SANJAY ALLOYS PVT LTD Vs. GOVT OF INDIA

JUDGEMENT

(1.) The petitioner filed this petition seeking a writ of mandamus declaring the action of respondents in not granting the Central Subsidy to the petitioner as illegal and arbitrary and consequently direct the respondents to grant Central Subsidy and pass further orders in the interest of justice.

(2.) The petitioner is a small scale industrial unit for manufacture of corrosion resistant castings, heat resistant castings, steel alloy and alloy iron castings and was granted provisional SSI registration in Certificate No.01 -02-0481 -PROV/SSI/Rural, dated 25-7-1986, in LDis No.4773/BB/86 dated 25-7-1986 by the third respondent initially for one year and valid upto 24-7-1987 and licence was revalidated upto 23-7-1988. When further revalidation was refused, petitioner filed WP No.5574 of 1989 and the same was allowed on 30-4-1990 and subsequently, the petitioner was granted permanent SSI registration. The petitioner unit has gone into commercial production with effect from 8-12-1989.

(3.) The petitioner unit was established in industrially backward area and as per the policy of the Central Government, the petitioner is entitled to Central Subsidy on the capital investment. After the grant of provisional registration and when the works were in progress, the petitioner registered claim for grant of 10% Central Subsidy with third respondent, who informed the petitioner vide letter dated 14-10-1991 that its application is kept pending until further orders are received from 2nd respondent. Inspite of reminders, there was no response from the respondents. Hence, this writ petition.