Whether sitting fee, travelling allowances, etc., are payable to director for being present in board meeting which was adjourned for want of quorum - Companies Law - No. 1/72,

Circular No. 1/72, dated 2 ‑ 2 ‑ 1972. Subject:- Whether sitting fee, travelling allowances, etc., are payable to director for being present in board meeting which was adjourned for want of quorum Section 309(2) provides that a director may receive remuneration by way of fee for each meeting of the board of directors or for a committee thereof attended by him. The usual accepted meaning of the word attend in the aforesaid section is to be present at a meeting of the board with a view to participating in its proceedings . The emphasis in this regard is on attending the meeting and not on the actual holding of the meeting. If the meeting of the board could not be held for want of quorum or for any other reason not within the control of the director concerned, that does not mean that the director did not attend the meeting. In view of the above, sitting fee, travelling allowances, etc., are payable to a director who was present at the meeting of the board of directors with a view to participating in its proceedings though no business could be transacted at that meeting for want of quorum.