Independent Directors, a dilemma! After the Statutory Auditors, it will now be a close call for the Independent Directors. To sit on a Board once in three months, review the accounts and processes, and financial health, as the custodians of the company, representing the various stakeholders, they use the Statutory Auditors and the Internal Auditors, as a management tool to comment on both, financial and non-financial transactions. A failure of the Auditor is also a failure of the Independent Directors. It was a challenge getting a gender balance on the Board, now it will be a double challenge retaining professional Independent Directors! A confidence building exercise, Board familiarization and awareness building, as part of the Corporate Governance exercise is now a must. The Boards must undertake such workshops to facilitate a ‘genuine’ Board Evaluation. The Kotak Committee Report needs to be taken seriously.
