The judgment establishes the importance of abiding by the decisions of appellate authorities in licensing processes and emphasizes the limitations of the writ jurisdiction under Art.226 of the Constitution of India.

Issuance of licence is a quasi judicial act. Even if the applicant for the licence in question is all alone, the authority concerned with the grant of licence is required to consider the pros and cons of the situation. I n this context, a question of law of genera! importance requires consideration and consequent decision. The question is whether in the matter of grant or rejection of licence, the licensing authority itself could be said to be aggrieved in the process so that the question can be agitated before the higher authorities.

2. The question comes up for consideration under the provisions of the Kerala Panchayat Act, 1960. The procedure with regard to the functioning of the Panchayat after its establishment shows that the panchayat functions under the president ship of the President of the said Panchayat or in his absence by the Vice-president and in the absence of both by a member chosen by the meeting to preside over the occasion. The procedure further spells out that the proceedings of the meetings are required to be recorded in what are known as minutes of the meeting and decision in regard thereto is commonly known as the resolution of the Panchayat. The resolution of the Panchayat is to be put into practice in accordance therewith by the executive officer. Sometimes there are stages leading to the passing of the resolution of the Panchayat for which the committees are constituted in accordance with the procedure. Even in regard to situations of dispute, such a dispute is to be taken up for consideration by the Deputy Director of Panchayat who has to either decide it himself or has to collect material on the basis of enquiry in regard thereto.

3. In the matter of certain activities, considerations of public safety, convenience and health are relevant and in accordance with the provisions of Chapter V of the said Act activities which require consideration of the above factors statutorily require permission. Also, apart from the above factors, there are certain situations relating to the activities which are characterised as activities that cannot be commenced without a licence. In regard thereto, S.97 of the Act is a matter of concern in relation to the factual matrix of this petition. The said provision enacts that without the permission of the Panchayat and except in accordance with the conditions specified in such permission, no person shall install any machinery or manufacturing plant driven by any power, not being machinery or manufacturing plant exempted by the rules. Such an application obviously is to be preferred before the Panchayat and is to be considered by the Panchayat functioning under the President ship by a resolution either of acceptance or of rejection.

4. This particular process, under Sec. 144 of the said Act is subject to the statutory appellate provision specified therein.

5. It is necessary to refer to the said provision of appeal and revision (sec. 144 of the act) in the context of the question involved, both as regards the maintenance of the revision application before the State Government and also in regard to the question of maintainability of petition under Art.226 of the Constitution in this situation. The said provision relates to the action of the executive authority under the provisions of the Act or the Rules framed thereunder and it is enacted in the context that any person aggrieved by an order or an action of the Panchayat may appeal to the Deputy Director of Panchayat (respondent No. 2) who may pass orders under the said power (see S.144(2) of the act). Apart therefrom the State Government has a discretionary revisional power, on consultation in a proper situation either of the Collector, the Director, Deputy Director or such other officer or authority, at any time, either suo motu or on application to call for and examine the record and pass appropriate orders [see S.144(3)]. The question in the context for consideration is as to whether there is any remedy by way of