Subject: Notification for Presentation of Research Proposal

before Research Committee

Name: Ariz Abu Qais

Enrolment no: A46011120014
Semester: 9th
Batch: 2020-2025
S.NO. INDEX
1. TITLE OF DISSERTATION
2. RESEARCH OBJECTIVES
3. RESEARCH QUESTIONS
4. REVIEW OF LITERATURE
5. SIGNIFICANCE OF THE STUDY
6. PROPOSED METHODOLOGY
 1. TITLE OF DISSERTATION
CORPORATE SOCIAL RESPONSIBILITY: A LEGAL
PERSPECTIVE ON MANDATORY CSR IN INDIA
Corporate Social Responsibility: A Legal Perspective on Mandatory CSR in India
is a deep dive into how CSR has evolved from a voluntary practice to a legal
obligation in India. Once considered an optional activity that companies engaged
in to build goodwill, CSR took a transformative turn with the introduction of
Section 135 of the Companies Act, 2013. This law made CSR mandatory for
certain companies, making India one of the first countries in the world to legislate
corporate responsibility towards society.
This dissertation aims to understand this shift from a legal examining how the
law was framed, what its objectives are, and how it has influenced corporate
behaviour. It explores the challenges businesses face in implementing these
provisions, such as identifying meaningful projects, ensuring compliance, and
reporting CSR activities. Additionally, it looks at the impact of this mandate on
society—whether it has truly helped address critical issues like education,
healthcare, and environmental sustainability, or if it remains a box-ticking
exercise for many companies.
By taking a legal perspective, the research doesn’t just look at the text of the law
but also examines how it works in practice, how it is enforced, and how courts
and regulators have interpreted and applied it. Ultimately, this study aims to
uncover whether mandatory CSR has been effective in achieving its goals and
what changes could make it even more impactful, bridging the gap between
corporate responsibility and meaningful societal change.
 2. RESEARCH OBJECTIVES

1. Analyze the Evolution of CSR as a Legal Obligation in India: This objective

aims to explore the historical journey of Corporate Social Responsibility (CSR)
in India, transitioning from a voluntary practice to a mandatory legal obligation
under the Companies Act, 2013. It seeks to understand how CSR has been
perceived and implemented over time and how its codification into law has
influenced corporate behaviour.
2. Examine the Role of Mandatory CSR in Promoting Sustainable Development
and Societal Welfare: It focuses on assessing the impact of mandatory CSR on
achieving broader social and economic development goals. It will evaluate
whether the mandated CSR framework effectively addresses critical issues such
as education, healthcare, environmental sustainability, and poverty alleviation,
aligning with India’s commitment to Sustainable Development Goals (SDGs).
3. Assess the Compliance Levels and Challenges Faced by Companies in
Implementing CSR Activities: This seeks to identify the extent to which
companies comply with CSR regulations and the obstacles they encounter in
fulfilling their legal obligations. Challenges such as ambiguity in regulations, lack
of expertise, and limited monitoring mechanisms will be critically examined to
understand their implications for effective CSR implementation.
4. Evaluate the Effectiveness of the Regulatory Framework in Ensuring
Accountability and Transparency in CSR Spending: To analyze the efficiency of
the existing legal and regulatory framework in ensuring that CSR spending is
transparent, accountable, and impactful. It will explore the mechanisms used to
monitor compliance, the role of regulatory bodies, and the efficacy of disclosure
requirements mandated by law.
5. Provide Recommendations for Enhancing the Legal and Regulatory
Framework for CSR in India: This identifying gaps in the current legal framework
and proposing reforms to enhance its effectiveness. By analyzing the practices of
other jurisdictions and considering the unique challenges faced by Indian
companies, this research will offer actionable solutions to improve the overall
CSR ecosystem in India.

3. RESEARCH QUESTION

The dissertation seeks to address several critical research questions to

comprehensively understand the evolution, impact, and challenges of mandatory
CSR in India. First, it will explore the Historical Development Of CSR in India,
examining how corporate responsibility was initially a voluntary initiative and
how it evolved into a legal mandate under the Companies Act, 2013. This
question aims to shed light on the societal and economic factors that influenced
the shift towards mandatory CSR and the implications of this transition for
businesses and the community.
Second, the research will investigate How The Legal Mandate For CSR has
impacted corporate behaviour and social outcomes. This involves analyzing
whether the statutory requirement has led to a significant change in how
businesses approach their social responsibilities, particularly in areas such as
education, healthcare, and environmental sustainability. The focus will be on
understanding whether the legal framework has successfully incentivized
companies to contribute to social welfare.
The third question addresses The Primary Challenges companies face in
fulfilling their CSR obligations. This will include identifying practical issues such
as inadequate resources, lack of awareness, unclear guidelines, and difficulties in
measuring the social impact of CSR initiatives. By focusing on these challenges,
the research will aim to understand the barriers hindering effective CSR
implementation.
Another key question will evaluate The Effectiveness Of Existing Mechanisms
for monitoring and enforcing CSR compliance. This includes assessing the role
of government agencies, such as the Ministry of Corporate Affairs (MCA), and
third-party evaluators in ensuring that companies adhere to CSR requirements.
The dissertation will also investigate whether the existing legal framework holds
corporations accountable for CSR spending and outcomes.
Lastly, the research will propose Reforms To Improve The Efficiency And
Effectiveness of CSR implementation in India. This will involve suggesting legal
and regulatory adjustments, such as clearer guidelines for CSR spending, better
enforcement mechanisms, and incentives for companies that go beyond the basic
legal requirements. By examining these areas, the study aims to contribute to
enhancing the overall impact of CSR on both corporate behaviour and societal
development.
 4. REVIEW OF LITERATURE
1. Theoretical Foundations of CSR: Discusses various CSR theories,
including stakeholder theory and triple bottom line.
2. Legal Framework: Explores the introduction of mandatory CSR under the
Companies Act, 2013, particularly Section 135, which mandates eligible
companies to spend 2% of their average net profit on CSR activities.
3. Compliance and Challenges: Highlights studies that discuss compliance
levels, the nature of CSR projects undertaken, and issues such as
inadequate monitoring and lack of clarity in guidelines.
4. Global Comparison: Examines CSR practices in other jurisdictions to
understand how India’s legal mandate compares with global standards.
The review identifies a research gap in understanding the long-term impact
of mandatory CSR on corporate accountability and social development in
India.
 5. SIGNIFICANCE OF THE STUDY
This study contributes to the academic field by offering a comprehensive analysis
of the legal framework surrounding Corporate Social Responsibility (CSR) in
India, especially with regard to its mandatory nature under the Companies Act,
2013. While CSR has been a growing area of research, there remains a gap in
understanding the legal aspects of its mandatory implementation. This will
enhance the understanding of CSR as not just a corporate responsibility but a
legal obligation with societal impacts.
The findings of this research will hold significant value for policymakers and
regulatory bodies. By evaluating the effectiveness of the mandatory CSR
provisions under the Companies Act, 2013, the study will highlight the strengths
and weaknesses of the current legal framework. It will provide a detailed
examination of the compliance challenges faced by companies and the gaps in
the regulatory and monitoring mechanisms.
For companies, this research will serve as a valuable resource to better understand
their legal obligations and the practical challenges of CSR implementation. By
analyzing real-world examples and company experiences, the study will provide
insights into how businesses can navigate the regulatory landscape while
fulfilling their social responsibilities effectively. This research aims to bridge the
gap between compliance and genuine corporate social contribution, enhancing
corporate reputation and fostering positive social impact.
The ultimate goal of the study is to contribute to the broader societal impact of
CSR. While mandatory CSR aims to channel corporate profits toward social
welfare, the actual impact often depends on how funds are allocated and how
initiatives are implemented. By identifying the challenges in CSR execution and
areas of improvement, this research will propose practical solutions that can help
ensure that CSR contributions are more effectively utilized for social good.
 6. PROPOSED METHODOLOGY
The research employs a combination of doctrinal and empirical approaches:
1. Doctrinal Research:
Analysis of legal provisions in the Companies Act, 2013, and associated rules
related to CSR.
Examination of case laws, judicial interpretations, and regulatory guidelines.
2. Empirical Research:
Review of CSR spending and compliance reports of Indian companies over the
past decade.
Interviews or surveys with corporate executives and legal professionals to
understand challenges and best practices.
3. Comparative Analysis:
Study of CSR frameworks in other jurisdictions (e.g., the UK and the EU) to draw
comparisons and identify potential improvements for India.
4. Data Sources:
Annual reports and CSR disclosures of companies.
Government reports, NGO publications, and secondary research.