• Investment World
• eWorld
• Catalyst
• Mentor
• Life
• Canvas
• Praxis
• Urban Pulse
• Brand Quest

Richa Mishra

New Delhi , Nov. 19

TO provide a platform to deliberate on issues relating to good corporate governance as key to sustainable wealth creation, the Government has taken a step forward in setting-up National Foundation for Corporate Governance (NFCG).

"The registration of the Foundation has been done. The grants envisaged for the Trust will be released shortly," official sources told Business Line. In September this year, the Union Cabinet had given its nod for setting up NFCG as a Trust. It had also extended Rs 10 crore to it as grant-in-aid.

Apart from the one-time contribution of Rs 10 crore, NFCG will receive contributions from premier industry associations, philanthropic organisations and international agencies and bodies. While the Confederation of Indian Industry has confirmed a contribution of Rs 3 crore, two other professional institutes — Institute of Chartered Accountants of India and Institute of Company Secretaries of India - have committed Rs 1 crore each.

Managing the trust will be a three-tier body comprising Governing Council, a Board of Trustees and an Executive Directorate. "We are in the propose of finalising the programmes to be taken up by NFCG. Besides, a Web site will also be launched for the purpose," sources said.

On whether the Foundation will be taking inputs from the Investor Protection & Education Fund (IE&PF), a corpus used for investor awareness programmes, official sources said, "The two will definitely work in synergy." Elaborating further, sources revealed, "issues such as capacity building and hence promoting more investor associations, will be a common activity between the two bodies."

Among the broad objectives of NFCG will be to provide research and training in the field of corporate governance. It would also be a source of financial or any other assistance for activities aimed at promoting corporate governance, including research and training. Besides, the US-based Global Corporate Governance Forum will also be supporting the India-centric activities taken up by the various agencies.

Meanwhile, IE&PF on its part is setting up a prime database called `Investor Watch out' on the lines of a similar concept in Europe, that will help educate the investors and list the names of the erring companies.

DCA goes hi-tech

IN response to the expression of interest invited by the Department of Company Affairs for modernisation and computerisation, the Departmenthas received response from eight parties.

"These proposals are being evaluated," sources said while refraining from disclosing the names of the interested parties. Since it's a massive project, the Department has decided to adopt a consortium approach with one leader, sources added.

This modernisation and computerisation project is designed to transform DCA into a modern, dynamic and customer-centric organisation, thereby enhancing its public image and enabling the Government to build a healthy business eco-system. This will also position India as an attractive, easy to do business destination. Further, the project envisages a system that will allow the companies and investors to avail services provided by DCA by using Internet and communication technologies.

Article E-Mail :: Comment :: Syndication

Stories in this Section
Forward linkage plan for K-G Basin gas — Reliance proposes power project near Bangalore

Copyright © 2003, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line