New Delhi: FICCI has welcomed SEBI’s decision on separation of CMD position. “SEBI Board’s decision to permit listed companies to structure their board leadership in alignment with the respective company’s strategic environment, its strengths and weaknesses is commendable. FICCI is grateful to the regulator for appreciating industry’s issues with mandatory separation of Chairman and MD/CEO position and addressing the concerns of industry, especially India’s invaluable family businesses,” said Arun Chawla, Director General, FICCI.

“This government’s hallmark has been its consultative approach. Many laws have been drafted, amended and repealed over the last 8 years after active consultation amongst stakeholders. FICCI has highlighted this particular issue multiple times and true to the spirit of the current dispensation, SEBI has heeded to our suggestions and given a huge relief to industry which is struggling to revive economic growth amidst multiple waves of the pandemic,” added Chawla.

He further elaborated that the leadership arrangements that would drive business excellence are best left to the judgement of the shareholders. Indian companies take pride in their superior governance practices and are constantly raising the bar. The Indian Companies Act, 2013 and SEBI (Listing Obligations and Disclosure Requirements) Regulations have continuously evolved over the past years and kept pace with global practices in many respects, propelling Indian governance standards amongst the world’s best. /BI/