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Compendium of Guidelines regarding Board Level Appointment in CPSE – Updated till 02.12.2022: DoP&T

Compendium of Guidelines regarding Board Level Appointment in Central Public Sector Enterprises (CPSE) – Updated till 02.12.2022: DoP&T

compendium-of-guidelines-regarding-board-level-appointment-in-cpse

Government of India
Ministry of Personnel, Public Grievances & Pensions
Department of Personnel & Training

COMPENDIUM OF GUIDELINES REGARDING BOARD LEVEL APPOINTMENTS IN CENTRAL PUBLIC SECTOR ENTERPRISES

(UPDATED TILL 02.12.2022)

I N D E X

Chapter Subject Page No.
1. Introduction 1-2
2. Board Level Appointments In CPSEs 3-19
(A) Authority 3
(B) Procedure 3
(C) Eligibility 11
(D) Time Schedule 12
(E) Appointment through other than PESB procedure 13
(F) Exemption of a post from the Rule of Immediate Absorption 15
(G) Guidelines for debarment of selected candidates failing to join 16
(H) General Instructions relating to Panel given by the PESB 16
(I) Scrapping of Panel proposed by PESB 17
(J) Authority to relax 17
(K) Designation of a Nodal Officer 17
(L) ACC Vacancy Monitoring System (AVMS) 17
(M) Other Instructions 18
3. Confirmation Procedure 19-20
4. Tenure of Board Level Appointments in CPSEs and Extension in Tenure 21-26
(A) Tenure Guidelines 21
(B) Extension in Tenure 21
(C) No Extension in tenure without the approval of the ACC 23
(D) Ad-Hoc Extension of Tenure 24
(E) Extension in service beyond the Age of Superannuation 24
(F) Important instructions in respect of sick CPSEs 25
5. Additional Charge Arrangements 27-29
(A) Guiding Principle 27
(B) Delegation of powers w.r.t. Additional Charge Arrangements : 27
I. Schedule ‘A’ and ‘B’ CPSEs 27
II. Schedule ‘C’ and ‘D’ CPSEs 29
(C) Posts located at considerable distance 29
(D) Additional charge not to be entrusted to Financial Adviser (FA) in the Ministry as a general rule 29
(E) Subsidiary Companies 29
6. Appointment of Non-Official Directors 30-33
1. Eligibility Criteria 30
(A) Criteria of Experience 30
(B) Criteria of Educational Qualification 30
(C) Criteria of Age 30
(D) Re-appointment 31
(E) Appointment in number of CPSEs at the same time 31
2. Initiation of proposals for appointment of Non-Official Directors 31
3. Proposal Not Received Prior To Four Months Of The Occurrence Of Vacancy 31
4. One Search Committee for all CPSEs 32
5. Competent Authority for appointment of NoDs 32
6. Time-Frame for appointment of Non-Official Directors 33
7. Validity of Panel of names recommended by DPE 33
8. Monitoring of vacant positions of Non-Official Directors 33
9. Proforma 33
10. Nomination of Independent Director of the Holding Company to the Board of the Subsidiary Company 33
7. Premature Termination / Non-Extension Of Tenure 34
8. Vigilance Clearance 35-37
(A) Fresh appointments 35
(B) Additional charge 36
(C) Validity of CVC’S clearance 36
(D) Extension 36
(E) Up-gradation of pay scales consequent on re- categorization of CPSEs 37
9. Public Enterprises Selection Board (PESB) 38-41
10. Handling of Court Cases relating to ACC 42
11. Miscellaneous Instructions 43-44
(A) Date of Superannuation 43
(B) Date of Effect 43
(C) Submission of Abstracts of ACRs 43
(D) Implementation of Orders of ACC 43
(E) Responsibility of Secretary of Concerned Administrative Ministry/Department 44
(F) Reconsideration of Orders of ACC 44
(G) Rectification of Any Discrepancies In Instructions 44
Appendix I Competent Authorities 45-47
Appendix II Procedural Requirements for submission of cases to the ACC 48-50

Chapter 1

Introduction

(A) Composition of Appointments Committee of the Cabinet (ACC)

{Auth: Cabinet Secretariat’s communication No.1/11/2014-Cab. dated 03.12.2014}

Prime Minister – Chairman
Home Minister – Member

(B) Broad functions of ACC

{Auth: Government of India (Transaction of Business) Rules, 1961 as amended from time to time – As available on website of the Cabinet Secretariat}

The broad functions within the jurisdiction of the Appointments Committee of the Cabinet as listed in the First Schedule of Government of India (Transaction of Business) Rules are:

(i) To take decisions in respect of appointments specified in Annexure I to the First Schedule to the Government of India (Transaction of Business) Rules, 1961; and to decide upon temporary up-gradation of post(s) to the level of Joint Secretary and above (namely, post(s) carrying Grade Pay of Rs.10,000/- in Pay Band-4 and above) for a maximum period of two years from the date of up-gradation and to decide upon temporary down-gradation of such post(s) for a specified period;

Note: The cases of temporary upgradation or down-gradation of posts are to be placed before the Appointments Committee of the Cabinet after completing requisite inter-Ministerial consultations including with the Department of Expenditure.

(ii) To take decisions in respect of empanelments specified in Annexure II to the First Schedule to the Government of India (Transaction of Business) Rules, 1961;

(iii) To decide all cases of disagreement relating to appointments between the Department or Ministry concerned and the Union Public Service Commission;

(iv) To decide cases of extension of tenure, under the Central Staffing Scheme(s) or relevant Central tenure norms, of officers belonging to the All India Services and other Group ‘A’ services beyond the prescribed limits;

(v) To decide cases relating to lateral shift of officers serving on central deputation;

(vi) To decide cases of premature repatriation of officers serving with the Central Government to their parent cadre or Department;

(vii) To decide cases relating to inter-cadre deputation or transfer of All India Services officers;

(viii) To decide cases of extension of service beyond the age of superannuation under Fundamental Rule 56(d);

(ix) To decide all cases of disagreement with the recommendations of the Search-cum-Selection Committee constituted in accordance with the statutory requirements or the relevant instructions of the Department of Personnel and Training in respect of officers of the rank or pay (pay band plus Grade Pay) equivalent to or higher than a Joint Secretary of the Central Government;

(x) To consider and decide representations, appeals and memorials from officers of the rank or pay (pay band plus grade pay) equivalent to or higher than a Joint Secretary in the Central Government, except from those working in the cadre, against adverse remarks;

(xi) To decide all cases of disagreement, including in the order of preference of the Public Enterprises Selection Board panel, between the administrative Ministry or Department concerned and the Public Enterprises Selection Board;

(xii) To decide all cases of inter-company transfers of Chairman, Managing Director and Functional Directors of Public Sector Undertakings between holding companies and subsidiaries and within the subsidiaries, including memorandum of understanding signing Public Sector Undertakings;

(xiii) To decide all cases relating to intra-company transfer of Managing Director and Functional Directors of Public Sector Undertakings, including Memorandum of Understanding signing Public Sector Undertakings; and

(xiv) To decide cases relating to employment or re-employment of any person, who has attained the age of superannuation, in any Department of the Government of India, any State-owned public corporation, company or enterprise, in a post, appointment to which requires approval of the Appointments Committee of the Cabinet.

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