Committees of Corporate Governance:

Corporate governance committees are established by companies to ensure effective governance and compliance with relevant regulations. There are several committees, including audit, remuneration, nomination, and risk management committees.

 Role and functions of Chairman and Managing Director:

The Chairman and Managing Director play crucial roles in corporate governance. The Chairman is responsible for leading the board of directors, ensuring that the company is managed in the best interests of shareholders, and overseeing the work of the Managing Director. The Managing Director is responsible for implementing the policies and strategies of the company, managing the day-to-day operations, and ensuring that the company is financially sound.

Role and functions of Committees:

The committees play an important role in ensuring effective corporate governance. The audit committee is responsible for overseeing financial reporting, risk management, and internal control processes. The remuneration committee is responsible for determining the remuneration of directors and senior executives. The nomination committee is responsible for identifying and nominating candidates for the board of directors. The risk management committee is responsible for identifying and managing risks that could affect the company.

Audit Committee:

The audit committee is responsible for overseeing financial reporting, risk management, and internal control processes. The committee is typically made up of independent directors who are experts in finance and accounting. The committee is responsible for reviewing the company's financial statements, ensuring compliance with accounting standards, and reviewing the work of the external auditors.

Cadbury Committee: 

The Cadbury Committee was established in the UK in 1991 in response to a series of corporate scandals. The committee was tasked with developing a code of best practices for corporate governance in the UK. The committee's recommendations included the separation of the roles of Chairman and CEO, the establishment of independent directors on the board, and the formation of audit committees.

OECD Committee:

The OECD Committee on Corporate Governance was established in 1999. The committee is responsible for developing principles of corporate governance that are applicable globally. The committee's recommendations include the importance of transparency and accountability, the protection of shareholder rights, the establishment of independent boards, and the need for effective risk management and internal control systems.

In conclusion, committees of corporate governance, the role and functions of Chairman and Managing Director, and the role and functions of various committees such as the audit committee, are essential for effective corporate governance. The Cadbury Committee and OECD Committee have played significant roles in developing best practices for corporate governance.