Bhushan will take over as Additional Secretary and Financial Adviser (AS&FA) in the Steel Ministry, swapping postings with Machendranathan who would join the Civil Aviation Ministry in his position as Additional secretary.
Both Bhushan and Machendranathan belong to the 1979 batch of the IAS, though the former belongs to the Kerala cadre and the latter to the Tamil Nadu cadre.
For the past few months, Machendranathan was carrying out additional responsibility of AS&FA in the Civil Aviation Ministry, with Bhushan heading the aviation regulatory body.
In an abrupt move on Tuesday, Prashant Sukul, a joint secretary Civil Aviation Ministry got additional charge as DGCA chief, replacing Bhushan who was reportedly removed for taking a tough stand against Kingfisher Airlines, a charge denied by the government.
Interestingly, Bhushan's removal came six days after the Appointments Committee of the Cabinet (ACC) approved the extension of his term till this December.