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IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
SUNITA AGARWAL, ANIRUDDHA P. MAYEE, JJ.
State Of Gujarat – Appellant
Versus
Fee Revision Committee & Ors. – Respondents
R/CIVIL APPLICATION (FOR CONDONATION OF DELAY) NO. 1394 of 2024 In R/LETTERS PATENT APPEAL NO. 321 of 2024 With R/LETTERS PATENT APPEAL NO. 321 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 2131 of 2021 With CIVIL APPLICATION (FOR STAY) NO. 1 of 2023 In R/LETTERS PATENT APPEAL NO. 321 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 2131 of 2021 With R/CIVIL APPLICATION NO. 1395 of 2024 In R/LETTERS PATENT APPEAL NO. 322 of 2024 With R/LETTERS PATENT APPEAL NO. 322 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 19063 of 2019 With CIVIL APPLICATION (FOR STAY) NO. 1 of 2023 In R/LETTERS PATENT APPEAL NO. 322 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 19063 of 2019 With R/CIVIL APPLICATION NO. 1396 of 2024 In R/LETTERS PATENT APPEAL NO. 323 of 2024 With R/LETTERS PATENT APPEAL NO. 323 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 16585 of 2021 With CIVIL APPLICATION (FOR STAY) NO. 1 of 2023 In R/LETTERS PATENT APPEAL NO. 323 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 16585 of 2021 With R/CIVIL APPLICATION NO. 1397 of 2024 In R/LETTERS PATENT APPEAL NO. 324 of 2024 With R/LETTERS PATENT APPEAL NO. 324 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 4221 of 2021 With CIVIL APPLICATION (FOR STAY) NO. 1 of 2023 In R/LETTERS PATENT APPEAL NO. 324 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 4221 of 2021 With R/CIVIL APPLICATION NO. 1398 of 2024 In R/LETTERS PATENT APPEAL NO. 325 of 2024 With R/LETTERS PATENT APPEAL NO. 325 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 15657 of 2019 With CIVIL APPLICATION (FOR STAY) NO. 1 of 2023 In R/LETTERS PATENT APPEAL NO. 325 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 15657 of 2019 With R/CIVIL APPLICATION NO. 1592 of 2024 In R/LETTERS PATENT APPEAL NO. 326 of 2024 With R/LETTERS PATENT APPEAL NO. 326 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 14720 of 2019 With CIVIL APPLICATION (FOR STAY) NO. 1 of 2023 In R/LETTERS PATENT APPEAL NO. 326 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 14720 of 2019 With R/CIVIL APPLICATION NO. 1593 of 2024 In R/LETTERS PATENT APPEAL NO. 327 of 2024 With R/LETTERS PATENT APPEAL NO. 327 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 4236 of 2022 With CIVIL APPLICATION (FOR STAY) NO. 1 of 2023 In R/LETTERS PATENT APPEAL NO. 327 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 4236 of 2022 With R/CIVIL APPLICATION NO. 1594 of 2024 In R/LETTERS PATENT APPEAL NO. 328 of 2024 With R/LETTERS PATENT APPEAL NO. 328 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 6739 of 2020 With CIVIL APPLICATION (FOR STAY) NO. 1 of 2023 In R/LETTERS PATENT APPEAL NO. 328 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 6739 of 2020 With R/CIVIL APPLICATION NO. 1599 of 2024 In R/LETTERS PATENT APPEAL NO. 329 of 2024 With R/LETTERS PATENT APPEAL NO. 329 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 1272 of 2021 With CIVIL APPLICATION (FOR STAY) NO. 1 of 2023 In R/LETTERS PATENT APPEAL NO. 329 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 1272 of 2021 With R/CIVIL APPLICATION NO. 1623 of 2024 In R/LETTERS PATENT APPEAL NO. 330 of 2024 With R/LETTERS PATENT APPEAL NO. 330 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 18894 of 2019 With CIVIL APPLICATION (FOR STAY) NO. 1 of 2023 In R/LETTERS PATENT APPEAL NO. 330 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 18894 of 2019 With R/CIVIL APPLICATION NO. 1672 of 2024 In R/LETTERS PATENT APPEAL NO. 331 of 2024 With R/LETTERS PATENT APPEAL NO. 331 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 15241 of 2021 With CIVIL APPLICATION (FOR STAY) NO. 1 of 2023 In R/LETTERS PATENT APPEAL NO. 331 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 15241 of 2021 With R/CIVIL APPLICATION NO. 1828 of 2024 In R/LETTERS PATENT APPEAL NO. 355 of 2024 With R/LETTERS PATENT APPEAL NO. 355 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 18722 of 2021 With CIVIL APPLICATION (FOR STAY) NO. 1 of 2023 In R/LETTERS PATENT APPEAL NO. 355 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 18722 of 2021 With R/CIVIL APPLICATION NO. 1708 of 2024 In R/LETTERS PATENT APPEAL NO. 356 of 2024 With R/LETTERS PATENT APPEAL NO. 356 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 20400 of 2019 With CIVIL APPLICATION (FOR STAY) NO. 1 of 2023 In R/LETTERS PATENT APPEAL NO. 356 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 20400 of 2019 With R/CIVIL APPLICATION NO. 1709 of 2024 In R/LETTERS PATENT APPEAL NO. 357 of 2024 With R/LETTERS PATENT APPEAL NO. 357 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 21566 of 2019 With CIVIL APPLICATION (FOR STAY) NO. 1 of 2023 In R/LETTERS PATENT APPEAL NO. 357 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 21566 of 2019 With R/CIVIL APPLICATION NO. 1726 of 2024 In R/LETTERS PATENT APPEAL NO. 358 of 2024 With R/LETTERS PATENT APPEAL NO. 358 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 17957 of 2021 With CIVIL APPLICATION (FOR STAY) NO. 1 of 2023 In R/LETTERS PATENT APPEAL NO. 358 of 2024 In R/SPECIAL CIVIL APPLICATION NO. 17957 of 2021
Decided on : 03/04/2024
Delay - Civil Applications for Leave to Appeal - Gujarat Self-Financed Schools (Regulation of Fees) Act, 2017 - Sections 8, 10, 11, 12 - The judgment discusses the delay in filing Civil Applications seeking leave to Appeal and allows the Civil Applications for condonation of delay. It also addresses the appeals filed by the State challenging the judgment and order remitting the matter for fresh consideration to the Fee Regulatory Committee under the Act'2017 and the Rules'2017. The court analyzes the grounds of challenge, the role of the Fee Regulatory Committee, and the legal provisions under the Act'2017 and the Rules'2017.
Fact of the Case:
The delay in filing Civil Applications seeking leave to Appeal has been explained and allowed by the Court. The appeals challenge the judgment remitting the matter for fresh consideration to the Fee Regulatory Committee under the Gujarat Self-Financed Schools (Regulation of Fees) Act, 2017 and the Rules'2017.
Finding of the Court:
The Court found that the delay in filing the Civil Applications seeking leave to Appeal was explained to its satisfaction and allowed the Civil Applications for condonation of delay. It dismissed the appeals and connected Civil Applications, stating that they were devoid of merits.
Issues: The issues revolved around the challenge to the judgment remitting the matter for fresh consideration to the Fee Regulatory Committee, the role and decision-making process of the Fee Regulatory Committee, and the interpretation of legal provisions under the Act'2017 and the Rules'2017.
Ratio Decidendi: The Court's decision was based on the satisfaction of the delay explanation, the analysis of the grounds of challenge, the role and decision-making process of the Fee Regulatory Committee, and the interpretation of legal provisions under the Act'2017 and the Rules'2017.
Final Decision: The appeals in this bunch were dismissed, and connected Civil Applications were also disposed of. No order as to costs.
JUDGMENT :
SUNITA AGARWAL, J.
1. The delay occurred in filing the Civil Applications seeking leave to Appeal, has been explained to the satisfaction of the Court.
Hence, all Civil Applications in the connected matters for condonation of delay are, accordingly, allowed.
2. The Civil Applications for leave to appeal in all the connected matter are allowed, accordingly.
3. This Court has passed the following common order dated 03.04.2024 in the bunch of appeals with lead matter as Civil Application (for Leave to Appeal) No. 1240 of 2023 in Letters Patent Appeal No. 334 Of 2024 with Letters Patent Appeal No. 334 Of 2024 in Special Civil Application No. 18076 Of 2019:-
2. The Civil Applications for leave to appeal in all the connected matter are allowed, accordingly.
3. The appeals, in this bunch, have been filed by the State through the Secretary, Education Department, Government of Gujarat challenging the judgment and order dated 22.07.2022 passed by the learned Single Judge in remitting the matter for fresh consideration to the Fee Regulatory Committee (in short as “FRC”) to decide on the fee proposal of self-financed schools in the State of Gujarat as per the Gujarat Self- Financed Schools (Regulation of Fees) Act, 2017 (in short as “ the Act’2017) and the Gujarat Self Financed Schools (Regulation of Fees) Rules, 2017( in short as “the Rules’ 2017”).
4. The directions issued by the learned Single Judge are primarily on the quorum of the Fee Regulatory Committee as also the method adopted by the Committee in determination of fee on the proposal submitted by the institutions.
5. The main grounds of challenge agitated by Ms. Manisha Lavkumar Shah, learned Additional Advocate General appearing for the State appellants are that the validity of the Act’2017 is under consideration of the Apex Court in Special Leave to Appeal No.314 of 2018. The intervention by the learned Single Judge on the challenge to the order passed by the Fee Regulatory Committee (in short as “the FRC”) and Fee Revision Committee would cause prejudice to and materially affect the scrutiny into the legality of the provisions of the Act.
6. It was argued that on the lease rent, the learned Single Judge has directed the FRC to consider and verify the transactions of lease rent by conducting an inquiry as per Section 8 of the Act’ 2017 read with Rule 7 of Rule’ 2017 and has set aside the decision of the Committee where the lease rent was determined by calculating the same on the basis of Jantri value. It was urged that no error can be found in the decision of the FRC in determination of the lease rent as per the Jantri value, which is a relevant factor to determine the lease rent. Similarly, on depreciation, the learned Single Judge has committed illegality in holding that the depreciation would form part of the reasonable surplus to be provided in the proposed fee to be charged by the schools from the students and, as such, the depreciation claimed by the schools would not be allowed under separate Head.
7. Similarly, on the aspect of interest on loan, the learned Single Judge has forbidden the disallowance of interest on loan by amortizing the same over the life of an asset for which the loan may have been incurred. Such prohibition by the learned Single Judge would be contrary to the interest sought to be secured under the provisions of the Act for the reason that the school management will be free to determine the terms of loan at its whims and fancies and, accordingly, pass on the burden of exorbitant loan repayment and fasten its liability on the students by charging higher fee, showing such interest payable on loan secured by the management as expenditure. It was vehemently argued that the FRC is a statutory Committee framed under Sec
The Court emphasized the importance of complying with the legal provisions under the Gujarat Self-Financed Schools (Regulation of Fees) Act, 2017 and the Rules'2017, particularly in the context of th....
The FRC, as a quasi-judicial authority, must follow the provisions of the Act and Rules, conduct individual case inquiry, and apply principles of natural justice.
The Court's decision emphasized the importance of adhering to the provisions of the Gujarat Self-Financed Schools (Regulation of Fees) Act, 2017 and the Rules'2017 in determining the fee payable by s....
The main legal point established in the judgment is that the Fee Regulatory Committee (FRC) is required to adhere to the provisions of the Gujarat Self-Financed Schools (Regulation of Fees) Act, 2017....
The Fee Regulatory Committee must follow the provisions of the Act and conduct inquiries on a case-to-case basis to determine if the fee proposal is justified and whether it amounts to profiteering.
Point of law: The right to establish an educational institution can be regulated; but such regulatory measures must, in general, be to ensure the maintenance of proper academic standards, atmosphere ....
The authority for fee regulation in educational institutions rests solely with the State Government, emphasizing compliance with statutory provisions to curb capitation fees and ensure fair practices....
Once the fee is determined under Section 10(3) of the Act of 2007, the same is to remain intact for the period of three years and the students who have taken admission on the basis of such fees deter....
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