Cap independent directors' pay for services at 10%, says expert committee

It is recommended that fee should be capped at 20% of gross annual income

 An expert committee reviewing provisions in the Companies Act has recommended that the fee paid to an independent director for his services other than those given to the board by a company be capped at 10 per cent of his gross annual income to ensure his independence.

So far as overall remuneration of an independent director by a company is concerned, it is recommended that it be capped at 20 per cent of his gross annual income.

Shardul Shroff, the executive chairman of Shardul Amarchand Mangaldas who was a part of the committee, told Business Standard said the above two