Kerala Assembly passes unanimous resolution against LIC IPO

 Chief Minister Pinarayi Vijayan, who moved the resolution in the Assembly, opined that leaving the insurance giant to the interests of private players would not be beneficial to the country

The Kerala Legislative Assembly on Wednesday passed a unanimous resolution, voicing concern over the Centre’s move to sell stakes in insurance behemoth LIC and urging it to retain the institution, which played a key role in the development of the nation.

Chief Minister Pinarayi Vijayan, who moved the resolution in the Assembly, opined that leaving the insurance giant to the interests of private players would not be beneficial to the country and hence the union government should revisit its decision. “The union government is trying to justify its act by propagating that only 5 per cent stakes will be sold through an Initial Public Offering (IPO) and that is not privatisation.

But it is clear that selling shares is the first step towards privatisation and that is the real objective of the government,” he said. He recalled that the LIC was nationalised with an aim to protect stakeholders from the exploitation of private companies and to ensure that insurance coverage was extended to the weaker sections and backward areas of the country…Read More