@Anwar sir, I'm a student in aerospace engineering. I want to know if i wanted to make a heli or plane on my own and test fly it, what are the legal processes I will have to go through?

I will let people who fly scale stuff respond to this. 

Airworthiness certification is not child's play.

This is next to impossible in India - if you want to do it on your own.

What you can do is build a plane - before flying it - go seek out the nearest
reporter and convince him to publish a headline like .....
"Bright young student singlehandedly builds an aircraft for Rs 25000 "

and get a few pictures of you posing with your creation surrounded by gawking
onlookers.

This is much more "SAFER"

Procedure for Issue/ Validation and renewal of Certificate of Airworthiness
http://dgca.nic.in/ftppub/D2F-F3.pdf ( The first page has some important info)

Procedures Relating to Registration/De-registration of aircraft
http://dgca.nic.in/ftppub/D2F-F1.pdf

http://dgca.nic.in/aircraft/air-ind.htm

No mention of rules regarding DIY scale aircraft. Rules/procedures have been stated for Organizations to manufacture aircraft but not for Individuals as such.
Contacting DGCA(preferred) or sending an RTI can you help you to get details.

And think building a prototype or a college project and testing/demo wont need approvals if intention is not to use it in civil airspace for personal or commercial use, otherwise you will also need a pilot license,equipments such as radio's and whatnot.

thank you @SideWinder. Nice idea about making it as a college project, i think that will save me a lot of trouble. 
I still have a year to go before my college finishes, so I'll take the benefit of this opportunity as much as i can