Tamil Nadu govt moves SC against central govt for withholding Rs 2,291 crore in education funds

The Tamil Nadu government has approached the Supreme Court, accusing the Central government of illegally withholding over Rs 2,291 crore in education funds. The state claims the Centre is using financial pressure to force the implementation of the National Education Policy (NEP) 2020 and related schemes such as PM SHRI Schools.

Tamil Nadu filed a case directly in the Supreme Court under Article 131 of the Indian Constitution against the Central government for withholding education funds meant for the state. Article 131 allows a state government to legally challenge the Central government in disputes involving legal or constitutional rights.

The state is seeking the immediate release of Rs 2,291.30 crore under the Samagra Shiksha Scheme (SSS), which supports school education, especially for underprivileged children. This amount includes Rs 2,151.59 crore, which is the Centre’s 60 per cent share of the sanctioned funds for the financial year 2024–25, along with interest at 6 per cent per annum from May 1, 2025, until payment is made.

The Samagra Shiksha Scheme is a central government programme aimed at supporting inclusive and equitable quality education. Tamil Nadu stated that the Project Approval Board (PAB) had cleared the state’s proposal on February 16, 2024, confirming full compliance with scheme guidelines. However, as of May 21, 2025, the Centre has not released any funds, the state said in its petition.

Tamil Nadu alleged that the Centre is illegally using funds as leverage to pressure the state into accepting the NEP 2020 and the PM SHRI Schools Scheme, which is designed to showcase NEP implementation through model schools. The state strongly opposes the NEP, particularly its three-language formula that includes Hindi, a politically sensitive issue in Tamil Nadu.

Last week, Tamil Nadu Chief Minister M K Stalin accused the BJP-led Centre of stopping education funds to the state for its petty politics, and subsequently asserting that his government would move the apex court. Addressing a book release event, Stalin said since Tamil Nadu has not agreed to the three-language policy, the Centre has not released Rs 2,152 crore. Releasing the book "NEP-2020 Enum Madhayanai" (The Rogue Elephant-NEP-2020), authored by School Education Minister Anbil Mahesh Poyyamozhi, Stalin said the title conveyed the whole content and that the book is very important.