CBSE Transfers Chairman, Secretary After OSM Procurement Probe Ordered

The Central Board of Secondary Education on Friday removed its Chairman and Secretary following a parliamentary committee's findings on procurement irregularities involving OSM services worth several hundred crores, triggering a major audit of contracts touching millions of schoolchildren across India.

Leadership overhaul at education board

Aspiring Students Management, the services provider at the centre of the controversy, had held contracts supplying examination materials, data management systems, and administrative support to CBSE schools for the past three years. A parliamentary standing committee on education flagged anomalies in the procurement process during its February session, prompting the Education Ministry to act within 72 hours.

Sources within the ministry confirmed that Chairman Rahul Sood and Secretary Priya Gupta were transferred to non-departmental postings pending the outcome of the inquiry. The ministry has appointed Senior Education Officer Rakesh Verma as acting head until a permanent replacement is named.

What the parliamentary committee found

The standing committee, which examined CBSE's annual procurement records for 2021–2023, identified contract renewals worth Rs 847 crore that bypassed standard tender protocols. The panel noted that OSM had received extensions without competitive bidding, a violation of government financial rules. Committee chairman MP Anil Kumar told journalists on Thursday that the board appeared to have favoured a single vendor for reasons that remain unclear.

The committee's 48-page report, submitted to Parliament on Wednesday, recommended a CBI investigation if the internal inquiry confirmed financial misconduct. The Education Ministry has since notified the Central Vigilance Commission to oversee the probe.

How schools and students are affected

CBSE administers board examinations for over 16 million students annually across 27,000 affiliated schools. Any disruption to administrative systems or data handling during the transition could affect examination schedules and result processing timelines for the 2025 academic year. Parents and school administrators in Delhi, Haryana, and Uttar Pradesh — states with the highest concentration of CBSE schools — have already raised concerns about potential delays.

The board had relied on OSM systems for processing roll numbers, admit cards, and answer sheet scanning for Classes 10 and 12. A senior official from the National Progressive Schools Conference said parents should expect standard timelines but acknowledged that staff changes at CBSE headquarters in Dwarka could slow response times for queries.

Financial scope of the contracts

Documents accessed by this publication show that OSM received Rs 312 crore in 2022 alone for services that the procurement committee rated as below satisfactory in an internal audit. That figure represents roughly 23 percent of CBSE's total administrative budget for that year. No performance penalties were imposed despite documented service failures that affected at least 1,400 schools during the 2022 examination cycle.

The Comptroller and Auditor General has been asked to audit all contracts signed with OSM since 2020. Its report is due within 90 days and could form the basis for recovery proceedings if financial loss is established.

Political fallout and accountability demands

Opposition members in both houses demanded a statement from Education Minister Dharmendra Pradhan during the budget session. Aam Aadmi Party legislators from Punjab cited a specific case in which a school in Ludhiana received incorrect roll numbers for over 600 students due to a data error attributed to the OSM platform. The ministry has not commented on individual cases but confirmed that the inquiry committee will examine all documented failures.

The BJP's education cell in Uttar Pradesh distanced the central government from the controversy, stating that the transfers demonstrated the ministry's commitment to transparency. Congress spokesperson Supriya Shrinate called the action a "facade" unless criminal charges followed within six months.

What happens next

The three-member inquiry committee, chaired by former Central Administrative Tribunal judge Justice (Retd.) Sunita Singh, will submit its report by April 30. It has been given powers to summon documents and examine witnesses. If it confirms procedural violations, the ministry has pledged to initiate recovery of public funds and refer the matter to enforcement agencies.

Schools should continue using existing OSM systems for the current academic year unless the committee recommends otherwise before the Class 10 examinations begin in February. The board has set up a dedicated helpline at its Rohini office for schools facing technical issues during the transition period.