State cannot freeze grant-in-aid to deny aided college staff statutory revised pay benefits; college must pay actual arrears, government to provide grants if needed.

Judgment :

Sandeep Sharma, J.

Since common questions of law and facts are involved in all these petitions, same were tagged and heard together and are being disposed of vide this common order.

2. Precisely, the question which has fallen for adjudication before this Court is whether Government can restrict Grant-in-Aid or if it can, whether the salaries etc. of staff of Government aided college can be stopped/restricted. If not, who will defray the expenses. However, before adjudicating the aforesaid question, it may be apt to discuss and elaborate upon the relevant Acts, Rules and Notifications issued by the Government regarding salaries, Grant-in-Aid etc. to Government-aided colleges in Hima- chal Pradesh.

3. Section 6 of the H.P. Aided Colleges (Security of Services of Em- ployees) Act, 1994, provides as under:

“6. Salary. – The scales of pay and other allowance and privileges of the employees of a College shall be such as may, from time to time, be specified by the State Government.”

4. Under aforesaid Act, the Himachal Pradesh Non-Government Affi- liated Colleges Grant-in-Aid Rules, 1994 have been framed, rule 8 whereof provides as under:

““Quantum of the Grant-in-aid.- (a) The amount of grant-in-aid to be released to a College shall be limited to 95% of the deficit of the es- timated income (as detailed under) and the expenditure likely to be incurred on payment of the salary of the approved staff (Teaching and nonteaching) during one financial year subject to adjustments of over and under payments, in accordance with the norms at which the salary is being paid to the staff in Government Colleges. The re- quirements of Grant-in-aid in respect of the Colleges for the ensuing year shall be submitted by each College in the form of budget to the Director of Education by 31st October (on a date notified by the Di- rector) of each year, stating numbers of post of Principal, Lecturers (subject-wise), Superintendent, Assistant, Clerks and others and fi- nancial implications along with similar statistical data for at least two previous years with reasons to justify each increase and decrease.”

5. Vide Notification No. EDN-A-Ga(10)-5/98, dated 16th March, 2008, Government of Himachal Pradesh, Higher Education Department, in com- pliance to this Court’s direction dated 14.8.2006, passed in CWP No. 519 of 2000 titled Dr. Harish Lakhanpal & others v. State of Himachal Pradesh and others, notified Himachal Pradesh Non-Government College Grant-in-Aid Rules, 2008. Rules 3 and 4, provided as under:

“3. Objects of Grants

The object of the grants in-aid contemplated by these rules is to financially assist non-Government colleges teaching. In arts, Commerce and Science subjects at under Graduate levels till they become self-reliant.

4. Extent of Application

Grants-in-Aid will be admissible for meeting, a part of the sala- ry expenses in respect of approved staff (teaching & non-teaching) Provided that the Grant-in-Aid to a College shall not exceed 50% of the revenue gap (total expenditure on salary of approved teaching and non-teaching staff minus the total income from all sources). The actual amount of Grant-in-Aid will however, depend upon the availability of resources and budgetary allocation with the Government for this purpose.”

6. Vide Notification dated 6th October, 2009, second amendment was made to above rules, thereby inserting following two provisos