Central Information Commission
Ajit Kumar Singh vs Ministry Of Corporate Affairs on 10 August, 2020
Author: Vanaja N Sarna
Bench: Vanaja N Sarna
क य सुचना आयोग
CENTRAL INFORMATION COMMISSION
बाबा गंगनाथ माग
Baba Gangnath Marg
मुिनरका, नई द ली - 110067
Munirka, New Delhi-110067
File no.: CIC/MOCAF/A/2019/121620
In the matter of:
Ajit Kumar Singh
... Appellant
VS
CPIO/Section Officer
Ministry of Corporate Affairs
A - Wing, 5th Floor, Shastri Bhawan,
Dr. Rajendra Prasad Marg,
New Delhi - 110001
...Respondent
RTI application filed on : 01/11/2018 CPIO replied on : 26/12/2018 First appeal filed on : 14/01/2019 First Appellate Authority order : 11/02/2019 Second Appeal dated : 05/04/2019 Date of Hearing : 06/08/2020 Date of Decision : 06/08/2020 The following were present: Appellant: Present over phone
Respondent: Shri Sobhit Srivastava, Deputy Director and CPIO, present over phone Information Sought:
After mandating the implementation of provisions of CSR (Corporate Social Responsibility) in India, how many companies have violated the said provision. Provide details of action taken against those companies. Also provide the details of amount of penalty recovered from those companies. Also provide the list of companies which have been implementing CSR provisions. Grounds for Second Appeal The CPIO did not provide the desired information.1
Submissions made by Appellant and Respondent during Hearing:
The appellant contested the denial of the information sought u/s 8(1)(h) of the RTI application.
The CPIO submitted that the appellant broadly had asked two things; the number of companies who violated the provisions of CSR and the penalty imposed on them for not complying with CSR norms. He clarified that its a board driven process and whatever information is dislcosable is available on the website www.csr.gov.in. He further submitted that after the second appeal was filed a reply was given on 21.06.2019 in which information relating to the number of companies was given. On a query he submitted that information relating to penalties recovered cannot be given as the same are pending before Special courts for adjudication and hence is exempted u/s 8 (1)(h) of the RTI Act.
The CPIO vide letter dated 26.12.2018 had replied as follows:
"The information sought by the applicant is not available with this Ministry. However, information relating to CSR are available at www.csr.gov.in. The reason for non compliance were filed in the Company's Board report, which is placed in the Ministry's website www.mca.gov.in which is listed company wise Further Sec 135 (5) of the Companies Act states as follows: Provided further that if the company fails to spend such amount, the Board shall, in its report made under clause (o) of sub-section (3) of section 134, specify the reasons for not spending the amount."
Being aggrieved the appellant filed a first appeal on 14.01.2019. The FAA vide order dated 11.02.2019 disposed of the first appeal and held as follows:
"I am to refer to your First Appeal dated 14.01.2019 (received in CSR cell on 05.02.2019) where it has been stated that the CPIO had not yet provided any information.
2. In this regard I am to state that CPIO has given information vide letter dated 26.12.2018.
3. The letter dated 26.12.2018 is enclosed for your information."
2The appellant in his second appeal sought relief stating that complete information should be given. He further pointed out in the grounds for appeal that the information sought is in larger public interest. The subsequent reply dated 21.06.2019 reads as follows;
"In continuation to our letters of even no. dated 26.12.2018 and the FAA's order dated 11.02.2019 on the subject cited above and to inform that whenever there is violation of CSR provisions is noticed, action u/s 134(8) of the Companies Act 2013 is initiated. Ministry has so far accorded permission for initiating such penal action against 366 companies for non compliance of provisions of Sec 135 r/w Sec 134 (3)(o) of the Act for the financial year 2014-15. The information regarding list of defaulting company could not be provided u/s 8(1)(h) of the RTI Act."
Observations:
At the outset it is pertinent to mention here that Corporate Social Responsibility is a management concept whereby companies integrate social and environmental concerns in their business operations and interactions with their stakeholders.
The website www.csr.gov.in was examined and it was noted that year wise data is available in which total number of companies, total amount spent on CSR (in crores), States and UTs covered, Total number of CSR projects and Development Sectors entered by companies is mentioned. However it is pertinent to mention here that the number of companies violating the provision, action taken against them and the amount of penalty recovered was not found on the website. The CPIO after the filing of the second appeal had provided a revised reply in which she provided the number of companies violating the provision.and the fact that action was initiated against them. However, it is pertinent to mention here that since 01.04.2014 CSR was made mandatory in India and therefore, information should have been given till the date of RTI application, but the CPIO had provided information only for the financial year 2014-15. Moreover, the CPIO should categorically state whether any amount of penalty has been recovered yet or all the cases since 2014-15 to 2017-18 are pending before the Court.
The reason for non compliance filed in the Company's Board report, which was claimed to be placed on the Ministry's website www.mca.gov.in which is listed company wise could not be located, hence, the CPIO should provide the hyperlink for the same.3
Decision:
In view of the above observations, the Commission agreed to the extent that the information relating to the pending adjudication cannot be given being not yet finalized.. However, a categorical reply relating to the period 2014-15, 2015-16, 2016-17 and 2017-18 should be given in which the number of companies against whom action has been initiated should be conveyed, year wise penalty recovered if any and the number of pending cases year-wise in courts should be informed and the disclosure of the same should also be placed on the website in the light of the provisions of Sec 4(1)(b) of the RTI Act. The CPIO is accordingly directed to provide a revised reply as discussed above along with the hyperlink to access the Company's board report within 7 days from the date of issue of this order.
The appeal is disposed of accordingly.
Vanaja N. Sarna (वनजा एन. सरना) Information Commissioner (सूचना आयु ) Authenticated true copy (अिभ मा णत स या पत ित) A.K. Assija (ऐ.के. असीजा) Dy. Registrar (उप-पंजीयक) 011- 26182594 / दनांक / Date 4