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SC Issues Directions For Capitation Fee Menac

Sai Krishna ,
  21 May 2022       Share Bookmark

Court :
Brief :

Citation :
Civil Appeal Nos. 3978-3995 of 2017

Case Title:
Rashtreeya Sikshana Samithi Trust Etc. Vs Committee For Fixation of Fee Structure Of Private Professional Colleges


JUSTICE L Nageswara rao

Appellant – Rashtreeya Sikshana Samithi Trust Etc.
Respondent – Committee for Fixation of Fee Structure Of Private Professional Colleges &Ors. Etc.


An order was passed bythe Supreme Court with the guidance of Fee Fixation Committee to curb the issues related to capitation fee menace.


  • Order passed by the Fee Fixation committee for Undergraduate Medical courses for the academic years 2004-2005, 2005-2006 and 2006-2007 were challenged by the students.
  • Repeated directions were given by the court to deal with and stop the menace of capitation fee since it found that the charging of capitation fee was still prevalent.
  • Learned senior counsel Salman Khurshid was appointed as Amicus Curiae to do an analysis and submit suggestion to stop capitation fee.
  • The learned Amicus Curiae submitted an interim report on 07.10.2014 stating admissions made by self-financing and deemed universities were unregulated and there was a lack of transparency of entrance exams conducted.
  • The court had previously dealt with the issue of charging capitation fee and suggested a rational model be adopted which would not charge a capitation fee in the case of TMA Pai Foundation v State of Karnataka and in the case of Islamic Academy v State of Karnataka stated that once fee is fixed by the committee it cannot be changed and if any other amount is charged appropriate regulations to deal with it must be framed.
  • The court also insisted that the institution which charges capitation fee can be penalised by striking off their recognition or affiliation.
  • The method of admission should be based on merit and there had to be transparency to keep a check on charging of capitation fee.

Issues raised

  • Whether the suggestions made by the learned counsel for states and National Medical Council can be accepted and issued as directions?

Judgment Analysis

The court took into account the report of suggestions made by the learned counsel and suggestions were the following

  1. A web portal was to be created protected by the Supreme Court and maintained by the National informatics centre (NIC),thereby inculcating confidence among the public to provide information relating to charging of capitation fee.
  2. Candidates taking the NEET entrance should be informed about the web portal and in addition a pamphlet was to be provided to both the students and parents in order to create awareness of the portal.
  3. The details of the websites should be published in both English and vernacular newspapers to spread awareness and the Chief Secretaries of the State and Union Territories must ensure it.
  4. Completion of all rounds of counselling including stray vacancies round so as to ensure transparency and the names of the students who are recommended by the authority for admission should be made public along with their NEET Rank.
  5. The Fee fixation Committee should fix a price band for different expenses and no additional amount should be charged from the students. The minimum and maximum fees which include the tuition fee, development fee and other fees must be fixed.
  6. Private medical colleges should not receive fees through cash payment to avoid charging of capitation fee.
  7. The All-India Quota and State Quota rounds of counselling should be completed within the scheduled time slot and it must be ensured by the Director General of health Services and other concerned authorities.


The court concluded by accepting the suggestions put forward by the Learned counsel for states and National Medical Council.

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