Paytm proposes revised remuneration structure for board members

22 Aug 2024 , 03:04 PM

In a step that emphasises its commitment to responsible financial management, Paytm has proposed a revamped remuneration structure for its Non-Executive Independent Directors.

The new framework, beginning April 1, 2024, decreases yearly remuneration to ₹48 lakh, with a fixed component of ₹20 lakh. The remainder will be flexible, depending on factors such as meeting attendance and leadership responsibilities in the board’s several committees.

Previously, directors Ashit Ranjit Lilani and Gopalasamudram Srinivasaraghavan Sundararajan were paid ₹1.65 Crore and ₹2.07 Crore, respectively, per year. According to the company’s exchange filing, the new remuneration system is based on industry benchmarking, which takes into account governance procedures and the market capitalisation of related companies.

In addition to the proposed salary changes, Paytm is seeking shareholder approval for the nomination of Rajeev Krishnamuralilal Agarwal, a former Indian Revenue Services official, to the board.

Furthermore, Paytm is seeking approval for the reappointment of Ravi Chandra Adusumalli, Elevation Capital’s Founder and Co-Managing Partner, who is slated to retire through rotation. Elevation Capital was among Paytm’s early backers.

These proposed modifications and appointments are part of Paytm’s larger strategy to reaffirm its commitment to upholding high corporate governance standards, ensuring that the company is well-positioned to continue its path toward long-term sustainability and profitability. 

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