The Supreme Court on Thursday ordered private schools in the country to cut their monthly fee by 20 percent.
On a suo motu case against fee hike by private schools, a three-member bench led by Chief Justice of Pakistan Justice Saqib Nisar heard the case.
Private schools’ lawyer, deputy auditor general and the chairman of the Federal Board of Revenue (FBR) were the party in the case.
As per the interim order issued by the apex court, private schools taking above Rs 5,000 monthly will have to cut fee by 20 percent and return or adjust half of the fee charged over the summer holidays within two months.
The Supreme Court also barred private schools from increasing the annual fee by more than five percent. Any hike of more than five percent in the school fee would have to be approved by a regulatory board, the court order stated.
In any case, any increase in the fee cannot be more than eight percent, it added. The interim order further stated that owners cannot shut down their schools.
As the hearing got under way, the chief justice remarked that the Supreme Court was not bound by decisions made by high courts.
“The SC will make a decision on its own as to how much reduction [in fee] is appropriate,” Justice Nisar observed. The bench also ordered the FBR to probe income tax returns of owners and directors of private schools.
Justice Nisar summoned the FBR chairman and ordered checking of tax records of private schools from the past seven years.
The court adjourned the hearing till December 26.
On September 17, the SC had decided to club cases pertaining to private schools pending in high courts and the apex court.
Following the verdict, All Pakistan Private Schools’ Association accepted the Supreme Court decision.
Published in Daily Times, December 14th 2018.
