The Indira Sawhney case is associated with:

The correct answer is Option (1) - 27 percent reservation for OBC in government job

In August 1990, the National Front government made the crucial choice to put into effect one of the recommendations put forth by the Mandal Commission. This particular recommendation concerned the reservation of positions for Other Backward Classes (OBCs) within the central government and its affiliated entities (27 per cent).
Vishwanath Pratap Singh, often referred to as V.P. Singh, was the Prime Minister of India who implemented the recommendations of the Mandal Commission related to reservations for Other Backward Classes (OBCs) in government jobs and educational institutions.
Subsequently, the decision was legally contested and escalated to the Supreme Court, ultimately becoming known as the 'Indira Sawhney case,' named after one of the individuals who filed the petition. In November 1992, the Supreme Court issued a verdict that upheld the government's decision.