BEFORE THE HONBLE HIGH COURT OF DELHI AT NEW
DELHI
WRIT PETITION (CIVIL) NO. OF 2018-
THE MATTER OF:
DR. MD NAJIM & ORS s+ PETITIONERS
DEAN, ESI PGIMSR, BASAIDARAPUR & ORS
-sRESPONDENTS
INDEX
PARTICULARS
1. [Notice of Motion
2. 2
3 | 3
Memo of Parties “a-7
“3, | List of Dates & Synopsis rs es
6. | Writ Petition under Article 236 of the Constitution Of] 13-55
| India on behalf of the Petitioners praying for:
of Certiorari quashing the
ation dated 06.02.2017 of |
Respondent no. 1 on the ground raised in the
writ petition; and
2. A Writ of Quo Werranto or any other such Writ
quashing the calling upon the Respondents as to
under what authority sre they demanding Rs.
2,50,000/- as increased fee from the Petitioners;
3. A Writ in the nature of Certiorari quashing the
illegal, unjust and baseless act of Respondents
in demanding the exorbitant fee of Rs.
2,50,000/- per Petitioner per annum; and
of Certiorari quashing the Show Cause
2 dated 10.01.2019, issued by the
Respondent no. 1 threatening termination of the
PG course;
5. A Writ in the nature of Certiorari or any other
such Writ quashing the act of Respondents in
A canesperiod of 3 years as unreasonable, illegal and
arbitrary and without having any nexus to any
purported objective; and
6. A Writ in the nature of Mandamus or any other
such Writ quashing the act of the Respondent
no. 1 in obtaining undertakings of bonded
services for an unreasonable period of 3 years
and secured by huge amount of rs. 25,00,000/-
which is baseless and devoid of any nexus; and
7. A Writ of Cestiorari praying for a quashing of |
circular dated 10.10.2018 demanding Bank
Guarantee for an amount of Rs. 10,00,000/-;
and
or any other appropriate writ this Hon'ble court may
deem fit with supporting affidavit
obtaining bonded service by the Petitioner for a
7. | ANNEXURE P-1 56-58 |
|A-copy of the impugned letter dated 06.02.2017
‘bearing No. DM(A) H-19/14/9/PG Admission/ 2017-
PGISMR issued by Respondent No. 1
8. | ANNEXURE P— IL 59-61
| A copy of the Show Cause Notice dated 10.01.2019
ANNEXURE P — It - 62-66
A copy of the proforma of impugned bond provided
by the Respondent No. 1
10. | ANNEXURE P —1V 67
| A-copy of the impugiied Circular dated 10.10.2018
pa ee
11. | ANNEXURE P—V ; 8-2
A copy of the results for the year 2016 ~ 17 for All
India as well as State Quota
“12, ANNEXURE P— VI a 3-90
A copy of Webpage reflecting the information of
online counseling (All India Quota) for the year 2017
for the Respondent No. 1
13. | ANNEXURE P— Vi ~ 91-95
A notification bearing GGSIPU Admissions/2017/
20825 (State Quota) for State Quota Students
14. ANNEXURE P= VIII (Colly) 96 =99
A copy of Webpage reflecting the information of
online counseling for the year 2017 other institutes
affiliated with Respondent No. 515. [ANNEXURE P-IX 100— tis
A copy of the relevant portions of the brochure
alongwith the bond imposed by the Respondent No. 5
ANNEXURE P—X . 116-118
A copy of the communication dated 27.07.2018
issued by the Petitioner
17. ANNEXURE P—XI 119 122
A copy of the communication dated 28.08.2018
issued by the Petitioner
18.ANNEXUREP-XI 123
A copy of the Office Memorandum dated 19.06.2018
bearing No. L ~ 11 /12/3/2018/Corporate Cell MEC
19.| Application under Section 151 of Civil Procedure 124-13]
Code, 1908 filed by the Petitioner praying for
appropriate directions and stay of operation of the
freular dated 10.10.2018 alongwith supporting,
77 affidavit
20. | Application under Section 151 of Civil Procedure
Code, 1908 filed by the Petitioner praying for
sppropriate directions and stay of operation of the
‘Show Cause Notice dated 10.01.2019
21. | Application under Section 151 GPC, on behalf of |
the Petitioners for exemption from filing certified
‘opy of annexures, the true typed copy of,
—illegible/dim/proper margin / underline / single line
spacing of the anmexures alongwith supporting
affidavit.
22.| Vakalatnama f LeHer h e
- ¢ oh fran — Lisa =1
KAQIKA AGNIHOTRI
VAIBHAV AGNIHOTRI
SKV ASSOCIATES
A118, THIRD FLOOR
Place: New Delhi DEFENCE COLONY
Dated:
NEW DELHI ~ 1100242015-17
2017
Cc
(an 2017-18
7
10.10.2018
LIST OF DATES
‘The fee for Student Doctors pursuing various Post Graduate
Courses with the Respondent No. 1 was Rs. 24,000/-.
The Petitioners participated in respective examinations of
State and All India Quota and after following the procedure
took admissions with the Respondent No. 1
It is relevant to note that the purported decision of
increasing fees was communicated to the Petitioners only at
the time of counselling,
Tt is also relevant to note that the Petitioners were required
to furnish a bond for an amount of Rs. 25,00,000/- as
security which becomes payable in case the Student Doctors
decide to not serve with the Respondent No. 1 upon
completion of course.
The Petitioners had been following up with the Respondent
No. 1 and 2 calling upon them to reconsider the revised fees,
The Petitioners ssued communications dated
27.07.2018 and 28.08.2018 sharing their concems regarding,
the revised fees and the onerous bond condition.
‘The Respondent No. 1 on 10.10.2018 has issued an illegal
and arbitrary circular seeking to circumvent the litigation in
order to make illegal gains. Vide the said circular the
Petitioners inter-alia are being directed to furnish a Bankj
|
|
|
Guarantee for a humungous amount of Rs,10,00,000/ by
22.10.2018
Hence this Writ Petition
SYNOPSIS
The present Writ Petition is being fled on behalf of Petitioners who are
currently studying in various Post Graduate Courses in the Respondent
No. 1 institute, seeking appropriate Writ thereby quashing following
arbitrary and illegal actions of the Respondents:
1. The Petitioners are impayning the decision dated 06.02.2017 bearing
No. DM(A) H-19/14/9/PG Aduission/ 2017-PGISMR issued by
Respondent No. I to Ministry of Health @ Family Welfare whereby
the fee for the courses punsued by the Petitioncrs has been
Srponentisily and unjustly increased, which ia arbitrary,
Mnreasonable and without the authority of law. It ig submitted that
fees fixed for the immediate prior batches ies 2015-18 and 2016-19
was fixed at Rs, 24,000/- per student per annum,
Whereas during the counseling, the Petitioners, without any prior
intimation, were informed that the fees forthe batch 2017.20 is fixed
at Rs. 2,50,000/-. It is relevant to note that the fee fixed for
Petitioners batch (2017-20) is ereste than ten times ofthe fee fixed,
Wis also relevant to note that the alleged decision which finds
mention in the impugned letter has not been made available to the
Petitioners,Itis also the case of the Petitioners that the fees for the 2017-20 batch
has not been increased in accordance with the Delhi Professional
Colleges or Institutions (Prohibition of Capitation Fee Regulation of
Admission Fixation of Non-Exploitative Fee and Other Measures to
Ensures Equity and Excellence) Act, 2007 (Fee Fixation Act), which
provides for fixed time period for operation of fee structure and
procedure for approval thereof from the Fee Regulatory Committee
(Respondent No. 3) established under the Fee Fixation Act.
Without prejudice to the aforementioned, assuming, albeit not
admitting that the fee structure has been arrived at as per the
procedure laid down under the Fee Fixation Act, even in such a case,
the decision dated 06.02.2017 is without any rationale and as such
same merits to be declared as illegal and unsustainable.
1 of unreasonable
Despite the Petitioners having raised the i
inerease in fees with the Respondent No, 1 and 2, it has failed to
provide any relief or reasoning behind its arbitrary actions. Instead
the Petitioners have been threatened with termination of their
courses. ‘The Petitioners are also seeking to quash the show cause
notice dated 10.01.2019 issued by the Respondent No. 1 threatening
the termination of the PG Course for non-payment of fees.
10The Petitioners are also aggrieved by the requirement to submit a
bond which imposes an onerous condition of mandatory service for a
period of 3 years in any Hospitals of the Respondent No. 1. It is
submitted that, in case of the Petitioners failure to comply with the
said onerous and illegal condition, the Petitioners would be required
to pay a penalty of an excessive amount of Rs. 25,00,000/-. It is
relevant to note that the aforementioned bond condition is in addition
to the compulsory Bond of Rs. 3,00,000/- provided along with the
Brochure. The fuctum of bond conditions contained being onerous,
illegal is established from the following
i. The condition imposed is onerous and requires the students to give
‘an undertaking to work at any place assigned by the Respondent
No. 1 for a period of “Three Years”;
ii, No information pertaining to the probable place of appointment is
provided especially with respect to the location of the institute or
the nature of the appointment where the Petitioners would be
directed to serve;
iii, No information pertaining to the nature of appointment is
provided, which may lead to the appointment of the Petitioners in
“Non-teaching or lesser positions”;
iv. The condition being onerous having been secured by the payment
OF Rs. 25,00,000/-, the Petitioners would be compelled to accept
the appointment given by Respondent No, 1. The said appointment
is also without any assurance of remuneration, which would be
paid to the Petitioners;
ilv. Lack of such condition in other institutes providing same courses
which affiliated with the Respondent No. 5 herein;
vi, Respondent No. 2 in a statement issued to the media on
16.02.2015, had on its own communicated the rejection of
imposition of any such condition by the Respondent No. 1;
Vii. The inaetion and failure of the Respondent, in not even examining
let alone redressing the issue raised by the Petitioners;
The bonds submitted by the Petitioners are in the custody of the
Respondent No. 1 and 2.
‘The Petitioners are also seeking relief of mandamus quashing the
ular dated 10.10.2018 issued by the Respondent No. 1, whereby
ied condition for a’ Bank
it seeks to retrospectively apply the mod
Guarantee from the Petitioners, in lieu of the Bond Condition,
his is violation of the right of the Petitioners to Equal Opportunity,
Occupation, and Personal Liberty guaranteed under Article 14,19 & 21 of
the Constitution of India and Praying for the Writ of Mandamus and any
such other Writ as this Hon'ble Court may deem fit.
12BEFORE THE HONBLE HIGH COURT OF DELHI
AT NEW DELHI
WRIT PETITION (CIVIL) NO. OF 2018
1410-2019
IN THE MATTER O1
DR. MD NAJIM & :* ORS
+» PETITIONERS,
VERSUS.
DEAN, ESI PGIMSR, BASAIDARAPUR & ORS.
+-RESPONDENTS:
WRIT PETITION UNDER ARTICLE 226 OF THE
CONSTITUTION OF INDIA ON BEHALF OF THE
PETITIONERS PRAYING FOR:
1. A WRIT OF CERTIORARI QUASHING THE
DECISION DATED 06.02.2017 OF RESPONDENT
NO. 1 ON THE GROUND RAISED IN THE WRIT
PETITION; AND
2. A WRIT OF QUO WARRANTO OR ANY OTHER.
SUCH WRIT QUASHING THE CALLING UPON
THE RESPONDENTS AS TO UNDER WHAT.
AUTHORITY ARE THEY DEMANDING RS.
2,50,000/- AS INCREASED FEE FROM THE
PETITIONER;
3. A WRIT IN THE NATURE OF CERTIORARI
QUASHING THE ILLEGAL, UNJUST AND
BASELESS ACT RESPONDENTS — IN
DEMANDING THE EXORBITANT FEE OF RS.
2,50,000/- PER PETITIONER PER ANNUM; AND
4. A WRIT OF CERTIORARI QUASHING) THE
SHOW CAUSE NOTICE DATED~ 10.01.2019
ISSUED BY THE RESPONDENT NO. 1
THREATENING TERMINATON OF THE PG
COURSE;
5. A WRIT IN THE NATURE OF CERTIORARI OR
ANY OTHER SUCH WRIT QUASHING THE ACT
13OF RESPONDENTS IN OBTAINING BONDED
SERVICE BY THE PETITIONER FOR A PERIOD
OF 3 YEARS AS UNREASONABLE, ILLEGAL.
AND ARBITRARY AND WITHOUT HAVING
ANY NEXUS TO ANY PURPORTED
OBJECTIVE; AND
6. A WRIT IN THE NATURE OF MANDAMUS OR
ANY OTHER SUCH WRIT QUASHING THE ACT
OF THE RESPONDENT NO. | IN OBTAINING
UNDERTAKINGS OF BONDED SERVICES FOR
AN UNREASONABLE PERIOD OF 3 YEARS.
AND SECURED BY HUGE AMOUNT OF RS.
25,00,000/- WHICH IS BASELESS AND DEVOID
OF ANY NEXUS; AND.
7. A WRIT OF CERTIORARI PRAYING FOR A
QUASHING OF CIRCULAR DATED 10.10.2018
DEMANDING BANK GUARANTEE FOR AN
AMOUNT OF RS. 10,00,000/-, AND
OR ANY OTHER APPROPRIATE WRIT THIS
HONBLE COURT MAY DEEM FIT WITH
SUPPORTING AFFIDAVIT
To,
‘The Hon’ble Chief Justice and
His Companion Justices of the
High Court of Dethi at New Delhi
MOST RESPECTFULLY SHOWETH:
1. The present Writ Petition is heing filed on behalf of
Petitioners who are currently studying in various Post,
Graduate Courses in the Respondent No. 1 institute,
seeking appropriate Writ thereby quashing following
arbitrary and illegal aetions of the Respondents:
1.1, The Petitioners are impugning the decision dated
06.02.2017 bearing No. DM(A) H-19/14/9/PG
1412.
Admission/ 2017-PGISMR issued by Respondent
No. 1 to Ministry of Health & Family Welfare
whereby the fee for the courses pursued by the
Petitioners has been exponentially and unjustly
inereased, which is arbitrary, unreasonable and
without the authority of law. It ig submitted that
fees fixed for the immediate prior batches ic.
2015-18 and 2016-19 was fixed at Rs. 24,000/- per
student per annum,
Whereas during the counseling, the Petitioners,
without any prior intimation, were informed that
the fees for the batch 2017-20 is fixed at Rs,
2,50,000/.. It is relevant to note that the fee fixed
for Petitioners batch (2017-20) is greater than ten
times of the fee fixed. A copy of the impugned
lotter dated 06.02.2017 bearing No. DM(A) He
19/14/9/PG_Admission/ 2017-PGISMR issued by
Respondent No, 1 is annexed herewith and marked
as ANNEXURE P ~ I. It is also relevant to note
that the alleged decision whieh finds mention in
the impugned letter has not been made available to
the Petitioners,
Itis also the case of the Petitioners that the fees for
the 2017-20 batch has not been increased in
nal Colleges or
accordance with the Delhi Profe:
15Institutions__(Prohibition _of Capitation _ Fee
Regulation of Admission _Fix:
m of _Non-
Exploitative Fee and Other Measures to Ensures
Equity and Excellence) Act, 2007 (Pee Fixation
Act), which provides for fixed time period for
operation of fee structure and procedure for
approval thereof from the Fee Regulatory
Committee (Respondent No. 3) established under
the Fee Fixation Act,
Without prejudice to the aforementioned,
assuming, albeit not admitting that the fee structure
has been arrived at as per the procedure laid down
under the Fee Fixation Act, even in such a case, the
decision dated 06.02.2017 is without any rationale
and as such same merits to be declared as illegal
and unsustainable.
Despite the Petitioners having raised the issue of
unreasonable increase in fees with the Respondent
No. 1 and 2, it has failed to provide any relief or
reasoning behind. its arbitrary actions. Instead the
Petitioners have been threatened with termination
ioners are also secking to
of their courses. The Pet
quash the show cause notice dated 10.01.2019
issued by the Respondent No. 1 threatening the
termination of the PG Course for non-payment of
1614,
ii,
fees. A copy of the Show Cause Notice dated
10.01.2019 is annexed herewith and marked as
ANNEXURE P ~IT.
‘The Petitioners are also aggrieved by the
requirement to submit a bond which imposes an
onerous condition of mandatory service for a
period of 3 years in any Hospitals of the
Respondent No. 1. It is submitted that, in case of
the Petitioners failure to comply with the said
onerous and illegal condition, the Petitioners
‘would be required fo pay a penulty of an excessive
amount of Rs, 25,00,000/-. It
is relevant 10 note
that the aforementioned bond condition is in
addition to the compulsory Bond of Rs, 3,00,000/-
provided along with the Brochure, The factum of
bond conditions contained being onerous, illegal
established from the following:
The condition imposed is onerous and requires
the students to give an undertaking to work at any
place assigned by the Respondent No. 1 for a
period of “Three.Years”;
No information pertaininy: to the probable place
of appointment is provided especially with
respect to the location of the institute or the
nature of the appointment where the Petitioners
would be directed to serve:
7iii. No information pertaining to the nature of
appointment is provided, which may lead to the
appointment of the Petitioners in “Non-tesehing
or lesser positions”;
iv. The condition being onerous having been secured
by the payment of Rs. 25,00,000/-, the Petitioners
would be compelled to accept the appointment
given by Respoudent No. 1. The said appointment
is also without any assurance of remuneration,
which would be paid to the Petitioners;
v. Lack of such condition in other institutes
providing same courses which affiliated with the
Respondent No, 5 herein;
vi. Respondent No. 2 in a statement issued to the
media on 16.02.2015, had on its own
communicated the rejection of imposition of any
such condition by the Respondent No. 1;
vii. The inaction and failure of the Respondent, in not
even examining let alone redressing the issue
raised by the Petitioners;
‘The bonds submitted by the Petitioners are in the
custody of the Respandent No. | and 2. A copy of
the proforma of impugned bond provided by the
Respondent No. 1 is annexed herewith and marked
as ANNEXURE P ~ IIT.
181s.
2.
The Petitioners are also seeking relief of
mandamus quashing the Circular dated 10.10.2018
issued by the Respondent No. 1, whereby it seeks
to retrospectively apply the modified condition for
a Bank Guarantee from the Petitioners, in lieu of
the Bond Condition. A copy of the impugned
Circular dated 10.10.2018 is annexed herewith and
marked as ANNEXURE P ~ LY.
It is most respectfully submitted that the impugned
actions of the Respondents in exponentially
increasing fees towards the course, obtaining onerous
bond condition and attempting to obtain Bank
Guarantee and the failure of the Respondents. in
addressing grievances raised. by the Petitioners, are
not only blatantly illegal, high handed and arbitrary
but also an exploitation of the superior dominant
position enjoyed by the Respondent No. 1, which left
the Petitioners with no choice but to approach this
Hon'ble Court.
The Petitioners. are...students pursuing various
Specialty Courses, who are enrolled with the
Respondent No. 1 through Common Pntrance Exams
(CET) 2017-18 conducted by GGSIPU and All India
Post Graduate Medical Entrance Examination NEET
PG 2016-17 conducted by NBE
194, The Respondent No. 1 is PSI PGIMSR, Basaidarapur
is an unaided / self-financing, institution established
by the Labour Ministry and is affiliated with
Respondent No. 5 (GGSIPU) offering. various PGMC
Courses. The Respondent No. 2 is te parent body of
the Respondent No. 1 and is responsible for the day
to day functioning of the Respondent No. 1. The
Respondent No. 3 is the Fee Repulutory Committee
established under the Fee Fixation Act. The
Respondent No. 4 is the Nodal Officer, Ministry of,
Labour and Employment and is responsible for
implementation and change ol policies. The
Respondent No. 5 is Guru Gobind Sinyl Indraprasth
University (GGSIPU) is a jublic state university
located in Dethi to which Respondent No, 1 is
affiliated, The Respondent No. 6 is a Government
body established under the tudian Medical Council
Act, 1933 (repealed / freshly cnacicd) with de main
function of establishing uniform standards of higher
qualifications in medicine and seco. .iton of medical
qualifications in India and aloud, ‘The Respondent
No. 1 to 5 are State within the meaning of Article 12
of the Constitution of India aud by virtue of the same
are amenable to Writ Jurisdiction of this Hon’ble
Court.
205
SA
52
53
The factual matrix leading to the present Petition
being filed before this Hon'ble Court is:
‘The Petitioners after graduating M.B.B.S from
Institutes affiliated with various recognized
Universities, and have completed 1 year
compulsory rotatory internship, and thus were
entitled to appear in the All India Bost Graduate
Medical Entrance Examination NEET PG 2017
conducted by NBE. The Petitioners in accordance
with the rules and guidelines provided for the
examinations applied and appeared in the same.
That the Petitioners cleared the respective
examinations. A copy of the results for the year
2016 — 17 for Alll India as well as State Quota are
annexed herewith and marked as ANNEXURE P
-v.
‘That thereafter, the Petitioners belonging to All
India Quota were required to participate in online
counseling as per Guidelines provided in
Information Bulletin issued by National Board of
Examination (NBE) in terms of the Information
Bulletin, Subsequent to which the Petitioners were
required to partake in online counseling and select
‘the desired institutes. Bach institute would share its
details in a particular format disclosing relevant
2155
details which includes fees payable towards the
course. It is submitted that the relevant webpage
pertaining to the Respondent No. 1 is no more
available on the website and therefore the
Petitioners are relying upon the 2018 webpage. A
copy of Webpage reflecting the information of
online counseling (All India Quota) for the year
2018 for the Respondent No. | is annexed herewith
and marked as ANNEXURE P ~~ VI
Whereas, the Petitioners belonging to State Quota
were required to attend counseling 2s provided in
the notifications bearing the notification bearing,
GGSIPU Admissions/2017/20825, It is relevant to
note that no information pertaining to any increase
in fees was provided on the website or during the
first counseling session. A notification bearing
GGSIPU Admissions/2017/20825 (State Quota)
are annexed herewith and marked as ANNEXURE.
P-VIL 7
It is relevant to note that most institutes affiliated
with Respondent No. 5 at the time had no bond
condition, and some which had, imposed a bond
condition of under Rs. 5,00,000/-, on the other
hand, the Respondent No. 1 being a public institute
under Respondent No. | is claiming a bond amount
225.6
5]
of Rs. 25,00,000/.. A copy of Webpage reflecting
the information of online counseling for the year
2017 other institutes affiliated with Respondent
No. 5 is annexed herewith and marked as
ANNEXURE P— VII (COLLY).
However to the shock and surprise of the
Petitioners, when the process of application was
joners belonging to
already underway and the P
State Quota, appeared for counseling, the
Petitioners were informed that the Kees towards the
course for the State Quota has been increased to
2,50,000/-p.e.. Furthermore, only when the
Petitioner belonging to All India Quota undertook
the online counseling it came to light that for the
fees for All India Quota has also been increased to
Rs. 2,50,000/-. It is relevant to note that the fee for
the earlier batches of ESI, Basaidpur was only Rs.
24,000/-On asking for the basis of the said
increase, the concemed official would not provide
any relevant information but kept emphasizing that
the Student Doctors would not be permitted to
complete admission process until they pay 50% of
the fees.
In addition to this the Petitioners were called upon
to furnish a bond compulsorily requiring the
“\
~
2358
Petitioners to serve as resident with any Hospital
deemed fit by the Respondent No. 1 for a period of
3 years. As per the conditions stipulated in the
bond, the Petitioners, in an event of failure to
comply with bond conditions, were required to pay
an exorbitant penalty of Rs. 25,00,000-, It is
pertinent to bring to the attention of this Hon’ble
Court that this bond is in addition to the bond
condition for an amount of Rs. 3,00,000/- imposed
by the Respondent No. 5 which would become
payable in case of failure of concemed students
complete the respective courses opted by the
Petitioners. A copy of the relevant portions of the
brochure alongwith the bond imposed by the
Respondent No. 5 is annexed herewith and marked
as ANNEXURE P ~ IX (COLLY).
It is also surprising that as per the knowledge of
the Petitioners some of the other institutes under
Respondent No. 5 did not mandate the bonded
service condition and the fee structure fixed did not
exceed Rs. 50,000/;, However, on account of the
fact that the counseling process had already closed,
the only options left to the Petitioners were to
either join the Respondent No. 1 institute as per the
conditions imposed by them or to waste the next
Not having left with any choice, the Petitioners39
5.10
were compelled to comply with the onerous
condition of fumishing Rs. 1,25,000/- per semester
towards Fees and a bond for a value of Rs.
25,00,000/-
That the Petitioners made requests and inquiries
from the Respondents regarding the arbitrary
increase in fees, but to no avail. The Petitioners
have however come in possession of a letter dated
06.02.2017 beating No, DM(A) H-19/14/9/PG
‘Admission/ 2017-PGISMR issued by Respondent
No. 1 to Ministry of Health & Family Welfare
thereby informing it of the purported decision
taken by the Respondent No. 2 regarding revision
of tuition fees and duration of compulsory service
under bond. The said letter did not provide the
decision, if any, taken by the Respondent No. 2. It
is submitted that the said letter does not deal with
the issue of State Quota students, who not be
required to refer the website mentioned in the said
letter, Thus being an internal communication it
cannot be relied upon to claim exorbitant fees from
the Petitioners,
It is further submitted that imposition of exorbitant
bond condition and the’ period of compulsory
service is devoid of any rationale. It is also
25SAL
pertinent to note that though the Respondent No. 1
has imposed an exorbitant and onerous condition
on the Petitioners, it fails to provide any clarity on
the nature of appointinent and rules pertaining
thereto.
While compelling the Petitioners to undertake to
serve long periods on threat of imposition of
enormous penalties, the Petitioners have neither
been informed about the place of work nor the
institute where the Petitioners would be required to
undertake the said service, Further, no informution
pertaining to the nature of service or remunerations
payable have been divulged to the Pei
On account of the fet that no clarity has been
provided with respect to nature of the employment,
the Petitioners who are post graduates, apprehend
that they may be appointed to non-teaching
positions or other lesser positions. Furthermore,
time the Petitioners would spend on such post
would not be counted in case the Petitioners
application for professorship / teaching post which
would further cause prejudice to the Petitioners.
‘The Petitioners naturally would not be in a position
to reject the offer of employment as the same
‘would entail a heavy penalty of Rs. 25,00,000/-.
265.13 The Petitioners have also leant that the
5.14
Respondent No. I has vacant positions for which
the Student Doctors are eligible. However the
Respondent No. 1 is not permitting the Student
Doctors to even interview for the said position,
unless they furnish the bond / Bank Guarantee
demanded by the Respondent No. 1. It is most
respectfully submitted that, while on one hand, the
Petitioners are restricted from applying to any
other Hospital, on the other hand, the Petitioners
are not even permitted to apply to institute of their
choice, even out of the choices available under
Respondent No. 2.
On account of the Respondent No.1’s failure to
provide clatification to the aforementioned issues
(fee structure and bond condition), the Petitioners
addressed communication dated 27.07.2018, issued
to the Respondent No. 1, sharing thgir issues and
grievances with the Respondent No, 1. The
Potiiones in the hope. that the grievances of the
Petitioners would be examined and redressed
waited patiently thereafter. A copy of the
communication dated 27.07.2018 issued by the
Petitioner is annexed herewith and marked as
ANNEXURE P ~ X. However, as the Respondents
275.18
5.16
failed to provide any response, the Petitioners were
compelled to issue another letter dated 28.08,2018
to the Respondent No. 1 recapitulating the
Brievances of the Petitioners. It is submitted that
the Respondent No, 1 has till date failed to respond
{o cither of the aforementioned communications. A
copy of the communication dated 28.08.2018
issued by the Petitioner is annexed herewith and
marked as ANNEXURE P — XI.
‘The Respondents instead of addressing the
grievance of the Petitioner Students, on
10.10.2018, issued an illegal and arbitrary circular
seeking to circumvent the litigation in order to
make illegal gains. Vide the said Circular the
Petitioners inter-alia were being directed to furnish
@ Bank Guarantee for a humungous amount of
Rs,10,00,000/- by 22.10.2018. Briefly stating the
said action of the Respondent No, 1 and 2 is to the
specific detriment of the Petitioners and merits 10
be quashed / stayed for the following, reasons:
It is relevant to state that as per the Respondent
No. 1, the Circular dated 10.10.2018 has been
issued in furtherance of the Office Memorandum
dated 19.06.2018. A copy of the Office
Memorandum dated 19.06.2018 bearing No. L
2811 /12/5/2018/Corporate Cell/ MEC is annexed
herewith and marked as ANNEXURE P — XU,
5.17, Tt seems from the letter that on 29.05.2018, in its
174th meeting the ESI Corporation had approved
its decision to demand a Bank Guarantee of
various amount totaling to Rs, 25,00,000/- by the
PG students. This approval of the Respondent No.
2 was allegedly conveyed to Respondent No. 1
vide its circular dated 19.06.2018. From a bare
perusal of the Office Memorandum it is apparent
that the same could not have been made applicable
to Petitioners as:
i, It was applicable to PG Students taking
admission who were required to furnish the
Bank Guarantee in stages (Ist Year 05 Lacs,
2nd Year 10 Lacs, 3rd Year — 10 Lacs),
Hence the same was prospective in nature and
could not have been made applicable to
students already studying with the
Respondent No. 1;
ji, Even otherwise, the Circular was issued on
10.10.2018 when the courses of Petitioners
were already underway and the Petitioners
were already studying the courses. Hence the
modification of rules could not be imposed
retrospectively;5.18
5.19)
It is therefore submitted that the act of the
Respondent to retrospectively apply the condition.
of furnishing Bank Guarantee on- the Student
Doctors from the 2017-20 batch is il
gal and
arbitrary.
‘The aforementioned decision of the Respondents is
another instance of its high-handedness and abuse
of its dominant position.
While the Respondent No, 1 has failed to remedy
the grievances raised by the Petitioners, the
situation across the nation has changed drastically.
Several institutes have admitted the fact that the
period of several years as condition to serve is too
ong and have reduced it. The Petitioners have also
learnt that some of the institutes which initially
proposed to impose heavy bond conditions have
subsequently reduced the bond petiod to only six
months. Hence, the Respondent No. 2 ought to
take note of the changes and that its policies are
violative of rights of the Petitioners.
Its relevant to state that the Petitioners go through
Jong working hours in the Respondent No. 1
Hospital, often working at odd hours for days at
end, In the course of time spent pursuing the
305.22
course, the Petitioners have been approaching the
Respondents calling upon them to clarify the
rationale behind increase in the exponential fees
imposition of bond and the nature of compulsory
employment for a duration of 3 years. However no
clarification was provided to either of the
grievances raised by the Petitioners
Its the case of the Petitioners that the increase in
fees for the Petitioners’ batch is without any
authority, prior intimation and in violation of
applicable rules and provisiuus. It is submitted that
before revision in fees, an aided institute is
required to submit a “proposed fee structure” to the
“fee regulatory committee” established under the
Fee Fixation Act.
Under the Act, each institution is required to
provide all relevant documents, books of accounts
for scrutiny prior to December 31* of the previous
academic year. Upon perusal of the said proposed
fee structure the Respondent No. 3 is under an
obligation to verify if the proposed fee is justified
and does not amount to profiteering or charging of
capitation fee,
315.23, Upon consideration of the, factors provided in the
Act, if the proposed fee structure i8 found to be
accurate, the Fee Regulatory Committee shall
approve the proposed fee structure which shall be
valid for a period of 3 years, It is relevant to note
that despite the fixed validity period of 3 years, the
Respondent No. 1 has increased the fees for the
2018-21 batch by another 10%, Further the
Respondent No. 1 and 2 are threatening the
Petitioners with termination of the courses pursued
them.
6. Aggrieved by the blatant illegelities committed by the
Respondents, coupled with the arbitrary,
unreasonable and irrational increase in fees and
imposition of exorbitantly onerous bond conditions
and the inaction of the Respondents to rectify the
arievences, the Petitioners herein impugn the said
actions by way of the present Petition on the
followings grounds, all of which are independent and
without prejudice to each other :-
GROUNDS
6.1. BECAUSE the Petitioners were never informed
about the 1000% increase in the fee for the courses
offered by Respondent No. 1. It is submitted that
the impugned increase in fee structure neither6.2.
reflected in the brochure nor on the website of the
Respondent No. 1 at the relevant time. The
Petitioners belonging to State Quota were informed
for the first time about the increase in fee hike at
the time of counseling. Even the Petitioners
belonging to All India Quota were not aware of the
revised fee. Hence, the said structure cannot be
changed on the basis of any alleged decision, when
the same was not duly made available to the
prospective students at the relevant period of time;
BECAUSK the impupned decision dated
06.02.2017, whereby the Respondent No. 1 has
exponentially increased the fees for the Petitioners
batch, is erroneous and merits to be set aside, as
the same is without any authority. It is submitted
that under Fee Fixation Act an aided institute is
required to submit a “proposed fee structure” to the
“fee regulatory committee” established under the
Fee Fixation Act. Alongwith the proposed fee
structure ull relevant documents, books of accounts
for scrutiny prior to December 31" of the previous
academic year are required to be submitted.
‘Thereafter the Respondent No. 3 is required to
verify if the proposed fee is justified and does not
amount to profiteering or charging of capitation
fee,
3363
64,
BECAUSE it is not permissible for the
Respondents to change the rules of procedure
Which were available and-known to the parties at
the time when the Petitioners applied for the
selection process;
BECAUSE the impugned decision dated
06.02.2017 is erroneous and merits to be set aside,
as the same reveals the high handed nature of the
Respondent No. 1 and 2, in as much as it violates
the right of the Petitioners to access professional
education at a reasonable fee structure, Ik is
submitted that the link between private freedom
and public interest determines the nature of
permissible controls that can be enforced by the
State. It is relevant to note that the fee for the
previous batch was Rs. 24,000-/ p.a., however, the
Respondent No, 1 and 2 has increased the same to
Rs, 2,50,000/-. It is submitted that tll date the
mn and the basis of which the same has
actual deci
been taken, has not been made available to the
Petitioners, Furthermore the Petitioners have not
been informed the basis or rationale for a 1000%
increase in the fee hike;
34.6.5.
6.6,
BECAUSE the impugned decision dated
06.02.2017, is erroneous and merits to be set aside,
as the same has been passed in violation of the
basic obligations which follow from right to
administration / occupation. It is submitted that the
Apex Court has held that the tight to
administration of a private unaided educational
institution assumes the right to admit students, to
set up a reasonable fee structure, to coristitute a
goveming body, and to appoint staff and take
disciplinary. action, Ik is submitted that the
autonomy granted to educational institutions in the
admission of students i.e, the private right to
administer-must be seen in the context of the
public purpose. The State in exercise of its power
and to preserve public interest have cast certain
restrictions on the power of the institutes to fix
their fees. Thus the fee structure determined by
Respondent No. 1 and 2, which has been revised
without eny authority, is not and cannot escape any
regulation and as such merits to be quashed;
BECAUSE the impugned decision is erroneous
and merits to be set aside as the same is in
contravention of the Fee. Fixation Act. It is
submitted that every institution is fuze to devise its
own fee structure subject to the limitation that
3567.
68,
there can be no profiteering and no capitation fee
can be charged directly or indirectly, or in any
form. It is relevant to note that the Respondent No.
1 and 2 have unilaterally increased the fee for the
Petitioner batch over ten folds, which cannot be
Justified as a reasonable increase in fee by-any
standards, The stid act can only be understood as
evidence of the Respondents intention to profiteer
from the Petitioners;
BRCAUSE the impugned decision dated
06.02.2017 is erroneous and merits to be set aside
as the same is in violation of the ratio laid down by
the Apex Court, wherein it had been held that
insofar as professional courses leading to degrees
in Medicine and Engineering are concemed, the
matter must be screened and assessed by
Committee on Fixation of Fee. The Apex Court
further held that such institutes are not entitled and
competent to devise its own fee structure, and
referred the matter to the Fee Fixation Committee.
BECAUSE the impugned decision dated
06.02.2017 is erroneous and merits to be set aside
as the same is in contravention of the object of
setting up an educational institution, which is by
definition "charitable". It is clear that an
3669.
educational institution cannot charge such a fee as
is not required ‘for the purpose of fulfilling that
object. To put it differently, in the establishment
and running of an educational institution, the
object should not be to make a profit at the cost of
Students, inasmuch as education is. essentially
charitable in nature.
BECAUSE even the subsequent conduct of the
Respondent No, 1 and 2 in revising the fee
structure for the batch of 2017-20 is illegal,
withont any authority and metits to be set aside. It
is submitted that under the Fee Fixation Act fees
once fixed should not ordinarily be changed for a
period of three years, unless there exists extra-
ordinary reason. It is no more res integra that
and exploitation is not
permissible and the educational institutions are
supposed to run on ‘no profit, no loss basis’.
However the Respondent No. ! and 2 have revised
the fee structure for 2 emsecntive years, making it
apparent that the same has been done for
profiteering. Further the Respondent No. 1 is
threatening action against the Petitioners and other
Student Doctors for non-payment of the fees. The
same also makes it apparent that the said fee
376.10.
6.1.
6.12.
6.13.
increase for the years 2017-20 and 2018-21 is
without any authority;
BECAUSE the impugned decision of the
Respondent No. | and 2 whereby the fees had been
increased is merely an executive order which
cannot be in contravention of the applicable
statutes and the settled principles of law;
BECAUSE the unfathomable increase in the fee
being demanded by the Respondents is devoid of
any objective or aim or explanation in support of
the same, Hence, the same merits to be set aside;
BECAUSE the 1000% increase in the fee cannot
have any reasonable cannot be said to have any
reasonable and rational nexus with auy object that
the Respondents purportedly seeks to achieve;
BECAUSE the impugned Notice dated 10.01.2019
is bad in law as the Respondents have failed to
consider the issue already raised by the Petitioners
in its letters dated 27.07.2018 and 28.08.2018, It is
submitted that as the Petitioners have raised the
said issue more than 6 months prior to the
impugned communication it does not ‘lie with the
386.14,
6.15,
6.16,
Respondents to threaten the Petitioners with
termination of the course on the same issue;
BECAUSE the impugned actions of the
Respondents in obtaining the bond is in teeth of
Section 27 of the Contract Act. It is Submitted that
by virtue of the bond obtained from the Petitioners,
the Respondent No. 1 seeks to compel the
Petitioners to serve them for a period of 3 years,
failing which, an amount of Rs. 25,00,000/- would
be recovered from the Petitioners. The
aforementioned being in violation of the provisions
of Contract Law merits to be set asides
BECAUSE, without prejudice to the above
submissions, the Respondents being State is
required 10 be fair, reasonable, and aboveboard.
‘The actions of the Respondents ought to adhere to
Wednesbury Principle of reasonableness.
However, the mere fact that the rule sought to be
enforced by the Respondents is absolute and
without having provision to considér the fact of
cach case makes it arbitrary;
BECAUSE, admittedly, the submission of Bank
Guarantee for the amount sought to be procured by
the Respondents, did not form part of the terms and
396.17.
6.18.
conditions prevailing at the time, the Petitioners
applied, underwent counseling and took
admissions in various courses offered by the
Respondent No. 1. The introduction of the new
condition and act of making it applicable to the
Petitioner is contrary to law and cannot be
permitted to operate;
BECAUSE the impugned action imposing onerous
condition of bond fail to meet the test of
arbitrariness, It is submitted that” while most
institutes offering Specialty courses do not impose
bond condition, the in
tes which had adopted
the practice, have found the same to be onerous
and have substantially reduced the penalty. It is
further submitted that even within the institutes
affiliated with the Respondent No. 5. Not all the
institutes offering similar courses have adopted the
practice to impose bond condition. -Furthermore,
the penalty under bond is excessive and contrary to
the general consensus followed throughout the
nation. The actions of the Respondent No. 1 thus
violate the test of reasonability / arbitrariness as
enshrined in Article 14 of the Constitution of India;
BECAUSE, the action of the Respondent is also
unsustainable on the ground that the Petitioners
406.19.
have already furnished a separate bond of Rs.
3,00,000/- as provided under the brochure. Hence
the demand of another bond imposing a huge
penalty of Rs. 25,00,000/-, itself reflects the
arbitrary, irrational and baseless nature of the
action of the Respondents;
BECAUSE the bond condition imposed upon the
Petitioners amounts to an agreement in restraint of
trade and therefore is void. It is no more res integra
that a contract which casts restriction beyond the
expiry of the contract cannot be sustained. It is
submitted that the Petitioners due to the
circumstances at the relevant time were compelled
to furnish the bond as demanded by the
Respondent No. 1. While furnishing the bond of
Rs. 25,00,000/- the Petitioners were also called
upon to undertake to serve with any Hospital
assigned by the Respondent No. 1 for a period of 3
years, The relationship between the Petitioners and
the Respondents is valid for a period of 3 years,
which is the tenure of the course, however, the
a.the affairs of
Respondents are attempting to goven
inter-alia the Petitioners after the expiry of the
original contract of 3 years. The said condition
therefore is not only in teeth of the provisions of
Contract Act but also violates the right of the
————<$$<—$$—$——
416.20,
6.21,
Petitioners under article 19(1) of the Constitution
of India;
BECAUSE the impugned actiéns of the
Respondent No. I ate illegal, unjust and unfair, It
is submitted that the Petitioners who would
become senior residents upon expiry of the course,
have been made to undertake to serve any Hospital
for a period of 3 years, failing which an exorbitant
amount mentioned in the bond i.e. Rs. 25,00,000/-
has to be paid. While the condition imposed itself’
is onerous on the Petitioners, the lack of
information pertaining to the probable place of
appointment or the nature of appointment has been
provided by the Respondent No, 1, makes the said
condition even more arbitrary and unsustainable.
BECAUSE the arbitrary and unreasonable of the
jon is such, that as per information provided
restri
to the Petitioners, the Student Doctors on
completing the course cannot even apply for
institutes under the Respondent No. | and 2. Even
where vacancies are available in the institutes of
the Respondent No. 1 and 2, they do not permit
students to apply unless the bond and Bank
Guarantees are furnished;
426.22, BECAUSE the impugned actions reek of apathy
and lack any rationality. It is submitted that the
nature of the course pursued by the Petitioners with
the Respondent No. 1 is that of a practical study,
wherein the Petitioners are required to work as
doctors. It is submitted that though the Petitioners
pay tuition fees, for the majority of the course, the
aspirants work for long hours as doctors. For the
said work the Aspirants are paid nominal amount
which is not proportional to their contributions,
Instead of rewarding, the Petitioners for the service
they render, the Respondents are further binding
them down with onerous conditions and financial
liabilities. Hence the act of the Respondents are in
teeth of Wednesbury Principle of Reasonableness;
6.23. BECAUSE being a state authority the Respondents
being State under Article 12 of the Constitution of
India, are under a moral obligation to act as a
model employer / institute. The act of the
Respondent ought to be aboveboard. However in
the present case, the acts of the Respondents failed
to even satisfy the basic level of rationality let
alone, model standard
6.24. BECAUSE the action of approach of the
Respondents have violated the principles of
436.26.
equality and those of natural justice which are
otherwise available to the Petitioner by the
mandate of law. It is submitted that as a result of
the acts of the Respondent, the Petitioners have
been treated prejudicially as compared to
similarly situated persons who gave the same
exams and even participated in the same
counseling. It is submitted that the Respondents
fre attempting to create a class within a class
without any intelligible differentia;
. BECAUSE the impugned action of the
Respondents is in teeth of the principles laid down
by the Hon'ble High Courts across the nation,
clarifying that onerous bond condition ought not be
imposed by Goverament institute;
BECAUSE the impugned actions of the
Respondent No. 1 are illegal as the same are in
teeth of the very foundation of the institute. It is,
submitted that the Respondent No, 1 is an
educational institute aimed at providing cheaper
access to higher education (9 the citizens of the
country. However, the Respondent No, | under the
garb of “investment in training” seeks to impose
onerous condition of Rs. 25,00,000/- upon the
446.27.
Petitioner, and therefore creates a paradoxical
situation;
BECAUSE the impugned circular dated
10.10.2018 is erroneous and merits to be set aside
as it seeks to enforce conditions which were not
mentioned in the terms and conditions, subject to
which were made available to the Petitioners at the
time of application, counseling and admission. It is
therefore submitted that the Respondents are using
these circulars to do indirectly what they are
prohibited to do directly. The Respondents are
trying to change the rules of the game after it is
already in play. By a catena of judicial ratios, the
Hon'ble Apex Court has prohibited such acte. It is
submitted that the Respondent No. 1 and 2 in order
to circumvent the illegal bond which as per
Petitioner is unenforceable in law, and to profit
from the Petitioners and other Student Doctors
have imposed an onerous condition of buge time
period of bonded service secured by an exorbitant
amount of Rs, 25,00,000/- which as per the
Respondents is required to be submitted in the
form of Bank Guarantee. It is relevant to mention
that the Petitioners would have no control over the
Bank Guarantee furnished in favour of the
Respondents;
456.28. BECAUSE, the Respondent No. 1 and other
1.
colleges affiliated to Respondent No. 5 and
recognized by MCI ought to have the same
procedural and basic policies as they are regulated
by common agencies and are in the common field.
Furthermore, the Respondents till date has not even.
given a single reason, which would differentiate it
from other colleges justify the imposition of such
an oncrous conditions its residents;
6.29. BECAUSE the act of the Respondents in
obtaining bonded service for a period of 3 years
which is secured by an exorbitant amount of Rs,
25,00,000/- is illegal, arbitrary and without any
authority. It is submitted that neither the time
period nor the mount hes any reasonable and
rational nexus with the objective which the
Respondents are purportedly seeking to achieve;
Itis submitted that neither the decision increasing the
fee structure nor the rationale behind it has been
provided to the Petitioners. ‘The present Petition is
being filed in absence of said documents in light of
facts and circumstances stated above. The Petitioners
reserves their right to challenge the said decision
specifically as and when the same, if existing, are
469.
10.
WL
provided to the Petitioners. The Petitioners
respectfully reserves. its-—rights. to
delete/add/alter/amend the grounds of this Petition.
‘The Balance of Convenience lies in favour of the
Pe
joners and against the Respondents, It is
submitted that the acts of the Respondents are in
violation of fundamental rights, against the principles
of natural justice, and in teeth of ratio laid down by
the Hon'ble Courts of India.
That grave financial loss and prejudice shall be
caused if the impugned action is not set-aside, the
same would result in travesty of justice and cause
immense loss to the Petitioners as the same would be
a bad precedent for other cases.
‘That the Petitioner has no other efficacious remedy
available in law to seek Redressal of its grievance,
The Petitionerghayenot filed any other similar Petition
impugning the actions and inactions of the
Respondents in any other Court of La
‘The Annexures to the petition are the true copies of
their respective originals.
PRAYER
47ii,
iti,
iv.
In light of the facts, circumstances and the grounds of
challenge that have been set out herein above, the
Petitioners prays that this Hon'ble Court be pleased
to: -
Pass a Writ / Order / Direction in the nature of
Certiorari or any other such writ quashing the
communication dated 06.02.2017 on the grounds,
taken in the Writ Petition;
Pass a Writ / Order / Direction in the.nature of quo’
warranto calling upon the Respondent No. 1 to 3 as
to under what authority are they demanding Rs.
2,50,000/- as increased fee from the Petitioner;
Pass a Writ / Order / Direction in the nature of
certiorari quashing the illegal, unjust and baseless
act of Respondents in demanding the exorbitant fee
of Rs. 2,50,000/- per Petitioner per annum;
Pass a Writ / Order / Direction in the nature of
mandamus or any other such writ quashing, the
show cause notice dated 10,01.2019;-
Pass a Writ / Order / Direction in the nature of
certiorari or any other such writ quashing the act of
Respondents in obtaining bonded service by the
Petitioner for a period of 3 years as unreasonable,
48illegal and arbitrary and without having any nexus
to any purported objective;
vi, Pass a Writ / Order / Direction in the nature of
mandamus or any other such writ quashing the act
of the Respondent No. | in obtaining undertakings
of bonded services for an unreasonable period of 3
years and secured by huge amount of Rs.
25,00,000/- which is basel
and devoid of any
nexus;
vii, Pass a Writ / Order / Direction in the nature of,
certiorari or any other such writ quashing the
Circular dated 10.10.2018 demanding from the
Petitioners a Bank Guarantee for an amount of Rs.
10,00,000/-
viii. Award litigation costs in favor of the Petitioner and
against the Respondent;
ix. Pass such other or further order/orders as may be
st and proper on the facts and in the
deemed j
sumstances of this case,
PLACE: NEW DELHI WANK AGNIROTRI
DATE: WAIBHAV AGNIHOTRI
SKV ASSOCIATES
A~118, THIRD FLOOR
DEFENCE COLONY
NEW DELHI 110024
49