NDA strategy is to divide Opposition on Insurance Bill

Government sources say they are trying to get support of the Samajwadi Party and the Bahujan Samaj Party for the Insurance Laws (Amendment) Bill, 2008, in the Rajya Sabha. Though the two parties cannot provide the numbers to pass the Bill in the Upper House, the government strategy is to divide the Opposition.

Already, a few parties seem to be having second thoughts about opposing the Bill. The Biju Janata Dal made a turnaround by offering support to it, while the Nationalist Congress Party, a United Progressive Alliance member, said the Congress had drafted the Bill when in power.

The All India Anna Dravida Munnetra Kazhagam demanded that if a select committee were to be formed on the Bill, the party be given representation in it.

An Opposition-sponsored motion that seeks the formation of a select committee has proposed 11 members, with no-one from the AIADMK. Party leader V. Maitreyan moved an amendment seeking a berth on the committee, if the motion gets adopted. The AIADMK has been opposed to the Bill and there is no change in the party’s position.

The Bill was listed in Monday’s business schedule of the Upper House for consideration and passage, but was taken off on a revised agenda. It is now expected to be moved on Tuesday.

Finance Minister Arun Jaitley told a meeting of party leaders that the proposed legislation had been under discussion for five years in the Standing Committee which had representation from all parties. So their objections did not make sense. The Bill was introduced in the Rajya Sabha in 2008 by the United Progressive Alliance and referred to the Standing Committee. Congress leader Anand Sharma said the party wanted clarity on the Bill on the settled definition of foreign direct investment, given the composite nature of 49 per cent FDI proposed in the insurance sector, including foreign institutional investment.