CRITICAL STUDY OF LAW OF CORPORATE GOVERNANCE CONCERNING BOARD OF DIRECTORS’ POSITION AND PROTECTION UNDER COMPANY LAW
AUTHOR – ADV. ARYA ANIL, STUDENT AT AMITY UNIVERISTY, NOIDA
BEST CITATION – ADV. ARYA ANIL, CRITICAL STUDY OF LAW OF CORPORATE GOVERNANCE CONCERNING BOARD OF DIRECTORS’ POSITION AND PROTECTION UNDER COMPANY LAW, 4 (1) OF 2025, PG. 993-1000, APIS – 3920-0007 | ISSN – 2583-7230.
Abstract
Corporate governance in India’s business environment gradually advanced to become an essential mechanism which upholds both ethical practices and stakeholder trust while driving long-term economic growth. This research investigates the evolving landscape of corporate governance with a critical focus on the position and protection of the Board of Directors within company law. In the context of expanding organizational structures, directors are no longer confined to fiduciary obligations but are entrusted with steering governance frameworks, ensuring statutory compliance, and promoting responsible corporate conduct.
The research investigates executive-level legislative reform through the Companies Act 2013 and SEBI regulations that focus on increasing board autonomy and defining management accountability while improving transparency. A hybrid governance instrument prevails in India because it integrates Anglo-American business principles with unique indigenous ownership systems under which promoters retain control yet enforcement remains weak. The main objective of this research consists of analyzing corporate governance theory together with evaluating how well statutory protections and corporate practices secure and bolster the Board’s capabilities. This document follows by exploring crucial aspects of director accountability and regulatory overlap as well as minority protection along with practical effects of independent oversight.
Evaluations rooted in both legal doctrine and practical governance illustrate that board effectiveness plays a pivotal role in preserving corporate accountability and ensuring shareholder protection.
The competitive global economy demands that India adopts a governance system devoted to director independence and ethical disclosure strategies and institutional oversight for sustaining corporate trustworthiness.Keywords: Corporate Governance, Board of Directors, Transparency, Fiduciary Duty, Companies Act, SEBI Clause 49[1]
[1] SEBI, Clause 49 of the Listing Agreement, Circular No. CFD/DIL/CG/1/2004/12/10 (Oct. 29, 2004).