Telangana to release Rs 600 Cr pending fee dues to private professional colleges; FATHI calls off strike

The managements of private colleges agreed to call off their five-day-old indefinite strike following assurances from the government on phased release of funds.

By Newsmeter Network
Published on : 8 Nov 2025 10:05 AM IST

Telangana to release Rs 600 Cr pending fee dues to private professional colleges; FATHI calls off strike

Hyderabad: Telangana private professional colleges called off the strike after the state government agreed to release Rs 600 crore pending dues.

The managements of private colleges agreed to call off their five-day-old indefinite strike following assurances from the government on phased release of funds.

FATHI calls off strike after government assurance

The Federation of Associations of Telangana Higher Institutions (FATHI), representing around 2,000 private professional colleges, announced withdrawal of its strike after discussions with Deputy Chief Minister and Finance Minister Mallu Bhatti Vikramarka.

The Deputy Chief Minister assured the representatives that the government would immediately release Rs 600 crore towards fee reimbursement dues. It includes an additional Rs 300 crore.

Earlier in September, the government had released Rs 600 crore out of the Rs 1,500 crore sought by the colleges.

The colleges, including engineering, pharmacy, MBA, MCA, B.Ed, and nursing institutions, had remained shut since Monday, disrupting academic schedules and inconveniencing thousands of students.

Chief Minister’s firm stand: ‘No blackmail will be tolerated

Meanwhile, Chief Minister A. Revanth Reddy took a strong stance against the strike, warning that the government would not succumb to pressure tactics.

“We will release the dues in phases. But we will not tolerate students being inconvenienced. This is not a new problem; it existed long before my government took office,” he told reporters at a press conference.

The Chief Minister accused some college managements of collecting hefty donations and fees in violation of norms while simultaneously demanding government reimbursements.

“Are you blackmailing the government? What talks can we have with those who have shut down colleges? Education is a service, not a business,” Revanth asserted.

He further alleged that certain institutions were politically influenced, remarking, “You are not so ignorant as to not know which political parties you are siding with.”

Colleges cite Rs 10,000 Cr in pending dues

According to FATHI, the total arrears under the fee reimbursement scheme amount to Rs 10,000 crore. The federation had demanded the immediate release of Rs 5,000 crore and the balance Rs 5,000 crore in monthly instalments of Rs 500 crore each over ten months.

The colleges had warned that their agitation would continue until a substantial portion of the dues was cleared. The government’s assurance of immediate and phased payments, however, led to the withdrawal of the strike.

Committee formed to restructure fee reimbursement

In a move to make the scheme more sustainable, the state government has constituted a committee comprising officials and representatives of FATHI to explore ways of mobilising finances through a Trust Bank model.

While FATHI welcomed the decision, it urged the government to shorten the panel’s reporting deadline from three months to one month, to ensure faster implementation.

Revenue constraints acknowledged

Defending the government’s phased approach, Chief Minister Revanth Reddy explained that Telangana’s monthly revenue stands at Rs 18,000 crore, of which a significant portion goes towards salaries, loan interests, and mandatory expenditure.

“After all these payments, only Rs 5,000 crore remains. Tell me how we can run the state if we release everything at once,” he questioned, seeking cooperation from the educational institutions.

High Court direction on faculty meeting

Earlier, the Federation approached the Telangana High Court after the police denied permission to hold a faculty meeting at LB Stadium in Hyderabad on November 8, citing the Model Code of Conduct in force for the Jubilee Hills by-election.

The court directed the police to decide within a week after the Federation proposed an alternate venue for the meeting.

Normalcy expected to return

With the strike now withdrawn and the government agreeing to phased payments, academic activities across more than 2,000 professional colleges are expected to resume on Saturday.

The breakthrough marks a major step in resolving the long-standing fee reimbursement issue that has burdened successive governments in Telangana.

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