Aided Colleges

IN THE SUPREME COURT OF INDIA

CIVIL APPELLATE JURISDICTION

CIVIL APPEAL NO. 9828 OF 2013

D.A.V. COLLEGE TRUST AND

MANAGEMENT SOCIETY & ORS.                    …APPELLANT(S)

VERSUS

DIRECTOR OF PUBLIC 

INSTRUCTIONS & ORS.                              …RESPONDENT(S)

With

CIVIL APPEAL NOS. 9844­9845 OF 2013

CIVIL APPEAL NOS. 9846­9857 OF 2013

CIVIL APPEAL NO. 9860 OF 2013

31. This has been filed by D.A.V. College Trust and Management

Society,   New   Delhi;   D.A.V.   College,   Chandigarh;   M.C.M.   D.A.V.

College,   Chandigarh   and   D.A.V.   Senior   Secondary   School,

Chandigarh.

32. Appellant   no.1   is   the   Society   which   runs   various

colleges/schools but each has an identity of its own and, in our view,

each of the college/school is a public authority within the meaning of

the Act. It has been urged that these colleges/schools are not being

substantially financed by the Government in as much as that they do

not receive more than 50% of the finance from the Government.  Even

the documents filed by the appellants themselves show that M.C.M.

D.A.V.   College,   Chandigarh,   in   the   years   2004­05,   2005­06   and

2006­07, has received grants in excess of 1.5 crores each year which

constituted about 44% of the expenditure of the College.  As far as

D.A.V. College, Chandigarh is concerned the grant for these three

years   ranged   from   more   than   3.6   crores   to   4.5   crores   and   in

percentage terms it is more than 40% of the total financial outlay for

each  year.   Similar   is  the   situation   with  D.A.V.   Senior  Secondary

School, Chandigarh, where the contribution of the State is more than

44%.

33.   Another   important   aspect,   as   far   as   the   colleges   are

17

concerned, is that 95% of the salary of the teaching and non­teaching

staff of the College is borne by the State Government.   A major

portion   of   the   remaining   expenses   shown   by   the   College   is   with

regard to the hostels, etc.  It is teaching which is the essential part of

the   College   and   not   the   hostels   or   other   infrastructure   like

auditorium, etc.   The State has placed on record material to show

that now these grants have increased substantially and in the years

2013­14,   2014­15   and   2015­16,   the   D.A.V.   College,   Chandigarh

received   amounts   more   than   Rs.15   crores   yearly,   M.C.M.   D.A.V.

College, Chandigarh received amounts more than Rs.10 crores yearly

and the D.A.V. Senior Secondary School, Chandigarh received grant

of more than Rs.4 crores yearly. It can be safely said that they are

substantially financed by the Government.

34. During the course of hearing, some information was placed on

record by the learned counsel for the respondents showing how much

is the fund being granted to these institutions from the year 2013­14

to 2015­16. As far as these institutions are concerned the payments

received are as follows:­

Institution 2013­14 (Rs.) 2014­15

(Rs.)

2015­16

(Rs.)

D.A.V. College, 

Sector 10, 

Chandigarh

14,97,31,954/

­

15,15,91,074/

­

17,57,90,476/

­

18

M.C.M.  D.A.V. 

College, Sector­36, 

Chandigarh

10,06,91,020/

­

10,47,79,495/

­

11,33,94,771/

­

D.A.V. Sr. Sec. 

School, Sector­8, 

Chandigarh

3,97,39,280/­ 4,17,85,658/­ 5,06,88,770/­

35. These are substantial payments and amount to almost half

the expenditure of the Colleges/School and more than 95% of the

expenditure   as   far   as   the  teaching   and   other   staff   is  concerned.

Therefore, in our opinion, these Colleges/School are substantially

financed and are public authority within the meaning of Section 2(h)

of the Act.

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