Sun Nov 30 00:02:00 UTC 2025: Okay, here’s a summary of the provided text and a rewritten news article based on that summary:

Summary:

The University of Madras is facing a significant financial shortfall, owing ₹95.44 crore in pension arrears to 339 retirees. Facing a contempt petition and an order for the Finance Secretary to appear in court, the University’s Syndicate has approved the partial withdrawal of its corpus fund to address the issue. This involves accessing ₹45.6 crore from matured deposits and receiving a ₹20 crore block grant from the state government. While this will cover some arrears, particularly Death-cum-Retirement Gratuity (DCRG) and leave encashment, the commutation component requires individual review. The decision has met with opposition from faculty and staff associations who fear the move will weaken the university’s long-term financial stability. A committee has been formed to explore ways to augment revenue and rebuild the corpus fund.

News Article:

University of Madras Taps Corpus Fund to Pay Retiree Arrears Amid Controversy

Chennai, India – November 30, 2025 – The University of Madras has approved the partial withdrawal of its corpus fund to pay pension arrears totaling ₹95.44 crore (approximately $12 million USD) to 339 retired employees, sparking concerns about the institution’s financial health.

The decision comes after the Madras High Court threatened action, including summoning the Finance Secretary, due to the delayed payments. The University’s Syndicate convened a special meeting and agreed to withdraw ₹45.6 crore from matured deposits within its corpus fund. The Tamil Nadu state government is also providing a ₹20 crore block grant to alleviate the crisis.

According to University Registrar Rita John, the state government has assured the university that it will be compensated for the interest lost due to the withdrawal. The university’s total corpus fund stands at ₹318 crore.

The university plans to use the funds to settle Death-cum-Retirement Gratuity (DCRG) and leave encashment payments totaling ₹50.8 crore. Pension and family pension arrears for 184 retirees were already settled last week. However, the commutation component of the arrears, amounting to ₹38.31 crore, will be reviewed on a case-by-case basis.

The decision to tap into the corpus fund has drawn criticism from faculty and non-teaching staff associations, who argue that it jeopardizes the university’s long-term financial stability and could affect benefits for future retirees. They fear that depleting the corpus will leave the university vulnerable to future financial challenges.

“While we understand the urgency of paying the retirees, we believe this is a short-sighted solution that will have serious consequences down the line,” said a spokesperson for the University Faculty Association.

In response to these concerns, the Syndicate has established a committee to explore revenue augmentation strategies to replenish and strengthen the corpus fund. The committee will investigate potential fundraising initiatives and other avenues to bolster the university’s financial resources.

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