The chairman of the National Skill Development Agency will have the rank of a Cabinet minister, who cannot hold office of profits . Ramadorai serves as a director of the board of various companies, reports CNBC-TV18's Sajeet Manghat.
On May 9, the cabinet approved formation of NSDA which is the National Skill Development Agency. S Ramadorai, who is chairman of National Skill Development Corporation (NSDC) was supposed to be appointed as the chairman of NSDA.
His appointment has hit a hurdle and that is primarily because he is holding directorship in various private sector companies. He is the vice-chairman of TCS " target="_blank" title="Tata Consultancy Services">Tata Consultancy Services (TCS), and also chairman of Bombay Stock Exchange.
This is creating conflict of interest as he is holding office of profit.
The government notified on June 6 or 7 that NSDA would be an autonomous body chaired by a person who will have status and rank of a cabinet minister.
Since there is an office of profit and conflict of interest associated to S Ramadorai, his appointment as the chairman of NSDA has hit a hurdle.
Government sources told CNBC-TV18 that they have received complaints from various parts on the same issue and these are with reference to the conflict of interest and office of profit.
However, a Tata Sons spokesperson said very categorically that there is no conflict of interest as far as Ramadorai's appointment as chairman of NSDA is concerned.
He went on to say that Ramadorai's role in the private sector is well-known to the government and he is helping the government empower and provide skills to people.
His association with the private sector brings along skills that are required across sectors and skill levels.
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