There are 266 companies that have spent either less or no amount on CSR and names are shocking as few of these big corporate have a perception of being the most responsible institution of India. Interestingly of these defaulting 266 companies, 33 of them did not spend a single rupee on CSR in FY15. Prominent among them are Idea Cellular, Tata Motors, PC Jewellers, Chettinad Cement, Finolex Cables, Parsvnath Developers, Monsanto, Supreme Infrastructure, Welspun India, Future Retail, GSPC, JP Power Ventures etc. Importantly these 33 companies accounted for Rs 156 crore in unspent amount.
Other prominent company, who have defaulted includes Unitech, National Stock Exchange, Petronet LNG. Bharti Airtel that had a short fall of whooping Rs 98.9 crore (71%) and spent only Rs 41 crore. NTPC, NMDC and ONGC were other PSUs defaulters but fared way better than Private companies and spend good amount considering FY15 to be the first year. The total unspent amount by these 266 companies stood at Rs 2444.6 crore. The top 10 companies accounted for Rs 865 crore in unspent amount. Out of the 266 companies that did not spend the prescribed amount, one company did not spend more than 100 crore, 13 did not spend between 50-100 crore. 215 companies did not spend between 0-10 crore.
Non spending companies are up for various excuses. Among the reasons mentioned for not being able to spend the prescribed CSR amount, 85 companies said that they did not find a suitable project or the projects are multi-year projects. 75 companies mentioned that the delay was on account of FY15 being the first year of CSR. 35 companies did not mention any reason. For instance, Apple India mentioned that the delay is because of the first year of CSR.
This article is part of Special Issue of GDP Magazine on CSR. Governance Democracy& Politics (GDP) Magazine’s Special Issue on #CSR Takes A Deep Dive on the state of CSR Spending. It has a regressive database of 5000+ companies on CSR Spending.
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