High Court Quashes Village Panchayat's Revocation of NOC in Property Subdivision Case Due to Violation of Natural Justice and Lack of Statutory Authority


CASE NOTE & SUMMARY

The High Court allowed a writ petition challenging the revocation of a final No Objection Certificate (NOC) for property subdivision by the Village Panchayat of Verna. The Petitioners had obtained the NOC on 12th November 2024 after complying with all requirements, including payment of fees and obtaining technical clearances. After creating third party rights in the property, the Panchayat revoked the NOC based on a Gram Sabha objection without providing the Petitioners an opportunity to be heard. The Court found the revocation violated natural justice principles and exceeded the Gram Sabha's statutory authority under the Goa Panchayat Raj Act 1994, thereby quashing the impugned communication.


HEADNOTE

The High Court of Bombay at Goa quashed the Impugned Communication dated 20th November 2025 issued by the Village Panchayat of Verna revoking the final NOC granted to the Petitioners on 12th November 2024 -- The Court held that the revocation violated principles of natural justice as the Petitioners were not granted any opportunity of being heard before the decision was taken -- The Court further held that the Gram Sabha had no authority under Section 6 of the Goa Panchayat Raj Act 1994 to sustain an objection to the NOC granted by the Village Panchayat -- The Petitioners had paid fees of Rs.1,41,720/- to the Panchayat, abided by all conditions, and created third party rights in the property after the NOC was issued -- The revocation after one year based solely on a 'strong objection' from the Gram Sabha was held to be without statutory basis and arbitrary


ISSUE OF CONSIDERATION

The Issue of whether the Village Panchayat had statutory authority to revoke a final No Objection Certificate (NOC) after it was issued and acted upon, and whether the revocation violated principles of natural justice

FINAL DECISION

The High Court allowed the writ petition and quashed the Impugned Communication dated 20th November 2025 issued by the Respondents revoking the final NOC granted to the Petitioners 

Citation: 2026 LawText (BOM) (01) 104

Case Number: Writ Petition No. 3102 of 2025 (F)

Date of Decision: 2026-01-22

Case Title: The Issue of whether the Village Panchayat had statutory authority to revoke a final No Objection Certificate (NOC) after it was issued and acted upon, and whether the revocation violated principles of natural justice

Before Judge: Dr. Neela Gokhale J.

Equivalent Citations: 2026:BHC-GOA:97

Advocate(s): Mr. Parag Rao with Mr. Akhil Parrikar for Petitioners, Mr. Athnain Naik for Respondents

Appellant: Mrs. Prerna Khetrapal, Mrs. Renu Gulati, Mrs. Ashwini Nayak, Mrs. Sabeena Pillai

Respondent: Village Panchayat of Verna Through its Secretary, The Secretary Village Panchayat of Verna

Nature of Litigation: Writ petition challenging administrative action of Village Panchayat

Remedy Sought: Petitioners seeking to quash and set aside Impugned Communication dated 20th November 2025 revoking final NOC

Filing Reason: Village Panchayat revoked final NOC for property subdivision without hearing and based on Gram Sabha objection

Previous Decisions: Petitioners obtained provisional technical clearance from TCP on 19th January 2023, final technical clearance on 27th September 2024, and final NOC from Village Panchayat on 12th November 2024

Issues: Whether the Village Panchayat had statutory authority to revoke a final NOC after it was issued and acted upon Whether the revocation of NOC violated principles of natural justice

Submissions/Arguments: Petitioners' counsel argued Respondents have no statutory power to revoke final NOC once issued and acted upon Petitioners' counsel submitted Impugned Revocation violated principles of natural justice as no opportunity to be heard was granted Petitioners' counsel contended Gram Sabha has no authority under Section 6 of Goa Panchayat Raj Act 1994 to recommend withdrawal of NOC Respondents' counsel contested the Petition but left it to Court to pass appropriate orders

Ratio Decidendi: Once a final NOC is issued and acted upon creating vested rights, it cannot be arbitrarily revoked without following principles of natural justice -- The Gram Sabha's functions under Section 6 of Goa Panchayat Raj Act 1994 do not include authority to object to or recommend withdrawal of NOCs issued by Village Panchayats -- Administrative actions affecting property rights must provide opportunity of hearing to affected parties

Judgment Excerpts: The Petitioners were not granted any opportunity of being heard before revoking the said NOC, especially since the decision in the communication impinges on the valuable right created in the Petitioners and third parties Most importantly, the Gram Sabha has no authority nor locus to sustain an objection to the NOC granted to the Petitioners by the Village Panchayat It is clearly demonstrated that the principles of natural justice are contravened

Procedural History: Petitioners purchased property on 10th August 2017 -- Applied for TCP sub-division and obtained provisional technical clearance on 19th January 2023 -- Obtained Sanad under Goa, Daman and Diu Land Revenue Code 1968 -- Received final technical clearance from TCP on 27th September 2024 -- Village Panchayat issued final NOC on 12th November 2024 and collected fees -- Petitioners sold property to third parties -- Show cause notice issued on 11th November 2025 -- Impugned Communication revoking NOC issued on 20th November 2025 -- Writ Petition filed and heard -- Judgment pronounced on 22nd January 2026

Acts and Sections:
  • Goa Panchayat Raj Act, 1994: Section 6
  • Goa, Daman and Diu Land Revenue Code, 1968:
  • Goa, Daman and Diu Village Panchayats (Regulation of Buildings) Rules 1971: Rule 9