Lok Sabha on 18th December, 2012 passed Companies Bill, 2012.Clause 135:(1) Every company having net worth of rupees five hundred crore or more, or turnoverof rupees one thousand crore or more or a net profit of rupees five crore or more duringany financial year shall constitute a Corporate Social Responsibility Committee of theBoard consisting of three or more directors, out of which at least one director shall be anindependent director.(2) The Board's report under sub-section (3) of section 134 shall disclose the compositionof the Corporate Social Responsibility Committee.(3) The Corporate Social Responsibility Committee shall:(a) Formulate and recommend to the Board, a Corporate Social ResponsibilityPolicy which shall indicate the activities to be undertaken by the company asspecified in Schedule VII;(b) Recommend the amount of expenditure to be incurred on the activitiesreferred to in clause (a); and(c) Monitor the Corporate Social Responsibility Policy of the company from timeto time.(4) The Board of every company referred to in sub-section (1) shall:(a) After taking into account the recommendations made by the Corporate SocialResponsibility Committee, approve the Corporate Social Responsibility Policy forthe company and disclose contents of such Policy in its report and also place it onthe company's website, if any, in such manner as may be prescribed; and(b) Ensure that the activities as are included in Corporate Social ResponsibilityPolicy of the company are undertaken by the company.(5) The Board of every company referred to in sub-section (1), shall ensure that thecompany spends, in every financial year, at least two per cent of the average net profitsof the company made during the three immediately preceding financial years, in
