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Telangana colleges shut down as ₹10,000 crore dues push 2,000 institutions to the brink

By | Education | 05-Nov-2025 12:10:46


News Story

Nearly 2,000 private professional colleges across Telangana have gone on an indefinite strike, shutting down campuses and boycotting examinations over the state government’s failure to clear nearly ₹10,000 crore in pending fee reimbursements.

The protest, led by the Federation of Associations of Telangana Higher Institutions (FATHI), has brought higher education to a standstill — affecting engineering, pharmacy, MBA, and degree colleges, and leaving thousands of students in limbo.

A crisis years in the making

The dispute centres on massive arrears under the Reimbursement of Tuition Fee (RTF) and Maintenance Fee (MTF) schemes — lifelines for students from economically weaker backgrounds. Colleges say the delay has crippled their finances, forcing them to suspend operations.

The immediate trigger came when the state failed to meet its November 1 deadline to release ₹900 crore. Managements allege the government had promised ₹1,200 crore before Diwali but released only ₹300 crore.

Exam boycott widens, attendance plunges

A day after the shutdown, the strike escalated into a boycott of semester examinations. Data from Jawaharlal Nehru Technological University, Hyderabad (JNTUH) shows that 52 affiliated pharmacy colleges joined the boycott, while only nine government colleges conducted exams as scheduled.

Attendance plummeted, with barely 12% of students turning up. While JNTUH has decided to go ahead with exams as planned, FATHI insists the boycott will continue until the government releases at least half of the dues and shares a clear repayment roadmap.

Government scrambles with committee

Amid growing unrest, the Telangana government has announced a 15-member committee to devise a sustainable funding model for the reimbursement scheme.

The panel is headed by Special Chief Secretary (Welfare) Sabyasachi Ghosh and co-chaired by Principal Secretary (Finance) Sandeep Kumar Sultania, with academics such as Professor Kancha Ilaiah and Professor Kodandaram, alongside three FATHI representatives.

The committee has been asked to propose a ‘Trust Bank’ model to ensure transparency and stability in fund disbursement and submit its report within three months.

Escalation ahead

FATHI has warned that the strike will continue unless the government immediately releases ₹5,000 crore. The federation plans a rally at LB Stadium on November 8, followed by a ‘Long March’ to the State Secretariat on November 11, which could draw lakhs of students and staff.

Student unions have thrown their weight behind the protest, highlighting how unpaid reimbursements have led to salary delays for faculty and withheld certificates for graduating students, deepening the crisis across Telangana’s higher education landscape.