The depository would be established and operationalised within the next three months and would be rolled out throughout the country in 2017-18, the Union Cabinet decided today.
"The Cabinet has approved today establishment of NAD, this a really important milestone in higher education because it will bring transparency," HRD minister Prakash Javadekar said adding that "tampering, fake degrees will become a thing of the past".
Finance Minister Arun Jaitley's Budget speech in February had incorporated the commitment to establish a Digital Depository for certificates, degrees and other academic awards, on the pattern of a Securities Depository.
The NAD would be operationalised by NSDL Database Management Limited (NDML) and CDSL Ventures, Limited (CVL) -- two of the wholly-owned subsidiaries of the Depositories registered under Securities Exchange Board of India (SEBI) Act, 1992.
Academic institutions would be responsible for the authenticity of data digitally uploaded by them into the system.
It will provide digital or a printed copy of the academic award with security features to the students or other authorised users. NAD will verify academic awards online on the same day of request initiated by any authorised user.
Requests for access to academic awards from potential employers, and academic institutions would be only on the basis of consent of the student.
Speaking about the new IISER, Javadekar said that the government is keen to boost education in eastern India as well as focus on research.
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