Annual Rep. 2008-09.pmd - The New India Assurance Co. Ltd.
Annual Rep. 2008-09.pmd - The New India Assurance Co. Ltd.
Annual Rep. 2008-09.pmd - The New India Assurance Co. Ltd.
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efo v³et Fefv[³ee SM³eesjvme kebÀ. efue.<strong>The</strong> <strong>New</strong> <strong>India</strong> <strong>Assurance</strong> <strong>Co</strong>. <strong>Ltd</strong>.Estbd. 1919Directors’ <strong>Rep</strong>ortmaintain its leading business position as the largest direct insurer in <strong>India</strong> despite increased competitionfrom private companies. It also envisages that the <strong>Co</strong>mpany will remain under pressure due to thesignificant exposure of its Investment in the domestic equity market.XXVII.CORPORATE GOVERNANCE<strong>Co</strong>rporate Governance is the philosophy, discipline system and procedure of financial and other controlsin a corporate entity that ensures that business is carried out in a just and equitable manner with theaim of improving shareholders’ value. <strong>The</strong> corporate governance has acquired immense accent inrecent times and much emphasis has been focused on good governance of a business entity. In caseof Insurance business, safeguarding interest of the policyholders demands in place good governancepractices for maintenance of solvency, sound long-term investment policy and assumption of underwritingrisk on a prudential basis to create confidence among policyholders, investors and shareholders andthe public.<strong>The</strong> Board of Directors is responsible for good governance of the company and places a high degree ofimportance on applying the high standard of business integrity and professionalism and maintainingsound control systems at all levels of the <strong>Co</strong>mpany’s activities. <strong>The</strong> Board is committed to have in placean effective system of corporate governance and ensuring conduct of business in accordance withgenerally accepted principles and best practices of <strong>Co</strong>rporate Governance and business ethics.<strong>The</strong> <strong>Co</strong>mpany is following the best <strong>Co</strong>rporate Governance practices. Details of the Board and its Sub<strong>Co</strong>mmittees are given below :(i)Board of Directors<strong>New</strong> <strong>India</strong>’s Board consists of a perfect blend of experts from the fields of insurance, banking andfinance. <strong>The</strong> <strong>Co</strong>mpany has seven directors at present. <strong>The</strong> details are given below :Sl. No. Name and Designation of Directors Category of Directorship1. Mr. B. Chakrabarti, Chairman-cum-Managing DirectorChairman-cum-Managing Director2. Mr. Tarun Bajaj, I.A.S. Non-executive DirectorJoint Secretary (Banking & Insurance),Ministry of Finance, Government of <strong>India</strong>.3. Mr. T. S. Narayanasami, Chairman & Ex-officio Director (Ceased to beManaging Director, Bank of <strong>India</strong>. Director w.e.f. 20 th October <strong>2008</strong>)4. Mr. M.D. Mallya, Chairman & Managing Director, Ex-officio DirectorBank of Baroda. (w.e.f. 20 th October <strong>2008</strong>)5. Mr. M. Razzack, Chartered Accountant Part time non-official Director6 Mr. Sanjay Gupta, Chartered Accountant Part time non-official Director7. Mr. Sarat Pattanayak, Social Worker Part time non-official Director8. Mr. N.S.R. Chandra Prasad, General Manager Whole-time Director (Ceased tobe Director w.e.f. 4 th June 2009)9. Mr. A. R. Sekar, General Manager, Whole-time DirectorFinancial Advisor & <strong>Co</strong>mpany Secretary28