196 Companies faced Penal Action in FY 2014-15 and Maharashtra tops in CSR expenditure in FY 2015-16
With a view to increases awareness and improve compliance of Corporate Social Responsibility (CSR) provisions among companies, the Ministry of Corporate Affairs has issued clarificatory circulars and Frequently Asked Questions, and also organised various workshops /seminars /conferences in collaboration with the Professional Institutes & apex Business Chambers on the subject. In addition, penal provisions under section 134(8) of the Companies Act, 2013, have been invoked for non-compliance of CSR provisions. Till date, Ministry has accorded permission for penal action against 196 companies for the financial year 2014 – 15.
Section 135 of the Act commenced with effect from financial year 2014 -15. As per the data obtained from filings made by companies upto 31.03.2017 in the MCA21 registry for the years 2014 -15 and 2015-16.