Mar 31, 2010
The Directors have great pleasure in presenting the 18th Annual Report together with the Audited Accounts for the year ended on March 3 1, 2010.
Year Ended 1.03.2010 Year Ended 31. 03.2009
Amt in Rs. Amt in Rs.
Sales & Other Income 1,236,943,455 279,258,329
Less : Expenditure 1,235,129,755 291,462,762
Depreciation 179,650 4,713
Profit / (Loss) before tax and appropriations 9,527,354 7, 921,793
Less: Provision for Tax 1,800,000 94,945
Less: Provision for FBT - 5,200
Profit / (Loss) after tax 7,727,354 7,821,648
Add: Balance brought forward from previous year (134,608,340) (142,429,988)
Surplus / (Deficit) carried to BalanceSheet (126,880,986) (134,608,340)
Though the Company earned net profit of Rs.7,727,354 during the year, but due to huge carry forward losses and deficit your directors did not recommend dividend for the year ended March 31, 2010 for both equity and preference shares.
The Company is presently trading in broad range of steel products, including C.R. Coils & Sheets, C.T.D. Bars, H.R. Sheets & Plates and Hot Rolled Steel Plates, Ingot irons M.S. Plates, Angles, Channels, Chequered Plates, Wires, T.M.T Bars, Rebars and Tor Steel, Stainless Steel and other Alloy Steels and importing & trading in Aluminum Scrap. The Company would be starting manufacturing activity shortly.
The turnover of the Company rose from Rs. 299,389,268/- in the previous year to Rs. 1,244,836,760/- in the year under review. However the Profit after tax marginally decreased from Rs. 7,821,648/- in the previous year to Rs.7,727,354/- for the year ended March 31, 2010, due to high material cost and tight margins arising out of the global recession.
The Companys present equity paid up capital stands at Rs.49,870,500/- comprising 50,00,000 equity shares of Rs. 10/ - which is listed on Bombay Stock Exchange.The Companys paid up Preference Shares Capital stands at Rs. I 3 1,600,000 comprising of 13,16,000 9% Cumulative Redeemable Preference Shares of Rs. 100 each.
BOARD OF DIRECTORS
Mr. Pandurang Nawghane and Mr. Krishnat Desai were appointed as Additional Directors by the board and their appointment as director liable to retire by rotation is being sought in the ensuing Annual General Meeting, on being demanded by members for which necessary notices have been received by the Company.
Mr. Karsan Chitroda, Director of the Company retires by rotation at the ensuing Annual General Meeting and being eligible offer himself for re- appointment.
Mr. Promod Agarwal, Additional Director resigned on 16/04/2009 and Mr. R. A. Redkar, Mr. P. K. Rajgopal and Mr. Sunil Khandelwal Directors of the Company resigned from the directorship of the Company w.e.f. I 1/08/2010. The Board wishes to place on record their appreciation for the services rendered by them during their tenure with the Company.
The Company has taken proactive steps to ensure that the conditions of Corporate Governance stipulated in Clause 49 of the Listing Agreement with the Stock Exchange are complied with. A separate report on Corporate Governance together with Auditors Certificate on its compliance are included in the Annual Report.
DIRECTORS RESPONSIBILITY STATEMENT
Pursuant to Section 2I7(2AA) of the Companies Act, 1956 the Directors confirm that:
I] In the preparation of the annual accounts, the applicable accounting standards have been followed along with proper explanations relating to material departures. 2] Appropriate accounting policies have been selected and applied consistently and judgments and estimates wherever made are reasonable and prudent so as to give a true and fair view of the state of affairs of the Company as at the March 31,2010. 3] Proper and sufficient care has been taken for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 1956 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities. 4] The Annual Accounts have been prepared on a going concern basis.
Messrs. Arvind Darji Associates, Chartered Accountants, the retiring Auditors have not sought re-appointment. It has been proposed to appoint Messrs. AMD & Company, Chartered Accountants as Auditors of the Company.The Company has received a Certificate from them that they are qualified under Section 224 (I) of the Companies Act, 1956 for appointment as Auditors of the Company. Members are requested to consider their appointment at a remuneration to be decided by the Board of Directors for the financial year ending March 31, 2010 as set out in the Notice convening the Meeting.
The observations of the Auditors contained in their Report are self explanatory and does not require any clarification.
In accordance with the provisions of the Section 292A of the Companies Act, 1956 and the Corporate Governance requirements as per the Listing Agreement, the Company has re-constituted the Audit Committee comprising of the following Directors viz., Mr. Krishnat Desai, as Chairman, Mr. Karsan Chitroda and Mr.Abhishek Mehta as members.The Audit Committee acts in accordance with the terms of reference specified from time to time by the Board.
PARTICULARS REGARDING CONSERVATION OF ENERGY.TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS AND OUTGO:
The Company has taken effective steps to conserve and minimize power and fuel consumption.The Company has not exported any goods during the year but the company has imported goods during the year. Foreign Exchange Earning was Nil and Outgoing was Rs. 36,40,089/-.
PARTICULARS OF EMPLOYEES
None of the employees of the Company come within the purview of the information required u/s 2I7[2A] of the Companies Act, 1956 read with the Companies [particulars of Employees] Rules, 1975 as amended.
RESEARCH & DEVELOPMENT
The Company has been arduously working to improve the R & D so as to provide quality and value for money to the customers in keeping with market trends.
Your Company has not accepted any deposit within the meaning of Section 58A of the Companies Act, 1956 from Public and the rules made there under.
SAFETY, ENVIRONMENTAL CONTROL AND PROTECTION
The Company has taken all the necessary steps for safety and environmental control and protection.
The Directors wish to convey their appreciation to the Companys Shareholders, Customers, Suppliers, Bankers, and Distributors for their support they have given to the Company over the past years and the confidence, which they have reposed in its management and the employees for the commitment and dedication shown by them.
For and behalf of the Board of Directors Elpro Packaging Limited Sd/- Director Registered Office ELPRO PACKAGING LIMITED Flat No. I 3, Soubhagya Apts., 3rd Floor, Pavananagar, Dist. Pune - 41 1033 23rd August, 2010
For and behalf of the Board of Directors Elpro Packaging Limited Sd/- Director
Registered Office ELPRO PACKAGING LIMITED Flat No. I 3, Soubhagya Apts., 3rd Floor, Pavananagar, Dist. Pune - 41 1033 23rd August, 2010