Chawla retired from the CCI on Thursday, after a 43-year career as a civil servant from the Indian Administrative Service batch of 1973. He was the CEO of various Gujarat state-owned companies, was the economic counsellor in the Indian embassy in the US, was a member of the Insurance Regulatory and Development Authority, was the permanent secretary in various Indian ministries including finance, economic affairs and civil aviation, was on the board of the Reserve Bank of India and alternate governor at the World Bank and the Asian Development Bank, according to CAM’s press release.
Chawla has also held the role of chairman and managing director at Indian Petrochemicals and directorship at ONGC, added the release.
CAM managing partner Cyril Shroff commented in the release: “We are delighted to have Mr Chawla being part of our strategy advisory board. Given his rich and diversified experience, including various leadership positions, his guidance to the firm, would add immense value and depth to the firm.”
Chawla said: “It’s my pleasure to be part of the distinguished advisory board of Cyril Amarchand Mangaldas and I look forward to be contributing to the firm’s growth.”
CAM’s advisory board, formed on 9 August 2015, includes Infosys co-founder NR Narayana Murthy, HDFC chairman Deepak Parekh, Kotak Mahindra managing director Uday Kotak, Boston Consultancy Group (BCG) Asia Pacific chairman Dr Janmejaya Sinha, and former Amarchand Mangaldas partner Professor Umakanth Varottil.
Shardul Amarchand Mangaldas (SAM) – the other split-half of Amarchand Mangaldas – has traditionally had a strong competition practice. SAM senior partner Pallavi Shroff was the erstwhile Amarchand Mangaldas’ national head for the competition practice. Ireland and US-qualified competition expert Paku Khan used to be a director in erstwhile Amarchand Delhi’s competition practice.
CAM’s competition practice is headed by partner Nisha Kaur Uberoi.
CAM suffered mid-level attrition to the extent of nine lawyers towards the end of 2015.
Comments
1. Most former CCI chairmen or staffers, such as Vinod Dhall (now with TTA), Manas Chaudhuri (Khaitan), KK Sharma (his own firm), etc are working in the private sector after they've retired, so don't think there's anything particularly new about this.
2. I understand from someone at CAM that discussions between CAM and Chawla were consciously only initiated after his retirement, with the offer and acceptance having been finalised yesterday.
While I agree there's a debate to be had to potentially introduce cooling-off periods post retirement for those in certain positions, such as judiciary and certain regulators, I think there also needs to be recognition that these guys can't be expected to just fade into the background once they retire and never to work again.
I mean, for one, it'd be a waste of intellectual capital for them not to be utilised somewhere, surely?
Ashok Chawla is an upright man, there is no doubt in anyone's mind. One should respect his decision and also congratulate him.
Having said that, on the issue of propriety it may be clarified that the Chairperson above-named is only a part of CAM's advisory board. It is inconceivable that in such capacity, he would be involved in the day-to-day affairs of the firm. In any event, this is not the first case of its kind. Please note that Mr. Dhanendra Kumar, the first Chairperson of the CCI; has been associated with a reputed law firm ever since he demitted office in the year 2011.
I would also like to say, from first-hand knowledge, that the Chairperson above-named had been contacted on behalf of CAM only subsequent to his retirement. Hence, this is not a case of quid pro quo; as certain individuals posting comments here seem to think.
On the wider issue of former bureaucrats taking up post-retirement jobs, I am of the view that a cooling-off period while necessary and desirable, cannot operate as a blanket ban. Otherwise, those in the private sector only stand to lose out on the benefit of the vast experience gained by such individuals in the course of their career in the government.
Former Chairmen / Acting Chairmen = Must have latest accessory for law firms
CAM far behind SAM and TTA on competition. Clever move to catapult them over Dhallest and all the others.
As pointed out in comment 2.3.2 below, I believe the controversy in this thread partly arises from the following Section 12 of the Competition Act, which prohibits CCI members from taking employment with 'any enterprise that has been a party to a proceeding' for two years from their retirement (see below).
I would assume that Chawla's appointment was done on the basis of CAM never having itself been a party before the CCI but only an adviser, and therefore not being caught by the restriction.
Qualified lawyers, on the other hand, such as the above, could be exempt from section 12 on the basis of not taking employment but practising as a lawyer, which theoretically under the Advocates Act is not in employment but as an independent lawyer under retainer.
[quote]12 Restriction on employment of Chairperson and other Members in certain cases. —The Chairperson and other Members shall not, for a period of [two years] from the date on which they cease to hold office, accept any employment in, or connected with the management or administration of, any enterprise which has been a party to a proceeding before the Commission under this Act: Provided that nothing contained in this section shall apply to any employment under the Central Government or a State Government or local authority or in any statutory authority or any corporation established by or under any Central, State or Provincial Act or a Government company as defined in section 617 of the Companies Act, 1956 (1 of 1956). The Chairperson or a Member shall not, for a period of two year from the date on which they cease to hold office, accept any employment in or connected with the management or administration of any enterprise which has been a party to a proceeding before the Commission. However, such a restriction of employment shall not apply in case of any employment under the Central Government or a State Government or a local authority or a statutory authority or corporation established by a Central, State or Provincial Act, or in Government company.[/quote]
Any professional services or consultancy firm would have not thought twice to make an offer to him.
Good decision Sir, my best wishes to you and CAM you are always ahead of the curve.
What is the fuss about. Only that he has gone to CAM and so quickly. Others have at least waited a few months before joining other firms.