1) The Industrial policy of the Government of Telangana envisages among other things as under:
i. Hyderabad is home to number of internationally and nationally reputed educational and research institutions, ICRISAT, CRIDA, CCMB, IICT, DRDL, NIPER, IIT, BITS, IIIT, ISB, UOH and OU are some of them. The Government intends to harness the talent available in these institutions to the fullest, in order to benefit the industrial sector by bringing new ideas, new innovations, new technologies, new products and services to make the industries in Telangana globally competitive. The Government recognizes the present gaps in the innovation entrepreneurship – investment ecosystem, that has prevented the full utilization of the research and development work taking place in these institutions.
ii. The Government therefore intends to create a platform to be named Research and Innovation Circle of Hyderabad or RICH in short, as a Section 8 under Companies Act 2003 that will link the research institutes, academia and industry along with venture capitalists, angel investors and Incubation Funds. Through this mechanism, innovation will be encouraged and commercialization of research will be promoted. RICH will focus on the core industrial sectors outlined earlier in this policy. To supplement RICH and encouraged innovation and incubation, the Telangana State Government will create a
Research to Market Fund (RMF) to fund entrepreneurial activity, and provide a matching contribution up to Rs 100 crores to the fund for amounts contributed by private venture capitalists and angel investors.
iii. The endeavour of linking up the technical educational institutions, technical education students and the industry will also be taken up by RICH. RICH will create a model of strong industry – institution linkage that will ensure practical training for all technical graduated in the industry, making them readily employable on completion of their college courses.
2) The Government of Telangana has therefore proposed for establishment of a Research and Innovation Circle of Hyderabad ( RICH ) as a non profit company u/s 8 of Companies Act 2013.
3) Objectives of RICH :
• To link the potential of Academic and Research Institutes in and around Hyderabad under one umbrella.
• To foster bi-directional linkage between (and within) Research Institutes and the Industry and Entrepreneurs.
• To spin-off technologies / innovations from academic and R&D institutions and create innovate start-ups in hi-potential sectors where there is maximum impact in terms of employment generation, economic value creation and societal impact.
• To bridge the gap between Industry and Academia, encouraging applied research and commercialisation thus aiming to create an environment where innovation is encouraged, and assist in the formation of new enterprises and in the growth of existing small enterprises.
• To act as training and networking Centre for innovators and start-up ventures for establishing proof of concept of their ideas.
• To act as a pipeline for recommending promising ventures to the Research to Market Fund (RMF) for funding.
4) RICH is a non-profit company with Academic and Research Institutions, Industry, Groups and Corporate Houses and Eminent Industry Leaders as its equity shareholders.
5) After careful examination of the matter, the Government hereby accord approval for setting up of Research and Innovation Circle of Hyderabad (RICH) as a non Government and non profit company u/s 8 of Companies Act 2013 with public private partnership covering research institutions and academic institutions
6) The Government have already created a Head of Account for this purpose as under:
RICH – 2852-80-800-25-19-310-312
7) The following persons shall be the first Directors of the proposed Company.
I. Sri. Jayesh Ranjan IAS, Principal Secretary (Industries & Commerce) Department, Government of Telangana..
II. Sri. E. Venkat Narasimha Reddy, Joint Managing Director, Telangan State Industrial Development Corporation.
III. Sri. Ajit Rangnekar, Former Dean, Indian School of Business, Hyderabad.
8) The proposed Company under section 8 of the Company Act-2013 shall be a private limited company as defined under section 2(68) of Act.
9) The Principal Secretary to Government (Industries & Commerce Department) is authorized to finalize other operational modalities and sign necessary applications, subscribe to the Memorandum and Articles of Association and such other documents as may be required to obtain name, license and incorporate the Company.
10) For the incorporation, registration fees as stipulated under Rule 12 of Companies (Registration offices & Fees) Rules 2014 is to be paid to the Ministry of Corporate Affairs and also incur incidentals such as stamp duty and professional fees etc,. In view of this, sanction is hereby accorded to incur expenditure with regard to the incorporation of the “Research and Innovation Circle of Hyderabad (RICH)” from the funds of “Government of Telangana” and permit the Principal Secretary to Government, Industries &
Commerce Department, to take up the incorporation process. Principal Secretary (IT&C) is authorized to engage consultants to incorporate aforesaid Company. The expenditure for this purpose shall be initially met by Telangana State Industrial Development Corporation and later reimbursed from the Budget provision for RICH.
11) The proposed RICH shall be headed by a Director General with supporting staff. The staff structure shall be evolved and finalized by the Board of the RICH. Separate orders for appointment of the Director General for the RICH, will be issued by the Government..
12) Joint Managing Director, Telangana State Industrial Development Corporation shall take further necessary action accordingly.