Insights
In today’s rapidly evolving regulatory and investment landscape, Environmental, Social and Governance (“ESG”) compliance has emerged as a critical component of corporate governance, risk management and long-term enterprise value creation. Investors, lenders, regulators, customers and multinational counterparties increasingly evaluate businesses not only on financial performance but also on their environmental stewardship, labour practices, ethical conduct and governance standards. For Indian companies, ESG is no longer a voluntary reputational initiative; it is a strategic legal and commercial imperative.
In a significant development for women's rights, public health, and educational equity, the Supreme Court of India has reiterated that menstrual hygiene is a fundamental right flowing from Article 21 of the Constitution. While hearing the matter of Dr. Jaya Thakur v. Government of India & Ors., the Court emphasized that merely recognizing a right is insufficient unless it translates into meaningful and effective implementation on the ground. The Court's latest observations highlight a critical challenge in governance bridging the gap between policy formulation and actual delivery of essential services. By directing the Union Government and States to strengthen compliance with earlier directions concerning menstrual hygiene management in schools, the Court has reinforced the constitutional obligation to ensure dignity, health, and equality for adolescent girls across the country.
In today’s increasingly regulated commercial environment, businesses across industries are subject to frequent inspections, audits and investigative reviews by governmental authorities and regulatory agencies. Regulatory inspections may arise under corporate, taxation, labour, environmental, financial, anti-corruption, data protection, consumer protection and sector-specific laws. Such inspections often involve extensive scrutiny of operational records, financial documentation, compliance systems and internal governance mechanisms.
In a significant judgment reinforcing constitutional principles of equality and non-discrimination, the Supreme Court of India has held that a married daughter does not cease to be a member of her parental family merely because of her marriage. The Court ruled that excluding married daughters from benefits available to other family members is rooted in outdated gender stereotypes and violates the constitutional guarantees of equality. The decision came in Kulsum Nisha v. State of Uttar Pradesh, where the Court struck down a discriminatory provision that prevented married daughters from being considered part of the “family” for the purpose of allotment of a fair price shop after the death of a family member.
As businesses expand their operations, workforce and commercial footprint, the importance of structured internal governance becomes increasingly significant. While early-stage enterprises often operate through informal decision-making processes and founder-driven management, growing companies require clearly defined internal policies to ensure regulatory compliance, operational consistency and effective risk management. Internal policies serve as the foundation of a well-governed organisation by establishing standards of conduct, defining responsibilities and creating mechanisms for accountability across all levels of the business.
In a significant development for disability rights jurisprudence in India, the Supreme Court has issued notice to the Union Government in a Public Interest Litigation (PIL) seeking stronger enforcement mechanisms for recommendations issued by disability commissioners under the Rights of Persons with Disabilities Act, 2016 (RPwD Act). The matter, titled Shashank Pandey v. Union of India, was heard by a Bench comprising Justice Vikram Nath and Justice Prasanna B. Varale, which has listed the case for further consideration on July 21, 2026.
In a significant judgment reinforcing the principles of natural justice and fair trial, the Allahabad High Court has held that a person summoned as an additional accused under Section 319 of the Code of Criminal Procedure (CrPC) cannot be convicted solely on the basis of evidence recorded before his summoning. The Court emphasized that evidence recorded in the absence of the accused cannot be relied upon for conviction, as doing so would violate the accused's statutory and constitutional rights. The ruling came in Pramod Kumar Singh Alias Guddu Singh vs. State of Uttar Pradesh Through Secretary, Department of Home, where the Court acquitted a man who had been convicted of murder despite the fact that the principal evidence against him had been recorded before he was added as an accused during the trial.
In India’s evolving corporate and regulatory landscape, directors occupy a position of significant trust, responsibility and legal accountability within the governance framework of companies. Directors are entrusted with overseeing corporate management, safeguarding stakeholder interests, ensuring statutory compliance and maintaining ethical business conduct. With increasing regulatory scrutiny, investor activism and enforcement proceedings relating to corporate misconduct, the role of directors has expanded far beyond routine managerial supervision and now encompasses extensive fiduciary, financial and governance obligations.
