Company Cites Delay in Project Finalisation and Partner Selection
NEW DELHI (India CSR): CEDAAR Textile Limited has reported that it failed to spend its mandated Corporate Social Responsibility (CSR) amount of ₹14.50 lakh during the financial year 2024–25, citing delays in identifying suitable projects and implementation partners.
According to the company’s Annual Report for FY 2024–25, the CSR obligation was calculated at Rs. 15.75 lakh, based on an average net profit of Rs. 788 lakh over the past three years. After adjusting an overspent amount of Rs. 1.25 lakh from the previous year, the total net CSR obligation stood at Rs. 14.50 lakh.
The company did not spend any amount during the financial year on CSR projects, administrative expenses, or impact assessment, the report said. The unspent sum of ₹14.50 lakh does not relate to any ongoing project and is required to be transferred to a fund specified under Schedule VII of the Companies Act, 2013.
Explaining the reason for the delay, CEDAAR Textile said, “The Company is in the process of identifying suitable CSR projects and implementing agencies that align with its CSR Policy and Schedule VII of the Companies Act, 2013. The selection and approval process took longer than anticipated, resulting in partial utilization of the CSR funds during the year. The Company shall spend the unspent amount of Rs. 14.50 lakhs as per the provisions of Section 135 of the Companies Act, 2013.”
The Board of Directors has adopted a CSR policy available on its website. — focusing on key areas such as environmental sustainability, hunger eradication, education, health and wellness, women empowerment, and rural development.
The CSR Committee of the company comprises Chairman Rajesh Mittal, and members Rajesh Bansal and Vinay Aggarwal. However, no CSR Committee meetings were held during FY 2024–25, the report disclosed.
The company has assured that the unspent amount will be utilised as per Section 135 of the Companies Act, 2013.
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