Mar 31, 2015
1. Terms/Rights attached to Equity Shares:-
(i) The Company has only one class of Equity shares having par value of
Rs. 1/- per share.
(ii) Each holder of Equity share is entitled to one vote per share.
(iii) In the event of Liquidation of the Company , the holders of
Equity shares will be entitled to receive the realised value of the
assets of the Company, remaining after payment of all prefrential
dues(if any) .The distribution will be in proportion to the number of
equity shares held by the shareholders.
2. i) Nature of Security
a. First charge by way of hypothecation of machineries purchased under
expansion projects.
b. Collaterally secured by equitable mortgage of lands and buildings
located at B-4 and B-5 MIDC industrial Area, Murbad, Dist. Thane and
Unit no. 5,6 & 7 , Tex centre,26A, Chandivali road,Andheri (E), Mumbai.
c. Personally guaranteed by two directors of the company.
ii) Defined Benefit Plan
Leave Encashment: During the year 2014-15, the amount paid to employees
as leave encashment is ' NIL
Gratuity: The employee's gratuity scheme is non-fund based. The present
value of obligation is determined based on actuarial valuation using
the Projected Unit Credit Method, which recognizes each period of
service as giving rise to additional unit of employee benefit
entitlement and measures each unit separately to build up the final
obligation.
3. Contingent liabilities and commitments:
(a) Contingent liabilities not provided:
(i) Penalty levied by SEBI for
dalay in submission
of certain information to BSE Rs. 170,000 170,000
(ii) Disputed income tax matters in appeal Rs. - 71,881
(iii) Undertaking given under EPCG Scheme
for fullfilment of export obligation Rs. in lacs 150.85 150.85
(iv) Principal and Interest due on
Electricity charges due to non -
receipt of subsidy from
MSEdCl of earlier years 4,804,616 4,804,616
(b) Commitments:
(i) Uncalled money payable for residential Rs. 1,422,500 1,422,500
flat to the developers
4. The company operates in a single segment i.e. textile having the same
risk and return. Hence reporting as per Accounting Standard 17 'Segment
Reporting' is not applicable
5. The management is of view that as per Accounting Standard-28, no
impairment loss is required to be recognised, as the present values of
assets are higher than the carrying amount of such assets.
6. Related Party Disclosure
Related party disclosures as required by Accounting Standard (AS) -18 "
Related Party Disclosures" notified by Companies(Accounting Standards)
Rules, 2006 (as amended) are given below :
(a) Key Management Personnel and their relatives :
Key Management
Shri Pradeep Kumar Sureka Shri Narendra Kumar Sureka
Relatives
Smt. Geetadevi Sureka ( Mother of Key management personnel)
(b) Enterprises over which Key Management Personnel and their relatives
have significant influence :
True Capital and Finance Private Limited
7. During the year , a Memorandum of Understanding (MOU)was entered
between the company and its two directors. As per the terms of MOU , the
company will use the power supplied by the meters standing in the name
of such directors and makes payment of electricity bills directly to the
power supply company.
8. Effective 1 April 2014, the Company has reassessed useful lives of
fixed assets pursuant to the provisions of Schedule II to the Act and
the same has been given effect to in these financial statements. Also
depreciation Rs. 360607/- and deferred tax thereon Rs. 111428/- in this
regard has been adjusted against opening balance of statement of profit
and loss in line with the transitional provisions prescribed under the
Act.
9. Leases: The company has taken industrial gala under operating lease
or on leave and license basis. These is generally not non-cancellable
and for a period ranging between 12 months and above and is renewable at
mutual consent on mutually agreeable terms. The company has given
refundable interest free security deposit in accordance with the agreed
terms. The rent paid in accordance with these agreement is debited to
the statement of profit and loss for the year.
10. The Company has reclassified previous year figures to conform to
this year's classification.
Mar 31, 2014
1.c : Terms/Rights attached to Equity Shares:-
(I) The Company has only one class of Equity shares having par value of
1/- per share.
(ii) Each holder of Equity share is entitled to one vote per share.
(iii) In the event of Liquidation of the Company , the holders of
Equity shares will be entitled to receive the realised value of the
assets of the Company, remaining after payment of all prefrential
dues(if any). The distribution will be in proportion to the number of
equity shares held by the shareholders.
Installments falling due in respect of all the above loans upto
31.03.2014 have been taken in "Other current laibilities" under the
head "Current maturities of long term debts" (Refer note no.8)
ii) Defined Benefit Plan
Leave Encashment: During the year 2012-13, the amount paid to employees
as leave encashment is Rs. 101962-
Gratuity: The employee''s gratuity scheme is non-fund based. The present
value of obligation is determined based on actuarial valuation using
the Projected Unit Credit Method, which recognizes each period of
service as giving rise to additional unit of employee benefit
entitlement and measures each unit separately to build up the final
obligation.
The estimates of rates of escalation in salary considered in actuarial
valuation, take into account inflation, seniority, promotion and other
relevant factors including supply and demand in the employment market.
The above information is certified by the actuary.
* Based on the information available with the company in response to
the enquiries from all existing suppliers with whom the company deals,
there are no suppliers who are registered as micro and small
enterprises under''The Micro, Small and Medium Enterprises
DevelopmentAct, 2006''as at 31.03.2014
2.a The company has given Office Premises on operating lease for a
period of 3 years commencing from 16th February 2013 which is non
cancellable for 3 years. Interest free refundable deposit received by
the company has been taken under current liabilities as security
deposits. Other information as required underAS-19 are as under:
Note 3 : Contingent liabilities and commitments:
(a) Contingent liabilities not provided:
(I) Penalty levied by SEBI for dalay in
submission of Rs. 170,000 170,000
certain information to BSE
(ii) Disputed income tax matters in appeal Rs. 71,881 71,881
(iii) Undertaking given under EPCG Scheme for Rs. 150.85 150.85
fullfilment of export obligation
(iv) Principal and Interest due on
Electricity charges Rs. 4,804,616 4,726,818
due to non - receipt of subsidy from
MSEDCL of earlier years
(b) Commitments:
(I) Uncalled money payable for residential
flat to the developers 1,422,500 1,422,500
(ii) Estimated amount of contracts,
net of advances, Rs. - 23,230,000
remaining to be executed on capital
account
Note 4 : The company operates in a single segment i.e. textile having
the same risk and return. Hence reporting as per Accounting Standard 17
''Segment Reporting'' is not applicable.
Note 5 : The management is of view that as per Accounting Standard-28,
no impairment loss is required to be recognised, as the present values
of assets are higher than the carrying amount of such assets.
Note 6 :Related Party Disclosure
Related party disclosures as required by Accounting Standard (AS) -18 "
Related Party Disclosures" notified by Companies(Accounting Standards)
Rules, 2006 (as amended) are given below :
(a) Key Management Personnel and their relatives :
Key Management
Shri Pradeep Kumar Sureka Shri Narendra Kumar Sureka Relatives
Smt. Geetadevi Sureka ( Mother of Key management personnel)
(b) Enterprises over which Key Management Personnel and their relatives
have significant influence : True Capital and Finance Private Limited
(c) Transactions during the year and balances outstanding as at year
end with the related parties are as follows:
Related party relationship is identified by the company and relied upon
by the auditors.
Note 7 : Value of Raw Material, Spare Parts, Components consumble as a
% of the total consumption
Note 8: The management is proposing to make applications for
condonation to the appropriate authorities in respect of Purchase and
sale of goods amounting to Rs. 15,55,471/- and Rs. 15,48,216/-
respectively, entered in to by the company, are in contravention of
provisions of section 297 of theAct;
Note 9: During the year , a Multi-partite agreement was enterered
between company ,two directors of the company and MSEDCL vide
Commercial Circular no.151 dated 25.11.2011 issued by the MSEDCL.Since
power has been used for the production purposes by the company , the
electricity charges have been paid by the company.
Note 10: The Company has reclassified previous year figures to conform
to this year''s classification.
Mar 31, 2013
Note 1 : The company operates in a single segment i.e. textile having
the same risk and return. Hence reporting as per Accounting Standard 17
''Segment Reporting is not applicable.
Note 2 : The management is of view that as per Accounting Standard-28,
no impairment loss is required to be recognised, as the present values
of assets are higher than the carrying amount of such assets.
Note 3 :Related Party Disclosure
Related party disclosures as required by Accounting Standard (AS) -18
"Related Party Disclosures" notified by Companies (Accounting
Standards) Rules, 2006 (as amended) are given below :
(a) Key Management Personnel and their relatives : Key Management
Shri Pradeep Kumar Sureka
Shri Narendra Kumar Sureka
Relatives
Smt. Geetadevi Sureka ( Mother of Key management personnel)
(b) Enterprises over which Key Management Personnel and their relatives
have significant influence :
True Capital and Finance Private Limited (c ) Transactions during the
year and balances outstanding as at year end with the related parties
are as follows:
Note 4: The management is proposing to make applications for
condonation for following non-compliances to the appropriate
authorities:
(i) Loans & Advances, involving an amount of Rs. 2,56,657/-,(year end
outstanding Rs. Nil/-) given by the company during the year, are in
contravention of provisions of Section 295 of the Act; The management
is proposing to make application for the non  compliance, in the event
of the CompanyÂs condonation requests are not granted has not been
determined or recognized in the financial statements.
(ii) The Company has not made provision for time barred debt of Rs.
2,26,060/-
Note 5: The Company has reclassified previous year figures
to conform to this yearÂs classification.
Mar 31, 2012
Note 1 : Contingent liabilities and commitments:
UNIT 2011-2012 2010-2011
(a) Contingent liabilities
not provided:
(i) Penalty levied by SEBI
for dalay in submission of
certain information to BSE Rs. 170,000 170,000
(ii) Disputed income tax
matters in appeal Rs. 71,881 71,881
(iii) Undertaking given
under EPCG Scheme
for fullfilment of
export obligation Rs.
in lacs 151 67
(b) Commitments:
(i) Uncalled money payable
for residential flat to
the developers Rs. 1,422,500 1,422,500
(ii) Estimated amount of
contracts, net
of advances, remaining to be
executed on capital account Rs. 23,230,000 23,230,000
Note 2 : PAYMENT TO AUDITORS
Audit Fees 140,450 137,875
Tax Audit Fees 39,326 38,605
Taxation Matters 16,854 60,665
Certification 36,474 38,015
Out of Pocket expenses 2,529 2,250
235,633 277,410
Note 3 : The company operates in a single segment i.e. textile having
the same risk and return. Hence reporting as per Accounting Standard 17
'Segment Reporting' is not applicable.
Note 4 : The management is of view that as per Accounting Standard-28,
no impairment loss is required to be recognised, as the present values
of assets are higher than the carrying amount of such assets.
Note 5 : Related Party Disclosure
Related party disclosures as required by Accounting Standard (AS) -18
"Related Party Disclosures" notified by Companies (Accounting
Standards) Rules, 2006 (as amended) are given below :
(a) Key Management Personnel and their relatives : Key Management
Shri Pradeep Kumar Sureka Shri Narendra Kumar Sureka
Relatives
Smt. Geetadevi Sureka (Mother of Key management personnel)
(b) Enterprises over which Key Management Personnel and their relatives
have significant influence :
True Capital and Finance Private Limited
Note 6 : During the year ended 31st March, 2012 the Revised Schedule
VI notified under the Companies Act, 1956 has become applicable to the
Company. The Company has reclassified previous year figures to conform
to this year's classification.
Mar 31, 2011
1. In the opinion of the Board, the current assets, loans and advances
are approximately of the value stated, if realised in the ordinary
course of business. The provisions for all the known liabilities are
adequate.
2. Contingent liabilities not provided for in respect of following
matters:
(i) Demand of Rs. 1.70 lacs (Rs. 1.70 lacs) levied by SEBI, for delay
in submission of certain information to BSE. In response to Company's
reply, no correspondence, till date, has been received from SEBI.
(ii) Disputed income tax issue in appeal for assessment year 2006-2007
Rs. 71881/- (Rs.71881/-).
(iii) Liability, if any, arising on account of undertakings given by
the company under EPCG Scheme, pending fulfilment of export obligation
approximately Rs. 150.85 lacs (Rs. 67.10 lacs).
3. Estimated amount of contracts, net of advances, remaining to be
executed on capital account Rs. 129.80 lacs (Rs. 169.67 lacs).
4. The regular income tax assessments of the company have been
completed up to assessment year 2008-2009.
5. The management is proposing to make applications for condonation
for following non-compliances to the appropriate authorities:
(i) Loans & Advances, involving an amount of Rs. 9.44 lacs,(year end
outstanding Rs. NIL) given by the company during the year, are in
contravention of provisions of Section 295 of the Act; and
(ii) Contracts of job charges received and paid amounting to Rs. 0.53
lacs and Rs. 2.16 lacs respectively, in which the directors are
interested, entered into during the year, are in contravention of
provisions of section 297 of the Act;
6. Based on the information available with the company in response to
the enquiries from all existing suppliers with whom the company deals,
there are no suppliers who are registered as micro, small or medium
enterprises under The Micro, Small and Medium Enterprises Development
Act,2006', as at 31.03.2011.
7. Figures for the previous year have been regrouped, rearranged and
recasted, wherever necessary to make them comparable with the figures
of the current year. In the financial statements, any discrepancies in
any total and the sum of the amounts listed are due to rounding off.
8. The company operates in a single segment i.e. textile having the
same risk and return. Hence reporting as per Accounting Standard 17
'Segment Reporting' is not applicable.
9. The management is of view that as per Accounting Standard-28, no
impairment loss is required to be recognised, as the present values of
assets are higher than the carrying amount of such assets.
10. The company has, during the year, forfeited 227500 equity shares
as per the applicable regulations. The amount already paid on such
shares Rs. 1161500/- has been added to equity share capital as the
company has not reissued any share out of the forfeited shares.
11. Immovable properties represent a residential flat towards which
uncalled money payable by the company to the developers is Rs. 14.22/-
lacs (Rs. 14.22 lacs).
12. The company has given Office Premises on operating lease for a
period of 3 years commencing from 1st August 2010 which is non
cancellable for 3 years. Interest free refundable deposit received by
the company has been taken under current liabilities as security
deposits. Other information as required under AS-19 are as under:
13. The disclosures required under Accounting Standard 15 "Employee
Benefits" notified in the Companies (Accounting Standards) Rules 2006,
are given below:
a) Defined Contribution Plan
b) Defined Benefit Plan
Leave Encashment: During the year 2010-11, the amount paid to employees
as leave encashment is Rs. 0.18 lacs.
Gratuity: The employee's gratuity scheme is non-fund based. The present
value of obligation is determined based on actuarial valuation using
the Projected Unit Credit Method, which recognizes each period of
service as giving rise to additional unit of employee benefit
entitlement and measures each unit separately to build up the final
obligation.
The estimates of rates of escalation in salary considered in actuarial
valuation, take into account inflation, seniority, promotion and other
relevant factors including supply and demand in the employment market.
The above information is certified by the actuary.
14. Related Party Disclosure:
Related party disclosures as required by Accounting Standard (AS) -18
"Related Party Disclosures", notified by Companies (Accounting
Standards) Rules, 2006(as amended) are given below:
(a) Key Management Personnel and their relatives:
Key Management:
Shri Pradeep Kumar Sureka
Shri Narendra Kumar Sureka
Relatives:
Shri Prabhudayal Sureka (Father of Key management personnel)
Kum. Archit Sureka (Son of Shri Pradeep Kumar Sureka)
Smt. Geetadevi Sureka (Mother of Key management personnel)
15. Additional information pursuant to the provisions of paragraphs 3,
4C, and 4D of Part II of Schedule VI of the Companies Act. 1956 (Figure
in Brackets indicate previous year figures).
a. LICENSED CAPACITIES:
The compnay is not required to obtain any license under the Industries
(Development and Regulation) Act, 1951. Therefore the details of
licenced capacities are not applicble, However, the company has
obtained acknowledgements form Secretariat for Industrial Approvals.
b. INSTALLED CAPACITIES:
(i) The Company has installed 76 (61) Weaving Machines.
(ii) Capacities of production of fabrics vary according to quality and
design of fabrics and as per r.pjm, of weaving machines, hence
installed capacities are not ascertainable.
Mar 31, 2010
1. In the opinion of the Board, the current assets, loans and advances
are approximately of the value stated, if realised in the ordinary
course of business. The provisions for all the known liabilitiesand
depreciation are adequate.
2. Contingent liabilities not provided for in respect of following
matters:
(i) Demand of Rs.1.70 lacs (Rs. 1.70 lacs) levied by SEBI, for delay in
submission of certain information to BSE. In response to Companys
reply, no correspondence, till date, has been received from SEBI.
(ii) Disputed income tax issue in appeal for assessment year 2006-2007
Rs. 71881/- (Rs.71881/-).
(iii) Liability, if any, arising on account of undertakings given by
the company under EPCG Scheme, pending fulfilment of export obligation
approximately Rs. 67.10 lacs (Rs. NIL).
3. Estimated amount of contracts, net of advances, remaining to be
executed on capital account Rs. 169.67 lacs (Rs. NIL).
4. The regular income tax assessments of the company have been
completed up to assessment year 2007-2008.
5. Based on the information available with the company in response to
the enquiries from all existing suppliers with whom the company deals,
there are no suppliers who are registered as micro, small or medium
enterprises under The Micro, Small and Medium Enterprises Development
Act,2006, as at 31.03.2010.
6. Figures for the previous year have been regrouped, rearranged and
recasted, wherever necessary to make them comparable with the figures
of the current year. In the financial statements, any discrepancies in
any total and the sum of the amounts listed are due to rounding off.
7. The company operates in a single segment i.e. textile haying the
same rfsk and return. Hence reporting as per Accounting Standard 17
Segment Reporting is not applicable.
8. The management is of view that as per Accounting Standard-28, no
impairment loss is required to be recognised, as the present values of
assets are higher than the carrying amount of such assets.
9. The company has, during the year, allotted 7500000 fully paid
equity shares on preferential allotment basis as per applicable SEBI
Guidelines. The expenses incurred on the issue of shares on
preferential basis Rs. 853373 /- have been reduced from the share
premium account. As advised by Bombay Stock Exchange Limited, the
company is taking fresh resolution for preferential issue of 7500000
equity shares in place of the resolution passed in the Extra-Ordinary
General Meeting held on 30th December 2009 in the ensuing Annual
General Meeting to ratify certain technical issues.
10. Immovable properties represent a residential flat purchased during
the year towards which uncalled money payable by the company to the
developers is Rs. 14.22/- lacs.
11. As regards recovery suit filed by Union Bank of India against
Shakambbhari Spintex Ltd making the company as a party, the principle
borrower, Shakambbhari Spintex Ltd, has settled all the dues of Union
Bank of India. Union Bank of India is in the process of withdrawing the
recovery suits filed before DRT in this regard. Accordingly based on an
expert opinion no liability will arise on conclusion of the suit.
12 Related Party Disclosues as required by Accounting Standard-18 is as
under:
a) Key management personnel: Shri Narendra Kumar Sureka-Chairman and
Managing Director ar Shri Pradeep Kumar Sureka-Whole Time Director
b) Relative of key managemnet personnel: Smt. Geetadevi Sureka
c) Enterprises over which key management personnel have significant
influence: True Capital & Finance Private Limited
13 Additional information pursuant to the provisions of paragraphs 3,
4C, and 4D of Part II of Schedule VI of the Companies Act, 1956 (Figure
in Brackets indicate previous year figures).
a. LICENSED CAPACITIES:
The company is not required to obtain any license under the Industries
(Development and Regulation) Act, 1951. Therefore the details of
licensed capacities are not applicable,. However, the company has
obtained acknowledgements form Secretariat for Industrial Approvals.
b. INSTALLED CAPACITIES:
(i) The Company has installed 61 (66) Weaving Machines.
(ii) Capacities of production of fabrics vary according to quality and
design of fabrics and as per r.p.m. of weaving machines, hence
installed capacities are not ascertainable.
14. Additional information pursuant to the provision of part IV of
Schedule VI to the Companies Act, 1956.