Chapter III FOREIGN HIGHER EDUCATIONAL INSTITUTIONS

Application of Chapter.—This Chapter shall apply to Foreign Higher Educational Institutions (FHEIs) seeking to establish campuses in the Union Territory of Jammu & Kashmir.

Establishment of FHEI Campus.—(1) A Foreign Higher Educational Institution may apply to the Government for establishment of a campus, provided it has secured approval from the University Grants Commission under the UGC (Setting up and Operation of Campuses of Foreign Higher Educational Institutions in India) Regulations, 2023.

1. (2) The Government, upon satisfaction, may notify the establishment of the FHEI campus.

Exemption from Sponsoring Body.—A Foreign Higher Educational Institution established under this Chapter shall be exempt from the requirement of having a local Sponsoring Body.

Autonomy.—A Foreign Higher Educational Institution shall have autonomy to determine its fee structure, admission process, and curriculum, subject to the provisions of the UGC Regulations.

Quality and Financial Audit of Foreign Higher Educational Institution.—(1) Every Foreign Higher Educational Institution operating a campus under this Act shall be subject to periodic quality audits by the University Grants Commission or such agency as may be designated by the Government.

1. (2) The Foreign Higher Educational Institution shall ensure that all cross-border financial remittances comply with the provisions of the Foreign Exchange Management Act, 1999, and shall submit an annual compliance certificate to the Government in this regard.
2. (3) The Foreign Higher Educational Institution shall submit an annual report to the Government detailing its academic performance, student enrolment, faculty strength, and financial transactions.
3. (4) Failure to comply with the provisions of this section shall be a ground for revocation of the permission granted to the Foreign Higher Educational Institution.

Exit and Closure of FHEI Campus.—

1. (1) A Foreign Higher Educational Institution intending to close its campus in the Union Territory shall—
   • (a) give at least two academic years notice to the Government and the University Grants Commission;
   • (b) make arrangements for the completion of courses by enrolled students or their transfer to other recognized institutions;
   • (c) settle all outstanding liabilities towards students, faculty, and staff ;
   • (d) submit a closure plan to the Regulatory Authority for approval.
2. (2) The Government may, after consultation with the University Grants Commission, revoke the permission granted to the Foreign Higher Educational Institution if it—
   • (a) fails to maintain the standards as specified under the UGC Regulations ;
   • (b) violates the provisions of the Foreign Exchange Management Act, 1999 ;
   • (c) engages in activities prejudicial to the sovereignty, integrity, or security of India.
3. (3) Upon revocation or voluntary closure, the Endowment Fund or security deposit shall be utilized first for settling liabilities towards students and employees.