Sitting Fee

1657 views 2 replies

The AOA interalia provides the followings:

"The Directors shall be paid Rs---------------as sitting fee for each meeting of the Board or Committee thereof."

 

But the Co is not paying sitting fee to its directors and all are promoters directors.

How can we get the rid of non-compliance ?

As per me, we can take the waiver letter from each director and make a note in the BM and later on alter the AoA giving power to board to pay such fee as they may think fit subject to the limit fixed by the Act.

 

Am i right ? Any other option ?

Replies (2)
Originally posted by : Santosh

The AOA interalia provides the followings:

"The Directors shall be paid Rs---------------as sitting fee for each meeting of the Board or Committee thereof."

 

But the Co is not paying sitting fee to its directors and all are promoters directors.

How can we get the rid of non-compliance ?

As per me, we can take the waiver letter from each director and make a note in the BM and later on alter the AoA giving power to board to pay such fee as they may think fit subject to the limit fixed by the Act.

 

Am i right ? Any other option ?

 Dear Santosh.

Please specify whether the promoter Directors are in Executive capacity or in Non Executive capacity.

Coz: If they are in Executive capacity than they are not eligible for sitting fees.

Other wise waiver letter will serve the purpose.

Other views solicited.

 

 

 

 

 

True

 

Waiver letter will surely serve the purpose.

Would also advise you to amend your atricles and modify or remove this sitting fees clause.

 

Regards

RG

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
10 June 2026
Senior Account Executive

JDS Advisory LLP

Ahmedabad

CA Inter

View Details
Company
20 June 2026
Chartered Accountant

ANV & Company

New Delhi

CA

View Details
Company
01 June 2026
Audit, Taxation & Compliance Executive

R P S K & Associates

Nashik

CA Inter

View Details
Company
04 June 2026
Semi Qualified CA

Goyal Puneet & Associates

New Delhi

CA Final

View Details
Company
24 June 2026
Chartered Accountant

CA Darshita Shah & Co

Nadiad

CA

View Details
Company
ARTICLESHIP 04 June 2026
Article

Rakhecha & Co.

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 24 June 2026
ARTICLE ASSISTANT

BHUPINDER SHAH AND COMPANY

New Delhi

CA Inter

View Details
Company
16 June 2026
Sr. Associate / Assistant Manager | TAS / FDD

Boutique Investment Bank & Transaction Advisory Firm

Gurgaon

CA

View Details