New Delhi, September 05, 2013: The new Companies Law has a provision in Clause 135 that every company having net worth of Rs. 500 crore or more, or turnover of Rs. 1000 crore or more or net profit of rupees five crore or more during any financial year, shall constitute a CSR Committee to recommend its activities for discharging Corporate Social Responsibility in such a manner that the company would spend at least 2 per cent of its average net profits of the previous three year on CSR activities. Giving this information in written reply to a question in the Rajya Sabha recently, Shri Sachin Pilot, Minister of Corporate Affairs, said that the companies will have latitude in designing project based CSR interventions within the framework of Schedule VII of the new Company Law and the CSR policy of the company.
Shri Pilot informed the House that the Draft Rules, including reporting requirements, under the new law will be prepared in consultation with all stakeholders. . — CCI Newswire
