Lawstreet Journal

Publishing of Balance Sheets by Private Schools in Chandigarh: Supreme Court Strikes Down Notification

Lawstreet Journal 20 May 2022 7:13pm

Image courtesy: Lawstreet Journal Judiciary Publishing of Balance Sheets by Private Schools in Chandigarh: Supreme Court Strikes Down Notification

The Apex Court has ruled that a clause in an April 2018 notification issued by the Ministry of Home Affairs requiring private unaided educational institutions in Chandigarh to publish their balance sheets/income and expenditure accounts on their websites is unconstitutional. 

While considering a special leave petition challenging the Punjab and Haryana High Court's judgement of May 28, 2021, upholding an April 2018 notification issued by the authorities by exercising powers under Section 87 of the Punjab Reorganization Act, 1966, a portion of the notification was struck down. 

The writ petitions were rejected by the High Court, which ruled that the proper authority had the competence to issue such a government order or notification.

'Clause a' of the notification said that private educational institutions in Chandigarh were required by "clause a" to inter alia post their balance sheets/income and expenditure accounts on their websites (clause a) and were not required to demand any fees from parents. 

In addition, the petitioners argued that the impugned government order/notification violated the Punjab (Regulations of Fees of Unaided Educational Institutions) Act, 2016, which governs unaided educational institutions in the Union Territory. 

The panel resorted to the decision in Lachmi Narain vs. Union of India, 1976 (2) SCC 953, to deliberate on the objection to the notification's "clause a." 

According to  v Union of India, a three-judge bench had dealt with a provision identical to Section 87 of the 1966 Act and had noted that, 

"Such a wide construction must be eschewed lest the very… Continue Reading...


Tagged: Ministry of Home Affairs   Punjab and Haryana High Court   Punjab Reorganization Act 1966   Section 87   Lachmi Narain   Constitution of India   Part III   Punjab (Regulations of Fees of Unaided Educational Institutions) Act 2016  
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