Petition by Ajeet Seeds Private Limited challenging the 2023 Regulation dismissed; Court emphasizes non-commercial objectives in medical education.
In a significant judgment, the Bombay High Court has dismissed a writ petition filed by Ajeet Seeds Private Limited challenging Regulation 6(g) of the Establishment of Medical Institutions, Assessment and Rating Regulations 2023. The regulation restricts eligibility for establishing medical colleges to Section 8 Companies, incorporated under the Companies Act, 2013, aimed at ensuring non-profit objectives in medical education. The petitioners contended that the regulation was ultra vires Section 28 of the National Medical Commission (NMC) Act, 2019, and violated Articles 14 and 19 of the Constitution.
The Division Bench comprising Justices Sandipkumar C. More and Abasaheb D. Shinde, Aurangabad Bench, ruled that Regulation 6(g) is consistent with the NMC Act and serves a broader public interest by preventing commercial exploitation in medical education. The court noted that the regulation was framed by an expert body to align with legislative intent, ensuring that medical education remains non-commercial.
The petitioners, operating a hospital through a Private Limited Company, argued that the regulation arbitrarily excluded private companies, violating constitutional rights to equality and freedom of trade. The court, however, emphasized that the classification based on non-profit objectives was rational, aiming to prevent commercialization in medical education.
The court also highlighted the scope of judicial review, stating that it is generally slow to interfere with regulatory decisions unless they are manifestly arbitrary or inconsistent with the parent statute. The judgment underscores the importance of maintaining high standards in medical education through regulations that focus on non-profit objectives.
The ruling reaffirms the authority of the National Medical Commission to frame regulations that align with legislative intent, ensuring that medical education serves public interest rather than commercial goals. The dismissal of the petition signifies the judiciary's support for regulatory measures that prioritize non-commercial objectives in the establishment of medical institutions.
Bottom Line:
Medical Education - Regulation 6(g) of the Establishment of Medical Institutions, Assessment and Rating Regulations 2023 restricting eligibility to Section 8 Companies incorporated under Companies Act, 2013 held not ultra vires - Regulation aimed at ensuring non-profit objectives in medical education - Petition challenging Regulation 6(g) dismissed.
Statutory provision(s): National Medical Commission Act, 2019 Section 28, Articles 14 and 19 of the Constitution of India, Companies Act, 2013, Section 57(2) of the NMC Act.
