The bench, in its decision, said that the approval given by the Speaker of the Lok Sabha to introduce the bill brought in this regard as a money bill cannot be challenged.
LIC again submitted DRHP to SEBI for IPO.
Madras High Court (Madras High Court) Public Insurance Company Life Insurance Corporation of India ,Life Insurance Corporation of IndiaThe petition challenging the changes made in the Finance Act and LIC Act to sell the government’s stake in ) has been dismissed. A bench of Chief Justice M N Bhandari and Justice D Bharat Chakraborty, while dismissing a PIL filed by L Ponammal, held that the LIC Act (LIC ActThere is no unconstitutionality in the changes made through the Money Bill.
The bench said, there is nothing constitutionally wrong in making changes in the LIC Act through Money Bill to bring about Initial Public Offer (IPO) of Life Insurance Corporation of India (LIC).
What’s the matter?
LIC’s policyholder Ponnammal had said in his petition that the money bill was adopted in a wrong way to amend the Act for the sale of government stake in LIC. He had said that changes were made in the rules by bringing a money bill under Article 110 of the Constitution, although it does not come in the definition of money bill itself.
The bench, in its decision, said that the approval given by the Speaker of the Lok Sabha to introduce the bill brought in this regard as a money bill cannot be challenged. In this matter, the decision of the Speaker of the Lok Sabha will be final.