Textiles and fabric manufacturer Raymond Ltd on Thursday said its shareholders have approved the reappointment of Gautam Hari Singhania as chairman & managing director for a term of five years effective from July 1, 2024, along with his proposed remuneration.
"The shareholders of the company at their Annual General Meeting (AGM) held today (June 27) have approved the re-appointment of Singhania.
"The AGM commenced at 3 pm and concluded at 4:05 pm," Raymond Ltd said in a regulatory filing.
The shareholders of Raymond approved the ordinary resolution for Singhania's appointment for another five years with a 94.24 per cent vote.
Shareholders also approved a special resolution for his remuneration with an 84.88 per cent vote.
Proxy advisory firm, IiAS had asked shareholders of Raymond to vote against the reappointment of chairman & managing director Gautam Singhania on the board of the company.
IiAS had called for an independent investigation into the accusations of domestic violence and misappropriation of funds raised by his estranged wife Nawaz Modi by the board of the company.
Moreover, it has also called for Singhania and Nawaz Modi to step off the board of Raymond until the divorce-related issues are settled and the results of an independent investigation are received.
Besides, IiAS had also recommended Raymond shareholders to vote against the proposed remuneration structure for Singhania claiming that it allows him to be paid in excess of regulatory thresholds.
"The remuneration structure allows him to be paid in excess of regulatory thresholds, which based on FY24 profits alone, can be in excess of Rs 350 mn.
"The board must provide a maximum cap on the remuneration, and not leave it open-ended with significant headroom built in for possible excessive remuneration," it had said.
