The Supreme Court has directed private universities across India to disclose detailed financial and operational information, including five years of audited accounts, fee structures, fund utilisation, surplus investments, staffing and admissions.
The directions were issued by a bench of Justices Ahsanuddin Amanullah and N V Anjaria on September 17 in proceedings arising from a student grievance involving a private university in Noida. The scope of the matter has since been expanded to examine the functioning and regulation of private universities across the country.
The court has sought audited financial records for the previous five years, including details of funds generated and utilised, payments made to persons not directly involved in educational functions, surplus funds and investments made from such surplus.
Private universities will also have to provide details of fees collected from students at the time of admission and during their courses. This includes additional collections under heads such as development funds and charges for special events.
The disclosures will extend to admission procedures for each course and the roles of management and officials involved in admissions, examinations, evaluation and handling of funds.
The court has also sought details of teaching and non-teaching staff recruitment, salaries, remuneration and service conditions. Universities have been asked to provide information from January 2025 on classes allotted to teachers, classes actually taken and alternative arrangements made when classes were not conducted.
The scrutiny will also cover grievance-redressal mechanisms, including complaints received over the past three years, their outcomes and the time taken for resolution.
Private universities have further been asked to disclose benefits received from the Central or state governments, including land allotments, legal relaxations and other concessions. Regulatory and affiliating bodies have also been directed to provide details of inspections and faculty-related information.
The Supreme Court has said private universities cannot function as profit-making institutions, while recognising that institutions may maintain a reasonable financial cushion for their smooth functioning and adequate compensation of teaching and non-teaching staff.
The Union government, states and Union Territories have been directed to collect the required information and file affidavits through their Chief Secretaries within six weeks of the September 17 order. The matter is scheduled to be heard next on November 19.
