The Bombay high court on Wednesday sought an explanation from All India Council for Technical Education (AICTE) after Mumbai university (MU) said AICTE’s new rule, making it mandatory to conduct post graduate diploma in management (PGDM) as standalone course, was not feasible at least this year.

AICTE has on February 14, 2020 issued a new Approval Process Handbook prohibiting institutions from conducting MBA and PGDM courses from the same institution. Instead, it has asked institutions either to convert PGDM course into MBA or convert MBA course into PGDM or start a new institution for conducting PGDM course.

Association of Indian Management Schools has challenged validity of the new rule. In a petition filed through advocate Ashutosh Kullarni, it has contended that the changes introduced by AICTE for management education institutions through its approval process handbook for 2020-21 were “drastic and disastrous” most of the management institutes would not be able to meet the requirement.

It was also argued on behalf of the Association that the options given by AICTE were not feasible, for if a new Institute is to be set up in Mumbai at least half acre land is required under AICTE norms. “The management will require at least Rs. 500 crore only for fulfilling this condition,” the Association’s lawyer had argued earlier. “These utopian ideas are not capable of implementation.”

In all 367 institutes offer PGDBM course in Maharashtra.

MU has filed an affidavit in reply to the petition stating that the new rules are not feasible, at least for the next academic year. MU also informed the court that consequences would ensue, not only upon institutions which run both the courses from same premises, but also on the students community in general and the administrative machinery.

Justice NJ Jamadar took note of the assertions and directed AICTE to file an affidavit justifying its new rules.

The court has posted the petition for further hearing on May 19.