Pratip Kar: The global market turmoil & Clause 49

Pratip Kar: The global market turmoil & Clause 49: Clause 49 may have become dated. It was incorporated as a new Clause in the Listing Agreement in 2000, subsequently amended in 2004, implemented in 2006 and there was a small amendment in 2008. But the corporate governance landscape, both in India and globally, has changed and is still evolving. There was the global financial crisis in 2008 and, recently, scandals involving some US companies and personalities. In India, we had the accounting scandal at Satyam Computers. The scandal involving Rupert Murdoch and News Corporation is causing endless worries to the Financial Reporting Council in the UK. These have given rise to serious governance issues straddling roles of the boards, independent directors, risk management, executive compensation and ethical and value-based management. Whether the present Clause 49 adequately addresses these issues needs to be examined."