The Sikkim Private Universities (Establishment and Regulation) Act, 2025
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
58. Power of the State Government to Inspect
- (1) The Government may issue directions to the University to carry out or comply with the provisions of this Act and Rules, Statutes or Ordinances made thereunder.
- (2) The State Government may direct the Regulatory Commission constituted under section 7 to inspect the administration and working of a University, at any time, after giving prior notice if required, of such inspection to ensure proper compliance with the provisions of this Act.
- (3) The Government may issue directions to the University for time bound compliance or to rectify the deficiencies of lapses pointed out by the Regulatory Commission.
- (4) For the purposes of ascertaining the standards of teaching, examination and research or any other matter relating to the University, the Government may, after consultation with the Vice-Chancellor, cause an assessment to be made in such manner as may be prescribed by rules, by such person or persons as it may deem fit.
- (5) The State Government shall communicate to the University its recommendations in regard to the result of such assessment for corrective action and the University shall take such corrective measures as are necessary so as to ensure the compliance of the recommendations.
- (6) If the University fails to comply with the recommendations made under sub-section
- (5) within a reasonable time, the Government may give such directions as it may deem fit which shall be binding on the University.
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
59. Winding up of University
- (1) If the Sponsoring Body proposes to wind up the University according to the provisions of law, governing its constitution or incorporation; it shall record reasons thereof and give at least 5(five) years prior notice to the State Government.
- (2) Notwithstanding, anything contained in the provisions of this Act, where the Sponsoring Body intends to wind up the University, the winding up process there under shall be as follows: -
- (a) resolution to be passed by the Sponsoring Body that it intends to wind up and halt operations of the University; and
- (b) after the passage of the resolution as described in clause (a), a notice shall thereafter be issued by the Sponsoring Body to the Government 5
- (five) years prior to cessation of operations; and
- (c) the Sponsoring Body shall halt intake of fresh admissions, upon passage of resolution under clause
- (a) and issuance of notice under clause (b); and
- (d) pursuant to the Sponsoring Body/University completing the syllabus of the last batch of students admitted in the University, the State Government shall thereafter make arrangements as may be necessary, for taking over the administration of the University for the purposes of completing the winding up process: Provided that, upon taking over of administration from the Sponsoring Body in the manner as provided for under clause (d), the State Government may appoint an administrator in place of the Sponsoring Body, who shall be entrusted with the powers, duties and functions of the Sponsoring Body, as prescribed under the Act.
- (3) Subject to the laws prevalent in the State of Sikkim, where upon the winding up of the University, there remains, after the satisfaction of all its debts and liabilities, any property whatsoever, the same shall vest upon the Sponsoring Body: Provided that in the event of winding up of the University there remains any debts or liabilities exceeding the valuation of the movable and immovable properties of the University, the said outstanding debts and liabilities shall vest upon the Sponsoring Body.
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
60. Dissolution of the University
- (1) The Sponsoring Body may dissolve the University by giving a notice to this effect to the Government, the employees and the students of the University at least one year in advance: Provided that the dissolution of the University shall have effect only after the last batches of students of the regular courses have completed their courses and they have been awarded degrees, diplomas or awards as the case may be.
- (2) On the dissolution of the University all the assets and liabilities of the University shall vest in the Sponsoring Body as per the terms and conditions under the State Laws.
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
61. Ground for dissolution of University
The University shall be dissolved on contravention of any provisions of the Act, Rules, Statutes, and Ordinances; financial mis-management, administrative failure and violation of directives of UGC/State Government or any other statutory bodies.
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
62. Special powers of State Government under certain circumstances
- (1) Where the State Government is of the opinion that the University has contravened any of the provisions of this Act, the Rules, the Statutes or the Ordinances made there under or has violated any of the direction issued by it under this Act or a situation of financial mismanagement or mal-administration has arisen in the University, it shall issue the notice requiring the University to show cause within 45 (forty-five) days as to why an administrator should not be appointed.
- (2) On receipt of reply of the University on the notice issued under sub section (1), if the State Government is satisfied that there is a prima facie case of contravention of any of the provision of this Act, the Rules, the Statutes or the Ordinances made there under or violation of directions issued by it under this Act or there is financial mis-management or mal-administration, it shall make an order of such inquiry as it may consider necessary.
- (3) The State Government may, by notification for the purposes of any such inquiry under sub-section (2), direct the Regulatory Commission to inquire into any of the allegations and to make report thereon.
- (4) The Regulatory Commission shall have the same powers as are vested in a Civil Court under the Code of Civil Procedure, 1908 while trying a suit in respect of the following matters, namely:-
- (a) summoning and enforcing the attendance of any person and examining him on oath;
- (b) requiring the discovery and production of any such document or any other material as may be predicable in evidence; court or office.
- (5) On receipt of the inquiry report from the Regulatory Commission if the State Government is satisfied that the University has contravened all or any of the provisions of this Act, the Rules, the Statutes or the Ordinances made hereunder or has violated any of the directions issued by it under this Act or a situation of financial mis-management and mal-administration has arisen in the University which threatens the academic standard of the University, it may appoint an administrator.
- (6) The administrator appointed under sub-section
- (5) shall exercise all the powers and perform all the duties of the Governing Body and the Board of Management under this Act and shall administer the affairs of the University until the last batch of the students of the regular courses have completed their courses and they have been awarded with degrees, diplomas or, as the case may be, awards.
- (7) After having been awarded the degrees, diplomas or awards, as the case may be, to the last batches of the students of the regular courses, the administrator shall make a report to that effect to the State Government.
- (8) On receipt of the report of the Regulatory Commission, the State Government may, by notification dissolve the University and on dissolution of the University, all the assets and liabilities of the University shall vest in the Sponsoring Body.
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
63. Taking over of Management by State Government
- (1) In the event of the taking over of management by the State Government in any of the conditions prescribed under sections 53, 54, 55 and 56 of the Act, the expenditure for administration of the University shall be met out of the Endowment Fund and the General Fund.
- (2) If the funds referred in sub-section
- (1) of the Act are not sufficient to meet the expenditure of the University during the taking over of its management, such expenditure may be met by disposing off the propertys or assets of the University, by the State Government.
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
64. Expenditure of the University During Dissolution
- (1) The expenditure for the administration of the University during the dissolution period shall be borne out of its Endowment Fund, Management Fund, the General Fund or the Development Fund.
- (2) If funds referred to in sub-section
- (1) are not sufficient to meet the expenditure of the University during dissolution of its management; such expenditure may be met by disposing of the properties or assets of the University by the Sponsoring Body and the State Government.
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
65. De-recognition of the University
- (1) Where the State Government receives a complaint through the Regulatory Commission that the University is not functioning in accordance with the provision of this Act or rules, it shall require the University to show cause within such time, which shall not be less than two months, as to why the University should not be de-recognized.
- (2) If upon receipt of the reply of the University to the notice given under sub-section
- (1) the State Government is satisfied that a prima-facie case of mismanagement or violation of the provision of this Act in the functioning of the University is made out, it shall order such enquiry as it deems necessary.
- (3) For the purpose of an inquiry under sub-section
- (2) that State Government shall by notification, direct the Regulatory Commission to inquire into an allegation of violation of the provision of this Act.
- (4) Every inquiring authority appointed under sub-section
- (3) while performing its functions under this Act shall have all the powers of a Civil Court trying a suit and particularly, in respect of the following matters, namely: -
- (a) summoning and enforcing the attendance of any witness and examining him on oath;
- (b) requiring the discovery and production of any documents;
- (c) requisitioning any public record or copy thereof from any office;
- (d) receiving evidence on affidavits; and
- (e) any other matters which may be prescribed.
- (5) If upon receipt of the inquiry report, the State Government is satisfied that the University has violated any provision of this Act, it shall direct the University to make necessary improvement and suggest for proper implementation of the provision of this Act.
- (6) If it is observed that the University is violating any provision of the Act continuously for three times the State Government may by notification take over its management duly informing the University Grants Commission.
- (7) During the period of the management of the University, the State Government may utilize the permanent Endowment Fund, the General Funds or any other fund for the purpose of the Management of the affairs of the University. If the funds of the University are not sufficient to meet the requisite expenditure of the University, the State Government may dispose of the assets or the properties of the University to meet the said expenses.
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
66. Discipline
- (1) The University shall maintain strict discipline as per all relevant University Grants Commission
- (UGC) norms applicable from time to time.
- (2) Such discipline shall be strictly enforced amongst the Teaching Faculty, Non-Teaching Faculty and all the Students enrolled in the University at all times as discipline is one of the most important pillars of quality education.
- (3) The University shall enable due inspection periodically by the State Government to ensure compliance to all relevant University Grants Commission
- (UGC) norms, guidelines, and due adherence to local etiquettes and traditional values to ensure suitable adaption of the University to the local population with primary focus on high standards of education.
- (4) The final authority responsible for the maintenance of discipline among the students of the University shall be the Vice-Chancellor. His directions in this regard shall be carried out by the Heads of the Department of the University, Hostel and Institutions.
- (5) Any punishment of debarring a student from the examination or rustication, expulsion, suspension or restriction from the University or hostel institution shall, on the report of the Vice-Chancellor, be considered and imposed by the Board of Management:
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
67. Provided that no such punishment shall be taken without giving student concerned a reasonable opportunity for show cause against proposed action to be taken.
Punishment Any contravention of any of the provisions of this Act shall be an offence and the University as well as officers of the University under section 14 shall be liable for fine of not less than rupees fifty thousand which may extend to rupees five lakhs: Provided that, nothing in this section shall be construed as preventing the Government from initiating any action, whether civil or criminal, for non-compliance of the provisions of this Act including proceedings for liquidation of the University.
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
68. Offences by Companies
- (1) Where an offence under this Act, or the rules made thereunder, is committed by a company, every person who at the time when the offence was committed, was in-charge of, and was responsible to the company for the conduct of the business of the company, as well as the company, shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly: Provided that, nothing contained in this sub-section shall render any person liable to any punishment, if he proves that the offence was committed without his knowledge or that he had exercised all due diligence to prevent the commission of such offence.
- (2) Notwithstanding anything contained in sub-section (1), where any offence under this Act or the rules made thereunder, has been committed by a company with the consent or connivance of, or is attributable to or on the part of, any Director, Manager, Secretary or other officer or servant of the Company, such Director, Manager, Secretary or other officer or servant concerned shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly. Explanation.- For the purposes of this section,-
- (a) “Company” means a body corporate and includes a trust, a firm, a society and institution or other association of individuals; and
- (b) “Director” in relation to,-
- (i) a firm means a partner in the firm;
- (ii) a society, a trust, an institution or other association of persons, or body of individuals, means the person who is interested under the rules or bye-laws of the society, trust, institution, or other association or body with the management of the affairs of the society, trust, institution or other association or body, as the case may be.
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
69. Power to make Rules
- (1) The State Government may, by notification published in the Official Gazette, make rules to carry out the purposes of this Act.
- (2) Every rule made under this Act shall be laid, as soon as may be after it is made, before the Sikkim Legislative Assembly and notify their decision to that effect in the Official Gazette, the rule shall from the date of publication of such decision in the Official Gazette, have effect only in such modified form or be of no effect, as the case may be; so however, that any such modification or annulment shall be without prejudice to the validity of anything previously done or omitted to be done under that rule.
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
70. Transitory Provisions
If the process for establishing self-financed private University as per the existing Government orders or resolutions is completed at a particular stage on or before the date of commencement of this Act then, after commencement of this Act, such process shall be continued from that stage onwards as per the provisions of this Act.
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
71. Repeal and Savings
- (1) On and from the date of commencement of this Act, —
- (a) Sikkim Manipal University of Health, Medical and Technological Sciences Act, 1995 (Act No. 09 of 1995);
- (b) Institute of Chartered Financial Analysts of India University, Sikkim Act, 2004 (Act No. 09 of 2004);
- (c) Shri Ramasamy Memorial University, Sikkim Act, 2013 (Act No. 13 of 2013);
- (d) Sikkim Professional University Act, 2020 (Act No. 09 of 2020);
- (e) Khangchendzonga Buddhist University, Sikkim Act, 2020 (Act No. 15 of 2020);
- (f) Medhavi Skills University, Sikkim Act, 2021 (Act No. 12 of 2021);
- (g) The Sikkim International University Act, 2021 (Act No. 13 of 2021);
- (h) Sikkim Alpine University (Act No.14 of 2021);
- (i) Sikkim Skill University Act, 2021 (Act No. 17 of 2021);
- (j) Capital University Act (Act No. 10 of 2022);
- (k) Mahatma Gandhi University, Sikkim Act, 2022 (Act No. 21 of 2022);
- (l) Sikkim Global Technical UniversityAct, 2023 (Act No. 09 of 2023);
- (m) Sikkim Organic Agriculture University Act, 2023 (Act No. 10 of 2023;
- (n) Duke International University Act, 2024 (Act No. 05 of 2024);
- (o) Matrix SkillTech University, Sikkim Act, 2024 (Act No. 07 of 2024);
- (p) Sikkim Pannadhay University Act, 2024 (Act No. 15 of 2024);
- (q) Trident University of Applied Sciences Act, 2025 (Act No. 03 of 2025);
- (r) Sikkim Sardar Patel University Act, 2023 (Act No. 14 of 2023); Nirmala Devi University Act, 2024 (Act No. 16 of 2024);
- (t) Management & Information Technology University, Sikkim Act, 2024 (Act No. 11 of 2024);
- (u) Sikkim Medical Science University Act, 2024 (Act No. 02 of 2024);
- (v) Sengol International University Act, 2025 (Act No. 14 of 2025);
- (w) Fusion University Act, 2025 (Act No. 15 of 2025);
- (x) Sri Venkateshwara University Act, 2025 (Act No. 04 of 2025);
- (y) Shri Rukmani Dwarkadhish University of Science and Technology Act, 2024 (Act No. 12 of 2024);
- (z) Atal Bihari Vajpayee Skill University, Sikkim Act, 2025 (Act No. 13 of 2025);
- (aa) Gurukul Vidyapeeth University Act, 2024 (Act No. 03 of 2024);
- (bb) Orchid University Act, 2024 (Act No. 06 of 2024); shall stand repealed.
- (2) Notwithstanding the repeal of the said Acts, —
- (i) any person holding office immediately before the commencement of this Act as Vice-Chancellor of an existing University shall, on such commencement, be the Vice-Chancellor of the corresponding University and shall continue to hold the said office till his term of office as Vice-Chancellor of the existing University would have expired had he continued to be as such unless he ceases to be the Vice-Chancellor by reason of death, resignation or otherwise before the expiry of his term of office as aforesaid and shall exercise all the powers and perform all the duties conferred and imposed on the Vice-Chancellor of the corresponding University by or under this Act;
- (ii) every authority of an existing University constituted immediately before the commencement of this Act, shall be deemed to be the corresponding authority of the corresponding University under this Act;
- (iii) every person holding office either as an officer or the employee (whether teaching or other employee) of an existing University on the date immediately before the commencement of this Act shall continue to hold office on the same terms and conditions as were applicable to him immediately before such date, and shall exercise such powers and perform such duties as are conferred on them by or under this Act;
- (iv) all property, movable or immovable, and all rights, interest of whatsoever kind, powers and privileges of any existing University shall stand transferred to and shall, without further assurance, vest in, the corresponding University and be applied to the objects and purposes for which the corresponding University is constituted;
- (v) all benefactions accepted or received by any existing University and held by it immediately before the commencement of this Act, shall be deemed to have been accepted or received or held by the corresponding University under this Act, and all the conditions on which such benefactions were accepted or received or held shall be deemed to be valid under this Act, notwithstanding that such conditions may be inconsistent with any of the provisions of this Act;
- (vi) all debts, liabilities and obligations incurred before the commencement of this Act, and lawfully subsisting against any existing University, shall be discharged and satisfied by the corresponding University;
- (vii) any will, deed or other documents made before the commencement of this Act, which contains any bequest, gift, term or trust in favour of an existing University shall, on and from the commencement of this Act, be construed as if the corresponding University is named therein instead of the existing University;
- (viii) all references in any enactment or other instruments issued under any enactment, to any existing University shall be construed as references to the corresponding University;
- (ix) the teachers, who were recognised teachers of the University under the said Acts in respect of any of the existing University immediately before the commencement of this Act, shall be deemed to be recognised teachers of the corresponding University under and for the purposes of this Act and shall continue to be such recognised teachers until fresh recognitions are granted under this Act;
- (x) all Rules, Statutes, Ordinances or Regulations made under the said Acts in respect of any existing University shall, in so far as they are not inconsistent with the provisions of this Act, continue in force and be deemed to have been made under this Act in respect of the corresponding University or any authority of the University, as the case may be, until they are superseded or modified by the Rules, Statutes, Ordinances or Regulations made under this Act;
- (xi) all notices and orders made or issued by any authority under any of the said Acts shall, in so far as they are not inconsistent with the provisions of this Act, continue in force and be deemed to have been made or issued by corresponding authority until they are superseded or modified under this Act: Provided that, no Rules, Statutes, Ordinances, Regulations, notices or orders made or issued under any of the Acts repealed by this section and in force immediately before the commencement of this Act, shall be deemed to be inconsistent with the provisions of this Act by reason only that the power to make or issue such Rules, Statutes, Ordinance, Regulations, notice or order under this Act vests in a different authority or body or officer, or that the subject matter thereof is permissible only under a different form of subordinate legislation or instrument to be made, under this Act.
Chapter XI INSPECTION, DISSOLUTION AND WINDING UP OF PRIVATE UNIVERITY
72. Power to Remove Difficulties
- (1) If any difficulty arises in giving effect to the provisions of this Act, the Government may, as occasion arises, by an order published in the Official Gazette, do anything not inconsistent with the provisions of this Act, which appears to it to be necessary or expedient for removing the difficulty: Provided that, no such order shall be made after the expiry of a period of two years from the date of commencement of this Act.
- (2) Every order made under sub-section (1), shall, as soon as may be after it is made, be laid before each the Sikkim Legislative Assembly.
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