Independent directors on company boards will soon have to clear an exam before they can be appointed, said Injeti Srinivas, the top bureaucrat in charge of corporate affairs. “We want to demolish the myth that independent directors don’t have any fiduciary duty," Srinivas said in an interview in New Delhi on June 6. The exam will be an online assessment covering the basics of Indian company law, ethics, and capital market norms among other areas, Srinivas said. This compilation will be a one-stop platform where companies looking for independent directors can meet those willing to serve, Srinivas said. According to existing law, every company listed in India has to have independent directors accounting for at least a third of its board strength.

Source: Mint June 12, 2019 06:22 UTC