In Brief
Subharti Medical College applied to increase its MBBS intake from 100 to 150 seats. The MCI inspection report noted bed occupancy was only 55.27%, but the Hearing Committee made no conclusive findings on this deficiency, stating physical verification was needed. Despite this inconclusive position, the Competent Authority debarred the college for two years and authorized encashment of its ₹2 crore bank guarantee. The Supreme Court held that such a debarment cannot rest on inconclusive findings. The Court directed a fresh MCI inspection, offering the college opportunity to cure deficiencies, with final decision only after verification. The bank guarantee was to remain intact pending Competent Authority's reasoned final order.
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