Arun Kumar Pillai was appointed as the new CEO of NSDC in January 2026, following the abrupt removal of Ved Mani Tewari in May 2025.
In October 2025, the Centre blacklisted 178 skilling centers accredited under PMKVY, advising states to be cautious of proposals from these entities.
The Skill Development Ministry filed a police complaint on August 1, 2025, alleging misappropriation of funds by senior NSDC officials.
A CAG audit of PMKVY from 2015-2022, covering an outlay of Rs 14,450 crore, revealed irregularities including fake bank accounts and non-payment to training partners.
Detailed Insights:
The removal of the previous CEO was communicated through a public notice, and a committee of senior officials oversaw NSDC until the new appointment.
The police complaint alleged illegal appointments and extensions made without board approval, raising concerns about potential misuse of government funds.
The CAG report highlighted ineffective coordination between central and state departments and unreliable monitoring mechanisms within NSDC.
The audit cited poor oversight by the Ministry and deficiencies in skill center inspections, including non-functional biometric attendance devices.
178 training partners were blacklisted across 18 states, with the highest numbers in Uttar Pradesh, Delhi, Madhya Pradesh, and Rajasthan.
An internal audit into financial irregularities within NSDC has been initiated following the former CEO’s exit, in addition to 41 FIRs filed by the police in states.
Key Concepts Involved:
NSDC (National Skill Development Corporation): An organization under the Ministry of Skill Development responsible for implementing skill development programs.
PMKVY (Pradhan Mantri Kaushal Vikas Yojana): A flagship skill development scheme of the Indian government aimed at providing vocational training and certification.
CAG (Comptroller and Auditor General): The constitutional authority in India responsible for auditing the accounts of the Union and State governments.