ACB Alerts J&K Govt On Rs 44 Cr Recovery From RGICL

Srinagar- The Anti- Corruption Bureau (ACB) has advised the government of Jammu & Kashmir to consider recovery of Rs 44 crore from the Reliance General Insurance Company Limited (RGICL) after the contract executed with the company in 2018 for medical insurance of government employees and pensioners was cancelled.

In its alert note sent to J&K government, the ACB has advised it to consider recovery of the balance amount pending with RGICL.

“It is advised through this alert note the government of Jammu & Kashmir may consider recovery of balance amount of Rs 443992618 pending with Reliance General Insurance Company Ltd. as per the agreement clause of the contract,” reads alert note sent by director ACB, Anand Jain to Commissioner Secretary, General Administration Department on December 30, 2020, a copy of which is with the news agency—Kashmir News Observer (KNO).

The note states that as per the agreement, the company shall refund the excess premium paid to it after expiry of the policy period.

“In case of excess of premium paid to the Insurance Company, the same shall be refunded by the Insurance Company after the expiry of the policy period,” reads clause 17 of the agreement signed between the J&K government, RGICL and Trinity Reinsurance Brokers Limited.

The tripartite agreement for implementation of Group Mediclaim Insurance Policy was signed on October 15, 2018. But before signing of the agreement, Rs 61.43 crore were released in favour of RGIC as first installment of premium on Sep 28,2018.

According to the ACB’s alert note dated December 30, 2020, the RGIC submitted that Rs 17.03 crore were reimbursed to employees and pensioners.

In its letter dated February 8, 2022, the ACB has communicated to the J&K Government that the report from Reliance General Insurance Company Limited regarding reimbursement of claims and settlement of claims is awaited.

“The figure of Rs 17 crore as reimbursement of claims was interim figure obtained from Reliance General Insurance,” the letter states. (KNO)

Follow this link to join our WhatsApp group: Join Now

Be Part of Quality Journalism

Quality journalism takes a lot of time, money and hard work to produce and despite all the hardships we still do it. Our reporters and editors are working overtime in Kashmir and beyond to cover what you care about, break big stories, and expose injustices that can change lives. Today more people are reading Kashmir Observer than ever, but only a handful are paying while advertising revenues are falling fast.



Leave a Reply

Your email address will not be published.