(1) The Director may inspect a recognized institution or cause it
to be inspected by the departmental officers from time to
time.
(2) The Director may direct a management to remove any defect
or deficiency found on inspection or otherwise.
(3) If on the receipt of information or otherwise, the Director is
satisfied that—
(i) the Committee of Management of an institution has failed to
comply with the judgment of any court or any direction
made under this Act or any other law for the time being in
force;
(ii) the Committee has failed to appoint teaching staff possessing
such qualifications as are necessary for the purpose of
ensuring to maintenance of academic standard in the
institution or has appointed or retained in service any
teaching or non-teaching staff in contravention of the
provision of this Act or the Regulations;
(iii) any dispute with respect to the right claimed by different
persons to be lawful office bearers of the Committee of
Management has affected the smooth and orderly
administration of the institution concerned ;
(iv) the Committee has persistently failed for three years to
provide the institution with such adequate and proper
accommodation, library, furniture, stationery, laboratory
equipment or other facilities as are necessary for the efficient
administration of such institution;
(v) the Committee has substantially diverted, misapplied or
misappropriated the property of the institution to is detriment
or has transferred any property in contravention of the
provisions of the Uttar Pradesh Educational Institutions
(Prevention of dissipation of Assets) Act, 1974;
(vi) the draft of the Scheme of Administration had not been
submitted within the time allowed therefore under section
29, or that the Management of the institution is being
conducted otherwise than in accordance with the Scheme of
Administration or the affairs of the institution are being
otherwise mismanaged;
(vii) the Scheme of Administration in relation to an institution,
approved before the commencement of this Act, is
inconsistent with the provisions of this Act and the
management of the institution has failed to alter or modify it
within a reasonable time despite notice under section 32, he
may refer the case to Board for withdrawal of recognition of
such institution, or issue notice to the Committee of
Management to show cause within thirty days from the date
of receipt of notice why an order under sub-section (4)
should not be made;
(4) Where the Committee of Management of an institution fails
to show cause within the time allowed under sub-section (3)
or within such extended time as the Director may, from time
to time allow, or where the Director is, after considering the
cause shown by the Committee of shown by the Committee
of management satisfied that any of the grounds mentioned
in sub-section (3) exists, he may recommend to the State
Government to appoint an authorized controller for that
institution thereupon, the State Government may, by order,
for reasons to be recorded authorize any person (hereinafter
referred to as the authorized Controller) to take over, for
such period not exceeding two years, as may be specified,
the Management of such Institution and its properties,
Provided that if the State Government is of
opinion that it is expedient so to do in order to continue to
secure the proper management of the institution and its
properties, it may from time to time, extend the operation of
the order, for such period not exceeding one year at a time,
as it may specify, so however, that the period specified in the
initial order, but excluding the period specified in subsection (8), does not exceed five years,
Provided further that if at the expiration of the
said period of five years there is no lawfully constituted
Committee of Management of the institution. The authorized
Controller shall continue to function as such, until the State
Government is satisfied that a Committee of Management
has been lawfully constituted.
(5) If on the receipt of information or otherwise, the State
Government is of opinion that in relation to an institution the
ground mentioned in clause (iii) or clause (v) of sub-section
(3) exists, and that the interest of the institution calls for
immediate action, it may, notwithstanding anything
contained in the said subsection, issue notice to the
Management of such institution to show cause within fifteen
days from the date of receipt of such notice why an
authorized controller be not appointed in respect of such
institution.
(6) Where the Committee of Management of the concerned
institution fails to cause within the time allowed under subsection (5), or with in such extended time as the State
Government may, from time o time allow or where the State
Government is, alter considering the cause shown by the
Committee of Management, satisfied that any of the grounds
mentioned is clause (iii) or clause (v) of sub-section (3)
exists, it may by order and for reasons to be recorded,
appoint an authorized controller in respect of such institution
and thereupon, the provisions of sub-section (4) shall mutatis
mutandis apply.
(7) Every notice issued by the Director under sub-section (3) on
or before the service of the notice referred to in sub-section
(5) and not finally disposed of on the date of such service
shall, with effect from the said date, be deemed to have been
in abeyance,
Provided that nothing contained in this subsection shall be deemed to prevent the Director to take action
upon grounds other than those mentioned in clauses (iii) and
(v) of sub-section (3) in case the notice issued by the State
Government under sub-section (5) is discharged.
(8) If the State Government is of opinion that immediate
suspension of the Committee of Management is also
necessary or expedient in the interest of the institution
concerned, it may, while issuing notice under sub-section
(5), by order and for reasons to be recorded, suspend the
Committee of Management and make such arrangement as it
thinks proper for managing the affairs of the institution
pending the order that may subsequently be made under subsection (6),
Provided that the suspension shall not remain in
force for more than six months from the date it becomes
effective.
Explanation I: For the removal of doubts, it is hereby declared
that in computing the period of time specified in sub-section
(4) or sub-section (8), the time during which the operation of
the order was suspended by the High Court in exercise of the
powers under Article 226 of the Constitution shall be
excluded.
Explanation II: Nothing in sub-section (4) or sub-section (6)
shall preclude, the State Government from revoking an order
of appointment of an authorized controller appointed under
any of the said provisions.
(9) Nothing in the section shall be construed to confer on the
authorized controller appointed under sub-section (4) or subsection (8), the power to transfer any immovable property
belonging to the institution (expect by way of letting from,
month to month in the ordinary courses of management) or
to create any charge thereon (expect as a condition of receipt
of any grant-in-aid for institution from the State Government
or the Government of India).
(10) Any order made under this section shall have effect
notwithstanding anything inconsistent therewith contained in
any other enactment or in any instrument (including any
Scheme of Administration) relating to the management and
control of the institution or its property,
Provided that the property of the institution and
any income there from shall continue to be applied for the
purposes of the institution as provided in any such
instrument.
(11) The Director may give to the authorized Controller such
directions as he may deem necessary for the proper
management of the institution or its properties, and the
authorized Controller shall carry out those directions.
(12) No order made by the Board withdrawing recognition in
pursuance of a reference made under sub-section (3) and
other made or direction given under this section by the
Director or the State Government shall be called in question
except court of competent jurisdiction and no injunctions
shall be wanted except court of competent jurisdiction in
respect of any action taken or to be taken in pursuance of any
powers conferred by or under this section.
(13) The power conferred by this section shall be in addition to,
and not in derogation of any powers conferred on the State
Government or the authorized Controller under any other
law for the time being in force.
(14) Nothing contained in sub-section (3) to (13) shall apply to
institutions established and administered by a minority
referred to in clause (1) of Article 30 of the Constitution of
India.