Home  »  Company  »  Golden Goenka Fin  »  Quotes  »  Notes to Account
Enter the first few characters of Company and click 'Go'

Notes to Accounts of Golden Goenka Fincorp Ltd.

Mar 31, 2015

1. During the year, the Company allotted 121,237,929 equity shares of par value of Rs 5/- each fully paid up at a premium of Rs 4/- each to eligible shareholders on Rights basis in the ratio of 9 (Nine) fully paid up equity shares of Rs 5/- each for every 5 (Five) fully paid up equity shares of Rs 5/- held (i.e. 9:5).

(b) Rights, preferences and restrictions in respect of each class of shares including restrictions on the distribution of dividends and the repayment of capital:

The Company's authorised capital consist of one class of shares, referred to as equity shares, having par value of Rs 5/- each. Each holder of equity shares is entitled to one vote per share.

The Company declares and pays dividend in Indian rupees. The dividend, if any, proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive any of the remaining asset of the Company, after distribution of all preferential amounts, if any. The distribution will be in proportion to the number of equity shares held by the shareholders.

2. (a) Provisions for non-performing assets (NPAs) is made in the financial statements according to the Prudential Norms prescribed by RBI for NBFCs. The Company also makes additional provision based on the management's best estimate, to the extent considered necessary.

The Company creates a general provision at 0.25% of the standard assets outstanding on the balance sheet date, as per the RBI Prudential Norms.

3. Deferred Tax Assets (Net)

In terms of Accounting Standard 22, the Deferred Tax Assets (DTA) recognised during the year is Rs 2,483,903 (Previous year: Rs 799,366) and the Deferred Tax Liabilities recognised during the year is Rs Nil (Previous year: Rs 329,363). Consequently, the net DTA as at 31st March, 2015 stands at Rs 2,483,903 (Previous year: Rs 470,003).

4.(a) Secured by underlying assets and in certain cases are additionally secured by immovable properties and / or pledge of equity shares of the borrowers by way of collateral security.

(b) Two-Wheeler Loans includes Non-Performing Assets of Rs 243,050 (Previous Year Rs 115,956)

(c) Short-Term, secured, Loan to Others includes Non-Performing Assets of Rs Nil (Previous Year Rs 9,131,600)

(d) Short-Term, unsecured, Loan to Others includes Non-Performing Assets of Rs 69,590,120 (Previous Year Rs 12,868,400)

5. Contingent Liabilities and Commitments (to the extent not provided for) (Amount in Rs)

As at As at Particulars 31st March, 2015 31st March, 2014

I Contingent Liabilities

Bank Guarantee 50,00,000 50,00,000

Guarantees in favor of a bank against facilities granted to

* Others 3,00,00,00,000 -

II Commitments

Estimated amount of capital contracts 6,80,38,000 6,80,38,000 remaining to be executed and not provided for (Net of advances)

In March, 2015, search and seizure operations were conducted by the Income Tax authorities under Section 132 of the Income Tax Act. During the course of the search and seizure operations, the income tax authorities have taken custody of certain materials such as documents, records, and recorded statements of certain officials of the Company. The Company does not expect any liability arising out of the aforesaid search and seizure.

6. Operating lease-in the capacity of lessee

The Company has a cancellable operating lease arrangement for office space for a period of 3 years and is renewable on a periodic basis at the option of both the lessor and lessee. The total rental expenses for the year amounted to Rs 517,458 (Previous year: Rs 515,676).

7. Disclosure pursuant to Accounting Standard (AS) 15 (Revised) - Employee Benefits

Defined Benefit Plan:

The trustees of the gratuity scheme for the employees of the Company have entrusted the administration of the scheme to the Life Insurance Corporation of India (LIC).

8. The management is of the view that the business of the Company predominantly falls within a single primary segment viz. "Financial and Related Services" and hence the disclosure requirement of Accounting Standard-17 'Segment Reporting' notified by the Central Government under Companies (Accounting Standards) Rules, 2006, is not applicable.

9. The Company has not received any memorandum from 'Suppliers' (as required to be filed by the 'Suppliers' with the notified authority under the Micro, Small and Medium Enterprises Development Act, 2006) claiming their status as on 31st March, 2015 as micro, small or medium enterprises. Consequently, the amount paid / payable to these parties during the year is ' Nil (Previous year: Rs Nil).

10. Related Party Disclosures

A. Related Parties:

i. Subsidiaries : Golden Goenka Properties & Construction Private Limited : Golden Goenka Financial Advisors Private Limited : Golden Goenka Management Consultancy Services Private Limited : Aristro Capital Markets Limited (w.e.f. 25th May, 2013)

ii. Associates : Aristro Capital Markets Limited (ceased w.e.f. 25th May, 2013 ) : Purple Advertising Services Private Limited

iii. Investing Company : Risewell Credit Private Limited

iv. Enterprises significantly : Girdhar Fiscal Services Private Limited influenced by Key management Rajgaj Traders Private Limited personnel or their relatives

B. Key Management Personnel:

v. Managing Director : Mr. Girdhari Lal Goenka

vi. Executive Director : Mr. Dinesh Burman

vii. Chief Financial Officer : Mr. Shiv Kumar Dabriwala

viii. Company Secretary : Ms. Amrita Mohta

C. Relative of Key Management Personnel:

ix. Wife of Girdhari Lal Goenka , : Mrs. Raj Goenka Managing Director

11. The Board of Directors of the Company at its meeting held on 3rd May, 2014 has issued and allotted 12,12,37,929 equity shares of Rs 5/- each at a price of Rs 9/- per equity share (including premium of Rs 4/- ) for an amount aggregating to Rs10,911.41 lakhs to the successful applicants who subscribed to the Rights Issue of the Company in the ratio of 9 (Nine) fully paid up equity shares of Rs 5/- each for every 5 (Five) fully paid up equity shares of Rs 5/- held (i.e. 9:5) by the equity shareholders on the record date i.e. March 19, 2014. Consequent to the aforesaid allotment, the paid up Equity Share capital of the Company stands increased from Rs 34,50,02,000/- (comprising of 6,90,00,400 fully paid up equity shares of Rs 5/- each) to Rs 95,11,91,645/- (comprising of 19,02,38,329 fully paid up equity shares of Rs 5/- each).

12 Effective from April 1, 2014, the Company has provided depreciation on its tangible Fixed Assets as per useful lives and residual values as specified in Schedule II of the Companies Act, 2013. The consequential impact on the depreciation charged for the year is not material.

13. Additional information as per guidelines issued by the Reserve Bank of India in respect of Non-Banking Financial (Non-Deposit Accepting or Holding) systemically important (NBFC-ND-SI) are given in Annexure - II, attached herewith. Information as required by Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007 is furnished vide Annexure - III is attached herewith.

14. Previous years' financial statements have been jointly audited by M/s Das & Prasad, Chartered Accountants & M/s Vasudeo & Associates, Chartered Accountants.

15. Figures pertaining to the previous year have been rearranged/regrouped, reclassified and restated, wherever necessary, to make them comparable with those of current year.


Mar 31, 2014

1 Contingent Liabilities and Commitments (to the extent not provided for)

(Amount in Rs.)

I Contingent Liabilities

Particulars As at As at 31st March, 2014 31st March, 2013

Bank Guarantee 50,00,000 Nil

II Commitments

Estimated amount of capital contracts remaining to be executed and not provided for (Net of advances) 6,80,38,000 4,05,78,555

2 Operating lease-in the capacity of lessee

The Company has a cancellable operating lease arrangement for office space for a period of 3 years and is renewable on a periodic basis at the option of both the lessor and lessee. The total rental expenses for the year amounted to Rs. 515,676 (Previous year:Rs. 515,288).

3 Disclosure pursuant to Accounting Standard (AS) 15 (Revised) - Employee Benefits Defined Benefit Plan:

The trustees of the gratuity scheme for the employees of the Company have entrusted the administration of the scheme to the Life Insurance Corporation of India (LIC).

4 The management is of the view that the business of the Company predominantly falls within a single primary segment viz. "Financial and Related Services" and hence the disclosure requirement of Accounting Standard-17 ''Segment Reporting'' notified by the Central Government under Companies (Accounting Standards) Rules, 2006, is not applicable.

The Company has not received any memorandum from ''Suppliers'' (as required to be filed by the ''Suppliers'' with the notified authority under the Micro, Small and Medium Enterprises Development Act, 2006) claiming their status as on 31st March, 2014 as micro, small or medium enterprises. Consequently, the amount paid / payable to these parties during the year is Rs. Nil (Previous year: Rs. Nil).

5 Related Party Disclosures

A. Related Parties:

i. Holding Company

Risewell Credit Private Limited (ceased w.e.f. 31st October, 2012)

ii. Subsidiaries

: Golden Goenka Properties & Construction Private Limited

: Golden Goenka Financial Advisors Private Limited

: Golden Goenka Management Consultancy Services Private Limited

: Aristro Capital Markets Limited (w.e.f. 25th May, 2013)

iii. Associates

: Aristro Capital Markets Limited (ceased w.e.f. 25th May, 2013)

: Purple Advertising Services Private Limited

(w.e.f. 7th December, 2012) : S2 Capital Services Private Limited

(ceased w.e.f. 7th September, 2012)

iv. Investing Company

: Risewell Credit Private Limited (w.e.f. 31st October, 2012)

v. Enterprises significantly influenced by

Key management personnel or their relatives

: Girdhar Fiscal Services Private Limited Rajgaj Traders Private Limited

B. Key Management Personnel:

vi. Managing Director : Mr. Girdhari Lai Goenka

vii. Executive Director : Mr. Dinesh Burman

(w.e.f. 30th May, 2012)

C. Relative of Key Management Personnel:

viii. Wife of Girdhari Lai Goenka , Managing Director : Mrs. Raj Goenka

6 The Board of Directors of the Company at its meeting held on 30th May, 2013 approved the issue and allotment of 3,500,000 equity shares of par value of Rs. 5/- each fully paid up at a premium of Rs. 15/- each to Promoter Group on conversion of 1,750,000 0% Optionally Convertible Debentures ("OCDs") of par value of Rs. 40/- each in the ratio of two equity shares of par value of Rs. 5/- each fully paid up for one OCD of par value of Rs. 40/- each.

7 Subsequent to the approval of the shareholders of the Company through postal ballot, the authorised Equity Share Capital of the Company has increased to Rs. 1,000,000,000/- divided into 200,000,000 shares of par value of Rs. 5/- each from Rs. 850,000,000/- divided into 170,000,000 shares of par value of Rs. 5/- each.

8 The Board of Directors of the Company at its meeting held on 3rd May, 2014 has issued and allotted 12,12,37,929 equity shares of Rs. 5/- each at a price of Rs. 9/- per equity share (including premium of Rs. 4/-) for an amount aggregating to Rs. 10,911.41 lakhs to the successful applicants who subscribed to the Rights Issue of the Company in the ratio of 9 (Nine) fully paid up equity shares of Rs. 5/- each for every 5 (Five) fully paid up equity shares of Rs. 5/- held (i.e. 9:5) by the equity shareholders on the record date i.e. March 19, 2014. Consequent to the aforesaid allotment, the paid up Equity Share capital of the Company stands increased from Rs. 34,50,02,000/- (comprising of 6,90,00,400 fully paid up equity shares of Rs. 5/- each) to Rs. 95,11,91,645/- (comprising of 19,02,38,329 fully paid up equity shares of Rs. 5/- each).

9 Information as required by Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007 is furnished vide Annexure - III is attached herewith. Additional information as per guidelines issued by the Reserve Bank of India in respect of Non-Banking Financial (Non-Deposit Accepting or Holding) systemically important (NBFC-ND-SI) are given in Annexure - II, attached herewith.

10 Previous years'' financial statements have been jointly audited by M/s Vasudeo & Associates, Chartered Accountants & M/s Haribhakti & Co., Chartered Accountants.

11 Figures pertaining to the previous year have been rearranged/ regrouped, reclassified and restated, wherever necessary, to make them comparable with those of current year.


Mar 31, 2013

1 Contingent Liabilities and Commitments (to the extent not provided for) (Amount in Rs.)

Contingent Liabilities Nil Nil

II Commitments

Estimated amount of capital contracts remaining to be executed and not provided for (Net of advances) 40,578,555 Nil

2 Operating lease-in the capacity of lessee

The Company has a cancellable operating lease arrangement for office space for a period of 3 years and is renewable on a periodic basis at the option of both the lessor and lessee. The total rental expenses for the year amounted to Rs. 515,288 (Previous year: Rs. 104,705).

3 Disclosure pursuant to Accounting Standard (AS) 15 (Revised) - Employee Benefits Defined Benefit Plan:

The trustees of the gratuity scheme for the employees of the Company have entrusted the administration of the scheme to the Life Insurance Corporation of India (LIC).

4 The management is of the view that the business of the Company predominantly falls within a single primary segment viz. ''Financial and Related Services" and hence the disclosure requirement of Accounting Standard-17 ‘Segment Reporting'' notified by the Central Government under Companies (Accounting Standards) Rules, 2006, is not applicable.

5 The Company has not received any memorandum from ‘Suppliers'' (as required to be filed by the ‘Suppliers'' with the notified authority under the Micro, Small and Medium Enterprises Development Act, 2006) claiming their status as on 31st March, 2013 as micro, small or medium enterprises. Consequently, the amount paid / payable to these parties during the year is Rs. Nil (Previous year: Rs. Nil).

6 The Company had declared an interim dividend @ 4%, amounting to Rs. 6,800,080 during the financial year ended 31st March, 2013, out of which Rs. 57,683 is unclaimed as of the reporting date.

7 Related Party Disclosures

A. Related Parties:

Holding Company : Risewell Credit Private Limited

(ceased w.e.f. 31st October, 2012)

ii. Subsidiaries : Golden Goenka Properties & Construction Private Limited

(w.e.f. 9th November, 2011 )

: Golden Goenka Financial Advisors Private Limited (w.e.f. 9th November, 2011 )

: Golden Goenka Management Consultancy Services Private Limited (w.e.f. 9th November, 2011 )

iii. Associates : Aristro Capital Markets Limited

: Purple Advertising Services Private Limited [Refer note 20 (a)] (w.e.f. 7th December, 2012)

: S2 Capital Services Private Limited

(ceased w.e.f. 7th September, 2012)

iv. Investing Company : Risewell Credit Private Limited

(w.e.f. 31st October, 2012)

B. Key Management Personnel:

v. Managing Director : Mr. Girdhari Lal Goenka

(w.e.f. 23rd November, 2011)

: Mr. Vivek Goenka

(Upto 22nd November, 2011)

vi. Executive Director : Mr. Dinesh Burman

(w.e.f. 30th May, 2012)

C. Relative of Key Management Personnel:

vii. Wife of Girdhari Lal Goenka , Managing Director : Mrs. Raj Goenka

(w.e.f. 23rd November, 2011)

8 Subsequent to the approval of the shareholders of the Company at Extraordinary General Meeting held on 23rd May, 2012, the Company has issued and allotted on 4th July, 2012, 1,75,00,000 0% Optionally Convertible Debentures (OCD) of par value of Rs. 40/- each, aggregating to Rs. 7000 lakhs to the Promoters/Promoter Group and Non-Promoters on preferential basis. Each OCD, on exercise of conversion option, shall entitle the holder of OCD to apply for and get allotted two equity shares of par value of Rs. 5/-each fully paid up at any time within a period of eighteen months from the date of allotment. As on 31st March, 2013, 1,750,000 OCDs are pending conversion.

9 As certified by one of the Joint Statutory Auditors (Vasudeo & Associates), money received towards 0% Optionally Convertible Debentures (''OCDs") has been fully utilised as per the object of the issue.

10 Subsequent to the approval of the shareholders of the Company at the Annual General Meeting held on 22nd August, 2012, the authorised Equity Share Capital of the Company has increased to Rs. 850,000,000/- divided into 170,000,000 shares of par value of Rs. 5/- each from Rs. 700,000,000/- divided into 140,000,000 shares of par value of Rs. 5/- each.

11 The Board of Directors of the Company at its meeting held on 25th September, 2012 approved the Draft Letter of Offer for Rights Issue of equity shares not exceeding Rs. 13,100 lakh. The Draft Letter of Offer was filed with the Securities and Exchange Board of India (SEBI) on September 27, 2012 and can be accessed on the SEBI website (http://sebi.gov.in). The Company has received observations from SEBI vide letter dt. April 03, 2013 and the Company alongwith the lead manager to the issue are in the process of completing the formalities in this regard.

12 The Board of Directors of the Company at its meeting held on 30th May, 2013 approved the issue and allotment of 3,500,000 equity shares of par value of Rs. 5/- each fully paid up at a premium of Rs. 15/- each to Promoter Group on conversion of 1,750,000 0% Optionally Convertible Debentures (''OCDs") of par value of Rs. 40/- each in the ratio of two equity shares of par value of Rs. 5/- each fully paid up for one OCD of par value of Rs. 40/- each.

13 Information as required by Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007 is furnished vide Annexure - III is attached herewith. During the year, the Company has become systemically important (NBFC-ND-SI) as per the aforesaid Prudential Norms and accordingly the additional information as required is given in Annexure - II, also attached herewith.

14 Figures pertaining to the previous year have been rearranged/regrouped, reclassified and restated, wherever necessary, to make them comparable with those of current year.


Mar 31, 2011

1. Confirmation from parties for amounts due to them/amounts due from them as per accounts of the Company are not received. Necessary adjustments, if any, will be made when the accounts are reconciled.

2. Information about Business and Geographical Segments Business Segments Pursuant to the Accounting Standard - 17 on "SEGMENT REPORTING", the following Business Segments have been reported.

Shares & Securities includes dealing in shares and other securities. Finance includes all loans & advances to individuals & companies. Others includes other income of the Company.

3B. Geographical Segment: The Company's business is mainly concentrated in similar geographical, political and economical conditions. Hence disclosure for geographical segment is not required.

4. Basic Earning per Share has been computed in accordance with Accounting Standard-20 "Earning Per Share". Basic Earning per Share is computed by dividing Net Profit/(Loss) after Tax by the Weighted Number of Equity Shares outstanding during the year.

5. RELATED PARTY DISCLOSURE

(A) The Company has transactions with its related parties comprising associates, key management personnel and relatives of key management personnel.

i) Relative of Key Management Personnel

1. Ms. Ekta Mehra ( Daughter of Mr. Binod Kumar Mehra, Director) *

2. Mrs. Anita Mehra **

3. Mrs. Raj Goenka (Wife of Mr. G. L. Goenka, Director)

* Transactions reported upto October 28, 2010

** Transactions reported upto September 29, 2010

ii) Associates

1. Mehra Capital Market Ltd.*

2. Aristro Capital Market Pvt Ltd.

3. Risewell Credit Pvt Ltd.

* Transactions reported upto September 08,2010

iii) Key Management Personnel

1. Vivek Goenka (Managing Director)

6. Details of non-performing assets purchased/sold

The Company has sold certain non-performing assets in terms of the guidelines issued by RBI circular no. DBOD.No.BP.BC.16/21.04.048/2005-06 dated July 13, 2005 on such sale.

7. The Company has assigned certain leased assets aggregating to Rs.62,94,855 and full amount has been received.

8. A) Deferred Tax has been accounted in accordance with the requirement of Accounting Standard on" Taxes on Income" (AS 22).

B) The major components of the Deferred Tax, based on the tax effect of the timing differences, as at 31st March, 2011 are timing difference in depreciable assets and amortization of Preliminary Expenses but the deffered tax asset has not been recognized as there is no reasonable certainity that the Company would earn profits in the near future however the reversal of Deffered Tax liability has been accounted for.

Deferred Tax has also not been provided on unabsorbed business losses and unabsorbed depreciation as there is no virtual certainty that the company would earn profits in the near future.

9. Regarding impairment of assets, on assessment, it has been ascertained that no potential loss is present. Accordingly, no impairment loss has been provided in the Books of Account.

10. The Company has not received intimation from vendors regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006 and hence disclosures relating to their outstanding amount and interest have not been made.

11. The Company is registered as NBFC with RBI, Kolkata. It has received the certificate of NBFC from RBI, Kolkata. The Company has transferred an amount of Rs. 9,32,080 to Statutory Reserve Account as required by Non-Banking Financial Companies Prudential Norms (Reserve Bank) Directions, 1998.

12. Listing fees includes an amount of Rs. 1,20,885 paid to Calcutta Stock Exchange and Bombay Stock Exchange and Legal & Professional charges includes an amount of Rs. 1,93,025 paid in Connection with forthcoming right issue but the right issue was not proceeded with, as the management decided to withdraw the same.

13. In the opinion of the management the market value of the quoted investment compared against their cost value have not suffered any permanent diminution and accordingly no provision for diminution in the value has been made during the year.

14. Required in terms of Paragraph 9BB of Non-Banking Financial Companies Prudential Norms (Reserve Bank) Directions, 1998

15. Previous year's figures have been regrouped, re-classified and/ or renamed to confirm to this year's classification.


Mar 31, 2010

1) Additional informations pursuant to the provisions of para 3,4C & 4D of Part II of Schedule VI of the Companies Act 1956 are given below :

2) Sundry Debtors includes Rs. 18,30,030/- and Fixed Assets includes Rs. 56,00,925/- due on account of lease rentals and assets given on lease, from certain parties against which the Company has preferred recovery proceedings and the matter is sub-judice.

3) Confirmation from parties for amounts due to them/amounts due from them as per accounts of the company are not received. Necessary adjustments, if any, will be made when the accounts are reconciled.

4) Basic earning per Share has been computed with reference to Profit/(Loss) after tax of Rs. 4,09,451.83 [Previous Year Rs. (32,47,505.58)] and Equity Shares outstanding (nominal value Rs. 10) during the year aggregating to (2999900 shares)

5) A. Deferred Tax has been accounted in accordance with the requirement at Accounting Standard on "Taxes on Income" (AS 22).

B. The major components at the Deferred Tax /Liabilites, based on the tax effect of the timing differences, as at 31st March, 2010 are timing difference in depreciable assets amounting to Rs. 2164.

8) Name of related parties and description of relationship :

1. Relative of Key Management Personal : Ms. Ekta Mehra. (Daughter of

Mr. Binod Kr. Mehra, Director)

2. Associates : Mehra Capital Market Ltd.

6A. GEOGRAPHICAL SEGMENT :

The Companys business is mainly concentrated in similar geographical, political and economical conditions. Hence disclosure for geographical segment is not required.

7. Regarding impairment of assets, on assessment, it has been ascertained that no potential loss is present, except the asset that was leased to M/s. Prakash Industries Ltd. and M/s. Sanderson Industries Ltd. the matter is subjudice in court and the management is of the opinion that full value of the asset will be recovered. So the provision for impairment of asset is not provided.

8. The company is registered as NBFC with RBI, Kolkata. It has received the certificate of NBPG from RBI, Kolkata. The company has transferred an amount of Rs. 46,900 to Statutory Reserve Account as required by Non-Banking Financial companies Prudential Norms (Reserve Bank) Directions, 1998.

9. Dues of Micro, Small and Medium Enterprises - NIL

10. Required in terms of Paragraph 9BB of Non-Banking Financial Companies Prudential Norms (Reserve Bank) Directions, 1998

(Rs. In Lakhs)

Particulars

LIABILITIES SIDE :

1) Loans and advances availed by the NBFCs Amount Amount

Inclusive of interest secured thereon but not paid outstanding overdue

a) Debentures : Secured

Unsecured

(other than falling within the

meaning of public deposits*) NIL

b) Deferred Credits

c) Term Loans

d) Inter-Corporate loans and borrowing

e) Commercial Paper

f) Public Deposits*

g) Other Loans (specify nature)

11. Previous years figures have been regrouped, re-calssified and/or renamed to confirm to this years classification.

 
Subscribe now to get personal finance updates in your inbox!