Published: 11th September 2019
Hyderabad design college asked to pay Rs 1 lakh compensation to student for abruptly disbanding course
In March 2016, when the student was in his third year, the college abruptly shut the multimedia course. The college then assured the student to get him admission into their Mumbai college
The State Consumer Dispute Redressal Commission directed a Hyderabad Raffles college to pay a compensation of Rs 1 Lakh to a student for abruptly disbanding a design course before the completion of the academic session.
Naluvala Arjun, a resident of Madhapur, NIFCT campus informed the consumer forum that he took admission in the Hyderabad Raffles Millennium International collage in August 2013 for the multimedia designing course for a three-year course and paid Rs 14,69,190 as the fee and Rs 2 Lakh as hostel fee. The student paid the total sum through a bank loan, which he obtained by mortgaging his relatives land.
In March 2016, when the student was in his third year, the college abruptly shut the multimedia course. The college then assured the student to get him admission into their Mumbai college, however, they did not do the same. In April 2016 the college offered to refund the student's college fee. They offered to pay Rs 10 Lakh, but in the end the collage authorities changed their version and offered to only pay around Rs 8 Lakh, said the complainant.
Claiming that the complainant was in no position to clear off his dues, the student said that the incident also caused him mental agony. Meanwhile, the opposite party failed to make their appearance in the court or provide a written version on their behalf. Holding the college guilty, the court ruled that the complainant was entitled for a refund and compensation.
The court said, "As a result of stopping the course in between the complainant could not get his degree which would have fetched him a job. Admittedly, the fee paid by the complainant by obtaining a loan from the bank burdened the student further." In this regard, the court directed the college to refund the fee of Rs 14,69,190 with an interest of 12 per cent per annum to the student. The court also asked them to give a compensation of Rs 1 Lakh and a cost award of Rs 5,0000 within a period of four weeks to the complainant.