Managements of Engineering, Pharmacy, MBA, MCA, M.Tech and B.Ed colleges announced on Sunday that they would close their institutions indefinitely from February 7 across the state as fee reimbursement arrears amounting to Rs 3,600 crore had not been paid by the government.

While the managements also decided to boycott all internal and semester exams that were to be conducted by the universities till the arrears were paid, sources said that the government was trying to resolve the issue by releasing Rs 1,200 crore on Monday.

On Sunday itself, transport minister Botsa Satyanarayana, who is also a member of the Cabinet sub-committee on fee reimbursement, discussed the issue with the college managements.

He also spoke to finance minister Anam Ramnarayan Reddy and principal secretary of social welfare Raym-ond Peter who assured him regarding the payment of Rs 1,200 crore on Monday.

If the managements carry out their threat, about 1,600 professional colleges will close down from February 7 across the state.

Of the total fee arrears of Rs 4,500 crore for this year, the government owes Rs 3,600 crore to professional colleges alone.

The Consortium of Engineering and Professional Colleges Management Associations of AP convened an emergency general body meeting on Sunday to decide on a future course of action to mount pressure on the state government for payment of the fee arrears.