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Communications regarding computer maintenance allowance to club member agents

Letter from Mr. P. Srinivasan, President to Mr. M. K. Balakrishnan, Marketing LIC DO, Coimbatore

15th December 2004

I am enclosing photo copy of the communication addressed to me by Sri M. Karunanidhi, Member of the Chairman’s Club Agent attached to Tatabad Branch.

I am also enclosing photo copy of the note related to the payment of additional office allowance to the Chairman’s Club Member.

I have received the allowance and I am happy.

However, my good friends like Sri M. Karunanidhi have not received full amount.

The agents are also not provided the reasons for not paying the full amount.

The circular is very clear that the Chairman’s Club Member maintaining a personal computer shall be paid an additional office allowance at the rate of 5% of the amount in excess of the total commission over Rs. 1,85,000/- subject to a maximum of Rs. 6,000/-

I do not know the circumstances under which the Divisional Office have reduced the amount payable to the agents.

I will be very happy if you are kind enough to analyse and advise me the system followed by our Divisional Office.

P Srinivasan

Letter from Mr. M. Karunanidhi to Mr. P. Srinivasan, President, CDC of LIC Agents

1st December 2004

With reference to the above, I wish to bring to your kind notice that the computer maintenance allowance for the Chairman’s club member agents is given every year.

The club member benefits circular issued by the Coimbatore Divisional Office says that “Chairman Club Member maintaining a personal computer shall be paid an additional allowance at the rate of 5% of the amount in excess of the total commission over and above Rs. 1,85,000/- subject to a maximum of Rs. 6,000/-.

They have not mentioned anything other than this. It is understood that the bills for incurring expenses towards maintaining computers are to be submitted. The agents of Tatabad Branch submitted the bills for computer consumables, service charges for Software updating, Hardware service bills etc., But the Divisional office refused to reimburse the expenses incurred on hardware servicing of the computer. Hardware servicing also plays a part in computer maintenance.

All CM club member agents of Tatabad Branch have been given less than Rs. 6,000/- though the expenses incurred on maintaining the computer and the eligibility as per the above calculation (5% of commission over and above 1,85,000) is more than Rs. 6,000/-

I have enclosed a copy of the club member benefit circular issued by Coimbatore Divisional office for your reference.

Kindly get the clarification on what are all eligible for reimbursement.

M. Karunariidhi

Communication from Secretary, Marketing, Zonal Office Chennai to SDM, LIC Coimbatore

I am delighted to inform you that our Marketing Manager and Senior Divisional Manager have taken necessary steps to rectify the anomaly.

I give below the circular issued by Marketing Department, Zonal Office, Chennai Ref. Mktg/D-l/KS dated 12.0 1.2005 and also a circular communication issued by Marketing Department, Coimbatore Division Ref. Mktg/Sales/24/2004-05 dated 15.0 1.2005 addressed to all Branch Managers.

This has reference to your letter dt : 27.12.04 regarding the above.

We hereby clarify that the inspecting officer for eligibility of office allowance may satisfy himself on the expenditure incurred in the usuage of computer in connection with the Insurance business and accordingly sanction additional office allowance on P.C. subject to the ceiling fixed to CM’s Club Members

Communication from AO, Marketing, Coimbatore to All Branch Managers in the Division
Ref:Mktg/Sales/24/2 004 - 05 15th january 2005\

In the light of the above, the Inspection Report is modified as follows

After Q.No. 13, Q. No. 14 will be
“Whether the Inspecting Officer is satisfied on the expenditure incurred in the usage of computer in connection with insurance business”.
The Branches are advised to include the above question in the Inspection Report and no bills need be forwarded to Divisional Office for claiming reimbursement for CMA. The Inspecting official has to satisfy himself on the expenditure incurred by the agent and give his observations as against Q.No. 14 as above.