Home  »  Company  »  VHCL Industries L  »  Quotes  »  Notes to Account
Enter the first few characters of Company and click 'Go'

Notes to Accounts of VHCL Industries Ltd.

Mar 31, 2014

1. The Company did not have any employee drawing remuneration of Rs. 60,00,000/- p.a. or Rs.5,00,000/- per month if employed for a part of the year.

2. Leave Encashment is accounted for on Cash Basis as and when paid.

3. Contingent Liabilities: Current Year Nil and Previous years Rs. 16.22 Lacs (Income tax demand for A.Y 2009-10)

4. Expenditure in Foreign Currency - for import of Raw Material

US $ 39382659.92 (equivalent in Rs. 2327078938.00)

Euro 15411.90 (equivalent in Rs.1334405.00)

5. Quantitative & other information pursuant to requirement of Paragraph 3, 4C & 4D of Part -II of Schedule VI of the Companies Act, 1956.

6. Some of the Balances in Sundry Debtors, Sundry Creditors, Advances and Deposits are subject to confirmation, reconciliations, adjustments, if any, which in the opinion of the Management will not be significant. The confirmations of Debtors are subject to verification.

The Company had filed case under Section 138 of the Negotiable Instruments Act, 1881 in the Metropolitan Court at Mumbai against 2 parties namely M/s. K. J. International for Rs. 55,27,353/- and M/s S. D. L. Steel Private Limited for Rs. 1,06,55,770/- for recovery of amount outstanding along with interest etc. The Management is of the opinion that the amount outstanding will be recovered as the matter is being pursued in the Court and adequate steps are being taken.

7. In the opinion of Board, the Current Assets, Loans and Advances are approximately of, if realized, in the ordinary course of business. The provision for all known liabilities is adequate and not in excess of the amount reasonably necessary.

8. Employee Benefits

As per Accounting Standard -15 "Employee Benefits" the disclosure of employee benefits is given below:

i) Defined Contribution Plans: The amounts of contribution to Provident Fund recognized as expenses during the year is Rs. /- (Previous Year Rs 190338/-).

ii) Defined benefits plans for gratuity

The following table sets out the status of the Gratuity plan for the year ended 31st March, 2014 as required under AS 15 (Revised)

9. Since the windmill power generation segment is not significant as defined in AS-17 , the Company is considered to be a single segment company-engaged in one business segment namely reprocessed plastic granules , hence segment wise reporting as required under AS-17 issued by ICAI is not applicable.

10. The Company has not received any intimation from "Suppliers" regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006 and hence disclosures, if any, relating to amounts unpaid as at the year end together with interest paid/ payable as required under the said Act have not been given.


Mar 31, 2013

1. The Company did not have any employee drawing remuneration of Rs. 60,00,000/- p.a. or Rs.5,00,000/- per month if employed for a part of the year.

2. Leave Encashment is accounted for on Cash Basis as and when paid.

3. Contingent Liabilities: Current Year Nil and Previous years Rs. 16.22 Lacs (Income tax demand for AY 2009-10)

4. Expenditure in Foreign Currency - for import of Raw Material US $ 65,747,563.00 (equivalent in Rs. 3,591,279,845)

5. Quantitative & other information pursuant to requirement of Paragraph 3, 4C & 4D of Part -II of Schedule VI of the Companies Act, 1956.

(a) Quantitative information in respect of goods manufactured:

6. Some of the Balances in Sundry Debtors, Sundry Creditors, Advances and Deposits are subject to confirmation, reconciliations, adjustments, if any, which in the opinion of the Management will not be significant. The confirmation of Debtors are subject to verification.

The Company has filed case under Section 138 of the Negotiable Instruments Act, 1881 in the Metropolitan Court at Mumbai against 2 parties namely M/s. K.J.International for Rs. 55,27,353/- and M/s S.D.L Steel Pvt. Ltd for Rs. 1,06,55,770/- for recovery of amount outstanding along with interest etc. The Management is of the opinion that the amount outstanding will be recovered as the matter is being pursued in the Court and adequate steps are being taken.

7. In the opinion of Board, the Current Assets, Loans and Advances are approximately of, if realized, in the ordinary course of business. The provision for all known liabilities is adequate and not in excess ofthe amount reasonably necessary.

8. Managerial Remuneration of Rs. 2,50,000/- per month was given to Shri Pankaj H. Valia, Managing Director during the year under review.

9. Employee Benefits

As per Accounting Standard -15 "Employee Benefits" the disclosure of employee benefits is given below :

i) Defined Contribution Plans: The amounts of contribution to Provident Fund recognized as expenses during the year is Rs.190338/- (Previous Year Rs 177576/-).

ii) Defined benefits plans for gratuity

The following table sets out the status of the Gratuity plan for the year ended 31st March, 2013 as required under AS 15(Revised)

10. Since the windmill power generation segment is not significant as defined in AS- 17 , the Company is considered to be a single segment company - engaged in one business segment namely reprocessed plastic granules , hence segment wise reporting as required under AS-17 issued by ICAI is not applicable.

11. Auditors remuneration:-

To Sarda Soni Associates, Chartered Accountants :

1. Audit Fees (including Tax Audit Fees) 60,000

2. Service Tax 6,742

12. The Company has not received any intimation from "Suppliers" regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006 and hence disclosures, if any, relating to amounts unpaid as at the year end together with interest paid/ payable as required under the said Act have not been given.


Mar 31, 2012

1, The Company did not have any employee drawing remuneration of Rs. 60.00,000/- P.A.. or Rs.5,00,000/- per month if employed for a part of the year.

2. Leave Encashment is accounted for on Cash Basis as and when paid.

3. Contingent Liabilities Rs. 10.22 Lacs (Gross Liabilities Rs. 16.22 Lacs less paid Rs. 6.00 Lacs) (Income Tax demand for A.Y 2009-10)

4, Expenditure in Foreign Currency - for import of Raw Material

US $30,023,026.73 (equivalent in Rs. 1,523,227,014.67)

5. Quantitative & other information pursuant to requirement of Paragraph 3, 4C & 4D of Part -II of Schedule VI of the Companies Act, 1956.

6. Some of the Balances in Sundry Debtors, Sundry Creditors, Advances and Deposits are subject to confirmation, reconciliations, adjustments, it any, which in the opinion of the Management will not be significant.

7. In the opinion of Board, the Current Assets, Loans and Advances are approximately of, if realized, in the ordinary course of business. The provision for all known liabilities is adequate and not in excess of the amount reasonably necessary.

8. No Managerial Remuneration was given 10 the Directors during the year under review.

9. Employee Benefits

As per Accounting Standard -15 "Employee Benefits" the disclosure of employee benefits is given below:

i) Defined Contribution Plans: The amounts of contribution to Provident Fund recognized as expenses during the year is Rs. 177576/- (Previous Year Rs 129512/-).

ii) Defined benefits plans for gratuity

The following table sets out the status of the Gratuity plan for the year ended 31st March, 2012 as required under AS 15(Revised)

10. Since the windmill power generation segment is not significant as defined in AS-17, the Company is considered to be a single segment company - engaged in one business segment namely reprocessed plastic granules , hence segment wise reporting as required under AS-17 issued by ICAI is not applicable.

11. The Company has not received any intimation from "Suppliers" regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006 and hence disclosures, if any, relating to amounts unpaid as at the year end together with interest paid/ payable as required under the said Act have not been given.

12. Accounting Standards prescribed under Section 211 (3c) of the Companies Act, 1956, have been followed wherever applicable. In accordance with Clause 15 of the Accounting Standard (AS) 4, the company reports that. The Hon'ble Bombay High Court, vide its Order dated 13.04,2012, has sanctioned the Composite Scheme of Arrangement and Amalgamation of VHCL Industries Limited with Jhaveri Weldflux Limited subject to the terms and conditions laid down in its said Order. In the said sanctioned scheme the Appointed date of amalgamation of the two companies is 01.04.2011. The effect of this Event after the Balance Sheet date, materially affecting the balances of assets and liabilities of the company as on 31.03.2012, has been taken into consideration while preparing the financial accounts of the merged company. Since the figures of the previous year of both companies cannot be merged for the purpose of comparison due to the effect of the amalgamation of the two companies given in the financial statements for the year ended 31.03.2012, the previous ear figures for the year ended 31.03.20) 1 have been given on stand alone basis of Jhaveri Weldflux Ltd only.

13. (I) Particulars of Scheme sanctioned :

A) To write off part of the debit balance in the Profit & Loss Account of Jhaveri Weldflux Limited to the extent of Rs. 2,70.00,000/- by reduction of Rs. 9/- per share on 30,00,000 equity shares of Rs.10/- each fully paid up and thereafter to reorganise the existing 10 equity shares of F.V. Rs. 10/- into 5 equity shares of Rs.2A each paid up.

B) To Amalgamate VHCL Industries Limited with Jhaveri Wcldflux Limited by issuing 3 equity shares of Jhaveri Weld flux Limited (post reduction and reorganisation of capital) for every 2 equity shares held in VHCL Industries Limited.

C) To change the name of Jhaveri Weldflux Limited to VHCL Industries Limited.

(2) Effective Date of amalgamation ; 1st April, 2011

(3) Method of accounting used to reflect amalgamation : Under Pooling of interest method.

(4) Names and general Nature of Business :

(a) VHCL Industries Ltd - Manufacturing & re-processing of plastic material.

(b) Jhaveri Weldflux Ltd-Manufacturing & trading of wires & wire flux.

(5) In terms of the Composite Scheme of Arrangement and Amalgamation (Scheme) sanctioned by the order dated 13TH April, 2012 of the Hon'ble Bombay High Court, VHCL Industries Ltd has been amalgamated with the Company with effect from 1st April, 2011.

In accordance with the said Schemes

(a) The assets, liabilities, rights and obligations of the amalgamating company have been vested with the Company with effect from 1st April, 2011 and have been recorded at their respective fair values under the pooling of interest method of accounting for amalgamation.

(b) 3,01,51,950 Equity shares of Rs. 21- each are to be issued as fully paid-up, to the shareholders of the amalgamating company i,e VHCL Industries Ltd whose names are registered in the register of members on the record date, without payment being received in cash. Pending allotment, the face value of such shares has been shown as "Equity Share Suspense".

(c) Difference of Fair value of net assets taken over by the Company over the paid up value of equity shares to be issued and allotted and expenses on amalgamation as above has been shown as Goodwill on Merger, amounting to Rs. 2,01,01,340/- by issuing 3 equity shares of Jhaveri Weldflux Limited for every 2 equity shares held in VHCL Industries Limited to the existing shareholders of VHCL Industries Limited). under Fixed Assets as "Intangible assets "as per Accounting Standard (AS-14) on Accounting for Amalgamation issued by The Institute of Chartered Accountants of India.


Mar 31, 2011

1. As at March 31, 2011 As at March 31, 2010

a) Claims against Company not acknowledge as debts Nil Nil

b) Capital Commitments Nil Nil

A) Licensed & Installed Capacities and Actual Production for the year : (As certified by a Director) Licensed Capacity : Not applicable Installed Capacity : Not Applicable Production : 0 M.T.

2. In the opinion of the Directors, the current assets, loans and advances are approximately of the values as stated in the Balance Sheet, if realised in the ordinary course of the business and provision for all known rehabilitees have been made, and the same Is not in excess of the amount considered necessary

3. The Balance confirmation from Sundry Debtors and Sundry Creditors have not been obtained and as such the balances are, subject to confirmation and reconciliation, if necessary.

4. Stock-in-trade has been incorporate as taken, valued and Certify by the management and the the same is relied upon by the auditors.

5. Out of total trade debtors of Rs. 28,94,435/-, debtors to the extent of Rs. 28,28,727/- are more than six months old. The Management is making efforts to recover the dues and as such no provision for doubtful debts has been made in Accounts.

6. No provision has been made for income tax in view of loss for the year

7. Segment Information:- The Company deals in one segment only and that is welding consumables.

8. Retirement Benefits:- Provision for Leave encashment and Gratuity has not been provided for during the year.

9. General:- Balance sheet abstract and Company's General Business Profile as required under Schedule VI to the Companies Act is enclosed in the Annexure.

10. Previous year figures have been regrouped wherever necessary for the purpose of proper comparison with that of the current year and paises are rounded off upto nearest rupee.


Mar 31, 2010

1. In the opinion of the Directors, the current assets, loans and advances are approximately of the value as stated in the Balance Sheet, if realised in the ordinary course of the business and provisions for all known liabilities have been made, and the same is not in excess of the amount considered necessary.

2. The balance confirmations from Sundry Debtors and Sundry Creditors have not been obtained and as such the balances are, subject to confirmation and reconciliation, if necessary.

3. Stock-in-trade has been incorporated as taken, valued & certified by the management.

4. Out of total trade debtors of Rs. 34,92,082/-, debtors to the extent of Rs. 34,13,721/- are more than six months old. The management is making efforts to recover the dues and as such no provisions for doubtful debts has been made in Accounts.

5. No provision has been made for income tax in view of loss for the year.

6. Segment Information:- The company deals in one segment only and that is welding consumables.

7. Retirement Benefits:- Provision for Leave encashment & Gratuity has not been provided for during the year.

8. General:- Balance sheet abstract and Company's General Business Profile as required under Schedule VI to the Companies Act is enclosed in the Annexure.

9. Previous year figures have been regrouped wherever necessary for the purpose of proper comparison with that of the current year and paises are rounded off upto nearest rupee.

 
Subscribe now to get personal finance updates in your inbox!