Dr Sanjay Deshmukh makes premature withdrawal of FD's worth Rs 111 crores in Mumbai University

Mumbai University, which presents an surplus budget year after year, seems to be in an acute financial crisis as per the actions of premature withdrawal of FD's to a tune of Rs 111 crores in the past 22 months portray, which has been revealed vide an response to an RTI query filed by RTI Activist Anil Galgali. The empty coffers contradicts the surplus budget, which suggests that the figures in the budget are highly inflated.

RTI Activist Anil Galgali had filed an query with the Mumbai University, seeking details of its FD's in all banks and also details of any FD being prematurely withdrawn, if any. The Mumbai University's Finance and Accounts department provided information for the period of 1st July 2015 to 31st May 2017 stating that 100 FD's deposited with various banks were encashed prematurely and the funds generated have been used by the University. Right from 20th November 2015 to 28th April 2017 almost Rs 110 crores 87 Lakhs 90 thousand 661 was encashed prematurely and the amount generated an interest of Rs 3 crores 55 Lakhs 6 thousand 656 and paise 49 only, which could have been 4 times had the FD's been allowed to mature as per it's maturity dates.

A value of amount of Rs 1 crore was encashed 11 times. The highest amount encashed through prematurely withdrawing FD with the Bank of Baroda, was Rs 6 crore 64 Lakhs 75 thousand, which earned an interest of Rs 14 Lakhs 73 Thousand 211. The 100 FD's which were prematurely withdrawn was deposited for a term of 1 year each. On 29 September 2016 17 FD's were prematurely encashed. On 14th September 2016, 26 FD's were prematurely encashed. On 7th September 2016, 21 FD's were prematurely encashed. And 30th September 2016, 6 FD's were encashed. These encashment portray's that in alone September 2016 month 71 FD's were prematurely encashed.

As on 10th March 2017 Mumbai University had just Rs 15 crore in its General Fund which has got exhausted as on date now. Though the Mumbai University has a deposit of Rs 518 crores accured in its various Funds which cannot be touched and withdrawn, it's Rs 111 crore FD's came under the purview of The Maharashtra Universities Account code number 1:72 which empowers the Vice Chancellor Dr Sanjay Deshmukh to take decision regarding its deposit and investment.

RTI Activist Anil Galgali has expressed anger in a letter addressed to the Governor, who also officiates as the Chancellor of the University and demanded the sacking of the Vice Chancellor Dr Sanjay Deshmukh. In the letter he has expressed that already Dr Sanjay Deshmukh has proved his inefficiency in not providing the results of the students on time year after year is now sweeping out the Funds saved in FD's to meet its expenses. The inflation of the figures in absence of proper planning the financial situation of the University is in tatters. The future of lakhs of students studying is at stake with the University whose financial situation is at crossroads. Galgali has further demanded that the actions of the officials of the University responsible for the financial mess should be investigated by a Retired Judge of the High court to bring them to book.