MBBS Bond Policy: Punjab HC directs state not to insist on Property sureties

The High Court order comes after a plea was filed last week by a batch of selected students, who challenged the State's medical education department's decision to ask students to submit an undertaking with an assurance to serve the State for 2 years or pay a bond penalty.

Medical Dialogues had earlier reported that the State Government had introduced the new bond policy for students enrolling in MBBS and BDS courses in State-run medical and dental colleges to tackle the shortage of doctors in government health institutes.

Under the new bond policy, which came into force from the academic session 2025-2026, students getting admitted to government medical/dental institutes will either have to serve in government healthcare facilities for two years after completing their courses or pay a bond penalty of Rs 20 lakh. Even though the State has made this bond policy applicable to the All-India-quota students as well, in their case, the duration of mandatory service will be limited to one year, instead of two years like the State quota students.

Also Read: Punjab Introduces Rs 20 lakh Bond Policy for MBBS, BDS Admissions

Punjab's new MBBS bond policy also required government medical college MBBS students to pledge two properties worth Rs 20 lakh as sureties. The State had warned the candidates that they would not be allowed to attend classes if they failed to furnish the bond and the sureties.

This move had drawn criticism and widespread backlash from parents, students, the Resident Doctors Association, and IMA Punjab, who called the rule "regressive and punitive", arguing it places an unfair burden on middle- and lower-income families and could deter meritorious students. Parents had earlier suggested alternatives such as bank guarantees or withholding permanent registration.

As per the latest media report by Hindustan Times, students recently challenged the State's conditions before the High Court. During the hearing, the counsel for the students submitted that they were willing to submit the bond and undertaking as prescribed. However, the requirement of a solvency certificate was "wholly unjustified" as it virtually created a mortgage in favour of the university and thereby restricted the use of the property for years.

The State's policy states that the bond will remain effective for 7.5 years, covering four years of study, one year of internship, and two years of compulsory government service. Therefore, if such sureties are obtained, during this period of study and bond service, these properties could neither be sold nor pledged elsewhere.

Commenting on the matter, a petitioner student told HT, on the condition of anonymity, "We had no objection to serving the government after completing our course, but asking for property sureties was unreasonable and burdensome for middle-class families."

Now, granting relief to the students, the HC bench has restrained the State from insisting on property sureties from students for MBBS admission to the GMCs. Students and parents have widely welcomed the court verdict.

Also Read: Punjab MBBS Bond policy requiring Rs 20 lakh property sureties draws backlash