The court established that an institution's right to grant-in-aid crystallizes under earlier government orders, and arbitrary denial based on newer policies violates constitutional rights.

1. Heard Sri Ashok Khare, learned Senior Counsel assisted by Sri Aditendra Singh, learned counsel for the petitioner and Sri Jitendra Narayan Rai, learned Additional Chief Standing Counsel for the State-respondents.

2. The petitioner by means of the present writ petition has assailed the order dated 13.10.2018 passed by the respondent no.1-Special Secretary, Basic Education, Government of U.P., Lucknow rejecting the claim of petitioner for taking the institution of petitioner on grant-in-aid.

3. The facts in brief are that there is a Junior High School run under the name of Janhit Madhyamik Vidyalaya Machha, District Kanpur Dehat (hereinafter referred to as ‘institution’). The said institution was granted temporary recognition as a Junior High School by order dated 18.06.1981 followed by permanent recognition granted by an order of the Assistant Director (Basic), 4^th Region, Allahabad.

4. The respondent no.2-Director of Education (Basic), U.P., Lucknow issued a notification inviting applications from the desirous institutions for taking 1000 recognised Junior High Schools on grant-in-aid. The Management of the institution also applied in pursuance to the aforesaid notification. The State Government on 02.12.2006 issued a Government Order whereby 1000 Junior High Schools were brought on grant-in-aid. However, the name of petitioner’s institution was not included in the list appended to the said Government Order. According to petitioner, the Regional Assistant Director of Education (Basic) issued an order dated 04.01.2007 specifying the reasons for not including the petitioner’s institution on grant-in-aid which contained recital that signature on the order granting permanent recognition appeared to be suspicious.

5. The petitioner further states that the reason so assigned in the order dated 04.01.2007 was non-existent as the Secretary, Basic Shiksha Parishad, U.P. Allahabad vide communication dated 17.01.2007 verified the order dated 24.10.1986 granting permanent recognition to the petitioner’s institution.

6. The petitioner’s institution, thereafter, filed a representation on 19.01.2007 before the Director of Education (Basic). When the aforesaid representation was not paid heed to by the authority, the petitioner’s institution preferred a Writ Petition No.30719 of 2008 which was disposed off by this Court by judgement and order dated 04.07.2008 with a direction to the Director of Education to decide representation of the petitioner dated 19.01.2007.

7. Pursuant to the aforesaid judgement, the Director of Education (Basic) proceeded to pass an order dated 31.12.2008 holding the institution entitled to be included in the list of grant-in-aid and forwarded the papers to the State Government for final orders.

8. When the matter remained pending at the level of State Government without any order being passed, the petitioner’s institution preferred another Writ Petition No.37081 of 2009 which was disposed off by this Court by judgement and order dated 27.07.2009 directing the State Government to take a decision. When the judgement of this Court dated 27.07.2009 in Writ Petition No.37081 of 2009 was not complied with, the petitioner preferred Civil Misc. Contempt Petition No.3947 of 2009. The said contempt petition was disposed off by this Court by judgement dated 04.11.2009.

9. The State Government, thereafter, proceeded to pass an order dated 13.11.2009 rejecting the claim of petitioner for being brought on grant-in- a