Company directors can now be paid more sitting fee

Directors on company boards can now be paid more as sitting fee.  They can be paid up to Rs 1 lakh per board meeting or a committee meeting thereof.

The new rules notified under Section 197 of the Companies Act 2013, said, “A company may pay sitting fee to a director for attending meetings of the board or committees thereof.  Such sum as may be decided by the board of directors thereof which shall not exceed Rs 1 lakh per meeting of the board or committee thereof. “

For Independent directors and women directors, the sitting fee shall not be less than the sitting fee payable to other directors.