President addresses 51st foundation day of ICSI; calls for responsible business, balanced economic objectives

President Ram Nath Kovind on Saturday addressed the 51st Foundation Day celebration of the Institute of Company Secretaries of India (ICSI) in Delhi and said that the Company Secretaries must foster responsible business and balance economic objectives with larger socio-economic goals.

Speaking on the occasion, the President said, "In recent times, we have seen how some business enterprises have broken the trust of the people. Companies have either faltered or have come to a standstill. In the process, common people have had to suffer. Company secretaries play the role of governance professional and an internal business partner."

"They must foster responsible business and balance economic objectives with larger socio-economic goals. They must ensure that the stakeholders understand the difference between profit and profiteering, and comply with laws. And they must deliberate on issues where we need to improve so that mistakes or limitations of the past are adequately addressed," he added.

The President stated that the concept of corporate governance is complex but the principles on which it is based are clear and well marked. Transparency, accountability, integrity and fairness are its four pillars.

"Company secretaries should responsibly determine how these principles are put into practice. India has drawn a blueprint to enhance its brand value as a destination for international business and investment. In this effort, how they implement company laws in a transparent manner has a critical bearing," said Kovind.

The president said "we have the vision to raise the standards of living of the people and in this national effort, everyone is working together to enhance the economic output".

"We have set a target to become a five trillion economy by 2025 and for this goal to be achieved we need each and every business stakeholder to not just contribute but give their best. Your role as Company Secretaries remains most valuable in this endeavour. You not only help in wealth creation but also see to it that the rule of law has been applied in both letter and spirit," said Kovind.

"An efficient, fair and just corporate governance system forms a key component of our nation-building matrix. And company secretaries have a seminal responsibility to fulfil on this account. Their integrity and honesty determine our commitment to a just society," he added.