urgent -resolution requirement

Resolutions 704 views 3 replies

Gargi Ranade

619 Points Joined January 2009

Dear all,

Kindly let me know is there any procedural formalities to be comply with before incresing MD remunaration in case of Private Ltd. Co. ?

Can any body provide sample resolution for raising salary of MD .?

Is it possible to raise salary first and then regularise matter through resolution or notifying the change ??

Can we change the salary for other directors also without complying any formalities & just by passing resolution to that effect. Specifically in case of Pvt. Ltd. Co.

Regards,

Gargi

Replies (3)

Nitin Grover

1228 Points Joined February 2009

Dear Gargi

Yes u can change Salary of MD or any of the other Directors by just passing a Board Resolution and hav to file Form 23 with in 30 days with respective ROC (without add fee) after 30 days with add fee.

Preamble:

The Chairman placed before the Board a copy of agreement/proposal for increasing the remuneration / salary of M.D / Director (any). The Board Discussed the same matter and pass the following resolution.

Resolution:

RESOLVED THAT the Board give its consent for increasing remuneration of MD / Salary as per following Return

Basic Salary : 5 lakh/ months

Bonus : Equivalent of two Month Salary

Commission : 2% on N.P

Other Benefits : Car with Driver on Company Exp.

Flat, Telephone Bill will be incurred by Company, etc.

FURTHER RESOLVED THAT the above said remuneration is applicable from June 01, 2010 and will be paid by cheque to them.

FURTHER RESOLVED THAT Mr A, Director of the Company is being authorised to file Form 23 with respective ROC and Company will pay the fee prescribed by MCA."

Regards