ACT No. 25 OF 2020 - The Madras School of Economics Act, 2020

©

GOVERNMENT OF TAMIL NADU

[Regd. No. TN/CCN/467/2012-14.

[R. Dis. No. 197/2009.

[Price: Rs. 7.20 Paise.

No. 417] CHENNAI, MONDAY, OCTOBER 12, 2020 Purattasi 26, Saarvari, Thiruvalluvar Aandu–2051

Part IV—Section 2

Tamil Nadu Acts and Ordinances

The following Act of the Tamil Nadu Legislative Assembly received the assent of

the Governor on the 9th October 2020 and is hereby published for general

information:—

ACT No. 25 OF 2020.

An Act to provide for incorporation of an institution of special importance

in the field of Economics, its allied subjects and management in the

State of Tamil Nadu and to provide for certain other matters connected

therewith or incidental thereto.

B(cid:3469) it enacted by the Legislative Assembly of the State of

Tamil Nadu in the Seventy-fi rst Year of the Republic of India as follows:—

CHAPTER – I.

PRELIMINARY.

1. (1) This Act may be called the Madras School of Economics Act, 2020. Short title and

commencement.

(2) It shall come into force on such date as the State Government

may, by notifi cation, appoint.

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

(a) "Academic Council" means the Academic Council constituted

under section 20;

(b) "AICTE" means the All India Council for Technical Education

established under section 3 of the All India Council for Technical Education

Central Act 52 of

Act, 1987;

1987.

(c) "appointed date" means the date appointed for the commencement

of this Act;

[149]

Ex-IV-2—417—1150 TAMIL NADU GOVERNMENT GAZETTE EXTRAORDINARY (d) "authorities" means the authorities of the Institute;

(e) "Centre of Public Finance" is a Centre of the Institute, wherein

academic courses and research on Public fi nance and allied subjects are

conducted;

(f) "Dean" means the Head of Department of, a Centre or a School

of the Institute or the person appointed for the purpose to act as such in his

absence;

(g) "Department" means a Department of Studies of the Institute and

includes a Centre of Studies and Research;

(h) "employee" means any person appointed by the Institute, and

includes a teacher or any other member of the staff of the Institute;

(i) "Executive Council" means the Executive Council constituted

under section 19;

(j) "Faculty" means a Faculty of the Institute;

(k) "Governing Council" means the Governing Council constituted

under section 18;

(l) "Government" means the State Government;

(m) "hostel" means a unit of residence for students of the Institute

maintained or recognized by the Institute;

(n) "Institute" means the Madras School of Economics, Chennai;

(o) "prescribed" means prescribed by statutes and ordinances;

(p) "qualifying examination" means the test or examination to be

cleared with such marks as may be stipulated by the Academic Council, to

apply for admission to any course in the Institute;

(q) "regulatory body" means and includes a body such as UGC,

AICTE established for the maintenance of standards of higher education;

(r) "society" means the Madras School of Economics registered Tamil Nadu

Act 27 of 1975.

under the Tamil Nadu Societies Registration Act, 1975;

(s) "statutes" and "ordinances" means, respectively, the statutes and

the ordinances made under this Act;

(t) "student" means a student enrolled in the register of the Institute;

(u) "teachers" means Professors including Honorary / Emeritus / Adjunct

Professors, Associate Professors / Assistant Professors or any person

appointed by the Institute to impart instructions on its behalf;

(v) "UGC" means the University Grants Commission established Central Act

3 of 1956.

under section 4 of the University Grants Commission Act, 1956.

CHAPTER – II.

THE INSTITUTE.

3. (1) On and from the appointed date, the Madras School of Economics Incorporation of

Institute.

shall be a body corporate by the same name.

(2) The Institute shall have a perpetual succession and a common

seal with powers, subject to the provisions of this Act, to acquire and hold

property, to contract, to do such other things necessary for the purposes of this

Act and shall, by the said name, sue and be sued.

(3) The Institute may establish regional centres, additional campuses

and study centres at such places in this State as it deems fi t subject to the

norms of the UGC and other regulatory bodies.

(4) The headquarters of the Institute shall be at Chennai,

Tamil Nadu.

4. (1) The objects of the Institute shall be—

Objects of

Institute.

(a) to advance and disseminate learning and knowledge of

economics and its allied subjects and management, so as to play a role in the

national development;

(b) to become a globally reputed institution of excellence in the fi eld of

higher education focusing on economics, its allied subjects and management;

(c) to develop the Institute into an advanced centre for teaching,

research, training and policy advocacy;

(d) to undertake training programmes for policy makers and others

from public and private sectors;

(e) to offer consultancy and to accept sponsored projects in the fi eld

of economics, its allied subjects and management;

(f) to develop in the students and research scholars, a sense of

responsibility to serve the society at large in the fi eld of higher education

and to organise lectures, seminars, symposia and conferences to promote

knowledge and to make economic strategies as effi cient instruments of social

development;

(g) to hold examinations and confer degrees or other academic

distinctions;

(h) to take all such measures for the promotion of research in

respect of social and economic development and to perform all such academic

functions and undertake such other academic activities as deemed necessary;

and

(i) to take up works as may be entrusted by the State Government

or the Central Government or other Government Agencies, corporate bodies,

public or private from time to time, in the fi elds of economics, management,

education and related aspects.

5. The Institute shall exercise the following powers and perform the Powers and

functions of following functions, namely:-

Institute.

(a) to administer and manage such centres for research, education

and instruction as may be necessary for the furtherance of the objects of the

Institute;

(b) to provide for instructions in such branches of learning as the

Institute may, from time to time, determine and to make provisions for research

and for the advancement and dissemination and application of knowledge and

skills;

(c) to impart and promote the study of economics and allied subjects

and management courses through in-campus, off-campus and satellite centres

or by distance educational programmes;

(d) to honour educational stalwarts and persons of academic

eminence with the decoration of Professor Emeritus;

(e) to grant, subject to such conditions as the Institute may determine

and confer, diplomas, certifi cates, degrees or other academic distinctions

on the basis of examinations, evaluation or any other method of testing

and to withdraw any such diplomas, certifi cates, degrees or other academic

distinctions for good and suffi cient cause;

(f) to confer honorary degrees or other distinctions on persons in the

manner laid down in the ordinances;

(g) to provide education and training including correspondence and

such other courses, to such persons who are not members of the Institute, as

it may determine;

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

appointments thereto;

(i) 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 Institute;

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

University or Organisation permanently or for a specifi ed period;

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

or Authority or Institution in India or abroad in such manner and for such

purposes as laid down in the statutes;

(l) to establish and maintain schools, centres, specialised laboratories

or other units for research and instructions as are in the opinion of the Institute,

necessary for the furtherance of its objects;

(m) to institute and award fellowships, scholarships, studentships,

medals and prizes for meritorious students;

(n) to establish and maintain and supervise residences, hostels and

promote the health and general welfare activities of students and staff, and

recognize places of residence for the students;

(o) to make provisions for research and consultancy, and for that

purpose, to enter into such arrangements with other institutions or bodies as

the Institute may deem necessary;

(p) to declare a centre, an institution, a department or school, as the

case may be, in accordance with the statutes;

(q) to determine standards for admission into the Institute, which

may include examination, evaluation or any other method of testing;

(r) to prescribe, demand and receive payment of fees and other

charges;

(s) to make such arrangements in respect of the residence, discipline

and teaching of women and other disadvantaged students as the Institute may

deem fi t;

(t) to regulate and enforce discipline amongst the employees and

students and take such disciplinary measures in this regard as may be deemed

necessary by the Institute;

(u) to organize and undertake extra-mural teaching and extension

services;

(v) to establish such special centres, specialized study centres or

other units for research and instruction as are, in the opinion of the Institute,

necessary for the furtherance of its objects;

(w) to institute Professorships, Associate Professorships, Assistant

Professorships and any other teaching, academic or research posts required

by the Institute;

(x) to receive grants, endowments, subscriptions, donations and

gifts for the purposes of and consistent with the objects of the Institute;

(y) to acquire, hold, manage and dispose of any property, movable

or immovable, for the welfare of the Institute with the prior approval of the

Governing Council:

Provided that no land granted by the Government shall be disposed

of without the prior permission of the Government;

(z) to borrow money without security or by way of hypothecation

or mortgage against the property of the Institute, with the approval of the

Governing Council;

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

incidental or conducive to the attainment of any or all of the objects of the

Institute.

6. The Institute shall be a self-fi nancing Institute:

Grants.

Provided that the Government may sanction grant-in-aid or other

fi nancial assistance for any specifi c purpose, as it may deem necessary.

7. (1) The Institute shall, subject to the provisions of this Act and the Admission and

standards.

relevant rules and regulations of the UGC and other regulatory bodies, as the

case may be, be open to all persons, irrespective of race, creed, caste or class

or religion.

(2) No person shall be admitted to a course of study in the Institute

for admission to the examinations for degrees, titles or diplomas of the Institute

unless he,—

(i) has passed the examination prescribed therefor; and154 TAMIL NADU GOVERNMENT GAZETTE EXTRAORDINARY (ii) fulfi lls such other academic conditions as may be prescribed.

(3) Nothing contained in sub-sections (1) and (2) shall require the

Institute,—

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

possess the prescribed academic qualifi cation or standard;

(b) to retain on the rolls of the Institute 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 Institute or the rights and privileges of other

students and teachers; or

(d) to retain on rolls of the Institute any student who fails to

remit necessary fees as prescribed for the course.

(4) Subject to the provisions of sub-sections (1), (2) and (3) and the

standard admission process of the Institute as may be prescribed, the Institute

shall reserve thirty fi ve percentage of seats in each course of study for resident

students of Tamil Nadu.

(5) Admission of students to thirty fi ve percentage of seats reserved

for resident students of Tamil Nadu under sub-section (4) 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 fi ve 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 fi ve years

leading to the qualifying examination.

(6) Notwithstanding anything contained in sub-sections (4) and (5),

where adequate number of resident students of Tamil Nadu are not available

for admission, the seats reserved for such students, shall be fi lled up with the

remaining students on merit.

Admission to

8. (1) Every candidate for an examination conducted by

examinations. the Institute 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

Institute. Any such exemption may be made subject to such conditions as the

Executive Council may think fi t.

(2) No candidate shall be admitted to any examination conducted

by the Institute, unless he is enrolled as a member of the Institute, and has

satisfi ed 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 made on the recommendation of the

Academic Council. Any exemption granted under this section shall be subject

to such conditions as the Executive Council may think fi t.

(3) Any student or candidate for an examination, whose name has

been removed from the rolls of the Institute by an order of the Controller of

Examinations, 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 Director.

(4) Any decision taken by the Director in this regard shall be fi nal.

CHAPTER – III.

OFFICERS OF INSTITUTE.

9. The following shall be the offi cers of the Institute, namely:— Offi cers of Institute.

(a) the Director;

(b) the Administrative Offi cer;

(c) the Controller of Examinations;

(d) the Finance Offi cer;

(e) the Dean(s); and

(f) such other offi cers of the Institute, as may be declared by the

statutes to be offi cers of the Institute.

Director.

10. (1) The Director shall be appointed by the Governing Council in such

manner as may be prescribed, and shall hold offi ce for a period of three years

and shall be eligible for re-appointment for a further period of three years.

(2) The Director shall be an eminent academician with specialization

in economics, fi scal management, social science, mathematics, statistics,

banking or other related subjects.

(3) The Director shall be a whole-time Offi cer and be the academic

head and principal executive offi cer of the Institute.

(4) The Director shall exercise such powers and perform such

functions as may be prescribed.

11. During the temporary absence of the Director by reason of leave, Arrangement of

work during illness or otherwise, the Governing Council may designate the senior-most

vacancy in offi ce Professor of the Institute or any other person with qualifi cation for appointment

of Director.

as a Director, to be the Director in-charge of the Institute, till the incumbent

rejoins duty.

Administrative 12. (1) The Administrative Offi cer shall be a whole-time salaried offi cer

Offi cer.

of the Institute. The terms of appointment and conditions of service of the

Administrative Offi cer shall be such as may be prescribed.

(2) The Administrative Offi cer shall have the power to enter into

agreements, sign documents and authenticate records on behalf of the Institute

and shall exercise such other powers and perform such other functions as may

be prescribed.

(3) The Administrative Offi cer shall be the ex-offi cio Secretary of the

Executive Council and the Academic Council.

(4) In all suits and other legal proceedings by or against the Institute,

the pleadings shall be signed and verifi ed by the Administrative Offi cer and all

the processes in such suits and proceedings shall be issued to, and served on,

the Administrative Offi cer.

(5) The Administrative Offi cer shall exercise such other functions

and perform such other duties as may be prescribed.

Controller of

13. (1) The Controller of Examinations shall be a whole-time offi cer of

Examinations. the Institute appointed in such manner and on such terms and conditions as

may be prescribed.

(2) The Controller of Examinations shall exercise such functions and

perform such duties as may be prescribed.

Finance Offi cer. 14. (1) The Finance Offi cer shall be appointed in such manner and

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

The Dean. 15. (1) There shall be a Dean for each Faculty of the Institute who shall be

the Chief Academic Offi cer of the Faculty concerned.

(2) The Dean shall be appointed in such manner and shall exercise

such functions and perform such duties as may be prescribed.

Other Offi cers. 16. The manner of appointment and functions and duties of the other

offi cers of the Institute shall be such as may be prescribed.

CHAPTER - IV.

AUTHORITIES OF THE INSTITUTE.

Authorities of

17. The following shall be the authorities of the Institute:—

Institute.

(1) the Governing Council;

(2) the Executive Council;

(3) the Academic Council;

(4) the Finance Committee;

(5) the Planning Board; and

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

authorities of the Institute.

Governing

18. (1) The Governing Council shall be constituted by the Board of

Council.

Governors of the Society in such manner as may be prescribed. The term

of offi ce of the members of the Governing Council shall be such, 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 exercise overall superintendence over the functioning of

the Institute in consonance with its objectives;

(b) to review, from time to time, the broad policies and

programmes of the Institute and suggest measures for the working,

improvement and development of the Institute;

(c) to consider and pass resolutions on the annual report and

annual accounts of the Institute and audit report of such accounts;

(d) to advise the Director in respect of any matter which may be

referred to it for advice; and

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

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

Institute.

(2) The Executive Council shall consist of not more than ten

members, of whom three members shall be,-

(a) the Secretary to Government in-charge of Finance

department, ex-offi cio;

(b) the Secretary to Government in-charge of Planning,

Development and Special Initiatives department, ex-offi cio; and

(c) the Secretary to Government in-charge of Higher Education

department, ex-offi cio.

(3) The remaining seven members of the Executive Council shall be

nominated by the Governing Council from among eminent people in the fi eld of

economics and allied subjects and management and professors of the Institute

in the manner prescribed.

(4) The term of offi ce of the members and the powers and functions

of the Executive Council, shall be such as may be prescribed.

20. (1) The Academic Council shall be the principal academic body of The Academic

Council.

the Institute and subject to the provisions of the statutes, and ordinances co-

ordinate and exercise general supervision over the academic policies of the

Institute.

(2) The constitution of the Academic Council, the term of offi ce of its

members and its powers and functions shall be such as may be prescribed.

21. (1) The Finance Committee shall be the principal fi nancial body of the Finance

Committee.

Institute to take care of the fi nancial matters.

(2) The constitution of the Finance Committee, the term of offi ce of

its members and its powers and functions shall be such as may be prescribed.

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

Institute. The Planning Board shall ensure that the infrastructure and academic

support system meets the norms of the regulatory bodies.

(2) The constitution of the Planning Board, the term of offi ce of its

members and its powers and functions shall be such as may be prescribed.

23. The constitution, powers and functions of other Boards, committees Other Boards,

committees and and councils which may be declared by the statutes to be the authorities of the

councils.

Institute shall be such as may be prescribed.

CHAPTER – V.

STATUTES AND ORDINANCES.

24. (1) The Executive Council shall make the statutes for carrying out the Power to make

Statutes.

purposes of this Act, subject to the approval of the Governing Council.

(2) Subject to the provisions of this Act, the statutes may provide for

all or any of the following matters relating to a Institute, namely:-

(a) the constitution, powers, functions and duties of the

authorities of the Institute as may be declared from time to time;

(b) the appointment, continuance in offi ce or withdrawal or

removal of members of the said authorities, fi lling up of vacancies of members,

and all other matters relating to the authorities;

(c) the appointment and powers and duties of the offi cers of the

Institute and their emoluments;

(d) the method of recruitment and appointment of teachers and

other academic and administrative staff and their emoluments;

(e) the conditions of service of the employees including

determination of seniority of the employees, their emoluments and disciplinary

action;

(f) provisions for retirement benefi ts, insurance and provident

fund, of the employees;

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

(h) the procedure for settlement of disputes between employees

or students and the Institute;

(i) the procedure for appeal to the Executive Council by any

employee or student against the action of any offi cer or authority of the Institute;

(j) the conferment of honorary degrees;

(k) holding of convocations for conferring degrees and diplomas

and issue of degree certifi cates in case of urgency before convocation;

(l) the withdrawal of degree, diploma, certifi cate or other

academic distinctions;

(m) the establishment, and abolition of Departments, Centres

and other institutions;

(n) the institution of fellowships, scholarships, studentships,

exhibitions, medals and prizes;

(o) the regulation of admissions, fee structure in the Institute

and for admissions to the examinations, degrees and diplomas of the Institute;

(p) fees to be charged for the services rendered by the Institute;

(q) the methodology of administering sponsored research,

consultancy, patents and intellectual property rights, continuing education and

other extension services in the Institute;

(r) the delegation of powers vested in the authorities or offi cers

of the Institute;

(s) the establishment of Centres of Studies, Boards of Studies,

Interdisciplinary Studies, Special Centres, Specialised Laboratories and other

Committees;

(t) the manner of co-operation and collaboration with other

Universities and authorities including learned bodies or association;

(u) the conditions of residence of the students of the Institute;

(v) the conditions for recognition of hostels not maintained by

the Institute;

(w) the health and discipline of, and disciplinary proceedings

against, students in the Institute;

(x) the special arrangements, if any, which may be made for

the residence, discipline and teaching of women students and prescribing of

special course of study for them within the Institute; and

(y) all other matters, which by this Act are to be or may be

prescribed by the statutes.

25. (1) The Executive Council may, from time to time, make statutes and Statutes, how

made.

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 Governing Council which may

assent thereto or withhold its assent. A statute or an amendment to, or repeal

of, a statute made by the Executive Council shall have no validity unless it has

been assented to by the Governing Council. A copy of the statutes shall be

sent to the Government for information.

26. (1) Subject to the provisions of this Act and the statutes, the Ordinances.

ordinances shall be made by the Executive Council on the recommendation of

the Academic Council, subject to the approval of the Governing Council, which

may provide for all or any of the following matters, namely:-

(a) the admission of students to the Institute and their enrolment

as such;

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

and certifi cates of the Institute;

(c) the medium of instruction and examination;

(d) the introduction of semester scheme, choice-based-credit-

system, modern grading practices and other innovations in evaluating student's

performance;

(e) the award of degree, diploma, certifi cate and other academic

distinctions, the qualifi cation for the same and the matters to be taken relating

to the granting and obtaining of the same;

(f) the fees to be charged for courses of study in the Institute

and for admission to the examinations, degrees, diplomas and certifi cates of

the Institute;

(g) the conditions for the award of fellowships, scholarships,

studentships, medals and prizes;

(h) the creation, composition and functions of any other body

which is considered necessary for improving the academic mileage of the

Institute;

(i) the conduct of examinations, including the term of offi ce and

manner of appointment and the duties of examining bodies, examiners and

moderators;

(j) the remuneration to be paid to the examiners, moderators,

invigilators and tabulators;

(k) the appointment and emoluments of employees other than

those for whom provision has been made in the statutes.

(2) All ordinances made by the Executive Council shall have eff ect

from such date as it may direct.

CHAPTER – VI.

FINANCE AND ACCOUNTS.

Annual report. 27. The annual report of the Institute shall be prepared under the directions

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.

Annual accounts. 28. (1) The annual accounts and balance sheet of the Institute shall be

prepared under the directions of the Executive Council, duly approved by

the Governing Council, and shall, once at least every year and at intervals of

not more than fi fteen months, be audited by a fi rm of Chartered Accountants

Central Act XXXVIII eligible for conducting audit as per the provisions of the Chartered Accountants

of 1949.

Act, 1949.

(2) A copy of the annual accounts, together with the audit report thereon,

shall be submitted to the Governing Council along with the observations of the

Executive Council for their approval.

CHAPTER-VII.

EMPLOYEES.

29. (1) Every employee of the Institute shall be appointed or engaged as

Conditions of

service of

per the provisions of the statutes.

employees.

(2) Any dispute arising between the Institute and any of the

employees appointed substantively, shall be referred to the Director who shall

decide the dispute after affording an opportunity to the employee within three

months from the date of its reference.

(3) An appeal against the order of the Director may be fi led to the

Governing Council. The decision of the Governing Council on the appeal shall

be fi nal.

(4) Any dispute in respect of any employee engaged temporarily or

an adhoc or part time or casual basis shall be heard and decided fi nally by the

Head of the Department concerned.

30. The Institute may constitute for the benefi t of its employees, such

Employees

provident fund pension or welfare schemes or provident fund or provide such insurance

and pensions. schemes as it may deem fi t in such manner and subject to such conditions as

may be decided by the Executive Council.

CHAPTER - VIII.

FUNDS.

31. (1) The Institute shall establish a permanent endowment fund of at

Permanent

Endowment least rupees twenty fi ve crores.

Fund.

(2) The Institute shall have the power to invest in the permanent

endowment fund in such manner as may be prescribed.

(3) The Institute may transfer any amount from the general fund or

the development fund to the permanent endowment fund.

(4) Any amount exceeding the minimum amount specifi ed in sub-

section (1) may be withdrawn from the permanent endowment fund by the

Institute for the purpose of development of the Institute.

32. (1) The Institute shall establish a general fund to which the following General Fund.

amount shall be credited, namely:-

(a) the income received by the Institute from fees and charges;

(b) any bequests, donations, endowments or other grants made

by private individuals or institutions;

(c) any contribution or bequests from the Industries, traders or

entrepreneurs;

(d) all sums received from any other source;

(e) all contributions made by the Society; and

(f) 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 expenditure of the Institute.

33. (1) The Institute shall also establish a development fund to which the Development Fund.

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 Institute;

(c) all contributions made by the Society;

(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 Institute.

34. The funds established under sections 31, 32 and 33 shall subject to Maintenance of

Fund.

general supervision and control of the Governing Council, be regulated and

maintained in such manner as may be prescribed.

CHAPTER - IX.

DISSOLUTION OR DE-RECOGNITION OF THE INSTITUTE.

35. (1) If the Institute proposes its dissolution for any reason, it shall give Dissolution of

Institute.

at least six months written notice to the Government.

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

Government shall make such arrangement for administration of the Institute

from the date of dissolution of the Institute and until the last batch of students

in regular courses of studies of the Institute complete their courses or studies,

in such manner as may be prescribed.

36. (1) The expenditure for administration of the Institute during the

Expenditure of

Institute during process of its dissolution under section 35 shall be met out from the permanent

dissolution.

endowment fund, the general fund and the development fund.

(2) If the funds referred to in sub-section (1) are not suffi cient to meet

the expenditure of the Institute, such expenditure may be met by disposing of

the properties or assets of the Institute by the Government.

37. (1) Where the Government receives a complaint with material and

De-recognition

of Institute by substantial allegation that the Institute is not functioning in accordance with the

Government.

provisions of this Act, it shall require the Institute to show cause within such

time, which shall not be less than two months, referring a copy of the complaint

as to why the Institute should not be de-recognised.

(2) If, upon receipt of the reply of the Institute to the notice given

under sub-section (1), the Government is satisfi ed that a prima facie case of

mismanagement or violation of the provisions of this Act in the functioning of

the Institute 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 notifi cation, appoint an offi cer or authority as the inquiring

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

Central Act V of under the Code of Civil Procedure, 1908 trying a suit and in particular in respect

1908. 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

offi ce;

(d) receiving evidence on affi davits;

(e) any other matter which may be prescribed.

(5) If, upon receipt of the inquiry report, the Government is satisfi ed

that the Institute has violated any provisions of this Act, it shall direct the Institute

to make necessary improvement and suggest for proper implementation of the

provisions of this Act.

(6) If it is observed that the Institute is violating the Act

continuously leading to a situation of fi nancial mismanagement or

maladministration of the Institute which threatens the academic

standards of the Institute, it may appoint an administrator.

(7) The administrator appointed under sub-section (6) shall exercise

all the powers and perform all the duties of the Governing Council under this

Act and shall administer the affairs of the Institute until the last batch of the

students of the regular courses have completed their courses / syllabus and

they have been awarded with degrees, diplomas or other academic distinctions,

as the case may be.

(8) After having been awarded the degrees, diplomas or academic

distinctions, as the case may be, to the last batch of the students of the regular

courses, the administrator shall make a report to that effect to the Government.

(9) On receipt of the report under sub-section (8), the

Government after due consideration, continue the functioning of the

Institute by vesting the powers of the Governing Council in any other

society or trust or any other body having similar objectives or may with

the prior approval of the UGC and other regulatory bodies concerned

de-recognize the Institute.

(10) During the process of de-recognition under sub-section (9), 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

Institute. If the funds of the Institute are not suffi cient to meet the requisite

expenditure of the Institute, the Government may dispose of the assets or the

properties of the Institute to meet the said expenses.

38. In case of dissolution or de-recognition of the Institute, all assets and Status of assets,

liabilities on properties including permanent endowment fund, general fund, development

dissolution or fund or any other fund and also the liabilities of the Institute shall belong to the

de-recognition.

Society.

CHAPTER – X.

MISCELLANEOUS AND TRANSITORY PROVISIONS.

39. Notwithstanding anything contained in this Act and the statutes,- Transitory

provisions.

(i) on the appointed date, all the teaching activities, human resources,

assets and liabilities of the society shall stand transferred and made over to

the Institute constituted under this Act;

(ii) the Director may, with the previous approval of the Governing

Council and, subject to the availability of funds, discharge all or any of the

functions of the Institute for the purpose of carrying out the provisions of this

Act, and for that purpose may exercise any power or perform any duty, which

by this Act, the statutes and the ordinances are to be exercised or performed

by any authority of the Institute until such authority comes into existence as

provided by this Act, the statutes and the ordinances; and

(iii) on the appointed date, the students hitherto enrolled in the

Institute, shall continue as students of the Institute and complete their course

in continuation of the academic year or part thereof completed by them.

Indemnity. 40. No suit, prosecution or other legal proceedings shall be initiated

against and no damages shall be claimed from the Institute, the authorities,

the Director or other offi cers of the Institute or any other person in respect

of anything which is in good faith done or purporting to have been done in

pursuance of this Act or any of the statutes or the ordinances.

Power of

41. (1) It shall be the duty of the Institute or any authority or offi cer of the

Government to Institute to furnish such information or records relating to the administration or

call for

fi nance or other affairs of the Institute, as the Government may call for.

information

and records.

(2) The Government, if it is of the view that there is violation of any

of the provisions of the Act or the statutes or ordinances, may issue such

directions to the Institute under section 42 as it may deem necessary.

42. The Government may issue such directions, from time to time, to the

Power of the

Government to Institute on policy matters not inconsistent with the provisions of this Act as it

issue directions may deem necessary. Such directions shall be complied with by the Institute.

on policy

matters.

43. If any question arises as to whether any person has been duly

Disputes as to

the constitution nominated or appointed as or is entitled to be, a member of any authority

of authorities or other body of the Institute, the matter shall be referred to the Governing

and bodies.

Council whose decision thereon shall be fi nal.

Constitution of

44. Where any authority of the Institute is given power under this Act

committees. 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 fi t.

Filling up of

45. All vacancies among the members of any authority or other body of

vacancies.

the Institute shall be fi lled 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.

Proceedings of

46. No act or proceeding of any authority or other body of a Institute

authorities and shall be invalidated merely by reason of the existence of a vacancy or of any

bodies not to defect or irregularity in the nomination of a member of any authority or other

be invalidated

body of the Institute or of any defect or irregularity in such act or proceeding

by vacancies.

not affecting the merits of the case or on the ground that the authority or other

body of the Institute, did not meet at such intervals as required under this Act.

47. (1) The Executive Council may, remove by an order in writing made

Removal from

membership of in this behalf, any person from membership of any authority of the Institute

Institute.

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 a 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 Institute 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 after it is so made, be communicated to the

person concerned in the manner prescribed.

Mode of proof 48. A copy of any receipt, application, notice, proceeding, resolution of

of records of any authority or committee of the Institute or other documents in possession

Institute.

of the Institute, if certifi ed by the Administrative Offi cer, shall be received as

prima facie evidence of such receipt, application, 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.

Power to remove 49. (1) If any diffi culty arises as to the constitution or reconstitution of

diffi culties.

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

Government may, by notifi cation, make such provision, not inconsistent with

the provisions of this Act, as may appear to them to be necessary or expedient

for removing the diffi culty:

Provided that no such notifi cation shall be issued after the expiry of two

years from the date of commencement of this Act.

(By order of the Governor)

C. GOPI RAVIKUMAR, Secretary to Government, Law Department.

PRINTED AND PUBLISHED BY THE COMMISSIONER OF STATIONERY AND PRINTING, CHENNAI ON BEHALF OF THE GOVERNMENT OF TAMIL NADU