Delta Life administrator allowed to stay till 6 March

The Appellate Division of the Supreme Court on Sunday cleared the way for Delta Life Insurance's administrator to continue at least till 6 March.

A three-member Appellate Division bench headed by Chief Justice Hasan Foez Siddique extended its stay order against a High Court verdict that declared the appointment of administrator at the life insurer illegal.

The High Court on 6 January declared that the insurance regulator's decision to suspend Delta Life's board of directors and appoint an administrator to run the company was illegal.

The insurance regulator went for appeal and is now enjoying the stay order.

In February last year, the Insurance Development and Regulatory Authority (IDRA) appointed an administrator in Delta Life over various allegations.

The suspended directors of the company filed a writ petition against the IDRA decision.

They also filed an anti-corruption case against the IDRA Chairman accusing him of asking for graft.

Delta Life is the first private sector life insurer in the country.

The row between the company's suspended directors and the IDRA Chairman pushed its shareholders into suffering as the company's annual general meeting and dividends have since been stuck.   

Delta Life stock closed 3.5% lower at Tk158.3 in the Dhaka Stock Exchange on Sunday.