CSR and Corporate Governance

👉 CSRD EXPLAINER 👈 The purpose of the Corporate Sustainability Reporting Directive (CSRD) is to standardize corporate sustainability reporting. Its primary objective is to ensure that stakeholders and investors have access to consistent, comparable, and reliable information regarding sustainability (ESG). The CSRD has 12 underlying European Sustainability Reporting Standards (ESRS). There are three critical ESRS (besides mandatory disclosures in ESRS 2), namely ESRS E1, ESRS S1, and ESRS G1, which focus on climate change, social aspects of the workforce, and governance practices, respectively. As shown in the figure, these standards pertain to processes that the reporting entity controls, manages, or is directly involved in through their operations. As part of ESRS E1, companies are required to report comprehensive information regarding their impact on and effects from climate change. It is important to note that all companies are CO2 emitters, which means that they have a negative effect on the environment. A company that determines that this topical matter is irrelevant must also provide a defense explaining why this is so. Companies that deem this matter material must disclose their exposure to physical and transition risks related to climate change and the opportunities they may pursue including, - GHG emissions (GHG Protocol): Detailed reporting on greenhouse gas (GHG) emissions, including Scope 1 (direct), Scope 2 (indirect from energy), and Scope 3 (all other indirect emissions) emissions. - Climate Targets and Transition Plans (TPT): Disclosure of targets related to climate change mitigation and adaptation, as well as the strategies and plans to achieve these targets. - Resilience of their business models in the face of climate change. ESRS S1 focusing on the company's own workforce. This is also an actual impact, however companies are not required to file a defense if they deem this matter immaterial. S1 requires companies to report information on working hours, wages, and employment conditions. Furthermore, entities need to report data on the diversity of the workforce, health and safety, training, as well as labor practices. ESRS G1 focuses on governance aspects, ensuring that companies provide clear and transparent information about their governance structures and practices. ESRS G1 requires companies to disclose the company’s governance framework, including the roles and responsibilities of the board and management. This includes information on the company’s policies and practices related to ethics, anti-corruption, and anti-bribery as well as how the company engages with stakeholders, including shareholders, employees, customers, and other relevant parties. Required information in G1 is risk management framework (processes for identifying, assessing, and managing risks), executive remuneration, and transparency regarding executive compensation, incl. link between remuneration and the company’s sustainability performance.

The Consumer Financial Protection Bureau (CFPB) has been a watchdog for our wallets, making sure banks, credit card companies, and big businesses don’t play in our faces with junk fees and shady practices. But now, with the current administration shutting it down, we have to ask: how long before all of those protections get rolled back? What The CFPB Did For Us - Lowered Credit Card Late Fees – No more ridiculous $35+ charges.
- Capped Overdraft Fees – Banks couldn’t just keep stacking fees on you.
- Investigated Airline Rewards Programs – Because those points and miles should actually mean something.
- Simplified Subscription Cancellations – No more jumping through hoops just to cancel a free trial. -Removed Medical Debt from Credit Reports – Protected your score from unfair hits.
- Put Banks on Notice for Overdraft Fees – They had to start playing fair. 
…and they were this close to coming for Ticketmaster. Now, with the CFPB shutting down in March, we already know companies are about to start running wild with fees and fine print. But here’s how you can protect yourself: CYA - Cover Your Accounts - Negotiate Late Fees – If your credit card company slaps you with a late fee, call them. Most will remove it if you ask. - Watch Overdraft & Banking Fees – Banks are gonna try it. Check your statements, opt out of overdraft protection if you can, and push back on any surprise fees. - Review Your Subscriptions – Do a subscription audit. If you’re not using it, cancel it. Some companies make it hard on purpose—double-check their process. - Audit Your Banking & Credit Accounts – Look at your checking account, savings, and credit cards. Are they sneaking in fees? Raising interest rates? If so, it might be time to switch. - Stay Informed & Speak Up – These changes won’t hit all at once, but companies will take advantage. Keep an eye on your money and push back when necessary. We shouldn’t have to work this hard just to avoid getting played, but here we are. Stay ready—because these companies definitely are. #cfpb #consumerfinance #personalfinance

A bold move to outsmart fraudsters. Australia's new Scams Prevention Framework Bill is set to redefine consumer protection. The Australian Parliament today (13 Feb 2025) passed The Scams Prevention Framework Bill 2025. It establishes a comprehensive legislative framework to safeguard Australian consumers and small business operators against scams. This modernises and amends existing laws, such as the Competition and Consumer Act 2010, to ensure that designated sectors (including banking, insurance, and communications) implement robust measures to prevent, detect, report, disrupt, and respond to scams. Key points include: - The introduction of stringent governance requirements, obliging regulated entities to develop, document, and annually certify policies, procedures, metrics, and targets specifically for scam prevention and response. - A multifaceted approach that covers every stage of a scam – from early detection of actionable intelligence to the timely disruption of fraudulent activities – with clearly defined civil penalty provisions for non‐compliance. - Designation of regulated sectors and to establishing sector‐specific codes (SPF codes) that set tailored standards for service providers, ensuring that consumer protection measures are fit for purpose. - Extended protection for natural persons and small business operators both within Australia and, in some cases, overseas, ensuring comprehensive coverage regardless of geographical location. - Provisions for safe harbour, which shield organisations from liability when taking proportionate, good-faith actions to disrupt suspected scams, provided they act promptly and in line with the legislative guidelines. Thoughts? How will your organisation update its risk management to meet new obligations and protect consumers against evolving scams? ____ 📥 Save for later ✍️ Add your comments below ♻️ Reshare if this was helpful

CEOs recognize the growing impact of sustainability on supply chains 🌎 Data shows that 77% of CEOs recognize sustainability issues as significant factors affecting their supply chains and ecosystem partners. This statistic underscores a critical awareness among top executives that environmental and social governance (ESG) considerations are not peripheral concerns but central to operational and strategic decisions. Companies are increasingly expected to monitor and manage how their business practices influence environmental sustainability and social well-being throughout their supply chain. This awareness is pushing corporations to rethink how they operate within their networks. The emphasis is on creating more sustainable, transparent supply chains that not only comply with global standards but also meet the growing consumer demand for responsible business practices. As these issues gain prominence, businesses are exploring innovative solutions to reduce their environmental footprint, enhance social impact, and ensure economic viability across their operations. In tandem with supply chain concerns, other sustainability issues also garner significant attention from corporate leaders. 76% of CEOs stress the necessity of coordinated global governmental action to combat climate change effectively. Furthermore, 75% believe that technology and AI are essential tools in addressing sustainability challenges, indicating a strong inclination towards leveraging innovation for environmental and social solutions. The financial implications of sustainability are also a top concern, as indicated by the 74% of CEOs who are cautious about stranded assets and impairments due to evolving ESG regulations. This concern is mirrored by institutional investors, with two-thirds recognizing risks related to stranded assets in their portfolios, driven by regulatory changes. These insights highlight the critical need for businesses to stay ahead of regulations and integrate robust sustainability measures to safeguard their investments. #sustainability #sustainable #business #esg #climatechange #climateaction #sdgs #strategy #CEO

The Gensol-BluSmart Saga: A Blueprint for Rebuilding Trust in India’s Corporate Ecosystem The collapse of Gensol Engineering and BluSmart Mobility isn’t just a corporate scandal—it’s a clarion call for systemic reform. With ₹978 crore in diverted loans, an 85% stock plunge, and 6,000+ EVs grounded, this case exposes critical gaps in governance. But within every crisis lies an opportunity to learn. Let’s transform lessons into action. The Problem: Governance Failures in Numbers ₹262 crore unaccounted: Funds meant for EVs diverted to luxury apartments (₹42.94 crore) and promoter-linked entities. 45% of Nifty 500 independent directors have promoter ties (SEBI, 2024), enabling unchecked decisions. 32% of large corporate loans (>₹100 crore) show fund diversion (RBI, 2024). Result: Investors lost ₹4,300 crore in market cap. Employees faced operational paralysis. Public trust eroded. The Solution: Two Innovations for Accountability and stronger corporate governance 1️⃣ Independent Directors Appointed by an Independent Body Issue: Promoter-influenced boards lack objectivity. Fix: A SEBI-regulated panel to allocate directors via sector expertise + randomized selection. Impact: Could have flagged Gensol’s ₹262 crore gap early. 2️⃣ Mandatory Nominee Directors for PSU Loans >₹100 Crore Issue: IREDA/PFC loans misused without oversight. Fix: Nominees with veto power to block suspicious spends (e.g., ₹50 crore routed to shell firms). Impact: IIM-A study shows nominee directors cut fraud by 27%. The Bigger Picture Investors: Lost ₹4,300 crore in market cap in Gensol. Employees: BluSmart’s operational collapse left thousands stranded. Public Trust: Every diverted rupee undermines India’s growth narrative. “Corporate governance is not a compliance exercise – it is the foundation of sustainable value creation.” Let’s transform this moment into a movement for stronger, ethical governance. 💼✨ Your thoughts? How can we collectively drive these reforms forward? ______________________________ CAGlobal - Corporate चाणक्य Professionals: Advocate for ethical frameworks, to embed governance into corporate DNA Integrity is everything, join us in ~50k growing entrepreneurs' community RisingIndia उभरता भारत

🌍 ESG Compliance Independent directors serve as the moral and strategic compass of the board. Their fiduciary role extends beyond profitability It includes: → Protecting stakeholder interests → Ensuring ethical conduct and transparency → Embedding sustainability and inclusivity into business strategy 🌱 Environmental Oversight (E) Independent directors must ensure that environmental stewardship is embedded in corporate policy and practice. Key responsibilities: → Monitor resource conservation and emission reduction targets → Approve capital allocation for renewable energy and energy efficiency → Oversee compliance with environmental laws (Environment Protection Act, 1986) → Review sustainability disclosures under SEBI (LODR) Regulation 34(2)(f) on Business Responsibility and Sustainability Reporting (BRSR) 🤝 Social Responsibility (S) Boards must ensure that the organization’s people and communities are treated equitably and ethically. Focus areas: → Enforce fair labor and inclusion policies (aligned with POSH Act, 2013 and Equal Remuneration Act, 1976) → Oversee CSR spending and impact assessment under Section 135 of the Companies Act, 2013 → Foster diversity in board composition and workforce → Support community development and employee well-being programs ⚖️ Governance Accountability (G) Governance defines the credibility of leadership and the trust of stakeholders. Key expectations: → Promote transparent decision-making and ethical conduct → Integrate ESG into strategic risk and performance management → Ensure data privacy compliance (Digital Personal Data Protection Act, 2023) → Mandate board-level ESG committees for monitoring and disclosures → Uphold accountability through internal audits and ESG-linked KPIs 🧭 Legal Compass for Directors Independent directors are guided by: → Companies Act, 2013 – Sections 149 & 166 (duties of independent directors and fiduciary responsibilities) → SEBI LODR Regulations (board oversight of ESG and sustainability reporting) → CSR Rules, 2021 (CSR compliance and reporting) 💡 Key Takeaway ESG is not an optional metric It’s a governance philosophy. For independent directors, compliance begins with conscious boardroom conversations and measurable actions. Daily choices from approving a green project to ensuring fair pay ,define whether your board is truly ESG-compliant. #Corporategovernance #Independentdirectors #ESG #Compliance

🧩 𝐅𝐫𝐨𝐦 𝐋𝐚𝐋𝐚 𝐌𝐢𝐧𝐝𝐬𝐞𝐭 𝐭𝐨 𝐈𝐧𝐯𝐞𝐬𝐭𝐢𝐛𝐥𝐞 𝐄𝐧𝐭𝐞𝐫𝐩𝐫𝐢𝐬𝐞𝐬: 𝐖𝐡𝐲 𝐓𝐫𝐮𝐬𝐭 𝐢𝐬 𝐭𝐡𝐞 𝐍𝐞𝐰 𝐂𝐮𝐫𝐫𝐞𝐧𝐜𝐲 𝐈📜 𝐓𝐡𝐞 𝐋𝐚𝐥𝐚 𝐋𝐞𝐠𝐚𝐜𝐲 Once upon a time in Corporate India, there lived the mighty Lala. No, not the character from Teletubbies, but the omnipresent “𝒃𝒐𝒔𝒔-𝒃𝒂𝒃𝒖-𝒐𝒘𝒏𝒆𝒓-𝒇𝒊𝒏𝒂𝒏𝒄𝒊𝒆𝒓-𝒔𝒕𝒓𝒂𝒕𝒆𝒈𝒊𝒔𝒕-𝑪𝑭𝑶-𝑯𝑹-𝒉𝒆𝒂𝒅-𝒂𝒏𝒅-𝒎𝒐𝒓𝒂𝒍-𝒄𝒐𝒎𝒑𝒂𝒔𝒔” all rolled into one. If you’re wondering how one man (it was almost always a man) could juggle all that, the answer is simple—he didn’t. He just barked orders while puffing on a cigar, and mysteriously, the company still functioned. 𝐈𝐈💰 𝐓𝐡𝐞 𝐈𝐧𝐯𝐞𝐬𝐭𝐨𝐫’𝐬 𝐍𝐞𝐰 𝐀𝐬𝐤: 𝐓𝐫𝐮𝐬𝐭 𝐎𝐯𝐞𝐫 𝐓𝐚𝐥𝐥 𝐓𝐚𝐥𝐞𝐬 Today, investors aren’t content with showmanship or family secrets. They want one thing: 𝐓𝐫𝐮𝐬𝐭. Without it, no serious investor will bet on you delivering a 5x return over the next decade. And trust isn’t built on loud promises or flashy valuations—it’s built on: ✅ Clean governance ✅ Financial transparency ✅ Confidence that your business can outlive the founder’s charisma 𝐈𝐈𝐈🌍 𝐋𝐞𝐬𝐬𝐨𝐧𝐬 𝐟𝐫𝐨𝐦 𝐄𝐮𝐫𝐨𝐩𝐞: 𝐓𝐫𝐮𝐬𝐭 𝐁𝐮𝐢𝐥𝐭 𝐎𝐯𝐞𝐫 𝐂𝐞𝐧𝐭𝐮𝐫𝐢𝐞𝐬 Traveling across Europe recently, I saw firsthand how these ecosystems have been carefully nurtured over centuries: 🇩🇰 #Denmark: Family-owned businesses span generations with clear succession planning and a deep sense of responsibility toward employees and society. 🇳🇴 #Norway: Businesses are anchored in long-term thinking, patiently reinvesting profits instead of chasing quick wins. 🇬🇧 #UnitedKingdom: Robust corporate governance and independent boards aren’t the exception—they’re the norm. These economies aren’t just wealthy; they’re some of the most livable places on the planet because trust and sustainability sit at the core of their business environments. 𝐈𝐯 📉 𝐁𝐚𝐜𝐤 𝐇𝐨𝐦𝐞: 𝐒𝐭𝐮𝐜𝐤 𝐢𝐧 𝐭𝐡𝐞 𝐋𝐚𝐥𝐚 𝐋𝐨𝐨𝐩 Whilst things are changing fast, too many Indian businesses remain trapped in outdated mindsets: 🚫 Opaque books 🚫 Family-run boards 🚫 Zero succession planning If India wants serious, long-term capital, it must foster this culture of trust. Governance isn’t a compliance headache—it’s the #1 factor determining whether investors believe they’ll make their 5x return or regret the decision for the next decade. 𝐯 📈 𝐓𝐡𝐞 𝐑𝐞𝐚𝐥 𝐒𝐡𝐢𝐟𝐭 India has already made impressive leaps on this front, thanks to the capital market boom, VC and PE growth, and the rapid financialisation. These forces have pushed businesses to focus on valuations—and with that comes the unavoidable demand for trust and governance. But as Robert Frost famously wrote, “there are miles to go before we sleep.” The journey has begun. The destination is in sight. Now, we just need to stay the course. #Governance #InvestibleIndia #TrustEqualsReturns BlueGreen Ventures

Stringent #ESG reporting and a heightened focus on #sustainability will help #financialservices firms navigate an increasingly complex regulatory landscape in 2025 - Capgemini. 🔰 As investors and consumers push for more comprehensive social, #biodiversity, and #environmental disclosures, firms must integrate sustainability into every facet of their operations. 🔰 #AI and #dataanalytics will play pivotal roles in this integration. Successful firms will leverage these advancements to ensure #compliance, improve ESG #data collection, and enhance reporting procedures. 🔰 In 2025, firms will also increase their investment in sustainable, low-carbon assets and social bonds to meet new regulatory requirements and evolving consumer preferences. 🔰 By embracing #digitaltransformation and #ESG strategies, financial institutions will gain a competitive edge, attract investment, and achieve lasting success in an industry that is becoming more eco-conscious. #CSRD #green #regulation #banking #businessmodelinnovation #boardsofdirectors #digitaldisruption #artificialintelligence Ian Long

🚨 Fighting Back Against Crypto Kiosk Fraud 🚨 I’ve had the privilege of joining AARP’s government relations team and several consumer protection organizations monthly to discuss critical legislative efforts addressing cryptocurrency kiosk fraud—a growing threat that’s stealing over **$246 million annually** from Americans. The Sobering Reality: 📊 In 2024 alone, the FBI received 10,956 complaints involving crypto kiosks 💔 Over 85% of theft losses impacted adults 60+ 📍 More than 30,000 crypto kiosks operate nationwide—largely unregulated compared to traditional financial institutions 🎯 Top scam types: Extortion, Tech Support, Government Impersonation, and Investment schemes How These Scams Work: Criminals impersonate government officials or trusted businesses, creating urgent “financial emergencies” that pressure victims to withdraw large amounts of cash and deposit it into crypto kiosks. The money is then transferred to digital wallets controlled by the criminals—and it’s nearly impossible to recover. Progress Being Made: ✅ 24 states have taken action to protect consumers 🛡️ 17 states have enacted significant legislation 📋 7 more states plus D.C. have issued specific guidance ✨I’m proud to say that myself and Mike Grabowski were a large part of Connecticut becoming one of the first, along side California, to enact meaningful regulation on these operators. Key Protections We’re Advocating For: • Money transmitter licensing requirements • Mandatory fraud refund policies • Daily transaction limits • Clear fee and exchange rate disclosure • Prominent fraud warning notices • Enhanced user identification verification • Detailed transaction receipts for law enforcement This is exactly the kind of collaborative effort needed to combat evolving financial crimes. When law enforcement, advocacy groups, and legislators work together, we can close the gaps that criminals exploit. 📣Shout out to the AARP team, Clark Flynt-Barr and Françoise Cleveland who got this great infographic together and have been beating the legislative drum for real change!!!💪 **If you work in fraud prevention, elder protection, or financial crimes—let’s connect.** The more we share intelligence and best practices, the better we can protect our communities. #FraudPrevention #FinancialCrimes #CryptocurrencySecurity #ElderFinancialAbuse #LawEnforcement #ConsumerProtection #AARP Operation Shamrock Elder Justice Coalition Coalition for Elder Justice In Connecticut Connecticut Bankers Association (CBA) Bank Compliance Association of Connecticut, Inc. Deconflict.com (formerly Verifi Wallet) TRM Labs Chainabuse Chainalysis

Airline Ticketing system exploiting customers with Dark patterns? The Consumer Protection Act of 2019 defines dark patterns as unfair trade practices that can undermine consumer autonomy, decision-making, or choice. They can also amount to misleading advertisements or violate consumer rights. As per Central Consumer Protection Authority  Section 2(e) “Dark patterns” shall mean any practices or deceptive design patterns using UI/UX (user interface/user experience) interactions on any platform; designed to mislead or trick users to do something they originally did not intend or want to do; by subverting or impairing the consumer autonomy, decision making or choice; amounting to misleading advertisement or unfair trade practice or violation of consumer rights;. The Guidelines on Prevention and Regulation of Dark Patterns, issued under the act's section 18, specify 13 examples of dark patterns, including: False urgency, Basket sneaking, Confirm shaming, Forced action, Subscription trap, Interface interference, Bait and switch, Drip pricing, Disguised advertisements and nagging, Trick wording, Saas billing, and Rogue malwares.  The guidelines allow the Competition and Consumer Protection Authority (CCPA) to intervene and order the discontinuation of dark patterns. Failure to comply with the CCPA's directives can result in a fine of up to 20 lakh rupees or imprisonment for up to six months, or both. Exploitation of Dark Patterns in Airline Ticket Sales    1. Scarcity Tactics. 2. Hidden Costs 3. Bait and Switch 4. Pre-Selected Upgrades 5. Confusing Cancellation Policies 6. Compulsory seat selection instead of random allotment How to Avoid Dark Patterns and Buy Cheap Airline Tickets    1. Clear Your Cookies: Regularly clear your cookies or use incognito mode when searching for flights, as prices can increase based on your search history. 2. Use Price Comparison Websites: Utilize reputable flight comparison websites to check fares across multiple airlines and booking platforms 3. Book in Advance: While not always the case, booking well in advance can often secure better rates 4. Be Flexible: If possible, be flexible with your travel dates and times. Flying mid-week or at less popular hours can result in lower prices 5. Read the Fine Print: Always read the terms and conditions carefully to avoid unexpected charges and understand cancellation policies 6. Set Price Alerts: Many travel websites and apps allow you to set alerts for price drops on specific routes 7. Join Loyalty Programs: Airline loyalty programs can offer discounts, perks, and early access to sales for frequent flyers 8. Avoid Rushing: Take your time when booking and double-check each step to ensure you haven't opted into additional costs 9. Book your tickets from a de-googled phone or a simple desktop #consumeract #darkpatterns #ecommerce #law #publicpolicy #IT #UX #media #news