Considering 2-5 per cent of net profits – several hundred
crore of public money – is being spent on corporate social responsibility (CSR)
by public sector undertakings (PSUs), there should be compulsory accountability
of this money, opines Standing Conference of Public Enterprises (SCOPE).

SCOPE wants to make it mandatory for profit-making PSUs to
get a social audit and report their CSR performance.

‘We will be forwarding this proposal to the department of
public enterprises. The proposal will ask for rendering an accreditation
certificate after conducting the social auditing of these public sector
undertakings,’ said UD Dubey, director general of SCOPE, on February 24.

SCOPE also expects the government to introduce a similar
ruling for the private sector.

‘We have also proposed to the union ministry of company
affairs to extend this mandatory CSR clause to private companies,’ Dubey confirmed.