Mar 31, 2016
Term Loan 1 :
Detai ls of Security :- 1. Term loan from bank is taken from DCB Bank and secured by : a) Hypothection of Machineries and Other Assets purchsed under this term loan b) Equitable mortgage on the factory Land and Building of Plot nos. 13 to 16 standing in the name of the Company at Palghar and c) Personal Guarantees of Promoter Directors of the Company - Mr. Sanjay Gadodia and Mr. Danny Hansotia.
Terms of Repayment :- Loan to be repaid in quarterly installment within 4 years upto 31 May 2016
Term Loan 2 :
Details of Security :- 1. Term loan from bank is taken from DCB Bank and secured by : a) Hypothection of Machineries and Other Assets purchsed under this term loan b) Equitable mortgage on the factory Land and Building of Plot nos. 13 to 16 standing in the name of the Company at Palghar and c) Personal Guarantees of Promoter Directors of the Company - Mr. Sanjay Gadodia and Mr. Danny Hansotia.
Terms of Repayment :- Loan to be repaid in equated monthly installment beginning from December 2015 and ending on November 2019
Easy Business Term Loan 3:
Details of Security :- 4. Term loan from bank is taken from DCB Bank and secured by : a) Equitable mortgage of commercial property situated at B 1303 Naman midtown purchsed under this term loan b) Equitable mortgage on the factory Land and Building of Plot nos. 13 to 16 standing in the name of the Company at Palghar and c) Personal Guarantees of Promoter Directors of the Company - Mr. Sanjay Gadodia and Mr. Danny Hansotia.
Terms of Repayment :- Loan to be repaid in equated monthly installment beginning from August 2015 and ending on July 2025
Easy Business Term Loan 5 :
Details of Security :- 1. Term loan from bank is taken from DCB Bank and secured by : a) Equitable mortgage of commercial property situated at B 1303 Naman midtown purchsed under this term loan b) Hypothecation of furniture and fixtures purchased against this term loan c) Equitable mortgage on the factory Land and Building of Plot nos. 13 to 16 standing in the name of the Company at Palghar and d) Personal Guarantees of Promoter Directors of the Company - Mr. Sanjay Gadodia and Mr. Danny Hansotia.
Terms of Repayment :- Loan to be repaid in equated monthly installment beginning from September 2015 and ending on August 2018
Details of Security:- Working capital loans is taken from DCB Bank and the same is 1) secured by hypothecation of inventories and Book Debts, 2) Equitable mortgage on the factory Land and Buildings of Plot Nos. 13 to 16 standing in the name of the Company at Palghar, 3) Personal Guarantees of Promoter Directors of the Company - Mr. Sanjay Gadodia and Mr. Danny Hansotia and 4) Hypothecation of entire Plant & Machinery, Furniture and Fixtures including spares, tools and accessories etc.
(The Company has filed an Appeal before Income Tax Appellate Tribunal, Mumbai against Income Tax Demand of Rs. 7,446,117/- for A.Y. 2005-06 and A.Y. 2006-07 and paid Rs. 2861057/- against these)
b) Sales Tax matter disputed in appeal - NIL
In the above matter the Company is hopeful of succeeding and as such does not expect any significant liability to crystallize
33) EMPLOYEE BENEFITS PLAN
Disclosure as required by Accounting Standard 15
Liability in respect of gratuity and leave encashment are accounted on payment basis which is not in conformity with Accounting Standard (AS)15 (Revised 2005) on Employee Benefits as issued by the institute of Chartered Accountant of India, which requires that gratuity and Leave Encashment Liabilities be accounted for on accrual basis and as per actuarial basis.
6) The items of inventories are measured at lower of cost or or net realizable value after providing for obsolescence, if any. Cost of inventories comprises of cost of purchase, cost of conversion and other costs incurred in bringing them to their respective present location and condition. Raw material comprises of Yarn and packing material at cost, Wastage is valued at net realized value. Cost of Raw material, finished goods, Spare and Consumables are determined on First in First out basis. (FIFO)
7) Previous year figure have been regrouped / reclassified to conform with current year presentation, whenever considered necessary
Installed capacity has been calculated on the basis of machines running on production of pouch Heel Socks & real Heel Socks. For the year the number of machines making such production as of March 31, 2016 is 6 & 157 respectively (previous year as of March 31, 2015 is 6 & 136 respectively).
8 Insurance claim of Rs. 89.35 Lacs filed by the company on account of fire occurred at the Company''s Go down at Aliyali -Palghar, Maharashtra on 26th August, 2008 damaging complete Building and Stock in hand is still pending with the insurance company. The Company has filled a case against the insurance company in the National Consumer Court, New Delhi. The case is still pending as on March 31, 2016.
9 The Company has to fulfill export obligations under EPCG license granted to the same on conversion from EOU status to DTA status. Since the Machineries required for completion of the said obligation has destroyed in fire in Dec'' 2004, the Company has taken up the matter with the relevant authorities for cancellation of the said License. The matter is still pending with relevant Authority as on March 31, 2016.
10 The Company has received a notice from the Octroi department for recovery Octroi duty for goods cleared under "N" form for the period ended 2008, 2009, & 2010. The Company has however disputed the same and has filled a FIR in the FY 2013-14 against a courier company who have fraudulently forged the Company''s documents to clear such goods. The matter is pending with the Octroi authorities as on March 31, 2016.
Mar 31, 2015
1. SHARE CAPITAL
a) Terms / rights attached to equity shares
The Company has only one class of equity shares having a par value of
Rs. 10/-. The equity shares have rights, preferences & restrictions
which are in accordance provisions of law, in particular the companies
Act, 1956.
2. Details of Security: Working Capital loan taken from DCB Bank & same
is 1) Secured by hypothecation of inventories and book debts. 2)
Equitable mortgage of the factory land & building of plot no. 13 to 16
standing in the name of the Company at Palghar. 3) Personal Guarantees
of Executive/ Promoter Directors of the Company.
3. CONTINGENT LIABILITIES
Amount in Rs
March 31,2015 March 31, 2014
i) Claims against the company not
acknowledgement as debts
a) Income tax matters disputed in 7,446,117.00 7,446,117.00
appeal
(The Company has filled an Appeal before Income Tax Appellate Tribunal,
Mumbai against Income Tax Demand of Rs. 7,446,117/- for A.Y. 2005-06
and A.Y. 2006-07 and paid Rs. 2861057/- against these)
b) Sales Tax matter disputed in appeal - NIL
In the above matter the Company is hopeful of succeeding and as such
does not expect any significant liability to crystallize
4. EMPLOYEE BENEFITS PLAN
Disclosure's required by Accounting Standard 15
Liability in respect of gratuity and leave encashment are accounted on
payment basis which is not in conformity with Accounting Standard
(AS)15 (Revised 2005) on Employee Benefits as issued by the institute
of Chartered Accountant of India, which requires that gratuity and
Leave Encashment Liabilities be accounted for on accrual basis and as
per actuarial basis.
5. Some of the sundry debtors, sundry creditors and loans & advances
are subject to confirmation and reconciliation. Consequential
adjustment thereof, if any, will be given effect into the books of
accounts in the year of such adjustment.
6. In the opinion of the Board, the current assets, loans & advances
are approximately of the value stated and are realizable in the
ordinary course of business.
7. The items of inventories are measured at lower of cost or or net
realizable value after providing for obsolescence, if any. Cost of
inventories comprises of cost of purchase, cost of conversion and other
costs incurred in brining them to their respective present location and
condition. Raw material comprises of Yarn and packing mate rail at
cost, Wastage is valued at net realized value. Cost of Raw material,
finished goods, Spare and Consumables are determined on First in First
out basis. (FIFO)
8. Previous year figure have been regrouped / reclassified to confirm
with current year presentation, whenever considered necessary
9. Insurance claim of Rs. 89.35 Lacs filed by the company on account
of fire occurred at the Company's God own at Aliyali * Palghar,
Maharashtra on 26 th August, 2008 damaging complete Building and Stock
in hand is still pending with the insurance company. The Company has
filled a case against the insurance company in the Consumer Court. The
case is still pending as on March 31,2015.
10. The Company has to fulfil export obligations under EPCG licence
granted to the same on conversion from EOU status to DTA status. Since
the Machineries required for completion of the said obligation has
destroyed in fire in Dec 2004, the Company has taken up the matter with
the relevant authorities for cancellation of the said Licence. The
matter is still pending with relevant Authority as on March 31,2015.
11. The Company has received a notice from the Octroi department for
recovery Octroi duty for goods cleared under "N" form for the period
ended 2008,2009, & 2010. The Company has however disputed the same and
has filled a FIR in the current year against a courier company who have
fraudulently forged the Company's documents to clear such goods. The
matter is pending with the Octroi authorities as on March 31,2015.
12. As per Accounting Standard 18, the disclosures of transaction with
the related parties as defined in the Accounting Standard are given
below:
Sr.No Name of Related Party Relationship
1 Carnival Properties Pvt Ltd
2 Juvenile Trading Pvt Ltd Group Companies
3 Mr. Sanjay S Gadodia
4 Mr. Danny F Hansotia Key Management Personnel
5 Mr. Sandeep S Gadodia
6 Mr. Firoz M Hansotia
7 Mrs. Sulochana Gadodia Relatives of Key Management
Personnel
8 Mrs. Rita Gadodia
13. Segment Reporting
Based on the guiding principles given in Accounting Standards on '
Segment Reporting' [(Accounting Standard -17) issued by the Institute
of Chartered Accounts of India] the company's primary business segment
is Knitted Socks. As the Company's business activity falls within a
single primary business segment the disclosure requirement of As-17 in
this regards not applicable.
Mar 31, 2014
1) CONTINGENT LIABILITIES
Amount In Rs
March 31,2014 March 31,2013
i) Claims against the company not
acknowledgement as debts
a) Income tax matters disputed in
appeal 7,446,117,00 7,446,117.00
(The Company has filled an Appeal before Income Tax Appellate Tribunal,
Mumbai against Income Tax Demand of Rs. 7,446,117/- for A.Y. 2005-06
and A.Y. 2006-07 and paid Rs. 2861057/- against these) b) Sales Tax
matter disputed in appeal - NIL
In the above matter the Company is hopeful of succeeding and as such
does not expect any significant liability to crystalize
2) EMPLOYEE BENEFITS PLAN
Disclosure as required by Accounting Standard 15
Liability In respect of gratuity and leave encashment are accounted on
payment basis which is not in conformity with Accounting Standard
(AS)15 (Revised 2005) on Employee Benefits as issued by the institute
of Chartered Accountant of India, which requires that gratuity and
Leave Encashment Liabilities be accounted for on accrual basis and as
per actuarial basis.
3) Some of the sundry debtors, sundry creditors and loans & advances
are subject to confirmation and reconciliation. Consequential
adjustment thereof, if any, will be given effect into the books of
accounts in the year of such adjustment.
4) In the opinion of the Board, the current assets, loans & advances
are approximately of the value stated and are realizable in the
ordinary course of business.
5) The items of inventories are measured at lower of cost or or net
realizable value after providing for obsolescence, if any. Cost of
inventories comprises of cost of purchase, cost of conversion and other
costs incurred in brining them to their respective present location and
condition. Raw material comprises of Yarn and packing materail at cost.
Wastage is valued at net realized value. Cost of Raw material, finished
goods. Spare and Consumables are determi ned on Fi rst in First out
basis. (FIFO)
6) Previous year figure have been regrouped / reclassified to confirm
with current year presentation, whenever considered necessary
Installed capacity has been calculated on the basis of machines running
on production of pouch heel socks & real heel socks. For the year the
number of machines making such production as of March 31,2014 is 6 &
123 respectively)
7) Insurance claim of Rs. 89.35 Lacs filed by the company on account
of fire occurred at the Company''s Godown at Aliyali - Palghar,
Maharashtra on 26 th August, 2008 damaging complete Building and Stock
in hand is still pending with the insurance company. The Company has
filled a case against the insurance company in the Consumer Court. The
case is still pending as on March 31,2014.
8) The Company has to fulfil export obligations under EPCG licence
granted to the same on conversion from EOU status to DTA status. Since
the Machineries required for completion of the said obligation has
destroyed in fire in Dec'' 2004, the Company has taken up the matter
with the relevant authorities for cancellation of the said Licence. The
matter is still pending with relevant Authority as on March 31,2014.
9) The Company has received a notice from the Octroi department for
recovery Octroi duty for goods cleared under" N" form for the period
ended 2008,2009, & 2010. The Com pany has however disputed the same and
has filled a FIR in the current year against a courier com pany who
have fraudulently forged the Company''s documents to clear such goods.
The matter is pending with the Octroi authorities as on Ma rch 31,2014.
10. Segment Reporting
Based on the guiding principles given in Accounting Standards on ''
Segment Reporting'' [(Accounting Standard -17) issued by the Institute
of Chartered Accounts of India] the company''s primary business segment
is Knitted Socks. As the Company''s business activity falls within a
single primary business segment the disclosure requirment of As-17 in
this regards not applicable.
Mar 31, 2013
1. Contingent Liabilities
In respect of guarantee provided by bank on behalf of the Company Rs.
28,65,910/- (Previous year Rs.28,65,910/-) Income Tax demand of
Rs.74,46,117/- for A.Y.2005-06 & A.Y.2006-07 (Previous Year
Rs.6,62,248/-) against which the company paid 28,61,057/- in March 2012
(Previous Year Rs. Nil/-) and has filed an appeal with the Income Tax
Appellate Tribunal, Mumbai.
2. Insurance claim of Rs. 89.35 Lacs filed by the company on account
of fire occurred at the Company''s Godown at Aliyali- Palghar,
Maharashtra on 26th August, 2008 damaging complete Building and Stock
in hand is still pending with the insurance company. The Company has
filled a case against the insurance company in the consumer court. The
case is still pending as on March 31, 2013.
3. The company has pending Export obligation under EPCG against
Machinery destroyed in fire in Dec''2004. In the current year company
has taken up the matter with the relevant authorities for waiver of the
said export obligation. The matter is still pending as on March 31,
2013.
4. The Company has received a notice from the Octroi department for
recovery of Octroi duty for goods cleared under "N" form for the period
ended 2008, 2009, & 2010. The Company has however disputed the same and
has filled a FIR in the current year against a courier company who have
fraudulently forged the company''s documents to clear such goods. The
matter is pending with the Octroi authorities as on March 31, 2013.
5. Segment reporting
Based on the guiding principles given in Accounting Standard on
''Segment Reporting ''[(Accounting Standard - 17) issued by the Institute
of Chartered Accounts of India] the company''s primary business segment
is Knitted Socks. As the Company''s business activity falls within a
single primary business segment the disclosure requirement of AS-17 in
this regards are not applicable.
Mar 31, 2012
A. Subscribed and Paid up Share Capital shown above includes Share
forfeited amount of Rs.40,500/- on 8,100 Shares The said amount is
transferred to security premium A/c in April 2012
B. Allotment money due on 1,100 Shares amounting to Rs.5,500/- is
pending.
CAPITAL RESERVES
Subsidy given by Government is under State Government Subsidy Scheme
for setting up Industrial unit in backward area. Since, this is only an
incentive, and not for acquiring any specific Capital Asset, the same
is treated as Capital Reserve.
SECURED LOANS
(1) Term Loan from banks is taken from DCB Bank and is secured by first
charge on Freehold Land situated at Palghar and on the Other Fixed
Assets of the company.
(2) Car Loan from Banks & Financial Institution are secured by first
charge on the said Cars.
UNSECURED LOANS
(1) Unsecured Loan from Financial Institution is taken from Magma
Finance and is guaranteed by the Executive Directors, in their personal
capacities.
Provision for Gratuity is made on the assumption that such benefits are
payable on termination of employment and method adopted for its
calculation has been worked by management internally in place of
actuarial valuation method.
Working Capital Loans is taken from DCB Bank and the same is secured by
hypothecation of Inventories and Book Debts and are further secured by
a second charge on the Fixed Assets of the company
Note :
1 Depreciation is provided on old factory shed building upto 31st
December, 2009, after which depreciation is provided on new factory
shed building
2 New factory shed building is capitalized in January 2010 in place of
old factory shed building (burn by fire).
3 Depreciation is provided on old factory shed building up to 31st
December, 2009, after which depreciation is provided on new factory
shed building
Investments in Quoted Equity Shares
TELCO ( Tata Motors Ltd) on 13/09/2011 sub divided existing ordinary
equity shares from every ONE equity share of Rs.10/- each into FIVE
equity shares of Rs.2/- each. Hence, Number of Equity Shares increased
from 300 to 1500 Shares.
Investments in Capital of Partnership Firm
Company has made an Investments of Rs.100 Lacs in a Partnership Firm
viz. Vyas Developers- Property Developers for developing land in
Palghar, in May 2008.
As per information obtained from management, the said Business has not
commenced in the current year, hence,
Valuation of inventories
Items of inventories are measured at lower of cost or net realizable
value after providing for obsolescence, if any. Cost of inventories
comprises of cost of purchase, cost of conversion and other costs
incurred in bringing them to their respective present location and
condition. Raw material comprises of Yarn and packing material at cost,
Wastage is valued at net realizable value. Cost of Raw material,
finished goods, Spares and Consumables are determined on First in First
out basis.
Investments in Company
Company has Share Application money of Rs.145 Lacs in M/s Spenta Global
Pvt Ltd. and as per management, no share have issued or allotted to the
company as at 31.03.2012
Fixed Deposits
Fixed Deposits stated above includes Rs.NIL/- (P.Y. Rs. 8,27,601/-)
under Lien for Bank Guarantee given to DGFT for EPCG
Balance in Loans and Advances as shown in the accounts are subject to
confirmation and reconciliation. However, in the opinion of the Board
of Directors all loans and advances would in the ordinary course of
business realize at least the value stated.
1. Contingent Liabilities
In respect of guarantee provided by bank on behalf of the Company Rs.
28,65,910/- (Previous year Rs.28,65,910/-) Income Tax demand of
Rs.74,46,117/- for A.Y.2005-06 & A.Y.2006-07 (Previous Year
Rs.6,62,248/-) against which the company paid 28,61,057/- in March 2012
(Previous Year Rs. Nil/-) and has filed an appeal with the Income Tax
Appellate Tribunal, Mumbai.
Installed capacity has been calculated on the basis of machines running
on production of pouch Heel Socks & real Heel Socks. For the year the
number of machines making such production as of 31st March, 2012 is 6 &
115 respectively (previous year as of 31st March, 2011 is 6 & 98
respectively).
2. Insurance claim of Rs. 89.35 Lacs filed by the company on account
of fire occurred at the Company's Godown at Aliyali- Palghar,
Maharashtra on 26th August, 2008 damaging complete Building and Stock
in hand is still pending with the insurance company. The Company has
filled a case against the insurance company in the consumer court. The
case is still pending as on 31st March 2012.
3. The company has pending Export obligation under EPCG against
Machinery destroyed in fire in Dec'2004. In the current year company
has taken up the matter with the relevant authorities for waiver of the
said export obligation. The matter is still pending as on 31st March
2012.
4. The Company has received a notice from the Octroi department for
recovery of Octroi duty for goods cleared under "N" form for the period
ended 2008, 2009, & 2010. The Company has however disputed the same and
has filled a FIR in the current year against a courier company who have
fraudulently forged the company's documents to clear such goods. The
matter is pending with the Octroi authorities as on 31st March 2012.
Note : Related party relationship is as identified by the Company and
relied upon by the Auditors
5. Segment reporting
Based on the guiding principles given in Accounting Standard on
'Segment Reporting '[(Accounting Standard - 17) issued by the Institute
of Chartered Accounts of India] the company's primary business segment
is Knitted Socks. As the Company's business activity falls within a
single primary business segment the disclosure requirement of AS-17 in
this regards are not applicable.
Mar 31, 2010
(a) The previous years figures have been regrouped, rearranged and
reclassified wherever necessary. Amounts and other disclosures for the
proceeding year are included as an integral part of the current year
financial statements and are to be read in relation to the amounts and
other disclosures relating to the current year.
(b) Contingent Liabilities
In respect of guarantee provided by bank on behalf of the Company Rs.
11,34,910 (Previous year Rs.11,34,910).
Income Tax demand of Rs.662,248/- (Previous Year Rs.662,248/-) for the
previous years, against which the company has filed an appeal with the
Income Tax Appellate Tribunal, Mumbai. The matter is still pending with
the said authority.
(c) Balance in Loans and Advances as shown in the accounts are subject
to confirmation and reconciliation. However, in the opinion of the
Board of Directors all loans and advances would in the ordinary course
of business realize at least the value stated. During the year under
review an amount of Rs.Nil (Previous Year Rs.Nil) has been written off
as the same is not recoverable.
(d) Secured Loan from Financial Institution is secured by first charge
on Freehold Land situated at Palghar and on the Other Fixed Assets of
the company.
(e) Working Capital Loans from Dena Bank are secured by hypothecation
of Inventories and Book Debts and are further secured by a second
charge on the Fixed Assets of the company. The loans are also
guaranteed by the Executive Directors, in their personal capacities.
(f) There is no small scale Industrial Undertakings to whom an amount
of more than 1 Lac is outstanding for more than 30 days.
(g) During the previous year company has made Investments in
partnership firm (Vyas Developers- Property Developers) for developing
land in Palghar. The said Business has not commenced in the current
year, hence, no share of profit & loss account of firm is accounted in
the companys book.
(a) Insurance claim of Rs. 89.35 Lacs filed by the company on account
of fire occurred at the Companys Godown at Aliyali- Palghar,
Maharashtra on 26th August, 2008 damaging complete Building and Stock
in hand is still pending with the insurance company.
(h) Segment reporting
Based on the guiding principles given in Accounting Standard on
Segment Reporting [(Accounting Standard -17) issued by the Institute
of Chartered Accounts of India] the companys primary business segment
is Knitted Socks. As the Companys business activity falls within a
single primary business segment the disclosure requirement of AS-17 in
this regards are not applicable.