Company not paying remuneration to md........?

Usually a good resolution, fixing the remuneration, contains the appropriate clause to deal with the situation of no profit or inadequate profit. So please check the language of resolution.

Further in case of no profit or inadequate profit you have to follow the provisions of Section II of Part II of Schedule XIII, if and only if you want to pay remuneration when there is no profit or inadequate profit.

Also if you are not paying anything, then there is no need to take any approval from CG. Well this is my understanding. Wait for other opinions.

Tx

Yes, in case you are paying or not you need not take any approval from central government, except in the case the remuneration is exceeding the limits as mentioned in the Schedule XIII....

As rightly mentioned by Ankur ji, generally resolutions specifically deal with all those things... however, generally companies pay remuneration to their MDs in case of the years of inadequate profit...

I would like to share one simple advice. For drafting resolution regarding managerial personnel appointment and remneration and borrowing u/s 293 etc it is advisable to download Annual Reports and Postal Ballot notices of top listed companies from net. These downloads can really help you like anything and surely improve your drafting and law connectivity.

Thanks

Really Nice Advice...

Gr8 Advise Ankur Sir 

Approval of Central Govt. is waived even if prescribed limit in Schedule XIII exceeds in case of inadequate profits or no profits pursuant to MCA circular no. 46/2011 subject to certain conditions.