STATE OF U.P. vs U.P.RAJYA KHANIJ VIKAS NIGAM S.S.

The Supreme Court upheld the High Court's decision to issue a writ of mandamus directing the U.P. State Mineral Development Corporation Ltd. to absorb its employees into other State Government or Public Sector Undertakings, citing the Corporation's status as an 'instrumentality' of the State under Article 12 of the Constitution. The Court emphasized the need for fair treatment of employees in light of the Corporation's financial difficulties and the lack of assurance regarding their employment. The appeal was dismissed, affirming the High Court's order for employee absorption and compensation.