Jun 30, 2014
I) Contingent Liabilities
a. The company has given a guarantee to the Bank of India for cash
credit facilities of Rs.250 lacs, Working Capital Term Loan for Rs.650
lacs and guarantee issue facility to the extent of Rs.150 lacs
sanctioned to Eastern Sugar & Industries Limited.
b. The company has mortgaged, by way of deposit of title deeds, all
immovable properties pertaining to its sugar division situated at
Motihari, Champaran East, Bihar as security interalia for the punctual
payment of Lease Rentals, Cost Compensatory and Finance Charges,
expenses and other moneys payable by Eastern Sugar & Industries Limited
to IDBI in respect of assistance granted under Equipment Lease Finance
Scheme and Term Loan aggregating to Rs. 2625 lacs.
c. The Company had determined lease with The Eastern Sugar & Industries
Ltd in the accounting year 2005 - 2006 and as per the terms and
conditions of the agreement entered into with the said lessee company,
all the fixed assets of the said lessee company will be acquired on
deferred payment basis over a number of years by the Company at a value
(to be ascertained) on the date of transfer. Such purchases shall be
accounted for as and when the assets are acquired and the amount
payable for such purchases/acquisition of fixed assets shall be
adjusted against loans given to and other claims due from the lessee
company. Contingent liability for such amount payable to the said
Company for acquisition of its fixed assets has not therefore been
provided in the books of the Company.
ii) There is no impairment of assets. The management expects to recover
amount higher than the carrying value of fixed assets.
iii) Deferred Tax has not been recognized in the books.
iv) T.D.S. on interest other than interest on securities, rent, salary
& fee for professional & Technical services u/s 194-A, 192 & 192-J
respectively, of Income Tax Act, 1961 have not been deducted and
deposited in time. Interest and penalty on delayed deposit if any, will
be accounted for on cash basis.
v) Gratuity, Leave liabilities towards employees, bonus & income from
interest on securities and other deposits are being accounted for on
cash basis.
vi) Professional Taxes and Trade License Fees are to be accounted for
on cash basis.
vii) Balance Confirmation Certificates from Debtors and Creditors are
awaited from the respective parties.
xiv) Figure''s of Previous Year have been re-arranged and re-grouped
wherever considered necessary.
Jun 30, 2013
I) Contingent Liabilities
a. The company has given a guarantee to the Bank of India for cash
credit facilities of Rs.250 lacs, Working Capital Term Loan for Rs.650
lacs and guarantee issue facility to the extent of Rs.150 lacs
sanctioned to Eastern Sugar & Industries Limited.
b. The company has mortgaged, by way of deposit of title deeds, all
immovable properties pertaining to its sugar division situated at
Motihari, Champaran East, Bihar as security interalia for the punctual
payment of Lease Rentals, Cost Compensatory and Finance Charges,
expenses and other moneys payable by Eastern Sugar & Industries Limited
to IDBI in respect of assistance granted under Equipment Lease Finance
Scheme and Term Loan aggregating to Rs. 2625 lacs.
c. The Company had determined lease with The Eastern Sugar &
Industries Ltd in the accounting year 2005 Â 2006 and as per the terms
and conditions of the agreement entered into with the said lessee
company, all the fixed assets of the said lessee company will be
acquired on deferred payment basis over a number of years by the
Company at a value (to be ascertained) on the date of transfer. Such
purchases shall be accounted for as and when the assets are acquired
and the amount payable for such purchases/acquisition of fixed assets
shall be adjusted against loans given to and other claims due from the
lessee company. Contingent liability for such amount payable to the
said Company for acquisition of its fixed assets has not therefore been
provided in the books of the Company.
ii) During the year the company has issued 25,00,000 equity shares of
Rs. 10 each/- to the holders of 17% secured Non-Convertible debenture
of Rs.100 each/- by redemption of the said debentures, at a premium of
Rs. 6.05 per share as per arbitration award from Hon''ble Justice Ajit
Sengupta (Retd.) dated 12-02-2011.
iii) There is no impairment of assets. The management expects to
recover amount higher than the carrying value of fixed assets.
iv) Deferred Tax has not be recognized in the books.
v) T.D.S. on interest other than interest on securities, salary & fee
for professional & Technical services u/s 194-A, 192 & 192-J
respectively, of Income Tax Act, 1961 have not been deducted and
deposited in time. Interest and penalty on delayed deposit if any, will
be accounted for on cash basis.
vi) Gratuity, Leave liabilities towards employees, bonus & income from
interest on securities and other deposits are being accounted for on
cash basis.
vii) Professional Taxes and Trade License Fees are to be accounted for
on cash basis.
viii) Balance Confirmation Certificates from Debtors, Creditors and
Banks are awaited from the respective parties.
ix) The Company has made an ad hoc provision for gratuity amounting to
Rs.14.93 lacs in the year 2012-2013 on the basis of calculation made by
the management and the same is considered adequate to cover liability
on account of Gratuity. However, no actuarial valuation has been made
as per AS Â 15.
x) The company has revalued land by Rs.200 lacs during the year
2012-2013 as certified by the management which resulted in an increase
in the value of fixed assets by the said amount and the same has been
credited to Revaluation Reserve.
Jun 30, 2012
1. CONTINGENT LIABILITIES:
a. The company has given a guarantee to the Bank of India for cash
credit facilities of Rs.250 lacs, Working Capital Term Loan for Rs.650
lacs and guarantee issue facility to the extent of Rs.150 lacs
sanctioned to Eastern Sugar & Industries Limited.
b. The company has mortgaged, by way of deposit of title deeds, all
immovable properties pertaining to its sugar division situated at
Motihari, Champaran East, Bihar as security interalia for the punctual
payment of Lease Rentals, Cost Compensatory and Finance Charges,
expenses and other moneys payable by Eastern Sugar & Industries Limited
to IDBI in respect of assistance granted under Equipment Lease Finance
Scheme and Term Loan aggregating to Rs. 2625 lacs.
c. The Company had determined lease with The Eastern Sugar &
Industries Ltd in the accounting year 2005 - 2006 and as per the terms
and conditions of the agreement entered into with the said lessee
company, all the fixed assets of the said lessee company will be
acquired on deferred payment basis over a number of years by the
Company at a value (to be ascertained) on the date of transfer. Such
purchases shall be accounted for as and when the assets are acquired
and the amount payable for such purchases/acquisition of fixed assets
shall be adjusted against loans given to and other claims due from the
lessee company. Contingent liability for such amount payable to the
said Company for acquisition of its fixed assets has not therefore been
provided in the books of the Company.
2. In some cases T.D.S. have not been deducted and deposited in time.
Interest and penalty on T.D.S., Advance Tax & Income Tax dues, Dividend
Tax if any, will be accounted for on cash basis.
3. Leave encashment by the employees of the company except in the
case of his or her death while in service is not allowed by the
Company. Leave liability is, therefore, accounted for on cash basis.
4. Professional Taxes and Trade License Fees are to be accounted for
on cash basis.
5. Balance Confirmation Certificates from Debtors, Creditors and
Banks are awaited from the respective parties.
6. There is no amount due to Micro and Small Enterprises as on the
Balance Sheet date in excess of Rupees One lac to the extent such
parties have been identified from the available information/ documents.
7. The Company has made an ad hoc provision for gratuity amounting to
Rs. 33.25 lacs in the year 2006-07 on the basis of calculation made by
the management and the same is considered adequate to cover liability
on account of Gratuity. However, no acturial valuation has been made as
perAS-15.
8. Depreciation on fixed assets has been provided on straight-line
basis as specified in clause 1(c) of Accounting Policies stated above.
9. The company has revalued land by Rs. 3.75 crores during the year
2011-2012 as certified by the management which resulted in an increase
in the value of fixed assets by the said amount and the same has been
credited to Revaluation Reserve.
10. Award dated 12th February, 2011 is granted by way of arbitration
for conversion to the holders of 17% Unsecured Redeemable Debentures
into 25,00,000 equity shares at a premium of Res. 6.05 each.
11. In accordance with the requirements under the Accounting Standard
(AS-22), Deferred Tax Assets (net) at the year end arising out of carry
forward Business losses, carry forward of Long Term Capital Loss and
unabsorbed depreciation has not been recognized in the current year in
the accounts. The accounting treatment is in line with prudential
accounting norms and recommendations under AS-22.
12. There is no impairment of assets. The management expects to
recover amount higher than the carrying value of fixed assets.
Segments are indentified based on the dominant source and nautre of
risks and returns and the internal organization and management
structure. The accounting policies for segment reporting are in line
with the accounting policies of the Company. In addition, the following
specific accounting policies have been followed for segment reporting.
a) Inter segment revenue is accounted for based on the transaction
price agreed to between segments which is primarily market led.
b) Revenue and expenses are identified to segments on the basis of
their relationship to the operating activities of the segment.
c) Revenue and expenses, which relate to the enterprise as a whole and
are not allocable to segments on a reasonable basis, have been
disclosed as "Unallocable". and item of income or expenses associated
with investing or financing flows. The cash flows from operating,
investing and financing activities of the Company are segregated.
13. Cash and Cash Equivalents
Cash and cash equivalents include cash in hand, demand deposits with
banks, other short-term highly liquid investments with original
maturities of three months or less.
14. Figures of Previous Year have been re-arranged and re grouped
wherever considered necessary.
Jun 30, 2011
I) Contingent Liabilities :
The Contingent liabilities are separately disclosed by way of notes on
accounts.
2. CONTINGENT LIABILITIES :
a) The company has given a guarantee to the Bank of India for cash
credit facilities of Rs.250 lacs, Working Capital Term Loan for Rs.650
lacs and guarantee issue facility to the extent of Rs.150 lacs
sanctioned to Eastern Sugar & Industries Limited.
b) The company has mortgaged, by way of deposit of title deeds, all
immovable properties pertaining to its sugar division situated at
Motihari, Champaran East, Bihar as security interalia for the punctual
payment of Lease Rentals, Cost Compensatory and Finance Charges,
expenses and other moneys payable by Eastern Sugar & Industries Limited
to IDBI in respect of assistance granted under Equipment Lease Finance
Scheme and Term Loan aggregating to Rs. 2625 lacs.
c) The Company had determined lease with The Eastern Sugar & Industries
Ltd in the accounting year 2005 - 2006 and as per the terms and
conditions of the agreement entered into with the said lessee company,
all the fixed assets of the said lessee company will be acquired on
deferred payment basis over a number of years by the Company at a value
(to be ascertained) on the date of transfer. Such purchases shall be
accounted for as and when the assets are acquired and the amount
payable for such purchases/acquisition of fixed assets shall be
adjusted against loans given to and other claims due from the lessee
company. Contingent liability for such amount payable to the said
Company for acquisition of its fixed assets has not therefore been
provided in the books of the Company.
3. In some cases T D. S. have not been deducted and deposited in time.
Interest and penalty on T. D. S., Advance Tax & Income Tax dues,
Dividend Tax if any, will be accounted for on cash basis.
4. Leave encashment by the employees of the company except in the case
of his or her death while in service is not allowed by the Company.
Leave liability is, therefore, accounted for on cash basis.
5. Professional Taxes and Trade License Fees are to be accounted for
on cash basis.
6. i) Balance Confirmation Certificates from Debtors, Creditors and
Banks are awaited from the respective parties.
ii) There is no amount due to Micro and Small Enterprises as on the
Balance Sheet date in excess of Rupees One lac to the extent such
parties have been identified from the available information/documents.
7. The Company has made an ad hoc provision for gratuity amounting to
Rs. 33.25 lacs in the year 2006-07 on the basis of calculation made by
the management and the same is considered adequate to cover liability
on account of Gratuity. However, no acturial valuation has been made as
per AS - 15.
8. Depreciation on fixed assets has been provided on straight-line
basis as specified in clause 1(c) of Accounting Policies stated above.
9. The company has revalued land by Rs.6.25 crores during the year
2006-07 as certified by the management which resulted in an increase in
the value of fixed assets by the said amount and the same has been
credited to Revaluation Reserve.
10. Arbitration proceeding is in progress for conversion of 17%
Unsecured Redeemable Debentures into equity shares. On finalization of
arbitration proceeding, the said debentures will be converted in to
equity shares on such terms and conditions as may be decided by the
Arbitrator.
14. In accordance with the requirements under the Accounting Standard
(AS-22), Deferred Tax Assets (net) at the year end arising out of carry
forward Business losses, carry forward of Long Term Capital Loss and
unabsorbed depreciation has not been recognized in the current year in
the accounts. The accounting treatment is in line with prudential
accounting norms and recommendations under AS-22.
15. There is no impairment of assets. The management expects to
recover amount higher than the carrying value of fixed assets.