Now Colleges pay 1cr penalty for, higher education payment capitation fees - Union Govt

The union government has given its nod to a bill meant to enhance penalty to one crore rupees in cases where institutions of higher education demand payment of capitation fee.

The move is aimed at reining in irregularities being committed by educational institutions imparting higher education. The steep jacking up of the penalty is proposed to be brought about by bringing an amendment to the Prohibition of Unfair Practices in Technical Educational Institutions, Medical Educational Institutions, and Universities Bill, 2010.

The above bill was moved in the parliament during March 2010. The bill had been entrusted to the standing committee of human resources development department. The standing committee had returned the bill with its recommendations during May last. Out of the recommendations made by the committee, 41 were accepted and seven rejected.

Once the above amendment is adopted, the name of the amended bill also will undergo a change. Important amendments which have now been approved are increasing the penalty for demanding capitation fee to one crore rupees from the earlier fifty lac rupees, and a system of hearing grievances.

Another amendment that has received the nod is relating to the ban on appointment of lecturers who are ineligible. The new bill, once passed, will be named 'Higher Educational Institutions Act - 2011'. All institutions of higher education will be covered by this act.

In the meanwhile, with the adoption of the recommendations of National Backward Classes Commission, people belonging to over 48 castes from 20 states will be eligible to get benefit of reservation in education and jobs. A notification by the ministry of social justice is expected to be issued shortly, relating to adding new castes to Other Backward Castes category, in tune with the recommendations of the commission to include over 70 new castes under this head.