Abstract:

Corporate governance is the most enhanced and important tool as on date, corporates have committed many scams worldwide and in India as well with the upcoming of companies act 2013 the power, policies and rules provided a strict laws for companies. With the failure of big corporate houses like sat yam in India which just not affected the foundation on Indian corporates but also resulted into big economic loss to our nation. Surely there arises a need to study those failure and creation of laws and strict rules. This paper is an attempt to analyses the problems with the corporates, effect of changing laws, analyzing the framework of companies. It covers the concept of corporate governance, its legal framework, its current status and how accounting may be practiced to protect corporate from corruption by establishing governance. It finds that better corporate frameworks benefit firms through greater access to financing, lower cost of capital, better firm performance, and more favorable treatment of all stakeholders.

Keywords: Corporate Governance, India, Scams, Stakeholder, conceptual framework.