Mar 31, 2014
The Members, Servotech Engineering Industries Limited
The Directors have pleasure in submitting their Report for the year
ended 31st March, 2014:
1. FINANCIAL PERFORMANCE
(Amount in Rs.Lakhs)
Particulars 2013-14 2012-13
Total Income 390.86 644.23
Total Expenditure 398.85 673.53
PROFIT BEFORE TAX (7.99) (29.30)
Less: Provision of Taxation Including
Deferred -- --
Tax
PROFIT AFTER TAX (PAT) (7.99) (29.30)
Add: Balance Brought Forward From
Previous (349.15) (319.85)
Year
Add: Excess / (Short) Provision
for taxation for -- --
Earlier year written back
Balance Carried To Balance Sheet (357.14) (349.15)
2. COMPANY''S PERFORMANCE:
During the year under review, sales and operation income was at
Rs.390.86 lacs as against Rs. 644.23 lacs in previous financial year,
and incurred Operating profit (Loss) was at Rs. (7.99) Lacs as against
of Rs. (29.29) Lacs in the previous year.
3. DIVIDEND
Due to accumulated losses of the Company your Directors do not
recommend any dividend for the year under report.
4. DIRECTORS
In accordance with section 152(6) of the Companies Act, 2013 and in
terms of Articles of Association of the Company, Mr. Ramawtar Sitaram
Lahoti, Director of the Company is liable to retire by rotation at the
ensuing Annual General meeting and being eligible, offered himself for
re-appointment. Board of Directors recommends the above re-appointment.
Pursuant to the provisions of Clause 49 of the Listing Agreement
entered into with the Stock Exchanges, the Company had appointed Mr.
Narendra Rameshchandra Gupta, Mr. Rohit Talakchand Doshi, Mr. Jitendra
Bhushan Garg as Independent Directors of the Company. In accordance
with Section 149(4) and other applicable provisions, if any, read with
Schedule IV of the Companies Act, 2013, the Company has to appoint
1/3rd of the total Directors as Independent Directors, for a maximum
period of 5 years and they are not liable to retire by rotation.
In the opinion of the Board, they fulfill the conditions specified in
the Act and the Rules made there under for appointment as Independent
Directors and are independent of the management.
The Company has received declarations from the Independent Directors of
the Company confirming that they meet with the criteria of independence
as prescribed both under sub- section (6) of Section 149 of the
Companies Act, 2013 and under Clause 49 of the Listing Agreement with
the Stock Exchanges. Members are requested to refer to the annexure of
Notice and Explanatory Statement for the experience, qualification and
tenure of the Independent Directors.
5. AUDITORS AND AUDITORS'' REPORT
The Auditors, M/s Amar Bafna & Associates, Chartered Accountants, hold
office till the conclusion of the ensuing Annual General Meeting (AGM)
and are eligible for re-appointment Pursuant to the provisions of
section 139 of the Companies Act, 2013 and rules framed there under, it
is proposed to appoint M/s Amar Bafna & Associates as the statutory
auditors of the Company from the conclusion of forthcoming AGM till the
conclusion of the 22nd AGM to be held in the year 2017, subject to the
ratification of their appointment at every AGM.
The Company had received letters from M/s Amar Bafna & Associates.
Chartered Accountants to the effect that their re-appointment, if made,
would be within the prescribed limits under Section 141(3)(g) of the
Companies Act, 2013 and that they are not disqualified for such
re-appointment within the meaning of Section 141 of the Act.
The qualifications/observations of the Auditors are self-explanatory
and explained / clarified wherever necessary in appropriate notes to
Accounts.
6. FIXED DEPOSITS
The Company has not accepted any Fixed Deposits from public,
shareholders or employees during the year under report.
7. CORPORATE GOVERNANCE
In accordance with Clause 49 of the Listing Agreement with Bombay Stock
Exchange, a Separate Report on Corporate Governance along with
Auditors'' Certificate confirming Compliance is attached to this report.
8. PARTICULARS OF EMPLOYEES
As there were no employees throughout the year under review who were in
receipt of remuneration exceeding the prescribed limit in Companies
Act, 1956 and its regulations and rules. Hence, no statement is
attached herewith as required in terms of section 217(2A) of the
Companies Act, 1956.
9.ENERGY CONSERVATION, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE
EARNINGS AND OUTGO
Provisions of 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, on conservation of energy and technology
absorption are not applicable hence no disclosure is being made in this
regard.
During the year, there were no foreign exchange earnings and outgo as
per notes to accounts.
10. DIRECTORS'' RESPONSIBILITY STATEMENT
Pursuant to the requirement under Section 217(2AA) of the Companies
Act, 1956, with respect to Directors'' Responsibility Statement, your
Directors confirmed that:
1. In the preparation of the Annual Accounts, the applicable
Accounting Standards have been followed;
2. The Directors have selected such accounting policies and applied
them consistently and made judgments and estimates that are reasonable
and prudent so as to give true and fair view of the State of Affairs of
the Company at the end of the financial year ended 31st March, 2014 and
of profit of the Company for that year;
3. the Directors had 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;
4. The Directors have prepared the Annual Accounts on a ''going
concern'' basis.
11. LISTING FEES
At present 51,31,400 equity shares of the Company are listed on Bombay
Stock Exchange Ltd.(BSE) and the Company has paid the applicable
Listing Fees to BSE for the year2013-14
12. ENVIRONMENT AND POLLUTION CONTROL:
The term relating to compliance with all relevant statutes relating to
the environment and pollution control in the area of environment are
not applicable.
13. CODE OF CONDUCT COMPLIANCE:
Pursuant to Clause-49 of the Listing Agreement, the declaration signed
by the Mr. Radhey Shyam Lahoti, Director, affirming compliance with the
Code of Conduct by the Director''s and senior management personnel, for
the financial year 2013-14 is annexed and forms part of the Directors
and Corporate Governance Report.
14. MANAGEMENT DISCUSSIONS AND ANALYSIS REPORT:
Management Discussions and Analysis Report, forming part of the
Directors'' Report for the year under review, as stipulated under Clause
49 of the Listing Agreement with the Stock Exchange(s), is presented in
a separate section forming part of the Annual Report.
15. CASH FLOW ANALYSIS:
In conformity with the provisions of clause 32 of the Listing
Agreement, the Cash Flow Statement for the year ended 31st March, 2014
is annexed hereto.
16. ACKNOWLEDGEMENT
Your Directors would like to express their appreciation for assistance
and co-operation received from the Bankers, Government Authorities,
Customers, Vendors, Advisors, Members and all concerned during the year
under report. Your Directors also wish to place on record their deep
sense of appreciation for the committed services by the executives,
staff and workers of the Company.
BY ORDER OF THE BOARD
FOR SERVOTECH ENGINEERING INDUSTRIES LIMITED
PLACE: Mumbai R S Lahoti
DATE: 06/09/2014 (CHAIRMAN & MANAGING DIRECTOR)
Mar 31, 2011
To The Members OF Servotech Engineering Industries Ltd.,
The Directors have pleasure in presenting their Sixteenth Annual
Report together with Audited Statement of Accounts of the company for
the year ended 31'st March, 2011.
1. FINANCIAL RESULTS:
Current Year Previous Year
Rupees Rupees
Profit/(Loss) before Depreciation
and taxation 4,18,951 65,108
Less : Depreciation 17,922 21,101
Provision for Income Tax FOR FBT -- --
Profit/(Loss) After Dep. &
Taxation 4,01,029 44,007
Add : Balance
brought forward from
last year (3,00,46,559) (3,00,90,566
(2,96,45,530) (3,00,46,559)
Less : Prior period expenses 1,21,917 --
Profit/(Loss) available for (2,97,67,447) (3,00,46,559)
Appropriation
Balance of Loss carried
to B/Sheet (2,97,67,447) (3,00,46,559)
2. REVIEW OF OPERATION :
During the year under review, sales and operation income was at
Rs.883.06 lacs as against Rs. 24.03 lacs in previous financial year,
and incurred Operating profit was at Rs.4.01 Lcas as against of Rs..44
Lacs in the previous year.
3. DIVIDEND :
In view of Current & carried forward losses, your directors regret
their inability to recommend any dividend for the year 2010-2011.
4. INSURANCE :
The company has made necessary arrangement for adequately insuring its
insurable interest in various assets.
5. DIRECTORS :
In accordance with the provisions of the Companies Act, 1956 and
Article 115 of the Articles of Association of the Company, Mr. R S
Lahoti & Mr. Prakash G Jain retire by rotation at the forthcoming
Annual General Meeting. Mr. Radheyshyam Lahoti & Mr. Prakash G Jain has
offered themselves for reappointment.
6. AUDITORS :
M/s. D.C. Surana & Associates, Auditors of the Company hold office
until the conclusion of the ensuing Annual General Meeting. The company
has received communication from them to the effect that the
appointment, if made, would be with in the limits prescribed under
Section 224 (1B) of the Companies act, 1956. They are proposed to be
appointment as Auditors of the Company for the financial year
2011-2012.
7. AUDITORS ' REPORT :
The comments observations made in the Auditors' Report are self
explanatory and therefore, do not call for any further comments under
Section 217 (4) of the Companies Act, 1956.
8. PERSONNEL :
During the year under review, the relations with the employees were
extremely cordial. Your Directors would like to place on record their
warm appreciation for full co-ordination and devoted services rendered
by the Employees of your Company.
9. CONSERVATION OF ENERGY, TECHLOLOGY ABSORPTION AND FOREIGN EXCHANGE
EARNINGS AND OUTGO.
Information in accordance with the provisions of Section 217(1)(e) of
the Companies Act, 1956 read with Companies (Disclosure of Particulars
in the Report of Board of Directors) Rules, 1988 regarding conservation
of energy, technology absorption are not applicable to the company
except export earnings and expenses during the year are as follows :
Export Earnings Rs. Nil/-
Traveling Expenses Rs. Nil.
10. PARTICULARS OF EMPLOYEES U/S 217 (2A) :
a). Employees employed throughout the year and were in receipt of
remuneration for the period in aggregate of Rs. 6,00,000/- per
year NIL.
b) Employees employed for part of the year and were in receipt of
remuneration of Rs.50,000/- per month or more NIL.
11. DIRECTORS RESPONSIBILITY STATEMENT : Your Directors further report
that
1. In the Preparation of the annual account, the applicable accounting
standard have been followed and that there were no material departure:
2. the accounting policies selected have been applied, on the basis of
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 as at 31st
March 2011 and of the Loss of the company for year ended 31.3.2011
3. Proper and sufficient care has been taken 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
4. The Directors had prepared the annual accounts on a going concern
basis.
12. FIXED DEPOSITS:
The company has not accepted any deposit during the year.
13. ACKNOWLEDGEMENTS :
Your Directors wish to place on record their appreciation for the
valuable support and timely of the financial institutions, government
authorities, banks and employees. The co operation and the forbearance
of the members are gratefully acknowledged.
For and on behalf of the Board of Directors
Sd/- sd/-
R S LAHOTI R A LAHOTI
Place : Mumbai (Director) Director)
Date : 29th August, 2011
Mar 31, 2010
To The Members of Servotech Engineering Industries Ltd.,
The Directors have pleasure in presenting their Fifteenth Annual
Report together with Audited Statement of Accounts of the company for
the year ended 31st March, 2010.
1. FINANCIAL RESULTS:
Current Year Previous Year
Rupees Rupees
Profit/(Loss) before Depreciation
and taxation 44,007 (85,285)
Less : Depreciation 21,101 24,878
Provision for Income Tax FOR FBT -- 200
Profit/(Loss) After Dep. &
Taxation 65,108 (1,10,363)
Add : Balance
brought forward from
last year (3,00,90,566) (2,99,80,203)
(3,00,46,559) (3,00,90,566)
Less : Prior period
expenses ------ ------
Profit/(Loss) available for (3,00,46,559) (3,00,90,566)
Appropriation
Balance of Loss carried
to B/Sheet (3,00,46,559) (3,00,90,566)
2. REVIEW OF OPERATION :
During the year under review, sales and operation income was at
Rs.27.02 lacs as against Rs. 0.08 lacs in previous financial year, and
incurred Operating profit was at Rs. 0.44 Lcas as against Loss of
Rs.0.85 Lacs in the previous year.
3. DIVIDEND :
In view of Current & carried forward losses, your directors regret
their inability to recommend any dividend for the year 2009-2010.
4. INSURANCE :
The company has made necessary arrangement for adequately insuring its
insurable interest in various assets.
5. DIRECTORS :
In accordance with the provisions of the Companies Act, 1956 and
Article 115 of the Articles of Association of the Company, Mr. R S
Lahoti & Mr. Prakash G Jain retire by rotation at the forthcoming
Annual General Meeting. Mr. Radheyshyam Lahoti & Mr. Prakash G Jain has
offered themselves for reappointment.
6. AUDITORS :
M/s. D.C. Surana & Associates, Auditors of the Company hold office
until the conclusion of the ensuing Annual General Meeting. The company
has received communication from them to the effect that the
appointment, if made, would be with in the limits prescribed under
Section 224 (1B) of the Companies act, 1956. They are proposed to be
appointment as Auditors of the Company for the financial year
2010-2011.
7. AUDITORS ' REPORT :
The comments observations made in the Auditors' Report are self
explanatory and therefore, do not call for any further comments under
Section 217 (4) of the Companies Act, 1956.
8. PERSONNEL :
During the year under review, the relations with the employees were
extremely cordial. Your Directors would like to place on record their
warm appreciation for full co-ordination and devoted services rendered
by the Employees of your Company.
9. CONSERVATION OF ENERGY, TECHLOLOGY ABSORPTION AND FOREIGN EXCHANGE
EARNINGS AND OUTGO.
Information in accordance with the provisions of Section 217(1)(e) of
the Companies Act, 1956 read with Companies (Disclosure of Particulars
in the Report of Board of Directors) Rules, 1988 regarding conservation
of energy, technology absorption are not applicable to the company
except export earnings and expenses during the year are as follows :
Export Earnings Rs. Nil/-
Travelling Expenses Rs. Nil.
10. PARTICULARS OF EMPLOYEES U/S 217 (2A) :
a). Employees employed throughout the year and were in receipt of
remuneration for the period in aggregate of Rs. 6,00,000/- per
year NIL.
b) Employees employed for part of the year and were in receipt of
remuneration of Rs. 50,000/- per month or more Ã
Ã
Ã
Ã
Ã
Ã
Ã
Ã
.. NIL.
11. DIRECTORS RESPONSIBILITY STATEMENT : Your Directors further report
that
1. In the Preparation of the annual account, the applicable accounting
standard have been followed and that there were no material departure:
2. the accounting policies selected have been applied, on the basis of
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 as at 31st
March 2010 and of the Loss of the company for year ended 31.3.2010
3. Proper and sufficient care has been taken 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
4. The Directors had prepared the annual accounts on a going concern
basis.
12. FIXED DEPOSITS:
The company has not accepted any deposit during the year.
13. ACKNOWLEDGEMENTS :
Your Directors wish to place on record their appreciation for the
valuable support and timely of the financial institutions, government
authorities, banks and employees. The co operation and the forbearance
of the members are gratefully acknowledged.
For and on behalf of the Board of Directors
Sd/ Sd/-
R S LAHOTI R A LAHOTI
Place : Mumbai (Director) (Director)
Date : 3rd September, 2010