Don’t miss the latest developments in business and finance.

Candidates can be sued for degrees from unrecognised institutes

A course from an unaccredited institute is a waste of your time and money. Do the Due diligence before enrolling

Priya Nair
Last Updated : Jul 12 2015 | 10:45 PM IST
You have secured admission to an educational institute that is 'affiliated' to a foreign university, promises scholarship for one year of study abroad, placement in top-rated companies and gifts such as laptops. But before you pay the fees, do check if the name of the institute figures in the list of unapproved universities or colleges on the websites of the University Grants Commission (UGC) or All India Council for Technical Education (AICTE).

Currently, there is a list of 26 fake universities on the UGC website. Similarly, AICTE has a list of 340 unapproved institutions offering courses such as include engineering, computer studies, management, tourism, architecture, fashion designing. Many of them continue to offer courses, although they are unrecognised.

CHECK THE FOLLOWING
  • The lists of approved and unapproved universities/ colleges on the websites of UGC or AICTE
  • The number of faculty members; how many are permanent
  • Websites of international universities/colleges that the institute claims to be affiliated to
  • Whether a bank or NBFC offers education loans
  • What is the accredidation and it is still valid

"As long as there is a mismatch between demand and supply and a premium is charged for good quality education, such institutes will continue to exist," says S S Mantha, former chairman, AICTE.

More From This Section


Many students join such unrecognised colleges when they fail to secure admission in top-rated colleges owing to poor scores. However, only after completing the course do they realise the degree is not valid. The only advantage, if any, is that such colleges might have tie-ups with companies and offer internships. But often, these are entry-level jobs and the qualification required is only graduation with English speaking skills. The professional degree does not offer any additional benefit.

"Many people today want to enter the field of education because they get land at concessional rates. They spend a lot of money on advertising but not on the required infrastructure, due to which the institute fails to get recognition from regulatory bodies. Students should be wary of such institutes," says Pritam Singh, a senior academician who has served on the boards of Indian Institutes of Management and Delhi-based International Institute Management, among others.

Let us look at some of the things to look out for before joining a college:

Check UGC, AICTE websites
UGC and AICTE websites have lists of both recognised and unrecognised universities and technical colleges. Hence, the first thing to do is to check is if the university or college figures on either of these lists.

In some cases, the institute might not feature either on the approved list or unapproved list. "Regulatory bodies locate such institutions based on advertisements in newspapers or television. So, it is possible that some get left out. They also act on the basis of complaints received from parents or students. If you come across a college that is violating norms, you can bring it to the notice of the authorities," says Mantha.

It may happen that the list is not updated. In that case, call the helpline numbers provided on the websites to check the validity of the university or college in question, says Narayanan Ramaswamy, partner and head of education and skilling vertical at KPMG.

Unaccredited institute
Sometimes, the institute would have the required infrastructure, but it might not be affiliated to an Indian regulatory body. This could be more tricky than a fake institute. In this case, while the degree may not be a fake one, it will be an unrecognised one. So, finding jobs in government organisations, public sector undertakings, or private companies that attach importance to degrees would be difficult. Employers could take legal action against the candidate if it has been misrepresented. However, many private companies don't attach too much importance to degrees and give you a job based on your skills, in which case it may not affect much, says Ramaswamy.

It may also happen that the institute loses its affiliation or recognition, for failing to meet the norms, mid-way through the educational programme. In such cases, regulators will allow students to shift to another college and ensure that their studies are not disrupted, says Mantha.

Affiliation with foreign universities
Many institutes claim they have affiliation with foreign universities, but these may not be well-known universities or recognised in India. In such a case, check the websites of those universities to verify if the Indian institutes' names figure in their list of affiliated colleges.

"One should not get carried away by tall claims and celebrity endorsements," says Ramaswamy.

Many colleges claim to have global accreditation which may be misleading. "There are only three well known accreditations globally, from Europe, the UK and the US. These are known as the triple crown. In India, the UGC offers accreditation. Anything other than this is again misleading," says Singh.

Faculty members
Another thing to check is the number of faculty members and board members in the institute. "One must check if the faculty members are permanent or not and their qualifications are. These can be verified on the websites of these institutes. Today, many colleges function with four or five faculty members," points out Singh.

Education loan not available
Another reason students opt for such institutes is because many a times fees might be on par with recognised institutes or even lower. But if you apply for an education loan to a bank or non-banking finance company, then it will get approved only if the institute is a recognised one, says Neeraj Saxena, CEO, Avanse Education Finance Services. "We have a cell that checks into the institute before approving the loan. We look at conditions like how old the institute is, placement record, past performance, if there are legal cases pending against the institute, or if it has been blacklisted by any regulatory body, etc," he says.

Many banks also carry a list of approved colleges on their websites for sanctioning loans. Check this list to find out if the institute you are applying to is recognised or not. In some cases, banks have tie-ups with recognised institutes and students applying to these institutes get loans easily. Hence, you can check if the institute has such a tie-up.

Laws need strengthening
One reason why unrecognised institutes thrive is because the punishment is negligible. According to the UGC Act (1956), Section 24, the penalty is Rs 1,000. "This may have been a huge amount in 1956 when the law was formed. But today, those running such institutions would rather pay Rs 1,000 and continue to run the institutions," says Mantha.

Complaints regarding unrecognised institutes or institutes flouting AICTE or UGC norms should be lodged with the grievance cell of the UGC or AICTE. Depending on the severity of the complaint, the authorities will take action against the institute or withdraw the approval.

Also Read

First Published: Jul 12 2015 | 10:07 PM IST

Next Story