ɽ ʤɱEֱ {ɹ] xɽ * < <ƶx E{x E +] xVɨ] E{x x E{xV E +Mɮ bɪɮE]-<xbɪɮE] ]E + <]] M, V x E{x E V S+ b M, +Mɮ ɽ +] xVɨ] E{x xE +ɪM, = x + V<] xSɮ E{xV E +V xVɨ] E{xV E E] Ex E E< bɪɮE] + <xbɪɮE] +vEɮ M i E M* ɽ ɽ M E ʴMV ɮ M, <bx ʴMV M* +{E < <ƶx E{x E =nɽh ni -

They are mobilising Rs.30,000 crore per annum. Out of that, almost Rs.16,000 crore is their profit and this amount is invested somewhere every year.

]] B.+<.. E ɴ J Ec {ɪ Vn E <xɴ]] Sɱ * <ƶx E{x E V x <xE E , ɽ <xɴ]] E{x * + < <xɴ]] E{x + +] xVɨ] E{x E ɮ EʮʡEx + M<b<x E x +ɴɶE * +] xVɨ] E{x Eix |ʡ] M, = Eix ʴǺ n VɪM, = Eix ʴǺ SVV n VɪM, <E ɮ M<b<x +ɴɶE * x BE EV Vɰ bɱ n Vɺɨ E V<] xSɮ <ƶx E{x E |ʡ]ʤʱ] E ɮ x {ɹ] E * Ex =xE <xbɪɮE] |ʡ] BEɪɮ Ex E V q , =xE ɮ EU Ex E +ɴɶEi *

={vI ɽn, +{E vɨ ʴii j V E vx +Eʹi Ex Sɽi E + nҴɱ E ɨɪ ֨< ]E BESV E <bE i nx i {<] Mɮ, E Mɮ? +xE +Jɤɮ <E ɮ +ɪ* ֨< ]E BESV E Sɮx x Z E E B.+<.+<. x i nx E +n MɦM {S Ec E ɱ S n Vɺɺ i {<] <bE Mɮ n* nҴɱ E ɨɪ x {S Vɮ <bE ]S E, <E ʱB M֤ɮ Uc Mɪ*

Within a month, the index went down to 4200 points.

ɽ E +? <E BE Vx ɽ iɪ Vi , ɱE Z {ڮ VxEɮ xɽ , Ex BE E ɽ Ei E M< E MɴxǨ] {ʤE E] +b]EM E b<xɴ]] V + + +Mɮ b<xɴ]] E] <bE +SU M, {S Vɮ E >{ɮ M i ʡ ɮEɮ E E{xV E Vn ] ʨɱM* +Mɮ ɮEɮ E E{x E ɱ Sx , V.b.+ɮ. xEɱx , x E] Vx <bx E] Sx i ɤɺ {ɽ x S+ b {Eci , EE ɽ ɤɺ Vn ʴvVxE ]-E] ={ɱɤv Vɺɺ x xVɨ] ɱ + x S+ b E < |Eɮ <bE xS VɪM* ɮ { ɮ E{x E ɺ E nɨ {ɮSV EM* <E ɮ M<b<x Eɪɮ xɽ E E <xɴ]] E* =ɨ ʱJ E <xɴ]] E ʱB M<b<x Vɰ x< M< , Ex <xɴ]] E ʱB V M<b<x x< + +vE Vɤi E V Ei *

x S+ b E =nɽh n* x 1994 x <xxɪɱ <ƺ]]ڶƺ E ʱB < |Eɮ nV J n* =E xiV E +? x S+ b +ɪ, M =xE ʱB nV {ɮ ɮ E Jc Mɪ* 1994 E +, BE =nɽh nx SɽM* 1994 Mx ]xɱ x ] x S+ b E EҨ ְ E* =xx +x=x E E Ec {ɪ <E_ EM*

It was widely publicised that it is a close-ended scheme. But ultimately they had collected Rs.1,200 crore from the market.

= ɨɪ <xx ʨxɺ] x E xɽ {U, E BE{xx xɽ M*

Directly or indirectly they gave an impression to the Indian small investors that they were going to collect only Rs.100 crore.

<E ʱB M E ֨<, EEii + n V c ɽ <x M* n E ֤ɽ { ɮx i M E i E <x E E ɽ M M< + =xx Ec E xɨ {ɮ 1200 Ec {ɪ <E_ E* Ex =E ʮVɱ] E +* =E ʮVɱ] ɽ + E {S ɱ iE Mx ]xɱ x BE { bbb xɽ n* ɮ {ɺ =E ʱB E< Mֱ] ʺɺ] xɽ * +Mɮ x S+ b ɮ U] <xɴ] E l Jɱɴc E Ei i E <ƶx E{x U]-U] <ƶ E l EU E Ei *

ɦ{i ɽn, xɽ Ei E ɽ xɽ Ex SʽB* ɽ Ex SʽB, Ex Ei ɨɪ vx Jx SʽB* V {]x E{x +, Bx..B.. + ʡ xʶM E{x + E i E M MB + + xB xɪɨ xBM*

That is not for foreign insurance companies only.

ɽ <bx E{xɪ {ɮ M i * SE <bx E{xV x S+ b xEɱ , E x xEɱ + = |Eɮ E {ʮʺli < , <E ʱB xxҪ ɦ{i ɽn, +{E uɮ ɽ ʴɹɪ nx E vx x Sɽi E BE i 26 {ɮ] <xbɪɮE] ]E g Ei * V EʡEx Bbʨxɺ]x n , ɽ `E xɽ *

I am prepared to sit with them. I am also a Chartered Accountant.

=xE V { 䱺 +{ xn E, =ɨ E |iɹ` E |ɶx +i *

nںɮ i ɽ E V Fɺ <x]] , =E ʱB < |Eɮ E ɴɺl Ex SʽB* iҺɮ i ɽ E BE xɪ ʺɺ] b{ Ex V * + VMɽ BE nںɮ ]V B] ɮ * Vɤ xB ʨɱxɪɨ |ɴ EM i ɽ {ɮ |<]<Vx, ʱɤɮ<Vx SE M + =E E] Ex E ʱB BE Mֱ] ʺɺ] x * ]E E ʱB x "]<" E xɨh E, ʴiiҪ E{xɪ E ʱB x "" E xɨh E + + <ƶƺ E] E ʱB +<.+ɮ.B. E xɨh E *

We are giving so much authority and powers to them. But does the authority not go with responsibility? Does the authority not go with accountability?

<ɨ BE=]ʤʱ] E FbҤɱ Ex SʽB* ɺiɴ ɦ E ʨɱE < ʴɹɪ {ɮ SS Ex SʽB E

politicians are accountable to the common man.

+Mɮ {ʱ]ʶɪx, {ʱ]E {]V, Sx B |ixv + MɴxǨ] fM Eɨ xɽ Ei , i {S ɱ E n M =xE SxE xɽ Vi *

They are accountable and responsible.

Ex < xB ʺɺ] -

we are developing a system -

ɽ E {ɮ BE=]ɱ xɽ * =xE {S ɱ E ʱB B{<]] VBM* +Mɮ Mɱi Ei , +Mɮ vx xɽ ni + <x]Ei E bg J Ec {ɪ Sɱ Vi , i =E ʱB Ex BE=]ɱ * .+ɮ.. E {.B.J B g ix ɱ MB, ʮVɴ E E iE E E< +Һɮ ɺ{b xɽ +* E =E ʱB E< {ƺҤɱ xɽ M?

It is prodding CRB's case.

x =E EM <ƺ nx x E, Ex ʮVɴ E x =E {ɺ E {ɺ V E xɽ, +{ +{x ʮ{] EE] E + .+ɮ.. E ʱB {V] ʮ{< nE V* ɮ MɴxǨ] x E E

I am talking about the Government of India. It does not matter whether it is the BJP Government, the Congress Government or the United Front Government or the Government of the Third Front.

ɽ MɴxǨ] +ɡ <b E ɴɱ + <E ʱB E< MɴxǨ] +B, Ex +Mɮ Mֱ] ʺɺ] bɱ{ Ex V , i = ʺɺ] +V BE bVx i , n ɽx E n nںɮ bVx i V iҺɮ ɽx <E] SV i , i bVx iҺɮ +i * =ɨ +ɨ ={ɦEi E V xEx i , =ɨ <Ex E xEx i , =E Eɮh bɱ{ɨ] Ei *

Is the regulatory authority not accountable anywhere?

ɽ {ɹ] xɽ E {>M* Mɱ BE{] xɽ , Ex BE=]ʤʱ] E EV ɺiɴ +{E ɦ |Eɮ E Mֱʮ] +lʮ] <xEb Ex SʽB* E E +V +<.+ɮ.b.B.bɱ{ Ex V , E {ɮ +Mɮ 䱪 +. i

Who was the concerned person who gave the permission? Who was the incharge?

ʡ EM E xɽ, E E, Z {i xɽ l* Vxi E x] 64 Eix +* ɽ +xi ]ű MɴxǨ] x ɮ* =xE ]E xʡ] n n* MɴxǨ] x f< Vɮ Ec E <x]] E* iɤ x] 64 +V ɽ {ɮ VE ]E*

Ultimately, the common man has paid the money. The tax-payer has paid the money.

<xE x] 64 V + ɽ Vɺ |Eɮ E <x]] EB MB, Vɺ |Eɮ E <x]] E bVx ʱB MB =xE Eɮh +* =E ʱB i +ɡҺɮ E <xEɪɮ xɽ M* n{E {ɮJ E] E ʮ{] nx E {] {ɮ J VB* =ɨ iɪ Mɪ E E-E |Eɮ E-E bVx ʱB MB* BE E{x E ɮ 390 {B ʱB MB* +V =E 250 {B ] xɽ * < |Eɮ V Mֱ] +lʮ]V =x E EM* ɽ {<] +{E ɨx Jx Sɽi E V E< , =ɨ < |Eɮ BE=]ʤʱ] E EV x SʽB*

nںɮ i, V <ƶƺ E{xV +BM { E uɮ ʽxnֺix E E{] E] E x{ֱ] Ex E |ɪix EM, i =E ʱB +{ E |Vx EM? <E ʱB <ɨ EU {ɹ] Ex E +ɴɶEi * <E l-l, Sɽ B.+<.. V.+<.., =xɨ ɽi c {x {ɮ bɱ{ɨ] +ɡҺɺ, BV] *

BV] +{x BbҶxɱ <xE, {] ]< <xE +xE ʽB V <ɨ BV] , =xE ʱB V EbҶx M< Mɪ , =ɨ lc EEx Ex E Vɰi * +<.+ɮ.b.B. E <E ɮ lc Eʤʱ] ɮix E +ɴɶEi * BMVʺ]M BV] E ʱB E< U]-] E EE E nںɮ E{xɪ E l E{] Ex * B.+<.. nںɮ E{x , <ƶƺ E{x E +SU BV] B{<] Ex {cM* Ex l ɽ Ex SɽM E BE B VMɽ |ɴ E , +Mɮ =E +SU iɮ ɪn =`ɪ Mɪ i V +x֦ɴ V{x, Eʮ, ɱʶɪ, MEM, i<Ǵx + S<x, ɤ Bʶɪx <ExV , Vxx <ƶƺ E] E EU ɱ {ɽ , Vɤ x E] E <ƶƺ E] E +{x +=] E i =xE ɽi +SU +x֦ɴ +* l-l V +<.+ɮ.b.B. E M<b<x Ei , =ɨ BE ] J E E] =xE {]Eֱɮ bɱ{ɨ] x SʽB, E]M x SʽB, Exx]x x SʽB* =E ʱB EU {ɮ]V J M< *

+{E uɮ ɮEɮ + xxҪ j ɽn E vx < iɮ +Eʹi Ex SɽM*

British Insurance warned against artificial cuts.

+ i ɮ Pɮ xɽ +B + +x {ɽ Siɴx ni * ʥ] <ƶƺ x ʱJ -

British Insurance major yesterday said `the rural business could constitute much of its business in India, but warned of artificial barriers to entry for private insurance firms'.

=xE nx ֱx xɽ MB, =xE ɽ xɽ Ex MB E ++ <, +{E +x {cM*

If you want to come, you can come, but you are not coming for any social motive.

+{ + i +{x ʤVxɺ E ʱB + * +{E ʽxnֺix ɽi c ʴM nJ , <ʱB + * <ʱB Vɤ +{ +BM i E ʱB, E{x E <x]] E ʱB <ƶƺ E V EbҶx M, +{E {ڮ Ex {cM* ɽ |lx Ex SɽM E b{]Ǩ] E < Ƥv {ɹ] Ex E +ɴɶEi * l <ƶƺ E{x E V {xp J ESɮ , =xE x b E iɴɮh * =xE Mi E +Mɮ ɮ V-] Sɱ VBM i ɮ E M? +Mɮ <ƶƺ E{x + |<Ǵ] E{x E S E{]Ҷx gM i xxɱ<Wb E{x E x ֯ VBM* n +{x ʤVxɺ ֯ E nM i E M? Z VxEɮ E ɮEɮ E B E< <n xɽ * ESʮ E x +SU ʴɶɺ E iɴɮh iɮ Ex M* ɮEɮ Vxɮ <ƶƺ, B.+<.. + ʱbM E Ex Sɽi EE M E x ɽ vɮh E ɮEɮ b<x]] |Oɨ Sɱ i =E Sɱi ɪn +{x <ƶƺ E{x E x E{x E l x S n* V VxEɮ , < ɮ ɮEɮ E {ɹ] J E ɽ +{x <ƶƺ E{x E +{x {ɺ JM*

+i {x: j ɽn <ix |lx EM E ɽi +SU En =` * 1992 1995 iE ɺ U] Mɱi M<* xxҪ n x E l E x |<Ǵ]<Vx, ʱɤɮ<Vx E Ex Mֱ] b E <xɺ]ESɮ Vɤi xɽ E VɺE Eɮh ɤ E B* + n <ƶƺ E{x E ɮ xɪ |ɪM Ex V i Mֱ] ʺɺ] {ɽ Vɤi x SʽB* BE +ɽx Ex SɽM E x V |<Ǵ] <ƶƺ E{xV , =xɨ <x] |]Ex b BE] * <ƶƺ E{x E ɮ b E Sx E ʱB <ƶƺ E{x V <ƶƺ xEɱi , =xE ʱB <ƶƺ b *

That is named Investor Protection Fund.

+{ Vɤ < Bx=ƺ EM, n ɮEɮ E x < |Eɮ E b, BE] xx E E{x i =E <E l Ph * n < |Eɮ E ʤɱ ɪ VBM i +ɨ +n E x ɽ ʴɶɺ x M* BE ɮ {x: < ʤɱ E ɨlx Ei *

SHRIMATI GEETA MUKHERJEE (PANSKURA): Hon. Chairman, Sir, I rise to oppose the Insurance Regulatory and Development Authority Bill, 1999 because it opens up the Insurance Sector to the private companies.

The BJP Government now thinks that India stands to gain by this opening up. When the BJP was in the Opposition, they were of contrary opinion. We were always opposing this attempt. Even when the CPI was a partner of the United Front Government, we openly voted against this move along with other Left parties, who were supporting the Government from outside. At that time also, we opposed this Bill. Consequently, the Bill had to be withdrawn.

What is the basis of the present Government's thinking that India stands to gain by opening the Insurance Sector to private companies, maybe national or multinational companies.

During the last Parliament when the BJP and its allies far outstripped the Congress Government in its liberalisation policy, they thought that it would push up the condition of Indian economy and during the last election, they propagated in the same vein to hoodwink the electorate.

But the recently published Report of the Reserve Bank of India candidly admits, I quote:

"The deceleration in industrial production witnessed from 1996-97 deepened during 1998-99 with the index of industrial production showing a growth rate of 4 per cent during 1998-99 as compared with 6.6 per cent in 1997-98. The current trend has been led by contraction in the growth of manufacturing output to 4.4 per cent, the lowest so far, compared to 6.7 per cent during 1997-98. The output of the mining and the quarrying sector declined by 1.8 per cent in contrast to an increase of 5.9 per cent during 1997-98 while the growth of electricity generation slipped down to 6.4 per cent from 6.6 per cent."

The Report further points out that there has been a decline in the growth service sector from 7.8 per cent in 1997-98 to 5.8 per cent in 1998-99.

According to the same report, there has been a fall in gross domestic saving coinciding with a decline in the overall investment accentuating the economic crisis. Sir, nor is the report optimistic about the future.

The opening up of the insurance sector is likely to aggravate crisis by opening up possibilities of private insurance business to divert the significant investible funds generated by insurance business from productive and socially useful areas to speculative and short-term investment. More than 70 per cent of the investible funds estimated at around Rs. 60,000 crore recently is invested in Government bonds and securities for financing public sector projects, thus contributing to national growth. At present LIC and GIC together mobilize over Rs. 25,000 crore of fresh funds every year. The amount is likely to be doubled in the next few years enabling the Government to avail of huge additional resources for national development. The opening up of insurance sector will reduce this and flow of funds for economic regeneration of the country.