The Hindu : IIMs' autonomy will not be affected, Ministry assures court

Online edition of India's National Newspaper
Saturday, Feb 28, 2004

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IIMs' autonomy will not be affected, Ministry assures court

By J. Venkatesan

NEW DELHI, FEB. 27. The Union Human Resource Development Ministry today gave an assurance in the Supreme Court that the autonomy and independence of the six Indian Institutes of Management would not be interfered with after the fee reduction. The Court was hearing a public interest petition challenging the Ministry's February 5 order reducing annual fees in the IIMs from Rs. 1.50 lakhs to Rs. 30,000.

A three-judge Bench, comprising the Chief Justice, V.N. Khare, Justice S.B. Sinha and Justice S.H. Kapadia, recorded an undertaking from the Additional Solicitor-General, Mukul Rohatgi, appearing for the Union Government, that the fee-reduction shall not be construed as interference in the IIMs' autonomy. The IIMs would continue to enjoy the autonomy they had enjoyed all these years, Mr. Rohtagi said. The Government would continue to provide them adequate funds.

Appearing for the petitioners — Sandeep Parikh and two others — senior counsel, Harish Salve, submitted that "we are not standing in the way if the students are to get the benefit of the reduced fees. Our anxiety is the Government should not interfere in their autonomy."

When the Bench said it was disposing of the petition, Mr. Salve said this should not prevent the IIMs from approaching the court. The Bench did not pass any order on this aspect.

During the last hearing the Court had directed the petitioners to file an affidavit by February 27, disclosing the components of the fee charged by the IIMs, giving the break-up of how the Rs. 1.50-lakh annual fee charged from each student was utilised, besides the extent of subsidy in the fee and the annual grant provided by the Government, and to explain how much was spent towards revenue and capital expenditure. The petitioners were also asked to supply the details of the Rs. 100-crore corpus funds of the IIMs and their balance sheets for the last 10 years.

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