Don’t worry, be happy: B-schools get ready to refund fees

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MBAUniverse.com News Desk |
July 26, 2016
MBA aspirants who had submitted program fees for 2007-09 to private B-schools but have now got calls from IIMs need not to worry.

Many top-tier private B-schools like Xavier Labour Relations Institute (XLRI), Indian Institute of Foreign Trade (IIFT), Institute of Management and Technology (IMT), Ghaziabad and International Management Institute (IMI) that MBAUniverse.com spoke to have decided to refund the total program fee. Nodal body AICTE had earlier issued a directive to over 1,400 B-schools to only charge a maximum of Rs 1,000 from students who withdraw from a course before the academic session begins.

Commenting on the issue, IIFT director Mr K T Chacko told MBAUniverse.com, “We are returning the total fees to our students who want to take admission in other institutes. IIFT will not even retain the Rs 1,000 as we believe it’s an unethical practice.”

The International Management Institute (IMI) has also decided to return the fees to students who seek withdrawals. Dr C S Venkata Ratnam, director, IMI, said: “We will refund the full fee as a matter of admission policy of our institute.”

Xavier Labour Relations Institute (XLRI) Jamshedpur too is refunding fees. Supriya Kumar Dae, chairperson, admissions, XLRI, said: “XLRI will go with the AICTE ruling. Accordingly we are returning the fees to students while retaining the minimum amount of Rs 1,000.”

Institute of Management Technology (IMT) Ghaziabad has also decided to follow suit. Dr B S Sahay, Director IMT, Ghaziabad said, “We do not believe in retaining any fees forcefully from students. So we are refunding the full amount. This is in line with our practices for last many years.”

In the backdrop of delay in admission for IIMs due to the quota tangle, the government directed AICTE to ensure that institutes do not use the opportunity to charge undue fees. AICTE has asked all technical education institutions, universities and deemed universities to only charge a maximum of Rs 1,000 from students who withdraw from a course before the academic session begins.
Some private B-schools, while accepting AICTE’s directive, opine that this decision is one-sided and upsets their admission plans. Dr Harivansh Chaturvedi, director, BIMTECH (in Greater Noida), said: “We are following the AICTE instructions of returning the fees. But my personal opinion is that it will only help the IIMs… AICTE is issuing this notice because of pressure from the government. This has created a lot of problem for private institutes like us.”