New Delhi: The National Consumer Commission
has said that an educational institute withholding the entire
fee of a student even if he withdraws from it is "unfair".
"In view of the UGC guidelines, we are of the view that
the institute was unfair in retaining the entire fee even
after the student withdrew from their college," the Commission
bench headed by Ashok Bhan said.
It referred to a UGC guideline which said that the
universities in the public interest shall maintain a waiting
list of students and in the event of a candidate withdrawing
before the starting of the course, the waitlisted candidates
should be given admission.
According to the Commission, the guidelines said that
the entire fee collected from the student after a deduction of
the processing fee shall be refunded.
The Commission bench, also comprising member S K Naik,
passed the order on a petition by the Andhra University
challenging the State Commission`s direction to refund the
entire fee besides paying a compensation of Rs 10,000 to a
"We direct the Andhra University to retain only Rs 1,000
of the fee deposited by the complainant and refund the balance
amount with six per cent per annum interest," it said.
Complainant Janjanam Jagedeesh took admission in Andhra
University in 2004 by paying the fee for one academic year.
Subsequently, he also cleared the entrance examination of
the National Dairy Institute and sought return of his original
educational certificates from the university after withdrawing
The university, however, asked him to deposit annual fee
of another academic year as a precondition for handing over
He was allegedly compelled to deposit the fee following
which the complainant had approached a district consumer forum
which had provided him relief.