(As approved by the Board of Directors on Nov 23, 2015)
The Objective of this policy is to determine the “Materiality of Related Party Transaction” and to provide the Governance Framework to the Company.
A transaction with a Related Party shall be considered material if the transaction(s) to be entered into individually or taken together with previous transactions during a financial year, exceeds 10% of the annual consolidated turnover as per the last audited financial statements or transactions exceeding certain thresholds, as specified under the Companies Act, 2013.
Every contract or arrangement, which is required to be approved by the Board/shareholders under this Policy, shall be referred to in the Board’s report to the shareholders along with the justification for entering into such contract or arrangement. The Company shall maintain Register of Contracts as required under the applicable Regulations. The Company shall make appropriate disclosures on Related party transactions as required under the Regulations.
This Policy shall be subject to review as may be deemed necessary by the Board of Directors /Administrative Committee and in accordance with any Regulatory Amendments.