The Select Committee of Rajya Sabha on the Insurance Laws (Amendment) Bill, 2008 is likely to submit its report ahead of the Winter Session of Parliament.
The 15-member panel, headed by Bharatiya Janata Party MP Chandan Mitra, however, is unlikely to submit a unanimous report as the Congress and the Left continue to oppose certain clauses in the Bill.
A source in the panel said the Congress had extended support to the increase in FDI percentage, but will oppose allowing the FII route in the sector. The Congress is all set to prepare an amendment to the draft report, which is likely to be distributed to the members in the first week of November.
“We have a meeting with the Insurance Regulatory and Development Authority next week in Mumbai. We are hopeful of completing the discussions in the first week of November. We will be able to submit the report much ahead of the time allotted to us,” a member said.
Another demand before the panel is that the 23 per cent FDI increase should be in the form of capital investment. “There is a suggestion before us that the Indian promoters should not be allowed to make huge profits by selling their shares to foreign companies. Whatever be the percentage, the FDI should be in capital investment and the provisions should be amended accordingly,” the member said and added that the panel was studying this suggestion.
The panel has already taken the views of the public and private sector insurance companies. It has also met representatives of employees working in the sector. Experts and Government officials had also briefed the panel.
In the 15-member panel, seven members, including the BJD MP Kalpataru Das and independent MP Rajeev Chandrashekhar, support the Bill. The Congress has three members.
The Samajwadi Party, Bahujan Samajwadi Party, CPI (M), Trinamool Congress and AIADMK, with one member each, are opposed to the Bill in its present form.