Corporate Governance in India: Issues, Challenges and Prospects

Abstract

Corporate Governance is the framework through which companies are directed and controlled. It aims to balance economic and social objectives, aligning personal and community goals, thereby promoting transparency, accountability and fairness. In India, corporate governance gained prominence after major financial scams such as Satyam, Harshad Mehta and Nirav Modi. Despite regulatory frameworks like the Companies Act 2013, SEBI guidelines, ICAI accounting standards and ICSI secretarial standards, corporate governance failures continue to emerge. This paper examines the principles, importance, challenges and case studies of corporate governance in India, with special emphasis on Infosys as a role model of good practices. It further explores issues such as board independence, risk management, CSR and transparency and suggests measures to strengthen governance practices for sustainable growth.