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Director remuneration in all companies

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Querist : Anonymous

Querist : Anonymous (Querist)

26 November 2016 Dear All
An individual is director in 5 pvt. Ltd. Companies however he is drawing the remuneration as follow....
1) in first company 70000/- PM
2) in second company 40000 PM
3) in third company 90000/- PM
4) in forth company 100000/- PM
5) in fifth company 300000/- PM
In all 5 companies he is drawing 6 Lakh PM remuneration.............
Query :- 1) how much maximum remuneration this director can accept from all 5 pvt. Companies?

2) in how many companies an individual can be director? Is there any ceiling limit also quote the section for the same,

Pls resolve my query No. 1 with an example if possible,

Thanks & Regards
Tanvi Agarwal

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

26 November 2016 1 There is no ceiling fixed for a director in receiving salary from more than one company. Section 197 of the companies act prescribes the limit on directors remuneration for each company.
2 As per section 165 a person can hold 20 directorships.

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