Private educational institutions in Punjab have been found to have misused grants of over Rs 372 Crore under the post matric scholarship scheme for scheduled caste (SC) students.

As per the audit carried out by the state finance department on the directions of the Chief Minister Amarinder Singh on June 16, 2017, an amount of Rs 372.80 Crore had been found objectionable.  The audit, being conducted by the Department’s Internal Audit Organization, is still in progress and the same has been carried out only in 1535 government and private institutions out of a total of 3606.

As Punjab government had put on hold the grants under the scheme following misuse of the post-matric scholarship grant by private colleges, private colleges had allegedly decided not to allow admission to SC students for the upcoming academic session.

Following this, while approving the release of funds to private educational institutions under the post matric scholarship for SCs to private educational institutions, the Punjab Cabinet, however, made it clear that the release of valid scholarship amount would not absolve the educational institutions of any criminal or civil liability for any irregularity found in the audit reports.

The funds were released so that SC students do not face hardship on account of the ongoing financial scrutiny into scholarship disbursement.

The decision was taken at a Cabinet meeting, chaired by Chief Minister Amarinder Singh.The concerned departments would assist the Welfare Department in initiating legal and administrative action against the defaulter educational institutions by deputing adequate manpower for this purpose, an official spokesperson said.

In cases where the objectionable amount is more than Rs 50 lakh, the Punjab Cabinet has given the go-ahead for initiation of legal, criminal or administrative action by the Welfare Department immediately against the private educational institutions through the concerned line departments after issuing a show cause notice in each case, he said.Further administrative or legal action would also be taken, as per the regulation of All India Council of Technical Education, Punjab Technical University and Medical Council of India etc., by the line departments, the spokesperson disclosed after the Cabinet meeting.

With Central assistance, SC students  — whose parental annual Income does not exceed Rs 2.50 lakh per annum — are provided maintenance allowance ranging from Rs 230 to Rs 1200 per month. The scholarship is provided to the students studying in post matric classes, degree courses, master degree courses, medical and technical, professional and management courses.