A.M.KHANWILKAR,J. - (1.) The petitioners have assailed the decision dated 31st May, 2017 of the Under Secretary to the Government of India, Ministry of Health & Family Welfare (Department of Health & Family Welfare), declining to confirm the conditional Letter of Permission (for short, "LOP") granted to the petitioners to establish a new medical college in the name and style of 'Annaii Medical College & Hospital, Kancheepuram, Chennai', from the academic session 2016-17 and debarring the college from admitting students for the next two academic sessions i.e. 2017-2018 and 2018-2019 and further authorising the Medical Council of India (for short, "MCI") to encash the bank guarantee of L 2 crore offered by the petitioner college.
(2.) The petitioners had submitted an application for establishment of a new medical college from academic session 2016-17 onwards with intake capacity of 150 students. That proposal was processed and, pursuant to the directives issued by the Oversight Committee (for short, "OC", constituted by this Court), the Ministry issued a conditional LOP for the academic session 2016-17, despite a negative report submitted by the MCI pointing out several deficiencies. The LOP dated 20th August, 2016 incorporated the conditions specified by the OC. The MCI then carried out the verification of compliance submitted by the college on 3rd and 4th November, 2016, noting the following deficiencies:- "i. Deficiency of faculty is 27.69 % as detailed in the report. ii. Shortage of Residents is 26.08% as detailed in the report. iii. Bed occupancy is 51.6% on day of assessment at 10 a.m.. iv. There were only 2 Major Operations and 1 Minor Operations on day of assessment. v. There was only 1 Normal Delivery and NIL Caesarean Section on day of assessment. vi. There was NIL patient in ICCU and NICU on day of assessment. vii. In blood Blood Bank no blood unit is issued after 13/07/2016. viii. Casualty: Separate Casualty for O.G. is not available. ix. Paramedical and non-teaching staff: 76 Paramedical and Non-teaching staff are available against requirement of 100. x. Pharmaco Vigilance Committee is yet to be constituted. xi. Gender Harassment Committee is yet to be constituted. xii. Wards: Pantry rooms are available but there are no facilities. xiii. ETO Sterilizer is not functional. xiv. NIL Cadaver is available. xv. Website: Information uploaded is not complete. Citizens' charter is not available." In view of the deficiencies, the Executive Committee of the MCI decided to send a negative recommendation to the Ministry. Accordingly, MCI vide letter dated 26th December, 2016, informed the Ministry as under:- "In view of the above, the college has failed to abide by the undertaking it had given to the Central Govt. that there are no deficiencies as per clause 3.2(i) of the directions passed by the Supreme Court mandated Oversight Committee vide communication dated 11/08/2016. The Executive Committee, after due deliberation and discussion, have decided that the college has failed to comply with the stipulation laid down by the Oversight Committee. Accordingly, the Executive Committee recommends that as per the directions passed by Oversight Committee in para 3.2(b) vide communication dated 11/08/2016 the college should be debarred from admitting students in the above course for a period of two academic years i.e. 2017-18 and 2018-19 as even after giving an undertaking that they have fulfilled the entire infrastructure for establishment of new medical college at Pennalur, Kancheepuram Dist. Tamilnadu by Sri Karumariamman Educational Trust, Tamilnadu, with an annual intake of 150 MBBS students under The Tamilnadu Dr. MGR Medical University, Chennai the college was found to be grossly deficient. It has also been decided by the Executive Committee that the Bank Guarantee furnished by the college in pursuance of the directives passed by the Oversight Committee as well as GOI letter dated 20/08/2016 is liable to be encahsed."
(3.) The Ministry granted a personal hearing to the college on 17th January, 2017 before the Director General of Health Services (for, short, "DGHS"). The Hearing Committee considered the explanation offered by the petitioner college and opined that the same was neither satisfactory nor substantiated, from the material placed before it and that it was necessary to verify the position in the medical college. The opinion of the Hearing Committee was forwarded by the Ministry to the OC for guidance. The OC, in turn, vide letter dated 14th May, 2017 opined that the deficiencies were duly explained by the college and were within the permissible limit. It opined that the LOP deserved to be confirmed. This opinion of the OC was then considered by the Ministry along with the negative recommendation submitted by the MCI and the opinion of the Hearing Committee (DGHS). The Ministry chose to accept the recommendation of the MCI in view of the deficiencies noted in the college during the inspection. As a result, the Ministry vide letter dated 31st May, 2017, communicated the decision of the Competent Authority of the Central Government to the petitioner college, debarring the college from admitting students for two academic years i.e. 2017-18 and 2018-19 and also authorising MCI to encash the bank guarantee. The said communication reads thus:- "ANNEXURE-P/22 Speed Post No. U.12012/127/2016-ME-I [3084749] Government of India Ministry of Health & Family Welfare (Department of Health & Family Welfare) Nirman Bhawan, New Delhi Dated the 31st May, 2017 To The Principal/Dean, Annaii Medical College, Pennaalur Kancheepuram, Chennai - 602117, Tamilnadu. Subject: Conditional permission granted for establishment of Medical College in 2016-17-Decision of the Central Government - Annaii Medical College, Pennalur - reg. Sir/Madam, In continuation to this Ministry's letter dated 20.08.2016 granting conditional permission for establishment of a medical college 150 seats for the academic year 2016-17 on the basis of approval communicated by Supreme Court Mandated Oversight Committee on MCI and after granting an opportunity of hearing to the College with reference to the recommendation of the MCI's letter No. MCI-34(41) (E-80)/2016-Med. 154505 dated 26.12.2016, I am directed to convey the decision of the Central Government to debar Annaii Medical College, Chennai from admitting students in next two academic years i.e. 2017-18 & 2018-19 and also to authorize MCI to encash the Bank Guarantee of L 2.00 crore. 2. You are therefore, directed not to admit students in the MBBS course in the academic years 2017-18 and 2018-19 at your College. Thereafter, next batch of students shall be admitted in the College only after obtaining permission of the Central Government for renewal. 3. Admissions made in violation of the above directives will be treated as irregular and action will be initiated under IMC Act and Regulations made thereunder. Yours faithfully, Sd/- (D.V.K. Rao) Under Secretary to the Govt. of India Telefax: 011-23062959";