02 September 2013
The provisions of Companies Act, 1956 and Schedule XIII deal with remuneration of director will not applicable to private limited company. Such provision is applicable only public company and its subsidiary.
The remuneration of directors of the private company is totally governed by their company articles. If the Company’s article permits to pay remuneration you can give remuneration without any restriction. For this you will pass a Board Resolution for payment of remuneration.
02 September 2013
Strict provisions related to managerial remuneration are not applicable to a private limited company. So he can take remuneration from both companies subject to the provisions of articles of the company.
02 September 2013
Further the position of MD in one company signifies that he is devoting his whole time in that company. So taking remuneration from other company may be objectionable and should be avoided. However current question is about private company so you may go ahead.
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