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MODERN DENTAL COLLEGE AND RESEARCH CENTRE & ORS. versus STATE OF MADHYA PRADESH & ORS.

Citation: [2016] 3 S.C.R. 579 · Decided: 02-05-2016 · Supreme Court of India · Bench: ANIL R. DAVE, A.K. SIKRI, R.K. AGRAWAL, ADARSH KUMAR GOEL, R. BANUMATHI · Disposal: Dismissed

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Judgment (excerpt)

[2016] 3 S.C.R. 579 
MODERN DENTAL COLLEGE AND RESEARCH CENTRE & ORS. 
A 
v. 
STATE OF MADHYA PRADESH & ORS. 
(Civil Appeal No. 4060,of2009) 
MAY02,2016 
[ANIL R. DAVE, A.K. SIKRI, R.K. AGRAWAL, ADARSH 
KUMAR GOEL AND R. BANUMATHI, JJ.] 
Madhya Pradesh Niji Vyavasayik Shikshan Sanstha (Pravesh 
Ka Viniyaman Avam Shulk Ka Nirdharan) Adhiniyam, 2007 - ss. 
3(d), 4, 5, 6, 7, 8, 9, 12, 13 - Madhya Pradesh Private Medical and 
Dental Post Graduate Courses Entrance Examination Rules, 2009 
- r. 9 - Constitution of India -Art. J9{J)(g) and 19(6): 
Validitylvires of the provisions of the Act and the Rules -
Challenged to, by appellants-private unaided 111edical and dental 
colleges - Challenge made to the provisions relating to admission 
of students in post graduate courses, .fixation of fee, reservation of 
seats, provisions relating to eligibility for admission on the ground 
of being violative of Art. l 9(l){g) as also on the ground of 
competence of the State legislature since the subject matter was 
exclusively reserved for Parliament - Held: Right claimed by the 
appellants is a .fundamental right guaranteed u/Art. 19(l}(g) - Act 
imposes reasonable restrictions on the right given to the appellants, 
thus. protected u/Art. 19(6) - Provisions in the Act and the Rules 
relating to fixation ojfee 110t violative of Ari. 19( l){g) - Reservations 
of seats for SC/ST and OBC in private educational insti1U1io11s in 
consonance with Art. 15(5) - Holding of co111111011 en/ranee test for 
admission under the control of State does not impinge the autonomy 
of such institutions - Further, impugned legislation is not beyond 
the legislative competence of the State - Thus, the Act and the Rules 
are constitutionally valid - High Court rightly upheld the validity_ 
of the provisions of the Act and the Rules. 
Provisions in the Act and Rules relat)ng to fixation of.fee -
Challenge to - Held: Parameters laid down in s. 9 have to be kept 
in mind while fixing the fee - Fee to be charged hus to be suggested 
579 
B 
c 
D 
E 
F 
G 
H 
580 
A 
B 
c 
D 
E 
F 
SUPREME COURT REPORTS 
[2016) 3 S.C.R. 
by the said educational inslitution itself - Committee is to satisfY 
itself that the fee charge"'d did not a111ount to profiteering or 
com111ercialisation of education and was based on intelligible factors 
mentioned in s. 9(1) - It is only a regulatO!y measure and does not 
take away the poll'ers of the educational institution to fix their own 
fee - Thus, the provision relating to .fixation of fee by selling up a 
Co111111it1ee to oversee that institutions are not charging a fee which 
amounts to capitation or profiteering are reasonable restrictions 
and do no/ suffer from any constitutional vice. 
Power of State io conduct Common entrance test (CET) -
Challenge to - Held: CET is in larger interest and we(fare of the 
students to promote merit, add excellence and curb malpractices -
Holding of CET zmder the control of the State does not impinge this 
autonomy - Admission is still in the hands of these institutions -
Sole pwpose of holding CET is to ensure that ad111issions done by 
the educational institutions are strictly on merit. 
Regulatory mechanism - Regulations under Adhiniya111 of 2007 
- Need for - Held: Provisions of Adhiniya111 of 2007 are aimed at 
seeking laudable objectives in larger public interest - Object of 
setting zip institutions for the State is a welfare function for the 
purpose of excelling in educational standards - Profit motive 
adopted by the private institutions leads to a large degree of secrecy 
and corruption - As such, 111echa11ism of regulations under the 
impugned laws is legal, constitutional, fair, /ramparel1l and upholds 
the primary criteria of merit - Regulations do not i11jiยทi11ge on the 
fundamental rights of either the minorities or non-minorities to 
establish and administer educational institutions and must as such 
be upheld as ralid. 
Constitution of India;,_ 
Art. 19(lj(g) and 19(6) - Right of private unaided professional 
institutions to establish and manage educational institutions - Held: 
G 
Right of professional institutions to establish and manage 
educational institutions is regarded as a11 'occupation' befitting the 
recognition of this right as a fundamental right u/ Art. 19(1 ){g) -
Four specific rights which encompass right to occupation are, right 
to admit students; right to set up a reasonable fee structure; right to 
appoint staff (teaching and non-teaching); and right to take a

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