Home  »  Company  »  Paragon Finance  »  Quotes  »  Notes to Account
Enter the first few characters of Company and click 'Go'

Notes to Accounts of Paragon Finance Ltd.

Mar 31, 2014

(1) As required by revised schedule VI, the Company has classified assets and liabilities into current and non-current based on the operating cycle. An operating cycle is the time between the acquisition of assets for processing and their realisation in cash and cash equivalents. Since the normal operating cycle is not determinable, the operating cycle has been considered as 12 months and the Assets & Liabilities are segregated between Current & Non Current on the basis of management''s decision.

(2) Loan against security of vehicles

Loan against security of vehicle are valued at agreement value less Installment received and Unmatured interest.

(3) Related Party disclosures as required by Accounting Stanadard (AS 18)

Related Party Disclosures" are as under:

Names of related parties with whom transactions have taken place during the year

a) Key Management Personnel

Mr.Sanjay Kumar Gupta - Executive Director

Mr. Aloke Kumar Gupta - Director

Mr Manoj Kumar Gupta - Director

Mrs Reena Gupta - Director

b) Relative of Key Management Personnel

Gayatri Gupta - Mother of Director

c) Enterprises over which management Personnel, or his relative has significant influence :

Saharsh Estates Pvt. Ltd.

(4) Deffered T ax Assets

In terms of Accounting Standard 22, issued by the Institute of Chartered Accountants of India. For the Current year, there is a net deferred tax asset of 1,38,603/-. The Deffered Tax Asset as on 31st March, 2014 was 4,84,138/- due to Timing Difference in depreciable assets.

(5) Business Segments

The Company is engaged primarily in the business of financing and there are no separate reportable segments as per Accounting Standard 17 (Segment Reporting).

(6) The Reserve Bank of India (RBI) vide its Notification No. DNBS. 223/CGM(US) - 2011 dated 17th January, 2011 has issued directions to all NBFCs to make provision of 0.25% against Standard Assets with immediate effect. Accordingly, the Company has reversed provision of 94,937/- during the year against Standard Assets which has been charged to Profit & Loss Account.

(7) Contingent Liabilities :

A Search & Seizure operation was conducted by the Service Tax Department on 19.07.2006 and subsequently the Service Tax Commissionerate raised a demand of Service Tax including Education Cess amounting to 26,81,414/- vide their order dated 31.03.2009. In respect of the said demand, the Company has obtained legal opinion and accordingly an appeal before the Appropriate Authority is preferred. Consequently no provision has been made in the Accounts.

(8) Expenditure in Foreign Currency for

Directors'' Foreign Travelling Expenses - 2.21 lakhs

(9) Previous year figures have been regrouped and re-arranged, wherever necessary, to confirm to the current year''s classification.

(b) Terms/Rights attached to Equity shares:

The company has only one class of equity shares having par value of Rs. 10/- per share. Each holder of equity shares is entitled to one vote per share.

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

Note - 1.1 : (i) Loan from Citicorp Finance (India) Ltd. is secured by Pledge of Shares

(ii) Loan from Oriental Bank of Commerce is secured against Vehicle.


Mar 31, 2013

1) As required by revised schedule VI, the Company has classified assets and liabilities into current and non-current based on the operating cycle. An operating cycle is the time between the acquisition of assets for processing and their realisation in cash and cash equivalents. Since the normal operating cycle is not determinable, the operating cycle has been considered as 12 months and the Assets & Liabilities are segregated between Current & Non Current on the basis of management''s decision.

2) Loan against security of vehicles

Loan against security of vehicles are valued at agreement value less Installment received and Unmatured interest.

(3) Related Party disclosures as required by Accounting Standard (AS 18) Related Party Disclosures" are as under :

Names of related parties with whom transactions have taken place during the year

a) Key Management Personnel

Mr. Sanjay Kumar Gupta - Executive Director Mr. Aloke Kumar Gupta - Director Mr. Manoj Kumar Gupta - Director Mrs. Reena Gupta - Director

b) Relative of Key Management Personnel Gayatri Gupta - Mother of director

c) Enterprises over which management Personnel or his relative has significant influence : Saharsh Estates Pvt. Ltd. - Gayatri Gupta Mother of director

(4) Deffered Tax Assets

In terms of Accounting Standard 22, issued by the Institute of Chartered Accountants of India. For the Current Year, there is a net deferred tax asset of " 66,859/-. The Deffered Tax Asset as on 31st March, 2013 was " 3,45,535/- due to Timing Difference in depreciable assets.

(5) Business Segments

The Company is engaged primarily in the business of financing and there are no separate reportable segments as per Accounting Standard 17 (Segment Reporting).

(6) The Reserve Bank of India (RBI) vide its Notification No. DNBS. 223/CGM(US) - 2011 dated 17th January, 2011 has issued directions to all NBFCs to make provision of 0.25% against Standard Assets with immediate effect. Accordingly, the Company has made provision of " 88,875/- during the year against Standard Assets which has been charged to Profit & Loss Account.

(7) Contingent Liabilities :

A Search & Seizure operation was conducted by the Service Tax Department on 19.07.2006 and subsequently the Service Tax Commissionerate raised a demand of Service Tax including Education Cess amounting to " 26,81,414/- vide their order dated 31.03.2009. In respect of the said demand, the Company has obtained legal opinion and accordingly an appeal before the Appropriate Authority is preferred. Consequently no provision has been made in the Accounts.

(8) Loans & Advances under Note ''13'' include " 3,00,000/- being the cash seized by the Income Tax Department.

(9) Additional Information pursuant to the provisions of paragraph 3, 4C and 4D of Part II of Schedule VI to the Companies Act, 1956 to the extent presently applicable to the Company - NIL

(10) Previous year figures have been regrouped and re-arranged, wherever necessary, to confirm to the current year''s classification.


Mar 31, 2012

1) During the year ended 31st March 2012, the revised schedule VI notified under the Companies Act, 1956, has become applicable to the company, for preparation and presentation of its financial statements. The adoption of revised schedule VI does not impact recognition and measurement principles followed for preparation of financial statements. However, it has significant impact on presentation and disclosure made in the financial statements. The company has also reclassified the previous year figures in accordance with the requirements applicable in the current year.

2) Loan against security of vehicles

Loan against security of vehicles are valued at agreement value less Installment received and Unmatured interest.

(3) Deferred Tax Assets

In terms of Accounting Standard 22, issued by the Institute of Chartered Accountants of India. For the Current year, there is a net deferred tax asset of " 39,429/-. The Deffered Tax Asset as on 31st March, 2012 was " 2,78,6767- due to Timing Difference in depreciable assets.

(4) Business Segments

The Company is engaged primarily in the business of financing and there are no separate reportable segments as per Accounting Standard 17 (Segment Reporting)

(5) Related Party disclosures as required by Accounting Standard (AS 18) Related Party Disclosures are as under :

Names of related parties with whom transactions have taken place during the year

a) Key Management Personnel

Mr. Sanjay Kumar Gupta - Executive Director

Mr. Aloke Kumar Gupta - Director

Mr. Manoj Kumar Gupta - Director

Mrs. Reena Gupta - Director

b) Relative of Key Management Personnel

Gayatri Gupta - Mother of director

c) Enterprises over which management Personnel or his relative has significant influence : Saharsh Estates Pvt. Ltd. - Gayatri Gupta Mother of director

(6) The Reserve Bank of India (RBI) vide its Notification No. DNBS. 223/CGM(US) - 2011 dated 17th January, 2011 has issued directions to all NBFCs to make provision of 0.25% against Standard Assets with immediate effect. Accordingly, the Company has made provision of " 1,10,939/- during the year against Standard Assets which has been charged to Profit & Loss Account.

(7) Contingent Liabilities :

A Search & Seizure operation was conducted by the Service Tax Department on 19.07.2006 and subsequently the Service Tax Commissionerate raised a demand of Service Tax including Education Cess amounting to " 26,81,414/- vide their order dated 31.03.2009. In respect of the said demand, the Company has obtained legal opinion and accordingly an appeal before the Appropriate Authority is preferred. Consequently no provision has been made in the Accounts.

(8) Loans & Advances under Note 33Dinclude " 3,00,000/- being the cash seized by the Income Tax Department.

(9) Additional Information pursuant to the provisions of paragraph 3, 4C and 4D of Part II of Schedule VI to the Companies Act, 1956 to the extent presently applicable to the Company - NIL

(a) Terms/rights attached to equity shares :

The company has only one class of equity shares having per value of " 10/- per share. Each holder of equity shares is entitled to one vote per share.

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

Notes :

1. As defined in Paragraph 2 (1) (xii) of the Non-Banking Financial Companies Acceptance of Public Deposits (Reserve Bank) Directions, 1998.

2. Provisioning norms shall be applicable as prescribed in the Non - Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007

3. All Accounting Standards and Guidance Notes issued by ICAI are applicable including for valuation of investments and other assets as also assets acquired in satisfaction of debts. However, market value in respect of quoted investments and break up / fair value / NAV in respect of unquoted investment should be disclosed irrespective of whether they are classified as long term or current in column (4) above.

** As per Accounting Standard of ICAI (Please see Note 3)


Mar 31, 2010

(1) Assets on Finance / Loan against security of vehicles

I. Assets on Finance include assets given on Hire purchase and valued at agreement value less instalment received and unmatured hire charges.

II. Loan against security of vehicle are valued at agreement value less installment received and Unmatured interest.

(2) Deferred Tax Liability

In terms of Accounting Standard 22, issued by the Institute of Chartered Accountants of India, For the Current year, there is a net deferred tax asset of Rs 47,738/-. The Deferred Tax Asset as on 31st March, 2010 was Rs. 2,24,967/- due to Timing Difference in depreciable assets.

(3) Overdrafts from Banks are secured by hypothecation of Fixed Deposits.

(4) Cash credits Account from Banks are secured by hypothecation of Finance Documents and Personal Guarantees of Directors.

(5) Loan taken from Citicorp Finance (India) Ltd. is secured by Pledge of Shares.

(6) Previous year figures have been regrouped and re arranged, wherever necessary, to confirm to the current years classification.

(7) Business Segments

The Company is engaged primarily in the business of financing and there are no separate reportable segments as per Accounting Standard 17 {Segment Reporting)

(8) Related Party Disclosure :

Related Party disclosures as required by Accounting Standard {AS 18) Related Party Disclosures" are as under:

A. Names of related parties with whom transactions have taken place during the year

a) Key Management personnel

Mr. Sanjay Kumar Gupta, (SKG) Executive Director and Company Secretary Mr. Aloke Kumar Gupta (AKG), Director

b) Relative of key management personnel Gayatri Gupta (GG) - Directors Mother

c) Enterprises over which key management personnel, or his relative, has significant influence

i) Mars Viniyog Pvt. Ltd. (MARS)

ii) Naman Barter Pvt. Ltd. (NBPL)

iii) Mahant Vanijya Pvt. Ltd. (MVPL)

iv) Kit Commercial Pvt. Ltd. (KCPL)

v) Raga Commercial Pvt. Ltd. (RCPL)

vi) Vedant Financial Consultants Pvt. Ltd. VFCPL)

vii) Paragon Infrastructure Pvt. Ltd. (PIPL)

viii) Basera Abasan Pvt. Ltd. (BAPL)

ix) Ipsa Credit Pvt. Ltd. (IPSA)

x) Olympia Credits & Mercantile Ltd. (OCML) - Subsidiary

(10) Contingent Liabilities :

A Search & Seizure operation was conducted by the Service Tax Department on 19.07.2006 and subsequently the Service Tax Commissionerate raised a demand of Service Tax including Education Cess amounting to Rs. 26,81,414/- vide their order dated 31.03.2009. In respect of the said demand, the Company has obtained legal opinion and accordingly an appeal before the Appropriate Authority is preferred. Consequently no provision has been made in the Accounts.

(11) Loans & Advances under Schedule J include, Rs. 3,00,000/- being the cash seized by the Income Tax Department.

(12) Additional Information pursuant to the provisions of paragraph 3, 4C and 4D of Part II of Schedule VI to the Companies Act, 1956 to the extent presently applicable to the Company - NIL

Signature to Schedule A to Q forming part of Balance Sheet and Profit and Loss Account.

 
Subscribe now to get personal finance updates in your inbox!