{"id":273839,"date":"2022-09-16T17:00:14","date_gmt":"2022-09-16T11:30:14","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=273839"},"modified":"2022-09-16T17:00:14","modified_gmt":"2022-09-16T11:30:14","slug":"pharmacy-cpuncil-india-cannot-impose-moratorium-through-execution-instruction-right-to-establish-education-institution-fundamental-right-supreme-court-legal-research-updates-news","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2022\/09\/16\/pharmacy-cpuncil-india-cannot-impose-moratorium-through-execution-instruction-right-to-establish-education-institution-fundamental-right-supreme-court-legal-research-updates-news\/","title":{"rendered":"&#8216;Right to establish an educational institution is a fundamental right&#8217;; Pharmacy Council of India can only impose moratorium by way of a law and not by execution instruction: SC\u00a0"},"content":{"rendered":"<p><strong>Supreme Court<\/strong>: The bench of <strong>BR Gavai*<\/strong> and PS Narasimha, JJ has held that the right to establish an educational institution is a fundamental right under Article 19(1)(g) of the Constitution of India and reasonable restrictions on such a right can be imposed only by a law and not by an execution instruction.<\/p>\n<h4><span style=\"color: #800000;\"><strong>What was under challenge? <\/strong><\/span><\/h4>\n<p>The ruling came in a case where the Court was called upon to decide whether the moratorium, as imposed by the Pharmacy Council of India (PCI), could have been imposed by resolution\/communications dated 17.07.2019 and 09.09.2019, which is in the nature of an executive instruction of the Central Council.<\/p>\n<p><span style=\"color: #008000;\"><strong>Resolution\/Communication dated 17.07.2019: <\/strong><\/span>A moratorium on the opening of new pharmacy colleges for running Diploma as well as Degree courses in pharmacy for a period of five years beginning from the Academic Year 2020-2021.<\/p>\n<p><span style=\"color: #008000;\"><strong>Resolution\/communication dated 09.09.2019: <\/strong>\u00a0<\/span><\/p>\n<ol>\n<li>Modified the aforesaid moratorium, thereby exempting its application to<\/li>\n<\/ol>\n<p style=\"padding-left: 80px;\">(i) Government Institutions;<\/p>\n<p style=\"padding-left: 80px;\">(ii) Institutions in North Eastern region; and<\/p>\n<p style=\"padding-left: 80px;\">(iii) States\/Union Territories where the number of institutions offering D. Pharm and B. Pharm courses (both combined) is less than 50.<\/p>\n<ol start=\"2\">\n<li>The institutions which had applied for opening colleges offering D. Pharm and\/or B. Pharm courses for 2019-2020 academic session were allowed to apply for conducting diploma as well as degree courses in Academic Session 2020-2021 and existing approved pharmacy institutions were allowed to increase the intake capacity as per PCI norms and\/or to start additional pharmacy course(s).<\/li>\n<\/ol>\n<h4><span style=\"color: #800000;\"><strong>The 4 High Court judgments in question<\/strong><\/span><\/h4>\n<p>The <strong>Karnataka High Court<a href=\"#_ftn1\" name=\"_ftnref1\">[1]<\/a>; Delhi High Court<a href=\"#_ftn2\" name=\"_ftnref2\">[2]<\/a> and Chhattisgarh High Court<a href=\"#_ftn3\" name=\"_ftnref3\">[3]<\/a><\/strong>, while allowing the writ petitions filed by the respondent-institutions and quashing and setting aside the Resolutions\/communications of PCI\u2019s Central Council, in a nutshell, held:<\/p>\n<p style=\"padding-left: 40px;\">\u00a0(i) That the right to establish educational institutions is a fundamental right guaranteed under Article 19(1) (g) of the Constitution of India;<\/p>\n<p style=\"padding-left: 40px;\">(ii) That there can be reasonable restrictions on such a right. However, such a restriction can be imposed only by law enacted by the competent legislature;<\/p>\n<p style=\"padding-left: 40px;\">(iii) <strong>Resolution\/Communication dated 17.07.2019<\/strong>, vide which the moratorium was imposed is an executive instruction and could not be construed as a law and, therefore, the moratorium imposed by an executive instruction is not sustainable in law.<\/p>\n<p><strong>Bombay\u00a0High\u00a0Court<\/strong><a href=\"#_ftn4\" name=\"_ftnref4\"><strong>[4<\/strong>]<\/a>,\u00a0 on the other hand, upheld\u00a0the\u00a0moratorium.\u00a0It was argued before the Court that said judgment of the Bombay High Court has not been considered by all the three High Courts of Karnataka, Delhi and Chhattisgarh.<\/p>\n<h4><span style=\"color: #800000;\"><strong>Supreme Court\u2019s Analysis and Verdict <\/strong><\/span><\/h4>\n<p>Holding that the right to establish an educational institution is a fundamental right under Article 19(1)(g) of the Constitution of India and reasonable restrictions on such a right can be imposed only by a law and not by an execution instruction, the Court held that the Bombay High Court, did not lay down the correct position of law and that the view taken by the High Courts of Karnataka, Delhi and Chhattisgarh laid down the correct position of law.<\/p>\n<p>Deciding against PCI, the Court held that PCI could not impose restrictions on the fundamental right to establish educational institutions under Article 19(1)(g) of the Constitution of India. Hence, the Resolutions\/communications dated 17th July 2019 and 9th September 2019 of the Central Council of PCI have been struck down.<\/p>\n<h4><span style=\"color: #008000;\"><strong><em>On Necessity to impose restrictions <\/em><\/strong><\/span><\/h4>\n<p>There could indeed be a necessity to impose certain restrictions so as to prevent mushrooming growth of pharmacy colleges. Such restrictions may be in the larger general public interest. However, if that has to be done, it has to be done strictly in accordance with law. If and when such restrictions are imposed by an Authority competent to do so, the validity of the same can always be scrutinized on the touchstone of law.<\/p>\n<h4><span style=\"color: #008000;\"><strong><em>On requirement of \u201cNo\u00a0Objection\u00a0Certificate\u201d\u00a0<\/em><\/strong><\/span><\/h4>\n<p>The applications seeking approval for D. Pharm and B. Pharm courses are required to be accompanied by a \u201cNo Objection Certificate\u201d (\u201cNOC\u201d) from the State Government and consent of affiliation from the affiliating bodies. While scrutinizing such applications, the Council can always take into consideration various factors before deciding to\u00a0 allow\u00a0 or\u00a0 reject\u00a0 such\u00a0 applications. <em>Merely because an institution has a right to establish an educational institution does not mean that such an application has to be allowed<\/em>.\u00a0 In a particular area, if there are more than sufficient number of institutions already existing, the Central Council can always take into consideration as to whether it is necessary or not to increase the number of institutions in such an area. <em>However, a blanket prohibition on the establishment of pharmacy colleges cannot be imposed by an executive resolution.<\/em><\/p>\n<p>[Pharmacy Council of India v. Rajeev Pharmacy College, CIVIL\u00a0APPEAL\u00a0NO.\u00a06681\u00a0OF\u00a02022, decided on 15.09.2022]<\/p>\n<hr \/>\n<h4>*Judgment by: Justice BR Gavai<\/h4>\n<p>For PCI: Senior Advocate Maninder Singh<\/p>\n<p>For Respondents: Senior Advocates Rakesh Dwivedi and Vinay Navare, Advocates Amit\u00a0Pai,\u00a0Sanjay\u00a0Sharawat,\u00a0Siddharth R.\u00a0Gupta,\u00a0and\u00a0Shivam\u00a0Singh<a href=\"#_ftnref1\" name=\"_ftn1\"><\/a><\/p>\n<hr \/>\n<p><a href=\"#_ftnref1\" name=\"_ftn1\">[1]<\/a> Writ Appeal\u00a0No.\u00a0746\u00ad748\u00a0of\u00a02020, dated 09.11.2021<\/p>\n<p><a href=\"#_ftnref2\" name=\"_ftn2\">[2]<\/a> Writ\u00a0Petition\u00a0(Civil)\u00a0No.175\u00a0of\u00a02021, dated 07.03.2020<\/p>\n<p><a href=\"#_ftnref3\" name=\"_ftn3\">[3]<\/a> <a href=\"http:\/\/www.scconline.com\/DocumentLink\/41408KI8\">2022 SCC OnLine Chh 762<\/a><\/p>\n<p><a href=\"#_ftnref4\" name=\"_ftn4\">[4]<\/a> <a href=\"http:\/\/www.scconline.com\/DocumentLink\/Bqnh8K18\">2020 SCC OnLine Bom 2564<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Supreme Court: The bench of BR Gavai* and PS Narasimha, JJ has held that the right to establish an educational institution is <\/p>\n","protected":false},"author":121,"featured_media":273868,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3,9],"tags":[51732,13391,51733,51734,22074,48112,49824,5641,51735],"class_list":["post-273839","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-casebriefs","category-supremecourt","tag-article-191g-of-the-constitution-of-india","tag-education-and-university","tag-execution-instruction","tag-imposition-of-moratorium","tag-moratorium","tag-pharmacy-council-of-india","tag-reasonable-restrictions","tag-right-to-education","tag-right-to-establish-an-educational-institution"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.4 (Yoast SEO v26.4) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>&#039;Right to establish an educational institution is a fundamental right&#039;; 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Pharmacy Council of India can only impose moratorium by way of a law and not by execution instruction: SC\u00a0"}]},{"@type":"WebSite","@id":"https:\/\/www.scconline.com\/blog\/#website","url":"https:\/\/www.scconline.com\/blog\/","name":"SCC Times","description":"Bringing you the Best Analytical Legal News","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.scconline.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/www.scconline.com\/blog\/#\/schema\/person\/de579aff4bc6dd24b68d6d472ac92942","name":"Prachi Bhardwaj","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.scconline.com\/blog\/#\/schema\/person\/image\/","url":"https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/04\/Prachi-Image2-150x150.png","contentUrl":"https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/04\/Prachi-Image2-150x150.png","caption":"Prachi Bhardwaj"},"description":"Senior Associate Editor","url":"https:\/\/www.scconline.com\/blog\/post\/author\/editor_3\/"}]}},"jetpack_featured_media_url":"https:\/\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/09\/MicrosoftTeams-image-74-3-1.jpg","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":266253,"url":"https:\/\/www.scconline.com\/blog\/post\/2022\/04\/30\/whenever-substantive-obligation-rights-interests-are-impaired-adversely-affected-through-any-piece-of-subordinate-legislation-then-its-source-must-be-traced-within-express-provisions-in-four-corners\/","url_meta":{"origin":273839,"position":0},"title":"Chh HC | Whenever substantive obligation\/rights\/ interests are impaired\/adversely affected through any piece of subordinate legislation, then its source must be traced within express provisions in four corners of parent enactment","author":"Editor","date":"April 30, 2022","format":false,"excerpt":"Chhattisgarh High Court: Sam Koshy P, J., allowed the petition and quashed the impugned orders imposing a moratorium on the establishment of new Pharma colleges and institutions for 5 years. The facts of the case are such that the petitioners are a private unaided Self Financing Institution and a part\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":159144,"url":"https:\/\/www.scconline.com\/blog\/post\/2017\/09\/25\/nclat-moratorium-will-not-affect-any-suit-or-case-pending-before-supreme-court-uart-32-or-any-high-court-uart-226\/","url_meta":{"origin":273839,"position":1},"title":"NCLAT: \u2018Moratorium\u2019 will not affect any suit or case pending before Supreme Court u\/Art. 32 or any High Court u\/Art. 226\u00a0","author":"Saba","date":"September 25, 2017","format":false,"excerpt":"National Company Law Appellate Tribunal:\u00a0Canara Bank, the appellant-financial creditor, challenged the impugned order passed by National Company Law Tribunal, Hyderabad Bench whereby while admitting the application preferred by Appellant under Section 7 of the Insolvency and Bankruptcy Code, 2016 passed an order of moratorium thereby prohibiting the institution of suits\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2017\/08\/NCLAT.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2017\/08\/NCLAT.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2017\/08\/NCLAT.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2017\/08\/NCLAT.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2017\/08\/NCLAT.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":261459,"url":"https:\/\/www.scconline.com\/blog\/post\/2022\/02\/10\/5-year-moratorium-on-new-pharmacy-colleges-supreme-court-stays-hc-order-directing-pharmacy-council-of-india-to-consider-application-for-grant-of-affiliation\/","url_meta":{"origin":273839,"position":2},"title":"5-year moratorium on new Pharmacy Colleges: Chh HC\u2019s interim order directing PCI to consider application for affiliation stayed; Matter to be disposed of in 4 weeks: SC","author":"Editor","date":"February 10, 2022","format":false,"excerpt":"Supreme Court: In a case related to PCI\u2019s decision to impose 5-year moratorium on the opening of new Pharmacy Colleges for degree and diploma courses, the Division Bench comprising of L. Nageswara Rao and Justice B.R. Gavai, JJ., imposed a stay on the Chattisgarh High Court\u2019s interim order directing the\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/02\/MicrosoftTeams-image-78.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/02\/MicrosoftTeams-image-78.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/02\/MicrosoftTeams-image-78.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/02\/MicrosoftTeams-image-78.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/02\/MicrosoftTeams-image-78.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":258824,"url":"https:\/\/www.scconline.com\/blog\/post\/2021\/12\/21\/chh-hc-directed-orders-against-moratorium-ban-on-the-opening-of-the-new-colleges-and-institutions-for-imparting-b-pharma-and-d-pharma-courses-in-the-entire-country-for-a-period-of-five-years\/","url_meta":{"origin":273839,"position":3},"title":"Chh HC directed orders against moratorium\/ban on the opening of the new Colleges and Institutions for imparting B. Pharma and D. Pharma courses in the entire Country for a period of five years","author":"Editor","date":"December 21, 2021","format":false,"excerpt":"Chhattisgarh High Court: P. Sam Koshy allowed the interim application and stated that the final approval and permission is subject to the final outcome of the present petition. 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