Lok Sabha Question No. 3810 (UNSTARRED), answered on 2026-03-16
Subject: Irregularities in NSDC
Ministry: SKILL DEVELOPMENT AND ENTREPRENEURSHIP
Asked by: Shri Asaduddin Owaisi

## GOVERNMENT OF INDIA

## MINISTRY OF SKILL DEVELOPMENT AND ENTREPRENEURSHIP

## LOK SABHA

## UNSTARRED QUESTION No.3810

ANSWERED ON 16/03/2026

## IRREGULARITIES IN NSDC

## 3810.  SHRI ASADUDDIN OWAISI:

Will the Minister of SKILL DEVELOPMENT AND ENTREPRENEURSHIP be pleased to state:

- (a) whether the Government is aware of the alleged serious irregularities at the National Skill Development  Corporation  (NSDC),  including  financial  misappropriation  and  illegal appointments/extensions of the officers and if so, the details thereof;
- (b) whether  these  lapses  undermine  NSDC's  goal  to  skill  25  million  persons  amid  the demographic  dividend,  resulting  in  poor  skilling  and  employment  outcomes  and  if  so,  the details of the affected outcome;
- (c) whether  the  blacklisted  vocational  training  providers  under  Pradhan  Mantri  Kaushal Vikas Yojana (PMKVY) have been implicated in ghost trainees, fake attendance and empty facilities and if so, the details thereof;
- (d) the  details  of  action  taken  by  the  Government  against  errant  officials,  including  the status of police probe and recoveries made so far; and
- (e) whether a detailed audit, overhaul of the corporation and governance reforms are being undertaken and if so, the timeline thereof?

## ANSWER

THE  MINISTER  OF  STATE  (INDEPENDENT  CHARGE)  IN  THE  MINISTRY  OF  SKILL DEVELOPMENT AND ENTREPRENEURSHIP

(SHRI JAYANT CHAUDHARY)

- (a) to (e)      National Skill Development Corporation (NSDC) is established as a not-for-profit public limited company under section 25 of the Companies Act, 1956 (now corresponding to section  8  of  the  Companies  Act,  2013).  It  operates  as  a  Public  Private  Partnership  (PPP) model with 49% of the share capital held by the government and 51% by the private sector. The  apex  authority  for  any  administrative  decisions  of  NSDC  is  the  Board  of  Directors  of NSDC.

Since inception, 1.64 Crore candidates have been trained under PMKVY.

NSDC as implementing agency for Pradhan Mantri Kaushal Vikas Yojana (PMKVY) receives complaints  from  time  to  time  relating  to  non-compliance  of  scheme  guidelines  by  certain Training  Partners  (TPs)  and  Training  Centres  (TCs)  engaged  under  skilling  programmes. These include issues such as non-adherence to prescribed processes, gaps in documentation, or deficiencies in training delivery. Whenever such complaints are received, they are examined as per established procedures.  These centres are monitored through both physical  and  virtual  modes.  Strict  legal  and  administrative  actions  including  filing  of  FIRs, blacklisting,  suspension,  and  financial  recovery  are  initiated  against  non-compliant  TPs/TCs involved in activities such as falsification of attendance records.  As on 31.12.2025, a total of 178 Training Centres has been blacklisted under PMKVY 4.0 for non-adherence to scheme guidelines.  Further,  41  FIRs  have  already  been  registered  in  matters  involving  serious irregularities, including falsification of attendance records.

The Government continuously monitors the quality of training and placement outcomes under its  skilling  programmes,  including  PMKVY  through  audits,  evaluations,  media  reports,  or stakeholder  feedback.  To  address  these  concerns,  monitoring  mechanism  have  been strengthened  through  mandatory  Aadhaar  based  authentication,  including  attendance  via Face-Authentication and the Aadhaar Enabled Biometric Attendance System (AEBAS), Aadhaar based verification of candidate credentials, mobile number authentication, and an expanded role of third-party assessment bodies.

To  improve  quality,  transparency,  and  uniformity  in  the  implementation  of  PMKVY,  the Government has undertaken several measures from time to time. Oversight mechanisms have been  strengthened  through  technology-enabled  systems  such  as  Direct  Benefit  Transfer, registration process on Skill India Digital Hub (SIDH) ensures e-KYC compliance, maintaining of  all  Management  Information  System  (MIS)  through  SIDH  portal  to  check  duplication  of candidates,  etc.  A  structured  grievance  redressal  mechanism,  performance  audits,  impact assessments,  and  third-party  evaluations  have  been  institutionalized  to  curb  malpractices, including  falsification  of  attendance  records.  Additional  measures  include  real-time  call validations, surprise inspections of TP's/TC's, virtual verification with geotagged evidence, and candidate  feedback  through  the  NIC-developed  Central  Communication  Layer  (CCL)  have also  been  implemented.  Under  PMKVY  4.0,  training  is  being  conducted  only  through accredited and affiliated Training Centres (TCs).

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