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Supreme Court of India

PRIYA GUPTAversusSTATE OF CHHATISHGARH & ORS

Citation
2012 INSC 213
Decided
8 May 2012
Disposal
Disposed off

Holding

The admissions were arbitrary and contrary to the merit‑based schedule, but the appellants may complete their MBBS on payment of Rs 5 lakhs each, and contempt proceedings are to be initiated against the defaulting officials.

Summary

The appellants, Priya Gupta and Akanksha Adile, were admitted to the MBBS programme at Government Medical College, Jagdalpur on 30 September 2006 through a hurried process that ignored higher‑ranking candidates, allegedly due to favouritism (the father of the second appellant was the Director of Medical Education). The State cancelled their admission in 2010; the High Court dismissed the writ petitions, but the Supreme Court found the admissions to be arbitrary, violative of the merit‑based schedule prescribed by the Supreme Court and MCI regulations. While the Court upheld the cancellation, it permitted the appellants to complete their courses on the condition that each pay Rs 5 lakhs to the college for infrastructure, and it ordered contempt proceedings against the officials responsible for the irregularities. The judgment also issued comprehensive directions to enforce strict adherence to admission schedules and merit criteria in future.

Issues considered

  • The admission of the appellants violated the merit‑based schedule and procedures prescribed by the Supreme Court and MCI regulations.
  • Whether the cancellation order was violative of natural‑justice principles due to lack of hearing.
  • Whether the Supreme Court, under Article 142, could allow the appellants to complete their MBBS despite the cancellation.
  • The appropriate remedial measures, including contempt of court actions, for authorities that flouted the admission schedule.

Legislation cited

Subjects

medical admissionmerit principleAll India quotaMCI regulationsarbitrary admissionnepotismcontempt of courtArticle 142equityadmission schedule

Judgment

                         [2012] 5 S.C.R. 768

A                           PRIYA GUPTA
                                   v.
                STATE OF CHHATISHGARH & ORS.
                  (Civil Appeal No. 4318 of 2012)

                            MAY 08, 2012
B
         [A.K. PATNAIK AND SWATANTER KUMAR, JJ.]

         EDUCA TIONIEDUCA TIONAL INSTITUTIONS:

c         Medical and Dental College - Admission to MBBS
    course - Tampering with the schedule specified under the
    Regulations and judgments of the Supreme Court with clear
    intent to grant admission to less meritorious candidates over
    and above candidates of higher merit - Held: Adherence to
0   the principle of merit, compliance with the prescribed schedule,
    refraining from mid stream admission and adoption of
    admission process that is transparent, non-exploitative and
    fair are mandatory requirements of the entire scheme - From
    time to time, Supreme Court has given directions in relation
E   to the manner of announcement of details, results and
    counseling for admission and its publication in newspaper -
    Schedules prescribed have the force of law in as much as they
    form part of the judgments of Supreme Court - No authority
    whether Medical Council of India, Government of India, State
    Government, University or selection bodies constituted at the
F   college level for allotment of seat by way of counseling are
    vested with the power of relaxing, varying or disturbing the
    time schedule or the procedure of admission - There have
    been irregularities in maintaining the prescribed Schedule
    and that the fast few days of the declared schedule are
G   primarily being utilized in an exploitative manner on account
    of charging higher fees for securing admission and thereby
    defeating the principle of admission on merit - Adverse
    consequences of non-adherence to the time schedule stated
    and directions issued - In the instant appeal, two vacant seats
H                                  768
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 769

 were available on 30th September, 2006 - Appellants were A
given admission on 30th September without effecting due
publicity - State Government cancelled their admission on the
 ground that it was arbitrary and based on favouritism - High
 Court rightly dismissed the writ petition by appellants - There
 was nothing on record to show that all the candidates were B
 informed of counseling on the last day - Appellants were
 stated to have been present in college and were given
 admission - Appellant no.2 was daughter of Director of
 medical education - From 23rd April 2006 to 29th September
 2006, no record to show efforts to fill up vacant seats - Out of c
 favouritism and arbitrariness, the appellants were given
 admission by completing the entire admission process within
 few hours on 30th September, 2006 - The entire exercise
 smacked of arbitrariness, unfairness and is discriminatory -
 On peculiar facts and circumstances, though there is no legal
                                                                     0
infirmity in judgment under appeal, but since by virtue of
interim orders, the appellants had completed four years of
 studies during the High Cou11 decision, in order to do
complete justice within the ambit of Article 142 of the
 Constitution, the appellants permitted to complete their E
 professional courses subject to the condition that each one
 of them pay a sum of Rs.5 lakhs to college, which amount
 shall be utilized for developing th19 infrastructure in the college
 - Initiation of proceedings directed under the Contempt of
 Courts Act against various authorities - Report of the
 Committee constituted to look into irregularity in admission F
 to the effect that the admission to appellants was on State
 PMT merit was a mere eye-was/1 rather than a proper report
 upon examining the entire matter in its proper perspective -
 Committee acted in undue haste, in violation of the prescribed
procedure of admission and certainly contrary to the G
judgments of Supreme Court - Constitution of India, 1950 -
 Articles 141, 142 - Costs.

     Recognition granted to medical or dental college priori
after 15th July of each year - Effect of                            H
    770     SUPREME COURT REPORTS             [2012] 5 S.C.R.


A         The appellants had appeared in the Pre-Medical Test
    conducted by the State of Chhattisgarh for the academic
    year 2006. The results were declared in July 2006.
    Appellant No.1 secured general rank 1614 while appellant
    No.2 secured general rank 3893 and SC rank 396. The
B   first counseling was held on 21-22nd July, 2006 but at
    that time, the .Jagdalpur College was not given
    permission to commence admission to the MBBS course.
    The counseling was conducted for medical colleges at
    Raipur and Bilaspur and also for the Raipur Dental
c   College. 18 per cent of seats were to be reserved for
    allotment under the All India Quota and the Central Pool
    quota. The State Government by its letter dated 14th
    August, 2006, gr.anted permission for the starting of
    admission procedure for the academic year 2006-07 at
    the Jagdalpur College. Its annual admission capacity was
0
    50 seats which were to be filled up by the candidates who
    had qualified PMT 2006 in the order of their merit. The
    State Government by letter dated 21st August, 2006 was
    stated to have informed the Jagdalpur College that two
    seats out of the total seats were reserved for allotment
E   under the Central Pool Quota and no seats were reserved
    under All India Quota. Upon receipt of recognition, only
    48 seats were offered for admission to the students on
    22nd - 23rd August, 2006. The Central Pool Quota seats
    were not filled up and were allegedly not made available
F   to the candidates who appeared for that counseling. The
    Dean of Jagdalpur College informed the Director, Medical
    Education on 30th September, 2006 that on that date, 48
    candidates had taken admission and two seats were lying
    vacant. This information was sent in response to inquiry
G   by the Director, Medical Education in this regard and
    directions were sought by the Jagdalpur College for
    filling up of vacant seats. On the same day, the Director,
    Medical Education, directed that the seats should be
    filled from the merit list and the candidates could be
H   contacted on telephone and if contact was not possible,
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 771

admission could be given to the candidates who were       A
available in the Jagdalpur College. On 30th September,
2006 itself, the two vacant seats were given to the
appellants. The Dean of the Jagdalpur College informed
the Director, Medical Education about the admission of
the appellants.                                           B

     On a complaint regarding irregularity in admission
 given to the appellants, a Committee was constituted
which gave report to the effect that no admission was
1granted to any students in All India quota and the C
 appellants got admission in Medical College Jagdalpur in
2006 by the State PMT merit on the last date of the
admission i.e. 30th September 2006. The inquiry report
was submitted by the Dean of Jagdalpur College to the
Directorate (DGHS). However, on 22nd July, 2010, the
Secretary, Department of Health and Family Welfare, D
Government of Chhattisgarh was informed by the
Assistant Director General (Medical Education),
Government of India that the admission of the appellants
was on the basis of fake letters purported to be issued
from the DGHS and that their admissions may be E
cancelled with immediate effect and action taken report
be submitted to the DGHS. In furtherance to this letter, the
Deputy Secretary, Medical and Family Welfare
Department, Government of Chhattisgarh, issued order
dated 10th September, 2010 stating that the admission of F
these two appellants was not in accordance with the
provisions of the Rules and other guidelines/provisions
with regard to allotment of seats under the All India Quota
and the admission was cancelled with immediate effect.
The appellants filed writ petitions before the High Court. G
The High Court held that admission to the appellants was
given ignoring more meritorious and suitable candidates
which amounted to violation of natural justice to such
other candidates and declined to interfere with the order
                                                          H
    772      SUPREME COURT REPORTS              [2012] 5 S.C.R.


A of cancellation of admission. The instant appeals were
  filed challenging the order of the High Court.

          Disposing of the appeals, the Court

       HELD: 1. Admission to professional colleges is
B governed by the judgment of this Court in the case of
  TMA Pai Foundation & Ors. v. State of Karnataka & Ors.
  [(2002) 8 SCC 481]. The framework of admissions to
  colleges was discussed in some detail by this Court.
  However, even in the case of Dr. Pradeep Jain & Ors. v.
C Union of India & Ors. [(1984) 3 sec 654], the concept of
  an All India quota came to be introduced while
  determining the validity of a domicile requirement in such
  admissions. Earlier, 30 per cent of seats in the under-
  graduate courses were reserved for this purpose, which
D came to be modified to 15 per cent seats for All India
  quota in the case of Dr. Dinesh Kumar & Ors. v. Moti Lal
  Nehru College, Allahabad & Ors. [(1985) 3 SCC 22). In the
  case of Dr. Dinesh Kumar & Ors. v. Moti Lal Nehru College,
  Allahabad & Ors. [(1987) 4 SCC 459), this Court also
E passed directions in relation to the manner of notification/
  announcement of details, results and counseling for
  admission, in that case, for post graduate admissions,
  whi"ch were to be published in two successive issues of
  newspapers, including one national paper in English and
F at least two local papers in the language of the State.
  Declaration· of results would be made four weeks after the
  examination and academic courses were to mandatorily
  begin on the 2nd of May every year. Again, in the case of
  Dr. Dinesh Kumar & Ors. v. Moti Lal Nehru College,
  Allahabad & Ors. [(1990) 4 sec 627), as some of the States
G were not adhering to the prescribed schedule, this Court
  took punitive action against the State of Uttar Pradesh
  and even contemplated action under the Contempt of
  Courts Act, 1971. Right from Dr. Pradeep Jain's case, this
  Court has always directed that merit alone must be the
H
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 773

criteria for admission to MBBS courses. To make such A
admissions more subject-specific, transparent and
systematic, certain further directions were issued by this
Court in Shrawan Kumar & etc. etc. v. Director General of
Health Services & Anr. & etc. [(1993) 3 SCC 332]. This Court
clarified that candidates who have been allotted a seat in B
the second round of counseling will have to join the
college within 15 days from the date of their personal
appearance and the whole allotment and admission
process to 15 per cent seats of All India quota will be over
before the 30th September of each year, the remaining c
seats having been surrendered back to the college/State.
Various judgments of this Court have sought to carry
forward, with greater clarity, the fundamental requirement
as stated in TMA Pai that the admission process should
be fair, transparent and non-exploitative. Every
                                                              0
subsequent judgment of this Court has attempted to
elucidate one or other aspect of this principle. Having
noticed that there have been irregularities in maintaining
the prescribed schedule and that the last few days of the
declared schedule are primarily being utilized in an
exploitative manner, on account of charging higher fees E
for securing admission and thereby defeating the
principle of admission on merit, a three Judge Bench of
this Court in the case of Mridul Dhar (Minor) & Anr. v. Union
of India & Ors. [(2005) 2 SCC 65] applied the schedule
notified by the Medical Council of India (MCI) in Appendix F
'E' of the Graduate Medical Education (Amendment)
Regulations, 2004 and directed its strict adherence. The
Court noticed that the holding of 10+2 examination and
declaration of results is also of importance for the entire
admission process and, therefore, directed strict G
adherence to the Schedule in all respects and by all
concerned. The date of 30th September was stated not
to be the date of normal admission but is to give
opportunity to grant admission against stray vacancies.
The Court clarified that adherence to the time schedule H
   774     SUPREME COURT REPORTS              [2012] 5 S.C.R.


A by everyone was a paramount concern. In that case, the
  Court issued a specific direction to all the State
  functionaries, particularly the Chief Secretaries and
  heads of the concerned Ministries/Departments
  participating in the States/Union Territories, adopting the
B time schedule and holding the State examination, to
  ensure declaration of results on or before 15th June,
  2005. They were also required to ensure the appropriate
  utilization of All India quota, to fullest extent, by timely
  reporting to the DGHS by the Deans of various colleges
C or any other State authority, informing the DGHS of the
  acceptance or rejection of seats by the students after the
  first counseling of All India/State Quota. Further, this
  Court even took pains to declare the need for adherence
  to the schedule .for receipt of applications for
  establishment of new medical colleges or seats and the
0
  process of the review and recommendation by the
  Central Government and the Medical Council of India.
  Lastly, in the case of Priyadarshini Dental College &
  Hospital v. Union of India & Ors. {(2011) 4 SCC 623], this
  Court cautioned all concerned that the schedule specified
E in Mridul Dhar should be maintained and regulations
  should be strictly followed. The Court suggested that the
  process of inspection of colleges, grant of permission or
  renewal of permission should also be done well in
  advance to allow time for setting right the deficiencies
F pointed out. [Paras 20, 21, 23] (805-D-H; 806-A-H; 808-C-
  H; 810-C-D]
       TMA Pai Foundation & Ors. v. State of Karnataka & Ors.
  (2002) 8 SCC 481: 2002 (3) Suppl. SCR 587; Dr. Pradeep
G Jain & Ors. v. Union of India & Ors. (1984) 3 SCC 654: 1984
  (3) SCR 942; Dr. Dinesh Kumar & Ors. v. Moti Lal Nehru
  College, Allahabad & Ors. (1985) 3 SCC 22: 1985 (1) Suppl.
  SCR 41; Dr. Dinesh Kumar & Ors. v. Moti Lal Nehru College,
  Allahabad & Ors. (1987) 4 SCC 459: 1988 (1) SCR 351; Dr.
  Dinesh Kumar & Ors. v. Moti Lal Nehru College, Allahabad
H & Ors. (1990) 4 SCC 627: 1990 (1) Suppl. SCR 135; Shrawan
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 775

Kumar & etc. etc. v. Director General of Health Services &    A
Anr. & etc. (1993) 3 SCC 332; Mridul Dhar (Minor) & Anr. v.
Union of India & Ors. (2005) 2 SCC 65: 2005 (1) SCR 380;
Priyadarshini Dental College & Hospital v. Union of India &
Ors. (2011) 4 sec 623: 2011 (2) SCR 945 - relied on.
                                                              B
     2. In the case of State of Bihar & Ors. v. Dr. Sanjay
Kumar Sinha & Ors. [(1990) 4 SCC 624], a Bench of this
Court took exception to the non-adherence to the time
schedules and reiterated that the admissions to medical
colleges and post-graduate courses were governed by           C
the orders of this Court and the regulations issued by the
Medical Council of India, which must be strictly followed.
This Court issued a warning, that if there was any
violation in future, the same shall be treated as default
and viewed very seriously. Further, in the case of Medical
Council of India v. Madhu Singh & Ors. [(2002) 7 SCC 258],    D
this Court declared two very important principles. Firstly,
it declared that mid-stream admissions should not be
permitted and secondly, noticing the practice of
compassion in review of such admissions, this Court also
held that late or mid-stream admission, even just four        E
months after beginning of the classes, cannot be
permitted. [Para 24] [810-E-H]

    State of Bihar & Ors. v. Dr. Sanjay Kumar Sinha & Ors.
(1990) 4 SCC 624: 1989 (2) Suppl. SCR 168 Medical             F
Council of India v. Madhu Singh & Ors. (2002) 7 SCC 258:
2002 (2) Suppl. SCR 228 - relied on.

    3. Admissions based on favouritism necessarily
breach the rule of merit on the one hand, while on the
other, they create frustration in the minds of the students   G
who have attained higher rank in the competitive entrance
examinations, but have not been admitted. Adherence to
the principle of merit, compliance with the prescribed
schedule, refraining from mid-stream admissions and
adoption of an admission process that is transparent,         H
    776         SUPREME COURT REPORTS           [2012] 5 S.C.R.


A non-exploitative and fair are mandatory requirements of
  the entire scheme. The schedules prescribed have the
  force of law, in as much as they form part of the
  judgments of this Court, which are the declared law of the
  land in terms of Article 141 of the Constitution of India and
B form part of the regulations of the Medical Council of
  India, which also have the force of law and are binding
  on all concerned. It is difficult to comprehend that any
  authority can have the discretion to alter these schedules
  to suit a given situation, whether such authority is the
c Medical Council of India, the Government of India, State
  Government, University or the selection bodies
  constituted at the college level for allotment of seats by
  way of counseling. None of these authorities are vested
  with the power of relaxing, varying or disturbing the time
  schedule, or the procedures of admission, as provided
0
  in the judgments of this Court and the Medical Council
  of India Regulations. Inter alia, the disadvantages are:-

          (1)      Delay and unauthorized extension of
                 schedules defeat the principle of admission on
E                merit, especially in relation to preferential
                 choice of colleges and courses. Magnanimity
                 in this respect, by condoning delayed
                 admission, need not be shown by the Courts
                 as it would clearly be at the cost of more
F                meritorious students. The principle of merit
                 cannot be so blatantly compromised. This was
                 also affirmed by this Court in the case of
                 Muskan Dogra & Ors. v. State of Punjab & Ors.
                  u2oos) s sec 1ss1.
G
          (2)     Mid-stream admissions are being permitted
                  under the garb of extended counseling or by
                  extension of periods for admission which,
                  again, is impermissible.

H         (3)     The delay in adherence to the schedule, delay
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 777


          in the commencement of courses etc.,                 A
          encourage lowering of the standards of
          education in the Medical/Dental Colleges by
          shortening the duration of the academic
          courses and promoting the chances of
          arbitrary and less meritorious admissions.           B

    (4)    Inequities are created which are prejudicial to
          the interests of the students and the colleges
          and more importantly, affect the maintenance
          of prescribed standard of education. These
          inequities arise because the candidates secure       C
          admission, with or without active connivance,
          by the manipulation and arbitrary handling of
          the prescribed schedules, at the cost of more
          meritorious candidates. When admissions are
          challenged, these students would run the risk        D
          of losing their seats though they may have
          completed their course while litigation was
          pending in the court of competent jurisdiction.

    (5)   The highly competitive standards for                 E
          admission to such colleges stand frustrated
          because of non-adherence to the prescribed
          time schedules. The admissions are stretched
          to the last date and then admissions are
          arbitrarily given by adopting impermissible          F
          practices.

    (6)   Timely non-inclusion of the recognised/
          approved colleges and seats deprives the
          students of their right of fair choice of college/
          course, on the strength of their merit.              G

   (7)    Preference should be to fill up all vacant seats,
          but under the garb that seats should not go
          waste, it would be impermissible to give
          admissions in an arbitrary manner and without        H
    778      SUPREME COURT REPORTS              [2012] 5 S.C.R.


A               recourse to the prescribed rule of merit. [Para
                26- 27] [811-E-H; 812-A-H; 813-A-G]
          Muskan Dogra & Ors. v. State of Punjab & Ors. (2005) 9
    sec 186 - relied on.
s      4. The Medical and Dental Councils of India, the
  Governments and the Universities are expected to act in
  tandem with each other and ensure that the recognition
  for starting of the medical courses and grant of admission
  are strictly within the time frame declared by this Court
c and the regulations. However, despite warnings having
  been issued by this Court and despite the observations
  made by this Court, that default and non-adherence to
  the time schedules shall be viewed very seriously,
  matters have not improved. Persistent defaults by
  different authorities and colleges and granting of
0
  admission arbitrarily and with favouritism have often
  invited criticism from this Court. The consistent effort of
  this Court to direct corrective measures and adherence
  to law is not only being thwarted by motivated action on
  the part of the concerned authorities, but there has also
E been a manifold increase in arbitrary admissions.
  Repeated defaults have resulted in generating more and
  more litigation with the passage of time. [Para 28] [813-
  G-H; 814-A-F]
F       Arvind Kumar Kankane v. State of U.P. & Ors. (2001) 8
    SCC 355: 2001 (1) Suppl. SCR 262; Chhavi Mehrotra (Miss)
    v. DGHS (1994) 2 sec 370 - relied on.
       5. The maxim Boni judicis est causas litium dirimere
  places an obligation upon the Court to ensure that it
G resolves the causes of litigation in the country. Thus, the
  need of the hour is that binding dicta be prescribed and
  statutory regulations be enforced, so that all concerned
  are mandatorily required to implement the time schedule
  in its true spirit and substance. It is difficult and not even
H advisable to keep some windows open to meet a
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 779


particular situation of exception, as it may pose              A
impediments to the smooth implementation of laws and
defeat the very object of the scheme. These schedules
have been prescribed upon serious consideration by all
concerned. They are to be applied stricto sensu and
cannot be moulded to suit the convenience of some              B
economic or other interest of any institution, especially,
in a manner that is bound to result in compromise of the
stated principles. Thus, the following directions in rem are
issued for their strict compliance, without demur and
default, by all concerned,.                                    c
     (i)     The commencement of new courses or
             increase in seats of existing courses of MBBS/
             BOS are to be approved/recognised by the
             Government of India by 15th July of each
             calendar year for the relevant academic           D
             sessions of that year.

     (ii)    The Medical Council of India shall, immediately
             thereafter, issue appropriate directions and
             ensure       the    implementation         and    E
             commencement of admission process within
             one week thereafter.

     (iii)    After 15th July of each year, neither the Union
              of India nor the Medical or Dental Council of
              India shall issue any recognition or approval F
             for the current academic year. If any such
             approval is granted after 15th July of any year,
             it shall only be operative for the next academic
             year and not in the current academic year.
             Once the sanction/approval is granted on or G
             before 15th July of the relevant year, the name
             of that college and all seats shall be included
             in both the first and the second counseling, in
             accordance with the Rules.
                                                              H
    780         SUPREME COURT REPORTS             [2012] 5 S.C.R.


A         (iv)   Any medical or dental college, or seats thereof,
                 to which the recognition/approval is issued
                 subsequent to .15th July of the respective year
                 shall not be included in the counseling to be
                 conducted by the concerned authority and
B                that college would have no right to make
                 admissions in the current academic year
                 against such seats.

          (v)    The admission to the medical or dental
                 colleges shall be granted only through the
c                respective entrance tests conducted by the
                 competitive authority in the State or the body
                 of the private colleges. These are the methods
                 of selection and grant of admission to these
                 courses. However, where there is a single
D                Board conducting the State examination and
                 there is a single medical college, then in terms
                 of clause 5.1 of the Medical Council of India
                 Eligibility Certificate Regulations, 2002 the
                 admission can be given on the basis of 10+2
E                exam marks, strictly in order of merit.

          (vi)   All admissions through any of the stated
                 selection processes have to be effected only
                 after due publicity and in consonance with the
F                directions issued by this Court. The practice
                 of giving admissions on 30th September of the
                 academic year is strongly deprecated. In fact,
                 that is the date by which, in exceptional
                 circumstances, a candidate duly selected as
                 per the prescribed selection process is to join
G                the academic course of MBBS/BDS. Under the
                 directions of this Court, second counseling
                 should be the final counseling, as this Court
                 has already held in the case of Ms. Neelu Arora
                 & Anr. v. UOI & Ors. ((2003) 3 SCC 366] and third
H
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 781

           counseling is not contemplated or permitted         A
           under the entire process of selection/grant of
           admission to these professional courses.

    (vii) If any seats remain vacant or are surrendered
          from All India Quota, they should positively be
                                                               8
          allotted and admission granted strictly as per
          the merit by 15th September of the relevant
          year and not by holding an extended
          counseling. The remaining time will be limited
          to the filling up of the vacant seats resulting      C
          from exceptional circumstances or surrender
          of seats. All candidates should join the
          academic courses by 30th September of the
          academic year.

    (viii) No college may grant admissions without duly        D
           advertising the vacancies available and by
           publicizing the same through the internet,
           newspaper, on the notice board of the
           respective feeder schools and colleges, etc.
           Every effort has to be made by all concerned        E
           to ensure that the admissions are given on
           merit and after due publicity and not in a
           manner which is ex-facie arbitrary and casts
           the shadow of favouritism.

    (ix)   The admissions to all government colleges           F
           have to be on merit obtained in the entrance
           examination conducted by the nominated
           authority, while in the case of private colleges,
           the colleges should choose their option by
           30th April of the relevant year, as to whether      G
           they wish to grant admission on the basis of
           the merit obtained in the test conducted by the
           nominated State authority or they wish to
           follow the merit list/rank obtained by the
           candidates in the competitive examination           H
    782        SUPREME COURT REPORTS             [2012) 5 S.C.R.

A                collectively held by the nominated agency for
                 the private colleges. The option exercised by
                 30th April shall not be subject to change. This
                 choice should also be given by the colleges
                 which are anticipating grant of recognition, in
B                compliance with the date specified in these
                 directions. [Paras 29- 30) [814-G-H; 815-A-H;
                 816-A-H; 817-A-H]
        Ms. Neelu Arora & Anr. v. UOI & Ors. (2003) 3 SCC 366:
    2003 (1) SCR 562 - relied on.
c
      6. All these directions shall be complied with by all
  concerned, including Union of India, Medical Council of
  India, Dental Council of India, State Governments,
  Universities and medical and dental colleges and the
  management of the respective universities or dental and
0 medical colleges. Any default in compliance with these
  conditions or attempt to overreach these directions shall,
  without fail, invite the following consequences and penal
  actions:-

E         a)     Every body, officer or authority who disobeys
                 or avoids or fails to strictly comply with these
                 directions stricto sensu shall be liable for
                 action under the provisions of the Contempt
                 of Courts Act. Liberty is granted to any
                 interested party to take out the contempt
F
                 proceedin~s before the High Court having
                 jurisdiction over such Institution/State, etc.
          b)     The person, member or authority found
                 responsible for any violation shall be
G                departmentally proceeded against and
                 punished in accordance with the Rules.
                 Violation of these directions or overreaching
                 them by any process shall tantamount to
                 indiscipline, insubordination, misconduct and
H                being unworthy of becoming a public servant.
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 783

    c)   Such defaulting authority, member or body          A
         shall also be liable for action by and personal
         liability to third parties who might have
         suffered losses as a result of such default.

    d)   There shall be due channelization of selection     B
         and admission process with full cooperation
         and coordination between the Government of
         India, State Government, Universities, Medical
         Council of India or Dental Council of India and
         the colleges concerned. They shall act in          C
         tandem and strictly as per the prescribed
         schedule. In other words, there should be
         complete harmonisation with a view to form a
         uniform pattern for concerted action,
         according to the framed scheme, schedule for
         admission arid regulations framed in this          D
         behalf.

    e)   The college which grants admission for the
         current academic year, where its recognition/
         approval is granted subsequent to 15th July of     E
         the current academic year, shall be liable for
         withdrawal of recognition/approval on this
         ground, in addition to being liable to indemnify
         such students who are denied admission or
         who are wrongfully given admission in the          F
         college.

    f)   Upon the expiry of one week after holding of
         the second counseling, the unfilled seats from
         all quotas shall be deemed to have been
         surrendered in favour of the respective States     G
         and shall be filled thereafter strictly on the
         basis of merit obtained in the competitive
         entrance test.

    g)   It shall be mandatory on the part of each          H
    784        SUPREME COURT REPORTS            [2012] 5 S.C.R.

A               college and University to inform the State and
                the Central Government/competent authority
                of the seats which are lying vacant after each
                counseling and they shall furnish the complete
                details, list of seats filled and vacant in the
B               respective states, immediately after each
                counseling.

          h)    No college shall fill up its seats in any other
                manner. [Para 31] [818-A-H; 819-A-F]

C      7. The instant case is a glaring example of calculated
  tampering with the schedule specified under the
   regulations and the judgments of this Court, with a clear
  intent to grant admission to less meritorious candidates
  over and above the candidates of higher merit. The High
D Court had cancelled the admission of the appellants by
  a detailed and well-reasoned judgment. However, as a
   result of interim orders granted by the Court, both the
  appellants had already completed four years of the
  studies at the time of the High Court decision. They are
E stated to have completed their final exam now. Despite
  having lost their case before the High Court, the
  appellants continued to pursue their professional
  courses because of the interim orders of the Court and,
  therefore, the plea of inequities was raised. On 30th
F September, 2006, the Director, Medical Education,
  Chhattisgarh, wrote a letter to the Dean of the College,
  requiring that the Jagdalpur College provide the up-to-
  date list of the students admitted to it and if there were
  any seats remaining vacant, guidance was to be taken
G from the Directorate of the State Government. Another
  letter written by the Director, Medical Education, to the
  Dean of the Jagdalpur College and referring to their letter
  of the same date, which stated that two seats were .
  vacant, in turn, ordered that those seats be filled up and
H the candidates be contacted over telephone. If contact
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 785

could not be established with any candidate, then the A
Jagdalpur College was directed to fill up the seats with
the candidates physically present and available at the
Jagdalpur College, according to merit. The Dean of the
Jagdalpur College, on that very day, constituted a
Committee to examine the certificates etc. of the available B
candidates and recommend the names on the basis of
merit. Again, on that very day, the Committee
recommended the names of the two appellants, declaring
them to be eligible for getting admissions. More strangely,
the Committee also noted that the fees from the c
candidates had been deposited and they could be given
admission. Then, by another letter dated 30th September,
2006, the Dean of the College informed the Director,
Medical Education that the two appellants were given
admission and the admission process for 50 seats had
                                                            0
been completed. There was nothing placed on the
records of the Court as to what steps were taken by the
Jagdalpur College to inform all the other candidates of
counseling on the last date. Also strange was the
direction of the Directorate that.the candidates should be
informed on telephone. Even if this direction was of some E
content and meaning, there is still no material to show
how many candidates were actually informed on the
telephone that there would be counseling for two seats.
Thus, the questions remained open, as to the reason for
total abandonment of the procedure of informing all F
eligible candidates, by appropriate means, that two seats
were available for admissions, who all had actually
appeared for the counseling, how only two candidates
who even according to the State Government were not
contacted on telephone, were alone present before the G
Committee and immediately found to be eligible for
admission. This entire exercise smacked of arbitrariness,
unfairness and was discriminatory ex facie. Respondent
No.3, the Director of the Medical Education in
Chhattisgarh, is the father of appellant no.2 and that H
    786    SUPREME COURT REPORTS              [2012) 5 S.C.R.

A speaks volumes of how the admission had been granted
  to the appellants. [Paras 33, 36-37] [820-A-D; 821-D-H;
  822-A-F]
         8. The methodology adopted and the manner in
    which admissions were given to the appellants would
B   show that this process was neither fair nor transparent.
    In fact, within a few hours, the entire process of
    admission was completed, indicating that the whole
    exercise was undertaken only with the object of granting
    admission to the appellants, that too, as if no other
C   candidates of merit were available for these two seats.
    This view was entirely substantiated by the records
    produced before us. The prescribed procedure for grant
    of admission was given a go by and the rule of admission
    on merit stood frustrated as a consequence of such
o   admission process. One fails to understand why no
    preventive steps or efforts to fill the vacant seats were
    taken by any of the competent authorities involved in the
    entire process of selection and admission to MBBS
    courses. The students who had undertaken the PMT
E   examination had been allocated seats in the college on
    23rd August, 2006. Not even a single document was
    placed on record of this Court from 23rd August, 2006 to
    29th September, 2006 showing efforts to fill up vacant
    seats. Everybody waited for the last date which, in fact,
F   was the date for joining the courses and not admission,
    whereafter the entire machinery in the Centre, State
    Government and the college acted so swiftly that within
    hours, the entire admission process was concluded to
    grant the admission to the appellants. It is a travesty of
G   fairness and transparency that for 50 seats in the
    Jagdalpur College, the Directorate as well as the
    Committee constituted for counseling/selection could
    find only the candidates at Merit Nos. 3893 and 1614
    suitable, completely ignoring all the candidates being
    higher in merit than these two appellants, who must a,lso
H   be waiting for admission to the MBBS course. Strangely,
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 787

the merit ranks of these two appellants, as given in the        A
letter of the DGHS dated 8th August, 2006 were 2196 and
2203 respectively. From every angle only one conclusion
is possible that the allocation of seats was totally
arbitrary and contrary to the procedure laid down. The
three members of the Selection Committee found only             B
these two candidates eligible and fit to be granted
admission to the MBBS courses on the last day for
admissions. To say the least, this Committee acted in
undue haste, in violation of the prescribed procedure of
admission and certainly contrary to the judgments of this       c
Court. The Dean of the Jagdalpur College is directed to
convey the displeasure of this Court to the members of
the Selection Committee and the same be placed on their
respective service records. [Para 38] [822-G-H; 823-A-H;
824-A]
                                                                D
     9. The Inquiry Committee returned a finding that the
admission to the two appellants was not given in
furtherance to the letter dated 8th August, 2006, but validly
granted on 30th September, 2006 instead. Their report did
not even mention if they had verified the fact that notices     E
had been issued to all the concerned persons on 30th
September, 2006 and if other students had been
contacted for intimation of counseling or if any effort was
even made on 30th September, 2006 or even prior thereto
to put these two vacant seats on the internet or notice         F
board of the colleges so as to enable the students of
higher merit to seek admission to the MBBS course in
the Jagdalpur College. This aspect attained a greater
significance in view of the fact that the seats were not
allotted in the second counseling itself on 22nd - 23rd         G
August, 2006. The Jagdalpur College, the Directorate of
the State Government as well as the Union of India made
no effort and did not act in coordination, to allot these
two seats to the candidates in accordance with merit in
the PMT. The finding recorded by the Committee appears          H
to be a mere eye-wash rather than a proper report upon
    788     SUPREME COURT REPORTS               [2012] 5 S.C.R.


A examining the entire matter in its proper perspective. It
   was not only expected of the Committee to examine the
   documents which were made available to it, as is
   recorded in the report, but also to call for all such
   necessary documents which were relevant and could
s have bearing on the reference made to it. The Committee
   did not even care to know why everything was
   completed on 30th September, 2006 and how nobody
 . else except these two appellants were available for
   admission from amongst candidates in the entire State.
c [Para 39) [824-B-H; 825-A-C]
       10. Another aspect of this inquiry was that, even as
   on 30th September, 2006, nobody was clear as to which
   quota these two vacant seats belonged to. According to
  the State of Chhattisgarh, these two seats were part of
D the 15 per cent All India quota which stood surrendered
  after 23rd August, 2006. According to the appellants, they
  were Central Pool quota seats which stood surrendered
  to the State on 30th September, 2006 only. According to
  the Union of India, they had not made any allotment to
E the appellants or anyone in the Jagdalpur College from
  the All India Quota, and even the code number given on
  the 8th August, 2006 letter is wrong. If the Directorate, the
  Union of India and the Jagdalpur College itself were not
  ad idem as to which quota the seats belonged to and
F who was the competent authority to allot the seats, none
  of them had any business to allot these two seats in such
  an arbitrary manner. Even now, there is no clarity as to
  how and under what quota the Jagdalpur College has
  granted admission to these two appellants. The inquiry
G report, in fact, did not help to resolve the issue and
  cannot, thus, form the basis of returning any finding in
  favour of or against any person. Ex facie, the findings
  returned by the Inquiry Committee would appear to be
  inconclusive, uncertain and vague. Be that as it may,
H there is no escape from returning the finding that
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 789

admission of both the appellants was made in a most            A •.
improper and arbitrary manner. The whole exercise was
undertaken on 30th September, 2006 with only one aim
in mind, i.e., that these two appellants have to be given
admission in the Jagdalpur College. [para 40] [825-C-H;
826-A]                                                         B
     11. The cancellation of the admission of the
appellants was challenged by the appellants before the .
High Court, which allowed continuation of study under
interim orders, though finally it dismissed the writ
petitions filed by these appellants. At that time, they had C
already completed more than four years of the MBBS
course to which they were admitted. Today, they have
already appeared for their final examination. The
Jagdalpur College ought to have declared these two
seats as being available for admission when the D
counseling was held on 22nd - 23rd August, 2006 and
that there was violation of the basic principles of equality
of opportunity and of equal consideration for allotment
of seats. Candidates of higher merit stand excluded.
Another challenge which was raised on behalf of the E
appellants was that the order of cancellation dated 10th
September, 2010 was passed without affording any
opportunity of hearing to these two appellants and,
therefore, the order was liable to be set aside, being
violative of principles of natural justice. It is, in fact, not F
in dispute that no specific notice was given to the
appellants before the impugned order was passed. It is
not necessary for this Court to examine this submission
in any greater detail because the appellants have now
had two occasions to put forward their claim before the G
Court. The High Court considered various aspects of the
case and gave a complete hearing to the appellants. No
prejudice was caused to them, inasmuch as they have
pursued their studies despite cancellation of admission
and have now been duly heard by the High Court, as well
                                                                H
    790      SUPREME COURT REPORTS                 [2012] 5 S.C.R.


A as this Court. Hence, this ground of challenge did not, in
  any case, survive, particularly since it is held the
  admission to these appellants was given in a completely
  arbitrary and unfair manner. [Paras 42-43] [826-C-H; 827-
    A-C]
B        12. In the instant case, the fault is attributed to all the
    stakeholders involved in the process of admission, i.e.,
    the concerned Ministry of the Union of India, Directorate
    of Medical Education in the State of Chhattisgarh, the
     Dean of the Jagdalpur College and all the three Members
c   of the Committee which granted admission to both the
    appellants on 30th September, 2006. But the students
    were also not innocent. They certainly took advantage of
     being persons of influence. The father of appellant No. 2
    was the Director of Medical Education, State of
0   Chhattisgarh at the relevant time, the entire process of
    admission was handled through the Directorate. The
    students well knew that the admissions could only be
    given on the basis of merit in the entrance test and they
    had not ranked so high that they were entitled to the
E   admission on that basis alone. In fact, they were also
    aware of the fact that no other candidate had been
    informed and that no one was present due to non-
    intimation. Out of favouritism and arbitrariness, they had
    been given admission by completing the entire admission
    process within a few hours on 30th September, 2006.
F   Balancing of equities by the Court itself is inequitable.
    Some party or the other would suffer a set back or
    adverse consequence from the order of the Court. On the
    one hand, if admissions are cancelled, the students who
    have practically completed their MBBS course would
G   lose their professional education as well as nearly five
    years of their life spent in such education. If their
    admissions are protected, then the standard of education,
    the merit of the candidates and the desirability of the
    persons of higher merit becoming doctors is negated.
H   The best solution to such problems is strict adherence
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 791

to the time schedule, procedure for selection/admission        A
and strict observance of the Medical Council of India
Regulations, by all concerned. Once these factors are
adhered to, not only would such situation not arise, but
also it will prevent avoidable litigation before the Courts.
The persons who violate the time schedule to grant             B
admissions in an arbitrary manner and by colourable
exercise of power, who are not adhering to Medical
Council of India Regulations and the judgments of this
Court, should be dealt with strictly by punishment in
accordance with law, to prevent such mischief from             c
repeating. In the instant case, the appellants had already
sat for their final examination and are about to complete
their courses. Even if their admissions are protected on
the ground of equity, they cannot be granted such relief
except on appropriate terms. By their admissions, firstly,     0
other candidates of higher merit have been denied
admission in the MBBS course. Secondly, they have
taken advantage of a very low professional college fee,
as in private or colleges other than the government
colleges, the fee payable would be Rs.1,95,000/- per year      E
for general admission and for management quota, the fee
payable would be Rs.4,00,000/- per year, but in
government colleges, it is Rs.4,000/- per year. So, they
have taken a double advantage. As per their merit, they
obviously would not have got admission into the
Jagdalpur College and would have been given                    F
admission in private colleges. The ranks that they
obtained in the competitive examination clearly depict
this possibility, because there were only 50 seats in the
Jagdalpur College and there were hundreds of
candidates above the appellants in the order of merit.         G
They have also, arbitrarily and unfairly, benefitted from
lower fees charged in the Jagdalpur College. On the
peculiar facts and circumstances of the case, though
there is no legal or other infirmity in the judgment under
appeal, but to do complete justice between the parties         H
    792     SUPREME COURT REPORTS               [2012] 5 S.C.R.


A within the ambit of Article 142 of the Constitution of India,
  the appellants are permitted to complete their
  professional courses, subject to the condition that each
  one of them pay a sum of Rs.5 lakhs to the Jagdalpur
  College, which amount shall be utilized for developing the
B infrastructure in the Jagdalpur College. Heavy cost is
  imposed upon these appellants to ensure that such
  admissions are neither accepted nor granted leave to
  complete their medical courses in future. [Paras 48-51]
  [828-G-H; 829-A-H; 830-A-H]
C       13. Accordingly, it is ordered that though, there is no
   merit in the appeal preferred by the appellants and the
   judgment of the High Court does not suffer from any
   infirmity, still, in the peculiar facts and circumstances of
   t~e case, the appellants are permitted to complete their
o MBBS course as general candidates in the Government
   Medical College, Jagdalpur, subject to their paying a sum
   of Rs. 5 lakhs each, within one week from today. In the
   event of default of payment or failure to file proof of
   payment in the Registry of this Court, not only will the
E present appeal stand dismissed on merits, but the exam
   results of the defaulting appellant will not be declared,
   they will not be conferred with the degree of MBBS by
   the Jagdalpur College and the Medical Council of India
   shall not register their names on the rolls maintained by
F it or the State Council, as the case may be. For these
   reasons, if their admissions are cancelled, there being no
   claimants for these seats, the seats will go waste and the
   entire expenditure incurred by the State would also be
   wasted. After so many years, it would be an exercise in
G futility to cancel their admissions, which, but for the
   interim orders, could be avoided. An undue advantage
   from the interim orders has accrued in favour of the
   appellants. The High Courts are requested to ensure
   strict adherence to the prescribed time schedule, process
   of selection and to the rule of merit. Except in very
H ·exceptional cases, the High Court may consider it
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 793


appropriate to decline interim orders and hear the main        A
petitions finally, subject to convenience of the Court. All
the relevant stakeholders have failed to perform their
duty/obligation in accordance with law. Where the time
schedules have not been complied with, and rule of merit
has been defeated, there nepotism and manipulation have        B
prevailed. The stands of various authorities are at
variance with each other and none admits to fault. Thus,
it is imperative for this Court to ensure proper
implementation of judgments of this Court and the
regulations of the Medical Council of India as well as not     c
to overlook the arbitrary and colourable exercise of
power by the concerned authorities/colleges. Therefore,
initiation of proceedings is directed under the provisions
of the Contempt of Courts Act, 1971 against the
Additional Secretary, Ministry of Health & Family Welfare,     D
Union of India, Dr. S.L. Adile, Director, Medical Education,
Dean of the Jagdalpur College, Dr. M.S. Banjan, Member
of the Selection Committee, Dr. P.O. Agarwal, Member of
the Selection Committee, Shri Padmakar Sasane, Member
of the Selection Committee, Director General, Directorate
of Health Services, Union of India. All concerned              E
authorities are hereby directed to carry out the directions
and orders contained in this judgment, particularly
paragraphs 30 and 31 of the judgment forthwith. The
directions shall be applicable for the academic year 2012-
2013 itself. [Para 53) [831-C-H; 832-A-H; 833~A-C)             F

     State of M.P. & Ors. v. Gopal D. Tirthani & Ors. (2003) 7
SCC 83: 2003 (1) Suppl. SCR 797; Bharati Vidyapeeth
(Deemed University) & Ors. v. State of Maharashtra & Anr.
(2004) 11 SCC 755: 2004 (2) SCR 775; Chowdhury Navin. G
Hemabhai & Ors. v. State of Gujarat & Ors. (2011) 3 SCC
617: 2011 (2) SCR 1071 Harish Verma & Ors. v. Ajay
Srivastava & Ors. (2003) 8 SCC 69: 2003 (3 ) Suppl. SCR
833; A. Sudha v. University of Mysore & Anr. (1987) 4 SCC
537: 1988 (1) SCR 368; Amandeep Jaswal v. State of Punjab H
        794      SUPREME COURT REPORTS               [2012] 5 S. C.R.

    A (2006) 9 SCC 597; R. Vishwanatha Pillai v. State of Kera/a
      & Ors. (2004) 2 SCC 105; 2004 (1) SCR 360; Chowdhary
      Navin Hemabhai & Ors. v. The State of Gujarat & Ors. (2011)
      3 SCC 617; 2011 (2) SCR 1071; Medical Council of India v.
      Rajiv Gandhi University of Health Sciences (2004) 6 SCC 76:
    B 2004  (3) SCR 1119 - referred to.

                            Case Law Reference:

              2002 (3) Suppl. SCR 587 relied on        Para 20

              1984 (3) SCR 942         relied on       Para 20
    c
              1985 (1) Suppl. SCR 41   relied on       Para 20

              1988 (1) SCR 351         relied on       Para 20

              1990 (1) Suppl. SCR 135 relied on        Para 20
    D
              (1993) 3 sec 332         relied on       Para 20
              2005 (1) SCR 380         relied on       Para 20
              2011 (2) SCR 945         relied on       Para 23

    E         1989 (2) Suppl. SCR 168 relied on        Para 24
              2002 (2) Suppl. SCR 228 relied on        Para 24
              2003 (1) Suppl. SCR 797 referred to      Para 25
I
              2004 (2) SCR 775         referred to     Para 205
    F
              2011 (2) SCR 1071        referred to     Para 25
              2003 (3) Suppl. SCR 833 referred to      Para 25
              (2005) 9 sec 186         relied on       Para 27
    G         2001 (1) Suppl. SCR 262 relied on        Para 29
           (1994) 2 sec 370            relied on       Para 29
              2003 (1) SCR 562         referred to     Para 30

           1988 (1) SCR 368            referred to     Para 46, 47
    H
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 795


     (2006) 9 sec 597             referred to     Para 46          A
    2004 (1) SCR 360              referred to     Para 46,
    2011 (2) SCR 1071             referred to     Para 46, 47
    2004 (3) SCR 1119             referred to     Para 4
                                                                   B
    CIVIL APPELLATE JURISDICTION : Civil Appeal No.
4318 of 2012.

    From the Judgment & Order dated 09.08.2011 of the High
Court of Chattisgarh at Bilaspur (C.G.) in Writ Petition (C) No.   c
5488 of 2010.
                               WITH
C.A. No. 4319 of 2012.

    Dr. Rajiv Dhawan, Mukul Rohtagi, Sushil Kumar Jain,            D
Puneet Jain, Pratibha Jain, Sanjeeb Panigrahi, Subas
Acharya, L. Nidhiram Sharma, Siddhartha Chowdhury for the
Appellants.

    Ashok Bhan, S.S. Rawat, D.S. Mahra, Atul Jha, Sandeep          E
Jha, Dharrnendra Kumar Sinha for the Respondent.

    The Judgment of the Court was delivered by

    SWATANTER KUMAR, J. 1. Leave granted.
                                                                   F
     2. The Department of Medical and Famiiy Welfare,
Government of Chhattisgarh, vi de its letter dated 10th
September, 2010 cancelled the admission granted to Akansha
Adile and Priya Gupta in the MBBS course for the academic
year 2006-07 in the Government NMDC Medical College,               G
Jagdalpur (for short, the Jagdalpur College) with immediate
effect.

     3. Aggrieved by this order of the Government, both the
students challenged the legality and correctness of this action
in separate writ petitions under Article 226 of the Constitution   H
    796      SUPREME COURT REPORTS                  [2012] 5 S.C.R.


A of India. The High Court, vide its judgment dated 9th August,
  2011, held that admission to these petitioners had been given
  ignoring more meritorious and suitable candidates, which
  amounted to violation of natural justice to such other candidates
  and declined to interfere in the impugned order dated 10th
s September 2010, hence giving rise to the present appeals. The
  appellants had appeared in the Pre-Medical Test conducted by
  the State of Chhattisgarh for the academic year 2006. The
  results were declared in July 2006 and Appellant No.1, Priya
  Gupta, secured general rank 1614 while Appellant No.2,
c Akansha Adile, secured general rank 3893. As the latter
  belonged to the Scheduled Caste category, her rank in that
  category was 396. This entrance exam was conducted by the
  State as per the notification of the State Government dated 8th
  March, 2006 under the 'Chhattishgarh Medical and Dental
D Graduate Examination Rules, 2006' (Chhatisgarh Chikitsha
  Tatha Dant Chikitsha Snatak Pravesh Pariksha Niyam, 2006)
  (for short, 'the Rules'). These Rules provided for all0cation of
  seats and reservation, the process for admission to the vacant
  seats, selection procedure as well as cancellation of admission
  and the matters incidental thereto.
E
         4. The State Government, vide its letter dated 14th August,
    2006, had granted permission for the starting of admission
    procedure for the academic year 2006-07 at the Jagdalpur
    College. The annual admission capacity was 50 seats which
F   were to be filled up by the candidates who had qualified PMT
    2006 in the order of their merit.

       5. The first counseling was held on 21-22nd July, 2006 but
  obviously, at that time, the Jagdalpur College had not been given
G permission to commence admission to the MBBS course. The
  counseling was conducted for medical colleges at Raipur and
  Bilaspur and also for the Raipur Dental College. 18 per cent
  of seats were to be reserved for allotment under the All India
  Quota and the Central Pool quota. However, the State
H Government vide letter dated 21st August, 2006 is stated to
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 797
           [SWATANTER KUMAR, J.]

 have informed the Jagdalpur College that two seats out of the       A
total seats were reserved for allotment under the Central Pool
Quota and no seats were reserved under All India Quota. Upon
receipt of recognition, only 48 seats were offered for admission
to the students on 22nd - 23rd August, 2006. The Central Pool
Quota seats were not filled up and were allegedly not made           B
available to the candidates who appeared for that c6unseling.
The Dean of Jagdalpur College informed the Director, Medical
Education, State of Chhattisgarh on 30th September, 2006 that
on that date, 48 candidates had taken admission and two
seats were lying vacant. This information was sent in response       c
to inquiry by the Director, Medical Education in this regard and
directions were sought by the Jagdalpur College for filling up
of vacant seats. On the same day, the Director, Medical
Education, directed that the seats should be filled from the merit
list and the candidates could be contacted on telephone. If          D
contact was not possible, admission could be given to the
candidates who were available in the Jagdalpur College. On
30th September, 2006 itself, the two vacant seats were given
to the available candidates, who are the appellants herein.

    6. As already noticed, the Jagdalpur College was granted         E
permission for starting the academic procedure for the session
2006-2007 by the Government of Chhattisgarh. This letter
reads as under:-

    "Consequent to the letter No. U.12012/206/2005/M.E.(P.ll)        F
    dated 15th July, 2006 of the Health and Family Welfare
    Department, Government of India, the State Government
    hereby grants permission for starting admission procedure
    for the academic session 2006-07 in the Government
    Medical College, Jagdalpur.
                                                                     G
    2. The annual admission capacity of the said Medical
    College would be 50 seats and the candidates qualified
    in P.M.T. 2006 would be given admission on the basis of
    merit. Necessary action be ensured as per the aforesaid."
                                                                     H
    798      SUPREME COURT REPORTS                  [2012] 5 S.C.R.


A     7. 48 students under different categories were given
  admission as per the list published by the Jagdalpur College
  on 30th September, 2006. Vide letter dated 30th September,
  2006, the Jagdalpur College and other medical colleges in the
  State had been informed by the Directorate of Medical
B Education, State of Chhatisgarh that 30th September, 2006
  being the last date for admission as per the judgment of the
  Supreme Court, a list of the students who had been given
  admission may be sent to the Directorate and guidance sought
  from the Directorate, if any seats were lying vacant. The
C guidance was received by the Jagdalpur College by letter dated
  30th September, 2006, which reads as under :-

          "On the above subject, information about 2 vacant seats
          has been given by you. In order to fill these up contact the
          candidates over telephone. If contact could not be
D         established with any candidate then fill up the vacant seats
          from amongst the candidates available in the college
          according to merit."

        8. On that very date, inter alia, an order was issued by the
E Dean of Jagdalpur College constituting a Committee to give
  admission to the available candidates in accordance with mer
  t of the PMT. This letter reads as under:-

          "As per the directions received from the Directorate of
          Medical Education, the vacant seats are to be filled from
F         the available candidates according to the merit in P.M.T.
          For this purpose, Counseling Committee is constituted as
          follows:-

          1. Dr. M.S. Banjari, Assistant Vice Principal
G
          2. Dr. P.O. Agarwal, Assistant Vice Principal

          3. Shri Padmakar Sasane, Demonstrator

          The aforesaid Committee after examining the certificates
H
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 799
           [SWATANTER KUMAR, J.]
     etc. of the available candidates recommend for admission       A
     on the basis of merit."

     9. The Dean of the Jagdalpur College was further informed
by the Committee, on 30th September, 2006 itself, that only two
candidates, i.e., the appellants were available and they were       8
given admission to the vacant seats. This letter reads as under:-

    "ln compliance of your letter No. 233/GAMC/06 Jagdalpur,
    dated 20.9.2006 the certificates etc. of the candidates
    available on today's date have been examined. Only the
    following two candidates, who were present have been            C
    found to be eligible to be given admission -

      1.    Ku. Priya Gupta    Merit No. UR 1614

     2.     Ku. Akanksha AdileMerit No. SC 396 /3893
                                                                    D
    Prescribed fees have been got deposited from the
    aforesaid candidates. They can be given admission
    against the vacant seats."

    10. Having granted admission to these two appellants, the       E
Dean of the Jagdalpur College informed the Director, Medical
Education as follows:-

    "With reference to the above, it is submitted that according
    to the directions given by you in the letter under reference
    the following two candidates, present on 30.9.2006, have        F
    been given admission in the 2 seats remained vacant in
    this college.

     1.    Ku. Priya Gupta     Merit No. UR 1614
                                                                    G
     2.    Ku. Akanksha AdileMerit No. SC 396/3893

    It is further submitted that the admission procedure for all
    the 50 seats of this college has been completed."

    11 . As is evident from the above letters, all the events had   H
    800      SUPREME COURT REPORTS                 [2012] 5 S.C.R.


A   taken place on 30th September, 2006 itself. Appellant No.2,
    Akansha Adile is stated to be daughter of the Director, Medical
    Education Government of Chhattisgarh, one Dr. S.L. Adile, who
    is supposed to be the highest authority in the State directly
    responsible for admission to the medical colleges, including
B   Jagdalpur College. The appellants were given admission and
    they joined the course of MBBS.

          12. The State of Chhattisgarh, vide notification No. F-16-
    1/2001/75/55 dated 8th March, 2006 had framed the Rules.
    Under Sub-Rule (1) of Rule 4 of these Rules it had been
C   specifically prescribed that in all Government Medical and
    Dental Colleges, there will be a reseNation of 15 per cent of
    seats under All India quota and these seats will be filled on the
    basis of All India Entrance Examination. Further, under sub-rule
    (2), it was specified that in the said colleges, there shall be a
D   prescribed quota of 3 per cent reseNed for admissions from
    the Central Pool, which would be filled from the names
    nominated by the concerned/authorised officer.

         13. It emerges from the record that a Right to Information
E   application was filed before the Directorate General of Medical
    SeNices, Medical Examination Cell, New Delhi by one Dr. Anil
    Khakhariya. The Assistant Director General, ME, Government
    of India, had forwarded the complaint to the State Government
    and the Jagdalpur College, and vide letter dated 13th
    September, 2009 informed Dr. Anil Khakhariya that an inquiry
F
    committee consisting of three members had been constituted
    by the Director, Medical Education, State of Chhattisgarh to
    examine whether the admission of the two candidates, namely
    Akansha Adile and Priya Gupta, was valid or not. The
G   Committee submitted its Report with the following findings:-

          "A. No Admission was granted to any students in All India
          quota on the basis of letter of Director General of Health
          SeNices (ME), Ministry of Health & Family Welfare, Govt.
          Of India no. U-11011/1/2006-ME dated 08/08/2006.
H
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 801
           [SWATANTER KUMAR, J.]
     B. Two students namely Miss. Akansha Adile & Miss Priya         A
     Gupta got admission in Medical College Jagdalpur in 2006
     by the state PMT merit on the last date of the admission
     i.e. 30/09/2006."

     14. The above inquiry report was submitted by the Dean
                                                                     B
of Jagdalpur College to the Directorate. However, on 22nd July,
2010, the Secretary, Department of Health and Family Welfare,
Government of Chhattisgarh was informed by the Assistant
Director General (Medical Education), Government of India that
the admission of Akanksha and Priya had been on the basis            C
of fake letters purported to be issued from the Directorate
General of Health Services (DGHS) and that their admissions
may be cancelled with immediate effect and action taken report
be submitted to the DGHS. In furtherance to this letter, the
Deputy Secretary, Medical and Family Welfare Department,
Government of Chhattisgarh, issued an order dated 10th               D
September, 2010 stating that the admission of these two
appellants was not in accordance with the provisions of the
Rules and other guidelines/provisions with regard to allotment
of seats under the All India Quota and the admission was
cancelled with immediate effect. As already noticed, this letter     E
of cancellation of admission was challenged by the appellants
before the High Court.

      15. The Assistant Director General, (Medical Education),
New Delhi, has filed an affidavit taking up the stand that the       F
Central Board for Secondary Education, New Delhi had been
entrusted with the responsibility to conduct All India Pre-Medical
and Pre-Dental Examinations, but allotment of seats would be
undertaken by the DGHS. The candidates equal to the number
of seats available for allotment, together with the wait-listed      G
candidates are called for counseling. The allotment of seats is
made on merit and only two rounds of counseling are permitted.
In the counseling, the candidates have to appear in person. In
Chhattisgarh, the allotment of All India Quota seats in the Pt.
JLN Medical College, Raipur was made vide letter dated 8th
                                                                     H
    802     SUPREME COURT REPORTS                   [2012] 5 S.C.R.


A August, 2006 on the basis of vacancy position furnished by that
  college. The allotment of Akansha Adile and Priya Gupta' in the
  Jagdalpur College, was also allegedly made by the same letter
  under 15 per cent All India Quota of 2006. However, the DGHS
  denies making any allotment of seats to the appellants by such
8 letter.

           16. Therefore, according to the Union of India, it was a
    case of fake admission to the Jagdalpur College, taken up in
    furtherance to a purported letter issued by the answering
    respondents, which was now found fake. Vide letter dated 19th
C   April, 2010, the Secretary, Department of Health and Family
    Welfare, State of Chhattisgarh had been requested to
    personally look into whether the allegations made by Dr. Anil
    Khakharia under the Right to Information Act, as mentioned
    above, were correct. Letters dated 6th August, 2010 and 24th
D   August 2010 were also exchanged between the parties. In
    response to the letter of the DGHS dated 6th August, 2010, the
    Secretary, Department of Health and Family Welfare, Raipur,
    Chhattisgarh, vide letter dated 24th September, 2010,
    communicated the information that admissions given to
E   Akansha Adile and Priya Gutpa in the MBBS course for the
    academic year 2006-07 were against the norms and the Rules
    and the admission was cancelled immediately by the
    Department vide order dated 10th September, 2010. Further,
    it is the clear stand of the Union of India that the order dated
F   10th September, 2010 was passed in accordance with law and
    the judgment of the High Court dismissing the writ petition does
    not call for any interference.

      17. The petitioners have impugned the judgment of the
G High Court on the following grounds:

          (1)   The order dated 10th September, 2010 has been
                passed in violation of the principles of natural
                justice. Neither hearing nor copy of the inquiry report
                was given to them prior to cancellation of
H               admission.
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 803
           [SWATANTER KUMAR, J.]
    (2)   The report submitted by the Inquiry Committee had        A
          specifically recorded a finding that the admission
          of both the appellants was not granted in
          furtherance to the letter of the DGHS dated 8th
          August, 2006 and that they had received admission
          in the Jagdalpur College through the State PMT on        B
          the basis of merit on the last date of admission, i.e.
          30th September, 2006 and only upon
          recommendation of a duly constituted counseling
          Committee. In face of these positive findings, the
          order of cancellation of admission suffers from lega!    c
          infirmity and as such, the judgment of the High Court
          sustaining this order is in error of law.

    (3)   The Jagdalpur College was granted permission to
          admit students by the Central Government vide its
          letter dated 15th July, 2006 and by the Government       D
          of the State of Chhattisgarh only on 14th August,
          2006. Two seats had not been offered for
          admission in the counseling held on 22nd -23rd
          August, 2006 and 48 seats were offered for
          admission. The two remaining seats reverted from         E
          the Central Pool quota to the State Government only
          on 30th September, 2006 which were then given to
          the appellants in accordance with the Rules.
          Therefore, no fault is attributable to the appellants.
                                                                   F
    (4)   The petitioners have already pursued the MBBS
          course for a considerable period and, in fact, have
          completed a major part of the course, having
          written their final examination and thus, to cancel
          their admission at this stage would be unjust and        G
          unfair. It will be inequitable to the petitioners to
          cancel their admission at this stage and would
          cause them irreparable loss and damage, besides
          wasting the seats and public money.
                                                                   H
    804         SUPREME COURT REPORTS               [2012] 5 S.C.R.


A         (5)    The High Court judgment is also challenged on the
                 ground that no candidate entitled to admission has
                 been denied admission and also that no candidate
                 has complained about or objected to the admission
                 of the appellants.
B
          18. It deserves to be noticed that the stands taken by the
    Union of India and the State of Chhattisgarh in the present
    petitions are not exactly the same. According to the DGHS,
    Respondent No.2 herein, the letter dated 8th August, 2006 is
    fake and no seats had been allotted to the Jagdalpur College.
C   Seats were allotted only to Pt. JLN Medical College, Raipur.
    The letter dated 8th August, 2006 is alleged to have been sent
    by the Assistant Director General (ME), Ministry of Health and
    Welfare, Nirman Bhawan, New Delhi. Having found the letter
    to be fake, the DGHS directed cancellation of the admission
D   granted to both the appellants. According to the State of
    Chhattisgarh, the State had to distribute only 41 seats of the
    Jagdalpur College as 15 per cent were reserved for All India
    quota and three per cent for Central Pool quota. It is their stand
    that Dr. S.L. Adile, Respondent No.3 is the father of Akanksha
E   Adile and is the highest officer in the State for controlling pre-
    medical education and post graduate admission. Seats
    reserved, if any, would have reverted back on 23rd August,
    2006 to Respondent No.3 and no action was taken to fill up
    these seats at that time. Suspiciously, the seats were filled only
F   on 30th September, 2006, by giving the seats to the appellants.
    They support the case of the Union of India that the letter dated
    8th August, 2006 is fake and claim that the two seats were
    deliberately not offered for the second round of counseling,
    which was held on 22nd-23rd August, 2006. All other
G   candidates had been absent on 30th September, 2006 as they
    had not been contacted. The entire admission process of the
    appellants was vitiated by fraud.

         19. The admission to MBBS and BOS courses, whether
    at State level or All India level has ever been a matter of
H
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 805
           [SWATANTER KUMAR, J.]
concern for the courts. Large number of writ petitions are filed   A
challenging the admission process or admission of some
particular candidates on varied grounds, like admission being
contrary to Rules, the principle of merit being disturbed,
admissions being arbitrary, etc. and there is still flagrant
violation of the dicta of this Court, as issued in various         B
judgments, as well as of the Rules and Regulations wherever
framed by the State or Central Government or Medical or
Dental Council of India. The present case is one example of
violation of procedure and admissions being arbitrary .. Before
we examine the intricacies of procedural irregularities in the     c
present case and the arbitrary admission of the appellants, we
must examine the background in which admissions of the
present kind are normally auestioned before the courts of
competent jurisdiction.

      20. Admission to professional colleges are governed by       D
the judgment of this Court in the case of TMA Pai Foundation
 & Ors. v. State of Kamataka & Ors. [(2002) 8 SCC 481]. The
framework of admissions to colleges was discussed in some
detail by this Court. However, even in the case of Dr. Pradeep
Jain & Ors. v. Union of India & Ors. [(1984) 3 SCC 654], the       E
concept of an All India quota came to be introduced while
determining the validity of a domicile requirement in such
admissions. Earlier, 30 per cent of seats in the under-graduate
courses were reserved for this purpose, which came to be
modified to 15 per cent seats for All India quota in the case of   F
Dr. Dinesh Kumar & Ors. v. Moti Lal Nehru College,
Allahabad & Ors. [(1985) 3 SCC 22]. In the case of Dr. Dinesh
Kumar & Ors. v. Moti Lal Nehru College, Allahabad & Ors.
[(1987) 4 SCC 459], this Court also passed directions in
relation to the manner of notification/announcement of details,    G
results and counseling for admission, in that case, for post
graduate admissions, which were to be published in two
successive issues of newspapers, including one national paper
in English and at least two local papers in the language of the
State. Declaration of results would be made four weeks after       H
    806     SUPREME COURT REPORTS                  (2012] 5 S.C.R.


A the examination and academic courses were to mandatorily
   begin on the 2nd of May every year. Again, in the case of Dr.
   Dinesh Kumar & Ors. v. Moti Lal Nehru College, Allahabad
   & Ors. [(1990) 4 sec 627], as some of the States were not
   adhering to the prescribed schedule, this Court took punitive
B action against the State of Uttar Pradesh and even
  contemplated action under the Contempt of Courts Act, 1971.
   Right from Dr. Pradeep Jain's case (supra), this Court has
   always directed that merit alone must be the criteria for
  admissi9n to MBBS courses. To make such admissions more
C subject-specific, transparent and systematic, certain further
  directions were issued by this Court in Shrawan Kumar & etc.
  etc. v. Director General of Health Services & Anr. & etc.
   [(1993) 3 SCC 332]. This Court clarified that candidates who
  have been allotted a seat in the second round of counseling
  will have to join the college within 15 days from the date of their
0
  personal appearance and the whole allotment and admission
  process to 15 per cent seats of All India quota will be over
  before the 30tb September of each year, the remaining seats
  having been surrendered back to the college/State. Various
  judgments of this Court have sought to carry forward, with
E greater clarity, the fundamental requirement as stated in TMA
  Pai (supra) that the admission process should be fair,
  transparent and non-exploitative. Every subsequent judgment
  of this Court has attempted to elucidate one or other aspect of
  this principle. Having noticed that there have been irregularities
F in maintaining the prescribed schedule and that the last few
  days of the declared schedule are primarily being utilized in an
  exploitative manner, on account of charging higher fees for
  securing admission and thereby defeating the principle of
  admission on merit, a three Judge Bench of this Court in the
G case of Mridul Dhar (Minor) & Anr. v. Union of India & Ors.
  [(2005) 2 SCC 65] applied the schedule notified by the Medical
  Council of India (MCI) in Appendix 'E' of the Graduate Medical
  Education (Amendment) Regulations, 2004 and directed its
  strict adherence. The said Schedule reads as under :
H
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 807
           [SWATANTER KUMAR, J.]
                           "APPENDtX. E                            A
         TIME SCHEDULE FOR COMPLETION OF THE
                ADMISSION PROCESS
                FOR FIRST MBBS COURSE

Schedule for         Seats filled up by Seats filled up by B
admission            the        Central the          State
                     Government         Governments/
                     through All-India institutions
                     Entrance
                     Examination                           C
Conduct of            Month of May            Month of May
entrance
examination
Declaration of        By 5th June             By 15th June
result of qualifying                                               D
exam/ entrance
exam
First round of To be over by 30th             To be over by 25th
counseling/           June                    July
admission                                                          E
 Last date for Within 15daysfrom              31st July
joining the allotted the date of allotment
college and course of seats
Second round of To be over by 8th             Up to 28th August
counseling        for August                                       F
allotment of seats
from waiting list
Last date for Within 15 days from             31st August
joining for           the date of allotment
candidates allotted of seat (seats                                 G
seats in second vacant after 22nd
 round of counseling August will be
from the waiting list surrendered back
                      to the States/
                      colleges)                                    H
    808      SUPREME COURT REPORTS                  [2012] 5 S.C.R.

A Commencement of                                  1st of August
  academic session
  Last date up to                                  30th September"
  which students can
  be       admitted
B against vacancies
  arising due to any
  reason
           21. The Court noticed that the holding of 10+2 examination
     and declaration of results is also of importance for the entire
C    admission process and, therefore, directed strict adherence to
     the Schedule in all respects and by all concerned. The date of
     30th September was stated not to be the date of normal
     admission but is to give opportunity to grant admission against
    stray vacancies. The Court clarified that adherence to the time
D   schedule by everyone was a paramount concern. In that case,
    the Court issued a specific direction to all the State
    functionaries, particularly the Chief Secretaries and heads of
    the concerned Ministries/Departments participating in the
    States/Union Territories, adopting the time schedule and
E   holding the State examination, to ensure declaration of results
    on or before 15th June, 2005. They were also required to
    ensure the appropriate utilization of All India quota, to fullest
    extent, by timely reporting to the DGHS by the Deans of various
    colleges or any other State authority, informing the DGHS of
F   the acceptance or rejection of seats by the students after the
    first counseling of All India/State Quota.

       22. Further, this Court even took pains to declare the need
  for adherence to the schedule for receipt of applications for
  establishment of new medical colleges or seats and the
G process of the review and recommendation by the Central
  Government and the Medical Council of India. In para 28 of the
  judgment, the Schedule under the 1999 Regulations are
  referred to, that reads as under :

H
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 809
           [SWATANTER KUMAR, J.]
     "SCHEDULE FOR RECEIPT OF APPLICATIONS FOR                     A
       ESTABLISHMENT OF NEW MEDICAL COLLEGES
     AND PROCESSING OF THE APPLICATIONS BY THE
        CENTRAL GOVERNMENT AND THE MEDICAL
                  COUNCIL OF INDIA
                                                                   B
     Stage of processing                 Last date
1.   Receipt of applications             From 1st August to 31st
     by the Central Government           August (both days
                                         inclusive) of any year
2.   Receipt of applications by          30th September            c
     MCI from the Central
     Government
3.   Recommendations of the              31st December
     Medical Council of India to
     the Central Government for                                    D
     issue of letter of intent
4.   Issue of letter of intent by the    31st January
     Central Government
5.   Receipt of reply from the           28th February
     applicant by the Central                                      E
     Government requesting for
     letter
     of permission
6.   Receipt of letter from the          15th March
     Central Government by the                                     F
     Medical Council of India for
     consideration for issue of letter
     of permission
7.   Recommendations of the              15th June
     Medical Council of India to the
                                                                   G
     Central Government for issue
     of letter of permission
8.   Issue of letter of permission by    15th July
     the Central Government
     Note: (1) The information given by the applicant in Part I    H
    810     SUPREME COURT REPORTS                  [2012) 5 S.C.R.


A of the application for setting up a medical college that is
  information regarding organisation, basic infrastructural
  facilities, managerial and financial capabilities of the applicant
  shall be scrutinised by the Medical Council of India through an
  mspection and thereafter the Council may recommend issue
B of letter of intent by the Central Government.

         (2) Renewal of permission shall not be granted to a
    111edical college if the above schedule for opening a medical
    college is not adhered to and admissions shall not be made
    without prior approval of the Central Government."
c
        23. Lastly, in the case of Priyadarshini Dental College &
  Hospital v. Union of India & Ors. [(2011) 4 SCC 623), this Cdurt
  cautioned all concerned that the schedule specified in Mridul
  Dhar (supra) should be maintained and regulations should be
D strictly followed. The Court suggested that the process of
  inspection of colleges, grant of permission or renewal of
  permission should also be done well in advance to allow time
  for setting right the deficiencies pointed out.

        24. In the case of State of Bihar & Ors. v. Dr. Sanjay
E Kumar Sinha & Ors. [(1990) 4 SCC 624], a Bench of this Court
  took exception to the non-adherence to the time schedules and
  reiterated that the admissions to medical colleges and post-
  graduate courses were governed by the orders of this Court
  and the regulations issued by the Medical Council of India,
F which must be strictly followed. This Court issued a warning,
  that if there was any violation in future, the same shall be
  treated as default and viewed very seriously. Further, in the
  case of Medical Council of India v. Madhu Singh & Ors.
  [(2002) 7 SCC 258], this Court declared two very important
G principles. Firstly, it declared that mid-stream admissions
  should not be permitted and secondly, noticing the practice of
  compassion in review of such admissions, this Court also held
  that late or mid-stream admission, even just four months 'after
  beginning of the classes, cannot be permitted.
H
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 811
           [SWATANTER KUMAR, J.]
     25. A consistent and clear view held by this Court is that     A
the regulations framed by the MCI are binding and these
standards cannot be deviated from. Reference can be made
to State of M.P. & Ors. v. Gopal D. Tirlhani & Ors. [(2003) 7
SCC 83 - paras 24 and 26]; Bharati Vidyapeeth (Deemed
University) & Ors. v. State of Maharashtra & Anr. [(2004) 11        B
SCC 755 - para 20]; Chowdhury Navin Hemabhai & Ors. v.
State of Gujarat & Ors. [(2011) 3 SCC 617 - paras 7, 11, 12,
14 and 18] and Harish Verma & Ors. v. Ajay Srivastava & Ors.
[(2003) 8 sec 69 - paras 14 to 21].

      26. What is of greater significance is that this Court has
                                                                    c
not so far considered or stated as a principle, what
consequences should follow where the Central Government, or
the State Government or Medical Council of India or the College
itself, with impunity, violate the time schedule, regulations and
order of merit to give admission to students in an arbitrary and    D
nepotistic manner. Also, we must consider what preventive
steps can be taken to avoid such repetitive and intentional
defaults, as well as undue exploitation of the class of students.
Admissions based on favouritism necessarily breach the rule
of merit on the one hand, while on the other, they create           E
frustration in the minds of the students who have attained higher
rank in the competitive entrance examinations, but have not
been admitted. We propose to specifically address this
concern in this judgment. From the above discussion and
reference to various judgments of this Court, it is clear that      F
adherence to the principle of merit, compliance with the
prescribed schedule, refraining from mid-stream admissions
and adoption of an admission process that is transparent, non-
exploitative and fair are mandatory requirements of the entire
scheme.                                                             G

     27. Now, let us examine the adverse consequences of non-
adherence to the prescribed schedules. The schedules
prescribed have the force of law, in as much as they form part
of the judgments of this Court, which are the declared law of       H
    812         SUPREME COURT REPORTS                [2012] 5 S.C.R.


A the land in terms of Article 141 of the Constitution of India and
  form part of the regulations of the Medical Council of India,
  which also have the force of law and are binding on all
  concerned. It is difficult to comprehend that any authority can
  have the discretion to alter these schedules to suit a given
B situation, whether such authority is the Medical Council of India,
  the Government of India, State Government, University or the
  selection bodies constituted at the college level for allotment
  of seats by way of counseling. We have no hesitation in clearly
  declaring that none of these authorities are vested with the
c power of relaxing, varying or disturbing the time schedule, or
  the procedures of admission, as provided in the judgments of
  this Court and the Medical Council of India Regulations. Inter
  alia, the disadvantages are:-

          (1)     Delay and unauthorized extension of schedules
D                defeat the principle of admission on merit,
                 especially in relation to preferential choice of
                 colleges and courses. Magnanimity in this respect,
                 by condoning delayed admission, need not be
                 shown by the Courts as it would clearly be at the
E                cost of more meritorious students. The principle of
                 merit cannot be so blatantly compromised. This was
                 also affirmed by this Court in the case of Muskan
                 Dogra & Ors. v. State of Punjab & Ors. [(2005) 9
                 sec 1as1.
F
          (2)    Mid-stream admissions are being permitted under
                 the garb of extended counseling or by extension of
                 periods for admission which, again, is
                 impermissible.
G         (3)    The delay in adherence to the schedule, delay in the
                 commencement of courses etc., encourage
                 lowering of the standards of education in the
                 Medical/Dental Colleges by shortening the duration
                 of the academic courses and promoting the
H                chances of arbitrary and less meritorious
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 813
           [SWATANTER KUMAR, J.]
           admissions.                                               A

     (4). 1 Inequities are created which are prejudicial to the
            interests of the students and the colleges and more
           importantly, affect the maintenance of prescribed
           standard of education. These inequities arise
                                                                     B
           because the candidates secure admission, with or
           without active connivance, by the manipulation and
           arbitrary handling of the prescribed schedules, at
           the cost of more meritorious candidates. When
           admissions are challenged, these students would
           run the risk of losing their seats though they may
                                                                     c
            have completed their course while litigation was
            pending in the court of competent jurisdiction.

     (5)   The highly competitive standards for admission to
           such colleges stand frustrated because of non-            D
           adherence to the prescribed time schedules. The
           admissions are stretched to the last date and then
           admissions are arbitrarily given by adopting
           impermissible practices.
                                                                     E
     (6)   Timely non-inclusion of the recognised/approved
           colleges and seats deprives the students of their
           right of fair choice of college/course, on the strength
           of their merit.

     (7)   Preference should be to fill up all vacant seats, but     F
           under the garb that seats should not go waste, it
           would be impermissible to give admissions in an
           arbitrary manner and without recourse to the
           prescribed rule of merit.
                                                                     G
      28. The Medical and Dental Councils of India, the
Governments and the Universities are expected to act in
tandem with each other and ensure that the recognition for
starting of the medical courses and grant of admission are
strictly within the time frame declared by this Court and the        H
     814     SUPREME COURT REPORTS                   [2012] 5 S.C.R.


A    regulations. It has come to the notice of this Court that despite
     warnings having been issued by this Court and despite the
     observations made by this Court, that default and non-
     adherence to the time schedules shall be viewed very seriously,
     matters have not improved. Persistent defaults by different
8 authorities and colleges and granting of admission arbitrarily
     and with favouritism have often invited criticism from this Court.
     In the case of Arvind Kumar Kankane v. State of U.P. & Ors.
     (2001) 8 SCC 355], the Court observed that the process of
     counseling cannot go on continuously for a long period and the
c    resultant chain reaction should be checked. Some seats may
    have to be left vacant per compulsion, but, the process of
    admission should stand the test of rationality. There should be
    exceptional and fortuitous circumstances to justify late
    admission. In the case of Chhavi Mehrotra (Miss) v. DGHS
    [(1994) 2 sec 370], the Court was even compelled to issue
0
  . notice of contempt to the Director General of Health Services
    as to why proceedings under the Contempt of Courts Act, 1971
    be not taken for non-compliance with the scheme framed by
    the Court for consideration of applications for transfer of
    students between colleges and they be not punished
E accordingly. The consistent effort of this Court to direct
    corrective measures and adherence to law is not only being
    thwarted by motivated action on the part of the concerned
    authorities, but there has also been a manifold increase in
    arbitrary admissions. Repeated defaults have resulted in
F generating more and more litigation with the passage of time.
   This Court, thus, now views this matter with greater emphasis
   on directions that should be made to curb incidents of
   disobedience.

G        29. The maxim Boni judicis est causas litium dirimere
    places an obligation upon the Court to ensure that it resolves
    the causes of litigation in the country.

      30. Thus, the need of the hour is that binding dicta be
  prescribed and statutory regulations be enforced, so that all
H concerned are mandatorily required to implement the time
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 815
           [SWATANTER KUMAR, J.]
schedule in its true spirit and substance. It is difficult and not     A
even advisable to keep some windows open to meet a
particular situation of exception, as it may pose impediments
to the smooth implementation of laws and defeat the very object
of the scheme. These schedules have been prescribed upon
serious consideration by all concerned. They are to be applied         B
stricto sensu and cannot be moulded to suit the convenience
of some economic or other interest of any institution, especially,
in a manner that is bound to result in compromise of the above-
stated principles. Keeping in view the contemptuous conduct
of the relevant stakeholders, their cannonade on the rule of           c
merit compels us to state, with precision and esemplastically,
the action that is necessary to ameliorate the process of
selection. Thus, we issue the following directions in rem for their
strict compliance, without demur and default, by all concerned,.

      (i)     The commencement of new courses or increases             D
              in seats of existing courses of MBBS/BDS are to
              be approved/recognised by the Government of
              India by 15th July of each calendar year for the
              relevant academic sessions of that year.
                                                                       E
      (ii)    The Medical Council of India shall, immediately
              thereafter, issue appropriate directions and ensure
              the implementation and commencement of
              admission process within one week thereafter.
                                                                       F
      (iii)   After 15th July of each year, neither the Union of
              India nor the Medical or Dental Council of India shall
              issue any recognition or approval for the current
              academic year. If any such approval is granted after
              15th July of any year, it shall only be operative for
              the next academic year and not in the current            G
              academic year. Once the sanction/approval is
              granted on or before 15th July of the relevant year,
              the name of that college and all seats shall be
              included in both the first and the second counseling,
              in accordance with the Rules.                            H
    816         SUPREME COURT REPORTS                 [2012] 5 S.C.R.


A         (iv)   Any medical or dental college, or seats thereof, to
                 which the recognition/approval is issued
                 subsequent to 15th July of the respective year shall
                 not be included in the counseling to be conducted
                 by the concerned authority and that college would
B                have no right to make admissions in the current
                 academic year against such seats.

          (v)      The admission to the medical or dental colleges
                  shall be granted only through the respective
                  entrance tests conducted by the competitive
c                 authority in the State or the body of the private
                  colleges. These two are the methods of selection
                  and grant of admission to these courses. However,
                  where there is a single Board conducting the state
                  examination and there is a single medical college,
D                 then in terms of clause 5.1 of the Medical Council
                  of India Eligibility Certificate Regulations, 2002 the
                  admission can be given on the basis of 10+2 exam
                  marks, strictly in order of merit.

E         (vi)    All admissions through any of the stated selection
                 processes have to be effected only after· due
                 publicity and in consonance with the directions
                 issued by this Court. We vehemently deprecate the
                 practice of giving admissions on 3oth September
F                of the academic year. In fact, that is the date by
                 which, in exceptional circumstances, a candidate
                 duly selected as per the prescribed selection
                 process is to join the academic course of MBBS/
                 BOS. Under the directions of this Court, second
G                counseling should be the final counseling, as this
                 Court has already held in the case of Ms. Nee/u
                 Arora &Anr. v. UO/ & Ors. [(2003) 3 SCC 366] and
                 third counseling is not contemplated or permitted
                 under the entire process of selection/grant of
                 admission to these professional courses.
H
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 817
           [SWATANTER KUMAR, J.]
    (vii)    If any seats remain vacant or are surrendered from      A
             All India Quota, they should positively be allotted
             and admission granted strictly as per the merit by
             15th September of the relevant year and not by
             holding an extended counseling. The remaining
             time will be limited to the filling up of the vacant    B
             seats resulting from exceptional circumstances or
             surrender of seats. All candidates should join the
             academic courses by 30th September of the
             academic year.

    (viii)    No college may grant admissions without duly
                                                                     c
             advertising the vacancies available and by
             publicizing the same through the internet,
             newspaper, on the notice board of the respective
             feeder schools and colleges, etc. Every effort has
             to be made by all concerned to ensure that the          D
             admissions are given on merit and after due
             publicity and not in a manner which is ex-facie
             arbitrary and casts the shadow of favouritism.

    (ix)     The admissions to all government colleges have to       E
             be on merit obtained in the entrance examination
             conducted by the nominated authority, while in the
             case of private colleges, the colleges should
             choose their option by 30th April of the relevant
             year, as to whether they wish to grant admission on     F
             the basis of the merit obtained in the test conducted
             by the nominated State authority or they wish to
             follow the merit list/rank obtained by the candidates
             in the competitive examination collectively held by
             the nominated agency for the private colleges. The
                                                                     G
             option exercised by 30th April shall not be subject
             to change. This choice should also be given by the
             colleges which are anticipating grant of recognition,
             in compliance with the date specified in these
             directions.
                                                                     H
    818         SUPREME COURT REPORTS                [2012] 5 S.C.R.

A      31. All these directions shall be complied with by all
  concerned, including Union of India, Medical Council of India,
  Dental Council of India, State Governments, Universities and
  medical and dental colleges and the management of the
  respective universities or dental and medical colleges. Any
B default in compliance with these conditions or attempt to
  overreach these directions shall, without fail, invite the following
  consequences and penal actions:-

          (a)    Every body, officer or authority who disobeys or
                 avoids or fails to strictly comply with these
c                directions stricto sensu shall be liable for action
                 under the provisions of the Contempt of Courts Act.
                 Liberty is granted to any interested party to take out
                 the contempt proceedings before the High Court
                 having jurisdiction over such Institution/State, etc.
D
          (b)    The person, member or authority found responsible
                 for any violation shall be departmentally proceeded
                 against and punished in accordance with the Rules.
                 We make it clear that violation of these directions
E                or overreaching them by any process shall
                 tantamount to indiscipline, insubordination,
                 misconduct and being unworthy of becoming a
                 public servant.

          (c)    Such defaulting authority, member or body shall
F                also be liable for action by and personal liability to
                 third parties who might have suffered losses as a
                 result of such default.

          (d)    There shall be due channelization of selection and
G                admission process with full cooperation and
                 coordination between the Government of India,
                 State Government, Universities, Medical Council of
                 India or Dental Council of India and the colleges
                 concerned. They shall act in tandem and strictly as
H                per the prescribed schedule. In other words, there
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 819
           [SWATANTER KUMAR, J.)
            should be complete harmonisation with a view to           A
            form a uniform pattern for concerted action,
            according to the framed scheme, schedule for
            admission and regulations framed in this behalf.

      (e)   The college which grants admission for the current        B
            academic year, where its recognition/approval is
            granted subsequent to 15th July of the current
            academic year, shall be liable for withdrawal of
            recognition/approval on this ground, in addition to
            being liable to indemnify such students who are
            denied admission or who are wrongfully given
                                                                      c
            admission in the college.

      (f)   Upon the expiry of one week after holding of the
            second counseling, the unfilled seats from all
            quotas shall be deemed to have been surrendered           D
            in favour of the respective States and shall be filled
            thereafter strictly on the basis of merit obtained in
            the competitive entrance test.

      (g)   It shall be mandatory on the part of each college and
                                                                      E
            University to inform the State and the Central
            Government/competent authority of the seats which
            are lying vacant after each counseling and they shall
            furnish the complete details, list of seats filled and
            vacant in the respective states, immediately after
                                                                      F
            each counseling.

      (h)   No college shall fill up its seats in any other manner.

     32. Having dealt with, in general, the directions that this
Court would issue to prevent the evils of arbitrariness and           G
discrimination from creeping into these selection/admission
processes, which are required to be transparent, fair and non-
exploitatory, we shall now proceed to deal with the facts of the
present case.
                                                                      H
    820     SUPREME COURT REPORTS                  [2012] 5 S.C.R.


A       33. The present case is a glaring example of calculated
  tampering with the schedule specified under the regulations and
  the judgments of this Court, with a clear intent to grant admission
  to less meritorious candidates over and above the candidates
  of higher merit. To put it simply, it is a case of favouritism and
B arbitrariness. This also chronicles how, either way, the careers
  of the students are jeopardised. The High Court had cancelled
  the admission of the appellants by a detailed and well-reasoned
  judgment. However, as a result of interim orders granted by the
  Court, both the appellants had already completed four years of
c the studies at the time of the High Court decision. They are·
  stated to have completed their final exam now. Despite having
  lost their case before the High Court, the appellants continued
  to pursue their professional courses because of the interim
  orders of the Court. Now, the plea of inequities is being raised.

D       34. From the facts narrated above, it is clear that the
  admission relates to the academic year 2006. The Central
  Government vide its letter dated 15th July, 2006 had granted
  approval and leave to admit the students to the Jagdalpur
  College. Thereafter, permission to commence admission was
E granted by the Governor of the State of Chhattisgarh on 14th
  August, 2006. The name of Jagdalpur College was not in the
  brochure published for admission. The first counseling was, in
  fact, conducted by 25th - 26th July, 2006 in which the College
  did not participate and the second counseling was done on
F 22nd-23rd August, 2006.

       35. In paragraph 2 of State Government's approval letter,
  it was clearly stated that the capacity of the Jagdalpur College
  would be 50 seats and the candidates qualified in the PMT
G 2006 would be given admission on the basis of merit. After
  issuance of this letter, the college was included in the second
  counseling and as already noticed, it had allocated 48 out of
  the 50 seats.

       36. On 8th August, 2006, a letter is stated to have been
H issued by the DGHS stating that 15 per cent of the total seats
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 821
           [SWATANTER KUMAR, J.]
reserved for All India Quota, 2006, if remaining vacant, on or       A
after 23rd August, 2006, may be treated as surrendered to the
State Quota. To this letter a statement of the same date was
annexed, which allegedly gave two seats from the All India
Quota to the present appellants. As per that statement, the
seats were allocated on 8th August, 2006. From the record            B
before us, it is clear that between 14th August, 2006 and 30th
September, 2006, no correspondence was exchanged between
the parties. This is despite the fact that the Government of India
had required the college and the State Au"thorities to inform
them of the details of the admissions given to the students as       c
well as the details of the Quota seats, if the seats were vacant.
All India Quota seats, which had not been filled till 22nd August,
2006 would be surrendered in favour of the State. Strangely,
nothing has been placed on record to show that any of the
concerned State authorities, including the college, adhered to       D
the requirement of informing the DGHS or other authorities with
regard to the status of admissions. On 30th September, 2006,
the Director, Medical Education, Chhattisgarh, wrote a letter to
the Dean of the College, requiring that the Jagdalpur College
provide the up-to-date list of the students admitted to it and if    E
there were any seats remaining vacant, guidance was to be
taken from the Directorate of the State Government.

      37. Another letter written by the Director, Medical
Education, to the Dean of the Jagdalpur College and referring
to their letter of the same date, which stated that two seats were   F
vacant, in turn, ordered that those seats be filled up and the
candidates be contacted over telephone. If contact could not
be established with any candidate, then the Jagdalpur College
was directed to fill up the seats with the candidates physically
present and available at the Jagdalpur College, according to         G
merit. The Dean of the Jagdalpur College, on that very day,
constituted a Committee of Asst. Vice-Principals and
Demonstrator of the Jagdalpur College to examine the
certificates etc. of the available candidates and recommend the
names on the basis of merit. Again, on that very day, the            H
    822      SUPREME COURT REPORTS                  [2012) 5 S.C.R.


A    Committee recommended the names of the two appellants,
     declaring them to be eligible for getting admissions. More
     strangely, the Committee also notes that the fees from the
     candidates had been deposited and they could be given
     admission. Then, vide another letter dated 30th September,
B   2006, the Dean of the College informed the Director, Medical
     Education that the two appellants have been given admission
     and the admission process for 50 seats had been completed.
    We must notice that there is nothing placed on the records of
    the Court as to what steps were taken by the Jagdalpur College
C   to inform all the other candidates of counseling on the last date.
    Also strange was the direction of the Directorate that the
    candidates should be informed on telephone. Even if this
    direction was of some content and meaning, there is still no ·
     material to show how many candidates were actually informed
D   on the telephone that there would be counseling for two seats.
    Thus, the questions remain open, as to the reason for total
    abandonment of the procedure of informing all eligible
    candidates, by appropriate means, that two seats were
    available for admissions, who all had actually appeared for the
    counseling, how only two candidates who even according to the
E   State Government were not contacted on telephone, were alone
    present before the Committee and immediately found to be
    eligible for admission. This entire exercise smacks of
    arbitrariness, unfairness and is discriminatory ex facie. It is
    brought to our notice and is clear from the record that the
F   Respondent No.3, the Director of the Medical Education in
    Chhattisgarh, is the father of Akansha Adile, Appellant no.2 and
    that speaks volumes of how the admission had been granted
    to ·the two appellants.

G      38. The methodology adopted and the manner in which
  admissions were given to the present appellants leaves no
  doubt in the mind of the Court that this process was neither fair
  nor transparent. In fact, within a few hours, the entire process
  of admission was completed, indicating that the whole exercise
H was undertaken only with the object of granting admission to
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 823
           [SWATANTER KUMAR, J.]
the appellants, that too, as if no other candidates of merit were     A
available for these two seats. This view is entirely substantiated
by the records produced before us. The prescribed procedure
for grant of admission was given a go by and the rule of
admission on merit stood frustrated as a consequence of such
admission process. One fails to understand why no preventive          B
steps or efforts to fill the vacant seats were taken by any of the
competent authorities involved in the entire process of selection
and admission to MBBS courses. The students who had
undertaken the PMT examination had been allocated seats in
the college on 23rd August, 2006. Not even a single document          c
has been placed on record of this Court from 23rd August, 2006
to 29th September, 2006 showing efforts to fill up vacant seats.
Everybody waits for the last date which, in fact, is the date for
joining the courses and not admission, whereafter the entire
machinery in the Centre, State Government and the college
                                                                      0
acts so swiftly that within hours, the entire admission process
is concluded to grant the admission to the appellants. It is a
travesty of fairness and transparency that for 50 seats in the
Jagdalpur College, the Directorate as well as the Committee
constituted for counseling/selection could find only the              E
candidates at Merit Nos. 3893 and 1614 suitable, completely
ignoring all the candidates being higher in merit than these two
appellants, who must also be waiting for admission to the
MBBS course. Strangely, the merit ranks of these two
appellants, as given in the letter of the DGHS dated 8th August,
2006 were 2196 and 2203 respectively. From whatever angle             F
this case is examined, only one conclusion is possible and that
is, that the allocation of seats was totally arbitrary and contrary
to the procedure laid down. We also would like to make a clear
mention of the displeasure of this Court to the three members
of the Selection Committee who found only these two                   G
candidates eligible and fit to be granted admission to the MBBS
courses on the last day for admissions. To say the least, this
Committee acted in undue haste, in violation of the prescribed
procedure of admission and certainly contrary to the judgments
                                                                      H
    824       SUPREME COURT REPORTS                    [2012] 5 S.C.R.


A   of this Court. We direct the Dean of the Jagdalpur College to
    convey the displeasure of this Court to the members of the
    Selection Committee and the same be placed on their
    respective service records.

          39. Now, we may come to the inquiry that was conducted
8
     by a three member committee and which recorded the finding
    that we have already noticed in paragraph 13 of the judgment.
    This inquiry was initiated in furtherance to an application made
     under the Right to Information Act, regarding the letter dated
C   8th August, 2006 according to which the admission in the
    Jagdalpur College, particularly to these two appellants, was
     made in an arbitrary and unfair manner. The stand of the Union
     of India before this Court is that the letter dated 8th August, 2006
     was never issued by the DGHS and is a fabricated document.
     In face of that stand, we are unable to appreciate as to how
D   the Inquiry Committee returned a finding that the admission to
    the two appellants was not given in furtherance to the letter
    dated 8th August, 2006, but validly granted on 30th September,
    2006 instead. They were expected to examine this matter in
    greater depth and record proper findings. We also cannot
E    understand as to how the-y have recorded that both the
    appellants got admission in the Jagdalpur College by State
     PMT merit. Their report does not even mention if they had
    verified the fact that notices had been issued to all the
    concerned persons on 30th September, 2006 and if other
F   students had been contacted for intimation of counseling or if
    any effort was even made on 3oth September, 2006 or even
    prior thereto to put these two vacant seats on the internet or
    notice board of the colleges so as to enable the students of
    higher merit to seek admission to the MBBS course in the
G   Jagdalpur College. This aspect attains a greater significance
    in view of the fact that the seats were not allotted in the second
    counseling itself on 22nd - 23rd August, 2006. The Jagdalpur
    College, the Directorate of the State Government as well as the
    Union of India made no effort and did not act in coordination,
H   to allot these two seats to the candidates in accordance with
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 825
           [SWATANTER KUMAR, J.]

merit in the PMT. The finding recorded by the Committee              A
appears to be a mere eye-wash rather than a proper report
upon examining the entire matter in its proper perspective. It
was not only expected of the Committee to examine the
documents which were made available to it, as is recorded in
the report, but also to call for all such necessary documents        B
which were relevant and could have bearing on the reference
made to it. The Committee has not even cared to know why
everything was completed on 30th September, 2006 and how
nobody else except these two appellants were available for
admission from amongst candidates in the entire State.               c
      40. Another aspect of this inquiry is that, even as on 30th
September, 2006, nobody was clear as to which quota these
two vacant seats belonged to. According to the State of
Chhattisgarh, these two seats were part of the 15 per cent All
India quota which stood surrendered after 23rd August, 2006.         D
According to the appellants, they were Central Pool quota seats
which stood surrendered to the State on 30th September, 2006
only. According to the Union of India, they had not made any
allotment to the appellants or anyone in the Jagdalpur College
from the All India Quota, and even the code number given on          E
the 8th August, 2006 letter is wrong. If the Directorate, the
Union of India and the Jagdalpur College itself were not ad
idem as to which quota the seats belonged to and who was
the competent authority to allot the seats, none of them had any
business to allot these two seats in such an arbitrary manner.       F
Even now, there is no clarity as to how and under what quota
the Jagdalpur College has granted admission to these two
appellants. The inquiry report, in fact, does not help to resolve
the issue and cannot, thus, form the basis of returning any
finding in favour of or against any person. Ex facie, the findings   G
returned by the Inquiry Committee appear to be inconclusive,
uncertain and vague. Be that as it may, there is no escape from
returning the finding that admission of both the appellants was
made in a most improper and arbitrary manner. The whole
exercise was undertaken on 30th September, 2006 with only            H
    826      SUPREME COURT REPORTS                     [2012] 5 S.C.R.


A   one aim in mind, i.e., that these two appellants have to be given
    admission in the Jagdalpur College.

         41. The Government of India, taking the view that these
    were All India Quota seats which had been wrongly allocated
    to these two appellants in a manner contrary to the relevant
8
    Rules, vide its letter dated 22nd March, 2010, directed
    cancellation of the admissions of both the appellants. In
    furtherance to the letter issued by the Central Government, the
    State Government vide its letter dated 10th September, 2010,
    actually cancelled the admissions of both the appellants.
c
        42. This cancellation was challenged by the appellants
  before the High Court, which allowed continuation of study under
  interim orders, though finally it dismissed the writ petitions filed
  by these appellants. At that time, they had already completed
D more than four years of the MBBS course to which they were
  admitted. Today, they have already appeared for their final
  examination.

          43. We are also in agreement with the findings recorded
E   by the High Court that the Jagdalpur College ought to have
    declared these two seats as being available for admission
    when the counseling was held on 22nd - 23rd August, 2006 and
    that there was violation of the basic principles of equality of
    opportunity and of equal consideration for allotment of seats.
    Candidates of higher merit stand excluded. Another challenge
F   which has been raised on behalf of the appellants before us is
    that the order of cancellation dated 10th September, 2010 was
    passed without affording any opportunity of hearing to these two
    appellants and, therefore, the order is liable to be set aside,
    being violative of principles of natural justice. It is, in fact, not
G   in dispute before us that no specific notice had been given to
    the appellants before the impugned order was passed. We are
    of the considered view that it is not necessary for this Court to
    examine this submission in any greater detail because the
    appellants have now had two occasions to put forward their
H   claim before the Court. The High Court has considered various
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 827
           [SWATANTER KUMAR, J.]
aspects of the case and has given a complete hearing to the         A
appellants. We have also heard the appellants m great length
and have examined their challenge to the order dated 10th
September, 2010. No prejudice has been caused to them,
inasmuch as they have pursued their studies despite
cancellation of admission and have now been duly heard by the       B
High Court, as well as this Court. Hence, this ground of
challenge does not, in any case, survive, particularly in view of
the fact that we have also held that the admission to these
appellants was given in a completely arbitrary and unfair
manner.                                                             c
     44. The admission of the appellants was cancelled by the
State Government which, even under the Rules, is the final
competent authority for such purposes. In the present case, the
mischief played by the concerned persons came to the notice
of the Central Government which directed cancellation of the        D
seats and required the State Government to act in accordance
with law.

     45. The learned counsel appearing for the appellants, by
way of last resort, advanced an argument that even if the           E
admissions are found to be irregular by the Court, still, to
balance the equities, the Court can direct surrender or creation
of equal number of seats in the next academic year by the
Jagdalpur College. Further, it is also contended that since the
appellants have already completed substantial part of their         F
professional course, it will cause serious prejudice and
irreparable loss to them if their admissions are cancelled,
particularly when the students are not at fault and it is the
Jagdalpur College or the Directorate of the State Government
which were instrumental in allotting two seats to these students.   G
To further substantiate this plea, another argument advanced
is that in the Government Colleges, the admission fee is very
low and the Government spends a considerable sum in
imparting the medical education to the students of those
                                                                    H
    828      SUPREME COURT REPORTS                 [2012] 5 S.C.R.


A   colleges. Thus, even that expenditure of the State would be
    wasted if admissions were now cancelled.

       46. It was also argued with some emphasis that the
  appellants are not at fault. They had taken the entrance
  examination and were given seats by the concerned authorities.
8
  Even if the authorities have committed some irregularity, the
  appellants should not be made to suffer at the very end of their
  professional course. To substantiate this premise, they relied
  upon the judgments of this Court in the cases of A. Sudha v.
  University of Mysore & Anr. (1987) 4 SCC 537, Amandeep
C Jaswal v. State of Punjab (2006) 9 SCC 597, R. Vishwanatha
  Pillai v. State of Kera/a & Ors. (2004) 2 SCC 105 and
  Chowdhary Navin Hemabhai & Ors. v. The State of Gujarat
  &   ors.(2011) 3 sec 617.

D      47. We have perused the judgments of this Court relied
  upon by the petitioners. Firstly, they were delivered on their own
  facts and the Court has not stated any absolute principle of law,
  which would operate as a valid and binding precedent.
  Secondly, in all these cases, the Court had returned the finding
E that other authorities or rule-making bodies concerned were at
  fault and not the students. In the case of Chowdhary Navin
  Hemabhai (supra), the Court had noticed that the fault was of
  the rule making authority in not formulating the State Rules, 2008
  in conformity with the Medical Council of India Regulations,
F while in the case of A. Sudha (supra), the Court found that the
  Principal of the institute was at fault and he had made incorrect
  statements in writing, which were acted upon by the students
  bona fide.

       48. In the present case, we have no doubt in our mind that
G the fault is attributed to all the stakeholders involved in the
  process of admission, i.e., the concerned Ministry of the Union
  of India, Directorate of Medical Education in the State of
  Chhattisgarh, the Dean of the Jagdalpur College and all the
  three Members of the Committee which granted admission to
H
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 829
           [SWATANTER KUMAR, J.]
both the appellants on 30th September, 2006. But the students         A
are also not innocent. They have certainly taken advantage of
being persons of influence. The father of the Appellant No. 2,
Akansha Adile was the Director of Medical Education, State
of Chhattisgarh at the relevant time and as noticed above, the
entire process of admission was handled through the                   B
Directorate. The students well knew that the admissions can
only be given on the basis of merit in the entrance test and they
had not ranked so high that they were entitled to the admission
on that basis alone. In fact, they were also aware of the fact
that no other candidate had been informed and that no one was         c
present due to non-intimation. Out of favouritism and
arbitrariness, they had been given admission by completing the
entire admission process within a few hours on 30th
September, 2006.

      49. Balancing of equities by the Court itself is inequitable.   D
Some party or the other would suffer a set back or adverse
consequence from the order of the Court. On the one hand, if
admissions are cancelled, the students who have practically
completed their MBBS course would lose their professional
education as well as nearly five years of their life spent in such    E
education. If their admissions are protected, then the standard
of education, the merit of the candidates and the desirability
of the persons of higher merit becoming doctors is negated.
The best solution to such problems is strict adherence to the
time schedule, procedure for selection/admission and strict           F
observance of the Medical Council of India Regulations, by all
concerned. Once these factors are adhered to, not only would
such situation not arise, but also it will prevent avoidable
litigation before the Courts. The persons who violate the time
schedule to grant admissions in an arbitrary manner and by            G
colourable exercise of power, who are not adhering to Medical
Council of India Regulations and the judgments of this Court,
should be dealt with strictly by punishment in accordance with
law, to prevent such mischief from repeating. In the present
case, we are informed that the students have already sat for          H
    830     SUPREME COURT REPORTS                 [2012] 5 S.C.R.


A their final examination and are about to complete their courses.
  Even if we have to protect their admissions on the ground of
  equity, they cannot be granted such relief except on
  appropriate terms. By their admissions, firstly, other candidates
  of higher merit have been denied admission in the MBBS
B course. Secondly, they have taken advantage of a very low
  professional college fee, as in private or colleges other than
  the government colleges, the fee payable would be
  Rs.1,95,000/- per year for general admission and for
  management quota, the fee payable would be Rs.4,00,000/-
C per year, but in government colleges, it is Rs.4,000/- per year.
  So, they have taken a double advantage. As per their merit,
  they obviously would not have got admission into the Jagdalpur
  College and would have been given admission in private
  colleges. The ranks that they obtained in the competitive
  examination clearly depict this possibility, because there were
0
  only 50 seats in the Jagdalpur College and there are hundreds
  of candidates above the appellants in the order of merit. They
  have also, arbitrarily and unfairly, benefitted from lower fees
  charged in the Jagdalpur College.

E      50. On the peculiar facts and circumstances of the case,
  though we find no legal or other infirmity in the judgment under
  appeal, but to do complete justice between the parties within
  the ambit of Article 142 of the Constitution of India, we would
  permit the appellants to complete their professional courses,
F subject to the condition that each one of them pay a sum of Rs.5
  lakhs to the Jagdalpur College, which amount shall be utilized
  for developing the infrastructure in the Jagdalpur College.

      51. We have not and should not be even understood to
G have stated any precedent for the cases like grant of admission
  and leave to complete the course like the appellants in the
  present case.

       52. We are imposing heavy costs upon these appellants
  to ensure that such admissions are neither accepted nor
H granted leave to complete their medical courses in future.
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 831
           [SWATANTER KUMAR, J.]
     53. We would, thus, hereby issue directions on the one             A
hand and order initiation of contempt proceedings against all
the defaulting parties under the provisions of Contempt of
Courts Act, 1971 read with Article 129 of the Constitution of
India.
                                                                        B
                              ORDER:

    Accordingly, we order as follows: -

     1.    Though, we find no merit in the appeal preferred by
           the appellants and the judgment of the High Court            C
           does not suffer from any infirmity, still, in the peculiar
           facts and circumstances of the case, we permit the
           appellants to complete their MBBS course as
           general candidates in the Government Medical
           College, Jagdalpur, subject to their paying a sum            o
           of Rs. 5 lakhs each, within one week from today.

     2.    In the event of default of payment or failure to file
           proof of payment in the Registry of this Court, not
           only will the present appeal stand dismissed on
           merits, but we also direct that the exam results of          E
           the defaulting appellant will not be declared, they will
           not be conferred with the degree of MBBS by the
           Jagdalpur College and the Medical Council of India
           shall not register their names on the rolls maintained
           by it or the State Council, as the case may be.              F

     3.    For the reasons afore-stated, if their admissions
           are cancelled, there being no claimants for these
           seats, the seats will go waste and the entire
           expenditure incurred by the State would also be              G
           wasted. After so many years, it would be an
           exercise in futility to cancel their admissions, which,
           but for the interim orders, could be avoided. An
           undue advantage from the interim orders has
           accrued in favour of the appellants.                         H
    832       SUPREME COURT REPORTS                 [2012] 5 S.C.R.


A         With all the humility at our command, we request the High
          Courts to ensure strict adherence to the prescribed time
          schedule, process of selection and to the rule of merit.

         We reiterate what has been stated by this Court earlier,
    that except in very exceptional cases, the High Court may
8
    consider it appropriate to decline interim orders and hear the
    main petitions finally, subject to convenience of the Court. We
    may refer the dictum of this Court in the case of Medical
    Council of India v. Rajiv Gandhi University of Health Sciences
c   [(2004) 6 sec 76, para 14] in this regard.

       4. We have categorically returned a finding that all the
  relevant stakeholders have failed to perform their duty/obligation
  in accordance with law. Where the time schedules have not
  been complied with, and rule of merit has been defeated, there
D nepotism and manipulation have prevailed. The stands of
  various authorities are at variance with each other and none
  admits to fault. Thus, it is imperative for this Court to ensure
  proper implementation of judgments of this Court and the
  regulations of the Medical Council of India as well as not to
E overlook the arbitrary and colourable exercise of power by the
  concerned authorities/colleges.

        5. Therefore, we hereby direct initiation of proceedings
    against the following under the provisions of the Contempt of
F   Courts Act, 1971. Let notice be issued to the following, to show
    cause why they be not punished in accordance with law.

        a. Additional Secretary, Ministry of Health & Family
    Welfare, ·union of India.

G         b. Dr. S.L. Adile, Director, Medical Education.

          c. Dean of the Jagdalpur College.

          d. Dr. M.S. Banjan, Member of the Selection Committee.

H         e. Dr. P.D. Agarwal, Member of the Selection Committee.
PRIYA GUPTA v. STATE OF CHHATISHGARH & ORS. 833
           [SWATANTER KUMAR, J.]
   f. Shri Padmakar Sasane, Member of the Selection                 A
Committee.

     g. Director General, Directorate of Health Services, Union
of India.

       5. Notice be issued returnable in two weeks, on which        B
day the matter shall be listed before this Court. Registry shall
maintain separate file for that purpose.

       6. All concerned authorities are hereby directed to carry
out the directions and orders contained in this judgment,           c
particularly paragraphs 30 and 31 of the judgment forthwith. The
directions shall be applicable for the academic year 2012-2013
itself.

       54. A copy of this judgment shall be sent to all concerned
authorities; forthwith, for strict compliance and adherence,        D
without demur and default.

       55. Both the appeals are disposed of with the above
directions.
                                                                    E
D.G.                                      Appeals disposed of.


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