With the Satyam fraud fuelling scepticism over the practice of corporate governance in the country, entrepreneurs in Punjab are laying special emphasis on the issue.
According to Paras Arora, director of Grant Thornton, a British accountancy firm, it has received many queries from regional business houses which are trying to lend more fairness and transparency to their firms.
“Over 50 per cent queries we received in the last one month are related to corporate governance issues,” added Paras.
He maintained that Grant Thornton is working with a couple of business houses in the region.
Two companies, one with interest in infrastructure and the other in confectionery business, have sought help from Grant Thornton in the issue of corporate governance. These companies are trying to fund their expansion with private equity funding.
Recently, a deal between a Punjab-based textile company and a private equity player was called off in the final stages after the latter objected over the transparency mechanism in the textile company.