Mar 31, 2014
Dear Members,
The Directors have pleasure in presenting the 28th Annual Report and
the audited Accounts of the Company for the financial year ended 31 st
March 2014
FINANCIAL PERFORMANCE (STANDALONE)
2013-2014 2012-2013
Turnover 5,57,09,949 7,73,78,642
Profit/(Loss) before Interest &
Depreciation (1,11,87,075) (67,82,197)
Interest 8,78,627 13,38,452
Profit/(Loss) before Depreciation 1,20,65,702 81,20,649
Depreciation 10,61,755 11,63,696
Net Profit/(Loss) (1,31,27,457) (92,84,345)
DIVIDEND
Company has suffered loss and therefore no dividend was declared.
OPERATIONAL HIGHLIGHTS
[A] While India has been growing at a healthy rate over the last few
years, in some industry segments, like electronics much of the
increased demand has been fuelled by imports. The situation worsened
with the signing of certain free trade agreements with other Asian
countries that have resulted in diversion of manufacturing in India to
these countries by the large global electronics companies. In addition,
there has been rampant dumping of components, which also in many cases
do not get adequate duty protection.
The Indian economic slowdown in 2012-13 and 2013-14 has also affected
demand for consumer electronics. In fact, consumer demand for
electronic products has largely declined and average selling prices
also experienced a drastic fall in light of competition. In this mileu,
BCC FUBA''s sales turnover was adversely affected and declined
significantly in comparison to the corresponding period last year.
Turnover of the company recorded a decrease of 28% as compared to the
corresponding period last year. There has been operating loss of Rs.
1,11,87,075/-, as compared to an operating loss of Rs. 6,782,197/- in
the corresponding period last year. Your company''s net losses for the
fiscal 2013-14 deepened to Rs. 1,31,27,457 in 2013-14 from Rs
9,284,345/- in 2012-13. Apart from the demand slowdown, there was
significant pressure on margins due to significant increase in raw
material prices. Much of the increase was also due to the significant
devaluation of the rupee, which made imports and import parity related
prices high.
The industry and especially your Company has been facing working
capital constraints due to malpractices followed in the industry in
non-payment of dues. The Company has actively taken this up and is
aggressively pushing for recoveries and diversifying its customer base
towards customers with better payment records.
The long terms scope for growth of the industry in India is vast as
electronics becomes more integral to several products. BCC FUBA has
been focusing on several elements of its internal processes and overall
strategy to overcome the present challenges and leverage this
opportunity.
[B] Recommendation to write off Bad Debt and Debit Balance
Audit committee in their report to the Board of Directors pointed out
that there is several debts outstanding in the books of the company
whose realization could not be done despite of the several sincere
efforts mad by the company. It was therefore decided to write off the
total outstanding debt of Rs. 12,82,873/-.
[D] Recommendation to written back the liabilities:
Audit committee found that there are some petty outstanding liabilities
are due to payment since a long time and it was informed by the
management that these petty outstanding liabilities to whom payment is
due are not supposed to be paid and decided to written back the total
outstanding credit balance of Rs. 91246/- treating them as income of
the company.
DIRECTORS
In accordance with the provisions of the Companies Act, 1956 and the
Articles of Association of the Company, Mrs. Renu Bhagat, Director of
the Company retire by rotation at the ensuing Annual General Meeting.
She, being eligible, has offered herself for re-appointment. As her
continued presence on the board are of immense importance to the
company, your directors recommended their re-appointment.
Appointment of Mr. Arindam Mookherjee as Managing Directors:
BCC Fuba India Limited is finally taking a bold step in its quest to
reverse its failing state of affairs. The company has decided to
appoint Mr. Arindam Mookherjee as new Managing Director of the Company.
Mr. Arindam Mookherjee, aged 36 years, is a MA in Economics from the
Delhi School of Economics, Delhi University. Mr. Arindam Mookherjee
has been a management consultant with rich experience of working on
strategy and process related assignments with several leading business
groups like Tata, Avantha Group, Bhilwara Group, Escorts and Bharat
Gears. He has an enviable track record of achievement and
professionalism. He possesses rich experience in Market Strategy,
Operations excellence, Financial Appraisal, Financial Management and
Corporate Governance. The Company, as a forward-looking company, has
re-constituted its Board of Directors at this time as part of its
strategies for a quantum leap in its corporate performance, and in full
preparation for upturning setbacks it has been facing since a long time
Nomination and Remuneration committee has recommended his appointment
for a further period of Five years on such terms and conditions as
given in the Notice of the ensuing Annual General Meeting of the
company.
Appointment of Independent Directors:
In accordance with the provisions of Section 149 of the Companies Act,
2013, your Board of Directors are seeking the appointment of Mr. Ravi
Mohan Mehta, Mr. Arul Harris, and Mr. Harun Rashid Ansari ensuing
Annual General Meeting as Independent Directors for 5 consecutive years
for a term up to the conclusion of the 33th Annual General Meeting of
the Company in the Calendar year 2019.
The Company has received Notices under Section 160 of the Companies
Act, 2013 from members signifying their intention to propose Mr. Ravi
Mohan Mehta, Mr. Arul Harris, and Mr. Harun Rashid Ansari as a
candidate for the office of Independent Director at the ensuing Annual
General Meeting.
The Company has also received the requisite disclosures/declarations
from Mr. Ravi Mohan Mehta, Mr. Arul Harris, and Mr. Harun Rashid Ansari
under Section 149 and other applicable provisions of the Companies Act,
2013.
Profile of all these Directors has been given as in the Explanatory
Statement to the Notice of the ensuing Annual General Meeting of the
Company.
CAPITAL STRUCTURE:
During the year under review, the share capital of your company
remained unchanged.
AUDITORS
M/s. Jawahar Kalra & Co. Chartered Accountants, New Delhi (ICAI
Registration No.FRN004008N), are proposed to be appointed as Auditors
of the Company from the conclusion of the ensuing Annual General
Meeting till the conclusion of the fifth Annual General Meeting of the
Company held thereafter, subject to ratification of the appointment by
the members at every AGM held after the ensuing AGM.
As required under Section 139 of the Companies Act, 2013, the Company
has obtained a written Consent from M/s. Jawahar Kalra & Co. Chartered
Accountants, New Delhi (ICAI Registration No.FRN:004008N), to such
appointment and also a certificate to the effect that their
appointment, if made, would be in accordance with Section 139(1) of the
Companies Act, 2013 and the rules made there under, as may be
applicable.
COST AUDITOR:
Your Board has not appointed any cost Auditor for the financial year
ended 31.03.2014 as the financial position of the company is very poor
and not able to bear the professional fees of the cost auditor as
suggested by the Institute of Cost and Management Accountant of India.
As the financial position improves the company will appoint CostAuditor
pursuant to the direction from the Ministry of Corporate Affairs,
Government of India.
FIXED DEPOSIT:
The company did not accept any deposits covered under section 58A of
the Companies Act, 1956 during the year under review.
INSURANCE:
All the insurable interests of your Company including inventories,
buildings, plant and machinery and liabilities under legislative
enactments are adequately insured.
LISTING OF SECURITIES:
At present the securities of the Company are listed with The Stock
Exchange Mumbai The company had proposed to delist the equity shares
from all the Stock Exchanges except the Stock Exchange Mumbai and the
proposal for delisting is under consideration before the Delhi Stock
Exchange Association Limited, The Stock Exchange Ahmedabad, Ludhiana
Stock Exchange Association Limited and the Calcutta Stock exchange
Association limited and the approval for delisting of the shares is
awaited.
DEPOSITORY SYSTEM
As per the SEBI Guidelines M/s. LINK INTIME INDIA PRIVATE LIMITED
having office at 44, Communiity Centre,, 2nd Floor, Naraina Industrial
Area, Phase-I, New Delhi-110028 have been associated with us as share
transfer agent. All the members are requested to contact them for any
kinds of shares related matters.
DEMATERIALISATION OF SHARES:
69.53 % of the company''s paid up Equity Share Capital is in
dematerialized form as on March 31st, 2014 and balance 30.47 % is in
physical form.
THE CORPORATE GOVERNANCE CODE
Implementation of Corporate governance is a turning point in bringing
the transparency in the regulation and administration of corporate
matters. We have implemented the corporate governance in sprit having
vision to bring the complete discipline between the function and
corporate regulation.
As a proactive step your Company has beep following the Corporate
Governance practices like striking out reasonable balance in the
Composition of Board of Directors, setting up Audit Committee and other
Business Committees, adequate disclosures and business to be
deliberated by the Board etc, even before the code became mandatory
applicable.
A Report in line with the requirements of clause 49 of the Listing
Agreement on the Corporate Governance practices followed by the Company
and the Auditors'' Certificate on Compliance of mandatory requirements
along with Management Discussion and Analysis, are given as an annexure
to this report.
AUDITORS'' REPORT-OBSERVATION OF THE AUDITORS IN THE ANNUAL ACCOUNT
The auditors'' report on the accounts of the Company is
self-explanatory.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT:
The report as required under the listing agreements with the Stock
Exchanges is annexed and forms part of the Directors'' Report.
DIRECTORS''RESPONSIBILITY STATEMENT:
The Directors confirm that:
* In the preparation of the accounts, the applicable accounting
standards have been followed and that no material departures have been
made from the same,
* They have selected such accounting policies and applied them
consistently and made judgments and estimates that are reasonable and
prudent, so as to give a true and fair view of the state of affairs of
the Company at the end of the financial year 31 st March 2014 and of
the profits of the Company for that period.
* They have taken proper and sufficient care 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; and
* They have prepared the annual accounts on going concern basis.
CEO CERTIFICATION:
Managing Director and Manager Finance & Accounts have certified to the
Board that:
1. We have reviewed financial statements and the cash flow statement
for the year and that to the best of our knowledge and belief:
(a) these statements do not contain any materially untrue statement or
omit any material fact contain statements that might be misleading.
(b) These statements together present a true and fair view of the
Company''s affairs and are in compliance with existing accounting
standards, applicable laws and regulations.
2. There are, to the best of our knowledge and belief, no transaction
entered into by the Company during the year, which are fraudulent,
illegal or violative of the company''s code of conduct.
3. We accept responsibility for establishing and maintaining internal
controls for financial reporting and that we have evaluated the
effectiveness of the internal control systems of the Company pertaining
to the financial reporting and we have disclosed to the auditors and
the Audit Committee, deficiencies in design or operation of internal
controls, if any, of which they are aware and the steps they have taken
or propose to take rectify these deficiencies.
4. We have brought in notice to the auditors and the Audit Committee
all the material transaction which have substantial effect on the
financial health of the company
INDUSTRIAL RELATIONS
The relations with labour remained cordial during the year.
ENERGY CONSERVATION/ TECHNOLOGY ABSORPTION/ FOREIGN EXCHANGE EARNING
AND OUTGO
Particulars of Energy Conservation / Technology Absorption and Foreign
Exchanges earnings and out go as per Section 217(1)(e) of the Companies
Act, 1956 read with Companies (Disclosure of the particulars in the
Report of Board of Directors) Rules 1988, are given annexure "I'' and
form part of this report.
PARTICULARS OF EMPLOYEES
Particulars of employees under Section 217(2A) of the Companies Act,
1956 read with the companies (Particulars of employees) Rules1975, are
given in Annexure II and form part of this report.
ACKNOWLEDGEMENT:
Yours Directors take the opportunity to offer thanks to the State Bank
of Patiala for their valuable assistance.
Yours Directors also wish to place on record their deep sense of
appreciation for services of the executives, staff and workers of the
company for smooth operations of the Company.
By Order of the Board
For BCC Fuba India Limited
Sd/-
(Renu Bhagat)
Date :30th May, 2014 Chairperson
Place: New Delhi
Mar 31, 2013
Dear Members,
The Directors have pleasure in presenting the 27th Annual Report and
the audited Accounts of the Company for the financial year ended 31
st March 2013
FINANCIAL RESULTS
(Rs. In lacs)
2012-13 2011-12
Turnover 773.79 640.18
ProfiU(Loss) before Interest
& Depreciation (67.82) (28.07)
Financial Charges (13.38) (42.06)
Profit/(Loss) before Depreciation (81.20) (70.13)
Depreciation 11.64 13.85
Net Profit/(Loss) (92.84) (83.98)
DIVIDEND
Company has suffered loss and therefore no dividend was declared.
OPERATIONAL HIGHLIGHT
[A] The global economic disturbances continued to bring challenges to
the electronics industry during the Year. Consumer demand for
electronic products has largely declined leading to a significant
decrease in sales orders. Average selling prices also experienced a
drastic fall.
Despite of the adverse business trend Sales for the year ended March
31, 2013 increased 20.87% to Rs.773.79 lacs compared to Rs.640.18 lacs
in 2012. This growth was driven primarily by the better utilisation of
scare resources and also professionally management of the production
under the dynamic and most experience Director Mr. Sukhminder Singh
Baidwan. However loss during the year increased by 8.86 lacs in
comparison of the loss of the previous year. The continuity in loss is
primarily due to under utilization of the installed capacity and
running the factory below the BEP in addition to increase in overheads.
This increase in demand is expected to continue during the first
quarter of financial year 2013-14.
[B] Your company is listed with BSE. Promoter of public limited company
which shares are listed with stock exchange cannot bring capital unless
it goes for right issue/ or preferential issue. Due to loss in the past
years and provision of Depreciation on straight line method the net
worth of the company has been eroded therefore the promoters who has
given unsecured loan to the company requested to treat the said loan as
quasi capital of the company in order to revive the financial health of
the company.
DIRECTORS
The Board of Directors place on record, with profound grief, the sad
demise of the illustrious founder and Chairman & Managing Director of
the company Mr. Vidya Sagar Bhagat on 18.02.2013 and his consequent
cessation from the Directorship of the Company effective from that
date.
The Board recalls the services rendered by him to the industry as well
as to the society during his lifetime and express their gratitude to
Mr. V. S. Bhagat for his valuable guidance and support for the
promotion and growth of the company from its inception.
At the Meeting of the Board of Directors of the Company held on
15.05.2013 , Mr. A.P. Mathur expressed his intention to relinquish his
position as Director of the Company and accordingly from the Chairman
of the committees of the Board of Directors and requested the Board to
accept his request with immediate effect. The Board with great
reluctance and utmost regret accepted Mr. A.P. Mathur request to
relinquish his office as Director of the Company with the conclusion of
the Board meeting held on 15.05.2013. The Board has placed on Record
his sincere appreciation of the valuable services rendered by Mr. A. P.
Mathur during his tenure as a Director of the Company.
Mr. Veenu Pasricha retires by rotation and, being eligible, offers
himselves for re-appointment.
The Board of Directors at its Meeting held on 5th March, 2013 have
pursuant to the approval of the
Remuneration Committee of the Board and subject to the approval of the
Members to be obtained at the ensuing
Annual General Meeting of the Company, appointed Mrs. Renu Bhagat as
the Chairperson & Managing Director for a period of 5 years with effect
from 5th March, 2013.
CAPITAL STRUCTURE:
During the year under review, the share capital of your company
remained unchanged.
AUDITORS
M/s. Aggarwal & Rampal, Chartered Accountants, statutory of the company
has tendered their resignation from the office of the company. The
Board recall the services rendered by him to the company and express
their gratitude for his valuable guidance and support to the company
and accepted their resignation w.e.f. from the conclusion of this
Annual General Meeting.
M/s Jawahar Kalra & Co. consented and given a certificate that if such
appointment for the year 2013-14 is made, it will be in accordance with
the requirement of the provisions of section 224(1 B) of the Companies
Act 1956 and its ceiling within prescribed under the Companies Act
1956. Your Directors and audit committee recommend their appointment
to hold office until the conclusion of this annual general meeting to
the ensuing General Meeting.
COST AUDITOR:
Your Board has not appointed any cost Auditor for the financial year
ended 31.03.2013 as the financial position of the company is very poor
and not able to bear the professional fees of the cost auditor as
suggested by the Institute of Cost and Management Accountant of India.
As the financial position improves the company will appoint Cost
Auditor pursuant to the direction from the Ministry of Corporate
Affairs, Government of India.
FIXED DEPOSIT:
The company did not accept any deposits covered under section 58A of
the Companies Act, 1956 during the year under review.
INSURANCE:
All the insurable interests of your Company including inventories,
buildings, plant and machinery and liabilities under legislative
enactments are adequately insured.
LISTING OF SECURITIES:
At present the securities of the Company are listed with The Stock
Exchange Mumbai. The company had proposed to delist the equity shares
from all the Stock Exchanges except the Stock Exchange Mumbai and the
proposal for delisting is under consideration before the Delhi Stock
Exchange Association Limited, The Stock Exchange Ahmedabad, Ludhiana
Stock Exchange Association Limited and the Calcutta Stock exchange
Association limited and the approval for delisting of the shares is
awaited.
DEPOSITORY SYSTEM
As per the SEBI Guidelines M/s. LINK INTIME INDIA PRIVATE LIMITED
having office at44,Community Centre 2nd Floor, Naraina Industrial Area,
Phase-I, New Delhi-110028 have been associated with us as share
transfer agent. All the members are requested to contact them for any
kinds of shares related matters.
THE CORPORATE GOVERNANCE CODE
Implementation of Corporate governance is a turning point in bringing
the transparency in the regulation and administration of corporate
matters. We have implemented the corporate governance in sprit having
vision to bring the complete discipline between the function and
corporate regulation. As a proactive step your Company has been
following the Corporate Governance practices like striking out
reasonable balance in the Composition of Board of Directors, setting up
Audit Committee and other Business Committees, adequate disclosures and
business to be deliberated by the Board etc, even before the code
became mandatory applicable.
A Report in line with the requirements of clause 49 of the Listing
Agreement on the Corporate Governance practices followed by the Company
and the Auditors'' Certificate on Compliance of mandatory requirements
along with Management Discussion and Analysis, are given as an annexure
to this report.
AUDITORS'' REPORT- OBSERVATION OF THE AUDITORS IN THE ANNUAL ACCOUNT
The auditors'' report on the accounts of the Company is
self-explanatory.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT:
The report as required under the listing agreements with the Stock
Exchanges is annexed and forms part of the
Directors''Report.
DIRECTORS''RESPONSIBILITY STATEMENT:
While preparing the annual financial statements the Company has adhered
to the following:
In the preparation of the said financial statements the Company has
followed the applicable accounting standards, referred to in Section
211(3-C) of the Companies Act, 1956.
The company has followed the said accounting standards and has been
applying them consistently and has made judgments and estimates that
are reasonable, prudent and are in the interest of the Company''s
business, so as to give a true and fair view of the state of affairs of
the Company as at March 31,2013 and Statement of the profit & loss of
the Company, for the said period.
The Directors have taken proper and sufficient care, 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.
The Directors have prepared the financial statements on a going concern
basis.
CEO CERTIFICATION:
Chairperson and Managing Director and Manager (Finance & Accounts )have
certified to the Board that:
1. We have reviewed financial statements and the cash flow statement
for the year and that to the best of our knowledge and belief:
(a) these statements do not contain any materially untrue statement or
omit any material fact contain statements that might be misleading.
(b) These statements together present a true and fair view of the
Company''s affairs and are in compliance with existing accounting
standards, applicable laws and regulations.
2. There are, to the best of our knowledge and belief, no transaction
entered into by the Company during the year, which are fraudulent,
illegal or violative of the company''s code of conduct.
3. We accept responsibility for establishing and maintaining internal
controls for financial reporting and that we have evaluated the
effectiveness of the internal control systems of the Company pertaining
to the financial reporting and we have disclosed to the auditors and
the Audit Committee, deficiencies in design or operation of internal
controls, if any, of which they are aware and the steps they have taken
or propose to take rectify these deficiencies.
4. We have brought in notice to the auditors and the Audit Committee
all the material transaction which have substantial effect on the
financial health of the company
INDUSTRIAL RELATIONS
The relations with labour remained cordial during the year.
ENERGY CONSERVATION/ TECHNOLOGY ABSORPTION/ FOREIGN EXCHANGE EARNING
AND
OUTGO
Particulars of Energy Conservation / Technology Absorption and Foreign
Exchanges earnings and out go as per Section 217(1)(e) of the Companies
Act, 1956 read with Companies (Disclosure of the particulars in the
Report of Board of Directors) Rules 1988, are given annexure T and form
part of this report.
PARTICULARS OF EMPLOYEES
Particulars of employees under Section 217(2A) of the Companies Act,
1956 read with the companies (Particulars of employees) Rulesl 975, are
given in Annexure II and form part of this report.
ACKNOWLEDGEMENT:
Yours Directors take the opportunity to offer thanks to the State Bank
of Patiala for their valuable assistance. Yours Directors also wish to
place on record their deep sense of appreciation for services of the
executives, staff and workers of the company for smooth operations of
the Company.
By order of the Board of Directors
Place: NewDelhi Sd/-
Date: 29.07.2013 (RENU BHAGAT)
Chairperson & Managing Director
Mar 31, 2010
The Directors have pleasure in presenting the 24th Annual Report and
the audited Accounts of the Company for the financial year ended 31 st
March 2010
FINANCIAL RESULTS
(Rs. In lacs)
2009-10 2008-09
Turnover 680.93 563.93
Profit/(Loss) before
Interest &
Depreciation 27.93 (9.98)
Interest 45.69 (50.88)
Profit/(Loss) before
Depreciation (17.76) (60.86)
Depreciation 75.32 75.28
Net Profit/
(Loss) (93.08) (136.14)
DIVIDEND
Company has suffered loss and therefore no dividend was declared.
OPERATIONAL HIGHLIGHT
Sales for the year ended March 31, 2010 increased 20.75% to Rs.680.93
lacs compared to Rs.563.93 lacs in 2009. This growth was driven
primarily by the improving demand in the commercial markets, led by the
communications, industrial, instrumentation and consumer electronics
segments. This increase in demand is expected to continue during the
first quarter of 2010.
We also experienced strong orders of Rs.300.00 lacs during the first
quarter of the current financial year. If the current strength in
demand continues throughout 2010-11, we expect net sales in 2010-11 to
grow at least 76.00% over the net sales of Rs.680.93 Lacs for 2009-10.
DIRECTORS
Mr. Ravi Mohan Mehta, Director of the Company retire by rotation at the
ensuing Annual General Meeting. He, being eligible, has offered
himself for re-appointment. As his continued presence on the board is
of immense importance to the company, your directors recommended his
re-appointment.
CAPITAL STRUCTURE:
During the year under review, the share capital of your company
rerpained unchanged.
AUDITORS
The auditors of the Company M/s. Aggarwal & Rampal, Chartered
Accountants hold office until the conclusion of the ensuing Annual
General Meeting and are eligible for re-appointment. Your directors and
Audit committee recommend their re-appointment. The requisite
certificate pursuant to Section 224(1 B) of the Companies Act, 1956,
has been received.
FIXED DEPOSIT:
The company did not accept any deposits covered under section 58A of
the Companies Act, 1956 during the year under review.
LISTING OF SECURITIES
At present the securities of the Company are listed with The Stock
Exchange Mumbai The company had proposed to delist the equity shares
from all the Stock Exchanges except the Stock Exchange Mumbai and the
proposal for delisting is under consideration before the Delhi Stock
Exchange Association Limited, The Stock Exchange Ahmedabad, Ludhiana
Stock Exchange Association Limited and the Calcutta Stock exchange
Association limited and the approval for delisting of the shares is
awaited.
DEPOSITORY SYSTEM
As per the SEBI Guidelines M/s. LINK INTIME INDIA PRIVATE LIMITED
having office atA-40,2nd Floor, Naraina Industrial Area, Phase-ll, New
Delhi-110028 have been associated with us as share transfer agent. All
the members are requested to contact them for any kinds of shares
related matters.
THE CORPORATE GOVERNANCE CODE
Implementation of Corporate governance is a turning point in bringing
the transparency in the regulation and administration of corporate
matters. We have implemented the corporate governance in sprit having
vision to bring the complete discipline between the function and
corporate regulation.
As a proactive step your Company has been following the Corporate
Governance practices like striking out reasonable balance in the
Composition of Board of Directors, setting up Audit Committee and other
Business Committees, adequate disclosures and business to be
deliberated by the Board etc, even before the code became mandatory
applicable.
A Report in line with the requirements of clause 49 of the Listing
Agreement on the Corporate Governance practices followed by the Company
and the Auditors Certificate on Compliance of mandatory requirements
along with Management Discussion and Analysis, are given as an annexure
to this report.
AUDITORS REPORT-OBSERVATION OF THE AUDITORS IN THE ANNUAL ACCOUNT
The auditors report on the accounts of the Company is
self-explanatory.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT:
The report as required under the listing agreements with the Stock
Exchanges is annexed and forms part of the Directors Report.
DIRECTORS RESPONSIBILITY STATEMENT:
While preparing the annual financial statements the Company has adhered
to the following:
In the preparation of the said financial statements the Company has
followed the applicable accounting standards, referred to in Section
211 (3-C) of the Companies Act, 1956.
The company has followed the said accounting standards and has been
applying them consistently and has made judgments and estimates that
are reasonable, prudent and are in the interest of the Companys
business, so as to give a true and fair view of the state of affairs of
the Company as at March 31,2010 and of the profit/loss of the Company,
for the said period.
The Directors have taken proper and sufficient care, 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.
The Directors have prepared the financial statements on a going concern
basis.
CEO CERTIFICATION:
Chairman and Managing Director and Manager (Finance & Accounts) have
certified to the Board that:
1. We have reviewed financial statements and the cash flow statement
for the year and that to the best of our knowledge and belief:
(a) these statements do not contain any materially untrue statement or
omit any material fact contain statements that might be misleading.
(b) These statements together present a true and fair view of the
Companys affairs and are in compliance with existing accounting
standards, applicable laws and regulations.
2. There are, to the best of our knowledge and belief, no transaction
entered into by the Company during the year, which are fraudulent,
illegal or violative of the companys code of conduct.
3. We accept responsibility for establishing and maintaining internal
controls for financial reporting and that we have evaluated the
effectiveness of the internal control systems of the Company pertaining
to the financial reporting and we have disclosed to the auditors and
the Audit Committee, deficiencies in design or operation of internal
controls, if any, of which they are aware and the steps they have
taken or propose to take rectify these deficiencies.
4. We have brought in notice to the auditors and the Audit Committee
all the material transaction which have substantial effect on the
financial health of the company
INDUSTRIAL RELATIONS
The relations with labour remained cordial during the year.
ENERGY CONSERVATION/ TECHNOLOGY ABSORPTION/ FOREIGN EXCHANGE EARNING
AND OUTGO
Particulars of Energy Conservation /Technology Absorption and Foreign
Exchanges earnings and out go as per Section 217(1 )(e) of the
Companies Act, 1956 read with Companies (Disclosure of the particulars
in the Report of Board of Directors) Rules 1988, are given annexure "1"
and form part of this report.
PARTICULARS OF EMPLOYEES
Particulars of employees under Section 217(2A) of the Companies Act,
1956 read with the companies (Particulars of employees) Rules1975, are
given in Annexure II and form part of this report.
ACKNOWLEDGEMENT:
Yours Directors take the opportunity to offer thanks to the State Bank
of Patiala for their valuable assistance.
Yours Directors also wish to place on record their deep sense of
appreciation for services of the customer,
executives, staff and workers of the company for smooth operations of
the Company.
By order of the Board
Sd/
Place: New Delhi (v.S. BHAGAT)
Date: 29.05.2010 Chairman & Managing Director