There can be no dispute that all universities, no matter where their support comes from, should remain autonomous institutions. They are supposed to interpret, and even invent what they think is the interest of the state.

Universities in the United States enjoy the highest rating the world over. There are State and private Universities. All of them enjoy the same element of autonomy. State universities are founded and subsidized by U.S. state governments (for example, California, Michigan, or Texas) to provide low-cost education to residents of that state. They may also be called public universities to distinguish them from private institutions. Some include the words "state university" in their title or include a regional element such as "eastern" or "northern." But that is not mandatory.
Eventually India should also move towards this system. It was with this view that Private Universities were allowed to establish and function. There are several Private Universities in India that enjoy a high reputation. Manipal University, the BITS and several like these can be mentioned.
Then we have what is known as the deemed to be Universities. They gain this status from being a college of excellence. Though there are a few universities of excellence even in this category, most of them end up as family owned, family controlled institutions. In the appointment of Vice Chancellors and Directors, nepotism is the very root. Quality and standard of education are overlooked. They are in fact either doomed or damned.
And, alas, the deemed universities were allowed to remove ‘deemed’ from their name and identify themselves as universities three years ago. The UGC had given them permission in 2006 in this regard following a recommendation by a committee comprising heads of UGC and All India Council of Technical Education (AICTE) and a former Secretary of Higher Education.
After a long wait and complex litigation, the UGC yesterday directed 130 deemed-to-be-universities not to call themselves as universities. Acting on the instruction of the government, the University Grants Commission issued a directive to the vice chancellors and directors of the deemed-to-be-universities not to use the word university with their names. "You are therefore advised not to use the word university with the name of the deemed university,” yesterday’s notification said.
Let us hope that this decision of the Government will result in overall enhancement of the quality of education in India.