Business Ethics and Corporate Governance, Second Edition

SEBI’S RESPONSE

SEBI considered and adopted in its meeting held on 25 January 2000, the recommendations of the committee on corporate governance appointed by it under the chairmanship of Kumar Mangalam Birla.

In accordance with the guidelines provided by the SEBI, the stock exchanges in India have modified the listing requirements by incorporating in them a new clause (Clause 49), so that proper disclosure for ensuring corporate governance is made by the companies in the following areas:

• Board of directors
• Audit committee
• Remuneration of directors
• Board procedure
• Management
• Shareholders
• Report on corporate governance
• Compliance certificate from auditors.

The above amendments to the listing agreement were to be implemented in a time-bound manner ...