Kolkata: CPM (Communist Party of India-Marxists), a crucial outside supporter of ruling UPA (United Progressive Alliance), which was opposed to the hike in FDI (Foreign Direct Investment) limit in three sectors, today (July 16, 2004) said it would vote against in Parliament if the Government brought any bill seeking to increase the FDI cap in insurance, but hoped that it would not.

''We are opposed to hike in FDI in insurance, telecom and civil aviation. We had opposed the IRDA (Insurance Regulatory and Development Authority) bill in 1996, but it was passed with Congress support in Rajya Sabha. We shall vote against if a bill is brought in Parliament seeking to increase the FDI cap in insurance,'' Politburo member Sitaram Yechuri told in Kolkata.

Asked what CPM would do if the bill was passed with the support of the BJP (Bharatiya Janata Party), he said in that case both Congress and BJP would be `exposed' to the people.

Reminding the Congress about the nature of mandate it had received in the Lok Sabha election, Yechuri hoped that the UPA Government would not bring such a bill in the Parliament.

To a question, Yechuri said that his party would not give any ultimatum to the UPA for accepting the demands.

Despite being critical of the decision to hike the FDI limit in three sectors and offloading five per cent stake in NTPC (National Thermal Power Corporation), a Navaratna PSU, Yechuri expressed hope that the situation of having to withdraw its backing to the UPA Government would not arise.

"We do not think such a situation will arise. It will be unfortunate if such a situation arises when we have to bite," he said earlier during a panel discussion on the union budget.

Reiterating that the CPM was a 'watchdog' and not a 'lapdog', he said that his party would not withdraw support.

''We never said that the support to the UPA Government will be withdrawn. You cannot show a single Government which was supported by CPM and which fell due to withdrawal of support by the party,'' Yechuri said.