Lok Sabha Question No. 833 (UNSTARRED), answered on 2019-11-21
Subject: Appointment of NSIC CMD
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: T.R.V.S. Ramesh

## GOVERNMENT OF INDIA

## MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES

## LOK SABHA UNSTARRED QUESTION NO.   833 TO BE ANSWERED ON 21.11.2019

## APPOINTMENT OF NSIC CMD

## 833.           SHRI T.R.V.S. RAMESH:

Will the Minister of MICRO, SMALL AND MEDIUM ENTERPRISES be pleased to state:

- (a) whether  a  non-teaching  person  has  been  appointed  as  CMD  of  National  Small Industries Corporation (NSIC) and if so, the details thereof;
- (b) whether  the  Ministry  bypassed  Public Enterprises  Selection Board  (PESB)  for appointment of CMD of NSIC and if so, the reasons therefor;
- (c) the details of standard selection procedure for CMD of NSIC;
- (d) whether the strategic corporation for SME was headless for more than one year when the MSME is the backbone of Indian economy and if so, the details thereof;
- (e) the  reasons  for  not  selecting  anybody  else  as  CMD,  NSIC  despite  shortlisting  of eligible candidates and conducting interviews;
- (f) the  expenditure  involved  in  this  process  and  the  reasons  that  decision  could  not  be taken earlier by saving Government resources; and
- (g) whether the Ministry in past ever appointed a person without domain expertise as full time CMD of NSIC and bypassing PESB and if so, the details thereof?

## ANSWER

## MINISTER OF MICRO, SMALL AND MEDIUM ENTERPRISES (SHRI NITIN GADKARI)

(a) to (g):     Appointment of CMD, NSIC is being done as per prescribed procedure. The post of CMD, NSIC had fallen vacant on 01.10.2018. For selection of Chairman-cum-Managing Director  (CMD),  National  Small Industries  Corporation Limited  (NSIC),  the  Standard Selection  Procedure  indicated  in  the  Guidelines  regarding  Board  Level  Appointments  in Central  Public  Sector  Enterprises  is  being  followed.  Public  Enterprises  Selection  Board (PESB) had conducted interview twice on 17.05.2018 and 17.07.2018 for selection of regular CMD of NSIC. PESB  in  its  minutes of the  meeting  held on 17.07.2018 had recommended that  the  administrative  Ministry may  choose  an  appropriate  course  of further action. Accordingly, with the approval of Appointments Committee of the Cabinet (ACC), Searchcum-Selection Committee (SCSC) chaired by Chairman, PESB was constituted for selection of  new  incumbent  for  the  post  of  CMD,  NSIC. The SCSC had conducted an  interview on 12.07.2019. The Committee did  not  find any suitable candidate  for the post and decided to see more candidates. In the meantime, Department of Personnel & Training vide communication dated 23.10.2019 has conveyed the approval of ACC for appointment of Shri Vijayendra, Joint Secretary, Department of Defence Production as Chairman-cum-Managing Director (CMD), National Small Industries Corporation Limited (NSIC) in the rank and pay of Additional Secretary under Central Staffing Scheme.

For  smooth  functioning  of  the  corporation,  with  the  approval  of  ACC,  additional charge  of  CMD,  NSIC  was  assigned  to  Senior  Officers  of  this  Ministry.  Other  than  the expenditure for advertisements of vacancy published in the newspapers, no expenditure has been incurred.

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