Vodafone Idea MD and CEO will not be given any remuneration for 3-year tenure

Vodafone Idea Managing Director and Chief Executive Officer Ravinder Takkar will not be given any remuneration during his current tenure of three years, according to a proposal by the company. VIL appointed Takkar as its MD and CEO following the resignation of Balesh Sharma from the post.  

According to the notice, Takkar has been appointed as MD and CEO for a period of three years with effect from August 19, 2019. He will be given "nil remuneration". The company may bear expenses incurred by Takkar for the business of the company, the notice for the 25th annual general meeting of the company stated.  

The AGM is scheduled to be held on September 30.  

Notably, Takkar’s predecessor Sharma was paid Rs 8.59 crore in remuneration during his tenure and he was not entitled to any increase in the remuneration during 2019-20. While other terms of Takkar's appointment provide that "the company may bear all the expenses of/ for Mr Takkar relating to travelling, lodging and boarding, entertainment and all other incidental expenses for the business of the company as per policy of the company", the notice said. 

Takkar will not be "paid any sitting fees for attending the meetings of the Board of Directors of the company or any committee(s) thereof", the notice said. 

It further added that company will seek shareholders' approval for the appointment of Takkar, among other proposals, at the AGM. The company will also seek shareholder's nod to raise its borrowing limit to Rs 1 lakh crore from Rs 25,000 crore at present. 

According to the government's claim, Vodafone Idea has outstanding dues of 58,250 crore till 2016-17 of which the company has paid Rs 7,854 crore to the Department of Telecom. 

VIL has been continuously losing a huge number of subscribers.