BHUBANESWAR: The Union ministry of corporate affairs has allowed contributions made by corporates to the Odisha State Disaster Management Authority (OSDMA) for Cyclone Fani relief and restoration works to be covered under coporate social responsibility (CSR) activity.
An official release said rule 4b of Companies (CSR Policy) Rules, 2014, provides that the board of a company may undertake CSR activities through a registered society established by the central government or state government or any entity established under an Act of Parliament or a state legislature.
Since OSDMA is a Government of Odisha-promoted society, registered under Societies Registration Act, 1860, it is eligible to receive CSR funds for undertaking any activity covered under Schedule VII of the Companies Act, 2013, which includes relief, rehabilitation and reconstruction works as part of disaster management in terms of liberal interpretation. Going by the extant rules, OSDMA is eligible to recieve CSR contribution and undertake CSR activities as an implementing agency, the release added.
This, official sources said, would propel corporate organisations to release funds and other support to victims of the May 3 cyclone, which has affected 14 districts in Odisha. Corporate bodies can also help in restoring public infrastructure like power, telephone, water supply and public utility buildings that have been damaged by the calamity.
