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“EXCESS AMOUNT COLLECTED BY BAR COUNCIL”

On July 30, 2024, the Supreme Court of India in a case of Gaurav Kumar vs. Union of India, writ petition/352/2023, decided on 30 July, 2024, has held that the amount collected by the Bar Councils at the time of enrolment cannot exceed Rs.750 (seven hundred and fifty) for advocates belonging to the general category and Rs.125 (one hundred and twenty five) for advocates belonging to SC/ST categories.

Issues before the Court as follows:

I. Whether the enrolment fees charged by the SBCs are in violation of Section 24(1)(f) of the Advocates Act; and

II. Whether payment of other miscellaneous fees can be made a pre-condition for enrolment?

The Bench of Chief Justice Dr. Dhananjaya Y Chandrachud and Justice J.B Pardiwala concluded:

– The State Bar Councils cannot charge “enrolment fees” beyond the express legal stipulation under Section 24(1)(f) as it currently stands;
Section 24(1)(f) of the Advocates Act, 1961 prescribes the enrolment fee chargeable by the SBCs and the BCI for persons to be admitted as an advocate. SBCs are charging exorbitant enrolment fees, often under different heads, in derogation of Section 24(1)(f).
– Section 24(1)(f) of the Advocates Act, 1961 prescribes the fiscal pre-conditions subject to which an advocate can be enrolled on State rolls. The SBCs and the BCI cannot demand payment of fees other than the stipulated enrolment fee and stamp duty, if any, as a pre-condition to enrolment;

– The decision of the SBCs to charge fees and charges at the time of enrolment are in violation of Section 24(1)(f) of the Advocates Act. It violates Article 14 and Article 19(1)(g) of the Constitution.
– With prospective effect of the judgment, no refund to be initiated by the Stat Bar Councils for excess enrolment fees collected before the date of this judgment.

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