Findings of Fact Cannot Be Re-Appreciated in an Appeal Under Section 10F Companies Act: Madras High Court Equality Is Not A Mechanical Formula, But A Human Commitment: P&H High Court Grants Visually Impaired Mali Retrospective Promotions With Full Benefits Orissa High Court Rules Notice for No Confidence Motion Must Include Both Requisition and Resolution – Provision Held Mandatory Ashramam Built on Private Land, Managed by Family – Not a Public Religious Institution: Andhra Pradesh High Court Quashes Endowments Notification Cruelty Must Be Proved, Not Presumed: Gujarat High Court Acquits Deceased Husband In 498A Case After 22 Years Trade Dress Protection Goes Beyond Labels: Calcutta High Court Affirms Injunction Over Coconut Oil Packaging Mimicry Mere Filing of Income Tax Returns Does Not Exonerate the Accused: Madras High Court Refuses Discharge to Wife of Public Servant in ₹2 Crore DA Case Matrimonial Acrimony a Strong Motive for False Implication: Punjab & Haryana High Court Refuses State's Appeal in POCSO Acquittal Conviction Cannot Rest on Presumptions and Hearsay: Rajasthan High Court Acquits Man Accused of Murder Based on Circumstantial Evidence and Revenge Theory A Decree Based on No Pre-existing Right and Procured Through an Impostor is Void and Unenforceable: P&H HC No Insurance Cover, No 'Pay and Recover': Madras High Court Exonerates Insurer from Liability Due to Bounced Premium Cheque Licence That Is Void Ab Initio Cannot Be Protected by Due Process: Calcutta High Court Upholds Licensing Authority’s Inherent Power to Revoke Fair Price Shop Licence Unless Fraudulent Misrepresentation Is Shown, Writ Jurisdiction Cannot Be Invoked Against Alleged Unauthorized Constructions: Andhra Pradesh High Court Dismisses Pleas Seeking Demolition Delay in Lodging FIR is Fatal Where Police Reached the Crime Scene Same Night: Allahabad High Court Acquits Murder Accused After 38 Years Granting Pre-Arrest Protection While Refusing to Quash FIR is a Contradiction in Terms: Supreme Court Marriage Ceased to Have Any Substance: Supreme Court Affirms Divorce on Grounds of Irretrievable Breakdown, Enhances Alimony to ₹50 Lakhs Once A Person Dead, Their Section 161 CrPC Statement Relating To Cause Of Death Assumes Character Of Dying Declaration: Supreme Court Nomination Ends When Family Begins: Supreme Court Declares GPF Nomination Invalid After Marriage, Orders Equal Share for Wife and Mother Arbitration Act | Party Autonomy Prevails Over Arbitral Discretion on Interest: Supreme Court Binds Parties To Agreed Interest Rates, Even At 36% Exemption Depends on Use, Not the User: Supreme Court Clarifies GST Relief for Residential Rentals to Companies Sub-Leasing as Hostels Statutory Proof Cannot Be Second-Guessed: Supreme Court Strikes Down Jharkhand Memo Requiring Extra Verification for Stamp Duty Exemption to Cooperative Societies Arbitral Tribunal Is Not Above the Contract: Supreme Court Refers Bharat Drilling Judgment to Larger Bench on Excepted Clauses

No Law Mandates Fire NOC for Trade Licence Renewal—Municipalities Cannot Impose Extra-Statutory Conditions: Karnataka High Court Quashes Licence Refusal for Firecracker Business

26 October 2025 8:56 AM

By: sayum


“In the absence of any applicable law, however good the intention… the Health Officer cannot on his own seek implementation of a requirement the law does not contemplate” — In a significant ruling reinforcing the principle that administrative discretion must yield to statutory authority, the Karnataka High Court quashed two endorsements issued by the City Municipal Council, Udupi, refusing to renew trade licences for a firecracker business solely on the ground that the petitioners had failed to produce a "No Objection Certificate" from the Fire Department.

Justice R. Nataraj, sitting in civil writ jurisdiction, held that the requirement of a fire NOC was unsupported by any provision under the Karnataka Municipalities Act, 1964, or any allied regulation governing the renewal of such licences. The Court reiterated that administrative officers cannot condition statutory rights upon requirements that are not prescribed by law.

“Once Explosives Act Licence Is in Place, Municipality Cannot Interfere With Sale or Storage”

The petitioners, A. Venkataraya Nayak and others, had been engaged in the sale of firecrackers in Udupi since 1983, with a licensed godown for storage since 2001. Their business operated under valid LI-5 explosives licences issued by the Controller of Explosives under the Explosives Act, 1884 and Explosives Rules, 1983, along with municipal trade licences renewed annually.

Despite a computer-generated renewal for the term ending in 2028 already being in place, the Municipal Health Inspector, in June 2024, insisted on a fire NOC before issuing a hard copy. Eventually, through endorsements dated 15 January 2025, the municipality refused to renew the licence, citing the absence of a fire NOC and the shop’s location in a “thickly populated” area.

The Court found this approach legally untenable, observing:

“The officers of the explosives department have issued the licence after conducting inspection… The respondent cannot insist upon furnishing an NOC from the fire department which has no role to play in the grant or renewal of trade licence.” [Para 11]

“Statutory Power Cannot Be Supplemented by Discretionary Demands”

The municipality had relied on Sections 256 and 257 of the Karnataka Municipalities Act, 1964, to justify its insistence. These provisions empower municipal authorities to regulate trades that could endanger public health or cause nuisance. However, the High Court clarified that any regulatory action must be backed by explicit legal provisions, not abstract concerns.

In doing so, Justice R. Nataraj cited with approval the judgment in W.P. No. 25099/2023, where a coordinate bench held:

“In the absence of any applicable law… the Health Officer cannot on his own seek for implementation of a particular requirement when the law does not contemplate it to be so.” [Para 12]

Consequently, the Court held that the impugned endorsements had “no legs to stand” and must be quashed. [Para 13]

“Decades of Compliance Without Incident—No Justification for New Conditions”

The petitioners demonstrated that they had:

  • Held valid fireworks licences since 1983.

  • Stored explosives in separately licensed godowns outside Udupi town.

  • Reduced their floor space for retail sales from 39.36 sq. m. to 19.23 sq. m. in recent years.

  • Complied with all safety norms and had no incidents of fire or explosion for over 40 years.

Despite these uncontested facts, the municipality attempted to rely on a police letter dated 24.12.2024, which merely speculated about potential risks, especially due to proximity to religious places.

The Court rejected this argument, noting:

“It is not the case of the respondent that from 1983 till date, there was any explosion caused in the shop or godown… The respondent, which had issued the licences, has not insisted upon a fire NOC from 1983 to 2024-25.” [Para 11]

“While Law Cannot Be Stretched, Safety Cannot Be Ignored—Conditional Relief Granted”

While allowing the writ petitions, the Court struck a balance between statutory compliance and public safety by imposing specific conditions.

“The petitioner shall take all safety and security measures including installing fire fighting equipment, a hose with running water to meet any eventuality.” [Para 15]

The Court further clarified that if any violation is reported, the respondent municipality would be free to initiate lawful action, thus preserving regulatory authority while upholding the legal framework.

No Room for Bureaucratic Overreach in Regulatory Framework—Law Is the Sole Guide for Administrative Action

This ruling underscores a vital principle of administrative law—where the law stops, discretion ends. A regulatory authority like a municipal council cannot substitute its apprehensions or good intentions for statutory mandates.

By reiterating that no NOC from the fire department is required unless backed by specific legislation, the Karnataka High Court has drawn a firm boundary between lawful governance and bureaucratic overreach, while ensuring that public safety concerns remain safeguarded through conditional directions.

Date of Decision: 17 October 2025

Latest Legal News