In an try to push central universities to boost funds independently, the Central authorities has launched pointers to them for establishing endowment fund via donations and contributions.
The doc, ‘Tips for Central Universities Endowment Fund (CUEF)’, was shared by the Union Ministry of Schooling with the vice-chancellors of central universities final month, in line with which, the norms had been framed “for the aim of mobilising donations, funds and contributions from well-wishers, alumni, philanthropists and industries for the event of scholars, schools and establishment”.
IIT Delhi was the primary in India to arrange alumni endowment fund in 2019 and the identical was adopted by many different IITs and IIMs.
Based on the rules, the endowment fund might be ruled by a 7-member board chaired by the vice-chancellor. The board may have three “outstanding” donors nominated by the college’s Govt Council for 3 years, the college’s Finance Officer, and two professors from totally different departments or streams. The board will take choices on the fund utilisation, and desk report earlier than the college’s Finance Committee.
The rules additionally permit for FCRA accounts to be opened by establishments anticipating international donations. They counsel a separate checking account for the fund having two varieties of donations – these for a selected goal, similar to scholarships, chairs and infrastructure improvement; and donations for a basic corpus.
“An affordable proportion of the fund, not exceeding 50%, could also be spent yearly with a view to take care of a superb corpus for the long run,” states the doc.