Remuneration committee and payment to md

Yes, formation of remuneration committee is required.

It can be formed at any date prior to said increase in remuneration.

The working of remuneration committee is just to approve the remuneration of the directors and there is no specific provision as to no. of meetings committee needs to hold. It can meet annually or semi annually as required. Kindly note that the meeting of remuneration committee should be held prior to BM and Board will take note of the same.

You may revert back for further query or Resolution formats if reqd.

Sneha ji, can you please elaborate and send the documents/ resolutions which you have and which you can provide to me at my email id csmohitsaluja @ gmail.com

/experts/remuneration-of-managing-director-1117919.asp

This link will surely clarify your doubts.

CONSTITUTION OF REMUNERATION COMMITTEE

The Chairman explained the Board about the necessity of constituting a remuneration committee for the purpose of analyzing and approving the remuneration of the executive directors of the Company. The constitution of the Committee will be in accordance with the notification of the Ministry of Corporate Affairs dated 8^th February, 2011. After some discussions, it was:-

“RESOLVED that a remuneration committee be and is hereby constituted to consider, analyse, determine and approve on behalf of the Board the remuneration to be paid to the executive directors of the Company.

RESOLVED further that the said remuneration committee be constituted with Mr. ­­­­­­­­­­­­­­­­________, Director, as the Chairman of the committee and Mr. ­­­­­­­­­­­­­­­­­­­­­_____________ and Mr. __________, Directors, as the other members of the committee.”

APPROVAL OF REMUNERATION TO MR. ____________

The Chairman informed that it is proposed to re-appoint Mr. _________ at a monthly remuneration of Rs. _________/-. He further informed that Mr. ____________, is a qualified ______having wide experience of over ____ years in various fields of Finance Administration and Management. He was associated with a number of renowned Industrial organizations. As Executive Director of the Company, he heads the entire operation and his long & varied experience has led the Company to diversify its activities. His immense contribution has led the Company to the level it is at today. After some discussion, it was:-

“RESOLVED that considering his expertise, wide experience and valuable contribution towards the Company, the Committee hereby approves a monthly remuneration of Rs. _______/- to Mr. _______________, as the MD/Wholetime Director of the Company.”