IFSCA issued a press release on the cancellation of the approval/authorization granted to Prowess Insurance Brokers Pvt. Ltd. by an order dated February 13, 2025, to operate a Branch office in GIFT IFSC as IFSC Insurance Intermediary Office (IIIO).
The action is taken considering non-compliance with directions issued by IFSCA, and Regulation 30 of the IFSCA (Insurance Intermediaries) Regulations, 2021 r/w Section 33(6)(b) of the Insurance Act, 1938.
Reg 30, IFSCA (Insurance Intermediaries) Regulations, 2021-
‘Action in case of Default:
- If pursuant to an inspection or investigation or otherwise, the Authority is of the opinion that the operations of an IIIO are not being conducted in accordance with the provisions of the Act, rules or regulations or circulars and guidelines issued thereunder or its activities are not in the interests of the International Financial Services Centres, the Authority may take appropriate disciplinary action against it including but not limited to suspension or cancellation of certificate after giving an opportunity to the IIIO, of making its submissions.
- Without prejudice to the above, the Authority may take any other action as it deems fit, under the Act.’
‘Section 33(6)(b) of the Insurance Act, 1938-
Power of investigation and inspection by Authority
On receipt of any report under sub-section (1) or sub-section (5), the Authority may, after giving such opportunity to the insurer or intermediary or insurance intermediary, as the case may be, to make a representation in connection with the report as, in the opinion of the Authority, seems reasonable, by order in writing,-
…cancel the registration of the insurer or intermediary or insurance intermediary, as the case may be…’
A copy of the press release is attached for your ready reference.
Source category: IFSC Insurance Office
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