Context:
On July 31, 2025, the Standing Committee on Finance, chaired by MP Bhartruhari Mahtab, submitted a report in Parliament highlighting key issues and recommendations related to the Prime Minister’s Internship Scheme (PMIS), Insolvency and Bankruptcy Code (IBC), and rising direct and indirect tax disputes.
Key Highlights:
Prime Minister’s Internship Scheme (PMIS)
- Budget Allocation:
- ₹2,000 crore allocated in BE FY25; revised to ₹380 crore in RE FY25.
- Current funds sufficient for the pilot phase, but require dynamic reassessment for scaling.
- Issues Identified:
- Exclusion of families of govt. employees deemed excessive.
- No support for living expenses hinders participation by candidates from remote or economically weak backgrounds.
- Poor monitoring of internship-to-employment conversion rates.
- Limited engagement with SMEs, startups, and regional organisations.
- Recommendations:
- Periodic and independent evaluation for transparency.
- Relax eligibility norms for marginalised and poor candidates.
- Establish a robust monitoring framework to track internship outcomes.
- Expand participation to diverse sectors and regions.
Insolvency and Bankruptcy Code (IBC)
- Issues:
- Delays in resolution and growing case backlog at NCLTs.
- Recommendations:
- Set up fast-track tribunals with strict timelines for high-priority IBC cases.
- Strengthen NCLT infrastructure and explore public-private partnership models, inspired by the success of Seva Kendras.
- Ministry of Corporate Affairs agreed to initiate reforms and expand tribunals to improve case disposal speed.
