In recent years, Corporate Social Responsibility (CSR) has gained growing recognition as a new and emerging form of governance in business. It is already established in the global context with international reference standards set by the United Nations, Organization for Economic Cooperation and Development (OECD) guidelines and International Labor Organization (ILO) conventions. In India, considering the significance of CSR, Section 135 of the Companies Act, 2013 was specifically enacted to deal with CSR. But CSR in Companies Act, 2013 is not clear on the following aspects: firstly, it deals with the establishment of the Corporate Social Responsibility Committee and its responsibilities and functions, whereas it does not adequately define the parameters for working of this committee for proper regulation of the CSR. Secondly, it does not clarify as regards the accountability of the money deposited by the companies. Thirdly, the mandatory obligation has been covered under the policy of ‘comply or explain,’ which may prove to be one of the ways of avoiding CSR by business entities. The objective of this paper is to discuss the above-mentioned aspects.

In the last few years, the call for increased social responsibility by governments, investors and corporations was distinctive and urgent due to the global crises that took center stage. Financial market breakdowns, severe economic declines and food shortages required immediate responses. It seems that climate change finally received due attention, with growing recognition of critical consequences without a significant change in the course. More and more entities are using corporate non-financial reporting, encompassing the social, environmental and economic impact of the company’s operations, not just as an accountability tool but to drive strategy, unlocking new sources of revenue and growth. Companies are not turning to sustainability for altruistic reasons.Profitability and growth are at the heart of their reasons for building sustainability tools into their business strategy.

Law Review Journal, Corporate Social Responsibility (CSR), National Voluntary Guidelines (NVGs), Acquired Immune Deficiency Syndrome (AIDS), Responsibility, Obligation, Organization for Economic Cooperation and Development (OECD), International Labor Organization (ILO), .