Section List

57/1972 - The General Insurance Business (Nationalisation) Act, 1972 ▶

Act Number: 57

Act Name: The General Insurance Business (Nationalisation) Act, 1972

Year: 1972

Enactment Date: 1972-09-20

Long Title: An Act to provide for the acquisition and transfer of shares of Indian insurance companies and undertakings of other existing insurers in order to serve better the needs of the economy by securing the development of general insurance business in the best interests of the community and to ensure that the operation of the economic system does not result in the concentration of wealth to the common detriment, for the regulation and control of such business and for matters connected therewith or incidental thereto.

Ministry: Ministry of Finance

Department: Department of Financial Services

Section Number	Title	Actions
1	Short title.
2	Declaration as to the policy of the State.
3	Definitions.
4	Transfer of shares of Indian insurance companies.
5	Transfer of undertakings of other existing insurers.
6	Effect of transfer of undertakings.
7	Transfer of service of existing employees in certain cases.
8	Provident, superannuation, welfare and other funds.
9	Formation of General Insurance Corporation of India.
10	Transfer to Corporation of shares vested in Central Government.
10A	Transfer to Central Government of shares vested in Corporation.
10B	Enhancement of equity capital of General Insurance companies.
11	Amounts to be paid for transfer and vesting of shares or undertakings.
12	Disbursement of amounts by Corporation.
13	Mode of payment.
14	Amount payable to shareholders may be paid to named persons instead in certain cases.
15	Payment into court in case of rival claims.
16	Schemes for mergers of companies, etc.
17	Laying of schemes and notifications before Parliament.
17A	Power of Central Government to regulate the terms and conditions of service of officers and other employees.
18	Functions of Corporation.
19	Functions of acquiring companies.
20	Balance of profit how to be utilised.
21	Interim provisions for management of Indian insurance companies.
22	Power of Central Government to transfer employees.
23	Power of Central Government to issue directions.
24	Acquiring companies to have the exclusive privilege of carrying on general insurance business.
24A	Exclusive privilege of Corporation and acquiring companies to cease.
25	Omitted.
26	Acquiring companies and income-tax.
27	Power to reduce amounts of insurance in certain eases
28	Right of acquiring company to seek relief in respect of certain transactions.
29	Duty to deliver possession of property and documents relating thereto.
30	Penalty for withholding property, etc.
31	Officers and employees of Corporation or of acquiring companies to be public servants.
32	Indemnity
33	Dissolution of Corporation and acquiring companies
34	Reference to existing insurer in other laws
35	Application of Insurance Act.
35A	Omitted.
36	Exemptions
37	Vacancies, etc., not to invalidate proceedings.
38	Protection of action taken in good faith.
39	Power to make rules.
40	Repealed.
38A	Powers of Insurance Regulatory and Development Authority of India not to apply to International Financial Services Centre.
24B	Cessation of application of Act.
31A	Liability of director of specified insurer.