Mar 31, 2018
Significant accounting policies and notes on accounts
1 General Information
Jullundur Motor Agency (Delhi) Limited is a public limited company incorporated and domiciled in India, listed on the the National Stock Exchange (NSE). The address of its registered office is 458-1/16, Sohna Road, Opposite New Court, Gurugram (Gurgaon) -122001. The Company is engaged predominantly in trading and distribution of automobile parts, accessories and petroleum products primarily in India.
Note.2 New Standards that are not yet effective and have not been early adopted:
As set out below, amendments to standards are effective for annual periods beginning on or after April 1, 2018, and have not been applied in preparing these financial statements:
Amendments to Ind As 21, The effect of changes in Foreign Exchange rates
The amendment clarifies on the accounting of transactions that include the receipt or payment of advance consideration in a foreign currency. The appendix explains that the date of the transaction, for the purpose of determining the exchange rate, is the date of initial recognition of the non-monetary prepayment asset or deferred income liability. If there are multiple payments or receipts in advance, a date of transaction is established for each payment or receipt. This amendment has not any significant impact on the financial statement of the Company.
Note.3 First time adoption of Ind AS
Note.3.1 These standalone financials of Jullundur Motor Agency (Delhi) Limited for the year ended March 31, 2017 have been prepared in accordance with Ind AS. For the purpose of transition to Ind AS, the Company has followed the guidance prescribed in Ind AS 101, First-Time Adoption of Indian Accounting Standards, with April 1, 2016 as the transition date and IGAAP as the previous GAAP.
The transition to Ind AS has resulted in changes in the presentation of the financial statements, disclosures in the notes thereto and accounting policies and principles. The accounting polices set out in Note 1 have been applied in preparing the standalone financial statements for the year ended March 31, 2017 and the comparative information. An explanation of how the transition from previous GAAP to Ind AS has effected the Companyâs Balance Sheet and Statement of Profit and Loss, is set out in Note 4.2 and 4.3. Exemptions on the first-time adoption of Ind AS availed in accordance with Ind AS 101 have been set out in Note 4.1.1.
Note.3.1.1 Exemption availed on First time adoption of Ind AS 101
Ind AS 101 allows first-time adopters certain exemptions from the retrospective application of certain requirements under Ind AS. The Company has accordingly applied the following exemptions.
a) Carrying amount of Property, plant and equipment
On transition to Ind AS, the Company has elected to continue with the carrying value of all its property, plant and equipment recognised as at 1 April, 2016 measured as per the previous GAAP and use that carrying value as the deemed cost of the property, plant and equipment.
b) Designation of previously recognized financial instruments
âUnder Ind AS 109, at initial recognition of a financial asset, an entity may make an irrevocable election to present subsequent changes in fair value of an investment in an equity instrument in other comprehensive income. Ind AS 101 allows such designation of previously recognized financial assets, as âfair value through other comprehensive incomeâ on the basis of the facts and circumstances that existed at the date of transition to Ind AS.
âAccordingly, the Company has designated its investments in certain equity instruments at fair value through other comprehensive income on the basis of the facts and circumstances that existed at the date of transition to Ind AS.â
c) Since there is no change in the functional currency the company has elected to continue with carrying value for all its investment property as recognised in its Indian GAAP Financials , as deemed cost at the transition date.
3.2 Notes to reconciliations between Previous GAAP and Ind AS
a) Under Previous GAAP, investments were classified into current and long term investments. Current investments were carried at the lower of cost or market value, while long term investments were carried at cost less any impairment that was other than temporary. âUnder Ind AS, equity investments have been classified as Fair Value through Other Comprehensive Income (FVTOCI). Fair value movements are recognized directly in other comprehensive income on such investments. Investment in debt Mutual Funds have been classified as Fair Value through Profit or Loss (FVTPL) and fair value changes are recognized in Statment of Profit and Loss.
b) As per Ind AS 19, Employee Benefits, actuarial gains and losses are recognized in other comprehensive income and not reclassified to profit and loss in a subsequent period.
c) Under Previous GAAP, lease agreements to use land were not covered in accounting standard for leases and these were classified as part of PPE.
As per Ind AS 17, Leases, when a lease includes both land and buildings elements, an entity assesses the classification of each element as a finance or an operating lease separately. Company has classified lease hold lands as operating lease.
d) Fixed deposit maturing after 12 months from balance sheet date has been re-classified from current asset to non-current financial assets, in compliance with relevant accounting standards.
e) The impact of transition adjustments together with Ind AS mandate of using balance sheet approach (against profit and loss approach in the previous GAAP) for computation of deferred taxes has resulted in charge to the Reserves, on the date of transition, with consequential impact to the Statement of Profit and Loss for the subsequent periods.
As at 31 March 2018 and 31 March 2017 the fair values of the investment property are Rs 6.45 crores and Rs 7.07 crores respectively.
These values are based on valuations performed by the management on the basis of available market quotes/ prevalent property prices in the same and nearby localities.
The Company has no restrictions on the realisability of its investment property and no contractual obligations to purchase, construct or develop investment property or for repairs, maintenance and enhancements.
Note : Property as on 1st April 2016 includes Rs 143.94 lakhs in respect of which conveyance deed is still to be executed.
b) Terms/rights attached to equity shares
The company has one class of shares referred to Equity Shares having par value of Rs.10/- each. Each holder of equity share is entitled to one vote per share.
During the year March 31,2018 the amount of dividend per share recognized as distribution to equity shareholders was Rs. NIL.
In the event of liquidation of the company, the holders of equity shares will be entitled to receive any part of the remaining assets of the company. The distribution will be in proportion to the number of equity shares held by the shareholders.
c) Shares held by holding company or ultimate holding company or subsidiaries or associates of the holding company or the holding company
There is no holding or ultimate holding company of the company
d) Aggregate number of bonus shares issued, share issued for consideration other than cash and shares bought back during the period of five years immediately preceding the reporting date:
Equity Shares allotted as fully paid 2981805 equity shares of Rs. 10/- each allotted up by way of bonus shares by way of bonus shares as on 2nd May, 2013
Equity Shares allotted as fully paid up pursuant to contract(s) without payment being received in cash -
Equity Shares bought back by the company -
4 Capital management
The Companyâs capital management is intended to create value for shareholders by facilitating the meeting of long-term and short-term goals of the Company.
The Company determines the amount of capital required on the basis of annual operating plans and long-term product and other strategic investment plans. The funding requirements are met through equity and long-term/short-term borrowings.
Capital of the company in equity as on 31st March, 2018 Rs.13,862.85/- (as on 31st March, 2017 Rs.12,689 27/- and as on 1st April, 2016 Rs.11,657).
5 Disclosures on financial instruments
This section gives an overview of the significance of financial instruments for the Company and provides additional information on balance sheet items that contain financial.
The details of significant accounting policies, including the criteria for recognition, the basis of measurement and the basis on which income and expenses are recognized, in respect of each class of financial asset, financial liability and equity instrument are disclosed in note 2 to the financial statements. a) Financial assets and liabilities
The following table presents the carrying amounts and fair value of each category of financial assets and liabilities as at March 31, 2018.
Valuation techniques with significant unobservable inputs (Level 3): This level of hierarchy includes financial assets and liabilities measured using inputs that are not based on observable market data (unobservable inputs). Fair values are determined in whole or in part, using a valuation model based on assumptions that are neither supported by prices from observable current market transactions in the same instrument nor are they based on available market data.
The short-term financial assets and liabilities are stated at amortized cost which is approximately equal to their fair value. Management uses its best judgment in estimating the fair value of its financial instruments. However, there are inherent limitations in any estimation technique. Therefore, for substantially all financial instruments, the fair value estimates presented above are not necessarily indicative of all the amounts that the Company could have realized or paid in sale transactions as of respective dates. As such, the fair value of the financial instruments subsequent to the respective reporting dates may be different from the amounts reported at each year end.
b) Financial risk management
In the course of its business, the Company is exposed primarily to fluctuations equity prices, liquidity and credit risk, which may adversely impact the fair value of its financial instruments.
The Company has a risk management policy which covers the risks associated with the financial assets and liabilities such as credit risks. The risk management policy is approved by the board of directors.
i) Market risk Equity Price risk
Equity Price Risk is related to the change in market reference price of the investments in equity securities.
The fair value of some of the Companyâs investments measured at fair value through other comprehensive income exposes the Company to equity price risks. These investments are subject to changes in the market price of securities. The fair value of Companyâs investment in quoted equity securities as at March 31, 2018, 2017 and April 1, 2016 was Rs.184.23 lakhs, Rs.45.91 lakhs and Rs.33.93 lakhs, respectively. A 10% change in equity price as at March 31, 2018, 2017 and April 1, 2016 would result in an impact of Rs.18.42 lakhs, Rs.4.59 lakhs and Rs.3.39 lakhs respectively.
The fair value of some of the Companyâs investments measured at fair value through profit or loss exposes the Company to equity price risks. These investments are subject to changes in the market price of securities. The fair value of Companyâs investment in quoted equity securities as at March 31, 2018, 2017 and April 1, 2016 was Rs.1277.82 lakhs, Rs.1091.91 lakhs- and Rs. NIL, respectively. A 10% change in equity price as at March 31, 2018, 2017 and April 1, 2016 would result in an impact of Rs.127.68 lakhs, Rs.109.19 lakhs and Rs.Nil respectively.
(Note: The impact is indicated on equity before consequential tax impact, if any).
ii) Credit risk
Credit risk is the risk of financial loss arising from counterparty failure to repay or service debt according to the contractual terms or obligations. Credit risk encompasses both the direct risk of default and the risk of deterioration of creditworthiness as well as concentration risks.
Financial instruments that are subject to concentrations of credit risk, principally consist of investments classified as fair value through profit or loss, trade receivables, loans and advances and derivative financial instruments. None of the financial instruments of the Company result in material concentrations of exposure to credit risks.
Exposure to credit risk
The carrying amount of financial assets represents the maximum credit exposure. The maximum exposure to credit risk was Rs.13663.17 lakhs as at March 31, 2018, Rs.12106.98 lakhs as at March 31, 2017, being the total of the carrying amount of balances with banks, short term deposits with banks, trade receivables, finance receivables, margin money and other financial assets excluding equity investments.
None of the Companyâs cash equivalents, including time deposits with banks, are past due or impaired. Regarding trade receivables and other receivables, and other loans or receivables that are neither impaired nor past due, there were no indications as at March 31, 2018, that defaults in payment obligations will occur.
iii) Liquidity risk
Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The objective of liquidity risk management is to maintain sufficient liquidity and ensure that funds are available for use as per requirements. The Company invests its surplus funds in bank fixed deposit and liquid and liquid plus schemes of mutual funds, which carry no/low mark to market risks.
6 Related Party Disclosure
Key Management Personnel & Relatives
1. Mr.Virat Sondhi, Managing Director
2. Mr.DeepakArora, Jt.Managing Director
3. Mr.Narinder Pal Singh, CFO
4. Mr.Sachin Saluja, Company Secretary
Relatives
Mrs.Shuchi Arora (Wife of Mr.Deepak Arora and daughter of Mr.Virat Sondhi) Mrs.Aditi Arora Malik ( Daughter of Mr.Deepak Arora)
Miss Ashana Arora(Daughter of Mr.Deepak Arora)
Mr. Varun Malik ( Son in law of Mr.Deepak Arora)
7 Segment Reporting
The company is dealing in one class of goods i.e. automobile parts & accessories and located in one country i.e. India. Since the company operated in a single business/ geographical segment, information is not required by Ind AS -108 Operating Segments.
8 In accordance with Ind AS -36 â Impairment of Assetsâ , the company has assessed as on the Balance Sheet date, whether there are any indications with respect to impairment of any of the assets. Based on such assessment it has been ascertained that no potential loss is present and therefore, formal estimate of the recoverable amount has not been made. Accordingly no impairment loss has been provided in the books of accounts.
9 The estimates at 1st April 2016 and at 31st March, 2017 are consistent with those made for the same dates in accordance with previous GAAP (after adjustments to reflect any differences in accounting policies) apart from the following items, which, under previous GAAP did not require estimation:
- Fair values of Financial Assets & Financial Liabilities
- Impairment of financial assets based on expected credit loss model
- The estimates used by the Company to present these amounts in accordance with Ind AS reflect prevailing conditions as at 1st April, 2016 and 31st March, 2017.
10 In the absence of confirmation from the suppliers regarding Micro , Small and Medium enterprises with the company, all the suppliers are taken as others.
Defined Benefit Plan and other long term benefits Gratuity funds
The Employees gratuity fund scheme is managed by Life Insurance Corporation of India. The present value of obligation is determined based on Actuarial valuation by certified actuary. The valuation has been carried out using the Project Unit Credit Method as per Ind AS 19.
Valuations are performed on certain basic set of pre-determined assumptions and other regulatory framework which may vary overtime. Thus, the Company is exposed to various risks which are as follows:
Interest Rate risk:
The plan exposes the Company to the risk of fall in interest rates. A fall in interest rates will result in an increase in the ultimate cost of providing the benefit and will thus result in an increase in the value of the liability.
Liquidity risk:
This is the risk that the Company is not able to meet the short-term payouts. This may arise due to non availability of enough cash / cash equivalent to meet the liabilities or holding of illiquid assets not being sold in time.
Salary Escalation risk:
The present value of defined benefit plan liability is calculated with the assumption of salary increase rate of plan participants in future. Deviation in the rate of increase of salary in future for plan participants from the rate of increase in salary used to determine the present value of obligation will have a bearing on the planâs liability.
Demographic risk:
The present value of defined benefit plan liability is calculated by reference to the best estimate of the mortality of plan participants both during and after employment. An increase in the life expectancy of the plan participants will increase the planâs liability.
Regulatory risk:
Gratuity benefit is paid in accordance with the requirements of the Payment of Gratuity Act, 1972 (as amended from time to time). There is a risk of change in regulations requiring higher gratuity payouts (e.g. Increase in the maximum limit on gratuity of Rs.20 lakhs).
The fair value of the above investments is taken as per the account statements of the insurance companies.
The Company expects to make a contribution of Rs.6090611/- (as at 31.03.17: Rs.11,32,594/-) to the defined benefit plans during the next financial year.
Sensitivity analysis
Significant actuarial assumption for the determination of defined obligation are discount rate, expected salary growth rate, attrition rate and mortality rate. The sensitivity analysis below have been determined based on reasonably possible changes in respective assumption occurring at the end of reporting period, while holding all other assumptions constant.
11 The company has lease facility under cancellable lease arrangements with a lease term ranging from one to five years, which are subject to renewals by mutual consent thereafter. The cancellable arrangements can be terminated by the either party after giving due notice. The Company does not have any non cancellable lease arrangements and therefore no disclosure is required as per Ind AS17.
12 Post the applicability of Goods and Service Tax (GST) effect from July 1. 2017 Value Added Tax and service have been replaced by GST. In accordance with Ind -AS 18 on revenue and Schedule III of Companies Act 2013 GSN is not to be included in revenue from operations and the same is disclosed net of GST. Accordingly, in view of the restructuring of the indirect taxes, the revenues from operations and expenses for the year ended March 31,2018 are not comparable with the previous period presented in the results , to that extent.
13 In case of Inventories that are slow moving, damaged, unsalable or obsolete, the net realizable value is considered on estimated basis and as at the year end value of such Inventory has been written down to the extent of Rs 143.98 Lacs.
14 Earning Per Share : Earning per share has been computed as under :
Basic EPS amounts are calculated by dividing the profit for the year attributable to equity holders of the parent by the weighted average number of Equity shares outstanding during the year.
Diluted EPS amounts are calculated by dividing the profit attributable to equity holders of the parent (after adjusting for interest on the convertible preference shares) by the weighted average number of equity shares outstanding during the year plus the weighted average number of equity shares that would be issued on conversion of all the dilutive potential equity shares into equity shares.
The following reflects the income and share data used in the basic and diluted EPS computations:
15 The Previous GAAP figures have been reclassified to confirm to presentation requirements of Schedule III applicable to a company whose financial statements are required to be drawn up in compliance of the Companies (Indian Accounting Standards) Rules, 2015.
Mar 31, 2016
1. SEGMENT REPORTING
The company is dealing in one class of goods i.e. automobile parts & accessories and located in one country i.e. India. Since the company operates in a single business/ geographical segment information required by AS-17 issued by ICAI is not required to be given.
2. In accordance with Accounting Standard -28 '' Impairment of Assets'' , the company has assessed as on the Balance Sheet date, whether there are any indications (listed in paragraph 8 to 10 of the Standard) with respect to the impairment of any of the assets. Based on such assessment it has been ascertained that no potential loss is present and therefore, formal estimate of the recoverable amount has not been made. Accordingly no impairment loss has been provided in the books of account.
3. The information required to be disclosed under Micro, Small and Medium Enterprises Development Act 2006 has been determined to the extent such parties have been indentified on the basis of information available with the company. There are no over due to parties on account of principals amount and /or interest and accordingly no additional disclosures have been made.
VI. Actuarial Assumptions Mortality T able (L I C)
Discount Rate (per annum) 8% 8%
Expected rate of return on plan assets (Per annum) 8% 8%
Rate of Salary escalation (per annum) 6% 6%
The estimates of rate of escalation in salary considered in actuarial valuation, take into account inflation, seniority, promotions and other relevant factors including supply and demand in the employment market. Gratuity Fund is managed by Life Insurance Corporation of India, that does not provide individual investment wise details of plan assets.
4. The company has lease facility under cancellable lease arrangements with a lease term ranging from one to five years, which are subject to renewals by mutual consent thereafter. The cancellable arrangements can be terminated by the either party after giving due notice. The Company does not have any non cancellable lease arrangements and therefore no disclosure is required as per AS19.
5. The Company having detected, during the year, an offence of fraud involving a pecuniary loss of Rs. 34,31,575/caused to the company by an employee at one of the branches, necessitated initiation of action by lodging a FIR with police authorities, which as per the directions of honorable court is being investigated. The employee concerned has, pursuant to the order of High Court, deposited Rs.11.00 lacs with police authority and pending completion of the investigation and considering the facts and circumstances, a provision of Rs.24,31,575/- has been made and is considered reasonable.
Mar 31, 2015
A) Terms/rights attached to equity shares
The company has one class of shares referred to Equity Shares having
par value of Rs.10/- each. Each holder of equity share is entitled to
one vote per share. The dividend declared by the Board of directors is
subject to the approval of the shareholders in the ensuing Annual
General Meeting.
During the year March 31,2015 the amount of dividend per share
recongnised as distribution to equity shareholders was Rs. 4/-
(Previous year Rs.4/-)
In the event of liquidation of the company, the holders of equity
shares will be entitled to receive any part of the remaining assets of
the company. The distribution will be in proportion to the number of
equity shares held by the shareholders.
c) Shares held by holding company or ultimate holding company or
subsidiaries or associates of the holding company or the holding
company
There is no holding or ultimate holding company of the company
d) Aggregate number of bonus shares issued, share issued for
consideration other than cash and shares bought back during the period
of five years immediately preceding the reporting date:
Equity Shares allotted as fully paid up by way of bonus shares -
2981805 equity shares of Rs. 10/- each alloted by way of bonus shares
Equity Shares allotted as fully paid up pursuant to contract(s) without
payment being received in cash - -
Equity Shares bought back by the company - -
* Unclaimed dividend does not include any amount due and outstanding to
be credited to Investor Education and Protection Fund.
# This includes advance from customers and staff credit balances and
claims payable.
As at As at
31st March, 2015 31st March, 2014
2. Contingent liabilities and
commitments (To the extent not
provided for)
(i) Contingent Liabilities
(a) Claims against the company
not acknowledged as debt 180,567 180,567
(b) Gu arantees - 65,000
(d) Other money for which the
company is contingently liable 8,871,623 9,000,050
(Sales tax Demand disputed by
the company)
(d) Other money for which the
company is contingently liable 13,581,399 10,913,799
(Income tax Demand disputed by
the company)
( i i) Commitments
(a) Estimated amount of contracts
remaining to be executed 4,751,743 9,151,743
on capital account and not provided
for
(b) Uncalled liability on shares
and other investments partly paid 91 91
Total Contingent liabilities
and commitments 27,385,423 29,311,250
3. SEGMENT REPORTING
The company is dealing in one class of goods i.e. automobile parts &
accessories and located in one country i.e. India. Since the company
operates in a single business/ geographical segment information
required by AS-17 issued by ICAI is not required to be given.
4. In accordance with Accounting Standard -28 '' Impairment of Assets''
, the company has assessed as on the Balance Sheet date, whether there
are any indications (listed in paragraph 8 to 10 of the Standard) with
respect to the impairment of any of the assets. Based on such
assessment it has been ascertained that no potential loss is present
and therefore, formal estimate of the recoverable amount has not been
made. Accordingly no impairment loss has been provided in the books of
account.
5. The information required to be disclosed under Micro, Small and
Medium Enterprises Development Act 2006 has been determined to the
extent such parties have been indentified on the basis of information
available with the company. There are no over due to parties on
account of principals amount and /or interest and accordingly no
additional disclosures have been made.
6. Employees Benefits under Accounting Standard -15 (Revised)
"Employee Benefits " notified in the Companies (Accounting
Standards) Rules 2006 :
Defined Contribution Plan
Contribution to Defined Contribution Plan, are charged off for the year
as under:
Employer''s Contribution to Provident Fund 6,372,040
Employer''s Contribution to Employees State Insurance 2,239,820
Defined Benefit Plan Gratuity :
The Employees gratuity fund scheme is managed by Life Insurance
Corporation of India. The present value of obligation is determined
based on Actuarial valuation by Life Insurance Corporation of India.
The estimates of rate of escalation in salary considered in actuarial
valuation, take into account inflation, seniority, promotion and other
relevant factors including supply and demand in the employment market.
Gratuity Funds are managed by Life Insurance Corporation of India,
individual investment wise details of plan assets are not provided by
them.
7. The company has lease facility under cancellable lease arrangements
with a lease term ranging from one to five years, which are subject to
renewals at mutual consants thereafter. The cancellable arrangements
can be terminated by the either party after giving due notices. The
Company does not have any non cancellable lease arrangements therefore
no disclosure is required as per AS19.
8. Previous year figures have been regrouped wherever necessary.
Mar 31, 2014
A) Terms/rights attatched to equity shares
The company has one class of shares referred to Equity Shares having
par vaiue of Rs.10/- each.Each holder of equity share is entitied to
one vote per share. The company declares and pays dividend in Indian
rupees.The dividend declared by the Board of directors is subject to
the approval of the shareholders in the ensuing Annuai Generai Meeting.
During the year March 31, 2014 the amount of dividend per share
recongnised as distribution to equity sharehoiders was Rs. 4/-
(Previous year Rs.6/-)
In the event of liquidation of the company, the holders of equity
shares wiii be entitled to receive any of the remaining assets of the
company.
c) Shares held by holding company or ultimate holding company or
subsidiaries or associates of the holding company orthe holding
company.
There is no holding or uitimate holding company of the company
As st As st
31st March, 2014 31st March, 2013
(rs) (rs)
2. Contingent liabilities and
commitments (To the extent not provided
for)
(i) Contingent Liabilities
(a) Claims against the company
not acknowledged as debt 180,567 180,567
(b) Guarantees 65,000 -
(d) Other money for which the
company is contingently liable 9,000,050 3,278,048
(Sales tax Demand disputed by
the company)
(d) Other money for which the
company is contingently liable 10,913,799 8,347,589
(Income tax Demand disputed by
the company)
(ii) Commitments
(a) Estimated amount of contracts
remaining to be executed 9,151,743 17,392,335
on capital account and not
provided for
(b) Uncalled liability on shares
and other investments partly paid 91 91
Total Contingent liabilities and
commitments 29,311,250 29,198,630
3. Related Party Disclosure
Key Management Personnel & Relatives
1. Mr.Virat Sondhi, Managing Director Relatives
Mrs. Santosh Sondhi (Wife)
Related Parties
Name
Associates
M/s Jullundur Auto Sales Corporation Ltd. M/s JMA Rane Marketing Ltd.
M/s ACL Components Ltd.
2. Mr.Deepak Arora, Jt. Managing Director Relatives
Mrs.Shuchi Arora (Wife)
Miss Aditi Arora ( Daughter)
Miss Ashana Arora(Daughter)
Mr. Navneet Arora (Brother)
Mrs. Manisha Kapoor (Sister)
Nature of Transactions
Purchase and Sale of Auto Parts and Rent received Sale of Auto Parts
and Rent received Purchase of Auto Parts and Rent received
4. SEGMENT REPORTING
The company is dealing in one class of goods i.e. automobile parts &
accessories and located In one country i.e. India. Since the company
operates in a single business/geographical segment information required
byAS-17 issued by ICAI is not required to be given.
5. In accordance with Accounting Standard -28 '' impairment of
Assets'', the company has assessed as on the Balance Sheet date,
whether there are any indications (listed in paragraph 8 to 10 of the
Standard) with respect to the impairment of any of the assets. Based on
such assessment it has been ascertained that no potential loss is
present and therefore, formal estimate of the recoverable amount has
not been made. Accordingly no impairment loss has been provided in the
books of account.
6. The information required to be disclosed under Micro, Small and
Medium Enterprises Development Act 2006 has been determined to the
extent such parties have been indentified on the basis of information
available with the company. There are no over due to parties on
account of principals amount and /or interest and accordingly no
additional disclosures have been made.
The estimates of rate of escalation in salary considered in actuarial
valuation, take into account inflation, seniority, promotion and other
relevant factors including supply and demand in the employment market.
Gratuity Funds are managed by Life Insurance Corporation of India,
individual Investment wise details of plan assets are not provided by
them.
7. Intangible assets which comprise software licences have been
amortised @ 25% on straight line method as the useful life thereof has
been estimated to be not more than four years.
8. Previous year figures have been regrouped wherever necessary.
Mar 31, 2013
1) Terms/rights attatched to equity shares
The company has one class of shares referred to Equity Shares having
par value of Rs.10/- each. Each holder of equity share is entitled to
one vote per share. The company declares and pays dividend in Indian
rupees . The dividend declared by the Board of directors is subject to
the approval of the shareholders in the ensuing Annual General Meeting.
During the year March 31,2013 the amount of dividend per share
recongnised as distribution to equity shareholders was Rs. 6 /-
(Previous year Rs.6/-)
In the event of liquidation of the company, the holders of equity
shares will be entitled to receive any of the remaining assets of the
company. The distribution will be in proportion to the number of equity
shares held by the shareholders.
2) Shares held by holding company or ultimate holding company or
subsidiaries or associates of the holding company or the holding
compnay. There is no holding or ultimate holding company of the company
3) Agreegate number of bonus shares issued, share issued for
consideration other than cash and shares bought back during the period
of five years immediately preceding the reporting date:
As at As at
31st March 2013 31st March 2012
Number Number
Equity Shares alloted as fully paid - -
up by way of bonus shares
Equity Shares alloted as fully paid - -
up persuant to contract(s)without
payment being recived in cash
Equity Shares bought back by the - -
company
4) Contingent liabilities and commitments (To the extent not provided
for)
(i) Contingent Liabilities
(a) Claims against the company not acknowledged 180,567 180,567
as debt
(b) Guarantees - 30,000,000
(d) Other money for which the company is 3,278,048 3,415,374
contingently liable
(Sales tax Demand disputed by the company)
(d) Other money for which the company is 8,347,589 3,459,919
contingently liable
(Income tax Demand disputed by the company)
(ii) Commitments
(a) Estimated amount of contracts remaining 17,392,335 20,478,997
to be executed on capital account
and not provided for
(b) Uncalled liability on shares and other 91 91
investments partly paid
Total Contingent liabilities and commitments 29,198,630 57,534,948
5) Related Party Disclosure
Key Management Personnel & Relatives
1. Mr.Virat Sondhi,Managing Director 2. Mr.Deepak Arora,Jt.Managing
Director Relatives
Relatives
Mrs. Santosh Sondhi (Wife) Mrs.Shuchi Arora (Wife)
Miss Aditi Arora( Daughter)
Related Parties Miss Ashana Arora(Daughter)
Name Mr. Navneet Arora (Brother)
Associates Mrs. Manisha KaP00r (Sister)
M/s Jullundur Auto Sales Nature of Transactions
Corporation Ltd.
M/s JMA Rane Marketing Ltd Purchase and Sale of Auto
M/s ACL Components Ltd. Parts and Rent received
Sale of Auto Parts and Rent
received
Purchase of Auto Parts and
Rent received
6) SEGMENT REPORTING
The company is dealing in one class of goods i.e. automobile parts &
accessories and located in one country i.e. India. Since the company
operates in a single business/ geographical segment information
required by AS-17 issued by ICAI is not required to be given.
7) In accordance with Accounting Standard -28 '' Impairment of Assets'',
the company has assessed as on the Balance Sheet date, whether there
are any indications (listed in paragraph 8 to 10 of the Standard) with
respect to the impairment of any of the assets. Based on such
assessment it has been ascertained that no potential loss is present
and therefore, formal estimate of the recoverable amount has not been
made. Accordingly no impairment loss has been provided in the books of
account.
8) The information required to be disclosed under Micro, Small and
Medium Enterprises Development Act 2006 has been determined to the
extent such parties have been indentified on the basis of information
available with the company. There are no over due to parties on account
of principals amount and /or interest and accordingly no additional
disclosures have been made.
9) Intangible assets which comprise software licences have been
amortised @ 25% on straight line method as the useful life thereof has
been estimated to be not more than four years.
10) Company has paid Rs. 19.00 lacs for vacating the rented premises
and has been debited to the building account.
Mar 31, 2012
A) Terms/rights attached to equity shares
The company has one class of shares referred to Equity Shares having
par value of Rs. 10/- each. Each holder of equity share is entitled to
one vote per share. The company declares and pays dividend in Indian
rupees. The dividend declared by the Board of directors is subject to
the approval of the shareholders in the ensuing Annual General Meeting.
During the year March 31,2012 the amount of dividend per share
recognised as distribution to equity shareholders was Rs. 6/- (Previous
year Rs. 6/-)
In the event of liquidation of the company, the holders of equity
shares will be entitled to receive any of the remaining assets of the
company. The distribution will be in proportion to the number of equity
shares held by the shareholders.
b) Shares held by holding company or ultimate holding company or
subsidiaries or associates of the holding company or the holding
company. There is no holding or ultimate holding company of the
company.
As at As at
31.03.2012 31.03.2011
1 CONTINGENT LIABILITIES AND
COMMITMENTS (TO THE EXTENT NOT
PROVIDED FOR)
(i) Contingent Liabilities
(a) Claims against the company not
acknowledged as debt 180,567 877,443
(b) Guarantees 30,000,000 30,000,000
(c) Other money for which the
company is contingently liable
(Sales tax Demand disputed
by the company) 3,415,374 8,538,784
(d) Other money for which the
company is contingently liable
(Income tax Demand disputed
by the company) 3,459,919 -
(ii) Commitments
(a) Estimated amount of contracts
remaining to be executed
on capital account and not
provided for 20,478,997 28,638,482
(b) Uncalled liability on shares
and other investments partly paid 91 91
Total Contingent liabilities
and commitments 57,534,948 68,054,800
2 SEGMENT REPORTING
The company is dealing in one class of goods i.e. automobile parts &
accessories and located in one country i.e. India. Since the company
operates in a single business/ geographical segment information
required by AS-17 issued by ICAI is not required to be given.
3 In accordance with Accounting Standard -28 ''Impairment of
Assets'', the company has assessed as on the Balance Sheet date,
whether there are any indications (listed in paragraph 8 to 10 of the
Standard) with respect to the impairment of any of the assets. Based on
such assessment it has been ascertained that no potential loss is
present and therefore, formal estimate of the recoverable amount has
not been made. Accordingly no impairment loss has been provided in the
books of account.
4 The information required to be disclosed under Micro, Small and
Medium Enterprises Development Act 2006 has been determined to the
extent such parties have been indentified on the basis of information
available with the company. There are no over due to parties on account
of principals amount and /or interest and accordingly no additional
disclosures have been made.
5 Figures of the previous year have been regrouped/rearranged wherever
considered necessary to make them comparable with the current year''s
figures in view of revised Schedule VI of Companies Act, 1956.
Mar 31, 2011
1. The company is dealing in one class of goods i.e. automobile parts &
accessories and located in one country i.e. India. Since the company
operates in a single business/ geographical segment information
required by AS-17 issued by ICAI is not required to be given.
2. a) There are contingent liabilities in respect of following items:
No outflow is expected in view of the past history relating to these
items :-
i) Uncalled Liability on partly paid shares 91/- (Previous Year
91/-)
ii) Guarantees given to bank for loans to JMA Rane Marketing Limited
300,00,000/- (Previous year 300,00,000/-)
iii) Claims not acknowledged 8,77,443/- (Previous year 8,77,443/-).
b) Estimated amount of contracts remaining to be executed on Capital
Account is 286,38,482/- (Previous year 1,03,46,831/-)
c) Demand raised by Sales Tax being disputed by the Company
85,38,784/- (Previous Year 1,11,77,752/-).
3 Intangible assets which comprise of software licences have been
amortised @ 25% on straight line method as the useful life thereof has
been estimated to be not more than four years.
4 In accordance with Accounting Standard -28 Impairment of
Assets, the company has assessed as on the Balance Sheet date,
whether there are any indications (listed in paragraph 8 to 10 of the
Standard) with respect to the impairment of any of the assets. Based on
such assessment it has been ascertained that no potential loss is present
and therefore, formal estimate of the recoverable amount has not been made. Accordingly no impairment loss has been provided in the books of account.
5 The information required to be disclosed under Micro, Small and Medium
Enterprises Development Act, 2006 has been determined to the extent
such parties have been indentified on the basis of information
available with the company. There are no over due to parties on account
of principals amount and /or interest and accordingly no additional
disclosures have been made.
6. Figures of the previous year have been regrouped/rearranged wherever
considered necessary to make them comparable with the current years
figures.
7. Figures in brackets reflect negative.
8. Information as required pursuant to the provision of the Part-II of
Schedule VI of Companies Act,1956 as certified by the Management and
relied upon by the Auditor:-
a) The Company deals in only one class of goods i.e. automobile parts
and accessories and the figure of sales is 277,36,74,113/- (Previous
year 243,63,89,839/-)
b) Since the company is dealing in one class of goods i.e. automobile
parts and accessories, the quantitative information of goods traded in
has not been given as the type of automobile parts are numerous. None
of the individual items account for 10% or more of the total value of
opening stock, purchases, sales and closing stock.
Mar 31, 2010
1 Segment Reporting
The company is dealing in one class of goods i.e. automobile parts &
accessories and located in one country i.e.lndia. Since the company
operates in a single business/ geographical segment information
required by AS-17 issued by ICAI is not required to be given.
2. Related Party Disclosure
Key Managment Personnel & Relatives
1. Mr.Virat Sondhi, Managing Director 2. Mr.Deepak Arora Joint
Managing Director
Mrs Santosh Sondhi (Wife) Mrs.Shuchi Arora (Wife)
Miss Aditi Arora
(Daughter)
Miss Ashana Arora
(Daughter)
Mr. Navneet Arora
(Brother)
Related Parties
Name Nature of Transactions
Associates
M/s Jullundur Auto Sales
Corporation Ltd. Purchase and Sale of Auto
Parts
M/s JMA Rane Marketing Ltd. Sale of Auto Parts
M/s ACL Components Ltd Purchase of Auto Parts
3 a) Contingent Liabilities not provided for:
i) Uncalled Liability on partly paid shares Rs.91/-(Previous Year
Rs.91/-)
ii Guarantees given to bank for loans to JMA Rane Marketing Limited
Rs.300,00,000/- (Previous year Rs.300,00,000/-)
iii) Demand raised by Sales Tax being disputed by the Company
Rs.1,11,77,752/-(Previous Year Rs.65,72,869/-).
b) Estimated outstainding Capital Committment for Capital Expenditure
is Rs.1,03,46,831/-(Previous year - Rs. 1,07,62,484/-)
4 In accordance with Accounting Standard -28 Impairment of Assets,
the company has assessed as on the Balance Sheet date, whether there
are any indications (listed in paragraph 8 to 10 of the Standard) with
respect to the impairment of any of the assets. Based on such
assessment it has been ascertained that no potential loss is present
and therefore, formal estimate of the recoverable amount has not been
made. Accordingly no impairment loss has been provided in the books of
account.
5 Outstanding due to Micro, Medium & Small Scale Enterprises for more
than thirty days :
M/s Gems Enterprises 479,814.00
M/s Akbari International 667,753.00
M/s J.J.Auto components (India) Pvt.Ltd 396,294.00
M/s J.J.Metal Craft Pvt. Ltd. 393,351.00
M/s D S Automobiles Industries 365,946.00
M/s Banara Piston Rings 858,583.00
M/s Harrison India Regd. 672,369.00
M/s Hari Krishna Industries 1,200,963.00
M/s Jai Bhawani Engg.Works 143,224.00
M/s Khushbu Petro Chem R& D 652,373.00
M/s P R Power Tools India Pvt. Ltd. 154,520.00
M/s R M Agro Technology 72,241.00
M/s Sahajanand Industries 259,308.00
M/s Shivalik Auto Industries 343,336.00
M/s Vayu Distributors 99,043.00
M/s Yogi Hitech Industries 992,531.00
M/s Shidharth Petro Products 445,372.00
The above information has been compiled in respect of parties to the
extent to which they could be identified as Micro, Medium and Small
enterprises on the basis of information available with the company.
6 Figures of the previous year have been regrouped/rearranged wherever
considered necessary to make them comparable with the current years
figures.
7 Figures in brackets reflect negative.
8 Information as required pursuant to the provision of the Part-ll of
Schedule VI of Companies Act,1956 as certified by the Management and
relied upon by the Auditor.
a) The Company deals in only one class of goods i.e. automobile parts
and accessories and the figure of sales is Rs.2,43,63,89,839 /-
(Previous year Rs.2,02,02,41,053/-)
b) Since the company is dealing in one class of goods i.e. automobile
parts and accessories, the quantitative information of goods traded in
has not been given as the type of automobile parts are numerous. None
of the individual items account for 10% or more of the total value of
opening stock, purchases, sales and closing stock.
Mar 31, 2009
1 Segment Reporting
The company is dealing in one class of goods i.e., automobile parts &
accessories and located in one country i.e.India. Since the company
operates in a single business/ geographical segment information
required by AS-17 issued by ICAI is not required to be given.
2 Related Party Disclosure
Key Managment Personnel & Relatives
1 .Mr.Viral Sondhi Managing Director
Mrs Santosh Sondhi (Wife)
2. Mr.Deepak Arora Joint Managing Director
Mrs.Shuchi Arora (Wife)
Miss Aditi Arora ( Daughter)
Miss Ashana Arora(Daughter)
Smt. Pushpa Arora (Mother)
Mr.Navneet Arora (Brother)
Related Parties
Name Nature of Transactions
Associats
M/s Jullundur Auto Sales
Corporation Ltd. Purchase and Sate of Auto Parts
M/s JMA Rane Marketing Ltd. Sale of Auto Parts
M/s ACL Components Ltd Purchase of Auto Parts
3 a) Contingent Liabilities not provided for:
i) Uncalled Liability on partly paid shares Rs.91/-(Previous Year
Rs.91/-)
ii) Guarantees given to bank for loans to JMA Rane Marketing Limited
Rs.300,00,000/- (Previous year Rs.300,00.000/-)
iii) Estimated outstanding Capital Committment for Capital Expenditure
is Rs.1,07,62.484/- (Previous year - Rs.1,70,79,569/-)
iv) Demand raised by Sales Tax being disputed by the Company
Rs.65,72,869/- (Previous Year Rs.66,01,723/-).
4 The indications listed in paragraph 8 to 10 of Accounting Standard
-28 Impairment of Assets (issued by ICAI) have been examined and on
such examination, it has been found that none of the indicators are
present in the case of the Company.A formal estimate of the recoverable
amount does not indicate material impairment loss, hence not
recognised.
5 Employees Benefits under Accounting Standard -15 (Revised) Defined
Contribution Plan
Contribution to Defined Contribution Plan, are charged off for the year
as under: Employers Contribution to Providend Fund  Rs.37,62,3t5/-
Employers Contribution to Employees State Insurance  Rs.11,41,660/-
6. Figures of the previous year have been regrouped/rearranged
wherever considered necessary to make them comparable with the current
years figures.
7. Figures in brackets reflect negative.
8. Information as required pursuant to the provision of the Part-II
of Schedule VI of Companies Act, 1956 as certified by the Management
and relied upon by the Auditor.
a) The Company deals in only one class of goods i.e. automobile parts
and accessories and the figure ofsales is Rs.202,02,41,053 /- (Previous
year Rs.171,69,88,471/-)
b) Since the company is dealing in one class of goods i.e. automobile
parts and accessories, the quantitative information of goods traded in
has not been given as the type of automobile parts are numerous. None
of the individual items account for 10% or more of the total value of
opening stock, purchases, sales and closing stock.
Mar 31, 2008
1 Segment Reporting
The company is dealing in one class of goods i.e. automobile parts &
accessories and located in one country i.e. India. Since the company
operates in a single business/ geographical segment information
required by AS-17 issued by ICAI is not required to be given.
2 a) Contingent Liabilities not provided for:
i) Uncalled Liability on partly paid shares Rs.91/-(Previous Year
Rs.91/-)
ii) Guarantees given to bank for loans to JMA Rane Marketing Limited
Rs.300,00,000/- (Previous year Rs. 175,00,000/-)
iii) Estimated outstainding Capital Committment for Capital Expenditure
is Rs. 1,70,79,569/- (Previous year - Rs.31,39,425/-)
3. The indications listed in paragraph 8 to 10 of Accounting Standard
-28 Impairment of Assets (issued by ICAI) has been examined and on
such examination, it has been found that none of the indicators are
present in the case of the Company.
A formal estimate of the recoverable amount does not indicate material
impairment loss, hence not recognised._
4. Figures of the previous year have been regrouped/rearranged wherever
considered necessary to make them comparable with the current years
figures.
5. Figures in brackets reflect negative.
6. Information as required pursuant to the provision of the Part-ll of
Schedule VI of Companies Act, 1956 as certified by the
Management and relied upon by the Auditor.
a) The Company deals in only one class of goods i.e. automobile parts
and accessories and the figure of sales is Rs.1,71,69,88,471 /-
(Previous year Rs.1,48,50,73,092/-)
b) Since the company is dealing in one class of goods i.e. automobile
parts and accessories, the quantitative information of goods traded in
has not been given as the type of automobile parts are numerous. None
of the individual items account for 10% or more of the total value of
opening stock, purchases, sales and closing stock.
Mar 31, 2007
1 Segment Reporting
The company is dealing in one class of goods ie automobile parts &
accessories and located in one country i.e.India. Since the company
operates in a single business/ geographical segment informa- tion
required by AS-17 issued by ICAI is not required to be given.
2 Related Party Disclosure
Key Managment Personnel & Relatives
LMr.Virat Sondhi Managing Director 2. Mr.Deepak Arora Whole time
Director
Mrs Santosh Sondhi (Wife) Mrs.Suchi Arora (Wife)
Miss Aditi Arora ( Daughter) Miss Ashana Arora(Daughter) Smt. Pushpa
Arora (Mother) Mr.Navneet Arora (Brother)
Related Parties
Name Nature of Transactions
Associates
M/s Jullundur Auto Sales Corporation Ltd. Purchase and Sale of Auto
Parts
M/s JMA Rane Marketing Ltd. Sale of Auto Parts
M/s ACL Components Ltd Purchase of Auto Parts
3 a) Contingent Liabilities not provided for:
i) Uncalled Liability on partly paid shares Rs.91/-(Previous Year
Rs.36,091/-)
ii) Guarantees given to bank for loans to JMA Rane Marketing Limited
Rs.175,00,000/- (Previous year Rs.175,00,000/-) iii) Estimated
outstainding Capital Committment for Capital Expenditure \s
5,31,39,425/-(Previous .year - Rs.4,26,000/-)
iv) Demand raised by Sales Tax being disputed by the Company
Rs.62,67,224/-(Previous Year,Rs.58,35,747/-) as per detail given below
4 Rent paid Rs.Nil (Previous year Rs.26,500/-) paid to a Director for
taking on rent premises owned by him.
5 The indications listed in paragraph 8 to 10 of Accounting Standard
-28 Impairment of Assets (issued by ICAI) has been examined and on
such examination, it has been found that none of the indicators are
present in the case of the Company. A formal estimate of the
recoverable amount does not indicate material impairment loss, hence
not recognised.
6 Figures of the previous year have been regrouped/rearranged wherever
considered necessary to make them comparable with the current years
figures.
7 Figures in brackets reflect negative.
8 Information as required pursuant to the provision of the Part-ll of
Schedule VI of Companies Act, 1956 as certified by the Management and
relied upon by the Auditor.
a) The Company deals in only one class of goods i.e. automobile parts
and accessories and the figure of sales is Rs.1,48,50,73,092 /-
(Previous year Rs.1,33,66,20,886/-)
b) Since the company is dealing in one class of goods i.e. automobile
parts and accessories, the quantitative information of goods traded in
has not been given as the type of automobile parts are numerous. None
of the individual items account for 10% or more of the total value of
opening stock, purchases, sales and closing stock.
Mar 31, 2006
1 Segment Reporting
The company is dealing in one class of goods ie automobile parts &
accessories and located in one country i.e. India. Since the company
operates in a single business/geographical segment information
required by AS-17 issued by ICAI is not required to be given.
3 Deferred Tax : Deferred Tax is recognised on timing difference, being
the difference between taxable income and accounting income that
originate in one period and are capable of reversal in one or more
subsequent periods.
Major components of deferred tax are as follows:
As at 31st March 2006 As at 31st March 2005
Deferred Tax Liability 4,031,717 4,256,411
Deferred Tax Aseet 10,100 10,300
Net Deferred Tax Liability 4,021,617 4,246,111
4 a) Contingent Liabilities not provided for:
i) Uncalled Liability on partly paid shares Rs.36,091/- (Previous Year
Rs.91/-)
ii) Guarantees given to bank for loans to JMA Rane Marketing Limited
Rs. 175,00,000/- (Previous year Rs.175,00,000/-)
iii) Estimated outstainding Capital Committment for Capital Expenditure
is Rs.4,26,000/- (Previous year-Nil)
iv) Demand raised by Sales Tax and Income Tax Authorities being
disputed by the Company Rs.58,35,747/- (Previous Year Rs.42,09,778/-)
as per detail given below:
Sales Tax
Assessment Liability Present Status
Year
Delhi 1997-98 32,894.00 Pending in appeal
1999-00 15,293.00 Pending in appeal
2002-03 45,977.00 Pending in appeal
2003-04 39,613.00 Pending in appeal
2004-05 619,361.00 Pending in appeal
Bihar-Patna 1992-93 Local 35,257.00 Reassessment
1998-99 Local 451,273.00 Under Appeal
1998-99 CST 1,029,461.00 Under Appeal
Ranchi 2000-01 66,269.00 Reassessment
2001-02 68,251.00 Under Appeal
2002-03 LST 52,448.00 Under Appeal
2002-03 CST 41,528.00 Under Appeal
2003-04 LST 40,645.00 Under Appeal
2003-04 CST 9,494.00 Under Appeal
Cuttack-Orrisa 1996-97 25,598.00 Under Tribunal
1997-98 26,408.00 Under Tribunal
1998-99 73,834.00 Under Appeal
2001-02 Local 35,207.00 Under Appeal
2001-02 CST 24,603.00 Under Appeal
Jamshedpur 2001-02 710,595.00 Under Appeal
2002-03 447,399.00 Under Appeal
2003-04 257,702.00 Under Appeal
Dhanbad 1999-2000 215,117.00 Under Appeal
Calicut 2000-01 897,260.00 Under Appeal
Dehradun 2000-01 30,000.00 Under Appeal
Total 5,291,487.00
Income Tax
Assessment Coningent Present Status
Year liability
1998-99 -327,111.00 Tribunal
2000-01 119,648.00 Tribunal
2001-02 97,501.00 Tribunal
544,260.00
5 Outstanding due to Small Scale Industries for more than thrity days :
M/s Gems Enterprises 879,962.00
M/s JJ Auto Components India 370,756.00
The above information has been compiled in respect of parties to the
extent to which they could be identified as Small Scale Industries on
the basis of information available with the company.
6 Rent paid includes Rs.26,500/- (Previous year Rs.1,80,000/-) paid to
a Director for taking on rent premises owned by him.
7 The particulars of Salary and perquisites paid to Directors of the
company are as under:
a) Particulars Sh.Virat Sondhi Sh.Deepak Arora Sh.Tarun Vij
Current Previous Current Previous Current Previous
year year year year year year
Salary 1,120,000 960,000 600,000 - 141,333 960,000
Perquisites 914,075 861,029 448,708 - 121,676 938,573
Commission on 64,684 349,024 279,833 - 41,741 271,480
Net Profit
Total 2,098,759 2,170,053 1,328,541 - 304,750 2,170,053
b) Gratuity paid includes Rs.4,50,000/- paid to Sh.Tarun Vij, Managing
Director and Rs. 15,00,000/- provided for Mr.Virat Sondhi, Managing
Director.
c) Computation of Net Profit under Section 349, 350, 198(1) of the
Companies Act, 1956 for the purpose of calculating Directors
Commission:
Profit before tax as per Profit & Loss A/c 38,502,822
Add :
1) Directors Sitting Fees 120,000
2) Directors Remuneration
(including commission) 3,732,050 3,852,050
42,354,872
Less : Profit on Sale of Shares 379,699
Profit for Directors Commission purpose: 41,975,173
Directors commission @ 1% to Sh.Virat Sondhi 419,752
Maximum remuneration payable @ 5% to Sh.Virat Sondhi 2,098,759
Remuneration paid (excluding commission) to Sh.Virat Sondhi 2,034,075
Maximum commission payable to Sh.Virat Sondhi 64,684
Directors commission @ 1% to Sh.Deepak Arora (8 months) 279,833
Maximum remuneration payable @ 5% to Sh.Deepak Arora 1,399,172
Remuneration paid (excluding commission) to Sh.Deepak Arora 1,048,708
Maximum commission payable to Sh.Deepak Arora 279,833
Directors commission @ 1 % to Sh.Tarun Vij (53 Days) 60,949
Maximum remuneration payable @ 5% to Sh.Tarun Vij 304,750
Remuneration paid (excluding commission) to Sh.Tarun Vij 263,009
Maximum commission payable to Sh.Tarun Vij 41,741
8 The balance due from/payable to appearing under the head Sundry
Debtors, advances recoverable and Sundry Creditors are not confirmed.
9 The indications listed in paragraph 8 to 10 of Accounting Standard
-28 Impairment of Assets (issued by ICAI) has been examined and on
such examination, it has been found that none of the indicators are
present in the case of the Company. A formal estimate of the
recoverable amount does not indicate material impairment loss, hence
not recognised.
10 Investments in Shares made during the year are not held in the name
of Company as on 31.03.2006. However these investments stand
transferred in the name of Company as on 18.05.2006.
11 Figures of the previous year have been regrouped/rearranged wherever
considered necessary to make them comparable with the current years
figures.
12 Information as required pursuant to the provision of the Part-ll of
Schedule VI of Companies Act, 1956 as certified by the Management and
relied upon by the Auditor.
a) The Company deals in only one class of goods i.e. automobile parts
and accessories and the figure of sales is Rs. 1,33,66,20,886/-
(Previous year Rs. 1,46,57,83,930/-)
b) Since the company is dealing in one class of goods i.e. automobile
parts and accessories, the quantitative information of goods traded in
has not been given as the type of automobile parts are numerous. None
of the individual items account for 10% or more of the total value of
opening stock, purchases, sales and closing stock.
13 Expenditure in foreign currency Current year Previous year
Travelling Expenses NIL 190,713
14 Earnings in Foreign Currency
F.O.B. value of export NIL NIL
15 C.I.F. value of Imports NIL NIL
Mar 31, 2003
1) a) Contingent Liabilities not provided for:
i) Uncalled Liability on partly paid shares Rs.91/-(Previous Year
Rs.91/-)
ii) Guarantees given to bank for loans to JMARane Marketing Limited Rs.
150,00,000/- (Previous year Rs.90,00,000/-)
iii) The company has taken certain assets on lease, the future lease
rent obligation is Rs.89,600/-.
iv) Demand raised by Sales Tax and Income Tax Authorities being
disputed by the company Rs. 32,46.721/- (Previous year Rs.27,77,420/-)
b) Capital Commitments
Outstanding commitment for capital expenditure -Rs.4,00,000/- (Previous
Year Nil)
2. Outstanding due to Small Scale Industries:
M/s Gems Enterprises 1,616,060
M/s J.J.Metal, Rajkot 478,669
M/s J.J.Metal Craft Pvt Ltd. 1,103,724
M/s Standrad Engineering Works 102,733
M/s Super Power Engineering 773,407
M/s KTC Motors Pvt. Ltd. 442
The above information has been compiled in respect of parties to the
extent to which they could be identified as Small Scale Industries on
the basis of information available with the company.
3. Rent paid includes Rs. 1,80,000/- (Previous year Rs. 1,80,000/-) paid
to a Director for taking on rent premises owned by him.
4. The particulars of Salary and perquisites paid to Directors of the
company are as under:
a) Particulars Sh.Virat Sondhi Sh Tarun Vij
Current year Previous year Current year Previous year
Salary 960,000 960,000 960,000 960,000
Perquisites 837,717 798,864 830,200 798,823
Commission on
Net Profit 244,546 260,970 252,063 261,011
Total 2,042,263 2,019,834 2,042,263 2,019,834
b) The gratuity liability of the company is covered under Group
Gratuity Insurance Scheme and premium paid to Life Insurance
Corporation of India includes payment on account of Sh. Virat Sondhi &
Sh.Tarun Vij, Directors of the company. The amount attributable to the
directors cannot be worked out separately as, collective gratuity
policy has been taken.
c) Computation of Net Profit under Section 349,350,198(1) of the
Companies Act, 1956 for the purpose of calculating Directors
Commission:
Profit before tax as per Profit & Loss A/c 35,492,286
Add:
1) Directors Sitting Fees 87,500
2) Directors Remuneration(including commission) 4,084,526
3) Loss on Sale of Investment 1.188,000
5.360.026
Less: 40,852,312
Profit on Sale of Fixed Assets of capital nature 7.050
Profit for Directors Commission purpose: 40,845,262
Directors commission @1% to Sh.Virat Sondhi 408,453
Maximum remuneration payable @ 5% to Sh.Virat Sondhi 2,042,263
Remuneration paid (excluding commission) to Sh.Virat Sondhi 1,797,717
Maximum commission payable to Sh.Virat Sondhi 244,546
Directors commission @ 1 % to Sh.Tarun Vij 408,453
Maximum remuneration payable @ 5% to Sh.Tarun Vij 2,042,263
Remuneration paid (excluding commission) to Sh.Tarun Vij 1,790,200
Maximum commission payable to Sh.Tarun Vij 252,063
5. The balance due from/payable to appearing under the head Sundry
Debtors, advances recoverable and Sundry Creditors are not confirmed.
6. Figures of the previous year have been regrouped/rearranged wherever
considered necessary to make them comparable with the current years
figures.
Mar 31, 2001
1. CONTINGENT LIABILITIES NOT PROVIDED FOR
i) Uncalled liability on partly paid shares Rs.91/- (Previous Year
Rs.91).
ii) Guarantees given to hank for loans to JMA Rane marketing Limited
Rs. 1.50,00,000/- (Previous year Rs.1,25,00,000/-).
iii) The company has taken certain assets on lease, the future lease
rent obligation is Rs. 19,72,895/-.
iv) Demand raised by Sales Tax and Income Tax Authorities being
disputed by the company Rs.9,23,401/- (Previous year Rs. 14,13,9S5/-).
2. No provision has been made for doubtful debts and advances
amounting to Rs. 9,11,011/- (Previous year Rs. 7,20,862/-). However
the company is making efforts to realise the amounts.
3. Rent paid includes Rs. 1.80,000/- (previous year Rs. 1,80,000/-)
paid to a Director for taking on rent premises owned by him.
4. The balance due from/payable to appearing under the head Sundry
Debtors. Loans and advances and Sundry Creditors are not confirmed.
5. Figures of the previous year have been regrouped/rearranged wherever
considered necessary to make them comparable with the current year's
figures.
6. Information as required pursuant to the provision of the Part-II of
Schedule VI of Companies Act, 1956 as certified by the Management and
relied upon by the Auditor.
a) The Company deals in only one class of goods i.e. automobiles parts
and accessories and figure of the turnover is Rs. 1,29,33,26.535/-
(Previous year Rs. 1,38,10,32,527/-).
b) Since the company is dealing in one class of goods i.e. automobiles
parts and accessories, the quantitative information of goods traded in
has not been given as the type of automobiles parts being numerous.
None of the individual items account for 10% or more of the total value
of opening stock, purchases, sales and closing stock. During the year
company manufactured different sizes of Cylinder Liners (which is also
an automobile part) and the relevant information in respect of this
activity has been given in schedule at item No. (c) below:
c) Quantitative information in respect of manufacturing activities.
Mar 31, 2000
Of the above Equity Shares :
1. 19,94,770 Equity Shares were allotted as fully paid up Bonus Shares
by way of Capitalisation of General Reserve and Share Premium Account
2. 39,500 Equity Shares were allotted as fully paid up to erstwhile
members of M/s Jullundur Auto Manufacturing Company (Delhi) Pvt. Ltd.
pursuant to amalgamation.
3. 1,092 Equity Shares were allotted as fully paid up to erstwhile
members of M/s Jamco Foundries Ltd. pursuant to amalgamation.
4. (a) Contingent Liabilities Not Provided for
i) Uncalled Liability on partly paid shares Rs.91/- (Previous Year
Rs.91/-)
ii) Guarantees given to bank lor loan to JMA Rane Marketing Limited Rs.
1,25,00,000/- (previous year Rs. 1,25,00,000).
iii) The Company has taken certain assets on lease, the future lease
rent obligation is Rs.32,06,275/-.
(b) CAPITAL COMMITMENTS
Estimated outstanding committments for capital expenditure Rs. NIL
(Previous Year Rs. 1,00,000/-).
5. No provision has been made for demand raised by Income Tax and Sales
Tax authorities amounting to Rs. 1419385/- (previous year Rs.
572759/-) since the cases are disputed in appeal. However the Company
feels confident of getting these demands waived off in the appeals.
6. No provision has been made for doubtful debts and advances amounting
to Rs.720862/- (previous year Rs.762339/-). However the Company is
making efforts to realise the amounts.
7. The company has on an inquiry found that there has been unauthorised
issue of Credit notes for discounts, sales returns and FOC sales
invoices at Calicut Branch, Pending the completion of the detailed
checking of the records by the Company, the exact amount recoverable
from the concerned person/persons in yet to be ascertained. The Board
is of the opinion that loss, if any on account of defalcations stands
provided and no future loss on this account is envisaged. The loss
accordingly provided made in accounts.
8. Rent paid includes Rs. 180000/- (previous year Rs. 684000/-) paid
to a Director for taking on rent premises owned by him.
9. The balances due from/payable to appearing under the headings Sundry
Debtors; Loans and advances and "Sundry Creditors" are not confirmed.
10. Figures of the previous year have been rearranged/regrouped
wherever considered necessary to make them comparable with the current
year's figures.
11. Information as required pursuant to the provisions of Part-II of
schedule VI of the Companies Act, 1956 as certified by the Management
and relied upon by the Auditors.
a) The Company deals in only one class of goods i.e. automobile parts
and accessories and figure of the turnover is Rs. 1,38,10,32,527/-
(previous year Rs. 1,29,98,53,930).
b) Since the company is dealing in one class of goods i.e. automobile
parts and accessories, the quantitative information of goods traded in
has not been given as the type of automobile parts being numerous.
None of the individual items account for 10% or more of the total value
of opening stock, purchases, sale and closing stock. During the year
the Company manufactured different sizes of Cylinder Liners (which is
also an automobile part).
Mar 31, 1999
1 (a) Contingent Liabilities Not Provided for
i) Uncalled Liability on partly paid shares Rs. 91/- (Previous Year.
Rs. 91/-)
ii) Guarantees given to bank for loan to JMA Rane Marketing Limited Rs.
1,25,00,000/- (previous year Rs. 1,00,00,000).
iii) The Company has taken certain assets on lease, the future lease
rent obligation is Rs. 5378615/-.
(b) CAPITAL COMMITMENTS
Estimated outstanding commitments for capital expenditure - Rs.
1,00,000/- (Previous Year Rs. 32,00,000/-)
2. No provision has been made for demand raised by Income Tax and Sales
Tax authorities amounting to Rs. 572759/- (previous year Rs. 3492549/-)
since the cases are disputed in appeal. However the Company feels
confident of getting these demands waived off in the appeals.
3. No provision has been made for doubtful debts and advances amounting
to Rs. 762339/- (previous year Rs. 11435 1/-). However the Company is
making efforts to realise the amounts.
4. Rent paid includes Rs. 684095/- (previous year Rs. 642000/-) paid to
two Directors for taking on rent premises owned by them.
5. The balances due from/payable to appearing under the beadings Sundry
Debtors; Loans and advances and "Sundry Creditors" are not confirmed.
6. Figures of the previous year have been rearranged/regrouped wherever
considered necessary to make them comparable with the current year's
figures.
7. Information as required pursuant to the provisions of Part-II of
schedule VI of the Companies Act, 1956 as certified by the Management
and relied upon by the Auditors.
a) The Company deals in only one class of goods i.e. automobile parts
and accessories and figure of the turnover is Rs. 1,29,98,53,930
(previous year Rs. 109,60,20,306)
b) Since the company is dealing in one class of goods i.e. automobile
parts and accessories, the quantitative information of goods traded in
has not been given as the type of automobile parts being numerous.
None of the individual items account for 10% or more of the total value
of opening stock, purchases, sale and closing stock. During the year
the Company manufactured different sizes of Cylinder Liners (which is
also an automobile part) and the relevant information in respect of this
activity has been given in the schedule at item No (c) below;
Mar 31, 1996
1. No provision has been made for demand raised by Income
Tax and Sales Tax authorities amounting to Rs. 45,05,815/-
(previous year Rs. 61,73,693/-) since the cases are
disputed in appeal. However the Company feels confident of
getting these demands waived off in the appeals.
2. No provision has been made for doubtful debts amounting
to Rs. 28,002/- (previous year Rs. 3,88,434/-). However
the Company is making efforts to realize the the amounts.
3. The balances due from/payable to appearing under the
headings Sundry Debtors; Loans and advances and "Sundry
Creditors" are not confirmed.
4. Advances recoverable includes a sum of Rs. 1,66,025/-
(Previous Year Rs. 4,77,842/-) due from companies in which
some of the Directors are interested and Rs. 14,51,189/-
paid for purchase of flat pending registration.
Mar 31, 1995
1.No provision has been made for demand raised by Income Tax
and Sales Tax authorities amounting Rs.6173693 (previous
year 2632255/-) since the cases are disputed in appeal.
However the Company feels confident of getting these
demands waived off in the appeals.
2.No provision has been made for doubtful debts amounting to
Rs.388434 (previous year Rs.3496821/-). However the
Company is making efforts to realise the amount.
3.Rent paid includes Rs.286600 (previous year Rs.
201000/-) paid to two Directors for taking on rent premises
owned by them.
(d) Commission amounting to Rs.54,000 has been paid to
non-working directors (subject to Central Govt. approval)
4.The balances due from/payable to appearing under the
headings Sundry Debtors; Loans and advances and "Sundry
Creditors" are not confirmed. Advances recoverable
includes a sum of Rs.477842 (Previous Year Rs.2357924/-)
due from companies in which some of the Directors are
interested.
Figures of the previous year have been
rearranged/regrouped wherever considered necessary to make
them comparable with the current years figures.