Punjab Human Rights Commission Directs Firms to Contribute CSR Funds for Flood Relief Latest News: Punjab State & Chandigarh (Ut) Human Rights Commission on Friday directed the Chief Secretary, Punjab to ensure all registered companies in Punjab to contribute their mandatory shares towards Corporate Social Responsibility for flood relief in Punjab.
Punjab News: Human Rights Panel Directs Firms to Contribute CSR Funds for Flood Relief
“The Commission observed that non-compliance with CSR obligations in this situation constitutes a serious human rights violation"
the Punjab State & Chandigarh (UT) Human Rights Commission has passed a significant order today Under the leadership of Justice Sant Parkash, Chairperson, and Justice Gurbir Singh.
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The order comes in response to a complaint dated 02.09.2025, filed by a concerned citizen of Chandigarh. The complainant highlighted that, as per Section 135 of the Companies Act, 2013, Corporate Social Responsibility (CSR) has been mandatory since 01.04.2014 for eligible companies, requiring them to spend at least 2% of their average net profits over the preceding three financial years on activities that contribute to the social, environmental, and economic development of society.
The complaint alleged that no registered company within the State of Punjab has taken steps to extend financial assistance to the victims of the recent floods, despite the widespread devastation.
The complainant has requested to issue directions to companies and corporate houses to contribute at least 1% of their net income to the Punjab Chief Minister’s Flood Relief Fund, as part of their CSR obligations, to support relief and rehabilitation efforts.
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Commission, after examining the complaint and attached documents, noted that disaster management, including relief, rehabilitation, and reconstruction, is explicitly listed as a permissible CSR activity under Schedule VII of Section 135 of the Companies Act, 2013.
It said that Corporate Social Responsibility is a legal and ethical obligation that aims to align corporate activities with societal welfare, especially during times of crisis.
“By failing to contribute their mandatory CSR shares towards disaster relief, companies not only violate the law but also undermine the human rights of disaster victims, who are entitled to timely aid and rehabilitation,” the commission said in the order.
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The Commission has directed the Chief Secretary, Punjab to immediately examine the matter and take necessary steps, take up the same with the competent authorities, and ensure compliance by all companies and corporate houses registered in Punjab.
“The Commission observed that non-compliance with CSR obligations in this situation constitutes a serious human rights violation, as it deprives affected citizens of essential support during a natural disaster,” it added.
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