) ) ) 'It : (040) 23562.580 (040) 23563494 JUSTICE SYED SHAH MOHAMMED QUADRI Former Judge, Supreme Court of India · · ) Former Chairman, Aut ority for Advance Rulings (Incometax), (Customs, Central Excrse & Service Tax) and Central Sales Tax Appellate Authority Government of India ) Dear Chief Justice l< > .t ) Apropos your order under Sec."7(3) of the National Academy of Legal Studies and Research University Act, 1998, appointing this Committee for causing inspection of buildings, libraries, equipments and also of the examinations, teaching and other work conducted by the University and to cause enqui1y to be made in respect of the aforesaid matters, the Committee hereby forwards its report for your perusal and further action under Sub Sec.4 of Sec.7 of the said Act. ) ) ) ) ) ) ) ) ) The report is based on the primary data and secondary data. The primary data consists of response of the various stakeholders - the Registrar, the faculty, the students, non-teaching staff and the medical Doctors. However, to maintain anonymity, we did not refer to any name in the report. The committee members also collected secondary · data on various subjects from the office of the Registrar of NALSAR and other sources. We thanl< the Hon'ble Chancellor for reposing confidence in the Committee for the purpose of inspection and report under Sec.7(3) of the Act. Yours Sincerely, ) ) Hyderabad, 12.09.201-1. .;;. (JUSTICE S.S.M.QUADRI) Chairman ) ) ) ) ) · . ) £ - (S.RAVI KUMAR) -) MEMBER SECRETARY. (JUSTICE ) ) ). \) t To Justice Nisar Ahmad Kakru, Chief Justice, High Court of A.P., Hyderabad. . f_ · V.V.S .RAO ) Mem ber c-- (JUSTICE RAMESH RA NaN ATH AN) Mem ber Residence : 8-1-346/10, Sabza Colony, Toli Chowki, Hyderabad-500 008. ) ) ) ) ) NATIONAL ACADEMY OF LEGAL STUDIES AND RESEARCH ) ) ) ) ) ) ) REPORT UNDER SECTION 7(3) OF THE NALSAR ACT ) ) ) ) ) ) ) ) ) ) J ) ) ) ) BY THE COMMITTEE OF 1). Hon'ble Sri Justice Syed Shah Mohammed Supreme Court of India - Chairman; Quadri, Former Judge, 2).Hon'ble Sri Justice V.V.S.Rao, Judge, High Court of A.P.- Member; 3).Hon'ble Sri Justice Ramesh Ranganathan, Judge, High Court of A. P.- Member; 4).Sri S. Ravi Kumar, District & Sessions Judge, presently Member Secretary of A.P. State Legal Services Authority - Member-cum- Secretary of the Committee. ) ) INDEX TO REPORT ) ) ) I. CHAPTER I.. .. . . ..... . . .. . . . . ... . . . ..... . .... . INTRODUCTION 1 II. CHAPTER II . . . . ..... . . . . .... . ..... . .. . .. . .. . ADMINISTRATION AND GOVERNANCE STRUCTURE 4 ) ) a). Centralization of authority ........ 7 ) b) Expenditure ................................ 9 ) c) Specialized positions in Administration including that of Registrar ........... 11 d) Discharge of functions of Deputy Registrar 12 e) Attendance Register .................. 14 Leave Records ......................... 15 ) ) ) f) ) g) Consolidated set of Rules ............ 16 ) h) Award of Gold Medals.................. 17 ) i) Leakage of Final Semester Examination Question papers 19 ) j) ) ) ) ) ) ) ) ) ) ) ) ) \\ III. Occupation of quarters without payment of rent ............................. 22 k) Vehicles 25 1) Favouritism 26 m) Trust deficit 33 CHAPTER III ACADEMIC ISSUES 36 a) Recruitment of Faculty ..................... 37 b) Faculty Development ..................... 42 c) Execution of Projects 43 d) Research 43 ) ) ii ) ) ) ) ) ) ) e) Course curriculum & design ......... 44 f) Credit system 46 g) Altemate methods of teaching ........ 47 h) Evaluation of project reports and answer scripts 47 i) Examination paper setting and evaluation 48 j) 48 Curriculum and performance review k) Academic and other Intemal Committees 49 I) Evaluation of the Faculty by Students 50 m) Class strength & tutorials ........... 54 ) n) Marks for Attendance .............. 57 ) o) Plagiarism 58 p) Foreign Languages 59 ............................ CH.APTER IV FINANCIAL MANAGEMENT 60 ) 0 0 ) ) IV. a) Books of accounts 62 b) Accountant general audit 68 ) c) Project accounts...................... 76 ) d) Foreign travel 85 ) e) Advertisement expenses ................. 88 ) f) ) g) NALSAR proximate education .............. 91 h) Diploma course offered in collaboration with CDI 99 i) Masters in Business Laws and Administration 99 ) ) ) ) ) ) ) j) Advances given to faculty members ........... Collateral benefits to faculty members 90 101 ) ) I) iii ) k) Honorarium from IAAM 104 () 1) Rented building 105 0 m) Common Law Admission Test (CIAT) ............ 108 n) Endowment funds 114 o) Convocation expenses 115 p) Construction of auditorium ................... 118 q) Other contracts .............................. 121 r) Fines 122 s) Finance committee meetings ............. 123 () :) 0 ) () ) v. 0 0 VI. CHAPTERV LIBRARY CHAPTER VI ................................... STUDENTS WELFARE/GRIEVANCES 124 126 a) Placement programme ..................... 126 ) b) Moot courts 130 ) c) Medical facilities........................... 131 ) d) Cleanliness of hostels ...................... 134 ) e) Erratic power supply ...................... 134 ) f) J ) ) ) ) ) ) g) Sports & extra- curricular activities ........ Counseling h) Official e-mail address 136 137 138 ) ) iv ) ) VII. CHAPTER VII .................................. SUGGESTIONS AND RECOMMENDATIONS ) 139 a) Administration and governance structure 139 ) b) Academic issues 142 ) c) Financial management .................... 148 ) d) 155 ) e) Student welfare/grievances .............. Library 156 159 ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ). ) VIII. CHAPTER VIII CONCLUSION ) ) ) ) CHAPTER I ) INTRODUCTION ) In exercise of the powers, conferred by Section 7(3) of the Act, the Chief Justice, High ) Court of A.P. and the Chancellor, NALSAR University constituted a committee ) consisting of ) 1). Hon'ble Sri Justice Syed Shah Mohammed Quadri, Former Judge, Su preme Court of India- Chairman; 2). Hon'ble Sri Justice V.V.S. Rao, Judge, High Court of A.P. - Member; ) ) 3). Hon'ble Sri Justice Ramesh Ranganathan, Judge, High Court of A. P. - Member; 4) . Sri S. Ravi Kumar, District & Sessions Judge, presently Member Secretary of ') ) ) ) ) National A.P. State cumSecre tary Legal Services Authority - Member- of the Committee so constituted; for the purposes of inspection / inquiry in respect of the areas spelt out in Section 7(3) of the Act, and submit its report and recommendations The Hon'ble Chief Justice of Andhra Pradesh is the Chancellor of NALSAR under Section 7(1) of the ) Act, Academy of Legal Studies and Research University 1998 (the Act). Section 7(3) of the Act empowers the Chancellor to cause an inspection lo be made by a person ) made ) ) ) ) ) ) ) or persons as he may direct and cause enquiry to be ) 2 ) ) in respect of the ) NALSAR. administration and the Inspection of the finances University, its of buildings, libraries, land, equipment, and of any institution as also of ) examinations, teaching and other work conducted or done ) by the University, falls within its scope. ) This report is in Seven chapters. to the ) Report is in Chapter l. The Introduc tion Chapter II deals with the Administration and Governance Structure. Academic Issues are in Chapter III. Financial Management, which ) J ) ) ) ) occupies a major portion of this report, and other related administrative/ academic issues are in Cha pter IV. I ssues relating to the "Library" is in Chapter V. "Stude nts welfare and grievances" and "Suggestions and recommendations" are in Chapters VI and VII respectively. "Conclusions" are in Chapter IX. The Committee first met on 7.3.2011 at the ) residence of its Chairman. Thereafte r the Committee met ) on 26 occasions between April and ) ) members of the committee first August, 2011. The vi sited NALSAR on 13.3.2011. They inspected all the blocks of the University including all hostel buildings in detail. They interacted with each member of the NALSAR faculty on 11 occasions, heard the grievances of studen ts on thr:ee occasions, and ) ) ) ) J ) also met the non-teaching staff of NALSAR. Members of ) 3 )" ) ) the committee either collectively, o r individually, examined ) the books of accounts of NALSAR on 17 different days. ) They invited, and received, written representations and suggestions from the teaching faculty, students and ) ) ") Alumni of NALSAR. As this Committee had assured the complainantsjrepresentationists, and the faculty members with whom they had interacted individually, of anonymity their complaints /views and a few of their suggestions have ) ) been incorporated after consideration as part of this report withou t identifying the authors of those suggestions. This Committee places on record its deep sense of appreciation ) ) ) ) ) ) ) for all those suggestions which are adopted as part of this report. ) ) 4 .J .) CHAPTER II ) ADMINISTRATION AND GOVERNANCE STRUCTURE ') ) The University is mainly concerned with four core activities, namely, the admission programme, the ) ) ) academic programme, the evaluation programme and accommodation for faculty and students. Other areas of administration are ancillary and incidental to these core activities. ) The objects of the University! and its powers and ) ) functions2, are myriad and many. But one object which stands out is the requirement to promote legal awareness in the community for achieving social and economic ) justice. As all powers and functions of the University are to be exercised and discharged ) ) ) in a manner conducive Lo the achievement or enlargement this fundamental aspect the cannot be of the objects, tgnored administration and governance of NALSAR . in The General Council3, the Executive Council4, ) the ) Finance Committees and the Planning Board6 are conferred 1 ) ' ) ) ) ) ) ) ) Section 4 of the NALSAR Act Section 5 J Sections 9 and I0 4 Sections II and 12 5 Section 1 5 6 Section 1 5A 2 ) 5 ) ) ) ) with wide ranging powers exercised in the areas assigned to them. The management of academic affairs of the University, organization of the faculty and assignment of ) subjects to faculty members, making arrangements ) instruction, ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) evolving admission academic matters are entrusted to the Academic CounciF under the overall supervision of the Executive Council. The General Council is the plenary authority of the University. Its primary concern is to formulate and review broad policies/programmes of the University and devise measures for improvement and development of the University. It has all the powers as enumerated in Section 5 of the Act unless any such power is specifically given to any other authorities of the University. Even then it is the General Council which has the power of veto. As, under Section 10(2)(i), the General Council meets once a year all decisions of all the authorities, namely, the Executive Council, the Academic Council, the Finance Committee and the Planning Board should be brought to the notice of, and be discussed by, the General Council. The Executive Council is entrusted with all such powers as are necessary to administer the University. It is also e mpowered to make 7 ) research, programmes and policy, conduct of examinations and other ) ) promoting for Sections 13 and 14 ) 6 Regulations for the purpose of administration. function subject to the It has to provisions of the Act and the Statutes. However Statutes/ Regulations are not in place in ) many areas. To establish a transparent system driven University management, Statu tes/ Regulations aspects the to first step cover is all to make areas and ) ._immediatelY; This would ensure proper guidance to all ) officers of the University, and keep the decision makers ) within the bounds of law. NALSAR is expected to progressively become a self financing and self-sustaining institution of higher learning. ) While the primary reason for its establishment is to offer a ) five year undergraduate course in law its focus, of late, has shifted to ) ) ) ) ) distance education. While these distance education courses, no doubt, supplement the revenues which NALSAR gets by way of fees for the undergraduate and postgraduate courses offered by it, and may help it shore up its finances, NALSAR has, by spreading itself wide and thin, created .£1.is.satisfaction among its students and faculty of the manner in which the institution 1s administered. ) The present administrative structure, which is not built on any discernible pattern or prnciple, is grossly ) ) .) ) ) ) ) inadequate to cater to the future needs or the Universi ty. Il ) 7 ) ) ) ) is imperative, therefore, that addressed at the earliest. Micro management by the ) ) ) ) ) ) issues of governance are authorities concerned, with a substantial part of the time of the head of the institution being spent on studen ts discipline and granting permission for absence or leave, has resulted in lack of focus and clarity in framing and im plementing policies which would enable this Premier Law School to reach greater heights both as an academic and as a research institution. Without receiving approval from the Office of the Vice Chancellor, no administrative, academic, financial, ) hospitality or other decisions are ) system needs overhaul, and NALSAR would do well to ) ) ) ) ) ) taken. The existing organize its administration on more soun d , systematic and efficient lines. An expert body needs to study the present systems and, if necessary, recommend a more effective model of administration and management of NALSAR. (a) CENTRALIZATION OF AUTHORITY Discretionary power, conferred on any authority, must be structured and confined withirt limits. Unbridled discretionary powers are, more often !.han no t, abused. While the Vice Chancellor is in charge of the functioning of the University, and the role of the Chancellor or !.he General Council in these matters is limited, it is a matter of ) ) ) ) ) ) ) 8 ) ) ) urgency that necessary statutes and regulations are put in ) place to safeguard against abuse of discretionary power by those in the management of NALSAR. Wastage of scarce ) financial resources, the teaching faculty being divided into ) ) ) ) groups, and the atmosphere of uncertainty prevailing in the campus, does not augur well for the future of this premier institution. We have received complaints both from the faculty, and the students, that the power lo make decisions is ) ) disproportionately concentrated in the office of the Vice Chancellor: from granting funds for various contests to granting permission to leave campus, from allowing ) ) ) organization of a national debate to permitting students to open the recreation room and use the drum kit therein. The complaint is that, as it is no t possible for the Vice Chancellor to be acquainted with every student on the ) campus, requests by students known to him are often viewed more favourably than those unknown to him. ) of ) ) Granting of academic leave, where the personal beliefs the Vice-Chancellor play a role in what activity is seen to be worth participating in, is cited as an illustra tion of the lack of any guiding principle as to what mandates the sanctioning of academic leave. J ) ) ) ) ) ) ) ) ) As a result the merit of an application does not matter as much as the person who ) 9 ) ) ) ) ") ) ) ) } ) ) ) ) ) ) ) would lay that application m front of the concerned authority. There is complete lack of involvement of the faculty in the institutional management. The faculty needs to be assigned more responsibilities in the administration of the University. Involvement of the faculty, by rotation, in administrative authority m affairs the would office University management of reduce the concentration Vice-Chancellor. of The would do well to consult the faculty before taking policy decisions or in starting important programmes. The Chancellor, or his nominee, should periodically examine the decisions taken by the Vice-Chancellor on academic, faculty I student related, and financial issues. (b) EXPENDITURE LIMITS The Finance Regulations of NALSAR stipulate that the funds of NALSAR shall be spent only for the purpose of achieving the objectives and fulfilling the functions of the University; Capital expenditure shall not be incurred ) without the previous sanction of the Executive Council; the ) Vice Chancellor shall have the authority to spend or incur ) ) ) ) ) ) ) ) ) ) expenditure of an emergent nature, not provided for in the budget, not exceeding Rs.15,000/- during a month for the purpose of the University subject, however, that the total ( ) 10 ) ) ) ) ) } amount so Rs.50,000 f-; spent during one year does not exceed the expenditure so incurred shall be got ratified by the Executive Council in its earliest meeting following the period during which such expenditure was incurred; the University shall maintain a stock register i n which it shall be entered all pieces of furniture and fixtures ) and other articles owned by it; the sai d register shall be ) maintained upto date by the Accounts Officer; and the Accounts Officer shall be responsible for their upkeep and ) accounting. ) ) ) All expenditure of NALSAR, except during his absence, is subject to the approval of the Vice-Chancellor. While approval for the annual budget and the annual accounts is obtained from the Executive Council, no such ) approval has either been sought or obtained for individual ) items of expenditure even if it had exceeded Rs.l5000 I ) ) ) ) ) ) ) ) ) ) ) ) ) per month or Rs.50,000/- per year, let alone such expenditure being ratified by the Executive Council in the next meeting following such expenditure being incurred. Failure to obtain such sanction/ approval is in violation of the Finance Regulations of NALSAR. Expenditure limits must not only be put in place but must also be reviewed periodically. ) II ) ) ) No stock register, containing details of furniture and fixtures and other articles owned maintained though it is mandated under the Regulations. ) by the University, is purchase Finance The capital expenditure incurred, in the of furniture from Prof. Vijender Kumar of Rs.32,000/ -, is also without pnor approval / subsequent ) ratification by the Executive Council, and thus falls foul of ) the Finance Regulations. ) (c) ) ) •I) SPECIALIZED POSITIONS INCLUDING THAT OF REGISTRAR IN ADMINISTRATION Under Section 16(2) of the Act, the Registrar is an officer of the University. Section 18(1) of the Act prescribes the procedure for appointment of the Registrar. Section 18(2) stipulates that the Registrar shall be an ex-officio member secretary of all authorities, committees and other ) bodies of the University and also ) meetings. The NALSAR Act does not confine appointment the Convener of all to the post of Registrar only from among the faculty of the ) ) ) University. Though the NALSAR Act does not so require, the University has, since its inception, opted for a Professor of the University to also administrative and function as its Registrar. As the managerial responsibilities of the position has increased multi-fold, the position of Registrar ) ) ) ) ) ) ) \ ) ) ' ) ) ) 1 2 should be made available for outside professionals or on deputation for senior level administrators from either the ) State or Central governments. ) There is a need to create specialized positions in the ) ") administration which can complement the teaching and research activities of the faculty. A post of Joint Registrar with different Assistant Registrars handling examinations, ) ) placements, buildings and maintenance etc., should be created. Whilst the Dean of Student Welfare or the Proctor should be from the faculty, appointment of full time to oversee the ) ) issues war den s, stud ents , ) of can be subject to constrain ts. residence related considered financial ) (d) DISCHARGE OF FUNCTIONS OF DEPUTY REGISTRAR By proceedings of the previous Vice Chancellor dated 25.7.2007 Dr. Vijender Kumar, ( the then Convener of the ) ) Examination Committee), was asked to supervise the work of the office of the Vice Chancell or since the Assistant Registrar had proceeded on extra-ordinary leave withou t ) Vijender ) pay for two months. The said order required Dr. Kumar to be paid Rs.4000 f - per month as remunderation. On the ground that the office of the Dy. Registrar was ) dated ) ) . ) _ ) _ ) ) vacant the present Vice Chancellor, by his order ) ) 13 ) .- -) ) ) ) ) 30.8.2008, asked Dr. Vijender Kumar, (lhen an Associate Professor), to look after day to day administrative work like conducting of University body meetings; preparation of agenda, minutes etc; attend on visitors in the campus; and the work of the office of the Vice; Chancellor, in coordination with the Assistant Registrar. The said order required Dr.V ender Kumar to be paid Rs.4000/ - per ) month as remuneration for the extra work. From July ) 2007 till October 2009, and thereafter from July 2010 till ) ) ) ) date, Prof.Vijender Kumar has been continuously paid Rs.4000/- per month for these services. In addition he is being paid Rs.4000 I- per month as Proctor. The Executive Council, in 8.8.2008, approved the its meeting held on Employees Service Regulations which categorized vario us posts; prescribed their scales of ) pay etc. The said Regulations require appointment to th e ) post of Dy. Registrar to be in the pay scale of Rs.8400Rs.16,525. The qualifications prescribed for the said post ) is a degree from a recognized University, with at least 15 ) years experience of having worked in a University, or in an ) ) educational institution of national standard. The selection committee, for selection of the Dy. Registrar, is lhe Vice Chancellor, the Registrar, one Professor of the University nominated by the Vice Chancellor, and one outside expert ) ) ) ) ) ) ) ) 14 ) ) ) nominated by the Vice Chancellor. ) the new Regulations were made on 8.8.2008 creating the ) ) ) post of Dy. Registrar, Dr. Vijender Kumar is being asked to discharge the functions of a Dy. Registrar. This Committee has not been informed why, instead of appointing a regular Dy. Registrar, NALSAR continues to utilize the services of Dr. Vijender Kumar, a senior faculty mem ber, to discharge ) the functions of a Dy. Registrar. ) (e) ) ) Curiously, even after ATTENDANCE REGISTER No attendance register is maintained for the faculty of NALSAR nor is their time of entry and exit, from the NALSAR Shameerpet campus, recorded even at the ) entrance. ) while classes are conducted from 9.00 a.m. to 1.40 p.m., .) ) ) ) ) Our discussions with the faculty show that, the time set apart between 1.40 p.m. to 4.00 p.m. for students interaction with the facul ty is seldom utilized except during submission of project reports. We learn that several faculty members of NALSAR leave after the campus 1.40 p.m. even without obtaining permission of the Vice Chancellor. Proper systems should be introduced to record attend ance of faculty members, the time of their entry and exit from NALSAR Shameerpet campus, and maintenance of proper leave/ permission registers wherein either their leave of absence, or permission to leave early, is recorded. ) ) ) ) ) ) 15 (f) LEAVE RECORDS While part B(l) of the Leave Rules require faculty members to obtain sanction of the Vice-ch,ancellor for availing "on duty leave", this Rule has been observed more in breach than in practice. The entries in the Leave Register are sketchy, and the Leave record need proper and upto ) date maintenance. I ) There is no system in place to ensure that leave applications are submitted by the Registrar and other ) faculty members; of leave being sanctioned; for sanction of ) leave to be intimated to the Administration Department; ) ) ) ) ) ) ) ) and for recording such leave in the Leave Register. It is only if the leave application Administration department, is is kept forwarded in the to the individual faculty member's file, and entered in the Leave register, is the leave availed being accounted for. There is no system in place to ensure that every faculty me mber intimates m writing and seeks permission for abstaining from duty. Except for a casual leave file, t)1ere is no record maintained with respect to any other leave having been taken by the Vice Chancellor. The personal file of the Vice Chancellor does not contain any leave application. The casual leave file maintained each year does not reflect any such leave having been availed by the Vice Chancellor. The ) ) ) ) ) ) 16 ) ) ) latest trip of the Vice Chancellor to Canada in June, 2011 ") is also not shown as leave of any sort either in the casual leave file or in the personal file or in the Leave register, ) though he has been paid his monthly remuneration during ) ) ) ) this period of absence. From the inception of the University till date, no have been sought or obtained by the permission seems to Vice Chancellor and the NALSAR from the either the Registrar of Executive Council or Chancellor for availing earn leave, duly leave, etc. When the earn leave register was partly inspected on 27.07.2011, ) the duty leave sheet of Professor M. Sridharacharyulu was ) updated only till 28.09.2005. However the inspection on ) ) ) ) 28.07.2011 revealed a few additional entries having been made therein. (g) CONSOLIDATED SET OF RULES A consolidated set of rules shouLd be periodically made available to students, say once each year. This would not only ensure greater clarity and ) transparency but would also help in holding students accountable for violation of ) the rules. A comprehensive code of conduct, and the ) sanctions flowing should from ) ) ) ) ) ) ) ) breach thereof, be formulated especially for issues such as use ) a of unfair means in exams, plagiarism etc. ) 17 ) ) ) ) ) ) (h) AWARD OF GOLD MEDALS The regulations framed by NALSA R, for the award of gold medals, prescribe that the selection therefor shall be made on the basis of the recommendations made by a Committee, and approved by the Vice Chancellor; the Committee is to be appointed by the Vice Chancellor from time to time; it is to comprise of five members nominated ) by the Vice Chancellor; in respect of medals to be awarded, ) for performance in any particular subject as indicated by ) ) ) ) ) ) ) ) ) the Donor, the performance of the student obtaining the highest grade, and the highest mark, is to be awarded the medal; in respect of gold medal to be awarded to the first position in the annual examination / best student for overall excellence/best woman student for overci.ll excellence/ first rank in the final examination final year I I best all round student of best all round boy student and best all round girl student, a list of top five students among the eligible candida tes who have secured the highest CGPA shall be furnished to the committee; from out of the short listed five students, the committee shall collectively recommend the best student who deserves the award of the concerned gold medal; the decision of the Vice Chancellor shall be final; and the norms on which the selection is finally made is to be determined by the committee itself. ) ) ) ) ) ) ) 18 ') ) ) ") The regulations for medals was approved by the Executive Council in its meeting held on 17.09.2003. The Executive Council also approved the ) recommendations of the Academic Council for institution of ) a gold medal to be named as "University Gold Medal for Rhodes ) ) ) Scholar" to be awarded for the recipient of the Rhodes Scholarship at the Annual Convocation starting from the Convocation to be held in 2007. Contrary to the Regulations the then Vice Chancellor by his circular dated 26.08.2004, while constituting the gold medal committee, ) informed them that the two gold medals for the ) student (i.e., one boy and one girl) would be decided by him. ) best A similar circular, conferring power on himself lo decide the two gold rpedals for best students (one boy and ) one girl), was issued by the Vice-Chancellor on 15.06.2005. ) Though the regulations required lhe Vice-Chancellor ) ) ) ) I award of gold ) ) ) ) ) to constitute a committee comprising of five members, a committee of only four members was constituted by circular dated 26.08.2004; a committee of three members by office order dated 20.06.2008; and a committee of four members by office order dated 28.07.2009. ) 1 9 ) ) ( i) ) LEAKAGE OF FINAL SEMESTER EXAMINATION QUESTION PAPERS The ) question papers, for the final semester examination held on 26th and 27th April 2011, were leaked, ) resulting in the said examinations being postponed. Our ) enquiries reveal that there were 3 to 4 sets of keys of the examination room which were available in the offices of the ) Vice Chancellor, Registrar, the examination section in ) charge and the cleaning staff. The examination room used to be opened and cleaned every ) morning even before the staff arrived. The driver-cum-attender of NALSAR was also entrusted with a key of the examination section room. He ) ) was being monetarily assisted by the students. One of them obtained the key from the said driver and made a duplicate key which was used to open the examination ) section room. This student entered the room, hacked into the computer, loaded the question papers into his flash ) drive, made copies thereof, and distributed them to other ) students for monetary considerations. A complaint was Shameerpe t Police NALSAR on to the Station by the Registrar, 6.6.2011 informing him Vice Chancell or committee lodged had consisting constituted of (1) SHO, that the an enquiry Prof. V. Ramakrishna, Former Professor (History), University of Hyderabad , (2) ) ) ) ) 20 Prof. Sukhbir Singh, Former Professor (English), Osmania ) ) University, Hyderabad and (3) Prof. Vijender Kumar, Professor of Law, NALSAR University of aw, Hyderabad to enquire into the examination paper leakage; the enquiry ) report was submitted on 3.5.2011; the matter was placed ) before the Executive Council; thereafter a second show ) ) ) ) cause notice was issued to the employees and studen ts; and, pursuant to the directions of the Executive Council on 12.5.2011, a complaint was being lodged. The Executive Council, in its meeting held on 12.5.2001, after noting Lhat the examination paper relating to law and poverty had been replaced with a new paper ) immediately before the examina tion on 27.4.2011, decided ) to cancel the following examinations and resolved that the ) ) ) ) examination should be held afresh during the 4th week of June, 2011. "FIRST YEAR SECOND YEAR THI RD YEAR FOURTH YEAR 2.1 Law of Con tracts -I 2.2 Sociology - I 4.1 Criminal Law - II 6.1 Jurisprudence II 6.2 Constitutional Law- II 8.1 Banking and Finance 8.2 Taxation Law- II" All this reveals complete lack of security in ensuring secrecy of the question papers for the final semester examinations. Curiously it was only the office assistant ) ) ) ) ) ) 21 ) ) ) ) cum driver who was dismissed from service. Four students, involved in this unsavory episode, were expelled from the University. The pay of the Sr. Assistant (Examination) was ) reduced by four annual increments, and the Jr. Assistant ) in ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) the examination section was warned. Except for reconstitution of the examination committee, none of the faculty were faulted for such serious l apses in leakage of the final semester examination question papers. Neither the examination committee, nor any one else in upper echelons of administration, were held accountable, let alone any action being taken against them. We were informed that the recent paper leaks, during the final semester examination of 2010-2011, is not an isolated instance but has been preceded by several such leaks in the previous batches also. No action . was taken and the complaints were brushed aside as mere rumour mongenng. This committee has not been informed of any systems having been introduced thereafter to ensure that such incidents of paper leakage do not recur in future. ) 22 ) ) ) OCCUPATION OF QUARTERS WITHOUT PAYMENT OF RENT On his purchasing a flat at Tirumalgherry, Dr. Vijender Kumar vacated Quarter No.A- 1, which he was hitherto occupying, with fro m the fore- noon effect of 1.6.2009. The very next day i.e., on 2.6.2009 he informed that, since he was also serving the University as a Proctor he needed to stay on the campus someUmes, for which he should be allotted a room in the facult y residential area without forfeiting his entitlement for HRA. The then ) him ) Registrar, vide proceedings dated 2.6.2009, permitted to occupy one bed room in Quarter No.A.1 (the very same quarters which Dr. Vijender Kumar was occupying till just ) a day before). The Member Secretary of lhis Committee ) inspected Quarter No.A- 1 in the after-noon of 08.09.2011. ) quarters On inspection he found that, while officially Dr. Vijender Kumar has been allotted just one room, A.1 ) ) ) consists of three bed rooms, one kitchen and one hall; the said Quarters has only one door al the entrance; other than this entrance there is no other way for entry or exit from the said Quarters; there is no separate en trance or exit room for any particular therein; the furniture purchased by NALSAR from Dr. Vijender Kumar, vide· Voucher No.530 dated 23.7.2009, for Rs.32,000/ -, when he shifted from own flat at ) ) ) ) ) Quarter No.A-1 to his ) ) 23 ) ) Secunderabad, (i.e., Iron Cot -2 Nos, Wooden Cot- 2 Nos, ·; ) ) Dining Table with 6 chairs, Cane Sofa double seater- 1 no, single seater - 4 nos, cane diwan - 1 no. sofa tables - 2 nos, refrigerator (whirlpool) 190 ltrs, Window A/ c (LG) 1.5 ton, T.V. (Onida) with T.V. stand and power inverter), were still there in Quarter No.A-1. ) ) That Quarter No.A-1 has again been provided to Dr.Vijender Kumar, from the very next day of his vacating the said quarters, means that the ) furniture purchased from him is still being made available for his exclusive use at Quarter No.A-1; and he has neither ) paid rent nor has he foregone his HRA for such occupation. ) ) ) ) Our enquiries reveal that on week-ends Dr. Vijender Kumar stays in the said quarters along with his family members. The Vice Chancellor, by his letter dated 19.8.2011, has certified that faculty members, who are allotted faculty ) quarters, do not get HRA and no rent is charged from them; sometimes a few faculty members are requi-red to ) stay on the campus on special occasions i.e., for evening ) cultural functions, anti-ragging, inspection of hostels, work connected with conferences and semin ars etc; ) they are allowed to use one room in one of the vacant faculty houses; all the faculty members make their own provision for food; Dr. Vijender Kumar, as a Proctor, is sometimes ) ) ) ) ) ) ) ) ) 24 ) ) ) required to stay overnight to co-ordinate the work of wardens in the hostels; inspection of hostels; and to ensure maintenance of discipline during ) ·; various.cultural events in the evening; he was allowed to use one room on such occasions in the vacant faculty house No.A.1 for which no ) rent was charged; and he makes his own provision for food. By his letter dated 21.8.2011, the Vice-chancellor ) has certified that, under the same arrangement, sometimes ) ) Prof. Balakista Reddy and Dr. Vidyullatha Reddy were asked to stay in the vacant faculty Quarter No.A-3 on various occasions; when NALSAR is closed for semester ) ) ) breaks wardens, who stay in the hostel warden rooms, are shifted to the faculty quarters temporarily as water and power supply in hostels is cut off during the said breaks; and no record is maintained for stay in the vacant faculty ) Quarters as NALSAR does not charge any rent for such temporary occupation when faculty members are called for ) to special duties. While the letter dated 21.8.2011 refers ) ) the occupation for some period of Quarter No.A-3, no reference is made therein to Quarter No.A-1 in which one room is said to have been provided lo Dr. Vijender Kumar. ) As Dr. Vijender Kumar had ceased lo be the Chief Warden from 12.8.2008, after written complaint was made against him on by students of the a 2005-2010 batch 8.8.2008, it defies reason as to how he continues to co- ) ) ) ) ) ) ) 25 } ) ) ordinate the work of wardens, let alone be provided a residential quarters for this purpose. reveal that no other facul ty member has been permitted lo ) use Quarter No.A- 1 even ) occupied by Dr. Vijender Kumar. ) ) ) ) ) ) Our enquiries also (k) during the period it is not VEHICLES NALSAR has so far purchased nin e vehicles of which one Ambassador car was auctioned in the year 2010. While the Swaraj Mazda Mini bus is used to transport staff; the Toyota Qualis vehicle is used for official purposes; and the Maruti Omni vehicle is used as an ambulance. Two cars, i.e., Hyundai Accent and Honda ·Civil, are in the exclusive control of the Vice Chancellor whereas the ) Mahindra Logan and Ta ta Indigo cars were, hitherto, under ) the control of the then Registrar. Maintenance of the log books of these vehicles is shabby. Even from the sketchy ) details, as are available therein, it is clear that vehicles ) have been made available to Dr. Vijender Kumar and Prof. K.V.S. Sarma (when he was the Registrar) for their private ) use without their being asked to pay for the expenditure ) incurred by NALSAR in this regard; and vehicle Nos.AP 28 BN 3657 (Indigo); AP 28 BK 8501 (Logan) and AP 13H 2727 (Qualis) were mainly used by the erstwhile Registrar Dr. K.V.S. Sarma and Dr. Vijender Kumar to commute from ) ) ) ) ) ) ') 26 ) •) ) ) NALSAR Shameerpet campus to their residence and back. During the period 1.6.2010 till 30.6.2011 Dr.K.V.S. Sarma has utilized the said vehicles of NALSAR for his personal ) use traveling an extent of 4300 KM (approx) . During the ) period from the year 2007 till 20 11 Dr. Vijender Kumar has ) .) ) ) ) ) .) ) ) ) ) ) utilized different vehicles of NALSAR for his private use traveling 7852 KM (approx) . Both these officers have not paid a single rupee for such travel though they are not entitled to utilize Nalsar vehicles for their personal use. (1) FAVOURITISM Allegations of favouritism are easter made, than established, against persons on whom responsibility is conferred, by those who seek such privileges. The authorities in charge of administration cannot be faulted for entrusting such responsibilities on persons who are capable, and are worthy of trust. Necessary care and cau tion should, however, be exercised to ensure that such conferment of responsibilities, and the power associated therewith, is not abused. A substantial section, both amon g Lhe faculty and the students, have levelled allegations again st a senior member of the faculty. We were initially reluc tan t to place thesen allegations on record as it could mar the reputation of the ) ) ) ) ) ) ) ) ) individual, but a few indisputable facts and recurrence of ) 27 ) ) such allegations over the have made us reconsider. make it clear placed on that record for Chancellor, and past few We, years however, these complaints are the any information of the further enquiry J investigation into the ) matter would be for the Chancellor to consider. We may ) .J ) not be understood conclusively, satisfied as ourselves on the truth or o therwise of all the allegations. We have referred only to those instances which are reflected in the records of NALSAR or form part of written official complaint made against him. refrained ) having, We have from referring to several other startling allega tions levelled ) ) ) ) Kumar, against the said faculty member in the a bsence of any oral or documentary evidence in support thereof. Interaction with each individual faculty member of NALSAR, and with reveals a under-graduate students, wide-spread belief among them that Prof. Vijender ) Proctor and Professor of NALSAR, has been accorded favoured treatment by the Vicechancellor. That this belief ) is not without substance is reflected from the following ) ) instances: i) When Prof. Vijender Kumar shifted his residence from NALSAR Shameerpet cam pu s to Secunderabad, certain items of furniture were \ I vide pu rchased from him by NALSAR, and payment was made Voucher No.530 dated 23.7.2009 for Rs.32,000/-. other instance of NALSAR h aving purchased hand fu rnitu re from any of t he ) ) ) ) ) No second 28 other faculty members of NALSAR was brought to the notice of this ) ) Committee. Though the Finance Regulations prohibit the Vice Chancellor from incurring capital expenditure, -without the previous sanction of the Executive Council, furniture belonging to Prof. Vijender Kumar was purchased without the prior sanction of the ) ) ) Executive Council though such purchase of furniture is capital expendi lure. ii) The Vice Chancellor, vide proceedings dated 24.9.2009, accorded approval for sanction of duty leave to Prof. Vijender Kumar for six months from October 1st 2009, and he was paid full salary and allowances for the said period as per the University Ru les, as advised ) by the Joint Secretary, UGC in his letter dated 20.7.2009. During hi s Christmas holidays from December, 2009 to January 2010, when ) Prof. Vijender Kumar was "on du(J!" leave in the United Kingdom on a ) Kings College to NALSAR. The ostensible purpose of his being called ) ) ) Commonwealth Fellowship programme, he was asked to come from was for rendering assistance for the following:a) Final editing and finalization of NALSAR Annunl reports from 1999 to 2008 for publication; b) Designing and finalizing the NALSAR prospectus for the year 2010; c) Review and updating of reading material in Family Law; d) Designing and finalizing the NALSAR calendar 2010 for printing; and e) designing and finalizing CLAT 2010 information brochure write-up on NALSAR ) ) ) Prof. Vijender Kumar was paid flight charges, for his travel from London to Hyderabad and back, by NALSAR. Rs.55,494/- was paid to M/s International Travel House, Hyderabad in this regard vide Cheque No.900488 dated 31.12.2009. could It is not as if these matters not have been entrusted to any other faculty member of NALSAR. No other instance of such benefits bei ng extended to any of the other faculty members of NALSAR was brought to the notice of this committee. ) ) ) ) ) ) ) ) ) 29 ) ) '} ) (iii). For the efforts of the staff of NALSAR, in conducting CLAT 2009, honorarium was paid. Other than the V i ce-Chancellor and the Registrar, the only other facu lty of NALSAR who was paid ) honorarium in this regard of Rs.50,000/ - was Prof. Vijender Kumar. ) iv) Prof.Vijender Kumar has, ever since 2007, been continuously paid ) ) Rs.4000/- per month for discharging the duties of a Deputy Registrar. In addition he is being paid Rs.4000 I - per month as Proclor. Curiously, even after the new Regulations were made on 8.8.2008 creating the post of Dy. Registrar, Dr. V U ender Ku mar, a Senior ) ) ) ") Faculty member, is still asked to discharge the functions of a Deputy Registrar. v) By proceedings dated 2.6.2009, Dr. Vijendra Kumar was permi t ted to occupy a bed room in Quarters No.A. l (Lhe very same quarters which Dr. Vijender Kumar had vacated ju st a day before). While officially Dr. Vijender Kumar has been allot ted ju sl one room he is, in ) ) fact, occupying the en tire A.l quarters wh i ch consists of three bed rooms. Inspection by the Mem ber Secretary of this Com mittee on 8.9.2011 revealed that Quarter No.A.l has only one door at the ) entrance; and there is no separate entrance or exit for any particu lar ) Kumar stays in the said quarters, along with his family mem bers; and ) ) ) room therein. Our enquiries reveal that every week end Dr. Vijende r he has neither paid rent n or he foregone his HRA for such occupation. vi) During the period from the year 2007 till 2011 Dr. Vijender Kumar has utilized different vehicles of NALSAR for his private use travel ing 7852 KM (approx). He has not paid a sin gle r u pee for such travel though he is not entitled to utilize Nalsar vehicles for his personal u se. ) ) ) ) ) ) ) 30 ') ) ') ) ) ) ) ) vii) As noted at (i) above, NALSAR purchased furniture from Dr. Vijender Kumar, vide Voucher No.530 dated 23.7.2009, for Rs.32,000 1- when he sh if ted from Quarter No.A-1 to his own flat at Secunderabad. That Quarters No.A-1 has again been provided for his use, from the very next day of his vacating the said quarlers, means that the furniture purchased from him is still being made available for his exclusive use at Quarter No.A-1. (viii) In addition to being the Proctor, and discharging the duties of a ) Deputy Registrar, Prof. Vijender Kumar is also a·convener/member of ) committee; (2) P.G diploma academic committee; (3) Scholarship /fee ) the following committees constituted by NALSAR (1) Library concession committee; (4) Proctoral Board; (5) Convenor of the Moot Court committee; and (6) IT committee. He is the Chief Editor of ) NALSAR Law Review, and is in the Edilorial Board of all othe r ) member of so many committees. ) (ix) Except for the year 2010, Prof. Vijender Kumar has continued Lo NALSAR publications U ournals). No other member of the facul ty is a be a member of the committee, to finalise the award of gol d medals Lo ) ) ) students, from the 3rd batch of students in 2005 onwards till the present batch. (x) Though the question paper set by Prof.Vijencler Kumar is also said to have been leaked earlier, he was the only faculty member of ) NALSAR to be appointed as a member of the enquiry committee ) semester examination question paper, in April, 2011. ) ) ) ) ) ) ) constituted to enquire into the examination paper leal Maintenance of books of accoun ts by NALSAR, during ) the 2001-2002 till 2006-2007, was poor and shoddy. ) ) years Neither were proper accounting syslems introduced, nor > was there ) effective supervision of the manner in which accounts were being maintained. > Sri V.V.K. Subba Rao, a qualified Chartered Accountant, was the Finance Officer during the said period. He left the services of NALSAR in July, 2007. [n his place Sri M. ) ) ) ) ) Hanumantha Rao (Jt. Manager, Tourism was Corporation) Finance (Retd ) A.P. appointed as Accounts ) 63 ) ) ) Officer of NALSAR on It only then that November, 2007. the large scale discrepancies in the Balance ) Sheets, ) ) is 1st Income and and Expenditure statements, other accounts, of NALSAR came to l igh t. > Though the books of accounts of NALSAR were subjected to ) annual audit ever since 1998-99, curiously none of these discrepancies were pointed out by the Auditors ) M/s. DSP Reddy & Co., or M/s. Ramu & Ravi Chartered Accountants, (we are informed that the partners in both ) these firms are common), w ho have auditing ) been the books of accounts of NALSAR from 1998-99 till date. ) > To compound the reports ) ) records problem, the Aud i tor's that proper books of accounts were being kept at NALSAR and the said accounts gave a true and fair view, in the case of the balance sheet, of the state of affairs in ) ) NALSAR, and in the case of the income and expenditure account, along with statement of receipts and paym ents accounts. ) ) > After joining NALSAR, Sri V. Hanum antha Rao subm i tted his report 07.01.2008 informing that dated the maintenance of accounts was poor; th e cash book had ) not book been reconciled with during the accounting were system unable transactions ) ) ) ) ) ) ) to upto intervals, to pass ) period the bank pass 2002-2006; was defective; reconcile date, and the at the they bank regular ) 6 4 ) ) suitable accounting rectifications/ required entries; no follow ) up action was outstanding advances at taken with various levels; ) there was failure of the staff " ' ) and expenditure. ) regards in and controlling and keeping vigil, and a check over receipts > ) He suggested, amongst other steps, that a special audit be conducted by a different Chartered Accountant firm to identify the entries in bank reconciliation for its nature and origin on a time bound/war footing basis for ) the years 2001-2002 to 2006-2007. > On receipt of the report from the Accounts Officer on ) 07.01.2008, M/s. Chartered Rayasam & Associates, Accountants, were appointed on 03.06.2008 to conduct > & ) ) ) bank, In special audit. their report dated 30.06.2009 Mfs. Rayasam Associates, Chartered Accountants in formed that:)> while identifying the information t·elatingjrelevant to the bank transactions which included non-accountin g of cash transactions/cash withdrawals from the i n terest on fixed deposits, receipts towards fees, mess charges, and entries relating to dishonoured cheques, they were unable to identiry the nature of receipts/payments relating to certain transactions due to lack of sufficient/mismatch of info rmation with the available records. ) ) )> ) ) ) ) ) ) ) ) The situation had arisen due to lack of efficient manpower in handling and supervising the accounting system; and that it had materially affected the truth an.d fairness of the accounts of NALSAR. 65 }> a) Introduction of suitable accounting system; b) Proper job allocation for persons manning the accounting system; c) Improved supervisory control system; d) Structured periodical financial data reporting; and e) Introduction of Internal Audit etc. ) ) ) ') Certain remedial measures for the maintenance of accurate, authenticated and meaningful accounting records and information were suggested such as:- > Bank reconciliation statements were not prepared till the financial year 2008-09. It was that Rs.95,79,066 on the credit Rs.36,29,364.50 on the debit side, of ) ) pursuant to prepared after thereto a consolidated Bank NALSAR during the (debit) Rs.7,69,369.50 (debit) ) (credit) were adjusted in the > and being Consequent Rs.66,36,369 and Rs.29,42,697.29 books of accounts of The special audit report, of M/ s. Rayasam & Co. dated 30.06.2009, expenditure Details of such ) statement NALSAR during the financial year 2010-2011. ) ) adjusted financial year 2008-09. Again ) ) the books of reconciliation. Rs.28,59,995/ - and (credit) were adjusted in the books of accounts of ) ) side, accounts of NALSAR was required to be ) ) after a special audit was conducted did it come to light ) ) only records the amoun t of income and for which no inform ation was available. unknown expend ilure are:- 66 ) ) a). As pe r Ban k recon ciliation statement: i). Miscellaneou s expenses as per pass book (Dr) ii). Miscellaneous expenditure 2,15,624 as per cash book (Cr) (b) . 24,01,573 This was adjusted in the a/cs of 2008-09 as under:i). Miscellaneous expenditure 23,55,178 as per pass book ( Dr) ii). Miscellaneous expen diture as per cash book ) (c). 1,84,761 The balance was adjusted in the a/cs of 2010-11 as:- i). Miscellaneous expendi ture as per pass book (Dr) ) 46,395 ii). Miscellaneous expenditure as per cash book (Cr) ) 30,863 ) ) > 2002-2003 to 2006-2007, the par ticulars of which were ) neither > ) ) ) ) ) ) ) ) were recorded and In su bstance, no information is available regarding the nature of expenditure, for the en t ries reflected in the pass to Rs.24,01,573/ -; and the book, amounting miscellaneous ) available, accounts. ) ) known nor adjusted as miscellaneous expenditure in the books of ) ) All these expenses incurred during the financial years expendi ture, for the entries reflected in the cash book, amou nting to Rs.2, 15,624/ -. ) 67 ) ) ) > These deficiencies, in the maintenance of accou nts were neither brought to the notice of the Finance ) Committee of NALSAR, nor was the General Council informed of these ') ) discrepancies. > In the General Council meeting held on 22.03.2009, Justice P. Venkata Rami ) Reddi raised queries on certaiJ.1 items of revenue and expend itu re shown in Audited ) Accounts for the year 2007-2008. The minutes of the said meeting records ) that U1e explanatory note on th ese queries was circulated to the members of the General ) Council at the meeting; the same was accepted; and Lhe Vice-Chancellor assured ) the members that he would ensure strict compliance with norms of fiscal prudence. ) > ) held In the on 14th meeting of the General Cou ncil 27.03.2010, Ju stice Sri P. Venkatarami Reddy pointed ou t ) ) no t that there was a disproportit?nate increase m miscellaneous expenditure from 1l .94 lakhs to 34.88 lakhs; and the details of this huge increase was known. ) ) > The reply given vague. by NALSAR thereto was The General Council was me rely in formed that, during the years 2001- 2002 to 2006-2007, some of the receipts and payments were not taken in the books of accounts; after reconciliation necessary entries were passed in the year 2008-2009 as per the audit report; and, due to this, the ) ) ) ) ) ) \ ) ) 68 ) } } miscellaneous expenses had increased in the year 20082009 as compared to the year 2007-2008. ) .) What the General Council was not > informed is that no information available regarding nature of ) expenditure adjusted "miscellaneous expenditure", ) u nder allegedly incurred was the the head by NA LSAR, exceedi ng Rs.26 lakhs and all expenses, for which no in formation ) was available, were classified under the head " miscellaneous expenditure" and adjusted in the books of accounts of ) NALSAR during the years 2008-2009 and 2010-2011. ) > ) Though nearly two years have elapsed thereafter, proper accounting systems are yet to be introd u ced. There is no ) supervisory control system in place. There is periodical financial ) ) data repor ting, and an internal audit system is yet introduced, though ) no structured meeting, the Finance second had the advised to Committee, that the be in i ts accoun ts of University be audited once in a quarter. ) (b) ACCOUNTANT GENERAL AUDIT > The books of accounts of NALSAR have also been subjected Accountant General. to audit by the As illustrative of the several violations poin ted out therei n, a few of the observations of the General are noted here under:- ) ) ) ) ) ) ) Accou ntant ) 69 ) ) ) > ) ·; Pursu ant to the AG audit, conducted for the finan cial year 2000-2001, the Accountant General records in his report that: I n the execu tion of works of NALSAR, instead of calling for tenders by open notification through newspapers, tenders were invited from selected firms; the basis for selection of the firms was not made available to audit; even among the selected firms, instead of accepting lhe ) ) } lowest tender of Rs.l92.47 lakhs, NALSAR had accepted the highest tender of Rs.246.42 lakhs in respect of ) "Construction of Hostel Block, Residential units and allied works" ) The ) by one of the pre-identified firms was Rs.27.40 lakhs, the work was awarded to the highest tender of Rs.30.6 lakhs. same method had been adopted for "Internal Electrical Worlcs". Though the lowest tender submitted Similarly for "External Electrical works", while the lowest tender was for Rs.31.56 lakhs, the work was awarded to the highest bidder for Rs.34.70 lakhs. ) ) ) In the case of "Internal and External plumbing works" only two firms had submitted their quotations, out of which one had withdrawn subsequently. The other firm was awarded the contract, instead of invi ting tenders afresh. ) Measurement boo.ks had not been maintained by NALSAR for the works executed. ) Schedule of quantities, quantities of works actually executed, the date of award, the date of completion, and amounts paid to the contractors could not be verified by them in the absence of such books being made available for verification. · ) ) )> ) ) ) ) ) ) ) Payment of fees to consu l tants, for execution of works in respect of "Construction of Hostel Block, Residential 70 had exceeded Rs.27,41,372/-. Units", ) the contract price by The Original contract agreements had not been produced before the Audit party. Photostat copies of U1e agreements produced did not contain complete information with regards the value of the con tract, the date of award of work, the date of execution of the agreement, the schedule of quantities etc. ) Work-wise records and registers were not maintained. ) Pursuant to financial ) A.G. 2001-2002, audit, co nducted for the Accountant the General observed:Works costing Rs.3,73,11,581/- were taken up in the first phase, and subsequently works for Rs.9,67,72,564/ were taken up. While the consu ltants had provided assistance for works relatin g to the first phase, there was no evidence on record of any assistance given by Lhe consultants for the second phase. ) ) year the · The data, for preparation of the estimates for the works, were not provided by the consultants. ) I t was not known how the mtes, for different items, were determined by the co nsultants. ) Measurement books, or recording measurements, quality and quantities of the works execu ted by the contractor, were not maintained either by the consu ltan ts or by the technical personnel of NALSAR. · ) ) The bills of the contractors were pmcessed by the Project Engineer, for payment, without verification. ) Even after completion of the phase-! works, phase II works were entrusted to the same contractor without calling for tenders, and without preparation of basic data and estimates, despi te which NALSAR continued to pay consultancy charges without any services being rendered ) ) ) ) ) ) ) ) 71 ) ) ) by the consultants. There was no ev idence of prepara tion of revised estimates by the consultants. }> Rs.27,89,160 / - was paid to the consultants of which only Rs.2,33,197/- was legitimate payment. Thus, an excess of Rs.25,55,963/ - was paid to the consultants. }> The reply of NALSAR, to the audit queries, were unacceptable as evidence of preparing estimates, and the data relating there to, was not there on record. }> The excess expenditure incurred on execu tion of works, because of works not bein g awarded to the lowest tenderer, was Rs.l8.81 lakhs. }> Though NALSAR had invited tenders, for constru ction of the Hostel Blocks and Residen ti al Units, at an estimated cost of Rs. l,83,49,796/-, the bid of M/s. Ramky Engg. which was the lowest tenderer @ 1.17% excess over the estimated cost was not accepted, and the work was awarded to M/s. Asia Engg. Company, Secunderabad for Rs.2,00,11,075/- @ 9.05% excess over the estimated value. }> The reasons, for n ot accepting the bid of M / s. Ramky Engg., was not available on record. W hile Rs.2,60,29,983/- was incu rred on the works, nei ther were revised work estimates and completion reports prepared by NALSAR nor was sanction obtained for the extra quantities. }> NALSAR would h ave saved Rs.l8,80,938/ - if the work had been entrusted to M/s. Ramky Engg,. }> Works were entrusted on nomination basis, wi thout calling for tenders, for Rs.53.18 lak h s. }> Purchases effected from various parties were on a si ngle tender basis. Even for these purchases there were no docu ments available, other than in voices an d payment vou chers. ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) 72 Similar discrepancies were reported by the Accountant General in their audit reports for the years ) ) 2002-2003 and 2003-2004; and for the years 2004-2005 and 2005-2006. In the latter report, covering the years 2004-2005 2005-2006, and the Accountant General observed that:)> No inspection had been conducted under Section 7(3) of the Act; and no statu tes h ad been made in terms of ) Section lO(ii) of the Act. ) }> Council the admi nistrative }> }> The statutes relating to administrative procedures, and Receipts and paymen ts accoun ts fo r the years 20042005 and temporarily .2005-2006 were were not one bank accou nt depicted in the books to of the balance sheet; details of amou nts advanced to staff, contractors, othe r advances, l oans e tc., were also not e nclosed . )> They also observed that the following records were not maintained. 1. Register of Deposits 2. Register of Fixed Assets 3. Register of Investments ) from accounts; details of fixed deposits were not enclosed to ) ) not fu nds were transferred another which ) ) NALSAR approval of the General Cou ncil obtained. ) ) of functions of officers of NALSAR, should be made, and ) ') affairs statutes of thei r fun ctions. prepared; ) made authorities, and the officers of NALSAR, in the discharge ) ) shou ld have including prescribing the procedures to be followed by the ) ) General concerning ) ) The ) 73 4. Register of Advances Recoverable 5. Stock Registers of Consumables 6. Purchase Files 7. Service Postage Account 8. Register of maintenance of Quarters 9. Register of stipends 10. Budget control Register 11. DCB Register for fees and Mess Charges ) In its Audit report for the period 2006-07 & 2007-08 the Accountant General, among other aspects, observed:) > At the time of furnishing utilization certificate to the UGC some expenditure, which ) was booked unde r State Government funds, was shown in the Utilisation Certificate furnished to the UGC. different grants i.e, U GC and State Government. ) ) NALSAR had shown the same expenditure for two > NALSAR h ad not followed the prescribed procedu re for calling of tenders; all ) the works were en trusted to M /s Asi a Engineering, Secunderabad on i nvi ting item rate tenders from selected contractors at an estimated cost of Rs.923.56 lalchs; ) and the en tire work "Const ru ction of the Teachers Convention Centre" consistin g of Groun d Floor, First Floor & Terrace Floor ) at a cost of Rs.3,73,77,177/- was entru sted on nomin ation basis to M/ s Asia En gineering, Secunderabad. ) ) > NALSAR had replied that, as per lhe instructions of the Executive Council, the wo rks were awarded to M /s. Asia Engineering as it was one of the lead ing constru ction companies i n India, and it slood as the lowest tenderer. ) ) ) ) ) ) ) 74 ) > The reply of NALSAR was found not acceptable by the A.G. Audit as NALSAR had not shown details of the tenders called for, and other tender procedures followed by them. > Though Rs.SO.OO lakhs was received from M.K. Nambyar Saarc Law Charitable Trust in March, 2007, it was invested in a Fixed deposit only on 25. 6.2007, and interest was being received .J from July, 2007. NALSAR had thus lost Rs.l,l2,500/ (Interest@ 9% p.m. "' 37500@ 3 months) owing to the delay in ) investing the proceeds in an FD. ) NALSAR had received Rs.61.00 lakhs towards arrangement of endowment guest lectures. Out of which only one lecture was arranged in 2006- ) 07 and no guest lectures were arranged during 2007-08. ) Further the programmes, under the M.K. Nambya.r Trust, were ) 2006-07. When reasons for non arrangement of guest lectures started only in the year 2009-10 though fun ds were received in in 2006-07 and 2007-08, and for issue of lesser number of ) awards/gold medals/scholarships than the number of ) endowments received, were called for, NALSAR had stated that ) during 2007-08 was the reasons for non conduct of end owment guest lectures reasons. It was silent about the short fall in the issue of gold ) ) ) due to administrative and academic medals I scholarships. > The audit report records that the following records/inform ation were not made available:(a) Agreement concluded with the firm ) (b) Detailed estimates of the works (c) Work order placed with the firm (d) RA bills subm itted by the fi rm. ) ) ) ) ) ) ) ) ) 75 ) > records were misplaced and, after tracing the records, the same ) ' NALSAR replied that, during shifting of the room, some of the will be submitted to audit. > The A.G. Audit observed that NALSAR bad short recovered mess dues amounting to Rs .10, 15,208/ - from the students as against the actual expenditure incurred during the period 2006-07 & 2007-08. ) > in the subsequent years of accounts, and assu red to produce ) ) NALSAR replied that the dues were collected but accounted for details to the next audit. > During the period 2006-07 & 2007-08, NALSAR had short ) collected tuition ) Rs.60.83 lakhs, tuition fees of Rs.43.86 lakh for the years ) ) ) ) ) ) ) ) ) ) amounting to Rs.60,83,077 /- from B.A.LL.B & LL.M students. NALSAR replied that, out of 2006-07 & 2007-08 was collected in the year 2008-09. ) ) fees > The A.G. audit observed that NALSAR had not furnished the following records for the years 2006-07 &. 2007-08 1. Register of deposits 2. Register of fixed assets 3. Register of investments 4. Stock registers of consumables 5. Purchase files 6. Register of maintenance of quarters 7. DCB register for fees and mess charges 8. Register of stores, stock & furniture 9. U.D.P. register 10. Budget control register 11. TA, TIA, LTC bills register 76 ) ) ) 12. Construction records such as Tender files, M.Books, Estimates etc., for the year 2004-05 ') > NALSAR replied that the records were not updated and, af ter updating, the same would be shown to next audit. The AG reports, hereinabove referred, reflects the dismal state of affairs in the maintenance of accounts, and adherence to accepted accounting procedures, by NALSAR. None of the A.G. Audit reports were placed before the ) General Council of NALSAR for their information and ) necessary action. ) (c) PROJECT ACCOUNTS ) > From its inception till date, NALSAR has undertaken 26 projects entrusted to it by the Government of India, the ) Government of Andhra T;'radesh, the Ford Foundalion, ) International Labou r Organization and others. > ) these 26 projects, 19 > The accounts of these projects are NALSAR. The funds received from project is credited in NALSAR from ou t of these funds. ) ) ) ) ) ) ) been maintained by the sponsors of the NALSAR's bank account, and the expenditure incurred towards the ) projects have completed, and the other 7 are in progress. ) ) Out of project is paid by ) 77 > Details of the project expenditure are not reflected in the annual financial statements of NALSAR, nor details brought to the are such notice of either the Finance Committee or the General Council of NALSAR. > The balance sheet of NALSAR merely reflects the amount outstandin g against outstanding amount yet the projects i.e., the the to be spent, from out of the amounts received under each project, is shown in schedule to total balance sheet, and the the cumulative outstanding amount, of all the projects together, shown on the liabilities side of the Balance sheet. ) > \/ ) actual expenditure incurred, m relation to each project, is not reflected in the income and expenditure ) ) The account of NALSAR. > Like NALSAR Accounts, maintenance of project accounts is also tardy, non-transparent and deficient. > Though utilization certificates h ave been sent to the concerned Ministry I sponsor of the project for the following five projects, details of the expenditure incurred in relation to each project, has neither been recorded m the project accounts of NALSAR, nor are the bills of expenditure in relation to these projects available. ) \ J ) ) ) 78 ) of Name ,) the Project: Expenditure for which no information is available 1. Ministry of Environmental and infrastructure facilities ) \ ) ) > Rs.7,66,698 2. International Labour Organizatio n Rs.1,56,557 3. Judicial Process Review Project Rs.6,39,787 4. Ministry of HRD copy rights Rs.3,47,330 5. Centre for Good Governance Rs.4, 16,090 Though utilization certificates have been sent on completion of certain projects, to the concerned Ministry/ sponsor, t he accounts of these projects have not yet been finalised on the ground th at bills, and other details regarding payments made, have not yet ) ) ) ) ) ) ) ) ) ) . / ) been made available to t he Accounts Department by the Co ordinators of these projects. Details of these projects are: 1) Centre for Good Governance Legal Frame work for effective Redressal Rs. 2) Preparation of new Rent Control Law Rs. 2,81,200 )> From out of the expend iture i n cu rred 60,000 towards the aforesaid projects the h onorarium and share of profit paid to the Vice-Chancellor, Regist rars and members of NALSAR are as under: Faculty 79 ) ) Projectwise breakup of Honorarium and Share of profit given to faculty in addition to their salaries Sl. No Name of the project Ministry of Environmental and "nfrastructure 1. ) ) ) nternational uabour prganization l!'_roject 2. !Centre for !Governance otal 3. > Good In addition to the salary, and other pe rquisites, paid to them by NALSAR, some of the teaching facul ty of NALSAR have been paid honorarium from project funds. Except for ) Prof.Kalpana Kannabiran, whose honorarium from the project was adjusted towards her mon thly salary, the ) honorarium paid to ot her faculty mem bers of NA LSAR, ) including the Vice-Chancellors and Registra rs, from these projects is in addition to their monthly remuneration. ) ) > ) The time spent by t he facu lty on these projects outside the campus on wor king days, or d u ring working hours, is treated as 'on duty'. As a resu l t they receive thei r salary and other perquisites from NA LSAR for a major part of the J time spent by them on these projects. > In addition to the honorarium received from the projects, the project coordinator, ( who i s eithe r the Vice-chancellor, Regist rar or a faculty member of NALSAR) , is permitted lo ) ) ) ) j ) ) ) ) 80 ) retain the balance remaining m the project funds, after incurring project expenditu.re. On the members, ground that were NALSAR, involved m and its research training programmes and consu ltancy was proposed to give the m the faculty projects, works, it benefit involved in these activities, and to distribute the net savings after deducting all expenses as under: ) Activity ) ) Research Projects Training Programmes Consultancy a) Institutional b) Individual ) ) ) > ) ) I ) ) / ) ' ) The said amount was to l>e given to entitled person s i.e., the person, because of whose efforts, project/training programme, consultancy had come to the institution; as also the person who, as a faculty member, had got individual consultancy during lhe course of employment. 81 ) ) > This proposal was accepted by the Executive Council in its meeting held on 08.03.2008. The Execu tive Council Resolution read s as under: Item No.13 Distribution of amount received in consultancy I research projects/ training programmes etc. "The Executive Council after discussion decided to approve the same as mentioned in the agenda. However, they were of he opinion that it may be reviewed after one year." > > ) Prior to the resolu tion of the Exec utive Council dated 8.3.2008, the Vice Chancellor, Registrar and Faculty members of NALSA R we re taking away the entire surplus in these projects, without sharing i t with NALSAR. While the J Executi ve Council dated year, no such exercise of review has been undertaken till date. ) ) the 08.03.2008 requires the matter to be reviewed after one ) ) said resolu tion of > While the utilization certificates subm i tted by NALSAR to the concerned Ministry /sponsor of the project merely reflects t he total honorarium paid u n der the project, the break up of the honorarium/excess of income over project expenditure paid to the projec t D irector/ Co- ordinator (either the Vice Chancellor, Registrar or facu lty membe r of NALSAR) is not shown in su ch u tilization cer tifica tes. This information is also not placed before the General Council of NALSAR. I ) ) ) ) 82 ) ) > We were informed that neither honorarium, nor excess of income over expenditure, has been paid to the project-co ordinator with regards the seven on-going projects till date. > From out of the completed 19 projects no information is ) available for six of the completed projects with regards ) the honorarium/excess of mcome over project expenditure paid to the cor:cerned project Director. ) > Though the amoun t sanctioned fo r Lhe six projects below mentioned has been received by NALSAR, in its entirety, no project expend iture details are available for these ) projects: ) TITLE OF PROJECT ) EXPENDITURE INCURRED 1. Ministry of Environmental Infrastructu ral facilities ) ) ) ) > 30,12,302 2. International Labour Organisation Project 2,43,443 3. Environmental sensitization 1,80,000 4. Judicial process review project 2,19,835 5. Ministry of HRD copy rights 2,30,670 6. Centre for good governance 2,42,467 Details of the honorarium paid, and share of profit given, to the Project Co-ordinator for the remaining 13 projecls are as under: ) \ ) 83 HONORARIUM RECIPIENTS Rs. Prof. Ranbir Singh (Former Y..C.) Prof. Veer Singh (Present V.C Prof.Lakshminath, (Former Registrar) Prof.Ghanshyam Singh, (Former Registrar) Prof.K.V.S. Sarma, (Former Registrar) Prof. M. Sridhar Acharyulu (Present Registrar) Dr. K.V.K. Santhy Dr. Vasanthi ) Prof.Vijender Kumar Prof.Vidyulatha Reddy ) Ms. G.O.K. Sandhya Ruhi Paul ) Nalin Bharti University Share ) ) ') ) ) The Vice-Chancellor, in his note submitted to this Committee dated 29.7.2011, informed that the funding agencies grant research projects Lo Lhe faculty members and their research team; the concerned organization would grant funds according to the budget estimates submitted by the coordinator coordinator for the would complete the research projects; the project and submit the expenditure statement, and utiliza tion certificate, to the ) ) ) ) ) 84 concerned organization through NALSAR; after incurring all expenditure on execution and completion of the project, if any surplus is left, the same shall be shared by NALSAR and the research team in the proportion of 40:60; in case ) any individual teacher gets any consultancy offer, the shares of the consultant and NALSAR in the surplus is to be in the ratio of 70:30 as per the Executive Council resolution dated 8.3.2008; the research project grant is not ) ) ) NALSAR revenue; and the University does not spend any of its own money on the research projects. While the faculty member may well have secured the project, NALSAR has contributed both in terms of time and money for the research work undertaken by the faculty ) member. The period spent, during University work ing hours, by the said faculty on ·project work is treated as uo11 I ) duty", and he is paid full pay and allowances by NALSAR. ) This also eats into the time set apart between 1.40 p.m. to ) ) ) 4.00 p.m. for students interaction with the faculty. We are informed that the practice prevalen t is for the Vice Chancellor to decide which of the faculty members would get a share of the profits. If it is on ly the person who gets the project who is entitled to a share of the profits, there is no justification in others being given a share and, instead, such payment made to others can as well be credited to the \ J ) / ) ) ) 85 institution. This problem can be obviated if the project coordinator is identified at the outset, and the percentage which the faculty member would be entitled to as share of the profits is stipulated even before commencement of the project research work. ) (d) FOREIGN TRAVEL When the ) ) erstwhile Vice Chancellor Prof. Ranbir Singh went abroad on six occasions, during the period 2003-04 to 2007-08, to countries like United Kingdom, Canada, Singapore, Egypt, Malasia and China, his flight charges and perdiem charges was paid by NALSAR. Except ) ) ) ) ) ) for the trip to Singapore and Canada, for which he was paid by the Ford Foundation, the total amount incurred by NALSAR for his foreign trips are:a) Flight charges (other than charges borne by Ford F'oundalion) Rs. 7,40,081 b) Visa charges c) other expenditure (not including expenses borne By Ford Foundation) Rs. 1,96,680 d) Perdiem charges Rs.2,83,305 Total Rs. 13,365 Rs.l2,33,431 The present Vice-Chancellor Prof. Veer Singh went abroad on four occaswns, during the years 2009- 10 to ) ) I ) ) \ J ) ) 86 ) 2011- 2012, to Canada, I taly, and the United Kingdom. For his foreign travel, he was paid NALSAR. perdium allowance by In addition, he took foreign exchange advance from NALSAR which was later return ed by him. However ) ) ) the loss incurred by NALSAR, on account of fluctuations in foreign exchange, for the advance taken by Prof. Veer Singh has not been recovered from him till d ale. The expenditure incurred by NALSAR towards the foreign travel expenses of Prof. Veer Singh is as under:Visa charges Perdium charges Loss borne by NALSAR because of fluctuations In foreign exchange Total: ) ) ) ) ) ) ) Rs. 7012-00 Rs. L,38,294-00 Rs. 8,559-00 Rs.l,53,865-00 NALSAR claims to be following the daily allowance rates applicable to Central Government officers with regards payment of daily allowance for those who go abroad to attend conferences etc. The question is not whether the Vice-Chancellor of NALSAR has been paid excessively for his internatio nal travel but whether there are any systems in place to decide whether or not the foreign travel of the Vice-Cha ncellor is in the interests of NALSAR; whether he should travel abroad; if so who should gran t permission; and, if he is so ) ) ) ) 87 p or the Vice-Chancellor himself who should bear e the entire expenditure. r The Leave Regulations, for teachers of m NALSAR, was approved by the i Executive t Council of NALSAR in its meeting held t on 13.11.1999·. Regulation 4 of e the said Leave Regulations prescribes "duty leave" d and, under sub regulation (1) thereof, "duty , leave" may be granted for attending conferences, congresses, symposia and w h seminars on behalf of the University, or with t he permission of the University. Under sub- e regulation (ii) , the duration of this leave should t be such as may be considered necessary by the h sanctioning authority on each occasion. Part 13 e of the Leave Regulations specifies the r authorities competent to sanction leave and, under clause (3) thereof, the Executive Council is i the authority competent to sanction any type of t leave other than casual leave/ special leave to the Vice chancellor and the Registrar. Clause (4) i enables the Vice chancellor to avail casual s l.eave or special casual leave under intimation N A L S A R to the Chancellor. As " duty leave" is a leave, other than casual leave/ special casual leave, the erstwhile and the present Vice-chancellors could have travelled a broad on duty leave only after obtaining pnor sanction of the Executive Council. The word 'sanction' can only mean prior approval, and not subsequent ratification. ) ) ) 88 In any event both the erstwhile and the present Vice ) Chancellors have neither obtained pr ior sanction from the ) Executive Executive Council Council subsequently foreign trips. nor has the ratified their ) The period of the Vice-Chancellor's absence from ) duty, during the period of his foreign Lravel, is trealed as ) "on duty" leave and, for the said period, NALSAR pays him salary and other perquisiles as if he is on duty. ) Prior written permission or Chancellor or approval of eithe r the the Executive Council of NALSAR has not been obtained for any of the foreign trips of both Lhe erstwhile and the present Vice-chancellor. (e) ADVERTISEMENT EXPENSES ) ) While the advertisemen:ts given by NALSAR may hot have a bearing on its being rated by "ludia Today" as the ) best, or the second best, law school in the country, what is of concern is the needless and wasteful expenditure ) incurred in this regard. "India- Today", July 18Lh 2011 i ssue, carries details of the " India Today - Neilson" survey of Lhe Lop 10 law colleges in the country among whom NALSAR, Hyderabad is shown as No.1. Curiously, the very same issue carries a one page advertisement by NALSAR. ) 89 ) ) Ever ) ) ) ) ) ) since 2006-07, advertisements in "India NALSAR has Today". The been issuing advertisements, invariably, appear in the very same issue in which the top 10 or 25 law colleges in India are ra ted. For the year 200607, "India-Today" issue dated 5.6.2006 carries an impact feature of two pages. For this advertisement feature, NALSAR paid Rs.8.00 lakhs, (Rs.7.91,636 after ded ucting TDS), vide Cheque No.241452 dated 13.6.2006. The said issue lists the top 10 law colleges in the country among whom NALSAR is rated as No.1. ) For the year 2007-08, " Iudia Today" issue dated 4.6.2007 carries an impact fealu re of two pages, an advertisement given by NALSAR. This impact feature is in ) the very same issue in which the top 25 colleges in the country are listed among whom NALSAR is ranked No.2. Rs.8,50,000/ -, ( Rs.8,40,369 j- after TDS deduction), was ) ) ) paid by cheque No.346024 dated 20.6. 2007. The "India Today" issue dated 2.6.2008 lists the top 25 colleges in the country wherein NALSAR is shown as No.1. The very same issue carries a one page advertisement given by NALSAR for which Rs.3,60,000/ -, ( Rs.3,51,842/ - after deducting TDS), was paid vide Cheque No.262028 d ated 1.10.2008. ) ) ) ) 90 ) ) ) "India Today" issue dated 22.6.2009 lists the top 25 ) law colleges in the country wherein NALSAR is ranked as ') No.2. The same issue carries a one page advertisement by ) ) NALSAR. paid as advertisement charges by NALSAR, (Rs.3,46,034 after deducting TDS), vide Cheque No.265666 dated 25.7.2009. ) ') Rs.3,50,000 I- was For the year 2010-11, "India Today" 1ssue dat d 28.6.2010 rates the top 10 law colleges in the co untry amongst whom NALSAR is ranked as No.2. The very same ) ) ) ) ) ) ) ) issue carries a one page advertisement given by NALSAR for which Rs.3,50,000 I- was paid, (l s.3,43,000 I- after deducting TDS), vide Cheque No.902816 dated 10.8.2010. We are informed that, unlike NALSAR, the National Law School, Bangalore does not incur such needless advertisemen t expenditure. (f) ADVANCES GIVEN TO FACULTY MEMBERS Tardy maintenance of accounts is best reflected by the fact that amounts given as advance, to the faculty members of NALSAR, have neither been recovered from them nor has the expenditure incurred, pursuant to the advance taken by them, accounted for. The total outstanding amount, given as advance to faculty members, ) ) ) ) ) ) 91 ) ) ) as on 3.7.2011 is Rs.4,75,680I -- Curiously, the advance ) ) given to the erstwhile Vice-Chancellor and Registrars have still not been recovered, nor the expenditure incurred in relation to such advance accoun ted for, though they left ") the services of NALSAR more than three years ago. ) The advance given to Prof. Lakshminath, erstwhile ) ) Registrar of NALSAR, of Rs.25,5001- on 15.7.2005 is still shown as outstanding. Likewise the advance given to Prof. Ranbir Singh (former Vice-Chancellor of NALSAR) of ) of Rs.37,468-20; Prof. Ghanshyam Singh ( former Registrar NALSAR) of Rs.l8,629 I-; Ms. GOK Sandhya of Rs.20,000 ) ) outstanding ") .) I, Mls. Kalpana Kannabiran of Rs.4320I - etc., are still shown as outstanding. Rs.7000 I-, shown as from Prof. M.Sreedharacharyulu, is for the advance taken by him in May and September 2006 nearly five years ago. (g) NALSAR PROXIMATE EDUCATION ) ) NALSAR Proximate Education a (NALSAR Pro), distance education division of NALSAR, was started in the year of \ 2001. Proxima te education includes conduct classes for imparting ed ucation, along wi th web based J learning and interaction. The programcs which NALSAR Pro offers are : (a) Post-graduate diploma in Palenls law; ) ) ) ) ) ) 9 2 (b) Post-graduate diploma in Cyber laws; (c) Post-graduate diploma in Media laws; and (d) Post-graduate diploma in International humanitarian law The diploma courses are for a duration of one year In addition to the Post-grad uate diploma courses (contact programmes) offered by NALSAR Pro, entered into International agreements have between Center of NALSAR been and (1) Alternative Dispute Resolution (ICADR); (2) National Academy of Direct Taxes, (NADT), Nagpur; (3) Institute of Insurance and Risk Management (IIRM); (4) In stitute of Applied ) Aviation Management (IAAM); and (5) Contractors Development In stitute (CD!), a constituent unit of the National Academy of Construction , ) (NAC). Lack of uniformity in the terms and conditions of the Memorandum of ) Understanding entered into with these bodies, in relation to the the fees to be charged, ) percentage of profits to, ") inspection and audit of books of accou nts etc, ) which NALSAR is needs immediate correction. entitled ) ) While permission for the four post-graduate diploma (Distance Education) courses offered by NALSA R Pro is said to have been sought for from, and temporarily granted by, the National Council for Distance Education, ) ) ) ) ) ) ) .) 9 3 ) ' '·) ) ) no approval is said to have been sought for, let alone being granted, to ) ) ) ) ) ) ) the distance education courses offered by other NALSAR in collaboration with IIRM, CDI, IAAM etc. ) ) any of In offers a collaboration with post graduate Alternate Dispute regular NALSAR diploma course Resolution (both course and educa tion), ICADR, by way as of in a distance and a post-graduate diploma in Family Dispute Resolution. ·While I CADR conducts these courses, the faculty of NALSAR is also involved in teaching. The examination papers for these ·courses are set and valued by the teaching faculty of NALSAR. The teaching faculty of NALSAR, who take classes for the post-graduate diploma courses honorarium by a t ICADR , are paid I CADR . However paper setti.ng ) and ) faculty members by NALSAR from the examination paper eva luation fees are paid to these fees collected from students undergoing the post- ) ) graduate diploma courses. Under the memorandum of understanding, between NALSAR and ICADR dated 24.03.1999, it was agreed that NALSAR would be paid 20% of the total tuition and o ther fees ICADR ; and the collected examination fee of by R s .l,OOO/ -, would be prescribed by the ) ) ) I I ) ) ) ) ) ) •' ) ) ) ) ) ) } ) ) ) ) ) ) University, with the application for the examination. ICADR has all along been furnishing a list of students who joined the diploma courses conducted by them, and has been remitting certain amounts c said to represent 20% of the tuition and other o fees. l never l NALSAR to verify and ascertain whether e 20% of the tuition and other fees collected by I c CADR, t LSAR, has been remitted or not. e d b y N A L S A R The books of accounts been subjected of ICADR to examination have by apd which is due and payable to NA NALSAR offers a post-graduate degree in taxation and business laws in collaboration with the National Academy of Direct Taxes, Nagpur. IRS trainees undergo a 16 programme at the Direct Taxes (NADT), courses, which month training National Academy of Nagpur. form part of Among the the training programme, the business law courses (modules 1 and 2) are handled, and a post-graduate degree in taxation and business laws is awarded, by NALSAR. understanding The memorandum between requires the NADT, former of Nagpur and a NALSAR to pay the l latter Rs.10,000/- per student for the said post- o grad uate degree course. n amount of Rs.lO,OOO/ -, NALSAR is required to g incur flight charges, and pay honorarium for From out of this those of its faculty members who classes at NADT. take ) ) 95 ) ) The ) ) post-graduate m collaboration with graduate degree diploma courses ICADR, and the offered post- course offered in collaboration with NADT Nagpur, is ) Prof. supervised by NALSAR-Pro. · While the services of K.V.S. Sarma, Prof. and Prof. V. M. Sridhar Acharyulu ) courses, Balakista Reddy have been utilized for the lCADR ) Prof. Veer Singh Sridhar Acharyulu, Prof. (Vice-Chancellor), Prof. K.V.S. Sarma, Prof. M. Vijendra kumar, Prof. Vidyulatha Reddy, Prof. Shafi, Prof. P.B. Shankar Rao and ) Prof. Neha Pathakji have taken classes at NADT, Nagpur. ) NALSAR has also entered into a memorandum of ) understanding, with the Institute of Insurance and Risk Management up by the ) (IIRM) (which is jointly set Insurance Regulatory and Development Authority of India ) (IRDA) and the on 06.01.2009. the profits Government of And hra Pradesh), Under the said MOU with IIRM ) and losses of the ventures ·taken up ·are required to be ) shared equally between NALSAR and ll RM after meeting all items of expenditure. A ) supplementary MOU was en tered into on 02.02.2010 operandi of venture. modus accounting for awards post graduate degree in capital a the prescribing the NALSAR markets and financial services in collaboration with IIRM. The fees, for the said post graduate degree course, is collected, and the accounts ) 9 6 maintained, Singh Prof. by NALSAR. . Prof. Veer (Vice chancellor) , Prof. K.V.S. Sarma, M. Sridhar Acharyulu and Prof. Vijendra Kumar have M. associated themselves with this venture. NALSAR offers a Masters degree in Law of Financial Services (ML-FS & CM), and Registrar) M arkets a collaboration programme of NALSAR and IIRM. Chancellor) , Capital Prof. Prof. Veer Singh K.V.S.Sarma and Dr.Vijender (earlier Kumar (Vice the have received ) honorarium from IIRM for conducting classes thereat. ) ) During the Rs.33000/-, year 2010-11 they received Rs.26000/ - and Rs.12000 /- respectively as honorarium. They also received conveyance charges of Rs.2000 1-, ) ) Rs.4500/- and Rs.2500/ - e·ach respectively. Prof. M. Sridhar Acharyulu Prof. V. received Rs.2986/- Balakista Reddy received Rs.3690 f- towards paper setting ) and and evaluation charges from IlRM. By his proceedings da ted 18.8.2011, the ) Co-ordin ator of IIRM informed this Committee that the degree/ diploma ) certificates issued offered through the be MoU awarded under the an appropriate boration with ) ) may seal of NALSAR a mention made prominently, Degree/Diploma is ) successful students, between NALSAR and IIRM, University with at to being place, that awarded the in coll a ) 97 ) ) ) IIRM. Section 22(1) of University Grants Commission Act ) stipulates that only a University can award degrees. While NALSAR can IIRM cannot. ') ) postgraduate degree, Showing their name in the Degree Certificate, let alone prominently, would be improper. ) course ) award a NALSAR also offers a post-graduate diploma m Aviation Law, pursuant to a memorandum of understanding entered into with the Institute of Applied ) Aviation Management (IAAM) on 01.12.2008. The said ) MoU with IAAM required it to pay 20% of the net profits to ) NALSAR as royalty. The agreement were terms of the said modified by mutual agreement on 30.01.2010 and, from ) the session 2010-2011, NALSAR and IAAM agreed to equally ) ) share the profits/surplus after excluding expenses incurred for courses. This the all joint programme post-graduate diploma course is offered as a distance ) education programme which includes two rounds of seminar classes. I ) ) NALSAR has agreed to IAAM collecting all payment, for application forms and fees for the course, which range from Rs.500 to Rs.50,000. NALSAR ought to have collected such amounts permitting IAAM to do no control over the instead of so. NALSAR exercises expenditure incurred by IAAM. The MOU does not even enable NALSAR to have ) ) ) ) 98 ) ) ') ) ,) the books of IAAM verified by its accounts staff or audited by independent auditors. No information has been furnished by IAAM to NALSAR till date. The accounts statements for this joint ") ) ) programme, said to be maintained by IAAM, have not been furnished despite this committee's repeated requests that details of the expenditure inc:urred, and the amount pqid as honorarium/paper setting and paper evaluation charges to the faculty of NALSAR, be made available for verification. ) } A copy of a fortnightly called "Mumbai One" carries an advertisement issued by IAAM termed as notification 2011-2012", whereunder ) ) were asked to pay Rs.500/ - by way IAAM payable at Calicut. interested o[ "Admission applicants D.D. in favou r of For further details, they were asked to contact the office of IAAM at No.6, 1st Floor, Kamala Niwas, N.C. Kelkar Marg, Dadar (W), Mumbai - ) ) ) ) 400 028. Financial information, both with regards IAAM's revenue and expenditure, is not forthcoming and all information concerning IAAM is sh rouded in mystery. It is difficult to fathom why NALSAR shou ld associate itself with a private institution whose anlecedents and credibility are unknown. The collaboration MoU entered into by NALSAR I ) ,) ) ) with IAAM, in our view, needs reconsideration. 99 ) ) (h) DIPLOMA COURSE WITH CDI The ) ) OFFERED IN COLLABORATION Contractors Development Institu te (COl) is a constituent unit of the National Academy of Construction (NAC) which is managed by the Builders Association of India (BAI) - A.P. Centre. Among those being trained at ) CDI include private contractors and build ers. A graduate ) diploma course in law of contract administration, and real estate management for a duration of one year is offered by NALSAR in collaboration with CDI. The MoU also envisages a P.G. diploma course, in law of infrastructure and disaster management, of one year offered to students. ) ) ) ) duration being While NALSAR is entitled to offer distance education courses in subjects related to "Law'', we see no reason for it to enter into collaboration with private or semi-private institutions in offering diploma courses. How such collaboration is beneficial to the University is not known. There is a real danger of NALSAR's reputation being adversely affected by such collabora tion more so as ) NALSAR hardly exercises any administrative or financial ) control on its collaboration partner. (i) MASTERS IN BUSINESS LAWS AND ADMINISTRATION NALSAR ) J ) ) ) ) issued notification dated 7.8.2011, m several dailies, inviting applications for a two years full 100 ) time Masters Degree course m Administration (MBLA). Business Laws and Though around 50% of the said course relates to "management", approval of the All India Council for Technical Education (AICTE), a statutory body under the ) All India Council for Technical Education Act,1987 has not been obtained for conducting such a course. It is evident, from its "application and prospectus", that from amongst the for the SL'( subjects, which form the curriculum first semester, three subjects, i.e., "Principles of Management; Business Communication all{/ Soft Skills; and Business Economics", are not related to law; are beyond the core ) competence of NALSAR; which ) NALSAR was and fall foul of the objects for established. As NALSAR was established to achieve the objects specified in Section 4 of the NALSAR Act, it cannot venture into areas or teach ) ) ) ) subjects other than law, and any such enterprise would be ultravires the NALSAR Act. Likewise, in Semester Il, three subjects i.e., "Organizational Behaviour aud l-Junum Resources Management; Financial Accounting and Jl!Jauagement Accounting; and Business Statistics and Quantitative Techniques", have little relation to "law". 4th Internship and project is in the semesters. The subjects prescribed for the include "Financial 3rct 3rct and semester Management, Marl,eting Management and Brand Building, and Business Strategy aud Policy" , which are not subjects related to "law". Likewise, in the ) ) 4th semester, the ) ) three subjects which have little relation to law, are "(1) Information Technology and Electronic Commerce; (2) C01porate Govemance and Business Ethics; and (3) Operational Management". While the diploma courses offered by NALSAR Pro or the diploma course offered in collaboration with NADT are, at least, related to law, 50% of the syllabus of the two year ) ) ) ) I ) MBLA degree course offered by NALSAR has hardly any connection with law. COLLATERAL BENEFITS TO FACULTY MEMBERS Prof. V.C. Vivekanandan who joined NALSAR as a visiting faculty, in the scale of pay of an Associate Professor on 1st July 2001, was appointed as Professor (Proximate education) on 11.10.2006. He was subsequently designated as HRD Chair Professor of IPR und er the ) Ministry of Human Resources Development, Government of India with effect from 1.2.2008 by proceedings dated 3.7.2008. He was designated as Coordinator-NALSAR Pro, and HRD Chair Professor of IPR , by proceedings of the Vice-Chancellor dated 7.5.2010, and was asked to discharge his duties as Coordinator in NALSAR pro from the City office three days in a week, and to deliver lectures for LL.M., and B.A.,LL.B. (Honours) courses at Shameerpet campus on other Week days. In addilion to his monthly ) ,. ) ) ) 102 ) ) ) ) ) ) ) ) ) .) ) ) ) ) ) ') ) remuneration, Prof. V.C. Vivekanandan was paid a fixed sum of Rs.8000I- as honorarium, Rs.5000I- as conveyance, and Rs.2500I- as telephone expenses per month for discharging hs duties as Coordinator - NALSAR Pro. Sri M. Sreedhar Acharyulu, Professor of NASLAR was designated as Coordinator, Human Resources and Center Head, Centre for IPR of NALSAR by proceedings of the Vice Chancellor dated 7.5.2010. He was asked to discharge his duties as Coordinator, Human Resources from the city office three days in a week; deliver lectures for LL.M., and B.A., LL.B., courses and to work as Center Head, Center for IPR at NALSAR Shamirpet campus for the remaining week days. In addition to his monthly remuneration as Professor of law, Prof. M . Sreedharacyaryulu was also paid a fixed honorarium of Rs.8000 I- and conveyance of Rs.5000 I- per month for his services as Coordinator, Human Resources. As Co-ordinator, Human Resources Professor M. Sridhar Acharyulu was permitted to function from the NALSAR city office t ree days a week. However, on his relinquishing the position of Co-ordinator, Human Resources on August I st, 2011, as he was appointed as Registrar of NALSAR, Prof. M. Sridhar Acharyulu is now ) ) ) ) ) ) ) 103 ) ) ) ) ) ) residing at NALSAR, Shameerpet campus, and is no longer discharging his functions from the city office of NALSAR. While the Rs.75,000/- Vice per Chancellor mon th plus of DA NALSAR is and paid special pay; Professors and Associate Professors of NALSAR are fixed in ) the pay scale of Rs.37,400-67,000. Ln addition they are .) paid DA, HRA, TA, DA on TA and special pay, AGP e tc. The total pay ) ) packet of the Vice-Chancellor, ) ) olher Professors of NALSAR, for the month of ,July, 2011, were: 1) Prof. Veer Singh , Vice Chancellor 2) Prof. Amitha Danda ) and 3) Prof. K.V.S. Sarma 4) Prof. M. Sreedharacharyulu 5) Prof. V.C. Vivekanandan 6) Prof. Vijender Kumar 7) Prof. Balakista Reddy Rs.1, 18,250 Rs.l,29,016 Rs. l ,l0,415 Rs.l, 19,405 Rs.1,16,057 J · Rs.1, 17,667 · Rs.1,09,667 ) In addition to the mo_nthly rem:uneration received ) from NALSAR, certain faculty members of NALSAR have ) been paid honorarium and other fees from NALSAR Pro, IIRM, ICADR and NADT, Nagpur. For the years 2008-09 to 2010- 11, the following amounls were faculty of NALSAR. ) ) ) received by the ) S.No Name of the Professor HONORARIUM 1 2 ) 3. Prof.Veer Singh 90,5QQ_ Prof.M.Sridhar 4,68,287 Acharyulu Prof.V.C.Vivekanandan includes a sum of Rs.4,89,000 I relatable to year 200708 rece ived ) in the year 2008 -09) 4 Prof.Vijender Kumar 65000 66349 5 ) 6 9 1,03,664 Dr.T.Raghavendra Rao 10 11 12 10,000 Prof.K.V.S.Sarma 2,78,077 Prof.P.B.Shankar Rao 40,2_ Mr.S.N.A.Shafi 71905 280096 201075500 116286 17,85,845 1078120 247925 459800 (which · 2,26,352 95003 15000 52050 23930 3000 3000 77664 1000 108645 11300 26000 4000 5000 47435 121997 20086 20200 24825 24,825 13 ) 1,17,340 Dr.K.Vidyullatha Reddy 8 ) ) V.Balakista 28690 87,280 Dr.N.Vasanthi 6,000 Dr.K.V.K.Santhy 7 ) Prof. 73650 Reddy HONORARIUM HONORARIUM TOTAL 2008-09 2009-10 11 15000 14 Mr.Saurabh Bharthi 4000 3000 M s.Neha Pathak Ji r---i2500 7,000 ) _ _ 12 ,5 00 TOTAL 32,57,956 ) ) (k) ) HONORARIUM FROM IAAM In the absence of any information from IAAM it is not known whether any of NALSAR faculty member has received honorarium, or examination paper setting and evaluation fees, instilution. from the said We were informed that Prof. V. Balakista Reddy is involved in the programmes being conducted jointly by NALSAR and I AAM. ) ) ) 105 ) I ) ) (1) RENTED BUILDING Though the ) courses offered at NALSAR Pro are distance education courses and, except for a few contact ) ) ") classes, the entire programme is web based, the entire ground floor of a building at Hyderguda in Hyderabad has been taken on rent by NALSAR. informed that the office, hitherto located at Barkatpura, has now ) This committee was been shifted to the rented premises to enable prospective students obtain il).formation regarding, and pay fees for, the various courses offered by NALSAR PRO. ) ) ) ) ) ) For the office premises at Barkalpura, NALSAR did not have to pay rent. For the present city office located at 3-5-874/18, Hyderguda, three separate lease deeds dated 01.04.2010 were entered into for lease of the ground, first and second floors of the said premises. While the rent for the ground floor, including charges for furniture and fixures, is Rs.70,000/- per month; rent for the first floor, including furniture charges, is Rs.65,000I- ; and the rent for the second floor is likewise for a sum of Rs.65,000/-. While the first and second floors are utilised for conducting the ML (FS & CM) courses jointly offered by NALSAR and IIRM, the ground floor is utilized exclusively by NALSAR Pro. The rent paid for the ci ty office building at Hyderguda ) ) ) 106 ) ) ) ) by NALSAR, for the ML (FS & CM) course and NALSAR Pro, are as under: Year ) ) 20102011 20112012 upto Juyl 2011 ) TOTAL ) One desk, either in the first or the second floor of the ) ) ) ) ) ) ) ) said building would have sufficed for collection of fees, and providing information to prospective st uden ts, since these two floors are occupied for courses offered in collaboration with IIRM. The distance education courses offered by NALSAR Pro can be conducted from NALSAR Shameer pet campus. This would also have facilitated senior faculty members such as Prof. V.C. Vivekanandan and Prof M. Sridhar Acharyulu to function from the Shameerpet campus of NALSAR thereby enabling undergraduate and post-graduate students in the· campus to have the benefit of their guidance on all week days instead of two days in a ) / week. (first and second Saturdays of each month being holidays) . It would also enable NALSAR to cut down on wasteful expenditure being incurred towards monthly rent ) ) ) ) ) ) ) ) 1 07 ) ) ) ) for the ground floor of the building at Hyderguda. NALSAR can consider having a separate division of Distance Education to handle Distance Education courses. The ) Distance ) mandates that distance education courses should neither ) ) Education Council (set up under IGN OU ) be outsourced nor should it be franch ised. The net income of NALSAR Pro is alone reflected in the income and expenditure accounts of NALSAR. The ) honorarium paid to facul ty members of NALSAR, or the ) fees paid to them for paper se tting and paper evaluation, is ) ) ) ) ) ) ) not shown separately but is included under the head "contact classes" . For the year 2008-09, Schedule 21 of t he Balance Shee t reflects the receipts from NALSAR Pro. 8 of Schedule 21 NA LSAR Pro. Part relates to expend iture incurred for The amount shown as expenditure incurred towards "contact classes" of NALSAR Pro, for the years 200809 and 2009-10, are as under: 2008-09 2009-10 - Rs.38,63,919 Rs.32,85,150 / The difference between income and expenditure of NALSAR Pro is alone reflected under the head "NALSAR Pro Education (net income!' on the income side of the income and expenditure account of NALSAR. The net income from NALSAR pro, as reflected in the income and I ) ) ) ) 108 ) ) ) expenditure account of NALSAR for the years 2008-09 and } 2009-10, is as under: ) 2008-09 Rs.27,50,379 ) 2009-10 Rs.66,23,149 The of transparency ) ) ) ) ) complete lack in providing accounting information in relation to NALSAR PRO needs to be addressed. (m) COMMON ADMISSION TEST (CLAT) A memorandum of understanding was entered into on 23.11.2007 between seven National law schools in the ) country, including NALSAR,. for conducting a common ) entrance test for admission to the five year integrated law ) } ) ) degree programme. The Memorandum of Understanding envisages a Common Law Entrance Test, known as Common Law Admission Test (CLAT), being conducted every year by rotation by each of the seven National Law Universities; constitution of a committee, known as the Core Committee, to decide and prescribe policies in respect" of CLAT, and to monitor and implement its decision. Among the matters which the Core Committee is required to decide is the distribution of income and expenditure (including transfer of funds) incurred in conducting CLAT ) ) ) ) ) ) ) 109 ) ) ) for the year; approving the honoraria to be paid for various CLAT related activities etc. The Memorandum of Understanding stipulates that the proceeds (revenues) from ) the sale of application forms and brochures shall be shared ) in the following manner: ) (a) 50% of the proceeds to be retained by the organizing University for meeting the expenditure on conducting CLAT; and ) (b) the remaining 50% of the proceeds to be d ivided equally among the other participating Universities. ) CLAT, 2008 was conduc ed by National Law School of ) India University, Bangalore. ) (Revenue from the sale of application s for CLAT), NALSAR ) ) As its share of the proceeds received Rs.17,44,713/ - from National Law School of India University, Bangalore in the year 2008 and Rs.21,94,009/ from thee National Law Institute University , Bhopal in the year 2010. While CLAT, 2011 was conducted by the West Bengal National University of Juristical Sciences, Kolkotta, ) ) ) NALSAR is yet to receive its share of the proceeds. For CLAT, 2008, the then Registrar Prof.Ghanshyam Singh was paid Rs.2500/-, Prof. K.V.S. Sarma Rs.2000/-, and the other facu lty members Rs.500/- each. For CLAT, 2010 Rs.5000/- was paid as honorarium to Prof. Veer Singh, Vice-chancellor; ) Rs.4000/ - ) ) ) ) ) ) Prof. K.V.S. Sarma; Rs.2000/- to Prof. V. Balakista Reddy; and Rs.1000/- each to other faculty members. ) to For CLAT, 2011, while Prof. ) 1\0 ) Veer Singh was paid honorarium of Rs.6000/-, Prof. K.V.S. Sarma was paid Rs.5000/- and the other faculty members Rs.750 I- each. CLAT, 2009 was conducted by NALSAR and the Vice Chancellor was the Convener of the Core Committee. boxes, containing test papers of CLAT, The 2009, w re tampered and the locks broken open when they were in transit from Hyderabad to Lucknow. As a result CLAT, I 2009 examinations, scheduled to be held ) 2009, were postponed. ) on May 17th For conducting CLAT, 2009 the Registrar of NALSAR proposed, and the Vice-Chancellor ) accepted, that payments be made to the faculty and staff of ') NALSAR as honoraria. The amounts paid as honorarium to the Vice-Chancellor and the other faculty members of ) NALSAR are as under: 1) Prof. Veer Singh, Convenor 2) Prof. K.V.S.Sarma 3) Prof. Vijender Kumar ) l s.90,000/ Rs. 60,000/ Rs.50,000/ - The Assistant Registrar (Admn.) Ms. B. Nagalakshmi ) was paid Rs.40,000/-, and other non-t aching staff were ) paid lesser amounts. The note put up for the approval of the ) Vice-chancellor, (which was approved by the Vice chancellor on 24.9.2009), records that "tlte total amount of ) honorarium for CLAT-2009 staff was included in the statement of accounts which the Core Committee has approved in its meeting held ) ) ) ) ) ) ) Jl J Ill ) ) ) ) ) ) .} ) on 18'" September, 2009". All that is recorded in the minutes of the Core Committee meeting held on 18.9. 2009 is that "the Convenor, CLAT-2009 placed before the members detailed statement of Account including collection of CLAT-2009 Revenues (Income), Retention of 50% of Total Revenues by Organizing University as per MoU for conduct of CLAT -2009 aJUI item-1vise details of Expenditure incurred in conduct of CLAT-2009 and the statement of Accounts was unanimously approved by the members." Payments towards honorarium, as detailed above, were made in November, 2009. ) ) ) ) ) ) That certain faculty members were paid honoraria for CLAT -2009 is not the issue. What is of concern is the lack of transparency in furnishing details thereof either in the schedule to the balance sheet or in the expenditure account of NALSAR for the 2009-10. income and financial year Since application forms for CLAT, 2009 were issued between January and April, 2009, the receipts and expenditure of CLAT, 2009 is spread ove r two financial ) years i.e. 2008-09 and 2009-10. ) receipts from the sale of application forms for CLAT, 2009 ) ) was For the year 2008-09, Rs.1,78,41,890/-. After deduct i ng the expenditure incurred of Rs.63,30,880/ -, the surplu s of Rs.1, 15,11,010 was shown in Schedule 18 of the Balance sheet under the head "examination fees" . This surplus of Rs.1, 15,11,010I I ) ) ) ) ) ) ) ) along with graduate examination fees of Rs.9,29,150/ -, ) 112 ) I ) I totaling to Rs.1,24,40,160/-, is shown o n the credit side of ) the income and expenditure statement for the year ending 31.3.2009 as income from students examination fees. As a result, details of the expenditure incurred in the year 200809 for Rs.63,30,880/ - is not financial "J ) statements of NALSAR. the surplus (excess of of shown in the It defies reason as to how mcome over expenditure) Rs.1, 15,11,010 can be shown as income received from the ) sale of application forms which, during th e year 2008-09, was for Rs.1,78,41,890/ -. Likewise, for the year 2009-10, ) as against receipts from the sale of application forms of ) ) Rs.1,86,65,707, the expenditure incurred was Rs.2,25,46,622/ -.The deficit of Rs.38,80,915/- is shown in Schedule 28, of the Schedules to the Balance Sheet, under ) the head "miscellaneous expenditure". Schedule 28 refers to a note with regards the ) Common Law Admission Test, 2009. to ) Note 4, of the notes of accounts, relates miscellaneous expenditure and, thereunder, it is staled that, during the current year, the ) ) University had incurred an expenditure of Rs.38,80,915/- for the conducting Common Law Admission Test and the· receipts, in support \ of the said activity, were not shown in the accounts for the ./ year 2008-09 as receipt based system of accounting was followed by the institution. ) ) ) ) ) ) ) ) ) ) 113 ) "') ) ) ) ) This note of accounts is not only misleading but is also patently erroneous as the expend iture incurred during the year 2009-10, (erroneously shown in note 4 as Rs.38,80,915/ -), was actually Rs.2,25,46,622/ -. Further the entire receipts for CLAT, 2009 was not received only in the year 2008-09, but was partly received, Rs.1,86,65,707/-, in the year 2009- 10 al so. for As a resul t ) of the surplus/ deficit alone being ) and expenditure account of NALSAR for the years 2008-09 shown in the income and ') 2009-10, details of the ) reflected therein. Consequently the honorarium paid to the ) ) ) ) ) expenditure incurred are not Vice-Chancellor, the Registrar and Prof. Vijender Kumar of Rs.90,000/-, Rs.60,000/- and Rs.SO,OOO /- respectively is not revealed in the financial statements of NALSAR for the year 2009-10. The amounts received towards sale of application forms for CLAT -2009, or incurred for separately in NALSAR, let conducting CLAT -2009, the the is expenditure no t income and expenditure account alone the honorarium paid to ) Chancellor and other faculty members being ) therein. Both the shown the of Vice reflected Finance Committee and the General Council, of NALSAR have been kept in the dark on these ) ) ) ) ) J ) ) ) aspects. 1 14 (n) ') A Memorandum of Understanding was entered into, ) ) ) } )' ) ) ) ) ENDOWMENT FUNDS between Sri K.K. Venugopal, Managing Trustee, M.K. Nambyar SAARC LAW Charitable Trusl and the then Vice Chancellor, for creation of an endowment chair on Comparative Constitutional Law at NALSAH named as "The M.K. Nambyar SAARC LAW Chair m Comparative Constitutional Studies". Rs.50.00 lakhs was gi ven by the Trust to NALSAR for creation of the Chair. This sum of Rs.50 lakhs was required to be maintai ned in an interest bearing account. Professor The MoU envisaged appointment of a of Comparative Constitutional Law in the University to hold the Chair for a period of three years, renewable by mutual conse nt; the sal ary or honorarium to ) be paid to the Chairperson as well as other terms which ) were to be determined and mutually agreed upon by the ) ) ) Vice Chancellor and the Chairperson. The Chairperson was required to undertake, co-ordinate and manage studies, academic courses constitutional etc., law; and pertaining the lo University compara tive was also to undertake specific research and consultancy assignments as may be considered appropriate or suggested by the ) charitable trust. The Appendix to the MoU contains guidelines for the work which may be undertaken as part of the Endowments Chair. ) ) ) ) ) 115 \ J ) 1 ) ) Curiously while Rs.50.00 lakhs was kept in a Fixed Deposit on received and 25.6.2007, except for a conference held from 28.4.2008 to 29.4.'2008 at New Delhi, it was only in the year 2010 that steps were taken to utilize the interest, from the Fixed Deposit, for the purposes for which a Chair was created under the MOU. ) ) ' ) ) ) ) ) ) Rs.46.00 lakhs was received from 33 donors for awarding gold medals to meritorious students, Rs.11.00 lakhs was received from conducting guest lectures. and t h ree individuals for The interest received on the fixed deposits, relating to the endowmen ts, have not been fully utilized for the purposes for which these endowments were created. This was also subjected to criticism by the A.G. audit in its report for the years 2006-07 and 2007-08. (o) CONVOCATION EXPENSES For the years 2004-2005 till 2009-2010, convocalion expenses incurred by NALSAR, as shown on tlte expenditure side of its income and expenditure account, are as under: J ) ) ) ) ) Year 2004-2005 2005-2006 Amount 9,98,507 11,14,427 ) 2006-2007 2007-2008 2008-2009 2009-2010 11 6 This committee, called for a break-up of the convocation expenses, and was surprised to note the huge increase in decoration expenditure. Year ) ) ) .) 2004-2005 20052006 2006-2007 20072008 2008-2009 2009-2010 2010-2011 .) Amount 30 ,0 00 3,90 ,000 .3,75,000 4,60 ,000 7,12 ,845 7,50 ,000 8,00 ,000 On being asked to produce the records to ascertain ) whether or not tenders had been called fo r this decoration expenditure, we were informed that no tenders were called for, and the work was being entrusted to the same person each year with a periodical increase in Lhe amount paid as mutually agreed between him and NALSAR. If only tenders had been called for, invited, NALSAR substantial part of could the have and saved day i.e., the day of c o n v o c a ti o n . I' ) a huge expenditure incurred towards decoration charges for ) bids one ') 11 7 ') ) '} ') The convocation expenses include the amount incurred on supply of lunch on the day of the convocation . While lunch was supplied by M/ s. Durga Mess for students I ) and their parents who attended the convocation, Lunch for J VIP guests was supplied by Celebrity Club which was earlier known as Emmanuel Resorts. ') invited nor was supplier, either Neither were bids any effort made to identify any other from the city or nearby NALSAR Shameerpet campus, for supply of lunch both to the VIP guests and parents and students who convocation. attended the NALSAR could have reduced its lunch expenditure substantially if quotations had been invited from atleast a few other hotels/caterers. ) ') ) ) ) ) After scrutinizing the Budget estimates for the year 2000-2001, along with 2000, the the revised estimates for 1999- Finance Committee, in i ts meeting held 11.03.2000, suggested to enhance the on provision under 'Legal Literacy' from Rs.20,000/- to Rs.SO,OOO/ - and to effect corresponding reduction under "Functions/ Celebrations". In the 15th meeting of the General Council held on 26.03.20 11, Justice U.C. Bru1.erjee suggested that the expenses of convocation should be reduced. The minutes of the said meeting records the Vice-Chancellor having informed the members that the cost of tent, food J J ) ) ) 1 1 8 ) ! and air fare had gone up; hence provision had been made ') accordingly; and, once th e A udito riu m was complete, expenses on tents etc., would be ) ) consid erably reduced. The moot question uction of the is when will constr Auditorium be completed. CONSTRUCTION OF AUDITORIUM (p) The Executive approval Council accord ed for constitution of a building committee con sisting of the then Vice- Chancellor, two sitting judges of the A.P. High Co urt, the Chairman, Bar Council of A.P. and the Registrar, NALSAR. The Executive Co uncil, in its meeti ng held on 23.06.2007, approved awarding the contract to M /s. Asia Engineering Company among others, of I '\ for construction, the Auditorium. Limited tenders, (expressio n of interest E.O.I), were invited from three pre-iden tified ) contractors, (instead of an open invitation to tender), from amongst ) whom the bid submitted by Engineering Mjs. Asia ) Company Private Limited was found to be the lowest. A work order was issued on 06.07.2007 requiring them to commence the work within fifteen days. The period of completion of construction of the Auditorium, as specified in the work order, was 360 days. Thereafter an agreement was entered into on 07.08.2007. As agai n st the estimated cost of Rs.450.14 lakhs, the agreeme n t val ue of civil worl<:s j ) ) 119 ) was around Rs.477.27 lakhs from out of the total value of ) the ) contract of Rs.4.96 crores. ) ) ) .) ) ) work, which commenced in July, 2007, was stopped just a month thereafter in August, 2007, by which date only Rs.25.66 lakhs value of the ) The work was completed. The matter remained in cold storage thereafter till the year 2010 when the architect, vide his letter dated 11.01.2010, re-estimated the cost of construction of the Auditorium as Rs.5.51 crores. As against the contractor's request for escalation in rates by 12%, the architect recommended an increase of between 7 and 7.5%. J ust pnor to re-entrustment of the work of construction of the Auditorium in January, 2010, the Vice Chancellor constituted the building committee. The constitution of the said building committee has not as yet ) ) ) been approved by the Executive Council of NALSAR . Even before enhancement of the agreement value was approved by the Executive Council, a contract was entered into with Mjs. Asia Engineering Company Private Limited on 01.02.2010 whereunder the period of completion of the work was fixed as 360 days. The site was handed over to the contractor on 01.02.2010, and the date of completion was stipulated as 25.01.2011. ) ) ) 120 The Executi ve Council, in its meeting held on 28.02.2010, is said to have approved the recommendations of the building committee for 7% enhancement of the original agreement value. Even, by 25.01.2011, only 40% ) ) of the work was executed. By his letter dated 15.02.2011 the contractor again sought extension of time, for completion of the work, till 30.09.2011. On enquiry, the Project Engineer informed us that, till date, only 50% of the ) work has been completed. H e also informed us that the work will not be completed by 30. 09.201 1, and it may take ) atleast six more mon ths for its completi on. Meanwhile, the ) contractor has sought escalation in rates by Rs.35 lakhs on account of increase in the cost of cemen t and steel. ) ) No effort was made by NALSAR to invite bids afresh for re-entrustment of the work in the year 2010, nor has ) any action been taken agai nst the contractor for slow progress in completion of construction of the auditorium, though clause 44 of the General condi tions of contrac t ) prescribes a penalty calcula ted at 0.5%, of the total value of the work, per week to be levied as liquidated damages subject to a maximum of 5%. Curiously even the buildin g committee has not as ye t approved grant of extension of time to the con tractor even till 30.09.2011, though they continue to execute the work. ) ) 'j ) 121 (q) OTHER CONTRACTS NALSAR has outsourced the following facilities: (a) ) security services; (b) mess; (c) cleaning facilities; (d) annual ') maintenance contract for computers, LCD, Internet etc; (e) sewerage treatment plant; (fj pest control services; and ) ) (g) six shops on campus. Lease agreements have been entered into between the lessees of the shops and NALSAR , and the rent received by NALSAR ) ) departmental ) ) ') ) ranges from Rs.900/ - to Rs.4,000/- p.m. These shops ·house a law book house, a telephone booth, a bake_ry, a fruit shop, a store etc. Furniture is procured, and IT and purchase contracts entered into, by NALSAR not by open invitation to tender, but by identified limited suppliers/ contractors. tenders While from the preweb maintenance contract at NALSAR, Shameerpet ) Campus is Rs.80,000/ per annum, NALSAR Pro, which has a much larger traffic, ) a has been incurring only Rs.35,000/ - annually for such ) maintenance contract. made that even invited from the Allegations have limited been tenders, pre-identified suppliers, are in reality only from one supplier who himself \ produces quotations on letter heads of o ther firms which exist only on paper; and, in effect, furnit ure is purchased from, and IT and other purchase contracts are awarded to, ) 1 22 ') only one pre-identified supplierI contractor, and not even ) on the basis of a limited tender. These allegations may ) ) ) need further probe. Our attention has also been drawn to the needless expenditure incurred on printing material such as brochures, journals etc., as a substantial portion thereof is said not even to have-been pul to use. During the initial years, the purchase committee of ) ) ) ) NALSAR included a sitting Judge of the High Court. To avoid needless and wasteful expenditure it is necessary that the earlier practice of having a silling/ retired judge of the High Court in the purchase com mittee, which has later been given a go-bye, is revived. ) ) ) (r) FINES Complaints have been received from students regarding imposition of excessive fines. Details of the fines, collected from students which were cred ited to the slud·en t welfare fund, during the years 2008-2009 to 2010-2011, is as under: ) Year 2008-2009 2009-2010 2010-2011 Amount 1,27,240 4,01,900 4,88,000 The University has been sanctionin g scholarships to students from the funds available in the students welfare ) ) 123 fund. The scholarships sanctioned for the years 2008-2009 to 2010-2011 are as under: Amount 1,75,000 1,98,750 3,20,000 Year 2008-2009 2009-2010 2010-2011 ) ) (s) FINANCE COMMITTEE MEETINGS The A.G. Audit, for the financial years 2004-2005 and ) 2005-2006, observes that, as per Section 15(4) of the NALSAR Act, the Finance Committee should meet at least ) thrice every year but, on enquiry, it was reported that only ) one Finance Committee meeting was conducted during 2006-07 and 2007-08 as against the stipulated three \ ) meetings each year. Not only should it be ensured that the Finance Committee meets once each quarter if not more often, but also that persons appointed to the committee are ably assisted by qualified independent auditors to unearth, and correct, discrepancies at the earliest, i n any event, before ) ) I ) the accounts are audited by the Accountant General. 1 24 ) ' ' ) CHAPTER V ) LIBRARY ) ) Not only does NALSAR have a fairly well equipped library, it also provides internet facilities to students both in the library and in the hostels. The grievances of students are not with regards non-availability of books in the library, but with regards the library timings and the period ) for which it is kept open. This report is, therefore, confi ned only to this issue, and other issues regarding subscription ) of other journals, ) cleanliness, loss of books because of inadequate security in purchase of books, stock taking, the library etc. are not being de.al t with herein. ) ) I ) ) ' The li brary at NALSAR campus i s open from 9 am to 9 pm on working days, from 9 am to 5 pm on holidays and till 11 pm on examination days. Students complain that, as the entire morning session and, circumstances, the afternoon depending sess1ons are on spent the in ) classrooms or for consultation with their teachers, they \ have access to the library only for aro und three to four ) hours each working day. Studen ts have s uggested that the li brary at NALSAR, like li braries of all institutions of excellence, should be open 24x7; and, in order to deal with the staff requirements of such an arrangement, access to .) ) ) 1 25 ) ) the library could be mechanized. We are informed that the ) Library at the National Law School, Bangalore is open till ) ) 12:30 A.M. for all students on a general basis, till 3 A.M. on examination days, and 24 hours a day for students preparing from moot court competitions. The Library at NUJS, Kolkata is said to be open till 2 A.M every day. ) ) ) ) ) ) ) J NALSAR administration would do well to obtain information from these Law schools, depute its library staff to study the systems put in place thereat to ensure safe access of both students and books in the Library and, thereafter, examine the feasibility of adopting a similar system in this institution also. ) 126 \ CHAPTER-VI STUDENTS WELFARE/ GRIEVANCES Unlike a military academy attempts to enforce strict discipline, of a similar kind, on students in a residential ) ) ) ) University is not warranted. Youngsters, just out of school, join the five year undergraduate course at NALSAR. These adolescents, some of whom may not even have attained majority, need delicate handling, and not strict policing. These adolescents are called upon to spend a major part of the next five years of their lives within the confines of a ) ) ) ) ) residential institution. Their grievances are many, some genume some exaggerated. Instead of creating an atmosphere where they are scared even to approach l.he authorities to ventilate their woes, NALSAR administration should give them a patient hearing, and explain why all their grievances cannot be addressed. This chapter is again divided into different topics. ) (a} PLACEMENT PROGRAMME As new avenues arise, which enables them to supplement their monthly remuneration, the focus of NALSAR faculty has shifted from its primary objecti ve of creating a talent pool of bright lawyers to conducting distance education courses in wide and varied subjects. ) ) 127 ) The object of establishing NALSAR, as Is laid down ) ) ") Section 4 of the Act, includes to evolve and impart comprehensive legal education at all levels to achieve excellence; to promote cultural, legal and ethical values with a view to promote and foster the rule of law and the objectives enshrined in ) ) ) the Constitution of India; to promote legal awareness in the commun ity for achieving social and economic justice; to undertake study and training projects relating to law, legislation and judicial institutions. ) \ I During our interaction, while several students suggested introduction of new courses, in subjects such as competition law, on the plea that it would help them secure ) employment, not one of them expressed only desire or intention to join the bar or the. subordinate judiciary. Even ) amongst the representatives of the Student Bar Counci l, it ) is only a few who said they intend ed joining the bar on ) them, a majority were second or third generation lavvyers. ) Of the more than 500 students, who have completed their completion of their five year undergraduate course. Among undergraduate law course at NALSAR, a substantial number have joined as Law Associates in Corporate Law Firms, and a negligible few have taken to legal practice. Even among these few, many have joined law firms which ) ) \ I ) 128 ) '\I specialize in corporate/business laws. The pay packet offered by them is the main attraction, unlike the uncertain ., returns in the initial years of law practice. ) ') ) When asked why joining the bar was not among the options thought of, the common refrain was that it would involve a "struggle" which they could do without. It does not stand to reason that such "bright young minds" should avoid joining the bar for this reason when, in fact, their five year undergraduate course with NALSAR, m a confined ) environment involving long hours of study and intense ) competition with its emphasis .on securig high grades, is no less a "struggle". It is evident that not enough attention ) has been placed on motivating these talented youngsters to ) take up the legal profession. Quality of Academic Input m ) ) .) the law course, and an active role by the faculty tn motivating the young minds in career selec tion keeping in view the objects of the NALSA R, is of ulmost importance. As, at present, the entire batch of final year undergraduate students of NALSAR find placement eilher with law firms or in the corporate sector, except for a handful who join the bar or pursue higher education. Hitherto, placements used to be supervised by the facu lty of NALSAR. Placement, both in between semesters and at the end of the five year undergr.aduate course, has, in the J J ) 1 2 9 recent past, been left Council without the to the Student Bar involvement of either the NALSAR administration or the teaching faculty. Mid-semester placemen t with lawyers of repute, and at different levels, be it in the District, in the High and in Court or the Supreme Court, non governmental the rural ) in organizations populace and the deprived which cater to socially and educationally sections of society, could be an option for students who have the zeal to take up socially relevant issues on their joining the bar later, instead of the mad rush as at present ) to join the corporate sector, or in law firms which cater to ) ough ) ) the needs' of corporates. Routing final placements thrNALSAR, instead of leaving it to the Student Bar Council, will avoid the impression among a substantial section of students that plum placements are cornered by members of the recruitment committee of the Students Bar Council. ) An effective system for placement of students, in between semesters, needs to be pul in place, and good lawyers in the and ) High Courts District Courts, identified for such placements. ) Supreme Court, the Even though improving the quality of Lhe bar was among the primary objects of establishing this insti tution, students now go only to law firms, and the trial Court, High Court and Supreme lawyer's hardly ) internships Court 1s ) 1 30 ) ) ) ) . .) considered an option. Mid-semester placement with lawyers should be factored into the students curriculum, and they should be allotted marks for these internships which can be the marks for clinical courses. (b) MOOT COURTS Participation in Moot Courts, and the success there ) at, is considered an achievement by students of Law Schools. NALSAR spends several lakhs each year towards Moot Court competitions. Participation in Moot Courts, ) both within the country and abroad , is partly subsidized by ) NALSAR. The expenditure incurred by NASLAR for Moot Court competitions during the years 2006-2007 till 20092010 is as under: Amount Year ) ) ) 2006-2007 2007-2008 2008-2009 2009-2010 6,64,168 8,46,338 9,28,056 12,43,359 Several students have complained about lack of transparency and fairness both in the selection process, and in selection of students, to participate in Moot Court competitions. While this could partly be discounted as the grievance of those who have not been found meritorious for selection, there are no procedures prescribed to ensure a transparent ) ). ) process of selection of students for 131 participation favouritism m have moot court been events. level d Allegations of against Prof. Vijender Kumar, and a large section of the students with whom we interacted believe that he has been partial. an outsider including, if need be, Involvement of a nominee of the Chancellor in the selection committee would redress these grievances, and ensure that a transparent and fair procedure is adhered to in the selection of candidates for participation in Moot Court competitions. ) ) (c) MEDICAL FACILITIES In the General Council February, 2006, Justice meeting held on 25th S.S.M. Quadri, (presently the Chairman of this Committee), suggested that medical ) ) ) facilities on the campus needed be upgraded. NALSAR has employed a part time doctor and a nurse. The Doctor is required to work three hours (4.00 p.m. to 7.00 p.m.) each day siJ'{ days a week. The University has a health center where the doctor attends to the medical complaints of ) students. The Doctor, at present, is paid Rs.20,000 j- per ) month. NALSAR has also employed a resident nurse on con tract basis at Rs,lO,OOO/- per monlh. She is required to stay in the campus. She is provided rent free accommodation in the girls hostel, and free food at the ) J 1 32 ) students mess subject to a maximum of Rs.2000/- per ) month. ) ) ) ) Adequate stock of medicines in the University health centre, coupled with response system, the has setting up of an emergency been amongst the essential requirements which students have emphasized upon. Training students in first aid and emergency medical care; and Setting up of a counseling cell to help them deal with ) the acute stress of the demand s of a law school are ) amongst the other suggestions made. Boy students have ) ) ) ) ) complained that, while there is a nurse in the Girl's Hostel, there is no trained para-mediC" residing in the Boys Hostel; there is no doctor on call; and the doctor, who is required to be available 3 hours a day six days a week, only visits the campus on certain days of the week for an hour or so. The NALSAR campus, and the region arou nd, is said to be snake infested. Students have complained that there are scorpions, besides varieties of insects, some of whose bites ) are dangerous. Studen ts have also complained that the ) ambulance available at NALSAR is not well main tained; ) distilled water (without which the cylinder cannot be used) is not kept in the oxygen cylinder; and there have been numerous instances of the ambulance failing to respond promptly to emergency calls from the sludents. (Delays of J ) ) ) ) ) 133 ) ) even half an hour to forty minutes have been reported). We were informed that, as at present, students pool in to pay the ) hospital bills of the studen t hospitalized in an ' emergency and, at a later date, recover the amount from ) him/her. ') ) No antivenom or other antidotes are stocked at the health centre located on population, which the includes campus. A large student students suffering from ) peculiar medical conditions, makes it important to have a ) well ) planned emergency administration system m place. should examine whether an NALSAR emergency response section can be facilitated in collaboration with Mediciti, or and any other hospital located at a proximate distance from NALSAR. The University should lake immediate steps to fully equip the ambulance and e nsure ) ) ) ) ) that it is properly maintained. Adequate stock of essential medicines, including antidotes for snake bites, should be maintained. Immediate steps should be taken to conduct a first-aid training course for all the students in basic first aid and health care. The feasibili ty of establ ishing an infirmary for students, during outbreak of contagious diseases, must be given senous consid eration, as also a group medical insurance policy for all studen ts and a para medic in the boys hostel. ) J ) 1 3 4 (d) CLEANLINESS OF HOSTELS In the 15th meeting of the General Council held on 26.03.2011, suggested Justice that P. Venkatarama cleanliness maintained properly in minutes the Vice of said Chancellor should the be hostels. The meeti ng having Reddi records assured the that maintenance work would be done in phases, on account of maintenance being very ) ) expensive; and hostels' cleanliness would be main tained properly. We went around the boys and girls hostels, and found that the toilets were dirty, the corridors near the bathrooms were littered with gar bage, and the rooms were unclean. ) ) be ) that the hostels had been spruced up for our cleanliness levels visit, and that lh e were far worse on other days. Serious attention should given by the University authorities regarding upkeep and maintenance of hostels. ) ERRATIC POWER SUPPLY (e) ) Students informed us ) Students have complained of errati c power su pply, and failure of the switch on the NALSAR staff generator during power cuts. to promptly A generator has been purchased and is housed a little from sluden ts hostels. away During power cuts an a tlender f sec urity guard goes over and switches on Students have ) ) ) \ J the generator. ) 1 3 5 complained about switching on to inordinate delay, in the generator, ranging from minutes to one unable the hour. access 45 As a result they the internet, and are their academic preparation is hampered thereby. They informed us that they had complained on several occasions, and had also gone personally to the attenderI guard residence of the requesting him to switch on the generator. Their grievance is that they guard's room cannot go over to the during nights as they are not allowed to leave the hostel premises, resulting in their having to endure power cuts for long. ) During ) ) its ) the year collected 2011-12, NALSAR Rs.8000/- per annum towards internet fee, and Rs.5000/ per annum towards electricity charges, from each of undergraduate and post graduate students. Since erratic power supply adversely affects the students academic ) preparation, NALSAR should examine whether a system, of ) the generator being on during power introduced. automatically switched cuts, Till then can be the ) attenderjguard should be asked to forthwith switch on the Complaints, either oral ) genera tor. from in be stude nts promptitude. ) ) ) this attended or regard with written, should ) 136 ) } ) (f) ) SPORTS & EXTRA - CURRICULAR ACTIVITIES Very little encouragement is given to sports or sports ) ) ) related activities at NALSAR. This committee was informed that neither does NALSAR have a sports festival of its own, nor does it encourage students lo participate in inter varsity sports meets. We are al so informed that the ) recreation room in NALSAR, though buil t as a venue for extra-curricular kept ) activities, is not open regularly. Students have complained that permission, to use the ) recreational facilities, can only be granted by the Vice ) Chancellor resulting in students not being able to u se musical instruments in the recrea tional room or have ) ) ) dance practices etc as sanction is gi ven by the Vice Chancellor only on specific occasions. The activities of the cultural committee, including organizing dance and music evenings, is said to be limited to one every semester of four ) year months duration. The fee structure for the first B.A.,LL.B (Hons} course, for the year 2011-12, includes ) Rs.1000/- per annum towards students welfare fund; and Rs.3000/- per games and sports. annum Similar towards amounts are collected from undergraduate students in the II to V years, and from LL.M. students However the amount spen t on games for the also. spor ts and years 2008-09 was merely Rs.1,02,655/ -, for the year 2009-10 it was Rs.1,15,205/-, I ) ) ) ) ) ) ) and was for the year 2010-11 it ) 137 1 Rs.58,966/-. Amounts collected towards sports and games have been diverted for other purposes, and the complaint of students of lack of facilities in this regard is justified. The stadium at NALSAR is not fit for playing games. The field needs to be leveled, and a grass cover needs to be laid. We are informed that the girls hostel gymnasium ) equipmen t does not work, the electronic treadmill and the exercise cycle have not been repaired and can be run only ) manually. Immediate steps should be taken to have these ) machines ) ) ) ) ) repaired. maintenance of Proper and these timely equipment m ust servicing be and ensured. NALSAR should have a tie-up with any one of the several reputed gyms in the city, and arrangements should be made to have a male/ female trainer go over to NALSAR campus to train students twice a week. There must be dedicated time for co-curricular activities within the daily schedule of activities. If such activi ties a re undertaken outside the campus, transport support should be provided. ) (g) ) I COUNSELLING A counselling cell, manned by qualified personnel, is said to have been promised to the un timely demise of Sri Rami 2010 batch, who students after the Reddy , a studen t of the committed suicide. There must be a student counsellor on the campus to address issues of student ) ) 138 distress, and problems of adj ustment be it academic or other inter-personal difficulties. (h) OFFICIAL E-MAIL ADDRESS Students have also sought an official NALSAR email address for each student to enable them to correspond with judges, lawyers, and other universities proving their authenticity as a NALSAR student. Other Law schools in the country, including NLS Bangalore, are said to have I ') provided such facilities. We see no reason why NALSAR should not introduce something similar as Lhis can also be used to communicate with students, inform them of their ) ) ) ) ) ) ) } examination results etc. ) 13 9 ) ") ·---_) CHAPTER VII SUGGESTIONS AND ') RECOMMENDATIONS ) ) ) ) ) ) A. ADMINISTRATION AND GOVERNANCE STRUCTURE Having to our notice, and adverting thereto, we are view that the serve 1) in following Decisions the of all Planning the statutory Executive Council, the Finance Committee 2) Board should be brought to the The services of an expert body, like ASCI. may be hired for studying the recommend an effective ) present set and efficient 3) and regulations, meticulously adhered to by all the highly ) officers of NALSAR may be, and any ) them should viewed ) ) ) model and of Administration and Governance as introduced authorities of NALSAR, however ) up, administration and management for NALSAR. by statutes ) and notice of the General Council in its next meeting. ) ) would taking corrective measures: Academic Council, the ) ) the of the suggestions committees, namely, the () ') anxious consideration to facts, mismanagement and mishandling which has come ) ) bestowed our made accountable. seriously and must be officers or placed the deviation by the guilty be ) 140 ) 4) Decentralization of power and authority in the office of the Vice-Chancellor is necessary to prevent and check wide spread misuse. The Vice Chancellor should keep the Chancellor informed of all important matters concerning the administration and govemance of NALSAR. Prior written permission of the Chancellor must be obtained before the Vice ') Chancellor of NALSAR undertakes foreign trips. ) 5) / "on duty" leave, should be with the prior permission of ) the Chancellor. Necessary statutes/regulations must be made in this regard. ) ) Leave availed by the Vice-Chancellor, including 6) Expenditure limits, even for the Vice-Chancellor, must be ) put in place which may be reviewed periodically. ,) ) 7) The functions of the Registrar have increased multi-fold necessitating a full time professional being ) appointed to the said post. It would be inappropriate to continue to burden the faculty with the onerous duties attached to the office of the Registrar. An outside professional may be taken as the Registrar, NALSAR. 8) The Registrar of the University should monitor proper maintenance, and should personally inspect at least once a month. Repairs of buildings, including ) ) ) 141 class rooms, hostels etc., if any, should be carried out ') ) with promptitude. 9) Attendance register should be maintained for the faculty of NALSAR and, similarly, Leave records must be properly maintained and a system introduced to ) ensure that prior leave is obtained for absence from ) duty. ) 10) Proper records of all fixed assets, furniture and fixtures, and other articles owned by the University should be maintained by the Registrar which should } be periodically checked at the end of each academic ) year. ) ) 11) should be made available to each student at the commencement of each ) academic year to enforce compliance of the rules, and to hold the students ) ) A hand book containing consolidated set of rules accountable for violation thereof. 12) ) A committee, consisting of senior faculty members, should be constituted to interact with students, take note of their grievances, and to take J appropriate measures to redress them. 13) ) ) ) ) ) In order to maintain academic excellence, in NALSAR, involvement of the permanent faculty in distance education courses or in other collaboration I ) 142 ) ) courses with outside bodies should be avoided as far ) as possible. ! ) ) 14) Education courses, instead of utilizing the services of the existing faculty. ) 15) 16) ) ) ) Systems should be introduced not only to provide fool proof security of the examination paper, but also to ensure that there is no leakage of question papers. ) ) NALSAR campus. ) ) Distance Education programmes conducted by NALSAR PRO should be shifted to the ) ) a separate division of Distance Education to handle Distance ) ) NALSAR should consider having B.ACADENUCISSUES 1) Organising the Academic Branch of NALSAR into different departments - each to be headed by a Senior Professor - would ensure improvement in academic quality. Even History, Political Science and Sociology - socio-legal subjects - English, can be brought under one department. To ensure academic equality, the faculty must be available on the campus on all working days. for extension Diverting their talent and time activities of NALSAR, including proximate education contact courses and off-campus ) ) initiatives, would dilute academic quality. ) 143 ) ) ') Faculty meetings should be, mandatorily, held 2) ) once in a month to discuss various academic and other related issues concerning NALSAR. The faculty should also be informed in writing, in advance, of any proposed Executive Council and General Council meeting, so that non-EC and non-GC faculty members can represent their views on any of the issues in the agenda, by sending their representations which should be placed in the respective meetings. ) 3) ) There is an urgent need to improve the quality of the faculty of NALSAR. In the case of appointment on contract basis assessment, of three years performance ) of the new recruits, by senior faculty of NALSAR and () students may be taken into consideration and, if ) found unfit, they shall not be appointed on regular basis. 8 ) ) ) ) ) ) ) ,) ) ) ) It is essential that experts in different subjects 4) are recruited as members of the faculty to teach subjects in which they have expertise. Their assistance can be taken for other courses, if such a need should arise. It is, however, essential that students of NALSAR are taught by experts in the field. ) 144 ) ) ') 5) A Committee within and of Academicians/Jurists from outside NALSAR. constituted by the Chancellor, should be entrusted with selection of the faculty. 6) NALSAR Alumni, who have completed their LL.M in reputed institutions in India and abroad, may be made eligible to apply for the faculty. ) l 7) Adhoc/ contractual appointments should only be made ) for a limited duration. Contractual appointments must, as far as possible, be confined to } retired professors, who are invited as visiting professors of NALSAR, as they cannot be appointed on ) a permanent basis in view of the UGC Rules. ) ) 8) Systems must be put in place to ensure that the faculty constantly upgrade their quality of teaching. ) and senior faculty members act as mentorsI advisers to those newly recruited by a process of continuing ) education. Exchange programmes, or programmes of a ) similar nature, can be thought of as an option for providing continuous education to the faculty. 9) Necessary arrangements promoting ) ) ) \ ) and should be made for rewarding research efforts. The ) 145 activities of the several centres, established at NALSAR, must be reactivated. 10) Projects given by outside agencies to NALSAR should invariably be preceded by a circular, issued to the faculty, calling for expression of interest from such of them who have specialized in the subject of the project. Students, interested in research, may also be involved in the execution of such research projects. 11) The Vice-Chancellor and the Registrar should not, except for an honorary role, be a part of the project or be paid any honorarium or other fees in relation thereto exclusively in unless the project their capacity as is brought a subject expert. Financial assistance, either in the form of research associateship or by way of reduction in fees or ) scholarships, can be extended to such students who ) are selected for a research project enabling them to reduce their financial burden. ) ) 12) The course curriculum, as designed, must be reviewed periodically each year in the concerned department with the assistance, if need be, of an outside subject expert. The entire faculty of NALSAR must also be involved in such an exercise. Curriculum and performance review, in which feed back from both ) ) ) 146 the faculty and the students is called for, should be introduced. -) 13) The examination papers must be so devised as to test the knowledge of a student in the subject, and not ) merely his ability to memorize or rote. ) ') 14) evaluation of project reports and ) such students who apply, on payment of charges. 15) Academic committees should be constituted, and Regulations should be made for appointment of the ) members of the faculty to these internal University ) committees. A rotation policy, whereby all faculty members serve on all committees, should be put in ) ) answer scripts. Copies of answer scripts should be made available, to ) ) Transparent procedures must be put in place for place. 16) It should also be ensured that no individual is retained in ) any committee for more than two years continuously. ) 17) A system of evaluation of faculty by the students of NALSAR, the format in which such feed back may be obtained etc should be introduced. evaluation of faculty must be placed ) ) ) ) Student before the 147 Academic Council, the Executive Council and the General Council. C) ') 18) introducing two sections of 50 students each, from the next year starting with the first year under-graduate ) law course. ) ) Since the ideal strength of a class room is between 40 to 50 students, NALSAR should consider 19) Introduction of a tutorial system where students, in () small groups of around ten, interact with the faculty can also be introduced in the ) afternoon session. ) 20) () Division of courses into mandatory and optional courses; and introducing single credit, no credit and ) inter-disciplinary courses; should also be examined. 21) Five percent marks, presently being given for attendance, should be dispensed with as it has not been ) Instead, a minimum attendance requirement of 75% should be made ) ) found to be effective. compulsory. 22) Rules must be framed to curtail plagiarism in the field of research and preparation of project reports by ) ) ) ) ) students. 148 ) .. ) ) ) ·; 23) NALSAR should also consider introduction of foreign languages as optional courses. C. FINANCIAL MANAGEMENT l) Systems are required to be introduced to ensure that the ) financial resources of NALSAR are not wasted, and frivolous and unnecessary expenditure is ) avoided. An efficient and effective accounting system, ) with all accounts books such as cash book. bank ) book, general ledgers etc.. being properly maintained, must be designed and implemented. ) .) 2) Voucher information, and approval of payments, must be streamlined. 3) Bank reconciliation statements must be prepared ') ) ) each quarter. 4) An internal audit system must be introduced. 5) Proper accounting systems, including structured ) ) periodical financial data reporting, must be established. ) 6) An effective control system, both for maintenance of accounts and to control expenditure, must be introduced. Accepted accounting procedures must be adhered to. ) ) ) -) 149 ) ) ) 7) The existing auditors, who have continued from the inception of NALSAR, should be changed. ) ) 8) As stipulated under Section 15(4) of the Act, the Finance Committee should meet at least thrice a year, ) if not more frequently, and should examine upto date ) financial information which must be furnished well in ) advance of the meeting. ') 9) ensure that the award of contracts by NALSAR is only ) by an open tender process, and not by nomination or ) by limited tender, and for that purpose a Committee be constituted, to accept the tender, to oversee high ) quality of construction, and timely execution of the ) work awarded. The committee must also include a nominee of both the Chancellor and the ) Finance Secretary of the State Government. ) ) Statutes/Regulations must be so framed as to 10) Measurement books of constructions must be maintained for the works executed, which should be promptly signed by the contractor and the officer of NALSAR, and these books must be subjected to audit. 11) Payments made to the contractor and consultants, for execution of the works, the must be recorded and should also be made available for audit. ) ) ) ) ) 150 12) Bills of contractors must be processed, and payment made, only after thorough verification of the works executed by them and as recorded in M.B. Separate Registers should be maintained for fixed 13) deposits, fixed assets, investments and recoverable advances. Purchase ) Register of files, consumables should also be maintained ) and kept upto ) must be made available Accountant Utilization of endowment funds must also be 14) subjected to verification by the auditors to ensure that the () purposes for which such endowments have been created, or ) ") for verification by the General. ) ) date. All these Registers and files auditors-statutory or internal, or the -) ) Stock Registers and funds donated, have been adhered to. 15) Strict control must be exercised over the expenditure incurred -both capital and revenue. ) 16) ) Statutes/regulations must be made fixing the expenditure limits of all officers of the University including the Vice-Chancellor. 17) ) ) ) ) ) ) _) ) Copies of the internal audit report, and the Accountant General Report, must also be placed before the Finance Committee, the Executive Council ") 151 ) ) and the General Council for their information and ) corrective action. ) 0 18) Detailed records of expenditure incurred for each project should be maintained, and the honorarium and other fees paid to the co-ordinator of the project must be reflected in the schedules to the Balance -) sheet of NALSAR each year. ) ) 19) remaining after incurring project expenditure, must be ) identified and informed in writing before the project is undertaken. ) ) 20) associated with the project, must also be intimated to the concerned Ministry/Sponsor of the project. 0 21) ) regarding ) ) ) ) ) ) distribution consultation/research ) ) As recorded in the resolution of the Executive Council, in its meeting held on 08.03.2008, the issue ) ) Details of the honorarium paid, and the project surplus paid to each faculty member of NALSAR .) !) Persons, who are entitled to receive the surplus of amounts programmes received I in training programmes must be reviewed. 22) Strict control must be exercised regarding foreign travel of officers and faculty of the University, including the Vice-Chancellor and the expenditure 152 incurred by NALSAR for foreign travel and stay must be specifically placed before the General Council. 23) Amounts incurred by NALSAR for private foreign trips of the Vice-Chancellor and other officers/faculty of the University, and amounts taken as advance and not accounted for, should be recovered. 24) As stipulated, in the Leave Regulations, prior sanction of the Executive Council must be obtained ') for the period of foreign travel of officers of the ) University, including the Vice-Chancellor. It is only .) on sanction being accorded can the period of absence be treated as "duty leave". ) 25) Frivolous and needless expenditure, particularly by way of advertisements in periodicals, journals and ) ) ) ) ) magazines, should be curbed. 26) Regulations must be made, and accounting systems introduced, to ensure that the expenditure incurred towards advances, taken by officers of the University/faculty, is accounted for within three months from the date on which the advance is taken. If information, regarding such expenditure, is not J furnished within the time stipulated, the amount paid as advance must be recovered from the concerned ) ) ) ) ) ) officer /faculty. 153 27) Each faculty member must be required not only to declare his and his dependants assets, but should also be asked to furnish information regarding the remuneration (in whatever form) he receives for the distance education and other courses. 28) Information regarding honorarium/fees received by the faculty of NALSAR from other institutions such as the Indian School of Business, the Administrative ) Staff College of India etc., must be furnished to the ) NALSAR management, and a copy of such intimation must be kept in the personal file of the officer /faculty. () ) 29) thought of; MoUs with non-government, non-statutory 0 bodies/ universities should be discouraged, and NALSAR must examine the feasibility of offering such ) courses on its own. 0 ) Introduction of new courses should be well 30) Necessary care and caution must be exercised by NALSAR while entering into collaboration agreements ) with other organizations and, in any event, no MOU ) should be entered without the prior permission of the Academic Council. \ .J ) ) ) ) ) / J _) ) 31) Where MOUs are entered with other statutory bodies/universities, NALSAR should ensure that the terms and conditions of such MoUs are uniform, -) 154 ) ) transparent and are subject to its overall control. The ') books of accounts for such joint courses must be ) periodically examined by the accounts staff of NALSAR or by a Chartered Accountant of its choice. ) 32) of Applied Aviation Management. ) ) 33) distance education courses, and of efficiently running the five year under-graduate course in law is not diluted. J 34) 0 While NALSAR can award a postgraduate degree, IIRM by itself cannot. Showing its name in the Degree Certificate, much less prominently, would be improper and this must be corrected at the earliest. ) 35) As NALSAR was established to achieve the objects specified in Section 4 of the NALSAR Act, it ) cannot venture into areas or teach subjects other than ) law and, ) ultravires the NALSAR Act. ) such of NALSAR, it must be ensured that its primary focus ) ) While similar collaborative exercises, may add to the revenue ) ) NALSAR should review its MoU with the Institute 36) the MBLA course offered by it would be Incurring of wasteful expenditure during convocation must be avoided. Steps should be taken ) ) ) ) ) ) ) _) to reduce expenditure incurred each year in erection of shamiyanas, decoration, providing lunch on the day ) ) 155 ) ) of the convocation etc. NALSAR should identifY other ) contractors who would undertake such tasks at lesser ) :) rates. 37) () judge 38) _.; Court in the purchase Necessary steps must be taken to ensure that auditorium is completed at the agreement. 39) The possibility of marginal increase in the tuition fees on the considered. lines of other law schools, may students, including those from the schedule castes, schedule ,) incentives, such :J research associateship, can also be thought of. ) be Nonetheless, reduction of fees for needy 0 ) the earliest. if need be by invoking the penalty clause in ) ) High construction of the 0 ) the by, should be revived. ) ) of committee of NALSAR, which was later given a go ) I The earlier practice of having a sitting/retired tribes, backward classes, and socially should as be and educationally examined. Other awarding scholarships and D. LIBRARY The system prevalent in other law schools regarding the timings of the Library should be studied, and a similar ) ) ) ) _) system introduced by NALSAR also. :) ) 156 ) ) ) ) E. STUDENT WELFARE/GRIEVANCES 1) the end of the undergraduate course, should be made :-) only through NALSAR, in consultation with ) ) 2) where students can do their, in between Semester, intership. 3) routed through NALSAR administration, and not directly addressed to the Students Bar Council. 4) A senior faculty member should be asked to discharge the functions of a placement officer, and 0 such office must be held by all senior faculty members on rotation. ) ) Requests from law firms, companies and other organizations to conduct campus interviews must be ) 0 0 Necessary steps should be taken to identifY reputed lawyers, both within the State and outside, ) ) the Students Bar Council. ) 0 Placements, both in between semesters and at 5) A transparent and fair procedure for selection of candidates for participation in moot courts must be \ .I prescribed and adhered to. \ I ) ) ) ) ) ) 6) Involvement of a nominee of the Chancellor, in the selection committee, would ensure that merit, and ) 157 ) ) no ') other consideration, weigh in selection of candidates to participate in moot courts. ) . 0 7) venom serum, must be stocked at the University :) } health centre. 8) nearby, for setting up an emergency response system should be considered. ) 9) The ambulance must be well equipped, and kept ready for use in an emergency. ) ) The feasibility of a tie-up, with any of the superspeciality hospitals ) 0 Adequate stock of medicines, including anti- 10) A first aid training course, in basic first aid and health care, must be made compulsory for each 0 student. Establishing an infirmary for students, during outbreak of contagious diseases, can also be examined. ) ) ) 11) address issues relating to students distress, and other adjustment problems faced by them. ) ) 12) ) ) ) ) ) J \) The foot ball ground should be leveled, and a grass cover laid for students to play thereat. ) ) A professional Counsellor should be appointed to 13) The equipment in the gymnasium must be repaired, and properly maintained. Hiring the services ---) 158 ') n of a trainer, to train students to use these equipment, twice a week should also be considered. 0 ) 14) switched on switched on during power cuts. 15) J All students of NALSAR should be given other law schools in the country. 16) ) () 0 ) ) ) ) ) ) ) ) ) an official E-mail address as is said to be provided for in 0 () NALSAR authorities should be introduced whereby the generator is automatically n 0 promptly. examine whether an automatic switching system can f) ) In case of power cuts, the generator must be NALSAR should ascertain whether a dress code is being implemented in other National Law Schools. Proper dress code should be insisted upon at least on formal occasions. ,.-) !59 n () CHAPATER VIII n CONCLUSION I) While enquiring into the administration and finances of 0 NALSAR, and in inspecting its buildings, libraries, examination, () teaching and other works done by the University, our endeavour has been to focus on the establishment of systems in the Administration and governance of NALSAR, on systematic steps to be taken for its academic improvement. and proof accounting system in 0 0 0 place to ensure that all actions taken in these and other areas are systems, and not NALSAR could to have a fool uided by the prescribed on individual whims and fancies so that maintain itself as an acknowledged centre of excellence and higher learning. We hope that. if corrective steps are taken to rectifY the deficiencies pointed out in our report, 0 and sincere and wholehearted efforts are made in improving its 0 academic standards, 0 ) 0 J NALSAR would be able to achieve excellence both academically as well as administratively. The primary focus of NALSAR should be to create a conducive academic environment, a fair and impartial administrative structure so as to motivate bright and intelligent young boys and girls, who pass out from NALSAR, to join the legal profession. The impact of the present focus appears to have resulted in catering to the needs of the corporate sector, ) ) ) ) ,-) which needs are-look. A course correction and a shift of focus is not only required to achieve the objects of the University under Section 4(ix) of the Act i.e., "to promote legal awareness in ) 160 the community for achieving social and economic justice", but I) also 0 independent judiciary. It is only if talented, intelligent and n 0 ) ) C) ) to eventually lay the foundation for a strong and bright youngsters specifically trained for that purpose join the legal profession, and later adom the Bench, will it contribute to enhancing the prestige of the judiciary and inspire greater confidence in public. Dilution in educational standards would not only defeat this objective but would also result in NALSAR falling from its present position of eminence among all the National Law Schools in the country. Students, with whom we interacted, informed us that the high salaries offered by the prospective employers is one of the main reasons for their seeking employment in law firms, and in joining the corporate sector, on completion of their five year undergraduate B.A.,LL.B. (Hons) course. needy and the socially and Scholarships to the educationally backward sections among the students would reduce their financial burden during studies, but may not go a long way in motivating these youngsters to take up the legal profession. At the time of placement of students, who have an inclination to join the legal profession, care must be taken to ensure that they get proper inspiration and financial support from the Senior Counsel with whom they are placed. ) In our opinion the suggestions proposed by us in this report would limit the scope of mal-administration but would ) also check improper use and utilization of funds of NALSAR. ) ) ) _) ) ) 0 () 0 161 n I) ...... ) Regular monitoring by corrective measures, the would Academic council, help and timely NALSAR attain academic excellence which is, indeed, the main objective of establishing this University. () ) ) \ () ) ) () / ) ) )