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The writ petition is filed seeking the following relief:-

"To issue the Writ, Order or direction more particularly one in the nature of writ of MANDAMUS by declaring the action of the respondents in not releasing and paying the loan amounts sanctioned under NSFDC self employment Scheme and NSFKDC Scheme of the year 2017-18 and 2018-2019 inspite of completion of verification of documents payment of beneficiary share and passing sanctioned and release orders long back and also despite the guidelines given by the Respondent No.3 directing the respondent No.4 to pay the sanctioned loans to the beneficiaries, as illegal, arbitrary and violation of article 14 and 21 of Constitution of India, doctrine of legitimate expectation and promissory estoppel and consequently direct the respondents to release and pay the loans amounts sanctioned to the petitioners under NSFDC and NSFKDC schemes for the years 2017-18 and 2018-2019 as described fully in Ex P 1 and 2 immediately."

2. Heard Smt.V.Santhisree, learned counsel for the petitioners, learned Government Pleader for Social Welfare and Sri Chinta China Satyanarayana, learned Standing Counsel for respondent Nos.3 and 4.

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3. The contention of the learned counsel for the petitioners is that the Government has introduced two schemes viz., NSFDC and NSFKDC. The main object of the schemes is to provide financial assistance at concessional rates under various credit schemes to the beneficiaries belonging to 'Scheduled Caste'. As such, the petitioners applied for the above schemes for the plan 2017-2018 and 2018-2019 and the petitioners were selected as per their qualifications, eligibility and after verification of the documents under the self-employment project. The petitioners have paid the beneficiaries share amount and certificates were also verified and the verification process was already completed. The 3rd respondent-Corporation also passed sanctioned release orders for grounding the units. The names of the petitioners were also reflected in the sanctioned list at various serial numbers apart from individual sanctioned orders, which are annexed to the present writ petition.

4. While so, on 11-01-2020 the 3rd respondent issued a circular vide letter No.2068/NSF/APSC/2018 directing the 4th respondent to release the loan amount to the beneficiaries, who completed documentation and who paid their share amount, which were sanctioned under NSFDC and NSKFDC scheme during the year 2017-2018 and 2018-2019 but sofar the 4th respondent did not release the amount. It is such action of the 4th respondent that was impugned in the present writ petition.

5. A counter-affidavit is filed on behalf of the respondent Nos.3 and 4. In the counter-affidavit, respondent Nos.3 and 4 have admitted the issuance of the above circular. Thereafter, the 3rd respondent has issued another letter, dated 18-02- 2020 giving instructions to the Executive Directors in the State informing that the Government has taken a decision for grounding of NSFDC and NSKFDC units under SCAP 2017- 2018 and 2018-2019; that all the units, which were sanctioned under NSFDC and NSKFDC during the years 2017- 2018, shall be cancelled except where the beneficiary contribution was paid and documentation is completed on or before 03-01-2020.