IDRA members face deception allegations over Dr Biswajit Mondal removal order

Desk report: Allegations of deception have emerged against two members of the Insurance Development and Regulatory Authority (IDRA) after Dr Biswajit Kumar Mondal withdrew court cases based on assurances that his removal order would be withdrawn unconditionally.

Dr Mondal claims that IDRA members Abu Bakar Siddiq (Non-Life) and Apel Mahmud (Life) advised him to withdraw two writ petitions filed with the High Court, promising that the regulator would cancel his removal order and allow him to resume work as chief executive officer (CEO) of an insurance company.

However, nearly three months after the cases were withdrawn; IDRA issued a revised order instead of cancelling the removal decision. The revised order imposed four conditions, including a restriction preventing Dr Mondal from serving as CEO of any insurance company for one year.

The amended order was issued on March 1, 2026, a day before IDRA Chairman Aslam Alam stepped down from his position.

Dr Mondal described the regulator’s actions as a clear case of deception toward a professional in the insurance sector. He said such conduct could set a negative precedent for professionals working in the industry.

According to sources, IDRA removed Dr Mondal from his position as CEO of Homeland Life Insurance in 2023 during the tenure of then IDRA chairman Mohammad Zainul Bari.

The regulator cited “failure to provide information to a special auditor” as an offence that harmed policyholder interests.

Industry sources say insurance companies are often accused of failing to provide information to special auditors, but such cases typically result in fines rather than the removal of a CEO. They also note that the Insurance Act does not clearly define what constitutes harm to policyholder interests.

Sources claim the dispute was linked to conflicts between Dr Mondal and several London-based directors of Homeland Life. These directors reportedly wanted him removed after he refused to approve certain financial benefits, including higher board meeting fees, vehicle facilities and other payments that he believed were unethical and inconsistent with insurance and company laws.

On October 16, 2023, IDRA issued an order removing Dr Mondal from Homeland Life. He subsequently filed a writ petition with the High Court challenging the decision.

The High Court later suspended the removal order.

Following the court order, tensions reportedly increased between Dr Mondal and IDRA officials. The company later terminated his contract by paying three months’ salary in accordance with contractual terms.

IDRA subsequently challenged the High Court order at the Chamber Judge Court, which referred the matter to the Appellate Division.

On December 17, 2023, the Appellate Division issued a status quo order regarding the appointment of a CEO at Homeland Life. The order meant that until the case was resolved, Dr Mondal could not serve as CEO and the company could not appoint another CEO.

In September 2024, Dr Mondal joined Jamuna Life Insurance as its chief executive officer. The company applied to IDRA for approval of his appointment.

However, the regulator rejected the application citing the ongoing legal dispute related to Homeland Life.

Dr Mondal then filed another writ petition (No. 6657/2025) seeking relief from the High Court. The court later issued a stay order regarding the appointment of a CEO at Jamuna Life.

As a result, IDRA faced legal implications concerning CEO appointments at both Homeland Life and Jamuna Life.

After several rounds of discussions with IDRA officials, Dr Mondal was reportedly advised to withdraw both cases.

Following verbal assurances from the two IDRA members, Dr Mondal wrote to the IDRA chairman on November 9, 2025 expressing his willingness to withdraw the cases if the removal order was revoked and he was allowed to work again as a CEO.

On November 12, 2025, member Abu Bakar Siddiq reportedly called Dr Mondal and informed him that the chairman had instructed him to convey that the removal order would be withdrawn if the cases were withdrawn and a formal application was submitted.

Similar assurances were reportedly reiterated during a meeting with one of Dr Mondal’s close associates on November 13.

Based on these assurances, Dr Mondal withdrew both cases.

On November 24, 2025, he formally applied to IDRA seeking withdrawal of the removal order and submitted certified copies of the court orders confirming the withdrawal.

The following day, IDRA’s Director of Legal Affairs Md Abdul Majid reportedly contacted him and requested the original certified copies of the court documents. During a meeting, the official reportedly congratulated him in advance on returning to work in the insurance sector.

Later, on January 7, 2026, IDRA member Apel Mahmud reportedly asked Dr Mondal to submit an unconditional apology letter to the chairman for filing cases against the regulator. Dr Mondal compiled and submitted the letter the same day.

On January 14, IDRA Executive Director (Life) Selim Reza reportedly asked him to submit another application acknowledging mistakes mentioned in the removal order and provided a sample format. Dr Mondal followed the instructions and submitted the required application.

Despite these steps, IDRA did not withdraw the removal order.

Instead, on March 1, 2026, the regulator issued a revised order imposing four conditions.

Under the revised order, Dr Mondal cannot hold any position at Jamuna Life Insurance or Homeland Life Insurance. He is also barred from serving as CEO of any insurance company for one year from the date of the order.

After the one-year period, he may be eligible to serve as CEO at other insurance companies, except Jamuna Life and Homeland Life.

During the one-year period, he may work in other insurance companies in roles other than CEO.

According to sources, Section 50 of the Insurance Act 2010 allows IDRA to remove a CEO if policyholder interests are harmed.

Sub-section (2) of the same law allows the authority to cancel or modify such an order. However, the law does not require the regulator to impose conditions when revising a decision.

The law states that the authority may impose conditions if it considers them necessary, but it does not make such conditions mandatory.

Dr Mondal argues that the information allegedly withheld from the special auditor did not relate to the period during which he served as CEO of Homeland Life.

He also said the law provides for fines against companies for failing to provide information but does not clearly define what constitutes harm to policyholder interests.

Dr Mondal alleged that he was removed under the influence of certain London-based directors from Sylhet who pressured former chairman Mohammad Zainul Bari.

“I was forced to seek justice in court. Both cases were in my favour. But I withdrew them after being assured that the removal order would be withdrawn,” he said.

“What IDRA has done is a clear deception. If I had known such conditions would be imposed, I would never have withdrawn the cases.”

He added that such actions could undermine confidence among professionals in the insurance sector and weaken trust in the regulator.

Attempts were made to obtain comments from IDRA member (Life) Apel Mahmud and member (Non-Life) Abu Bakar Siddiq.

However, despite requests made through the front desk at the IDRA office, neither official agreed to provide an interview.