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Madras High Court Rules on State Funding for Minority School with Low Enrollment

The Madurai Bench of the Madras High Court recently delivered a significant judgment concerning the funding of a minority educational institution experiencing drastically reduced enrollment. The case, involving two writ appeals (W.A.(MD)Nos.1375 of 2015 and 1138 of 2017), centered on the TDTA Primary and Middle School in Keelapattam Village, Tirunelveli District, managed by the CSI Diocese of Tirunelveli.

Case Background

Following a large-scale communal riot in 2005-2006 that severely impacted student attendance (dropping from 78 to single digits), the Tamil Nadu Education Department instructed the school's management to close the school and redeploy staff and students to a nearby school under the same management. While the school complied after the 2006-2007 academic year, the Education Department refused to pay salaries for two teachers, Regina and Rajendran , for the period they were technically employed at the under-enrolled school. This led to separate writ petitions and, ultimately, the two appeals before the High Court.

Conflicting Lower Court Decisions

Two different single judges of the High Court had previously reached opposing conclusions. One judge ruled that since the management chose to keep the school open despite government instructions, they were responsible for the teachers' salaries. The other judge, unaware of the previous ruling, held that the government could not force the closure of a minority institution and ordered the state to pay the teachers' salaries.

High Court's Decision

The Division Bench, comprising Justices G. Jayachandran and C. Kumarappan , reviewed both cases. The court acknowledged the school's right as a minority institution to manage its affairs but emphasized that this right doesn't extend to demanding state funding when acting contrary to government instructions. The court noted that the management chose to continue running the school with minimal enrollment, despite being advised otherwise.

The court extracted the following key point from their reasoning: "Just because it is a minority educational institution, they cannot manage their institute contrary to the instructions of the Government when the instructions are in accordance with law."

Ultimately, the court allowed the State's appeal (W.A.(MD)No. 1375 of 2015), overturning the order that directed the state to pay the teachers' salaries, and dismissed the appeal filed by Rajendran (W.A.(MD)No. 1138 of 2017).

Implications of the Judgment

This judgment clarifies the interplay between a minority institution's right to manage its affairs and the state's responsibility in providing funding. While the right to manage remains, the court underscored that this right does not automatically entitle the institution to public funds if it operates contrary to lawful government directives, particularly in situations where the institution's continued operation defies practical considerations and educational efficiency. The decision serves as a significant precedent for future cases dealing with funding for under-enrolled minority schools.