"Transparency is a pivotal feature in the market-based monitoring of companies and is central to shareholders ability to exercise their ownership rights on an informed basis which can help attract capital and maintain co
CS Professional · Environmental, Social and Governance (ESG) Principles and Practice · PYQS · December 2024
"Transparency is a pivotal feature in the market-based monitoring of companies and is central to shareholders ability to exercise their ownership rights on an informed basis which can help attract capital and maintain confidence in the capital markets." Adequate disclosures by corporates are mandated under various legislations such as the Companies Act, 2013 and SEBI (LODR) Regulations, 2015. In this background, state the disclosure requirements in listed company's websites in respect of the following: Vigil mechanism.
Answer & Explanation:
Company's Website Disclosures under the Companies Act, 2013 and the Rules made thereunder: (ii) Vigil Mechanism in Audit Committee for Listed Companies and other Prescribed Companies [Proviso to Section 177(10) of the Companies Act, 2013] Section 177(9) of the Companies Act, 2013, pertaining to setting up of vigil mechanism which shall provide for adequate safeguards against victimization of persons who use such mechanism and make provision for direct access to the chairperson of the Audit Committee in appropriate or exceptional cases. Provided that the details of establishment of such mechanism shall be disclosed by the company on its website, if any, and in the Board's Report.
Topics: Corporate Governance, Company Law
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