Mumbai, August 8, 2026: The Bombay High Court has pulled up Maharashtra over delays in reimbursing unaided schools for educating children under the Right to Education (RTE) Act, noting that 133 petitions seeking payment have been filed in just over seven months this year.
Calling the recurring litigation an “administrative difficulty”, a bench of Justices Riyaz Chagla and Farhan Dubash said the State must overhaul its reimbursement mechanism and fix clear timelines for processing and releasing payments.
Court Hearing Contempt Petition
The court was hearing a contempt petition filed by schools alleging non-compliance with its March 26 order directing payment of their pending RTE reimbursement dues. The schools had claimed Rs 3.65 crore.
The State assured the court that it would comply with the earlier order and release the admissible amount within four weeks and, in any event, by September 4. The court accepted the statement as an undertaking and kept the matter for September 7 for reporting compliance.
While the contempt petition was substantially resolved, the bench said the case highlighted a recurring problem concerning reimbursement under Section 12(2) of the RTE Act.
133 Petitions Filed This Year
The court noted that between January 1 and August 6, 133 writ petitions had been filed seeking directions to release RTE reimbursement. A substantial number had already been disposed of by directing authorities to process and release eligible amounts within specified timelines.
“This recurring litigation not only imposes avoidable hardship upon educational institutions but also results in unnecessary consumption of judicial time in matters which ought ordinarily to be resolved administratively,” the bench said in its August 7 order.
Under Section 12(1)(c) of the RTE Act, eligible unaided schools must reserve at least 25 per cent of Class I seats for children from weaker sections and disadvantaged groups and provide them free education. Section 12(2) requires the State to reimburse eligible schools for the expenditure incurred, subject to statutory conditions.
Timelines And Monitoring Suggested
The court observed that while Maharashtra has prescribed a procedure for submitting and verifying claims, there is no deadline for processing them at subsequent stages. “Administrative verification cannot become a justification for indefinite inaction,” the bench said.
It further noted that schools continue to incur expenses while reimbursement claims remain pending for years, placing a financial burden on institutions.
The bench asked the State to review the existing mechanism, including fixing timelines at every stage, creating a monitoring system, and examining the adequacy of the reimbursement amount. It pointed out that the reimbursement has remained at Rs 17,670 per child since 2016-17 despite rising educational costs.
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The court also suggested constituting a committee of senior Finance and School Education Department officials to examine the issue and consult unaided school associations and other stakeholders. It expressed hope that the exercise would be completed preferably by the end of 2026.
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