One 97 Communications, the parent company of Paytm, will hold its annual general meeting (AGM) on September 12, at 9:00 am through video conferencing wherein the firm will seek shareholder approval for the appointment of former Indian Revenue Services officer, Rajeev Krishnamuralilal Agarwal to its Board, among other decisions. This will be the company’s 24th AGM.
The ISS Proxy Analysis & Benchmark Policy report highlighted the key management proposals for the upcoming meeting, all of which, it said, are recommended for approval from ISS. Besides the appointment of Rajeev Krishnamuralilal Agarwal, the report stated that the company is also seeking shareholder approval on reappointment of Ravi Chandra Adusumalli, Founder and co-Managing Partner of Elevation Capital to its board of directors, who is set to retire by rotation. Elevation Capital was one of the initial backers of Paytm. “With the proposed changes to its Board, Paytm reinforces its commitment to maintain the highest standards of corporate governance,” it said.
Here are the key proposals for the AGM:
– Approve the company’s financial statements and statutory reports
– Recommend the reelection of Ravi Chandra Adusumalli as a Director
– Elect Rajeev Krishnamuralilal Agarwal as a Non-Executive Independent Director
– Approve the payment framework for Non-Executive Independent Directors, including specific approvals for: Pallavi Shardul Shroff, Ashit Ranjit Lilani,Neeraj Arora, Gopalasamudram Srinivasaraghavan Sundararajan, Rajeev Krishnamuralilal Agarwal
Earlier, Paytm had also announced a salary revision for its executive members. Per the revised structure, remuneration payable to each non-executive director will not exceed Rs 48 lakh annually, with a fixed component of Rs 20 lakh, w.e.f. April 01, 2024 and valid until the end of the approved tenure of respective non-executive directors. The remuneration proposed will be paid as minimum remuneration even in case of losses or inadequacy of profits. “According to the circular, this framework will adequately compensate for the time and contribution made by Non-Executive Independent Directors,” said ISS
Earlier, the annual remuneration of non-executive independent directors of Paytm’s board, including Ashit Ranjit Lilani were at Rs 1.65 crore. While for Gopalasamudram Srinivasaraghavan Sundararajan and Pallavi Shroff, it was set at Rs 2.07 crore.
“Historically, the pay to non-executive directors has been high for the company, relative to companies of similar size. However, the new framework brings more clarity and caps the remuneration of each non-executive independent director, based on role and responsibilities on the board and board committees,” the report said.
From: financialexpress
Financial News
