Apparently softening its stand against the government, the Indian Institute of Management-Ahmedabad Society on Friday unanimously 'resolved' to 'initiate' a dialogue with the HRD ministry at the earliest and decided that legal course of action would be taken only if there was no headway during talks on the controversial fee-cut and autonomy issue.

"The resolution, about the dialogue with HRD ministry on fee-cut and autonomy, was passed unanimously," IIM (A) Board Chairman and Infosys chief N R Narayana Murthy told reporters after emerging from a two-hour meeting of the society.

The two representatives of the HRD ministry, including a joint secretary, however, were not present for the crucial meeting on Friday.

• The IIM Controversy: Complete Coverage

On March 9, the IIM-A meeting was adjourned after the HRD officials allegedly 'threatened' the society members with 'dire consequences.'

Murthy, however, said that no talks were held about the IIMs being party to the PIL filed in the apex court by some of its alumni members challenging the fee-cut.

"The society has authorised the Board of Governors to take all necessary action, including legal recourse, at any stage to protect the autonomy of the IIM-A, including determining its fee and other issues," Murthy said.

He, however, was not as 'vocal' against the HRD ministry as the IIM-A White Paper prepared after the faculty meet two days ago where they expressed 'grave concern' at the manner in which the ministry was 'imposing' itself on the prestigious business management institutes.

The IIM-A would also increase the amount of the Need Based Scholarship so that it would benefit a broader cross-section of the student community.

Regarding the hike in amount in the NBS, IIM-A Director Bakul Dholakia said it would be decided at the earliest. The Board of Governors are authorised to mobilise the required financial resources to support and sustain the scholarship.

Stressing that 'conducive atmosphere for dialogue with the HRD Ministry must be created,' Murthy said a 'committee would be formed soon and it would approach the ministry for talks on the sensitive issues.'

He, however, did not comment on the absence of two HRD ministry officials during the meeting.

When asked if the other IIMs would be approached when 'such dialogues are initiated with the HRD ministry,' Murthy said: "It would be a great privilege to have the other IIMs also. But it depends on them."

The IIM-A Board of Governors is scheduled to meet on Saturday following which is the convocation.