Basant Kumar Mohanty
NEW DELHI : The Human Resource Development
Ministry has decided that the Indian Institutes of
Management must seek its “concurrence” every time the
B-schools decide to increase fees, according to
documents The Telegraph has accessed under the
Right to Information law.
The controversial decision, which sources in the
institutes said amounted to interference in their
autonomy, came at a meeting HRD minister M.M. Pallam
Raju held with IIM chairpersons and directors in April
The IIMs now enjoy full powers to fix tuition fees
for their post-graduate programmes, which are considered
equivalent to MBA courses offered by foreign
universities. The board of governors of each IIM reviews
the tuition fee every year.
According to the minutes of the meeting, the IIMs
would have to fix tuition fees keeping in mind “our
responsibility towards (the) economic condition of (the)
society” and “every increase has to have the concurrence
of the ministry”.
An IIM director said the government was unhappy over
the frequent fee hikes by the business schools, which
have been increasing fees every year.
IIM Ahmedabad, which hiked tuition fees from Rs 4 lakh
to Rs 11.5 lakh in 2008, has been increasing the amount
by nearly a lakh every year since then.
The B-school increased fees this year, too, like most of
the older IIMs, which generate funds through fees and
consultancy services to the extent that they don’t have
to depend on the government for meeting operational
costs like salaries, pension and maintenance. They get
only grants for infrastructure development.
The older IIMs even plan to set up with their own funds
campuses or centres in foreign countries. The seven new
IIMs charge between Rs 8 lakh and Rs 10 lakh for the
two-year PGP course.
Sources said the government’s directive to the IIMs
to seek “concurrence” followed criticism and questions
from Opposition parties in Parliament over the frequent
fee hikes in these public-funded institutions.
“The government has been facing criticism as the IIMs
increase their fees almost every year. The minister
expressed displeasure over the frequent hike and wanted
that any increase henceforth must get the ministry’s
concurrence,” the IIM director said.
The fee structure in the IIMs is higher than in any
other government institution, including the IITs that
charge Rs 3.6 lakh for their four-year B.Tech course.
The government has direct control over the fee structure
in the tech schools because any decision to hike fees is
taken by the IIT Council, which is headed by the HRD
minister. Central universities charge a nominal amount
as fees. The fee in Delhi University, for instance,
works out to Rs 240 a year for undergraduate students.
Another IIM director, however, said it was not clear if
the B-schools would have to “get the concurrence
separately” as the HRD ministry’s higher education
secretary was a member of the board of governors of
“When the board decides the fee hike, the secretary
represents the ministry’s views. In a way, the decision
is taken with the concurrence of the ministry since the
secretary is a member of the board. I do not know if the
IIMs have to get the concurrence separately,” the
A ministry official said the modalities of granting
concurrence was being worked out and that each IIM may
have to get the final concurrence from the minister.
The IIM director, however, said the institutes would
protest if they were asked to get decisions taken by
their boards vetted by the government. “The fee hike is
done keeping in view the cost. Many IIMs pay higher
salary to their faculty these days, that is why it is
increasing,” he said.
The director said there was provision for scholarship
for underprivileged students, apart from interest-free
(Courtesy : The Telegraph, Calcutta dated Sept 26)
cut engineering students' intake
AHMEDABAD : With CAT-2013, there may be fewer
engineers among new students given admission at the
Indian Institute of Management, Ahmedabad (IIM-A), says
a news report.
Quoting a significant change in its admissions policy of
the IIM-A the news report published in the Times of
India on August 7 said that the IIM has decided to
increase the number of students from non-engineering
background to 18 per cent from the current 4 per cent.
It said that under the new system, the number of
students without work experience or a postgraduate
degree is also set to increase in the personal interview
round at IIM-A as the institute will not give any points
for work experience or for a master’s degree.
Currently, fresh graduates constitute around 27 per cent
of a new batch.
According to the institute, over 96 per cent of students
in the 2012-14 and 2013-15 batches have an engineering
background. To reduce this figure to the mid-80s, IIM-A
has proposed two major changes in CAT-2013 that will
have considerable impact on the composition of the
batch: the formula for calculating the application
rating has been changed, and a provision for
direct shortlist for the written analysis and personal
interview (WA-PI) round for top performers in the five
academic categories has been included.
The IIMs have been criticized for becoming bastions of
graduate engineers, most of whom are from the Indian
Institutes of Technology. The changes proposed in the
admission criteria are in line with the IIM-A’s desire
to admit new students from diverse academic backgrounds.
“There were several complaints since the past two years
that, due to the multiplicative calculation of AR
scores, there was too much focus on marks obtained in
10th and 12th standard examination. Under the old
system, if the candidate had fared badly in any one of
the exams but showed exceptional performance otherwise,
it would have hampered his chances
in getting shortlisted.
By giving more weightage to performance in the
undergraduate degree and shifting to a completely
additive model, the proposed system makes sure that
recent performances are given adequate weightage,” IIM-A
posted on its blog with data compiled by the institute’s
IIM Bangalore and IIM Calcutta both have higher
percentage of non-engineers as part of their current
batches as compared to IIM-Ahmedabad.
CAT score fudging, four
By Our Correspondent
LUCKNOW: Kozhikode and Lucknow cops have identified
four persons who are said be the brain behind the
controversial CAT marks fudging racket.
The racket came to light following an FIR lodge by
Kozhikode IIM authorities alleging tampering with IIM-Common
Admission Test (CAT)-2012 results.
The CAT was organised by the IIM Kozhikode (Kerala) in
November last year and tampering with results was
noticed quite late. The IIM authorities lodged the FIR
with Kozhikode police on June 16 after finding the
Lucknow police sources said that an employee of a
Lucknow-based web management company, Web Weavers, and
three CAT examinees of Lucknow are key suspects in the
The examinees, with the employee’s help, fudged the
CAT scores to get admission in better-ranked non-IIM
institutes using their CAT scores.
The IIM-CAT official website www.catiim.in is hosted
by Web Weavers and at least 80 out of 2,14,068 CAT
scores published on the website had discrepancies.
The role of Afaq, who manages its Kozhikode office,
cropped up when a police team from there quizzed the
company owner Shuja-ul Hasan here on July 4.
During the interrogation the cops also found that
three CAT examinees from Lucknow were involved in the
Sources said the three examinees are also suspected to
have collected money from other examinees for increasing
A team led by inspector AU Bala Krishnan
interrogated Hasan in Aminabad police station and
collected some crucial facts about the case. The owner
has been asked to appear before the Kozhikode police on
July 9 for further investigation and to provide other
details from his Kozhikode office.
Circle officer ( CO ) of Qaiserbagh Hridayesh
Katheria said the company owner Shuja-ul Hasan was
picked up from Aminabad Inter College where he takes
computer classes on contractual basis.
He said the Kozhikode police interrogated him for
several hours and collected details about the company
and the suspected employee.
He said the Lucknow firm had been managing the CAT
website www.catiim.in since 2010.
The investigating agency has already seized the hard
disc of the computer from IIM-Kozhikode, which was being
used by the representative of Web Weavers. The hard disc
has been sent to the forensic science laboratory at
Thiruvananthapuram and Prof SSS Kumar of IIM-Kozhikode,
the convener of 2012 CAT examinations, has also been
On the other hand, the ministry of human resource
development (MHRD) has set up a committee to fix
accountability and take corrective measures. Earlier,
the discrepancies were exposed after the IIM Kozhikode
investigated the matter on an anonymous complaint and
found that scores of 80 students were inflated on the
The IIM Kozhikode, however, had refused to own the
responsibility for any manipulation on its website. The
management said that the IIMs had used the master
database for short-listing.
Hence, the admission process had in no way been
compromised in any of the IIMs as a result of the
Non-IIMs institutes that have a formal relationship for
the use of CAT scores were being alerted and scores from
master database were being provided to them.
The IIMs were reviewing the process by which data was
managed and published externally, it said.
IIM Council draft plan
ready, says MHRD Secy
NEW DELHI : Despite stiff opposition from Indian
Institute of Management Ahemdabad, the Ministry of Human
Resource Development is going ahead with the IIM Council
plan which will be presented before the CABE meet on
Confirming the move the HRD Secretary Ashok Thakur told
The Pioneer on March 29 that the
draft has been finalised and it will be okayed formally
on April 2 meeting.
“There has been consensus so far and the draft is
ready to be placed before the board meeting next week,”
The meeting will be chaired by HRD Minister MM Pallam
Raju. The major concern, however, remains from the IIM-A’s
strong opposition. The HRD Ministry is in a Catch-22
situation as it has to resist the opposition from the
leading and prestigious management institute of the
“The proposed legislation seeks to confer IIMs the
status of institutes of national importance empowering
them to award degrees instead of diplomas. It has
proposed establishment of an IIM Council similar to the
Council for the IITs and pave the way for appointment of
more government directors on IIMs boards,” Thakur said.
The bill in Parliament proposes to have an umbrella
type of body for IIMs and the Ahmedabad institute, the
staff and Board of Governors together have opposed it as
a society, stating that the autonomy of IIMs will be
The IIM-A Board of Governors, which met last week
opposed the government’s decision. Chairman IIM-A Board
of Governor (BoG) A M Naik has communicated to the HRD
Ministry in writing the representation and concerns,
anticipating a rethink.
IIMs are a group of 13 public, autonomous management
institutes across the country and they primarily offer
postgraduate, doctoral and executive education
programmes. In the present format, IIMs are registered
as societies under the Indian Societies Registration Act
and each IIM is autonomous and exercises independent
control over its day-to-day operations.
degree dream getting dim, distant
By Rajiv Shukla
NEW DELHI : With UPA majority in Lok Sabha getting
thinner, the long cherished dream of the Indian
Institutes of Management (IIMs) to graduate to a degree
from a postgraduate diploma is getting dim and distant
with every passing day.
As things stand the IIMs' degree dream may require more
patience than the IT-BHU's
long wait for the IIT status.
The fact that the proposed Institute of Management Act
is still a long way to go was felt by the IIM directors
who met in Delhi on March 19 to discuss the IIM nitty
gritties and home-truths. In fact Karunanidhi's pull out
move was in the back of the mind of each IIM director
when they met --- and it hung heavy over the meeting on
Prof Devi Singh, director IIM Lucknow confirmed that the
issue was discussed at the Delhi meeting and said that
there were still "many things to be sorted out."
The IIMs had been thinking of switching over to degree
from PGDM since long and the erstwhile HRD minister
Kapil Sibal had lend high hopes on the issue,
promising speedy passage of the bill in
Parliament. Instead, the Sibal out, leaving the job to
novice M M Pallam Raju who is yet to learn the ABC of
In late January this year the HRD Ministry officials and the IIM Directors
had discussed the proposed Indian Institutes of Management
Bill, based on the lines of the Indian
Institutes of Technology Act.
The draft also carries a provision of establishing a
Council as is the case with the IITs that would be the
highest common decision making authority for all IIMs.
The draft is still pending with
the law ministry, needing finishing touches while the
UPA government is gasping for breath.
The most easy and stable way out,
say experts, could be the deemed university status
granted under section 3 of the
UGC Act 1956.
But then they would have to acknowledge the UGC
trash MHRD tips on teaching hours, BoG
LUCKNOW : There is a palpable unease among the
faculty members of the Indian Institutes of Management
who have started condemning the R C Bhargava committee
report describing it as a "nonsense" and far from ground
The Bhargava committee report on new governance
structure and teaching load has been openly trashed by
IIM Bangalore and IIM Calcutta faculties and Lucknow IIM
teachers too "plan to do something about it" soon. The
IIM faculty members feel that the HRD ministry-appointed
committee report was based on incorrect data.
The faculty bodies at IIM-Calcutta and IIM-Bangalore
have passed unanimous resolutions to set aside the
reports which suggests downsizing of the IIM boards and
societies and asking each faculty to teach for 160 hours
a year. Other IIMs are likely to follow suit seeking
broader consultation on the proposed reforms.
"We believe that these recommendations are the outcome
of several wrong assumptions and incorrect data and
would not allow IIMs to become global leaders. These
changes, if implemented, will have a negative impact on
the morale of the faculty," IIM-B faculty said in a
memorandum submitted to board of governors chairman
Mukesh Ambani last week. They have now called for a
fresh panel involving alumni and eminent academics to
create a governance structure for long-term development
The five-member committee headed by IIM-Ranchi
chairman R C Bhargava has recommended downsizing of the
IIM boards and societies by almost half, allowing
corporate bodies, individuals and alumni to become
members of the IIM society by paying Rs 20 crore, Rs 5
crore and Rs 3 crore respectively.
The IIM-B faculty rejected the idea, saying "this will
lead to a major structural change in the ownership of
IIMs and would be completely against public interest. We
believe that contribution for the society should be more
in the nature of developing institutions rather than
owning the institutions".
The dons at the elite B-schools have also taken
exception to the HRD ministry's decision to fix a
minimum teaching load for faculty which will be the same
for all IIMs.
Meanwhile reports from Ahmedabad said that the IIM-A
will downsize its governing board from 25 members to 15.
The new board will also be empowered to appoint the
institute’s director which was, so far, controlled by
the Ministry of Human Resource Development. These
changes have been approved by the MHRD but have still to
be cleared by IIM-A society. The institute also plans to
open campuses in Dubai and Singapore.
Director of IIM-A Samir Barua said in a press conference
on February 16 : “Many board members may not be able to
contribute effectively. A large number of members with
less participation reduce the effectiveness of the
board’s directing of the institute. So it is better to
have a lesser number of members for the board to
function effectively. Studies have shown that
9 to 13 members is the most effective size.” Barua said
that the final picture would be clear by the end of
Now there are four government representatives, two each
from state and centre in the 25-member governing board.
Barua said, “While the ministry wants three government
representatives in the council, we are proposing to make
it two.” The institute has been demanding greater
autonomy and control over its functioning. He said the
ministry had approved many of its
demands including the governing council appointing the