Mar 31, 2014
1. Contingent liabilities & commitments
(1) Contingent Liabilities Figures as at Figures as at
31-03-2014 31-03-2013
Rs. Rs.
a) Claims against the company NIL NIL
not acknowledged as debts
b) Guarantees NIL NIL
c) Other money for which NIL NIL
company is contingently
liable
(2) Commitments
a) Estimated amounts of contracts NIL NIL
to be executed on capital account
not provided for
b) Uncalled liability on partly paid shares NIL NIL
c) Other commitments NIL NIL
2 The company being listed on stock exchange, therefore, has complied
with all the notified applicable Accounting Standards read with General
Circular 15/2013 dated 13.09.2013 of the Ministry of Corporate Affairs
in respect of section 133 of the Companies Act, 2013.
3 The revised schedule VI as notified under the Companies Act, 1956
continues to be applicable to the company for its financial statements
for the year ending March 31, 2014. The schedule III notified under the
Companies Act, 2013 would be applicable for the Financial Year
beginning on or after 01.04.2014.
4 Deferred Taxes
As per Accounting Standard AS - 22 "Taxes on Income" the company has
deferred tax assets on its carried forward losses and unabsorbed
depreciation. At present there are no trading and manufacturing in the
company on account of losses. In view of virtual uncertainty of future
profits in immediate succeeding years, the Deferred Tax
Assets/Liabilities (DTA/DTL) has not been recognised in the books of
account.
5 Previous year figures have been regrouped/re-classified wherever
considered to make comparable with the current year figures.
Mar 31, 2013
Contingent liabilities & commitments
(1) Contingent Liabilities
a) Claims against the company not
acknowledged as debts NIL NIL
b) Guarantees NIL NIL
c) Other money for which
company is contingently liable NIL NIL
(2) Commitments
a) Estimated amounts of contracts
to be executed on capital account NIL NIL
not provided for
b) Uncalled liability on partly
paid shares NIL NIL
c) Other commitments NIL NIL
* Representing interest allowed as per bank certificate on margin money
FDRs'' encased during the year.
2. The Revised Schedule VI as notified under the Companies Act, 1956,
continues to be applicable to the Company for its financial statements
for the year ending March 31, 2013. The adoption of the revised
Schedule VI requirements presentation has significantly modified the
presentation and disclosures which have been complied with in these
financial statements.
3 The company being listed on stock exchange, therefore, has complied
with all the notified applicable Accounting Standards.
4 Deferred Taxes
As per accounting standard (AS 22), the company has deferred tax assets
on its carried forward losses and unabsorbed depreciation. At present
there are no trading and manufacturing activities in the company on
account of losses. In view of virual uncertainty of future profits in
immediate succeeding years, the Deferred Tax Assets / Liabilities
(DTA/(DTL) has not been recognized in the books of account.
5. Previous year figures have been regrouped/re-classified wherever
considered to make comparable with the current year figures.
6. All schedules annexed to and from integral part of the Balance
Sheet and Profit & Loss Account.
Mar 31, 2012
(a) The above information [from (a) to (d)] is as per records of the
company, including its register of shareholders/ members and other
declarations received from shareholders regarding beneficial interest.
The above shareholding represents both legal and beneficial ownerships
of shares.
*The above inventory carried in the financials does not have commercial
sale value and therefore, a provision of Rs. 2,00,000/- has been made
for obsolescence/diminution in value.
Contingent liabilities & commitments
(1) Contingent Liabilities
a) Claims aganinst the company not acknowledged as debts NIL NIL
b) Guarantees NIL NIL
c) Other money for which company is contingently liable NIL NIL
(2) Commitments
a) Estimated amounts of contracts to be executed on capital account NIL
NIL not provided for
b) Uncalled liability on partly paid shares NIL NIL
c) Other commitments NIL NIL
3. The schedule VI as notified under the Companies Act, 1956 has
become applicable to the company for its financial statements for the
year ending March 31, 2012. The adoption of the revised schedule VI
requirements presentation has significantly modified the presentation
and disclosures which have been complied with in these financial
statements. Previous year figures have been restated in accordance
with current year requirements.
4. The company being listed on stock exchange, therefore, has
complied with all the notified applicable Accounting Standards.
5. Deferred Taxes
As the commercial activities are yet to commence, therefore, the
Deferred Tax Assets / Liabilities (DTA/(DTL) has not been recognized in
the books of account in compliance of Accounting Standard (AS) -22.
6. Previous year figures have been regrouped/re-classified wherever
considered to make comparable with the current year figures.
7. Value of Import on CIF Basis Nil
8. Earnings in Foreign Exchange Nil
9. Expenditure in Foreign Currency Nil
Mar 31, 2010
1. BACKGROUND
The company had entered into a joint venture (JV) agreement with the
General Binding Corporation (GBC), USA on 19th June, 1988 for
manufacturing and selling office Automotion products. The JV was
terminated with mutual consent between the parties on 31st March, 2002
and almost entire capital of the company is held by Spice Enfotainment
Ltd.(formerly known as Spice Corp. Ltd.) except little shareholding
with the public. The manufacturing activities had been discontinued
since Feb., 2006 due to continued losses in the company. The company
has also not done very well in its trading business as a result of
which, there have been no business activities in the company during the
financial year 2009-10
2. HOLDING COMPANY
The company continues to be subsidiary of Spice Enfotainment Ltd.
(formerly known as Spice Corp. Ltd.)
3. SUBSIDIARY COMPANY
The company ceased to be holding company of Bharat IT Services Ltd.
(Formerly Spice Net Ltd.) w.e.f. 12.05.2009
4. The Company is a non small and medium enterprises sized company as
defined in the general instructions in respect of Accounting Standards
notified under the Companys Act, 1956. Accordingly, all the applicable
accounting standards have been complied with.
5. The Company has been carrying obsolete and damaged inventory for
quite some time, which it could not dispose off due to non availability
of suitable marketing personnel in the company and sluggish market
conditions. At the instance of the Board, the inventories were got
valued from registered valuer who had declared them as scrap and valued
at Rs. 2.25 lacs. Accordingly, the carrying value has been taken at Rs.
2.25 lacs in the present financials.
6. During the year, the company has taxable losses after adjusting
capital gains, therefore, no provision has been made on account of
Income lax.
7. The Company owned Land and Building at Modipuram, Distt. Meerut,
which had been sold to Bougainvillea Multiplex & entertainment Pvt.
Ltd. (BMEC) in terms of MOU dated 04.09.2006 for Rs. 86 lacs. As per
terms of MOU, the Company was under an obligation to BMEC for transfer
of properties by executing requisite sale deed within a period of 90
days. Due to certain unavoidable reasons, the transfer deed of
properties could not be executed. During the current year, BMEC has
written to the company to refund its money of Rs. 86 lacs alongwith
interest @8% p.a.. Thereafter.a Memorandum of Termination has been
executed between the parties on 16.06.2009. The amount of Rs. 86 lacs
alongwith interest @8% of Rs. 19.29 lacs has been refunded to BMEC. The
same land & building has been sold for Rs. 110 lacs subsequently to a
thifa party. The resultant profit has been duly accounted for in the
books of account of the company.
8. DEFERRED INCOME TAXES
As per guidance note of The Institute of Chartered Accountants of India
on Accounting Standard (AS) - 22, the Company at the prevailing income
tax rates as on 31st March, 2010, has Deferred Tax Assets (DTA) of Rs.
155.78 Lacs on its carried forward accummulated business losses ,
unabsorbed depreciation, provision for bad and doubtful debts &
advances and expenses deductible on payment basis. Similarly, the
compamy has Deferred Tax Liability (DTL) of Rs.0.10/-lacs on account of
timing difference of depreciation.
Based on the past performance of the Company over the years there is
significant uncertainty on the realisability of the benefits of those
deductible differences and consequently, the DTA and DTL have not been
recognised in the books of account.
9. In the opinion of the Board of Directors, the current assets, loans
and advances have a value on realisation in the ordinary course of
business, atleast equal to the amount at which they are stated in the
books of account.
10. The balances appearing in the books at the close of the financial
year under the heads Sundry Debtors, Sundry Creditors ,Loans and
Advances are subject to confirmation.
11. No provision has been made in the accounts against the liability
in respect of future payment of gratuity to the employees as lone
employee has not put in the qualifying period of service for
entitlement to the said benefit under the Provisions of Payment of
Gratuity Act, 1972.
12. The liability on account of Leave Encashment in respect of Idne
employee has been duly provided for on the basis of leave accrued and
accumulated to the each employee.
13. RELATED PARTY TRANSACTIONS
During the year, the Company entered into transactions with related
parties. Those transactions along with related balances as at March 31
, 2010 and March 31, 2009 are given in the following table:
List of the related Parties (As certified by the management)
Name of the Related Party Relation
i) Spice Enfotainment Limited
(Formerly Spice Corp. Ltd.) Holding Company
ii) Bharat IT Services Limited (formerly
Spice Net Limited) ceased
w.e.f 12.05.2009 Subsidiary company
iii) First Choice Enterprises P.Ltd. Common Direcor and
Fellow
Subsidiary of
i) above.
The names of other associate companies have not been disclosed because
of Nil transactions with them during the year.
14. SEGMENT REPORTING
Segment wise reporting as defined in Accounting Standard AS-17 is not
applicable, since the entire operations of the company relates to one
segment i.e. Office Automation Equipment.
15. CONTINGENT LIABILITIES
Contingent liabilities are not provided for and are disclosed by way of
note.
(a) Claims against the Company not acknowledged as debts
- Excise matters - Rs. 39,87,122/- (2009 - Rs. 39,87,122/-)
- Sales Tax matters (including demands in respect of non-submission of
statutory sales tax declaration forms) - Rs1,94,98,3777- (2009 - Rs.
2,03,20,094/-)
- Other cases against the company - Rs. 1,246,664/- (2009 - Rs.
1,246,664/-)
(b) Counter Guarantees issued Rs 6,82,700/- (2009 - Rs. 6,82,700/-).
(c) To income tax department for Rs. 4745000/- towards penalties
imposed against which company is in appeal.
16. Previous years figures have been regrouped and/or reclassified
wherever necessary to make their classification comparable with that of
the current year.