Sai University Act, 2018

English — official source version

sai_university_act,_2018.pdf.txt

SAI UNIVERSITY ACT, 2018 

(ACT NO. 42 OF 2018) 

 

Arrangement of sections 

 

1. Short title and commencement.  

2. Definitions.  

3. Establishment of the University. 

4. Conditions for the establishment of the University. 

5. Commencement of the University. 

6. Grants and Financial Assistance. 

7. Objects of the University. 

8. Powers of the University. 

9. Admission and Standards. 

10. Officers of the University. 

11. The Chancellor. 

12. Vice-Chancellor. 

13. Pro-Vice-Chancellor. 

14. Registrar. 

15. Deans and Directors. 

16. Finance Officer. 

17. Controller of Examinations. 

18. Other Officers. 

19. Authorities of the University. 

20. The Governing Council. 

21. The Executive Council. 

22. The Academic Council. 

23. The Finance Committee. 

24. The Planning Board. 

25. Board of Faculties, Admission Committee, Examination Committee and other Authorities 

of the University. 

26. Power to make Statutes. 

27. Statutes, how made. 

28. Power to make Ordinances. 

29. Ordinances, how made. 



30. Annual Report. 

31. Annual Accounts. 

32. Conditions of service of employees. 

33. Admission to University Courses and Examinations. 

34. Employees provident fund and pensions. 

35. Disputes as to the constitution of Authorities and bodies. 

36. Constitution of Committees. 

37. Filling up of the Vacancies. 

38. Proceedings of University authorities and bodies not to be invalidated by vacancies. 

39. Removal from membership of University. 

40. Mode of proof of University records.  

41. Permanent Endowment Fund. 

42. General Fund. 

43. Development Fund. 

44. Maintenance of Fund. 

45. Power of Government to call for information and records. 

46. Dissolution of University. 

47. Expenditure of the University during dissolution. 

48. Derecognition of the University by the Government. 

49. Power of the Government to issue directions on policy matters. 

50. Status of Assets, Liabilities on Dissolution or derecognition. 

51. Power to remove difficulties.  

 

 

  



 

SAI UNIVERSITY ACT, 2018 

(ACT NO. 42 OF 2018) 

[16th  july 2018] 

An Act to establish and incorporate in the State of Tamil Nadu a University of unitary nature in 

private sector by Sai Education, Medical, Research and Charitable Trust to promote, 

conceptualize and bring about a paradigm shift through development of outstanding leadership, 

research, knowledge and ideas for education and allied development sectors. 

 

BE it enacted by the Legislative Assembly of the State of Tamil Nadu in the Sixty- ninth Year of 

the Republic of India as follows: — 

 

1. Short title and commencement. — (1) This Act may be called the Sai University Act, 2018. 

   (2) It shall come into force at once. 

 

2. Definitions. — In this Act, unless the context otherwise requires, — 

 (a) "Academic Council" means the Academic Council of the University constituted under 

section 22; 

 (b) "Chancellor", "Vice-Chancellor" and "Pro-Vice-Chancellor" means, respectively, the 

Chancellor, the Vice-Chancellor and the Pro-Vice-Chancellor of the University; 

 (c) "Deans and Directors" means the Head of Department or an Institution, a Centre or a 

School, or the person appointed for the purpose to act as such in his absence; 

 (d) "Department" means a Department of Studies of the University and includes a Centre 

of Studies and Research; 

 (e) "Employee" means any person appointed by the University, and includes a teacher 

or any other member of the staff of the University; 

 (f) "Executive Council" means the Executive Council of the University constituted under 

section 21; 

 (g) "Faculty" means a Faculty of the University; 

 (h) "Governing Council" means the Governing Council constituted under section 20; 

 (i) "Government" means the State Government; 

 (j) "hostel" means a unit of residence for students of the University maintained or 

recognized by the University; 

(k) "Institution" means a college or an institution established or maintained by or 

associated or constituent to the University in accordance with this Act and the Statutes; 



(l) "Management Committee" means the committee constituted by the Trust for the 

purposes of this Act; 

(m) "prescribed" means prescribed by Statutes and Ordinances; 

(n) "Records and Publication" means the Records and Publication of the University; 

(o) "Registrar", "Controller of Examinations", "Finance Officer" means, respectively, the 

Registrar, the Controller of Examinations, the Finance Officer of the University; 

(p) "Statutes" and "Ordinances" means respectively, the Statutes and the Ordinances of 

the University; 

(q) "Student" means a student enrolled in the register of the University; 

(r) "teachers of the University" means persons appointed by the University to give 

instruction on its behalf; 

(s) "Trust" means the Sai Education, Medical, Research and Charitable Trust registered 

under the Indian Trusts Act, 1882 (Central Act 2 of 1882); 

(t) "University" means the Sai University established under section 3. 

 

3. Establishment of the University. — (1) There shall be established a University by the Trust 

by the name Sai University.   

   (2) The University shall be a body corporate, shall have perpetual succession and a common 

seal and shall sue and be sued by the said name. 

   (3) The University shall be of the unitary type. 

   (4) The University may establish constituent colleges, regional centres, additional campuses 

and study centres at such places in the State as it deems fit subject to the norms of University 

Grants Commission and other national accreditation bodies. 

 

4. Conditions for the establishment of the University. — For the purposes of establishing 

the University under this Act, the Trust shall fulfill the following conditions, namely: — 

 (a) possess contiguous land of not less than one hundred acres earmarked for the 

University; 

 (b) construct on the land referred to in clause (a), buildings and establish infrastructure 

and install necessary equipments in offices and laboratories as per the standards laid down by 

the University Grants Commission and other statutory authorities; 

 (c) appoint teachers for the purposes of teaching as per the standards laid down by the 

University Grants Commission; 

 (d) such other conditions as may be required by the Government to be fulfilled before the 

establishment of the University. 



5. Commencement of the University. — (1) The University shall commence to exercise its 

function on such date as the Government may, by notification, specify in this behalf. 

   (2) The Government shall issue a notification under sub-section (1) only after receipt of an 

affidavit along with documents from the Trust to the effect that all conditions referred to in 

section 4 have been fulfilled and after the Government is satisfied in this behalf. 

 

6. Grants and Financial Assistance. — The University shall be a self-financing University and 

shall neither make a demand nor shall be entitled to any maintenance, grant-in-aid or any other 

financial assistance from the Government: 

Provided that this shall not prohibit the University from applying for research projects or 

any other academic projects which may or may not entail financial grant or financial support 

from any other source. 

 

7. Objects of the University. — The objects of the University shall be to disseminate and 

advance education, knowledge and skill by providing instructional, research and extension of 

facilities in such branches of learning as it may deem fit and the University shall endeavour to 

provide to students and teachers the necessary atmosphere and facilities for the promotion 

of,— 

 (a) innovations in education leading to restructuring of courses, new methods of 

teaching, training and learning including on-line learning, blended learning, continuing education 

and such other modes and integrated and wholesome development of personality; 

 (b) studies in various disciplines; 

 (c) inter-disciplinary studies; 

 (d) national integration, secularism, social equity and engineering of international 

understanding and ethics. 

 

8. Powers of the University. — The University shall have the following powers, namely: — 

 (a) to provide for instructions in such branches of learning as the University may, from 

time to time, determine and to make provisions for research and for the advancement and 

dissemination and application of knowledge and skills; 

 (b) to impart and promote the study of arts and science, engineering and technology, 

Management, Law, medical and allied sciences and any other professional courses through in-

campus, off-campus, and satellite centres or by distant educational programmes; 

 (c) to honour educational stalwarts and persons of academic eminence with the 

decoration of professor Emeritus; 



 (d) to grant, subject to such conditions as the University may determine, diplomas or 

certificates to, and confer degrees or other academic distinctions on the basis of examinations, 

evaluation or any other method of testing on persons, and to withdraw any such diplomas, 

certificates, degrees or other academic distinctions for good and sufficient cause; 

 (e) to confer honorary degrees or other distinctions in the manner prescribed; 

 (f) to provide education and training including correspondence and such other courses, 

to such persons who are not members of the University, as it may determine; 

 (g) to institute Directorships, Professorships, Associate Professorships, Readerships, 

Assistant Professorships, Lecturerships and other teaching or academic posts required by the 

University and to make appointments for the same; 

 (h) to create administrative, ministerial and other posts and to make appointments 

thereto; 

 (i) to appoint or engage persons of eminence working in any other University or 

Organisation permanently or for a specified period; 

 (j) to co-operate, collaborate or associate with any other University or Authority or 

Institution in India and abroad in such manner and for such purpose as the University may 

determine; 

 (k) to establish and maintain schools, centres, specialised laboratories or other units for 

research and instructions as are in the opinion of the University, necessary for the furtherance 

of its objects; 

 (l) to institute and award fellowships, scholarships, studentships, medals and prizes; 

 (m) to establish and maintain and supervise residences, hostels within the University 

and promote the health and general welfare activities for students and staff; 

(n) to make provisions for research and consultancy, and for that purpose to enter into 

such arrangements with other institutions or bodies as the University may deem necessary; 

 (o) to declare a centre, an institution, a department, or school, as the case may be, in 

accordance with the Statutes; 

 (p) to determine standards for admission into the University, which may include 

examination, evaluation or any other method of testing; 

 (q) to prescribe, demand and receive payment of fees and other charges; 

 (r) to make such arrangements in respect of the residence, discipline and teaching of 

women and other disadvantaged students as the University may deem fit; 

 (s) to regulate and enforce discipline amongst the employees and students of the 

University and take such disciplinary measures in this regard as may deem necessary by the 

University; 



 (t) to make arrangements for promoting the health and general welfare of the employees 

of the University; 

 (u) to receive donations and to acquire, hold, manage and dispose through sale or lease 

or rent of any property, movable or immovable for the welfare of the University; 

 (v) to borrow without security or by way of hypothecation or mortgage against the 

property of the University with the approval of the Trust; 

 (w) to appoint either on contract or otherwise, visiting professors, emeritus professors, 

consultants, fellows, scholars, artists, course writers and such other persons who may 

contribute to the advancement of the objects of the University; 

 (x) to organise and to undertake extra-mural studies and extension service; 

 (y) to do all such other acts and things as may be necessary, incidental or conducive to 

the attainment of all or any of the objects of the University. 

 

9. Admission and Standards. — (1) The University shall, subject to the provisions of this Act 

and the relevant Statutes and Regulations of the University Grants Commission and other 

statutory authorities, as the case may be, be open to all persons. 

   (2) Nothing contained in sub-section (1) shall require the University, — 

 (a) to admit to any course of study any person who does not possess the prescribed 

academic qualification or standard; 

 (b) to retain on the rolls of the University any student whose academic record is below 

the minimum standard required for the award of a degree or other academic distinction; 

 (c) to admit any person or retain any student whose conduct is prejudicial to the interest 

of the University or the rights and privileges of other students and teachers; or 

 (d) to retain on rolls of the University any student who fails to remit necessary fees as 

prescribed for the course. 

   (3) Subject to the provisions of sub-sections (1) and (2) and the standard admission process 

of the University as may be prescribed, the University shall reserve thirty-five percentage of 

seats in each course of study for Resident students of Tamil Nadu. 

   (4) Admission of students to thirty-five percentage of seats reserved for resident students of 

Tamil Nadu under sub-section (3) shall be made following the reservation as per law in force. 

 Explanation. —For the purpose of this section "Resident student of Tamil 

Nadu" means,— 

 (i) a student who or either of whose parents has resided in the State of Tamil Nadu for a 

period of not less than five years preceding the qualifying examination; or 



 (ii) a student who has studied in any one of the educational institutions in the State of 

Tamil Nadu for a period of not less than five years leading to the qualifying examination. 

 

10. Officers of the University. - The following shall be the officers of the University, namely :—

 (a) the Chancellor; 

 (b) the Vice-Chancellor; 

 (c) the Pro-Vice-Chancellor; 

(d) the Registrar; 

(e) the Deans and Directors; 

(f) the Finance Officer; 

(g) the Controller of Examinations; and 

(h) such other persons as may be declared by the Statutes to be officers of the 

University. 

 

11. The Chancellor. — (1) The Chancellor shall be appointed by the management committee of 

the Trust for a period of three years, as may be prescribed. 

   (2) The Chancellor shall, by virtue of his office, be the Head of the University and shall 

constitute an interim Executive Council. The interim Executive Council so constituted shall 

cease to exist on the constitution of the Executive Council under section 21. 

   (3) The Chancellor may in writing under his hand addressed to the Management Committee of 

the Trust, resign his office. 

 

12. Vice-Chancellor. — (1) The Vice-Chancellor shall be appointed by the Chancellor in such 

manner as may be prescribed, for a period of three years. 

   (2) The Vice-Chancellor shall exercise such powers and perform such other functions as may 

be prescribed. 

 

13. Pro-Vice-Chancellor. — (1) The Pro-Vice-Chancellor shall be appointed by the Executive 

Council in such manner as may be prescribed. 

   (2) The Pro-Vice-Chancellor shall exercise such powers and perform such other functions as 

may be prescribed. 

 

14. Registrar. — (1) The Registrar shall be a whole-time salaried officer of the University. The 

terms of appointment and conditions of services shall be such as may be prescribed. 



   (2) The holder of the post of Registrar shall possess the qualifications prescribed by the 

University Grants Commission. 

   (3) The Registrar shall have the power to enter into agreements, sign documents and 

authenticate records on behalf of the University and shall exercise such other powers and 

perform such other functions as may be prescribed. 

   (4) The Registrar shall be the ex-officio Secretary of the Executive Council and the Academic    

Council. 

 

15. Deans and Directors. — Every Dean and every Director shall be appointed in such manner 

and shall exercise such powers and perform such duties as may be prescribed. 

 

16. Finance Officer. — (1) The Finance Officer shall be appointed in such manner and shall 

exercise such powers and perform such functions as may be prescribed. 

   (2) The Finance Officer shall be the ex-officio Secretary of the Finance Committee. 

 

17. Controller of Examinations. — (1) The Controller of Examinations shall be a whole-time 

officer of the University appointed for such period and on such terms and conditions as may be 

prescribed. 

   (2) The Controller of Examinations shall exercise such powers and perform such duties as 

may be prescribed. 

 

18. Other Officers. — The manner of appointment and powers and duties of the other officers 

of the University shall be such as may be prescribed. 

 

19. Authorities of the University. — The following shall be the authorities of the University :- 

(a) the Governing Council; 

(b) the Executive Council; 

(c) the Academic Council; 

(d) the Finance Committee; 

(e) the Planning Board; 

(f) such other authorities as may be declared by the Statutes to be authorities of the 

University. 

 

 



20. The Governing Council. — (1) The constitution of the Governing Council and the term of 

office of its members shall be as may be prescribed. 

   (2) Subject to the provisions of this Act, the Governing Council shall have the following powers 

and functions, namely:- 

(a) to review from time to time, the broad policies and programmes of the University and 

suggest measures for the working, improvement and development of the University; 

(b) to consider and pass resolutions on the Annual Report and Annual Accounts of the 

University and Audit Report of such accounts; 

(c) to advise the Chancellor in respect of any matter which may be referred to it for advice; 

and 

(d) to perform such other functions as may be prescribed. 

 

21. The Executive Council. — (1) The Executive Council shall be the chief executive body of 

the University. 

   (2) The Executive Council shall consist of not more than twelve members of whom two 

members shall be: — 

(a) The Secretary to Government in-charge of Higher Education Department, ex-officio; 

(b) The Director of Collegiate Education, ex-officio; 

and the remaining members may be appointed in such manner as may be prescribed. 

   (3) The powers and functions of the Executive Council, shall be such as may be prescribed. 

 

22. The Academic Council. — (1) The Academic Council shall be the principal academic body 

of the University and shall subject to the provisions of the Statutes, the Ordinances and the 

applicable regulations, co-ordinate and exercise general supervision over the academic policies 

of the University. 

   (2) The constitution of the Academic Council, the term of office of its members and its powers 

and functions shall be such as may be prescribed. 

 

23. The Finance Committee. — (1) The Finance Committee shall be the principal financial 

body of the University to take care of the financial matters. 

   (2) The constitution of the Finance Committee, the term of office of its members and its 

powers and functions shall be such as may be prescribed. 

 



24. The Planning Board. — (1) The Planning Board shall be the principal planning body of the 

University. The Planning Board shall ensure that the infrastructure and academic support 

system meets the norms of the applicable statutory authorities. 

   (2) The constitution of the Planning Board, the term of office of its members and its powers 

and functions shall be such as may be prescribed. 

 

25. Board of Faculties, Admission Committee, Examination Committee and other 

Authorities of the University. — The constitution, powers and functions of the Boards of 

Faculties, the Admission Committee, the Examination Committee and of such other authorities 

of the University which may be declared by the Statutes to be authorities of the University shall 

be such as may be prescribed. 

 

26. Power to make Statutes. — (1) The Executive Council shall make the Statutes for carrying 

out the purposes of this Act, subject to the approval of the Management Committee. 

   (2) Subject to the provisions of this Act, the Statutes may provide for all or any of the following 

matters, namely: — 

(a) the constitution, powers and functions of the authorities of the University, as may be 

constituted from time to time; 

(b) the appointment and continuance in office of the members of the said authorities, filling 

up of vacancies of members and all other matters relating to those authorities for which it may 

be necessary to provide; 

(c) the appointment, powers and duties of the officers of the University and their 

emoluments; 

(d) the appointment of teachers of the University and other academic and administrative 

staff and their emoluments; 

(e) the appointment of teachers and other academic and administrative staff working in the 

University or Institution for specific period for undertaking a joint project; 

(f) the conditions of service of employees including provisions for retirement benefits, 

insurance and provident fund, the manner of termination of service and disciplinary actions; 

(g) the principles governing seniority of service of employees; 

(h) the procedure for settlement of disputes between employees or students and the 

University; 

(i) the procedure for appeal to the Executive Council by any employee or students against 

the action of any officer or other authority of the University; 

(j) the conferment of honorary degrees; 



(k) the withdrawal of degree, diploma, certificate and other academic distinction; 

(l) the institution of fellowships, scholarships, studentships, medals and prizes; 

(m) the maintenance of discipline among the students; 

(n) the establishment and abolition of Department, Centres and other institutions; 

(o) the delegation of powers vested in the authorities or officers of the University; and 

(p) all other matters, which may by this Act are to be or may be prescribed. 

   (3) The Executive Council shall not make, amend or repeal any Statute affecting the powers 

or constitution of any authority of the University until such authority has been given an 

opportunity of expressing an opinion in writing on the proposed changes, and any opinion so 

expressed shall be considered by the Executive Council. 

 

27. Statutes, how made. — (1) The Executive Council may, from time to time, make statutes 

and amend or repeal the statutes in the manner hereinafter provided in this section. 

   (2) A statute or an amendment to, or repeal of, a statute passed by the Executive Council 

shall be submitted to the Management Committee who may assent thereto or withhold its 

assent. A statute or an amendment to, or repeal of, a statute passed by the Executive Council 

shall have no validity until it has been assented to by the Management Committee. 

 

28. Power to make Ordinances. — Subject to the provisions of this Act and the Statutes, the 

Ordinances shall be made by the Executive Council, subject to the approval of the Management 

Committee, which may provide for all or any of the following matters, namely: — 

(a) the admission of students to the University and their enrolment as such; 

(b) the courses of study to be laid down for all degrees, diplomas and certificates of the 

University; 

(c) the medium of instruction and examination; 

(d) the award of degree, diploma, certificate and other academic distinctions, the 

qualification for the same and the matters to be taken relating to the granting and obtaining of 

the same; 

(e) the fees to be charged for courses of study in the University and for admission to the 

examinations, degrees, diplomas and certificates of the University; 

(f) the conditions for the award of fellowships, scholarships, studentships, medals and 

prizes; 

(g) the conduct of examinations, including the term of office and manner of appointment and 

the duties of examining bodies, examiners and moderators;  

(h) the conditions of residence of the students of the University; 



(i) the special arrangements, if any, which may be made for the residence, discipline and 

teaching of women students and prescribing of special courses of studies for them within the 

University; 

(j) the appointment and emoluments of employees other than those for whom provision has 

been made in the Statutes; 

(k) the establishment of Centre of Studies, Boards of Studies, Interdisciplinary Studies, 

Special Centres, Specialised Laboratories and other Committee; 

(l) the manner of co-operation and collaboration with other Universities and authorities 

including learned bodies or association; 

(m) the creation, composition and functions of any other body which is considered 

necessary for improving the academic mileage of the University; 

(n) the remuneration to be paid to the examiners, moderators, invigilators and tabulators; 

(o) such other terms and conditions of service of teachers and other academic staff as are 

not prescribed by the Statutes. 

 

29. Ordinances, how made. — (1) In making Ordinances, the Executive Council shall consult 

the Management Committee. 

   (2) All Ordinances made by the Executive Council shall have effect from such date as it may 

direct. 

 

30. Annual Report. — (1) The annual report of the University shall be prepared under the 

direction of the Executive Council and shall be submitted to the Governing Council on or after 

such date as may be prescribed and the Governing Council shall consider the report in its 

annual meeting. 

   (2) The Governing Council shall submit the annual report to the Chancellor along with its 

comments, if any. 

 

31. Annual Accounts. — (1) The annual accounts and balance sheet of the University shall be 

prepared under the directions of the Executive Council and shall, once at least every year and 

at intervals of not more than fifteen months, be audited by an experienced and qualified firm of 

Chartered Accountant eligible for conducting audit as per the provisions of the Chartered 

Accountant Act, 1949 (Central Act XXXVIII of 1949). 

   (2) A copy of the annual accounts, together with the audit report thereon, shall be submitted to 

the Governing Council and the Chancellor along with the observations of the Executive Council 

for their approval. 



 

32. Conditions of service of employees. — (1) Every employee of the University shall be 

appointed or engaged as per the provisions of the Statutes. 

   (2) Any dispute arising between the University and any of the employees appointed 

substantively, shall be referred to the Vice-Chancellor who shall decide the dispute after 

affording an opportunity to the employee within three months from the date of its reference. 

   (3) The aggrieved employee may file an appeal against the decision of the Vice-Chancellor to 

the Chancellor. The decision of the Chancellor in such an appeal shall be final. 

   (4) Any dispute in respect of any employee engaged temporarily or on ad-hoc or part-time or 

casual basis shall be heard and decided finally by the Head of the Department concerned. 

 

33. Admission to University Courses and Examinations. — (1) (a) No person shall be 

admitted to a course of study in the University for admission to the examinations for degrees, 

titles or diplomas of the University unless he,- 

(i) has passed the examination prescribed therefor; and 

(ii) fulfills such other academic conditions as may be prescribed. 

(b) Every candidate for a University examination shall, unless exempted from the 

provisions of this sub-section by a special order of the Executive Council made on the 

recommendation of the Academic Council, be enrolled as a member of the University. Any such 

exemption may be made subject to such conditions as the Executive Council may think fit. 

   (2) No candidate shall be admitted to any University examination unless he is enrolled as a 

member of the University, and has satisfied the requirements as to the attendance required for 

the same or unless he is exempted from such requirements of enrolment or attendance or both 

by an order of the Executive Council passed on the recommendation of the Academic Council. 

Exemptions granted under this section shall be subject to such conditions as the Executive 

Council may think fit. 

   (3) Any student or candidate for an examination, whose name has been removed from the 

rolls of the University by the orders or recommendation of the Academic Council or Controller of 

Examinations, as the case may be, and who has been debarred from appearing at the 

examinations for more than one year, may within ten days of the date of receipt of such order, 

appeal to the Vice-Chancellor to nullify the decision of the aforesaid authorities. 

   (4) Any decision taken by the Vice-Chancellor in this regard shall be final. 

 

 



34. Employees provident fund and pensions. — The University may constitute for the benefit 

of its employees such pension or welfare schemes or provident fund or provide such insurance 

schemes as it may deem fit in such manner and subject to such conditions as may be decided 

by the Executive Council. 

 

35. Disputes as to the constitution of Authorities and bodies. — If any question arises as to 

whether any person has been duly nominated or appointed as or is entitled to be a member of 

any authority or other body of the University, the matter shall be referred to the Chancellor 

whose decision thereon shall be final. 

 

36. Constitution of Committees. — Where any authority of the University is given power under 

this Act or the Statutes to constitute Committees, such Committees shall as otherwise provided, 

consist of the members of the authority concerned and of such other persons as the authority in 

each case may think fit. 

 

37. Filling up of the Vacancies. — All vacancies among the members of any authority or other 

body of the University shall be filled as soon as may be convenient by the person or body who 

appointed or nominated the members whose place has become vacant for the remaining term 

for which he has been appointed or nominated. 

 

38. Proceedings of University authorities and bodies not to be invalidated by 

vacancies. — No act or proceeding of any authority or other body of the University shall be 

invalidated merely by reason of the existence of a vacancy or of any defect or irregularity in the 

nomination of a member of any authority or other body of the University or of any defect or 

irregularity in such act or proceeding not affecting the merits of the case or on the ground that 

the authority or other body of the University, did not meet at such intervals as required under 

this Act. 

 

39. Removal from membership of University. — (1) The Executive Council may, remove by 

an order in writing made in this behalf, any person from membership of any authority of the 

University by a resolution passed by a majority of the total members of the Executive Council 

and by a majority of not less than two-thirds of the members of the Executive Council present 

and voting at the meeting, if such person has been convicted by the Court for an offence which 

in the opinion of the Executive Council involves moral turpitude. 



   (2) The Executive Council may also by an order in writing made in this behalf remove any 

person from the membership of any authority of the University if he becomes of unsound mind 

or has been adjudicated as an insolvent. 

   (3) No action under this section shall be taken against any person unless he has been given a 

reasonable opportunity to show cause against the action proposed to be taken. 

   (4) A copy of every order made under sub-section (1) or sub-section (2), as the case may be, 

shall as soon as may be after it is so made, be communicated to the person concerned in the 

manner prescribed. 

 

40. Mode of proof of University records. — A copy of any receipt, application, notice, 

proceeding, resolution of any authority or Committee of the University or other documents in 

possession of the University, if certified by the Registrar, shall be received as prima 

facie evidence of such receipt, applications, notice, order, proceeding or resolution, documents 

or the existence of entry in the register and shall be admitted as evidence of the matters and 

transaction therein where the original would, if produced have been admissible in evidence. 

 

41. Permanent Endowment Fund. — (1) The Trust shall establish a permanent endowment 

fund of at least rupees fifty crores. 

   (2) The University shall have the power to invest the permanent endowment fund in such 

manner as may be prescribed. 

   (3) The University may transfer any amount from the general fund or the development fund to 

the permanent endowment fund. 

   (4) Any amount exceeding the minimum amount specified in sub-section (1) may be 

withdrawn from the permanent endowment fund by the University for the purposes of 

development of the University. 

 

42. General Fund. — (1) The University shall establish a general fund to which the following 

amount shall be credited, namely:- 

(a) all fees which may be charged by the University; 

(b) all sums received from any other source; 

(c) all contributions made by the Trust; and 

(d) all contributions made in this behalf by any other person or body which are not prohibited 

by any law for the time being in force. 

   (2) The moneys credited to the general fund shall be applied to meet all the recurring 

expenditures of the University. 



 

43. Development Fund. — (1) The University shall also establish a development fund to which 

the following moneys shall be credited, namely:- 

(a) development fees, which may be charged from students; 

(b) all sums received from other sources for the purpose of the development of the 

University; 

(c) all contributions made by the Trust; 

(d) all contributions made in this behalf by any other person or body which are not prohibited 

by any law for the time being in force; and 

(e) all incomes received from the permanent endowment fund. 

   (2) The moneys credited to the development fund from time to time shall be utilised for the 

development of the University. 

 

44. Maintenance of Fund. — The funds established under sections 41, 42 and 43 shall subject 

to general supervision and control of the Governing Council, be regulated and maintained in 

such manner as may be prescribed. 

 

45. Power of Government to call for information and records. — (1) It shall be the duty of 

the University or any authority or officer of the University to furnish such information or records 

relating to the administration or finance and other affairs of the University as the Government 

may call for. 

   (2) The Government, if it is of the view that there is a violation of the Act or the Statutes or 

Ordinances made thereunder, may issue such directions to the University under section 49 as it 

may deem necessary. 

 

46. Dissolution of University. — (1) If the University proposes its dissolution for any reason, it 

shall give at least six months written notice to the Government. 

   (2) On receipt of notice referred to in sub-section (1), the Government shall make such 

arrangement for administration of the University from the date of dissolution of the University 

and until the last batch of students in regular courses of studies of the University complete their 

courses or studies in such manner as may be prescribed. 

 

47. Expenditure of the University during dissolution. — (1) The expenditure for 

administration of the University during the process of its dissolution under section 46 shall be 

met out from the permanent endowment fund, the general fund and the development fund. 



   (2) If the funds referred to in sub-section (1) are not sufficient to meet the expenditure of the 

University, such expenditure may be met by disposing of the properties or assets of the 

University by the Government. 

 

48. Derecognition of the University by the Government. — (1) Where the Government 

receives a complaint with material and substantial allegation that the University is not 

functioning in accordance with the provisions of this Act, it shall require the University to show 

cause within such time, which shall not be less than two months referring a copy of the 

complaint as to why the University should not be derecognised. 

   (2) If, upon receipt of the reply of the University to the notice given under sub-section (1), the 

Government is satisfied that a prima facie case of mismanagement or violation of the provisions 

of this Act in the functioning of the University is made out, it shall order such enquiry as it deems 

necessary. 

   (3) For the purposes of an inquiry under sub-section (2), the Government shall by notification, 

appoint an officer or authority as the enquiring authority to enquire into the allegations of 

violation of the provisions of this Act. 

   (4) Every inquiring authority appointed under sub-section (3) shall while performing its 

functions under this Act have all the powers of Civil Court under the Code of Civil Procedure, 

1908 (Central Act V of 1908) trying a suit and in particular in respect of the following matters, 

namely:- 

(a) summoning and enforcing the attendance of any witness and examining him on oath; 

(b) requiring the discovery and production of any document; 

(c) requisitioning any public record or copy thereof from any office; 

(d) receiving evidence on affidavits; 

(e) any other matter which may be prescribed. 

   (5) If, upon receipt of the inquiry report, the Government is satisfied that the University has 

violated any provisions of this Act, it shall direct the University to make necessary improvement 

and suggest for proper implementation of the provisions of this Act. 

   (6) If it is observed that the University is violating the Act continuously for three times, the 

Government may, by notification, derecognise the University with prior approval of the 

University Grants Commission and other statutory authorities. 

   (7) During the process of derecognition under sub-section (6), the Government may utilise the 

permanent endowment fund, the general fund or the development fund for the purpose of the 

management of the affairs of the University. If the funds of the University are not sufficient to 



meet the requisite expenditure of the University, the Government may dispose of the assets or 

the properties of the University to meet the said expenses. 

 

49. Power of the Government to issue directions on policy matters. — The Government 

may issue such directions, from time to time, to the University on policy matters not inconsistent 

with the provisions of this Act as it may deem necessary. Such directions shall be complied with 

by the University. 

 

50. Status of Assets, Liabilities on Dissolution or derecognition. — All assets and 

properties including permanent endowment fund, general fund, development fund or any other 

fund and also the liabilities of the University shall belong to the Trust in case of dissolution or 

derecognition of the University. 

 

51. Power to remove difficulties. — (1) If any difficulty arises as to the constitution or 

reconstitution of any authority of the University or in giving effect to the provisions of this Act, the 

Government may, by notification, make such provision, not inconsistent with the provisions of 

this Act, as may appear to them to be necessary or expedient for removing the difficulty: 

Provided that no such notification shall be issued after the expiry of two years from the 

date of commencement of this Act. 

   (2) Every notification issued under sub-section (1) or under any other provisions of this Act 

shall, as soon as possible after it is issued, be placed on the table of the Legislative Assembly, 

and if, before the expiry of the session in which it is so placed or the next session, the Assembly 

makes any modification in any such notification or the Assembly decides that the notification 

should not be issued, the notification shall thereafter have effect only in such modified form or 

be of no effect, as the case may be, so, however, that any such modification or annulment shall 

be without prejudice to the validity of anything previously done under that notification.