41 CPSEs failed to comply with CSR norms in 2012-13: CAG

Tags: News
Forty one central public sector enterprises, having annual profit of atleast Rs 10 crore, failed to comply with government's spending norms on social welfare activities during 2012-13 fiscal, apex auditor CAG said today.

A review of the CSR budget/expenditure by the CPSEs during 2012-13 was conducted in respect of 103 central public sector enterprises (CPSEs) with profit of above Rs 10 crore.

"Out of the 103 CPSEs, 41 CPSEs did not comply with the DPE guidelines in terms of the minimum CSR budget/expenditure. The compliance was not satisfactory in case of CPSEs earning profit between Rs 10 crore and Rs 500 crore, as 29 out of 65 CPSEs failed to comply with the guidelines".

"Out of 38 CPSEs with profit of more than Rs 500 crore, 12 CPSEs did not comply with the minimum requirement," the Comptroller and Auditor General (CAG) said in a report.

Under the new Companies Act, certain class of profitable entities are required to shell out at least two per cent of their three-year annual average net profit towards Corporate Social Responsibility (CSR) activities.

The government is also working on rationalising the CSR norms for public sector enterprises in tune with the new companies law.

At present, public sector entities follow CSR guidelines of the Department of Public Enterprises (DPE).

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • Changes to FDI investment norms for housing look cosmetic

    The policy measures announced on Wednesday for facilitating greater participation of foreign direct investment (FDI) in the real estate sector do not

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Varun Dutt

Energy conservation through feedback

In households across the world, people use electric energy not ...

Zehra Naqvi

Rememberance and forgetting are crucial

Memories are so vital to our lives that they can ...

Dharmendra Khandal

Sandalwood may get extinct if not protected

When we talk of sandalwood, the most common usage that ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture