Notifications were issued here today to give effect to Section 135 and Schedule VII of the Companies Act, 2013, which relate to CSR (Corporate Social Responsibility) related spending by companies. Shri Sachin Pilot, Minister for Corporate Affairs, has said that the concerned rules have been finalised after extensive consultations with all stakeholders. He elaborated that the Rules provide for the manner in which CSR Committee shall formulate and monitor the CSR Policy, manner of undertaking CSR activities, role of the Board of directors therein and format of disclosure of such activities in the Board’s report.
After issuance, the Notifications have been sent for publication in the Official Gazette. They are available on the website of the Ministry of Corporate Affairs and would be effective from 1st April, 2014.
The following important new activities have been included in Schedule VII:
(a) Promoting preventive health care and sanitation and making available safe drinking water;
(b) Setting up homes and hostels for women and orphans; setting up old age homes, day care centres and such other facilities for senior citizens and measures for reducing inequalities faced by socially and economically backward groups;
(c) Ensuring ecological balance, protection of flora and fauna, animal welfare, agro-forestry, conservation of natural resources and maintaining quality of soil, air and water;
(d) Livelihood enhancement projects;
(e) Protection of national heritage, art and culture including restoration of buildings and sites of historical importance and works of art; setting up public libraries; promotion and development of traditional arts and handicrafts;
(f) Measures for the benefit of armed forces veterans, war widows and their dependents;
(g) Training to promote rural sports, nationally recognised sports, paralympic sports and Olympic sports;
(h) Contributions or funds provided to technology incubators located within academic institutions which are approved by the Central Government;
(i) Rural development projects.
Corporate Social Responsibility Initiatives of Companies Help in Creating Infrastructure says Union Finance Minister Shri P. Chidambaram; Toilet Complexes in 15 Schools Dedicated in Sivagangai
The Union Finance Minister Shri P Chidambaram has lauded the Corporate Social Responsibility (CSR) Initiatives taken by companies to further upgrade the social infrastructure facilities available in rural and semi urban areas of the country. He said that such initiatives have created significant infrastructure in socially relevant areas. The Finance Minister pointed out that the initiative, which insists on 2% of the profits earned by a company should be invested in socially relevant projects was approved by the Union Cabinet recently. Shri Chidambaram was dedicating 28 toilet complexes built in 15 schools by the India Infrastructure Finance Company Ltd (IIFCL) in Sivagangai, Tamil Nadu yesterday.
Shri Chidambaram said that the initiative taken by the IIFCL was a laudable one because it impacts directly on the health and sanitation of a community directly. He requested schools, parents and teachers to ensure that the toilets are maintained in good hygiene.
Shri S B Nayar, Chairman and Managing Director, IIFCL presided over the function. Smt Suman Chehar of the Sulabh International that built the complexes and Shri P R Jaishanker, Chief General Manager, IIFCL took part in the function.
Under the scheme, Sulabh International has built 28 toilet complexes in 15 schools in Sivagangai district. The complexes have been built in scientific, environment friendly manner and the personnel from Sulabh International will interact with the schools and the community for a few more weeks to make them fully conversant with how the toilets can be used most effectively.