Please use this identifier to cite or link to this item:
https://ir.iimcal.ac.in:8443/jspui/handle/123456789/3932| Title: | Board’s Fiduciary Duties – To Shareholders or All Stakeholders? Examination of Section 166 (2) of the Companies Act 2013 |
| Authors: | Bhattacharyya, Asish K |
| Keywords: | Company structure Shareholder Enlightened Stakeholder Value (ESV) Investment Board Composition Disclosure NASDAQ Sustainability standards Classic Socially Responsible Investing (SRI) Environmental, Social, and Governance (ESG) |
| Issue Date: | Dec-2021 |
| Publisher: | The Financial Research and Trading Laboratory (FRTL), IIM Calcutta |
| Abstract: | Asish K Bhattacharyya is a Distinguished Professor at Shiv Nadar University and founder of Nonlinear Insights. He was a Professor at the Indian Institute of Management Calcutta and the Indian Institute of Corporate Affairs. Besides, he was Director of the Institute of Management Technology Ghaziabad and the Head of the School of Corporate Governance, Indian Institute of Corporate Affairs. Dr. Bhattacharya started the Centre for Corporate Governance at IIM Calcutta. He was a regular columnist for Business Standard from 2008 to 2020. He is also on the editorial board of A₹tha |
| Description: | Biosketch: Section 166(2) of the Companies Act 2013 creates an impression that the new Companies Act has extended the board’s fiduciary duties to all the stakeholders. This view is further strengthened as the Environmental, Social, and Governance (ESG) investment is gathering momentum. This article examines the issue. It concludes that the board has a fiduciary relationship only with the company (collective of shareholders) and not to any particular stakeholder group. However, section 166(2) and ESG investment require significant change in board composition and role. |
| URI: | https://ir.iimcal.ac.in:8443/jspui/handle/123456789/3932 |
| Appears in Collections: | Issue 3, December 2021 |
Files in This Item:
| File | Description | Size | Format | |
|---|---|---|---|---|
| Board’s Fiduciary Duties.pdf | Board’s Fiduciary Duties – To Shareholders or All Stakeholders? Examination of Section 166 (2) of the Companies Act 2013 | 22.44 MB | Adobe PDF |  View/Open |
Items in DSpace are protected by copyright, with all rights reserved, unless otherwise indicated.