Body formed to detect insurance irregularities

FE Report | Published: December 11, 2014 00:00:00 | Updated: November 30, 2026 06:01:00

A parliamentary sub-committee was formed Wednesday for preparing a detailed report on the insurance industry by detecting different irregularities, including non-settlement of insurance claims.
Tipu Munshi MP has been made chief of the three-member sub-committee assigned to the task of dealing with the complaints being raised about the insurance industry.
Md Showkat Chowdhury and Forhad Hossain are the other members of the panel formed at a meeting of the Parliamentary Standing Committee on the Ministry of Finance.
Mr Tipu Munshi told the FE: "The chairman of the standing committee will give us terms of reference on it and we will proceed accordingly."
He said the committee did not set any cut-off time for submitting the report.
The Jatiya Sangsad (JS) recommended a cut in the existing high rate of bank interest to 10 per cent to create an investment-friendly atmosphere in the country.
It also urged the ministry to take effective measures so that both public and private banks provide loans at low interest rates to the agriculture processing sector.
The meeting, held at the parliament house, was informed that the government was considering changing the name of Bank and Financial Institutions Division (BFID) as the representatives of insurance industry at the meeting demanded their inclusion in the nomenclature.
BFID secretary Dr M Aslam Alam, who attended the committee meeting, informed the meeting that the government is considering renaming it as 'financial institutions' division which will cover all organisations concerned.
"We are thinking about renaming it as financial institutions division as it will include all organsations concerned," he told the meeting.
Dr Abdur Razzaque MP, chairman of the standing committee, presided over the sixth meeting of the panel in the 10th parliament.
However, the BFID deals with the law and policy issues for the banks, non-bank financial institutions, capital market, insurance sector and micro-credit sector.
The division started its function in January 2010. Earlier, the related activities had been conducted through a separate wing of the Finance Division.
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