Q: Write about the composition of board committees in corporate social responsibility ?

Ans: The composition of the board committee is given below :

Name of the committee:

1. Corporate social responsibility committee:

A company which meets the following conditions:

Net worth of Rs 500 crores or more.

Turnover of Rs 1000 crores or more.

Net profit of Rs 5 crores or more.

Size of the committee and number of independent directors required in corporate social responsibility:

3 or more directors and atleast one should be an independent director.  There is no restriction on the remaining directors being the full time directors. 



2. Nomination and Remuneration Committee:

Listed Companies and unlisted public companies which satisfy any of the following conditions:

Paid up capital of Rs 10 crores or more.

Turnover of Rs 100 crores or more.

Outstanding loan borrowings, debentures or deposits of Rs 50 crores or more.

3 or more non executive directors (with atleast half, i.e., 2 or more independent directors) .

3. Audit Committee:

Listed Companies + unlisted public companies which may satisfy any of the following conditions:

Paid up capital of Rs 10 crores or more.

Turnover of Rs 100 crores or more.

Outstanding Loans, Borrowings,  Debentures or deposits of Rs 50 crores or more.

3 directors and atleast one should be an independent director. There is no prohibition on remaining directors being the full time directors. 

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