The High Court of Judicature at Madras, prounced an an Order, on 04 June 2016, holding that "the management fee is arbitrary, unless it has been subjected for auditing and inspection."
The court in it's Order has directed the "authorities concerned to audit and inspect the institution and report as to whether the management fee fixed by the institution is fair and good not profiteering."
The court further in it's Order has stated that, in case of the institution "not submitting any Financial Statement (Expenditure) as required by the authorities concerned" and "is not allowing the officials to audit the records" then the institution shall "not (be) entitled to claim management fee for any of its students from the academic year 2018-2019 onwards" the Order states.
The fee is observed, as found in the Order, to he "collected in two parts, one is under the School bill, which as determined by the state and the other is collected in the name of a Trust of the School, in order to escape from prosecution under Section 7 of Tamilnadu Educational Institutions (Prohibition of collection of Capitation Fee), Act, 1992"
Earlier, the School has defended that it, can"is an Aided Minority School and they are protected under Article 26 and 30 the Constitution of India and they are entitled to collect fee besides the fee fixed by the Committee."
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The court in it's Order has directed the "authorities concerned to audit and inspect the institution and report as to whether the management fee fixed by the institution is fair and good not profiteering."
The court further in it's Order has stated that, in case of the institution "not submitting any Financial Statement (Expenditure) as required by the authorities concerned" and "is not allowing the officials to audit the records" then the institution shall "not (be) entitled to claim management fee for any of its students from the academic year 2018-2019 onwards" the Order states.
The fee is observed, as found in the Order, to he "collected in two parts, one is under the School bill, which as determined by the state and the other is collected in the name of a Trust of the School, in order to escape from prosecution under Section 7 of Tamilnadu Educational Institutions (Prohibition of collection of Capitation Fee), Act, 1992"
Earlier, the School has defended that it, can"is an Aided Minority School and they are protected under Article 26 and 30 the Constitution of India and they are entitled to collect fee besides the fee fixed by the Committee."
Download Order
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