IRDAI Instructed All Banks Not to Grant Corporate Loans Without LEI Code

The Insurance Regulatory and Development Authority of India (IRDAI) has asked insurers not to grant loan renewals or enhancements if the borrowers do not get the LEI code from the Legal Entity Identifier India Ltd.

In a circular, IRDAI has asked insurers and others regulated by it to get the Legal Entity Identifier (LEI) code on or before July 31, 2020.

The IRDAI also asked the insurers to advice their corporate borrowers having total exposure of Rs 50 crore and above to obtain LEI code on or before June 30, 2020 and provide the same.

The Indian insurance regulator further said borrowers who do not obtain LEI code should not be granted loan renewals or enhancements and no new loans be sanctioned without the LEI code.