Nilekani panel moots pvt IT back offices for government

• The Nandan Nilekani-headed technology advisory group has recommended formation of private-owned bodies run by professionals and bureaucrats to act as IT back offices of the government.
• To be called National Information Utilities (NIUs), these bodies should be 51% owned by private firms having a net worth of at least 300 crore to self finance themselves, Nilekani said in his report presented to Finance Minister Pranab Mukherjee on Friday.
• Nilekani has suggested that the NIUs should be chaired by a joint secretary or a private professional with a term of five years. These bodies should not be allowed to list on the stock exchanges.
• NIUs would help in various IT projects like Tax Information Network, New Pension Scheme, National Treasury Management Agency, Expenditure Information Network and the Goods and Service Tax.
• About 5-6 NIUs are expected to be created, of which the GST network would be the first.
• The committee which has members such as Sebi Chairman CB Bhave and DoT Secretary R Chandrashekhar, was formed in February, last year as part of the Union Budget. It recommends that no single private entity should own more than 25% of the shares in an NIU.