The petition was filed by the Uttar Pradesh Public Service Commission (UPPSC) through its Chairman, Anirudh Singh Yadav, and members.
The Centre, on the recommendations of the Uttar Pradesh government, had passed an order for a CBI inquiry into the selections made by the commission during the period.
The bench comprising Chief Justice D B Bhosale and Justice Suneet Kumar after hearing the parties concerned reserved the judgment in the case.
Earlier on January 2, the court had asked the counsel for the state government to apprise it on what basis it had recommended to the Centre for a CBI inquiry.
No inquiry against the commission can be directed under existing laws, the petition said.
The state government's counsel opposed the petition and argued that in case of any allegations of irregularities in selections made by the commission, the government can recommend for a CBI inquiry.
The Centre, on the recommendation of the state government, had passed an order for the CBI inquiry for the selections made by the UPPSC between April 2012 and March 2017, the counsel said.
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