Mar 31, 2016
II. NOTES TO THE ACCOUNTS :
1. Equity Shares:
The Company has one class of equity shares having a par value of Rs. 10 per share. Each shareholder is eligible for one vote per share held. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding.
(Refer Note No. 1 Share Capital )
2. Details of security provided in respect of the secured Short-term borrowings:
a. Cash Credit From State Bank Of India having credit balance of Rs. 34,30,188.47/- as on 31st March, 2016. The detail of same is as under:
Security: The Working Capital loans from State Bank of India is Secured by way of hypothecation of company''s entire current assets present and future of Company. This is also secured by way of mortgage of Collateral Security (i) Factory Land, Building, Plant and Machinery and other Fixed Assets of Company situated at Plot Nos. A-8, A-9,A-15/2,MIDC, Mahad. (ii) Office No. 103and 104 Unique Tower, Goregoan, Mumbai (iii) Lien of TDR of Rs. 0.13 crore in the name of Company. Further, Directors of Company have also given personal guarantee.
Credit Balance of cash credit from State Bank of India is included in Short Term Borrowings under Note no-3 of the financial statements.
3. Segment Reporting:
As the Company s business activity falls within a single primary business segment H-Acid Chemicals product the disclosure requirement of Accounting Standard (AS) 17 Segment Reporting are not applicable.
Mar 31, 2015
Company Overview
Shree Hari Chemical Export Limited (the "Company) is a Public Limited
Company domiciled in India and is Listed on the Bombay Stock Exchange
(BSE). The Company was established in 1987. The Company is a leading
manufacturer of H-Acid. It has its manufacturing facility at Mahad,
Raigad District of Maharashtra, India. Through innovation, dedication &
customer satisfaction, Company had succeeded in developing customers
worldwide.
1. As per the direction of Maharashtra Pollution Control Board (MPCB)
by vide letter dated 26.02.2015 Company is currently permitted to
operate at 75% of its production capacity of Company.
2. Equity Shares :
i. The Company has one class of equity shares having a par value of Rs.
10 per share. Each shareholder is eligible for one vote per share held.
The dividend proposed by the Board of Directors is subject to the
approval of the shareholders in the ensuing Annual General Meeting,
except in case of interim dividend. In the event of liquidation, the
equity shareholders are eligible to receive the remaining assets of the
Company after distribution of all preferential amounts, in proportion
to their shareholding.
3. Details of security provided in respect of the secured Short-term
borrowings:
a. Cash Credit From State Bank Of India having debit balance of Rs.
62,63,562/- as on 31st March, 2015. The details of same is as under;
i. Security : The Working Capital loans from State Bank of India is
secured by way of hypothecation of Company's entire current assets
present and future of Company. This is also secured by way of mortgage
of Collateral Security (i) Factory Land, Building, Plant and Machinery
and other Fixed Assets of Company situated at Plot Nos. A-8, A-9, A-13,
A-15/ 1 and A-15/2, MIDC, Mahad. (ii) Office No. 103 and 104 Unique
Tower, Goregaon, Mumbai (iii) Lien of TDR of Rs. 0.13 crore in the name
of Company. Further, Directors of Company has also given personal
guarantee.
Debit balance of cash credit from State Bank of India is included in
cash and cash equivalents under Note no-11 of the Financial Statements.
4. Balances with banks include fixed deposits amounting to Rs. - Nil -
(As at March 31st, 2014 Rs. 32,437,410/-) and Bank Guarantee margin
monies amounting to Rs. 1,757,000/- (As at March 31st, 2014 Rs.
340,697/-) which have a maturity of more than 12 months.
This amount is kept in separate account maintained by Company with
State Bank of India. (Refer Note-11 "Cash and Bank balances")
During the year Company has transferred unpaid dividend for Financial
Year 2006-07 of Rs. 524,562/- to the Investor Education and Protection
Fund.
5. Depreciation of Rs. 4,71,073/- on account of assets whose useful
life is already exhausted on April 01, 2014 has been charged into the
Statement of Profit and Loss after retaining residual value which is 5%
of original cost. This amount is included in the depreciation of the
current year.
6. During the year Company has discarded the Fixed Assets which is
retired from the active use having Gross Block of Rs. 29,422,356/-,
accumulated depreciation of Rs. 27,494,631/- and WDV of Rs.
19,27,725/-. Remaining W.D.V. of Rs. 19,27,725/- has been adjusted in
Statement of Profit and Loss.
7. The balance of Sundry Debtors, Creditors, Loans & Advances are
subject to their confirmation and reconciliation, if any. Bank balance
is subject to cheques on hand realization.
8. Segment Reporting :
As the Company's business activity falls within a single primary
business segment "H-Acid Chemical product" the disclosure requirements
of Accounting Standard (AS) 17 "Segment Reporting" are not applicable.
9. In the opinion of the Board, current assets, loans and advances
have a value at least equal to the amounts at which they are stated in
the Balance Sheet, if realized in ordinary course of business.
10. Related Party Disclosure :
a. Associates: Shree Hari Finvest Pvt Ltd.
b. Key Managerial Personnel
i. Shri K. L. Ramuka
ii. Shri B. C. Agrawal
iii. Shri H. P. Ramuka iv. Shri S. K. Kedia
v. Smt. P. R. Ajmera
c. Relatives of Directors:
i. Shri Anup Ramuka
ii. Shri Amit Ramuka
iii. Shri Sarthak Agarwal
11. As per Accounting Standard-22, issued by the Institute of Chartered
Accountants of India, the Deferred Tax Liability of Rs. 180.44 Lakhs
(Rs. 107.10 Lakhs) has been recognized in the Statement of Profit &
Loss. The Deferred Tax Liability arises mainly due to the timing
difference of depreciation claimed as per the books of account and the
depreciation claimed under the Income Tax Act, 1961. Deferred tax
assets in respect of unabsorbed depreciation and carry forward losses
are not recognized because there is no virtual certainty that there
will be sufficient future taxable income available to realize such
assets.
12. Company has not obtained actuarial valuation report for Post
employment or retirement benefits like Gratuity and Leave Encashment
etc., hence as required the Company has not followed AS- 15. Hence
details are required to be presented in notes to accounts as per
Actuarial Report is not given.
Provision for Gratuit has been made as per valuation provided by Life
Insurance Corporation of Indai (LIC).
Mar 31, 2014
1. As on the date of signing of this report,on the basis of report
submitted by NEERI, the Hon''ble High Court has permitted the company
to restart its unit for the purpose of production. However, the
permission is only restricted to utilization of 50% of production
capacity. In the opinion of the management, the company is in position
to comply with all the suggested terms & conditions that are further
required by Maharashtra Pollution control Board/Bombay High Court to
utilize the remaining capacity, as set out in the judgment.
2. Details of security provided in respect of the secured Short-term
borrowings:
a. Cash Credit From State Bank Of India of Rs.2,22,75,504/-(debit
balance)
i. Security : The Working Capital loans from State Bank of India is
Secured by way of hypothecation of company''s entire stock of raw
materials both imported as well as indigenous, stock in process,
consumable stores, spares and packing material and finished products,
as well as the personal guarantee given by the director of the company.
3. Balances with banks include fixed deposits amounting to
Rs.3,24,37,410 (As at 31 March, 2013 Rs.24,37,410) and Bank Guarantee
margin monies amounting to Rs.3,40,697 (As at 31 March,
2013Rs.1,27,538) which have a maturity of more than 12 months.
4. The balance of Sundry Debtors, Creditors, Loans &Advances are
subject to their confirmation and reconciliation if any. Bank balance
subject to cheques on hand realization.
Due to Micro and Small Enterprises have been determined to the extent
such parties have been identified on the basis of information collected
by the management. This has been relied upon by the auditor.
5. Segment Reporting :
As the Company''s business activity falls within a single primary
business segment "H-Acid Chemicals product" the disclosure
requirement of Accounting Standard (AS) 17 "Segment Reporting" are
not applicable.
6. In the opinion of the Board, current assets, loans and advances
have a value at least equal to the amounts at which they are stated in
the Balance Sheet, if realized in ordinary course of business.
7. Related Party Disclosure :
a. Associates: Shree HariFinvestPvt Ltd.
b. Key Managerial Persons
i. Shri K. L. Ramuka
ii. Shri B. C. Agrawal
iii. Shri H. P. Ramuka
iv. Shri Anup Ramuka
v. Shri Manoj Agrawal
vi. Shri Amit Ramuka
vii. Shri Sarthak Agrawal
8. As per Accounting Standard -22, issued by the Institute of
Chartered Accountants of India, the Deferred Tax Liability of
Rs.107.10Lacs (Rs.126.08 Lacs) has been recognized in the Statement of
Profit & Loss. The Deferred Tax Liability arises mainly due to the
timing difference of depreciation claimed as per the books of account
and the depreciation claimed under the Income tax Act, 1961. Deferred
tax assets in respect of unabsorbed depreciation and carry forward
losses are not recognized because there is no virtual certainty that
there will be sufficient future taxable income available to realize
such assets.
9. There are no dues payable to the Investor Education and Protection
Fund as at 31st March 2014.
10. Contingent Liability:
(Amt. In Rs.)
Contingent liabilities and commitments 2013-14 2012-13
(to the extent not provided for)
(i) Guarantees 2,484,715 900,415
(ii) Demand against Mathadi Board 4,420,536 4,420,536
(iii) Show Cause Notice received by the
company from custom/ excise department
not acknowledge as debt 5,506,343 5,506,343
(iv) Income Tax Demand (Without
adjustment of refund) 29,39,812 29,39,812
Mar 31, 2013
1 The future production of the company''s Mahad unit will depend upon
the final outcome of the judgment of the
Hon''ble Bombay High Court on the Public Interest Litigation (PIL)
filed. As on the date of signing of the report the matter is still
pending before Hon''ble Bombay High Court. The Hon''ble Bombay High Court
has directed to NEERI to submit a report indicating whether the company
should permited to restart its unit for the purpose of production. In
the opinion of the management the company is in position to comply with
all the suggested terms & conditions that are further required by
Maharashtra Pollution control Board/Bombay High Court as set out in the
judgment.
2 Details of security provided in respect of the secured Short-term
borrowings:
a. Cash Credit From State Bank of India of Rs. 3,23,12,929/-
I. Security : The Working Capital loans from State Bank of India is
Secured by way of hypothecation of company''s entire stock of raw
materials both imported as well as indigenous, stock in process,
consumable stores, spares and packing material and finished products,
as well as the personal guarantee given by the director of the company.
(Refer Note No. 3 "Short Term Borrowings")
3. Balances with banks including fixed deposits amounting to Rs.
24,37,410 (As at 31 March, 2012
Rs. 24,37,410 ) and Bank Guarantee margin monies amounting to Rs.
17,018 (As at 31 March, 2012 Rs. 17,080) which have a maturity of more
than 12 months.
4 Sundry debtors include Rs.17,792,620 which is doubtful in nature.
One of the debtor of the company filed an insolvency petition in the
local court of Frankfurt, Germany. The company has received a notice
from administrator of the insolvency proceedings to lodge its claim if
any. The company has lodged its claim on 17.02,2010 before the
administrator. In view of the above the amount receivable from the
debtor of Rs. 17,792,620 is doubtful in the nature. The amount which
the company lodged is taken on the basis of exchange rate of
31/03/2010.
5. The balance of Sundry Debtors, Creditors, Loans & Advances are
subject to their confirmation and reconciliation if any. Bank balance
subject to cheques on hand realization.
Due to Micro and Small Enterprises have been determined to the extend
such parties have been identified on the basis of information collected
by the management. This has been relied upon by the auditor.
6 Segment Reporting :
As the Company''s business activity falls within a single primary
business segment "H-Acid Chemicals product" the disclosure requirement
of Accounting Standard (AS) 17 "Segment Reporting" are not applicable.
7 In the opinion of the Board, current assets, loans and advances have
a value at least equal to the amounts at which they are stated in the
Balance Sheet if realized in ordinary course of business.
8 Related Party Disclosure :
a. Associates : Shree Hari Finvest Pvt Ltd.
b. Key Managerial Persons i. Shri K.L.Ramuka ii. Shri B C Agrawal
iii. Shri H P Ramuka iv. Shri Anup Ramuka v. Shri Manoj Agrawal
9 As per Accounting standard -22, issued by the Institute of Chartered
Accountants of India, the Deferred Tax Liability of Rs. 126.08 Lacs
(Rs. 148.80 Lacs) has been recognized in the Statement of Profit &
Loss. The Deferred Tax Liability arises mainly due to the timing
difference of depreciation claimed as per the books of account and the
depreciation claimed under the Income tax Act, 1961. Deferred tax
assets in respect of unabsorbed depreciation and carry forward of
losses are not recognized because there is no virtual certainty that
there will be sufficient future taxable income available to realize
such assets.
10 There are no dues payable to the Investor Education and Protection
Fund as at 31st March 2013.
11 Contingent Liability :
Contingent liabilities and commitments
(to the extent not provided for) 2012-13 2011-12
(I) Showcause notices received by
the Company from custom/ excise
Department not acknowledged as debt 5,506,343 5,506,343
(ii) Guarantees 900,415 4,295,815
(iii) Demand against Mathadi Board 4,420,536 4,420,536
(iv) Income Tax Demand for A.Y. 1998-99 29,39,812 1,428,737
12 The financial statements for the year ended 31st March, 2013 had
been prepared as per the then applicable, Pre-Revised Schedule-VI to
the Companies Act, 1956. Consequent to the notification under the
Companies Act, 1956, the financial statements for the year ended 31st
March, 2013 are prepared under revised Schedule VI. Accordingly, the
previous year figures have also been reclassified to conform to this
year''s classification.
Mar 31, 2012
1. The future production of the company's Mahad unit will depend upon
the final outcome of the judgement of the Hon'ble Bombay High Court on
the Public Interest Litigation (PIL) Filled. As on the date of signing
of the report the matter is still pending before Hon'ble Bombay High
Court. In the opinion of the management the company is in position to
comply with all the suggested terms & conditions that are further
required by Maharashtra Pollution Control Board / Bombay High Court as
set out in the judgement.
2. Details of terms of re-payment for the Secured long-term borrowings
and security provided in respect of the secured long-term borrowings:
a. Term Loan From State Bank of India
i. Security : The Term loan from State Bank of India is secured by way
of mortgage of immovable property and hypothecation of all plant,
machineries, spares, tools and accessories, stores relating to plant
and machinery etc. both present and future at its plant at A/8,A/9,
A/13, A15/1, A15/2 at MIDC industrial area of MAHAD.
ii. Terms of Repayment: Term Loan from bank are repayable in monthly
installments of Rs. 2,200,000/-.
iii. Term Loan was from State Bank of India which was outstanding at
Rs. 21,939,770 as on 31.03.2011.The Company has repaid entire
outstanding loan of Rs. 21,939,770 during financial year 2011-2012. As
amount of Rs. 21,939,770 was repayable within 12 months from date of
financial statement as on 31.03.2011 so, same is classified as other
current liability. (Refer Note No. 7 "Other Current Liability)
3. Details of security provided in respect of the secured Short-term
borrowings: a. Cash Credit From State Bank Of India of Rs. 4,534,182/-
i. Security : The Working Capital loans from State Bank of India is
Secured by way of hypothecation of company's entire stock of raw
materials both imported as well as indigenous nous, stock in process,
consumable stores, spares and packing material and finished products,
as well as the personal guarantee given by the director of the company.
(Refer Note No. 3 "Short Term Borrowings")
4. Balances with banks include deposits amounting to Rs. 24,37,410 (As
at 31 March, 2011 NIL ) and Bank Guarantee margin monies amounting to
'Rs.17,080 (As at 31 March, 2011 ' Rs. 11,17,762) which have an
maturity of more than 12 months.
5. Sundry debtors include Rs.17,792,620 which is doubtful in nature.
One of the debtor of the company filed an insolvency petition in the
local court of Frankfurt, Germany. The company has received a notice
from administrator of the insolvency proceedings to lodge its claim if
any. The company has lodged its claim on 17.02,2010 before the
administrator. In view of the above the amount receivable from the
debtor of Rs. 17,792,620 is doubtful in the nature.
6. The balance of sundry debtors, Creditors, Loans & advances are
subject to their confirmation and reconciliation if any. Bank balance
subject to cheques on hand realization.
Due to Micro and Small Enterprises have been determined to the extend
such parties have been identified on the basis of information collected
by the management. This has been relied upon by the auditor.
7. Segment Reporting :
As the Company's business activity falls within a single primary
business segment "H-Acid Chemicals product" the disclosure
requirement of Accounting Standard (AS) 17 "Segment Reporting" are
not applicable.
8. In the opinion of the Board, current assets, loans and advances
have a value at least equal to the amounts at which they are stated in
the Balance Sheet, if realized in ordinary course of business.
9. As per Accounting standard -22, issued by the Institute of
Chartered Accountants of India, the Deferred Tax Liability of Rs.148.80
Lacs (Rs.175.62 Lacs) has been recognized in the Statement of Profit &
Loss. The Deferred Tax Liability arises mainly due to the timing
difference of depreciation claimed as per the books of account and the
depreciation claimed under the Income tax Act, 1961. Deferred tax
assets in respect of unabsorbed depreciation and carry forward of
losses are not recognized because there is no virtual certainty that
there will be sufficient future taxable income available to realize
such assets.
10. Contingent Liability :
Contingent liabilities and commitments 2011-12 2010-11
(to the extent not provided for)
(i) Show cause notices received by the
Company from 5,506,343 5,657,638
Custom/Excise Department not acknowledged as debt
(ii) Guarantees 4,295,815 4,741,592
(iii) Supply of Capital Goods 1,894,500 1,894,500
(iv) Demand against Mathadi Board 4,420,536 4,420,536
(v) Income Tax Demand for A.Y. 1998-99 1,428,737 1,428,737
11. The financial statements for the year ended 31st March, 2011 had
been prepared as per the then applicable, Pre-Revised Schedule-VI to
the Companies Act, 1956. Consequent to the notification under the
Companies Act, 1956, the financial statements for the year ended 31st
March, 2012 are prepared under revised Schedule VI. Accordingly, the
previous year figures have also been reclassified to conform to this
year's classification.
Mar 31, 2010
1. Contingent liabilities not provided for in respect of :
AS AT AS AT
31/03/2010 31/03/2009
a) Bank Guarantees 4,070,292 3,170,292
b) Income Tax (A.Y.2003-2004) - 392,861
c) Supply of Capital Goods 2,169,500 5,620,500
(Net of Advances )
d) Mathadi Board 4,420,536 -
e) Show Cause Notice from Custom Depatment
for Sulphur 1,544,493 -
f) Show Cause Notices received from various authorities, amount which
is not accertainable.
2. No provision has been made for the deminution value of the
investments held by the Company, as in the opinion of the management
this is temporary in nature.
3. Balance of Sundry Debtors, Sundry Creditors, Loans & Advances and
Loans and Borrowings are subject to confirmation and reconciliation.
4. Miscellaneous and other expenses included bank charges, office
expenses, sundry balances written off, brokerage & commission paid and
other miscellaneous expenses.
5. Amount due to S.S.I. and/or ancillary undertaking as sundry
creditors as on 31st March, 2010 due to the following parties to, the
extent ascertained from the available information
M/s. Shree Laxmi Powder Products
M/s. Newreka Chemicals Pvt. Ltd.
M/s. Laxmi Micro Mettalic Industries
M/s. Dyechem Industries
M/s. Shree Mahalaxmi Enterprise
6. Deferred tax assets/liability on account of timing difference as per
Accounting Standard 22 issued by The Institute of Chartered Accountants
of India. For the Year deferred tax liability amounting
Rs.1,23,46,904/- being credited to the Profit & Loss account and
debited to the opening balance of deferred tax liabilities.
7. The deferred tax balance arising principally on account of the
timing difference between the depreciation admissible under the Income
Tax and depreciation adjusted in the accounts. Though adjustments is
being made in terms of Accounting Standard 22 having regard to the
normal capital expenditure which the Company is expected to continue to
make in future years, the timing difference not effectively reversed
and no cash out go likely to be materialised on account thereof.
8. Application money of Rs. 44,40,000 received against 12,00,000 Zero
Percent convertible Warrants of Rs. 37/- per warrant convertible into
equal number of equity shares of Rs. 10/- each at a premium of Rs. 27/-
per share having option to convert into equity shares by the warrant
holder within eighteen months from the date of allotment of warrants.
However none of the warrant holder exercise the option to convert the
warrant into equity shares within eighteen months from the date of
allotment and the time for conversion of warrants had lapsed. Hence the
aforesaid application money was forfeited and transferred to Share
Forfeited A/c.
9. Sundry Debtors includes of Rs. 2,03,60,154/- which is doubtfull in
nature. One of the debtor of the Company filed an insolvency petition
in the local Court of Frankfurt, Germany . The Company has received a
notice from the Administrator of the insolvency proceeding to lodge its
claim if any. The Company has lodged a claim on 17.02.2010 before the
Administrator. In view of the above the amount receivable from the
debtor of Rs. 2,03,60,154/- is doubtful in nature. The Company has not
provided the benefits receivable under DEPB Scheme.
10. Related Parties Transactions :
a) Parties where control exists :
i) Shree Hari Finvest Limited
b) Other related parties with whom transactions have taken place during
the year in ordinary course of business :
A) Key Management Persons :
i) Shri K. L. Ramuka
ii) Shri B. C. Agrawal
iii) Shri R. R. Agarwal
iv) Shri K. C. Ramuka
v) Shri H. P. Ramuka
vi) Shri Anup Ramuka
vii) Shri Manoj Agrawal
11. The Company is a single segment company engaged in manufacturing
of H-Acid. According the disclouser requirements as prescribed in the
Accounting Standard-17 (AS-17) on segment reporting issued by the
Institute of Chartered Accountants of India is not applicable.
12. Figures of the previous year have been regrouped / rearranged &
reclassified wherever necessary for better presentation of financial
statement
13. The amounts in the Balance Sheet and Profit & Loss Account are
rounded off to the nearest rupees.
14. The basic earning per share (EPS) as disclosed in the profit and
loss account has been calculated by dividing the net profit for the
year ended on 31.03.2010 attributable to shareholders ( Rs. 85.23 lacs)
by its weighted average number of equity shares (4446300) outstanding
during the said financial year.
15. Schedule 1 to 13 form an integral part of Balance Sheet as on 31st
March, 2010 and Profit & Loss Account for the year ended on that date.
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