The Insurance Development and Regulatory Authority has slapped a penalty of Tk 8 lakh on the Progressive Life Insurance Company and three of its top officials for not appearing before a IDRA hearing violating insurance rules. The regulatory authority made the decision in a meeting presided over by its chairman M Shefaque Ahmed on Sunday, said a IDRA press release on Tuesday. Progressive Life Insurance was slapped with a fine of Tk 5 lakh while its acting chief executive officer Golam Rasul, chief financial officer Shadhan Chandra Das and company secretary M Nurul Amin were fined Tk 1 lakh.
The insurance regulator, after receiving different complaints against the Progressive Life, asked the three officials to appear before the regulator on September 18, the IDRA release said.
The officials, however, refrained from appearing before the regulator without mentioning any reasons, it said.
The regulator did not find satisfactory the explanation of the three officials, who appeared before the IDRA on Sunday, for not appearing before the regulator’s hearing on September 18.
Other charges against Progressive Life included none submission of working papers of board meetings since January 23 and unapproved withdrawal of Tk 4.07 lakh from the company, said the IDRA release.
The IDRA officials said that the regulator was investigating different allegations against the company of irregularities regarding purchase of 77 cars, appointment of company secretary and transfer and appointment of employees.
Golam Rasul told New Age that he was yet to receive any letter from the insurance regulator regarding the imposition of fine.
He also said, ‘as there was an emergency meeting of the company on September 18, we requested the regulator to set another date for hearing but the regulator declined to shift the date.’
-With New Age input