In a landmark decision, the Calcutta High Court mandates adherence to UGC guidelines, ruling against withholding original certificates and enforcing disputed liabilities.
In a significant ruling, the Calcutta High Court has directed the Haldia Institute of Dental Sciences and Research to refund Rs. 9,50,000 and return the original certificates to Dr. Sreeparna Ghosh, a student who withdrew from the MDS course due to inadequate facilities. The court emphasized the mandatory compliance of Higher Education Institutions with University Grants Commission (UGC) guidelines regarding fee refund policies.
The petitioner, Dr. Ghosh, had enrolled in the MDS course at the Haldia Institute but sought withdrawal shortly after due to substandard educational facilities. Despite paying Rs. 9,50,000 and submitting original documents as part of the admission process, the college refused to refund the fees or return the documents unless the petitioner paid the remaining course fee of Rs. 18,00,000, based on a discontinuity bond she had signed.
Justice Krishna Rao, presiding over the case, highlighted that the UGC guidelines, issued under Sections 12 and 26 of the UGC Act, 1956, possess statutory force. The guidelines mandate a full refund of fees if admission is canceled before the prescribed deadlines. The court found that the petitioner was entitled to a full refund as she canceled her admission before the deadline specified in the UGC Fee Refund Policy 2024-2025.
The judgment also addressed the legality of withholding original certificates to enforce disputed liabilities. Citing Section 23 of the Indian Contract Act, 1872, the court declared such agreements void as they are opposed to public policy, further emphasizing that original certificates are vital for academic progression and professional practice.
The court criticized the college for not considering UGC guidelines when formulating its policies and obtaining the discontinuity bond, which did not authorize the retention of original certificates. The judgment reinforces the obligation of educational institutions to adhere to statutory guidelines and uphold students' rights.
The order stipulates that the college must return the amount and original documents to Dr. Ghosh within two weeks, setting a precedent for the enforcement of UGC guidelines in educational disputes.
Bottom line:-
Higher Education Institutions (HEIs) must comply with University Grants Commission (UGC) guidelines regarding fee refund policies, and agreements to withhold original certificates for enforcing disputed liabilities are void as opposed to public policy under Section 23 of the Indian Contract Act, 1872.
Statutory provision(s): Section 23 of the Indian Contract Act, 1872; Sections 12 and 26 of the UGC Act, 1956.
Dr. Sreeparna Ghosh v. State of West Bengal, (Calcutta) : Law Finder Doc id # 2928964
