The terms and conditions of appointment of Mr. Chetan Kajaria, Joint Managing Director of the Company w.e.f 1 April 2012 for un-
expired tenure (1 April 2012 to 31 March 2015) o f his appointment are as follows:
That the Joint Managing Director shall be entitled to the following remuneration w e f 1 April 2012:
Rs 8,50,000 – 150,000 – 11,50,000 /- per month.
1%of net profit before tax of the company as calculated under the provisions of section 349 of the CompaniesAct 1956.
In addition to the salary and commission, Joint Managing Director shall be entitled to the following Perquisites :
Perquisites are classified into three categories ‘A’ ‘B’ & ‘C’ as follows:
Residential accommodation (furnished or otherwise) or house rent allowance at the rate of 60%of the salary.
Allowance towards gas, electricity &water subject to ceiling of 10%of salary.
Medical Allowance / Re-imbursement of Medical expenses
Not exceeding onemonth’s salary per year.
Contribution to Provident Fund, Superannuation Fund or Annuity Fund, if any, will not be included in the computation of the ceiling
on perquisites to the extent that these either singly or put together are not taxable under the Income TaxAct.
Gratuity payable at a rate not exceeding half amonth’s salary for each completed year of service.
iii) Encashment of Leave at the end of tenure will not be included in the computation of ceiling on perquisites.
Provision of Car with Driver and Telephone at the Residence will not be considered as perquisites.
Other Terms andConditions
he will not be entitled to sitting fee for attendingmeeting of Board or of a Committee thereof.
If during the currency of tenure of the Joint Managing Director, the company has no profits or profits are inadequate, in any financial
year, the Joint Managing Director shall be entitled to remuneration by way of salary and perquisites as per the limits prescribed in
Schedule XIII to the CompaniesAct, 1956.
The Joint managing Director holds office as such, subject to the provisions of the Section 283 (1) of the CompaniesAct 1956.
That the Joint Managing Director shall not so long as he continues to be Joint Managing Director of the Company be liable to retire
That the Jt. Managing Director shall not become interested or otherwise concerned directly or through his relatives as defined
under the Companies Act in any selling/ buying agency of the company without the prior approval of the Board so long as he
functions in such capacity.
That the Jt. Managing Director shall not, during the continuance of his employment or any time thereafter, divulge or disclose to any
person, firm, company, body corporate or concern whatsoever or make any use for his own or for whatsoever purpose of any
confidential information, or knowledge obtained by him during his employment of the business or affairs of the company or of any
trade secrets or secret processes of the company and the Jt. Managing Director shall, during the continuance of his employment
hereunder, also use his best endeavour to prevent any other person, firm, company, body corporate or concern fromdoing so.
That the Jt. Managing Director shall, throughout the said term, devote his full attention and abilities to the business of the Company
and shall comply with the directions from time to time of the Board and in all respects confirm to the regulations made by the Board
and shall diligently promote the interest of the Company.
In the event of the Jt. Managing Director being found guilty of misconduct or negligence in the discharge of his duties or in the
conduct of the company’s business or of any other act or omission inconsistent with his duties as the Jt. Managing Director or any
breach of this agreement, which in the opinion of the Board requires termination from the office of the Jt. Managing Director. The
Company shall be entitled to terminate this agreement without any notice and compensation.
Unless otherwise contained in Clause 6 above, the Company can at its discretion terminate the contract / agreement by giving
three months notice of such termination or on payment of three months salary and no compensation will be payable to the
Jt. Managing Director for the unexpired portion of this agreement.