The PCI cannot impose a moratorium on the establishment of new pharmacy colleges by way of an executive decision without framing Regulations under Section 10 of the Pharmacy Act, 1948. The impugned decisions of the PCI are violative of the fundamental right to establish and administer an educational institution under Article 19(1)(g) of the Constitution of India.

JUDGMENT

Prateek Jalan, J. - This batch of 88 writ petitions is directed against communications dated 17.07.2019 and 09.09.2019 addressed by the respondent/ Pharmacy Council of India [hereinafter, 'PCI'] to State Governments and Union Territory administrations. [The same communications have also been challenged in approximately 2500 other writ petitions, in which orders will be passed separately.] By the impugned letter dated 17.07.2019, the PCI communicated a decision taken at its meeting held on 09/10.04.2019 to impose a moratorium on the opening of new pharmacy colleges for a period of five years with effect from the academic year 2020-21. The letter dated 09.09.2019 conveyed the resolution taken at the meeting held on 05/06.08.2019, providing certain exemptions to the aforesaid moratorium.

Facts

2. The writ petitions proceed on a substantially similar factual basis. The petitioners claim to be desirous of establishing pharmacy colleges, for which they require prior approval of the PCI. It is stated that the petitioners procured land and physical infrastructure required prior to submission of their applications. In the normal course, they would have been required to submit applications for establishment of colleges in the year 2020-21 in October/ November of the preceding year. However, their applications could not be submitted due to the impugned decision of the PCI.

3. In the present batch of petitions, the extent of investment in land and infrastructure has not been clearly elaborated, except for a statement in one of the writ petitions [W.P.(C) 10972/2019] to the effect that the petitioner's investment amounts to Rs. 2.5 crores, including a building of approximately 15,000 sq. ft.

Impugned communications of the PCI

4. Before adverting to the contentions of the parties, it is necessary to appreciate the scope and effect of the impugned communications. In the letter dated 17.07.2019, the PCI noted that establishment of six different courses of varying durations were being approved by it under Section 12 of the Pharmacy act, 1948 [hereinafter, 'the act'], and thereafter adverted to the decision taken in the meeting of 09/10.04.2019, to place a moratorium on establishment of new pharmacy colleges. The relevant extracts of the communication dated 17.07.2019 read as follows:-

' xxxx xxxx xxxx

During the 106th Central Council meeting of the PCI held on 9th& 10th april, 2019, a concern was expressed about the mushrooming of pharmacy colleges in the country. The issue was threadbarely deliberated. It was noted that-

a) There are approximately 1,985 D.Pharm and 1,439 B.Pharm institutes in the country. The annual intake of students in these institutes (both D.Pharm and B.Pharm) is 2,19,279.

b) This available workforce is enough to meet the current pharmacist-to-population needs of the country.

c) The rapid increase in the number of pharmacy colleges over the last decade may result in shortage of trained and qualified teaching faculty which may affect the quality of education imparted to students.

d) The pass out students are not getting reasonably paid job opportunities in public as well as in private sector.

Considering the above facts, the House passed the following resolution unanimously:-

RESOLUTION

'Taking into consideration the availability of sufficient qualified pharmacist work force, the House unanimously resolved to put a moratorium on the opening of new pharmacy colleges for running Diploma as well as Degree course in pharmacy for a period of five years beginning from the academic year 2020-2021. This moratorium shall not be applicable in the North Eastern region of the country where there is a shortage of pharmacy colleges.'

The said Resolution has been communicated to Ministry of Health and Family Welfare, Government of India on 17.7.2019 for information under intimation to all India Council for Technical Education (aICTE) and also posted on the Council's website.' Emphasis supplied.

5. The communication dated 09.09.2019 was stated