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2010 Supreme(All) 1588

[2010(6) ADJ 509]
ALLAHABAD HIGH COURT
BEFORE : DILIP GUPTA, J.
RAMA EDUCATIONAL SOCIETY AND ANOTHER ….Petitioners
Versus
STATE OF U.P. AND OTHERS ….Respondents
(Civil Misc. Writ Petition Nos. 3432 of 2006 and 21451 of 2009,
decided on 6th May, 2010)

Advocates:
Counsel :
P.N. Saxena for Society and Dental College; Satya Narain Shukla for Parents Association and Ashok Khare for the Students; Mahendra Pratap, S.C. for the State.

Headnote:(A) Educational Instution—Fee Structure—Enhancement of—B.D.S. Course—Fixed by office Memorandum dated 15th July, 2003 for academic session 2003-04, which is Rs. 1.10 lacs per annum—In dental colleges, which are private unaided professional institutions—Is not unjustified because, it gives liberty to such colleges to place materials before Competent Committees, with prayer to permit them to charge fee more than that amount—Consequently, fee charged by such colleges which is more than that amount—Not justified, unless their application for enhancement of fee submitted before competent committee is accepted—In the instant case, there was no such acceptance of Competent Committee, as such, fee charged by Dental College more than Rs. 1.10 lacs—Illegal—High Court directed Dental College to refund amount to students which was deposited by them over and above Rs.1.10 lacs—High Court directed Dental College to return other papers such as certificates and marksheets to those students. [Paras 24 to 26, 31 to 37 and 50 to 54]

       (B) Educational Institution—Private unaided institutions—Fee structure—Four years' B.D.S. Course in Dental Colleges—Liberty granted to such colleges to submit enhanced fee structure, supported by relevant papers—To competent committee for its consideration and decision—Given by Office Memorandum dated 15th July, 2003—Should be considered and decided by such Competent Committee—Refusal to do so—Not justified—High Court directed such competent Committee to consider these applications for proposed enhancement of fee. [Paras 43, 44, 47, 48 and 53]

       Result; Order Accordingly.

       

JUDGMENT

Hon’ble Dilip Gupta, J.—Writ Petition No. 3432 of 2006 has been filed by Rama Educational Society, Kanpur (hereinafter referred to as the ‘Society’) and Rama Dental College, Hospital and Research Centre, Kanpur (hereinafter referred to as the ‘Dental College’) for quashing the order dated 13th October, 2005 passed by the State Government by which a direction has been issued to them to charge Rs. 1.10 lacs only as fees per annum from the students admitted to the B.D.S. Course in the Academic Session 2003-04 for the entire duration of the four years course since Writ Petition No. 37525 of 2003 that had been filed by them for setting aside the orders dated 15th July, 2003 and 2nd August, 2003 issued by the State Government for fixation of fees and constitution of the Committee had been dismissed on 27th May, 2005. Subsequently, an amendment application was moved by the petitioners for adding prayers for quashing the decision taken by Justice Sareen Committee on 14th February, 2006 refusing to consider the fee structure of the Dental College for the students admitted to the B.D.S. Course in the Academic Session 2003-04 and for issuance of a direction to the said Committee to decide the fee structure for the said Academic Session. This amendment application was allowed by the order dated 4th September, 2009.

2. Writ Petition No. 21451 of 2009 has been filed by thirty four students admitted to the B.D.S. Course in the Dental College in the Academic Session 2003-04 for a direction upon the Dental College to issue the marksheet/certificate upon completion of the course and to refund the excess payment of fees as well as the security money with interest. They have also sought a direction for making payment of stipend for Internship period from 1st April, 2008 to 31st March, 2009 and for giving the Internship Completion Certificate.

Writ Petition No. 3432 of 2006

3. It is stated that the Society established the Dental College under the Self Financing Scheme. The State Government, by the order dated 27th September, 1997, fixed the fee structure for B.D.S. Course in Dental Colleges under the Self Financing Scheme for a period of three years from the Academic Session 1997-98 to 1999-2000. This order was challenged by the Dental College by filing Writ Petition No. 35610 of 1997 and the Court by the order dated 27th September, 1997 stayed the operation of the said order.

4. A Corum of 11 Judges of the Supreme Court in TMA Pai Foundation and others v. State of Karnataka and others, (2002) 8 SCC 481, in the judgment and order dated 31st October, 2002, examined, amongst others, the fixation of fees in private unaided non-minority educational institutions and, while considering whether the educational Institutions are entitled to fix their own fee structure, made the following observations :

“In such professional unaided institutions, the Management will have the right to select teachers as per the qualifications and eligibility conditions laid down by the State/University subject to adoption of a rational procedure of selection. A rational fee structure should be adopted by the Management, which would not be entitled to charge a capitation fee. Appropriate machinery can be devised by the State or university to ensure that no capitation fee is charged and that there is no profiteering, though a reasonable surplus for the furtherance of education is permissible. Conditions granting recognition or affiliation can broadly cover academic and educational matters including the welfare of students and teachers.”

5. It is for compliance of the aforesaid judgment of the Supreme Court that an Office Memorandum dated 15th July, 2003 was issued by the State Government. This provides that the Dental Colleges shall charge maximum fees of Rs. 1.10 lacs per annum per student admitted to the B.D.S Course from the Academic Session 2003-04. This amount shall include all the charges except Hostel Fees, Examination Fees and Security amount. However, for the
























































































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