Atherno Ltd, was a start-up Company founded by four IIT graduates, for identifying solutions through technology for water contamination and to provide water filters at a lower cost. The Company had already received fundi

Atherno Ltd, was a start-up Company founded by four IIT graduates, for identifying solutions through technology for water contamination and to provide water filters at a lower cost. The Company had already received funding from big angel investors and was planning to expand its operations. As part of their IPO readiness, the Company appointed Srimo, a Practising Company Secretary to review compliance with applicable laws and regulations and also to suggest improvements to the existing processes. After a detailed review, Srimo identified and informed the Directors and Management, various finer points on compliance and how it can be improved further. He emphasised that, the Company should have a robust risk management policy in place, for which the Board of Directors may voluntarily form a risk management committee. In the background of the above, explain: (i) Legal provisions relating to role and functions of risk management committee.