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1999 Supreme(Mad) 28

High Court of Judicature at Madras
THE HONOURABLE MR. JUSTICE S.S. SUBRAMANI
Association of University Teachers, National College Unit, Trichy - Appellant
Versus
All India Council For Technical Education, New Delhi and Others - Respondents
Writ Petn No. 12430 of 1998
Decided On : 11 January 1999

Appearing Advocates:P. Jyothimani, R. Santhanam, 1. S. Ramamurthy, 2. M.P. Subbiah Of M/s. Row, Reddy, 3. M. Rathinam, Govt. Advocate, 4, Advocates.

The property of a private college is defined as the property which is included in the statement by the educational agency and is treated as the property of the College for the purpose of Section 27 of the Act.

Headnote:

TAMIL NADU PRIVATE COLLEGES (REGULATION) ACT, 1976 - SECTION 27 - RESTRICTION ON ALIENATION OF PROPERTY OF PRIVATE COLLEGE - EDUCATIONAL AGENCY - POWER TO CARVE OUT A PORTION OF THE NATIONAL COLLEGE CAMPUS FOR THE PURPOSE OF ESTABLISHING A SELF-FINANCING ENGINEERING COLLEGE.

Fact of the Case:

The National College, Tiruchirappalli is a private aided college governed by the Tamil Nadu Private Colleges (Regulation) Act, 1976. The National College Council, Tiruchirappalli is a registered Society, and that it is the Educational Agency. The Agency has established various Institutions from the year 1886 to 1990. The National College was started in the year 1919 at Dindigul Road, Trichy. The Educational Agency wanted to start a self-financing Engineering College and a unanimous decision was taken by the Managing Committee on 12-10-1997 to establish an Engineering College under the name 'Saranathan College of Engineering, ' to perpetuate the memory of the most illustrious, renowned and tallest Principal of the National College, late V. Saranathan.

Finding of the Court:

The Court held that the second respondent was not justified or did not have the power to carve out a portion of the National College Campus for the purpose of establishing a self-financing engineering college. The Court further held that the approval granted by the first respondent by its letter dated 17-6-1998 was invalid, since there was no permission of the Competent Authority as per the provisions of the Tamil Nadu Private Colleges (Regulation) Act.

Issues: Whether the second respondent was justified or has got the power to carve out a portion of the National College Campus for the purpose of establishing a self-financing engineering college.

Ratio Decidendi: The Court held that the property of a private college is defined as the property which is included in the statement by the educational agency and is treated as the property of the College for the purpose of Section 27 of the Act. The Court further held that the educational agency cannot deal with the property except for the bona fide purpose of the College and starting an Engineering College is not a purpose having nexus to an Arts and Science College.

Final Decision: The writ petition was allowed, and the approval granted by the first respondent by its letter dated 17-6-1998 was declared invalid. Second respondent was prohibited from starting the self financing engineering college in the property of the National College, or making use of the property of the National College for any purpose other than the purpose of the College.

Judgment :-

Petitioner seeks issuance of writ of certiorarified mandamus, calling for the order of 1st respondent F. No. 732-52-046/ (NDEG)/ ET/97 dated 17-6-1998 in so far as it grants approval for starting Saranathan College of Engineering at Dindigul Road, Tiruchirappalli-1, i.e. in the premises of the National College, Trichy-1 and to quash the same, and direct the respondents not to grant approval for carving out of the properties of the National College, Trichy-1 to start a self-financing private Engineering College, except by process of law, and pass such further or other orders as this Court may deem fit and proper.

2. The writ petition is filed by an Association of University Teachers of the National College Unit represented by its President.

3. National College, Tiruchirappalli is a private aided college, and the same is governed by the Tamil Nadu Private Colleges (Regulation) Act, 1976. The National College is governed by the National College Council which is the educational agency. The National College was started in the year 1886 in the form of National High School and was raised to the status of a secondary grade college and subsequently as a first grade college in 1924, and got affiliated and shifted to the present area, namely, Dindigul Road, Trichy in 1959. The College campus is spread over in an area of 28 acres. On the Eastern Side across road, there is an area of 71/2 acres of land wherein the College Hostel is situated, while the entire college buildings are situated on the western side in the said area of 28 acres of land. The Golden Jubilee Block situated in the College premises was built-up with the cost of University Grants Commission apart form the Hostel building. The Administrative Block was also built up with necessary UGC grant. The National College, Trichy is an aided non-minority private college governed by the provisions of the Tamil Nadu Private Colleges (Regulation) Act, 1976 with 100% teaching grant given by the Government. Under Section 26 of the Act, the Educational Agency of the College ought to have sent to the Authorities a statement regarding the movable and immovable properties of the College. Section 27 of the Act imposes a restriction on the transfer of the Private College property either by sale, exchange, mortgage, change, pledges, etc. or in any other manner whatsoever except with the previous permission of the Competent Authority and any such transfer is null and void. Even the Competent Authority under the Act, namely, the 4th respondent herein, can grant permission only if the transfer is in furtherance of the purposes of the Private College or similar purposes. The properties of the National College are its properties and, therefore, even the Educational Agency cannot transfer the same.

4. Reason for filing the writ petition is, the educational agency, i.e., second respondent in this case decided to establish a private Engineering College under its control on a self-financing pattern. Since the proposal to start such a college was within the premises of the National College, petitioner objected the same since it would amount to violation of the Private Colleges (Regulation) Act apart from depriving the National College its properties and amenities available to the students with historical characters. Second respondent, as per letter dated 24-2-1998, admitted that the private Engineering College was proposed to be started in the Karumandapam Campus of the National College by carving out an area of about 11 acres. A proposal was made by second respondent to the first respondent for granting approval for starting a private engineering college. Based on the proposal submitted, first respondent has given an approval dated 17-6-1998. First respondent has permitted the second respondent to start First Year Course in B.E. in Electrical and Electronic Engineering and also other Courses at the premises of Seshaslayee Institute of Technology, Ariyamangalam, Trichy, and continue from 1999-2





























































































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