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Mangaluru: The has admitted to misusing funds released under the Central government’s Rashtriya Uchchatar Shiksha Abhiyan (RUSA-1) scheme, meant for the construction of boys’ and girls’ hostels. In a written reply to the Karnataka State Higher Education Council (KSHEC), the university acknowledged that the utilisation certificate submitted earlier to the government was false. According to official records, ₹7 crore was sanctioned for the construction of hostels — ₹3.5 crore each for boys and girls — as part of the university’s institutional development plan. The funds were part of ₹20 crore released to the university under the RUSA-1 programme between 2013 and 2017. Inspection reveals no construction on campus The misuse came to light during an inspection by an expert committee formed by the KSHEC to verify the utilisation of RUSA funds. During the visit, the committee members were reportedly shocked to find that no hostel buildings had been constructed on the campus, contrary to the claims made in the official utilisation certificate. Despite repeated requests for supporting documents, university officials allegedly tried to mislead the inspection team by stating that the funds had been diverted for the construction of an international hostel instead. However, no such structure existed on campus either. In its report, the committee highlighted that the utilisation certificate submitted to the Higher Education Department falsely claimed that two hostels — one for boys and one for girls — had been completed. Show cause notice issued after SPD meeting The findings were presented at a meeting of the State Project Director (SPD), chaired by the Principal Secretary of the Higher Education Department. Taking serious note of the issue, the department issued a show cause notice to the university authorities. The Karnataka State Higher Education Council also recommended that the misused funds be recovered from the university and penalties be imposed on the officials responsible. “Funds released under RUSA must be used strictly for the sanctioned purpose. Any deviation is a clear violation of the scheme’s guidelines,” said an official familiar with the matter. Centre and state share responsibility Under the RUSA scheme, 60 per cent of the funds are contributed by the Central government and 40 per cent by the state government. The RUSA-1 phase, implemented between 2013 and 2017, aimed to strengthen higher education infrastructure across the country. Institutions receiving funds were required to submit utilisation certificates soon after completing the approved projects. However, in the case of Mangalore University, officials falsely reported progress that never occurred. Accountability and next steps The Higher Education Department is now examining the role of senior university officials involved in submitting the misleading report. Recovery proceedings are expected to begin once the inquiry identifies the individuals responsible. Education experts have called for greater transparency in fund utilisation and stronger monitoring mechanisms to prevent misuse in state universities. The controversy has raised serious concerns over accountability in public-funded higher education projects. The Higher Education Department has reiterated that strict action will be taken to ensure public funds are not misappropriated in the future.
