The country’s top drugmaker, Ranbaxy, has proposed an annual pay package of Rs 6 crore for its new CEO and MD Atul Sobti, but his remuneration would be less than one-third of the same for his predecessor Malvinder Mohan Singh.
Incidentally, Singh’s remuneration was in excess of the prescribed regulatory limits and Ranbaxy is waiting for the shareholders’ nod to seek the waiver of relevant norms from the central government.
After holding the office of CEO and MD for about three years, Singh was elevated to the position of chairman, CEO and MD on December 19, 2008.
Ranbaxy was promoted by Singh and his family before they sold their holding to Japanese firm Daiichi Sankyo last year.
Sobti’s remuneration would include a salary of up to Rs 1.5 crore per annum and various allowances and perquisites with their aggregate value capped at Rs 4.5 crore. In addition, he would be entitled to company-maintained cars with drivers, telephones at residence, company's contribution to provident fund and superannuation fund, gratuity and other retiral benefits and leave encashment.
In comparison, the company has disclosed that Singh was paid a remuneration of Rs 9.15 crore, excluding a host of other benefits.