New Delhi, July 15: The Supreme Court today dismissed the Public Interest Litigation (PIL) petition filed by Moneylife Foundation seeking scrapping of LIC Jeevan Saral Policy.
The petitioner said that the Jeevan Saral Policy holders were misled and cheated by LIC. The policy holders get less than half of what they paid as premium for ten or more years.
A Bench of Chief Justice of India Ranjan Gogoi and Justice Deepak Gupta said that the matter cannot be agitated as PIL by an unaffected party under Article 32.
Senior Advocate Arvind Datar appeared for Petitioner while Solicitor General Tushar Mehta appeared for Central government.
The plea filed by the Moneylife Foundation, had sought an immediate recall of the Jeevan Saral Policy.
The policy gives negative returns in the higher age group although the person would have purchased the policy for investment purpose, the petitioner contended.
The petition also stated that the Insurance Regulatory Development Authority (IRDA) is empowered under Section 33 of the Insurance Act read with the Insurance Amendment Act, 2015 and the IRDA Act, 1999 to investigate the malpractices. However, it has remained a silent spectator of “mass cheating by LIC”, Moneylife alleged.