Opposition calls Insurance Bill 'flawed', says govt policies help 'West Indian Company'

While addressing media, Leader of Opposition Mallikarjun Kharge said that the Insurance (Amendment) Bill has a number of flaws and demanded it should be sent to the Parliamentary Standing Committee.

New Delhi: A day after the Rajya Sabha passed Insurance (Amendment) Bill, 2021 that seeks to raise Foreign Direct Investment (FDI) in the insurance sector to 74 per cent, the Opposition claimed it is "flawed" and demanded that it be sent to the Parliamentary Standing Committee.

"The government has introduced a provision of ownership and control to foreigners. This Insurance Bill has a number of flaws. It must be sent to a Standing Committee," Mallikarjun Kharge, Leader of Opposition said addressing media on Friday,

Kharge took a pot shot at the government by likening the Prime Minister-led top brass to the erstwhile British East India Company. "There was a time when the East India Company had invested in our country and then ruled over us for 150 years. Now, there is a West Indian Company that believes in privatization. They have come from Gujarat and in order to help it, PM Modi keeps on bringing new policies."

The Congress leader also alleged that the central government plans to end the reservation system, a move which could affect OBCs, SC/STs and even those who belong to the Economically Weaker Sections (EWS).

The Opposition leaders in Rajya Sabha had strongly opposed the Insurance Amendment Bill, citing it would enable foreign companies to own and control insurance firms in the country.

"This government is finishing the public sector but still has the audacity to say that they are working for people. They claim to be 'self-reliance' but in this case, 'self' has gone, only 'reliance' has left. At the time when unemployment is at its peak, this government is bringing such bills which are going to affect the employment sector much more," said Manoj Jha, spokesperson, Rashtriya Janata Dal (RJD).

Tabling the bill on Thursday, the Union Finance Minister Nirmala Sitharaman had said the higher foreign investment will help insurance companies to meet their rising capital requirements and facilitate larger insurance penetration in the country.