Hyderabad, October 30, 2025: The Telangana Congress government has ordered a vigilance probe into several private professional colleges across the state, following escalating tensions over the non-payment of fee reimbursement dues. The Federation of Associations of Telangana Higher Institutions (FATHI), representing private colleges including engineering, pharmacy, and B.Ed institutions, has demanded the immediate release of Rs. 900 crore pending fees by November 1. They have threatened to shut down their institutions from November 3 if the government fails to comply.
The probe directive came through a recent memo from the SC Development Department based on information alleging irregularities and misuse of funds released under the Tuition Fee Reimbursement (RTF) and Maintenance Fee (MTF) schemes by some private educational institutions. The vigilance department has been tasked with inspecting whether the colleges are genuinely operational as approved, and whether the students availing scholarships meet eligibility criteria and proper admission processes.
Besides verifying the authenticity of college operations, the probe will scrutinize the adequacy of teaching and non-teaching staff, classrooms, furniture, laboratories, and other essential infrastructure as per government norms. Attendance records and academic performance of students receiving reimbursement will also be examined. The vigilance team has been asked to conduct inspections immediately and submit a detailed report with specific recommendations.
The crisis erupted as colleges claim the Telangana government promised to release Rs. 1,200 crore in fee dues before the Dasara and Diwali festivals but has so far disbursed only Rs. 300 crore. FATHI has called for a clear, time-bound roadmap to settle the enormous Rs. 9,000 crore pending dues for the academic years up to 2024-25, with assurances for full payment by June 2026. They also demand that fee dues for the current academic year be paid promptly.
In a show of unity and protest, FATHI has warned of a statewide bandh by private higher education institutions starting November 3 if dues remain unpaid. They further plan massive protests and a public meeting in Hyderabad expected to involve nearly 10 lakh students, teachers, and staff. The managements of private colleges have explicitly stated they will not allow government officials or police to enter their institutions during this agitation, citing fears of intimidation tactics triggered only upon demands for pending dues.
This standoff highlights the acute financial stress faced by nearly 2,500 private colleges educating around 15 lakh students in Telangana’s professional courses. The government’s vigilance probe signals its intent to address allegations of fund misuse while navigating escalating unrest in the higher education sector. The coming days are crucial as stakeholders await resolution on payment of dues and clarity on the reform roadmap.
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