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Chhattisgarh HC Overturns AFRC Fee Order, Citing Lack of Expenditure Analysis
✍️ Medical Dialogues
🗓 01 Nov 2026, 11:03 AM
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The Chhattisgarh High Court has set aside a fee order issued by the AFRC, stating that the order did not adequately consider the actual expenditure involved.
The Chhattisgarh High Court today overturned a fee order issued by the Administrative Fee Recovery Committee (AFRC). The court held that the order, which had reduced the fee payable under the committee’s purview, failed to take into account the actual expenditure incurred. In its judgment, the court emphasized that a fee structure must be grounded in a realistic assessment of costs.
The AFRC had earlier issued a directive that lowered the fee for certain administrative services. The decision was challenged by parties who argued that the fee reduction was not justified by the committee’s financial records. The High Court’s ruling effectively nullifies the fee order until a proper expenditure analysis is conducted.
The ruling is expected to prompt a review of the AFRC’s fee-setting procedures. The committee has been instructed to submit a detailed cost analysis to the court within a specified period. Until then, the previous fee structure will remain in force.
Legal experts note that the decision underscores the importance of transparency in fee determination. It also serves as a reminder that administrative bodies must provide clear evidence of cost calculations when adjusting fees.
The court’s order is likely to impact both the AFRC and the beneficiaries of its services, who will have to await the committee’s revised fee schedule.
The AFRC had earlier issued a directive that lowered the fee for certain administrative services. The decision was challenged by parties who argued that the fee reduction was not justified by the committee’s financial records. The High Court’s ruling effectively nullifies the fee order until a proper expenditure analysis is conducted.
The ruling is expected to prompt a review of the AFRC’s fee-setting procedures. The committee has been instructed to submit a detailed cost analysis to the court within a specified period. Until then, the previous fee structure will remain in force.
Legal experts note that the decision underscores the importance of transparency in fee determination. It also serves as a reminder that administrative bodies must provide clear evidence of cost calculations when adjusting fees.
The court’s order is likely to impact both the AFRC and the beneficiaries of its services, who will have to await the committee’s revised fee schedule.