New Leadership at Haryana Financial Corporation

Sushil Sarwan, an IAS officer from the 2012 batch, has been appointed as the new Managing Director of Haryana Financial Corporation (HFC). He succeeds Dr. Aditya Dahiya, IAS, following an order from the State Government of Haryana.

Management Change Announced

Haryana Financial Corporation (HFC) officially notified the Bombay Stock Exchange (BSE) of the appointment. Sushil Sarwan, an Indian Administrative Service (IAS) officer of the 2012 batch, began his term effective March 19, 2026, succeeding Dr. Aditya Dahiya, IAS.

Why This Matters

This leadership change is critical for HFC, a state-owned entity focused on promoting small and medium-sized enterprises (SMEs). The corporation has not sanctioned new loans since 2010 and faces ongoing questions about its financial future, making the new MD's strategic direction vital.

Company Background

Founded in 1967, HFC was established by the Government of Haryana and IDBI to provide financial support to industries. It was the first state-level financial institution to go public in 1995 and is listed on the BSE. Sushil Sarwan previously worked with HFC and held key administrative roles, including Deputy Commissioner in Kurukshetra and positions at HSIIDC. His predecessor, Dr. Aditya Dahiya, an IAS officer from the 2011 batch, had taken charge in November 2025.

New MD's Focus Areas

Under Sushil Sarwan's leadership, expectations are for a re-evaluation of HFC's strategic direction and potential revival strategies. An increased focus on governance and financial prudence is anticipated, alongside close coordination with the Haryana government on the corporation's future path.

Key Risks and Challenges

HFC faces significant hurdles. Its auditor flagged doubts in the latest annual report (ending March 31, 2025) about the company's ability to continue as a going concern. Past discussions have also explored winding up or liquidating HFC. The prolonged halt on fresh loan sanctions since May 2010 limits its operational capacity. Furthermore, like other State Financial Corporations, HFC contends with competition from banks and NBFCs that typically have better access to funding.