Pranab Mukherjee says investors’ money safe from insurance scam

NEW DELHI - Union Finance Minister Pranab Mukherjee said on Tuesday investors’ money is safe from the recent insurance scam.

Interacting with mediapersons on the sidelines of a conference here, Mukherjee said the scam is still being looked into and underscored that there was no need for investors to panic, as their money was safe.

“So far the issue is concerned, we are examining it but one point I would like to emphasise that there is no need of pressing the panic button. I am in talk with the Governor of Reserve Bank of India (RBI) and Life Insurance Corporation (LIC) chairman. All the roles, which have been given to the various concerns, they are well protected,” said Mukherjee.

“Money of the investors in these institutions is quite safe. All appropriate measures will be taken but it’s not possible for me to give any detailed indication,” he added.

The Security Exchange Board of India (SEBI), the apex monitoring body of stocks and capital markets, had earlier clarified that it would not probe the LIC housing loan scam, unless there are instances of violation of capital regulation norms.

The Central Bureau of Investigation (CBI) had busted a housing finance racket and had arrested eight persons charged in a bribery case on November 24.

The arrested persons included the chief and five executives from LIC Housing Finance, Bank of India, Central Bank of India and Punjab National Bank (PNB) along with several other officials of public sector undertakings banks. (ANI)