"I do agree that in an emergency situation a fireman might assume .."
If that was the reason, Would'nt they require a meter disconnect to shut off all loads, As you see In some rural locations.
I see no violation.Again ask for the explanation,and if it is a local code.In Ma. we have ammendments, But they are state wide not Town or County.
On the next one, run the 3 wire to each panel and call it a day.
