Tamil Nadu has filed a petition in the Supreme Court seeking the release of Rs 2291 crores under the Samagra Shiksha Scheme. The state argues the Union Government’s move to link the funds with NEP 2020 implementation is unconstitutional.

Tamil Nadu Sues Union Government Over Withheld Rs 2291 Crores Linked to NEP 2020

In a significant federal challenge, Tamil Nadu has filed a constitutional petition under Article 131 of the Constitution in the Supreme Court of India. The state seeks to recover over Rs 2291 crores allegedly withheld by the Union Government under the Samagra Shiksha Scheme (SSS), citing non-implementation of the National Education Policy 2020 and the PM SHRI Schools initiative.

State Seeks Immediate Release of Funds and Legal Declaration

Tamil Nadu alleges that tying SSS funding to NEP 2020 and PM SHRI School implementation is “unconstitutional, illegal, unreasonable, and arbitrary.” It demands not only the withheld Rs 2291 crores but also interest and a declaration affirming that such conditionality violates the principles of cooperative federalism.

Project Approval and Denied Disbursement

According to the plaint, the Project Approval Board sanctioned Rs 3585.99 crores on February 16, 2024, for the financial year 2024–2025. Under the 60:40 sharing ratio, Rs 2151.59 crores were due from the Centre. Despite formal approval, the Union has not released any installments, allegedly using the non-adoption of NEP 2020 as justification.

NEP 2020 and PM SHRI: Key Points of Contention

The Union Government is accused of conditioning SSS disbursements on Tamil Nadu’s signing of a Memorandum of Understanding (MoU) to implement NEP 2020 and designate exemplary PM SHRI Schools. However, Tamil Nadu opposes the NEP’s three-language policy, citing its constitutional and cultural implications.

The Centre identified approximately 1100 PM SHRI schools in Tamil Nadu and requested compliance via letters dated February 23 and March 7, 2024. The state responded on July 6, 2024, requesting amendments to the MoU, particularly clauses related to full-scale NEP implementation.

No Statutory Requirement to Adopt NEP 2020

Tamil Nadu contends that NEP 2020 is a policy document without statutory backing, and thus its implementation cannot be a prerequisite for funding under SSS, a legally mandated initiative per the Right to Education Act, 2009. The state argues that linking unrelated schemes undermines its autonomy and the constitutional structure of federalism.

Wider Impact Across Other States

Tamil Nadu claims similar fund denials were imposed on Kerala and West Bengal. These delays have reportedly disrupted salary payments, teacher training, textbook distribution, and infrastructure development in government schools.

Legal Precedents Support State Autonomy

The petition references the 2022 judgment in Union of India vs. Mohit Minerals Private Limited, reaffirming states’ rights to resist coercive federal practices. It also points to a recent Supreme Court ruling that clarified no state can be legally compelled to implement NEP 2020.

Legal Representation

The case was filed by Advocate Sabarish Subramanian and presented by Senior Advocate P. Wilson, underscoring the constitutional gravity and national implications of the case.

Conclusion: A Defining Legal Battle for Federalism and Education Policy

Tamil Nadu’s legal action against the Union Government highlights a pivotal constitutional and political debate over the boundaries of federalism, statutory funding obligations, and the discretionary nature of national policy implementation like NEP 2020. By invoking Article 131, the state is not only fighting for the release of Rs 2291 crores under the Samagra Shiksha Scheme, but also asserting its constitutional autonomy against perceived overreach by the Centre.

As this case unfolds in the Supreme Court, it could set a significant precedent regarding the limits of central influence over state-level education policies and funding mechanisms. The outcome will be closely watched by states like Kerala and West Bengal, who face similar challenges, and by education stakeholders across India.