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Supreme Court of India· 03 September 2026

Can a statutory regulator's power to call for a Performance Appraisal Report be incidental and ancillary to its duties without specific empowerment under the statute?

THE NATIONAL COUNCIL FOR TEACHERS v. ASSOCIATION OF NCTE APPROVED COLLEGES
2026 INSC 953
Coram: Justice Pamidighantam Sri Narasimha · Justice Alok Aradhe
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Answer

A regulatory measure can always be incidental and ancillary to the duties and functions of a regulator, even without a specific empowerment under the statute. The power of a statutory body such as the NCTE to call upon institutions within its regulatory jurisdiction to file a Performance Appraisal Report falls within this incidental power, particularly where the body itself is subject to a performance audit by the Comptroller and Auditor General of India.

Headnote

National Council for Teacher Education Act, 1993 — s.12(k) — s.19 — Right of Children to Free and Compulsory Education Act, 2009 — s.23 — Performance Appraisal Report — Executive Committee's regulatory power — Judicial review of statutory regulators — National Council for Teacher Education Act, 1993 — s.12(k) — Executive Committee's power to call for PAR — Held: Section 12(k) of the National Council for Teacher Education Act, 1993 empowers the Council to evolve a performance appraisal system for recognised institutions. Once the Council deliberates and authorises a proforma, the Executive Committee may implement it through its Member Secretary. (¶21) National Council for Teacher Education Act, 1993 — Incidental and ancillary regulatory power — Held further: A regulatory measure can be incidental and ancillary to a regulator's duties and functions even without specific empowerment under the statute. The Executive Committee's Public Notice calling for the Performance Appraisal Report falls within this incidental power. (¶22) Judicial Review — Scope of review over statutory regulators — Held further: In judicial review of a statutory regulator's action, a High Court must examine only whether the authority acted in violation of a mandatory provision or transgressed its vested power. Courts cannot adopt a technical or a pedantic view of the regulator's action. (¶10, 24) National Council for Teacher Education Act, 1993 — Process fee as incidental regulatory power — Held further: The payment accompanying the Performance Appraisal Report is in the nature of a process fee, itself an incidental and ancillary regulatory power. The Public Notice was legal and valid; the appeal is allowed and the High Court's judgment is set aside. (¶25, 26)

In the Court's own words
Paragraph 22We fail to understand as to how a regulatory measure of a statutory body, empowered to achieve planned and coordinated development of teacher education system in the country could be restrained from calling upon the TEIs to file Performance Appraisal Report. We are of the opinion that even without a specific empowerment under the statute, such a regulatory measure can always be incidental and ancillary to the duties and functions of a regulator. As there is a performance audit of NCTE itself by the Comptroller and Auditor General of India (CAG), it is but natural and incidental that NCTE would require the stakeholders, over which it exercises the regulatory jurisdiction, to provide the necessary Performance Appraisal Report.
Acts & Sections
s.12(k) National Council for Teacher Education Act, 1993s.19 National Council for Teacher Education Act, 1993s.23 Right of Children to Free and Compulsory Education Act, 2009s.20 National Council for Teacher Education Act, 1993s.2(e) National Council for Teacher Education Act, 1993s.2(l) National Council for Teacher Education Act, 1993s.3 National Council for Teacher Education Act, 1993ss.14-17 National Council for Teacher Education Act, 1993s.31 National Council for Teacher Education Act, 1993s.32 National Council for Teacher Education Act, 1993

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Also decided in this judgment
Can the Executive Committee under the NCTE Act call upon institutions to file a Performance Appraisal Report once the Council has authorised a proforma?When a High Court reviews a statutory regulator like the NCTE, must it examine only whether a mandatory provision was violated or power was transgressed?Is a payment required alongside a Performance Appraisal Report a process fee that a regulator may impose as an incidental power?
Plain-language answer prepared by the LexStreak Editorial Desk — verify against the judgment. Source: Supreme Court of India. Corrections