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Saturday, 25 July 2020

Letter to FM on LIC IPO

FEDERATION OF RETIRED LIC CLASS I OFFICERS' ASSOCIATIONS          

President :    N.P. Bali

705, Sur, Veena Saaz, Thakur Complex,

Kandivali (East), Mumbai - 400 101

Mob : 9820324213

Email Id - npbali@hotmail.com

General Secretary :    D Krishnan

No.6/1, Sreshta Riverside Apartments,

Wood Creek Road, Nandambakkam, Chennai - 600089

Tel : 9176635967 / 044 42850049.

Email Id - dkrishnan1@gmail.com

 

E circular No.DK/33                                                 24-07-2020,     

Friends        

Letter to Finance Minister ...

This  Circular , DK --33 , is issued mainly to tell you that the Letter to the FM, Smt Nirmala Sitharaman  has been sent by E-mail today. The copy of the letter is the main purpose of this Circular.. .. So here it is :

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FEDERATION OF RETIRED LIC CLASS I OFFICERS' ASSOCIATIONS   

24-07-2020

Respected Madam Nirmalaji,

Reg:  Govt. Decision on  LIC _ IPO

We the Retired Class I Officers of LIC Would like to submit, that the Decision taken by the Govt. of India, to dilute the ownership of LIC by offering Shares in the open market, is not a well conceived step. The Retired Officers feel strongly  on this matter, since this Organization has done extremely well over the years, and is rightly referred to as the jewel in the Crown of the Public Sector in India.

Changing its ownership structure at this stage,  is to virtually disregard the excellent standards built up by successive Teams of staff and field workers to make LIC a 'Kamdhenu' or 'Kalpavruksha' for the Govt. of India, at all times. It has yielded to the coffers of the country, disproportionately high returns in terms of yearly Profits, on the small investment made into it. The LIC has acted as an effective handle to the Govt. at the Centre to balance the odd movements in the Stock Market. Its Investments are practically of the order of budgeted Plan expenditures, covering all sectors of the Indian Economy.  If its Assets in Book value terms alone, amounts to more than 35 lakh crores, it shows how solid an Organization  LIC is.

By trying to dilute the ownership of LIC now, ceding thereby the advantage built over the years, into private hands, which have not participated in building this great edifice of public Trust  , there is  sincere apprehension in our minds, that its hallowed past and Customer goodwill , built with dedicated efforts over the years, may be wiped out of memory, through unbridled commercialism.  It is like trying to sell the Taj Mahal,  the Kohinoor or a valuable family heirloom,  as a matter of sheer expediency, for commercial exploitation.

At least in that area of Buildings, the country has protective legislation to safeguard Heritage Property, which  LIC , as a true jewel in the Crown of the Public Sector in India, does not enjoy. There is so much of emotional sense of belonging on the part of those like us, who built this Great Wall of Security, for the society at large, that turning it into another shop of private convenience, sounds unfair, nay unacceptable.

Incidentally, we the retirees are yet to get some of our important Pension related matters sorted out over nearly two decades, while LIC still remains a Govt. Owned Unit, and we are terribly concerned as to what might happen to such issues, if the basic ownership character of LIC gets altered meanwhile.

If,  for all this cry against desecrating this holy temple of Social Security, the Govt. in any case, would not care to retrace its steps on the decision made, then, please do at least think of reserving a part of the Public Offer for the LIC Family, past and present. Those of us whose life was spent building this institution, would be proud to possess a small part of that symbolic ownership, of the  world class Corporate monument we built. It will be for keep-sake for all time to come.

But our first and most ardent request still is, for the Govt. not to go ahead with the move, to bring in Private participants into the ownership ring of LIC, which will tantamount to killing the proverbial Goose that lays the golden eggs.

Thanking you,

 D.Krishnan,

General Secretary

 

My Greetings to all 

D.Krishnan.

 

 

  

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