Vijayanagara Sri Krishnadevaraya University (VSK University) in Ballari is confronting a severe financial strain as its affiliated colleges have failed to remit student fees, accumulating a staggering debt of approximately Rs 10 crore. The university administration has declared that it is left with no alternative but to enforce strict fee collection measures to ensure its operational sustainability.
Root of the Financial Strain
This substantial deficit stems from a systemic shift in how government scholarship funds are disbursed. Previously, these funds were sent directly to the colleges. The institutions would deduct the due tuition fees and then pass the remaining amount to the students. This process ensured the university received its share seamlessly.
However, a change in policy in recent years meant that scholarship funds began being deposited directly into students' bank accounts. While this move aimed for transparency, it inadvertently broke the chain of automatic fee collection. Many students, particularly those in government colleges, have not paid their fees to the colleges since the 2018-19 academic year. Notably, numerous students from that batch have already graduated, making fee recovery an arduous task for the colleges themselves.
Widespread Impact Across Affiliated Institutions
The fee default issue is widespread across VSK University's network, which includes 10 postgraduate centres, 50 degree colleges, and 14 BEd colleges spread across Ballari, Vijayanagara, and Koppal districts. Out of these 74 institutions, 15 are government-run, and a majority are reportedly struggling with outstanding student fees.
Vice-Chancellor Prof M Muniraju emphasized the gravity of the situation, stating that the unpaid fees have created significant financial challenges for the university, which requires funds for its daily operations and academic functions.
University's Strict Ultimatum to Colleges
In response to the mounting debt, VSK University has taken a firm stance. It has issued formal notices to all defaulting affiliated colleges, cautioning them of serious consequences if the outstanding amounts are not settled promptly.
The university has warned that colleges failing to clear the dues will be denied permission to conduct student admissions and examinations. This step underscores the critical nature of the financial crisis and the administration's resolve to secure its revenue streams. The move aims to compel colleges to actively pursue fee collection from current and former students to settle their obligations to the university.
The situation highlights a critical flaw in the coordination between direct benefit transfers for scholarships and institutional fee collection, creating a ripple effect that now threatens the academic workflow of numerous colleges in the region.