The Insurance Development and Regulatory Authority (IDRA) has come under scrutiny following allegations of procedural misconduct in the prolonged legal and administrative dispute involving Dr. Bishwajit Kumar Mandal. The case has raised serious questions about regulatory assurances, governance practices, and executive accountability in the insurance sector.
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Background of the Dispute
Dr. Mandal was removed as Chief Executive Officer (CEO) of Homeland Life Insurance in October 2023 during the tenure of IDRA Chairman Mohammad Zainul Bari. The official justification cited his alleged failure to provide information to a special auditor, an action deemed under Section 50 of the Insurance Act 2010 to compromise customer interests. Legal experts note, however, that such a precedent did not exist: while fines for withholding information are codified, no previous case had treated omission as a direct offence against customer interests. Sources indicate that the real cause of friction was a clash with London-based Sylhet directors demanding financial privileges that Dr. Mandal refused to approve.
Following his removal, Dr. Mandal challenged IDRA’s decision in the High Court, which temporarily suspended the order on 17 December 2023, creating a legal limbo where neither he nor Homeland Life could appoint a CEO.
In September 2024, Dr. Mandal joined Jamuna Life Insurance as CEO and sought IDRA approval. Due to ongoing litigation with Homeland Life, the regulator rejected the application, prompting Dr. Mandal to file a second writ petition (No. 6657/2025), which was temporarily stayed.
Assurances and Withdrawal of Litigation
On 24 November 2025, Dr. Mandal submitted a formal letter to IDRA, offering to withdraw both pending cases in exchange for the withdrawal of his removal order and reinstatement as CEO. IDRA members Abu Bakr Siddiq (Non-Life) and Apel Mahmud (Life) verbally assured him that compliance with these conditions would lead to his reinstatement. Trusting these assurances, Dr. Mandal withdrew both lawsuits.
Revised Order and Controversy
Contrary to prior assurances, IDRA issued a revised removal order on 1 March 2026, nearly three months after the lawsuits were withdrawn. The amended order introduced four conditions, including a prohibition on Dr. Mandal serving in executive roles at Jamuna Life or Homeland Life for one year. Post this period, he may assume CEO positions in other insurance companies but may serve in non-executive roles immediately.
Dr. Mandal has publicly characterised IDRA’s conduct as “regulatory deception,” warning that such practices erode professional trust and could hinder sector development.
Key Events Timeline
| Date | Event |
|---|---|
| 16 Oct 2023 | Removal as CEO, Homeland Life Insurance. |
| 17 Dec 2023 | High Court suspends removal order; CEO position in limbo. |
| Sept 2024 | Joins Jamuna Life Insurance; IDRA rejects approval. |
| 9 Nov 2025 | Submits conditional withdrawal letter to IDRA. |
| 12–13 Nov 2025 | Verbal assurances received from IDRA members. |
| 24–25 Nov 2025 | Lawsuits formally withdrawn; certified copies submitted. |
| 7 Jan 2026 | Unconditional apology submitted per IDRA guidance. |
| 1 Mar 2026 | IDRA issues revised removal order with four conditions. |
Legal and Regulatory Context
Section 50 of the Insurance Act 2010 allows IDRA to remove executives for actions undermining customer interests and to amend or revoke removal orders. However, the Act does not mandate imposing conditions during such amendments. Dr. Mandal contends that the revised order violated prior assurances, effectively constituting regulatory malfeasance.
Attempts to secure statements from IDRA members Apel Mahmud and Abu Bakr Siddiq were unsuccessful.