Letter of Intent & Compliances: -

8. Letter of Intent & Compliances: - (1) On consideration of the recommendation of the Scrutiny Committee, the Government shall take a decision on accepting or rejecting the proposal or seek modification or additional information in the proposal. (2) The Government reserves the right to accept or not to accept the evaluation report of the Scrutiny Committee. The decision of the Government in this regard shall be final. (3) The Government through the Scrutiny Committee shall inform the sponsoring body of its decision through a Letter of Intent, a Letter of Regret, or a letter seeking modified proposal or additional information, as the case may be. (4) In case of acceptance of the evaluation report and issuance of the letter of intent (Annexure-2) the sponsoring body will be asked to: (a) establish a Permanent Endowment Fund for the University as specified in section 4(2) & section 46; (b) sponsoring body must acquire land as specified in section 4(1) within a period of one year from the issue of Letter of Intent (LoI); (c) comply with specifications as listed out from section 4(3) to section 4(6); (d) fulfill such other conditions and provide such other information as may be prescribed by the University Grants Commission, All India Council for Technical Education or any other statutory body established by the law of the Union or State Government; (e) give undertaking not to dissolve the Private University within 15 years of its commencement and if the Private University is dissolved within 15 years of its commencement all the assets of the Private University without liabilities and free from all encumbrances shall vest with the Government (f) give undertaking that all the assets of the University without liabilities and free from all encumbrances will vest with the Government if the Private University is dissolved within a period of 15 years of its commencement or derecognized on account of the contravention of provisions of the Act, Rules, Statutes, Ordinances, Regulations, Directives of the Government, and other regulatory bodies; and (g) give undertaking to indemnify the Government from any liabilities accrued by the sponsoring body in the name of the Private University. (h) On issuance of the LoI the sponsoring body shall submit a security deposit within thirty (30) days in the form of a Bank Guarantee (BG) of Rs 25 lakhs valid for a period of 6 years. झारखण्ड गजट (असाधारण) सोमवार, 25 नवम्बर, 2024 (5) The sponsoring body shall fulfill the requirements and conditions specified in section-4 and shall submit to the Government compliance report thereof supported by an affidavit within a maximum period of three (3) years or four (4) years (in accordance with (5)(g) of section-8) from the date the issuance of Letter of Intent. (a) On receiving the compliance report, the Scrutiny Committee shall verify the compliance report; (b) The sponsoring body will have the provision to include any additional details during the period of three years from the time the LoI is issued, and compliance report submitted. The amended part of the proposal will be reviewed again by the committee and approval will be given thereafter if deemed fit by the Government; (c) The Committee will scrutinize the compliance report and point out deficiencies, if any, to the sponsoring body for removal thereof. Any additional information may be sought by the Committee for scrutiny. Besides this, specific recommendations may be communicated to the sponsoring body for compliance; (d) The sponsoring body will submit report to the Committee regarding the removal of deficiencies and compliance of the recommendations communicated as above; (e) The sponsoring body may withdraw the application at any stage within a maximum period of three (3) years or four (4) years (in accordance with (5)(g) of section-8) after the issuance of letter of intent. In that case, the Bank Guarantee (BG) submitted by the sponsoring body as mentioned in Section-8 in(4)(g), shall be invoked by the Government; (f) Subject to (5)(d) of section-8, the Scrutiny Committee shall submit its report to the Government within three months from the date of the receipt of the compliance report from the sponsoring body, specifying whether the sponsoring body has fulfilled the requirements and conditions laid down in the letter of intent; (g) The Government may extend the term of letter of intent for a maximum period of one year if such request is made by the sponsoring body and the Government is satisfied in respect of the reasons given by the sponsoring body for the extension of the letter of intent; (h) If the sponsoring body fails to comply with the provisions of letter of intent within a maximum period of three years or four years (in case of extension given under sub-section (5)(g) of section 8), from the date of issue of LoI, the proposal submitted shall stand rejected and the LoI issued to the sponsoring body shall be deemed to have been withdrawn, and the Government with the recommendation/s of Scrutiny Committee may charge penalty as it deems fit which shall be recovered from the security deposit; and (i) If the sponsoring body is not in violation of sub-section (5)(h) of Section 8, and upon validation of all compliances, security deposit (BG) as mentioned in sub- section (4)(h) of Section 8, will be returned within one year of incorporation of the new Private University as specified in Section 9(1). (6) Existing educational institution if applying for the status of Private University as per section 6(2) shall continue to function as is on the receipt of LoI as per section 6(3) and must immediately start compliance to section 8(1) to section 8(5). Further, on the issuance of LoI, no new batches of students shall be admitted by the institution.