RTI Judgement Series
RTI Judgement Series: Publish info about works carried out in Delhi using councillors fund

The CIC directed the PIO to suo moto publish information about works carried out using councillor's fund in Delhi on the MCD website. This is the 185th in a series of important judgements given by former Central Information Commissioner Shailesh Gandhi that can be used or quoted in an RTI application

The Central Information Commission (CIC), while allowing an appeal, directed the Public Information Officer (PIO) of engineering department at Municipal Corporation of Delhi (MCD) to publish information about projects carried out using Councillor's Fund during 2007-09 as per Section 4 of the Right to Information (RTI) Act.


While giving the judgement on 25 February 2009, Shailesh Gandhi, the then Central Information Commissioner said, "The PIO will send the data on 2007-2008 and 2008-2009 to the appellant on a CD free of cost and also ensure that it put up on the website by 5 March 2009."


New Delhi resident Ashok Kumar, on 14 December 2006, sought from the PIO information regarding works carried out in Delhi during 2002-2007 using the councillor fund. Here is the information he sought...


1. Details for all works awarded during 2002-07 out of the Councillor Fund for All the wards of Delhi. Please provide this information year-wise and separately for each word

          a. Name of works awarded which are in progress or completed

          b. Location of these works and brief description of these works including  

          c. Total amount sanctioned for each works

          d. Status of completion

          e. Name of agency

          f. Date of start and date of completion

          g. Amount disbursed till December 2006 for each work

          h. On whose request was each of the works initiated

2. How much money was provided to each Councillor under the Councillor Fund in each year between 2002 and 2007?

3. Does the money under the Councillor Funds lapse at the end of the year? If yes, how much money lapsed for each Councillor in Delhi in each year between 2002 and 2007?

4. On what activities can Councillor spend the funds available to them under the Councillor Fund?

5. Please give me a copy of the guidelines for allocating funds under the Councillor Fund


In his reply, the PIO said, "In this regard, it is inform you that reply has been received from SE (P) you are requested to please deposit Rs20 of two IDs No445 & 517 and also requested to deposit Rs7,656 as documents charges of 3,828 pages @ Rs2 per page. After that reply will be given to you."


There was no mention of any order passed by the First Appellate Authority (FAA).


Kumar then approached the CIC with his second appeal.


During the hearing, Mr Gandhi, the then CIC, observed that the appellant (Kumar) had asked for certain information which he believes the PIO should publish suo moto.


The PIO stated that the public authority had not done this so far. However, he stated that data for 2007-2008 and 2008-2009 is now on CD but has not been put up on the website.


While allowing the appeal, the Bench then directed the PIO to send the data of 2007-2008 and 2008-2009 to the appellant on a CD, free of cost, and also ensure that it put up on the website by 5 March 2009. The Bench also asked the PIO to send a compliance report to the CIC before 10 March 2009.




Decision No. CIC/WB/C/2008/00027/SG/2059


Appeal No. CIC/ WB/C/2008/00027/SG


Appellant                                            : Ashok Kumar,

                                                            New Delhi - 110017                        


Respondent                                        : ME-cum-E-in-C & PIO,

                                                            Municipal Corporation of Delhi,

                                                            Engineering Department,

                                                            Town Hall, Delhi – 110006


HDFC Q2 net profit up 9% to Rs1,266 crore

HDFC posted an average second quarter results for the 2013-14 fiscal. Its net profit rose 9% while total revenues increased by 12% to Rs5953.9 crore

Housing Development Finance Corp (HDFC) posted a net profit of Rs1,266.33 crore for the quarter ended 30 September 2013, a rise of 9% compared to Rs1,151.12 crore for the same quarter a year ago. 

During the quarter, the home loan provider’s total revenues increased to Rs5,953.98 crore from Rs5,277.20 crore for the quarter ended 30 September 2012.

The company’s standalone net interest margin for the half year ended 30 September 30, 2013 at 4.1%, while spread on loans stood at 2.24%.

In a regulatory filing, HDFC said Keshub Mahindra, its vice-chairman and Shirish B Patel its independent director has resigned from its Board. Both Mahindra and Patel were directors of the company since its inception.

As on 30 September 2013, HDFC’s loan book grew 19% to Rs1.85 lakh crore as against Rs1.55 lakh crore for the same quarter last year. This is considering the loans sold during the preceding 12 months which amounted to Rs3,792 crore. Of the total loan book, individual loans comprise 70%. Further, 91% of the incremental growth in the loan book during the half year ended 30 September 2013 came from individual loans.

As at 30 September 2013 the total assets of HDFC stood at Rs2,12,071 crores as  against Rs1,80,637 crore as at 30 September 2012, an increase of 17%.


HDFC said its income from operations increased 13% to Rs5,859 crore from Rs5,175 crore while its profit from sale of investment declined 8% to Rs87 crore from Rs94 crore, same period last year.

During the quarter, upon partial closure of the HDFC Property Fund—Scheme HDFC IT Corridor Fund, a venture capital fund, it received equity shares of Grandeur Properties Pvt Ltd, Winchester Properties Pvt Ltd and Windermere Properties Pvt Ltd, towards partial distribution against the units it held. These companies have become wholly owned subsidiaries.

Gross non-performing loans as at 30 September 2013 amounted to Rs1,473 crore. This is equivalent to 0.79% of the loan portfolio, up from 0.77% recorded on the same date last year.

Consequent to the reduction in risk weights of mortgages, HDFC’s capital adequacy ratio increased to 19% of the risk weighted assets, as against the minimum requirement of 12%. Tier 1 capital adequacy was 16.5% as against a minimum requirement of 6%.


For the six months ending September 2013, the company’s debt-equity ratio stood at 6.24 while its interest-coverage ratio stood at 1.43.

HDFC closed Monday marginally up at Rs820.45 on the BSE while the benchmark Sensex ended 11 points higher at 20893.9.


E-insurance: The fine print that can make IRDA initiative fail

Insurance Repository is a good initiative from IRDA. It will help the insurers and insured with inherent benefits of insurance policy demat. But, will you really be able to demat all your insurance policies? Will insurance companies tie-up with all the repository companies?

The insurance repository system was introduced with great fanfare by finance minister, P Chidambaram on 16 September 2013 to digitise physical insurance policies. E-insurance policies will help insurers to save costs on printing and dispatching policies. Insurance companies will save crores of rupees every year that is spent on storing of physical insurance documents and repeat KYC. While the IRDA (Insurance Regulatory and Development Authority) e-insurance initiative is commendable, there is one blunder.

As a Moneylife subscriber Dr Visvanathan Krishnaswamy pointed out: “An insured can have an account only with one IR. However, the insurance companies need not have a tie-up with all the IR, thereby negating the whole value of the single point e-policy account concept.”

Will you really be able to enjoy the comfort of storing all your policies electronically under a single e-insurance account just like you hold your stock certificates and mutual fund units online in dematerialised form? The answer depends on whether every insurance company will tie-up with each of the five Insurance Repository (IR) firms. IRDA has given freedom for insurers to tie with one or more IR licensed by them, which is a flaw.

The insured can open account with only one Insurance Repository (IR). If an insurance company has not tied up with that IR then how can demat of the insurance policy become possible? For instance, an insurance company may have IR tie-up with Karvy and the insured may have account with CAMS. How can an insurance policy be shown in demat if the insurance company does not have a tie up with CAMS as well? Moreover, the five companies have been given the status of insurance repositories are given licence that will be valid only till 31 July 2014.

One customer can have insurance policies from multiple insurers and the only way to get all the policies digitised for this insured is that those multiple insurers have tie-up with the IR where customer has opened e-insurance account. If not, then the IRDA initiative will miserably fail. The customer may have some policies in demat while others may not be. Would they benefit with partial demat? No.

Moneylife had written to 10 insurance companies and IRDA to get their response. Unfortunately, only five insurers have responded. According to one life insurer, “We are in process of negotiations with IR about the cost to digitise policies per person and annual servicing fees. We cannot tell if we will sign agreement with all the IRs or not.” It means insurance companies will prefer to tie-up with the IR that offer best rates and they may not tie-up with all the five IRs. If so, e-insurance will be a non-starter.

IndiaFirst Life Insurance is amongst the first to offer all life insurance policies in demat format. They also have tied-up with all the five IRs licensed by IRDA. According to Karni Arha, chief financial officer, IndiaFirst Life Insurance, “For depositing the policy, the insurance company needs to have tied up with that respective IR. As IndiaFirst has already tied up with all the five approved IRs, we can deposit our customer policy in his respective account without any issues.” 

According to TR Ramachandran, CEO and MD, Aviva India, “Given that e-stamping (Mudrank) facility is still not available in Haryana, we have yet not frozen our IR tie-ups. We are working with multiple IR players to devise and streamline a process that will add value to our customers. The IR concept is based on the premise of customer convenience. As the adoption of IR increases it will be become imperative for both the customer and the insurer to provide/ leverage several options. Currently, an insurer need not tie up with all IRs, and an insurer cannot issue a demat policy to someone who does not have an account or is unwilling to open an account with the IR options provided by that insurer.”


According to Rajesh Sud, CEO and MD, Max Life, “We believe a life insurer will need to partner with all five IRs, since the choice of IR is left to the customer. Max Life is currently in the process of evaluating the technical as well as commercial aspects of all five IRs, and at the same time we are in the process of readying our systems for this change. Keeping in mind that the insured can open account only with one IR, we are considering all five IRs.”

HDFC Life has tied-up with NIR (National Insurance policy Repository), CIRL (Central Insurance Repository Ltd) and SHCILIR (Stock Holding Corporation of India Ltd Insurance Repository). According to them, “The infrastructure for the dematerialisation of insurance policies has just started and we are in the initial stage with some tie ups in place. When the project takes off we expect every insurance company to tie up with all the IRs and cannot restrict the tie up to few IRs only.”


Dr Krishnaswamy, says, “After opening an account with CAMS Repository, I have now come to realise that not all companies are as yet with the IR. Further, none of the companies I hold policies in (LIC, Max Life, Aegon Religare, ING Vysya, Max Bupa) have a tie up with any of the IRs as on date. This aspect has not been publicized by the IRDA, Media or the repository websites.”


IRDA has already stated, “Both new and existing life, annuities, health and general insurance policies can all be credited to this account. However, during the initial phase, the life insurance policies would be credited to this account. The general insurance and group insurance policies would be credited subsequently.”

According to Mr Ramachandran, “The dematerialisation of insurance policies is certainly the future and will benefit customers as they will be able to manage their policies at their convenience. It will help insurance companies address issues around contactibility, delivery of documents, managing policies and KYC norms. It will also help in checking frauds and mis-selling cases, and increase transparency. Over time, this will also allow companies have improved access to a wider consumer base within India and reduce operational costs significantly.”


The five IR companies are: NSDL Database Management Ltd (NDML) National Insurance Repository, Central Insurance Repository Ltd, Stock Holding Corporation of India Ltd Insurance Repository, CAMS Repository Services Ltd and Karvy Insurance Repository Ltd.

E-Insurance launched; IndiaFirst offering demat for all policies




3 years ago

This is a valid point and Insurance Companies will have to tie up with all five insurance repositories.The customer is free to choose his own insurance repository and if the insurance Company is left to do the same then e-insurance repository is a non starter.The idea of a customer being able to access all his insurance policies of all insurance Companies in a single statement is certainly good but its success depends on its implementation.


4 years ago

i still don't understand why insurers MUST tie-up with all depositories.
why can't the depositories talk to each other & thus reduce cost for insurers & end users?


4 years ago



4 years ago

It is too short a time for any scheme get on board - having been launched on Septembeer 16, 2013 only. The flaw mentioned in the story by Dr Visvanathan Krishnaswamy is not incorrigible being technology lapse. I am sure the software engineers will be able to solve the problem shortly and the insured will benefit.


Dr VS Gogia

In Reply to gcmbinty 4 years ago

This is not something that is attributable to technical glitch. This is a flaw in IRDA guidelines and can be corrected by IRDA by modifying the guidelines, mandating all insurers to get registered with all the IRs.


In Reply to Dr VS Gogia 4 years ago

True. IRDA has to correct it. Dealing with multiple IRs will increase cost for insurance company, but necessary for e-insuranec to work


In Reply to raj 3 years ago

Dear Mr Raj Pradhan

Thanks for educating us vide your valed news article dtd 21.10.2013 on e-Insurance intiated by IRDA.

1. Whether all the insurers have decided to have agreeemnt with all the five insurance repository registered by IRDA by now?

2. What about e- Insuarnce for general insurance policy ? For that how to convince the general insurance companies. If it happens it would be good for policy holder and the companies both.

3.Whether FDI of 49% allowed by government would also help the customer in e- Insurance ?

Looking forward for your kind reply.


Sanjay Kumar

Jagdish Motwani

4 years ago

The Insurance Contract (Policy) is not on par with Shares, Bonds or MF. Each insurer has differrent set of Policy T&C & fine prints & also format for issuing Policy Schedules are also differrent. Further, in each sub-class of policies in general insurance there are Add On Covers & Extensions as well as some covers have option to be deleted. Hence, this facility specially for non life insurance may not be benificial to customers though it may be of cost savings to insurers. There are no TATs' for policy issuance by insurers & this may also be a vital factor. A veru simple example for abuse by insurers will be to avoid Free Look Period by issuing policy in Demat form. I feel all this is being done to facilitate insurers' cost savings, etc. & at the same time only to keep big brokers of financial houses who will have edge over small agents by their association with Repository Participants where they can arrange A/Cs'.


4 years ago

I wonder why no one has observed a similar mess with regard to KYC for Mutual Funds. Though I have invested in a scheme of UTI some two decades ago, when I and my mother wanted to invest in some fund recently, I completed the KYC and submitted it through Bajaj Capital. This was in March 2013. Later, when my mother invested in another scheme, the fund refunded the amount saying that KYC was not done. Now, after 7 months after submitting KYC, my status as well as my mother's is shown as under process. When I approached Bajaj Capital, they say this is a common problem and the organisations ie CVL, NDSL etc., do not even respond to emails. Investors are ready to invest but then the government is only interested in making everything complicated.


Dr VS Gogia

In Reply to KAVIRAJ B PATIL 4 years ago

Moreover, on KYC Update with KRA the email and phone numbers are not updated. Even with change in city on address update, the phone/mobile numbers continue to be the old ones. For this one has to separately write to AMCs in each scheme where one i s invested.


4 years ago

why cant they do it the same way as RTAs & Share Depositories - they need to talk to each other & not bother the customer or insurer about the technical details.


4 years ago

A similar issue is plaguing the mutual fund industry. Ironically it is the same intermediaries involved.

Each AMC has a RTA. Presently there are CAMS and Karvy. Some AMC do this inhouse like Franklin Templeton (FTAMIL). Investors have the option to get a consolidated statement emailed to their registered email address from the website of CAMS and Karvy. This also includes the holdings in FTAMIL. You don't have to register with them for this.

Off late some AMCs have started theirs own RTA (Sundaram and BNP Paribas). The consolidated account statement doesn't include holding from these AMCs. Worse was that in the initial days you had to register and use a password to get the account statement. This adds to one more user id-password combination to be remembered.

I had enquired at CAMS if they could also include holding from Sundaram to which they said no. I also raised a complaint at SEBI's SCORE against the password requirement at Sundaram. The complaint was forwarded to Sundaram and they informed me that they don't have the password requirement anymore. Not sure if this was done by themselves or on behalf of my complaint. But this move has put me off from investing in any of the Sundaram schemes. It is very inconvenient to go to their office instead of going to a RTA where I can invest in many AMCs. Getting a statement of account also adds to the trouble.


4 years ago




In Reply to sivasankaran 4 years ago

i don't think this is right, just like the other option would be to make customer have tie-ups with all depositories...
insurers can also choose the best service provider - the only need should be to ensure the depositories talk to each other (in a mandated common protocol) to ensure seamless service to customer/insurer?


In Reply to Param 4 years ago

Making customer tie-up with all depositories is not correct as it will not give all the policies at one place. Either insurers have to tie-up with all repositories or depositories talk to each other. Moreover, don't know why 5 repositories were really needed? It's only creating business for them.


In Reply to sivasankaran 4 years ago

I agree


4 years ago


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