• Corporate Governance is much stronger in Companies Act 2013.
  • Mandated a vigilance mechanism. This has led to many firms creating a procedure for employees to effectively use whitleblowing in companies.
  • Coupled with other sections that place a criminal liability on board members for non-compliance and wrongdoing.
  • Audit committee in the company to have periodic reviews.
  • For example: A driver in a major IT firm in Banglaore became a whistleblower on the CEO who was running a parallel firm.
    • Tata and Mahindra & Mahindra has started an external hotline to report such issues.
    • Ranbaxy found out about falsification of data from an employee and took steps to own up their mistakes and settle with the US FDA.