Independent directors - are they decision-makers?

The Companies Act provides immunity to independent directors only in exceptional cases; the recent SC decision on Jaypee is a wake-up call

The Supreme Court (SC) in its November 22 order restrained all directors, including independent directors (IDs), of Jaiprakash Associates (JAL) from alienating their personal properties or assets in any manner. It said if they did so, they would be liable for criminal prosecution and contempt of court. The SC also directed the properties and assets of their immediate and dependent family members not be transferred in any manner. The order has raised debate on whether IDs should be held liable for operational issues. 

The case relates to the insolvency proceedings against Jaypee Infratech (JIL), which defaulted on a loan of Rs