CS Professional · CSR and Social Governance · CSR Projects and Implementation Agency
Kaveri Pharma Ltd. sets up a CSR project of distributing free blankets to flood victims in Assam. The activity is carried out in one week and has no continuing component. Which statement is correct about how it is treated under the CSR framework?
The blanket distribution is eligible CSR under Schedule VII's disaster relief item, and because it is completed in a week without continuing components it is a one-time activity, not an ongoing multi-year project.
- AIt cannot count as CSR because relief work is excluded
- BIt counts as a CSR activity falling under the disaster relief item of Schedule VII, and it is a one-time activity rather than an ongoing projectCorrect
- CIt counts only if routed through a foreign trust
- DIt is an ongoing project because relief always continues for three years
Explanation
Disaster management including relief is an item in Schedule VII. A one-week distribution is a one-time activity and not a multi-year ongoing project. Relief is not excluded, and no foreign trust is needed.
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