truCSR

Author: CS Pradeep Kumar Parakh Executive Summary The Ministry of Home Affairs (MHA) has announced the extension of FCRA registration validity for organizations to September 30, 2024. This extension applies to organizations with pending renewal applications and those whose certificates expire between July 1 and September 30, 2024. Key Points: Extension Period: The validity of FCRA registrations has been extended to September 30, 2024, or until the disposal of renewal applications, whichever is earlier. Eligibility: This extension benefits organizations that have filed and are awaiting the approval of their renewal applications. Grace Period: Organizations with certificates expiring between July 1 and September 30, 2024, are granted a grace period until September 30 to submit their renewal applications. Refusal of Renewal: If a renewal application is rejected, the organization's FCRA registration will be deemed expired from the date of refusal. Additionally, such organizations

  Author:  CS Pradeep Kumar Parakh  Executive Summary Corporate Social Responsibility (CSR) in India has transitioned from a philanthropic activity to a strategic imperative, driven by regulatory mandates and a focus on sustainability. Digitalization has become crucial for effective monitoring, control, and compliance within this framework. This paper highlights how digital tools are transforming CSR, ensuring transparency, accountability, and alignment with India’s regulatory requirements. Digitalization for Compliance and Monitoring India’s CSR regulations, under the Companies Act, 2013, require companies to invest a percentage of their profits in social initiatives. Compliance demands meticulous tracking and reporting—tasks significantly streamlined by digital tools. These platforms enable real-time monitoring of CSR activities, ensuring they meet regulatory requirements and are executed effectively. Automated reporting helps maintain accurate records of expenditures and outcomes, e

Author: CS Pradeep Kumar Parakh  Introduction: In today's complex business environment, companies face numerous regulatory requirements and compliances that must be adhered to. Failing to comply with these regulations can result in severe penalties, which may have significant repercussions on a company's reputation, financial standing, and overall operations. On the other hand, streamlining compliances can be a proactive approach that not only ensures adherence to the law but also protects the company from facing consequential penalties. To highlight the importance of making the right choice, we will examine a real-world example of an adjudication of penalty under Section 454 of the Companies Act, 2013, involving M/S Takraf India Private Limited for violating provisions of Section 135(6) of the Companies Act, 2013.   The Case of M/S Takraf India Private Limited: F.NO. ROC/ CHN/ TAKRAF/ ADJ Order/ S.135(6) / 2023, dated 11 July 2023, marks a significant event in the

  Effective Impact Reports Raising grants needs effective impact evidence and data-driven storytelling . We all publish our annual reports but these annual reports are no longer sufficient to raise new grants/ donations.  We must be able to demonstrate how our initiative is able to bring positive social change to people and the planet.  In India, where CSR is mandatory, impact report is must for projects of value over Rs. 50 lakh and the Company’s CSR mandate is over Rs. 1 Cr. However, it is advisable to conduct impact assessment for projects of any value. Sharing such reports with funders and other stakeholders will help build your credibility and thus, help strengthen the relationship. Example:  Suppose your organisations vision is to alleviate poverty by helping people from marginalized communities to secure affordable housing through a government scheme.  You can measure and present your organisation’s impacts as: Comparison of no. of people supported and reduction in poverty Organ

  NGO Management in the Current Scenario  In the past decade, India has witnessed tremendous economic growth and been one of the world’s fastest-growing major economies. It is now ranked as the fifth-largest economy in the world in absolute GDP and the third-largest economy in terms of purchasing power. In terms of per capita GDP, however, India ranked 153rd in 2010 and increased only marginally to 144th in 2021. The trend has been further accentuated by the pandemic, which pushed more than 200 million Indians into poverty, widened the inequality gap, and hit disproportionately disadvantaged communities hard. For NGOs, in addition to an increase in the number of people who need assistance, there are challenges related to project management, fundraising, organisation management and governance. Fundraising space is rather shrinking, there are new compliances introduced that NGOs must adhere to and there are additional requirements from donors regarding systems and processes that must be

Author: CS Pradeep Kumar Parakh | Date: 10-Oct-2022.       The CSR Policy Amendment Rules, 2022 (“the Amendment Rules, 2022”) were notified by the MCA vide Notification No. G.S.R. 715(E) dated 20 September 2022 amending the the CSR Policy Rules, 2014 (“the Original Rules”) with effect from 20 September 2022. The key changes made to the respective Rules, effects thereof, are summarized below:    Sr. No. Rule No. of the Original Rules Mode of Amendment Topic of Amendment Description of Amendment Amendment relevant to 1. Rule 3(1) Insertion of proviso CSR Committee A Company shall continue to have its CSR Committee, till any amount remain unspent for Ongoing Project and are transferred to a separate Bank Account called as “The Unspent Corporate Social Responsibility Account” which are spent by the Company as per its obligation towards CSR within a period of three financial years