IRDA
IRDA has notified the IRDAI (Outsourcing of Activities by Indian Insurers) Regulations, 2017 which shall come into force from the date of their publication in the Official Gazette and supersede the Guidelines issued in this regard. These Regulations are applicable to all Insurers registered with the Insurance Regulatory and Development Authority of India excluding those engaged in reinsurance business. If an Insurer is engaged in both direct Insurance as well as Reinsurance business, these regulations are applicable only in respect of direct Insurance business of such Insurers. Further, these Regulations are applicable to outsourcing arrangements entered into by an Insurer with an outsourcing service provider located in India or outside India. The Board of the Insurer shall be responsible for the functions under these Regulations and Board of Directors shall approve and put in place an Outsourcing Policy. The Board of Directors, may delegate, the mandate of approving the outsourcing policy, to the Outsourcing Committee constituted under Regulation 8 of these Regulations.
RBI
Ministry of Finance has issued an order, in exercise of the powers conferred by Section 35AA of the Banking Regulation Act, 1949 (10 of 1949). Through this order, the Central Government authorises the Reserve Bank of India to further issue such directions / instructions to any banking company or banking companies which may be considered necessary to initiate insolvency resolution process in respect of a default, under the provisions of the Insolvency and Bankruptcy Code, 2016. This will surely lead to recovery of loan through initiation of the Corporate Insolvency Resolution Process by the Banks against the Corporate Debtors.
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