November 25, 2024

Mukesh Ambani’s children will be paid fee for attending board meetings, won’t get salary: RIL resolution

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NEW DELHI: Reliance Industries Ltd has sought the shareholders’ nod for the appointment of Mukesh Ambani‘s three children to the company’s board.
According to a resolution by RIL, Akash and Isha (both 31) and Anant (28) will receive compensation solely in the form of fees for attending board and committee meetings, PTI reported.
Mukesh Ambani (66) himself has not drawn any salary from the company since the 2020-21 fiscal year.
In contrast, other executive directors, including his cousins Nikhil and Hital, receive a combination of salary, perquisites, allowances and commissions.
The compensation structure for Ambani’s children mirrors that of his wife, Nita, who joined the company’s board in 2014.
Nita earned a sitting fee of Rs 6 lakh and a commission of Rs 2 crore during the 2022-23 fiscal year, as reported in the company’s latest annual report.
In a recent announcement during the company’s annual shareholders meeting, Mukesh Ambani confirmed the induction of his three children into the Reliance board of directors (BoD).
He also reiterated his commitment to remain as the company’s chairman and CEO for another five years, with a primary focus on mentoring and empowering the next generation of leaders.
Reliance has initiated a postal ballot to seek shareholders’ approval for the appointment of Akash, Isha, and Anant as board directors.
According to the notice sent to shareholders, their remuneration will include fees for attending board and committee meetings, expense reimbursements for participation in meetings, and profit-related commissions.
Mukesh Ambani initially introduced the succession plan for the conglomerate in 2022, with each of his three children taking charge of various divisions within the company.
Akash will lead the telecom division, Isha will oversee retail, and Anant will manage the new energy businesses.
However, the succession plan for the core oil-to-chemicals (O2C) division remains undisclosed.
(With inputs from PTI)



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