CORPORATE SOCIAL RESPONSIBILITY POLICY 

Objective & Scope

This Corporate Social Responsibility Policy ( “CSR Policy” ) of Hygienic Research Institute Private Limited  (“HRIPL”) is as required under the  Companies Act, 2013 (hereafter referred to as “the Act” ), read with the Companies (Corporate Social Responsibility Policy) Rules, 2014 and other directions and clarifications issued by the Ministry of Corporate Affairs from time to time (collectively referred to as the “ CSR Regulations ”). This policy lays down broad approach and direction for selection, implementation,  and monitoring of CSR activities as well as formulation of the Annual Action Plan pursuant to the CSR Regulations, in the sphere of corporate social responsibility undertaken by the Company.   

The Board of Directors of the Company (“Board”) shall be responsible for implementing this Policy and shall ensure that the CSR activities are carried out in accordance with this Policy read with CSR Regulations.

The objective of this policy document is to articulate HRIPL’s social responsibility, to define the areas chosen by HRIPL to impact the society with its efforts to towards CSR. Identify broad areas of intervention in which the company will undertake projects, define the kind of projects that will come under the CSR ambit.  We classify only those projects that are over and above our normal course of business as CSR.   

Our normal course of business is to manufacture consumer hair care & skin care products for market in India and abroad. HRIPL is the largest home -grown hair colour company in India. We are constantly innovating to delight our customers with more super quality products at affordable prices. We also give high priority to regulatory requirements in terms manufacturing, quality, and safety . 

CSR Committee of the Company

1Constitution

The Board of Directors of the Company shall constitute the Corporate Social Responsibility (“ CSR” ) Committee as a sub -committee of the Board, as  required and in compliance with the CSR Regulations. The members of CSR Committee shall be appointed by the Board of Directors of the Company.  

The board will have an oversight on the adherence to this policy. The CSR committee, compromising a minimum of 2 directors as a member of the Committee , shall assist the board in the overall governance of the policy and the CSR activities.  The CSR Committee may appoint such other persons as advisors, consultants on the Committee as they may deem fit.

2Roles & Responsibilities of the Committee

The CSR Committee shall assist the Board of Directors in implementing the   CSR Regulations and the CSR Policy and shall also:   

• Formulate and revise the Company’s CSR Policy and recommend the same to the Board of Directors of the Company for approval and adoption;
• Formulate and recommend to the Board an Annual Action Plan (“Action Plan”) in pursuance of the CSR policy, which shall include provisions specified in the applicable CSR Regulations and recommend to the Board any alterations that may be required to such plan during a financial year in accordance with applicable CSR Regulations.
• Recommend CSR activities to the Board of Directors of the Company as stated under Schedule VII of the Act;
• Recommend the CSR Budget to the Board of Directors of the Company;
• Create a transparent monitoring mechanism for implementation of CSR initiatives in India;
• Prepare and submit periodic reports to the Board of Directors in respect of the CSR activities undertaken by the Company;
• Authorize executives of the Company to attend the CSR Committee Meetings.

CSR Activities

The CSR committee shall recommend to the Board for its approval the Annual Action Plan and shall undertake CSR activities as recommended by the CSR Committee in accordance with the CSR Policy and CSR Regulations, in particular Schedule VII of the Act and the directions and clarifications issued   by the Ministry of Corporate Affairs from time to time in this regard. Such CSR  activities may be undertaken in collaboration with other Companies, Trust or any other Body Corporate as may be recommended by the CSR Committee from time to time. The Committee is authorized to approve any modification to the existing CSR activities or to propose any new activities during the relevant financial year. The CSR Committee will determine the monitoring mechanism for CSR initiatives and may employ consultants to monitor the progress on the CSR initiatives of the company.

Key thrust areas

CSR activities to be identified and planned for approval by the CSR committee and Board with respect to the following focus areas

1Skill development

HRIPL undertakes various activities under skill development  like vocational training to the young rural talented youth , the training includes courses like electrician, wiremen, Tally, various accounting software  courses , MS office & other computer courses.  HRIPL further helps them in getting jobs at various organizations. HRIPL has also adopted school in Himach al Pradesh to promote educational activities. 

2Rural development

As a part of rural development, HRIPL undertakes electrification of roads with solar energy in villages, helping the school to construct various infrastructure and funding the schools to renovate their existing infrastructure.   

3Environment sustainability

HRIPL is continuously organizes “ Swatch Bharat  Abhiyan” at rural areas in Himachal Pradesh and Guwahati. Activities under environment sustainability include plantation of trees, installation of solar lights in villages in Himachal Pradesh and Assam.  

4Sanitisation

Providing drinking water & sanitation facilities in rural India at schools.   

5Women empowerment

HRIPL helps in conducing and giving training to women for self -employment and this activity, HRIPL also helps in providing financial assistance to the women for self -help.   

6Disaster Relief

Supporting various flood disaster relief funds by donating cloths, food materials and  money.  

7Medical Help

HRIPL helps in providing financial assistance for medical help to the poor and needy.  

8CSR activities

Apart from above Key Areas, CSR Committee and Board can undertake CSR activities from the list of areas as mentioned in Schedule VII of the Act, as amended by the Ministry of Corporate Affairs from time to time in this regard.   

9Project Governance

The CSR Committee to identify and select CSR projects in line with the Action Plan and recommend the projects classified either as ‘Ongoing’ or otherwise to the Company’s Board for its approval. 

Implementation

The CSR Committee shall ensure that the CSR activities are undertaken by HRIPL itself or through –

• a company established under section 8 of the Act, or a registered public trust or a registered society, exempted under sub -clauses (iv), (v), (vi) or (via) of clause (23C) of section 10 or registered under section 12A and approved under 80 G of the Income Tax Act, 1961 (43 of 1961), established by the company, either singly or along with any other company; or  
• a company established under section 8 of the Act or a registered trust or a registered society, established by the Central Government or State Government; or  
• any entity established under an Act of Parliament or a State legislature; or   
• a company established under section 8 of the Act, or a registered public trust or a registered society, exempted under sub -clauses (iv), (v), (vi) or (via) of clause (23C) of section 10 or registered under section 12A and approved under 80 G of the Income Tax Act, 1961, and having an established track record of at least three years in undertaking similar activities.  

Explanation. - For the purpose of clause (c), the term “entity” shall mean a statutory body constituted under an Act of Parliament or State legislature to undertake activities covered in Schedule VII of the Act.]  

Governance  / Monitoring Mechanism

To ensure compliance with CSR Regulations, CSR Policy and the Annual Action Plan, the CSR committee will monitor the projects undertaken by implementing agencies, as maybe possible, including assessment of the projects for the intended purpose and update the Board regarding same. 

CSR & Budget and expenditure

The corpus for the purpose of carrying on the aforesaid activities would include the followings:

• 2% of the average Net Profit made by the Company during immediately preceding three financial years.   
• any income arising therefrom.  
• surplus arising out of CSR activities carried out by the company and such surplus will not be part of business profit of the company.  

Policy Review and Future Amendment

The Committee shall review its  CSR policy from time to time and  would be subject to revisions and amendments in accordance with  provision of Companies Act, 2013 and rules framed thereunder and submit the same for the approval of the Board of Directors of the Company.