NEW DELHI - The government panel tasked with framing guidelines for the transfer of Indian central bank's surplus reserves is likely to submit its report by June end, the head of the panel said on Wednesday.

The panel has sought an extension over the stipulated 90 days period to finalise the report, Bimal Jalan, the head of the panel, told reporters.

The panel was set up after a controversy between the Reserve Bank of India and Prime Minister Narendra Modi's government erupted over how much of the profit made from central bank's trading in bonds and currencies should be transferred to the government, and how much should be retained to build up reserves.

(Reporting by Aftab Ahmed, Writing by Manoj Kumar; editing by Gopakumar Warrier) ((Sudarshan.Varadhan@thomsonreuters.com; +911149548059; Twitter: https://twitter.com/turvytopsy @turvytopsy; Reuters Messaging: sudarshan.varadhan.thomsonreuters.com@reuters.net))