Uti May Have 2 Executive Trustees

The Unit of Trust of India (UTI) may have two executive trustees once the UTI Act is amended. The executive trustee post has been lying vacant ever since P J Nayak shifted to UTI Bank as its chairman and managing director.

According to sources, the government is not in favour of appointing the senior-most executive director, K G Vassal, as an executive trustee at the moment. "He has never handled finance. All along he has been tackling legal and HRD issues.

Ideally, there should be two executive trustees and Vassal can be one of them," said a source in New Delhi. UTI chairman M Damodaran is believed to have forwarded the idea to the Centre.

Vassal, who was the acting-chairman of UTI for over a week after Subramanyam's exit and before Damodaran took over, was expected to be appointed as the executive trustee.

UTI is in the process of restructuring its board. It has brought in Jaimini Bhagwati, joint secretary, capital markets division, on the board in place of N S Sekhsaria of Gujarat Ambuja. Chief executive officers of some financial intermediaries as well as the central bank representative may be replaced with professionals. The trust is also revamping all internal committees with representatives from outside the UTI.