NDLI: Small Scale Industrial Manufactures Association (regd.) Vs. Union of India and Others

Content Provider	Supreme Court of India
e-ISSN	30484839
Language	English
Access Restriction	NDLI
Subject Keyword	Judicial review – Economic policy matters
Content Type	Text
Resource Type	Law Judgement
Jurisdiction	India
Act(s) Referred	Disaster Management Act, 2005 (53 of 2005)
Case(s) Referred	Referred Case 0 Referred Case 1 Referred Case 2 Referred Case 3 Referred Case 4 Referred Case 5 Referred Case 6 Referred Case 7 Referred Case 8 Referred Case 9 Referred Case 10 Referred Case 11 Referred Case 12 Referred Case 13 Referred Case 14 Referred Case 15 Referred Case 16 Referred Case 17 Referred Case 18 Referred Case 19 Referred Case 20 Referred Case 21 Referred Case 22 Referred Case 23 Referred Case 24 Referred Case 25
Case Type	Writ Petition
Court	Supreme Court of India
Disposal Nature	Others
Headnote	Judicial review – Economic policy matters – Covid-19 pandemic – Financial strain faced by industrial sector – Policy decisions by RBI and/or Government w.r.t relief/regulatory packages – Judicial review of – Limited scope – Held: Economic and fiscal regulatory measures are a field where Judges should encroach upon very warily as Judges are not experts in these matters – Wisdom and advisability of economic policy are ordinarily not amenable to judicial review – Function of the court is not to advise in matters relating to financial and economic policies for which bodies like RBI are fully competent – Court can only strike down some or entire directions issued by the RBI in case it is satisfied that the directions were wholly unreasonable or in violative of any provisions of the Constitution/any statute – Matters of economic policy ought to be left to the government – No writ of mandamus can be issued directing the Government/RBI to announce/declare particular relief packages/ policy or to grant some more reliefs/packages – Merely because some class/sector may not be agreeable/satisfied with such packages/ policy decisions, the courts should not ordinarily interfere with the policy decisions, unless it could be faulted on the ground of mala fide, arbitrariness, unfairness etc. – Present petitions seeking reliefs w.r.t total waiver of interest during the moratorium period; sector- -wise relief packages; extension of moratorium period beyond 31.08.20 or extension of the last date for invocation of the resolution mechanism provided in the 6.8.2020 circular, are all in the realm of the policy decisions – If such reliefs are granted, it would seriously affect the banking sectors and have far reaching financial implications on the economy of the country – However, there shall be no charge of interest on interest/compound interest/penal interest for the period during the moratorium and any amount already recovered under thereunder be refunded to the concerned borrowers and be given credit/adjusted in the next instalment of the loan account – Constitution of India – Articles 14, 32, 226, 227 – Disaster Management Act, 2005. Disaster Management Act, 2005 – ss.3,6-14, 23, 35-37 – Natural disasters; Pandemic – Plea that there is no National Plan at all therefore, the National Disaster Management Authority failed to perform its duty – Held: Cannot be accepted – There is already a National Disaster Management Plan prepared even prior to the Covid-19 pandemic – Under the National Plan, there is a National Disaster Management Institutional Mechanism – The said plan also envisages nodal ministries for management of different disasters – Disaster due to Covid-19 pandemic would fall under disaster due to “biological emergencies” – Considering the very nature of the pandemic which would have PAN--India impact, empowered groups were constituted by the NDMA – Therefore, when there is already in existence a National Plan, which might have been prepared even prior to the Covid-19 pandemic, it cannot be said that there is no National Plan by the NDMA at all – For every disaster, there shall not be a new National Plan. Words & Phrases – “may” – Disaster Management Act, 2005 – s.13 –Held: Word used in s.13 is “may” and not “shall” – While interpreting a particular provision, the language used is to be read as it is – The legislature has deliberately used the word “may” -– “may” is used after considering the object and purpose of the Act as a whole and the role to be played by the Central Government through different ministries, by the State Government, by the District Authority at the district level – In the present case, the Ministry of Finance and the RBI have already come out with different packages/ reliefs in repayment of loans or grant of fresh loans to the persons affected by disaster – Interpretation of Statutes.
Judge	Hon'ble Mr. Justice M.R. Shah
Neutral Citation	2021 INSC 203
Petitioner	Small Scale Industrial Manufactures Association (regd.)
Respondent	Union Of India And Others
SCR	[2021] 15 S.C.R. 1
Judgement Date	2021-03-23
Case Number	476

Sl.	Authority	Responsibilities	Communication Details
1	Ministry of Education (GoI), Department of Higher Education	Sanctioning Authority	https://www.education.gov.in/ict-initiatives
2	Indian Institute of Technology Kharagpur	Host Institute of the Project: The host institute of the project is responsible for providing infrastructure support and hosting the project	https://www.iitkgp.ac.in
3	National Digital Library of India Office, Indian Institute of Technology Kharagpur	The administrative and infrastructural headquarters of the project	Dr. B. Sutradhar bsutra@ndl.gov.in
4	Project PI / Joint PI	Principal Investigator and Joint Principal Investigators of the project	Dr. B. Sutradhar bsutra@ndl.gov.in Prof. Saswat Chakrabarti will be added soon
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Small Scale Industrial Manufactures Association (regd.) Vs. Union of India and Others

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