Total compliance of laws by corporates stressed

Bangalore, May 26 (UNI) Mphasis BFL Limited Chairman and CEO Jerry Rao today strongly advocated total compliance of laws and rules by corporates to help boost the confidence of investors and other stakeholders.

Delivering a keynote address at the two-day 32nd regional conference of the Institute of Company Secretaries here, he said the key to success of corporate governance was to adhere to the established laws and rules, which ensured total transparency in administration. He called upon the company secretaries to observe the laws and rules in its spirit and not by letter and urged them to set global standards in corporate governance.

Mr Rao urged the company secretaries to create an opportunity wherein the investor, vendor, employee and even the lender could speak out about the company's faults, if any, and redress the problems before it assumed unmanageable proportions. Companies should have a mechanism where whistle blowers would get an opportunity to air their opinions for the betterment of the company.

Karnataka Labour Minister Iqbal Ansari, who spoke on behalf of Chief Minister H D Kumaraswamy as the latter could not make it to the conference, said company secretaries should contribute to enhance the standard of corporate governance by championing corporate compliances. Considering the current tough economic environment prevailing in the country, the compliance culture was essential for the companies' long-term health, he added.

UNI MV GD SB SY VV1606