Punjabi varsity fiscal crisis deepens, finance minister to chair meet today

University demands Rs 21 crore from the state finance department which has asked it to put its house in order after financial anomalies surfaced in its functioning

With the financial crisis of Punjabi University, Patiala, deepening every month as it struggles to meet its committed expenditures like payment of salaries and pensions, state finance minister Manpreet Singh Badal will chair a high-level meeting on the issue on Wednesday.

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The university officials led by vice-chancellor Prof BS Ghuman besides secretary-level officials of the higher education, and finance departments will be part of the meeting.

“The varsity has demanded Rs 21 crore from the state finance department as part of the monthly grant. But the department refused to sanction the grant after the Punjab accountant general found glaring financial anomalies in the varsity’s functioning,” said an official.

Last year, in an attempt to bail the varsity out of the financial crunch, the state government had increased its annual grant from Rs 88 crore to Rs 93.37 crore. Even in this year’s annual budget, the finance minister had announced 6% increase in the annual grant for the varsity.

“The meeting has been called to discuss the audit report related to financial anomalies besides preparing a roadmap to financially boost the university. Moreover, the discussion on providing immediate grant will be held,” an official said.

The department of higher education has directed the university to submit a detailed report on the findings of the audit report by July 31.

As per budgetary proposals for this fiscal, the varsity expects an income of ₹380 crore, while the expenditure is pegged at ₹676 crore, leaving a massive ₹296-crore deficit. The university also has an overdraft of ₹140 crore, which is expected to touch ₹150 crore by the end of the year.

Varsity registrar Prof Yograj said the agenda of the meeting could not be disclosed as only the V-C could comment on it.

Prof Ghuman could not be contacted.