The Naxxar local council has turned down a club's request to hold a motoring activity for charity at the trade fair grounds car park.
The council said it was mainly concerned about the disturbance the event would cause residents.
The Island Car Club was planning to hold the activity on February 21, between 9 a.m. and 3 p.m. It is now hoping to move the event to another venue.
The council argued the event would cause an inconvenience to residents, particularly those in a home for the elderly nearby. It would also disrupt Mass at the Divine Mercy pastoral centre, cause a parking problem for churchgoers as well as massive traffic congestion because the event would attract a large crowd.
When contacted, Duncan Barbaro Sant, one of the organisers, said he was disappointed the council had turned down the application for an event aimed at raising funds for charity.
The club had reached an agreement with the Trade Fair Exhibitors Association, which recently obtained a five-year lease to the trade fair grounds.
In its objections, the council said the car park was not under the association's responsibility.
It also said the event went against the planning authority's local plans and risked setting a precedent for other activities to be held there.
The council recently strongly objected to the association's controversial plans to hold a trade fair in the grounds in summer.