RAJESH BINDAL,J - (1.) THIS order will dispose of bunch of cases bearing Civil Writ Petition Nos. 11390 to 11395 of 2000 as common questions of law and facts are involved.
(2.) THE facts are extracted from Civil Writ Petition No. 11390 of 2000. Challenge in the present petitions is to the notice dated June 09, 1999 (Annexure P-7) whereby margin money given to the petitioner was sought to be converted into loan and consent of the petitioner was sought for the same, so as to enable respondent no. 2 to consider issuance of genuineness certificate to the petitioner.
(3.) THE pleaded facts are that the petitioner is a "Samiti" registered under the Cooperative Societies Act, which had set up brick kiln after obtaining licence from the District Food and Supplies Controller, Moga. The Punjab Khadi and Village Industries Board, Chandigarh (for short "the Board") framed Rules named as the Punjab Khadi and Village Industries Loan Rules, 1958 (for short "the Rules"). The same came into force with effect from April 1, 1958. In terms of Rule 4 of the Rules, the loans and grants could be advanced by the Board for the purpose of capital expenditure, working capital and share capital, loans for capital formation to registered institutions etc. The cooperative society is eligible in terms of Rule 5 of the Rules for obtaining loan. In terms of Rule 9 of the Rules, margin money subsidy was also available to the loanee to the extent of 25% upto Rs. 10 lacs and 10% on the loan exceeding Rs. 10 lacs to Rs. 25 lacs. Initially the subsidy amount was to be released as interest free loan and after successfully working and repayment of loan, it was to be adjusted as margin money subsidy. The relevant Rule is extracted below :- "MARGIN MONEY SUBSIDY Margin Money Subsidy @ 25% upto Rs. 10.00 lacs and 10% on the loan exceeding Rs. 10.00 lacs to 25.00 lacs, will be provided to the loanee. Initially, the subsidy amount would be released as interest free loan and after successfully working and repayment of loan it will be adjusted as margin money subsidy." In terms of Rules, the petitioner was sanctioned a loan of Rs. 10 lacs as working capital, which was conveyed to the petitioner vide letter dated March 19, 1997 (Annexure P-2). It is specifically mentioned in the letter of sanction that the loan comprised of margin money of Rs. 2.50 lacs and loan of Rs. 7.50 lacs. Thereafter, on March 20, 1997, an agreement (Annexure P-3) was signed between the parties, which again provided working capital loan of Rs. 7.50 lacs and margin money subsidy of Rs. 2.50 lacs. Thereafter vide communication dated March 31, 1997 (Annexure P-4), the petitioner was sent a cheque of Rs. 10 lacs mentioning the detail in the same manner regarding working capital loan and the margin money. Even the calculation sheet attached with this communication mentioned repayment schedule of Rs. 7.50 lacs alongwith interest thereon. Still further, petitioner was issued genuineness certificate for the period from April 1, 1999 to March 31, 2000. The dispute in the present case arose with the issuance of communication dated June 09, 1999 (Annexure P-7) by respondent no. 2-Board to the petitioner mentioning that as per policy of the Khadi Commission, the working capital cannot be given to the Samitis/Individuals and the cases where it has been sanctioned, margin money cannot be deemed to have validly given and therefore, the same was sought to be converted into loan. ;