CSR

CSR

Corporate Social Responsibility Policy

Chunmun Stores Private Limited

1. Title

Chunmun Stores Private Limited (hereinafter referred to as the "Company") has developed this Corporate Social Responsibility Policy (hereinafter referred to as the "Policy").

2. Purpose

This Policy outlines the principles and mechanisms for undertaking various CSR programs in accordance with the Companies Act, 2013. It aligns with the Company's objectives, principles, and values to define its role as a socially and environmentally responsible corporate entity.

3. Objective

The primary objective of this CSR Policy is to integrate social responsibility into the Company’s business processes to promote sustainable development by:

  • Ensuring an increased commitment at all levels of the organization to operate in an economically, socially, and environmentally sustainable manner, while considering the interests of all stakeholders.

  • Striving for economic development that positively impacts society at large while minimizing environmental resource footprints.

4. Composition of the CSR Committee

The CSR Committee of Chunmun Stores Private Limited shall comprise at least two members of the Board of Directors. Members may be replaced by any other director at the discretion of the Board.

A. Responsibilities of the CSR Committee

The CSR Committee shall meet at least once a year, or more frequently if necessary, to:

  • Formulate and recommend the CSR Policy to the Board, including the list of activities as specified in Schedule VII of the Companies Act, 2013.

  • Recommend the annual CSR budget and oversee its utilization.

  • Supervise the CSR Working Group and related activities.

  • Recommend an Annual Action Plan covering:
    i. List of approved CSR projects/programs to be undertaken as per Schedule VII
    ii. Manner of execution of such projects/programs as per Rule 4(1) of the CSR Rules
    iii. Modalities of fund utilization and implementation schedules
    iv. Monitoring and reporting mechanisms
    v. Details of need and impact assessments, if applicable
    vi. Recommendations for any necessary changes to the Annual Action Plan

The Committee shall also define guiding principles for:

  • Selection of CSR projects/programs/activities

  • Implementation of CSR projects/programs/activities

The Company believes that a focused approach to corporate giving enables effective support for identified social needs. As healthcare and improving health outcomes are core priorities, CSR efforts will emphasize health-related initiatives.

The Chief Financial Officer or the designated finance officer shall certify to the Board the utilization of funds in the manner approved.

Board Report

The Board of Directors’ Report shall include:

  • The contents of this CSR Policy and composition of the CSR Committee

  • An annual report on CSR activities in the prescribed format

  • Reasons for failing to spend the required amount on CSR activities, if any

5. Focus Areas of CSR

The Company’s CSR efforts will focus on the following areas:

  • Healthcare

  • Education

  • Eradicating hunger and malnutrition

  • Disaster management

  • Access to safe drinking water

  • Social upliftment

  • Any other area specified in Schedule VII of the Companies Act, 2013

6. Execution of CSR Activities

The Board of Directors will be responsible for executing the approved CSR action plans.
Any or all provisions of this Policy may be amended by the Board based on recommendations from the CSR Committee or in accordance with statutory requirements.

7. CSR Budget

In every financial year, the Company shall allocate funds for CSR activities in accordance with the provisions of the Companies Act, 2013.
The CSR budget shall include contributions to corpus funds or direct project expenses as approved by the Board.
The Whole-Time Director or Managing Director shall monitor and certify fund utilization.
Unspent CSR amounts, if any, shall be transferred to a separate account as prescribed by CSR Rules.

8. Annual Action Plan

The CSR Committee shall formulate and recommend an Annual Action Plan to the Board, which will include:
a. List of CSR projects/programs to be undertaken
b. Manner of execution of such projects/programs
c. Fund utilization and implementation schedules
d. Monitoring and reporting mechanisms
e. Details of need and impact assessment, if applicable

9. Capital Assets

Capital assets acquired or created under CSR initiatives must be held by:

  • The beneficiaries of the CSR project, or

  • A registered trust, society, or public authority with the objective of benefiting the public

The Company shall ensure such assets are used for their intended purpose and are not transferred or disposed of without prior approval from the Company.

10. General

a. Any surplus arising from CSR activities shall not form part of the business profits of the Company.
b. This CSR Policy may be revised or amended by the Board as necessary, based on statutory changes or recommendations from the CSR Committee.