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Monday, April 28, 2014

Re: [MTC Global] Many bankrupt colleges to shut shop in Andhra Pradesh

will be converted as real estate properties.


On Mon, Apr 28, 2014 at 9:55 AM, Prof. Bholanath Dutta <bnath.dutta@gmail.com> wrote:

Many bankrupt colleges to shut shop in Andhra Pradesh

Nikhila Henry,TNN | Apr 25, 2014, 04.52 AM IST

 

HYDERABAD: Scores of private colleges, many offering courses in information technology, will wind up operations and those that remain will cut down their intake much before Andhra Pradesh is officially bifurcated. 

Authorities of at least 80 colleges will write to the All India Council for Technical Education (AICTE) next week seeking permission to shut down their institutes as the Supreme Court in a recent order allowed AICTE to retain its powers to close or open colleges for the academic year 2014-15, pending further orders.
 

"We heaved a sigh of relief as many colleges are running in huge losses and are in no position to continue when there is so much political uncertainty with new states coming into being. The apex court order has been a relief to us," K Ramadas, a management representative, told TOI. About 300 engineering colleges are expected to seek permission for reducing seats, he said, adding that many colleges were sustaining themselves on fee reimbursement from the government.
 

The 80 institutes that will request closure offer courses in engineering, MBA, MCA, pharmacy, B.Ed. and D.Ed.
 

"MBA and MCA colleges in the twin states will close down by the dozens, while engineering colleges are expected to drastically cut down on their intake for information technology and electronics (IT) and electronics and electrical engineering (EEE) courses," said Ramadas.
 

If the closure trend continues, IT education could be taken out of most engineering colleges in the state, said N Ramesh, another management representative and educationist. "However, we have no choice left."
 

Last year, more than 1 lakh seats in engineering colleges remained vacant after the last phase of counselling and several managements had requested AICTE to allow them to shut the gates of their institutes.
 

This year, about 20 per cent of more than 2.35 lakh engineering seats are expected to be slashed and even B.Ed. and D.Ed. colleges are facing a similar crisis, sources said.
 

"There are a total of 620 B.Ed. and 822 D.Ed. colleges in the state. Many colleges might not get students because of the uncertainty looming over teaching jobs in the bifurcated state," an education department official said.
 

Managements were in a dilemma over the closure procedure till this week, as the central government had suspended AICTE's powers to close down or approve institutions last year.
 

However, on April 17, the apex court restored the powers of AICTE, pending further orders, and opened a window for bankrupt managements to close down institutes that have failed to garner any revenue in the past few years.
 

Saroj Kumar Jena, AICTE regional officer-cum-deputy director, said they were going to issue the notice inviting closures and opening of colleges within a week.
 

"We expect institutions to seek closure and reduce seats, but a clear picture will emerge only after the notification is issued," said Jena.
 

Experts said with reduction of seats, college managements will be able to concentrate on improving facilities in their institutions. "It is quality and not quantity that matters. The institutions need a boost in infrastructure facilities, including laboratories and libraries," said Ch Venkata Ramana, a faculty member at the School of Management Studies, University of Hyderabad.
 

 

 

Educate, Empower, Elevate

Prof. Bholanath Dutta

Founder, Convener & President

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