Every company who are coming under the ambit of CSR will have a clear cut CSR policy and Board of Directors are responsible for implementing Corporate Social Responsibility (CSR) projects under the New Company Act,” said Dr Bhaskar Chatterjee, DG and CEO of IICA, at a seminar themed ‘Understanding New CSR legislation’ here in Raipur on Saturday.
Chatterjee was the chief guest and key note speaker of the programme. Senior official from more than 30 PSUs, Corporate, NGOs attended the programme. Gayatri Subramaniam, Convener and Chief Programme Executive (CSR), IICA and Geetanjali Gaur, Programme Executive (CSR), IICA also addressed the seminar and highlighted the role of IICA in implementing CSR in the country.
In association with Indian Indian Institute of Corporate Affairs (IICA), IndiaCSR organised a daylong seminar with special orientation programme. “The CSR activities shall be undertaken by the company, as per its stated CSR Policy, as projects or programme or activities, excluding activities undertaken in pursuance of its normal course of Business,” Chatterjee stated.
He said that the CSR project or programme that benefited only the employees of the company and their families would not be considered as CSR activities. Giving amount to the State Government or any Government agencies would not be counted in 2 per cent CSR spending under Company law, he clarified.
Rusen Kumar, Director, IndiaCSR highlight the purpose of the programme and said the New Companies Act already in force, making CSR Mandatory for “All companies with turnover of Rs 1,000 crore and more — or a net worth of Rs 500 crore and more or net profit of Rs 5 crore and more - will have to spend at least 2 per cent of their 3 years average profit every year on CSR activity. CSR spending has become mandatory w.e.f. 1st April 2014 onwards.
Prof BS Sahay, Director IIM Raipur, highlighted the emerging academia perspective and important of CSR. He said that Government had to ensure that society can be benefited from the CSR funds.