With a view to promote better corporate governance practices and check frauds, the ministry of corporate affairs has initiated the task of revamping the functioning of the corporate governance body under its aegis, National Foundation for Corporate Governance (NFCG). For this the ministry has appointed Kiran Karnik, former Nasscom president as the new co-vice chairman of the NFCG who has replaced NR Narayana Murthy, chairman and chief Mentor, Infosys.
The ministry is also planning to strengthen its NFCG office by employing more employees to work under its aegis. ?For improving the efficiency of operations of the corporate governance body, the ministry is planning to recruit more officers?, said an official.
Corporate affairs minister, Salman Khurshid recently held a meeting with NFCG officials where issues such as the role and responsibilities of auditors and corporate governance were discussed. Apart from this, NFCG is also going to take up the issue of the independent directors and hold a discussion on strengthening their role in the corporate sector. Talking about the need of corporate governance, Salman Khurshid, minister of corporate affairs had earlier said, ?The issues related to corporate social responsibility and exclusive growth as an extension of responsible corporate governance is engaging the attention of the ministry, the corporate sector and their stakeholders?. The ministry and industry chamber, Confederation of Indian Industry had set up NFCG in 2004 in partnership with the Institute of Chartered Accountants of India and Institute of Company Secretaries of India in order to improve implementation and enforcement of various laws related to corporate governance. NFCG was set up with a purpose to have better self-regulation in the Indian industry by paying importance to issues related to corporate governance and by providing training and research accordingly.
