The controversial Quota Bill to provide 27 percent reservation for OBCs in central educational institutions, which is to be made operational from the academic year 2007, makes no mention of the creamy layer.

The Bill, which is being introduced by HRD Minister Arjun Singh [Images] in the Lok Sabha, defines OBCs as the class or classes of citizens who are socially and educationally backward and are so determined by the Central government.

This implies that the creamy layer, which had been a bone of contention has been included for enjoying the benefits of reservation.

While the southern allies, Dravida Munnetra Kazhagam and Pattal Makkal Katchi wanted implementation in full, the Communist Party of India (Marxist) was against inclusion on creamy layer.

As many as eight institutions of excellence including Homi Bhabha National Institute and its constituent units like Bhabha Atomic Research Centre as also Tata Institute of Fundamental Research, Jawaharlal Nehru Centre for Advanced Scientific Research, Bangalore are excluded from the quota regime.

The central educational institutions, which would come under the purview of the Bill include deemed to be universities established, maintained or aided by the central government.

The provisions of the Bill will not apply to the minority educational institutions.

In a move to ensure that the general category of seats are not reduced, the Bill has made it clear that the increase of seats in any branch of study or faculty was not less than the number of such seats available for the preceding academic session.

If for reasons of financial, physical or academic limitations or in order to maintain the standards of education, the annual permitted strength in any branch of study or faculty of such institutions cannot be increased for the academic session after the Act comes into force, it may permit by notification in the official gazette to increase the strength over a maximum period of three years.

In such a case, the extend of reservation for the OBCs shall be limited for that academic session in such manner that the number of seats available to the OBCs for each academic session are commensurate with the increase in the permitted strength in each year.