Reliance seeks shareholders' nod to reappoint Mukesh Ambani as CMD; check his salary here

Oil-to-retail conglomerate Reliance Industries has sought the approval of the company's shareholders to give Mukesh Ambani another five-year term as chairman and managing director of the company till 2029 -- a period during which he has opted to draw nil salary.

In its latest annual report, Reliance said Mukesh Ambani's remuneration for the financial year 2022-23 was "nil".

Ambani has not drawn any salary and profit-based commission for three years in a row beginning FY21, having capped his annual remuneration at Rs 15 crore from financial year 2008-09 (April 2008 to March 2009) to FY20; and since FY21, he opted to forego his salary, due to COVID-19 pandemic, until the company and all its businesses were fully back to their earnings potential.


Having been on the board of the company since 1977, Ambani, 66, was elevated as chairman of the company after the death of his father and group patriarch Dhiburhai Ambani in July 2002. As per the company law, any individual over 70 years of age for the chief executive of the company requires a special resolution by the shareholders for him to be appointed beyond that age bar.

In a special resolution, Reliance sought the nod of shareholders to appoint Ambani as the head of the company till April 2029.

In the special resolution posted to shareholders, Reliance said its Board of Directors on July 21, 2023 approved "re-appointed Mukesh D. Ambani as Managing Director, for a period of 5 years from the expiry of his present term, i.e. with effect from April 19, 2024."

In June 2020, he voluntarily decided to forego his salary for the year 2020-21, in light of the COVID-19 outbreak in India, which exacted a huge toll on the societal, economic and industrial health of the nation.

He continued to forgo his salary in 2021-22 as well and now in 2022-23.

In these three years, Ambani did not avail of any allowances, perquisites, retiral benefits, commission or stock options from Reliance for his role as the Chairman and Managing Director.

The remuneration of his cousins Nikhil and Hital Meswani rose to Rs 25 crore each, including Rs 17.28 crore commission (unchanged from previous fiscal year).

Executive Directors P M S Prasad and Pawan Kumar Kapil saw their remuneration rise.

While Prasad drew Rs 13.50 crore in 2022-23 including performance linked incentives for 2021-22 which was paid in 2022-23. In 2021-22, he drew Rs 11.89 crore.

Kapil got Rs 4.40 crore, up from Rs 4.22 crore in 2021-22. He completed his 5-year term on May 15, 2023 and has since ceased to be a director of the company.

Ambani's wife Nita, a non-executive director on the company's board, earned Rs 6 lakh as a sitting fee (up from Rs 5 lakh in 2021-22) and another Rs 2 crore commission for 2022-23 (unchanged from previous fiscal). She had in 2020-21 got Rs 8 lakh sitting fee and another Rs 1.65 crore commission.

Besides Nita Ambani, other non-executive directors include Dipak C Jain, Raghunath A Mashelkar, Adil Zainulbhai, Raminder Singh Gujral, Shumeet Banerji, former SBI chairperson Arundhati Bhattacharya, former CVC K V Chowdary and Saudi sovereign wealth fund nominee Yasir Othman H Al Rumayyan.

While all independent directors got a Rs 2 crore commission and sitting fee.

K V Kamath who was appointed on Reliance board in January 2023 was paid a sitting fee of Rs 3 lakh and a commission of Rs 39 lakh.

(With inputs from PTI)