Insurance Act, 1938: s.41(1) – Insurance Regulatory and Development Authority (Insurance Brokers) Regulations, 2013 – Clause 37(1) – Complaint by the first respondent-insurance broker alleging adoption of illegal means by appellant in obtaining business of international reinsurance cover of J firm, it paid bribe to Chairman of the J firm to obtain brokerage contract, thus the appellant violated s.41(1) of the Act of 1938 and Clause 37(1) of the 2013 Regulations – Basis of the complaint was certain emails by which the Chirman allegedly made demands for i llegal gratification in exchange of handing over the brokerage contract to the appellant as also a telephonic conversation against the Chaiman informing the respondent no.
1 about demand of bribe from the appellant – Dismissed by the Regulatory Authority-IRDA – Tribunal set aside the decision of the IRDAI – Held: Order of the tribunal is in the nature of a remand order which in effect only directed a fresh inquiry and since the fact finding body has already come to its conclusion on lack of evidence, no useful purpose would be served in subjecting the appellant or their contract with J to another round of inquiry – Barring the fact that the appellant had been given the brokerage contract, no other cogent material showing any illegality being committed by the appellant in obtaining the contract from J – Order of the tribunal set aside – Order of the IRDA is sustained – Insurance Law.
As published in the Supreme Court Reports, Supreme Court of India. Text from the Indian Supreme Court Judgments open data set (Dattam Labs), CC BY 4.0.
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