IIM-Bangalore Being Denied Additional Power By Govt

Bangalore: The Human Resource Development (HRD) Ministry has denied the key amendments proposed by the Indian Institute of Management-Bangalore (IIM-Bangalore) to its fundamental law book aimed at ending government power over major decisions at the premier B-school.

As per sources, the HRD ministry has called seven proposed amendments to its memorandum of agreement (MoA) with the IIM “not acceptable” since the IIMs are public institutions. The IIM submitted its proposed MoA amendments to the HRD ministry in January.

The IIM-B Board of Governors (BoG) which finalized the amendment plan is headed by Reliance chief Mukesh Ambani. The ministry’s move has triggered concern at other IIMs too since they are seeking similar amendments to their MoAs with the government. Unlike his predecessors Arjun Singh and Murli Manohar Joshi, current HRD minister Kapil Sibal has encouraged the IIMs to seek greater autonomy.

According to the statement of an IIT Director they too have similar amendment proposals and hope the government will reconsider its position. But the government has deep reservations about some of the proposed amendments, which sources said could change the “fundamental character” of the IIMs from public institutions.

Moreover, the IIM-B proposals struck down include ending the government’s power to “take over the administration and assets of the Institute” if dissatisfied with its functioning, and making it mandatory for the government to obtain approval of the IIM’s Board of Governors (BoG) to probe irregularities.

The HRD ministry has also rejected a proposal to delete a clause that allowed the government a role in deciding the IIM’s mandate. The ministry in its response to the IIM has also pointed out that contrary to its proposal, the Institute cannot award degrees as it is neither a deemed university nor established under a central or state legislation.