A panel set up by the Government has found ‘serious conflict of interest’ in the functioning of the National Skill Development Corporation, recommending that the Government review its role and create a strong oversight mechanism. In its report, the committee for Rationalisation and Optimisation of the Functioning of the Sector Skill Councils, chaired by Sharada Prasad, former D-G of Employment and Training (DGE&T), said the NSDC has not been able to discharge its responsibilities for setting up sector skill councils (SSCs).
Taking note of ‘lots of instances of serious conflict of interest and unethical practices’, the panel proposed that the work of setting up of SSCs should be transferred to the regulator, the National Skill Development Agency (NSDA).
It is of the view that as NSDC is a funding company in the nature of an NBFC, it should function under the relevant regulations. “The NSDC. Is using almost 100 per cent of Government funds without accountability. A strong oversight mechanism should be created for monitoring the outcome as a result of the funds provided by the Government,” the panel said.