Chennai, Apr 26 (IANS): In line with the Telangana High Court's order but with delay, the Insurance Regulatory and Development Authority of India (IRDAI) has promoted S.N. Jayasimhan as the Chief General Manager (CGM).

As per the IRDAI order, Jayasimhan has been promoted to the grade of CGM with effect from 25.4.2022 in deference to the order of Telangana High Court dated 28.10.2021, sources told IANS.

Last year, the court had held that the IRDAI's then Chairman did not have the authority to relax the qualifications for selecting a person to the post of CGM.

As per the IRDAI norms, only a Fellow Chartered Accountant (FCA) can be considered for the post of CGM while the action of the Chairman in relaxing FCA to CFA/ICWAI (Chartered Financial Analyst/Institute of Cost and Works Accountants of India) and providing appointment to another is without jurisdiction and arbitrary.

The high court ordered that Jayasimhan, FCA, is the only person qualified and the IRDAI shall consider his case for the post of CGM forthwith with all consequential benefits.

It also set aside the promotion orders of Mamata Suri, holding that she does not possess the FCA qualification and her promotion is illegal.

The court also held that the power of relaxing the qualification is not vested with the IRDAI Chairman since no resolution to that effect has been passed.

Hence the action of the Chairman in relaxing FCA to CFA/ICWAI and promoting Suri is contrary to law, arbitrary, and without jurisdiction.

On her part, Suri preferred an appeal against the Single Judge's order. The Bench ordered an interim suspension of the Single Judge order, but added its order does not come in the way of the IRDAI promoting Jayasimhan in the existing vacancies.