The Directors' Collective™ Inaugurates Director Notes India, Providing Guidance on Related Party Transactions

NEW YORK, Nov. 15, 2016 /PRNewswire/ -- The Directors' Collective™ today published the first installment of its Director Notes India series. The publication is intended to be a resource for directors, general counsels, and company secretaries with regards to the new legal framework and corporate governance regime on related party transactions (RPT) under the Companies Act, 2013 and the listing regulations prescribed by the Securities and Exchange Board of India (SEBI).

The note is a comprehensive and updated guide on the subject and reviews all legal and regulatory standards for compliance in the context of RPTs, including:

• The notion and scope of RPTs
• The thresholds for transactions and consent requirements
• The role of the audit committee
• The analysis of key exemptions
• The protection of minority shareholders - enforcement options and remedies
• The applicable accounting standards for such transactions

"Corporate law in India has changed dramatically since the passage of the Companies Act. Beginning with this review of the regulatory framework on related party transactions, I hope that we can provide detailed analyses of the most pressing issues in Indian corporate governance," said Afra Afsharipour, Professor of Law at the University of California, Davis, School of Law and author of the publication for The Directors' Collective.

"The new legal framework endeavors to balance interests by providing for strict rules for obtaining disinterested shareholders' consent and making disclosures in respect of RPTs on one hand, and by carving out exceptions and providing for omnibus approvals by the audit committee on the other. It will be interesting to see the law and practice evolve over a period of time," said Manali Paranjpe, Research Associate with The Conference Board and co-author of the publication.

"We are pleased to bring Director Notes to India," added Matteo Tonello, Vice President and Managing Director of Corporate Leadership at The Conference Board. "Since its launch in 2009, the series has been a very successful tool for The Conference Board to engage with the corporate governance community in the United States on current issues of concern. We look forward to the same level of engagement here." Adds Sanjay Kapoor, Partner, CEO & Board Services Practice at Russell Reynolds Associates, "This is an exciting and very well timed launch. With good governance becoming a 'hot' topic in the Indian corporate landscape, there is a need for well-drafted, focused and neutral communication on important and often new issues facing board directors. We believe Directors Notes will be a unique and valuable aid for board directors in corporate India."

To download the first installment of Director Notes India on related party transactions or to learn more about The Directors' Collective, visit www.conference-board.org/thedirectorscollective

About The Directors' Collective
The Directors' Collective brings together the independent research and thought leadership of The Conference Board with the subject matter and global expertise of professional services firm KPMG and executive search firm Russell Reynolds Associates. The collaboration is designed to guide corporate directors in carrying governance and compliance responsibilities as India Inc. prepares for the complex demands placed upon board members and senior executives by the Companies Act, 2013, the listing regulations of the Securities and Exchange Board of India (SEBI), and other upcoming industry-specific regulations. The Directors' Collective is assembling a holistic suite of knowledge assets – encompassing educational publications and benchmarking research; immersive workshops, webcasts and other training programs; and peer networking groups.

About The Conference Board
The Conference Board is a global, independent business membership and research association working in the public interest. Our mission is unique: To provide the world's leading organizations with the practical knowledge they need to improve their performance and better serve society. The Conference Board is a non-advocacy, not-for-profit entity holding 501(c)(3) tax-exempt status in the United States. For more information, please visit: www.conference-board.org

About KPMG
KPMG in India, a professional services firm, is the Indian member firm of KPMG International and was established in September 1993. Our professionals leverage the global network of firms, providing detailed knowledge of local laws, regulations, markets and competition. KPMG has offices across India in Delhi, Chandigarh, Ahmedabad, Vadodara, Mumbai, Pune, Chennai, Bengaluru, Kochi, Hyderabad, and Kolkata. We strive to provide rapid, performance-based, industry-focused and technology-enabled services, which reflect a shared knowledge of global and local industries and our experience of the Indian business environment. Please visit: www.kpmg.com/in/en/pages/default.aspx

About Russell Reynolds Associates
Russell Reynolds Associates is a global leader in assessment, recruitment and succession planning for boards of directors, chief executive officers and key roles within the C-suite. With more than 370 consultants in 46 offices around the world, we work closely with public, private and nonprofit organizations across all industries and regions. We help our clients build teams of transformational leaders who can meet today's challenges and anticipate the digital, economic, environmental and political trends that are reshaping the global business environment. To find out more, please visit: www.russellreynolds.com

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