Question : Appointment of NSIC CMD

(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?

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), Search-cum-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.