Fix Timelines For Section 12 RTE Act Reimbursements To Schools: Bombay HC

In a crucial intervention to prevent administrative inertia from suffocating private educational institutions, the Bombay High Court has called on the State Government to establish time-bound mechanisms for releasing statutory reimbursements under the RTE Act.

Addressing a contempt petition alleging willful breach of a court order regarding pending dues, a division bench comprising Justice R. I. Chagla and Justice Farhan P. Dubash highlighted how prolonged administrative delays severely imperil the statutory obligation cast upon private unaided schools.

Delay in Scrutiny Cannot Justify Indefinite Inaction

The court emphasized that while the government holds the authority to verify reimbursement proposals to ensure compliance before disbursing public funds, such administrative scrutiny must necessarily occur within a reasonable timeframe.

The Court, in its reasoning, observed: "The statutory obligation cast upon private unaided schools to provide free education to children belonging to weaker sections and disadvantaged groups is inseparably linked with the corresponding statutory obligation of the State to reimburse the eligible expenditure. The efficacy of one cannot be divorced from the other. Delayed reimbursement over prolonged periods inevitably affects the financial viability of institutions which continue to discharge their statutory obligations in the meantime. The object of the RTE Act is to facilitate, and not discourage, participation of private educational institutions in the implementation of this important social welfare measure."

The Court expects the following directions:

"We expect the State Government to constitute an appropriate Committee comprising senior officers of the Finance Department and the School Education and Sports Department, along with such other officers as it may consider necessary, to examine these issues. The Committee may also invite representations from recognised associations representing unaided schools and other stakeholders before making its recommendations. We hope and trust that the necessary exercise shall be undertaken expeditiously and, preferably, before the end of the calendar year 2026."

Background

The dispute originated from a contempt petition filed under the Contempt of Courts Act, 1971 by Om Education Society and other private schools, alleging non-compliance with an earlier High Court order dated March 26, 2026. The original writ petition sought the release of RTE reimbursement amounting to Rs. 3,65,75,530/- under Section 12(2) of the Right of Children to Free and Compulsory Education Act, 2009.

While notifications under the Right of Children to Free and Compulsory Education Rules, 2010 prescribe procedure up to the Education Officer level, no timelines exist for subsequent stages involving the Director of Education or the State government. During the hearing, the State presented an undertaking from the Under Secretary, School Education and Sports Department, committing to disburse the admissible reimbursement within four weeks, on or before September 4, 2026. Accepting this undertaking, the High Court scheduled the matter for reporting compliance on September 7, 2026.

Case Details:
Case No.: Contempt Petition No. 408 of 2026 in Writ Petition No. 3834 of 2026
Case Title: Om Education Society & Ors. vs. State of Maharashtra & Ors.
Appearances:
For the Petitioner(s): Mr. Gaurav Sinha
For the Respondent(s): Smt. Kavita N. Solunke, Additional GP a/w Mr. V. G. Badgujar, AGP

Source: 2026 CaseBase(BOM) 3887