Lok Sabha Question No. 92 (UNSTARRED), answered on 2019-11-18
Subject: Misuse of CSR Funds
Ministry: CORPORATE AFFAIRS
Asked by: Sujay Radhakrishna Vikhepatil, Sambhajirao Mane Dhairyasheel, Shrikant Eknath Shinde

## GOVERNMENT OF INDIA

## MINISTRY OF CORPORATE AFFAIRS

## LOK SABHA

## UNSTARRED QUESTION NO. 92 ANSWERED ON MONDAY THE 18 TH  NOVEMBER, 2019 KARTIKA 27, 1941 (SAKA)

## MISUSE OF CSR FUNDS QUESTION

92.  DR. SUJAY RADHAKRISHNA VIKHE PATIL: SHRI DHAIRYASHEEL SAMBHAJIRAO MANE: DR. SHRIKANT EKNATH SHINDE:

Will the Minister of CORPORATE AFFAIRS कारपोरेट कार्य मंत्री

be pleased to state:

- (a)  whether the Government has come across any cases where companies are misusing public trusts to launder their Corporate Social Responsibility (CSR) spending and if so, the details thereof;
- (b) whether the Government plans to extend tax exemptions for CSR spending on all the activities mentioned under Schedule VII of the Companies Act, 2013;
- (c) if so, the details thereof and the amount spent by Public Sector Undertakings (PSUs) under CSR during the last 3 years particularly in Maharashtra;
- (d) the details of the projects undertaken by PSUs during the last 3 years in the State of Maharashtra under CSR; and
- (e)  whether the Government plans to amend and reduce the economic threshold for CSR under Section 135 to promote and include more companies under CSR, if so, the details thereof?

## ANSWER

THE MINISTER OF STATE FOR FINANCE AND CORPORATE AFFAIRS                                                                          (SHRI ANURAG SINGH THAKUR) वित्त एिं कारपोरेट कार्य मंत्रालर् में राज्य मंत्री ( श्री अनुराग व ंह ठाक ु र )

- (a) :  The  entire  CSR  architecture  is  disclosure  based  and  CSR  mandated  companies  are required to file details of CSR initiatives annually in MCA21 registry. Centralized Scrutiny and Prosecution Mechanism was setup to monitor CSR compliance by companies. Whenever any violation of CSR provisions is reported, action against such non-compliant Companies are initiated as per provisions of Companies Act, 2013 after due examination of records.

(b) : No, Sir.

- (c) & (d): Project wise CSR details are not maintained. However, CSR spending by PSU's in all the states including Maharashtra is as follows:

| Year of Filing   | FY 2015-16        | FY 2015-16                  | FY 2016-17        | FY 2016-17                  | FY 2017-18        | FY 2017-18                  |
|------------------|-------------------|-----------------------------|-------------------|-----------------------------|-------------------|-----------------------------|
| Year of Filing   | No. of Compa nies | Total Amount Spent (in Cr.) | No. of Compa nies | Total Amount Spent (in Cr.) | No. of Compani es | Total Amount Spent (in Cr.) |
| PSU              | 532               | 4,214.67                    | 546               | 3,295.98                    | 527               | 2,553.36                    |
| NON              | 17758             | 10,302.52                   | 18993             | 11,033.55                   | 20870             | 11,067.15                   |
| PSU Total        | 18290             | 14,517.19                   | 19539             | 14,329.53                   | 21397             | 13,620.51                   |

[

(Data upto 30.06.2019) [Source: National CSR Data Portal] (e): No, Sir.

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