To
Hon'ble President of India
Rashtrapati Bhavan
New Delhi

Subject: Our sincere appeal to avert the listing of LIC.
We, the undersigned, through this petition urge Your Excellency to stay the listing of LIC. As concerned citizens of India, we are penning down few points for your sympathetic consideration as millions of Indian citizen are looking up to you with high expectation for taking steps to avert the listing of LIC. LIC has been the jewel in the crown of Mother India and selling off national asset is against the spirit of ‘Atmanirbhar Bharat’. LIC ranked 11th amongst India’s top 15 most trusted brands, according to TRA's Brand Trust Report 2020.
We would like to place before you the pitfalls of listing LIC which may subsequently create a trust deficit in our minds about LIC because brands are created in the mind of the people.
1. The disinvestment of part of the Government’s stake in LIC and its proposed IPO are suggestive of clearing the decks to privatise the crown jewel of India’s life insurance sector. But then, will a privatised LIC meet our crucial long term financing needs for infrastructure projects with a long gestation period.
2. Privatisation policy betrays its disdain for social justice. LIC has historically played an active role in developing backward regions. . LIC has been a nation builder since 1956. True to the objective of nationalisation, LIC has mobilised the funds invested by the people for the community at large. The total funds, so invested for the community at large in housing, power, irrigation, water supply & sewerage, railways etc. has been to the tune of ₹30, 69,942 crore as on 31st March 2020. Disinvestment of LIC will defeat the objective of nationalisation of LIC. Spreading life insurance widely to the rural areas and to socially and economically backward classes and providing them adequate financial cover against death at a reasonable cost will become a challenge as LIC’s operational approach and investment policies will change since the motive will be to maximise the return to the shareholders.

3. The proposed public offer through disinvestment in LIC will change the way surplus is distributed. After disinvestment the surplus will be distributed amongst three stakeholders instead of two at present. Lower share of surplus to the policyholders will reduce the rate of bonus being paid to the policyholders and this in turn will also affect the future new business of LIC thereby impacting the revenue generation of LIC which in turn may influence the economic development of India.
LIC has always been at the service of the people, nation and disinvestment will change the Corporation motive from service to profit making as the aim will be to maximise the return to the shareholders. This will discourage LIC from providing insurance coverage to the underprivileged section of the society. In order to survive the cut throat competition LIC may be pushed to review its investments in the social sectors like housing, power, irrigation, water supply, sewerage, road, port & bridges, railways and other infrastructure investment as return on these investments are negligible.
When the primary goal is to serve the public rather than the shareholders, we must not sacrifice the public interest to private profits. The goal of the private sector is to maximise the profits for the shareholders not to serve the public interest.
Therefore, we fervently appeal to you to use your good office to convince the Government to rescind the decision to disinvest LIC.

Keep LIC as a Government owned institution for a better India, developed India.
Thanking you in anticipation