The Ministry of Corporate Affairs has notified Section 135 and Schedule VII of the Companies Act, 2013 and the Companies (Corporate Social Responsibility Policy) Rules 2014 to come into effect from 01.04.2014. Accordingly, the Corporation has implemented the CSR policy for the financial year 2014-15 which has been revised with effect from 30.12.2015 and 22.01.2021.

The CSR policy is reproduced here under:

Lakshadweep Development Corporation Ltd is a company promoted by the Government of India, incorporated on 22.12.1987. Since its inception, the Corporation has been striving to attain the socio-economic development of Lakshadweep Islands and its residents. The company is engaged in assisting the Lakshadweep Administration in various activities for the overall development of islands. The company has already formed a CSR Committee as per Section 135 of the Companies Act, 2013 and the Board administers the funds for the projects identified and approved by the CSR committee. The Company has a CSR policy which has been approved by the Board. As per the Companies (Corporate Social Responsibility Policy) Rules 2014 as amended by the Amendment Rules 2021, the company declares a CSR Policy incorporating the amendments through which the CSR Expenditure will be disbursed by the Board on the recommendation of CSR committee. This policy will also be published in the website of the company.

The main objective of the LDCL as enshrined in the Memorandum and Articles of Association is to work for the development and uplift of the Scheduled Tribes of Lakshadweep. The Corporation is committed to achieving the welfare of the islanders. With this end in mind, the Corporation has formulated a CSR policy which is continuously aiming to undertake more social responsibilities as a Corporate Citizen to make a positive impact on the society and the environment.

(i) To strive for the economic development of Lakshadweep Islands that effect the standard of living of the residents.
(ii) To take responsibility for the overall activities to reduce hunger, poverty, cleaning the environment, improve the general healthcare of the residents and the wellbeing of the community at large.

In according with the requirement of the Companies Act, 2013, the company will undertake CSR Activities as specified in Schedule VII of the Companies Act as amended from time to time, and amongst others will focus on:
i) Eradication of hunger, alleviation of poverty, elimination of malnutrition, promotion of preventive healthcare and sanitation standards, supply of safe drinking water, promotion of hospitals and modern health care clinics.
(ii) Promotion of education, employment generation, vocational skills especially among children, women and elderly and differently abled persons.
(iii) Undertake livelihood enhancement projects, monetary contributions to schools, academic institutions, establishment of laboratories and testing centers, schools, kinder gardens, day care centers etc.
(iv) Development projects for strengthening the islands by improving the accessibility housing, drinking water, sanitization, power, sports area and grounds and other recreational activities thereby enhancing the living standards of residents.
(v) Undertaking projects for gender equality and empowering women, setting up of self help groups ,hotels and day care centers for women, orphans and differently-abled persons, Setting up old age homes ,and such facilities for senior citizens and adopting measures for reducing inequalities faced by socially and economically backward groups.
(vi) Ensuring environment sustainability, ecological balance, protection of flora and fauna, animal welfare, agro friendly conservation of natural resources and maintaining the quality of soil, air and water.
(vii) Promotion of Art, Music, Sports and cultural activities .protection of natural heritage, restoration of buildings and sites of historical importance and Work of Arts. Setting up of public libraries, computer labs, knowledge centers, promotion and development of arts and handicrafts.

The company will undertake the CSR Activities directly or through companies registered under section 8 of the Companies Act, 2013 or registered trust or registered societies established under the statutory acts and non government organization as recommended by the CSR committee and approved by the Board.

The CSR Activities will be conducted in the various islands of Lakshadweep or areas earmarked in mainland for operation and assisting in the development of the islands.

The goals will be to achieve the activities under the Focus Areas mentioned in Para 3 above. The surplus arising out of CSR Activities, projects and programs shall not form part of the business profits of the company.

The CSR committee shall be comprised as per the provisions of the Companies Act, 2013 and CSR Rules made there under as amended from time to time. The Corporate Social Responsibility (CSR) committee consists of three Independent Directors namely, CA. Vedanga Prabhu, Senior Chartered Accountant, Dr. K.A. Simon, Director, Alberts Maritime Institute and Dr. M. Bhasi, Senior Professor (Retd.), School of Management Studies, CUSAT.

The CSR committee or the company will call for proposals from various government agencies, registered societies or other non profit motive NGOs. The committee after deliberation on the proposals shall recommend the same for approval of the Board.