Business Ethics and Corporate Governance, Second Edition

CORPORATE GOVERNANCE RATING

The Department of Company Affairs has set up an institute to rate corporate excellence similar to credit rating agencies such as CRISIL. This institute will undertake research in the area of corporate governance to be able to improve the overall legal framework and to advise companies and directors on how they can take corporate excellence forward. Individual corporate excellence ratings will be made available to investors, lenders and the public. The institute will be funded from the penalties paid by companies for violating the provisions of the Companies Act.

The Securities and Exchange Board of India has sought the services of two of the leading credit rating agencies in the country—Credit Rating Information Services ...