Section 70 of The Major Port Authorities Act, 2021
Corporate Social Responsibility and development of infrastructure by Board.
- (1)The Board may use its funds for providing social benefits including development of infrastructure in areas of education, health, housing, accommodation, skill development, training and recreational activities for its own employees, customers, business partners, Government and Non-Government Organisation, local communities, environment and society at large.
- (2)The manner of utilisation of funds for the Corporate Social Responsibility shall be such, as may be prescribed. Explanation.---For the purposes of this section, the expression "Corporate Social Responsibility" means the activities, to be undertaken by the concerned Major Port, as referred to in sub-section (1) and section 135 of the Companies Act, 2013 (18 of 2013).
Summary
- The Board is allowed to spend its funds on social benefits for people and the environment.
- It can develop infrastructure for health, education, and housing.
- These social activities can benefit port employees, customers, and the local community.
- The Board can also fund training, skill development, and recreational activities.
- All spending for these social purposes must follow specific rules set by the government.
- This work is officially called Corporate Social Responsibility, which is a requirement for businesses to help society.
Practical examples
FAQ
1. Can a port authority spend money on schools and hospitals under the Major Port Authorities Act, 2021?
Yes, Section 70 of the Major Port Authorities Act, 2021 allows the Board to use its funds for infrastructure in areas like education and health.
2. Who is eligible to benefit from the social funds mentioned in Section 70 of the Major Port Authorities Act, 2021?
Under Section 70 of the Major Port Authorities Act, 2021, benefits can go to employees, customers, business partners, local communities, and the society at large.
3. Does the Major Port Authorities Act, 2021 link to other CSR laws?
Yes, the explanation in Section 70 of the Major Port Authorities Act, 2021 links Corporate Social Responsibility to the definitions found in Section 135 of the Companies Act, 2013.
Test yourself
1.According to Section 70 of the Major Port Authorities Act, 2021, which of the following is a permitted social benefit?
2.Under Section 70 of the Major Port Authorities Act, 2021, how should the funds for Corporate Social Responsibility be used?
3.Which group is NOT mentioned as a potential beneficiary of social benefits in Section 70 of the Major Port Authorities Act, 2021?
4.What does the term "Corporate Social Responsibility" refer to in Section 70 of the Major Port Authorities Act, 2021?