Corporate governance, which is the system that helps firms control and direct operations, is in the spotlight as key parts of the governance framework such as audit and finance functions have failed to check the promoter-driven agendas. Corporate governance in India has undergone a paradigm shift by gradually becoming more conscience-driven due to interests of customers, employees, vendors and regulators. The Corporate Governance failures in developed countries have brought the subject to media attention, the issue has always been central to finance and economics. India has one of the best corporate governance laws but poor implementation together with socialistic policies of the pre reform era has affected corporate governance. Concentrated ownership of shares, pyramiding and tunneling of funds among group companies mark the Indian corporate landscape. Boards of directors have frequently been silent spectators with the DFI nominee directors unable or unwilling to carry out their monitoring functions. Since liberalization, however, serious efforts have been directed at overhauling the system with the SEBI instituting the Clause 49 of the Listing Agreements dealing with corporate governance. This Paper explain the corporate governance in India and the reforms how its boards of directors function, improve its enforcement mechanisms, redefine its corporate laws, and embrace corporate governance as a philosophy. Key Words: Good Corporate governance, stability, control premium, manipulation, transparency, stakeholders, BIFR, SEBI, liberalization, residual powers, legal systems, deviations, Ownership Patterns.