PUNJAB EDUCATIONAL INSTITUTIONS (RECONSTITUTION) ACT 2021

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THE PUNJAB EDUCATIONAL INSTITUTIONS 
(RECONSTITUTION) ACT 2021 
(XXII of 2021) 
 
CONTENTS 
1. Short title, extent and commencement. 
2. Definitions. 
3. Incorporation. 
4. Board. 
5. Powers and functions of Board. 
6. Business of Board. 
7. Powers and duties of President. 
8. Principal. 
9. Powers and duties of Principal. 
10. Management Committee. 
11. Powers and duties of Management Committee. 
12. Fund. 
13. Regulations. 
14. Bar to suits. 
15. Overriding effect. 
16. Repeal and Savings. 
17. Removal of difficulties. 
 
SCHEDULE 
  
TEXT 
1THE PUNJAB EDUCATIONAL INSTITUTIONS (RECONSTITUTION) ACT 
2021 
(XXII of 2021) 
[23 July 2021] 
  
An 
Act 
to reconstitute certain educational Institutions in the Punjab. 
It is necessary to reconstitute certain educational Institutions in the Punjab to 
improve their governance and management by providing  academic, financial and 
administrative autonomy aiming at enhancing quality of education in the Punjab. 
Be it enacted by Provincial Assembly of the Punjab as follows: 
1. Short title, extent and commencement .– (1) This Act may be cited as the 
Punjab Educational Institutions (Reconstitution) Act 2021. 
(2) It shall extend to whole of the Punjab. 
(3) It shall come into force at once. 
2. Definitions.– In this Act: 
(a) “Board” means the Board of Governors of an Institution; 
(b) “Government” means Government of the Punjab; 
(c) “Institution” means an educational Institution mentioned in the 
Schedule to this Act; 
(d) “Management Committee” means the Management Committee 
constituted under section 10 of this Act; 
(e) “prescribed” means prescribed by the regulations framed under this Act; 
(f) “President” means Governor of the Punjab; 
(g) “Principal” means the Principal of an Institution; 
(h) “regulations” means the regulations framed under this Act; and 
(i) “relevant Department” means the Department under whose domain an 
Institution is reflected in the Fir st Schedule of the Punjab Government 
Rules of Business 2011. 
3. Incorporation.– (1) The Government shall, by notification in the official 
Gazette, reconstitute an Institution. 
 (2) An Institution shall be a body corporate having perpetual succession 
and a common seal, and may by the said name sue and be sued. 
                                                           
1This Act was passed by Provincial Assembly of the Punjab on 04 June 2021; assented to by the Governor of the Punjab on 15 
July 2021; and, was published in the Punjab Gazette (Extraordinary), dated: 23 July 2021, pp.289-294 
 (3) An Institution may acquire and hold property, both movable and 
immovable; lease, sell or otherwise transfer any property vested in it; or, enter into 
contracts for purposes of this Act. 
(4) Notwithstanding anything contained in any other law for the time being 
in force, an Institution shall have academic, financial and administrative autonomy, 
including the powers to engage advisors and consultants, and employ officers, 
teachers and other employees on such terms and conditions as may be prescribed. 
(5) Upon reconstitution of an Institution under subsection (1), all 
properties, rights and interests of whatever kind, used, enjoyed, possessed, owned 
or vested in or held in trust by and for an Institut ion immediately before the 
commencement of this Act, and all liabilities legally subsisting against such an 
Institution shall stand transferred to that Institution. 
 (6) An Institution shall consist of the following: 
(a) Board; 
(b) President; 
(c) Principal; 
(d) members of Management Committee and other Committees; 
(e) Bursar; 
(f) Heads of schools or departments; 
(g) Chief Medical Officer; 
(h) Chief Security Officer; 
(i) teachers and students; and 
(j) other officers and members of the staff of the Institution. 
4. Board.– (1) The management and control of an Institution shall vest in the 
Board which shall consist of the President and the following members: 
(a) Minister in charge of the relevant Department; 
(b) Secretary to Government of the relevant  Department or his 
nominee not below the rank of an Additional Secretary; 
(c) General Officer Commanding of the corps of the armed forces 
as may be appointed by the President; 
(d) two distinguished academicians to be appointed by the 
President; 
(e) fifteen eminent alumni of the Institution from academia, industry, 
judiciary, civil service, armed forces, sports, and former and 
sitting members of legislative bodies to be appointed by the 
President; 
(f) Principal of the Institution; and 
(g) any other member as may be appointed by the President. 
(2) Members of the Board, other than  ex-officio members, shall be 
appointed for a period of three years, and may be reappointed on the expiry of their 
term of appointment.  
5. Powers and functions of  Board.– (1) Unless otherwise provided in this Act, 
the Board shall have powers to: 
(a) hold, control, administer, acquire and dispose of property  and funds of 
the Institution and to enter into contracts for the purposes of this Act; 
(b) govern and regulate finance, accounts and investments of the 
Institution, and for that purpose appoint such agents and auditors as 
the Board may deem fit; 
(c) determine the form, custody and use of the common seal of the 
Institution; 
(d) collaborate with the Government, national and internatio nal 
organizations and educational institutions for the purposes of this Act; 
(e) devise and implement proper system of checks and balances within the 
Institution; 
(f) appoint Principal of the Institution from a panel of three persons 
recommended by the Management Committee; 
(g) frame regulations for the terms and conditions of service of advisors, 
consultants, Principal and other members of teaching and 
administrative staff of the Institution, and of the officers and employees 
of the Board; 
(h) consider and approve the annual budget of the Institution; 
(i) constitute the Management Committee and such other Committees as 
may be required for carrying out the purposes of this Act; 
(j) receive and manage any property transferred, grants, bequests, trusts, 
gifts, donations, endowments and other contributions made to the 
Institution, and to invest any fund representing such property, grants, 
bequests, trusts, gifts, donations, endowments or contributions, and to 
convert one kind of property into another in such man ner as it may 
deem fit; 
(k) frame regulations for carrying out the purposes of this Act; and 
(l) do all such other acts and things incidental to the above powers. 
(2) Notwithstanding anything to the contrary contained in this Act, the 
Board may delegate an y of its powers, duties or functions to the President, the 
Management Committee, the Principal or to any other Committee constituted by the 
Board, on such terms and conditions as may be prescribed through regulations, 
except the following powers: 
(a) approval of regulations; 
(b) approval of annual budget of the Institution; 
(c) approval of investment or purchase of immovable property by the 
Institution; and 
(d) transfer of immovable property of the Institution. 
(3) The Board or President may call for the record of any decision taken by 
the Principal or by any other member of the teaching or administrative staff of the 
Institution within ninety days of the decision, to evaluate correctness, legality or 
propriety of such decision, and to pass such directions a nd orders thereon as may 
be deemed appropriate by the Board or the President, as the case may be. 
6. Business of Board.– (1) The Board shall meet at least thrice a year at such 
times as the President may, on his own motion or on the recommendation of the 
Principal, require and the Board shall transact its business in the meetings in such 
manner as may be prescribed through regulations and until so prescribed, as may be 
determined by the Board. 
(2) One third of the total members of the Board or three member s of the 
Board, whichever is higher, shall constitute the quorum for a meeting of the Board. 
(3) All questions at a meeting of the Board shall be decided by a majority 
of votes of the members present and voting, and in case of equal votes, the 
President shall have the casting vote. 
(4) The provisions of this section shall apply  mutatis mutandis to meetings 
of the Management Committee and of any other Committee constituted by the 
Board. 
(5) The Principal shall be the Secretary to the Board, and other 
Committees constituted by the Board shall appoint their own Secretaries, and it shall 
be the duty of a Secretary to keep and record the proceedings of a meeting in a 
minute-book. 
7. Powers and duties of President .– (1) The President or his nominee shall 
preside at the meetings of the Board. 
(2) The President may remove any person from the membership of the 
Board if such person: 
(a) has become of unsound mind; or 
(b) has been incapacitated to function as member of the Board; or 
(c) has ceased to hold the position,  office or qualification which was pre -
requisite for his nomination or appointment as a member of the Board; 
or 
(d) has been convicted by a court of law for an offence involving moral 
turpitude; or 
(e) has failed to attend three consecutive meetings of the Board. 
(3)        An order for removal of a member of the Board under subsection (2) 
shall not be passed unless the person to be affected thereby is afforded an 
opportunity of being heard. 
8.         Principal.– An Institution shall have a Principal who shall be appointed by 
the Board in such manner and on such terms and conditions as may be prescribed. 
9.         Powers and duties of Principal .– (1) The Principal shall be the Chief 
Executive of the Institution and shall be responsible to the Board for c ontrol, 
management and administration of the Institution. 
(2) The Principal shall be responsible for framing the annual budget and to 
submit it to the Board for consideration and approval before commencement of a 
financial year. 
(3) The Principal shall hav e authority to sanction all expenditure as 
provided in the sanctioned budget and to re -appropriate funds from one major head 
of expenditure to another. 
(4) The Principal shall operate the accounts of the Board and the 
Institution, and submit the quarterly statement of accounts thereof to the Board for 
consideration. 
(5) Annual accounts of an Institution shall be audited by an external 
Auditor duly appointed by the Board on the close of every financial year, and the 
audited accounts shall be presented by the Principal to the Board for approval. 
(6) Notwithstanding any existing terms and conditions, the Principal shall 
have the powers to appoint, suspend, remove and dismiss advisors, consultants and 
all members of the teaching and administrative staff of the I nstitution except the 
Bursar, Heads of schools or departments, Chief Medical Officer and Chief Security 
Officer, in such manner as may be prescribed: 
provided that no order for suspension, removal or dismissal of an employee 
shall be passed unless the pers on to be affected thereby is afforded an opportunity 
of being heard. 
(7) Any person aggrieved by an order for suspension, removal or dismissal 
passed under subsection (6) may, within a period of thirty days of the decision, file 
an appeal to the Management  Committee, and the Management Committee shall 
decide the appeal within sixty days. 
(8) The Principal may, in an emergency, take an action which is not 
otherwise in the competence of the Principal but is in the competence of the Board. 
(9) The Principal sh all, within seven days of taking an action under 
subsection (8), submit a report to the Board, and the Board shall, in its immediate 
next meeting, pass such orders on the action taken by the Principal as it may deem 
appropriate. 
(10) The Principal may: 
(a) direct any member of the teaching and administrative staff, officers or 
other employees of the Institution to take up such assignments in 
connection with the teaching, examination, administration and such 
other activities in relation to the Institution as he may deem necessary; 
(b) sanction, by re -appropriation, an amount for an unforeseen item not 
provided for in the annual budget of the Institution; and 
(c) exercise such other powers as may be prescribed or as may be 
assigned to him by the Board from time to time. 
 (11) Notwithstanding anything to the contrary contained in this Act, the 
Principal may delegate any of his powers, duties or functions to any member of the 
teaching or administrative staff of the Institution on such terms and conditions as h e 
may deem fit. 
10.       Management Committee .– The Board of an Institution shall constitute a 
Management Committee, consisting of not less than three members, for such 
duration as may be determined by the Board. 
11.       Powers and duties of Management  Committee.– (1) The Management 
Committee shall recommend to the Board names of suitable candidates for 
appointment as Principal of the Institution in such manner as may be prescribed. 
(2) The Management Committee shall be responsible  for extending advice 
and assistance to the Principal as and when he may need it. 
(3) Notwithstanding any existing terms and conditions, the Management 
Committee shall have powers to appoint, suspend, remove and dismiss the Bursar, 
Heads of schools or departments, Chief Medica l Officer and Chief Security Officer of 
the Institution, in such manner and on such terms and conditions as may be 
prescribed: 
provided that no order for suspension, removal or dismissal of an employee 
shall be passed unless the person to be affected there by is afforded an opportunity 
of being heard. 
(4) Any person aggrieved by an order for suspension, removal or dismissal 
passed under subsection (3) may, within a period of thirty days of the decision, file 
an appeal to the Board, and the Board shall decide the appeal in sixty days. 
(5) The Management Committee may co -opt any expert professional for 
purposes of appointments under this Act. 
12.       Fund.– An Institution shall have a fund to which shall be credited its income 
from fees, donations, trusts, b equests, endowments, contributions, grants and 
income from any other source. 
13.       Regulations.– The Board may frame regulations to give effect to the 
provisions of this Act. 
14.       Bar to  suits.– All acts done, orders passed or proceedings taken by an 
Institution in good faith under this Act shall be final, and shall not be called in 
question in any court by a suit or otherwise. 
15.       Overriding effect.– Notwithstanding anything contained in any other law for 
the time being in force, all matt ers pertaining to disciplinary action in respect of the 
employees of an Institution shall, to the exclusion of all other applicable laws, be 
governed by the regulations, and until such regulations are framed be governed by 
such procedure and in manner as m ay be determined by the Management 
Committee. 
16.       Repeal and Savings .– (1) The Statutes, Regulations and Rules of the 
Institutions are hereby repealed. 
(2) Notwithstanding the repeal of the Statutes, Regulations and Rules 
under subsection (1): 
(a) everything done, action taken, obligations or liabilities incurred, rights 
and assets acquired, persons appointed or  authorized, jurisdiction or 
powers conferred, endowments, bequests, funds or trusts created, 
donations or grants made, scholarships, studen tships or exhibitions 
instituted, privileges granted and orders issued under any of the 
provisions of the repealed Statutes, Regulations and Rules shall, if not 
inconsistent with the provisions of this Act or the regulations framed 
under this Act, be continued and, so far as may be, be deemed to have 
been respectively done, taken, incurred, acquired, appointed, 
authorized, conferred, created, made, instituted, granted and issued 
under this Act, and any document referring to any of the provisions of 
the repealed Statutes, Regulations and Rules, shall, be considered to 
refer to the corresponding provisions of this Act and the regulations 
framed under this Act; 
(b) any regulations framed or deemed to have been framed under the 
repealed Statutes, Regulations and  Rules shall, if not inconsistent with 
the provisions of this Act, be deemed to be the regulations framed 
under this Act and shall, having regard to the various matters which by 
this Act have to be regulated or prescribed, respectively continue to be 
in fo rce, until repealed, rescinded or modified in accordance with the 
provisions of this Act; 
(c) the Board of an Institution as constituted immediately before 
commencement of this Act shall continue to exist and perform its 
functions and duties in accordance with the provisions of this Act till 
such time the Board is constituted under this Act; and 
(d) the Committees constituted under the provisions of the repealed 
Statutes, Regulations and Rules shall continue to function and shall, as 
far as may be, exercise  the powers respectively assigned to the 
corresponding Committees under this Act till such time these 
Committees are constituted under this Act. 
17.       Removal of  difficulties.– If any difficulty arises in giving effect to any 
provision of this Act, th e Board may give such directions, not inconsistent with this 
Act, as it may consider necessary for the removal of such difficulty. 
SCHEDULE 
[See sections 2(c) and 3(1)] 
1.      The Aitchison College, Lahore 
2.      The Sadiq Public School, Bahawalpur 
3.      The Lawrence College, Ghora Ghali Murree 
2[4.   Chenab Colleges established under the Jhang Educational Trust, Jhang]  
 
                                                           
2Added by the Punjab  Educational Institutions (Reconstitution)  (Amendment) Act 2025  (LXXVI of 2025) , published in the 
Punjab Gazette (Extraordinary), dated: September 23, 2025,p.1533, s.2.