Save Rs 588 on a 2-Year Ad-Free CAclubindia Pro Membership. Subscribe Now!

Draft Resolution requrired

Save Share

This query is : Resolved

BPAst (Querist)
Follow

14 October 2009 Dear Sirs,
My questions are
1) whether the increase in director's remuneration of a Private Ltd. Company be made with retrospective effect by a board resolution? 2) is it necessary to have consent of share holders in any of the AGM?
3) is there any monetary limits / restriction in this matter.
4) i also need a format of resolution to be passed in such meetings to increase the directors remuneration with retrospective effect.
Thanks in advance.

Ankur Garg

Ankur Garg (Expert)
Follow

15 October 2009 The strict limits of Managerial Remuneration u/s 198,309 and Schedule XIII which are applicable to a public company are not applicable to a private company.
In private company Managerial Remuneration provisions are mostly governed by Article of the company.

1. Increase in director's remuneration of a Private Ltd. Company retrospective effect is possible.
2. There are no monetary limits / restriction in this matter except provisions of your articles of association.

Regards

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now