Comment on the following statements: Establishment of Vigil Mechanism and Sexual Harassment Complaints Committee is mandatory only for listed companies.

Section 177(9) read with Rule 7 of the Companies (Meeting of Board and its Powers) Rules, 2014 provides that every listed company and the following class or classes of companies shall establish a vigil mechanism for their directors and employees to report their genuine concerns or grievances. Class or Classes of companies are as follows: Companies which accept deposits from the public; Companies which have borrowed money from banks and public financial institutions in excess of fifty crore rupees. Section 4(1) of the Sexual Harassment of Women at Workplace (Prevention, Prohibition & Redressal) Act, 2013 mandates that every employer of a workplace shall by an order in writing constitute a committee to be known as the "Internal Complaint Committee". It may be noted that where the offices or administrative units of the workplace are located at different places or divisional or sub-divisional level, the Internal Committee shall be constituted at all administrative units or offices. As per section 6(1) of the Sexual Harassment of Women at Workplace (Prevention, Prohibition & Redressal) Act, 2013, every District Officer shall constitute in the district concerned, a committee to be known as the "Local Complaints Committee" to receive complaints of sexual harassment from establishment where the Internal Complaints Committee has not been constituted due to having less than ten workers or if the complaint is against the employer himself. As per section 2(O) of the Sexual Harassment of Women at Workplace (Prevention, Prohibition & Redressal) Act, 2013 "workplace" includes - any department, organisation, undertaking, establishment, enterprise, institution, office, branch or unit which is established, owned, controlled or wholly or substantially financed by funds provided directly or indirectly by the appropriate Government or the local authority or a Government company or a corporation or a co-operative society; any private sector organisation or a private venture, undertaking, enterprise, institution, establishment, society, trust, non-governmental organisation, unit or service provider carrying on commercial, professional, vocational, educational, entertainment, industrial, health services or financial activities including production, supply, sale, distribution or service; hospitals or nursing homes; any sports institute, stadium, sports complex or competition or games venue, whether residential or not used for training, sports or other activities relating thereto: any place visited by employee arising out of or during the course of employment including transportation provided by the employer for undertaking such journey a dwelling place or a house Therefore the statement that Vigil Mechanism and Sexual Harassment Complaints Committee is mandatory only for listed company is incorrect.