Lok Sabha Question No. 1378 (UNSTARRED), answered on 2021-12-06
Subject: CSR Spent in Tamil Nadu
Ministry: CORPORATE AFFAIRS
Asked by: M.K. Vishnu Prasad

## GOVERNMENT OF INDIA

## MINISTRY OF CORPORATE AFFAIRS

## LOK SABHA UNSTARRED QUESTION NO. 1378 ANSWERED ON MONDAY, DECEMBER 06, 2021/ AGRAHAYANA 15, 1943 (SAKA)

## CSR SPENT IN TAMIL NADU QUESTION

Will the Minister of CORPORATE AFFAIRS

1378.  DR. VISHNU PRASAD M.K. : be pleased to state:

- ( a) the funds spent by the public and private sector banks and companies under the Corporate Social Responsibility (CSR) during each of the last three years, State-wise including Tamil Nadu;
- (b)  whether  the  Government  has  audited  CSR  funds  spent  by  the  said  banks  and companies and if so, the details thereof; and
- (c) whether it has come to notice that thousands of companies have failed to spend funds under CSR policy, if so, the details thereof and the action being taken by the Government against these companies; and
- (d) whether any specific data is available with the Government on CSR spending by companies in Cheyyar SEZ of Thiruvannamalai district in Tamil Nadu and if so, the details thereof?

## ANSWER

MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF STATISTICS AND PROGRAMME IMPLEMENTATION; MINISTER OF STATE (INDEPENDENT CHARGE)  OF  THE  MINISTRY  OF  PLANNING  AND  MINISTER  OF  STATE  IN  THE

MINISTRY OF CORPORATE AFFAIRS

[RAO INDERJIT SINGH]

- (a):   As per the input provided by the Department of Financial Services, Public Sector Banks  are  established  under  the  State  Bank  of  India  Act,  1955  and  the  Banking Companies  (Acquisition  and  Transfer  of  Undertakings)  Act,  1970/80  and  are  not companies incorporated under the Companies Act, 2013 ('Act) or under any previous company  law.  As  such,  the  provisions  of  Corporate  Social  Responsibility  (CSR) provided in Section 135 of the Act are not applicable to Public Sector Banks.

All data related to CSR filed by companies in MCA21 registry is available in public domain at www.csr.gov.in. On the basis of the filings made by the companies in the MCA 21 registry,  details  of  CSR  funds  spent  by  the  companies,  including  private sector banks incorporated under the Act, in different States /Union Territories (UTs) (including Tamil Nadu) during the last three financial years are annexed.

As per the Act, companies are required to hold Annual General Meeting (AGM) within six months from the end of financial year. Thereafter, financial statements and board reports containing disclosures about CSR, are to be filed in MCA21 within 30 days of the AGM. In view of the disruption caused by COVID-19 pandemic, Registrars of Companies have accorded extension of time till 30 th  November, 2021 for conduct of AGMs  by  companies.  The  Ministry  vide  General  Circular  No.  17/2021  dated 29.10.2021 has relaxed the levy of additional fees till 31.12.2021 for filing of financial statement in respect of the financial year 2020-21.

(b):   Under the Act, CSR is a Board driven process and the Board of the company is empowered  to  plan,  decide,  execute  and  monitor  CSR  activities  based  on  the recommendations of its CSR Committee. The CSR framework is disclosure based and CSR mandated companies are required to file details of CSR activities annually in the MCA21 registry. The CSR mandated companies are required to provide additional information in their Profit & Loss Account regarding amount of expenditure incurred on CSR activities and the same is required to be audited by the statutory auditors of the company. Further, the Board of the company is also required to disclose the CSR Policy  implemented  by  the  company  in  its  Board  report.  Thus,  the  corporate governance framework along with the existing legal provisions such as mandatory disclosures,  accountability  of  the  CSR  Committee  and  the  Board,  provisions  for statutory audit of accounts of the company etc. provide adequate safeguards in this regard.

(c):   Whenever any violation of CSR provisions is reported, action against such noncompliant Companies is initiated as per provisions of the Act after due examination of  records  and  following  due  process  of  law.  Earlier  CSR  related  defaults  were compoundable offences.  So far, sanction for prosecution has been accorded in 366 cases. Of these, 148 applications for compounding have been made and 75 cases have been compounded.  Further, the non-compliance of CSR provisions has been converted as a civil wrong w. e. f. 22 nd  January, 2021.

(d):   SEZ-wise data is not maintained by the Ministry. However, on the basis of the filings made by the companies in the MCA 21 registry, CSR spent by all the companies in Thiruvannamalai District of Tamil Nadu during the last three financial years are as follows:

| District                  |   FY 2018-19 |   FY 2019-20 |   FY 2020-21 |
|---------------------------|--------------|--------------|--------------|
| Thiruvannamalai (INR Cr.) |         0.32 |         5.43 |         0.37 |

(Data upto 30.09.2021) [Source: National CSR Data Portal]

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Annexure

## ANNEXURE REFERRED TO IN REPLY TO LOK SABHA UNSTARRED QUESTION NO. 1378 FOR 06.12.2021

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| State /UT-wise CSR expenditure (in Cr.)   | State /UT-wise CSR expenditure (in Cr.)   | State /UT-wise CSR expenditure (in Cr.)   | State /UT-wise CSR expenditure (in Cr.)   | State /UT-wise CSR expenditure (in Cr.)   |
|-------------------------------------------|-------------------------------------------|-------------------------------------------|-------------------------------------------|-------------------------------------------|
| S. No                                     | States/UT                                 | Amount Spent FY 2018-19 (INR Cr.)         | Amount Spent FY 2019-20 (INR Cr.)         | Amount Spent FY 2020-21 (INR Cr.)         |
| 1.                                        | Andaman And Nicobar                       | 0.82                                      | 1.29                                      | 0.66                                      |
| 2.                                        | Andhra Pradesh                            | 668.72                                    | 714.94                                    | 446.86                                    |
| 3.                                        | Arunachal Pradesh                         | 24.56                                     | 18.02                                     | 2.13                                      |
| 4.                                        | Assam                                     | 210.22                                    | 288.37                                    | 52.02                                     |
| 5.                                        | Bihar                                     | 137.76                                    | 144.03                                    | 27.57                                     |
| 6.                                        | Chandigarh                                | 11.95                                     | 15.72                                     | 3.13                                      |
| 7.                                        | Chhattisgarh                              | 150.30                                    | 163.13                                    | 102.07                                    |
| 8.                                        | Dadra And Nagar Haveli                    | 13.48                                     | 19.11                                     | 0.36                                      |
| 9.                                        | Daman And Diu                             | 6.25                                      | 8.60                                      | 0.83                                      |
| 10.                                       | Delhi                                     | 814.46                                    | 927.51                                    | 122.82                                    |
| 11.                                       | Goa                                       | 49.46                                     | 47.87                                     | 9.46                                      |
| 12.                                       | Gujarat                                   | 1,091.69                                  | 988.99                                    | 582.37                                    |
| 13.                                       | Haryana                                   | 375.69                                    | 525.57                                    | 228.38                                    |
| 14.                                       | Himachal Pradesh                          | 81.25                                     | 82.10                                     | 21.94                                     |
| 15.                                       | Jammu And Kashmir                         | 36.55                                     | 25.53                                     | 3.74                                      |
| 16.                                       | Jharkhand                                 | 112.35                                    | 156.06                                    | 84.62                                     |
| 17.                                       | Karnataka                                 | 1,279.98                                  | 1,480.63                                  | 434.69                                    |
| 18.                                       | Kerala                                    | 444.10                                    | 303.86                                    | 163.50                                    |
| 19.                                       | Lakshadweep                               | 0.39                                      | 1.00                                      | -                                         |
| 20.                                       | Madhya Pradesh                            | 255.84                                    | 212.52                                    | 173.04                                    |
| 21.                                       | Maharashtra                               | 3,205.17                                  | 3,400.48                                  | 1,100.59                                  |
| 22.                                       | Manipur                                   | 7.81                                      | 14.21                                     | 1.37                                      |
| 23.                                       | Meghalaya                                 | 18.12                                     | 19.74                                     | 2.27                                      |
| 24.                                       | Mizoram                                   | 0.11                                      | 0.25                                      | 0.34                                      |
| 25.                                       | Nagaland                                  | 2.14                                      | 5.10                                      | 2.44                                      |
| 26.                                       | Odisha                                    | 690.77                                    | 747.21                                    | 275.20                                    |
| 27.                                       | Puducherry                                | 9.15                                      | 11.33                                     | 8.10                                      |
| 28.                                       | Punjab                                    | 167.86                                    | 191.09                                    | 21.21                                     |
| 29.                                       | Rajasthan                                 | 603.84                                    | 732.62                                    | 255.06                                    |
| 30.                                       | Sikkim                                    | 5.87                                      | 12.72                                     | 2.38                                      |
| 31.                                       | Tamil Nadu                                | 899.13                                    | 1,110.15                                  | 277.36                                    |
| 32.                                       | Telangana                                 | 440.07                                    | 449.46                                    | 130.52                                    |
| 33.                                       | Tripura                                   | 23.06                                     | 9.40                                      | 0.94                                      |
| 34.                                       | Uttar Pradesh                             | 524.33                                    | 580.80                                    | 361.96                                    |
| 35.                                       | Uttarakhand                               | 178.19                                    | 128.03                                    | 19.66                                     |
| 36.                                       | West Bengal                               | 386.18                                    | 446.31                                    | 84.77                                     |
| 37.                                       | NEC/ Not mentioned*                       | 4.74                                      | 40.29                                     | -                                         |
| 38.                                       | PAN India*                                | 7,217.91                                  | 10,664.65                                 | 3,823.75                                  |
| Grand Total (in Cr.)                      |                                           | 20,150.27                                 | 24,688.66                                 | 8,828.11                                  |

(Data upto 30.09.2021) [Source: National CSR Data Portal]

*Companies either  did  not  specify  the  names  of  States  or  indicated  more  than  one  State  where projects were undertaken.

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