Siddhartha Mohanty, managing director, Life Insurance Corporation

Mohanty is presently the senior most managing director of the country’s largest insurance company

Recently, the Financial Services Institution Bureau (FSIB), has selected M Jagannath and Tablesh Pandey for two posts of managing directors of the corporation after interviewing six shortlisted senior officials of the corporation

Mumbai:

The government on Saturday has appointed Siddhartha Mohanty, 59, managing director, as the interim chairman of Life Insurance Corporation of India (LIC) for three months starting March 14.

For Mohanty, this will be an interim arrangement in addition to his own duties.

MR Kumar,chairman, LIC, who will be retiring on March 13, confirmed the development.

Department of Financial Services conveyed the approval of the competent authority, for entrusting financial and administrative powers and functions of chairperson, LIC in the interim to Siddhartha Mohanty, managing director in addition to his own duties, for a period of three months, with effect from 14th March, 2023, or till assumption of the charge by the regular appointee to the said post, or until further orders, whichever is the earliest, said LIC in a stock exchange filing on Saturday.

Mohanty, as the senior most MD of the corporation is a likely candidate for the post of chairmanship of the corporation as he will be retiring on 30th June 2023.

He can get a two-year tenure as LIC chairman till he reaches 62.

Earlier, it was expected the government may allow another three month extension of Kumar as chairman till June 2023.

Kumar, who has already got two extensions, beyond 60, in the last two years has now tenure upto March 13, 2023.

Recently, the Financial Services Institution Bureau (FSIB), the government’s head hunting agency for the top posts of state owned bank and insurers, has selected M Jagannath and Tablesh Pandey for two posts of managing directors of the corporation after interviewing six shortlisted senior officials of the corporation.

After their appointments are cleared by the Appointments Committee of Cabinet(ACC) Jagannath, currently zonal manager, South Central Zone, LIC will be succeeding Raj Kumar who retired in January end while Pandya will replace Vishnu Pattnaik who will be retiring in March end.

Sources pointed out that the fact the IFSB did not include the selection of a new chairman, though the post may fall vacant in March end, while conducting the interviews for the two posts of MDs, it was clear that the government wants more time to take a call on LIC chairman’s appointment. 

Besides, after two new MDs join, government will have more names of MDs while shortlisting the names as in the new norms, only MDs can be considered for the post chairmanship. Earlier, executive directors of the corporation were also eligible for such shortlisting.

Though, there were some talks earlier that the government may go for a  private sector candidate for the LIC chairmanship, it is unlikely to happen.

Year 2023 will see complete change of LIC’s top management, as starting with Kumar, other three MDs, Pattanaik, Mini Ipe and Mohanty along with MR Kumar,chairman will be retiring in next six months.

Before the listing of the corporation, the government had proposed a few changes in the existing top level structure of the organisation and had said a LIC chairman can continue upto 62 years.

The retirement age for three LIC MDs remains at 60.

Mohanty, as the senior most MD of the corporation is a likely candidate for the chairmanship of the corporation as he will be retiring on 30th June 2023.

He can get a two-year tenure as LIC chairman till he reaches 62.