Sitting fees

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Meenakshi (Querist)
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30 May 2009 Hi all,

Pay Sitting fees to the directors( except MD or WTD)is mandatory by a public ltd company.

Thanks in advance.

CA CS CMA Srinivasan N

CA CS CMA Srinivasan N (Expert)
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31 May 2009 Hi
It is based on the conditions laid down u/s310 read with Rule 10B of General Rules and Forms. It is payable based on the provisions in AOA and not mandatory or based on the nature of company.

Also See these links
http://www.blonnet.com/mentor/2004/06/07/stories/2004060700551000.htm

https://www.caclubindia.com/experts/experts_message_display.asp?group_id=27966

http://www.thehindubusinessline.com/bline/2003/06/26/stories/2003062602420900.htm

Ankur Garg

Ankur Garg (Expert)
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01 June 2009 No. Payment of Sitting fees to the directors is not mandatory by a public ltd company at all. It depends on the policy of the Company and provision contained in the Article of the Company.

Regards

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Meenakshi

Meenakshi (Querist)
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01 June 2009 Thanks for ur reply.

Please confirm Is payment of sitting fees is mandatory for private limited company.

Thanks in advance.