Is it permissible to disburse the children's education allowance in the manner mentioned, and what should be done with previously received allowances if the disbursement is not permissible?

The answer to this question depends on the condition set by the granting authority, which must be adhered to without deception or trickery, based on the Almighty’s saying: ﴿O YOU WHO HAVE BELIEVED, FULFILL [ALL] CONTRACTS﴾ and the Prophet’s (peace be upon him) saying: “Muslims are bound by their conditions.” If the son is weak in the subject in question and the procedure is merely a formality that does not violate the condition of the granting authority, then there is no harm in disbursing the allowance. Otherwise, he is not entitled to it, and if he takes it, he must seek absolution from the granting authority or return an equivalent amount to them. If he cannot find a way to do that, then he should spend it on public welfare for Muslims or give it to the poor and needy.