The government had granted 18th extension to the commission in March earlier this year till December 31, 2012.
"Looking at the voluminous nature of the inquiry by the commission, the time limit for submitting the report has been extended from time-to-time," the bench said.
Jignesh Goswami had filed the public interest litigation (PIL) in 2011, alleging waste of public money by extending the time limit of the commission.
The PIL sought that the commission be directed to submit its final report within a time frame and state government should not grant any further extension to it.
The court was of the opinion that it was not within its purview to issue direction to commission to conclude its inquiry and submit report in a given time.
While pronouncing the judgement today, the bench noted that the commission received voluminous evidences and its task was mammoth.
As per the affidavit filed by the under secretary of the home department, during the hearing, till June 2012 the commission had received 47,321 affidavits, examined 1,035 witnesses, organised 281 public hearings in 22 districts of the state and 4,274 offence cases were being inquired by it.