On Monday, Pranab Mukherjee Finance minister of India has denied of becoming India’s de facto super-regulator.

While addressing a statutory resolution in the Parliament he disapproved the order propagated by the president on the matter related to unit-linked insurance plans or Ulips and said he has no intention to be the super regulator

According to the minister, he had to intervene to end the row between IRDA and SEBI over the issue of regulation of Ulips.

He stated that India encourages its regulators to solve disputes but that does not allow any regulator to do whatever it pleases.

One has to draw a line and it is the duty of the finance minister to draw the line.

Within a week of it s introduction in the Lok Sabha, The Securities & Insurance Laws (Amendment and Validation) Bill 2010 was passed.

The Bill replaced the Securities & Insurance Laws (Amendment and Validation) Order 2010 .It was propagated by the president of India in the last month. The Bill empowers insurance companies to sell Ulips without taking permission of Sebi.

Stating the reasons for the requirement of an Ordinance, Mr. Mukherjee stated that an air of uncertainty and tentativeness could not be allowed to hover amidst the quarrel of the two regulators. He had asked both regulators to file a joint application in the high court, which they did not.

The finance minister, in that case took advice from the law ministry and as per their advice, presidential ordinance came into place.

He praised regulators for doing a good job and expressed that to handle complications experts are needed and he has no intentions to interfere.

The Bill got its clearance after a debate .Mukherjee gave an explanation on the Ordinance, which resulted in the withdrawal of resolution brought by opposition Mps.