IndiaCorpLaw

Independent Directors under the Companies Bill, 2009

The report of the Parliamentary Standing Committee on Finance (SCF) pays significant attention to the role of independent directors on Indian companies (particularly the listed ones). While it is not doubted that the existing system of independent directors requires further review and strengthening, the SCF’s recommendations seem to go the other extreme in advocating a process which amounts to regulatory micromanagement of corporate boards. Unsurprisingly, the SCF’s views have generated a great deal of debate, and set out below are a few columns that discuss the issue in greater detail:

Pratip Kar in the Business Standard;

Omkar Goswami in the Business Standard; and

Bibek Debroy in the Financial Express.