New Delhi: Technical Educational Institutes seeking capitation fee from students are likely to be fined Rs 1 crore. As per sources, the Union Cabinet has recently approved the Prohibition of Unfair Practices in Technical Educational Institutions, Medical Educational Institutions and Universities Bill, 2010 after the HRD Ministry included several amendments recommended by the parliamentary standing committee.
In addition, the bill with official modifications will be introduced in the winter session of Parliament. Sources also informed that the HRD (Human Resource Development) Ministry had proposed a fine of Rs 50 lakh which was later recommended to be doubled by the standing committee.
In the same context, the HRD Ministry said that the students would stand to benefit by inception of a legislation to curb unfair practices in admission and other areas of higher educational institutions, who get exposed to the prevalence of distortions in the admission process leading to harassment and extortion of students for admission.
The bill mainly seeks to restrict the element of profiteering in some institutions which are presently beyond the scope of any such regulation. In fact, a central law is being introduced for prohibition of capitation fee and other unfair practices done by educational institutions, for the first time.
Moreover, the bill aims to provide an institutional mechanism for preventing, prohibiting and punishing unfair practices in technical and medical educational institutions and universities. According to the bill, the institutions are expected to compulsorily disclose information regarding admission process by publication of its prospectus. Mandatory disclosure is a step ahead of inspection-based regulatory process.
Furthermore, the bill stated that any student or other stakeholder can move to the proposed educational panel as well as the competent criminal court of law, in case the institutions attempt to adopt unfair practices. As such, the burden of proof would be imposed upon the institution.
