1. The petitioner has invoked the writ jurisdiction of this Court claiming a writ of mandamus directing the respondents to settle the loan account of the petitioner as per the Reserve Bank of India Guidelines dated 27.07.2000 extended up to 30.06.2001 (Annexure P-2). The petitioner has also challenged the communication dated 28.03.2001 (Annexure P-4), whereby the petitioner was communicated the amount of Rs.32.50 lacs, which is payable for settlement under the Reserve Bank of India guidelines as adopted by the Corporation.

2. The petitioner applied for a loan for the purchase of machinery in the year 1994. A sum of Rs.26.41 lacs was sanctioned as loan out of which Rs.26.37 lacs was disbursed. Subsequently, another loan of Rs.4.55 lacs was disbursed on 03.02.1995 to meet out the working capital requirements. The petitioner, thereafter, applied for a fresh loan of Rs.13.20 lacs for technical up-gradation of unit, but a sum of Rs.12.06 lacs was disbursed on 18.06.1996. Since the petitioner failed to make the payments of the loan amounts, a notice dated 31.01.1997 (Annexure P-1) was issued demanding a sum of Rs.41,38,371/- as the outstanding amount due and payable by t