NEHRU GRAM BHARATI UNIVERSITYversusSTATE OF U.P. & ORS.

578                      [2018]REPORTS
               SUPREME COURT   12 S.C.R. 578              [2018] 12 S.C.R.


A                 NEHRU GRAM BHARATI UNIVERSITY
                                        v.
                            STATE OF U.P. & ORS.
                    (Civil Appeal Nos. 10677–10678 of 2018)
B                             OCTOBER 24, 2018
                [A. K. SIKRI AND ASHOK BHUSHAN, JJ.]
             Education/Educational Institutions: Recognition of course –
      Basic Teachers Certificate Course – Admission of students in the
      Academic Session 2008-09 and 2009-10 in the Deemed University –
C
      Said course quashed by the Director, State Council of Educational
      Research and Training (SCERT) – Writ petition by students seeking
      issuance of direction upon the SCERT to recognize the BTC Course
      and the certificates awarded by the Deemed University as legal
      and valid for selection and appointments – Dismissed by the Single
D     Judge – Division Bench held that the Deemed University was not
      legally authorised to start the BTC Course for the Academic Session
      2008-09 and 2009-10 respectively in the absence of strict
      compliance of the letter of recognition and awarded compensation
      of Rs. 50,000/- to each student by the Deemed University in addition
      to refund of the entire fee which was paid for the two years course –
E
      On appeal, held: BTC is a Teachers Training Course which was
      regulated entirely and exclusively by National Council for Teacher
      Training Act and the Regulations framed therein – Thus, the mere
      conferment of Deemed University status did not entitle this University
      to give BTC degrees to its students – University had to compulsorily
F     comply with the conditions specified by NCTE – Merely because
      the college was conferred the status of Deemed University, these
      conditions did not cease to apply as BTC is not one of the degrees
      mentioned in the degrees specified by the UGC in the Official
      Gazette – Though, the Deemed University has later on fulfilled the
      conditions and got recognition from NCTE in respect of BTC Course
G
      itself but it has happened only from the year 2012 onwards –
      Admission of students in BTC Course for the Academic Sessions i.e.
      2008-09 and 2009-10 was not permissible and such degrees cannot
      be treated as validly recognized – Order awarding compensation is
      upheld.
H
                                       578
   NEHRU GRAM BHARATI UNIVERSITY v. STATE OF U.P.                      579


      Dismissing the appeals, the Court                                A
      HELD: 1.1 The notification dated June 27, 2008 granting
status of Deemed University was subject to certain conditions.
Section 22 of UGC Act gives right upon such Deemed University
to confer degrees. It is clear that the right which was given to the
Deemed University to confer degrees pertain to those degrees           B
which are specified by the UGC in the Official Gazette. Admittedly,
BTC is not one of the degrees mentioned therein. The reason is
obvious. Insofar as BTC is concerned, it is a Teachers Training
Course which was regulated entirely and exclusively by NCTE
Act and the Regulations framed therein. First thing which follows,
therefore, is that mere conferment of Deemed University status         C
did not entitle this University to give BTC degrees to its students.
[Paras 28, 29] [594-E-H; 595-A-B]
       1.2 A University was granted permission by the NCTE to
start two years BTC Course vide letter dated 16.8.2005. However,
this was subject to fulfillment of the conditions mentioned therein.   D
These conditions are summarised by the High Court, in the
judgment. The High Court has concluded that many of the said
conditions were not fulfilled by the Deemed University which
position could not be disputed inasmuch as non–compliance was
admitted in the supplementary affidavit filed before the High          E
Court. [Paras 30, 31] [595-B-C; 596-D]
      1.3 The gravamen of the charge is that the very conditions
which were laid down by the NCTE in giving the recognition have
not been fulfilled. Merely because the college was conferred the
status of Deemed University, these conditions did not cease to         F
apply as BTC is not one of the degrees mentioned in the degrees
specified by the UGC in the Official Gazette and that insofar as
BTC is concerned, it would still be governed by the NCTE Act
and regulations. It would be pertinent to mention here that the
Deemed University has later on fulfilled the conditions and got
recognition from NCTE in respect of BTC Course itself but it           G
has happened only from the year 2012 onwards. Insofar as issue
of non–fulfillment of conditions is concerned, the High Court has
rightly pointed out that it more or less stands admitted by the
Deemed University in its supplementary affidavit. [Para 32–34]
[597-H; 598-B-D]                                                       H
580            SUPREME COURT REPORTS                     [2018] 12 S.C.R.


A            1.4 The submission that since the policy of fulfilling the
      conditions was set aside by the Single Judge of the High Court
      and this decision was affirmed by the Division Bench, it no more
      remained an obligation upon Deemed University to fulfill those
      conditions cannot be accepted. On this very aspect, the High
      Court in the impugned judgment had rightly pointed out that a
B
      direction was issued requiring the State Government to formulate
      a policy and not to create any impediment of running a BTC
      Course by private institutions also, who fulfill the norms
      prescribed by NCTE. Thus, fulfillment of norms prescribed by
      NCTE was necessary. The Division Bench has clarified that mere
C     grant of permission by NCTE does not amount to automatic
      affiliation for running the BTC Course, until and unless the
      institution fulfills the norms which are prescribed by the NCTE.
      This Deemed University had also admitted in its counter affidavit
      filed before the High Court that the State Government, in terms
      of the Division Bench took a policy decision to grant recognition/
D
      affiliations to private institutions also for imparting training of
      BTC Course under Government order. As a corollary, it follows
      that there was no question of granting recognition to the private
      institutions upto January 15, 2010 for BTC Course in the State
      of Uttar Pradesh. As this was the legal position prevailing, coupled
E     with the fact that the Deemed University approached the NCTE/
      SCERT for recognition of BTC Course and is given the said
      recognition only from the year 2012 onwards, the admission of
      students in BTC Course for the Academic Sessions i.e. 2008-09
      and 2009-10 was not permissible and such degrees cannot be
      treated as validly recognised. It may be harsh for the students
F
      who took admission in the Academic Sessions 2008-09 and 2009-
      10. However, the Court cannot countenance the position where
      the unrecognised course is given imprimatur of validity only on
      the ground of equity. Because of this reason itself, the High Court
      has awarded compensation to the students. It is not possible to
G     accede to the request of the Deemed University to waive the
      order of compensation made by the High Court. [Para 35, 36]
      [598-E-H; 599-A-D]
            State of Maharashtra v. Sant Dnyaneshwar Shikshan
            Shastra Mahavidyalaya & Ors. (2006) 9 SCC 1 : [2006]
H           3 SCR 638; State of U.P. & Ors. v. Furqan Ali & Ors.
   NEHRU GRAM BHARATI UNIVERSITY v. STATE OF U.P.                        581


      2011 (1) ADJ 480; Maa Vaishno Devi Mahila                          A
      Mahavidyalaya v. State of Uttar Pradesh & Ors. (2013)
      2 SCC 617 : [2012] 13 SCR 810 ; State of Rajasthan v.
      LBS B.Ed. College & Ors. (2016) 16 SCC 110 : [2016]
      5 SCR 298; Orissa Lift Irrigation Corporation Limited
      v. Rabi Sankar Patro & Ors. (2018) 1 SCC 468 –
                                                                         B
      referred to.
                       Case Law Reference
[2006] 3 SCR 638                      referred to       Para 11
2011 (1) ADJ 480                      referred to       Para 11
                                                                         C
[2012] 13 SCR 810                     referred to       Para 17
[2016] 5 SCR 298                      referred to       Para 17
(2018) 1 SCC 468                      referred to       Para 24
     CIVIL APPELLATE JURISDICTION : Civil Appeal Nos. 10677-
                                                                         D
10678 of 2018
      From the Judgment and Order dated 31.03.2017 of the High
Court of Judicature at Allahabad in Special Appeal Nos. 1877 and 1878
of 2012.
                               WITH                                      E
      Civil Appeal Nos. 10679-10680 and 10681-10682 of 2018.
      Rakesh Dwivedi, P. H. Parekh, Sr. Advs., Ms. Sansriti Pathak,
T. N. Tripathi, Ms. Mukti Chowdhary, Ramesh Chand Tiwari, Ashok
Kumar Sharma, Deepak Jyoti Ghildiyal, Shashi Kumar D., Bimlesh
Kumar Singh, Ashutosh Bhardwaj, Sanjay Singh, Rajeev Singh,              F
Ms. Manisha T. Karia, Ms. Saumya, Tanmaya Agarwal, Upendra Mishra,
Pranaya Kumar Mohapatra, Advs. for the appearing parties..
      The Judgment of the Court was delivered by
      A. K. SIKRI, J. 1. Leave granted.
                                                                         G
       2. These appeals arise out of impugned common judgment and
order dated March 31, 2017 in Special Appeal No. 1877 of 2012 and
Special Appeal No. 1878 of 2012 passed by the High Court of Judicature
at Allahabad in Civil Misc. Writ Petition No. 57527 of 2010 (Shashi
Kumar Dwivedi & Ors. v. State of U.P. & Ors.) connected with Civil
                                                                         H
582             SUPREME COURT REPORTS                          [2018] 12 S.C.R.


A     Misc. Writ Petition No. 493 of 2012 (Chandra Prakash Kanyakubj &
      Ors. v. State of U.P. & Ors.).
             3. The first petition i.e. Civil Misc. Writ Petition No. 57527 of
      2010 was filed by the students who were admitted to two years Basic
      Teachers Certificate Course (hereinafter referred to as the ‘BTC’
B     Course) in the Academic Session 2008-09 in Nehru Gram Bharati
      University (hereinafter referred to as the ‘Deemed University’) for
      quashing of the order dated July 14, 2010 passed by the Director, State
      Council of Educational Research and Training (hereinafter referred to
      as the ‘SCERT’) and further for a direction upon the SCERT to recognise
      the BTC Course and the certificates granted by the Deemed University
C     as legal and valid for selection and appointments as teachers in
      Parishadiya Vidyalayas/Junior Basic Schools.
             4. Another petition i.e. Civil Misc. Writ Petition No. 493 of 2012
      was filed by the students who were admitted by the same Deemed
      University for two years BTC Course in the Academic Session 2009-10.
D     The relief prayed for in this petition was more or less identical to the one
      in Civil Misc. Writ Petition No. 57527 of 2010.
             5. These writ petitions were dismissed by the single Judge of the
      High Court. Thereagainst, intra-court appeals were filed. The Division
      Bench, under the impugned judgment dated March 31, 2017, has
E     dismissed the Special Appeals holding that the Deemed University was
      not legally authorised to start the BTC Course for the Academic Session
      2008-09 and 2009-10 respectively in the absence of strict compliance of
      the letter of recognition dated August 16, 2005 as also in view of it
      having itself asked for recognition from the examining body, i.e. State/
F     SCERT and recognition, in fact, was granted under the letter dated May
      29, 2013 for the Academic Session 2012-13. However, the Division Bench
      took into account the plight of the students caused due to negligence on
      the part of the Deemed University and, therefore, directed that each
      respondent-student be paid Rs.50,000/- by the Deemed University in
      addition to refund of the entire fee which was paid for the two years
G     BTC Course in 2008-09 and 2009-10 respectively. The Division Bench
      also directed that the money be paid through account payee cheque
      within two months from the date of the judgment.
            6. Facts in short relevant for deciding the present appeals are as
      follows:
H
   NEHRU GRAM BHARATI UNIVERSITY v. STATE OF U.P.                           583
                 [A. K. SIKRI, J.]

        Rajiv Gandhi Post Graduate College, Kotwa, Jamunipur,               A
Allahabad (hereinafter referred to as the ‘Post Graduate College’) was
established by the Society, duly registered under the provisions of the
Societies Registration Act, 1860 in the name and style of Nehru Gram
Bharati. It was a Post Graduate College affiliated to Chhatrapati Shahu
Ji Maharaj University, Kanpur (hereinafter referred to as the ‘Kanpur
                                                                            B
University’). The Post Graduate College made an application before
the NCTE for grant of recognition for starting two years BTC Course
under the provisions of NCTE Act. The North Regional Committee of
NCTE vide its letter dated August 16, 2005 granted permission to the
Post Graduate College under Section 15(3) of the NCTE Act for starting
two years BTC Course subject to fulfillment of the terms and conditions     C
as contained in the said letter. It is admitted on record that the Post
Graduate College did not take requisite steps for complying with the
terms and conditions as mentioned in the permission letter dated August
16, 2005 for years together.
        7. It so happened that the Central Government vide notification     D
dated June 27, 2008 declared the Post Graduate College as a Deemed
University with the change of name as Nehru Gram Bharati Deemed
University. The College was deaffiliated from the Kanpur University.
The Deemed University made a request to the North Regional Committee
to change the name of the institution as mentioned in the permission
letter dated August 16, 2005. Such change in name was granted by the        E
North Regional Committee and communicated to the Deemed University
vide its letter dated December 02, 2008. The Deemed University is stated
to have published an advertisement inviting applications for admission to
two years BTC Course for the Academic Session 2008-09 and similarly
issued advertisement for the Academic Session 2009-10.                      F
       8. While the Deemed University started its process of admission
to BTC Course, it simultaneously entered into correspondence with
SCERT to grant recognition to said two years BTC Course offered by
the Deemed University as the same was reflected through the letter
dated February 10, 2010 forwarded by the Deemed University to SCERT         G
with a request to approve the two years BTC Course and include the
name of the Deemed University in the list of approved institutions so
that the students with BTC certificate granted by the Deemed University
had no difficulty in employment as Assistant Teachers in Junior Basic
Schools. One of the students is also stated to have sent similar request
                                                                            H
584             SUPREME COURT REPORTS                          [2018] 12 S.C.R.


A     to SCERT. He was informed by the Director, SCERT vide letter dated
      July 14, 2010 that his papers were being returned as they did not concern
      SCERT. This led to the filing of two writ petitions mentioned below:
      (a) Civil Misc. Writ Petition No. 57527 of 2010 was filed by some of the
      candidates who were admitted to the two years BTC Course in the
B     Academic Session 2008-09 in the Deemed University for quashing the
      order dated July 14, 2010 passed by the Director, SCERT and for a
      direction upon the SCERT to recognize the BTC Course and the
      certificates awarded by the Deemed University.
      (b) Civil Misc. Writ Petition No. 493 of 2010 was filed by some of the
C     candidates who had been granted admission by the Deemed University
      to the BTC Course in the next Academic Session 2009-10 and the relief
      claimed was for a direction upon the respondents to recognize the BTC
      Certificate awarded by the Deemed University so that the candidates
      can be considered eligible for appointment as Assistant Teachers in the
      Junior Basic Schools.
D
             9. It is the case of the appellants that once the University acquired
      the status of Deemed University, it became an ‘examining body’ under
      Section 2(d) of the NCTE Act. Section 2(d) of the NCTE Act defines
      an ‘examining body’ to mean a University, agency or authority to which
      an authority is affiliated for conducting examination in teacher education
E     qualification. The plea is that since it is a Deemed University and it
      conducts its own examination, there was no need to seek affiliation from
      any other agency. It is also pointed out that the State had taken a policy
      decision dated September 21, 2006 not to permit private institutions to
      run the BTC Course. The High Court of Judicature at Allahabad vide
F     judgment dated July 31, 2009 upheld the single Judge’s decision dated
      May 08, 2007 striking down the State Government’s policy, and held that
      policy makers are under an obligation to formulate a policy that is in
      consonance with the law of the land and that there was no rational basis
      for the monopoly of training teachers created by the State Government.

G           10. It may also be mentioned at this stage that on application by
      the Deemed University, the State Government vide Government order
      dated May 29, 2013, granted recognition to the BTC Course offered by
      the Deemed University from the Academic Session 2012-13. This order
      of recognition was, however, modified vide Government order dated
      July 07, 2014 and it was provided that in place of Academic Session
H
      NEHRU GRAM BHARATI UNIVERSITY v. STATE OF U.P.                        585
                    [A. K. SIKRI, J.]

2012-13 for the purposes of recognition of BTC Course, the same may         A
be read as Academic Session 2010-11 onwards. The Government order
dated July 07, 2014 has since been revoked under the Government order
dated September 27, 2016. These Government orders dated May 29,
2013, July 07, 2014 and September 27, 2016 were not subject matter of
challenge before the High Court.
                                                                            B
       11. On behalf of the students, the basic contention raised before
the Court was that once permission was granted under Section 15(3) of
the NCTE Act in favour of the Post Graduate College which was
subsequently converted into a Deemed University for starting of the
two years BTC Course, the issue of seeking affiliation/recognition from
the examining body became redundant after issuance of the notification      C
dated June 27, 2008 whereby the Post Graduate College was declared
as a Deemed University. It was contended that the Deemed University
has a right to conduct its own examination, therefore, no approval is
required from any authority for conduct the examinations in respect of
two years BTC Course offered by the Deemed University subsequent            D
to the notification dated June 27, 2008 and in view of the law laid down
by this Court in the case of State of Maharashtra v. Sant Dnyaneshwar
Shikshan Shastra Mahavidyalaya & Ors.1 as also in view of the
Division Bench judgment of the High Court of Judicature at Allahabad
in Special Appeal No. 1639 of 2007 (State of U.P. & Ors. v. Dau Dayal
Mahila P.G. College & Ors.) decided on July 31, 2009 and in the case        E
of State of U.P. & Ors. v. Furqan Ali & Ors.2.
       12. The claim set up by the students was opposed by the State of
Uttar Pradesh through its Advocate General. With reference to the
notification dated June 27, 2008 itself, it was submitted that the Deemed
University could offer only such courses as were being offered              F
immediately before the conferment of the status of the Deemed
University or alike courses thereto. Deemed University could award
degrees only for conventional/general degree programs leading to B.A./
B.SC./B.Com or M.A./M.Sc. degrees covered under Section 22(3) of
the Universities Grants Commission Act, 1956 (hereinafter referred to       G
as the ‘UGC Act’). On behalf of the State, it was explained that BTC
Course is not a Degree Course nor a course recognized by the Universities
Grants Commission (UGC). Therefore, merely because the Post
1
    (2006) 9 SCC 1
2
    2011 (1) ADJ 480
                                                                            H
586             SUPREME COURT REPORTS                          [2018] 12 S.C.R.


A     Graduate College has been declared as a Deemed University, it cannot
      be presumed that it gets a right to act as an examining body for BTC
      Course, which is not provided for or taken care of under the UGC Act.
             13. Learned Single Judge vide its common judgment dated October
      11, 2012 held that it was not possible for the Court to grant the relief as
B     has been prayed for. Referring to the provisions of Sections 2, 3 and 4
      of the Guidelines framed by the UGC under the UGC Act and to the
      grant of status of Deemed University and clause 1 of the notification
      dated June 27, 2008, it was held that in view of Section 22, a University
      can only grant such degrees which have been specified by the UGC in
      the Official Gazette and that BTC is not one of the degrees mentioned
C     therein. With reference to the provisions of NCTE Act and Regulations
      of 2007, it was held the College, even after grant of permission by the
      North Regional Committee of the NCTE, kept silent and did not take
      steps for starting two years BTC course for long duration and after
      confirmation of the status of the Deemed University, invited applications
D     for the Academic Session 2008-09 and similarly for 2009-10. Deemed
      University cannot act as an examining body for the BTC Course and it
      had to obtain necessary permission from the examining body, namely,
      SCERT which was the examining body for the BTC course. It was
      further held that the candidates were not possessed of a BTC certificate
      from an institution having due authority of law to be the examining body
E     for the course, therefore, such certificates did not make them eligible for
      appointment as Assistant Teacher in Junior High Schools.
             14. Aggrieved students filed Special Appeals before Division Bench
      of the High Court. As noted above, the High Court, vide its impugned
      judgment dated March 31, 2017, has dismissed the appeals and affirmed
F     the judgment of the learned Single Judge and directed the Post Graduate
      College to refund the fees of the students and also to pay a sum of
      Rs.50,000/- to each student. It has further directed that it is open for the
      concerned authority of University to take appropriate action against all
      those responsible for creating the situation and to recover the money
G     lost due to payment to the students.
             15. A perusal of the impugned judgment would show that the High
      Court has rested its decision on the premise that non-compliance of
      statutory conditions is more or less admitted. Further, mere grant of
      permission by NCTE does not amount to automatic affiliation for running
H     the BTC Course, until and unless the institution fulfills the norms which
   NEHRU GRAM BHARATI UNIVERSITY v. STATE OF U.P.                               587
                 [A. K. SIKRI, J.]

are prescribed by the NCTE. The High Court also noted that it was               A
virtually admitted that formalities required for admission from the
examining body have not been completed and it is only now that BTC
Course is running as per the norms of NCTE. The High Court has also
observed that, on the one hand, the Deemed University claimed that
after conferment of the status of Deemed University upon the Post
                                                                                B
Graduate College, it became the examining body for all courses including
BTC Course, but, on the other hand, it continued to write letters to the
Director, SCERT to grant recognition to the certificate issued by it and
to include the name of the University in the list of approved institutions
for the purpose of treating its certificate to be a valid qualification for
appointment as Assistant Teachers in Junior High Schools recognised             C
under the U.P. Basic Education Act, 1978. In nutshell, the High Court
has held that mere grant of permission by NCTE does not amount to
automatic affiliation for running the BTC Course, until and unless the
institution fulfills the norms which are prescribed by the NCTE. Therefore,
there was no question of any recognition being granted to a private
                                                                                D
institution upto January 15, 2010 for the BTC Course in the State of
Uttar Pradesh. Since the Deemed University was not legally authorised
to start the BTC Course for the Academic Sessions 2008-09 and 2009-
10 respectively, in the absence of strict compliance of letter of recognition
dated August 16, 2005 as also in view of having itself asked for
recognition from the examining body, the BTC Course for these two               E
sessions could not be treated as recognised.
       16. Mr. Rakesh Dwivedi, learned senior counsel appearing for
the Deemed University, reiterated the submission which was raised before
the High Court, namely, once it was granted deemed status, it became
an examining body by itself by virtue of Section 2(n) and Section 2(d) of       F
the NCTE Act. It was submitted that Section 22 of the UGC Act gives
right to a Deemed University to confer degrees which would imply that
such Deemed University would itself become an examining body by
virtue of Section 2(n) and Section 2(d) of the NCTE Act as the degree
can be awarded only by the examining body. It was also submitted that
the NCTE Act is a complete and exhaustive code for teachers education           G
and is made by Parliament with respect to Entry 66 List I read with
Entry 25 List III. It lays down all norms and standards including
qualification for teachers and curriculum. Only examinations are to be
conducted by Universities or competent authority established by the State.
So far as Universities are concerned, they hold examinations for their          H
588            SUPREME COURT REPORTS                          [2018] 12 S.C.R.


A     students themselves and need no affiliation. Even where an institution
      seeks affiliation from State’s competent authority, the said authority
      cannot have a relook at matters which are considered by NCTE while
      granting recognition to the institution or course. Mr. Dwivedi also
      submitted that the NCTE Regulations of 2009 which were notified vide
      notification dated August 31, 2009 could not be applied in this case as
B
      Deemed University was granted recognition by NCTE on August 16,
      2005. He submitted that relevant regulations which were applicable on
      that date were of the year 2002 known as NCTE (Form of application
      for recognition, the time limit of submission of application, determination
      of norms and standards for recognition of teacher education programmes
C     and permission to start new course or training) Regulations, 2002
      (hereinafter referred to as ‘Regulations, 2002). The Regulations, 2002
      were repealed by NCTE (Recognition, Norms and Procedure)
      Regulations, 2005 dated December 27, 2005. However, action already
      taken under the Regulations, 2002 were protected and saved by Regulation
      11(2) of the Regulations, 2005. He submitted that the Regulations, 2002
D
      contemplated an NOC from the State Government at a pre-recognition
      stage vide Regulation 6. Sub-clause (x) of this Regulation dispensed
      with the requirement of NOC with regard to institutions already
      recognized by NCTE for running a B.Ed. course. Admittedly, the Deemed
      University was running B.Ed. when recognition for BTC course was
E     given. Therefore, the said requirement did not apply to the Deemed
      University. However, this requirement of NOC has been held by this
      Court to be immaterial and irrelevant, so far as the power of NCTE is
      concerned, in Sant Dnyaneshwar Shikshan Shastra Mahavidyalaya:
              “63. In the instant case, admittedly, Parliament has enacted the
F             1993 Act, which is in force. The preamble of the Act provides
              for establishment of National Council for Teacher Education
              (NCTE) with a view to achieving planned and coordinated
              development of the teacher-education system throughout the
              country, the regulation and proper maintenance of norms and
              standards in the teacher-education system and for matters
G             connected therewith. With a view to achieving that object, the
              National Council for Teacher Education has been established at
              four places by the Central Government. It is thus clear that the
              field is fully and completely occupied by an Act of Parliament
              and covered by Entry 66 of List I of Schedule VII. It is, therefore,
H             not open to the State Legislature to encroach upon the said field.
      NEHRU GRAM BHARATI UNIVERSITY v. STATE OF U.P.                            589
                    [A. K. SIKRI, J.]

           Parliament alone could have exercised the power by making            A
           appropriate law. In the circumstances, it is not open to the State
           Government to refuse permission relying on a State Act or on
           “policy consideration.
           64. Even otherwise, in our opinion, the High Court was fully
           justified in negativing the argument of the State Government that    B
           permission could be refused by the State Government on “policy
           consideration”. As already observed earlier, policy consideration
           was negatived by this Court in Thirumuruga Kirupananda Trust
           [(1996) 3 SCC 15 : JT (1996) 2 SC 692] as also in Jaya Gokul
           Educational Trust [(2000) 5 SCC 231 : JT (2000) 5 SC 118].
                                                                                C
           xx               xx                              xx
           68. In view of the fact, however, that according to us, the final
           authority lies with NCTE and we are supported in taking that
           view by various decisions of this Court, NCTE cannot be deprived
           of its authority or power in taking an appropriate decision under    D
           the Act irrespective of absence of no-objection certificate by
           the State Government/Union Territory. Absence or non-production
           of NOC by the institution, therefore, was immaterial and
           irrelevant so far as the power of NCTE is concerned.”
       17. On this count, submission of Mr. Dwivedi was that the present        E
matters does not concern with this aspect since the said provision deals
with a pre-recognition stage and whereas these cases related to affiliation
which is post-recognition stage. The learned senior counsel also referred
to the judgments of this Court in Maa Vaishno Devi Mahila
Mahavidyalaya v. State of Uttar Pradesh & Ors. 3 and State of
Rajasthan v. LBS B.Ed. College & Ors.4.                                         F
        18. Dealing with the issue of non-compliance with the conditions
contained in the recognition letter issued by NCTE, Mr. Dwivedi argued
that it is an erroneous finding. In this behalf, his submission was that, in
the first instance, the conditions contained in the letter dated August 16,
2005 of NCTE were to be complied ‘before the commencement of the                G
academic session’. The Deemed University had commenced its BTC
Course only in the year 2008 and, therefore, question of complying these
conditions before 2008, in any case, did not arise. Secondly, this policy
3
    (2013) 2 SCC 617
4
    (2016) 16 SCC 110                                                           H
590             SUPREME COURT REPORTS                           [2018] 12 S.C.R.


A     of fulfilling the conditions ceased to apply to this University once it obtain
      the status of Deemed University. Thirdly, this policy was set aside by
      the High Court (by the single Judge vide judgment dated May 08, 2007
      which was affirmed by the Division Bench on July 31, 2009). Therefore,
      argued the learned senior counsel, by the time University commenced
      BTC Course in 2008, there were no such conditions which remained to
B
      be complied. Mr. Dwivedi also argued that so far as faculty is concerned,
      Deemed University through its Additional Registrar had written a letter
      to NCTE on July 22, 2009 submitting a list of faculty members for BTC,
      B.Ed. and M.Ed. along with minutes of selection committee dated August
      14, 2008 selecting seven teachers. These appointments were approved
C     by Board of Management vide resolution dated August 25, 2008 pursuant
      to which appointment letters were issued which are also placed on record.
      It is also important to state here that the seven faculty members who
      were appointed were already teaching in the B.Ed. course run by the
      predecessor of the Deemed University. The appellant also maintained
      regular attendance register which shows that the teachers were, in fact,
D
      teaching. Similarly, vide letter dated July 28, 2010, details of existing
      faculty members were sent to NCTE 2009. Even the inspection report
      of the UGC Committee which was accepted by UGC on November 19,
      2009 stated that appointment of teachers were made by following the
      rules and norms of UGC and regulatory bodies from time to time. It also
E     noted that, by and large, the University had adequate and qualified faculty.
      The representative of NCTE was satisfied with the professional
      development of the teachers. In view of the above material, it is incorrect
      to state that the Deemed University did not appoint faculty and that
      there was non-compliance by the Deemed University.
F            19. As regards the Endowment Fund, argument is that the sum of
      Rs.5 lakhs in the form of Fixed Deposit was, in fact, deposited with the
      NCTE on February 19, 2004 itself and renewed from time to time but it
      was to be converted into a joint account on October 28, 2015. It is
      contended that it is an admitted position that the amount of Rs.5 lakhs
      towards the endowment fund was deposited by the University and the
G     Fixed Deposits have also been annexed in the Additional Affidavit. In
      view thereof, there is substantial compliance by the Deemed University
      and non-conversion into a joint account is only a minor lapse and even
      the NCTE did not object to the same. This cannot be a ground for denying
      recognition of BTC Course to students of the Academic Sessions 2008-09
H     and 2009-10.
   NEHRU GRAM BHARATI UNIVERSITY v. STATE OF U.P.                             591
                 [A. K. SIKRI, J.]

      20. Mr. Dwivedi pleaded, in the alternative, that in the event this     A
Court is pleased to hold that the University required to seek affiliation
from State, the direction to refund the fees and pay further amount of
Rs.50,000/- may be set aside since it involves a huge cost of above one
crore. It was stated that the University is catering to rural masses and
such a direction will cause grave hardship. Moreover, the present is not
                                                                              B
a case where the course was being run without recognition of NCTE.
        21. Mr. Parekh, learned senior counsel appearing for the students,
while supporting the arguments raised by Mr. Dwivedi, additionally argued
that the Deemed University was not required to seek affiliation under
Section 16 of the Act as it was declared as deemed-to-be-University
under Section 2(f) of the UGC Act as per notification dated June 27,          C
2008 issued by the Government of India, Ministry of Human Resource
Development, Department of Higher Education published in Gazette of
India, Part-I. Therefore, it was eligible to conduct its own examinations
and grant its own degrees. He also referred to Section 17 of the NCTE
Act which, according to him, protects the interest of the students. On        D
that basis, his submission was that as the students had undertaken two
years course and had been declared successful after clearing examination,
it is not permissible for the State to punish the students. In equity also,
nothing is attributed against the students and their career should not
affected when they have acted on the recognition given by Section
15(3)(a) to the University. Under these circumstances, students are           E
entitled for recognition of their BTC certificate in law. Mr. Parekh also
submitted that insofar as students are concerned, in any case, they are
entitled to the relief because of subsequent development, namely, UP
Gazette No. 210/79-5-2018-105-2014 dated February 08, 2018, the
substituted Rule No. 8 inter alia provides as under:                          F
        “…two year Diploma in Elementary Education (by whatever
        name known) in accordance with National Council of Teacher
        Education (Recognition, Norms and Procedure), Regulations or
        any training qualifications to be added by National Council for
        Teacher Education for the recruitment of teachers in Primary          G
        Education...”
      22. Learned counsel appearing for the State of Uttar Pradesh
refuted the aforesaid submissions of the Deemed University as well as
students. He drew the attention of the Court to notification dated June
27, 2008 vide which University was granted status of ‘deemed-to-be-           H
592            SUPREME COURT REPORTS                          [2018] 12 S.C.R.


A     university’ under Section 3 of the UGC Act for a period of three years
      with effect from the date on which the college is deaffiliated from its
      affiliating university, namely, Kanpur University. He also pointed out that
      it was subject to the condition that the status conferred would be reviewed
      by UGC with the help of expert committee before the expiry of three
      years period. Further contention was that:
B
              “The status shall be confirmed only on the basis of the inspection
              and assessment report of UGC’s Expert Review Committee and
              subjected to nullification of its present short coming as pointed
              out by the Expert Committee.”
C            23. He also pointed out that copy of this notification was forwarded
      to various authorities including President, Nehru Gram Bharati. While
      making endorsement to the President, Nehru Gram Bharati, it was
      mentioned that the notification would be further subject to conditions
      which were specifically mentioned therein. As many as 14 conditions
      were stipulated. Conditions (v), (vi) and (vii) which are relevant for the
D     purpose of this case is reproduced below:
              “(v) The academic programmes being offered or to be offered
              by Nehru Gram Bharati will conform to the norms and standards
              prescribed by the relevant Statutory Councils such as the UGC,
              AICTE etc. Nehru Gram Bharati shall not offer/award as the
E             case may be any degrees that are not specified by the UGC.
              Nehru Gram Bharati shall also ensure that the nomenclatures of
              the degrees, etc. to be awarded by it are specified by the UGC
              under Section 22 of the UGC Act, 1956.
              (vi) Nehru Gram Bharati shall not start new academic courses
F             without obtaining prior approval of Ministry of Health and Family
              Welfare and/or the concerned Statutory Councils such as MCI,
              AICTE etc. as the case may be.
              (vii) Nehru Gram Bharati, as a deemed-to-be-university shall
              award degrees in respect of the courses run by the institution
G             mentioned in para 4 of this notification only to those students
              who are admitted subsequent to the date of this notification.
              Accordingly, it shall make admission and enrolment of students
              to the academic courses of the said college under it (i.e. under
              Nehru Gram Bharati only with effect from the ensuing academic
              year (i.e. from 2008-2009).”
H
      NEHRU GRAM BHARATI UNIVERSITY v. STATE OF U.P.                               593
                    [A. K. SIKRI, J.]

        24. From the aforesaid conditions, the argument of the learned             A
counsel was that the Deemed University was specifically required to
conform to the norms and standards prescribed by relevant statutory
councils. It was also categorically mentioned that the Deemed University
shall not offer/award any degrees that are not specified by the UGC.
Moreover, it was to ensure that the nomenclature of the degrees etc. to
                                                                                   B
be awarded by it are specified by the UGC under Section 22 of the
UGC Act. Based on the aforesaid conditions specified in the notifications,
argument of the learned counsel was that the Deemed University failed
to fulfill those conditions which has been recorded by the High Court as
well. He submitted that the judgment of the High Court is correct as
without the fulfillment of these conditions, it was not open to the Deemed         C
University to start such a course and confer the degrees. Learned counsel
referred to the judgment in the case of Orissa Lift Irrigation
Corporation Limited v. Rabi Sankar Patro & Ors.5.
       25. Taking the aforesaid argument further, he submitted that the
Deemed University has itself stated in the writ petition filed before the          D
High Court that BTC Course is a Teacher Training Programme for
primary level school and NCTE grants the recognition to the Teacher
Training Programme. The right to formulate the guidelines/standards
with reference to courses run in the teacher education training institutions,
such as the procedure for admission of the students in such institutions,
minimum qualifications for the admission, period of the Training                   E
Programme and the determination of the course, is done by the NCTE.
After the recognition is obtained from NCTE, Section 14(6) of the NCTE
Act stipulates that every examining body, on receipt of the order under
sub-section (4) thereof, shall grant affiliation to the institution where
recognition has been granted. Further, the appendix 1 to 13 about the              F
norms and standards of different Teacher Training Programmes has
been mentioned in para 9 of the notification dated August 31, 2009 of
NCTE. Appendix 2 is related to the course of D.El.Ed. in the aforesaid
and the provision has been made in Point 1 of Appendix 2:
           “(1) The aim of elementary education is to fulfill the basic learning   G
           needs of all children in an inclusive school environment bridging
           social and gender gaps with the active participation of the
           community. The program aims at preparing teachers for
           elementary stage of education that is Classes 1 to VII/VIII.
5
    (2018) 1 SCC 468                                                               H
594            SUPREME COURT REPORTS                        [2018] 12 S.C.R.


A            (2) The elementary teacher education programme carries
             different nomenclatures like BTC Diploma in Education, TTC
             and so on. Both the duration of training and entry qualification
             of the course are same, hence, nomenclature of the course shall
             be same (D.El.Ed.) across all states. The copy of Appendix 2 is
             marked and annexed herewith as Annexure CA-06.”
B
            26. He also sought sustenance from the following provision that
      has been made about the admission in Point 3(3) of Appendix – 2
      mentioned above:
             “...Admissions shall be made on merit on the basis of marks
C            obtained in the qualifying examination and/or in the entrance
             examination or any other selection process as per the policy of
             the State Government/UT Administration.”
             27. The argument on the basis of the aforesaid provision was that
      the admission had to be made not only on merits but ‘as per the policy of
D     the State Government/UT Administration’. Here, according to learned
      counsel, the Deemed University faltered and, therefore, cannot seek
      any benefit. The counsel for the NCTE supported the aforesaid
      submissions put forth by the learned counsel for the State.
            28. From the aforesaid arguments of the learned counsel for the
E     appellants as well as Deemed University, it becomes clear that the entire
      case primarily rests upon the submission that after it became Deemed
      University by virtue of notification dated June 27, 2008 issued by UGC
      under Section 3 of the UGC Act, Deemed University had right to hold
      examinations on its own as it became the ‘examining body’ for BTC
      Course. However, as noticed above, notification dated June 27, 2008
F     granting status of Deemed University was subject to certain conditions.
      Section 22 of UGC Act gives right upon such Deemed University to
      confer degrees. However, sub-section (3) thereof defines the meaning
      of degree under that provision which reads as under:
             “(3) For the purposes of this section, “degree’ means any such
G            degree as may, with the previous approval of the Central
             Government, be specified in this behalf by the Commission by
             notification in the Official Gazette.”
            29. It is clear that the right which was given to the Deemed
      University to confer degrees pertain to those degrees which are specified
H     by the UGC in the Official Gazette. Admittedly, BTC is not one of the
   NEHRU GRAM BHARATI UNIVERSITY v. STATE OF U.P.                             595
                 [A.K. SIKRI, J.]

degrees mentioned therein. The reason is obvious. Insofar as BTC is           A
concerned, it is a Teachers Training Course which was regulated entirely
and exclusively by NCTE Act and the Regulations framed therein. First
thing which follows, therefore, is that mere conferment of Deemed
University status did not entitle this University to give BTC degrees to
its students. Having regard to the same, the judgments cited by Mr.
                                                                              B
Dwivedi will have no application to the present case.
       30. This brings us to the provisions of NCTE Act and Regulations
therein. A University was granted permission by the NCTE to start two
years BTC Course vide letter dated August 16, 2005. However, this
was subject to fulfillment of eight conditions mentioned therein. These
conditions are summarised by the High Court, in the impugned judgment,        C
which reads as under:
             “Condition ‘a’ required appointment of the faculty members
       and staff duly qualified as per the norms of NCTE/State
       Government/SCERT to be completed before the commencement
       of the course. It is not in dispute that at the relevant time SCERT    D
       was the examining body for the BTC course. Therefore, it was
       but necessary for the Post Graduate Degree College to have
       appointed qualified teachers and staff as per the SCERT norms
       read with NCTE norms.
            Under clause ‘b’ countersigned statement of faculty               E
       members from the Director, SCERT was required to be submitted
       before the commencement of the academic session.
             Under clause ‘c’ the institution had to agree to adhere to all
       other regulations and guidelines as framed by NCTE from time
       to time.                                                               F
             Under clause ‘d’ the institution had to within one month of
       the receipt of Recognition order, convert the Endowment Fund
       account into a Joint Account in the form of FDR for a period of
       not less than 60 months (five years) in a Nationalized Bank only
       to be operated along with an official of the Regional Committee.       G
             Under clause ‘e’ the Reserve Fund for an amount equalant
       to three months salary of the Teachers & Staff had to be created
       within one month from the date of issuance of the letter and
       maintained in the form of FDR in favour of the management/
                                                                              H
596            SUPREME COURT REPORTS                         [2018] 12 S.C.R.


A            institution, for a period not less than sixty months (five years) in
             a Nationalized Bank.
                   Under clause ‘f’ prior permission of the competent authority
             for conducting the entrance exam and approval of the curriculum
             for the course had to be obtained.
B                  Under clause ‘g’ it is specified that in case the institution
             starts the training programme without prior permission of the
             competent authority/examining body regarding the curriculum
             they have adopted and conducts examination for award of
             Diploma/certificate the recognition of such institution shall be
C            withdrawn.
                  Under clause ‘h’ it was specified that non-compliance of
             the above mentioned conditions shall cause action under section
             17(1) of the NCTE Act, 1993.”
            31. The High Court has concluded that many of the aforesaid
D     conditions were not fulfilled by the Deemed University which position
      could not be disputed even before us inasmuch as non-compliance was
      admitted in the supplementary affidavit filed before the High Court.
      Discussion in the impugned judgment in this behalf reads as under:
             “Paragraph 4 contemplated that recognition is subject to
E            fulfillment of all such other requirements as may be prescribed
             by other regulatory bodies like SCERT/State Government etc.
             The institution was obliged to submit a Self-Appraisal Report at
             the end of each academic year along with a copy of the approval
             of affiliating body/State Directorate of Education. It was again
F            reiterated that any violation of the above mentioned conditions
             or of the NCTE Act would result in withdrawal of the recognition
             under the provisions of NCTE Act.
                   Such non-compliance of the statutory conditions is more or
             less admitted in paragraph 5 to 9 of the supplementary affidavit
             filed by the Deemed University dated 5.10.2016. It is stated that
G
             under the policy decision of the State of U.P., private colleges
             were not given recognition for running of BTC course despite
             there being permission by the NCTE. The issue in that regard
             came to be settled under the judgment of the Division Bench of
             this Court dated 31.07.2009 wherein a direction was issued
H
   NEHRU GRAM BHARATI UNIVERSITY v. STATE OF U.P.                             597
                 [A.K. SIKRI, J.]

        requiring the State Government to formulate a policy and not to       A
        create any impediment in running of BTC course by private
        institutions also who fulfill the norms prescribed by NCTE.
             It is needless to emphasize that under the same Division
        Bench judgment, it has clarified that mere grant of permission
        by NCTE does not amount to automatic affiliation for running          B
        the BTC course, until and unless the institution fulfills the norms
        which are prescribed by the NCTE.
             From paragraph 9 of the short counter affidavit of Deemed
        University, it is admitted that the State Government in terms of
        the Division Bench judgment of this court took a policy decision      C
        to grant recognition/affiliation to private institutions also for
        imparting training of BTC course under Government Order dated
        15.01.2010.
             What logically follows is that the question of any recognition
        being granted to a private institution up to 15.01.2010 for the       D
        BTC course in the State of U.P. does not arise.
             It is further admitted by the Deemed University in paragraph
        20 of the same affidavit that during the transition period I.e.
        between 2005 to 2008, formalities as required for recognition
        from the examining body had not been completed and now BTC            E
        course is being run as per the norms of NCTE. In paragraph 21
        of the same affidavit, it is admitted that teachers were duly
        appointed in 2010 and onwards and entrance examination of the
        students was conducted after making advertisement in the
        newspaper.”
                                                                              F
        32. Mr. Dwivedi has tried to argue that insofar as this University
is concerned, Regulations, 2002 applied and not Regulations, 2009. He
has submitted that Regulation 6 of Regulations, 2002 contemplated an
NOC from the State Government at a pre-condition stage and sub-clause
(x) of this regulation dispense with the requirement of NOC with regard
to institution already recognised by NCTE for running a B.Ed. Course.         G
This argument, according to us, is totally extraneous. The case of the
respondents is not about non-fulfillment of conditions contained in
Regulations, 2009 or Regulations, 2005. As noticed above, the gravamen
of the charge is that the very conditions which were laid down by the
NCTE in giving the recognition have not been fulfilled.
                                                                              H
598             SUPREME COURT REPORTS                           [2018] 12 S.C.R.


A            33. Conscious of this fact, attempt was also made by Mr. Dwivedi
      to project that the findings of the High Court about the non-compliance
      with the conditions contained in the recognition letter issued by NCTE is
      an erroneous finding. We have already held above that merely because
      the college was conferred the status of Deemed University, these
      conditions did not cease to apply as BTC is not one of the degrees
B
      mentioned in the degrees specified by the UGC in the Official Gazette
      and that insofar as BTC is concerned, it would still be governed by the
      NCTE Act and regulations. It would be pertinent to mention here that
      the Deemed University has later on fulfilled the conditions and got
      recognition from NCTE in respect of BTC Course itself but it has
C     happened only from the year 2012 onwards.
            34. It hardly needs to be re-emphasised that insofar as issue of
      non-fulfillment of conditions is concerned, the High Court has rightly
      pointed out that it is more or less stands admitted by the Deemed
      University in its supplementary affidavit dated October 5, 2016.
D             35. We also do not agree with the contention of Mr. Dwivedi that
      since the policy of fulfilling the conditions was set aside by the single
      Judge of the High Court vide judgment dated May 8, 2007 and this decision
      was affirmed by the Division Bench on July 31, 2009, it no more remained
      an obligation upon Deemed University to fulfill those conditions. On this
E     very aspect, the High Court in the impugned judgment had rightly pointed
      out that in the aforesaid judgment dated July 31, 2009 rendered by the
      Division Bench of the High Court, a direction was issued requiring the
      State Government to formulate a policy and not to create any impediment
      of running a BTC Course by private institutions also, who fulfill the norms
      prescribed by NCTE. Thus, fulfillment of norms prescribed by NCTE
F     was necessary. The impugned judgment also points out that the Division
      Bench in the aforesaid judgment dated July 31, 2009 has clarified that
      mere grant of permission by NCTE does not amount to automatic
      affiliation for running the BTC Course, until and unless the institution
      fulfills the norms which are prescribed by the NCTE. This Deemed
G     University had also admitted in its counter affidavit filed before the High
      Court that the State Government, in terms of the Division Bench judgment
      dated July 31, 2009, took a policy decision to grant recognition/affiliations
      to private institutions also for imparting training of BTC Course under
      Government order dated January 15, 2010. As a corollary, it follows
      that there was no question of granting recognition to the private institutions
H
    NEHRU GRAM BHARATI UNIVERSITY v. STATE OF U.P.                              599
                  [A.K. SIKRI, J.]

upto January 15, 2010 for BTC Course in the State of Uttar Pradesh.             A
As this was the legal position prevailing, coupled with the fact that the
Deemed University approached the NCTE/SCERT for recognition of
BTC Course and is given the said recognition only from the year 2012
onwards, the admission of students in BTC Course for the Academic
Sessions i.e. 2008-09 and 2009-10 was not permissible and such degrees
                                                                                B
cannot be treated as validly recognised. It may be harsh for the students
who took admission in the Academic Sessions 2008-09 and 2009-10.
However, the Court cannot countenance the position where the
unrecognised course is given imprimatur of validity only on the ground
of equity. Because of this reason itself, the High Court has awarded
compensation to the students. Therefore, we find it difficult to agree to       C
the submissions advanced by Mr. Parekh on behalf of the students as
well.
      36. In view of the aforesaid discussion, it is not possible to accede
to the request of the Deemed University to waive the order of
compensation made by the High Court. As a result, all these appeals             D
are bereft of any merit and are accordingly dismissed.
Nidhi Jain                                                 Appeals dismissed.




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