Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Maharashtra Educational Institutions (Prohibition of Capitation Fee) Act. 1987 |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Others |
Headnote | Maharashtra Educational Institutions (Prohibition ofCapitation Fe'!) Act. 1987 - Appellant-Foundation runs a School -Whether the Appellants are entitled to take the entirety of lease rentinto account while having the fee structure approved in terms ofprovisions of the Act and if not, what should be the correctapproach - Held: Under sub-clause (b) to s.4(2) of the Act the Stateis empowered, to exclude certain expenditure in regulating feescollected by the educational institution - The exercise on part ofState Government must be guided to arrive at a just balance betweentwo essentials. one-interest of the unaided institution to have a justand reasonable fee structure and other -the very purpose of thelegislation to curb the capitation fee - In instant case, the plot ofland of school came to be allotted not through normal competitivechannels but purely under discretionary quota - Considerationpayable for th~ plot was not guided by market conditions, and publicproperty was made over purely for sub-serving public interest -The land in question was originally given by MHADA (MaharashtraHousing and Area Development Authority) on behalf of the StateGovernment at concessional rate to MP MCT (Trust) - Thereafter. atripartite agreement was executed between the MHADA, MPMCTand a limited company - Consequent to which the said plot of landwas sub-leased, to the company, which in turn gave leasehold rightsto the appellant-Foundation to run the School from the buildingsituated - The appellant-Foundation is paying rupees 2.5 croresevery year towards rent - Respondent No.3 is not off" the mark incontention thai in the process substantial sums of money are beingmade over to Me company in which the trustees of the Foundationare the only directors - Since, the lease deed and subsequent leasedeed in the present case was on non-competitive basis and purelyon discretionary quota of the State Government. the locationaladvantages of the land ought to be completely severed and segregated and what should be basis for computation must be purelythat what was expended "on land and building" - Matteraccordingly remanded to the State Government for freshconsideration - MHADA (Disposal of Land) Regulations 1982 -regn.16. |
Judge | Honble Mr. Justice Uday Umesh Lalit |
Neutral Citation | 2017 INSC 705 |
Petitioner | Rustom Kerawalla Foundation |
Respondent | State Of Maharashtra And Ors. |
SCR | [2017] 13 S.C.R. 330 |
Judgement Date | 2017-08-03 |
Case Number | 3696 |
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