lnduslnd Bank fails to spend prescribed CSR budget for FY21; Cites Covid-19 as reason

New Delhi, 31 December 2021: lnduslnd Bank, a new-generation Indian bank headquartered in Mumbai, has failed to fulfill its Corporate Social Responsibility (CSR) obligation for the financial year 2020-21. The bank spent less than 80 percent of its prescribed budget owing to Covid-induced disturbances. It spent a sum of Rs 94.73 crore towards various CSR activities when it was required to spend an amount of Rs 120.23 crore. The company’s major CSR focus areas for this financial year included, Covid-19 relief work, Education, Healthcare, Skill development, etc.

The average net profit of the company for the past three years as per section 135(5) amounted to Rs 6,011.30 crore. Its two percent was calculated at Rs.120.23 crore. The company, however, could spend only Rs 94.73 crore towards its CSR activities. Out of this amount, around Rs 2.30 crore was spent on administrative overheads.

The company’s annual report mentioned, “Rs.26 crore is earmarked on several ongoing projects whose expenditure was delayed due to Covid and will be spent in the subsequent year totaling Rs.120.72 crores.” The total amount transferred to the unspent CSR account on April 30, 2021 was Rs 26 crore.

Details of CSR amount spent by IndusInd Bank against ongoing projects for the financial year

IndusInd Bank’s CSR focus areas

The bank’s CSR programmes are guided by the CSR policy. During the year, IndusInd Sattvam was launched as the umbrella brand for all social responsibility initiatives undertaken by it. Aligning with the CSR mission of designing sustainable CSR programmes that primarily empower and benefit marginalised and weaker sections of society, high risk and high-stressed communities, the initiatives were focused on the following major themes:

• COVID Relief Work
• Education
• Healthcare
• Environment
• Water Stewardship
• Restoration of Water Bodies
• Access to Safe Drinking Water
• Aff­orestation
• Renewable Energy
• Waste Management
• Sports
• Skills & Livelihood

Apart from the above, the bank also carried out relief works through its existing CSR implementation partners with activities like ration and sanitation kit distribution, carrying out awareness programmes, stitching and distribution of masks through SHGs, grocery procurement from small farmers, SHGs, MSMEs whose livelihood was impacted due to COVID. In one such drive, 50000 happiness boxes were distributed to children of Govt. schools and their families who were losing on their daily nutrition due to COVID.

IndusInd Bank’s CSR Committee

Akila Krishnakumar is the Chairperson of the CSR committee at lnduslnd Bank. Other key members include Rajiv Agarwal, Sanjay Asher, and Sumant Kathpalia.