RDI Scheme TDB conflict of interest: Govt calls media reports misleading
Synopsis
The government has gone on the offensive over conflict-of-interest allegations in the TDB’s RDI Scheme, releasing a detailed rebuttal that cites a standing CoI policy, mandatory recusal rules, and the fact that 15 of 22 funded projects were independently validated by a separate Ministry of Education panel. The defence is unusually detailed — and the specificity signals the Centre is bracing for more scrutiny.
Key Takeaways
The Ministry of Science and Technology on 31 July called media reports on TDB RDI Scheme conflict of interest ‘misleading, incorrect, and lacking proper context.’ TDB has a standing Conflict of Interest policy requiring full disclosure and recusal of any conflicted member from evaluation and sanction processes.
Of 22 projects approved in the first cohort, 15 were independently validated by expert panels under the Ministry of Education and represented India at the Bharat Innovate Event in Nice, France .
Detailed Pre-Investment Guidelines and SOPs were framed before the first Investment Committee meeting commenced.
The government says zero conflicted members were involved in evaluation or sanction of any proposal.
The Ministry of Science and Technology on Friday, 31 July pushed back sharply against media coverage alleging conflict of interest in the disbursement of funds under the Research, Development and Innovation (RDI) Scheme administered by the Technology Development Board (TDB), calling such reports “misleading, incorrect, and lacking proper context.” The ministry laid out a detailed account of the evaluation safeguards and merit-based selection processes it says are firmly in place.
What the Government Said
The ministry stated that a comprehensive Conflict of Interest (CoI) policy has been operational at TDB for an extended period “without any complaint, grievance, or irregularity reported from any quarter.” According to the official statement, the policy mandates full disclosure and complete recusal of any member with a potential conflict from all discussions and decision-making related to the entity in question.
“All funding decisions were taken purely on merit as per the Implementation Guidelines of the RDI Fund, with zero involvement of any conflicted members during the evaluation or sanction process of concerned proposals,” the ministry stated.
Independent Validation of Selected Projects
The government pointed to an independent corroboration of its selection process: out of 22 projects approved by TDB in its first cohort, 15 projects were separately identified by expert panels constituted by the Ministry of Education. Those 15 companies subsequently represented India at the Bharat Innovate Event held in Nice, France.
“This independent validation clearly demonstrates that the selected companies are truly cutting-edge Deep-Tech innovators, chosen entirely on technical merit, innovation potential, and national importance,” the ministry said.
Pre-Investment Guidelines and SOPs
The ministry also noted that TDB framed detailed Pre-Investment Guidelines and Standard Operating Procedures (SOPs) before the commencement of its first Investment Committee (IC) meeting. These guidelines explicitly define the conditions under which a potential conflict of interest arises and the steps that must follow.
Notably, the government’s rebuttal comes amid broader scrutiny of public funding mechanisms for deep-tech startups, as the RDI Scheme represents one of the Centre’s more ambitious bets on homegrown innovation. The ministry’s emphasis on documented SOPs and recusal protocols suggests it anticipates further questions on governance.
What Happens Next
The ministry has not announced any independent inquiry in response to the media reports, signalling confidence in its existing processes. Observers will likely watch whether the allegations resurface with additional specifics, or whether the government’s point-by-point rebuttal closes the matter. The broader RDI Scheme pipeline — and its subsequent cohorts — will remain under scrutiny as more funding decisions are made public.
Point of View
And it is a meaningful one. But the absence of an independent audit or ombudsman review leaves the rebuttal self-referential. As the RDI Scheme scales to subsequent cohorts and larger disbursements, the governance architecture — however well-documented on paper — will face more pointed questions.
NationPress
31 Jul 2026
Frequently Asked Questions
What is the RDI Scheme and who administers it?
The Research, Development and Innovation (RDI) Scheme is a government initiative to fund deep-tech innovation in India, administered by the Technology Development Board (TDB) under the Ministry of Science and Technology. It provides financial support to companies selected on the basis of technical merit and national importance.
What conflict of interest allegations were made against TDB?
Media reports alleged that there was a conflict of interest in the way TDB disbursed funds to companies under the RDI Scheme. The Ministry of Science and Technology has called these reports ‘misleading, incorrect, and lacking proper context,’ without specifying the exact nature of the original allegations.
How does TDB handle conflict of interest in its selection process?
TDB has a formal Conflict of Interest policy that requires any member with a potential conflict to make a full disclosure and recuse themselves completely from all discussions and decisions related to the concerned entity. The ministry says this policy has been followed without any complaint or irregularity.
What independent validation exists for TDB’s project selections?
Of the 22 projects approved in TDB’s first cohort, 15 were independently selected by separate expert panels constituted by the Ministry of Education. These 15 companies represented India at the Bharat Innovate Event in Nice, France, which the government cites as evidence of merit-based selection.
Will there be an independent inquiry into the TDB funding process?
The Ministry of Science and Technology has not announced any independent inquiry, indicating confidence in its existing SOPs and CoI mechanisms. The matter is likely to remain under public and media scrutiny as subsequent RDI cohorts are approved and disbursed.
