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This is an archive article published on March 28, 2004

Fee cut: IIM-B does what C did, leaves it to chairman

The board of governors of the Indian Institute of Management, Bangalore (IIM-B) on Saturday authorised its Chairman S.M. Datta to formulate ...

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The board of governors of the Indian Institute of Management, Bangalore (IIM-B) on Saturday authorised its Chairman S.M. Datta to formulate its response on the cut in tuition fee. ‘‘The board has decided to depute the task to me as Chairman; the resolution will reflect the views of all the board members. I will take at least a week to prepare it,’’ Datta, a former chairman of Hindustan Lever, said after the meeting.

The board, he said, deliberated on the deficit that will arise if the fee cut as directed by the Human Resource Development Ministry is implemented. With the present student intake, the deficit is expected to be in the order of Rs 5 crore. On whether the Government had guaranteed reimbursement of the amount to make up for the fee cut, he said: ‘‘Unfortunately, if you look at the way the financial devolution works, nobody can give a guarantee.’’

The Government had said it could give an ‘‘honest statement’’ of their ‘‘intentions,’’ Datta said, adding that the questions of autonomy and fee structure were discussed as two different issues. ‘‘The concern is that the authority given to the board has been curtailed,’’ he said. Four Central Government representatives participated in the board meeting. While it is usually the Secretary and Special Secretary, among those who attended the meeting this time were the Joint Secretary and Financial Advisor, Datta said.

‘‘Representative of the HRD Ministry, V.S. Pandey, expressed the Government’s view quite forcefully, stressing that autonomy of the institutes will not be affected,’’ he said. Ministry officials were not available for comment. On HRD Minister M.M. Joshi’s statement that irregularities in some IIMs might emerge, Datta said that in the balance sheets of statements, there was no dispute on facts.

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