Mar 31, 2015
Dear Members,
The Directors have pleasure in presenting the Thirtieth Annual Report
together with the Audited Annual Accounts for the financial year ended
March 31,2015.
FINANCIAL HIGHLIGHTS
The financial results of your Company for the year ended March 31,2015
and March 31,2014 are set forth below:
(Rs. in lac)
Particulars Financial Financial
Year ended Year ended
March 31, March 31,
2015 2014
Total Revenue 28.51 26.00
Expenses 340.41 6.05
Profit before Inter- (311.90) 19.95
est, Depreciation/,
Amortisation & Tax-
ation
Finance Cost 0.00 0.00
Depreciation and 0.00 0.12
Amortisation ex-
penses
Profit/(Loss) before (311.90) 19.82
tax
Less: Provision for
taxation
Income Tax for Cur- - (3.78)
rent Year
Income Tax for Prior -
Years
Deferred Tax - .03
Charge/(Release)
Profit/(Loss) after (311.90) 16.08
tax
OPERATIONS
The total income in the Financial Year ended March 31,2015 was Rs.
28.51lac and the loss incurred by the Company was Rs. 311.90 lac as
against total income of Rs. 26 lac and Profit after tax of Rs. 16.08
lac in the previous year ended March 31,2014. During the current year,
the Company has incurred loss due to heavy loss on sale of investment.
DIVIDEND
As the Company has incurred loss during the financial year ended
31.03.2015, your Directors do not recommend any dividend for the year
2014-15.
SUBSIDIARY
During the period covered under report, the members are aware that the
Company after taking the approval of members had sold the entire
shareholding in HIQ Power Associates Private Limited, the erstwhile
subsidiary of the Company. The Company has no subsidiary as on 31st
March 2015.
RISK MANAGEMENT POLICY
The Company has devised and implemented a mechanism for risk management
and has developed a Risk Management Policy. The mechanism involves
creating a Risk Register, identifying internal and external risks and
implementing risk mitigation steps. The updates regarding the same are
placed before the meeting of the Board of Directors of the Company on
quarterly basis.
DIRECTOR AND KEY MANAGERIAL PERSONNEL
During the period covered under this report Mr. Kul Bhushan Arora and
Mr. Sunil Choudhry resigned from the office of Director w.e.f. 12th
June 2014 and 5th February 2015 respectively. However during the
aforementioned period Mr. Praveen Kumar was appointed as director to
fill the casual vacancy caused by the resignation of Mr. Sunil Choudhry
w.e.f. 5th February 2015 and Mr. Perintalmanna Venkatrama Krishna Kumar
was appointed as an Additional Director of the Company w.e.f. 5th
February 2015.
However the Board of Directors of the Company has decided to appoint
Mr. Praveen Kumar as an Independent Director of the Company and Mr.
Perintalmanna Venkatrama Krishna Kumar as director liable to retire by
rotation in the forthcoming Annual General Meeting.
The Company has received declarations from Mr. Praveen Kumar to appoint
him as an Independent Directors confirming that they meet the criteria
of independence as prescribed under the Act and Clause 49 of the
Listing Agreement with the Stock Exchanges.
In the forthcoming Annual General Meeting, Mr. Chander Bhan Wadhwa is
retiring by rotation and being eligible he has offered for being
appointed as director liable to retire by rotation.
The resolution for appointment and re-appointment of the aforesaid
directors have been incorporated in the notice of the forthcoming
Annual General Meeting of the company.
ANNUAL EVALUATION OF BOARD PERFORMANCE AND PERFORMANCE OF ITS
COMMITTEES AND INDIVIDUAL DIRECTORS
Pursuant to the provisions of the Act and Clause 49 of the Listing
Agreement, the Board has carried out an annual evaluation of its own
performance, performance of the Directors individually as well as the
evaluation of the working of its Committees.
The following process was adopted for Board Evaluation:
Feedback was sought from each Director about their views on the
performance of the Board covering various criteria such as degree of
fulfilment of key responsibilities, Board structure and composition,
establishment and delineation of responsibilities to various
Committees, effectiveness of Board processes, information and
functioning, Board culture and dynamics, quality of relationship
between the Board and the Management and efficacy of communication with
external stakeholders. Feedback was also taken from every director on
his assessment of the performance of each of the other Directors.
The Nomination and Remuneration Committee (NRC) then discussed the
above feedback received from all the Directors.
Based on the inputs received, the Chairman of the NRC also made a
presentation to the Independent Directors at their meeting,summarizing
the inputs received from the Directors as regards Board performance as
a whole, and of the Chairman. The performance of the non-independent
non-executive directors and Board Chairman was also reviewed by them.
Post the meeting of the Independent Directors, their collective
feedback on the performance of the Board (as a whole) was discussed by
the Chairman of the nRc with the Chairman of the Board. It was also
presented to the Board and a plan for improvements wasagreed upon.
Every statutorily mandated committee of the Board conducted a
self-assessment of its performance and these assessments were presented
to the Board for consideration. Areas on which the Committees of the
Board were assessed included degree of fulfillment of key
responsibilities, adequacy of Committee composition and effectiveness
of meetings.
Feedback was provided to the Directors, as appropriate. Significant
highlights, learning and action points arising out of the
evaluationwere presented to the Board.
REMUNERATION POLICY FOR THE DIRECTORS, KEY MANAGERIAL PERSONNEL AND
OTHER EMPLOYEES
In terms of the provisions of Section 178(3) of the Act and Clause
49(IV)(B)(1) of the Listing Agreement, the NRC is responsible for
formulating the criteria for determining qualification, positive
attributes and independence of a Director. The NRC is also
responsiblefor recommending to the Board a policy relating to the
remuneration of the Directors, Key Managerial Personnel and other
employees.
In line with this requirement, the Board has adopted the Policy on
Board Diversity and Director Attributes, which is reproduced in
Annexure-I and Remuneration Policy for Directors, Key Managerial
Personnel and other employees of the Company, which is reproducedin
Annexure-II.
COMMITTEES OF THE BOARD
The Committees of the Board focus on certain specific areas and make
informed decisions in line with the delegated authority. The following
substantive Committees constituted by the Board function according to
their respective roles and defined scope:
(a) Audit Committee
(b) Nomination and remuneration committee
(c) Stakeholders Relationship committee
The details pertaining to composition of committees, terms of reference
and number of meetings held are included in the Corporate Governance
Report which forms a part of this report.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE
EARNINGS AND OUTGO
Since the Company is not carrying on any manufacturing activity, no
particulars required to be furnished under Sub Section (3)(m)of Section
134 of Companies Act ,2013 read with rule 8(3) of Company (Accounts)
Rules 2014 relating to energy conservation, technology absorption and
the Company has also no transaction relating to foreign exchange
earnings and outgo.
PARTICULARS OF EMPLOYEES
The Company did not have any employee drawing salary more than the
limit prescribed under in terms of the provisions of Section 197(12) of
the CompaniesAct, 2013 read with Rules 5(2) and 5(3) of the
Companies(Appointment and Remuneration of Managerial Personnel)
Rules,2014, therefore no particulars is required to be disclosed under
the aforementioned provisions.
Disclosures pertaining to remuneration and other details as required
under Section 197(12) of the Companies Act, 2013 read with Rule 5(1) of
the Companies (Appointment and Remuneration of Managerial Personnel)
Rules, 2014 are also not required as the Company does not have any
director getting any remuneration or sitting fee and that the Company
has also not paid any salary.
RELATED PARTY TRANSACTIONS
All Related Party Transactions that were entered into during the
financial year were onarm's length and were in the ordinary course of
business. All Related Party Transactions were placed before the Audit
Committee of the Board of Directors for their approval. The Audit
Committee has granted omnibus approval for Related Party Transactions
as per the provisionsand restrictions contained in the Listing
Agreement.
The Company has formulated a policy on materiality of Related Party
Transactions andalso on dealing with Related Party Transactions. The
policy is available on the Company'swebsite www.fusionfttings.com.
Particulars of Contracts or Arrangements with related parties referred
to in section 188(1)of Companies Act, 2013 in the prescribed form AOC
-2 is annexed with this report and marked as Annexure-III.
FIXED DEPOSITS
The Company has not invited/accepted any Fixed Deposits during the
year, as such, no amount of principal or interest on fixed deposits was
outstanding on the date of the Balance Sheet.
PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS UNDER SECTION 186 OF
THE COMPANIES ACT, 2013
Details of loans, guarantees and investments covered under
theprovisions of Section 186 of the Companies Act, 2013 are given inthe
schedules to the financial statements.
EXTRACT OF ANNUAL RETURN
As provided under section 92(3) of the Act ,the extract of Annual
Return is given in Annexure-IV in the prescribed form MGT-9, which
forms a part of this report.
AUDITORS
(i) STATUTORY AUDITOR
In accordance with the provisions of Companies Act, 2013, at the Annual
General Meeting held on 30th September, 2014, the shareholders had
appointed M/s K. K. Jain & Co., Chartered Accountants as Statutory
Auditors of theCompany, for a period of 3 years i.e. upto the
conclusion of 32nd Annual General Meeting to be held for the adoption
of accounts for the financial year ending 31st March, 2017.
M/s K. K. Jain & Co., Chartered Accountants,have consented to be the
Auditors of the Company, if theirappointment is ratified by the members
at the AnnualGeneral Meeting and have also confirmed that
theirappointment is as per the provisions of Section 141 of the
Companies Act, 2013 and Rule 4 of Companies (Audit and Auditors) Rules,
2014.
The Auditors' report and notes to the financial statements are self
explanatory and do not call for any further comments.
(ii) SECRETARIAL AUDITOR
Pursuant to provisions of Section 204 of the Companies Act, 2013 read
with Rule 9 of the Companies (Appointment and Remuneration of
Managerial Personnel) Rules 2014, your Company engaged the services of
M/s Anjani Kumar & Associates, Company Secretaries, New Delhi to
conduct the Secretarial Audit oft he Company for the financial year
ended March 31,2015.
The Secretarial Audit Report (in Form MR-3) is attached as Annexure-V
to this Report.
CORPORATE GOVERNANCE REPORT
Pursuant to Clause 49 of the Listing Agreements with the Stock
Exchanges and relevant sections of the Act, a Management Discussion and
Analysis Statement, Report on Corporate Governance and Auditors'
Certificate, are included in the Annual Report.
VIGIL MECHANISM/ WHISTLE BLOWER POLICY
Pursuant to Section 177(9) of the Companies Act, 2013 read with Rule 7
of the Companies (Meetings of Board and its Powers)Rules, 2014 and
Clause 49 of the Listing Agreement, the Board of Directors had approved
the Policy on Vigil Mechanism/ WhistleBlower and the same was hosted on
the website of the Company.
This Policy inter-alia provides a direct access to the Chairman of the
Audit Committee.
Your Company hereby affirms that no Director/ employee has been denied
access to the Chairman of the Audit Committee and that no complaints
were received during the year.
Brief details about the policy are provided in the Corporate Governance
Report attached with this Report.
MANAGEMENT ANALYSIS AND DISCUSSION
Management analysis and discussion for the year under review as
stipulated under Clause 49 of Listing agreement is presented in a
separate section forming a part of annual report.
DIRECTORS' RESPONSIBILITY STATEMENT
Pursuant to the requirement under Section 134(3)(c) of Companies Act,
2013, with respect to the Directors' Responsibility Statement, it is
hereby confirmed:-
(i) that in the preparation of the annual accounts for the financial
year ended 31 March, 2015, 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 were
reasonable and prudent so as to give a true and fair view of the state
of affairs of the Company for the financial year ended 31 March, 2015
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 the Companies Act, 2013 for safeguarding the assets of
the Company and for preventing and detecting frauds and other
irregularities;
(iv) that the directors had prepared the annual accounts for the
financial year ended 31 March, 2015 on a going concern basis.
(v) That the directors have laid down internal financial control to be
followed by the company and that such internal financial control are
adequate and are operating effectively.
(vii) That the directors have devised proper system to ensure
compliance with the provisions of all applicable laws and that such
systems are adequate and are operating effectively.
CORPORATE SOCIAL RESPONSIBILITY
The Company does not fall under the criteria mentioned under Section
135 of the Act, accordingly the Company has not formed Corporate Social
Responsibility Committee.
ACKNOWLEDGEMENT
We place on records our sincere thanks to Government of India, State
Governments and concerned Government Authorities/Departments and the
Bankers for their co-operation and expect the same in the future.
For and on behalf of the Board of
Fusion Fittings (I) Limited
Place: Gurgaon Praveen Kumar
Date: 2nd September, 2015 DIN: 06720411
Chairman
Mar 31, 2014
Dear Members,
The Directors have pleasure in presenting the Twenty Ninth Annual
Report together with the Audited Annual Accounts for the financial year
ended March 31,2014.
FINANCIAL HIGHLIGHTS
The financial results of your Company for the year ended March 31, 2014
and March 31, 2013 are set forth below:
(Rs. in lac)
Particulars Financial Financial
Year ended Year ended
March March
31,2014 31,2013
Total Revenue 26.00 241.54
Expenses 6.05 25.32
Profit before Interest, 19.95 216.22
Depreciation/Amortisation
& Taxation
Finance Cost 0.00 0.00
Depreciation and 0.12 0.17
Amortisation expenses
Profit/(Loss) before tax 19.82 216.05
Less: Provision for taxation
Income Tax for Current (3.78) -
Year
Income Tax for Prior Years - (0.12)
Deferred Tax Charge/ '' .03 0.02
(Release)
Profit/(Loss) after tax 16.08 215.95
OPERATIONS
The total income in the Financial Year ended March 31, 2014 was Rs.
26.00 lac and Profit after tax was Rs. 16.08 lac as against total
income of Rs. 241.54 lac and Profit after tax of Rs. 215.95 lac in the
previous year ended March 31, 2013.
DIVIDEND
Considering the need of funds for the business requirement, of the
Company, your Directors do not recommend any dividend for the year
2013-14.
DIRECTORS
During the period under report, Mr. Pawan Kumar had resigned from the
office of Director w.e.f. 14th October 2013 and Mr. Chander Bhan Wadhwa
was appointed as director to fill the casual vacancy caused by the
resignation of Mr. Pawan Kumar.
As Mr. Chander Bhan Wadhwa was appointed as director to fill the casual
vacancy caused by the resignation of Mr. Pawan Kumar and Mr. Pawan
Kumar was retiring by rotation at the forthcoming Annual General
Meeting of the Company therefore Mr. Chander Bhan Wadhwa retires by
rotation at the forthcoming Annual General Meeting of the Company and
being eligible, offers himself for re-appointment.
SUBSIDIARY
At present your company has one subsidiary in India namely HIQ Power
Associates Private Limited.
CONSOLIDATED FINANCIAL STATEMENTS
As per Section 212 of the Companies Act, 1956, the Company is required
to attach the Balance Sheet, Statement of Profit and Loss, the Reports
of the Board of Directors and Auditors of the subsidiary company with
the Balance Sheet of the Company. The Ministry of Corporate Affairs,
Government of India vide its circular no. 2/2011 dated February 8, 2011
has provided an exemption to companies from complying with Section 212,
provided such companies publish the audited consolidated financial
statements in the annual report. Accordingly, the annual report of
your Company for the financial year 2013-14 contains the consolidated
financial statements of the Company instead of the separate financial
statements of its subsidiary and the same is based on the Financial
Statements received from its subsidiary, as approved by its Board of
directors. Further the Company hereby undertakes that the audited
annual accounts and related information of subsidiary of your Company
will be made available to the shareholders of the Company and the
shareholders of subsidiary company, upon request at any point of time.
The annual accounts of the subsidiary company shall be available for
inspection during business hours at our head office and at the
registered office of the , subsidiary.
MANAGEMENT DISCUSSION AND ANALYSIS STATEMENT
Management Discussion and Analysis Statement is annexed to this Report.
CORPORATE GOVERNANCE REPORT
The Corporate Governance Report pursuant to clause 49 of the listing
agreement with the stock exchanges is annexed to this Report.
AUDITORS & AUDITORS REPORT
The tenure of M/s K. K. Jain & Co., Chartered Accountants, the
Statutory Auditors of the Company will expire at the forthcoming Annual
General Meeting of the Company. It is proposed to re-appoint there
tiring auditors for a period of 3 years in view of the Companies Act,
2013 read with Companies (Audit and Auditors) Rules, 2014. A requisite
consent and certificate as prescribed under second andthird proviso of
Section 139(1) of the Companies Act, 2013 ("the Act") read with Section
141 of the Act together with the rules prescribed thereunder and
furnished by the retiring auditors have already been received by the
Company. The approval of the re-appointment of M/s K. K. Jain & Co.,
Chartered Accountants, as Statutory Auditors of the Company for the
period of 3 years starting from theend of the forthcoming 29th Annual
General Meeting till the conclusion of the 32nd Annual General Meeting
by the members is due to be accorded in the ensuing Annual General
Meeting and the draft resolution for their re- appointment forms part
of the notice for convening the Annual General Meeting.
The observations made in the Auditors Report, read together with the
relevant notes thereon, are self explanatory and hence do not call for
any comments under the provisions of Companies Act, 2013.
COMPLIANCE CERTIFICATE
As required under section 383A of the Companies Act, 1956 read with The
Companies (Compliance Certificate) Rules, 2001, the Company has
obtained a certificate from M/s. Anjani Kumar & Associates, Company
Secretaries which is attached with the Directors'' Report.
EMPLOYEES
The Company did not have any employee drawing salary more than the
limit prescribed under Section 217(2A) of the Companies Act, 1956 read
with the Companies (Particulars of Employees) Rules, 1975during the
Financial Year ended March 31, 2014, therefore, particulars required to
be disclosed thereunder have not been given.
PUBLIC DEPOSITS AND LOANS/ADVANCES
The Company has neither invited noraccepted any deposits from the
public pursuant to section 58A of the Companies Act, 1956 during the
year under reference.
AUDIT COMMITTEE
The Audit Committee consists of Mr. Kulbhushan Arora as Chairman, Mr.
Sunil Choudhryand Mr. Chander Bhan Wadhwa as members of the Committee.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE
EARNING& OUTGO
Since the company is not carrying on any manufacturing activity, no
particulars are required to be furnished under the provisions of
Section 217(1)(e) of the Companies Act, 1956 read with Companies
(Disclosure of Particulars in the Report of Board of Directors) Rules
1988, relating to conservation of energy and technology absorption.
There was no foreign exchange earnings and outgo during the year.
DIRECTORS'' RESPONSIBILITY STATEMENT
Pursuant to the requirement under Section 217(2AA) of the Companies
Act, 1956 with respect to the Directors'' Responsibility Statement, it
is hereby confirmed:-
(i) That in the preparation of the annual accounts for the financial
year ended March 31, 2014, 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 of the company for the year under review;
(iii) That the directors had 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 frauds and other
irregularities; and
(iv) That the directors had prepared the annual accounts for the
financial year ended March 31, 2014 on a going concern basis.
ACKNOWLEDGEMENT
Your Directors wish to place on record their deep sense of appreciation
for the continued cooperation and support the company has received from
various departments of the Central and State Governments, bankers,
employees and shareholders of the company and expects to receive the
same in the future.
For and on behalf of the Board
of Directors of Fusion Fittings (I) Limited
Sd/- Sd/-
Place: Gurgaon Chander Bhan Wadhwa Sunil Choudhry
Date: May 29,2014 Director Director
(DIN: 02261256) (DIN: 00551404)
Mar 31, 2013
Dear Members,
The Directors have pleasure in presenting the Twenty Eighth Annual
Report together with the Audited Annual Accounts for the fnancial year
ended March 31,2013.
FinAnCiAL HigHLigHts
The fnancial results of your Company for the year ended March 31, 2013
and March 31, 2012 are set forth below:
(Rs. in lac)
Particulars Financial Year Financial Year
ended march ended march
31, 2013 31, 2012
Total Revenue 241.54 278.12
Expenses 25.32 27.99
Proft before Interest, 216.22 250.13
Depreciation/
Amortisation & Taxation
Interest 0.00 5.43
Depreciation and 0.17 0.25
Amortisation expenses
Proft/(Loss) before tax 216.05 244.45
Less: Provision for taxation
Income Tax for Current - 3.64
Year
Income Tax for Prior 0.12 3.45
Years
Deferred Tax Charge/ (0.02) (0.03)
(Release)
Proft/(Loss) after tax 215.95 237.39
Proft/(Loss) brought 583.90 346.51
forward from the
previous year
Total reserve and 799.85 583.90
surplus as on Balance
Sheet date
oPeRAtions
The total income in the Financial Year ended March 31, 2013 was Rs.
241.54 lac and Proft after tax was Rs. 215.95 lac as against total
income of Rs. 278.12 lac and Proft after tax of Rs. 237.39 lac in the
previous year ended March 31, 2012.
diVidend
Considering the need of funds for the business requirement of the
Company, your Directors do not recommend any dividend for the year
2012-13.
diReCtoRs
Mr. Kulbhushan Arora, non-executive independent Director retires by
rotation at the forthcoming Annual General Meeting of the Company and
being eligible, offers himself for re-appointment.
Mr. Kulbhushan Arora, aged about 50 years holds a bachelor''s degree in
science and is a qualifed Chartered Accountant and a Law Graduate from
University of Delhi. He has more than 26 years of experience in the
feld of fnance, accounts, audit and taxation.
Kulbhushan Arora & Sons (HUF) holds 100 shares in the Company and Mr.
Kulbhushan Arora is one of the coparceners in the HUF. Mr. Kulbhushan
Arora is a director on the Board of Tecpro Energy Limited and HIQ Power
Associates Private Limited.
suBsidiARY
At present your company has one subsidiary in India namely HIQ Power
Associates Private Limited.
ConsoLidAted FinAnCiAL stAtements
As per Section 212 of the Companies Act, 1956, the Company is required
to attach the Balance Sheet, Statement of Proft and Loss, the Reports
of the Board of Directors and Auditors of the subsidiary company with
the Balance Sheet of the Company. The Ministry of Corporate Affairs,
Government of India vide its circular no. 2/2011 dated February 8, 2011
has provided an exemption to companies from complying with Section 212,
provided such companies publish the audited consolidated fnancial
statements in the annual report. Accordingly, the annual report of
your Company for the fnancial year 2012-13 contains the consolidated
fnancial statements of the Company instead of the separate fnancial
statements of its subsidiary and the same is based on the Financial
Statements received from its subsidiary, as approved by its Board of
directors. Further the Company hereby undertakes that the audited
annual accounts and related information of subsidiary of your Company
will be made available to the shareholders of the Company and the
shareholders of subsidiary company, upon request at any point of time.
The annual accounts of the subsidiary companies shall be available for
inspection during business hours at our head offce and at the
registered offce of the subsidiary.
inVestment in sHARes oF JYoti ViKAs tRAde PRiVAte Limited
During the fnancial year ended March 31, 2013 the Company has acquired
830,500 fully paid up equity shares in Jyoti Vikas Trade Private
Limited ("JVTPL") comprising 46% of JVTPL''s issued, subscribed and
paid-up share capital.
mAnAgement disCussion And AnALYsis stAtement
Management Discussion and Analysis Statement is annexed to this Report.
CoRPoRAte goVeRnAnCe RePoRt
The Corporate Governance Report pursuant to clause 49 of the listing
agreement with the stock exchanges is annexed to this Report.
AuditoRs
M/s K. K. Jain & Co., Chartered Accountants, the Statutory Auditors of
the Company, hold offce until the conclusion of the ensuing Annual
General Meeting and, being eligible, offer themselves for
re-appointment as Statutory Auditors of the Company. The Company has
received a certifcate from them to the effect that their
re-appointment, if made, would be within the limits prescribed under
Section 224(1B) of the Companies Act, 1956 and that they are not
disqualifed from such re-appointment within the meaning of Section 226
of the said Act.
AuditoRs RePoRt And eXPLAnAtion
The observations made in the Auditors Report, read together with the
relevant notes thereon, are self explanatory and hence do not call for
any comments under section 217 of the Companies Act, 1956.
ComPLiAnCe CeRtiFiCAte
As required under section 383A of the Companies Act, 1956 read with the
Companies (Compliance Certifcate) Rules, 2001, the Company has obtained
a certifcate from M/s. Anjani Kumar & Associates, Company Secretaries
which is attached with this Report.
emPLoYees
The Company did not have any employee drawing salary more than the
limit prescribed under Section 217(2A) of the Companies Act, 1956 read
with the Companies (Particulars of Employees) Rules, 1975 during the
Financial Year ended March 31, 2013, therefore, particulars required to
be disclosed thereunder have not been given.
PuBLiC dePosits
The Company has neither invited nor accepted any deposits from the
public pursuant to section 58A of the Companies Act, 1956 during the
year under reference.
Audit Committee
The Audit Committee consists of Mr. Kulbhushan Arora as Chairman, Mr.
Sunil Choudhry and Mr. Pawan Kumar as members of the Committee.
ConseRVAtion oF eneRgY, teCHnoLogY ABsoRPtion, FoReign eXCHAnge eARning
& outgo
Since the company is not carrying on any manufacturing activity, no
particulars are required to be furnished under the provisions of
Section 217(1)(e) of the Companies Act, 1956 read with Companies
(Disclosure of Particulars in the Report of Board of Directors) Rules
1988, relating to conservation of energy and technology absorption.
There was no foreign exchange earnings and outgo during the year.
diReCtoRs'' ResPonsiBiLitY stAtement
Pursuant to the requirement under Section 217(2AA) of the Companies
Act, 1956 with respect to the Directors'' Responsibility Statement, it
is hereby confrmed:- (i) that in the preparation of the annual accounts
for the fnancial year ended March 31, 2013, 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
fnancial year and of the proft or loss of the company for the year
under review; (iii) that the directors had taken proper and suffcient
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 frauds and other
irregularities; and (iv) that the directors had prepared the annual
accounts for the fnancial year ended March 31, 2013 on a going concern
basis.
ACKnoWLedgement
Your Directors wish to place on record their deep sense of appreciation
for the continued cooperation and support the Company has received from
various departments of the Central and State Governments, bankers,
employees and shareholders of the Company and expects to receive the
same in the future.
For and on behalf of the Board
of Directors of Fusion Fittings (I) Limited
Sd/- Sd/-
Place: Gurgaon Kulbhushan Arora Sunil Choudhry
Date : May 16, 2013 Director Director
Mar 31, 2012
The Directors have pleasure in presenting the Twenty Seventh Annual
Report together with the Audited Annual Accounts for the financial year
ended March 31,2012.
FINANCIAL HIGHLIGHTS
The financial results of your Company for the year ended March 31, 2012
and March 31, 2011 are set forth below:
(Rs. in lac)
Particulars Financial
Year Financial
Year
ended ended
March 31, March 31,
2012 2011
Income 278.12 401.60
Profit before Interest,
Depreciation, Amortization
& Taxation 250.13 355.76
Interest 5.43 0.05
Depreciation 0.25 0.33
Profit/(Loss) before tax 244.44 355.38
Less: Provision for taxation
Income Tax for Current Year 3.64 23.95
Income Tax for Prior Years 3.45 0.77
Deferred Tax Charge/(Release) 0.03 0.01
Profit/(Loss) after tax 237.39 330.66
Profit/(Loss) brought forward
from the previous year 346.51 15.85
Total reserve and surplus as
on Balance Sheet date 583.90 346.51
OPERATIONS
The total income in the Financial Year ended March
31,2012 was Rs. 278.12 lac and Profit after tax was Rs.237.39 lac as
against total income of Rs. 401.60 lac and Profit after tax of Rs.
330.66 lac in the previous year ended March 31,2011.
DIVIDEND
Considering the need of funds for the business of the Company, your
Directors do not recommend any dividend for the year 2011-12.
VOLUNTARY DELISTING OF SHARES FROM JAIPUR STOCK EXCHANGE LIMITED AND
AHMEDABAD STOCK EXCHANGE LIMITED
Pursuant to clause 7 (1) (b) and 7(2) of the Securities and Exchange
Board of India (Delisting of Equity Shares) Regulations, 2009, the
Company on May 7, 2012 made applications for voluntary delisting of its
29,36,200 fully paid-up equity shares of Re. 1 each
i.e. entire equity shares of the Company from Jaipur Stock Exchange
Limited (JSE) and Ahmedabad Stock Exchange Limited (ASE). The delisting
applications filed with ASE and JSE are still in process.
The Board has a view that the benefits accruing to the investors by
keeping the equity shares listed on ASE and JSE do not commensurate
with the cost incurred by the Company for the continued listing on
these Stock Exchanges. The company's equity shares will remain listed
on Bombay Stock Exchange Limited (BSE) and Delhi Stock Exchange
Limited(DSE). BSE has nationwide trading terminals affording the
investors convenient access to trade and deal in the Company's equity
shares across the country. The delisting of the company's equity
shares from JSE and ASE will not be prejudicial to or affect the
interests of the investors.
DIRECTORS
Mr. Sunil Choudhry, non-executive independent Director retires by
rotation at the forthcoming Annual General Meeting of the Company and
being eligible, offers himself for re-appointment.
Mr. Sunil Choudhry, 52 years, is BE (Mech.) and is into business for
more than 29 years. He possesses rich experience in manufacturing
industry. He is also a director on the board of Productive Technologies
Private Limited and Zwick Roell Testing Machines Private Limited. Mr.
Sunil Choudhry does not hold any shares (either in his name or in the
name of any other person on a beneficial basis) in the Company.
SUBSIDIARY
During the financial year ended March 31,2012 the Company has acquired
34,000 fully paid up equity shares in HIQ Power Associate Private
Limited (ÃHIQÃ) comprising 85% of HIQ's issued, subscribed and
paid-up share capital, thereby making HIQ as its subsidiary company.
As per Section 212 of the Companies Act, 1956, the Company is required
to attach the Balance Sheet, Profit and Loss account, the Reports of
the Board of Directors and Auditors of the subsidiary company with the
Balance Sheet of the Company. The Ministry of Corporate Affairs,
Government of India vide its circular no. 2/2011 dated February 8, 2011
has provided an exemption to companies from complying with Section 212,
provided such companies publish the audited consolidated financial
statements in the annual report. Accordingly, the annual report of
financial year 2011 -12 contains the consolidated financial statements
of the Company instead of the separate financial statements of our
subsidiary. The audited annual accounts and related information of
subsidiaries of your Company will be made available upon request. The
annual accounts of the subsidiary companies shall be available for
inspection during business hours at our administrative office and
registered office and at the registered office of the subsidiary. The
same will also be made available on our website,
www.fusionfittinqs.com.
AUDITORS
M/s K.K. Jain & Co., Chartered Accountants, the Statutory Auditors of
the Company, hold office until the conclusion of the ensuing Annual
General Meeting and, being eligible, offer themselves for
re-appointment as Statutory Auditors of the Company. The Company has
received a certificate from them to the effect that their
re-appointment, if made, would be within the limits prescribed under
Section 224(1 B) of the Companies Act, 1956 and that they are not
disqualified from such re-appointment within the meaning of Section 226
of the said Act.
AUDIT REPORT AND EXPLANATION
The Auditors' Report and annexure to the Auditors' Report are self
explanatory except point no.7 of the Annexure to the Auditors' Report
with respect to the absence of internal audit system. The Board of
Directors hereby clarifies that considering the size and operations of
the Company the existing control system is sufficient to meet out the
requirement of the internal audit.
EMPLOYEES
The Company did not have any employee drawing salary more than the
limit prescribed under Section 217(2A) of the Companies Act, 1956 read
with the Companies (Particulars of Employees) Rules, 1975 during the
Financial Year ended March 31, 2012, therefore, particulars required to
be disclosed thereunder have not been given.
PUBLIC DEPOSITS AND LOANS/ADVANCES
The Company has not accepted any deposits from the public or its
employees during the year under review.
AUDIT COMMITTEE
The Audit Committee consists of Mr. Kulbhushan Arora as Chairman, Mr.
Sunil Choudhry and Mr. Pawan Kumar as members of the Committee.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE EARNING
OUTGO
Since the company is not carrying on any manufacturing activity, no
particulars are required to be furnished under the provisions of
Section 217(1 )(e) of the Companies Act, 1956 read with Companies
(Disclosure of Particulars in the Report of Board of Directors) Rules
1988, relating to conservation of energy and technology absorption.
There was no foreign exchange earning and outgo during the year.
DIRECTORS' RESPONSIBILITY STATEMENT
Pursuant to the requirement under Section 217(2AA) of the Companies
Act, 1956 with respect to the Directors' Responsibility Statement, it
is hereby confirm ed:-
(i) That in the preparation of the Annual Accounts for the financial
year ended March 31,2012, 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 of the company for the year under review;
(iii) That the Directors had 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 frauds and other
irregularities; and
(iv) That the Directors had prepared the annual accounts for the
financial year ended March 31, 2012 on a going concern basis.
ACKNOWLEDGEMENT
Your Directors wish to place on record their deep sense of appreciation
for the continued cooperation and support the Company has received from
various departments of the Central and State Governments, bankers,
employees and shareholders of the company and expects to receive the
same in the future.
For and on behalf of the Board
Sd/- Sd/-
Kulbhushan Arora Sunil Choudhry
Director Director
Place.Gurgaon
Date: May 28, 2012
Mar 31, 2011
Dear Members,
The Directors have pleasure in presenting the Twenty Sixth Annual
Report together with the Audited Annual Accounts for the financial year
ended March 31, 2011.
FINANCIAL HIGHLIGHTS
The financial results of your company for the year ended March 31, 2011
and March 31, 2010 are set forth below:
(Rs. in lac)
Particulars Financial Year Financial Year
ended March ended March
31, 2011 31, 2010
Income 401.60 181.99
Profit before Interest, 355.72 154.97
Depreciation,
Amortization &
Taxation
Interest 0.00 8.59
Depreciation 0.33 0.03
Profit/(Loss) before tax 355.38 146.35
Less: Provision for taxation
Fringe benefit tax for 0.00 0.00
earlier year
Deferred Tax charge/ 0.01 38.57
(Release)
Income Tax for 23.95 24.87
current Year
Income Tax for Earlier 0.76 (0.84)
Year
Profit/(Loss) after tax 330.66 83.74
Profit/(Loss) brought 15.85 (449.81)
forward from the previous year
Balance carried forward 346.51 (366.07)
to the Balance Sheet
OPERATIONS
During the period under report, the company has shown remarkable
performance in comparison to the previous year. The total income in
the Financial Year ended March 31, 2011 is Rs. 401.60 lac and Profit
after tax is Rs. 330.66 lac as against total income of Rs. 181.99 lac
and Profit after tax of Rs. 83.74 lac in the previous year ended March
31, 2010.
The company has carried forward a profit of Rs. 15.85 lac from the
Financial Year ended March 31, 2010, arrived at by adjusting the amount
of capital reduction and forfeiture of shares aggregating to Rs. 381.92
lac against the carry forward loss of Rs. 366.07 lac.
DIVIDEND
considering the need of funds for the business of the company, your
Directors do not propose to recommend any dividend for the year
2010-11.
REVOCATION OF SUSPENSION OF TRADING
During the period under report the suspension of trading of shares of
the company on Bombay Stock Exchange was revoked vide its letter dated
July 30, 2010. Earlier, Delhi Stock Exchange had revoked suspension of
trading of shares of the company vide its letter dated January 2, 2009.
Also pursuant to reduction of capital of the company from Rs. 10/- per
share to Re. 1/- per share, the shares of the company were relisted on
the stock exchanges. The shares of the company are being actively
traded on BSE since August 2, 2010.
SHIFTING OF REGISTERED OFFICE
With effect from December 16 2010 the Registered Office of the company
has been shifted from 27/49, Vishwas Nagar, Shahdara, Delhi- 110 032 to
106, Vishwadeep Tower, Plot no. 4, District centre, Janak Puri, New
Delhi-110 058
ACQUISITION OF SHAREHOLDING IN HIQ POWER ASSOCIATES PRIVATE LIMITED
The company has with effect from April 27, 2011, acquired 85% of total
paid up share capital comprising of 34,000 equity shares of Rs. 10/-
each in HIQ Power Associates Private Limited ("HIQ"), a company
incorporated under the companies Act, 1956 and having its registered
office at No. 7, Wing B, 9th Floor, Parsn Manere, 442, Anna Salai,
chennai- 600 006. consequent to this acquisition, HIQ became a
subsidiary of the company and in terms of clause 49 of the Listing
Agreement, Mr. Kulbhushan Arora, a director of the company has been
nominated as a director on the Board of HIQ.
MANAGEMENT DISCUSSION AND ANALYSIS STATEMENT
Management Discussion and Analysis statement is annexed to this Report.
REPORT OF CORPORATE GOVERNANCE
Report of corporate Governance pursuant to clause 49 of the listing
agreement is annexed to this Report.
DIRECTORS
Mr. Pawan Kumar, a non-executive independent director retires by
rotation at the forthcoming Annual General Meeting of the company and
being eligible, offers himself for re-appointment.
Mr. Pawan Kumar, aged about 52 years, joined as a director of the
company on September 29, 2008. He is a commerce Graduate from the Delhi
University. He has more than 30 years of work experience in
Administration and Finance. Presently he is a director of Microbase
Infosolution Private Limited also. He does not hold any shares in the
company.
AUDITORS
M/s K. K. Jain & co., chartered Accountants, the Statutory Auditors of
the company, hold office until the conclusion of the ensuing Annual
General Meeting and, being eligible, offer themselves for
re-appointment as Statutory Auditors of the company. The company has
received a certificate from them to the effect that their
re-appointment, if made, would be within the limits prescribed under
Section 224(1B) of the companies Act, 1956 and that they are not
disqualified from such re-appointment within the meaning of Section 226
of the said Act.
AUDITORS' REPORT AND EXPLANATION
The Auditors' Report and Annexure to the Auditors' Report are self
explanatory except point no. 7 of the Annexure to the Auditors' Report
with respect to internal audit system. The Board of Directors hereby
clarifies that the company is in the process of developing an internal
audit system com- mensurate with the size of the company.
EMPLOYEES
The company did not have any employee drawing salary more than the
limit prescribed under Section 217(2A) of the companies Act, 1956 read
with the companies (Particulars of Employees) Rules, 1975 during the
Financial Year ended March 31, 2011, therefore, particulars required to
be disclosed thereunder have not been given.
PUBLIC DEPOSITS
The company has not accepted any deposits from the public or its
employees during the year under review.
AUDIT COMMITTEE
The Audit committee consists of Mr. Kulbhushan Arora as chairman, Mr.
Sunil choudhry and Mr. Pawan Kumar as members of the committee.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE EARNING
& OUTGO
Since the company is not carrying on any manufacturing activity, no
particulars are required to be furnished under the provisions of
Section 217(1)(e) of the companies Act, 1956 read with the companies
(Disclosure of Particulars in the Report of Board of Directors) Rules,
1988, relating to conservation of energy and technology absorption.
There was no foreign exchange earnings and outgo during the year.
DIRECTORS' RESPONSIBILITY STATEMENT
Pursuant to the requirement under Section 217(2AA) of the companies
Act, 1956 with respect to the Directors' Respon- sibility Statement, it
is hereby confirmed:
(i) That in the preparation of the Annual Accounts for the financial
year ended March 31, 2011, 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 of the company for the year under review;
(iii) That the Directors had 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 frauds and other
irregulari- ties; and
(iv) That the Directors had prepared the annual accounts for the
financial year ended March 31, 2011 on a going concern basis.
ACKNOWLEDGEMENT
Your Directors wish to place on record their deep sense of appreciation
for the continued cooperation and support the company has received from
various departments of the central and State Governments, bankers,
employees and shareholders of the company and expects to receive the
same in the future.
For and on behalf of the Board
Sd/- Sd/-
Kulbhushan Arora Sunil Choudhry
Director Director
Place: New Delhi
Date : May 28, 2011
Mar 31, 2010
The Directors have pleasure in presenting theTwenty Fifth Annual
Report together with the Audited Annual Accounts for the financial year
ended March 31,2010.
FINANCIAL HIGHLIGHTS
The financial results of your Company for the year ended March 31, 2010
and March 31, 2009 are set forth below:
(Rs. in lacs)
Particulars Financial Year Financial Year
ended ended
March 31, March 31,
2010 2009
Income 181.99 100.95
Profit before Interest,
Depreciation,
Amortization & Taxation 154.97 92.27
Interest 8.59 10.80
Depreciation - 0.03
Profit/(Loss) before tax 146.35 81.47
Less: Provision for taxation
Fringe Benefit Tax - 0.03
Deferred Tax Charge/(Release) 38.57 (38.49)
Income Tax for Current Year 24.87 9.23
Income Tax for Earlier Year (0.84) 0.38
Profit/(Loss) after tax 83.74 110.32
ProfitALoss) brought forward from the
previous year (449.81) (560.13)
Balance carried forward to the
Balance Sheet (366.07) (449.81)
OPERATIONS
The Company did not undertake any manufacturing activity during the
year. Income inter-alia includes revenue earned from design engineering
services rendered by the Company during the year.
DIVIDEND
Considering the need of funds for the business of the Company, your
Directors do not propose to recommend any dividend for the year
2009-10.
DIRECTORS
Mr. Kulbhushan Arora, Director retires by rotation at the forthcoming
Annual General Meeting of the Company and being eligible, offers
himself for re-appointment.
REDUCTION OF CAPITAL
Consequent upon approval of the members of the Company at an
Extra-ordinary General Meeting held on March 06, 2009 to the proposal
for writing off of accumulated losses of the Company to the tune of Rs.
3,81,91,550 by way of writing off the whole of Share Forfeiture Account
of Rs. 1,17,65,^50 and by reduction of 90% of the then existing paid up
equity share capital of the company amounting to Rs. 2,64,25,800, the
Company filed a petition! before the Honble Delhi High Court seeking
its approval to the resolution of capital reduction. The said petition
was allowed and reduction of capital was confirmed by the Honble Delhi
High Court vide its order dated December 15, 2009. The order of the
court confirming capital reduction became effective on February 11,
2010 upon its registration by the Registrar of Companies, NCT of Delhi
and Haryana. As a result of the capital reduction, the face and paid
up value of the equity shares of the Company stands reduced from Rupees
10/- each to Rupee 1/- each.
SUBSIDIARY
Consequent upon amalgamation of Tecpro Ashtech Limited with Tecpro
Systems Limited pursuant to a scheme of amalgamation approved by the
Honble Bombay High Court and Honble Delhi High Court, Tecpro Ashtech
Limited ceased to be subsidiary of the Company with effect from March
31,2010.
AUDITORS
M/s K. K. Jain & Co., Chartered Accountants, the Statutory Auditors of
the Company, hold office until the conclusion of the ensuing Annual
General Meeting and are eligible for re-appointment. The Company has
received a certificate from them to the effect that their
re-appointment, if made would be with in the limits prescribed under
Section 224(1 B) of the Companies Act, 1956 and that they are not
disqualified from such re-appointment within the meaning of Section 226
of the said Act.
AUDIT REPORT AND EXPLANATION
The Auditors Report and annexure to the Auditors Report are self
explanatory except point no. 7 of the annexure to the Auditors Report
with respect to internal audit system. The Board of Directors hereby
clarifies that Company is in the process of developing an internal
audit system commensurate with the size of the Company.
EMPLOYEE
The Company did not have any employee drawing salary as prescribed
under Section 217(2A) of the Companies Act, 1956 during the period
under report, therefore, particulars required to be disclosed under
Section 217(2A) of the Companies (Particulars of Employees) Rules, 1975
are not applicable.
PUBLIC DEPOSITS AND LOANS/ADVANCES
The Company has not accepted any deposits from the public or its
employees during the year under review.
The Company has not made any loans/advances which are required to be
disclosed in the annual accounts of the Company pursuant to Clause 32
of the Listing Agreement.
AUDIT COMMITTEE
The Audit Committee consists of Mr. Kulbhushan Arora as Chairman, Mr.
Sunil Choudhry and Mr. Pawan Kumar as members of the Committee.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE EARNING
& OUTGO
Since the company is not carrying on any manufacturing activity, there
are no particulars that are required to be furnished under the
provisions of Section 217(1)(e) of the Companies Act, 1956 read with
Companies (Disclosure of Particulars in the Report of Board of
Directors) Rules, 1988, relating to conservation of energy and
technology absorption. There was no foreign exchange earnings and
outgo during the year.
DIRECTORS RESPONSIBILITY STATEMENT
Pursuant to the requirement under Section 217(2AA) of the Companies Act
1956 with respect to the Directors Responsibility Statement, it is
hereby confirmed:-
(i) That in the preparation of the Annual Accounts for the financial
year ended March 31, 2010, 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 the year under review;
(iii) That the directors had 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 frauds and other
irregularities; and
(iv) That the directors had prepared the annual accounts for the
financial year ended March 31, 2010 on a going concern basis.
ACKNOWLEDGEMENT
Your Directors wish to place on record their deep sense of appreciation
for the continued cooperation and support the Company has received from
various departments of the Central and State Government, Bankers,
Financial Institutions and Shareholders of the Company and expects the
same in the future.
For and on behalf of the Board
Sd/- Sd/-
Sunil Choudhry Kulbhushan Arora
Director Director
Place : Delhi
Date : May 26,2010
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