"Looking back and in the context of issues which further got thrown up among ourselves, I am not sure whether we had taken into account all aspects affecting the actuarial profession, while recommending the draft in 1997," says Khan.

The background: In 1997, the professional body drafted a model legislation for converting itself into a chartered institute and sent it to the then Insurance Regulatory Authority (IRA), which is now called the Insurance Regulatory and Development Authority (IRDA).

In September 2000, ASI received the government's draft Bill for comments. As the draft didn't contain what it had proposed, ASI in turn gave its views, again in the form of a draft Bill.

In March 2002, ASI convened a general body meeting enclosing its September 2000 draft Bill to the notice convening the meeting to pass the resolution enabling transfer of assets and liabilities to the proposed IAI. At the meeting the members were assured that their suggestions will be incorporated in the government Bill and the resolution for transfer of assets and liabilities was passed.

But the Actuaries Bill 2002 introduced in the parliament in December 2002 did not contain ASI's recommendations. Under pressure from some lobbies, the Bill was referred to the standing committee on finance for further examination.

On its part ASI constituted a four-member committee under the chairmanship of K P Narasimhan, former chairman of Life Insurance Corporation of India (LIC), to study the Bill and make its recommendations. Today, the setting up of IAI may not be a smooth affair if the Bill is passed without incorporating the recommendations of the Narasimhan Committee.

The cause of contention is Section 2 of the Bill that allows only individuals and partnership firms to undertake actuarial practice. This is opposed by one section of actuaries, and the Narasimhan committee favours corporates and life insurers to carry on actuarial practice (See '' and '').

"If the Bill is passed in its old form, we have a cause to agitate in the court of law. The decision will be taken by ASI's governing body," says Khan. "The resolution for the transfer of assets and liabilities to IAI was based on the draft it circulated along with the notice convening the meeting."

The parliament is expected to pass the Actuaries Bill during the current session.