In a move that took Public Sector Undertakings by surprise, ONGC on Tuesday informed the BSE that it has suspended its Director (Technical & Field Services) Shashi Shanker with immediate effect. This follows a communication from the Ministry for Petroleum and Natural on Monday that disciplinary proceedings against Shanker are being contemplated for delay in the tendering process.

Removal of directors or heads of PSUs has been heard of, but not suspension, multiple sources from State-owned entities told BusinessLine.

In fact, this has been unheard of in ONGC’s recent history as well.

Though appointment of a Director on PSU board is done by the Centre, since he is also an employee of the company, the Conduct, Discipline and Appeal Rules are applicable for such actions.

In a regulatory filing ONGC said, “The competent authority in exercise of the powers conferred under ONGC Conduct, Discipline and Appeal Rules, 1994, has placed Shashi Shanker, Director (T&FS) ONGC, under suspension with immediate effect.”

While no official communication was available for the exact reason for this decision or which specific tender, official sources were quick to point out that it had nothing to do with the ongoing ‘corporate espionage’ plaguing the Ministry. Now, a charge-sheet will be issued and inquiry conducted, another official said.

Good track record

Shanker, among the youngest on ONGC Board came with over decades of experience with company. He took charge on December 1, 2012 and was to demit office in March 2021.

Interestingly, he was termed as a performer par excellence and received various awards including the “Young Engineer Award” and “Drilling Engineer of the Year 1998”.

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