Colleges face one crore fine for capitation fee

Updated on: Thursday, November 17, 2011

Institutions soliciting capitation fee could soon be saddled with fines of Rs 1 crore with the Union Cabinet on Wednesday approving the Prohibition of Unfair Practices in Technical Educational Institutions, Medical Educational Institutions and Universities Bill, 2010 after the HRD ministry included several amendments by the parliamentary standing committee.

The bill, with official amendments, will be introduced in the winter session of Parliament. The bill seeks to curtail the element of profiteering in some institutions which are presently beyond the scope of any such regulation. This is the first time that a central law is being brought to prohibit capitation fee.

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