About CSR Bill and Law

India's Journey towards Inclusive Growth:

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1. 11th Five Year Plan (2007):

   • India embraced an inclusive growth mindset in its 11th Five Year Plan in 2007.

   • Recognized the significance of including marginalized sections in the development process.

2. Commitment to Inclusive Growth:

   • Inclusive growth became an integral part of India's development quest.

   • Firm commitment to incorporate previously excluded sections into the mainstream of development.

 

Initiatives by the Ministry of Corporate Affairs:

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1. Theme of Responsible Business (2008):

   • Ministry of Corporate Affairs announced the theme of responsible business in 2008.

   • Demonstrated a commitment to align corporate practices with responsible and ethical principles.

2. Corporate Social Responsibility (CSR) Voluntary Guidelines 2009:

   • Released in 2009 for Indian Companies.

   • Emphasized the formulation of CSR policies integral to overall business policy and aligned with business goals.

   • Participation of various level executives and Board approval were encouraged.

3. Parliamentary Standing Committee's 21st Report (2009):

   • Contributed to bringing CSR provisions within the statute.

   • Annual statutory disclosures on CSR were considered a sufficient check on non-compliance.

4. National Voluntary Guidelines on Social, Environmental, and Economic Responsibilities of Business (2011):

   • Refined guidelines released in 2011 based on the 2009 voluntary guidelines.

   • Named "National Voluntary Guidelines on Social, Environmental and Economic Responsibilities of Business."

5. National Guidelines on Responsible Business Conduct (NGRBC) 2019:

   • Revised in 2019, aligning with the United Nations Guiding Principles on Business & Human Rights.

   • Formulated as "National Guidelines on Responsible Business Conduct" (NGRBC).

 

CSR and Companies Act 2013:

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1. Companies Act 2013:

   • Replaced the Companies Act of 1956 on 29th August 2013.

   • Introduced Section 135, mandating CSR obligations for listed companies in India.

   • Covers execution, fund allotment, and reporting prerequisites for successful project implementation.

2. India as a Pioneer in CSR Legislation:

   • India became the first country to legislate the need for CSR activities and mandatory reporting under the Companies Act 2013.

   • The beginning of a new era for CSR in India.

 

Role of Individuals and Organizations in Advocacy:

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1. Support for CSR Bill 2013:

   • Advocacy from private citizens, corporates, nonprofits, and government officials.

   • Government support under the leadership of Prime Minister Sardar Manmohan Singh and Minister of Corporate Affairs Sachin Pilot.

2. Institute of Corporate Affairs Contribution:

   • Dr. Bhaskar Chaterjee, head of the Institute of Corporate Affairs, worked tirelessly towards CSR legislation.

   • Instrumental in the development of CSR in India and recognized as the father of CSR in the country.

3. Role of Amit Sachdeva:

   • Prominent Gandhian, Social Entrepreneur, and CSR expert Amit Sachdeva advocated for the CSR Bill.

   • Recognized as the CSR Man of India for his efforts and advocacy.

 

In conclusion, India's journey towards inclusive growth and the evolution of CSR from philanthropy to legislation reflect a commitment to responsible business practices. The collaborative efforts of individuals, corporates, nonprofits, and government officials have shaped CSR into a strategic component of corporate governance in India.