ITC proposes additional salary for Deveshwar, seek shareholders’ nod
New Delhi: Diversified ITC is seeking nod from its shareholders for additional remuneration of its Non- Executive Chairman Y C Deveshwar that includes a monthly salary of Rs1 crore among others. At last year’s AGM, the shareholders of the company had approved appointment of Deveshwar as Non-Executive Director, and Chairman for a period of three years with effect from 5 February, 2017.
At the request of ITC’s Nomination & Compensation Committee and the Board, he had agreed to continue as Chairman in non-executive capacity and also play the role of mentor to the new executive management. In a notice to the shareholders ahead of the company’s upcoming AGM on 28 July, ITC said taking into consideration the enlarged role of Deveshwar, the board at a meeting held on 26 October, 2016 had approved “additional remuneration” for him that needs nod of the shareholders.
The “additional remuneration” includes monthly pay of Rs1 crore, rent free furnished accommodation, medical expenses for him and spouse along with use of chauffeur driven company car for personal use and coverage under personal accident insurance. He will also be entitled to commission ranging between Rs30 lakh and Rs60 lakh as sitting fees for attending meetings of board and committees of the company for each financial year.
Besides, the company is also seeking shareholders nod for a basic/consolidated salary of Rs12 lakh per month for its Chief Executive Officer and Wholetime Director Sanjiv Puri. Puri, who has taken over as the CEO of the company from February, 2017 would also get a performance bonus. This would be “not exceeding 300% of basic/ consolidated Salary, payable annually for each financial year, as may be determined by the Board,” said ITC in a filing to BSE.
His perquisites per annum would be limited to Rs15 lakh, it added further. “The other terms of remuneration of Mr. Puri, as approved by the Members at the 105th Annual General Meeting held on 22 July, 2016, remain unchanged,” it added.