Petronet seeks 1% profit cap for director commissions
In short
Petronet LNG Ltd has asked shareholders to approve paying directors a commission capped at 1% of annual profits from FY27 to FY31. The request is in the notice for its upcoming general meeting and uses profit rules under Section 198 of the Companies Act, 2013.
This matters because it sets the limit for director pay at the company. It is not clear yet whether shareholders will approve it or how the money will be divided.
What the reporting says
Petronet LNG Ltd sought shareholders’ approval to pay directors commissions capped at 1% of annual profits from FY27 to FY31. The proposal, placed in the notice for its upcoming general meeting, is tied to profits calculated under Section 198 of the Companies Act, 2013. The available reporting does not say whether shareholders have approved it yet, or how the board will split the payments.
Why it matters
Petronet LNG Ltd has asked shareholders to continue paying directors a commission of up to 1% of annual profits for another five years, from FY27 to FY31. The notice says the amount will be calculated under Section 198 of the Companies Act, 2013, and divided as the board decides. The reporting does not confirm approval, and the exact split among directors is not stated.