CB BureauAlthough there is slight relief with water levels beginning to recede in Srinagar city, one of the worst hit by the deluge, over a lakh people still await basic help. Thousands of families stranded in the valley are struggling for food, shelter, clothes, blankets and medicines, and the need of the hour is to generously support relief operations.
While government machinery including the army and the air force are carrying out relief operations, the corporate sector is expected to come forward and fund non-government organizations (NGOs) for rehabilitation of communities uprooted because of the massive floods caused by incessant rains and an overflowing Jhelum.
It is to be noted that all contributions by companies made towards relief and rehabilitation qualify to be counted under their mandated corporate social responsibility (CSR) spends.
Such contributions, as per Schedule VII in Section 135 of the Companies Act, may be counted under Point 1 that reads ‘eradicating extreme hunger’ and Point 6 reading ‘ensuring environmental sustainability’. Also, the ninth point in the Schedule allows companies to directly contribute (under their CSR) to the Prime Minister’s National Relief Fund or any other fund set up by the Central Government or state governments for socioeconomic development and relief.
Hence, companies may send in relief material such as food, blankets, tents and medicines through NGOs or may strengthen the government’s efforts by means of financial contributions in its coffers. Companies with their plants and operations in the state may look at investing in larger rehabilitation programmes – beginning with building of infrastructure, especially homes for the displaced, schools and hospitals – as part of their CSR.
Answering queries from industry bodies, the government has already clarified that the spending on relief operations in disaster-hit areas will be considered under the list of mandatory CSR initiatives.
PTI picture: An aerial view of buildings submerged in flood water in Srinagar.