Corporate governance has a special system of principles, policies and procedures. Moreover, it has clearly defined responsibilities and accountabilities used by stakeholders to overcome the conflicts of interest inherent in the corporate firm. Core (1999) firms who have weaker governance to direct and manage company matters face greater agency problems. Sound governance and practices and responsible corporate behavior contribute to the superior long-term performance of companies. The best practice on governance issues develops an evolutionary and continuing process. Corporate governance practice embodies the dual goals protecting the interest of all stakeholders while respecting the duty of the board of directors and senior management of the company to become well-versed in the affairs of a company, ensure accountability, inculcate integrity and promote long-term growth and profitability. Corporate governance ensures transparency, which leads to strong and balanced economic development. It is universally applicable to all companies including the non-banking financial companies (NBFCs) which, are essentially corporate entities. Listed NBFCs which are required to adhere to listing agreement and rules framed by SEBI on Corporate Governance are already required to comply with SEBI prescriptions on corporate governance. This paper highlights the laws which govern corporate governance practices in India.