Ministry Of Education Questions IIM Rohtak Director’s High Salary Amid Financial Irregularities

A recent case involving IIM Rohtak’s director, Dheeraj Sharma has emerged on the internet after receiving an excessively high salary. Dheeraj has drawn an annual salary of Rs 3.2 crore for a tenure of three years. His payment also included a variable salary which is 200 percent higher than his basic pay. As per the Indian Express, it led to the Ministry of Education raising concerns over this payment while citing an internal audit that flagged the irregularity. Despite these concerns, IIM Rohtak has maintained that the Board of Governors approved the director’s variable pay.

IIM Rohtak has also claimed these payments had previously been disclosed to the ministry nearly a year and a half ago. The institute also added that the Comptroller and Auditor General (CAG) reportedly have not identified any irregularities in the process.

The irregularities led to the President of India, Droupadi Murmu, lodging several complaints. Eventually, the internal audit wing conducted an investigation. The complaints also highlighted other financial irregularities including the issuing of mobile phones to the members of the faculty. Moreover, it was revealed that the variable salary was two times higher than the prescribed amount, violating all standard financial practices. This led to the Ministry of Education seeking clarification from IIM Rohtak twice. The ministry also urged the institute to identify everyone involved in the approval of payments.

As per the IIM Act, a director’s variable salary is determined by the Board of Governors. It is based on certain performance parameters but it was noted that the board’s approval for Dheeraj Sharma’s variable salary in 2018-19 and 2019-20 was received before the institute’s rules under the Act were informed. It made the entire rendering process void.

The financial irregularities aren’t the only offences Dheeraj Sharma has been alleged to. He has faced accusations of irregularities in appointments and financial management. Following amendments to the IIM Act granting more autonomy to 20 premier business schools, IIM Rohtak’s accounts came under scrutiny. Dheeraj has also been accused of misrepresenting his qualifications to secure the position of IIM Rohtak’s director. His appointment was challenged in the Punjab and Haryana High Court in 2016.