Case Note & Summary
Bharat Petroleum Corporation Ltd., a government company operating a refinery at Mahul in Mumbai, filed a writ petition before the Bombay High Court challenging the grant of commencement certificate by the Municipal Corporation of Greater Mumbai (MCGM) for construction of a residential building on a plot adjacent to its refinery. The refinery, commissioned in 1955 and nationalized in 1976, produces essential petroleum products including petrol, diesel, LPG, and aviation fuel. It is categorized as 'A' category vital installation and its entire area has been declared a prohibited area under the Official Secrets Act, 1923, due to national security concerns. Over the years, the company had repeatedly highlighted the security risks posed by increased construction activity near the refinery, especially after the 26/11 terrorist attacks in Mumbai. The Ministry of Home Affairs had issued circulars restricting any construction within 500 meters of Category A installations, and a previous writ petition (No.1982 of 2009) filed by the company had resulted in directions that no high-rise buildings be permitted without clearance from the Ministry of Home Affairs and the police. In the present matter, respondent no.3, a cooperative housing society, and respondent no.4, a developer, proposed a building for rehabilitation of project-affected persons on land that fell within the restricted 500-metre radius. The MCGM initially granted a commencement certificate for a ground-plus-seven-floor structure in 2014, later revised to ground-plus-three floors in 2016 to comply with height restrictions, but the petitioner contended that even this reduced height would provide direct visual access into the refinery compound, compromise security, and increase population density in the area. An affidavit filed by the Deputy Commissioner of Police in the earlier writ petition had acknowledged the security threat. The petitioner argued that the MCGM's permissions were illegal and contrary to the Official Secrets Act, DCR provisions, and binding central government directives. The court's analysis considered the regulatory framework, the mandatory nature of security clearances, and the balance between national security and housing rights. The judgment text provided is truncated and does not include the final operative order or reasoning beyond the factual narrative. Consequently, the full decision, ratio decidendi, and detailed holdings are not available in the extracted portion. The matter was disposed of on 25 April 2019.
Headnote
A) National Security - Protection of Vital Installations - Classification and Restricted Zones - Official Secrets Act, 1923 - The refinery of the petitioner was declared a prohibited area under the Official Secrets Act, 1923, and categorized as 'A' category vital installation requiring highest security measures; construction of high-rise buildings nearby poses a threat due to direct visual access (Paras 8-10). B) Municipal Law - Building Permissions Near Security Installations - Development Control Regulations and Circulars - Maharashtra Regional and Town Planning Act, 1966; DCR for Greater Mumbai - The Municipal Corporation of Greater Mumbai is bound by Central Government circulars that prohibit construction within 500 metres of Category A vital installations; any relaxation or permission must be preceded by clearance from Ministry of Home Affairs and Ministry of Defence (Paras 11, 15). C) Administrative Law - Compliance with Prior Court Orders - Effect of Previous Litigation - The High Court in Writ Petition No.1982 of 2009 had directed that no high-rise building permissions be granted without clearance from Central security agencies; the affidavit of the Deputy Commissioner of Police in that case confirmed the security threat posed by such structures (Paras 14-15).
Issue of Consideration
Whether the construction of a residential building within 500 meters radius of Bharat Petroleum Corporation Ltd.'s refinery at Mahul, classified as a Category 'A' vital installation, is permissible under the Development Control Regulations for Greater Mumbai, the Official Secrets Act, 1923, and circulars issued by the Ministry of Home Affairs, particularly when such construction poses a security threat and violates the prohibition on new constructions in the prohibited area.
Law Points
- No construction within 500 meters of Category A vital installations
- DCR Regulations 16 and 58 and Official Secrets Act
- 1923
- Central Government circulars binding on planning authorities
- Rehabilitation projects cannot override national security
- Commencement certificate illegal if granted without clearance from MHA or MoD



