Unity asked to prove legality

ILAM, May 7:  District Administration Office Ilam has ordered Unity Life International, which raked in billions of rupees from the people promising insurance and banking returns without following due legal process, to furnish licenses of Nepal Rastra Bank (NRB) and Insurance Board (IB).It has also asked the officials of its Ilam office to submit details of its how it handles the accounts of its clients.



The DAO issued such instructions to the company on Thursday after locals filed a case against the company, seeking refund of their money. [break]



The company had misled over 2,200 people in Ilam and a total of 4,300 people in Mechi zone to buy its assurance plan at Rs 15,000 and free health treatment plan at Rs 15,750.



The DAO also summoned 24 presidents of the company for inquiry. They have sold the company´s schemes to more than 40 people.



However, only 16 of them responded to the call. DAO also made them sign a written commitment to attend the DAO as and when summoned for further investigation.



“They will have to come to DAO whenever summoned,” said Chief District Officer (CDO) Kosh Hari Niraula.



Talking to Republica, Niraula added that the DAO was closely following the case of Unity. “We have asked the company officials to furnish documents to prove its legality,” he said.

During the meeting, CDO Niraula also asked the company to refund people´s money as it committed on May 2.



After clients flocked its office claiming refund of their money, the company had signed an agreement with them, promising to pay back cent percent money they paid for its schemes within a week. Previously, the company had said it would refund them only 65 percent of the amount, saying that it was their company´s policy.



Meanwhile, ULI has closed down its office in Ilam from Thursday. Fixing a notice at the gate of the office, the company has informed that its office will remain closed throughout the UCPN (Maoist´s) indefinite strike.



Interestingly, several business houses have continued their services, despite the strike in Ilam.



The closure, meanwhile, has forced the clients from villages seeking refund to return empty handed.



“I had come to drop application for reclaiming my money. But the office is closed. I don´t know what to do now,” said Gokul Sanjel, who had traveled all the way from Soyang -6 to the Unity office in the district headquarters.



Tilak Ram Bhusal, president of Unity´s Consumer Committee, said that the office could not be opened on the day due to the Maoist´s strike. “There is nothing wrong with the closure,” said he.



As for the instructions of the DAO, he said senior company directors are already in Ilam and they will deal with the situation.

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