Lok Sabha Question No. 3572 (UNSTARRED), answered on 2020-03-16
Subject: CSR Spending on National Heritage
Ministry: CORPORATE AFFAIRS
Asked by: Chandra Sekhar Sahu, Pritam Gopinath Munde, Sisir Kumar Adhikari

## GOVERNMENT OF INDIA

## MINISTRY OF CORPORATE AFFAIRS

## LOK SABHA

UNSTARRED QUESTION NO. 3572 ANSWERED ON MONDAY THE 16 TH  MARCH, 2020 PHALGUNA 26, 1941 (SAKA)

CSR SPENDING ON NATIONAL HERITAGE

## QUESTION

3572. SHRI CHANDRA SEKHAR SAHU: DR. PRITAM GOPINATHRAO MUNDE: SHRI SISIR KUMAR ADHIKARI:

Will the Minister of CORPORATE AFFAIRS be pleased to state:

कारपोरेट कार्य मंत्री

- (a)  whether  the  companies  have  spent  maximum  amount  of  Corporate  Social Responsibility (CSR) funds on the National Heritage than on local development during the financial years 2016 to 2018;
- (b) if so, whether the maximum CSR amount has been spent for construction of the Statue of Unity in Gujarat during the said period, if so, the details thereof;
- (c) whether the companies have cut their CSR spending on the National Heritage by 56 per cent during the financial year 2018-19, if so, the details thereof including the CSR spending of various companies and the reasons for less CSR spending during each of the last three years; and
- (d) the details of the action taken by the Government against such companies?

## ANSWER

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

(a) to (d) :  Section 135 of the Companies Act, 2013 (Act) mandates every company having net worth of Rs. 500 crore or more, or turnover of Rs. 1000 crore or more, or net profit of Rs. 5 crore or more during the immediately preceding financial year, to spend at least two per cent of the average net profits of the company made during the three immediately preceding financial years, towards Corporate Social Responsibility (CSR) in any of the eligible activities enlisted in Schedule VII of the Act.  CSR is a Board driven  process and the Board of the company is  empowered to plan, decide, execute

and monitor the CSR activities of the company based on the recommendation of its CSR committee. The entire CSR architecture is disclosure based and CSR mandated companies are required to file details of CSR initiatives annually in MCA21 registry. The project wise details of CSR spend by the Company is not maintained separately by the Ministry. 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 and following due process of law. All data reported in the MCA21 registry  by  companies  on  CSR  is  available  on  National  CSR  Data  Portal  at www.csr.gov.in. 'National Heritage' falls under item no. (v) of Schedule VII of the Act which reads as 'Protection of national heritage, art and culture including restoration of  building  and  sites  of  historical  importance  and  works  of  art;  setting  up  public libraries; promotion and development of traditional arts and handicrafts;'. On the basis of filings made by the companies in MCA 21 registry, the details of the CSR amount spent by various companies in 'Art and Culture' under item no. (v) of Schedule VII of the Act for financial years 2015-16, 2016-17 and 2017-18 are given below:

(Data upto 30.06.2019) [Source: National CSR Data Portal]

| Development Sector              |   FY 2015-16 |   FY 2016-17 |   FY 2017-18 |
|---------------------------------|--------------|--------------|--------------|
| Art and Culture (in Rs. Crores) |       119.17 |       305.57 |       283.81 |

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