Vice-President suggests corporates to encourage whistle-blowing mechanism

Vice-President M. Venkaiah Naidu on January 18 suggested all corporates to encourage whistle-blowing mechanism and provide adequate safeguards for the protection of whistle-blowers.

“I would like to suggest all corporates to consciously encourage whistle-blowing mechanism and provide adequate safeguards for the protection of the whistle- blowers,” he said.

Mr. Naidu, who was delivering the Convocation address at the Institute of Company Secretaries of India (ICSI), stressed on upholding the principles of transparency, integrity and honesty at all times and reflecting them in every business activity.

The modern day company secretary is a true guide of the corporates, protecting the interests of all stakeholders, and more importantly, ensuring adherence to the laws of the land in letter and spirit, he said.

“This profession should be taken as a mission,” he said.

Public money, the money the company takes from the bank and the shareholders or even the partners should be protected and their interests need to be served, he said.

“Because of the actions of a few black sheep, business got bad name. Some people try to cheat the banks, cheat the system and then they run away from the country.” Why such situation has come? Why it was allowed to come to such a stage...I am not talking politics, this government, that government. System was there. So, we must have foolproof system. We must have accountability,” he said.

India has fared reasonably better than many other nations, including the developed countries, in the fight against COVID-19 and taking steps to revive its economy, he said.

After gradually relaxing the lockdown, the focus must now be on reviving the livelihood of the people, Mr. Naidu said.

Pointing out that the IMF has recently appreciated the country’s efforts, the Vice-President said IMF Chief Kristalina Georgieva stated India took decisive steps to deal with the COVID-19 pandemic and its economic consequences.

While the economy is expected to rebound in the coming months, it is important to sustain the momentum, he said.

“Hence, there has to be a concerted effort by all the stakeholders in making the economy robust again and I urge India inc. to take the lead in this regard,” he said.

Institutions like the ICSI would be playing a key role in putting the economy back on the rails with a focus on good corporate governance, the Vice-President added.