In Brief
Maximus ARC Limited, a secured creditor, appealed against an interim court order that had restrained the Sri Devi Karumariamman Educational Trust from admitting new students to its colleges. The Supreme Court allowed the appeal and stayed the restraint order, noting that while creditors' rights are important, the absolute prohibition on student admissions unfairly jeopardised the educational future of prospective students. The Court held that the direction for university disaffiliation should await the final outcome of the underlying writ petition rather than proceed on interim orders, thereby balancing debt recovery interests against public interest in educational continuity."
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