@ Bored Aviator
This is one the many Grey areas that exists among the various rules in Indian DGCA
The DGCA has always asked for Sole Occupant on board whenever it refers to PIC time ( for issue of CPL and below ) even though the rules say otherwise.
One reason for this is because in India everyone goes straight from a Student Pilot License to CPL . I am sure you must be knowing even in foreign countries the holder of a Student Pilot License cannot log PIC unless you fly as sole occupant.
A friend of mine who learnt to fly in Canada faced the same issue . He approached the Director General Mr. Arun Mishra back then and managed to get the CPL.
But the DTL section issued the CPL without IR.
The Director General then changed and he was faced with no option but to approach the courts.
It took almost two years but he finally won the case and was issued his Instrument rating last year
You can read the case details here
https://app.box.com/s/tmrco08bkzsxpgd9q41ictsvzyumwje5
You can approach the DGCA with a copy of the same.
If you feel that you don't get any respite you can approach the Ministry of Civil Aviation for relief