
Madras High Court has ordered the state government to form special investigation teams in every district to probe fraudulent insurance claims. The court noted an 'unholy nexus' among claimants, repair shops, police,…
Madras High Court has ordered the state government to form special investigation teams in every district to probe fraudulent insurance claims. The court noted an 'unholy nexus' among claimants, repair shops, police, doctors and lawyers in the racket.
Justice GK Ilanthiraiyan directed that each SIT be headed by an Assistant Commissioner of Police (CCB) in cities and a DSP (DCB) in districts, supervised by the ADGP, CB-CID. The teams will investigate fake accidents, forged policies, false injuries and fabricated medical bills. The judge also ordered disciplinary proceedings against officials found guilty of dereliction of duty in facilitating or failing to prevent the fraud. The order came on a petition by Go Digit General Insurance Company.
This court order is a welcome step against a well-entrenched racket that inflates insurance premiums for honest policyholders. But the real test will be execution. Will the state government allocate enough manpower and funds to these SITs, or will they become another file in the bureaucracy? And will the probe extend beyond small fry to the lawyers and policemen the court named? The number of cases these teams register and prosecute in the next year will tell us if this is genuine reform or just another order.
Source: newindianexpress.com
This story was synthesised by AI from the source linked above.