Pulwama, Mar 20: The Jammu and Kashmir government has clarified that none of the cement industries operating in Khrew-Wuyan fall under the mandatory Corporate Social Responsibility (CSR) compliance criteria outlined in Section 135 of the Companies Act, 2013.
Responding to an assembly question by retired Justice Hasnain Masoodi, MLA Pampore, the government confirmed that while a mechanism is in place to ensure compliance with the Companies Act and CSR Policy Rules, 2014, the cement industries in Khrew-Wuyan do not meet the financial thresholds that make CSR spending mandatory.
The house was informed that under Section 135 of the Companies Act, 2013, companies are required to undertake CSR activities if they have a net worth of ₹500 crore or more, a turnover of ₹1000 crore or more, or a net profit of ₹5 crore or more. Since none of the cement industries in Khrew-Wuyan meet these criteria, the government stated that no action could be taken against them for non-compliance.
It was revealed that despite not being legally obligated, some cement industries in Khrew-Wuyan have undertaken CSR initiatives in 2023-24, focusing on environmental sustainability and infrastructure development. During this period, the companies collectively spent approximately ₹1,62,57,864 on various CSR initiatives.
When questioned about mechanisms to enforce CSR contributions from these industries, the government clarified that no policy currently exists to mandate or ensure compliance beyond the Companies Act, 2013.
