New Delhi, Jan 21 (IANS): The Supreme Court has ruled that the All India Council of Technical Education (AICTE) was the regulatory body for business schools, thus clearing the path for continuation of their autonomy.

The apex court, in its Jan 16 order, was acting on an application filed in December last year by the Education Promotion Society of India (EPSI). The body represents over 500 institutions of higher education.

Accordingly, AICTE is likely to initiate the process of extending autonomy to institutions having Post Graduate Diploma in Management (PGDM) courses, for the academic year 2014-15, an EPSI press release said last week.

Draft regulations issued Dec 23, last year by the University Grants Commission (UGC) proposed placing PGDM institutions under state-run universities, which would have clipped their autonomy.

In a meeting here Dec 28, 2013, leading management experts, reacting to the UGC move, had voiced concern over possible loss of autonomy being enjoyed by business schools.

The meeting, attended by over 100 deans, directors and presidents of PGDM institutions had unanimously decided to approach the Supreme Court.

The UGC move, if implemented, could have also halted the current momentum in management education, flowing from rigid controls similar to those imposed on state universities, the press release added.

"This is a big relief for the PGDM institutions that were concerned over the UGC move to put them under state universities," said H. Chaturvedi, alternate president of EPSI.

"The MBA aspirants and their parents too can rest easy that the admission process will proceed unhindered as in the previous years," added Chaturvedi.