Siddhartha Mohanty,chairman, Life Insurance Corporation

Siddhartha Mohanty, the senior most MD, will be chairman of the LIC till June 29 and after that will be designated as chief executive officer and managing director of the corporation till 7TH June 2025

New Delhi:

The government on Friday has cleared the appointment of Siddhartha Mohanty, 59, managing director and acting chairman, Life Insurance Corporation of India (LIC) as chairman of the corporation till June 7, 2025.

However, Mohanty, the senior most MD, will be termed as chairman of the LIC till June 29, 2024, and after that he will be designated as chief executive officer(CEO) and managing director (MD) of the corporation till 7TH June 2025.

Mohanty had joined the LIC in 1985 as an apprentice officer and has rich experience in the insurance sector.

The designation of the LIC chairman has to be changed to CEO & MD to implement the new amendments in the LIC Act.

Ministry of Finance officials explain that post June 2024, the corporation will continue to have four MDs but one of them will be designated as CEO & MD to replace the post of chairman.

In FY 2021-22, before listing the corporation, the government had amended the LIC Act specifying that the post of the  chairman will be designated as MD & CEO of the corporation within three years.

The government in 2021 also had extended the superannuation age of the LIC Chairman to up to 62 years by making an amendment to the Life Insurance Corporation of India (Staff) Regulations, 1960.

The changes made in the rules are called the Life Insurance Corporation of India (Staff) Amendment Rules, 2021

Earlier, the Financial Services Institutions Bureau (FSIB), the head hunting institution for selecting the top officials of PSU banks and financial institutions, had selected Mohanty after interviewing him along with other three MDs-Mini Ipe, BC Patnaik and M Jagannath.

MR Kumar,chairman, LIC, had retired  on March 13.

LIC has also four posts of MDs and it is not yet known immediately what these posts be converted into after the post of chairman is changed into CEO and MD in June 2024.