Mar 31, 2015
1. TERMS/RIGHTS ATTACHED TO EQUITY SHARES
I The Company has only one class of equity shares having a par value
ofRs 5 f- per share IHach holder of equity -share 1% emilled to one
vale per share li During 1hc current year, the aroounT of dividend p«
yhare rnrogn ized as distnhuiion IP equity shareholders was Ks N) L <
Previous year Rs NIL)
2. In evenlof liquidation uf*C Ctimpeny, the holden qf equity shares
would be entitled to reteive remain inf aseds of 6* Company, iiflti
distribution of all pre leTential amounls Tlsc d isfrihutinn will he m
proportion lo ihc number of equity shares held by the Shareholders
3. Of the slmt. 3jM.3Z.39G equity shares of Hs.V- each fully paid up
has hetfl alknied lo non-residenls cm iwn-repaJrial inn basis
(i) fish credit From banks are seen red:
(a) by way of first Paripeeau charge cut hypothecation of Company's
entire stock-in-trade consisting of raw materials, uod-mpKSSS, finished
goods, consumables stores and spares and Teceivables/book debts, both
present and future,
(b) by way of first pari passu charge on hypothecation of all existing
and future movable assets and Other fixed assets i e. . the plant and
machinery at the company's existing plan* at Belavadi Industrial Area.
Mysuru,
(c) by way of first pan passu charge by Equitable mortgage of factory
Land and Building belonging to the company at Bdavadi Industrial Area.
Mysuru. and
(dl funher secured by personal guarantee of the Chairman & Managing
Director and the Executive Director (c) Cash credit from hanks cam
interest rate -Si; 15 .35% p.a
4. The I,nans from other parties are received from Chairman &.
Managing Director. Executive Director of the Company and other entities
in which the directors are interested at the interest rate of 13 5% p
a. and is repayable on demand.
5. There is no amount due and outstanding lo he [mined to Investor
Fduralion and PtntecHim F und E
6. The Comftany lias, nut entered into any forward contracts to
miligalc its risks associated with toreian currency fluctuations having
undcrly mg transactions and relating 10 firm commitments nr highly-
pruhahle forecast trail saci uui.s The company does not emcr inm anv-
torn aid contract which is intended for Hading or specula! iv e
purposes
6. FAS required by I'ara-tbA of Hie Accounting .klandard AS 1 i issued
by The Institute of (.'haltered Aecmimanis of India " Thy FFTeeiy (if
Changes m Foteign Exchange tales", during ihu cuncnt financial year
translation loss ansing cm account of variation in external commercial
borrowing outstanding at the year end has been capitalized to I he
extent of Rs 7.1.34.44m utilized in acquit mg capital assets I-urt her
1he Foreign Exchange translation Loss ol'Fts 2,43115 S31 arising there
on lues been accounlcd under "Foreign Currency Monetary Hem Translation
Difference Account" Accordingly, the balance in ihc said accoum will be
amortized over ihe balance lenur ol" loan (uplo 3i" March 2u2ii i Due
to ihe change in accounting practice, m accordance with Accounting
Standard AS-l I of The Institute of Chartered Accountanis ot'lndu. ihe
loss js lower by Ks 3.12.14.iNS after current year amort izuLron of Rs
5,16,1 S2.
7) The company has taken steps to receive cnnsi stoutly quality power
tram the power grid, resulting in cconomicallv dahle production if (is
ily Further, ihe Company has incurred capital expenditure [hat will
increase the capacity of the formaldehyde and Para Formaldehyde plants
totwice ils ptosem capacity. Accordingly, the management is of the view-
tli.it virtue I certa inly exists regarding sufliriem future
mcomci'laxablc income accruing lo the eompany and consequently the past
lu-wes are expected to be wiped off Therefore Ihe eompany has recognized
the Deterred Tax Asset in the books of Account Ftorrowrngcosts capMahscd
during the v ear is Rs 72,87.741/- (PY NJ!.) H I ore on currency
translation difference capitalised during 1he year is Rs 73,34,449/-
1 There are no employees who are in receipt of remuneration in tbe
aggregate al Ihe rate of not Fess 1han R s '-.(Xin.fifyV- per annum or
500 OOOi- |ier month in respect of part of the year during ihe year
8. Inter-dmsion transfers of goods aggregating to a value of Rx 11 ,-BS
,7S. I OB/- for iniemal use as captive consumption ate disclosed as
conn a-, items m Profit and Loss Statement to reflect the into economic
value of Production rnter-ve the divisions. This treatment of
i.ntra-dmsion transfers differs from the Ircatmenl recommended by
Accounting Standard -9 1 Revenue EievugpiLion) presenbed by the
Companies iAccnuntmg SundardsJ Rales. 2fKl6 AcMinJingjy. the sales and
raw material consumption figures are higher by Rsl I SS "H I -OS/-
accounting neaimenl has nn impact on the results of the company
9 Confinnstion Ifom ccnam parlies tinr amounts due to Lhemruinoutil due
Irom lliem as pet uccormis of the Cumpuns Han mu hceit received
Necessarx adjustment. ifsnv uill be mode when [he iccuunla are i rainn
led/KSI led
Excise Dun- approximately Its 20 97 tacs (hwkws yea# Rs.29 76 lacs I on
slock assailing clearance has been considered in vuluidiurt of finished
10. he Income lax assessments of (he company have been completed upto
the Assessment year 2012-13 There are no demands Outstanding. In vie*
of loss lot assessment year 2015-16, the company has been advised that
there is JIO liability to income to* and accordingly no provision has
been made.
RELATED PARTY Disclosure
A. Relaship:
1. subsidaries NILL
2. Key management person (kmp) and their relatives
Mr. C D Datwani
Mrs. Saroj c dATWANI
3. OTHER RELAT PARTIES (IN WHICH EITHER OF THE DIRECTORS OR THERI)
Ahha Finance Pvt l.rd
C iftd Rftd Fsliihf Pvi
Divine PdIy Hylic IM Ltd
Father H Son bivcstiimts Pvt. Lid
Father £ Son Oven ms Pit Ltd
Kamadhcnti Residency Pvt. Ltd.
MhJipmti Realtors Pvt. Ltd
Sanchay Kes idency Pvt. I .td.
Sanchit Rvaltnrs IM ltd
Sangjxl Residency Pn. Ltd
Sinjo Residency Pvt Ltd.
Sotoj Rrsidenry Pu Lid.
Venlom Investments Pvt I.1d
Mar 31, 2014
1. Terms/ rights attached to equity shares
i. The Company has only one class of equity shares having a par value
of Rs. 5/- per share. Each holder of equity share is entitled to one
vote per share ii. During the current year, the amount of dividend per
share recognized as distribution to equity shareholders was Rs.NIL.
(Previous year Rs. NIL)
iii. in event of liquidation of the Company, the holders of equity
shares would be entitled 10 receive Remaining assets of the company .
after distribution of all Preferential amounts. The distribution will
be in proportion to the number of equity shares held by the
shareholders
2. (i) Cash credit from bank* are secured:
(a) by way of first paripassu charge, on hypothecation of Company''s
entire stock-in-trade consisting of raw materials. stock-m process,
finished goods.
consumables stores and. spores and receivables/book. debts, both
present and future,
(b) by way of first paripassu charge, on hypothecation of all existing
and future movable assets and other fixed assets i.e..., the plant and
machinery at The company''s existing plant at Belavadi industrial .Area,
Mysore.
c) by way of first paripassu charge, or Equitable mortgage of factory
land and Building belonging in the company at Belavadi Industrial Area.
Mysore,, and
(d) further secured by personal guarantee of the Chairman & Managing
Director and the Executive Director e) Cash credit from banks carry
interest rate @ 13.75% p.a.
(ii) The Loans from other parties are received from Chairman &
Managing Director . Executive Director of the Company and other
entities in which the directors arc interested at the interest rate of
13.5% p.a is repayable on demand.
3. The Aggregate Market Value of Investments in Equity Shares as at
11.03.2014 is Rs 13,19,302/- ( PY Rs. 11,79,900 )
(a) Net Asset Value of SBI Capital Protection Oriented Fund Series !f
as at 31.01.2014 is Rs 31,32,025
(b) In view of the Company''s long term investment strategy no provision
is considered necessary in respect of diminution, if any, in the Market
value of securities field by the Company
4. A Contingent Liability & Commitments not provided for:
A Bank Guarantee furnished to court in respect of pending legal matter
Rs 28 lakhs.
B Estimated amount of contracts remaining to be executed on Capital
Account (net of advances) and not provided for is Nil
C Proposed Dividends; Figures in Rs
The amount of dividends proposed
to he distributed to; 31st March, 2014 31st March, 2013
Equity Shareholders Nil Nil
D There IS no amount due and outstanding to he credited to Investor
Education and Protection Fund.
E (i) The Company has not entered into any forward contracts to
mitigate its risk associated with foreign currency fluctuation having
underlying transactions and relating firm commitments Or highly
probable forecast transactions The company does not enter into any
forward contract which is intended for trading or speculative purpose.
(ii) As required by Para 46A of the Accounting Standard AS 11 issued by
The Institute of Chartered Accountants. of India " The Effects of
"Changes in Foreign Exchages rates", during the current financial year
the company has changed the accounting practice because of which
translation loss arising on account of variation in external commercial
borrowing outstanding at the year end has been capitalized to the
extent of Rs. 173,84,448 utilized in acquiring capital assets. Further
the Foreign Exchage translation loss of Rs 5,33,75.723 arising there on
has been accounted under "Foreign Currency Monetary Item Translation
Difference Account" Accordingly, the balance in the said account will
be amortized over the balance tenor of loan (upto 31st March 2026). Due
to the change in accounting practice, in accordance with
AccountingSiandurd AS-11 of The Institute of Chartered Accountants of
India, the loss is lower by, Rs 7,07,60,171.
F i) The company has Steps to receive consistently quality power from
the power grid, resulting in economically viable Production activity.
Further, the company has incurred capital expenditure that will
increase the capacity of the Formaldehyde and Para Formaldehyde plants
to twice its present capacity. Accordingly, the management is of the
view that virtual certainty exists regarding sufficient future
income/taxable income accruiing to the company and consequently the
past losses are expected to be wiped off Therefore the company has
recognized the Deferred Tax Asset in the books of Account
G. Borrowing Cost capitalised used during the year is Rs. 1,73,84,448
H There are no employees who are in receipt of'' remuneration in the
aggregate at the rate of not less than Rs. 6,000,000/- pet annum or
500,000/- per month in respect of pan of the year during the year
I Inter-division transfers of goods aggregatng to a value of Rs.
14,11,58,013 for internal use as captive consumption are disclosed as
contra-items Profit and Loss Statement to reflect the true economic
value of production inter-se the divisions. This treatment of
intra-division transfers differs from thee treatment recommended by
Accounting Standard - 9 (Revenue Recognition'') prescribed by the
Companies (Accounting Standards) Rides, 2006. Accordingly, the sales
and raw material consumption figures are higher by Rs. 14,11,58,013/-
This accounting treatment has no impact on the results of the company.
J Confirmation from certain paties for amounts due to them/amount due
from them as per accounts of the Company has not been received.
Necessary adjustment if any will be made when the accounts are
reconciled/settled
K Excise Duty approximately Rs.29.76 lacs (Previous year Rs 13.16 lacs)
on stock awaiting clearance has been considered in valuation of
finished goods
L The Income tax assessments of the company have been completed upto
the Assessment year 2011-12 There are no demands outstanding. In view
of loss for assessment year 2014-15, the company has been advised that
there is no liability to income tax and accordingly no provision has
been made
M Previous Years figures have been regrouped, rearranged, reclassified
and restated wherever necessary.
Mar 31, 2013
(A) Terms/ rights attached to equity shares
i. The Company has only one class of eqjily shares having a par value
of Rs 5/- per share. Each holder ofequity share is entitled to one vote
per share
ii. During the current year, the amount of dividend per share
recognized as distribution to equity shareholders was Rs NIL (Previous
year Rs.NIL)
iii In event of liquidation of the Company, the holders of equity
shares would be entitled to receive remaining assets of the Company,
after distribution of all preferential amounts The distribution will be
in proportion to the number of equity shares held by the shareholders
iv Of the above, 3,04,32,390 equity shares of Rs.5/- cach fully paid up
has been allotted to non-residents on non-repatriation basis
The Aggregate Market Value of Investments in Equity Shares as at
31.03.2013 is Rs. 11,79,900 (I*Y Rs 9,28,132 )
(b) Net Asset Value of SB1 Capital Protection Oriented Fund Series II
as at 3) .03.2013 is Rs. 11.88 Market Value oflnvestments in Mutual
fund as ai 31.03.2013 is Rs.29,70,000
(c) In view of the Company''s long term investment strategy no provision
is considered necessary in rcspcct of diminution, if any. in the Market
value of securities held by the Company
A Contingent Liability & Commitments not provided for
a Guarantee to Banks against security furnished to court in respect of
pending legal matter Rs.28 lakhs
B Estimated amount of contracts remaining to be executed on Capital
Account (net of advances) and not provided for is Nil.
C There is no amount due and outstanding to be credited to Investor
Education and Protection Fund The Company has rot entered into any
forward contracts to mitigate its risks associated with foreign
currency fluctuations having underlying transactions and relating to
firm commitments or highly probable forecast transactions The company
does not enter into any forward contract which is intended for trading
or speculative purposes
Deferred Tax Asset (net) on account of the timing differences,
(depreciation and other components) has been computed at Rs. 128.05
lacs, which are considered adequate Deferred Tax Asset has not been
recognised in the books as a matter of prudcncc Consequently the
deferred tax liability of Rs 150 36 Lacs has been credited to the
statement of profit and loss This is in accordance with the Accounting
Standard AS-22 issued by the Institute of Chattered Accountants of
India and as prescribed by the Companies (Accounting Standards)
Rules,2006. Major components of deferred tax asset arising on account
of timing differences is Depreciation Rs. 1886.22 lacs & unabsorbed
business loss Rs.20l4.271acs)
D Borrowing Cost capitalised during the year is Nil.
E There are no employees who are in receipt of remuneration in the
aggregate at the rate of not less than Rs.6,000,000/- per annum or
500,000/- per month in respect of part of the year during the year.
F Inter-division transfers of goods aggregating to a value of Rs
45.993,233/* for internal use as captivc consumption arc disclosed as
contra-itcms in Profit and Loss Statement to reflect the true economic
value of Production inter-se the divisions. This treatment of
inlra-division transfers differs from the treatment recommended by
Accounting Standard - 9 (Revenue Recognition) prescribed by the
Companies (Accounting Standards) Rules, 2006 Accordingly, the sales and
raw material consumption figures are higher by Rs.45,993,233/- This
accounting treatment has nc impact on the results of the company.
G Confirmation from certain parties for amounts due to them/amount due
from them as per accounts of the Company has not been received.
Necessary adjustment, if any will he made when the accounts are
reconciled/settled.
H Excise Duty approximately Rs. 13.16 lacs (Previous year Rs 28.01 lacs)
on stock awaiting clearance has been considered in valuation of
finished goods
I The Income tax assessments of Lhe company have been completed upto
the Assessment year 2011-12. There arc no demands outstanding. In view
of loss for assessment year 2013-14, the company has been advised that
there is no liability to income tax and accordingly no provision has
been made.
* Includes scrap sales amounting to Rs 0.59 Lacs (P.Y Rs.O 86 Lacs)
* * Includes scrap sales amounting to Rs.04 lacs(P. Y. Rs.7 69
Lacs) -
*-* includes scrap sales amounting to Rs 12.76 Lacs(P.Y. Rs 17.72
Lacs)
J Polyester film turnover for the current year does not include films
which arc capttvely consumed, whereas Polyester film turnover for the
previous year includes 240 Tonnes of films valued at Rs.266.94 Lacs
which were captivcly consumed.
K $ Formaldehyde includes 3,538 Tonnes (P.Y 4,135 Tonnes) of
Formaldehyde valued Rs.459 93 Lacs (P.Y. Rs 511 95 Lacs) '' which are
captively consumed
L Related Party Disclosure:
A. Relations hire:
1. Subsidiaries
2. Key Management Personnel (KMP) and their Relatives Directors:
Mr Cbantt D Datwam
Mrs. Saroj C Datwani
Mr. SV Jain 1 .
Relatives of Directors :
Ms. Abh a Datwani
3. Other Related Parties (in which either of the directors or their
relatives have significant influence)
Abha Finance Pvt. Ltd C and A Real Estate Pvt. Ltd.
Divine Poly Plastic Pvt, Ltd, .
Father & Son Investments Pvt. Ltd.
Father & Son Overseas Pvt. Ltd.
Kamadhenu Residency Pvt. Ltd.
Mid town Realtors Pvt. Ltd
Sanchay Residency Pvt. Ltd.
Sanchit Realtors Pvt. Ltd.
Sangeet Residency Pvt. Ltd
Saroj Residency Pvt. Lid.
Venion Investments Pvt. Ltd,
M Previous years figures have been regrouped, rearranged, reclassified
and reslated wherever necessary.
Mar 31, 2012
(a) Terms/ rights attached to equity shares
i. The Company has only one class of equity shares having a par value
of Rs. 5/- per share. Each holder of equity share is entitled to one
vote per share
ii. During the current year, the amount of dividend per share
recognized as distribution to equity shareholders was Rs.NIL (Previous
year Rs.NIL)
iii. In event of liquidation of the Company, the holders of equity'
shares would be entitled to receive remaining assets of the Company,
after distribution of all preferennal
iv. Of the above, 3,04,32,390 equity' shares of Rs.5/- each fully paid
up has been allotted to non-residents pursuant to EGM approval on 20th
October 2009 on non-repatriation basis and is non-transferrable until
23rd October 2012.
(a) Term loan from ICICI bank is secured by hypothecation of vehicle.
The loan carries an interest rate of 10.92% p.a. and repayable in 59
Equated Monthly Installments beginning from 10th February 2008
(b) Term loan from Tata Capital Limited is secured by hypothecation of
vehicle and carries an interest rate of 12.27% p.a. and is repayable in
60 Equated Monthly Installments beginning from 31st May 2008
(c) The interest free unsecured term loan from other parties is
repayable in 10 equated annual installments commencing from 31st March
2017
(i) Cash credit from banks are secured:
(a) by way of first Paripassu charge, on hypothecation of Company's
entire stock-in-trade consisting of raw materials, stock-in-process,
finished goods, consumables stores and spares and receivables/book
debts, both present and future,
(b) by way of first paripassu charge, on hypothecation of all existing
and future movable assets and other fixed assets i.e.., the plant and
machinery at the companyÃs existing plant at Belavadi Industrial Area,
Mysore.
(c) by way of first paripassu charge, on Equitable mortgage of factory
Land and Building belonging to the company at Belavadi Industrial Area,
Mysore, and
(d) further secured by personal guarantee of the Chairman & Managing
Director and the Executive Director.
(e) Cash credit from banks carry interest rate @ 14.25% - 15.25% p.a.
(ii) The Loans from other parties are received from Chairman & Managing
Director, Executive Director of the Company and other entities in which
the directors are interested at the interest rate of 13.5% p.a.& is
repayable on demand.
The Aggregate Market Value of Investments in Equity Shares as at
31.03.2012 is Rs.9.28,132 ( PY Rs. 3,48,858 )
(b) Net Asset Value of SBI Capital Protection Oriented Fund Series II
as at 31.03.2012 is Rs. 10.7426 Market Value of Investments in Mutual
fund as at 31.03.2012 is Rs.2,685,650
(c) In view of the Company's long term investment strategy no provision
is considered necessary in respect of diminution, if any. in the Market
value of securities held by the Company
(a) Fixed Deposits of Rs Rs. 15,000,000 ( P Y Rs. 15,000.000 ) with
bank represents security deposits against borrowings
(b) Fixed Deposits of Rs Rs. 5,00,000 ( P Y Rs.5,00.000) with bank
represents margin money against guarantee issued.
(c) The balance in operative bank accounts have been reconciled, while
the balance in non-operative bank accounts are subject to
reconciliation.
NOTE 1: OTHER ADDITIONAL NOTES / INFORMATION
A Contingent Liability & Commitments not provided for:
a Guarantee to Banks against security furnished to court in respect of
pending legal matter Rs.28 lakhs, b. Others
i) Commercial tax (Entry tax) Rs. 35,56,435/- B Estimated amount of
contracts remaining to be executed on Capital Account (net of adv
ances) and not provided for is Nil.
C Proposed Dividends; Figures in Rs
The amount of dividends proposed
to be distributed to: 31st March. 2012 31st March. 2011
Equity Shareholders - -
D There is no amount due and outstanding to be credited to Investor
Education and Protection Fund.
E The Company has not entered into any forward contracts to mitigate
its risks associated with foreign currency fluctuations having
underlying transactions and relating to firm commitments or highly
probable forecast transactions. The company does not enter into any
forward contract which is intended for trading or speculative purposes.
The timing differences, (depreciation and other components) on account
of the Deferred Tax Liability has been computed at Rs.150.36 lacs,
which are considered adequate. Consequently the excess deferred tax
liability of Rs. 325.72 Lacs has been credited to the statement of
profit and loss. This is in accordance with the Accounting Standard
AS-22 as prescribed by the Companies (Accounting Standards) Rules,2006.
Major components of deferred tax liabilities arising on account of
timing differences is Depreciation Rs. 1909.88 lacs.
F Borrowing Cost capitalised during the year is Nil.
G The Company's leasing arrangements are mainly in respect of office
premises, w hich has been determined on 31st December, 2011. The
aggregate lease rental payable on these leasing arrangements is charged
as rent under "Administrative expenses" in Note-29 (iv). The company
has placed a refundable security deposit of Rs NIL (Previous year
Rs.34,76.160/-) in respect of these leasing arrangements.
H There are no employees who are in receipt of remuneration in the
aggregate at the rate of not less than Rs.6,000.000/- per annum or
500.000/- per month in respect of part of the year during the year.
Inter-division transfers of goods aggregating to a value of Rs
77.933,751/- for internal use as captive consumption are disclosed as
contra-items in Profit and Loss Statement to reflect the true economic
value of Production inter-se the divisions. This treatment of
intra-division transfers differs from the treatment recommended by
Accounting Standard - 9 (Revenue Recognition) prescribed by the
Companies (Accounting Standards) Rules. 2006. Accordingly, the sales
and raw material consumption figures are higher by Rs.77,933,751/-.
This accounting treatment has no impact on the results of the company.
I Confirmation from certain parties for amounts due to them/amount due
from them as per accounts of the Company has not been received.
Necessary adjustment, if any will be made when the accounts are
reconciled/settled.
J Excise Duty approximately Rs.28.01 lacs (Previous year Rs.20.17 lacs)
on stock awaiting clearance has been considered in valuation of
finished goods.
K The Income tax assessments of the company have been completed upto
the Assessment year 2010-11. There are no demands outstanding. In view
of loss for assessment year 2012-13. the company has been advised that
there is no liability' to income tax and accordingly no provision has
been made
* Includes scrap sales amounting to Rs.0.86 Lacs. (P.Y. Nil)
** Includes scrap sales amounting to Rs.7.69 Lacs (P.Y. Nil)
*** Includes scrap sales amounting to Rs. 17.72 Lacs (P.Y. Nil)
$ Polyster film includes 240 Tonnes (P.Y.2046 Tonnes) of Films valued
Rs.266.94 Lacs (P.Y.Rs. 1848 Lacs) which are captively produced and
consumed.
$$ PET Chips includes 2 Tonnes of Opening Stock (P.Y. 17 Tonnes) of
Chips valued Rs.0.44 Lacs (P.Y.Rs. 13 Lacs) Which are captively
produced and consumed.
$$$ Formaldehyde includes 4,135 Tonnes (P.Y. 4562 Tonnes ) of
Formaldehyde valued Rs.511.95 Lacs (P.Y. Rs. 357 Lacs) ' which are
captively produced and consumed.
* PET Chips includes 2 Tonnes of Opening stock (P.Y. 17 Tonnes) of
Chips Valued at Rs.0.44 Lacs (P.Y. Rs.13 Lacs) Which are captively
produced and consumed.
$ Methonal includes NIL Tonnes (P.Y. NIL Tonnes) of Methonal valued at
Rs. NIL (P.Y.Rs. NIL Lacs), which ate captive produced and consumed.
L Related Party Disclosure:
A. Relationships:
1. Subsidiaries
2. Key Management Personnel (KMP) and their Relatives Directors :
Mr. Chand D Datwani
Mrs. Saroj C Datwani
Relatives of Directors:
Ms. Abha Datwani
3. Other Related Parties (in which either of the directors or their
relatives have significant influence)
Divine Poly Plastic Pvt. Ltd.
Venlon Investments Pvt. Ltd.
Father & Son Investments Pvt. Ltd.
C and A Real Estate Pvt. Ltd.
Saroj Residency Pvt. Ltd.
Father & Son Overseas Pvt. Ltd.
Abha Finance Pvt. Ltd.
Sanchit Realtors Pvt. Ltd.
- Previous years figures have been regrouped, rearranged, reclassified
and restated wherever necessary, followed for the presentation of the
Financial Statements.
Mar 31, 2010
1 Contingent liability not provided for in Accounts: (As certified by
the Management) - Nil
Aggregate Market Value of Investments Rs. 16,07,393/- (P.Y Rs.
18,30,430 /-)
2. Confirmation from certain parties for amounts due to them/amount
due from them as per accounts of the Company has not been received
Necessary adjustment, if any will be made when the accounts are
reconciled/ settled
3. Inter division transfers of goods aggregating to a value of Rs.4224
17 Lacs for internal use as captive consumption are disclosed as
contra-items in the Profit and Loss Account to reflect the true
economic value of Production inter-se the divisions This treatment of
intra-division transfers differs from the treatment recommended by
Accounting Standard -9 (Revenue Recognition) prescribed by the
Institute of Chartered Accountants of India Accordingly the sales and
Raw material consumption figures are higher by Rs.4224.17 Lacs. This
accounting treatment has no impact on the results of the Company
4 Excise Duty approximately Rs 26.41 Lacs (P.Y Rs 21 38 Ucs) on stock
awaiting clearance have been considered in valuation of finished goods
5. The timing differences, (depreciation and other components) on
account of the Deferred Tax Liability has been computed at Rs 281 lacs,
which is considered adequate During the current year, although the
Deferred Tax Asset has arisen on account of timing differences it has
not been recognised keeping in view the angle of prudence as prescribed
in Accounting Standard AS-22 issued by the Institute of Chartered
Accountants of India
(b) Major components of deferred tax liabilities arising on account of
timing differences is Depreciation Rs.281 lacs.
6 Advance recoverable in Cash or in kind or for value to be received
(Schedule 10 - Loans & Advances) includes Rs 168 70 Lacs recoverable/to
be adjusted over the period of contract with the supplier of Windmill
The management has certified that the amount is considered good
7 The Companys leasing arrangements are mainly in respect of office
premises The aggregate lease rental payable on these leasing
arrangements is charged as rent under " Administrative expenses " in
schedule 17. These leasing arrangements are for a period not exceeding
five years and are in most cases renewable by mutual consent, on
mutually agreeable terms The company has placed a refundable security
deposit of Rs. 34.76 lacs in respect of these leasing arrangements
8 Payments to Suppliers as defined under the Micro, Small & Medium
Enterprise Development Act, 2006, (The Act) are generally made in
accordance with agreed credit terms The amount, if any, overdue as on
31.03.2010 has not been ascertained, and hence no disclosure has been
made
9 In view of the Companys long term investment strategy no Provision
is considered necessary in respect of diminution in the Market value of
shares held by the Company,
10 Previous years figures have been regrouped, rearranged,
reclassified and restated wherever necessary.
11 There are no employees who are in receipt of remuneration in the
aggregate at the rate of not less than Rs. 24,00,000/- per annum or Rs.
2,00,000/- per month in respect of part of the year during the year.
12 The Company is mainly engaged in following segments
a) Film
b) Formaldehyde
c) Wind Mill
d) Paraformaldehyde
13 Disclosure on related party transactions:
a. Description of relationship and Names of related parties: Key
Management Personnel: Mr Chand D Datwani
Chairman & Managing Director
14 Schedule 1 to 20 form an integral part of the Balance Sheet and
Profit & Loss Account
* Includes samples/wastage of NIL Kgs (P.Y. nil Kgs) ** Includes
samples/wastage of NIL Kgs (P.Y. nil Kgs)
# PET Chips includes 2759 Tonnes (P Y 2446 Tonnes) of Chips valued Rs
2249 Lacs (P.Y. RS 1870 Lacs) which are captively produced and consumed
$ Polyester film includes 1471 Tonnes (P.Y.770 Tonnes) of Film valued
Rs. 1478 Lacs (P.Y. RS 872 Lacs) which are captively produced and
consumed
*** Formaldehyde includes 6394 Tonnes (P.Y. 6429 Tonnes) of
Formaldehyde valued Rs.497 Lacs (P.Y Rs.670 Lacs) which are captively
produced and consumed ^Cntg^s.
* PET Chips includes 2759 Tonnes (P Y 2446 Tonnes) of Chips valued at
Rs 2249 Lacs (P.Y. Rs 1870 Lacs) which are captively produced and
consumed.
# Polyester Film includes 1451 Tonnes (P Y.770 Tonnes) of Film valued
at Rs 1478 lacs (P Y Rs 872 Lacs) which are captively produced and
consumed.
$ Methanol includes NIL Tonnes (P.Y. NIL tonnes) of Methanol valued at
Rs NIL (P.Y. Rs. NIL Lacs), which are captively produced and consumed.
G. Expenditure in foreign currency by way of Foreign Travel Rs.9.37
lacs(P.Y. Rs.6.48 Lacs)