Insurance bill introduced in RS amid scuffle

 

Amid strong attempts by the Left to block the insurance bill, the government today introduced the draft legislation in the Rajya Sabha. 

The bill proposes to raise foreign equity in Indian insurance companies from 26 per cent to 49 per cent.

It also seeks to allow nationalised general insurance firms to raise money from the market.

As Minister of State for Finance P K Bansal rose to introduce the Insurance Laws (Amendment) Bill, 2008, CPI(M) member T K Rangarajan dashed towards him to snatch the copy of the bill from him.

An agitated External Affairs Minister Pranab Mukherjee was seen pushing the CPI(M) member and protecting his ministerial colleague from the opposition onslaught.

Another Minister Meira Kumar rushed to the front bench to provide a shield to Bansal, who managed to introduce the bill aimed at increasing the FDI limit in the insurance sector.

In the melee, Deputy Chairman K. Rahman Khan adjourned the House till 1400 hours.

The CPI(M) members, helped by new-found friends AIADMK and TDP, appeared determined to thwart the introduction of the bill by gathering in the well even before the House met at noon after an adjournment during the Question Hour on the A.R. Antulay issue.

The UPA government kept the insurance reforms in abeyance till the Left parties withdrew support in July this year.