to be the limit of retail sale, except under the authority and in accordance with the terms and conditions of-
(a) a license for the manufacture, storage, sale or supply of such article, or
(b) a permit or a pass granted by the Collector in that behalf:
Provided that nothing contained in this sub-section shall apply to any liquor in the possession of a common carrier or an Excise Officer or a Police Officer or other official or person who has its lawful custody under this Act.
(2) A licensed vendor shall not have in his possession at any place, other than that authorized by his license, any quantity of any liquor in excess of such quantity as the State Government has, under section 25, declared to be the limit of sale by retail, except under a permit granted by the Collector in that behalf.
(3) Notwithstanding anything contained in sub-sections (1) and (2), the State Government may, by notification, prohibit the possession of any liquor or restrict such possession by such conditions as it may impose.