Tamil Nadu - Madurai   

School challenges panel order on fee

MADURAI: The Madras High Court Bench here on Wednesday ordered notice to the Education Secretary and the Private Schools Fee Determination Committee to reply to a writ petition filed by a private matriculation higher secondary school to quash an order passed by the committee on June 3 determining the fee to be collected by the petitioner school.

After ordering notice, Justice K. Venkataraman adjourned the case to next week for further hearing and considering a sub application filed by the school to stay the operation of the order passed by the committee constituted by the government pursuant to the enactment of Tamil Nadu Schools (Regulation of Collection of Fees) Act, 2009.

ARK Vidhyajothi Vikhas Matriculation Higher Secondary School of Vengur in Tiruchi district filed the writ petition.

It was represented by its correspondent A. Rajaram, who stated that the difference between the fee structure sought to be implemented by him and the one determined by the committee was too large.

While the school had sought permission to charge fee of Rs.9,930, the committee had fixed it to be Rs.5,250. “If I collect the fees as determined by the committee, I will be incurring an annual deficit of Rs.55,92,074.”

Mr. Rajaram also said that the school was constructed by availing bank loan.

The buildings have been offered as collateral security with the permission of the Education Department. Every year, he had to pay Rs.10,95,982 towards interest and Rs.33,00,309 towards principal. Put together, the total amount payable to the bank alone was Rs.44 lakh per annum.

“If I do not clear the dues in time, the account will be converted as NPA (non performing asset) and harsh coercive proceedings will be initiated. The school, including its land and buildings, will be taken over by the bank.”

The correspondent also claimed that the committee had not taken into account the annual salary increments to be given to teachers, employer's provident fund contributions and such other expenditure.

He alleged that the committee had gone by the data provided to it by the schools in January last year rather than going by the latest data.

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