Home India Tamil Nadu takes Centre to Supreme Court over ₹2,000 crore in withheld education funds

Tamil Nadu takes Centre to Supreme Court over ₹2,000 crore in withheld education funds

by bodhiwire
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New Delhi, May 22 – The southern Indian state of Tamil Nadu has filed a suit in the Supreme Court against the federal government, alleging it withheld over ₹2,000 crore ($240 million) in education funding due to the state’s opposition to key provisions of the National Education Policy (NEP) 2020.

In its petition, Tamil Nadu accused the Centre of linking disbursal of funds under the Samagra Shiksha Scheme to the state’s compliance with the NEP-2020 and the implementation of the PM SHRI Schools programme, which mandates the policy in full. The state has long rejected the NEP’s three-language formula and instead follows a two-language policy of Tamil and English.

The lawsuit, filed by Tamil Nadu’s counsel Sabarish Subramanian and led by senior advocate P. Wilson, argues that the Centre’s actions violate the principles of cooperative federalism and infringe on the state’s constitutional right to legislate on education, a subject on the concurrent list.

“The Union Government seeks to coerce the State to implement NEP-2020 in its entirety,” the filing said, calling the Centre’s stance “unconstitutional, arbitrary and unreasonable.”

Tamil Nadu said it was denied ₹2,151 crore, the Centre’s 60% share of the ₹3,585.99 crore budget approved for 2025-26 by the Project Approval Board of the scheme. The shortfall has impacted nearly 44 lakh students, over 2.2 lakh teachers, and 32,701 support staff, the state added.

The state is seeking a Supreme Court order to direct the Centre to release ₹2,291 crore, including interest, and to declare that the NEP and PM SHRI Schools programme are not binding on non-compliant states.

Chief Minister M.K. Stalin had earlier written to Prime Minister Narendra Modi objecting to the linkage of funding with the implementation of NEP-2020, saying such a move amounted to pressuring states into adopting centrally mandated policies.

Tamil Nadu has a long-standing position against the three-language formula, with a 1968 legislative resolution mandating the use of only Tamil and English in schools. The Tamil Learning Act, 2006 further enforces compulsory Tamil instruction from grades 1 to 10.

“The Union government cannot compel the State to implement its own policy under the guise of providing financial support,” the suit said. There was no immediate response from federal education officials on the lawsuit.

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