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Supreme Court of India

MADHA MEDICAL COLLEGE AND RESEARCH INSTT. THR. ITS MANAGING DIRECTORversusUNION OF INDIA AND ANR.

Citation
2017 INSC 887
Decided
12 September 2017
Disposal
Disposed off

Holding

The Medical Council of India has unfettered statutory power to conduct fresh inspections, and while the debarment for 2017‑18 stands, the college may obtain recognition for 2018‑19 after a new inspection, with the bank guarantee kept alive.

Summary

Madha Medical College and Research Institute, which had been granted recognition to admit 150 MBBS students, was found to have numerous deficiencies in faculty, residents, infrastructure, and hostels during inspections by the Medical Council of India (MCI). After two inspections within a month, the MCI recommended, and the Union Government debarred the college from admitting students for the academic years 2017‑18 and 2018‑19 and ordered the encashment of a Rs 2‑crore bank guarantee. The college challenged the debarment and the order to encash the guarantee before the Supreme Court, arguing that a second inspection was impermissible and that the deficiencies were being rectified. The Court held that MCI, as a statutory expert body, possesses unfettered power to conduct fresh inspections to verify compliance and that the college had been given ample opportunity to cure the defects. Consequently, the Court upheld the debarment for 2017‑18, allowed the college to seek recognition for 2018‑19 after a fresh inspection, and directed that the bank guarantee remain alive and not be encashed. The petition was disposed without interfering with the earlier orders of the Union Government.

Issues considered

  • The statutory authority of the Medical Council of India to conduct multiple inspections of a medical college within a short period.
  • Whether the Union Government's order debaring the college from admissions and directing encashment of the bank guarantee is legally valid.
  • Whether the petitioner is entitled to participate in the counselling process for admissions for the academic year 2017‑18.
  • Whether the petitioner should be allowed to seek fresh recognition for the academic year 2018‑19 after rectifying deficiencies.

Legislation cited

Subjects

Medical Council of IndiaMedical college inspectionRecognition of medical collegeDebarmentBank guaranteeStatutory powersMBBS admissionsCompliance verificationPublic interest

Judgment

                       [2017] l l S.C.R. 733



MADHA MEDICAL COLLEGE AND RESEARCH INSTT. THR.                         A
           ITS MANAGING DIRECTOR
                                 V.

                  UNION OF INDIA AND ANR.
                (Writ Petition (Civil) No. 674of2017)                  B
                       SEPTEMBER 12, 2017
      [DIPAK MISRA, CJI, A. M. KHANWILKAR AND
             DR. D. Y. CHANDRACHUD, JJ.]
        Education/Educational Institutions - Medical college - MBBS C
course - Inspections of Petitioner-College carried out by Medical
Council of India (MCI) wherein gross deficiencies were noticed -
Respondent no.I vide order dated 31" May 17 debarred the
Petitioner from admitting students for 2017-18 and 2018-19 - Wi-it
petition flied by Petitioner before Supreme Court, challenging the
said order and seeking mandamus for grant of recognition, as also D
a permission to participate in counseling for admission in the
ensuing academic year 2017-18-Re;pondent 110.J directed to afford
a hearing lo the Petitioner-College and pass a reasoned order -
 Order dtd. 31" Aug. 2017 passed by Respondent no.I maintaining
order dtd. 31" May 17 - Held: On facts, consistent opportunities
                                                                        E
 were granted to the Petitioner-College lo rectify the deficiencies
found in its infrastnicture, resources and facilities - Jn view of such
 deficiencies, the Petitioner cannot be allowed to admit students for
 the ensuing academic year 2017-18 -At this stage, decisions dtd.
 31" May 2017 and 31 Aug. 2017 passed by Respondent no.I are
 not inte1fered with - However, on facts, Petitioner given an F
 opportunity to remove the deficiencies on which MCI shall determine
 afresh as to whether it should be granted recognition in time for the
 commencement of academic year 2018-19 - Since, such an exercise
 cannot be carried ozit in time for academic year 2017-18 as the last
date for admissions has elapsed and the academic session has
                                                                        G
commenced, hence the petitioner cannot be permitted to participate
 in the counseling process for the ensuing academic year 2017-18 -
Further directions issued - Indian Medical Council Act, 1956 - ss.
 I OA, II - Establishment of Medical Colleges Regulations, 1999 -
 Regn. 8(3)(l)(d).
                                                                        H
                                733
734            SUPREME COURT REPORTS                    (2017] I l S.C.R.


A         Education/Educational Institutions - Medical college - MBBS
   course - Inspection of Petitioner-College carried out by Medical
   Council of India (MCI) rwice within a span of one month - Petitioner
   raised grievance as to the conduct of second inspection hy MCI -
   Held: MCI is conferred with sta111torv powers to protect the c<111se
   of medical education - Pwpose of inspection by an expert team of
B
  assessors is to verify whether a medical college has the requisite
   infrastructure and facilities or not to provide quality medical
   education consistent with the statutory regulations - As an expert
  statutory bo,~v. Mei may have legitimate reasons for seeking a
  reverification of the observations contained in a prior inspection -
c Powers   of MCI cannot be constricted by prohibiting it from cartying
  out another inspection, even if it were to come close on the heels of
  an earlier inspection - Plea of Petitioner that MCI is prohibited
  from conducting a second inspection, rejected.
             Indian Medical Co1111cil Act, 1956 - Medical Council of
D     India - Powers of- Discussed.
             Various inspections of the Petitioner-College were carried
      out by Medical Council of India (MCI). The Respondent no.1
      after furnishing an opportunity of being heard to the Pctitioner-
      College debarred the Petitioner from admitting students for 2017-
E     18 and 2018-I9. Hence, the present writ petition.
            Disposing of the Writ Petition, the Court
         HELD: l. The purpose of inspection by an expert team of
  assessors is to verify whether a medical college has the requisite
  infrastructure and facilities including faculty, residents as well as
F clinical and non-clinical material. The basic purpose of inspection
  is to verify whether the college possesses the wherewithal and
  resources to provide quality legal education consistent with the
  statutory regulations which hold the field. The powers of MCI
  cannot be constricted by prohibiting it from carrying out another
G inspection, even if it were to come close on the heels of an earlier
  inspection. its an expert statutory body, MCI may have legitimate
  reasons for seeking a reverification of the observations contained
  in a prior inspection. There may be reasons to doubt the
  genuineness of the picture which has been made out by the college
  during the course of an inspection. MCI may have prima facie
H
MADHA MEDICAL COLLEGE AND RESEARCH INSTT. THR.                        735
           ITS M.D. v. U.0.1. AND ANR.

reasons, to believe that the actual possession of resources and A
infrastructure is at variance with what was portrayed before its
team of assessors. MCI has been conferred with statutory
powers to protect the cause of medical education. MCI is a
custodian of public interest and acts in trust for the welfare of
society. Access to medical care requires the presence of qualified
                                                                      B
health professionals. Verification of the conditions which prevail
in medical colleges is central to the role discharged by MCI.
Hence, it would be manifestly contrary to public interest to restrict
the powers of MCI to carry out a fresh inspection even though in
its considered decision, such an inspection is necessary. This
court cannot sit in judgment over the wisdom of an expert body c
and there is no basis to hold in law that there is a prohibition in
carrying out a fresh inspection. In the absence of a statutory
interdict, the court will not read such a restriction into the powers
of MCI. In these circumstances, there is no merit in the
submission of the Petitioner that MCI is prohibited from D
conducting a second or subsequent inspection. [Para 171 [742-
G-H; 743-A-EI
      2.1      The facts on record indicate that consistent
opportunities were granted to the petitioner to rectify the
deficiencies which were found in its infrastructure, resources and
facilities. In the face of the deficiencies which were found during   E
the course of inspection, the petitioner cannot be allowed to admit
students for the ensuing academic year. The court will lean against
any interpretation which will result in the foisting of under
prepared medical professionals on society. [Para 191 (744-B-Cj
      2.2 However, having regard to the facts which have              F
transpired, the petitioner should be permitted to establish before
MCI that it possesses the requisite infrastructure and has taken
all necessary steps to remove the deficiencies which have been
noted to exist. Such an exercise cannot be carried out in time for
academic year 2017-18 since the last date for admissions has          G
elapsed and the academic session commenced. Hence the
petitioner cannot be permitted to participate in the counseling
process for the ensuing academic year 2017-18. Any such
exercise would necessarily have to be for the academic year
2018-19. In the event that MCI comes to the conclusion that tile
                                                                      H
736            SUPREME COURT REPORTS                      [2017) I I S.C.R.


A     petitioner has removed all deficiencies and meets the
      requirements of its regulations, MCI shall consider afresh the
      issue of recognition and the grant of permission for the academic
      year 2018-19. For that purpose, the bank guarantee of Rs 2 crores
      furnished by the petitioner shall be kept alive in the meantime.
      [Paras 20, 21) [744-D-GJ
B
            2.3 It is accordingly directed that:
      (i) The case of the petitioner shall be duly considered by MCI
      and by the Union government in accordance with the prevalent
      regulations for academic year 2018-19.
C     (ii) The bank guarantee which was furnished by the petitioner
      shall be kept live in the meantime and shall not be encashcd.
      (iii) MCI shall conduct a fresh inspection as per the Regulations
      within a period of two months. It shall apprise the petitioner-
      institution with regard to the deficiencies and afford an opportunity
D     to rectify the same and, thereafter, proceed to act as contemplated
      under the Act.
      (iv) After M.CI sends its recommendation to the Central
      government, it shall take a final decision according to law after
      affording an opportunity of a hearing to the petitioners. MCI
E     shall take the assistance of the Hearing Committee constituted
      by the Constitution Bench decision in Amma Chandravati
      Educational and Charitable Trust and Others v Union of India
      and another or other directions given in the said decision. [Para
      22) [744-G-H; 745-A-C]
F           IQ City Foundation v U11io11 of India [2017) 8
             SCALE 369 - relied on.
            Amma Chandravati Educational and Charitable Trust
            and Others v. Union of India and another [2017) 7
            JT 74 - referred to.
G                            Case Law Reference
      [2017) 8 SCALE 369             relied on                  Para 18
      [2017) 7 JT 74                 referred to                Para 22
            CIVIL ORIGINAL JURISDICTION : Writ Petition (Civil) No.
H     674 of2017
MADHA MEDICAL COLLEGE AND RESEARCH lNSTT. THR.                                 737
           ITS M.D. v. U.0.1. AND ANR.

       Under Article 32 of the Constitution oflndia.                           A
     Mukul Rohatgi, Sr. Adv. Shree Prakash Sinha, Deepak Srivastav,
Rakesh Mishra, Shekhar Kumar, Ninad Laud, Ms. Ranjeeta Rohatgi,
Ms.Pragya Baghel, Anjuman Tripathy, M. Thangathurai, Ms. Samten
Doma, Advs. for the Petitioner
      Maninder Singh, ASG, Vikas Singh, Sr. Adv., Ms. Binu Tamta,              B
Harpreet Singh Sandhu, GS. Makker, Gaurav Sharma, Dhawal Mohan,
Prateck Bhatia, Ms. Amandccp Kaur, Ad vs. for the Respondents
       The Judgment of the Court was delivered by
       DR. D. Y. CHANDRACHUD, J. l. By an order dated 31 May                   C
2017, the Union government has debarred the petitioner from admitting
150 students for the MBBS course during academic years 2017-18 and
2018-19. Besides challenging the order of debarment, the petitioner
seeks a ma11da11111sfor the grant of recognition under Section II of the
Indian Medical Council Act, 1956 ('IMC Act'). In consequence, the
petitioner also seeks a direction to permit it to participate in the process   D
of counselling for admission to the MBBS degree programme for the
ensuing academic year. Since a bank guarantee of Rs 2 crores furnished
by the petitioner is to be invoked in pursuance of the impugned decision,
relief against encashment of the guarantee has been sought.
       2. The petitioner was granted recognition in 2011-12 to conduct E
the MBBS degree course with an intake of 150 students. The petitioner
college is affiliated to Dr MGR Medical University.The petitioner was
granted renewal of permission to admit fresh batches ofMBBS students
during the academic years 2012-13 and 2013-14. The petitioner has not
admitted students during 2014-15 and 2015-16. For the purpose of F
admitting students in 20 I 6-1 7, assessment of the physical infrastructure
and teaching facilities was carried out under Section l I (2) of the IMC
Act on 18/19 March 2016. The assessment reports were considered by
the Executive Committee of the Medical Council oflndia ('MCI') which
noted the existence of as many as 39 deficiencies. Among the deficiencies
noted were the following :                                                  G
        "I.   Deficiency of faculty is 52.2% as detailed in the report.
        2.    Shortage of Residents is 91.7 % as detailed in the report.


        4.    Bed occupancy is 54.76% on day of assessment."                   H
738             SUPREME COURT REPORTS                          i2017] ll S.C.R.


A
              25. Students' Hostels: Available accommodation is 365 against
                  requirement of 563. It is not properly furnished, Toilet
                  facilities arc inadequate. Visitors' room, A.C. Study room
                  with Computer & Internet & Recreation room are not
B                 available. Hygiene is poor, Mess is not available.

              27. Residents' Hostels : Available accommodation is 20 + 2
                  flats against requirement of85. It is not properly furnished.
                  Toilet facilities arc inadequate. Visitors' room, A.C. Study
                  room with Computer & Internet & Recreation room arc
c                 not available. Hygiene is poor. Mess is not available.
              28. Nurses' Hostel: It is not properly furnished. Toilet facilities
                  are inadequate. Visitors' room, A.C.Study room with
                  Computer & Internet & Recreation room arc not available.
                  Hygiene is poor ... "
D     Having regard to the above deficiencies, the Executive Committee
      decided to recommend tothe Union government not to grant recognition
      to the petitioner for the award of the MBBS degree. This decision was
      communicated lo the Union government on 22 March 2016.The college
      was called upon to rectify the deficiencies within two weeks. The college
E     submitted its compliance on 4 April 2016. This was verified in an
      assessment conducted on 22 April 2016.
              3. The team of assessors informed MCI that the petitioner had
      resisted inspection on the ground that most of the residential and faculty
      were on leave alter the holiday for Mahavir Jayanti.According to the
F     petitioner, the assessment was in violation ofthe regulations which prohibit
      inspection within two days before or after a religious or festival holiday
      declared by the Central/State government. It has been stated on behalf
      of MCI that the public holiday was on 19 April 2016 and hence the
      assessment of22 April 2016 could not have been denied, under Regulation
      8(3 )(I)( d) of the Establishment of Medical Colleges Regulations, 1999.
G
             4. The Executive Committee of MCI held a meeting on 13 May
      2016 and, having regard to the above assessment reports, decided to
      recommend to the Union government not to award recognition under
      Section 11 (2) or grant renewal of permission for academic year 2016-17.
      The Union government by its letter dated 10 June 2016 informed the
H     petitioner not to admit a fresh batch of students for 2016-17.
MADHA MEDICAL COLLEGE AND RESEARCH INSTT. THR.                                         739
ITS M.D. v. U.0.1. AND ANR. [DR. D. Y. CHANDRACHUD, J.]

       5. Following the decision communicated by the Oversight A
Committee 1 in a letter dated 13 June 2016, the Union government
forwarded the compliance submitted by the petitioner on 17 June 2016
to MCI. The Executive Committee of MCI noted that the letter of the
Oversight Committee covered those obligations falling under Section I 0
A of the IMC Act.Since the case of the petitioner pertained to the grant
                                                                         ll
of recognition under Section I 1(2} it was according to the Executive
Committee not covered by the decision of the Oversight Committee.
This was communicated to the Union government on 5 July 2016.
       6. In the meantime, pursuanlto MCI's letter dated 15 May 2016,
the petitioner submitted its compliance on 9 June 2016. On 6 July 2016
the college was directed lo resubmit its compliance after rectifying                   c
deficiencies. After the petitioner submitted a letter of compliance dated
9 July 2016, it was decided to verify this by a fresh assessment.
       7. On J2 August 2016, the Oversight Committee, on the basis of
the information furnished by the medical colleges on their website and
without conducting physical assessment, approved the case of the D
petitioner for grant ofconditional recognition under Section J 1(2) of the
IMC Act in respect of the 150 students admitted in the medical college,
subject to the college submitting, within J 5 days from the date of
notification of the approval by the Central government, the following
documents :                                                                E
        (i) An undertaking on affidavit from the Dean/Principal and the
Chairman of the Trust affirming that the deficiencies pointed out by the
assessors of the Council in the compliance verification assessment stand
rectified;
        (ii) A Bank Guarantee for a sum of Rs 2 crores in favour of the                F
Council which shall be valid for a period ofone year or till such time the
first renewal inspection takes place, whichever is later.
lt was further directed by the then Oversight Committee that the
inspection of the medical colleges which have been recommended for
grant of Conditional Letter of Permission/Recognition under Section l l (2)            G
of the IMC Act shall be conducted aflcr 30 September 2016 and any

1 The Oversight Co1n1nittcc \Vas appointed in pursuance of a judgment dated 2 }.-1ay

2016 of this Court in Modern Dental College and Research Centre Vs. State ofM.P.,
Civil Appeal 4060 of2009 decided on 2 May 2016.
(2016)7SCC353                                                                          H
740              SUPREME COURT REPORTS                         [2017] l l S.C.R.


A     college which .is found to have not complied with the deficiency as per
      the1r undertaking shall be debarred from admitting any students for a
      period of two years i.e. 2017-18 & 2018-19.
             8. On 8 September 2016 conditional recognition was granted to
      the petitioner for academic year 2016-17, in terms of the decision of the
B     Oversight Conupittce dated 12 August 2016. Thcconditions imposed
      included the following:
              " ... 2   The OC has also stipulated as follows :-
              a) OC may direct assessment to verify the compliance submitted
              by the college and considered by OC, any time after 30
c             September, 2016.
              b) In default of conditions (i) & (ii) in para I above and if the
              compliances are found incomplete in the assessment to be
              conducted after 30 September, 2016, such college will be debarred
              from fresh intake of students for 2 years commencing 2017-18 ... "
D
             9. The decision of the Executive Committee to recommend to
      the Union government not to grant recognition under Section l 1(2) was
      considered by the General body of MCI on 22 November 20 I 6. The
      minutes of the General body of 22 November 20 l 6 were forwarded
      both to the Union government and the Oversight Committee.
E
              IO. A compliance verification assessment of the infrastructure,
      faculty, clinical material and other physical facilities was carried out on
      2 I February 2017. The compliance verification assessment noted:
      (i) a deficiency of 4.54 per cent in teaching faculty;
F     (ii) a deficiency of 2.35 per cent of residents.
      This, according to the petitioner, was well within acceptable parameters.
             11. However, the petitioner has a serious grievance in regard to a
      second inspection which was carried out on 22 March 2017. The fresh
      inspection observed a deficiency of33.33 per cent in faculty (43 out of
G     129) and of64.28 per cent in residents (54 out of84).
              12. Jn the counter affidavit (which was filed by the MCI before
      the Madras High Court), the circumstances in which a fresh inspection
      was conducted on 22 March 2017 have been adverted to. It has been
      stated that MCI received a complaint dated 14 March 2016 from some
H.
MADHA MEDICAL COLLEGE AND RESEARCH INSTT. THR.                               741
ITS M.D. v. U.O.I. AND ANR. [DR. D. Y. CHANDRACHUD, J.]

students of the college stating that the college did not have adequate A
infrastructure, clinical material and teaching faculty/residents. The
complaint alleged that prior to the MCI asscssment,"ghost faculty/
residents" and "fake patients" are portrayed. Specific examples of
deficiencies were furnished in the complaint. On 21 March 2017 the
compliance assessment verification dated 21 February 2017 was B
considered by the Executive Committee of MCI.Consideration of the
matter was deferred inter alia in view of the complaint which had been
received on 14 March 2017. It was in this background that an assessment
team carried out the second assessment on 22 March 20 l 7. Both the
compliance assessments of 21 February 2017 and 22 March 2017,
together with the previous assessments of March-April 2017 were C
considered by the Executive Committee on 28 March 2017. The following
deficiencies were noted; among others:
       "I. Deficiency of faculty is 33.33% as detailed in the report.
       2.    Shortage of Residents is 64.28% as detailed in the report.
                                                                             D
       3.    Attendance registers of faculty and Residents of all
             departments were not provided by the college in the requisite
             time as per OC guidelines.


        5.   Bed Occupancy was 6.76% in the earlier round and 8.53%          E
             in later round. Paediatric wards which were empty dnring
             earlier round had 50 children from nearby school playing &
             sitting in the ward in their school uniform in the later
             round ... "
        13. The Executive Committee consequently decided to recommend        F
to the Union ·government not to grant recognition to the petitioner under
Section 11 (2) of the IMC Act, 1956. In view of the gross deficiencies, it
recommended that the college be debarred from adniitting students for
2017-18 and 2018-19 and that the bank guarantee that it had furnished
be encashed. The decision of MCI was communicated on 29 March
2017 to the Union government and to the Oversight Committee. The             G
Union government after furnishing an opportunity Of being heard to the
petitioner, by its decision dated 31 May 2017 debarred the petitioner
from admitting students for 2017-18 and 2018-19. The petitioner filed a
writ petition under Article 226 of the Constitution before the Madras
High Court on 8 August 2017. The petitioner sought towithdraw the            H
742              SUPREME COURT REPORTS                           (2017] I I S.C.R.


A     wdt petition to enable it to move this Court. Liberty was granted by the
      High Court follow mg which the petition was disposed of as withdrawn.
      Those proceedings have been instituted under Article 32 of the
      Constitution.
             14. During the pendency of these proceedings, by an order dated
B      J l August 20(7, the Union government was directed to afford an
      opportunity of~ hearing to the petitioner and to take the assistance of
      the newly constituted Oversight Committee and to pass a reasoned order
      thereafter by the end of August 20 l 7.
             !5. Following the above direction, the Union government has
c     passed a fresh order dated 3 l August 20 l 7 maintaining its earlier decision.
               16. While assailing the decision of the Union government, learned
      senior counsel appearing on behalf of the petitioner has seriously
      questioned the conduct of MCI in carrying out two inspections - the
      first on 2 l February 20 l 7 and the second on 22 March 20 l 7 within a
D     span of one month. The communications dated 3 I May 20 l 7 and 31
      August 2017 have been challenged on the ground that they do not reveal
      an application of mind and arc unreasoned. It has been urged that the
      findings in regard to deficiencies of faculty and residents in the second
      inspection are at variance with the observations in the earlier inspection.
      It lrns been submitted that the authorities ought to have considered the
E     explanation of tl;ie petitioner that it was conducting health camps at a
      distance of mom than 8 Kms. from the college campus to which doctors
      and residents had been sent. Moreover, it has been submitted that the
      petitioner produeed salary slips of faculty and other staff. As regards
      bed occupancy, it has been urged that the first inspection team had found
F     it to be adequate. As regards the presence of students from a nearby
      school, it has been urged that this arose because of an incident of food
      poisoning which was repo1ted in the school and the students were admitted
      'only' for observation.
             17. While considering the above submissions. we must make it
G     clear at the outset that we are not impressed with the argument that
      MCI is prohibited from conducting a second or subsequent inspection.
      The purpose of inspection by an expert team of assessors is to verify
      whether a medical college has the requisite infrastructure and facilities
      including faculty, residents as well as clinical and non-clinical material.
      The basic purpose of inspection is to verify whctherthc college possesses
H     the wherewithal and resources to provide quality medical education
MADHA MEDICAL COLLEGE AND RESEARCH INSTT. THR.                               743
ITS M.D. v. U.0.1. AND ANR. [DR. D. Y. CHANDRACHUD, J.)

consistent with the statutory regulations which hold the field. The powers A
of MCI cannot be constricted by prohibiting it from carrying out another
inspection, even if it were to come close on the heels of an earlier
inspection. As an expert statutory body, MCI may have legitimate reasons
for seeking a reverification of the observations contained in a prior
inspection. There may be reasons to doubt the genuineness of the picture
                                                                            B
which has been made out by the college during the course of an inspection.
MCI may have primafacie reasons, to believe that the actual possession
of resources and infrastructure is at variance withwhat was portrayed ·
before its team of assessors. MCI has been conferred with statutory
powers to protect the cause of medical education. MCI is a custodian of
public interest and acts in trust for the welfare of society. Access to c
medical care requires the presence of qualified health professionals.
Verification of the conditions which prevail in medical colleges is central
to the role discharged by MCI. Hence, it would be manifestly contrary
to public interest to restrict the powers of MCI to carry out a fresh
inspection even though in its considered decision, such an inspection is
                                                                            D
necessary. This court cannot sit in judgment over the wisdom of an
expert body and we find no basis to hold in law that there is a prohibition
in carrying out a fresh inspection. In the absence ofa statutory interdict,
the court will not read such a restriction into the powers of MCI. In
these circumstances, we find no merit in the submission.
       18. In taking this view, we are duly supported by a recent judgment   E
rendered in IQ City Foundation v Union of India', by a bench of
three learned Judges of this Court. Hon'ble MrJustice Dipak Misra (as
the learned Chief J us ti cc then was), speaking for the Court, held as
follows:
        "On a reading of Section 19-A of the Act, Rules and the              F
        Regulations, as has been referred to in Manohar Lal
        Sharma'(supra), and the view .expressed in Royal Medical
        Trust' (supra), it would be inapposite to restrict the power of
        the MCI by laying down as an absolute principle that once the
        Central Government sends back the matter to MCI for                  G
        compliance verification and the Assessors visit the College they
        shall only verify the mentioned items and turn a Nelson's eye
        even if they perceive certain other deficiencies. It would be
2
  Writ Petition (c)No.502 of 2017 decided on August OI, 2017
'(2013) 10 sec 60
'(2015) IOSCC 19                                                             H
744             SUPREME COURT REPORTS                         [2017] 11 S.C.R.


A             playing possum. The direction of the Central Government for
              compliance verification report should not be construed as a limited
              remand as is understood within the framework of Code of Civil
              Procedure or any other law ... "
           19. The facts which have been placed on the record before this
B Court would indicate that consistent opportunities have been granted to
   the petitioner to rectify the deficiencies which have been found in its
   infrastructure, resources and facilities. In the face of the deficiencies
   which have been found during the course of inspection, the petitioner
   cannot be allowed to admit students for the ensuing academic year. The
c· court will lean against any interpretation which will result in the foisting
   of under prepared medical professionals on society.
             20. At the same time, we are of the view that having regard to
      the facts which have transpired, the petitioner should be permitted to
      estnblish before MCI that it possesses the requisite infrastructure and
      has taken all necessary steps to remove the deficiencies which have
D     been noted to exist. Such an exercise cannot be carried out in time for
      academic year 2017-18 since the last date for admissions has elapsed
      and the academic session commenced.Hence the petitioner cannot be
      permitted to participate in the counselling process for the ensuing
      academic year 2017-18. Any such exercise would necessarily have to
E     be for the academic year 2018-19.
             21. Hence; we allow the petitioner an opportunity to remove the
      deficiencies upon which MCI shall determine afresh as to whether it
      should be granted recognition in time for the commencement of academic
      year 2018-19. In the event that MCI comes to the conclusion that the
F     petitioner has removed all deficiencies and meets the requirements of its
      regulations, MCI shall consider afresh the issue of recognition and the
      grant of permission for the academic year 2018-19. For that purpose,
      we direct that the bank guarantee of Rs 2 crores furnished by the petitioner
      shall be kept alive in the meantime.
G            22. We accordingly direct that :
      (i) The case of the petitioner shall be duly considered by MCI and by
          the Union government in accordance with the prevalent regulations
          for academic year 2018-19.
      (ii) The bank guarantee which was furnished by the petitioner shall be
H          kept live in the meantime and shall not be encashcd.
 MADHA MEDICAL COLLEGE AND RESEARCH INSTT. THR.                                     745
 ITS M.D. v. U.O.l. AND ANR. [DR. D. Y. CHANDRACHUD, J.]

 (iii) MCI shall conduct a fresh inspection as per the Regulations within           A
       a period of two months. It shall apprise the petitioner-institution with
       regard to the deficiencies and afford an opportunity to rectify the
       same and, thereafter, proceed to act as contemplated under the
       Act.
 (iv) After MCI sends its recommendation to the Central government, it              B
      shall take a final decision according to law after affording an
                        a
      opportunity of hearing to the petitioners. MCI shall take the
      assistance of the Hearing Committee constituted by the Constitution
      Bench decision in Amma Chandravati Educational and
      Charitable Trust and Others v Union of India and another' or
      other directions given in the said decision.                                  c
· However, we expressly clarify that we find no reason to interfere at this
  stage either with the decisions dated 31 May 2017 and 31 August 2017
  of the Union government.
        23. The petition is accordingly disposed of                                 D


 Divya Pandey                                                Pctilion disposed o[




 ' Writ Petition (Civil) No 408 of2017


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