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The Supreme Court observed that, while adjudging the validity of an executive decision in economic matters by exercising power of judicial review, it is not errors, but only palpably arbitrary decisions alone can be interfered with by the High Courts.
In the instant case, the fee structure fixed by Telangana Admission and Fee Regulatory Committee [TAFRC], which was later approved by the State Government, was set aside by the High Court which itself fixed a fee structure was in question. It was noted that,the High Court had itself held that the procedural fairness and bonafides of the TAFRC could not be doubted. The bench also said that, to prune the jurisdiction of the TAFRC by restraining it from examining and scrutinizing the statement of accounts to decide the justification of the proposed fee structure, and confining its role to mere perusal and comments, will amount to taking away its regulatory jurisdiction completely. The principles of judicial review were further reiterated.It was also added that,validity of complex executive decisions in economic cannot be tested on any rigid principles or the application of any straitjacket formula.
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