New Accounting policies Taken by India

In a step to drive out corruption from the country, the government of India recently undertook several pointers in order that the companies maintain a proper accounts book and if it has subsidiaries in different fields, it is necessary that the accounts of these subsidiaries be included in the balance sheet of the mother company as well. This was done in light of the events leading up to the Rs 176,000 crore telecom scam that highlighted how companies used loopholes in the policy of the government and floated companies as a front to acquire business. But with the policies and new methods of accounting, there is every hope that it will be able to stem corruption somewhat.