Corporate Social Responsibility or CSR is a statutory liability for some companies in India under Companies Act 2013. This presentation discusses the legal aspects related to CSR. It is of interest to corporate houses as well as legal professionals.
Corporate Social Responsibility - Section 135 of Companies Act, 2013Sahil Goel
Corporate social responsibility (CSR) refers to companies behaving ethically and contributing to economic development while improving quality of life, according to Lord Holme and Richard Watts. The document outlines the steps companies must take to comply with Section 135 of the Indian Companies Act, including constituting a CSR committee and formulating a CSR policy. Applicable companies must spend at least 2% of their average net profits over the past three years on CSR activities listed in Schedule VII, such as contributions to cleanliness funds. While CSR requires management efforts, it ultimately benefits society and the environment.
Section 3 to 6 of the Trade Union Act 1926 gives details about Registration of Trade Union and section 7 to 10 of the Act gives details about Registration , Certificate and Cancellation of Registration.
The document discusses the appointment, roles, and removal of company directors. It states that directors serve as trustees, agents, and partners. They are responsible for administering the company and making policy decisions. Directors can be appointed through election, board nomination, government nomination, or share qualifications. They can be removed by shareholders, government order, or courts. The document outlines the powers and responsibilities of directors in managing company affairs according to law.
Difference between company llp and partnership firm Sandeep Kumar
This slide give an idea to the reader that how company LLP is different as compare to the partenership firm . so after going through these slides they would easly understood the concept and good understanding out of it
The document discusses the key stages and processes involved in forming and operating a company in India according to the Companies Act of 1956. It covers the stages of promotion, incorporation, capital subscription, and commencement of business. It also discusses essential documents like the memorandum of association, articles of association, and prospectus. Other topics covered include types of company meetings, roles and powers of directors, and winding up processes like voluntary and compulsory liquidation.
The document discusses changes to section 6(3) of the Indian Income Tax Act of 1961 regarding determining residency of a company. A company will now be considered a resident of India if its place of effective management (POEM) is in India at any time during the year. POEM refers to where key management and commercial decisions necessary for conducting business are made. The changes aim to address shell companies controlled and managed from India but incorporated elsewhere. A two-stage process is outlined to identify POEM based on who makes decisions and where the decisions are made. Factors like board meeting locations, senior management locations, and main business activities are considered when POEM is not clearly defined.
The document provides an overview of company law in India, including definitions and key concepts. It discusses the definition of a company, characteristics of companies, types of companies (private/public, by incorporation, liability, control, ownership), and the process of forming a company (promotion and incorporation stages). The key differences between private and public companies are also outlined. In summary, the document covers the essential legal concepts and formation process related to companies under Indian law.
The document provides a backgrounder on the key highlights of the Companies Act, 2013. Some of the major changes introduced include:
- Definition of new terms like associate company, dormant company, foreign company, independent director, etc.
- Introduction of concepts like One Person Company, small companies with relaxed compliance.
- Faster registration process with e-governance features.
- Stricter disclosure norms for prospectus and allotment of securities.
- Provisions for reduction of share capital and redemption of preference shares.
- Enhanced role of e-governance for various company processes.
- Changes in board composition with limits on minimum and maximum number of directors.
Corporate Social Responsibility - Section 135 of Companies Act, 2013Sahil Goel
Corporate social responsibility (CSR) refers to companies behaving ethically and contributing to economic development while improving quality of life, according to Lord Holme and Richard Watts. The document outlines the steps companies must take to comply with Section 135 of the Indian Companies Act, including constituting a CSR committee and formulating a CSR policy. Applicable companies must spend at least 2% of their average net profits over the past three years on CSR activities listed in Schedule VII, such as contributions to cleanliness funds. While CSR requires management efforts, it ultimately benefits society and the environment.
Section 3 to 6 of the Trade Union Act 1926 gives details about Registration of Trade Union and section 7 to 10 of the Act gives details about Registration , Certificate and Cancellation of Registration.
The document discusses the appointment, roles, and removal of company directors. It states that directors serve as trustees, agents, and partners. They are responsible for administering the company and making policy decisions. Directors can be appointed through election, board nomination, government nomination, or share qualifications. They can be removed by shareholders, government order, or courts. The document outlines the powers and responsibilities of directors in managing company affairs according to law.
Difference between company llp and partnership firm Sandeep Kumar
This slide give an idea to the reader that how company LLP is different as compare to the partenership firm . so after going through these slides they would easly understood the concept and good understanding out of it
The document discusses the key stages and processes involved in forming and operating a company in India according to the Companies Act of 1956. It covers the stages of promotion, incorporation, capital subscription, and commencement of business. It also discusses essential documents like the memorandum of association, articles of association, and prospectus. Other topics covered include types of company meetings, roles and powers of directors, and winding up processes like voluntary and compulsory liquidation.
The document discusses changes to section 6(3) of the Indian Income Tax Act of 1961 regarding determining residency of a company. A company will now be considered a resident of India if its place of effective management (POEM) is in India at any time during the year. POEM refers to where key management and commercial decisions necessary for conducting business are made. The changes aim to address shell companies controlled and managed from India but incorporated elsewhere. A two-stage process is outlined to identify POEM based on who makes decisions and where the decisions are made. Factors like board meeting locations, senior management locations, and main business activities are considered when POEM is not clearly defined.
The document provides an overview of company law in India, including definitions and key concepts. It discusses the definition of a company, characteristics of companies, types of companies (private/public, by incorporation, liability, control, ownership), and the process of forming a company (promotion and incorporation stages). The key differences between private and public companies are also outlined. In summary, the document covers the essential legal concepts and formation process related to companies under Indian law.
The document provides a backgrounder on the key highlights of the Companies Act, 2013. Some of the major changes introduced include:
- Definition of new terms like associate company, dormant company, foreign company, independent director, etc.
- Introduction of concepts like One Person Company, small companies with relaxed compliance.
- Faster registration process with e-governance features.
- Stricter disclosure norms for prospectus and allotment of securities.
- Provisions for reduction of share capital and redemption of preference shares.
- Enhanced role of e-governance for various company processes.
- Changes in board composition with limits on minimum and maximum number of directors.
Difference between a public and a private company under Companies Act, 2013CA Sachin D Jain
Difference between a Public Limited Company and a Private Limited Company as per the provisions contained in the Companies Act, 2013 and relevant rules and regulations prescribed thereunder.
This document discusses the immunities granted to trade unions and their members under Indian law. It explains that the Trade Union Act of 1926 granted certain privileges and immunities to trade unions, their office bearers, and members for acts done in furtherance of a labor dispute. Specifically, it provides criminal immunity for concerted worker gatherings and actions during disputes as long as they remain peaceful and lawful. However, criminal immunity is lost if unlawful confinement, trespassing, violence, force, assault, mischief or intimidation occurs. The act also grants civil immunity for actions taken in contemplation or furtherance of a trade dispute, as long as inducement is through lawful means.
The document summarizes the key aspects of the Payment of Wages Act, 1936 in India. It outlines the applicability of the Act, definitions, responsibilities for wage payment, fixation of wage periods at a maximum of one month, timelines for payment within 7-10 days of the wage period, methods of payment, authorized deductions including fines and loans, and procedures for appeals. The purpose of the Act is to ensure timely and full payment of wages to employees without unauthorized deductions.
This document provides an overview of accounting standards in India. It discusses the need for and objectives of accounting standards, which are to bring uniformity in accounting methods, improve reliability of financial statements, and simplify accounting information. It summarizes some key Indian Accounting Standards (Ind AS), including Ind AS 1 on disclosure of accounting policies, Ind AS 2 on valuation of inventories, and Ind AS 101 on first-time adoption of accounting standards. Ind AS 2 specifies that inventories should be measured at the lower of cost and net realizable value. The document also outlines the phases for adoption of Ind AS for companies in India based on their net worth.
The document discusses various aspects related to directors of a company under Indian law. It defines a director and outlines the minimum and maximum number of directors a company can have. It discusses the types of directors like independent, nominee, and alternate directors. It covers the appointment, tenure, duties, and removal of directors. The key ways directors can be appointed include by shareholders, board of directors, third parties, and the central government.
The Payment of Bonus Act, 1965 aims to reward employees through profit sharing. It applies to factories and establishments with 20 or more employees. Eligible employees must work a minimum of 30 days and earn less than Rs. 21,000 per month. Employers must pay a minimum bonus of 8.33% of salary or Rs. 100, and can pay up to 20% of salary depending on available surplus. Employers have 8 months to pay bonuses, with provisions to carry forward surplus or deficits to subsequent years.
The Employees Provident Fund and Miscellaneous Provisions Act, 1952 was passed to provide social security to employees in industries by establishing a compulsory provident fund. The Act applies to establishments with 20 or more employees across industries like cement, cigarettes, engineering etc. It requires both employers and employees to contribute 12% each of the employee's basic wages to the provident fund. Several amendments have been made over time to introduce provisions like family pension schemes and deposit linked insurance schemes. The Act is administered by the Central Board of Trustees, Employees Provident Fund Organisation with representation from government, employers and employees.
(1) The Factories Act of 1948 outlines rules for annual leave with wages for factory workers in India. It states that workers who have worked for 240 days or more in a calendar year are entitled to paid leave the following year at a rate of one day for every 20 days worked for adults and one day for every 15 days worked for children.
(2) The act also covers computation of leave for workers who start after January 1st, entitlement to wages in lieu of leave for workers who are discharged, quit or die, and rules for carrying leave over to the next year if it is not used.
(3) It requires factories to have a written scheme for granting leave agreed to by workers that ensures
Clubbing of income provisions allow the income of certain taxpayers to be included in the taxable income of another person under specific circumstances outlined in sections 60-64 of the Income Tax Act. This includes income transferred without asset transfer, income from revocable transfers of assets, income of a spouse from a business in which the other spouse has substantial interest without qualifications, income from assets transferred to a spouse or son's wife without adequate consideration, and income of a minor child. The purpose is to prevent tax avoidance by attributing income to the person who effectively controls or benefits from the income.
Corporate Social Responsibility, CSR amendments under the Companies (Amendment) Act, 2019, Benefits of CSR, Management of Socially Responsible Business, Pyramid of CSR, Economic Responsibility, Legal Responsibility
Ethical Responsibility, Philanthropic Responsibility, discretionary responsibility, Section 135 and Schedule VII of Companies Act, Entries in Schedule VII, Types of CSR activities under Schedule VII of the Companies Act 2013, Business Ethics, CSR of Business Towards Stake Holders, Social Responsibilities of Business Towards Different Stakeholders-SHAREHOLDERS, GOVERNMENT, CUSTOMERS, EMPLOYEES, SOCIETY, Reasons for Businesses to Engage in CSR, Social Responsibility ----
Arguments for/ in favour of Social Responsibility of Business, Social Responsibility ----
Arguments Against Social Responsibility of Business, CSR Activities of Companies
The Payment of Gratuity Act of 1972 provides social security to employees in India by requiring employers to pay gratuity payments to their employees after they complete at least 5 years of continuous service. The act applies to factories, mines, oilfields, plantations, ports, and shops with more than 10 employees. It entitles employees who have worked for at least 5 years to receive gratuity payments equal to 15 days' wages for each completed year of service. The maximum gratuity payable is Rs. 10 lakh. Employers must make these payments within 30 days of when gratuity becomes due.
OBJECTIVE
Import of all kinds of goods and on the export of goods on certain situations attracts customs duty. The Customs Act,1962 contains provisions which govern the levy of customs duty. In this webinar, we shall understand the provisions for levy of customs duty and exemptions from customs duty.
The document discusses various requirements for directors and key managerial personnel under the Companies Act 2013. It outlines the minimum and maximum number of directors allowed for different types of companies. It also discusses requirements for appointing independent directors, woman directors, and small shareholders' directors. Other topics covered include director identification numbers, appointment and vacation of directorship, resignation and removal of directors, and requirements for appointing key managerial personnel.
The document discusses various aspects related to accounts, audit, and auditors under the Companies Act 2013. Some key points include:
- Every company must prepare annual financial statements including a balance sheet, profit and loss statement, cash flow statement and notes. The accounts must give a true and fair view of the company's affairs.
- The board of directors is responsible for the preparation of financial statements and a Directors' Responsibility Statement.
- An auditor must be appointed to audit the accounts annually and certify if they give a true and fair view. Their duties and qualifications are also outlined.
- The board report attached to financial statements must include details like number of board meetings, related party transactions, CSR
This document provides an overview of the Trade Union Act of 1926 in India. It discusses key aspects of the act such as:
1. The objective of the act was to provide trade unions and their members protection from certain civil and criminal liabilities and to control expenditures of union funds for specified purposes.
2. It defines what constitutes a trade union and a trade dispute. It also outlines the process for registration of trade unions, requirements for trade union rules, and powers of the registrar.
3. The act established trade unions as corporate bodies with perpetual succession, the ability to own property, enter contracts, and sue or be sued. It has since undergone several amendments to expand protections for unions.
This document provides definitions and explanations related to takeovers and the Takeover Code in India. It defines key terms like acquirer, control, shares, promoter, person acting in concert, target company. It summarizes regulations around disclosures for acquisition of shares above certain thresholds and the requirement for open offers when acquisition of shares takes the holding above certain levels like 15% and 55%. It also discusses judgements around interpretation of some of these terms.
This document summarizes various ways that companies can be classified under Indian law. It discusses classification by mode of incorporation such as royal chartered, statutory, and registered companies. It also covers classification based on liability of members into companies limited by shares, companies limited by guarantee, and unlimited companies. Additionally, it discusses classification as public or private companies and one person companies. It provides examples of holding companies and their subsidiaries. Finally, it defines government companies and foreign companies under Indian law.
This document discusses conciliation as a means to settle industrial disputes in India. It defines conciliation as a process using a neutral third party to help disputing parties reduce differences and arrive at an agreed solution. The conciliation machinery in India includes conciliation officers, boards of conciliation, and courts of enquiry. Conciliation officers attempt to mediate settlements within 14 days, while boards of conciliation, consisting of an independent chair and party representatives, have up to two months to submit a report. Courts of enquiry are fact-finding bodies that publish reports within six months, but do not directly aim for dispute settlement.
The document defines key terms related to industrial disputes and the Industrial Disputes Act of 1947 in India such as industrial dispute, workman, wages, and public utility service. It outlines the objectives of the act to promote amity between employers and workers. It describes features such as encouraging arbitration, setting up works committees, and empowering government authorities to resolve disputes. Finally, it explains the various authorities established under the act to handle different types and levels of disputes, such as conciliation officers, boards of conciliation, courts of inquiry, labour courts, and national tribunals.
Corporate social responsibility in Companies ACT 2013Vishwas Swamy
The document outlines the Corporate Social Responsibility (CSR) requirements for companies in India according to Chapter IX, Section 135 of the Companies Act of 2013. It defines CSR as how companies integrate social and environmental concerns into their operations and interactions with stakeholders. It requires companies meeting certain net worth, turnover, or profit thresholds to spend 2% of their average net profits of the previous three years on CSR activities. Eligible companies must form a CSR committee and develop a CSR policy specifying planned activities. The policy and an annual report detailing CSR efforts and expenditures must be disclosed publicly.
Difference between a public and a private company under Companies Act, 2013CA Sachin D Jain
Difference between a Public Limited Company and a Private Limited Company as per the provisions contained in the Companies Act, 2013 and relevant rules and regulations prescribed thereunder.
This document discusses the immunities granted to trade unions and their members under Indian law. It explains that the Trade Union Act of 1926 granted certain privileges and immunities to trade unions, their office bearers, and members for acts done in furtherance of a labor dispute. Specifically, it provides criminal immunity for concerted worker gatherings and actions during disputes as long as they remain peaceful and lawful. However, criminal immunity is lost if unlawful confinement, trespassing, violence, force, assault, mischief or intimidation occurs. The act also grants civil immunity for actions taken in contemplation or furtherance of a trade dispute, as long as inducement is through lawful means.
The document summarizes the key aspects of the Payment of Wages Act, 1936 in India. It outlines the applicability of the Act, definitions, responsibilities for wage payment, fixation of wage periods at a maximum of one month, timelines for payment within 7-10 days of the wage period, methods of payment, authorized deductions including fines and loans, and procedures for appeals. The purpose of the Act is to ensure timely and full payment of wages to employees without unauthorized deductions.
This document provides an overview of accounting standards in India. It discusses the need for and objectives of accounting standards, which are to bring uniformity in accounting methods, improve reliability of financial statements, and simplify accounting information. It summarizes some key Indian Accounting Standards (Ind AS), including Ind AS 1 on disclosure of accounting policies, Ind AS 2 on valuation of inventories, and Ind AS 101 on first-time adoption of accounting standards. Ind AS 2 specifies that inventories should be measured at the lower of cost and net realizable value. The document also outlines the phases for adoption of Ind AS for companies in India based on their net worth.
The document discusses various aspects related to directors of a company under Indian law. It defines a director and outlines the minimum and maximum number of directors a company can have. It discusses the types of directors like independent, nominee, and alternate directors. It covers the appointment, tenure, duties, and removal of directors. The key ways directors can be appointed include by shareholders, board of directors, third parties, and the central government.
The Payment of Bonus Act, 1965 aims to reward employees through profit sharing. It applies to factories and establishments with 20 or more employees. Eligible employees must work a minimum of 30 days and earn less than Rs. 21,000 per month. Employers must pay a minimum bonus of 8.33% of salary or Rs. 100, and can pay up to 20% of salary depending on available surplus. Employers have 8 months to pay bonuses, with provisions to carry forward surplus or deficits to subsequent years.
The Employees Provident Fund and Miscellaneous Provisions Act, 1952 was passed to provide social security to employees in industries by establishing a compulsory provident fund. The Act applies to establishments with 20 or more employees across industries like cement, cigarettes, engineering etc. It requires both employers and employees to contribute 12% each of the employee's basic wages to the provident fund. Several amendments have been made over time to introduce provisions like family pension schemes and deposit linked insurance schemes. The Act is administered by the Central Board of Trustees, Employees Provident Fund Organisation with representation from government, employers and employees.
(1) The Factories Act of 1948 outlines rules for annual leave with wages for factory workers in India. It states that workers who have worked for 240 days or more in a calendar year are entitled to paid leave the following year at a rate of one day for every 20 days worked for adults and one day for every 15 days worked for children.
(2) The act also covers computation of leave for workers who start after January 1st, entitlement to wages in lieu of leave for workers who are discharged, quit or die, and rules for carrying leave over to the next year if it is not used.
(3) It requires factories to have a written scheme for granting leave agreed to by workers that ensures
Clubbing of income provisions allow the income of certain taxpayers to be included in the taxable income of another person under specific circumstances outlined in sections 60-64 of the Income Tax Act. This includes income transferred without asset transfer, income from revocable transfers of assets, income of a spouse from a business in which the other spouse has substantial interest without qualifications, income from assets transferred to a spouse or son's wife without adequate consideration, and income of a minor child. The purpose is to prevent tax avoidance by attributing income to the person who effectively controls or benefits from the income.
Corporate Social Responsibility, CSR amendments under the Companies (Amendment) Act, 2019, Benefits of CSR, Management of Socially Responsible Business, Pyramid of CSR, Economic Responsibility, Legal Responsibility
Ethical Responsibility, Philanthropic Responsibility, discretionary responsibility, Section 135 and Schedule VII of Companies Act, Entries in Schedule VII, Types of CSR activities under Schedule VII of the Companies Act 2013, Business Ethics, CSR of Business Towards Stake Holders, Social Responsibilities of Business Towards Different Stakeholders-SHAREHOLDERS, GOVERNMENT, CUSTOMERS, EMPLOYEES, SOCIETY, Reasons for Businesses to Engage in CSR, Social Responsibility ----
Arguments for/ in favour of Social Responsibility of Business, Social Responsibility ----
Arguments Against Social Responsibility of Business, CSR Activities of Companies
The Payment of Gratuity Act of 1972 provides social security to employees in India by requiring employers to pay gratuity payments to their employees after they complete at least 5 years of continuous service. The act applies to factories, mines, oilfields, plantations, ports, and shops with more than 10 employees. It entitles employees who have worked for at least 5 years to receive gratuity payments equal to 15 days' wages for each completed year of service. The maximum gratuity payable is Rs. 10 lakh. Employers must make these payments within 30 days of when gratuity becomes due.
OBJECTIVE
Import of all kinds of goods and on the export of goods on certain situations attracts customs duty. The Customs Act,1962 contains provisions which govern the levy of customs duty. In this webinar, we shall understand the provisions for levy of customs duty and exemptions from customs duty.
The document discusses various requirements for directors and key managerial personnel under the Companies Act 2013. It outlines the minimum and maximum number of directors allowed for different types of companies. It also discusses requirements for appointing independent directors, woman directors, and small shareholders' directors. Other topics covered include director identification numbers, appointment and vacation of directorship, resignation and removal of directors, and requirements for appointing key managerial personnel.
The document discusses various aspects related to accounts, audit, and auditors under the Companies Act 2013. Some key points include:
- Every company must prepare annual financial statements including a balance sheet, profit and loss statement, cash flow statement and notes. The accounts must give a true and fair view of the company's affairs.
- The board of directors is responsible for the preparation of financial statements and a Directors' Responsibility Statement.
- An auditor must be appointed to audit the accounts annually and certify if they give a true and fair view. Their duties and qualifications are also outlined.
- The board report attached to financial statements must include details like number of board meetings, related party transactions, CSR
This document provides an overview of the Trade Union Act of 1926 in India. It discusses key aspects of the act such as:
1. The objective of the act was to provide trade unions and their members protection from certain civil and criminal liabilities and to control expenditures of union funds for specified purposes.
2. It defines what constitutes a trade union and a trade dispute. It also outlines the process for registration of trade unions, requirements for trade union rules, and powers of the registrar.
3. The act established trade unions as corporate bodies with perpetual succession, the ability to own property, enter contracts, and sue or be sued. It has since undergone several amendments to expand protections for unions.
This document provides definitions and explanations related to takeovers and the Takeover Code in India. It defines key terms like acquirer, control, shares, promoter, person acting in concert, target company. It summarizes regulations around disclosures for acquisition of shares above certain thresholds and the requirement for open offers when acquisition of shares takes the holding above certain levels like 15% and 55%. It also discusses judgements around interpretation of some of these terms.
This document summarizes various ways that companies can be classified under Indian law. It discusses classification by mode of incorporation such as royal chartered, statutory, and registered companies. It also covers classification based on liability of members into companies limited by shares, companies limited by guarantee, and unlimited companies. Additionally, it discusses classification as public or private companies and one person companies. It provides examples of holding companies and their subsidiaries. Finally, it defines government companies and foreign companies under Indian law.
This document discusses conciliation as a means to settle industrial disputes in India. It defines conciliation as a process using a neutral third party to help disputing parties reduce differences and arrive at an agreed solution. The conciliation machinery in India includes conciliation officers, boards of conciliation, and courts of enquiry. Conciliation officers attempt to mediate settlements within 14 days, while boards of conciliation, consisting of an independent chair and party representatives, have up to two months to submit a report. Courts of enquiry are fact-finding bodies that publish reports within six months, but do not directly aim for dispute settlement.
The document defines key terms related to industrial disputes and the Industrial Disputes Act of 1947 in India such as industrial dispute, workman, wages, and public utility service. It outlines the objectives of the act to promote amity between employers and workers. It describes features such as encouraging arbitration, setting up works committees, and empowering government authorities to resolve disputes. Finally, it explains the various authorities established under the act to handle different types and levels of disputes, such as conciliation officers, boards of conciliation, courts of inquiry, labour courts, and national tribunals.
Corporate social responsibility in Companies ACT 2013Vishwas Swamy
The document outlines the Corporate Social Responsibility (CSR) requirements for companies in India according to Chapter IX, Section 135 of the Companies Act of 2013. It defines CSR as how companies integrate social and environmental concerns into their operations and interactions with stakeholders. It requires companies meeting certain net worth, turnover, or profit thresholds to spend 2% of their average net profits of the previous three years on CSR activities. Eligible companies must form a CSR committee and develop a CSR policy specifying planned activities. The policy and an annual report detailing CSR efforts and expenditures must be disclosed publicly.
Companies Act, 2013-Presentation on Accounts & AuditSASPARTNERS
A detailed presentation prepared by SAS Partners Team, Chennai which gives an insight to the important provisions on Chapter IX - Accounts & Audit under Companies Act, 2013. This can be used by the Corporates, Professionals and Students as a ready reckoner for better understanding of the provisions and easy reference.
The Companies Bill 2012 was passed in the Lok Sabha on 18 December 2012. The bill seeks to consolidate and improve corporate governance and further strengthen the regulations for the corporates. One of the noticeable features of the bill is introduction of the most debated concept of Corporate Social Responsibility (CSR). The attached presentation by Ms Gayatri Subramanian, Program Coordinator - CSR & Corporate Governance, Indian Institute of Corporate Affairs, New Delhi, presents a clear picture on the new CSR Bill.
Accounting Standard 17 outlines requirements for segment reporting in financial statements. It requires companies to report financial information for different business segments and geographical segments. Applicable to listed companies and unlisted companies with annual turnover over Rs. 50 crores from April 2001. A business segment is a distinguishable component engaged in providing an individual product or service subject to different risks and returns. A geographical segment provides products/services in a particular economic environment subject to different risks and returns. Reportable segments meet certain thresholds for revenue, profit/loss, or assets. At least 75% of total revenue should be included in reportable segments. Comparative segment data is required. Primary reporting format is by business segment or geographical segment depending on how risks and returns are
This document discusses India's sanitation emergency and proposes a solution. It notes that open defecation causes water pollution and disease. It then proposes a "Swachh aur Ujjwal Bharat" model where non-profits form village groups to build toilets and biomass plants producing electricity from waste. This would provide power for a nominal fee, funding maintenance and expansion while improving lives.
The document discusses the mandatory section on corporate social responsibility (CSR) under the Companies Act 2013 in India. Key points include:
1. The Companies Act 2013 introduced mandatory CSR provisions that require companies meeting certain profit, turnover, or net worth thresholds to spend 2% of their average net profits on CSR activities.
2. Eligible companies must form a CSR committee and develop a CSR policy outlining activities to be undertaken from a provided list, such as eradicating hunger, promoting education, and ensuring environmental sustainability.
3. CSR is a way for companies to integrate social and environmental objectives into their business operations and growth, not just charity, for the common good of stakeholders.
This document discusses stakeholders and their classification. It begins by listing the group members and their student IDs. It then discusses different perspectives on identifying stakeholders, including normative and descriptive views. It also examines primary vs secondary stakeholders, and different ways of categorizing stakeholders based on attributes like ownership, risk taking, and influence. The document analyzes narrow and broad definitions of stakeholders and discusses Freeman's definition. It outlines attributes like power, legitimacy, and urgency that determine a stakeholder's salience for managers. Finally, it proposes a dynamic model for understanding how managers prioritize different stakeholder classes and how stakeholders may shift between classes.
A study on customer relationship management programmes forMahi Dhar
This document discusses the customer relationship management (CRM) programmes of Holiday Bazaar, a leading Indian travel agency. It provides an overview of CRM and its importance. It then profiles Holiday Bazaar, describing its services and clients. The objectives and research methodology of a study on CRM strategies and tourist satisfaction are outlined. Key findings indicate that Holiday Bazaar is known for its loyal customer base and satisfaction with tour packages. Suggestions include focusing on employee retention and improving marketing strategies and flight ticketing services.
ALT-Invest real world social crm use casesJosh Sweeney
The document outlines four real-world use cases for social CRM integration: 1) Using social media to find personal details about clients to build stronger connections, 2) Finding the shortest path of introduction between salespeople and prospects across multiple social networks, 3) Monitoring social media for customer support and sales/marketing opportunities, and 4) Integrating social profiles and rankings into company portals to recognize and prioritize high-value users.
This document discusses social CRM use cases. It begins by defining social CRM as a philosophy, business strategy, and technology platform designed to engage customers in collaborative conversations to provide mutual value. It then provides examples of social CRM use cases for various membership management challenges like recruitment, retention, serving members, and outreach. Specific tasks and tools are outlined for implementing social CRM solutions at basic and intermediate levels for challenges like identifying member prospects on social media, improving engagement with webinar content, responding to customer service inquiries online, and promoting events to colleagues of members.
The document discusses the history and development of Media Studies as a subject in schools. It traces how Media Studies evolved from being seen as a way to "inoculate" students against the harmful influences of mass media, to an approach that analyzed media texts using theoretical frameworks to understand construction and representation. It also notes how the subject incorporated both analyzing media critically and allowing students to construct their own media. The document argues Media Studies in schools should take a broad, diverse approach incorporating both theory and practice.
This document discusses Amazon's customer relationship management strategies and social CRM. It provides an overview of Amazon's focus on customer experience and satisfaction. Some key points:
- Amazon prioritizes customer obsession and works backwards from customer needs. They aim to foster loyalty through innovative, reliable products and surprising customers.
- Their 10-step CRM strategy focuses on investing according to customer value, optimizing the relationship at all touchpoints, and using technology and imagination to enhance the customer experience.
- Social CRM allows Amazon to monitor social media in real-time, respond to complaints across sites, and track performance through reporting. This enables dynamic knowledge monitoring over static knowledge management.
The document discusses the Discount and Finance House of India Limited (DFHI). Some key points:
1. DFHI was established in 1988 by the Reserve Bank of India and public sector banks to develop the money market and provide liquidity to money market instruments.
2. Its objectives include evening out liquidity imbalances, promoting the secondary market for short-term instruments, and providing safe investment avenues.
3. It deals in treasury bills, government securities, certificates of deposit, commercial papers, and call money. DFHI also offers constituent sub-accounts to allow entities access to government securities.
The document discusses the analysis of a company's balance sheet and profit and loss statement. It defines key components of the balance sheet such as sources of funds (capital, reserves, liabilities), uses of funds (assets), and notes on various reserves, liabilities, assets. It also defines elements of the profit and loss statement such as gross sales, net sales, costs of goods sold, operating profit, non-operating income and expenses, and how profit before tax is calculated.
Venture capital in India is a big action by the Indian government in the term of industry development. Venture capital having more problem and also denoted what will be scenario of Venture capital in future !!
Cairn India is committed to conducting its operations in a socially and environmentally responsible manner. This commitment is fundamental to the long term success and focus on creating value and making a difference where Cairn India operates through various community development initiative in Rajasthan, Gujarat, Andhra Pradesh and Sri Lanka. Corporate Social Responsibility (CSR) is therefore an integral part of Cairn India’s business strategy. Cairn India’s success is guided by the CSR vision, which is encapsulated in the 3 Rs – Respect, Relationships and Responsibility.
Corporate Social Responsibility from Tax PerspectiveKaran Sahi
The document discusses the key aspects of corporate social responsibility (CSR) requirements for companies in India according to the Companies Act 2013. It covers topics such as the criteria for applicability of CSR spending requirements, computation of net profits, constitution of CSR committees, eligible CSR activities, modes of implementation, reporting requirements, deductions available, and penalties for non-compliance. It also provides a comparison of CSR practices in other countries and poses some questions for further discussion on interpreting certain aspects of India's CSR rules.
The document discusses corporate social responsibility (CSR) in India as mandated by the Companies Act of 2013. Some key points:
- India was the first country to mandate that companies spend 2% of their net profits on CSR activities. This applies to companies with over 500 crore net worth or 1000 crore turnover.
- Eligible CSR activities include eradicating hunger, promoting education, gender equality, and environmental sustainability.
- Companies must form a CSR committee and develop a CSR policy. They must report on CSR initiatives annually.
- The Act aims to promote greater transparency around companies' social and environmental impacts. A minimum of 6000 companies will need to undertake CSR projects to comply.
Confederation of Indian Industry (CII) takes immense pleasure in presenting the third edition of Annual CSR Tracker 2017. Similar to the last two editions, this is the most comprehensive analysis of CSR disclosures of Bombay Stock Exchange (BSE-listed) companies obligated to practice CSR as per the Companies Act, 2013.
The Annual CSR Tracker 2017 is based on disclosures of 1,522 companies as compared to 1,270 companies in 2016 and 1,181 in 2015. Disclosures are broken into approximately, 41 indicators spread across six aspects of CSR legislation: governance, policy, financials, spends as per Schedule VII, spend channels, and spend locations. Also included is beneficiary data that companies voluntarily disclose in their annual reports.
Getting Ready For Upcoming Act on CSR in Indiaanuptiwari
The Companies Bill 2012 has thrown up several opportunities and challenges. This analysis promotes understanding on the provisions and recommends next steps.
Presentation prepared based on the Section 135 of the Companies Act, 2013 , Companies (Corporate Social Responsibility Policy) Rules, 2014 and Revised Schedule VII of the CA 2013.
The document provides guidelines for listed entities in India on preparing and submitting an annual Business Responsibility Report (BRR).
It specifies the format and content for the BRR, which must describe the entity's environmental, social and governance initiatives. The format includes sections on general company information, financial details, other details, principles-based performance, and governance.
The guidelines aim to promote responsible business practices by companies for stakeholders. Listed entities must submit a BRR annually as part of their mandatory disclosures. Those already submitting sustainability reports can furnish those instead of a separate BRR.
The document is a circular from the Securities and Exchange Board of India (SEBI) regarding the format for Business Responsibility Reports (BRR) that listed entities in India must submit. It introduces a standardized BRR format and guidance for listed companies to report on environmental, social and governance initiatives. The format requires information on the company's general details, financials, subsidiaries, policies, governance of BR issues, and principle-wise performance on key social and environmental parameters. SEBI advises stock exchanges to disseminate the new BRR requirements to listed companies.
1) The document discusses a session plan on startups and ease of doing business. It defines what qualifies as a startup under Indian law and notes examples of startups by GNLU students.
2) It explains that the ease of doing business ranking measures regulations that enhance or constrain business activity in 190 countries and Indian states. Key indicators include starting a business, construction permits, and paying taxes.
3) The methodology section notes the ranking is based on domestic laws and interviews with private firms and governments across countries and cities. Over 13,800 professionals provide inputs each year.
Corporate Social Responsibility is a new and untouched phinomina for Indian Companies and introduction of it from Financial Year 2014-15 as compliance for selective categories of companies, there is going to be a far reaching impact of it into the society and economy
The document summarizes key Indian legislation related to corporate social responsibility (CSR). It outlines that the Companies Act of 2013 made CSR mandatory for large companies and requires them to spend 2% of their average net profits from the previous three years on CSR activities listed in Schedule VII. It also describes the role of the CSR committee in formulating a CSR policy, overseeing activities, and reporting. Non-compliance can result in fines for companies and imprisonment for officers. The legislation aims to encourage CSR activities that benefit local communities.
A STUDY OF NEW TRENDS IN DISCLOSURE AND PRESENTATION OF FINANCIAL REPORTINGalkarawee
This document summarizes a study on new trends in financial reporting disclosure conducted on three Indian companies: GAIL, Infosys, and ITC. The study analyzed both mandatory and voluntary disclosures from 2010-2014. Key findings include that Infosys adopted new trends earliest, followed by GAIL then ITC. Infosys provided the most comprehensive voluntary reporting. The study suggests that all companies should disclose additional items like value added statements and follow standards like the UN Global Compact and Carbon Disclosure Project to increase transparency and sustainability.
India became the first country to mandate spend on CSR activities through a statutory provision after the President of India gave assent to the Companies Bill, 2013,.
The Provision of Corporate Social Responsibility (CSR) are effective from financial year 2014-15.
As per Section 135 of the Act, every company with a specified net worth or turnover or net profit are required to mandatorily spend 2 percent of its average net profit towards specified CSR activities.
Though many corporate houses in India have been doing CSR activities voluntarily, the new CSR provisions put formal and greater responsibility on companies to set out clear framework and process to ensure strict compliance.
The Board of Directors of the companies are responsible to ensure that the company spends the mandatory CSR spend on specified CSR activities in accordance with the CSR policy of the company and disclose the CSR policy and CSR activities of the company as specified in the provisions.
Each qualifying company should form a CSR committee which will formulate the CSR policy of the company and effectively monitor the CSR activities of the company.
The Ministry of Corporate Affairs (MCA) has issued draft rules on CSR for public discussion. The said draft CSR rules lay down the framework and guidance on the manner in which every eligible company is expected to undertake CSR initiatives.
The document discusses India's roadmap for adoption of Ind-AS (Indian Accounting Standards), which are converged with IFRS. It provides details on the phased implementation of Ind-AS based on factors like net worth and listing status of companies. Large or listed companies have to adopt Ind-AS earlier. It also discusses some key challenges for India in implementing Ind-AS like changes to taxation laws, training of professionals, and adapting reporting systems. Overall, the document provides a comprehensive overview of India's transition to Ind-AS standards for financial reporting.
This document discusses CSR legislation in India according to Section 135 of the Companies Act 2013. It mandates that companies meeting certain profit thresholds must spend 2% of their average net profits of the previous three years on CSR activities focused on areas like poverty alleviation, education, gender equality, healthcare, environment sustainability and others. Companies are required to form a CSR committee to devise and monitor CSR strategies. While there are no penalties for failing to spend on CSR, companies can be fined for failing to report on CSR activities or explain why spending was not done. The top CSR performing companies in India are also mentioned.
Why building sustainable businesses are important for the 21st Century Corporation. The rationale for India's 2% CSR law, and why it makes sense.
A journey from global imperatives to national law, and the road ahead for creating sustainable businesses which include all stakeholders in creating value across people, plant and profits.
Study tip 7 Corporate Social Responsibility by Dipti DhakulDipti Dhakul
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Corporate Social Responsibility
The functions of CSR Committee
• To formulate and recommend to the Board, a CSR Policy which would indicate the activities to be undertaken ïn areas or subject, specified in Schedule VII of the Act.
• To recommend the amount of the expenditure to be incurred on the activities undertaken in pursuance of the CSR policy.
• To institute a transparent monitoring mechanism for implementation of the CSR projects or programs or activities undertaken by the company.
• To monitor the CSR policy of the company time to time.
Similar to Companies Act 2013 Key Aspects Related to Corporate Social Responsibility (20)
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Companies Act 2013 Key Aspects Related to Corporate Social Responsibility
1. Second Edition – May 2017
First Edition – May 2014
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This Presentation relates primarily to CSR provisions as applicable to Indian companies.
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2. A. Deciding if CSR is Applicable
B. How much to spend?
C. Constitution of CSR Committee
D. Permitted Activities
E. How to spend?
F. Reporting Requirements
G. Penalties
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3. A1. Companies Responsible for CSR
A2. Calculation of Net Worth
A3. Calculation of Turnover
A4. Calculation of Net Profit
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4. A1. Companies Responsible for CSR
Net Worth of Rs. 500 Crores (Rs. Five Billion) or more OR
Turnover of Rs. 1000 Crores (Rs. Ten Billion) or more OR
Net Profit of Rs. 5 Crores (Rs. Fifty Million) or more
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Every company (whether private or public) with:
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6. A2. Calculation of Net Worth
Add paid up Share Capital
Add Reserves created out of Profit and Securities Premium Account
Subtract Accumulated Losses
Subtract Deferred Expenditure
Subtract Miscellaneous Expenditure not written off
Reserves created out of Revaluation of Assets, write-back of
depreciation and amalgamation should not be included
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All figures to be as per the Audited Balance Sheet
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Example: A company was incorporated fifty years ago with a paid-up capital of Rs. Two Lakhs. The company bought
50 acres of urban land at Rs. 3000- per acre. The company did nothing else in the past fifty years. The land is valued
now at about Rs. 20 Crores per acre. The company has done revaluation of the land in its balance sheet. For CSR
purposes, the net worth of the company is about Rs. 1.5 Lakhs and not Rs. 1000 Crores.
7. A2. Calculation of Net Worth (Continued)
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Section 2(57)
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8. A3. Calculation of Turnover
Include realization from sale, supply or distribution of goods
Include realization on account of services rendered
Other income may not need to be included (Example - a manufacturing
company has an interest income of Rs. 10 Crores and rent income of Rs. 5 Crores. For the
purpose of calculating Turnover, rent income will be included while interest income will be
excluded).
To be calculated for a financial year
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9. A3. Calculation of Turnover (Continued)
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Section 2(91)
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10. A4. Calculation of Net Profit
Include subsidies received from Government – 198(2)
Do not Include Profits of capital nature – 198(3)
Deduct all normal business expenses – 198(4)
Do not deduct income tax, voluntary damages or compensation, loss
of capital nature, change in carrying amount of asset or liability –
198(5)
This calculation is independent of Income Tax Act or any other
provision of Companies Act.
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11. A4. Calculation of Net Profit (Continued)
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Section 198(1)
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12. A4. Calculation of Net Profit (Continued)
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Section 198(2)
Add to Profit all that is received from Government, unless directed
otherwise
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13. A4. Calculation of Net Profit (Continued)
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Section 198(3)
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14. A4. Calculation of Net Profit (Continued)
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Section 198(4)(a-i)
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15. A4. Calculation of Net Profit (Continued)
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Section 198(4)(j-o)
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16. A4. Calculation of Net Profit (Continued)
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Section 198(5)
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17. B1. Amount to be Spent
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18. B1. Amount to be Spent
2% (Two per cent) of Average Net Profit of the previous three
financial years
Net Profit to be calculated as per sec. 198 (discussed earlier)
If during the past two years before the current year, the company has
made losses, the company may still have to spend on CSR if the
average net profit is positive.
So, advisable to set aside the CSR provision based on past profits
as well as current year profits
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Example A – A company with net worth and turnover less than the prescribed limits has made profits of MORE than
Rs. Five Crores in the current year. However, its average net profit for the past three years are negative due to past
losses. The company will have to constitute a CSR committee and form a CSR Policy even though it will not be
required to spend any money.
Example B - A company with net worth and turnover less than the prescribed limits has made profits of LESS than
Rs. Five Crores in the current year. The company’s average net profit for past three years is more than Rs. Five
Crores. The company need not do anything as regards CSR in the current year.
19. B1. Amount to be Spent (Continued)
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Section 135 (5)
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21. C1. Constitution of CSR Committee
Three or more directors out of which at least one to be an
independent director
A company without independent director can have a committee
without an independent director
If a private company has only two directors, the committee can have
only two directors
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22. C1. Constitution of CSR Committee (Continued)
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Section 135 (1) and Rule 5(2)
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23. C1. Constitution of CSR Committee (Continued)
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Rule 5(1)(i) and (ii)
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25. D1. Permitted Activities
Eradicating hunger, poverty and malnutrition
Promoting healthcare and sanitation; Safe drinking water
Promoting education
Various facilities and activities for women and elderly
Conservation of natural resources incl. soil, air, water, animals etc.
National heritage, art and culture
Armed forces veterans, war widows and dependants
Sports
Contribution to Prime Minister Relief Fund or any other Govt. fund
Contribution to technology incubators located in approved institutions
Rural development projects
Slum area development
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29. E1. Restriction on Activities
E2. Mode of Carrying CSR Activities
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30. E1. Restriction on Activities
Should be as per the Company’s CSR Policy – Rule 4(1)
Activities should not be normal course of business – Rule 4(1)
Activities must be within India – Rule4(4)
Activities benefitting only employees or families not allowed – Rule
4(5)
Building CSR capabilities of employees allowed subject to 5% of
CSR expenditure – Rule 4(6)
Contribution to political party not allowed – Rule 4(7)
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31. E1. Restriction on Activities (Continued)
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Rule 4(1)
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32. E1. Restriction on Activities (Continued)
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Rule 4(5,6&7)
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33. E2. Mode of Carrying CSR Activities
Can be done through a trust / society / section 8 company set up by
the company either singly or along with any other company – Rule
4(2)(a)
Can be done through a trust / society / section 8 company set up by
the Central or state government– Rule 4(2)(b)
If done through an independent entity, the entity should have three
years track record – Rule 4(2) proviso
Mandate to concerned entity should specify modalities of utilizing
funds as well as monitoring and reporting mechanism – Rule 4(2)
proviso
May also collaborate with other companies – Rule 4(3)
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34. E2. Mode of Carrying CSR Activities (Continued)
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Rule 4(2)
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35. E2. Mode of Carrying CSR Activities (Continued)
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Rule 4(3&4)
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37. F1. Reporting Requirements
Directors’ Report to include contents of CSR Policy – Sec. 135(4)(a)
Directors’ Report to General Meeting to include a report about CSR
initiatives as per format in Rules – Sec. 134(3)(o) and Rule 8
Company website to disclose company’s CSR Policy – Sec.
135(4)(a) and Rule 9
If there is a failure to spend CSR amount, Board shall in its report
specify the reasons – Sec. 135(5) Proviso
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38. F1. Reporting Requirements (Continued)
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Section 134(3)(o) and 135 (4)(a)
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41. G1. Failure in Reporting
G2. Failure in Spending
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42. G1. Failure in Reporting
Refers to non-compliance under section 134(3)(o) relating to
Directors’ Report
More serious offence than not spending CSR money
Minimum fine on company Rs. 50,000- Maximum fine Rs. 25,00,000-
(Rs. Two and a half million)
Officer in default liable for imprisonment up to three (3) years and /
or Fine of Rs. 50,000- to Rs. 500,000-
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43. G1. Failure in Reporting (Continued)
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Section 134(8)
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44. G2. Failure in Spending
Less serious offence – only fine and no imprisonment
No specific punishment provided. Covered under sec. 450 and 451,
which are residual provisions
Fine of up to Rs. 10,000 and in case of continuing default Rs. 1000
per day
In case of repeated default within three years double fine. No
imprisonment even for repeated offence
Moral – Spending is less important than reporting.
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45. G2. Failure in Spending (Continued)
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Section 450 and 451
May 2017
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