GOVERNMENT OF KARNATAKA
No.DDPER 35 ARU 2005 Department of Disinvestment and State Public Sector Enterprises Reforms,
V.V. Main Tower, Bangalore – 1, dated 07-05-2003.
Subject : Duties and responsibilities of Chairmen, Chief Executive and Part-time official and non-official Directors of Public Sector Enterprises (PSE).
Reference : (1) Chief Secretary’s D.O. No. DPAR (BPE) 5 MAU 80 dated 27-11-1980
(2) Official Memorandum No. DPAR (BPE) 2 SBD 81 dated 02 March 1981 and No. even dated 21st April 1981.
(3) Chief Secretary’s D.O. No. DPAR (BPE) 7 MAU 81 dated 25th April 1981.
In the communications cited under reference above, Government had earlier issued a fairly comprehensive set of guidelines on the roles, responsibilities and functions of Chairmen, Chief Executives and Part-time official and non-official Directors of Public Sector Enterprises. In the wake of Public Sector Reforms and overall need to economise expenditure in PSE’s, it is necessary that the PSE’s are run and managed effectively and efficiently by the Chief Executives. In this task, they need to be supported by the Board, which is primarly the policy making body of the PSE.
2. Recently, Government reconstituted boards of several PSEs with induction of non-official Chairmen and part-time Directors. Most of them may not be aware of Government policies and instructions relevant to their roles, powers and functions. As a result, difficulties have been experienced in functioning of Board of Directors of certain PSEs after appointment of non-official Chairman/Directors. While reiterating the existing guidelines, instructions on the roles, responsibilities and functions of Chairman, Executive and Part-time official and non-official Directors, it is considered necessary to further emphasise specifically the following:
4. It is hoped that these instructions would enable the Chief Executives of PSEs to discharge their functions effectively and efficiently taking due advantage of the expertise and varied experience of Chairmen and Part-time non-official Directors and to extend them full co-operation, courtesy and advice. Government expects Administrative Secretaries and official part-time directors to play their roles actively with a view to improving the performance of PSEs, especially those which are financially weak.
All Chief Secretaries of PSEs in the State
1. The Principal Secretary to Governor of Karnataka.
2. The Principal Secretary to Chief Minister of Karnataka.
3. Private Secretary to the Ministers and Ministers of State in Karnataka.
4. All Additional Chief Secretaries/Principal Secretaries to Government of Karnataka
5. All Heads of Departments.