section 314

Page no : 2

(Guest)

Sec 314(1) is applicable in case of whole time director in a pvt co. for this u need to file F-32 and for increase in remuneration file F-23 to ROC.

in case of remuneration to director of a co. only S/R is required no CG approval is required. -
sec314(1)

but in case of Relative of director the following cases are applicable: -

if salary is upto rs. 10000 only O/R is required - Sec 314(1)(b)
Salary is upto rs. 20000 Susequent S/R is required - Sec 314(1B)
salary is upto rs. 50000 prior S/R is required - sec 314(1B)
and if salary is more than rs. 50000 Prior S/R alonr with CG approval is requires - Sec 314(1B)

Thanks

Personal Injury Scotland

Rangnath (Compliance) (21 Points)
Replied 01 October 2010

Hi,

I have query here with respect to Section 314 of Com. Act. If an employee is appointed as Director, whether section 314 will be applicable. Secondly, there is no additional remuneration towards appointment of Director. Also let me know whether Spl. resolution requried for such appointment. ..and if company has appointed such employee as a director without Spl Resolution then in subsequent AGM such board act can be ratified.??