How Upgradation Works in Round 1 and Round 2 of NEET Counselling 2026: Mechanics, Traps, and Strategy

TL;DR: Upgradation is the conditional path from a Round 1 MCC allotment to a higher-preference Round 2 seat. It requires four discrete actions: (1) report physically at the Round 1 college and pay the first-year fee, (2) select "YES" on the willingness form (online + physical) at Round 1 reporting, (3) fill fresh choices in Round 2 limited to colleges preferred over your Round 1 seat, (4) if upgraded, retrieve the online Relieving Letter from Round 1 college and report to Round 2 college within the deadline. Round 1 operates a free exit rule — if not joined, full deposit refund and direct entry to Round 2. Round 2 onwards: non-joining triggers security deposit forfeiture (₹10,000 UR / ₹2,00,000 Deemed). The Supreme Court mandate makes Round 2 joining a permanent lock — the candidate cannot enter MCC Round 3 or any state counselling round. Plan the double-fee liquid buffer (Round 1 fee + Round 2 fee + 7-30-day refund lag) before reporting.

If you are a NEET 2026 candidate looking at a Round 1 allotment in late August 2026 — say a tier-2 government MBBS seat that's "okay but not your dream college" — the decision in the next 72 hours about whether to join, opt for upgradation, or decline the Round 1 allotment will define your entire admission outcome. Most candidates make this decision without understanding three specific traps: the willingness form must be physically opted into at Round 1 reporting (just filling Round 2 choices online doesn't trigger upgradation); upgradation is unidirectional (your Round 1 seat is permanently cancelled the moment Round 2 allots an upgrade); and joining a Round 2 seat locks you out of every other counselling round (MCC Round 3, state Round 2, state Mop-Up, state Stray Vacancy — all blocked via the Supreme Court-mandated shared database). Before reading the step-by-step mechanics, plug your projected NEET 2026 score and Round 1 college expectation into the NEET 2026 College Predictor to check your admission chances → so you know whether upgradation is a real upside option for your AIR band or a financial trap that risks your security deposit.

This guide is written for NEET UG 2026 candidates navigating the post-Round-1 decision window in August 2026, families weighing the financial commitment of double tuition fees during an upgrade, and the segment of candidates who don't yet understand that Round 1 "Free Exit" and Round 2 "joined" status carry diametrically opposite consequences. It covers the structural definition of upgradation as a four-action sequence, the Round 1 "Free Exit" rule with full deposit refund and zero penalty, the Round 2 willingness form trap (the most common upgradation error in MCC counselling), the fresh-choice-filling restriction that requires Round 2 choices be limited to higher-preference colleges only, the four-scenario decision matrix (joined and opted for upgrade · free exit, no join · upgraded successfully · upgrade not received), the seat relinquishment / resignation window before Round 2 choice filling, the security deposit forfeiture rules (₹10,000 AIQ UR / ₹2,00,000 Deemed) that activate from Round 2 onwards, the Supreme Court-mandated MCC-state shared database that blocks all further counselling once Round 2 is joined, the online Relieving Letter logistics that physically gates the document handover between Round 1 and Round 2 colleges, the double-fee liquid buffer calculation (₹20K-₹1.7L for government, ₹24L-₹52L for Deemed) needed to bridge the 7-30-day refund processing lag, and the strategic checklist for whether to opt for upgradation given a specific Round 1 outcome.

Key takeaways

• Upgradation requires opting in. Just filling Round 2 choices online does NOT trigger upgradation. You must select "YES" on the physical + online willingness form at Round 1 reporting.
• Round 1 Free Exit: Not joining a Round 1 allotment = full deposit refund + direct entry to Round 2. No penalty.
• Round 2 Forfeiture: Allotted in Round 2 (fresh or upgraded) and not joined = security deposit forfeited (₹10,000 UR AIQ / ₹2,00,000 Deemed).
• Upgradation is unidirectional. Once Round 2 allots an upgrade, the Round 1 seat is permanently cancelled. No reversal possible.
• Joined-Round-2 lock-in: Under Supreme Court mandate (Nihal Ahmed v. Union of India and subsequent rulings), joining a Round 2 seat blocks the candidate from AIQ Round 3, state Round 2/Mop-Up/Stray Vacancy via the central shared database.
• Online Relieving Letter is mandatory for the inter-college transfer. A physical signed note from the Round 1 college principal is legally invalid.
• Double-fee liquid buffer required: Pay Round 2 college fee first; receive Round 1 college refund (minus ₹1K-₹5K processing) after 7-30 working days. For Deemed-to-Deemed upgrades, the buffer crosses ₹50L.
• Resignation window before Round 2: Candidates who joined Round 1 but want to exit without upgrade must resign at least 2 days before Round 2 choice filling starts. Past the window, the Round 1 seat locks and exit triggers forfeiture.
• Round 2 fresh choices must be higher-preference only. Listing any college equal to or below the Round 1 seat is a strategic error.

What "Round 1 to Round 2 upgradation" actually means

Upgradation in MCC counselling is the conditional pathway for a candidate to move from their Round 1 allotted seat to a more preferred Round 2 allotted seat. It is not automatic. It is not implied by participating in Round 2. It is a specific four-action sequence the candidate must execute deliberately.

The mechanics:

• A candidate allotted Seat A in Round 1 accepts the allotment, joins Seat A's college, pays the first-year fee, and explicitly opts for upgradation through the willingness form.
• The candidate then fills Round 2 choices, listing only colleges preferred over Seat A.
• Round 2 allotment runs against the entire registered candidate pool (those who used Free Exit and stayed in plus those who joined and opted for upgrade).
• If the candidate is allotted Seat B (higher preference) in Round 2, Seat A is permanently cancelled, and the candidate moves to Seat B.
• If Seat B is not allotted (the candidate's preferences didn't materialise), the candidate retains Seat A.

Three clarifications before the procedural detail:

• Upgradation is structural, not automatic. Many candidates assume that filling Round 2 choices online will trigger an upgrade if their Round 1 seat is below those choices. Wrong. The willingness form must be opted into at Round 1 reporting.
• The free exit candidate path is different. A candidate who declined to join Round 1 enters Round 2 as a "Free Exit" candidate, not as an "upgrade candidate". They face the same Round 2 rules (forfeiture if allotted and not joined) but without the Round 1 seat as a safety net.
• Round 2 joining is the lock point. The single most consequential rule in NEET counselling.

Round 1 Free Exit: zero penalty, full optionality

MCC operates Round 1 with a deliberate "Free Exit" structure. The rules:

What "Free Exit" means

• Allotted in Round 1 and choose NOT to report: The allotment is automatically cancelled after the reporting deadline. No financial penalty. The full security deposit (₹10,000 UR/EWS · ₹5,000 SC/ST/OBC/PwD · ₹2,00,000 Deemed) remains intact.
• Eligible for Round 2 directly: No fresh registration needed. No additional fee. The candidate enters Round 2 choice filling as a fresh participant.
• Round 1 seat returns to the pool. Re-allotted to other candidates in Round 2 from the merit list.

When Free Exit makes sense

• The Round 1 allotment is at a college that the candidate genuinely does not want to join (e.g., a remote-tier-3 GMC when the candidate's projected AIR could clear a tier-1 or tier-2 in Round 2).
• The candidate is confident that Round 2 will deliver a meaningfully better outcome based on historical Round 1-to-Round 2 movement at their AIR band.
• The family wants to avoid the double-fee liquid buffer requirement that an upgrade-pathway involves.

When Free Exit is risky

• The Round 1 allotment is at a strong college that the candidate would happily accept as the final outcome — and the upside in Round 2 is marginal.
• The candidate's AIR is at the boundary of what Round 1 cleared; Round 2 upgrade is statistically uncertain.

Free Exit is the risk-free option for any Round 1 allotment that the candidate would not have accepted as a final outcome.

Round 2 Upgradation: the four-action sequence

The mandatory four steps to opt for upgradation if you choose to join Round 1:

Action 1: Physical reporting at Round 1 college

Within the Round 1 reporting deadline (typically 5-7 days from the allotment result):

• Visit the Round 1 allotted college's admission cell with all required documents (the 8-document checklist covered in previous guides — NEET admit card, scorecard, Class 10/12 mark sheets, ID, photographs, allotment letter, category certificate, etc.).
• Complete physical document verification.
• Pay the first-year tuition fee + applicable college fees via Demand Draft or online transfer as specified in the allotment letter.

Action 2: Opt-in on the willingness form

This is the step that activates upgradation. At Round 1 reporting:

• Submit a physical willingness form to the college's nodal officer indicating "YES" for participation in Round 2 upgradation.
• The college's nodal officer logs into the MCC portal and updates the candidate's status as "willing for upgradation" — visible on the candidate's MCC dashboard.
• The candidate should verify on the MCC portal that the upgradation flag is correctly set before leaving the college.

The most common upgradation error in MCC counselling: Candidates assume that filling Round 2 choices online will automatically trigger an upgrade if better seats become available. It does not. Without the explicit "YES" on the willingness form, the candidate's Round 1 allotment is treated as final and Round 2 choices have no effect on the existing seat.

Action 3: Fresh choice filling in Round 2

During the Round 2 choice-filling window (typically 5-7 days, opening within 2-3 weeks of Round 1 reporting closure):

• Log in to the MCC portal with existing credentials.
• Fill fresh preferences for Round 2.
• Crucial rule: Only list colleges that the candidate genuinely prefers over the current Round 1 allotment. Listing a college equal to or below the Round 1 college is a strategic error — if allotted, Round 1 seat is cancelled and the candidate ends up at the lower-preference college.

This is also where careful preference ordering matters. A candidate ranked 5,000 General with a Round 1 allotment at a mid-tier GMC who wants to upgrade should list ONLY top-tier GMCs in Round 2 — never the same tier or below. If Round 2 doesn't allot any of the top-tier choices, the Round 1 seat is retained.

Action 4: Post-allotment execution

When Round 2 results are published:

If upgraded (Round 2 allots a higher-preference seat):

• Download the Round 2 allotment letter from the MCC portal.
• Visit the Round 1 college to obtain the online Relieving Letter (see logistics section below) and retrieve original documents.
• Report to the Round 2 college within the Round 2 reporting deadline (typically 5-7 days from allotment result).
• Pay the Round 2 college's first-year fee (separately — the Round 1 fee is refunded later).
• Submit fresh documents and complete Round 2 admission formalities.

If not upgraded (Round 2 doesn't allot any preference):

• Round 1 seat is automatically retained.
• No further action needed.
• The candidate continues their MBBS at the Round 1 college.

Table 1: The four upgradation scenarios

The decision matrix that every Round 1-allotted candidate must internalise.

Reading the four scenarios

The structural insight: only Scenarios 1 and 2 carry zero financial risk through Round 1. Scenarios 3 and 4 (post-Round-2 outcomes) both involve the lock-in penalty. Plan around this asymmetry.

For most candidates, the optimal path is:

• If Round 1 allots an acceptable college: Scenario 1 (join, opt for upgrade, fill aggressive Round 2 choices). Upside in Round 2 plus retained Round 1 safety net.
• If Round 1 allots a college you would never accept: Scenario 2 (Free Exit, enter Round 2 with full optionality).
• Scenarios 3 and 4 are outcomes, not choices.

The security deposit forfeiture rules in Round 2

The financial penalty that activates the moment Round 1's Free Exit window closes.

Table 2: MCC security deposit and forfeiture rules

When forfeiture triggers

• Round 2 fresh allotment (Free Exit candidate from Round 1) not joined: Deposit forfeited.
• Round 2 upgraded allotment not joined: Deposit forfeited. The candidate had opted for upgrade, was upgraded, but did not report at the new college.
• Round 2 allotment received but candidate fails to physically report within the deadline: Deposit forfeited.

When forfeiture does NOT trigger

• Round 1 allotment, Free Exit (not joined): No forfeiture. Full deposit refund.
• Round 2 not allotted, Round 1 retained: No forfeiture. Round 1 continues.
• Round 2 not allotted, joined Round 2 directly (Free Exit candidate): No forfeiture if Round 2 simply doesn't allot.

After forfeiture: re-entry to Round 3

A candidate who forfeits their deposit in Round 2 can still enter Round 3 (Mop-Up), but only through a Reset Registration — paying the registration fee and security deposit again. This is allowed at MCC's discretion and may carry additional verification steps. For Deemed candidates, this means a second ₹2,05,000 deposit on top of the forfeited first ₹2L.

The Supreme Court joint lock-in rule

The structural detail that competitor coverage routinely flattens. Under Supreme Court directives in Nihal Ahmed v. Union of India and subsequent administrative rulings, MCC operates a live shared database with all state counselling authorities.

How the database works

• The moment a candidate is uploaded to the MCC portal as "joined" in Round 2, the database updates within hours.
• Every state counselling board's software queries this shared database before each round's allotment.
• A candidate whose record shows "joined Round 2" in MCC is automatically blocked from:
  • MCC Round 3 (Mop-Up) — locked.
  • MCC Stray Vacancy — locked.
  • State Quota Round 2 / Round 3 / Mop-Up / Stray Vacancy in any state — locked.

What "locked" actually means

• The candidate's MCC dashboard shows the Round 2 college as their final allotment.
• The candidate cannot resign from the Round 2 joined seat through any counselling mechanism.
• The only way out of the Round 2 joined seat is mid-course discontinuation — which triggers the state's seat-leaving bond:
  • ₹3L (West Bengal, Bihar).
  • ₹5L (Tamil Nadu, Rajasthan partial).
  • ₹10L (Madhya Pradesh, Kerala).
  • ₹20L (Gujarat).
  • ₹30L+ (some private state colleges).
  • ₹50L (Maharashtra).
  • Plus the 4.5-year tuition recovery clause at Deemed Universities.

The Round 2 joining decision is therefore not just a counselling decision — it is a multi-year MBBS commitment to that specific college. The shared database was implemented precisely to prevent the pre-2021 seat-blocking practice where candidates held multiple seats across MCC and state boards.

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The online Relieving Letter and the double-fee dilemma

The two operational details that catch families off-guard when an upgrade actually materialises.

The online Relieving Letter

When a candidate is upgraded from Round 1 College A to Round 2 College B, transferring between the two requires more than just walking out of College A:

• Physical signed note from College A's principal is legally invalid. Even if the principal happily writes one.
• College A must log into the MCC portal and generate an online Relieving Letter through the official MCC system.
• The online Relieving Letter is timestamped, digitally signed, and visible to College B's admission cell through MCC.
• Without this online Relieving Letter, College B cannot process the candidate's admission — even if the candidate has the Round 2 allotment letter in hand.

In practice, the process:

1. Candidate downloads Round 2 allotment letter from MCC dashboard.
2. Candidate visits College A's admission cell, presents the Round 2 allotment letter, and requests the online Relieving Letter + original documents.
3. College A's nodal officer logs into MCC, marks the candidate as "relieved", and generates the online Relieving Letter.
4. College A returns the candidate's original certificates (Class 10, 12, ID, etc.).
5. Candidate proceeds to College B with the original documents, Round 2 allotment letter, and the online Relieving Letter (visible to College B via MCC).
6. College B processes admission against the online Relieving Letter status.

Some Round 1 colleges, particularly in cycles where their seats are being lost to upgrades, slow-walk the Relieving Letter process. If you face delays, escalate to MCC through the official grievance redressal portal at mcc.nic.in — the MCC has explicit timeline mandates for Relieving Letter issuance.

Administrative processing deductions

Round 1 colleges typically deduct a small administrative processing charge from the first-year fee refund:

• Government colleges: ₹1,000 - ₹5,000.
• Deemed Universities: ₹5,000 - ₹15,000 (some retain higher amounts as "documentation charges").

The remaining fee is refunded by bank transfer or Demand Draft. Processing time: typically 7-30 working days from the date the candidate completes College A's exit formalities.

The double-fee dilemma: liquid buffer required

The structural cash-flow problem: Round 2 college (College B) requires the first-year fee paid in full at admission. Round 1 college (College A) refunds after 7-30 working days. During the lag, the candidate's family must have liquid funds for both fees simultaneously.

Table 3: Liquid buffer requirement during upgrade

For families targeting Deemed-to-Deemed upgrades or even Deemed-to-government upgrades, the cash buffer requirement crosses ₹25L-₹50L. The refund from College A arrives weeks later, but College B's fee deadline is non-negotiable. Plan the liquid buffer in advance.

The resignation window: a narrow exit before Round 2

A specific operational nuance most coverage omits. Candidates who joined Round 1 but decide they don't want to participate in Round 2 upgradation AND don't want to continue at Round 1 college have a brief resignation window:

• Resignation deadline: Typically up to 2 days before Round 2 choice filling begins (specific date in the MCC Round 2 notification).
• Within the window: Free exit without forfeiture. The candidate exits MCC counselling cleanly.
• Past the window: The Round 1 seat is locked. The candidate is treated as having joined Round 2 once the Round 2 allotment is published, even if they didn't fill choices.

This window is the "second chance Free Exit" — but it operates between Round 1 and Round 2, not after. After the deadline, exit becomes financially costly.

NEET 2026 marking and timeline

Per NTA, NEET UG 2026 is a 180-question paper across Physics, Chemistry, and Biology, scored at +4 correct, -1 incorrect, 0 unattempted, out of 720. The Re-NEET on 21 June 2026 follows the identical pattern after cancellation of the original 3 May 2026 paper.

Compressed counselling calendar

• Re-NEET 2026: 21 June 2026.
• NEET 2026 result declaration: Mid to late July 2026.
• MCC Round 1 registration: Last week of July 2026.
• MCC Round 1 choice filling: Early August 2026.
• MCC Round 1 allotment: Mid-August 2026.
• MCC Round 1 reporting deadline: Last week of August 2026.
• Resignation window for Round 1 joined candidates: Approximately 2-3 days before Round 2 choice filling.
• MCC Round 2 choice filling: Late August to early September 2026.
• MCC Round 2 allotment: Mid-September 2026.
• MCC Round 2 reporting deadline: End of September 2026.
• MCC Round 3 (Mop-Up): October 2026.
• MCC Stray Vacancy: Late October to early November 2026.

The compressed 7-week timeline from Round 1 registration through Round 2 reporting forces fast decisions. Plan the upgradation strategy before NEET result week.

Strategic checklist for Round 1 to Round 2

The eight-step playbook for every Round 1-allotted candidate:

1. Assess the Round 1 allotment objectively. Is this college acceptable as the final outcome? If yes → join. If no → Free Exit and enter Round 2 directly.
2. Calculate upgradation probability. Use historical Round 2 movement data at your AIR band to model the realistic upgrade outcome. The NEET 2026 College Predictor provides this modelling against the 2024-2025 Round 1-to-Round 2 shift data.
3. Decide on the willingness form opt-in at Round 1 reporting. YES if you want upgradation; NO if you've decided Round 1 is final.
4. Plan the liquid buffer. Calculate the double-fee requirement using Table 3. For Deemed-to-Deemed upgrades, this can cross ₹50L. Have the funds in the registering bank account.
5. Fill Round 2 choices ONLY with higher-preference colleges. Listing equal-or-lower-preference colleges is a self-inflicted strategic error.
6. Verify the upgradation flag on the MCC portal after Round 1 reporting — make sure the college's nodal officer has correctly marked you as "willing for upgrade".
7. If upgraded in Round 2: Immediately initiate the online Relieving Letter process at Round 1 college. Don't delay. Round 2 reporting deadlines are strict.
8. Track the resignation window if changing your mind. If you joined Round 1 but want to exit without Round 2 upgrade, resign within the 2-day-before-Round-2-choice-filling window.

For an AIR-to-college mapping and Round 1-to-Round 2 movement probability for your category, run your projected NEET 2026 score through the NEET 2026 College Predictor →. To work backward from your target Round 2 upgrade college to the AIR you need to hit between now and 21 June, use the NEET 2026 cut-off target tool.

Frequently asked questions

Q: What is upgradation in NEET UG counselling? Upgradation is the conditional pathway that allows a candidate allotted a seat in Round 1 to receive a higher-preference seat in Round 2. It requires four discrete actions: physical reporting at Round 1 college, opting "YES" on the willingness form (online + physical), filling fresh Round 2 choices limited to higher-preference colleges, and (if upgraded) retrieving the online Relieving Letter and reporting to the Round 2 college.

Q: Will I lose my security deposit if I don't join my Round 1 allotment? No. MCC Round 1 operates a "Free Exit" rule. If you don't report at the Round 1 allotted college within the reporting deadline, the allotment is automatically cancelled, your security deposit (₹10,000 UR/EWS · ₹5,000 reserved · ₹2,00,000 Deemed) is fully refunded, and you can directly enter Round 2 choice filling.

Q: Can I retain my Round 1 seat after upgradation if I don't like the Round 2 college? No. Upgradation is unidirectional. The moment Round 2 allots an upgrade, your Round 1 seat is permanently cancelled and returned to the seat pool. You cannot revert to the Round 1 college under any administrative or legal mechanism.

Q: What happens if I am allotted a Round 2 seat but don't join? Your security deposit is forfeited (₹10,000 for UR/EWS at AIQ; ₹2,00,000 at Deemed). You can enter MCC Round 3 (Mop-Up) only after paying fresh registration fee and security deposit through "Reset Registration". The state counselling tracks remain accessible, but only if you have not joined any other MCC seat.

Q: Can I participate in state quota counselling after joining a Round 2 MCC seat? No. Under Supreme Court directives in Nihal Ahmed v. Union of India, MCC operates a shared database with all state counselling authorities. The moment your record shows "joined Round 2" in MCC, every state counselling board's software automatically blocks you from further allotment. The Round 2 MCC seat becomes your legally binding final allocation.

Q: How long does it take for my Round 1 college to refund the fee after I upgrade? Typically 7-30 working days from the date you complete Round 1 college's exit formalities. The refund is processed via bank transfer or Demand Draft to the original payment account, minus a small administrative processing charge (₹1,000-₹5,000 at government colleges; ₹5,000-₹15,000 at Deemed Universities).

Q: Do I need an online Relieving Letter to join my Round 2 upgraded college? Yes. A physical signed note from the Round 1 college principal is legally invalid for MCC counselling. The Round 1 college must log into the MCC portal and generate an official online Relieving Letter, which is digitally signed and visible to the Round 2 college's admission cell through the MCC system. Without this online Relieving Letter, the Round 2 college cannot process your admission.

The bottom line

Round 1 to Round 2 upgradation in MCC counselling is a four-action sequence — report + opt-in + fresh choices + execute — with a Round 1 Free Exit safety net and a Round 2 lock-in trap. The candidates who execute clean upgrades in 2026 will be those who modelled their Round 1 allotment realistically before deciding whether to join (Scenario 1) or use Free Exit (Scenario 2), opted into the willingness form correctly at Round 1 reporting, restricted Round 2 choices to only higher-preference colleges, arranged the double-fee liquid buffer (potentially ₹50L+ for Deemed-to-Deemed upgrades), and understood that joining a Round 2 seat locks them out of every other counselling round via the Supreme Court-mandated shared database. The Round 1 "join + opt for upgrade" path is the optimal default for any acceptable allotment; the Round 1 Free Exit path is the optimal default for any allotment the candidate would never accept as final.

Map your projected NEET 2026 AIR against the realistic Round 1-to-Round 2 upgrade probability for your category using the NEET 2026 College Predictor →. Then use the NEET 2026 cut-off target tool to work backward from your top three target Round 2 upgrade colleges to the marks band you need to hit between now and 21 June. The four weeks left to the Re-NEET reward accuracy ratio across the 600-680 band — and the upgradation discipline you exercise in August (opting in correctly, filling only higher-preference Round 2 choices, arranging the liquid buffer, tracking the resignation window) is the operational multiplier on whatever AIR your Re-NEET produces.

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Official references: Medical Counselling Committee, Directorate General of Health Services (mcc.nic.in) · MCC UG Counselling Information Bulletin 2025 for round-wise upgradation rules, willingness form mechanics, security deposit forfeiture conditions, and online Relieving Letter procedure · Supreme Court orders in Nihal Ahmed v. Union of India and subsequent administrative directives on AIQ-state shared database mandate · National Testing Agency (neet.nta.nic.in) · National Medical Commission seat register 2025-26 (nmc.org.in) · State counselling boards including KEA Karnataka, DGME UP, CET Cell Maharashtra, DME Tamil Nadu, BCECEB Bihar, CEE Kerala, WBMCC West Bengal, ACPUGMEC Gujarat, DME MP, Rajasthan NEET UG Board, Dr. YSRUHS Andhra Pradesh, KNRUHS Telangana for cross-track upgradation policy. Fee figures and security deposit tiers reflect MCC 2025 bulletin and are subject to 2026 cycle revisions. Upgradation procedures, willingness form formats, and Relieving Letter mechanics are administered through the MCC portal and subject to operational updates; verify current rules at mcc.nic.in before Round 1 reporting.