JUDGMENT

Mrs. SUJATA V. MANOHAR, J.:—Applications for intervention are allowed.

2. These appeals relate to two colleges set up in the State of Kerala - one started by the Institute of Human Resources Development for Electronics (hereinafter referred to as IHRDE) located at Chengannur and the other started by Lal Bahadur Sastri Engineering Research and Consultancy Centre (hereinafter referred to as LBS Centre) located at Kasargod, a backward area in the State of Kerala in the erstwhile Malabar District. These two colleges have been set up as self-financing institutions by the above two Societies under the control of the Government of Kerala. Does the scheme framed by this Court in the case of Unni Krishnan, J.P. v. State of Andhra Pradesh, (1993) 1 SCC 645 apply to these colleges?

3. The State of Kerala has an enviable record in the field of education. The financial position of the State, however, is not strong enough for it to make an investment in the two new Engineering Colleges - so the State claims. It is submitted on behalf of the State that the decision to start these self-financing colleges was arrived at in view of the growing demand in the State for highly qualified technical personnel in the areas of Electronics and Computer Science. At present, the higher educational facilities in technical subjects including Engineering available within the State are hardly sufficient to absorb even those who secure a high first class in the school leaving examinations. The State has only nine Engineering Colleges, six are Government Colleges and three are aided colleges. In contrast, the neighbouring States of Maharashtra, Karnataka, Tamil Nadu and Andhra Pradesh have 62, 55, 42 and 31 Engineering Colleges respectively. In the absence of facilities for higher technical education within the State a large number of students from Kerala are required to migrate to neighbouring States to seek admission in Engineering Colleges there, incurring heavy expenses. Many seek admission to private Engineering Colleges outside the State spending large amounts in terms of fees, donations etc.

4. It is claimed by the appellants that the Government of Kerala spends 85% of its education budget on higher education. Nevertheless, this outlay is inadequate to provide modern equipment, qualified faculty members and training facilities even in the existing Government Engineering, Medical and other Technical Colleges and Institutions. The State is not, therefore, in a position to provide for setting up of new Engineering Colleges. In view of this position, the Government of Kerala by G.O. (MS) 191/92 H. Edn. dated 24-12-1992 decided to start two self-financing Engineering Colleges from academic year 1993-94. A detailed report from the Institute of Human Resources Development for Electronics and the Lal Bahadur Sastri Engineering Research and Consultancy Centre was called for in this connection.

5. On the basis of the reports submitted by these two institutions the Government issued G.O. (MS) 68/93 / H. Edn. dated 25-5-1993 fixing the guidelines for establishment of two self-financing Engineering Colleges and for admission of students to these two colleges. It was decided that the college to be established by IHRDE will impart instructions for B. Tech Course in Computer Engineering and Electronic engineering with an intake of 120 students in each branch. The college established by the Lal Bahadur Sastri Centre would impart instructions for B. Tech Course in Computer Science and Engineering. Electronics and Communication Engineering, Electrical and Electronics Engineering and Mechanical Engineering with an intake of 60 students in each branch. As per the scheme being operated at present, 75% of seats in these colleges are to be filled up on the basis of open merit applying the existing reservation principles prevailing in the State of Kerala, 10% of the seats are to be filled up by Scheduled Caste and Scheduled Tribe candidates and the remaining 15% of the seat