Supreme Court allows schools' plea against uploading financial statements
Saurabh Malik
Chandigarh, May 11
Just about a year after the Punjab and Haryana High Court ruled that the uploading of a financial statement by the private schools in Chandigarh on their websites would, among other things, ensure transparency, the Supreme Court today allowed a bunch of appeals challenging the order.
The Supreme Court ruling came on the appeals filed against the Union of India and other respondents by the Independent Schools’ Association of Chandigarh and other appellants. The matter was argued by counsel Avi Singh.
The petitioner- schools had initially moved the High Court after being aggrieved by certain provisions in the Punjab Regulation of Fee of Unaided Educational Institution Act, 2016, as extended to Chandigarh. Their contention was that the uploading of income and expenditure accounts, and balance sheets, on the website had no rationale. It was not incidental to the objects to be achieved by the main enactment. The schools were already submitting financial information to the authorities concerned. As such, uploading financial information on their websites was not required as it would only render private institutions vulnerable to unbridled dissection of the accounts by the public.
Dismissing the petitions, the High Court Bench had asserted that the 2016 Act extended to Chandigarh was enacted by Punjab to provide for the constitution of regulatory body to provide a mechanism for regulating fee of unaided educational institutions, besides related matters and incidental issues. Section 18 said every unaided educational institution was to maintain proper accounts of fees and charges. It also has to prepare the annual statement of accounts which was to be audited by a qualified chartered accountant.
After hearing counsel Avi Singh and rival contentions in the matter, the Supreme Court was of the view that the original Act could not be amended substantially, while extending it to Chandigarh. The orders were dictated in the open Court. The judgment was not yet available.
Schools had initially moved High Court
The petitioner, schools, had initially moved the High Court after being aggrieved by certain provisions in the Punjab Regulation of Fee of Unaided Educational Institution Act, 2016, as extended to Chandigarh. Their contention was that the uploading of income and expenditure accounts, and balance sheets, on the website had no rationale.
