Results for: Companies Act

Nithin Kamath, co-founder and CEO of Zerodha, has been fined along with other key directors of Zerodha Asset Management Private Limited for failing to appoint a Chief Financial Officer (CFO) within the stipulated timeframe. The company admitted to violating Section 203 of the Companies Act, 2013, which mandates full-time key managerial personnel for companies exceeding Rs 10 crore in paid-up share capital. The fine was imposed by the Ministry of Corporate Affairs (MCA) after the company’s delay in appointing a CFO.

Indian companies’ corporate social responsibility (CSR) expenditures increased at a slower rate than their average net profits in FY23. The total CSR spending by companies listed on the National Stock Exchange was 15,524 crore, just a 5% increase compared to the previous year’s 14,816 crore. This growth was despite a 13% rise in average net profits over the preceding three years. The slow growth resulted in CSR spending as a percentage of net profit falling to a six-year low of 1.87% in FY23. The top CSR spenders were HDFC Bank and Tata Consultancy Services. HDFC Bank spent 821 crore, while TCS spent 783 crore. Energy and power giants Reliance Industries and NTPC were also among the top spenders.