Home  »  Company  »  OCL India Limi  »  Quotes  »  Notes to Account
Enter the first few characters of Company and click 'Go'

Notes to Accounts of OCL India Ltd.

Mar 31, 2016

A) Terms/ Rights attached to Equity Shares

The Company has issued only one class of equity shares having a par value of Rs. 2 per share. Each equity shareholder is entitled to one vote per share. The Company had declared and paid dividends in Indian rupees.

During the year ended 31st March 2016, the amount of interim dividend per share recognised for distribution and distributed to equity shareholders is Rs. 4 (Previous year: Final Dividend was Rs. 4).

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

c) 4,24,79,273 (% of shareholding:74.66) shares held by Dalmia Cement (Bharat) Ltd. (Holding Company) w.e.f. 25.02.2015.

e) Aggregate number of bonus shares issued and shares bought back during the period of five years immediately preceding the reporting date: Nil

Notes

1 Gross Block includes amount added in 1985 on revaluation of Land Rs.132.31 lakh, Buildings Rs.1,200.64 lakh and Plant and Machinery Rs.1,917.55 lakh as carried out by an external independent valuer. Since the valuation was carried out long back the indices applied by the valuer is not available

2 Additions to Fixed Assets and Capital Work-in-Progress include net borrowing cost of Rs.384.76 lakh capitalised during the year (Previous Year Rs.625.09 lakh ).

3 Additions to Fixed Assets and Capital work-in-progress include Rs.576.27 Lakh (Previous Year Nil), towards adjustments of foreign exchange loss/ (gain) on long term foreign currency borrowings.

4 Additions to Capital WIP include Pre-operative expenses/income as detailed under Note 28.19.

5 There has been no impairment loss on assets during the year.

6. In the opinion of the Board and to the best of their knowledge and belief, the valuation on realisation of current assets, loans and advances in the ordinary course of business would not be less than the amount at which they are stated in the Balance Sheet.

7. The Board of Directors has, at its meeting held on 28th March, 2016, approved the Scheme of Arrangement and Amalgamation amongst OCL India Limited, Dalmia Cement East Limited, Shri Rangam Securities & Holdings Limited, Dalmia Bharat Cements Holdings Limited and Odisha Cement Limited. The said Scheme has been filed with the Stock Exchanges and shall be submitted with the High Court(s) on its approval by the Stock Exchanges.

8. In respect of license granted for captive mining block at Radhikapur mines, a Joint Venture company Radhikapur (West) Coal Mining Private Limited has been incorporated on 29th March 2010 in which the Company''s interest jointly with OCL Iron & Steel Limited (OISL) is 14.696%. The Company has invested Rs. 734.80 Lakh (PY 734.80 lakh) in equity shares of the JV Company which includes Rs. 383.35 Lakh (PY Rs. 383.35 lakh) being proportionate value of shares to be transferred to OISL after the receipt of approval from the Ministry of Coal, Govt of India and other Joint Venture Partners.

9. Consequent upon decision of the Hon''ble Supreme Court of India cancelling the allocation of Coal block, vide Order dated 24th September, 2014, the Company is in the process of assessing the recoverability of the amounts invested of Rs. 351.45 Lakh in the Joint Venture Company ''Radhikapur (West) Coal Mining Private Ltd.'' As a matter of prudence, a provision for similar amount has been made in the accounts during the earlier years.

10. Bank balances includes Rs.0.45 Lakh (PY Rs. 0.45 Lakh)lying in a current account with a nationalised bank, to be operated jointly by the authorised signatories of the Company and OISL in respect of coal block operations as mentioned in note 28.6 above

11. Balance confirmation letters were sent in respect of accounts showing debit or credit balances. Balance confirmations have not been received in few cases. In the opinion of the management, adjustments, if any, required on confirmation and reconciliation is not expected to be material.

12. Disclosure on Corporate Social Responsibility Expenses

(a) Gross amount required to be spent by the Company during the year in pursuance to the provisions of Section 135 of the Companies Act, 2013 and rules made thereunder - Rs. 352.24 lakh (PY Rs. 270.24 lakh)

(b) Amount spent during the year 2015-16 and shown under Other Expenses in the Statement of Profit and Loss (Refer Note No. 27):

13. Previous year figures have been regrouped/rearranged/ reclassified where necessary to correspond with current year figures.


Mar 31, 2015

1. SHARE CAPITAL

a) Terms/ rights attached to ordinary shares

The Company has issued only one class of ordinary shares having a par value of Rs. 2/- per share. Each holder of ordinary shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.

During the year ended 31st March 2015, the amount of dividend per share recognised for distribution to ordinary shareholders is Rs. 4 /- ( Previous year: Final dividend Rs. 4/- per share).

In event of liquidation of the company, the holders of ordinary shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to the number of ordinary shares held by the shareholders.

b) 4,24,79,273 (% of shareholding-74.66) shares held by Dalmia Cement (Bharat) Ltd. (Holding Company) w.e.f. 25.02.2015

c) Aggregate number of bonus shares issued and shares bought back during the period of five years immediately preceding the reporting date: Nil.

2. Contingent liabilities not provided for in respect of : (Rs. In Lakhs)

2014-15 2013-14

(i) Claims against the Company not acknowledged as debts

(a) Disputed liability relating to ESI Contribution on over time wages and other 59.96 57.95 allowances

(b) Disputed liability relating to PF Contribution on certain allowances 71.22 71.22

(c) Disputed liability relating to payment of premium on forest land used for 154.13 154.13 Mining purpose

(d) For Pollution Control Board, Orissa 8.86 8.86

(e) Disputed claim for supply of Refractories 156.30 156.30

(f) Disputed liabilities relating to Railway for enhanced Godown rent and over 219.14 197.49 loading penal charges

(g) Disputed Sales Tax demand(including interest & penalty)-matter under appeal 838.94 665.57

(h) Disputed Entry Tax demand-matter 416.60 293.28 under appeal

(i) Disputed Excise matters 3,756.38 3,756.38

(j) Disputed liabilities relating to - 302.16 purchase of Electricity

(k) Disputed liabilities for Lanjiberna 8,349.76 8,349.76 Mines for payment of Stamp Duty

(l) Disputed liabilities for Lanjiberna 2,419.17 - Mines for payment under Mines and Min- erals (Development & Regulation) Act.

(m) Others 86.21 222.15

16,536.67 14,235.25

(ii) Other monies for which the Company is contingently liable :

(a) Disputed liability relating to labour matters-pending in Courts 3.01 4.57

(b) Disputed liability relating to Land matters-pending in Courts 38.21 39.51

(c) Others 78.00 78.50

Total 119.22 122.58

(iii) Disputed liability in respect of Income Tax demands 296.10 213.03

In respect of items above, future cash outflows in respect of contingent liabilities are determinable only on receipt of judgements / decisions pending at various forums / authorities.

(iv) a)Liability on account of OD limit of USD 3.50 million enjoyed by OCL Global 1,000.57 498.21 Limited a Subsidiary, secured by First pari passu charge on current assets of the company and further secured by second pari passu charge on fixed assets of cement division of the company outstanding amount at year end USD 15,86,704.55 (PY USD 8,39,441) #

b)Guarantee given to Banks on behalf of OCL China Ltd USD 25,80,673 (Previous 1,627.37 1,749.75 Year USD 29,48,184)#

c)Guarantee given to Banks on behalf of Radhikapur (West) Coal Mining Private - 636.00 Limited against which counter guarantee of Rs. 3.32 Lacs has been received from OISL#

3. In the opinion of the Board and to the best of their knowledge and belief, the valuation on realisation of current assets, loans and advances in the ordinary course of business would not be less than the amount at which they are stated in the Balance Sheet.

4. The Supreme Court of India in April, 1996, upheld the validity of Jute Packing Materials (Compulsory use in Packing Commodities) Act, 1987. The Company has been legally advised that the Act is applicable to it only with effect from October, 1996. Under the Act, Cement Manufacturers are required to use Jute Packaging Material for supply or distribu- tion upto 50% of their total production. The Calcutta High Court has granted stay against show cause notice received by the Company from the Jute Commissioner. The Transfer Petition filed by the Union of India before the Hon''ble Supreme Court was dismissed by the Hon''ble court due to default and as a result of which the pending writ of the Company will be heard by the Hon''ble Kolkata High Court on merits. The amount that may become payable, is presently not ascertainable. However, the Government has not notified the compulsory packing of Cement in jute packing materials for the period effective from 1st July, 1997.

5. In respect of licence granted for captive mining Block at Radhikapur mines, a Joint Venture company Radhikapur (West) Coal Mining Private Limited has been incorporated on 29th March 2010 in which the Company''s interest jointly with OCL Iron & Steel Limited (OISL) is 14.696%. The Company has invested Rs. 734.80 Lacs (PY 734.80 lakhs) in equity shares of the JV Company which includes Rs. 383.35 Lacs (PY Rs. 383.35 lakhs) being proportionate value of shares to be transfered to OISL after the receipt of approval from the Ministry of Coal, Govt of India and other Joint Venture Partners.

6. Consequent upon decision of the Hon''ble Supreme Court of India cancelling the allocation of Coal block, vide Order dated 24th September, 2014, the Company is in the process of assessing the recoverabilty of the amounts invested of Rs. 351.45 Lakhs in the Joint Venture Company ''''Radhikapur (West) Coal Mining Private Ltd.''''. As a matter of prudence, a provision for similar amount has been made in the accounts during the current year.

7. Bank balances includes Rs. 0.45 Lakhs (PY Rs. 0.45 Lakhs-)lying in a current account with a nationalised bank, to be operated jointly by the authorised signatories of the Company and OISL in respect of Coal Block Operations as mentioned in note 29.7 above

8. Related Party Disclosures (AS-18)

a) Related parties and their relationship :

1) Key management personnel:

Shri M H Dalmia, Shri R H Dalmia,Shri.Gaurav Dalmia(Managing Director), Shri D.D.Atal (Wholetime Director)

Relatives:

Shri.A.H.Dalmia, Shri.V.H.Dalmia, Shri YH Dalmia, Smt. Abha Dalmia, Smt Padma Dalmia, Smt. Shripriya Dalmia Thirani, Smt. Anuradha Jatia, Smt. Kanupriya Somany, Smt.Sharmila, Dalmia, Shri.Puneet Yadu Dalmia, Smt. Kiran Atal

2) Ultimate Holding Company:

Dalmia Bharat Limited (w.e.f 25.02.2015) (Formly Dalmia Bharat Entrprises Ltd)

3) Holding Company: Dalmia Cement (Bharat) Limited (w.e.f 25.02.2015)

4) Subsidiary : OCL Global Limited, Odisha Cement Limited

5) Step down Subsidiary: OCL China Limited

6) Enterprises over which key management personnel are able to exercise significant influence : Hari Machines Limited, Dalmia Bharat OCL Trust, Dalmia Institute of Scientific & Research (DISIR), Dalton International Ltd, Landmark Property Development Co.Ltd, Shree Natraj Ceramic & Chemical Industries Ltd, Landmark Landholdings Pvt.Ltd, Dalmia Bharat Sugar & Industries Ltd, Calcom Cement India Ltd, Debikay Systems Limited, Kiran Resources (P)Ltd, Dalmia Magnesite Corporation, Dalmia Cement East Limited, Dalmia Refrac- tories Limited

9. Employee Benefits - AS 15 (Revised)

a) The Company has determined the liability for Employee benefits as at March 31,2015 in accordance with revised Accounting Standard 15 notified by Govt. of India - Employee defined benefits.

b) The major category of plan assets as a percentage of total plan

Gratuity : 80% (PY80%) invested with Central Govt/State govt/State Govt. Securities/Public sector bonds Fixed Deposit with PSU Banks

Leave Encashment : Unfunded

c) Gratuity is administered by an approved gratuity fund trust

10. Balance confirmation letters were sent in respect of accounts showing debit or credit balances. Balance Confirmations have not been received in few cases. In the opinion of the Management, adjustments, if any, required on confirmation and reconciliation is not expected to be material.

11. As per section 135 the Companies Act, 2013, the Company is required to spend two percent of the average net profits of the Company made during the last three immediately preceding financial years on Corporate Social Responsibility. Ac- cordingly the Company has complied with the said section and spent amounts aggregative to Rs. 279.45 lakhs (in excess of the said percentage) which includes: Contribution to Prime Minister relief fund Rs. 12.10 Lakhs, and to other institutions Rs. 45.01 lakhs both approved under section 80G of the Income tax 1961, contribution to institutions approved under sec- tion 35(1)(ii) of the Income Tax Act, 1961 Rs. 100 lakhs, to institutions approved under section 35 AC of the Income Tax Act, 1961 of Rs. 30 Lakhs and expedniture on rural infrastructure development, healthcare, skill development, livelihood, promo- tion of education etc. aggregating to Rs.92.34 Lakhs.

12. Previous year figures have been regrouped/rearranged/ reclassified where necessary to correspond with current year figures


Mar 31, 2014

2013-14 2012-13 1 OTHER NOTES FORMING PART OF THE FINANCIAL STATEMENTS

1.1 Contingent liabilties not provided for in espect of:

(i) Claims against the Company not acknowledged as debts

a) Disputed lability relating to ESI Contribution on over time wages and other allowances 57.95 55.95

b) Disputed liabily relating to PF Contribution on certain alowances 71.22 71.22

c) Disputed abiy elating to payment of premum on orest land used or Mning purpose 154.13 154.13 For Pollution Control Bod, Ossa 8.86 8.86

d) Disputed claim for supply of Refractories 156.30 156.30

e) Disputed liabilities relating to Railway for enhanced Godown ent and over loading penal charges 197.49 175.91

g) Disputed Sale Tax demand(including interest & penalty)-matter under appeal 665.57 629.00

h) Disputed Entr Tax demand-matter under appeal 293.28 149.66

i) Disputed Excis matteRs 3,756.38 4,265.49

j) Disputed iabilties relating to purchse of Electricity 302.16 358.92

k) Disputed abilties for Lanjiberna Mnes for payment of Stamp Duty 8,349.76 -

l) OtheRs 222.15 363.04

14,235.26 6,388.48 ii) other monies or wch the Company is contingenty lable :

Disputed iabily relating to labour matteRs-pending in Courts 4.57 4.57

Disputed abily relating to Land matteRspending in Courts 39.51 39.51

c) Others 78.50 78.50

Total 122.58 122.58

iii) Diputed liabity in espect of Income Tax demands 213.03 302.88

in respect of items above, future cash outflows in respect of contingent liabiities are determinable only on receipt of judgements / decisions pending at various forums / authorities

iv) a) Security provided to bank in respect of loan 498.21 689.13 granted upto USD 3.50 mn. (USD8.39 Lakhs) (PY USD12.56 Lakhs) to OCL Global Limited, a Subsidiary, (w.e.f 01.01.2013) - fiRst pari passu charge on current assets of the company and further secured by

second pari passu charge on fixed assets, of cement division of the company loan outstanding amount as on the balance sheet date

b) Guarantee given to Banks on behalf of OCL China 1,749.75 649.84 USD 29.48 Lakhs) (PY USD 11.84 Lakhs) (a step down subsidiary w.e.f 01.01.2013)

c) Guarantee given to Banks on behalf of Radhikapur (West) Coal Mining Private Limited 636.00 1,076.00 against which counter guarantee of Rs332.00 Lakhs (PY 561 Lakhsjhas been received from OCL Iron & Steel Ltd

2.1 mount of contracts remaining to be executed on capital account (net of 5,865.96 15,644.97

3. OTHER NOTES FORMNG PART OF THE FINANCIAL STATEMENTS (CONT...)

3.1 In the opinion of the Board and to the best of their knowledge and belief, the valuation on realisation of current assets, loans and advances in the ordinary couRse of business would not be less than the amount at which they are stated in the Balance Sheet

3.2 The Supreme Court of India in April, 1996, upheld the validity of Jute Packing Materials (Compulsory use in Packing Commodities) Act, 1987. The Company has been legally advised that the Act is applicable to it only with effect from October, 1996. Under the Act, Cement ManufactureRs are required to use Jute Packaging Material for supply or distribution upto 50% of their total production. The Calcutta High Court has granted stay against show cause notice received by the Company from the Jute Commissioner.The Transfer Petition filed by the Union of India before the Hon''ble Supreme Court was dismissed by the Hon''ble court due to default and as a result of which the pending writ of the Company will be heard by the Hon''ble Kolkata High Court on merits. The amount that may become payable, is presently not ascertainable. However, the Government has not notified the compulsory packing of Cement in jute packing materials for the period effective from 1st July 1997.

3.3 Durng the year an amount of 7115.00 lakhs (PY 25.00 lakhs) has been donated to "Rashtriya Ahinsa Manch" a registered Political party under section 29A of Representation of the People Act, 1951 having its registered office at 132/1, Mahatma Gandhi Road, Kolkata-700007.

3.4 In respect of licence granted for captive mining Block at Radhikapur mines, a Joint Venture company Radhikapur (West) Coal Mining Private Limited has been incorporated on 29th March 2010 in which the Company''s interest jointly with OCL Iron & Steel Limited (OISL) s 14.696%. The Company has invested 7734.80 Lacs (PY 734.80 lakhs) in equity shares of the JV Company which includes 7383.35 Lacs (PY 7383.35 lakhs) being proportionate value of shares to be transfered to OISL after the receipt of approval from the Ministry of Coal, Govt of India and other Joint Venture Partnes

The details of the Company''s interest in J.V are as under

This is pre-operating period of the Joint Venture company. All the expenditure incurred till commencement of commercial production s classified as ''Mines Development & Pre-Operative Expenses'' pending capitalization under pre-operative expenses

3.5 The Ministry of Coal, Government of India vide its letter dt.14.2.2014 cancelled the allocation of coal blocks to the joint venture company alleging delay in undertaking production. The joint venture company and the Company filed a writ petition before the Hon''ble Delhi High Court, which has directed the Ministry to maintain status quo till the next date of hearing and not to take any further steps to reallocate the coal blocks or for creating any third party rights therein, till their further ordeRs. The Court has also given berty to the Company to approach it, if there is any action for encashment of bank guarantee. The Company has taken the stand that he delay has occurred, mainly on account of the State and Central Government and consequently de-allocation is not warranted. n the circumstances, the company is of the view that the situation does not affect the carrying cost of the investments and it is not equired to recognise decline (if any) of its investments as on as on the Balance sheet date.

3.6 Bank balances includes Rs45,494/- (PY Rs45,794/-) lying in a current account with a nationalised bank, to be operated jointy by the authorised signatories of the Company and OISL in respect of Coal Block Operations as mentioned in note 28.7 above.

Note:

a) As per practice consstenty olowed, inter segment tanseRs for capital jobs ecognised at cost and or other jobs at estimated realisable value.

b) Business segment is consdered as prmary segment and there is only one geographical segment

3.7 Related Party Disclosures (AS-18)

a) Related parties and their relationship :

1) Key management peRsonnel: Shri M H Dalma, Shr R H Dalma, Shr.Gaurav Dalma(Managing Diector Shr D.D.Atal (Wholetime Director)

Relatives: Shri.A.H.Dalma, Shri.V.H.Dalmia, Shri Y.H Dalmia, Smt. Abha Dalmia, Smt. Padma Dalmia, Smt. Shrpriya Dalma Thirani, Smt. Anuradha Jatia, Smt. Kanupriya Somany, SmtSharmila Dalmia, ShriPuneet Yadu Dalmia, SmtKiran Atal

2) Subsidiary: OCL Global Limited, Odisha Cement Limed (w.e.f 12.07.2013)

3) Step down Subsidiary: OCL China Limited

4) Enterprises over which key management peRsonnel are able to exercise significant influence : Hari Machines Limited, Dalmia Bharat Seva Trust, Dalmia Institute of Scientific & Research (DISIR), Dalton International Ltd, Dalmia Cement (Bharat) Ltd., Landmark Property Development Co.Ltd, Shree Natraj Ceramic & Chemical Industries Ltd, Astir Properties Pvt. Ltd, Landmark Landholdings Pvt.Ltd, Dalmia Bharat Sugar & Industries Ltd, Dalmia Bharat Ltd (Formaly Dalmia Bharat Entrprises Ltd), Calcom Cement India Ltd, Debikay Systems Limited, Kiran Resources (P)Ltd, Dalmia Refractories(Prop : Dalmia Bharat Enterprises Ltd.), Dalmia Magnesite Corporation(Prop : Dalmia Bharat Sugar & Industries Ltd.

3.8 The Company has not paid dividends in foreign currency during the year in respect of shares held by non-residents Te amount payable to non-resident shareholdeRs has been paid to their mandatee banks The amount of dividend so paid to non esdent shareholdeRs during the year is as follows

3.9 Employee Benefits - AS 15 (Revised)

a) The Company has determined the liability for Employee benefits as at March 31,2014 in accordance wih revised Accounting Standard 15 issued by ICAI - Employee defined benefits.

b) Following information are based on report of Actuar Defined benefit plans as at March 31, 2014

The major category of plan assets as a percentage of total plan

Gratuity 80%(PY76%)investedwithCentralGovt/Stategovt/StateGovt. Securties/Public sector bonds Fixed Depost with PSU Banks Leave Encashment Unfunded

3.10 Research & Development Expenses

a) The Company has in-house R&D Centre, approved by the Department of Scientific and ndustral Research (DISIR), Ministry of Scientific & Technology Govt of India. The details of revenue/capital expenditure incurred by the said R&D Centre during the year is as under:-

4.1 The Ministry of Corporate AffaiRs, Government of India, vide General Circular No. 2 and 3 dated 8th February 2011 and 21st February 2011 respectively has granted a general exemption from compliance with section 212 of the Companies Act, 1956, subject to fulfillment of conditions stipulated in the circular. The Company has satisfied the conditions stipulated in the circular and hence is entited to the exemption. Necessary information relating to the subsidiaries has been included in the Consoldated Financial Statements

4.2 Balance confirmation etteRs were sent in respect of accounts showing debit or credit balances. Balance Confirmations have not been received in few cases In the opinion of the Management adjustments, if any required on confirmation and reconciliation is not expected to be material.

4.3 Previous year figures have been regrouped where necessary to corespond wih curent year figures.


Mar 31, 2013

1.1 In the opinion of the Board and to the best of their knowledge and belief, the valuation on realisation of current assets, loans and advances in the ordinary course of business would not be less than the amount at which they are stated in the Balance Sheet.

1.2 The Supreme Court of India in April, 1996, upheld the validity of Jute Packing Materials (Compulsory use in Packing Commodities) Act, 1987. The Company has been legally advised that the Act is applicable to it only with effect from October, 1996. Under the Act, Cement Manufacturers are required to use Jute Packaging Material for supply or distribution upto 50% of their total production. The Calcutta High Court has granted stay against show cause notice received by the Company from the Jute Commissioner.The Transfer Petition filed by the Union of India before the Hon''ble Supreme Court was dismissed by the Hon''ble court due to default and as a result of which the pending writ of the Company will be heard by the Hon''ble Kolkata High Court on merits. The amount that may become payable, is presently not ascertainable. However, the Government has not notified the compulsory packing of Cement in jute packing materials for the period effective from 1st July, 1997.

1.3 During the year an amount of Rs.25.00 lakhs (PY 10.00 lakhs) has been donated to "Rashtriya Ahinsa Manch" a registered Political party under section 29A of Representation of the People Act, 1951 having its registered office at 132/1, Mahatma Gandhi Road, Kolkata-700007.

1.4 In respect of licence granted for captive mining Block at Radhikapur mines, a Joint Venture company Radhikapur (West) Coal Mining Private Limited has been incorporated on 29th March 2010 in which the Company''s interest jointly with OCL Iron & Steel Limited (OISL) is 14.696%. The Company has invested Rs.734.80 Lacs (PY Rs.293.92 lakhs) in equity shares of the JV Company which includes Rs.383.35 Lacs (PY Rs.153.34 lakhs) being proportionate value of shares to be transfered to OISL after the receipt of approval from the Ministry of Coal, Govt of India and other Joint Venture

1.5 Bank balances includes Rs.45,794/- (PY Rs.45,944/-)lying in a current account with a nationalised bank, to be operated jointly by the authorised signatories of the Company and OISL in respect of Coal Block Operations as mentioned in note 28.7 above.

1.6 Related Party Disclosures (AS-18)

a) Related parties and their relationship :

i) Key management personnel :Shri M H Dalmia, Shri R H Dalmia, Shri.Gaurav Dalmia(Managing Director), Shri D.D.Atal (Wholetime Director)

Relatives : Shri.A.H.Dalmia, Shri.V.H.Dalmia, Shri Y.H Dalmia, Smt. Abha Dalmia, Smt. Padma Dalmia, Smt. Shripriya Dalmia Thirani, Smt. Anuradha Jatia, Smt. Kanupriya Somany, Smt.Sharmila Dalmia, Shri.Puneet Yadu Dalmia, Smt.Kiran Atal

ii) Subsidiary: OCL Global Limited (w.e.f 01.01.2013)

iii) Step down Subsidiary: OCL China Limited (w.e.f 01.01.2013)

iv) Enterprises over which key management personnel are able to exercise significant influence : Hari Machines Limited, Dalmia Bharat Seva Trust, Dapel Investments Pvt. Ltd, Dalmia Institute of Scientific & Research (DISIR), Dalton International Ltd, Agrico Ltd., Dalmia Cement (Bharat) Ltd., Landmark Property Development Co.Ltd, Shree Natraj Ceramic & Chemical Industries Ltd, Chirawa Navyuvak Trust, Astir PropertiesPvt. Ltd., Dalmia Shiksha Pratishthan, Landmark Landholdings Pvt.Ltd, Dalmia Bharat Sugar & Industries Ltd, Dalmia Bharat Limited (Formaly Dalmia Bharat Enterprise Limited), DCB Power Ventures Ltd, Calcom Cement India Ltd, Debikay Systems Limited, Kiran Resources Pvt. Ltd

1.7 Employee Benefits - AS 15 (Revised)

a) The Company has determined the liability for Employee benefits as at March 31, 2013 in accordance with revised Accounting Standard 15 issued by ICAI - Employee defined benefits.

b) Following information are based on report of Actuary. Defined benefit plans as at March 31, 2013

1.8 The Ministry of Corporate Affairs, Government of India, vide General Circular No. 2 and 3 dated 8th February 2011 and 21st February 2011 respectively has granted a general exemption from compliance with section 212 of the Companies Act, 1956, subject to fulfillment of conditions stipulated in the circular. The Company has satisfied the conditions stipulated in the circular and hence is entitled to the exemption. Necessary information relating to the subsidiaries has been included in the Consolidated Financial Statements

1.9 Previous year figures have been regrouped where necessary to correspond with current year figures.


Mar 31, 2012

A) Terms/ rights attached to ordinary shares

The Company has issued only one class of ordinary shares having a par value of Rs. 2/- per share. Each holder of ordinary shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.

During the year ended 31 st March 2012, the amount of dividend per share recognised for distribution to ordinary shareholders is Rs. 2/- (Previous year: Rs. 4/- per share).

In event of liquidation of the company, the holders of ordinary shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts.

The distribution will be in proportion to the number of ordinary shares held by the shareholders.

d) Aggregate number of bonus shares issued and shares bought back during the period of five years immediately preceding the reporting date: Nil.

In respect of shares issued for consideration other than cash, 1,23,52,500/- ordinary shares of Rs. 2/- each fully paid up where alloted during the year 2007-08 to the shareholders of erstwhile Dalmia Cement (Meghalaya) Limited pursuant to a scheme of arrangement for merger.

# Secured by First pari passu charge by way of mortgage and hypothecation over all immovable properties and moveable fixed assets of Cement Division, (both present and future) and further secured by second pari pasu charge on all current assets of the Company.

$ Secured by First charge on fixed assets of the Cement Division of Company , both present and future to be shared pari passu with the providers of the other debt and existing lenders, further secured byway of second pari pasu charge on current assets of cement division.

@ Secured by First ranking mortgage on all immovable & movable, present & future assets related to the Cement Division (excluding Current Assets) to be shared pari passu with other lenders in respect of other debts and existing secured lenders to the Cement Division in respect of the existing debt.

Working capital facilities (fund based & non fund based limits) are secured by first pari passu charge over stocks, stores, raw materials, inventories, work in progress, finished goods and also book debts, bills and moneys receivable of the Company by way of hypothecation. These facilities are further secured by second charge over the fixed assets of the Cement Division of the Company.

2011-12 2010-11 Rs.Lakhs Rs.Lakhs

1. OTHER NOTES FORMING PART OF THE FINANCIAL STATEMENTS

1.1 Contingent liabilities not provided for in respect of :

(i) Claims against the Company not acknowledged as debts

(a) Disputed liability relating to ESI Contribution on over time wages and other allowances 72.59 70.58

(b) Disputed liability relating to PF Contribution on certain allowances 94.97 94.97

(c) Disputed liability relating to payment of premium on forest land used for Mining purpose 154.13 154.13

(d) For Pollution Control Board, Orissa 11.82 11.82

(e) Disputed claim for supply of Refractories 156.30 156.30

(f) Disputed liabilities relating to Railway for enhanced Godown rent and over loading penal charges 123.19 115.51

(g) Disputed Sales Tax demand(including interest & penalty)-matter under appeal 707.07 636.48

(h) Disputed Entry Tax demand-matter under appeal 122.73 12.76

(i) Disputed Excise matters 3,980.67 56.72

(j) Disputed counterclaim in Arbitration Proceeding arising out of claim of - - Rs. 214.19 Lakhs by the company 468.26 468.26

(k) Others 221.18 102.98

6,112.91 1,880.51

(ii) Other monies for which the Company is contingently liable :

(a) Disputed liability relating to labour matters-pending in Courts 4.57 6.17

(b) Disputed liability relating to Land matters-pending in Courts 62.01 39.51

(c) Others 78.50 78.50

Total 145.08 124.18

(iii) Disputed liability in respect of Income Tax demands 855.46 654.47

In respect of items above, future cash outflows in respect of contingent liabilities are determinable only on receipt of judgements / decisions pending at various forums / authorities.

(iv) (a) Guarantee given to Banks for loan facilities on behalf of OCL Global Ltd (USD 15.88 Lakhs) an associate concern. (Previous Year USD 20.74 Lakhs) 818.30 936.20

(b) Guarantee given to Banks on behalf of OCL China Ltd (USD 15.00 Lakhs) 772.95 677.10

(c) Guarantee given to Banks on behalf of Radhikapur (West) Coal Mining Private Limited against which counter gurantee of Rs.561.00 Lakhs has been received from OISL 1,076.00 1,076.00

1.2 In the opinion of the Board and to the best of their knowledge and belief, the valuation on realisation of current assets, loans and advances in the ordinary course of business would not be less than the amount at which they are stated in the Balance Sheet.

1.3 The Supreme Court of India in April, 1996, upheld the validity of Jute Packing Materials (Compulsory use in Packing Commodities) Act, 1987. The Company has been legally advised that the Act is applicable to it only with effect from October, 1996. Under the Act, Cement Manufacturers are required to use Jute Packaging Material for supply or distribution upto 50% of their total production. The Calcutta High Court has granted stay against show cause notice received by the Company from the Jute Commissioner.The Transfer Petition filed by the Union of India before the Hon'ble Supreme Court was dismissed by the Hon'ble court due to default and as a result of which the pending writ of the Company will be heard by the Hon'ble Kolkata High Court on merits. The amount that may become payable, is presently not ascertainable. However, the Government has not notified the compulsory packing of Cement in jute packing materials for the period effective from 1st July, 1997.

1.4 During the year an amount of Rs. 10.00 Lakhs has been donated to "Rashtriya Ahinsa Manch" a registered Political party under section 29A of the Representation of the People Act, 1951 having its registered office at 132/1, Mahatma Gandhi Road, Kolkata-700007.

1.5 In respect of licence granted for captive mining Block at Radhikapur mines, a Joint Venture company Radhikapur (West) Coal Mining Private Limited has been incorporated on 29th March 2010 in which the Company's interest jointly with OCL Iron & Steel Limited is 14.696%. The Company has invested Rs. 293.92 Lakhs (Rs. 146.96 Lakhs) in equity shares of the JV Company & paid Rs. 440.88 Lakhs as application money pending allotment which includes Rs. 383.35 Lakhs (Rs. 76.67 lakhs) being proportionate value of shares to be transferred to OISL after the receipt of approval from the Ministry of Coal, Govt of India and other Joint Venture Partners.

1.6 Bank balances includes Rs. 0.49 (PY Rs. 60.10 Lakhs) Lakhs lying in a current account with a nationalised bank, to be operated jointly by the authorised signatories of the Company and OISL in respect of Coal Block Operations as mentioned in note 28.7 above.

1.7 Pursuant to letter dated December 27, 2011 from the Office of the Deputy Director of Mines, Rourkela, the mining of limestone at Lanjiberna Limestone and Dolomite Mines of the Company were suspended from January 07, 2012 till March 31, 2012.

1.8 I Related Party Disclosures (AS-18)

a) Related parties and their relationship :

1) Key management personnel : Shri M H Dalmia, Shri R H Dalmia, Shri. Gaurav Dalmia (Managing Director), Shri D.D. Atal (Wholetime Director)

Relatives : Shri. A.H. Dalmia, Shri. V.H. Dalmia, Shri Y.H Dalmia, Smt. Abha Dalmia, Smt. Padma Dalmia, Smt. Shripriya Dalmia Thirani, Smt. Anuradha Jatia, Smt. Kanupriya Somany, Smt. Sharmila Dalmia, Shri. Puneet Yadu Dalmia, Smt. Kiran Atal.

2) Associate concern (Joint Venture) : OCL Global Limited

3) Enterprises over which key management personnel are able to exercise significant influence : Hari Machines Limited, Dalmia Bharat Seva Trust, Dapel Investments Pvt. Ltd, Dalmia Institute of Scientific & Industrial Research (DISIR), Dalton International Ltd, Agrico Ltd., Dalmia Cement (Bharat) Ltd., Landmark Property Development Co. Ltd, Shree Natraj Ceramic & Chemical Industries Ltd, Chirawa Navyuvak Trust, Astir Properties Pvt. Ltd, Dalmia Shiksha Pratishthan, Landmark Landholdings Pvt. Ltd, Dalmia Bharat Sugar & Industries Ltd, Dalmia Bharat Entrprises Ltd, DCB Power Ventures Ltd, Calcom Cement India Ltd, Debikay Systems Limited

1.9 Employee Benefits - AS 15 (Revised)

a) The Company has determined the liability for Employee benefits as at March 31, 2012 in accordance with revised Accounting Standard 15 issued by ICAI - Employee defined benefits.

1.10 Previous year figures have been regrouped where necessary to correspond with current year figures including those on account of adoption of revised schedule VI of the Companies Act, 1956 effective from 01.04.2011.


Mar 31, 2011

1. In the opinion of the Board and to the best of their knowledge and belief, the valuation on realisation of current assets, loans and advances in the ordinary course of business would not be less than the amount at which they are stated in the Balance Sheet.

2. The Supreme Court of India in April, 1996, upheld the validity of Jute Packing Materials (Compulsory use in Packing Commodities) Act, 1987. The Company has been legally advised that the Act is applicable to it only with effect from October, 1996. Under the Act, Cement Manufacturers are required to use Jute Packaging Material for supply or distribution upto 50% of their total production. The Calcutta High Court has granted stay against show cause notice received by the Company from the Jute Commissioner.The Transfer Petition filed by the Union of India before the Hon'ble Supreme Court was dismissed by the Hon'ble court due to default and as a result of which the pending writ of the Company will be heard by the Hon'ble Kolkata High Court on merits. The amount that may become payable, is presently not ascertainable. However, the Government has not notified the compulsory packing of Cement in jute packing materials for the period effective from 1st July, 1997.

3. Disclosure of Sundry Creditors under Current Liabilities is based on the information available with the Company regarding the status of the suppliers as defined under the "Micro, Small and Medium Enterprises Development Act, 2006". Amount overdue as at 31 March, 2011, to Micro and Small Enterprises on account of principal is Rs.0.92 Lakhs & interest is Rs.0.14 Lakhs (Previous year Rs. Nil on account of principal and interest of Rs.0.12 Lakhs)

4. The uncashed dividend of Rs. 66.23 lakhs (Previous year Rs.51.92 lakhs) and deposits (including interest) of Rs.16.83 lakhs (Previous year Rs. 16.51 lakhs), shown under current liabilities do not include any amount due and outstanding to be credited to the 'Investor Education and Protection Fund'.

5. In respect of licence granted for captive mining Block at Radhikapur mines, a Joint Venture Company Radhikapur (West) Coal Mining Private Limited has been incorporated on 29th March 2010 in which company's interest jointly with OCL Iron & Steel Limited (OISL) is 14.696%. During the year, the company has invested Rs. 146.96 lakhs in equity shares of the JV Company which includes Rs. 76.67 Lakhs being proportionate value of shares to be transfered to OISL after the receipt of approval from the Ministry of Coal , Govt of India and other Joint Venture Partners.

6. Bank balances includes Rs. 60.10 lakhs lying in a current account with nationalised bank, to be operated jointly by the authorised signatories of the company and OISL in respect of Coal Block Operations as mentioned in note 11 above.

7. Related Party Disclosures (AS-18)

a) Related parties and their relationship :

1) Key management personnel : Shri M H Dalmia, Shri R H Dalmia, Shri.Gaurav Dalmia(Managing Director), Shri D.D.Atal (Wholetime Director)

Relatives : Shri A H Dalmia, Shri.V.H.Dalmia, Shri Y.H.Dalmia, Smt. Abha Dalmia, Smt. Padma Dalmia, Smt.Shripriya Dalmia Thirani, Smt.Kanupriya Somany, Smt. Anuradha Jatia, Shri.Puneet Dalmia, Smt.Sharmila Dalmia, Smt. Kiran Atal.

2) Associate concern : OCL Global Limited

3) Enterprises over which key management personnel are able to exercise significant influence : Hari Machines Limited, Dalmia Bharat Seva Trust, Dapel Investments Pvt. Ltd, Dalmia Institute of Scientific & Industrial Research, Dalton International Ltd, Agrico Ltd., Dalmia Cement (Bharat) Ltd., Landmark Property Development Co.Ltd, Shree Natraj Ceramic & Chemical Industries Ltd, Chirawa Navyuvak Trust, Astir Properties Pvt. Ltd, Dalmia Shiksha Pratishthan, Landmark Landholdings Pvt.Ltd, Dalmia Bharat Sugar & Industries Ltd, Dalmia Bharat Entrprises Ltd.

 
Subscribe now to get personal finance updates in your inbox!