JUDGMENT : N. NAGARESH, J. 1. These three writ petitions are filed by the Malabar Medical College Hospital and Research Centre. In W.P. (C) No. 43680 of 2023, the petitioner seeks to direct the 2nd respondent-Kerala University of Health Sciences to enable the petitioner to prefer applications for start of new courses/enhancement in number of seats in various courses mentioned in Ext.P7 without EC/NOC from the 1st respondent-State of Kerala. The petitioner also seeks to consider their Ext.P7 application for Essentialty Certificate for starting/enhancement of seats for Medical Postgraduate Courses and to consider Ext.P8 application to expedite the issuance of Essentiality Certificate. 2. In W.P. (C) No. 34739 of 2024, the petitioner seeks to quash Exts.P4 and P5 to the extent that the petitioner's applications for MD General Medicine, MS General Surgery, MS Orthopedics, MD Dermatology and MS ENT, were rejected. 3. In W.P. (C) No. 41570 of 2024, the petitioner seeks to declare that the demand of Rs. 3,27,60,000/- for starting new Self Financing Medical College/enhancement of seats/starting of MBBS/PG Courses in existing Self Financing Medical Colleges in the State with annual revaluation, is ultravires the Constitution. The petitioner seeks to quash Exts.P11 and P12. 4. The petitioner-College provides MBBS Courses with 200 seats and MD/MS Courses in various subjects with 54 seats. Nine Postgraduate Courses were started in the year 2020-2021 and the first batch of students have passed the examination with hundred percent results. Therefore, the petitioner is eligible and entitled to start new courses and for increase in the number of seats in the existing Post Graduate Courses, as per the norms of the Kerala University of Health Sciences, contends the petitioner. 5. The petitioner submitted application dated 05.05.2023 before the Post Graduate Medical Education Board for inspection of the final examination of the courses conducted by the petitioner, for grant of recognition. The Board inspected the examinations, but has not granted recognition to the nine Post Graduate courses run by the petitioner. 6. The 2nd respondent-University issued notification dated 17.10.2023 inviting applications for start of new courses and increase in number of seats in the existing courses. The petitioner preferred application dated 09.11.2023 before the 1st respondent-State of Kerala to grant Essentiality Certificate (EC) for start of/increase of seats in nine Post Graduate Courses for the academic year 20252026. 6. The 2nd respondent-University issued notification dated 17.10.2023 inviting applications for start of new courses and increase in number of seats in the existing courses. The petitioner preferred application dated 09.11.2023 before the 1st respondent-State of Kerala to grant Essentiality Certificate (EC) for start of/increase of seats in nine Post Graduate Courses for the academic year 20252026. Though the 1st respondent issued EC, it was not in the prescribed format as required by the University. Therefore, the petitioner lost the opportunity in the previous academic year. The petitioner, therefore, prayed that the 2nd respondent-University be directed to enable the petitioner to prefer applications for start of new courses/enhancement of number of seats in various courses without EC/NOC from the 1st respondent. 7. When W.P. (C) No. 43680 of 2023 was pending, the University issued communications dated 08.04.2024 and 22.07.2024 declining the application for enhancement of seats on the ground that the petitioner has not produced valid EC and that the first batch of Post Graduate students have not passed out. Hence, W.P. (C) No. 34739 of 2024 was filed challenging Ext.P4 communication dated 08.04.2024 and Ext.P5 communication dated 22.07.2024. 8. During the pendency of W.P. (C) No. 43680 of 2023, the Government issued a letter dated 01.11.2024 to the petitioner requiring to provide Bank Guarantee from a Scheduled Bank for an amount of Rs. 3,27,60,000/- for issuing Essentiality Certificate for starting new Self Financing Medical Colleges/enhancement of seats/starting of MBBS/Post Graduate Courses in the existing Self Financing Medical Colleges in the State with annual re-validation of the same. 9. The petitioner is challenging the said letter dated 01.11.2024, which is marked as Ext.P12 in W.P. (C) No. 41570 of 2024. The petitioner states that the demand of a fixed sum of Bank Guarantee for various types of applications before the 1st respondent leading to different obligations of the 1st respondent, is without any application of mind. The imposition of onerous conditions even for enhancement of seats or start of new courses in the existing Colleges would lead to financial unviability of running Self Financing Medical Colleges in the State, infringing the right of the petitioner under Article 19(1)(g) of the Constitution of India. 10. The 1st respondent-State of Kerala resisted the writ petitions. The 1st respondent stated that as per communication dated 09.11.2023, the petitioner submitted application for issuing EC for starting/enhancement of Post Graduate seats in nine disciplines. 10. The 1st respondent-State of Kerala resisted the writ petitions. The 1st respondent stated that as per communication dated 09.11.2023, the petitioner submitted application for issuing EC for starting/enhancement of Post Graduate seats in nine disciplines. The Government had already issued Essentiality Certificate, for the petitioner in the year 2020. As per NMC norms, an Essentiality Certificate shall be valid only for three years. The validity of Essentiality Certificate issued to the petitioner is already over. Hence, the DME has been directed to conduct a fresh inspection of the College to ensure that the required infrastructure and manpower are available in the College as per the norms of the NMC and to submit a report. 11. The DME furnished inspection report with the recommendation for starting/enhancement of seats in 8 Post Graduate Courses in the College, except MD Psychiatry, as the number of Associate Professors in the Department is not meeting the requirement as per the norms of the NMC. 12. The 1st respondent stated that in case the Colleges failed to create infrastructure for the Medical Colleges as per NMC norms and admissions are stopped by the NMC, the State Government is obliged to take over the responsibility of the students already admitted in the College with the permission of the NMC. The State will be liable to pay stipend to the students in the event the institutions get closed down at a later point of time. 13. Therefore, the Government decided to insist a minimum Bank Guarantee of Rs. 3,27,60,000/- amount necessary for providing stipend to 100 students, for issuing Essentiality Certificate. The Government has decided to insist for the above Bank Guarantee for issuing Essentiality Certificate for starting/enhancement of Postgraduate seats, in the existing Medical Colleges also. As per Government Order dated 30.10.2024, it was ordered that the Self Financing Medical Colleges in the State shall submit a minimum Bank Guarantee of Rs. 3,27,60,000/- to the Government from Scheduled Bank for issuing Essentiality Certificate, for starting new Self Financing Medical College/enhancement of seats/starting of MBBS Post Graduate Courses. The condition for Bank guarantee was insisted in public interest and especially to protect the interest of the students. 14. I have heard the learned counsel for the petitioner, the learned Government Pleader representing the State of Kerala, the learned Standing Counsel appearing for the University and the learned Central Government Counsel representing the Union of India. 15. The condition for Bank guarantee was insisted in public interest and especially to protect the interest of the students. 14. I have heard the learned counsel for the petitioner, the learned Government Pleader representing the State of Kerala, the learned Standing Counsel appearing for the University and the learned Central Government Counsel representing the Union of India. 15. In W.P. (C) No. 43680 of 2023, the prayer of the petitioner is to permit the petitioner to prefer applications for starting new PG Medical Courses/enhancement of seats in the existing PG Medical Courses, without EC/NOC. In W.P. (C) No. 34739 of 2023, the petitioner challenges Exts.P4 and P5 orders rejecting the applications of the petitioner for enhancement of seats. In W.P. (C) No. 41570 of 2024, the petitioner challenges the demand made by the State for Bank Guarantee for Rs. 3,27,60,000/- as a condition for enhancing seats/starting of MBBS/PG Courses in the existing Self Financing Medical Colleges. 16. As far as the prayer of the petitioner for permitting the College to prefer applications for starting new PG Medical Courses/enhancement of seats in existing PG Medical Courses without EC/NOC, the prayer cannot be granted since EC/NOC from State Government is condition for submitting applications for starting new PG Medical Courses or to apply for enhancement of seats. The argument of the petitioner is that in earlier years, though EC was issued by the State Government, the Certificate was not in the proper format as required by the 2nd respondent-University and hence the petitioner could not start new courses or get enhancement of seats. 17. Ext.P9 Essentiality Certificate dated 29.01.2020 (in W.P. (C) No. 43680 of 2023) issued by the Government of Kerala would indicate that the Government has come to a conclusion that it is desirable to open the 10 PG Medical Courses listed therein, in the public interest and that opening of the Courses in the petitioner-College is feasible. On such conclusions, the Government has decided to issue EC to the petitioner for the Courses and to the extent indicated in Ext.P9. 18. When the Government has so decided, the EC issued should be in the form in which University requires the EC. On such conclusions, the Government has decided to issue EC to the petitioner for the Courses and to the extent indicated in Ext.P9. 18. When the Government has so decided, the EC issued should be in the form in which University requires the EC. The Government and the University cannot be permitted to take divergent views in the matter of form in which an EC is to be issued, as it will adversely affect the interests of not only the petitioner-College alone, but of other Medical Colleges also. The Government of Kerala is therefore compellable to issue EC in the form as required by the University, if an applicant College satisfies the statutory requirements for EC. 19. But, in the case of the petitioner, denial of permission to start new Courses or for enhancement of seats is now not based on the form of EC alone. By Ext.P4 communication dated 08.04.2024 (in W.P. (C) No. 34739 of 2024), the University has declined Consent of Affiliation in the absence of valid EC and also for the reason that the first batch of the existing Courses has not passed out. By Ext.P5 communication dated 22.07.2024 (in W.P. (C) No. 34739 of 2024) of the University, application for enhancement of seats is also rejected for the same reason. 20. The petitioner would contend that the first Batch students of existing PG Medical Courses have now passed out, satisfying the norms of the University and now nothing prevents the Government from issuing an EC and the University from issuing Consent of Affiliation. 21. In the meanwhile, the Government of Kerala has issued Ext.P11 Government Order dated 30.10.2024 and Ext.P12 letter dated 01.11.2024 (in W.P. (C) No. 41570 of 2024) requiring that the Self Financing Medical Colleges in the State shall submit a minimum Bank Guarantee of Rs. 3,27,60,000/- (Rupees Three Crore Twenty Seven Lakh Sixty Thousand only) to Government from a Scheduled Commercial Bank for issuing Essentiality Certificate for starting new Self Financing Medical Colleges/enhancement of seats/starting of MBBS/PG Courses in existing Self Financing Medical Colleges in the State with annual revalidation of the same. 22. The petitioner challenges Exts.P11 and P12 on two counts. Firstly, it is urged that Essentiality Certificate is a requirement by the National Medical Commission. Only the Commission has the right to require and demand Bank Guarantee. 22. The petitioner challenges Exts.P11 and P12 on two counts. Firstly, it is urged that Essentiality Certificate is a requirement by the National Medical Commission. Only the Commission has the right to require and demand Bank Guarantee. It is an occupied field and the State Government cannot make any legislation or issue any executive instructions encroaching upon the powers conferred on the National Medical Commission. 23. Secondly, it is argued that the amount of Bank Guarantee of Rs. 3,27,60,000/- is arrived at taking note of the stipend payable to 100 MBBS students. Therefore, Bank Guarantee for the same amount cannot be demanded when application is made for Essentiality Certificate to enhance PG Medical seats, as the enhancement will be only by a couple of seats. 24. The legislative scheme for permission to obtain Essentiality Certificate from the State Government in order to establish a Medical College, was considered by the Hon'ble Apex Court in the context of Medical Council Act, 1956 in Chintpurni Medical College and Hospital and another v. State of Punjab and others, (2018) 15 SCC 1 . The Apex Court held that the State Government certifies the justification for establishing a proposed Medical College as part of the legislative scheme under the Medical Council Act, 1956. The only purpose of the Essentiality Certificate is to enable the Central Government acting under Section 10A (of the Indian Medical Council Act, 1956) to take an informed decision for permitting the opening or establishment of a new Medical College. 25. The Apex Court held that the Essentiality Certificate certifies: (1) that it is essential having regard to specified factors that the opening of the proposed College is essential in the State, in public interest. (2) that the applicant has the necessary land and the building for running it. The Hon'ble Apex Court held that it would be impermissible to allow any authority including a State Government which merely issues an Essentially Certificate, to exercise any power which could have the effect of terminating the existence of a Medical College permitted to be established by the State Government. A person who establishes a Medical College upon an assurance of a State Government that such establishment is justified cannot be told at a later stage that there was no justification for allowing him to do so. 26. A person who establishes a Medical College upon an assurance of a State Government that such establishment is justified cannot be told at a later stage that there was no justification for allowing him to do so. 26. In the judgment in Thirumuruga Kirupananda Variyarthavathiru Sundara Swamigalme v. State of Tamil Nadu and others, (1996) 3 SCC 15 , the Apex Court considered the scheme that has been prescribed under the regulations relating to establishment of new Medical Colleges. One of the conditions for the qualifying criteria laid down is that Essentiality Certificate regarding desirability and feasibility of having the proposed College at the proposed location has been obtained from the State Government. The said condition is about obtaining an Essentiality Certificate from the State Government regarding desirability and feasibility of having the proposed College at the proposal. Location cannot be equated with obtaining prior permission of the State Government for establishing a new Medical College as required under the proviso to Section 5(5) of the Medical University Act. For the purpose of granting the Essentiality Certificate as required under the qualifying criteria prescribed under the Scheme, the State Government is only required to consider the desirability and feasibility of having the proposed Medical College at the proposed location. The Essentiality Certificate cannot be withheld by the State Government on any policy consideration, because the policy in the matter of establishment of a new Medical College now rests with the Central Government alone. 27. The argument of the petitioner is that in view of the limited role the State Government plays in the matter of establishment of Medical Colleges and in view of the fact that the National Medical Commission is obtaining requisite Bank Guarantee from Medical Colleges, the State Government cannot demand separate Bank Guarantee from the Medical Colleges. The petitioner relied on the interim order dated 08.12.2023, in I.A. No. 2 of 2023 in W.P. (C) No. 24320 of 2023, wherein a learned Single Judge of this Court held that when the responsibility of an institution has been undertaken to be taken over, the State Government cannot wriggle out of its obligation to pay the stipend to students, and if such payment is made by the State Government, it can necessarily be recovered from the Bank Guarantee furnished to the National Medical Commission, as well as from the assets of the Medical College. 28. 28. Regulation 18(b) of the Establishment of Medical Institutions, Assessment and Rating Regulations, 2023 made by the National Medical Commission provides that application for increase in the seats shall be accompanied with such prescribed application fees and Bank guarantee as determined by the Medical Assessment and Rating Board from time to time by way of notification. The petitioner submits that when the National Medical Commission statutorily demands and obtains Bank guarantee from the Medical Colleges, the State Government cannot demand a separate Bank Guarantee. 29. As per the norms of National Medical Commission, the Essentiality Certificate is a document provided by the State Government. In the Essentiality Certificates issued by the State Government, it has to be undertaken by the State that in case the applicant fails to create infrastructure for the Medical College, as per NMC norms and fresh admissions are stopped by the NMC, the State Government shall take over the responsibility of the students already admitted in the College with the permission of the NMC. In view of the said undertaking, in the event the institutions get closed down at a later point of time, the State Government is liable to pay stipend to the students. 30. The Government has considered the cascading impact of issuance of Essentiality Certificate and decided to insist a minimum Bank guarantee of Rs. 3,27,60,000/- (amount necessary for providing stipend to 100 students) for issuing Essentiality Certificate. It is for the said reason that Ext.P11 Government Order dated 30.10.2024 has been issued. What is being demanded by the State Government is not any fees or any amount in consideration of any service rendered by the Government. What is demanded is only a Bank Guarantee. Considering the factual context in which such Bank Guarantee is insisted, I do not find any illegality in the same. The fact that the National Medical Commission is insisting for a statutory Bank Guarantee will not disentitle the State Government from insisting for a Bank Guarantee before issuance of Essentiality Certificate. 31. The further contention of the petitioner is that the amount of Bank Guarantee as Rs. 3,27,60,000/- has been fixed to secure payment of stipend to 100 MBBS students. As the Essentiality Certificate is presently sought for by the petitioner only for enhancement of a few seats in Medical PG Courses, insisting for such huge sum as Bank Guarantee, is unsustainable. The further contention of the petitioner is that the amount of Bank Guarantee as Rs. 3,27,60,000/- has been fixed to secure payment of stipend to 100 MBBS students. As the Essentiality Certificate is presently sought for by the petitioner only for enhancement of a few seats in Medical PG Courses, insisting for such huge sum as Bank Guarantee, is unsustainable. The Government of Kerala would submit that the Government is not insisting separate Bank Guarantee for each course. Each Self Financing Medical College requesting the State Government to issue EC for starting new Self Financing Medical Colleges/enhancement of seats/starting of MBBS/PG Courses has to submit one time Bank Guarantee, as per the Government Order. As the Bank Guarantee is a one time demand and is intended to secure the stipend amount payable to all the students studying in the College, I find no illegality in demanding the fixed one time Bank Guarantee for enhancement of seats in PG Medical Courses. 32. For all the above reasons, I find that the petitioner is not entitled to all or any of the reliefs sought for in these writ petitions. The writ petitions are therefore dismissed.