Comptroller and Auditor General, CAG has said that a large number of central public sector enterprises, CPSEs were not complying with compulsory corporate governance guidelines prescribed by the Department of Public Enterprises. Observing a departure from mandatory corporate governance norms, CAG found that there was no independent director on the board of 18 CPSEs, including Jute Corporation of India, Delhi Metro Rail Corporation, and Cotton Corporation of India, among others. In view of the continuous and recurring instances of non-compliance of Department of Public Enterprises guidelines, CAG recommended that a dedicated mechanism either in the Ministry of Finance or Department of Public Enterprises may be instituted so that all issues of non-compliance are addressed through regular and critical review. The CAG report also found that Jammu and Kashmir Development Finance Corporation Ltd had only one independent director as against the requirement of three independent directors on its Board. Moreover, as many as eight CPSEs had more than two government directors on their Board. These include Karnataka Trade Promotion Organisation, Delhi Metro Rail Corporation, National Centre for Trade Information, J & K Development Finance Corporation, Aurangabad Textiles and Apparel Parks, New City of Bombay Manufacturing Mill Ltd, Madhya Pradesh Ashok Hotel Corporation, and Indian Trade Promotion Organisation. The DPE guidelines stipulate that government directors should not exceed one-sixth of the actual strength of the Board of Directors and it is preferable to have only one representative from the government on the Board.