The Indian Government has suspended the Chairman and MD of New India Assurance over alleged irregularities in the distribution of credit insurance when he was in charge of another insurer, according to Mumbai media reports. 

The Economic Times says M Ramadoss is under investigation regarding credit insurance cover to Paramount Airways when he was head of Oriental Insurance Company in 2009.

The chairman of United India Insurance will chair New India Assurance while an investigation is conducted.

New India Assurance is the largest insurer in India and also has branches in 57 countries, including Australia and New Zealand.