Uttarakhand HC Strikes Down Retrospective Fee Hike In Ayurveda Colleges

The Uttarakhand High Court recently ruled to quash the retrospective implementation of a revised fee structure for students pursuing Bachelor of Ayurvedic Medicine and Surgery (BAMS) at various Ayurvedic colleges.

The decision followed petitions filed by students who challenged the fee hike imposed by their colleges, arguing that it violated the Uttarakhand Unaided Private Professional Educational Institutions (Regulation of Admission and Fixation of Fee) Act, 2006.

The controversy began when Ayurvedic colleges increased tuition fees in 2015 without consulting the Fee Regulatory Committee (FRC), a move that was found to be illegal. The High Court had previously set aside this unilateral fee hike in 2018, ruling it was done in violation of the Act.

In 2019, the FRC determined a provisional revised fee structure, but in 2020, an appellate authority made this fee applicable retrospectively to students admitted as far back as 2017. Students contested this decision, claiming that the revised fee was intended only for new admissions and not for those who had already enrolled.

On January 8, 2025, Justice Manoj Kumar Tiwari upheld the students’ argument, noting that under Section 4 of the 2006 Act, any revision in tuition fees must be done in consultation with the FRC. He further emphasized that institutions must submit their proposed fee structures to the FRC before each academic session. Once the fees are approved, they remain fixed for a period of 3 years. After this period, institutions may apply for a revision, but the fees cannot be altered during the interim period.

The Court’s ruling made it clear that the revised fees could not be applied retrospectively, quashing the retrospective fee hike imposed on students. Justice Tiwari stated, “Every college, before commencement of academic session, will have to require before the committee (FRC), the proposed fee structure and the fee determined by the committee, shall be applicable for a period of 3 years, and after expiry of three years, the college would be at liberty to apply for revision.”

The students had initially been charged ₹80,500 as tuition fees, in line with a 2007 decision by the FRC. However, in 2015, the colleges raised the fees to ₹2,15,000 without any consultation with the FRC. This increase was later overturned by the High Court in 2018. The FRC’s provisional fee structure, determined in 2019, was meant only for future academic sessions, but the appellate authority’s decision to apply it retrospectively created financial difficulties for students already enrolled.

In its defense, the State argued that the fee revision was necessary, as the colleges had not revised their fees for a long time, making it difficult to run the institutions. The Court rejected this argument, ruling that the retrospective application of the revised fees violated the 2006 Act and imposed an unfair financial burden on students.

The Court affirmed that neither the State nor the private colleges had the authority to revise fees without consulting the FRC.

As a result, the Court directed that the revised fees would only apply prospectively. It also instructed the Ayurvedic colleges to issue No Objection Certificates (NOCs) to the affected students, ensuring they paid only the original fees previously stipulated.

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