Public sector banks such as Bank of Baroda, Canara Bank and Oriental Bank of Commerce may have to wait longer to get a Chairman, as the selection process will have to stat afresh. Based on suggestions given by a committee, the Government has cancelled the current selection process.
A statement issued by the Finance Ministry on Monday said the Government had cancelled the current selection process for appointment of Chairmen and Managing Directors (CMD) and Executive Directors in public sector banks.
“Eight posts of CMDs and 14 posts of EDs would require to be filled-up ‘de novo’,” a statement issued by the Ministry said. Apart from these banks, the post of CMD is vacant in Indian Overseas Bank, Syndicate Bank and United Bank of India.
The Government has decided that a fresh process for selection would have to be implemented for filling up the existing vacancies.
The Reserve Bank of India Governor or his nominee in the rank of Deputy Governor will be part of the new selection process. “The Government would fill up all these vacancies expeditiously. The Government has also decided to finalise a new process for selection of CMDs/EDs for all future vacancies,” it said.
Earlier, the Government constituted a committee to examine the current selection process for 2014-15.