CSR Fund Utilization Monitoring
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CSR Fund Utilization Monitoring
CSR Fund Utilization Monitoring
Proper monitoring of CSR fund utilization is essential to ensure transparency, regulatory compliance, and real social impact. Under Section 135 of the Companies Act, 2013, companies must not only spend on CSR activities but also monitor how those funds are used.
Effective monitoring includes tracking fund disbursement, reviewing project progress, conducting site visits, and ensuring that expenditures align with the approved CSR Policy and Schedule VII activities. For projects with allocations above ₹1 crore, third-party impact assessments are now mandatory.
We assist companies in setting up robust CSR monitoring frameworks. Our services include financial tracking, due diligence of implementing partners, compliance audits, and preparation of fund utilization reports for the Board and annual filings.
Key Components of CSR Fund Utilization Monitoring
Budget Tracking: Regular review of allocated funds against actual expenditure to avoid underspending or overspending.
Project Progress Reports: Periodic updates from implementing agencies detailing milestones, resource use, and results.
On-Site Inspections: Physical verification of ongoing projects to assess implementation quality and authenticity.
Financial Audits: Independent audits to verify proper utilization of funds and adherence to accounting standards.
Impact Assessment: Measuring social outcomes and benefits achieved through funded activities, especially for significant projects.
Compliance Checks: Ensuring all CSR activities and fund usage comply with the Companies Act, CSR rules, and reporting guidelines.
Our CSR Fund Monitoring Services
We provide comprehensive CSR fund utilization monitoring services to help companies meet compliance and maximize social impact. Our experts collaborate closely with CSR Committees, management, and implementing agencies to deliver:
Detailed tracking of CSR budgets and expenditures
Preparation and analysis of progress and financial reports
Conducting site visits and field inspections
Facilitating third-party audits and impact evaluations
Advising on corrective actions and process improvements
Assisting in drafting compliance reports for Board review and MCA filings
Benefits of Partnering with Us
Enhanced transparency and accountability in CSR spending
Assurance of regulatory compliance and risk mitigation
Improved project outcomes through timely monitoring and feedback