The Supreme Court has directed private universities across India to disclose five years of audited financial records, fee structures, fund utilisation, and details of surplus investments as it examines whether such institutions are operating in accordance with their educational purpose, LiveLaw reported.
A bench of Justices Ahsanuddin Amanullah and NV Anjaria said private universities cannot be allowed to function as profit-making institutions. The court, however, said institutions could maintain a reasonable financial cushion to ensure their smooth functioning and adequately compensate teaching and non-teaching staff.
SC seeks details on fees, surplus funds
Details of fees collected at the time of admission and during the course have also been sought, including collections under heads such as development funds or charges for special events.
The universities will additionally have to disclose the procedure followed for admissions to each course, as well as the roles of management and other officials in admissions, setting examination papers, conducting examinations, evaluating answer sheets and handling funds.
Faculty hiring, salaries also under scrutiny
Universities have been asked to provide information on service conditions and the allocation of classes to teaching staff. The court has sought details from January 2025 onwards on classes allotted to teachers, the classes actually taken and alternative arrangements made when teachers were unavailable.
Government concessions and regulatory checks
The court has also demanded information on benefits received by private universities from the Centre and state governments, including land allotments, legal relaxations and other concessions.
For universities and colleges attached to hospitals, details of the hospitals and the relationship between the institutions have also been sought.
Recognising and affiliating bodies have been directed to provide details of inspections conducted over the past five years, including information on faculty and supporting staff. The order also seeks disclosures from professional regulatory bodies in sectors including medicine, dentistry, nursing, law, pharmacy and veterinary education.
The matter is scheduled to be heard next on November 19.
