India'S University Grants Committee is to penalise universities which fail to comply with its policy of positive discrimination in favour of lower-caste teachers.

Their grant will be sharply reduced if they do not fill the posts reserved for a range of underprivileged castes.

The first casualty is Delhi University, which has been told that the money it normally gets for hiring teachers for reserved posts will be deducted from the next instalment of its grant.

Registrar K. K. Panda has asked for more time to fill the reserved posts but the Delhi University Teachers' Association has said salaries may be delayed for two months if a cut is imposed.

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The policy of reserving 22.5 per cent of teaching jobs for lower castes has attracted widespread criticism for ignoring merit. Many fear caste-based reservation would worsen the already poor teaching standards in many Indian universities.

According to the UGC, most universities have failed to fill the reserved quota while continuing to draw funds. At Delhi University, only 3 per cent of the reserved posts have been filled.

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The UGC has told it to freeze all appointments until the quota is met.