Remuneration to director in excess of schedule xiii limits
Uday G (Business) (254 Points)
23 May 2012Uday G (Business) (254 Points)
23 May 2012
sangram ghatge
(company secretary in practice)
(198 Points)
Replied 24 May 2012
no central govt approval required, if its within 10% for 2 directors in total. check whether form 25C is filed at the time of appointment. no other compliance required.
regards,
sangram
9422622828.
sangram ghatge
(company secretary in practice)
(198 Points)
Replied 24 May 2012
no central govt approval required, if its within 10% for 2 directors in total. check whether form 25C is filed at the time of appointment. no other compliance required.
regards,
sangram
9422622828.
sangram ghatge
(company secretary in practice)
(198 Points)
Replied 24 May 2012
no central govt approval required, if its within 10% for 2 directors in total. check whether form 25C is filed at the time of appointment. no other compliance required.
regards,
sangram
9422622828.
Uday G
(Business)
(254 Points)
Replied 24 May 2012
thank you sangram.
is that required to get that approved in agm with special resolution... if that is not apporved by members for this period...?
Ankur Garg
(Company Secretary and Compliance Officer)
(114773 Points)
Replied 24 May 2012
The query is regarding WTD.
CG approval is not required in your case if that other director drawing salary is managerial personnel i.e. MD or WTD. See proviso to section 309(3).
If the other director is ordinary director that you can not take the benefit of 10% limit for 2 directors together.
Regards
sangram ghatge
(company secretary in practice)
(198 Points)
Replied 24 May 2012
approval by shareholders special resolution is required. if they dont approve then all the salary paid to WTD shall be reimbursed by him to the company.
Ankur Garg
(Company Secretary and Compliance Officer)
(114773 Points)
Replied 24 May 2012
Originally posted by : sangram ghatge | ||
approval by shareholders special resolution is required. if they dont approve then all the salary paid to WTD shall be reimbursed by him to the company. |
Kindly let me know under which provision of company law, shareholders special resolution is required keeping in view the present case of Mr. Uday G.
Thanks
CS Ankur Srivastava
(Company Secretary & Compliance Officer)
(17853 Points)
Replied 29 May 2012
Special Resolution is required as per part II of schedule XIII tables. However, in this case section 1 will be applicable.
Wherein it is specified that subject to the provisions of section 198 and 309, a company having profits in a financial year may pay any remuneration, by way of salary, dearness allowance, perquisites, commission and other allowances, which shall not exceed five percent of its net profits for one such managerial person, and if there is more than one such managerial person ten percent for all of them together.