Gitam University Told To Pay Rs40,000 Compensation For Not Returning Hostel Deposits

Hyderabad: A district consumer forum has asked Gitam University to pay Rs40,000 compensation for not returning the hostel deposit to two student. The forum also ordered to refund Rs.80,000 security deposit of the students who vacated the hostel.

KS Arvind Krishna admitted his two children Sanjana and Sushanth in Gitam University in Hyderabad for a four-year course. They stayed in the college hostel for three years and vacated the hostel due to some financial constrains and they completed the remaining course as day scholars. The college took a security deposit of Rs80,000 for staying in hostel at the time of admission.

The college did not return the deposit to the students even after the completion of course. "At the time of admission, I paid a sum of Rs40,000 as security deposit for each child. Apart from that all fees and other charges were paid regularly. However, at the time of leaving the hostel, the caution deposit was not returned. Several mails and letters addressed to the varsity went unanswered," said Krishna before the forum. A total amount of Rs18,000 was refunded and the remaining Rs62,000 was retained.

"As per our rules and regulations, only Rs10,000 is refundable to students at the time of vacating the hostel. That too, after deducting damages, mess dues etc. The complainant has approached the forum with an intention to harass us," said the varsity.

However, the court was not convinced by the varsity argument and said, “We certainly conclude that the opposite party has been extremely deficient and negligent. They have benefited greatly by collecting the caution deposit. It must have fetched a handsome amount of interest to the institute and having enjoyed it for 4 years, the least they can do is so return it to the student concerned. De ductions from this are to be made only if the student is responsible for any damage."

Gitam's, a private university has colleges in both the states which collects huge amount of deposits from the students.