Monday, Jul 06, 2020 | Last Update : 10:57 PM IST

104th Day Of Lockdown

Maharashtra2119871152629026 Tamil Nadu114978665711571 Delhi100823720883115 Gujarat36858263231967 Uttar Pradesh2770718761785 Telangana2390212703295 Karnataka234749849372 West Bengal2212614711757 Rajasthan2026315965459 Andhra Pradesh200198920239 Haryana1750413335276 Madhya Pradesh1528411579617 Bihar12140901497 Assam11737743414 Odisha9526648648 Jammu and Kashmir84295255132 Punjab64914494132 Kerala5623334128 Chhatisgarh3207257814 Uttarakhand3161258642 Jharkhand2815204520 Goa181310617 Tripura158012061 Manipur13897330 Himachal Pradesh107074610 Puducherry101148014 Nagaland5782280 Chandigarh4874016 Arunachal Pradesh269781 Mizoram191130 Sikkim125650 Meghalaya80431
  Business   India Inc seeks easy compliance regime

India Inc seeks easy compliance regime

AGE CORRESPONDENT
Published : Apr 25, 2016, 2:47 am IST
Updated : Apr 25, 2016, 2:47 am IST

Compliance of corporate governance norms need to be made more practical if they are to be complied with “in spirit” rather than “only the letter of the law.”

Compliance of corporate governance norms need to be made more practical if they are to be complied with “in spirit” rather than “only the letter of the law.”

A recent study bears this out as it revealed that most companies are finding it difficult for instance to comply with the transparency norms while dealing with auditors.

 

Queried about this, Kalpana Unadkat, partner, Khaitan & Co, who advises foreign investors on their investments in India and corporate governance issues, said there is a major issue related to Independent directors for instance, when it comes to evaluating board members.

The majority of times it’s a tick box exercise and few take it seriously. “It’s still an old boys club. The compliance officer says it take a lot of time to evaluate all directors.”

Her experience as an independent director has “been good. One has duties. No one, for example, can turn up without reading the documents sent to them,” she says.

However whilst the UK for instance has regular training for independent directors and head hunters for the selection of independent directors in India there is a nomination committee but 80 per cent selected are not really “independent”.

Pranav Haldea, the managing director of PrimeDirector.com, says “no one wants a complete stranger on the board. And this is true even abroad. Invitations are often given on strong references.”

Some other cumbersome compliances required are the 19 compliances needed by listed companies on the BSE; the ministry of corporate affairs has five ongoing compliance e-forms to be filed excluding filing of activities undertaken by the company.

There are also 12 statutory filings required under the labour laws. These are only some of the compliances.