On Thursday( 16th May), The Delhi High Court recommended redirecting funds for students’ educational expenses to the principal’s account, questioning the need for direct transfers to students’ accounts. This move aims to streamline resource allocation and oversight within the education system.
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NEW DELHI: On Thursday( 16th May), The Delhi High Court has put forth a suggestion to the Municipal Corporation of Delhi (MCD) regarding its policy of transferring funds to students’ bank accounts for the purpose of purchasing study material, uniforms, and textbooks. The court recommended that instead of transferring the money directly to the students’ accounts, the funds should be kept in the principal’s account.
The existing policy implemented by the MCD involves transferring money to students’ bank accounts to facilitate the purchase of essential educational resources. However, the court raised a valid question during the proceedings. It questioned why the funds couldn’t be deposited into the bank accounts of the school principal or the teachers responsible for the students, who could then utilize the funds to procure the necessary articles for the students.
Acting Chief Justice Manmohan and Justice Manmeet PS Arora, who presided over the bench, suggested that the MCD reconsider its policy and redirect the funds to the principals’ accounts. This way, the principals would be responsible for ensuring that the students have access to writing materials, uniforms, and textbooks.
The court’s intervention came in response to a Public Interest Litigation (PIL) filed by NGO Social Jurist, represented by advocates Ashok Agarwal and Kumar Utkarsh. The PIL highlighted the issue of non-supply of educational materials and other statutory benefits to approximately eight lakh students enrolled in MCD schools, even after the start of the new academic session.
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In defense, the MCD counsel stated that initially, the funds are indeed transferred to the principal’s account and are subsequently disbursed to the students’ accounts. Additionally, the counsel informed the court that although the MCD schools are currently closed for summer vacations since May 10, the heads of the schools have been directed to collect textbooks from Sarva Shiksha Abhiyan in a timely manner. These textbooks are to be distributed to the students by May 31, either by calling the students or their parents to the schools.

In its status report, the MCD emphasized its commitment to opening bank accounts for all students studying in MCD schools.
The civic agency stated-
“The MCD is diligently working to establish bank accounts for every student enrolled in MCD schools. Funds from students with active bank accounts are already being transferred or are in the process of being transferred through the DBT scheme. The MCD aims to ensure all remaining students have bank accounts opened by June 15, facilitating the transfer of cash amounts for the procurement of notebooks and stationery.”
The court has directed the MCD to submit a fresh status report by July 1 and scheduled the next hearing for July 4 to monitor the progress made in this matter.
During the hearing, advocate Ashok Agarwal pointed out that the MCD, in an attempt to evade providing benefits under the Right to Education (RTE) Act to the students, has been striking off the names of those who do not have bank accounts. However, the MCD counsel clarified that the names of long-absentee students have only been moved to dormant status. Once these students rejoin the school, their status will be reinstated in the school registers.
Addressing this concern, the MCD counsel assured the court that the schools do not remove the names of long-absentee students from their records.
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The Delhi High Court’s suggestion to revise the MCD’s policy regarding students’ bank accounts aims to ensure a more efficient and transparent process for providing essential educational resources. By keeping the funds in the principal’s account, the MCD can streamline the procurement of study materials, uniforms, and textbooks for the benefit of the students.
