However, Subramanyam told The Financial Express that he was unaware of the development. Subramanyam had served IDBI in various capacities during the past 25 years before occupying the post of executive director.

The post of UTI chairman was lying vacant ever since GP Gupta was shifted as the IDBI as chairman and managing director in June this year.

During the period UTI executive director PJ Nayak was officiating as acting chairman.

The finance ministry had appointed a three-member committee comprising the Reserve Bank of India deputy governor SP Talwar, the IDBI chairman GP Gupta and the State Bank of India chairman MS Verma to make the selection.

IDBI owns 50 per cent of UTI and under the procedures laid down in the UTI Act, the development financial institution has torecommend the names of probable candidates to head the trust.