1. Raja Chelliah Committee was set up to study?





Write Comment

Type in
(Press Ctrl+g to toggle between English and the chosen language)

Comments

Tags
Show Similar Question And Answers
QA->RAJA CHELLIAH COMMITTEE IS DEALT WITH WHICH SECTOR....
QA->Securities and Exchange Board of India (SEBI) has set up a committee to helpimprove corporate governance of listed companies, the committee, headed by....
QA->Raja Raja Chola invaded Kerala in:....
QA->Who gave Raja Ram Mohan Roy the title "Raja""?....
QA->Former secretary of the Chongqing Municipal Committee of the Communist Party of China (CPC) and a former member of the CPC (Central Committee Political Bureau) who was sentenced to life imprisonment on Sunday for bribery, embezzlement and abuse of power?....
MCQ-> Read carefully the four passages that follow and answer the questions given at the end of each passage:PASSAGE I The most important task is revitalizing the institution of independent directors. The independent directors of a company should be faithful fiduciaries protecting, the long-term interests of shareholders while ensuring fairness to employees, investor, customer, regulators, the government of the land and society. Unfortunately, very often, directors are chosen based of friendship and, sadly, pliability. Today, unfortunately, in the majority of cases, independence is only true on paper.The need of the hour is to strengthen the independence of the board. We have to put in place stringent standards for the independence of directors. The board should adopt global standards for director-independence, and should disclose how each independent director meets these standards. It is desirable to have a comprehensive report showing the names of the company employees of fellow board members who are related to each director on the board. This report should accompany the annual report of all listed companies. Another important step is to regularly assess the board members for performance. The assessment should focus on issues like competence, preparation, participation and contribution. Ideally, this evaluation should be performed by a third party. Underperforming directors should be allowed to leave at the end of their term in a gentle manner so that they do not lose face. Rather than being the rubber stamp of a company’s management policies, the board should become a true active partner of the management. For this, independent directors should be trained in their in their in roles and responsibilities. Independent directors should be trained on the business model and risk model of the company, on the governance practices, and the responsibilities of various committees of the board of the company. The board members should interact frequently with executives to understand operational issues. As part of the board meeting agenda, the independent directors should have a meeting among themselves without the management being present. The independent board members should periodically review the performance of the company’s CEO, the internal directors and the senior management. This has to be based on clearly defined objective criteria, and these criteria should be known to the CEO and other executive directors well before the start of the evolution period. Moreover, there should be a clearly laid down procedure for communicating the board’s review to the CEO and his/her team of executive directors. Managerial remuneration should be based on such reviews. Additionally, senior management compensation should be determined by the board in a manner that is fair to all stakeholders. We have to look at three important criteria in deciding managerial remuneration-fairness accountability and transparency. Fairness of compensation is determined by how employees and investors react to the compensation of the CEO. Accountability is enhanced by splitting the total compensation into a small fixed component and a large variable component. In other words, the CEO, other executive directors and the senior management should rise or fall with the fortunes of the company. The variable component should be linked to achieving the long-term objectives of the firm. Senior management compensation should be reviewed by the compensation committee of the board consisting of only the independent directors. This should be approved by the shareholders. It is important that no member of the internal management has a say in the compensation of the CEO, the internal board members or the senior management. The SEBI regulations and the CII code of conduct have been very helpful in enhancing the level of accountability of independent directors. The independent directors should decide voluntarily how they want to contribute to the company. Their performance should decide voluntarily how they want to contribute to the company. Their performance should be appraised through a peer evaluation process. Ideally, the compensation committee should decide on the compensation of each independent director based on such a performance appraisal. Auditing is another major area that needs reforms for effective corporate governance. An audit is the Independent examination of financial transactions of any entity to provide assurance to shareholder and other stakeholders that the financial statements are free of material misstatement. Auditors are qualified professionals appointed by the shareholders to report on the reliability of financial statements prepared by the management. Financial markets look to the auditor’s report for an independent opinion on the financial and risk situation of a company. We have to separate such auditing form other services. For a truly independent opinion, the auditing firm should not provide services that are perceived to be materially in conflict with the role of the auditor. These include investigations, consulting advice, sub contraction of operational activities normally undertaken by the management, due diligence on potential acquisitions or investments, advice on deal structuring, designing/implementing IT systems, bookkeeping, valuations and executive recruitment. Any departure from this practice should be approved by the audit committee in advance. Further, information on any such exceptions must be disclosed in the company’s quarterly and annual reports. To ensure the integrity of the audit team, it is desirable to rotate auditor partners. The lead audit partner and the audit partner responsible for reviewing a company’s audit must be rotated at least once every three to five years. This eliminates the possibility of the lead auditor and the company management getting into the kind of close, cozy relationship that results in lower objectivity in audit opinions. Further, a registered auditor should not audit a chief accounting office was associated with the auditing firm. It is best that members of the audit teams are prohibited from taking up employment in the audited corporations for at least a year after they have stopped being members of the audit team.A competent audit committee is essential to effectively oversee the financial accounting and reporting process. Hence, each member of the audit committee must be ‘financially literate’, further, at least one member of the audit committee, preferably the chairman, should be a financial expert-a person who has an understanding of financial statements and accounting rules, and has experience in auditing. The audit committee should establish procedures for the treatment of complaints received through anonymous submission by employees and whistleblowers. These complaints may be regarding questionable accounting or auditing issues, any harassment to an employee or any unethical practice in the company. The whistleblowers must be protected. Any related-party transaction should require prior approval by the audit committee, the full board and the shareholders if it is material. Related parties are those that are able to control or exercise significant influence. These include; parent- subsidiary relationships; entities under common control; individuals who, through ownership, have significant influence over the enterprise and close members of their families; and dey management personnel.Accounting standards provide a framework for preparation and presentation of financial statements and assist auditors in forming an opinion on the financial statements. However, today, accounting standards are issued by bodies comprising primarily of accountants. Therefore, accounting standards do not always keep pace with changes in the business environment. Hence, the accounting standards-setting body should include members drawn from the industry, the profession and regulatory bodies. This body should be independently funded. Currently, an independent oversight of the accounting profession does not exist. Hence, an independent body should be constituted to oversee the functioning of auditors for Independence, the quality of audit and professional competence. This body should comprise a "majority of non- practicing accountants to ensure independent oversight. To avoid any bias, the chairman of this body should not have practiced as an accountant during the preceding five years. Auditors of all public companies must register with this body. It should enforce compliance with the laws by auditors and should mandate that auditors must maintain audit working papers for at least seven years.To ensure the materiality of information, the CEO and CFO of the company should certify annual and quarterly reports. They should certify that the information in the reports fairly presents the financial condition and results of operations of the company, and that all material facts have been disclosed. Further, CEOs and CFOs should certify that they have established internal controls to ensure that all information relating to the operations of the company is freely available to the auditors and the audit committee. They should also certify that they have evaluated the effectiveness of these controls within ninety days prior to the report. False certifications by the CEO and CFO should be subject to significant criminal penalties (fines and imprisonment, if willful and knowing). If a company is required to restate its reports due to material non-compliance with the laws, the CEO and CFO must face severe punishment including loss of job and forfeiting bonuses or equity-based compensation received during the twelve months following the filing.The problem with the independent directors has been that: I. Their selection has been based upon their compatibility with the company management II. There has been lack of proper training and development to improve their skill set III. Their independent views have often come in conflict with the views of company management. This has hindered the company’s decision-making process IV. Stringent standards for independent directors have been lacking....
MCQ->Raja Chelliah Committee was set up to study?....
MCQ-> Read the following passage carefully and answer the question given below it Certain words/phrases have printed in bold to help you locate them while answering some of the question.Once upon a time there lived a vicious king Raja Shankara short-tempered and temperamental “God I am” he said to his image as he started into the mirror everyday many times a day He was obsessed with himself He loved no one but himself He was blinded towards the injustice in his kingdom because he had little time for his subjects He wasted most of his time in pouring milk and honey over himself Interruption in his possessed life was dealt with stern reprimanding and sometimes on petty issues he would behead his servants Provoked by his evil advisor Twishar he went on with his self-indulged life unaware of the plot his very devoted advisor was planning.A plot to dethrone the king rule the kingdom with his wicked ways only to harness wealth and the reputation of a King. One morning the king was on his usual morning horseback rounds but returned to the palace with an intense look on his face.He locked himself inside his palatial room only to unlock it at sundown.Just as the doors cracked open and Raja Shankara emerged from it his wife rushed to embrace him. She feared a damaging incident had occurred. The King spoke seldom that day and awoke the next day to make a proclamation to his servants and subjects.The whole kingdom feared what was in store for them from their angry King.But to their surprise he said to all gathered.”From now on I will be a different kings.A softer and a patient king. True to his words from that day on the king had truly turned on a new leaf he cleaned out the corruption and injustice in a tender manner with punishments aimed to renew the person from within. One fine day his evil advisor gathered courage to ask the reason for his paradigm shift And the king answered.When I went on horseback that morning a month ago, I noticed a dog brutally chasing a cat,The cat managed to sneak into a hole only after the dog bit her leg,maiming her for life.Not far the barked at a farmer who picked up a sharp stone and hit it straight in the dog’s eye.Bleeding profusely the dog yelped in pain.As the farmer walked on he slipped on the edge of the road and broke his head. All this happened in a matter of minutes before me and then I realized that evil begets evil.I thought about it deeply and was ready to give up my worldly life for the betterment of my subjects I wanted to give up evil in me as I did not want evil to encounter me. Sniggering away the immoral advisor thought what a perfect time it was to dethrone the king because the Raja had grown kind hearted and patient and would not endeavour a combat.Thinking how he would plan his attack he stumbled over a step that took him hurling down the remaining steps bringing his stop with a crash He howled in pain only to discover he had broken the bones in both his legs.How can Raja Shankara be described before his transformation ? (A)He was unjust (B)He was preoccupied with himself (C)He was cruel....
MCQ-> Read the following paragraph and following conditions to answer the questions.The Vice Chancellor of a University wants to select a team of five member organizing committee for the next convocation of the University to be held in March 2012. The committee members are to be selected from five shortlisted professors (Prof. Ahuja, Prof. Banerjee, Prof. Chakravarty, Prof. Das and Prof. Equbal) and four short listed students (Prakash, Queen, Ravi and Sushil). Some conditions for selection of the committee members are given below: i. Prof. Ahuja and Sushil have to be together ii. Prakash cannot be put with Ravi iii. Prof. Das and Queen cannot go together iv. Prof. Chakravarty and Prof. Equbal have to be selected v. Ravi cannot be selected with Prof. Banerjee.If two members of the committee are students and Prof. Das is one of the members of the committee, who are the other committee members?
 ....
MCQ->Prof. Raja J. Chelliah on tax reforms committee submitted its interim report on....
Terms And Service:We do not guarantee the accuracy of available data ..We Provide Information On Public Data.. Please consult an expert before using this data for commercial or personal use
DMCA.com Protection Status Powered By:Omega Web Solutions
© 2002-2017 Omega Education PVT LTD...Privacy | Terms And Conditions