Mar 31, 2010
The Directors present their Fifteenth Annual Report together with the Audited Accounts for the period ended 31st March 2010.
The Financial results for the period ended 31st March 2010 are summarized below:
(Rs. In lakhs) 2009-2010 2008-09
Sales 8.67 39.36
Other Income 0.00 2.00
Expenditure 29.94 44.51
Profit/ (Loss) before tax (21.27) (3.04)
Provision for Tax 0.00 0.14
Profit/ (Loss) after Tax (21.27) (2.90)
During the year 2009-10, the Company has achieved a turnover of Rs 8.67 lakhs only and earned a net loss Rs 21.27 lakhs. The entire income is earned from software services The year under review has been continued to be difficult, as expected projects have not materialized, therefore the business of the company was significantly effected during the year.
During the year under review, Mr.Sachin Tukaram Nandagaonkar & D.N. Murthy were appointed as Additional Directors of the Company and whereas Mr. A.N. Sarma has resigned from the Board. Though the composition of the Board of Directors has changed, the new directors are professional directors as such there is no change in the management of the Company.
Your Directors report that the company has not accepted any deposits from public during the year under report.
The present Auditors M/s. P. S. Nagaraju & Co., Chartered Accountants, Hyderabad, retire as the Statutory Auditors of the Company. The new auditors shall be appointed soon and shall be intimated.
All the fixed assets and movable assets of the company are adequately insured.
DIRECTORS RESPONSIBILITY STATEMENT:
As per the provisions of the Section 217 (2AA) of the Companies Act, 1956, Directors State:
i. In the preparation of the annual accounts, the applicable accounting standards have been followed along with proper explanation relating to material departures.
ii. 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 for the Company at the end of the financial year and of the profit and Loss of the company for that year.
iii. The Director have 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 have prepared the accounts on a going concern basis.
PARTICULARS OF EMPLOYEES:
The particulars of employees falling within the purview of the section 217 (2A) of the Companies Act, 1956 read with the Companies (Particulars of Employees) Rules, 1975 are nil.
CONSERVATION OF ENERGY ETC.:
Additional information on conservation of energy, technology absorption, foreign exchange earnings and outgo as required to be disclosed in terms 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 is given hereunder.
A) Conservation of Energy:
The Companys operations require low energy consumption. Adequate measures are taken to conserve energy whenever possible.
B) Technology Absorption, Research & Development:
There is no specific research and development activity carried out by the Company during the years
C) Foreign Exchange Earnings and Outgo is Nil.
The report on the corporate governance is annexed which forms part of this report.
The company has maintained cordial relations with the employees during the year under review. The company has been restructuring the human resources according to the business requirements of the company.
Your directors take this opportunity to place on record their appreciation and gratitude for the cooperation, assistance, guidance and support extended by the Companys Bankers, Shareholders, customers and various Central and State Government Agencies and Local authorities, personnel at various levels of the organization.
FOR AND ON BEHALF OF THE BOARD
Managing Director Director