The Ambani way to beat inflation: big pay hikes
From about Rs 2.4 cr in the year ended March 2007, Ambani’s full-year pay surged to Rs 13.4 cr in the latest fiscal from the four listed group companies.business Updated: Aug 24, 2008 20:24 IST
Consumers may be reeling under an inflation of close to 13 per cent, but it should not be a cause for concern for India’s second-richest person Anil Ambani, whose pay package has grown by close to six times over past fiscal.
From about Rs 2.4 crore in the year ended March 2007, Ambani’s full-year pay surged to Rs 13.4 crore in the latest fiscal from the four listed group companies. Moreover, the latest year figure does not include his take from Reliance Communications, the flagship entity that accounts for over half of the group’s total valuation.
In comparison, his elder brother Mukesh Ambani — possibly the highest-paid business chief in India with an annual package of over Rs 44 crore — got a hike of about 45 per cent over the past fiscal.
Among the three listed group companies — Reliance Industries Ltd Reliance Petroleum and Reliance Industrial Infrastructure — Mukesh gets a remuneration only from the flagship entity RIL.
According to RIL’s annual report, Mukesh Ambani got a total payout of Rs 44 crore in 2007-08, up from Rs 30.5 crore in 2006-07 and Rs 24.8 crore in the year before that. In comparison, Anil Ambani got total remuneration of about Rs 13.4 crore in 2007-08 from his four group companies — Reliance Capital, Reliance Infrastructure (formerly Reliance Energy), Reliance Power and Reliance Natural Resources Ltd (RNRL). The figures for RComm are not yet available.
This still marks a multi-fold surge from a full-year payout of about Rs 2.4 crore in the previous year 2006-07 from four listed group companies in that year — namely Reliance Capital, Reliance Energy, RNRL and RComm.