Problematic mandate

Flaws inherent in the CSR law becoming apparent

The Corporate Social Responsibility (CSR) mandate, via Section 135 of the Companies Act introducing a spend-or-explain stipulation for companies meeting certain criteria on net worth, turnover and net profit, was one of the poorer ideas of the United Progressive Alliance government. It stemmed from growing allegations that the regime was colluding with large businesses to acquire land for industrial purposes and deceiving land-losers on compensation. As a means of political signalling it has proved a useful tool, which is why the current government, perpetually struggling to shrug off the suit-boot ki sarkar label, persisted with the mandate, periodically adding to