India: MCA seeks comments on task force report and recommendations

The Ministry of Corporate Affairs is seeking comments on the draft report and recommendations of the Corporate Governance Task Force appointed by the Confederation of Indian Industry. The task force makes wide ranging recommendations and its report provides some interesting insights into the structure of listed companies in India. For example, in the context of discussion about whether the roles of the chairman and chief executive should be separated - which the task force believes should be the case - it is noted: 

Most Indian listed companies are controlled by promoters, often holding over 50 per cent of the voting stock. Indeed, many in corporate India feel that the separation is not desirable — that the dominant, risk taking shareholder being both the Chairman and Chief Executive of a company gives a greater notion of commitment than otherwise".