The Supreme Court has slammed engineering and medical colleges demanding capitation fees from students, calling it "illegal and unethical."
Angry judges also told the Central Government to step in and enact laws to end such practices, which deny admission to poor but meritorious students in those institutions.
“Collection of large amount by way of capitation fee running into crores of rupees for MBBS and postgraduate seats, exorbitant fee, donation etc, by many of such self-financing institutions, have kept the meritorious financially poor students away from those institutions,” it said.
“Pressure, it is also seen, is being extended by various institutions, for the additional intake of students, not always for the benefit of the student community and thereby serve the community, but for their own betterment,” a bench of justices K S Radhakrishnan and A K Sikri said.
The court said that quality of education has gone down in private colleges which are turning into "students financing institutions." It said that government agencies need to introspect on the issue to bring proper legislation.