55. (1) If it appears to the State Government that the University has contravened any of the provisions of this Act, Statutes, Ordinances or Regulations made there under or has violated any of the directions issued by it under this Act or has ceased to carry out any of the undertakings given under section 3 or there is fraud or misappropriation or serious misuse of funds, it may issue direction to the Uttar Pradesh Higher Education Council to conduct preliminary inquiry.
(2) If the State Government, on receipt of inquiry report of the University on the direction issued under sub-section (1), is satisfied that there is a prima facie case of contravention of all or any of the provisions of this Act or the Statutes or Ordinances or Regulations made there under or of violation of directions issued by it under this Act or of ceasing to carry out the undertaking given under section 3, or there is fraud or misappropriation or serious misuse of funds, it shall make an order of such enquiry as it may consider necessary.
(3) For the purposes of an inquiry under sub-section (2), the State Government shall, by notification, appoint an officer or a committee on the recommendation of the Uttar Pradesh Higher Education Council as the inquiring authority to inquire into the allegations of violation of the provisions of this Act.
(4) Every inquiring authority appointed under sub-section (3) shall while performing its functions under this Act have all the powers of Civil Court under the Code of Civil Procedure, 1908 while trying a suit and in particular in respect of the following matters, namely:-
(a) summoning and enforcing the attendance of any witness and examining him on oath;
(b) requiring the discovery and production of any document;
(c) requisitioning any public record or copy thereof from any office;
(d) receiving evidence on affidavit; and
(e) any other matter which may be prescribed.
(5) If, upon receipt of the inquiry report, the State Government is satisfied that the University has violated any provisions of this Act and there is a need for corrective action, the State Government shall direct the University to make necessary improvements within the specified time, in order to comply with the provisions of this Act. If the University fails to comply with such directions within specified time, the State Government may again direct the University to make necessary improvements or modifications within a period of 15 days from the issuance of such directions.
(6) On receipt of the enquiry report from the enquiry officer or the enquiry committee appointed under sub-section (3), if the State Government is satisfied that the University has contravened all or any of the provisions of this Act or the Statutes or Ordinances or Regulations made there under or has violated any of the directions issued by it under this Act including directions issued under sub-section(5) above or has ceased to carry out the undertakings given by it under section 3 or or there is fraud or misappropriation or serious misuse of funds in the University which threatens the academic standard of the University, the State Government for liquidation of the University, shall appoint a interim committee consisting of three members to run the affairs of the University during the period.
(7) (i) The interim committee appointed under sub-section (6) shall have all the powers to administer the affairs of the University until the last batch of the students of the regular courses have completed their courses and they have been awarded degrees, diplomas or awards as the case may be.
(ii) After having been awarded the degrees, diplomas or awards, as the case may be, to the last batches of the students of the regular courses, the interim committee shall make a report to the effect to the State Government.
(iii) On receipt of the report under sub-section (7) (ii), the State Government shall, by a notification in the Official Gazette, issue an order dissolving the University and from the date of publication of such notification, the University shall stand dissolved and all the remaining assets and liabilities of the University shall vest in the sponsoring body from such date.
(8) Every notification under sub-section (7), shall be laid before both Houses of the State Legislature.