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Saturday, October 11, 2025

Delhi HC rules govt can only intervene to prevent profiteering, commercialisation of education in unaided schools

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The Delhi High Court has clarified how the city’s education department can limit the fees that private, unaided schools charge. The court said the Directorate of Education (DoE) does not have limitless power over school fees; it can only step in to stop profiteering, commercialisation of education, and capitation fees.

The decision was made by a bench headed by Chief Justice Devendra Kumar Upadhyaya and Justice Tushar Rao Gedela. It overturned a previous order that had barred fee hikes for two schools—Bluebells School International and Lilawati Vidya Mandir—for the 2017‑18 academic year. The original single‑judge ruling had allowed the schools to increase their fees, and the High Court was asked to review that move.

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Students’ parents and the Delhi government fought the DoE’s directive. The parents argued that the government has the authority to regulate fees under the Delhi School Education Act (DSEA) of 1973. The schools, on the other hand, maintained that they should not be interfered with unless the earlier judgment was perverse or illegal.

The court’s discussion focused on whether the DoE has the power to prohibit fee hikes for unaided schools. Chief Justice Upadhyaya pointed to the Supreme Court’s 2022 ruling in Modern School v. Union of India, which confirmed that the state can regulate school fees. However, the court stressed that this power is limited to checking profiteering and capitation charges. “The state can’t use the DSEA to control every fee change,” the justice said. “Its role is to prevent schools from turning education into a pure commercial venture.”

The High Court rejected the Delhi government’s appeal and the parents’ challenge. It reiterated that the DoE may revisit the situation if it finds a breach of the DSEA, but it cannot impose blanket restrictions on private schools. The decision signals that while the government remains vigilant against exploitative fee practices, it must balance that with the autonomy of unaided institutions.

Key takeaways for parents and educators in Delhi:

* The DoE can curb rampant profiteering and capitation fees, but it can’t dictate every fee increase.
* Bluebells School International and Lilawati Vidya Mandir may raise fees within the limits set by the DSEA.
* The Delhi High Court leaves the door open for future investigations if a school is found violating the Act.

This ruling is a reminder that while the government keeps a check on educational commerce, it respects the independence of unaided schools in setting their fees.

Source: ianslive


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