Yechuri objects to LIC spending public money on IDBI acquisition

Accuses Modi govt. of dismantling regulatory structure in India

New Delhi.

Prime Minister Narendra Modi’s government has continuously been at the receiving end of the CPI-M leader Sitaram Yechury since coming to power in the year 2014. On Saturday too the Central Government came in for criticism from one of the last the popular leaders of the party.

Yechuri targeted Modi government over the approval given by the IRDAI to LICs plan to buy 51 per cent stake in debt-ridden IDBI Bank and alleged that it was “destroying regulatory mechanism and practising cronyism of the worst kind”.>/p<

The media reported on Saturday that the Insurance Regulatory and Development Authority of India (IRDAI) had approved the plan of Life Insurance Corportation of India to buy 51 per cent stake in the state-owned IDBI.

The Communist Party of India-Marxist leader said LIC’s money is public money and accused the government of bailing out rich defaulters by diverting people’s money.

>p<"Bailing out rich defaulters, by diverting peoples' money. LIC is public money. Why no recovery of loans from rich defaulters? Cronyism of the worst kind by this Modi government. Rich can loot and scoot, the common Indian will pay back their loans," Yechury tweeted.

“LIC is not supposed to be in banking. It is being forced by suddenly changing rules. Regulatory mechanism being destroyed by Modi government so that defaulters don’t have to repay. What is going on?” he added.

Congress leader Kapil Sibal also raised questions over the IRDAI move and slammed the government over its management of economy.

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