Must read! Balaji shareholders refuse to increase Ekta Kapoor's salary

MUMBAI: The shareholders of Balaji Telefilms have supposedly rejected the proposal to raise Ekta Kapoor and Shobha Kapoor's salaries for the upcoming year. Ekta serves as the Joint Managing Director, whereas Shobha is the Managing Director.

According to reports, the general meeting took place on August 31 and the results were declared on September 2. While 55.4% votes were against Ekta's remuneration proposal, 56.7% votes were against Shobha's proposal.

But only a small group of public shareholders participated in the voting. The promoter group, that holds 34.34 % stake, withheld from the voting. The publication also reported that Reliance Industries, which has 24.92% stake in the company, also did not participate in the special resolution voting.

“This is a very peculiar case. Where neither the promoter or large public shareholders or FIIs have voted. It remains to be seen if there is any clause that prevented the promoters from casting their vote on this particular resolution under the share purchase agreement,” Amit Tandon, founder and MD, Institutional Investor Advisory Services (IiAS), said.

Shobha was paid ₹2.1 crore in FY21. Ekta did not receive remuneration in FY21 as she had foregone her salary of ₹2.5 crore to provide financial aid to her employees.

Credits: Hindustan Times