Mar 31, 2018
Dear Members,
The Directors of your Company are pleased to present the 25th Annual Report on the Business and operations of the Company along with the Audited Accounts for the financial year ended 31st March, 2018.
1. FINANCIAL SYNOPSIS:
Key aspects of Financial Performance of the Company for the year ended March 31, 2018 are tabulated below, inter-alia, pursuant to the Companies (Accounts) Rules, 2014.
The consolidated performance of the Company and its subsidiaries has also been set out herein, and wherever required.
(INR in Lacs except EPS)
Particulars |
Standalone |
Consolidated |
||
Year ended on 31.03.2018 |
Year ended on 31.03.2017 |
Year ended on 31.03.2018 |
Year ended on 31.03.2017 |
|
Revenue from Operations |
61,032 |
106,339 |
72,299 |
156,130 |
Total Expenses |
58,615 |
107,871 |
71,910 |
157,932 |
Profit before Exceptional & Extraordinary Items and Tax |
3,654 |
1,339 |
2,001 |
1,101 |
Exceptional Items |
- |
- |
- |
- |
Profit Before Tax |
3,654 |
1,339 |
2,001 |
1,101 |
Tax Expense: |
||||
(1) Current Tax |
1299 |
600 |
1,301 |
628 |
(2) Deferred Tax |
(43) |
(239) |
(608) |
(225) |
(3) Taxation Adjustment of previous year (net) |
(71) |
3 |
(80) |
24 |
Minority Interest |
- |
- |
(456) |
304 |
Profit After Tax |
2469 |
975 |
1,388 |
674 |
Earnings per equity share |
2.87 |
1.17 |
1.61 |
0.82 |
2. INFORMATION ON STATE OF AFFAIRS OF THE COMPANY
In the financial year 2017-18, your Company continued its growth momentum on key parameters. Detailed information on state of affairs of the Companies is given in Management Discussion and Analysis Report forming part of this report.
3. TRANSFER TO RESERVES
The Company is not mandatorily required to transfer its surplus to the General Reserve as no dividend has been proposed for the year 2017-18. Hence, current year profit has been proposed to be retained in the Profit and Loss Account.
4. DIVIDEND
The Board is of opinion that the Company should utilize its funds towards the operations to accelerate the growth rate. Accordingly, the Board does not recommend any dividend payment for the year 201718.
5. DEPOSITS
During the year, your Company has not accepted any deposits within the meaning of the provisions of section 73 of the Companies Act, 2013.
6. MATERIAL ORGANIZATIONAL CHANGES
Launch of Blackberry Mobile Phones
Last year your Company signed an exclusive licensing agreement with BlackBerry, by virtue of which Optiemus qualified itself to design, sell, promote and provide customer support service for BlackBerry mobile devices in India, Sri Lanka, Nepal & Bangladesh. In furtherance of the Agreement, in the period under reporting, Company has launched four (4) BlackBerry devices, viz. KEYone, Key2, Evolve and EvolveX.
Approval for Amalgamation of wholly owned Subsidiaries with the Company The Regional Director, Northern Region, Ministry of Corporate Affairs, vide its confirmation order dated April 3, 2018 approved the scheme of amalgamation between MPS Telecom Private Limited (Transferor Company-1) and Oneworld Teleservices Private Limited (Transferor Company - 2) with Optiemus Infracom Limited (Transferee Company) and their respective shareholders and creditors in terms of section 233 of Companies Act 2013 i.e. fast track route. Accordingly, the Financial Statement of the Company include full year figures of MPS Telecom Private Limited (Transferor Company-1) and Oneworld Teleservices Private Limited (Transferor Company - 2) as a result of amalgamation.
Direct Listing of Equity shares on NSE
In order to provide enhanced liquidity to the shareholders of the Company, your Company applied to National Stock Exchange of India (NSE) for listing of its equity shares on NSE under Direct listing route and approval for the same was granted on August 4, 2017 and the equity shares of the Company were listed and admitted for dealings on the exchange w.e.f. August 8, 2017. Hence, the Company is now listed on NSE as well along with BSE.
Adoption of Ind AS
Your Company has Company has for the first time adopted IND-AS with a transition date of April 1, 2016 as notified by Ministry of Corporate Affairs pursuant to Section 133 of the Companies Act 2013 read with rule 3 of the Companies (Indian Accounting Standards) rules, 2015, Companies (Indian Accounting Standards) amendment rules 2016 and in terms of regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations , 2015 ,SEBI circular dated July 5, 2016 and other accounting principles generally accepted in India Beginning April 1, 2017.
7. EXTRACT OF ANNUAL RETURN
The extract of annual return as provided under sub-section (3) of section 92 of the Companies Act, 2013, in the prescribed Form MGT-9 is annexed to this Report as Annexure -1. Also, Annual Return as referred to in sub-section 3 of section 134 of Companies Act, 2013 will be placed on Companies Website under web-link httpsJ/www. optiemus. com/policies, html.
8. NUMBER OF MEETINGS OF THE BOARD
There were 12 (twelve) meetings of the Board held during the year. The Maximum gap between the two meetings did not exceed 120 days. Detailed information on Board Meetings is given in Corporate Governance Report.
9. DIRECTORSâ RESPONSIBILITY STATEMENT
In pursuance to clause (c) of sub section (3) of section 134 of the Companies Act, 2013, to the best of their knowledge and belief, the Directors of your Company hereby confirm that:
(i) in the preparation of the annual accounts, the applicable accounting standards had been followed along with proper explanation relating to material departures;
(ii) the directors had selected such accounting policies and applied them consistently and made judgments and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the company at the end of the financial year and of the profit and loss of the company for that period;
(iii) the directors had taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the company and for preventing and detecting fraud and other irregularities;
(iv) the directors had prepared the annual accounts on a going concern basis;
(v) The directors had laid down internal financial controls to be followed by the company and that such internal financial controls are adequate and were operating effectively.
(vi) The directors had devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.
10. PARTICULARS OF LOANS. GUARANTEES OR INVESTMENTS UNDER SECTION 186 OF THE COMPANIES ACT. 2013
Details of Investments made, loans given and Guarantee given falling under the provisions of section 186 of the Companies Act, 2013 are given under Note No. 5a, 9a, 5b, 9e, and 29c of the notes to standalone financial statements.
11. RISK MANAGEMENT FRAMEWORK
Your Company has taken necessary steps for risk management including identifying risk which may threaten the existence/ operations of the Company.
12. CORPORATE SOCIAL RESPONSIBILITY
Pursuant to section 135 of the Companies Act, 2013 read with the Companies (Corporate Social Responsibility Policy) Rules, 2014, your Company approved a policy on CSR which is also hosted on Companyâs website under web link https://www.optiemus.com/policies.html The detailed report on CSR is attached as Annexure-2 to this report.
13. DISCLOSURE ON ESTABLISHMENT OF VIGIL MECHANISM
Section 177(9) of Companies Act, 2013 and SEBI (Listing Obligations and Disclosure Requirement) Regulations, 2015 inter alia, provides for a mandatory requirement for all listed companies to establish a mechanism called, âWhistle Blower Policyâ for employees to report to the management, instances of unethical behavior, actual or suspected, fraud or violation of the companyâs, code of conduct.
In compliance of the above requirements, your Company has established a Vigil (Whistle Blower) Mechanism and formulated a Policy which aims to provide a channel to the Directors and employees to report genuine concerns about unethical behavior, actual or suspected fraud or violation of the Codes of Conduct or policy. The Vigil (Whistle Blower) Mechanism aims to ensure that the Company is committed to adhere to the highest standards of ethical, moral and legal conduct of business operations and in order to maintain these standards, the Company encourages its employees who have genuine concerns about suspected misconduct to come forward and express these concerns without fear of punishment or unfair treatment.
Further, Your Company hereby affirms that no Director/ employee have been denied access to the Chairman of the Audit Committee and that no complaints were received during the year.
The Policy is hosted on the Companyâs website www.optiemus.com under web link http:// www. optiemus. com/policies.html.
14. DIRECTORS & KEY MANAGERIAL PERSONNEL
No change in the composition of Directors or Key Managerial Personnel took place during the period under review.
The Notice of ensuing Annual General Meeting includes a proposal seeking Members approval by way of Special Resolution for re-appointment of Mr. Gautam Kanjilal, Mr. Tejendra Pal Singh Josen and Mr. Charan Singh Gupta, as Independent Directors for period of five (5) years from expiry of their current term on 31st March, 2019. Based on performance evaluation process and consent received from each of aforesaid Directors that they meet the criteria of independence, your Board recommends their re-appointment as Independent Directors for the second term of five (5) consecutive years upon expiry of current term on 31st March, 2019.
Also, In accordance with section 152(6) of the Companies Act, 2013, the period of office of at least two-third Directors of the Company shall be liable to retire by rotation, out of which atleast one-third Directors shall retire at every Annual General Meeting. Hence, this year, Mr. Hardip Singh retires from the Board by rotation and being eligible, offers himself for re-appointment. The information as required to be disclosed under SEBI (Listing Obligation & Disclosure Requirement) Regulations, 2015 and Secretarial Standards in case of re-appointment of the director is provided in the Notice of the ensuing annual general meeting which forms part of this Annual report.
Declaration by Independent Directors
The Company has received declaration of Independence from all Independent Directors, inter-alia, pursuant to Section 149 of the Companies Act, 2013, confirming and certifying that they have complied with all the requirements of being an Independent Director of the Company.
Inter-se relationship of Directors
Ms. Renu Gupta, Non-Executive Director is a relative of Mr. Ashok Gupta, Chairman of the Company. No other Directors are related to each other. Also, there were no pecuniary transactions or relationship of the Non-Executive Directors vis-a-vis the company.
Selection and Appointment of Directors
The charter of Nomination and Remuneration Committee of the Board empowers it to review the structure, size, composition, and diversity of the Board, evaluation of existing skills, defining gaps and making necessary recommendations to the Board.
Board Evaluation
The Companies Act, 2013 and the SEBI (Listing obligations and Disclosure Requirements) Regulations, 2015 requires the Annual report to disclose manner in which formal annual evaluation of the Board, its Committee and individual Directors is done and evaluation criteria thereof. Performance evaluation criteria for Board, Committees of the Board and Directors are placed on the Companyâs website www.optiemus.com under the web link https://www. optiemus. com/policies.html as a part of Companyâs Nomination & Remuneration Committee Policy.
Manner in which said evaluation was made by the Board is given below:
- Based on the criteria, a structured questionnaire was prepared after taking into consideration inter-alia the inputs received from the Directors (except for the director being evaluated) for the year under review. The structured questionnaire covered various aspects of the Boardâs functioning such as strategic alignment and direction, engagement alignment, composition and structure, dynamics and culture, ethical leadership and corporate citizenship, support to the Board, Committees evaluation and self-evaluation etc.
- The Ratings for Non-Independent Directors were given by the Independent Directors at a separate meeting convened by them. The ratings for Independent Directors were given by all the Directors excluding the Independent Director being evaluated. The Evaluation for performance of Committees was given by the entire Board.
- A consolidated summary of the ratings given by each of the directors was then prepared separately for Independent & Non-Independent Directors, based on which a report on performance evaluation was prepared in respect of the performance of the Board, Directors individually and Committee(s).
- The report on performance evaluation of Non Independent Directors so arrived at was then noted and discussed by the Nomination and Remuneration Committee.
The performance evaluation of individual Directors including Chairman of the Board was done in accordance with the provisions of the Companies Act, 2013 and Listing Regulations and also based on the structured questionnaire mentioned above.
Familiarizing programme for Independent Directors
SEBI (Listing obligations & Disclosure Requirement) Regulations, 2015 and the applicable provisions of Companies Act, 2013 requires conduction of familiarization programme of the independent directors. On these lines, Board has always endeavored to keep Independent Directors updated about the latest happenings in the Company, Industry and legal framework, for which Periodic familiarization programmes are given on are conducted for the directors about the business operations, new avenues, industry overview, threats, opportunities and challenges in respective verticals.
15. PARTICULARS OF EMPLOYEES AND OTHER DISCLOSURES
Disclosures pertaining to remuneration and other details as required under Section 197(12) of the Companies Act, 2013 read with Rule 5 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 are provided in the Annexure -3 forming part of the Annual Report.
16. AUDITORS
Statutory Auditors
At the 24th Annual general Meeting held on 8th December, 2017, the Shareholders approved the appointment of M/s Mukesh Raj & Co. Chartered Accountants, (firm registration no. 016693N), as Statutory Auditors of the Company until the conclusion of 29th Annual General Meeting to be held in the year 2022 subject to ratification by the shareholders every year.
Pursuant to recent amendment to Section 139 of the Companies Act, 2013 effective from 7th May, 2018, ratification by Shareholders every year for the appointment of Statutory Auditors is no longer required and accordingly the Notice of the 25th Annual General Meeting does not include the proposal for seeking Shareholders approval for ratification of Statutory Auditors appointment. The Company has received certificate of eligibility from M/s Mukesh Raj & Co, in accordance with the provisions of the Companies Act, 2013 and rules made thereunder and a confirmation that they continue to hold valid peer review certificate as required under Listing Regulations.
The Auditorsâ Report for financial year 2017-18 does not contain any qualification, reservation or adverse remark or disclaimer. The Auditorsâ Report is enclosed with the financial statements in this Annual Report. The Auditors did not report any fraud during the year.
M/s Mukesh Raj & Co, Chartered Accountants have certified that the company has complied with the mandatory requirements of corporate governance as stipulated in Listing Regulations. The same is annexed to this report as Annexure -4.
Secretarial Auditor
Pursuant to the provisions of section 204 of the Companies Act, 2013 and Rules made hereunder, the Company appointed M/s S.K. Batra & Associates, Company Secretaries in Practice (Membership number: 7714, C.P No. 8072), to undertake the secretarial audit of the Company. Secretarial Audit Report for the financial year 2017-18 as given by M/s S.K. Batra & Associates in the prescribed form MR-3 is annexed to this Report as Annexure -5.
The Secretarial Audit Report for financial year 2017-18 does not contain any qualification, reservation or adverse remark or disclaimer.
COST AUDIT
Maintaining cost records as specified by the Central Government under section 148 (1) of the Companies Act, 2013 is not applicable to your Company.
17. DISCLOSURE UNDER SEXUAL HARASSMENT OF WOMEN AT WORKPLACE (PREVENTION, PROHIBITION & REDRESSAL) ACT, 2013
The Company has in place an Anti-Sexual Harassment Policy in line with the requirements, inter-alia, of The Sexual Harassment of Women at Workplace (Prevention, Prohibition Redressal) Act, 2013. An Internal Committee has been set up to redress complaints received regarding sexual harassment. All employees (permanent, contractual, temporary and trainees) are covered under this policy.
The following is a summary of sexual harassment complaints received and disposed off during the Financial Year 2017-18:
- No. of complaints received : Nil
- No. of complaints disposed off : N.A.
18. PARTICULARS OF CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS AND OUTGO
Conservation of Energy
Considering the nature of business of the Company, energy does not form a significant portion of the cost for the Company yet wherever possible and feasible, continuous efforts are being put for conservation of energy and minimize power cost. However, Capital expenditure on energy conservation equipment is not required, keeping in view the normal energy consumption in the business activity of the Company. Various Steps are being taken for conservation of energy and using alternate sources of energy, to name a few:
- Advocating switching off of lights and ACs when not required, turning off of PCs when not in use, setting higher temperatures on air conditioners etc to reduce consumption.
- Installed various energy saving electrical devices for saving energy.
- Puts control on usage of other electrical equipments.
Technology absorption
Taking into consideration the nature of Business of Company, No technology is being used.
Foreign exchange earnings and Outgo
The Company has continued to maintain focus on and avail of export opportunities based on economic considerations.
Foreign Exchange Earning & Outgo details are as follows:
*The Figures are on receipt/payment basis.
19. SUBSIDIARIES
Subsidiaries Acquired
During the year under purview, The Company acquired following subsidiaries:
1. Teleecare Network India Private Limited
2. Teleecare Network (BD) Private Limited (Step Down Subsidiary)
3. International Value Retail Private Limited (Step Down Subsidiary)
4. GDN Enterprises Private Limited (Step Down Subsidiary)
5. MPS Telecom Retail Private Limited (Step Down Subsidiary)
Subsidiaries Sold/Liquidated/Merged
During the year, following Companies ceased to subsidiaries of the Company due to liquidation:
1. MPS Telecom Private Limited - by virtue of amalgamation with Optiemus
2. Oneworld Teleservices Private Limited - by virtue of amalgamation with Optiemus
3. M/s Optiemus Metals & Mining Pte. Limited
No associate Company was acquired or sold during the year.
As on 31st March 2018, the Company has eight (8) unlisted subsidiaries, namely,
a. Optiemus Electronics Limited
b. FineMS Electronics Private Limited.
c. Teleecare Network India Private Limited
d. Optiemus Infracom (Singapore) Pte Limited
e. GDN Enterprises Private Limited
f. International Value Retail Private Limited
g. MPS Telecom Retail Private Limited
h. Teleecare Network (BD) Private Limited
In accordance with the provisions of Section 129(3) of the Companies Act, 2013 read with Rule 8 of Companies (Accounts) Rules, 2014, the Company has prepared its consolidated financial statement including all of its subsidiaries, which is forming part of this report.
The highlights of financial position and performance of its subsidiaries are given in the statement containing salient features of the financial statements of the said subsidiaries in Annexure -6 to this report.
In terms of section 136 of the Companies Act, 2013, the Annual Report of the Company, containing therein its standalone and the consolidated financial statements has been hosted on the website www.optiemus.com. Further the annual accounts of each of the said subsidiary companies of the Company have also been hosted on the website www.optiemus.com. Any shareholder who may be interested in obtaining a physical copy of the aforesaid documents may write to the Company Secretary. Further, please note that the said documents will be available for examination by the shareholders of the Company at its Registered & Corporate Office during business hours.
The Company has two material unlisted Companies namely M/s Optiemus Electronics Limited and M/s Teleecare Network India Private Limited, where material subsidiary is defined in SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015 to mean a subsidiary, whose income or net worth exceeds twenty percent of the consolidated income or net worth respectively, of the listed entity and its subsidiaries in the immediately preceding accounting year.
The Policy for determining âmaterialâ subsidiaries is hosted on the website of the Company under the web link. https://www.optiemus.com/policies/html
20. RELATED PARTY TRANSACTIONS
There were no materially significant transactions with Related Parties during the financial year 201718 which were in conflict with the interest of the Company. During the year under reference, However, there were certain transactions with the related parties of the Company executed in ordinary course of business at armâs length. The disclosure of such transactions as required under Companies Act, 2013 attached herewith as Annexure-7. Further, Suitable disclosures as required under IND AS have been made in Note 32 of the Notes to the financial statements.
The policy on Related Party Transactions as approved by the Board is hosted on the Companyâs website under the web link https://www. optiemus. com/policies/html.
21. SIGNIFICANT AND MATERIAL ORDERS
There are no significant and material order passed by the Regulators or Courts or Tribunals impacting the going concern status and Companyâs operations in future.
22. SHARE CAPITAL
The paid-up equity share capital as on 31st March 2018 was Rs. 85.81 Crore.
There was no public issue, rights issue, bonus issue, preferential issue or redemption of shares etc. during the year. Also, The Company has not issued shares with differential voting rights or sweat equity shares. Also, the Company has not granted any stock options during the year.
23. ADEQUACY OF INTERNAL FINANCIAL CONTROLS
The Board reviews the adequacy and effectiveness of the internal finance controls from time to time. The Board, in consultation with the internal Auditors and risk management committee monitors and controls the major financial risk exposures.
24. CORPORATE GOVERNANCE
The Company is committed to maintain the highest standards of Corporate Governance. The Directors adhere to the requirements set out by the Securities and Exchange Board of Indiaâs Corporate Governance Practices and have implemented all the stipulations prescribed. Pursuant to SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, a separate section titled âCorporate Governanceâ has been included in this annual report, along with the reports on Management Discussion and Analysis.
25. COMLIANCE WITH SECRETARIAL STANDARDS ON BOARD MEETINGS
Your Company has complied with the applicable provisions of the Secretarial Standards issued by the Institute of Company Secretaries of India (ICSI)
26. ACKNOWLEDGEMENT
Your Directors wish to express their sincere appreciation for the co-operation and assistance received from the Bankers, Regulatory Authorities, Stakeholders including Customers and other business associates who have extended their valuable support and encouragement during the year under review.
The directors also acknowledge the hard work, dedication and commitment of the employees of the Company. The enthusiasm and unstinting efforts of the employees have enabled the Company to continue being a leading player in the Telecom Industry.
On behalf of the Board of Directors
For Optiemus Infracom Limited
Place : Noida (U.P) Ashok Gupta
Date : August 29, 2018 Executive Chairman
Mar 31, 2017
Dear Members,
The Directors of your Company are pleased to present the 24th Annual Report on the Business and operations of the Company along with the Audited Accounts for the financial year ended 31st March, 2017.
1. FINANCIAL SYNOPSIS:
Key aspects of Financial Performance of the Company for the year ended March 31, 2017 are tabulated below, inter-alia, pursuant to the Companies (Accounts) Rules, 2014.
The consolidated performance of the Company and its subsidiaries has also been set out herein, and wherever required.
(Rs. in Lacs)
Particulars |
Standalone |
Consolidated |
||
Year ended on 31.03.2017 |
Year ended on 31.03.2016 |
Year ended on 31.03.2017 |
Year ended on 31.03.2016 |
|
Total Revenue |
109,160 |
191,955 |
158,984 |
193,137 |
Total Expenses |
107,807 |
189,154 |
157,878 |
190,850 |
Profit before Exceptional & Extraordinary Items and Tax |
1,353 |
2,801 |
1,106 |
2,287 |
Exceptional Items |
- |
- |
- |
- |
Profit Before Tax |
1,353 |
2,801 |
1,106 |
2,287 |
Tax Expense: |
||||
(1) Current Tax |
601 |
1,330 |
629 |
1,330 |
(2) Deferred Tax |
(239) |
(325) |
(193) |
(325) |
(3) Taxation Adjustment of previous year (net) |
3 |
(12) |
(20) |
(12) |
Minority Interest |
- |
- |
(10) |
- |
Profit After Tax |
988 |
1,808 |
680 |
1,294 |
Earnings per equity share |
1.15 |
2.11 |
0.79 |
1.51 |
2. INFORMATION ON STATE OF AFFAIRS OF THE COMPANY
In the financial year 2016-17, your Company continued its growth momentum on key parameters, despite sluggish growth/downturn witnessed by industry across country. Detailed information on state of affairs of the Companies is given in Management Discussion and Analysis Report forming part of this report.
3. TRANSFER TO RESERVES
The Company is not mandatorily required to transfer its surplus to the General Reserve as no dividend has been proposed for the year 2016-17. Hence, current year profit has been proposed to be retained in the Profit and Loss Account.
4. DIVIDEND
The Board is of the opinion that the Company should utilize its funds towards the operations to accelerate the growth rate. Accordingly the Board does not recommend any dividend payment for the year 2016-17.
5. DEPOSITS
During the year, your Company has not accepted any deposits within the meaning of the provisions of section 73 of the Companies Act, 2013.
6. MATERIAL ORGANIZATIONAL CHANGES
Licensing Agreement with Blackberry
Being highly competitive,the telecom Industry is undergoing rapid changes due to the pace of developments in technology and innovation in business models. Moving in the same direction, Optiemus has very recently joined hands with Canada based Mobile brand âBlackberryâ. Having signed an Exclusive licensing agreement with Blackberry, Optiemus has qualified itself to design, sell, promote and provide customer support service for blackberry mobile devices in India, Sri Lanka, Nepal & Bangladesh. Blackberry Limited will provide its unparalleled software and security solution, which will give Optiemus a new platform to keep the innovation alive in this worldâs fastest growing smartphone market and create an affluence for its shareholders.
Ongoing Corporate Restructuring
With a view to offer a strong financial structure to the stakeholders of the Company, achieving better cash flows and to maintain lean organizational structure and better administrative control it is intended to merge two of your Companyâs subsidiaries, viz, M/s MPS Telecom Private Limited & M/s Oneworld Teleservices Private Limited. Draft Scheme of Amalgamation has also been proposed in the notice of the AGM for approval of Members. Disclosures like Scheme of Amalgamation, Financials of Transferor Companies and other relevant information is annexed to notice.
Direct Listing of Equity shares on NSE
in order to provide enhanced liquidity to the shareholders of the Company, your Company applied to National Stock Exchange of India (NSE) for listing of its equity shares on NSE under Direct listing route and approval for the same was granted on August 4, 2017 and the equity shares of the Company were listed and admitted for dealings on the exchange w.e.f. August 8, 2017. Hence, the Company is now listed on NSE as well along with BSE.
7. EXTRACT OF ANNUAL RETURN
The extract of annual return as provided under sub-section (3) of section 92 of the Companies Act, 2013, in the prescribed Form MGT-9 is annexed to this Report as Annexure -1.
8. NUMBER OF MEETINGS OF THE BOARD
There were 14 (fourteen) meetings of the Board held during the year. The Maximum gap between the two meetings did not exceed 120 days. Detailed information on Board Meetings is given in Corporate Governance Report.
9. DIRECTORSâ RESPONSIBILITY STATEMENT
In pursuance to clause (c) of sub section (3) of section 134 of the Companies Act, 2013, to the best of their knowledge and belief, the Directors of your Company hereby confirm that:
(i) in the preparation of the annual accounts, the applicable accounting standards had been followed along with proper explanation relating to material departures;
(ii) the directors had selected such accounting policies and applied them consistently and made judgments and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the company at the end of the financial year and of the profit and loss of the company for that period;
(iii) the directors had taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the company and for preventing and detecting fraud andother irregularities;
(iv) the directors had prepared the annual accounts on a going concern basis;
(v) The directors had laid down internal financial controls to be followed by the company and that such internal financial controls are adequate and were operating effectively.
(vi) The directors had devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.
10. PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS UNDER SECTION 186 OF THE COMPANIES ACT, 2013
Details of Investments and loans given falling under the provisions of section 186 of the Companies Act, 2013 are given under Note No. 12 & 14 of the notes to standalone financial statements. The Company has given corporate guarantee to one of its subsidiary, namely, M/s Optiemus Electronics Limited against a loan of Rs.22 crores from Indusind Bank.
11. RISK MANAGEMENT FRAMEWORK
Given the diversified scale of operations, your Company has put in place a framework and adopted an enterprise risk management policy. The Company had in place a Risk Management Committee to assist the Board in fulfilling its corporate governance oversight responsibilities with regard to the identification, evaluation and mitigation of strategic, operational, and in order to timely assess & thereafter minimize the risk involved.The details of the Risk Management framework are provided as a part of Management Discussion and Analysis report.
12. CORPORATE SOCIAL RESPONSIBILITY
Pursuant to section 135 of the Companies Act, 2013 read with the Companies (Corporate Social Responsibility Policy) Rules, 2014, your Company approved a policy on CSR which is also hosted on Companyâs website under web link http://www.optiemus.com/policies.
The detailed report on CSR is attached as Annexure-2 to this report.
13. DISCLOSURE ON ESTABLISHMENT OF VIGIL MECHANISM
Section 177(9) of Companies Act, 2013 and SEBI (Listing Obligations and Disclosure Requirement) Regulations, 2015 inter alia, provides for a mandatory requirement for all listed companies to establish a mechanism called, âWhistle Blower Policyâ for employees to report to the management, instances of unethical behavior, actual or suspected, fraud or violation of the companyâs, code of conduct.
In compliance of the above requirements, your Company has established a Vigil (Whistle Blower) Mechanism and formulated a Policy which aims to provide a channel to the Directors and employees to report genuine concerns about unethical behavior, actual or suspected fraud or violation of the Codes of Conduct or policy. The Vigil (Whistle Blower) Mechanism aims to ensure that the Company is committed to adhere to the highest standards of ethical, moral and legal conduct of business operations and in order to maintain these standards, the Company encourages its employees who have genuine concerns about suspected misconduct to come forward and express these concerns without fear of punishment or unfair treatment.
Further, Your Company hereby affirms that no Director/ employee have been denied access to the Chairman of the Audit Committee and that no complaints were received during the year.
The Policy is hosted on the Companyâs website www.optiemus.com under web link http:// www. optiemus. com/policies.
14. DIRECTORS & KEY MANAGERIAL PERSONNEL
In accordance with section 152(6) of the Companies Act, 2013, the period of office of at least two-third Directors of the Company shall be liable to retire by rotation, out of which atleast one-third Directors shall retire at every Annual General Meeting. Hence, this year, Mr. Ashok Gupta retires from the Board by rotation and being eligible, offers himself for re-appointment. The information as required to be disclosed under SEBI (Listing Obligation & Disclosure Requirement) Regulations, 2015 and Secretarial Standards in case of re-appointment of the director is provided in the Notice of the ensuing annual general meeting which forms part of this Annual report.
Declaration by Independent Directors
The Company has received Certificate of Independence from all Independent Directors, inter-alia, pursuant to Section 149 of the Companies Act, 2013, confirming and certifying that they have complied with all the requirements of being an Independent Director of the Company.
Inter-se relationship of Directors
Ms. Renu Gupta, Non-Executive Director is a relative of Mr. Ashok Gupta, Executive Chairman of the Company. No other Directors are related to each other. Also, there were no pecuniary transactions or relationship of the Non-Executive Directors vis-a-vis the company.
Selection and Appointment of Directors
The charter of Nomination and Remuneration Committee of the Board empowers it to review the structure, size, composition, and diversity of the Board, evaluation of existing skills, defining gaps and making necessary recommendations to the Board.
Board Evaluation
The Companies Act, 2013 and the SEBI (Listing obligations and Disclosure Requirements) Regulations, 2015 requires the Annual report to disclose manner in which formal annual evaluation of the Board, its Committee and individual Directors is done and evaluation criteria thereof. Performance evaluation criteria for Board, Committees of the Board and Directors are placed on the Companyâs website www.optiemus.com under the web link http://www.optiemus.com/policies as a part of Companyâs Nomination & Remuneration Committee Policy.
Manner in which said evaluation was made by the Board is given below:
- Based on the criteria, a structured questionnaire was prepared after taking into consideration inter-alia the inputs received from the Directors (except for the director being evaluated) for the year under review. The structured questionnaire covered various aspects of the Boardâs functioning such as strategic alignment and direction, engagement alignment, composition and structure, dynamics and culture, ethical leadership and corporate citizenship, support to the Board, Committees evaluation and self-evaluation etc.
- The Ratings for Non-Independent Directors were given by the Independent Directors at a separate meeting convened by them. The ratings for Independent Directors were given by all the Directors excluding the Independent Director being evaluated. The Evaluation for performance of Committees was given by the entire Board.
- A consolidated summary of the ratings given by each of the directors was then prepared separately for Independent & Non-Independent Directors, based on which a report on performance evaluation was prepared in respect of the performance of the Board, its Committees and Directors during the year under review.
- The report on performance evaluation of Non Independent Directors so arrived at was then noted and discussed by the Nomination and Remuneration Committee and that of Individual Directors and committees Board at their respective meetings.
The performance evaluation of individual Directors including Chairman of the Board was done in accordance with the provisions of the Companies Act, 2013 and Listing Regulations and also based on the structured questionnaire mentioned above.
Familiarizing programme for Independent Directors
SEBI (Listing obligations & Disclosure Requirement) Regulations, 2015 and the applicable provisions of Companies Act, 2013, requires conduction of familiarization programme of the independent directors. On these lines, Board has always endeavored to keep Independent Directors updated about the latest happenings in the Company, for which Periodic familiarization programmes are conducted for the directors about the business operations, new avenues, industry overview, threats, opportunities and challenges in respective verticals.
15. PARTICULARS OF EMPLOYEES AND OTHER DISCLOSURES
Disclosures pertaining to remuneration and other details as required under Section 197(12) of the Companies Act, 2013 read with Rule 5 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 are provided in the Annexure -3 forming part of the Annual Report.
16. AUDITORS
Statutory Auditors
Pursuant to the provisions of section 139 of the Companies Act, 2013 and the Rules made thereunder, the current Statutory Auditors of the Company, M/s RMA & Associates, Chartered Accountants (registration number: 000978N) were appointed by the shareholders at the 21st annual general meeting to hold office until the conclusion of the 25thannual general meeting, subject to ratification by shareholders at each annual general meeting. However, they resigned from the office of Statutory Auditors of the Company w.e.f. December 13, 2016, due to unavoidable circumstances, resulting into a casual vacancy in the office of Statutory Auditors of the Company as envisaged by section 139(8) of the Act.
Accordingly, The Audit Committee and the Board of Directors in their respective meetings recommended to appoint M/s Mukesh Raj & Co. Chartered Accountants (Firm Registration No. 016693N), as Statutory Auditors of the Company to fill the casual vacancy caused by the resignation of M/s. RMA & Associates. Consequently, in the process of Postal Ballot conducted by the Company (through postal ballot notice dated February 14, 2017), the shareholders, by passing Ordinary resolution, approved the appointment of M/s Mukesh Raj & Co. to be appointed as Statutory Auditors of the Company to hold office upto the conclusion of ensuing Annual General Meeting.
In terms of section 139 of the Companies Act, 2013, since a Statutory Auditor has to be appointed for a period of five years at a time, subject to ratification by shareholders at every Annual General meeting, your Company proposed to appoint M/s Mukesh Raj & Co. (firm registration no. 016693N) as the Statutory Auditors of your Company for a term of 5 years commencing from the conclusion of the ensuing Annual General Meeting till the conclusion of the 29thAnnual General Meeting of the Company to be held in the calendar year 2022. The Company has received written consent and confirmation from M/s Mukesh Raj & Co. to the effect that their appointment, if made, would be within the limits prescribed under Section 141 of the Act, and rules framed thereunder and that they satisfy the criteria provided there. Also, the Statutory Auditors have confirmed that they have subjected themselves to the peer review process of the Institute of Chartered Accountants of India (ICAI) and that they hold a valid certificate issued by the Peer Review Board of ICAI.
Accordingly, Ordinary Resolution is proposed for the consideration and approval of members in the notice forming part hereto.
The statutory audit report submitted by M/s Mukesh Raj & Co. for FY 2016-17 does not contain any qualification, reservation or adverse remark or disclaimer made by statutory auditors. The Auditors did not report any fraud during the year.
M/s Mukesh Raj & Co, Chartered Accountants have certified that the company has complied with the mandatory requirements of corporate governance as stipulated in Listing Regulations. The same is annexed to this report as Annexure -4.
Secretarial Auditor
Pursuant to the provisions of section 204 of the Companies Act, 2013 and Rules made hereunder, the Company appointed M/s S K Batra & Associates, Company Secretaries in Practice (Membership number: 7714, C.P. No. 8072), to undertake the secretarial audit of the Company. Secretarial Audit Report for the financial year 2016-17 as given by M/s S.K. Batra & Associates in the prescribed form MR-3 is annexed to this Report as Annexure -5
The Adverse remarks contained in Secretarial Audit Report for the year under review and Companyâs reply thereto is as follows:
Adverse Remark |
Company Reply |
Managerial Remuneration has been paid in excess of the limits prescribed in section 197 of the companies Act 2013 read with Schedule V of the Act although the company is in the process of applying waiver from the Central government. |
Major reform announced by Government to demonetize of two highest demonization notes created bearish momentum in near term adversely impacting all sectors and industries, Telecom Industry being one of them which resulted in low sales volume of mobile handset. resulting in low profits and inadequate profits. However, considering the contribution of Manegerial personnel, Company is already in process of applying waiver of access remuneration paid, and in this regard a special resolution seeking approval of shareholders for waiver of such excess remuneration paid has been proposed in the notice of the Annual General Meeting forming part of this report. Once approval of members is obtained, application to Central Government shall be made. |
The Company has not expended on account of CSR (Corporate Social Responsibility) as per the provisions of section 135 of the Act. However in accordance with section 134(3)(o) of the Act the Company has disclosed all the relevant information about its CSR Policy and its implementation including the reasons of non-spending. |
The Company could not spend requisite amount as no appropriate trust(s)/NGO for spending allocated amount could be found on the projects as were discussed and decided by the Committee and the Board. However, the Company shall create a provision of setting aside the unspent amount. |
17. DISCLOSURE UNDER SEXUAL HARASSMENT OF WOMEN AT WORKPLACE (PREVENTION, PROHIBITION & REDRESSAL) ACT, 2013
The Company has in place an Anti-Sexual Harassment Policy in line with the requirements, inter-alia, of The Sexual Harassment of Women at Workplace (Prevention, Prohibition Redressal) Act, 2013. An Internal Committee has been set up to redress complaints received regarding sexual harassment. All employees (permanent, contractual, temporary and trainees) are covered under this policy.
The following is a summary of sexual harassment complaints received and disposed off during the Financial Year 2016-17:
- No. of complaints received : Nil
- No. of complaints disposed off : N.A.
18. PARTICULARS OF CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS AND OUTGO
Conservation of Energy
Considering the nature of business of the Company, energy does not form a significant portion of the cost for the Company yet wherever possible and feasible, continuous efforts are being put for conservation of energy and minimize power cost. However, Capital expenditure on energy conservation equipment is not required, keeping in view the normal energy consumption in the business activity of the Company. Various Steps are being taken for conservation of energy and using alternate sources of energy, to name a few:
- Advocating switching off of lights and ACs when not required, turning off of PCs when not in use, setting higher temperatures on air conditioners etc to reduce consumption.
- Installed various energy saving electrical devices for saving energy.
- Puts control on usage of other electrical equipments.
Technology absorption
Taking into consideration the nature of Business of Company, No technology is being used.
Foreign exchange earnings and Outgo
The Company has continued to maintain focus on and avail of export opportunities based on economic considerations.
19. SUBSIDIARIES
As on 31st March 2017, the Company has six unlisted subsidiaries, namely,
i. Oneworld Teleservices Private Limited
ii. Optiemus Electronics Limited
iii. FineMS Electronics Private Limited
iv. MPS Telecom Private Limited
v. Optiemus Infracom (Singapore) Pte. Limited
vi. Optiemus Metals & Mining Pte. Limited
Subsidiaries Added
During the year under purview, The Company acquired two subsidiaries, namely, M/s Fine MS Electronics Private Limited which is incorporated on 9th July, 2016 as a Joint venture between the Company and M/s SC Finetechnix Private Limited. FineMS is engaged in the business of manufacturing of Mobile and allied accessories. Optiemus holds 60% of the Equity Share Capital in the Company. Another Company which became wholly owned subsidiary of Optiemus is M/s MPS Telecom Private Limited. Currently MPS is engaged in the distribution business of HTC Branded Mobile Phones in India for General Trade (North, West & South). 100% equity shares of the Company were acquired for all-cash deal, with a view to merge MPS in Optiemus Infracom Limited in terms of Section 233 of the Companies Act, 2013 under fast track route.
Subsidiaries Sold/Liquidated
During the year, the Company divested its entire stake in M/s Kishore Exports India Private limited. Also, M/s Optiemus Infracom International Fze, Company incorporated in UAE as a wholly owned subsidiary of the Company got dissolved in the reporting period.
No associate Company was acquired or sold during the year.
In accordance with the provisions of Section 129(3) of the Companies Act, 2013 read with Rule 8 of Companies (Accounts) Rules, 2014, the Company has prepared its consolidated financial statement including all of its subsidiaries, which is forming part of this report.
The highlights of financial position and performance of its subsidiaries are given in the statement containing salient features of the financial statements of the said subsidiaries in Annexure -6 to this report.
In accordance with Section 136 of the Companies Act, 2013, the Annual Report of the Company, containing therein its standalone and the consolidated financial statements has been hosted on the website www.optiemus.com. Further the annual accounts of each of the said subsidiary companies of the Company have also been hosted on the website www.optiemus.com. Any shareholder who may be interested in obtaining a physical copy of the aforesaid documents may write to the Company Secretary. Further, please note that the said documents will be available for examination by the shareholders of the Company at its Registered & Corporate Office during business hours.
The Company has two material unlisted Companies namely M/s Optiemus Electronics Limited and M/s MPS Telecom Private Limited, where material subsidiary is defined in SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015 to mean a subsidiary, whose income or net worth exceeds twenty percent of the consolidated income or net worth respectively, of the listed entity and its subsidiaries in the immediately preceding accounting year.
The Policy for determining âmaterialâ subsidiaries is hosted on the website of the Company under the web link.http://www. optiemus. com/policies.
20. RELATED PARTY TRANSACTIONS
There were no materially significant transactions with Related Parties during the financial year 201617 which were in conflict with the interest of the Company. During the year under reference, However, there were certain transactions with the related parties of the Company executed in ordinary course of business at armâs length. The disclosure of such transactions as required under Companies Act, 2013 attached herewith as Annexure-7. Further, Suitable disclosures as required under AS-18 have been made in Note 32 of the Notes to the financial statements.
The policy on Related Party Transactions as approved by the Board is hosted on the Companyâs website under the web link http://www.optiemus.com/policies
21. SIGNIFICANT AND MATERIAL ORDERS
There are no significant and material order passed by the Regulators or Courts or Tribunals impacting the going concern status and Companyâs operations in future.
22. SHARE CAPITAL
The paid-up equity share capital as on 31 March, 2017 was Rs. 85.81 Crore.
There was no public issue, rights issue, bonus issue, preferential issue or redemption of shares etc. during the year. Also, The Company has not issued shares with differential voting rights or sweat equity shares.With regard to Stock Options, The Company has in its Extra-Ordinary General Meeting held on December 30, 2016, interalia, obtained approval of the shareholders of the Company by way of Special Resolution for approval of âOptiemus Employees Stock Option Scheme 2016â, but the Company has not granted any stock Options during the year.
23. ADEQUACY OF INTERNAL FINANCIAL CONTROLS
The Board reviews the adequacy and effectiveness of the internal finance controls from time to time. The Board, in consultation with the internal Auditors and risk management committee monitors and controls the major financial risk exposures.
24. CORPORATE GOVERNANCE
The Company is committed to maintain the highest standards of Corporate Governance. The Directors adhere to the requirements set out by the Securities and Exchange Board of Indiaâs Corporate Governance Practices and have implemented all the stipulations prescribed.
Pursuant to SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, a separate section titled âCorporate Governanceâ has been included in this annual report, along with the reports on Management Discussion and Analysis.
25. ACKNOWLEDGEMENT
Your Directors wish to express their sincere appreciation for the co-operation and assistance received from the Bankers, Regulatory Authorities, Stakeholders including Customers and other business associates who have extended their valuable support and encouragement during the year under review.
The directors also acknowledge the hard work, dedication and commitment of the employees of the Company. The enthusiasm and unstinting efforts of the employees have enabled the Company to continue being a leading player in the Telecom Industry.
On behalf of the Board of Directors
For Optiemus Infracom Limited
Place : Noida (U.P.) Ashok Gupta
Date : November 11, 2017 Executive Chairman
Mar 31, 2015
Dear Members,
The Directors of your Company are pleased to present the 22nd Annual
Report on the Business and
operations of the Company along with the Audited Accounts for the
financial year ended 31st March, 2015.
1. FINANCIAL SYNOPSIS:
(in Lacs except for EpS)
Particulars Year ended on Year ended on
31.03.2015 31.03.2014
Revenue from Operations 255,647 410,444
Total Expenses 252,023 403,428
Profit before Exceptional &
Extraordinary Items and Tax 4,448 7,670
Exceptional Items - -
Profit Before Tax 4,514 7,670
Tax Expense:
(1) Current Tax 2,097 2,519
(2) Deferred Tax (554) 120
(3) Taxation Adjustment of previous
year (net) 12 20
Profit After Tax 2,960 5,011
Earnings per equity share 3.45 5.84
- figures on standalone basis
2. INFORMATION ON STATE OF AFFAIRS OF THE COMPANY
During the fiscal year, amidst the sturdy Competition in the telecom
Industry, the Company witnessed a bumpy ride throughout the year but
has been constantly endeavoring to sustain itself in the market by
expanding its horizons in other markets. The detailed information on
the state of affair of the Company is covered in the Management
Discussion and Analysis Report forming part of this report.
3. TRANSFER TO RESERVES
The Company is not mandatorily required to transfer its surplus to the
General Reserve as no dividend has been proposed for the year 2014-15.
Hence, current year Profit has been proposed to be retained in the Profit
and Loss Account.
4. DIVIDEND
The Board is of the opinion that the Company should utilize its funds
towards the operations to accelerate the growth rate. Accordingly the
Board does not recommend any dividend payment for the year 2014-15.
5. DEPOSITS
During the year, your Company has not accepted any deposits within the
meaning of the provisions of section 73 of the Companies Act, 2013.
6. MATERIAL ORGANIZATIONAL CHANGES
Though the Telecom sector is rapidly growing and achieving new heights
in Indian economy but the business of Samsung has seen a major decline
during the first half year of 2014.The Market of Samsung mobile was
earlier dominated by organized trade which had an overall share of
nearly 25% of total business volume. Later on, when the Online Channels
showed their presence, they started offering predatory pricing of
Samsung mobile. This resulted in stupendous growth in the business
volume in Online Channel compared to the organized trade and the
organized trade lost its market share by nearly 50%. Since Optiemus
deals only with OT channel, the impact has been most pronounced on us
as well.
There was a continuous decline in the business volume of Samsung
Mobiles from the last one year. This situation arose due to intense
competition by the other brands who started offering the phone of
almost similar configuration at a very competitive price which drove out
the customer away from Samsung Mobiles. Therefore, the sales volume of
Samsung Mobiles faced huge drop in comparison to First Half of previous
year 2013 over the first half of current year 2014, which is
approximately 25-30%. This fact is well known worldwide.
In response to this downfall Optiemus has made serious efforts to shift
its focus from topline business activities to bottom line activities
thereby focusing on its own brand 'Molife' which is potentially capable
to achieve growth in many folds and also to cover up the loss of
revenue occurred in the immediate near future. Keeping its pace with
the market trend, the Company is inclining towards online trade of its
products for wider reach all across the country. Whilst this, Despite
of loss of revenue and decline in sales for the current year 2014-15,
Company has shown positive approach in maintaining its financial affairs
and has maintained increased EBITA level of Rs. 11781 Lacs over the
last year EBITA level, which clearly depicts the measures being put by
your Company towards giving a new strategic Direction to the business,
keeping aligned with the market momentum.
7. EXTRACT OF ANNUAL RETURN
The extract of annual return as provided under sub-section (3) of
section 92 of the Companies Act, 2013, in the prescribed Form MGT-9 is
annexed to this Report as Annexure -1.
8. NUMBER OF MEETINGS OF THE BOARD
There were 9 meetings of the Board held during the year. The Maximum
gap between the two meetings did not exceed 120 days. Detailed
information on Board Meetings is given in Corporate Governance Report.
9. DIRECTORS' RESPONSIBILITY STATEMENT
In pursuance to clause (c) of sub section (3) of section 134 of the
Companies Act, 2013, to the best of their knowledge and belief, the
Directors of your Company hereby confirm that:
(i) in the preparation of the annual accounts, the applicable
accounting standards had been followed along with proper explanation
relating to material departures;
(ii) the directors had selected such accounting policies and applied
them consistently and made judgments and estimates that are reasonable
and prudent so as to give a true and fair view of the state of affairs
of the company at the end of the financial year and of the Profit and
loss of the company for that period;
(iii) the directors had taken proper and sufficient care for the
maintenance of adequate accounting records in accordance with the
provisions of this Act for safeguarding the assets of the company and
for preventing and detecting fraud and other irregularities;
(iv) the directors had prepared the annual accounts on a going concern
basis;
(v) The directors had laid down internal financial controls to be
followed by the company and that such internal financial controls
are adequate and were operating effectively.
(vi) The directors had devised proper systems to ensure compliance with
the provisions of all applicable laws and that such systems were
adequate and operating effectively.
10. PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS UNDER SECTION 186
OF THE COMPANIES ACT, 2013 Details of loans and investments falling
under the provisions of section 186 of the Companies Act, 2013 are
given under Note No. 10 & 11 of the notes to standalone financial
statements.
11. RELATED PARTY TRANSACTIONS
There were no materially significant transactions with Related Parties
during the financial year 2014-15 which were in conflict with the
interest of the Company. During the year under reference, the Company
has not entered into any transaction with any related party, whether
material or not in terms of the section 188 of Companies Act, 2013 and
proviso to revised Clause 49 VII C of the Listing Agreement. Suitable
disclosures as required under AS-18 have been made in Note 25 of the
Notes to the financial statements.
The policy on Related Party Transactions as approved by the Board is
hosted on the Company's website under the web link
http://www.optiemus.com/investor-desk/policies
12. RISK MANAGEMENT FRAMEWORK
To assist the Board in fulfilling its corporate governance oversight
responsibilities with regard to the identification, evaluation and
mitigation of strategic, operational, and in order to timely assess &
thereafter minimize the risk involved, The Risk Management Committee
was implemented which oversees the Risk Management process including
risk identification, impact assessment, effective implementation of the
mitigation plans and Risk reporting. The details of the Risk Management
framework are provided as a part of Management Discussion and Analysis
report.
13. CORPORATE SOCIAL RESPONSIBILITY
Pursuant to section 135 of the Companies Act, 2013 read with the
Companies (Corporate Social Responsibility Policy) Rules, 2014, your
Company approved a policy on CSR which is also hosted on Company's
website under web link http://www.optiemus.com/investor-desk/policies
As a part of CSR initiatives, your Company during the financial year
2014-15 has amongst other activities, undertaken projects in areas of
promoting Education and social & Economic welfare of the society. These
projects are in accordance with schedule VII of the Companies Act,
2013.
The report on CSR is attached as Annexure-2 to this report.
14. DISCLOSURE ON ESTABLISHMENT OF VIGIL MECHANISM
Section 177(9) of Companies Act, 2013 and clause 49 of the Listing
Agreement, inter alia, provides for a mandatory requirement for all
listed companies to establish a mechanism called, 'Whistle Blower
Policy' for employees to report to the management, instances of
unethical behavior, actual or suspected, fraud or violation of the
company's, code of conduct.
In compliance of the above requirements, your Company has established a
Vigil (Whistle Blower) Mechanism and formulated a Policy which aims to
provide a channel to the Directors and employees to report genuine
concerns about unethical behavior, actual or suspected fraud or
violation of the Codes of Conduct or policy. The Vigil (Whistle Blower)
Mechanism is committed to adhere to the highest standards of ethical,
moral and legal conduct of business operations and in order to maintain
these standards, the Company encourages its employees who have genuine
concerns about suspected misconduct to come forward and express these
concerns without fear of punishment or unfair treatment.
Further, Your Company hereby affirms that no Director/ employee has been
denied access to the Chairman of the Audit Committee and that no
complaints were received during the year.
The Policy is hosted on the Company's website under web link
http://www.optiemus.com/investor-desk/ policies
15. DIRECTORS & KEY MANAGERIAL PERSONNEL
Non-Executive Directors
Pursuant to section 149(4) of the Companies Act, 2013, every listed
company is required to appoint at least one third of its directors as
independent directors. The Board already has one half of its directors
in the category of independent directors in terms of clause 49 of the
Listing Agreement. The Board appointed the existing independent
directors under clause 49 as 'Independent directors' pursuant to
Companies Act, 2013 as well. The members at the annual general meeting
held on 30th September, 2014, approved the appointment of the existing
independent directors for a term of 5 years effective from 1st April
2014. There was no change in the composition of Independent Directors
of the Company.
Independent Directors of the Company as on this date are:
Mr. Gautam Kanjilal
Mr. Tejendra pal Singh Josen
Mr. Charan Singh Gupta
The Company has received Certificate of Independence from all
Independent Directors, inter-alia, pursuant to Section 149 of the
Companies Act, 2013, confirming and certifying that they have complied
with all the requirements of being an Independent Director of the
Company.
Other than Independent Directors, Mrs. Renu Gupta, a Non-Executive
woman Director was also appointed on the Board in 2014-15 whose
appointment was ratified by the shareholders at the 21st Annual General
Meeting held on September 30, 2014.
In pursuance of section 164(2) read with the Companies (Appointment and
Qualification of Directors) rules 2014, Mrs. Gupta has submitted her
declaration to the effect that she is not disqualified from being
re-appointed as a Director.
There were no pecuniary transactions or relationship of the
Non-Executive Directors vis-Ã -vis the company.
Executive Directors
As on the date of report, your Company has three (3) executive
Directors, namely, Mr. RavinderZutshi, Mr. Ashok Gupta and Mr. Hardip
Singh. The brief profile of each Director is provided in the Corporate
Governance Report forming part of this annual report.
During the period under preview, Mr. Ashok Gupta stepped down from the
position of Managing Director w.e.f. August 17, 2015 while continuing
on the board as Executive Director and Chairman of the Company. Mr.
Ravinder Zutshi, who was appointed as Additional Director, assumed the
office of Managing Director w.e.f. July 31, 2015.
However, the appointment of Mr. Zutshi is subject to the ratification by
the shareholders. The resolution for regularization & ratification is
put for approval of the Shareholders in the notice of ensuing Annual
General Meeting.
In accordance with section 152(6) of the Companies Act, 2013, the
period of office of at least two- third Directors of the Company shall
be liable to retire by rotation. Hence, pursuant to change in the
composition of the Board with the appointment of Mr. Zutshi, and
thereby, to align the composition in compliance with the provisions of
Section 152 of the Companies Act, 2013, it is proposed that the terms
of appointment of Mr. Ashok Gupta be amended to provide that his office
shall be liable to retire by rotation.
In light of the provisions of the Companies Act, 2013, Mr. Hardip Singh
retires from the Board by rotation this year and being eligible, offers
himself for re-appointment. The information as required to be disclosed
under clause 49 of the Listing Agreement in case of re-appointment of
the director is provided in the Notice of the ensuing annual general
meeting.
Inter-se relationship of Directors
Mrs. Renu Gupta, Non-Executive Director is a relative of Mr. Ashok
Gupta, Executive Chairman of the Company. No other Directors are
related to each other.
key managerial personnel
Pursuant to section 203 of the Companies Act, 2013, following officers
are the Key Managerial Personnel of the Company:
Mr. Ravinder Zutshi, Managing Director
Mr. Hardip Singh, Whole Time Director
Mr. Vikas Chandra, Company Secretary & Compliance Officer
Mr. Parveen Sharma, Chief Financial Officer
During the reporting year, Mr. Ravinder Zutshi was appointed as
Managing Director and subsequently Key Managerial Personnel in place of
Mr. Ashok Gupta.
The Board affrms the Compliances with the code of Conduct set out for
Board, Senior Management and other employees. A declaration to affrm
the compliance of code of Conduct is attached with the Annual Report as
a part of Corporate Governance Report.
Selection and Appointment of Directors
The charter of Nomination and Remuneration Committee of the Board
empowers it to review the structure, size, composition, and diversity
of the Board, evaluation of existing skills, defning gaps and making
necessary recommendations to the Board.
Board Evaluation
Pursuant to the provisions of the Companies Act, 2013 and revised
Clause 49 of the Listing Agreement, the Board has carried out an annual
evaluation of its performance, of the Directors individually as well as
the evaluation of the working of its Committees. Manner in which such
formal annual evaluation was made by the Board is given below:
- Performance evaluation criteria for Board, Committees of the Board
and Directors were approved by the Board at its meeting held on 14th
August, 2014. The criteria are placed on the Company's website
www.optiemus.com under the web link
http://www.optiemus.com/investor-desk/policies as a part of Company's
Nomination & Remuneration Committee Policy.
- Based on the criteria a structured questionnaire was prepared after
taking into consideration inter- alia the inputs received from the
Directors (except for the director being evaluated) for the year under
review. The structured questionnaire covered various aspects of the
Board's functioning such as strategic alignment and direction,
engagement alignment, composition and structure, dynamics and culture,
ethical leadership and corporate citizenship, support to the Board,
Committees evaluation and self-evaluation etc.
- The Ratings for Non-Independent Directors were given by the
Independent Directors. The ratings for Independent Directors were given
by all the Directors excluding the Independent Director being
evaluated. The Ratings for performance of Committee was given by the
entire Board.
- A consolidated summary of the ratings given by each of the directors
was then prepared separately for Independent & Non-Independent
Directors, based on which a report of performance evaluation was
prepared in respect of the performance of the Board, its Committees and
Directors during the year under review.
- The report of performance evaluation so arrived at was then noted and
discussed by the Nomination and Remuneration Committee and Board at
their respective meetings.
- In pursuance of the Clause 49 of the Listing Agreement, as per the
report of performance evaluation, the Board has to determine, inter
alia, whether to continue the term of appointment of the independent
director. During the year under review, there was no occasion to decide
on the continuance of the term of appointment of any of the independent
directors and hence the question of taking a decision on their
re-appointment did not arise.
The performance evaluation of individual Directors including Chairman
of the Board was done in accordance with the provisions of the
Companies Act, 2013 and revised Clause 49 of the Listing Agreement and
also based on the structured questionnaire mentioned above.
Familiarizing programme for Independent Directors
The Company had provided Suitable Training and guidance to Independent
Directors to familiarize them with the company , their roles, rights,
responsibilities in the company, and also to understand the nature of
Industry in which company operates and business activities etc. of the
company.
Wherein, the Company held various familiarization programmes for the
Independent Directors throughout the year on an ongoing and continuous
basis. Some of the familiarization programmes carried out during the
year was as under:- - Various presentations were made by business heads
of the Company and its various subsidiaries from time to time on
different functions and areas.
- Deliberations were held and presentations were made from time to time
on major developments in the areas of the new Companies Act, 2013, the
new clause 49 of the Listing Agreement and other applicable laws.
16. PARTICULARS OF EMPLOYEES AND OTHER DISCLOSURES
Disclosures pertaining to remuneration and other details as required
under Section 197(12) of the Companies Act, 2013 read with Rule 5(1) of
the Companies (Appointment and Remuneration of Managerial Personnel)
Rules, 2014 are provided in the Annexure-3 forming part of the Annual
Report. There are no employees drawing remuneration in excess of the
limits set out in the said Rules during the financial year apart from
Mr. Ashok Gupta, Executive Chairman. The details of his remuneration is
given in MGT-9 as annexed to this report under Annexure-1.
17. AUDITORS
Statutory Auditors
Pursuant to the provisions of section 139 of the Companies Act, 2013
and the Rules made thereunder, the current Statutory Auditors of the
Company, M/s RMA & Associates, Chartered Accountants (registration
number: 000978N) were appointed by the shareholders at the 21st annual
general meeting to hold office until the conclusion of the 25th annual
general meeting, subject to ratification by shareholders at each annual
general meeting.
Thus, the members are requested to ratify the appointment of M/s RMA &
Associates, Chartered Accountants (registration number: 000978N) as
statutory auditors of the Company and to fix their remuneration for the
year 2015-16.
In compliance with section 139 of the Companies Act, 2013, the Auditors
have given the Certificate of eligibility for being re-appointed. Also,
as required under revised Clause 41 (I) (h) of the Listing Agreement,
the Statutory Auditors have confirmed that they have subjected
themselves to the peer review process of the Institute of Chartered
Accountants of India (ICAI) and that they hold a valid certificate
issued by the Peer Review Board of ICAI.
The statutory audit report does not contain any qualification,
reservation or adverse remark or disclaimer made by statutory auditors.
The Auditors did not report any fraud during the year.
Secretarial Auditor
Pursuant to the provisions of section 204 of the Companies Act, 2013
and Rules made hereunder, the Company appointed M/s S K Batra &
Associates, Company Secretaries in Practice (Membership number: 7714,
C.P. No. 8072), to undertake the secretarial audit of the Company.
Secretarial Audit Report for the financial year 2014-15 as given by M/s
S.K.Batra & Associates in the prescribed form MR-3 is annexed to this
Report as Annexure -4
The Secretarial Audit Report for the year under review does not contain
any qualification, reservation or adverse remark or disclaimer made by
the secretarial auditor.
18. DISCLOSURE UNDER SEXUAL HARASSMENT OF WOMEN AT WORKPLACE
(PREVENTION, PROHIBITION & REDRESSAL) ACT, 2013
The Company has in place an Anti-Sexual Harassment Policy in line with
the requirements, inter-alia, of The Sexual Harassment of Women at
Workplace (Prevention, Prohibition and Redressal) Act, 2013. An
Internal Committee has been set up to redress complaints received
regarding sexual harassment. All employees (permanent, contractual,
temporary and trainees) are covered under this policy.
The following is a summary of sexual harassment complaints received and
disposed off during the Financial Year 2014-15:
- No. of complaints received : Nil
- No. of complaints disposed off : Nil
19. PARTICULARS OF CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND
FOREIGN EXCHANGE EARNINGS AND OUTGO
Conservation of Energy
Considering the nature of business of the Company, energy does not form
a significant portion of the cost for the Company yet wherever possible
and feasible, continuous efforts are being put for conservation of
energy and minimizing power cost. However, Capital expenditure on
energy conservation equipment is not required, keeping in view the
normal energy consumption in the business activity of the Company.
Various Steps are being taken for conservation of energy and using
alternate sources of energy, to name a few:
- Advocating switching off of lights and ACs when not required, turning
off of PCs when not in use, setting higher temperatures on air
conditioners etc to reduce consumption.
- Installed various energy saving electrical devices for saving energy.
- Puts control on usage of other electrical equipments.
Technology absorption
Taking into consideration the nature of Business of Company, No
technology is being used.
Foreign exchange earnings and Outgo
The Company has continued to maintain focus on and avail of export
opportunities based on economic considerations. During the year the
Company has exports (FOB value) worth Rs. 76,104 lacs.
Foreign Exchange Earning & Outgo details are as follows:
20. SUBSIDIARIES
As on 31st March 2015, the Company has fve unlisted subsidiaries,
namely,
i. Oneworld Teleservices Private Limited
ii. Kishore Exports India Private Limited
iii. Optiemus Infracom (Singapore) Pte. Limited
iv. Optiemus Metals & Mining Pte. Limited
v. Optiemus Infracom International FZE
During the year under purview, The Company acquired additional 40%
stake in Kishore Exports India Private Limited, apart from the 50%
stake already held, thereby, making it Subsidiary of your Company.
In accordance with the provisions of Section 129(3) of the Companies
Act, 2013 read with Rule 8 of Companies (Accounts) Rules, 2014, the
Company has prepared its consolidated financial statement including all
of its subsidiaries, which is forming part of this report.
The financial position and performance of its subsidiaries are given in
the statement containing salient features of the financial statements of
the said subsidiaries in Annexure -5 to this report. In accordance with
Section 136 of the Companies Act, 2013, the Annual Report of the
company, containing therein its standalone and the consolidated
financial statements has been hosted on the website www.optiemus. com.
Further the annual accounts of each of the said subsidiary companies of
the Company have also been hosted on the website www.optiemus.com.
Any shareholder who may be interested in obtaining a physical copy of
the aforesaid documents may write to the Company Secretary at the
Company's Registered Office. Further, please note that the said
documents will be available for examination by the shareholders of the
Company at its Registered Office during business hours.
The Company does not have any material unlisted Company as defned under
Clause 49 of the Listing Agreement. The Policy for determining
'material' subsidiaries is hosted on the website of the Company under
the web link http://www.optiemus.com/investor-desk/policies
21. SIGNIFICANT AND MATERIAL ORDERS
There are no significant and material order passed by the Regulators or
Courts or Tribunals impacting the going concern status and Company's
operations in future.
22. SHARE CAPITAL
The paid-up equity share capital as on 31st March 2015 was Rs.
85.81Crore.
There was no public issue, rights issue, bonus issue, preferential
issue or redemption of shares etc. during the year. Also, The Company
has not issued shares with differential voting rights, sweat equity
shares nor has it granted any stock options.
23. ADEQuACY OF INTERNAL FINANCIAL CONTROLS
The Board reviews the adequacy and effectiveness of the internal finance
controls from time to time. The Board, in consultation with the
internal Auditors and risk management committee monitors and controls
the major financial risk exposures.
24. CORPORATE GOVERNANCE
The Company is committed to maintain the highest standards of Corporate
Governance. The Directors adhere to the requirements set out by the
Securities and Exchange Board of India's Corporate Governance Practices
and have implemented all the stipulations prescribed.
Pursuant to clause 49 of the listing agreement with stock exchanges, a
separate section titled 'Corporate Governance' has been included in
this annual report, along with the reports on Management Discussion and
Analysis.
25. ACKNOWLEDGEMENT
Your Directors wish to express their sincere appreciation for the
co-operation and assistance received from the Bankers, Regulatory
Authorities, Stakeholders including Customers and other business
associates who have extended their valuable support and encouragement
during the year under review.
The directors also acknowledge the hard work, dedication and commitment
of the employees of the Company. The enthusiasm and unstinting efforts
of the employees have enabled the Company to continue being a leading
player in the Retail Sector.
On behalf of the Board of Directors
For Optiemus Infracom Limited
Place : New Delhi Ashok Gupta
Date : September 2, 2015 Executive Chairman
Mar 31, 2014
Dear Members,
The Directors of your Company are pleased to present the 21st Annual
Report on the Business and operations of the Company along with the
Audited Accounts for the financial year ended 31st March, 2014.
1. PRESENTATION OF FINANCIAL RESULTS
Since this Report pertains to financial year that commenced prior to
1st April 2014, the contents therein are governed by the relevant
provisions/schedules/rules of the Companies Act, 1956, in compliance
with General Circular No. 08/2014 dated 4th April 2014, issued by the
Ministry of Corporate Affairs.
2. FINANCIAL HIGHLIGHTS:
Particulars Year ended on Year ended on
31.03.2014 31.03.2013
(Rs. in Lakh) (Rs. in Lakh)
Revenue from Operations 410,444 283,157
Profit before Exceptional 7,670 4,780
& Extraordinary Items and Tax
Profit Before Tax 7,670 4,722
Tax Expense:
(1) Current Tax 2,519 1,584
(2) Deferred Tax 120 30
(3) Taxation Adjustment of 20 47
previous year (net)
Profit After Tax 5011 3061
Earnings per equity share 5.84 3.57
* Above figures are on standalone basis
3. OPERATIONS
Your Company has delivered magnificent operating results in the
financial year 2013-14. During the year under review, your company
achieved yet another milestone as turnover touched an all time high of
Rs. 410,444 lacs achieving a spectacular growth of 44.95% over the last
year''s turnover. The management of the Company is committed to maximize
the shareholders value.
4. TRANSFER TO RESERVES
The Company is not mandatorily required to transfer its surplus to the
General Reserve as no dividend has been proposed for the year 2013-14.
Hence, an amount of Rs. 5,011 Lacs (Previous year Rs. 3,061 Lacs) has
been proposed to be retained in the Profit and Loss Account.
5. DIVIDEND
The Board is of the opinion that the Company should utilize its funds
towards the operations to accelerate the growth rate. Accordingly the
Board does not recommend any dividend payment for the year 2013-14.
6. CREDIT RATING
CRISIL has upgraded its rating from ''Moderate'' to ''Stable'' while
affirming ''CRISIL A-'' (read as CRISIL A minus) rating of your Company
for Cash Credit Limit, Bill Discounting, Cash Credit & Working Capital
Demand Loan and for Term Loan Facilities and ''CRISIL A2 '' (read as
CRISIL A Two plus) rating for Letter of Credit Limit & for Supplier
Bill Discounting. This gives the Company better creditability and
enables to access banking services at low costs.
7. CORPORATE SOCIAL RESPONSIBILITY
The Companies Act, 2013 notified section 135 of the Act concerning
Corporate Social Responsibility (CSR) alongwith the Rules thereunder
and revised Schedule VII to the Act on 27th February 2014 to come into
effect from 1st April 2014.The Company being covered under the
provisions of the said section, has taken necessary initial steps in
this regard. A Committee of the directors, titled ''Corporate Social
Responsibility Committee'', has been formed by the Board consisting of
the following Directors -
1. Charan Singh Gupta, Chairman
2. Gautam Kanjilal, Member
3. Hardip Singh, Member
The Committee is in process to formulate its CSR policy for the
Company.
The said section being enacted w.e.f 1st April 2014, necessary details
as required under the provisions of Companies Act 2013 shall be
presented to the members in the Annual Report for the year 2014-15.
8. ORGANISATIONAL CHANGES
Directors
The Board of Directors of your Company uses their expertise to provide
a strategic direction to the business of the Company. On these lines,
during the year under review, Mr. Charan Singh Gupta was appointed as
an Additional Director in the category of Independent Director of the
Company to hold office upto the date of the ensuing Annual General
Meeting (AGM) of the Company.
Mrs. Renu Gupta was also appointed as an Additional Director in the
category of Non-Executive Director of the Company to hold office upto
the date of the ensuing Annual General Meeting (AGM) of the Company. On
appointment of Mrs. Renu Gupta, the provisions of section 149(1) of the
Companies Act, 2013 of having at least one woman director on the Board
of the Company, stand complied.
Resolutions for regularization of Mr. Charan Singh Gupta & Mrs. Renu
Gupta is put up for the approval of shareholders in the Notice of AGM.
As per Section 152(6)(c) of the Companies Act, 2013, Mr. Gautam
Kanjilal has now become a retiring director, thus Mr. Gautam Kanjilal
retires from the Board by rotation this year and being eligible, offers
himself for re-appointment. Board recommends his re-appointment for
your approval.
Pursuant to section 149(4) of the Companies Act, 2013, every listed
company is required to appoint at least one third of its directors as
independent directors. The Board already has one half of its directors
in the category of independent directors in terms of the provisions of
clause 49 of the listing agreement. The Board therefore, in its meeting
held on 30th May, 2014 appointed the existing independent directors
under clause 49 as ''independent directors'' pursuant to Companies Act,
2013, subject to approval of shareholders.
As required under the said Act and the Rules made thereunder, the same
is now put up for approval of shareholders at the ensuing annual
general meeting. Necessary details have been annexed to the Notice of
the meeting in terms of section 102(1) of the Companies Act, 2013. With
the appointment of independent directors, the conditions specified in
the Act and the Rules made thereunder as also under new clause 49 of
the listing agreement stand complied.
Information about the directors proposed to be appointed/re-appointed
such as their experience, terms & conditions, etc. as required under
clause 49 is being given in the Notice of the Annual General Meeting
forming part of this annual report.
In accordance with Section 152(6) of the Companies Act, 2013, the
period of office of at least two-third Directors of the Company shall
be liable to retire by rotation. Since the provisions of Section 152(6)
are not applicable to Independent Directors, to ensure compliance with
the provisions of Section 152(6), it is proposed that the terms of
appointment of Mr. Hardip Singh be amended to provide that his office
shall be liable to retire by rotation as per the provisions of Section
152(6) of the Companies Act, 2013.
During the year under review Mrs. Parul Rai''s ceased to be director of
the Company w.e.f. 30th May, 2014 due to the remaining absent from
consecutive three Meetings of the Board.
Key Managerial Personnel
In the light of provisions of section 203 of Companies Act 2013 along
with the rules made there under, the following persons have been
appointed as Key Managerial Personnel of the Company:
Mr. Ashok Gupta, Managing Director
Mr. Hardip Singh, Whole Time Director
Mr. Parveen Sharma, Chief Financial Officer
Mr. Vikas Chandra, Company Secretary
9. INCREASE IN BORROWING POWER OF THE COMPANY
For expansion in business and growth, your Company has increased its
borrowing power upto an amount not exceeding Rs. 4,000,000,000 (Rupees
four hundred crores only) by passing a special resolution under section
180(1)(c) of the Companies Act, 2013, and any sum(s) may be borrowed by
the Company within the said limit, from time to time, as may be deemed
fit, including the sum(s) already borrowed.
10. SUBSIDIARIES
Following are the subsidiary Companies of your Company as at 31st
March, 2014 Indian Subsidiaries:
* Oneworld Teleservices Private Limited overseas Subsidiaries:
* Optiemus Infracom (Singapore) Pte. Ltd, Singapore
* Optiemus Metals & Mining Pte. Ltd, Singapore
* Optiemus Infracom International FZE, Dubai
Further, Ministry of Corporate Affairs, vide its circular no. 2/2011
dated 8th February, 2011 has given general exemption from attaching the
Balance Sheet, Profit and Loss Account and other documents of the
subsidiary companies with the Balance Sheet of the Company, subject to
fulfilment of conditions mentioned therein. The Company has fulfilled
the necessary conditions in this regard and hence not attaching the
Balance Sheet, Profit and Loss Account and other documents of the
subsidiary companies.
A summary of key financials of the Company''s subsidiaries for the
financial year ended 31st March, 2014 is included in this Annual
Report. The annual accounts of the subsidiary companies and the related
detailed information will be made available to the members of the
Company and its subsidiary companies, seeking such information at any
point of time. The annual accounts of the subsidiary companies will be
kept for inspection by any member of the Company at its registered
office and also at the registered office of the concerned subsidiary
company.
11. CONSOLIDATED FINANCIAL STATEMENTS
The Directors also present the audited consolidated financial
statements financial statements incorporating the financial statements
of the subsidiaries as prepared in compliance with the accounting
standards and listing agreement.
12. AUDITORS AND THEIR REPORT
M/s RMA & Associates, Chartered Accountants, the Statutory Auditors of
the Company, hold office until the ensuing Annual General Meeting
(AGM). The said Auditors have furnished the Certificate of their
eligibility for re-appointment. Pursuant to the provisions of Section
139 of the Companies Act, 2013 and the Rules framed thereunder, it is
proposed to appoint M/s RMA & Associates, Chartered Accountants, as
Statutory Auditors of the Company from the conclusion of the
forthcoming AGM till the conclusion of the 25th AGM to be held in the
year 2018, subject to ratification of their appointment at the
subsequent AGMs each year till the expiry of their term.
The notes on accounts referred to in the Auditors'' Report are
self-explanatory and therefore do not call for any comments by the
Board of Directors.
In conformity with the provisions of Clause 32 of the Listing
Agreement, the Cash Flow Statement for the year ended on 31st March
2014 is attached as a part of the Annual Accounts of the Company.
The disclosures related to related party transactions also form part of
the notes on accounts.
There are no qualifications or adverse remarks in the Auditors'' Report,
which require any clarification or explanation under section 217 of the
Companies Act, 1956.
13. CORPORATE GOVERNANCE
The Company is committed to maintain the highest standards of Corporate
Governance. The Directors adhere to the requirements set out by the
Securities and Exchange Board of India''s Corporate Governance Practices
and have implemented all the stipulations prescribed.
Pursuant to clause 49 of the listing agreement with stock exchanges, a
separate section titled ''Corporate Governance'' has been included in
this annual report, along with the reports on Management Discussion and
Analysis.
14. CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, ADAPTION AND
INNOVATION, FOREIGN EXCHANGE EARNINGS AND OUTGO
The particulars as prescribed under section 217(1)(e) of the companies
Act, 1956, read with the Companies (Disclosure of particulars in the
report of Board of Director s) Rules, 1988 are set out in an "Annexure
A" attached to this report.
15. PARTICULARS OF EMPLOYEES
As required particulars of employees pursuant to section 217(2A) of the
Companies Act, 1956, read with Companies (Particulars of Employees)
Rules 1975, as amended from time to time, during the year ended 31st
March 2014 are set out in an "Annexure B" to this report.
16. DIRECTORS'' RESPONSIBILITY STATEMENT
Pursuant to the requirement under Section 217(2AA), with respect to the
Directors'' Responsibility Statement, the Directors hereby confirm that:
(i) in the preparation of the annual accounts, the applicable
accounting standards have been followed and that no material departures
have been made from the same;
(ii) they have selected such accounting policies and applied them
consistently and made judgments and estimates that are reasonable and
prudent so as to give a true and fair view of the state of affairs of
the company at the end of the financial year and of the profit or loss
of the company for that period;
(iii) they have taken proper and sufficient care for the maintenance of
adequate accounting records in accordance with the provisions of the
Companies Act, 1956 for safeguarding the assets of the company and for
preventing and detecting fraud and other irregularities;
(iv) they have prepared the annual accounts on a going concern basis.
17. ACKNOWLEDGEMENT
Your Directors wish to express their sincere appreciation for the
co-operation and assistance received from the Bankers, Regulatory
Authorities, Stakeholders including Customers and other business
associates who have extended their valuable support and encouragement
during the year under review.
The directors also acknowledge the hard work, dedication and commitment
of the employees of the Company. The enthusiasm and unstinting efforts
of the employees have enabled the Company to continue being a leading
player in the Retail Sector.
On behalf of the Board of Directors
For Optiemus Infracom Limited
Sd/-
Place : New Delhi Ashok Gupta
Date : August 14, 2014 Chairman & Managing Director
Mar 31, 2013
Dear Members
The Directors have great pleasure in presenting the 20th Annual Report
on the business and operation of Optiemus Infracom Limited together
with audited statements of accounts for the fnancial year ended 31st
March 2013.
FINANCIAL RESULTS
The Board of Directors is pleased to state that during the year ended
on 31st March 2013, your Company has posted an inspiring growth and its
performances are noteworthy. The fnancial performance of the Company
for the year ended 31st March 2013 is summarized below:
Particulars Year ended on Year ended on
31.03.2013 31.03.2012
(Rs. in Lakh) (Rs. in Lakh)
Revenue from Operations 283,157 185,455
Proft before Exceptional &
Extraordinary Items and Tax 4,783 4,047
Exceptional Items 58 ----
Proft Before Tax 4,725 4,047
Tax Expense:
(1) Current Tax 1,584 1,297
(2) Deferred Tax 30 (7)
(3) Wealth Tax 2 3
(4) Taxation Adjustment of
previous year (net) 47 (60)
Proft After Tax 3,062 2,813
Earnings per equity share 3.57 3.28
OPERATIoNS
During the year under reporting, your company achieved another
milestone as turnover touched an all time high of Rs. 283,499 Lacs as
compare to Rs. 185,686 Lacs for the previous year registering a growth
of 52.68%. The management of the Company is committed to maximize the
shareholders value.
TRANSFER To RESERVES
The Company is not mandatorily required to transfer its surplus to the
General Reserve as no dividend has been proposed for the year 2012-13.
Hence, an amount of Rs. 3,062 Lacs (Previous year Rs. 2,813 Lacs) has
been proposed to be retained in the Proft and Loss Account.
DIVIDEND
The Board is of the view that the Company should utilize its funds
towards the operations to accelerate the growth rate. Accordingly the
Board does not recommend any dividend payment for the year 2012-13.
PUBLIC DEPoSITS
Your Company has neither invited nor accepted any deposits from public
within the meaning of Section 58A and 58AA of the Companies Act, 1956
read with Companies (Acceptance of Deposit) Rules, 1975 during the year
under review.
SHARE CAPITAL
During the year, there was no change in the authorised, issued,
subscribed and paid-up equity share capital of the Company which stood
at Rs. 858,141,910 (Rupees Eighty Five Crore Eighty One Lacs Forty One
Thousand Nine Hundred and Ten only) divided into 85,814,191 (Eight
Crore Fifty Eight Lacs Fourteen Thousand One Hundred and Ninety One
only) equity shares of Rs. 10/- (Rupees Ten only) each as at 31st March
2013.
DIRECToRS
During the year under review, following changes took place in the offce
of Directors of the Company:
Mr. Manoj Kumar Jain and Mr. Laliet Gupta have resigned from the post
of the Director of the Company w.e.f. 28th December, 2012 and 8th
April, 2013 respectively. The Board of Directors places on record its
sincere appreciation for the guidance and contribution provided by them
to the Company during their tenure as Directors of the Company.
Further, on 27th May, 2013, Mr. Tejendra Pal Singh Josen was appointed
as additional director by the Board in the category of Independent
Director and will hold the offce upto the date of ensuing Annual
General Meeting. Board proposes to regularize him as Director in the
forthcoming Annual General Meeting.
As per Section 255 and 256 of the Companies Act, 1956, Mrs. Parul Rai
is the Director liable to retire by rotation and, being eligible,
offers herself for re-appointment at the ensuing Annual General
Meeting. Board recommends her re-appointment for your approval.
Information about the directors proposed to be appointed/re-appointed
such as their experience, term & conditions, etc. as required under
clause 49 is being given in the Notice of the Annual General Meeting
forming part of this annual report.
The Company also has Audit Committee which is constituted as per
requirement of Section 292A of the Companies Act, 1956 and Clause 49 of
Listing Agreement. Audit Committee has 3 members out of which 2 are
Independent Directors and one is Executive Director. Chairman of Audit
Committee is Independent Director.
SUBSIDIARIES
As on 31st March, 2013, the Company has one wholly owned subsidiary and
one fellow subsidiary in Singapore namely Optiemus Infracom (Singapore)
Pte. Ltd. and Optiemus Metals & Mining Pte. Ltd. respectively.
Consolidated Accounts of its subsidiaries for the year under review has
also been drawn in accordance with applicable accounting standards.
PARTICULARS REQUIRED AS PER SECTIoN 212 oF THE CoMPANIES ACT, 1956
Ministry of Corporate Affairs, vide its circular dated 8th February
2011 has granted general exemption from attaching the Balance Sheet,
Proft and Loss Account and other documents of the subsidiary companies
with the Balance Sheet of the Company.
Board of Directors of the company in its meeting held on 12th April,
2012 consented for not attaching the balance sheet of the subsidiary
companies. A statement containing brief fnancial details of the
Company''s subsidiaries for the fnancial year ended 31st March 2013 is
included in the Annual Report. The annual accounts of these
subsidiaries and the related detailed information will be made
available to any member of the Company/its subsidiaries seeking such
information at any point of time and are also available for inspection
by any member of the Company/its subsidiaries at the registered offce
of the Company. The annual accounts of the said subsidiaries will also
be available for inspection, as above, at the head offces/ registered
offces of the respective subsidiary companies. The Company shall
furnish a copy of details of annual accounts of subsidiaries to any
member on demand.
Further, the annual report of the Company contains the consolidated
audited fnancial statements prepared, pursuant to Clause 41 of the
Listing Agreement entered into with the stock exchanges and prepared in
accordance with the accounting standards notifed by Ministry of
Corporate Affairs under Accounting Standard Rules 2006. The fnancial
data of the subsidiaries has been furnished along with the statement
pursuant to Section 212 of the Companies Act, 1956 forming part of the
Annual Report.
CoNSoLIDATED FINANCIAL STATEMENTS
As required under the Listing Agreements with the Stock Exchanges
Consolidated Financial Statements of the Company and all its
subsidiaries are attached. The consolidated Financial statements have
been prepared in accordance with Accounting standard 21 ,Accounting
standard 23 and Accounting standard 27 issued by The Institute of
Chartered Accountants of India and showing the fnancial resources,
assets, liabilities, income, profts and other details of the Company
and its subsidiaries as a single entity, after elimination of minority
interest.
AUDIToRS AND THEIR REPoRT
M/s RMA & Associates, Chartered Accountants (Registration No.:
000978N), who are the Statutory Auditors of the Company, shall hold
offce until the conclusion of the ensuing Annual General Meeting and
are eligible for re-appointment.
The Company has received a letter from them to the effect that their
reappointment, if made, would be within the prescribed limits under
Section 224(1B) of the Companies Act, 1956 and that they are not
disqualifed for reappointment within the meaning of Section 226 of the
said Act. The approval of the shareholders is sought for this
resolution.
The notes on accounts referred to in the auditors'' report are
self-explanatory and therefore do not call for any further comments by
the Board of directors.
There are no qualifcations or adverse remarks in the Auditors'' Report
which require any clarifcation or explanation under Section 217(3) of
the Companies Act, 1956.
CoRPoRATE GoVERNANCE
The Company is committed to maintain the highest standards of Corporate
Governance. The Directors adhere to the requirements set out by the
Securities and Exchange Board of India''s Corporate Governance Practices
and have implemented all the stipulations prescribed.
A separate section on Corporate Governance together with a certifcate
from the Company''s auditors confrming the compliance of conditions of
Corporate Governance as stipulated in Clause 49 of the listing
agreement with the Stock Exchanges is annexed hereto.
MANAGEMENT DISCUSSIoN AND ANALYSIS REPoRT
Management Discussion and Analysis Report as required under Clause 49
of the Listing Agreement is given in Annexure-A and forms an integral
part of this report.
CoDE oF CoNDUCT
As per Clause 49(I)(D) of the Listing Agreement, the Board of the
Company has laid down Code of Conduct for all the Board members of the
Company and Senior Management as well and the same has been posted on
Website of the Company. Annual Compliance Report for the year ended
31st March 2013 has been received from all the Board members and senior
management of the Company regarding the compliance of all the
provisions of Code of Conduct. Declaration regarding compliance by
Board members and senior management personnel with the Company''s Code
of Conduct is hereby attached as annexure to this report.
CoNSERVATIoN oF ENERGY, TECHNoLoGY ABSoRPTIoN, ADoPTIoN AND INNoVATIoN,
FoREIGN EXCHANGE EARNINGS AND oUTGo
The particulars as prescribed under section 217(1)(e) of the companies
Act, 1956, read with the Companies (Disclosure of particulars in the
report of Board of Director s) Rules, 1988 are set out in an "Annexure
A" attached to this report.
PARTICULARS oF EMPLoYEES
The particulars of employees pursuant to section 217(2A) of the
Companies Act, 1956, read with Companies (Particulars of Employees)
Rules 1975, as amended from time to time, during the year ended 31st
March 2013 are set out in an "Annexure B" to this report.
DIRECToRS'' RESPoNSIBILITY STATEMENT
Pursuant to the requirement under Section 217(2AA), with respect to the
Directors'' Responsibility Statement, the Directors hereby confrm that:
(i) in the preparation of the annual accounts, the applicable
accounting standards have been followed and that no material departures
have been made from the same;
(ii) they have selected such accounting policies and applied them
consistently and made judgments and estimates that are reasonable and
prudent so as to give a true and fair view of the state of affairs of
the company at the end of the fnancial year and of the proft or loss of
the company for that period;
(iii) they have taken proper and suffcient care for the maintenance of
adequate accounting records in accordance with the provisions of the
Companies Act, 1956 for safeguarding the assets of the company and for
preventing and detecting fraud and other irregularities;
(iv) they have prepared the annual accounts on a going concern basis.
HUMAN RESoURCE MANAGEMENT
Employees are our vital and most valuable assets. We have created a
favourable work environment that encourages innovation and meritocracy.
We have also set up a scalable recruitment and human resources
management process which enables us to attract and retain high caliber
employees. Our employee partnership ethos refects the Company''s
longstanding business principles and drives the Company''s overall
performance with the prime focus to identify, assess, groom and build
leadership potential for future.
CASH FLoW STATEMENT
In conformity with the provisions of Clause 32 of the Listing
Agreement, the Cash Flow Statement for the year ended on 31st March
2013 is attached as a part of the Annual Accounts of the Company.
INTERNAL CoNTRoL SYSTEMS AND THEIR ADEQUACY
The Company''s internal control system comprises audit and compliance
in-house supplemented by internal audit checks. In view of the
diversifed activities, safety of large volumes of data, system and
process is a challenge for the Company. The Company has an internal
control mechanism to fnd the areas of internal control weaknesses and
to take remedial measures to remove the defciencies, wherever noticed
and at the same time to identify the areas of strength and to ensure
continual of the same.
To ensure effciency of the Internal Audit, the Audit Committee of the
Board is kept apprised of such checks and follow-up measures taken.
TSHARE REGISTRATIoN ACTIVITY
Company has appointed "BEETAL Financial & Computer Services (P)
Limited" a category-I Registrar and Share Transfer Agent registered
with SEBI to handle the work related to Share Registry.
LISTING oF SECURITIES
The Equity Shares of the Company are presently listed on BSE Limited
(BSE), Delhi Stock Exchange Limited (DSE) and Jaipur Stock Exchange
Limited (JSE). The Annual Listing Fee for the Year 2013-14 has been
paid to all the three stock exchanges.
STATUToRY DISCLoSURES
None of the Directors of your Company is disqualifed as per provision
of section 274(1)(g) of the Companies Act, 1956. The Directors of the
Company have made necessary disclosures, as required under various
provisions of the Companies Act, 1956 and Clause 49 of the Listing
Agreement.
NoTES To ACCoUNTS
They are self-explanatory and do not require any explanations.
ACKNoWLEDGEMENT
Your Directors wish to express their sincere appreciation for the
co-operation and assistance received from the Bankers, Regulatory
Authorities, Stakeholders including Customers and other business
associates who have extended their valuable support and encouragement
during the year under review.
The directors also acknowledge the hard work, dedication and commitment
of the employees of the Company. The enthusiasm and unstinting efforts
of the employees have enabled the Company to continue being a leading
player in the Retail Sector.
On behalf of the Board of Directors
For Optiemus Infracom Limited
Place : New Delhi Ashok Gupta
Date : September 5, 2013 Chairman & Managing Director
Mar 31, 2012
Dear Members
The Directors have great pleasure in presenting the 19th Annual Report
on the business and operation of optiemus Infracom Limited together
with audited statements of accounts for the financial year ended 31st
March 2012.
FINANCIAL RESULTS
The Board of Directors is pleased to state that during the year ended
on 31st March 2012, your Company has posted an inspiring growth and its
performances are noteworthy. The financial performance of the Company
for the year ended March 31, 2012 is summarized below:
Particulars Year ended on Year ended on
31.03.2012 31.03.2011
(Rs. in '000') (Rs. in '000')
Turnover 19,066,699 12,0177,311
EBT 404,683 234,197
Less : Provision for Tax 124,021 82,951
Add: Deferred 678 (4,620)
PAT 281,339 155,866
EPS 3.28 2.08
OPERATIONS
During the year under reporting your company achieved another milestone
as turnover touched an all time high of Rs. 1909.01 crores as compare
to Rs. 1212.69 crores for the previous year registering a growth of
57.42%. The management of the Company is committed to maximize the
shareholders value.
DIVIDEND
The Board is of the view that the Company should utilize its funds
towards the operations to accelerate the growth rate. Accordingly the
Board does not recommend any dividend payment for the year 2011-12.
PUBLIC DEPOSITS
Your Company has neither invited nor accepted any deposits from public
within the meaning of Section 58A and 58 AA of the Companies Act, 1956
read with Companies (Acceptance of Deposit) Rules, 1975 during the year
under review.
ACQUISITION OF AUCTIONED COMMERCIAL PROPERTY IN NOIDA
Your Company has acquired a commercial property situated at Sector 126,
Noida (Uttar Pradesh) which is one of the prime locations of NOIDA on
Express-way. The said Property is costing approximately Rs. 130 Crores
having plot size of 13260 Sq Mtrs along with buildup structure of
approximately 4,00,000 Sq ft.
The acquisition of said property is a part of diversification plan and
also to create an asset base of the Company, the said property is being
developed as a Software and Technology Center.
ALTERATION IN MAIN OBJECT CLAUSE OF THE MEMORANDUM OF ASSOCIATION OF
THE COMPANY
Your Company has altered its Main Object of the Memorandum of
Association in consequence of the declaration of result of Postal
Ballot dated 18th June, 2012 to carry on the business as follows in
addition with the existing Main Objects of the Company. The Registrar
of Companies NCT of Delhi & Haryana has issued a certificate of
registration of Special Resolution confirming the alteration of Main
Object Clause of Memorandum of Association dated 25th June, 2012.
'To purchase, take on lease or otherwise acquire any right or interest
in any movable or immovable property including but not limited to
industrial, commercial, institutional, residential or lands, plots,
building, houses or areas within or outside the limits of Municipal
Corporation or other local bodies anywhere within the Domain of India
or elsewhere to hold, develop or construct as including but not limited
to training center, testing center, software development center,
information technology center, software or hardware park, corporate
park for self use, sale, letting out or sub leasing or any other
purpose'.
INCREASE IN BORRWOING POWER OF THE COMPANY
Your Company has passed the resolution under section 293(1) (d) of the
Companies Act, 1956 for increase in borrowing power from time to time
as they may think ft, any sum or sums of money not exceeding Rs. 200
crores (Two Hundred Crores only) excluding the temporary loans obtained
from the Company's banker in the ordinary course of business and
including the money already borrowed by the Company in Indian Rupees or
equivalent thereof in any foreign currency (ies) in consequence of the
declaration of result of Postal Ballot dated 18th June, 2012.
CHANGE IN REGISTERED OFFICE OF THE COMPANY
Your Company has shifted the Registered Office from 317, Competent
House, F-14, Connaught Place, New Delhi-110001 to K-20, IInd Floor,
Lajpat Nagar-II, New Delhi-110024 w.e.f 1st November, 2011.
COMPOUNDING OF DEFAULT FOR NOT HOLDING OF 17TH ANNUAL GENERAL MEETING
WITHIN TIME PRESCRIBED UNDER SECTION 166 READ WITH 210 OF THE COMPANIES
ACT, 1956 FROM HON'BLE COMPANY LAW BOARD
Hon'ble Company Law Board, Delhi Bench, New Delhi has passed the order
dated 3rd October, 2011 for compounding of offence for not holding of
17th Annual General Meeting within the time prescribed under section
166 read with 210 of the Companies, Act, 1956. The Company has obtained
the certified true copy of the order on 9th December, 2011.
The Company has fled the certified true copy of the compounding order
with the Office of Registrar of Company NCT of Delhi & Haryana dated
14th December, 2011.
SUBSIDIARY (S)
Your Company has incorporated a wholly owned subsidiary Company in the
name and style of optiemus Infracom (Singapore) Pte. Ltd in Singapore.
The Board is of the view that the Wholly Owned Subsidiary Company has
great potential of development in future. Mr. Ashok Gupta and Mr.
Hardip Singh are appointed as Directors in wholly Owned Subsidiary of
the Company.
Consolidated accounts of its subsidiary (s) for the year under review
has also been drawn in accordance with applicable accounting standard
(s).
DIRECTORS
During the year under review, following changes took place in the Office
of Directors of the Company:
The Board of Directors of the Company has appointed Mr. Hardip Singh,
as Executive Director and Mr. Gautam Kanjilal as Additional Director
of the Company. In accordance with Article 107 of the Articles of
Association, Mr. Manoj Kumar Jain retires by rotation and, being
eligible, has offered himself for re- appointment.
Information about the directors proposed to be appointed/re-appointed
such as their experience, term & conditions, etc. as required under
clause 49 is being given in the notice to the shareholders, which is
forming part of this annual report.
Mrs. Renu Gupta had resigned from the Office of the directorship of the
Company during the financial year under review. The Board of Directors
places on record its sincere appreciation for the guidance and
assistance provided by her during her tenure as Director of the
Company.
TAKE NOTE OF CHANGE IN NAME OF THE COMPANY BY BOMBAY STOCK EXCHANGE
LIMITED
Your Company has made the application for change in name of the Company
at Bombay Stock Exchange Limited, where the Shares of the Company are
listed. The Bombay Stock Exchange Limited has changed the name of the
Company from Akanksha Cellular Limited to optiemus Infracom Limited
vide notice dated 4th July, 2012.
The Board took note of the same.
AUDITORS AND THEIR REPORT
M/s RMA & Associates, retiring auditor has presented willingness to be
re-appointment as Statutory Auditor of the Company for the financial
year 2012-2013. The Company has received certificate from them to the
effect that their appointment, if made, would be within the prescribed
limits under section 224(1B) of the Companies Act, 1956. The approval
of the shareholders is sought for this resolution.
The observation made in the Auditors Report are self-explanatory and
therefore, do not call for any further comments under Section 217 (3)
of the Companies Act, 1956.
CORPORATE GOVERNANCE
A separate section on Corporate Governance together with a certificate
from the Company's auditors confirming the compliance of conditions of
Corporate Governance as stipulated in Clause 49 of the listing
agreement with the Stock Exchanges is annexed hereto.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT
Management Discussion and Analysis Report as required under Clause 49
of the Listing Agreement with the Stock Exchanges is given in
Annexure-A and forms an integral part of this report.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE
EARNINGS AND OUTGO
The particulars regarding energy conservation and technology absorption
as prescribed under Section 217 (1) (e) of the Companies Act, 1956 read
with the Companies (Disclosure of Particulars in the Report of Board of
Directors) Rules 1988, are not applicable to the company.
Details of Foreign Exchange used and earned as follows:- (Rs. in '000')
Foreign Exchange Earning: Rs. 116,937.00 Foreign Exchange outgo: Rs.
193,980.00
DIRECTORS' RESPONSIBILITY STATEMENT
The Directors confirm that:
i) in the preparation of the annual accounts, the applicable accounting
standards have been followed and that no material departures have been
made from the same;
ii) they have selected such accounting policies and applied them
consistently and made judgments and estimates that are reasonable and
prudent so as to give a true and fair view of the state of affairs of
the company at the end of the financial year and of the Profit or loss of
the company for that period;
iii) they have taken proper and sufficient care for the maintenance of
adequate accounting records in accordance with the provisions of the
Companies Act, 1956 for safeguarding the assets of the company and for
preventing and detecting fraud and other irregularities;
iv) they have prepared the annual accounts on a going concern basis.
PARTICULARS OF EMPLOYEES
Particulars of an employees pursuant to section 217(2A) of the
Companies Act, 1956, read with Companies (Particulars of Employees)
Rules 1975, as amended from time to time, during the year ended
31.03.2012 is set out as an annexure to the Director's report.
ACKNOWLEDGEMENT
Your Directors wish to place on record their appreciation for the
co-operation extended to the company by commercial banks, business
associates, shareholders, customers and executives.
On behalf of the Board of Directors
For optiemus Infracom Limited
(Formerly Akanksha Cellular Limited)
Place : New Delhi (Ashok Gupta)
Date : September 01, 2012 Chairman
Mar 31, 2011
Dear Members
The Directors have great pleasure in presenting the 18th Annual Report
on the business and operation of Optiemus Infracom Limited (Formerly
Akanksha Cellular Limited) together with audited statements of accounts
for the financial year ended 31st March 2011.
FINANCIAL RESULTS
The Board of Directors is pleased to state that during the year ended
on 31st March 2011, your Company has posted an inspiring growth and its
performances are noteworthy. The financial performance of the Company
for the year ended March 31, 2011 is summarized below:
Particulars Year ended on Year ended on
31.03.2011 31.03.2010
(Rs. in '000') (Rs. in '000')
Turnover 12,126,995 8,717,869
EBT 234,197 125,553
Less : Provision for Tax :
Current 82,951 34,802
: Deferred (4,620) 9,351
PAT 155,866 81,400
EPS 2.08 1.14
The Telecom Industry is one of the fastest growing industries in India.
With a growth rate of 45%, Indian telecom industry has the highest
growth rate in the world.
According to Global consultancy group Deloitte, Rural India is expected
to fuel the growth in mobile phone services in the next four years, as
cell phones become a vital tool.
Deloitte said that low penetration levels of mobile phones would
provide more business opportunities for service providers.
The paper focuses on how mobile phones can be used to deliver content
and services that can help foster inclusive growth in India by
digitally empowering citizens across all cross the sections of society,
both urban and rural à This paper refers to these services as Utility
mobile value added service (MVAS).
"The next wave of growth in subscriptions will come from semiÃurban and
rural areas. Today, the penetration of mobile phones in urban areas is
already 100 per cent while in rural areas it is only 23 per cent," it
said.
DIVIDEND
The Board is of the view that the Company should utilize its funds
towards the operations to accelerate the growth rate. Accordingly the
Board does not recommend any dividend payment for the year 2010-11.
PUBLIC DEPOSITS
Your Company has neither invited nor accepted any deposits from public
within the meaning of Section 58A and 58 AA of the Companies Act, 1956
read with Companies (Acceptance of Deposit) Rules, 1975 during the year
under review.
CONVERSION OF CONVERTIBLE WARRANTS INTO EQUITY SHARES
The Board of Directors of the Company at their meeting held on 18th
December, 2010 converted 18,320,050 Convertible Warrants into same
number of Equity Shares of the Company to the person belonging to the
non promoter group on preferential basis. The converted shares are
included in the paid up share capital of the Company.
CHANGE IN NAME OF THE COMPANY
During the year, your Company has changed its name from Akanksha
Cellular Limited to Optiemus Infracom Limited pursuant to the Special
Resolution passed in 17th Annual General Meeting of the Company
accordingly the Registrar of Companies NCT of Delhi & Haryana have
pleased to grant fresh Certificate of Incorporation subsequent to
change of name of the Company dated 30th June, 2011. The new name of
the Company reflects the wide diversity of business that it transacts
and undertakes including mobile devices and infrastructure of
communication.
ALTERATION IN MAIN OBJECT CLAUSE OF THE MEMORANDUM OF ASSOCIATION OF
THE COMPANY
Since merger of an Infrastructure activities Company (M/s. A. Design
and Details (Interiors & Infrastructure) Private Limited) with the
Company is ongoing basis accordingly it is required to incorporate the
business/ activities of infrastructure in the Main Object Clause of the
Memorandum of Association. Accordingly during the year, your Company
has altered its Main object of the Memorandum of Association in
consequence of the declaration of result of Postal Ballot dated 23rd
June, 2011 to carry on the business as follows in addition with the
existing Main Objects of the Company:- "To carry on business of
construction in the fields of roads, shipping, civil aviation, inland
waterways, pipelines and airports, wharves, bridge, power, industrial,
mechanical electrical projects of all varieties and descriptions".
INTEGRATION OF MERGER
Your Company has issued 63,743,841 fresh Equity shares on 22nd March,
2011 to the shareholders of Transferor Companies as a result the paid
up share capital of the Company has been increased from 22,070,350 to
85,814,191 Equity Shares. The Company is in process to obtain the
trading approval from Bombay Stock Exchange Limited for the
abovementioned fresh equity shares issued to the shareholders of
transferor Companies.
COMPOUNDING OF DEFAULT FOR NOT HOLDING OF 17TH ANNUAL GENERAL MEETING
WITHIN TIME PRESCRIBED UNDER SECTION 166 READ WITH 210 OF THE COMPANIES
ACT, 1956 FROM HON'BLE COMPANY LAW BOARD
Your Company has filed the petition of merger of Telemart Communication
(India) Private Limited, Mach Communications Private Limited, Mo-Life
Communication (India) Private Limited, Mo-Life Retails Private Limited,
Radical Softnet Private Limited, Pacific Support Private Limited, A.
Design & Details (Interiors & Infrastructure) Private Limited with the
Company further the date of hearing for the scheme of merger was fixed
on 24.11.2010 by the Hon'ble Delhi High Court, which was outside the
time limit for holding Annual General Meeting of the Company for the
financial year 2009-10 pursuant to section 166 read with 210 of the
Companies Act, 1956, hence your Company could not hold the 17th Annual
General Meeting within the time period prescribed under the Companies
Act, 1956 and made the default. The Company duly called the 17th Annual
General Meeting on 23rd Day of April, 2011 for the financial year ended
on March, 2010 and hence made the default good.
Further the Company has filed the petition through Registrar Companies
NCT of Delhi & Haryana with Hon'ble Company Law Board for compounding
of the default for not holding 17th Annual General Meeting within the
prescribed time.
DIRECTORS
During the year under review, following changes took place in the
office of Directors of the Company:
Mrs. Parul Rai has been appointed as Director (BR) and Mr. Laliet Gupta
has been appointed as Additional Director of the Company.
In accordance with Article 107 of the Articles of Association, Mrs.
Renu Gupta retires by rotation and, being eligible, has offered herself
for re-appointment.
Information about the directors proposed to be appointed/re-appointed
such as their experience, term & conditions, etc. as required under
clause 49 is being given in the notice to the shareholders, which is
forming part of this annual report.
Mr. Hardip Singh had resigned from the office of the directorship of
the Company during the financial year under review.
The Board of Directors places on record its sincere appreciation for
the guidance and assistance provided by them during their tenure as
Director of the Company.
AUDITORS AND THEIR REPORT
M/s RMA & Associates, retiring auditor has presented willingness to be
re-appointment as Statutory Auditor of the Company for the financial
year 2011-2012. The Company has received certificate from them to the
effect that their appointment, if made, would be within the prescribed
limits under section 224(1B) of the Companies Act, 1956. The approval
of the shareholders is sought for this resolution.
The observation made in the Auditors Report are self-explanatory and
therefore, do not call for any further comments under Section 217 (3)
of the Companies Act, 1956.
CORPORATE GOVERNANCE
A separate section on Corporate Governance together with a certificate
from the Company's auditors confirming the compliance of conditions of
Corporate Governance as stipulated in Clause 49 of the listing
agreement with the Stock Exchanges is annexed hereto.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT
Management Discussion and Analysis Report as required under Clause 49
of the Listing Agreement with the Stock Exchanges is given in
Annexure-A and forms an integral part of this report.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE
EARNINGS AND OUTGO
The particulars regarding energy conservation and technology absorption
as prescribed under Section 217 (1) (e) of the Companies Act, 1956 read
with the Companies (Disclosure of Particulars in the Report of Board of
Directors) Rules 1988, are not applicable to the company. Details of
Foreign Exchange used and earned as follows:- (Rs. in '000') Foreign
Exchange Earning: Rs. 190859.00 Foreign Exchange outgo: Rs. 145637.00
DIRECTORS' RESPONSIBILITY STATEMENT
The Directors confirm that:
i) in the preparation of the annual accounts, the applicable accounting
standards have been followed and that no material departures have been
made from the same;
ii) they have selected such accounting policies and applied them
consistently and made judgments and estimates that are reasonable and
prudent so as to give a true and fair view of the state of affairs of
the company at the end of the financial year and of the profit or loss
of the company for that period;
iii) they have taken proper and sufficient care for the maintenance of
adequate accounting records in accordance with the provisions of the
Companies Act, 1956 for safeguarding the assets of the company and for
preventing and detecting fraud and other irregularities;
iv) they have prepared the annual accounts on a going concern basis.
PARTICULARS OF EMPLOYEES
As required under section 217(2A) of the Companies Act, 1956 read with
the Companies (Particulars of Employees) Rules, 1975 as amended time to
time, no employee of the company was covered by these provisions during
the year ended 31.03.2011. However, transferor companies were paying
remuneration to their employees and directors till the effectiveness of
Scheme of Amalgamation, therefore such figures have been consolidated
in the financials of the Company.
ACKNOWLEDGEMENT
Your Directors wish to place on record their appreciation for the
co-operation extended to the company by commercial banks, business
associates, shareholders, customers and executives.
On behalf of the Board of Directors
For Optiemus Infracom Limited
(Formerly Akanksha Cellular Limited)
Place : New Delhi (Ashok Gupta)
Date : September 01, 2011 Chairman
Mar 31, 2010
The Directors have great pleasure in presenting the 17th Annual Report
on the business and operation of Akanksha Cellular Limited together
with audited statements of accounts for the year ended 31st March 2010.
AMALGAMATION OF SEVEN (7) PRIVATE LIMITED COMPANIES WITH AKANKSHA
CELLULAR LIMITED
Telemart Communication (India) Private Limited, Mach Communications
Private Limited, Mo-Life Communication (India) Private Limited, Mo-Life
Retails Private Limited, Radical Softnet Private Limited, Pacific Inet
Support Private Limited, A. Design & Details (Interiors &
Infrastructure) Private Limited [Transferor Companies] have been
amalgamated with the Company. The Scheme of Amalgamation has been
sanctioned by the Honble High Court of Delhi vide order dated
27.01.2011 received on 08.03.2011. The Scheme became effective on
10.03.2011.
The amalgamation follows the Companys philosophy of creating enduring
value for all its stakeholders. The amalgamation creates a platform for
value-enhancing growth and reinforces the Companys position as an
integrated global Company.
Such merger of companies with Akanksha Cellular Limited has enabled
seamless integration of operational scale and financial synergies that
existed between the Companies. Assets and liabilities of all transferor
companies have been transferred to the company as per the approval
granted by the Honble High Court of Delhi.
The merger creates a platform for reinforcing the Companys position as
an integrated energy company on global scale. The merger enhances value
for shareholders of all the Companies. The Company will additionaly
gain from reduced operating costs arising out of the combined
operations. The merger is expected to reduce the earnings volatility of
shareholders of the Company as they participate in the earning of the
transferor companies.
FINANCIAL RESULTS
The Board of Directors are pleased to state that during the year ended
on 31st March 2010, the Company has made best use of the market forces
and has taken advantage of the business opportunities that has come its
way.
The assets and liabilities of all Transferor Companies and operating
results of them have been incorporated in the Companys books with
effect from April 1, 2008 (Appointed Date). The financial performance
of the Company, for the year ended March 31, 2010 is summarized below:
Particulars Year ended on
31.03.2010
Profit/(Loss) before Tax 12,55,54,038.00
Less : Provision for Tax : Current 3,48,02,189.00
: Deferred 93,51,075.00
Profit after Tax 8,14,00,774.00
Note: The figures for the current year include figures of Transferor
Companies, which have been amalgamated with the Company and to that
extent not comparable to those of previous year
Telecom industry in India has undergone a revolution in the recent
years. The country is ranked second worldwide in terms of having the
largest telecommunication network, after China. With the ongoing
investments into infrastructure deployment, the country is projected to
see high penetration of mobile subscribers.
According to a new analytical study on the sector "Indian Telecom
Analysis (2008-2012)", mobile telephony continues to fuel growth of the
Indian telecom sector, with mobile subscribers projected to grow at a
CAGR (Compound Annual Growth Rate) of around 11% between 2009 and 2012.
The Indian mobile market has continued to witness rapid increase in its
subscriber base over the past few years, largely due to the declining
mobile tariffs and availability of low cost handsets in the country.
DIVIDEND
The Board is of the view that the Company should utilize its funds
towards the operations to accelerate the growth rate. The Directors
submit that this will increase shareholders value in long term.
Accordingly the Board does not recommend any dividend payment for the
year 2009-10.
PUBLIC DEPOSITS
Your Company has neither invited nor accepted any deposits from public
within the meaning of Section 58A and 58 AA of the Companies Act, 1956
read with Companies (Acceptance of Deposit) Rules, 1975 during the year
under review.
CHANGE IN CAPITAL STRUCTURE
During the year under review, your Company has increased its Authorised
Share Capital from Rs. 40,000,000/- (Rupees Four Crore Only) divided
into 4,000,000 (Forty Lakh) Equity
Shares of Rs. 10/- (Ten) each to Rs. 304,800,000/- (Rupees Thirty Crore
Forty Eight Lakh Only) divided into 30,480,000 (Three Crore Four Lakh
Eight Thousand) Equity Shares of Rs.10/-(Ten).
Since the merger of Telemart Communication (India) Private Limited,
Mach Communications Private Limited, Mo-Life Communication (India)
Private Limited, Mo-Life Retails Private Limited, Radical Softnet
Private Limited, Pacific Inet Support Private Limited, A. Design &
Details (Interiors & Infrastructure) Private Limited with the Company
has been approved and due to single window clearance vide order no
2405/XI dated 08/03/2011 of Honble High Court of Delhi the Authorised
Capital has been increased from Rs. 304,800,000/- (Rupees Thirty Crore
Forty Eight Lakh Only) divided into 30,480,000 (Three Crore Four Lakh
Eight Thousand) Equity Shares of Rs.l0/-(Ten) to Rs. 859,800,000/-
(Rupees Eighty Five Crore Ninety Eight Lacs only) divided into
85,980,000 (Eight Crore Fifty Nine Lacs Eighty Thousand) Equity Shares
of Rs. 10/- (Ten)each
CONVERSION OF CONVERTIBLE WARRANTS INTO EQUITY SHARES
The Board of Directors has allotted 18320050 convertible warrants to
the person belonging to the non promoter group on preferential basis at
a exercise price of Rs. 10/- each warrant on which the warrant holder
shall have the option of applying for and being allotted Equity shares
of the Company of face value of Rs.10/- each by paying the balance
subscription price after adjustment the upfront payment made on the
date of allotment of the warrants. The Company has received the balance
amount towards the allotment of Equity shares to the persons belonging
to non Promoters category on preferential basis.
DIRECTORS
During the year under review, following changes took place in the
office of Directors of the Company:
Mr. Rajesh Sharma and Mr. Manoj Kumar Jain have been appointed as
Additional Directors of the company. Mr. Pramod Seth had resigned from
the office of the directorship of the Company during the financial year
under review.
In accordance with Article 107 of the Articles of Association, Mr.
Hardip Singh retire by rotation and, being eligible, has offered
himself for re-appointment.
AUDITORS AND THEIR REPORT
M/s RMA & Associates, retiring auditor has presented willingness to be
re-appointment as Statutory Auditor of the Company for the financial
year 2010-2011. The company has received certificate from them to the
effect that their appointment, if made, would be within the prescribed
limits under section 224(1B) of the Companies Act, 1956. The approval
of the shareholders is sought for this resolution.
The observation made in the Auditors Report are self-explanatory and
therefore, do not call for any further comments under Section 217 (3)
of the Companies Act, 1956.
CORPORATE GOVERNANCE
A separate section on Corporate Governance together with a certificate
from the Companys auditors confirming the compliance of conditions of
Corporate Governance as stipulated in Clause 49 of the listing
agreement with the Stock Exchanges is annexed hereto.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT
Management Discussion and Analysis Report as required under Clause 49
of the Listing Agreement with the Stock Exchanges is given in
Annexure-A and forms an integral part of this report.
EXTENSION OF ANNUAL GENERAL MEETING
The date of hearing for the scheme of merger was fixed on 24.11.2010 by
the Honble Delhi High Court, which was outside the time limit for
holding Annual General Meeting of the Company for the financial year
2009-10 pursuant to section 166 read with 210 of the Companies Act,
1956, hence your Company has decided to apply for seeking extension of
time to hold its Annual General Meeting. Accordingly, the Company made
an application to Registrar of Companies, NCT of Delhi & Haryana to
grant extension of period of Annual General Meeting by three months
under section 166(1). At the request of the Company, the Registrar of
Companies, NCT of Delhi & Haryana was pleased to grant extension for
three months.
But due to a farewell reference by the full court on Wednesday i.e.
24.11.2010 at 3:00 PM the merger petition could not be heard on such
scheduled date and accordingly next date of hearing was fixed by the
court master as 27.01.2011. Since the management of all the Companies
under merger have already decided to prepare merged financial
statements for the financial year ended on 31.03.2010 and that could be
possible only after the sectioning of scheme of amalgamation by the
Honble High Court of Delhi and also effectiveness of such scheme.
Hence the Company has postponed for holding Annual General Meeting and
decided to hold such meeting after effectiveness of such scheme.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE
EARNINGS AND OUTGO
The particulars regarding energy conservation and technology absorption
as prescribed under Section 217 (1) (e) of the Companies Act, 1956 read
with the Companies (Disclosure of Particulars in the Report of Board of
Directors) Rules 1988, are not applicable to the company.
During the year under review, and pursuant to the approval of the
scheme of merger, Transferor Companies has earned and incurred
expenditure in Foreign Exchange.
Detail of Foreign Exchange used and earned as follows:-
Foreign Exchange Earning: - Rs. 773453.03
Foreign Exchange outgo: - Rs. 691903.92
DIRECTORS RESPONSIBILITY STATEMENT
The Directors confirm that:
i) in the preparation of the annual accounts, the applicable accounting
standards have been followed and that no material departures have been
made from the same;
ii) they have selected such accounting policies and applied them
consistently and made judgments and estimates that are reasonable and
prudent so as to give a true and fair view of the state of affairs of
the company at the end of the financial year and of the profit or loss
of the company for that period;
iii) they have taken proper and sufficient care for the maintenance of
adequate accounting records in accordance with the provisions of the
Companies Act, 1956 for safeguarding the assets of the company and for
preventing and detecting fraud and other irregularities;
iv) they have prepared the annual accounts on a going concern basis.
PARTICULARS OF EMPLOYEES
As required under section 217(2A) of the Companies Act, 1956 read with
the Companies (Particulars of Employees) Rules, 1975 no employee of the
company was covered by these provisions at any time.
ACKNOWLEDGEMENT
Your Directors wish to place on record their appreciation for the
co-operation extended to the company by commercial banks, business
associates, shareholders, customers and executives.
For and on behalf of the Board of Directors
For Akanksha Cellular Limted
Place: New Delhi (Ashok Gupta)
Date:- 22.03.2011 Chairman
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