Subramanyam had served IDBI in various capacities during the past 25 years before occupying the post of executive director.

The UTI chairman's post has been lying vacant ever since G P Gupta was shifted to IDBI as its chairman and managing director in June this year. During the period P J Nayak, executive trustee, UTI, was officiating as acting chairman of the trust. Incidentally, Nayak, who was earlier with the Finance Ministry, was also in the race for the UTI chairman's post.

The Finance Ministry had appointed a three-member committee consisting of Reserve Bank of India deputy governor S P Talwar, IDBI chairman G P Gupta and State Bank of India chairman M S Verma to make selection.

IDBI owns 50 per cent of UTI and under the procedures laid down in the UTI act, the development financialinstitution has to recommend the names of the probable candidates to head UTI.

UTI is the largest mutual fund in the country with investible funds of over Rs 60,000 crore. US-64, the flag ship scheme of the UTI, is the most popular scheme in the country with a corpus of nearly Rs 22,000 crore.