Ministry of Corporate Affairs has notified enforcement of Section 135 regarding Corporate Social Responsibility (CSR) w.e.f. 1st April, 2014. Section 135 of the Act provides that every company having net worth of rupees five hundred crore or more, or turnover of rupees one thousand crore or more or a net profit of rupees five crore or more during any financial year shall constitute a Corporate Social Responsibility Committee of the Board and the company shall spends, in every financial year, at least two per cent of the average net profits of the company made during the three immediately preceding financial years, in pursuance of its Corporate Social Responsibility Policy.
The organization has two types of accountability, i.e. to inner circle and the outer circle. Inner circle comprises of the management and the workforce of the organization and the outer circle comprises of the society in which it operates. It is the responsibility of the company to contribute towards the social well being also and to carry on its business operations considering the social values simultaneously. CSR enables to integrate the interest of the stakeholders with the policies and actions of the company.
Innovation The Company has formulated policies for social development that are based on the following guiding principles:
• Honor the spirit of the law and be a responsible corporate citizen.
• Pursue growth through harmony with the community via innovative management techniques.
• Adopt an approach that aims at achieving a greater balance between social development and economic development.
• Respect culture and customs of every project / plant location.
• Work towards elimination of all barriers for the social inclusion of disadvantaged groups - such as the poor, socially backward, differently-able and others.
• Develop practices aimed at inclusive growth.
• Thrust on Environment Protection.
The provisions of Section 135 read with Companies (Corporate Social Responsibility Policy) Rules, 2014 is applicable to the company from the financial year 2014-15.
The CSR Committee of the company comprises of the following members:
1. Shri Dhirajlal Suvagiya - Chairman
2. Shri Kamalnayan Sojitra - Member
3. Shri Bhargav Suvagiya - Member
• Establishing a guideline for compliance with the provisions of the Regulations to dedicate a percentage of Company's profits for social projects.
• Ensuring the implementation of CSR initiatives in letter and spirit through appropriate procedures and reporting.
• Creating opportunities for employees to participate in socially responsible initiatives .
The CSR Committee shall formulate and recommend CSR policy to the board which shall provide information for the activities to be undertaken, expenditure to be incurred on such activities, mode of the implementation of such activities/programs and shall also establish a transparent mechanism for monitoring the progress of the CSR Policy from time to time.
The focus areas of the company for CSR activities will be in local urban as well as rural areas in which it is located. The company may also support initiatives in other geographies, as approved by the CSR Committee of the Board, from time to time.
While we will ensure that all communities benefit from our CSR activities, we would focus on those groups that are socially and economically marginalized. These would include women & girl children.
Project activities and programs identified for the purpose of CSR shall be implemented directly through the CSR committee of the company.
This CSR policy will be reviewed from time to time and any changes, if necessary, will be approved by the CSR Committee.