| Popis: |
The involvement of business firms in the growth and developmental activities in order to internalise the society's resource loss is termed as Corporate Social Responsibility (CSR). The present study examines the evolution of CSR regulations and its present status in India. India is the first country to mandate CSR spending by the corporate firms with the help of legislation, section 135 of Companies Act, 2013. Even though the act got stronger by the introduction of more strict regulations during the amendment in 2019, it lacks specific penal provision for non-compliance. Currently, the CSR compliance is 40 per cent. The aggregate CSR amount of ₹ 711.9 billion were spent in 14 different development sectors over a period of five years. The education sector received highest aggregate amount and accounted for 38 per cent of aggregate spending under CSR activities. On an average, over the last five years, number of CSR non-compliant companies has increased at the rate of 6.72 per cent and the data clearly points out the requirement of strict penalty for CSR non-compliance. The transparency in CSR disclosure and proper evaluation of CSR activity outcome is vital to understand the drawbacks which would help in refining existing regulations and developing a better enforcement strategy to obtain desired outcomes. |
