Varshini Karthikesh & Adhya Thimmaiah, School of Law, Christ University
ABSTRACT
Corporate governance has evolved greatly with the rise of technology. While the rise of technology has aided with efficient corporate governance, it has also exposed the same to new threats of a cyber breach. The COVID-19 pandemic has changed the dynamic of work culture with a huge rise in remote work with online software such as the internet, cloud software, data networks and online databases. As individuals started working at home, they have also begun using their own devices that often lack adequate cyber security to curb hacker attacks. The work from home culture poses additional risks to major companies. Many will also encounter new threats to reopen or opt for hybrid modes after the pandemic. Cyber security oversight has proven to be a key fiduciary responsibility in companies, and the Board of directors have viewed it as a significant cause of concern even before the pandemic. Such new threats of data breaches are a risk to companies' reputational and competitive aspects. They also pose significant litigation risks that are costly investments to detect, respond and mitigate. The pandemic has further opened a lacuna of risks that have emerged as key threats to financial institutions. The paper analyzes these cyber risks that have emerged, especially following recent attacks on financial institutions and corporate firms in the wake of the pandemic. The paper also elucidates the present laws that tackle the issue of cyber security risk in corporate governance. Further, the paper concludes with an elaborate model to mitigate cybersecurity threats through good corporate governance.
Keywords: Corporate Governance, Cybersecurity, covid-19, Board Directors
