Hyderabad: Josekutty VE, Registrar of Companies from the Ministry of Corporate Affairs today said that 330 companies will contribute Rs. 1200 crores towards CSR activities in Telangana.
Speaking at the meeting on Corporate Social Responsibility Overview Regulatory and Tax Aspects, Josekutty VE said that the current efforts is to make the entrepreneurs and Corporates aware of the various amendments in Corporate law.
Coming to the amendments to the CSR, he said there is no change in CSR criteria, but where the amount to be spent by a company does not exceed Rs. 50 lakhs, the requirement of constituting the CSR Committee shall not be applicable.
Further, the functions of the CSR Committee shall be discharged by the Board of Directors of that Company. Board is now expected to be more responsible as far as compliance is required. Under these provisions, a company can spend the CSR amount in two ways- one is for ongoing projects, and the other is for short-term projects.
Josekutty said that the total numbers of companies in Telangana which fall under the CSR compliance are more than 1000. As per the latest balance sheet, the total net profit of these companies comes to Rs 67,000 crores approximately. Out of these companies, around 300 companies alone have a profit of Rs.60,000 crores and therefore have an approximate amount of Rs.1200 crores to spend for CSR. This will lead towards inclusive developments in Telangana State with Corporate Contribution.