Enough! IIMA rejects govt cash

There has been an underlying sense of discomfort at the IIMA ever since Human Resources Development Ministry had started raising questions about the IIM fee structure and grant even before the CAT paper leak. In September, Human Resource Development Minister Murli Manohar Joshi had said: ‘‘With the IIMs charging Rs 1.5 lakh annually from each student for two years, why do they need a grant?’’

The ministry had wanted to reduce the fee to Rs 50,000 and freeze the assets of richer IIMs at Rs 25 crore. The CAT paper leak gave another reason to the ministry to try and get some say in the running of IIMs, much to the chagrin of the IIM officials.

After the board meeting, Indira Parikh, dean of IIMA, said, ‘‘There were some queries from the Ministry of Human Resource Development about the funds given by the Centre. We were asked why the fund should be given if the IIMs are self-sufficient. We had put the query before the board and they have decided that since this money can be used more meaningfully in some other project, we will refuse it. But, we have not yet formally refused the grant.’’

However, Parikh said, ‘‘Our relations with Human Resources Development Ministry are 40 years old. Our path of autonomy does not mean breaking away from them. As IIM has matured as an institution now, we are just redefining the relationship. We are self-sufficient and should come out of the aegis of grants to give other institutions a chance.’’

After the CAT paper leak last month, the Human Resources Development Ministry had appointed an inquiry commission to go into the matter, even when a CBI investigation was already on.

Throughout the enquiry, which is yet to be concluded, IIMA director Bakul Dholakia had maintained that IIMs are independent and will conduct all examinations themselves as they have ‘‘better level of intelligence to conduct such an exam and choose the cream of the students.’’

Today’s meeting was attended by Murthy, ICICI Chairman KV Kamath, Hindustan Lever Limited MD M S Banga, Arvind Mills MD Arvind Lalbhai, Anil Bakeri of Bakeri Constructions and L&T Chairman and MD A M Naik.

Parikh said: ‘‘There were three items on the agenda of today’s meeting—financial planning, briefing by the director on CAT paper leak and the status of re-examination as of now.’’