NEW DELHI, Nov 4: Cairn India will pay Mayank Ashar, its first full-time CEO in two years, a salary of USD 1.15 million plus perquisites and allowances.
Cairn will pay Ashar a base salary of USD 1 million per annum plus USD 1.5 lakh in a special allowance/foreign service premium.
On top of this, he will also be entitled to other benefits, perquisites and allowances like housing, car, insurance etc, the company said in a notice to shareholders.
Besides retirement benefits and bonus of a maximum of 200 per cent of basic salary, Cairn will pay Ashar a one-time joining bonus of USD 1.5 lakh.
Cairn has been without a full-time CEO since its long-standing head Rahul Dhir quit in August 2012. The Vedanta Group-controlled firm first appointed P Elango as interim CEO and after he resigned in May, Sudhir Mathur, the Chief Financial Officer, was given additional charge as interim CEO.
Dhir had in 2011-12, his last full year as CEO, drawn a total salary of Rs 14.25 crore. This comprised of Rs 4.95 crore in basic salary, Rs 5.7 crore in perquisites, Rs 3.09 crore in bonus and Rs 4.22 crore in retirement benefits, says the company’s annual report.
Ashar, 59, will take over as Managing Director and Chief Executive Officer of the company with effect from November 17, 2014 for a period of five years, Cairn said in the notice through which it sought shareholders’ nod for the appointment.
“He has over 36 years of rich and exhaustive experience in international oil and gas industry through various senior management and top leadership roles in leading global companies such as British Petroleum, Petro-Canada and Suncor Energy. Ashar brings a rare mix of driving corporate strategy and on-ground execution,” Cairn said in the notice.
He also served as the Chief Executive Officer & President at Irving Oil Limited. He holds a Bachelors of Art & Science in Chemical Engineering, a BA in Philosophy and Economics, a Masters of Engineering and an MBA from the University of Toronto.
With Elango’s resignation, the entire senior team of Cairn Energy, the former parent of Cairn India, had exited since Vedanta Resources Plc took control in 2010.
Elango was the second senior executive that Vedanta lost across its Indian businesses this year. P K Mukherjee, the Executive Director of Sesa Sterlite Ltd’s iron ore business, resigned on March 28.
Cairn said the appointment of Ashar is subject to the approval of central government as he is a non-resident and has not been staying in India for a continuous period of 12 months immediately preceding the date of his appointment as provided under Part I of Schedule V to the Companies Act.
“Other than the residential status, his appointment meets all the requirements under the Companies Act,” it added. (PTI)
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