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Directors Report of Ekam Leasing & Finance Company Ltd.

Mar 31, 2014

Dear Members,

The Directors are pleased to have this opportunity to present the Twenty First Annual Report of the Company along with and Audited Statement of Accounts for the year ended 31st March, 2014.

FINANCIAL HIGHLIGHTS (amount in Rs.)

2013-201 2012-2013

Revenue from operations 63,53,802.00 40,38,117.00

Other Income 17,60,962.00 3,46,854.00

Total Expenditure 43,91,237.00 38,95,525.00

Profit / (Loss) before Tax & Provision for NPA 37,23,527.00 4,89,446.00

Provision for Tax 7,21,092.00 1,59,840.00

Net Profit / (Loss) 30,02,435.00 3,29,606.00

Deficit brought forward from previous year (95,21,288.00) (98,50,893.87)

Deficit carried over to Balance Sheet (6,518,853.00) (95,21,288.00)

OVERALL PERFORMANCE

The Income from operations during the year has been Rs. 63.53 Lacs approx as against Rs. 40.38 lacs approx in the previous year. The financial year under review resulted in Net Profit of Rs. 30.02 Lacs, as compared to Rs. 3.29 Lacs in the previous year.

During the financial year under review the performance of the company has a steep increase by approx 57.33 % over the performance during the last financial year, the net profit decreased due to increased cost of finance to expand the scale of the business operations of the Company. The management of the company has positive outlook for the future growth.

DIVIDEND

In view of the huge accumulated losses incurred by the company in the past and future capital requirements, your directors do not recommend payment of any dividend for the year.

CORPORATE GOVERNANCE

The Company is required to implement various compliances of Corporate Governance in accordance with the requirements of the Standard Listing Agreement entered into by the Company with the Stock Exchanges namely Bombay Stock Exchange (BSE), Delhi Stock Exchange(DSE) and Company has delisted its Securities from Ludhiana Stock Exchange(LSE) w.e.f. 08th February, 2014 vide letter No. LSE/ 2013-14 dated 11th February, 2014. Your Company had taken adequate steps to ensure compliance of the requirements of Corporate Governance and accordingly, pursuant to Clause 49 of the Listing Agreement with the Stock Exchanges, Management Discussion and Analysis, Corporate Governance Report and Auditors'' Certificate regarding compliance of conditions of Corporate Governance is made part of this Annual Report.

FUTURE PROSPECTS

The management is very optimistic and aggressively focusing on to exploit the opportunities available to NBFC in India and exploring and evaluating various business models for implementation in order to enhance to turnover of the Company to escalate to new heights. The Board expects that the Company will continue to improve its overall performance and excel to enhance the profitability of the Company, in the present economic scenario and growth momentum of Indian economy, via its strategy competency, operational efficiencies and successful implementation of its new business models.

REGISTRATION WITH RBI

The Company being a Non-Banking Finance Company (NBFC) and is registered with the Reserve Bank of India(RBI), with RBI Registration No, 14-00332. The Company had complied with the Non- Banking Financial (Non - Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007 as amended.

AUDITORS

M/s. G.L. Gupta & Associates, Chartered Accountants, Statutory Auditors of the company hold office until the conclusion of the ensuing Annual General Meeting (AGM) and being eligible offer themselves for re-appointment. They have confirmed that their appointment, if made, would be within the prescribed limits.

Pursuant to the provisions of section 139 of the Companies Act, 2013 and the Rules framed thereunder, it is proposed to appoint M/s. G.L. Gupta & Associates, Chartered Accountants, as statutory auditors of the Company from the conclusion of the forthcoming AGM till the conclusion of the Twenty Fourth Annual General Meeting to be held in the year 2017, subject to ratification of their appointment at every AGM.

Yours Directors recommend reappointment of M/s. G.L. Gupta & Associates, Chartered Accountants, as Auditors of the company at the ensuing Annual General Meeting through the Notice convening the AGM.

The notes to the accounts referred to in the Auditor''s Report and the observations made in the Report under Companies (Auditor''s Report) Order, 2003 are self-explanatory and therefore do not call for any further comments.

DIRECTORS

In accordance with the provisions of Section 149 and 152 of the Companies Act, 2013 and Rules made thereunder as amended from time to time, the Company has recommended appointments of Independent Directors as stipulated in item Nos. 3 to 6 of the Notice of the ensuing 21st Annual general meeting of the Company. In view of all other directors being recommended for appointment as Independent directors except Mr. Rakesh Jain, Managing Director, therefore there is no director liable to retire by rotation.

DIRECTORS RESPONSIBILITY STATEMENT

The information required to be furnished in terms of section 134(5) of the Companies Act, 2013 (erstwhile Section 217(2AA) of the Companies Act, 1956) are set out hereunder:

Your Directors confirm:

i) that in the preparation of the annual accounts, the applicable accounting standards had been followed along with proper explanation relating to material departures;

ii) that the directors had 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 and of the profit or loss of the company for that period;

iii) that the directors had taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the company and for preventing and detecting fraud and other irregularities;

iv) that the directors had prepared the annual accounts on a going concern basis. PARTICULARS AS PER SECTION 134 OF THE COMPANIES ACT, 2013

Your company does not have any employee, whose particulars are required to be given under the provision of Section 134 of The Companies Act, 2013 (erstwhile section 217 (2A) of the Companies Act, 1956) read with the Companies (Accounts) Rules, 2014.

Disclosure with respect to Conservation Of Energy, Technology Absorption & Foreign Exchange Earning And Outgo, pursuant to section 217 (1)(e) of the Companies Act, 1956 is not applied to the Company.

LISTING OF SHARES

The shares of the company are listed on Bombay Stock Exchange & Delhi Stock Exchange. The listing fees has been paid in full to all the stock exchanges during the year. Company has voluntarily delisted its Securities from Ludhiana Stock Exchange w.e.f. 8th February, 2014.

FIXED DEPOSITS

The Company has not accepted any fixed deposits till date within the meaning of Section 58A of the Companies Act, 1956 and rules made there under.

ACKNOWLEDGEMENT

Your Directors place on record their warm appreciation of the assistance and cooperation extended by various Government Departments, Authorities, Reserve Bank of India, Business Partners etc. Your Directors also place on record their deep appreciation of the support provided by the Bankers associated with the company.

Your support as shareholders is greatly value. Your directors thank you and look forward to your continuance support.

EKAM LEASING & FINANCE CO. LIMITED By order of the Board of Directors Registered Office: IIIrd Floor, 14, Rani Jhansi Road, New Delhi - 110 055. Rakesh Jain Saurabh Jain Corporate Identity Number: Managing Director Director L74899DL1993PLC055697 DIN.00061737 DIN : 02815972 Tel : 011-32033277, Fax: 91-11-23528015 Email: investor@ekamleasing.com Website: www.ekamleasing.com

September 03, 2014 New Delhi


Mar 31, 2013

TO THE MEMBERS OF EKAM LEASING AND FINANCE CO. LIMITED

The Directors are pleased to have this opportunity to present the Twentieth Annual Report of the Company along with and Audited Statement of Accounts for the year ended 31st March, 2013.

FINANCIAL HIGHLIGHTS famounf (amount in Rs.)

2012-2013 2011-2012

Revenue from operations 40,38,117.00 36,25,119.00

Other Income 3,46,854.00 13,18,586.00

Total Expenditure 38,95,525.00 42,04,157.00

Profit / (Loss) before Tax & Provision for NPA 4,89,446.00 7,39,548.00

Provision for Tax 1,59,840.00 1,50,720.00

Net Profit / (Loss) 3,29,606.00 5,88,828.00

Deficit brought forward from previous year (98,50,893.87) (1,04,39,721.87)

Deficit carried over to Balance Sheet (95,21,288) (98,50,893.87)



OVERALL PERFORMANCE

The Income from operations during the year has been Rs. 40.38 Lacs approx as against Rs. 36.25 lacs approx in the previous year. The financial year under review resulted in Net Profit of Rs. 3.29 Lacs as compared to Rs. 5.89 Lacs the previous year.

During the financial year under review the performance of the company has improved by approx 11.41% over the performance of the last financial year, the net profit decreased due to increased cost of finance to expand the scale of the business operations of the Company. The management of the company has positive outlook for the future growth.

DIVIDEND

In view of the Insignificant Profit for the year under review and huge accumulated losses incurred by the company in the past, your directors do not recommend payment of any dividend for the year.

CORPORATE GOVERNANCE

The Company is required to implement various compliances of Corporate Governance in accordance with the requirements of the Standard Listing Agreement entered into by the Company with the Stock Exchanges namely Bombay Stock Exchange (BSE), Delhi Stock Exchange(DSE) & Ludhiana Stock Exchange(LSE) wherein the shares of the Company are Listed. Your Company had taken adequate steps to ensure compliance of the requirements of Corporate Governance and accordingly, pursuant to Clause 49 of the Listing Agreement with the Stock Exchanges, Management Discussion and Analysis, Corporate Governance Report and Auditors'' Certificate regarding compliance of conditions of Corporate Governance is made part of this Annual Report.

FUTURE PROSPECTS

The management is very optimistic and aggressively focusing on to exploit the opportunities available to NBFC in India and exploring and evaluating various business models for implementation in order to enhance to turnover of the Company to escalate to new heights. The Board expects that the Company will continue to improve its overall performance and excel to enhance the profitability of the Company, in the present economic scenario and growth momentum of Indian economy, via its strategy competency, operational efficiencies and successful implementation of its new business models.

MANAGEMENT DISCUSSION AND ANALYSIS REPORT

Forward-Looking Statements:

Certain statements in this MD&A Report which are not historical facts constitute forward-looking statements or forward-looking information within the meaning of applicable laws ("forward-looking statements"). Forward-looking statements are based on certain assumptions and expectations of future events. The Company cannot guarantee that these assumptions and expectations are accurate or will be realized. The Company''s actual results, performance or achievements could thus differ materially from those projected in any such forward-looking statements. The Company assumes no responsibility to publicly amend, modify or revise any forward looking statements, on the basis of any subsequent developments, information or events.

Ekam Leasing & Finance Co. Ltd. registered with RBI as a non banking financial company(non deposit accepting), professionally managed Company where customer-satisfaction is of paramount consideration and matters most above all others.

The Industry: Opportunities & Threats:

NBFCs have been playing a complimentary role to the banking sector, catering to the unbanked sectors and promoting financial inclusion; NBFCs have been vital to the growth of the economy by providing financial support to some of the important segments of the economy. Gradually, they are being recognised as complementary to the banking sector due to their customer-oriented services: simplified procedures; attractive rates of return on deposits; flexibility and timeliness in meeting the credit needs of specified sectors; etc. NBFCs are heterogeneous group of institutions (other than commercial and co- operative banks) performing financial intermediation in a variety of ways, like accepting deposits, making loans and advances, leasing, hire purchase, etc. They raise funds from the public, directly or indirectly, and lend them to ultimate spenders. They advance loans to the various wholesale and retail traders, small-scale industries and self-employed persons. Thus, they have broadened and diversified the range of products and services offered by a financial sector.

Opening up of economy gave a further boost to the demand for credit. A developing economy like India always craves for financial resources and NBFCs account for 12.3% of assets of the total financial system. Due to the global economic slowdown and its impact on the domestic economy, NBFC sector faced significant stresses on asset quality, liquidity and funding costs.

Business Outlook and Overview:

Demand for credit is great and often organized traditional financing institutions (like banks and financial institutions) do not meet such demand thus creating a space for other types of financing. Money lender is an age old institution filling such space. Bank borrowings and debentures have remained the prominent source of funding for NBFCs After a long depressing performance in the past, the Company with its pragmatic approach in line with the objectives of Long-term growth, is developing the strategic competency and enhancing its operational efficiencies. Our strategy to enhance scale of operations, strengthen business, where we have competencies.

Company''s future earnings largely depend upon successful implementation of its strategies in its core competence portfolio. Further the Company is going to enlarge its area and scale of operations to the existing portfolio to capture business opportunities growth and to consolidate customer relationship this year.

Performance:

The Income from operations during the year has been Rs. 40.38 Lacs approx as against Rs. 36.25 lacs approx in the previous year. The financial year under review resulted in Net Profit of Rs. 3.29 Lacs as compared to Rs. 5.89 Lacs the previous year.

Internal Control Systems and Cost:

The Company endeavors to ensure that an adequate internal control system is in place. The company has undertaken an extensive exercise to control the overall cost and to explore and finalise ways of cost reduction and optimizing resources.

Human Resource Development:

Ekam Leasing & Finance Co. Ltd. strives to create a culture of openness and empowerment amongst its employees and provide good career development. The Company is committed to the welfare of the employees and their families. The Company believes that human resources are the key resources for the success of any organization.

Your Company belief in trust, transparency & teamwork to improve employee''s productivity at all levels.

REGISTRATION WITH RBI

The Company being a Non-Banking Finance Company(NBFC) and is registered with the Reserve Bank of India(RBI), with RBI Registration No, 14-00332. The Company had complied with the Non-Banking Financial (Non - Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007 as amended.

AUDITORS

M/s. G.L. Gupta & Associates,Chartered Accountants, New Delhi, Statutory Auditors of the company, retire from their office at the ensuing Annual General Meeting. They are, however, eligible for re- appointment pursuant to Section 224(1 B) of the Companies Act, 1956 they have confirmed their eligibility for re-appointment as the Auditors of the company. Members are requested to consider their re-appointment.

The observations of the Auditors in their report on Annual Accounts of the Company read with the relevant notes are self explanatory and therefore do not call for any further comments.

DIRECTORS

In accordance with the provisions of Companies Act, 1956 and Company''s Articles of Association, Mr. Vishal Jain retires by rotation at the ensuing Annual General Meeting and is eligible for re-appointment.

DIRECTORS RESPONSIBILITY STATEMENT

The information required to be furnished in terms of section 217 (2AA) of the Companies Act, 1956 are set out hereunder:

Your Directors confirmed:

i) that in the preparation of the annual accounts, the applicable accounting standards had been followed along with proper explanation relating to material departures;

ii) that the directors had 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 and of the profit or loss of the company for that period;

iii) that the directors had taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the company and for preventing and detecting fraud and other irregularities;

iv) that the directors had prepared the annual accounts on a going concern bas .

PARTICULARS AS PER SECTION 217 OF THE COMPANIES ACT, 1956

Your company does not have any employee, whose particulars are required to be given under the provision of section 217 (2A) of the Companies Act, 1956 read with the Companies (Particulars of Employees) Rules, 1975, as amended up to date.

Disclosure with respect to Conservation Of Energy, Technology Absorption & Foreign Exchange Earning And Outgo, pursuant to section 217 (1) (e) of the Companies Act, 1956 is not applied to the Company.

LISTING OF SHARES

The shares of the company are listed on Bombay Stock Exchange, Delhi Stock Exchange and Ludhiana Stock Exchange. The listing fees are paid in full to a''l the stock exchanges during the year. Bombay Stock Exchange, Ludhiana Stock Exchange and Delhi stock exchange has revoked suspension of the trading in the shares of the company.

FIXED DEPOSITS

The Company has not accepted any fixed deposits till date within the meaning of Section 58A of the Companies Act, 1956 and rules made there under.

ACKNOWLEDGEMENT

Your Directors place on record their warm appreciation of the assistance and cooperation extended by various Government Departments, Authorities, Reserve Bank of India, Business Partners etc. Your Directors also place on record their deep appreciation of the support provided by the Bankers associated with the company.

Your support as shareholders is greatly value. Your directors thank you and look forward to your continuance support.



For & On behalf of the Board of

EKAM LEASING & FINANCE CO. LIMITED





Place: New Delhi RAKESH JAIN

Date :28th August, 2013 CHAIRMAN


Mar 31, 2010

The Directors are pleased to have this opportunity to present the SEVENTEENTH ANNUAL REPORT of the Company along with and Audited Statement of Accounts for the year ended 31s March, 2010.

FINANCIAL RESULTS (Amount in Rs.)

2009-20T0 2008-2009

Sales/ Income from operations 1,63,12,800.00 15,21,152.00

Total Expenditure 2,96,45,636.00 2,37,156.00

Profit / (Loss) before

Tax & Provision for NPA (1,33,32,836.00 12,83,996.00

Provision for Tax Nil 1,50,000.00

Tax Related to earlier years 1,83,833.00 Nil

Net Profit / (Loss) (1,35,16,669.00) 11,33,996.00

Deficit brought forward from previous year (2,69,82,262.87) (2,81,16,259.00)

Deficit carried over to BalanSheet (1,15,03,155.87) 2,69,82,262.87

Share Capital 3,00,00,000.00 2,98,86,250.00



OVERALL PERFORMANCE

The year under review resultedin Net Loss of Rs. 135.17 Lacs as compare to Net Profit of Rs. 11.34 Lacs during the previous year. The Income from operations during the year has been Rs. 163.13 Lacs as against Rs. 15.21 lacs in the previous year.

The performance of the company has improved further during the year under review. The management of the company has positive outlook for the future and hopefully to have impetus to the growth.

DIVIDEND

In view of the loss for the year, your directors do not recommend payment of any dividend for the year.

CORPORATE GOVERNANCE

As per the Listing Agreement with the Stock Exchanges, your Company was required to implement various requirements of Corporate Governance. Your Company had taken adequate steps to ensure compliance of the requirements of Corporate Governance and accordingly, pursuant to Clause 49 of the Listing Agreement with the Stock Exchanges, Management Discussion and Analysis, Corporate Governance Report and Auditors Certificate regarding compliance of conditions of Corporate Governance is made part of this Annual Report.

FUTURE PROSPECTS

The Board expects that the Company will continue to improve its overall performance and excel to enchance the profitability of the Company, in the present economic scenario and growth momentum of Indian economy, via its strategy competency, operational efficiencies. We expect a robust growth and enhanced market share on the strength of its existing product portfolio, operational efficiency and enhanced network alongwith the successful implementation of strategies in future.



AUDITORS

M/s. G.L Gupta & Associates. Chartered Accountants, New Delhi, Auditors of the company, retire from their office. They are. however, eligible for re-appointment. Pursuant to Section 224(1 B) of the Companies Act, 1956 they have confirmed their eligibility for re-appointment as the Auditors of the company. Members are requested to consider their re-appointment.

The observations of the Auditors in their report on Annual Accounts of the Company read with the relevant notes are self explanatory and therefore do not call for any further comments.

DIRECTORS

During the year under review, there was no change in the Directorship of the company.

In accordance with the provisions of Companies Act, 1956 and Companys Articles of Association, Mr. Nirmal Kumar Jain retires by rotation at the ensuing Annual General Meeting and is eligible for re- appointment. Mr. Nirmal Kumar Jain is recommended to be appointed as a director liable to retire by rotation.

On 22nd June, 2010, Mr. Narendra Kumar Jain was appointed as a Director of the company to fill the casual vacancy caused due to resignation of Mr. Bimal Kumar Jain, Director of the company

DIRECTORS RESPONSIBILITY STATEMENT

The information required to be furnished in terms of section 217 (2AA) of the Companies Act, 1956 are set out hereunder:

Your Directors confirmed:

i) that in the preparation of the annual accounts, the applicable accounting standards had

been followed along with proper explanation relating to material departures: in that the directors had 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 and of the profit or loss of the company for that period; iii) the directors had taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the company and for preventing and detecting fraud and other irregularities; iv) that the directors had prepared the annual accounts on a going concern bas,s. Pmnlovees) Rules. 1975. as amended up to dale

Disclosure with respect to Conservation Of Energy, Technology Absorption & Foreign Exchange Earning And Outgo, pursuant to section 217 (1)(e) of the Companies Act, 1956 is not applied to the Company.

LISTING OF SHARES

The shares of the company are listed on Bombay Stock Exchange, Delhi Stock Exchange and Ludhiana Stock Exchange. The listing fees are paid in full to all the stock exchanges during the year. Delhi stock exchange has revoked suspension of the trading in the shares of the company. The company is endeavoring for revocation of suspension of trading in shares with Bombay and Ludhiana Stock Exchange,

FIXED DEPOSITS

The Company has not accepted any fixed deposits till date within the meaning -of Section 58A of the Companies Act, 1956 and rules made there under.

ACKNOWLEDGEMENT

Your Directors place on record their warm appreciation of the assistance and cooperation extended by various Government Departments, Authorities, Reserve Bank of India, Business Partners etc. Your Directors also place on record their deep appreciation of the support provided by the Bankers associated with the company.

Your support as shareholders is greatly value. Your directors thank you and look forward to your continuance support.

For & On behalf of the Board

Place: New Delhi Prakash Chand Didwania

Date:1 September 2010 Chairman

 
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