NEW DELHI, DEC 30: The Department of Company Affairs (DCA) today favoured that the proposed Rs 500 crore investor protection fund be run by a trust rather than government. Despite insistence from the Ministry of Finance (MoF) that the fund should be a government fund, the DCA has proposed a separate trust headed by a high-powered body under the chairmanship of the Finance Minister.DCA proposed that the trust would have representations from Reserve Bank of India (RBI), Securities and Exchange Board of India (SEBI) and Unit Trust of India (UTI) and consumer forum, among others. The draft Rs 500 crore fund for investor protection and education to be raised from unclaimed dividends, interest and principal amount lying with companies, is ready with the Union Law Ministry. The matter is to be referred to the Comptroller and Auditor General of India if it is made a government fund.Speaking about investor protection at the seminar, Reddy said "despite the Herculean efforts by government, SEBI, stock exchanges and other regulatory organisations, the investor awareness in India remains extremely low." The future agenda of capital markets reforms must place education of investors on top of the priority list, Reddy said.He also stressed on corporate governance saying "countries that ignore or lag behind in corporate governance reform will find themselves at a competitive disadvantage in attracting long-term capital for development." In an effort to push stronger corporate governance, Reddy said legislations needs to be passed to put in place internationally accepted accounting principles, standards of financial disclosures, anti-trust laws, bankruptcy laws and prohibition of insider trading in capital markets.Referring to growing number of companies going for ADR and GDRs, he said companies not only have to have a global perspective but also follow internationally accepted practice. He said the department was in the process of seting up a Centre of Corporate Excellence to act as repository, clearing house and a hub of corporate research, so as to ensure that the Indian corporate sector vibes well with corporates of the big league.