New Delhi/Bhubaneswar: In a setback for the Odisha government, the Supreme Court has declined to interfere with the Orissa High Court’s judgment granting eligibility for full grant-in-aid (GIA) to employees of aided educational institutions.
A two-judge bench comprising Justice J.K. Maheswari and Justice Atul S. Chandurkar observed on March 25 that it had heard the state’s arguments at length and found no reason to deviate from its earlier consistent rulings on the issue. “Numerous Special Leave Petitions, more than approximately 60 in number, have already been dismissed,” it added.
The High Court, in its landmark verdict delivered by Justice Biraja Prasanna Satapathy on March 19, 2025, had ruled that unaided schools, girls’ schools, higher secondary schools and colleges recommended by the directorates concerned for GIA benefits prior to the repeal of the 1994 scheme could not be denied full assistance. Dealing with over 100 appeals arising from orders, he upheld State Education Tribunal decisions allowing GIA claims, set aside those rejecting them, and directed the state authorities to extend the benefits under the 1994 order while completing the entire exercise within six months.
The GIA Order, 1994 provided for full salary grants to eligible teaching and non-teaching staff of private aided educational institutions. It was repealed on February 5, 2004 and replaced by a subsequent order that limited assistance to partial (block) grants.
The High Court observed that the repeal could not retrospectively deprive institutions or employees whose cases had been duly recommended before the cut-off date.
Endorsing the High Court’s reasoning, the Supreme Court noted that its directions were “completely in consonance with the reasoning” and appropriately left discretion with the state to verify facts and pass necessary orders. Taking into account the prolonged litigation, the apex court directed the state to complete the exercise within six months from the date of its order.
