Section 387. - Remuneration of manager. - Companies Act, 1956

Remuneration of manager. 387. The manager of a company may, subject to the provisions of section 198, receive remuneration either by way of a monthly payment, or by way of a specified percentage [1] [* * *] of the "net profits" of the company calculated in the manner laid down in sections 349 [2] [and 350], or partly by the one way and partly by the other: [3] [Provided that except with the approval of the Central Government such remuneration shall not exceed in the aggregate five per cent of the net profits.] ----------------------------------------- Notes:- [1] The words "not exceeding five", omitted by the Companies (Amendment) Act, 1960, 65 of 1960, section 147, [2] Substituted for "350 and 351" by the Companies (Amendment) Act, 2000, w.e.f. 13-12-2000. [3] Inserted by the Companies (Amendment) Act, 1960, Act 65 of 1960, section 147.