The present Petition had been preferred under Article 32 of the Constitution of India by the Small Scale Industrial Manufactures Association, Haryana for an appropriate writ, direction or order directing the Union of India and others to take effective and remedial measures to redress the financial strain faced by the industrial sector, particularly MSMEs due to the Corona Virus Pandemic.<\/p>\n
\u00a0<\/p>\n
The reliefs of the Petitioners has been summarised as under:\u00a0<\/p>\n
iii) moratorium to be permitted for all accounts instead of being at the discretion of the Lenders;<\/p>\n
Held:<\/p>\n
In catena of decisions and time and again this Court has considered the limited scope of judicial review in economic policy matters. It is further observed that in the case of a policy decision on economic matters, the courts should be very circumspect in conducting\u00a0\u00a0 an\u00a0\u00a0 enquiry\u00a0\u00a0 or\u00a0\u00a0 investigation\u00a0\u00a0 and\u00a0\u00a0 must\u00a0\u00a0 be\u00a0\u00a0 more reluctant to impugn the judgment of the experts who may have arrived at a conclusion unless the court is satisfied that there is illegality in the decision itself.It is further observed that it is not the function of the Court to amend and lay down some other directions.\u00a0 The function of the court is not to advise in matters relating to financial and economic policies for which bodies like RBI are fully competent. The court can only strike down some or entire directions issued by the RBI in case the court is satisfied that the directions were wholly\u00a0\u00a0 unreasonable\u00a0\u00a0 or\u00a0\u00a0 in\u00a0\u00a0 violative\u00a0\u00a0 of\u00a0\u00a0 any\u00a0\u00a0 provisions\u00a0\u00a0 of\u00a0\u00a0 the Constitution or any statute.\u00a0 It would be hazardous and risky for the courts to tread an unknown path and should leave such task to\u00a0\u00a0 the\u00a0\u00a0 expert\u00a0\u00a0 bodies.\u00a0\u00a0\u00a0\u00a0 This\u00a0\u00a0 Court\u00a0\u00a0 has\u00a0\u00a0 repeatedly\u00a0\u00a0 said\u00a0\u00a0 that matters of economic policy ought to be left to the government.<\/p>\n
\u00a0<\/p>\n
Economic and fiscal regulatory measures are a field where Judges should encroach upon very warily as Judges are not experts in these matters. In assessing the propriety of the decision of the Government the court cannot interfere even if a second view is possible from that of the government. Legality of the policy, and not the wisdom or soundness of the policy, is the subject of judicial review.<\/p>\n
\u00a0<\/p>\n
Even\u00a0\u00a0 the\u00a0\u00a0 government\u00a0\u00a0 also\u00a0\u00a0 suffered\u00a0\u00a0 due\u00a0\u00a0 to lockdown, due to unprecedented covid\u00ad19 pandemic and also even lost the revenue in the form of GST.\u00a0 Still, the Government\u00a0\u00a0 seems\u00a0\u00a0 to\u00a0\u00a0 have\u00a0\u00a0 come\u00a0\u00a0 out\u00a0\u00a0 with\u00a0\u00a0 various\u00a0\u00a0 reliefs\/packages. Government has its own financial constraints.\u00a0\u00a0 Therefore, no\u00a0\u00a0 <\/strong>writ\u00a0\u00a0 of\u00a0\u00a0 mandamus\u00a0\u00a0 can\u00a0\u00a0 be\u00a0\u00a0 issued\u00a0\u00a0 directing\u00a0\u00a0 the Government\/RBI to announce\/declare particular relief packages and\/or to declare a particular policy.<\/p>\n \u00a0<\/p>\n That there shall not\u00a0\u00a0 be\u00a0\u00a0 any\u00a0\u00a0 charge\u00a0\u00a0 of\u00a0\u00a0 interest\u00a0\u00a0 on\u00a0\u00a0 interest\/compound interest\/penal interest for the period during the moratorium from any of the borrowers and whatever the amount is recovered by way of interest on interest\/compound interest\/\u00a0penal interest for the period during the moratorium, the same shall be refunded and to be adjusted\/given credit in the next instalment of the loan account. (WP (C) 476 of 2020 dated March 23, 2021)<\/p>\n \u00a0<\/p>\n","protected":false},"excerpt":{"rendered":" Constitution of India
\nArt .32 : Remedies for enforcement of rights conferred by this part \u2013 COVID -19 -Waiver of interest – Economic and fiscal regulatory measures are a field where Judges should encroach upon very warily as Judges are not experts in these matters. In assessing the propriety of the decision of the Government the court cannot interfere even if a second view is possible from that of the government. Legality of the policy, and not the wisdom or soundness of the policy, is the subject of judicial review.<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[4],"tags":[],"class_list":["post-17040","post","type-post","status-publish","format-standard","hentry","category-allied-laws"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-4qQ","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/17040","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=17040"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/17040\/revisions"}],"predecessor-version":[{"id":17041,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/17040\/revisions\/17041"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=17040"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=17040"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=17040"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}