Company Law - Corporate Governance

International Conference on Humanities, Economics and Geography (ICHEG'2012) March 17-18, 2012 Bangkok

Corporate Governance in India: A legal Analysis

Prabhash Dalei, Paridhi Tulsyan and Shikhar Maravi

Abstract—The present paper aims at reviewing the various

developments in Corporate Governance in India. Corporate Governance has gained a lot of importance and momentum the world over. The objective of any corporate governance system is to simultaneously improve corporate performance and accountability as a means of attracting financial and human resources on the best possible terms and of preventing corporate failure. In short Corporate Governance is about promoting corporate fairness, transparency and accountability.

Keywords—Corporate Governance, Corporations, Stakeholders,

Investors.

I. INTRODUCTION

It is about commitment to values, about ethical business conduct and about making a distinction between personal and corporate funds in the management of a company. Corporate Governance consists of procedures and processes according to which an organisation is directed and controlled. The Corporate Governance structure specifies the distribution of rights and responsibilities among the different participants in the organisation such as the board, managers, shareholders and other stakeholders and lays down the rules and procedures for decision-making [3]. Corporate Governance is about promoting corporate fairness, transparency and accountability [4]. In simple terms Corporate Governance can be defined as a set of laws, rules, regulations, systems, principles, process by which a company is governed. III.

NEED FOR CORPORATE GOVERNANCE IN INDIA

C

ORPORATE Governance is essentially all about how corporations are directed, managed, controlled and held accountable to their shareholders. In India, the question of Corporate Governance has come up mainly in the wake of economic liberalization and de-regularization of industry and business. The objective...