While I agree to your point on debt taken vis a via Mutual fund investment is not prudent decision, I disagree to point of salary. The managment has put really great efforts to bring company to scale and hence, in my pesonal view, I am not so much concern, particualrly when large portion of amount is accruing as commission. Since the resolution is approved by members in AGM (I know that promoter also vote than with their shareholding can easily manage to pass such resolution), I find that being a major factor for worry. Further, I get concern when management does not declare appropriate dividend and take large salary from business. In case of Rantnamani, the management has been reasonable while declaring dividend.
Above is FY19 salary details of management. Total Director Remuneration is around Rs 29.4 Cr of which Rs 25 Cr is by way of commission. Hence, nearly 75% being variable. In case profit decline, we would see drop in commission as well in my opinion. Further, even for management, when they take salary and commission, they pay nearly 30%+ plus as income tax.
There are various other ways by which management can remunerate themselves, which would mean very low income tax outflow and also limited knowlege to minority shareholders. For instance, having sole selling agent which is not a related party in company law definition but practically controlled by the managment or procurement agents. When management take large remuneration, I feel the tempatation to take money out of business thorugh other avenues get lower. This is my subjective assessment and it may be wrong.
Discl: Ratnamani is among my top 10 holdings for me. My view may be biased. Not a SEBI registered advisor, Not recommeding investment action in the company.