Srinagar

Governor Satya Pal Malik’s decision to scrap J&K employees’ health insurance contract with the Reliance General Insurance Company vindicates our stand that the scheme had been rolled out to benefit a particular company, said CPIM spokesman in a statement.

“On October 3, we had raised this issue through the press and we welcome that the Governor has taken a timely decision to scrap the deal,” he said.

“But more needs to be done by punishing those involved in this dubious deal. Heads must roll and people should come to know who were the actors behind this scam,” he added.

The party spokesman in a statement said that the money involved in the scheme was too big to have been a straightforward mistake. The contract had been allotted to the same company which is involved in a controversy over Rs 59000-crore Rafale deal related to procurement of fighter jets by India.

“Also the Government needs to clarify how the employees would be refunded the amount that was deducted from their salaries as the first installment for the scheme,” he said.

“The Government must follow all the codal formalities as and when it decides to roll out any such scheme in future. It is totally unjustified and a big burden on employees and people of the state to give contracts worth billions to corporate companies without following the set norms. An open bid to select the insurance company on lowest premium must be selected,” the spokesman said.

“The Government must also keep in consideration that keeping an equal premium for poor class IV employees and gazetted officers and above in the scheme is unjustified and unacceptable. The premium must be charged proportionate to the salary of the employees,” the spokesman in a statement said.

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