The decision reinforced that the issuance of No Objection Certificates under the Petroleum Rules is governed strictly by regulatory compliance, independent of local objections.

J U D G M E N T

S. Manikumar, C.J.

Instant writ appeal has been filed challenging the judgment dated 16.09.2021 in W. P. (C) No. 27651 of 2020, by which a learned Single Judge dismissed the writ petition, filed for the following relief:-

“Call for the records leading up to Ext. P6 NOC and quash the same by issuance of a writ of certiorari or any other appropriate writ, order or direction.”

2. Short facts leading to the writ petition are as hereunder:-

According to the petitioner/appellant, he is residing in R.S.No.

104/12 in Block No. 10 of Pallikkal Grama Panchayath, adjacent to Mr. Ibrahim, the 9th respondent.

Appellant has submitted that Mr. Ibrahim, along with Mr. Ragul, the 10th respondent, proposed to start a petroleum retail outlet of Bharat Petroleum Corporation Ltd., the 8th respondent, in their property.

It is a pure residential area and two petrol pumps are situated near to this property. Even though the petitioner and other residents have filed objections before the District Collector, Malappuram, the 1st respondent, and other respondents, the 1st respondent issued Ext. P6 NOC to start the petroleum outlet.

3. After hearing the parties, considering the statutory provisions and various decisions, writ court, by judgment dated 16.09.2021 in W.

P. (C) No. 27651 of 2020, dismissed the writ petition as hereunder:-

“6. The short point to be decided in this case is whether the petitioner is entitled for hearing and whether No Objection Certificate from the petitioner is necessary for passing orders by the 1st respondent District Collector, while invoking the powers under Rule 144 of the Petroleum Rules. It will be better to extract Rule 144 of the Petroleum Rules:

“144. No-objection certificate.—(1) Where the licensing authority is the Chief Controller or the Controller, as the case may be, an applicant for a new licence other than a licence in Forms III, XI, XVII, XVIII or XIX shall apply to the District Authority with two copies of the site-plan showing the location of the premises proposed to be licensed for a certificate to the effect that there is no objection, to the applicant receiving a licence for the site proposed and the District Authority shall, if he sees no objection, grant such certificate to the applicant who shall forward it to the licensing authority with his application Form IX. (2) Every certificate issued by the District Authority under sub-rule (1) shall be accompanied by a copy of the plan of the proposed site duly endorsed by him under his official seal.

(3) The Chief Controller or the Controller, as the case may be, may refer an application not accompanied by certificate granted under sub-rule (1) to the District Authority for his observations.

(4) If the District Authority, either on a reference being made to him or otherwise, intimates, to the Chief Controller or the Controller, as the case may be, that any licence which has been applied for should not, in his opinion, be granted, such licence shall not be issued without the sanction of the Central Government.

(5) The District Authority shall complete his inquiry for issuing no objection certificate (NOC) under sub- rule (1) and shall complete the action for issue or refusal of the NOC, as the case may be, as expeditiously as possible but not later than three months from the date of receipt of application by him.”

7. It is true that in Rule 144(5) an inquiry is mentioned.

The scope of inquiry by the District authority is considered by this Court in Reliance Industries case (supra). Relevant portion of the judgment is extracted hereunder:

“16. The Petroleum Act, 1934 is an enactment to consolidate and amend the law relating to the import, transport, storage, production, refining and blending of petroleum. Among other things, it classifies petroleum into different classes on the basis of "flash point", as defined in S.2(c) of that Act. S.4 enjoins on the Central Government to make rules for the import, transport and storage of petroleum. S.3 provides prohibition