Supreme Court Strikes Down Moratorium on Pharmacy Colleges Imposed by Regulatory Authority Due to Lack of Legislative Backing. Executive Instructions Cannot Restrict Fundamental Rights Under Article 19(1)(g) of the Constitution.

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Case Note & Summary

The dispute arose from appeals filed by the Pharmacy Council of India (PCI) challenging judgments from the High Courts of Karnataka, Delhi, and Chhattisgarh, which had allowed writ petitions from various educational institutions against PCI's moratorium on new pharmacy colleges. The PCI had imposed a five-year moratorium starting from the academic year 2020-2021, citing concerns over the oversaturation of pharmacy colleges and potential unemployment for graduates. The institutions contended that the moratorium was arbitrary and violated their fundamental rights under Article 19(1)(g) of the Constitution. The PCI argued that it had the authority to regulate pharmacy education, including imposing a moratorium, based on its statutory powers under the Pharmacy Act, 1948. The court analyzed the nature of the resolutions issued by PCI and concluded that they were executive instructions rather than laws enacted by the legislature. The court emphasized that while the state could impose reasonable restrictions on fundamental rights, such restrictions must be enacted through proper legislative processes. The court ultimately upheld the decisions of the High Courts, striking down the moratorium as unconstitutional and reaffirming the right of institutions to establish educational facilities. The court noted the necessity for regulations to prevent the uncontrolled growth of pharmacy colleges but insisted that such measures must comply with legal standards. The final decision favored the educational institutions, allowing them to proceed with establishing new pharmacy colleges.

Headnote

A) Constitutional Law - Fundamental Right to Establish Educational Institutions - The right to establish educational institutions is a fundamental right under Article 19(1)(g) of the Constitution of India, and any restrictions must be enacted by law, not through executive instructions. The Supreme Court held that the resolutions imposing a moratorium were executive instructions and not sustainable in law, thus infringing on the fundamental rights of the institutions (Paras 28-55).

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Issue of Consideration

Whether the Pharmacy Council of India had the authority to impose a moratorium on the establishment of new pharmacy colleges through executive resolutions.

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Final Decision

The Supreme Court struck down the resolutions imposing a moratorium on new pharmacy colleges, ruling that they were executive instructions and not valid law. The court emphasized that restrictions on fundamental rights must be enacted by legislation, not through executive action.

Law Points

  • fundamental rights
  • regulation of education
  • executive instructions
  • moratorium
  • Pharmacy Act
  • 1948
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Case Details

2022 LawText (SC) (09) 319

Civil Appeal No. 6681 of 2022

2022-11-09

B.R. Gavai

Shri Maninder Singh, Shri Rakesh Dwivedi, Shri Vinay Navare, Shri Amit Pai, Shri Sanjay Sharawat, Shri Siddharth R. Gupta, Shri Shivam Singh

Pharmacy Council of India

Rajeev College of Pharmacy and Ors.

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Nature of Litigation

Challenge to the imposition of a moratorium on new pharmacy colleges.

Remedy Sought

Educational institutions sought to quash the moratorium and allow establishment of new colleges.

Filing Reason

Institutions claimed the moratorium violated their fundamental rights and was arbitrary.

Previous Decisions

High Courts of Karnataka, Delhi, and Chhattisgarh had previously ruled in favor of the institutions.

Issues

Whether the Pharmacy Council of India had the authority to impose a moratorium on the establishment of new pharmacy colleges. Whether the resolutions issued by the Pharmacy Council constituted valid law under the Pharmacy Act, 1948.

Submissions/Arguments

The Pharmacy Council argued it had the authority to regulate pharmacy education and impose a moratorium. The institutions contended that the moratorium was arbitrary and violated their fundamental rights.

Ratio Decidendi

The right to establish educational institutions is a fundamental right under Article 19(1)(g) of the Constitution, and any restrictions must be enacted by law, not through executive instructions.

Judgment Excerpts

The right to establish educational institutions is a fundamental right guaranteed under Article 19(1)(g) of the Constitution of India. The moratorium imposed by an executive instruction is not sustainable in law.

Procedural History

The Pharmacy Council of India filed appeals against judgments from the High Courts of Karnataka, Delhi, and Chhattisgarh, which had allowed writ petitions challenging the moratorium.

Acts & Sections

  • Pharmacy Act, 1948: Sections 3, 10, 12
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