Mar 31, 2015
1.1 Contingent Liabilities
(Amount in Rs.)
Particulars 2014-15 2013-14
Claims against company not
acknowledged as debts* 142048.00 142048.00
(*Demand of Rs.1,42,048 raised by
Land & Building Tax Deptt. which is
challanged by the company in
appropriate court.)
Deposited with ESI under protest
against demand for the period from
October 2007 to December 2008 during
which period the factory was closed .
This demand has been challenged
by the company in appropriate court. 92035.00 92035.00
Demand of of registration fees on
Land Rs 594250.
The same was deposited under protest
and revision petition was filed
before Revnue board, Ajmer. The appeal
of the company has since been
decide in favour of the company and the
demand has been waived. 0.00 594250.00
1.2 Due to non availability of reliable information regarding SSI
status of suppliers/ sundry creditors, information regarding
outstanding toward them can not be ascertained. However the amount is
not likely to be significant.
1.3 The accounting of deferred tax in terms of "Accounting Standard (
AS22) on " Accounting for Taxes on Income" results in deferred Tax
Assets. However in view of sickness of the company there is no
certainity of realization of such assets in a reasonable period of
time, hence the same has not been accounted for.
1.4 Segments are identified in line with the Accounting Standard 17 (
AS17) taking into account the organisation structure. Expenses which
were identified were attributed directly i.e manufacturing and
depreciation related to Socks segment only and other expenses were
attributed on pro-rata basis of sale value.
Segment Reporting
(a) Primary Segment Information
The company''s operation primarily relates to manufacturing and trading
of Knitted socks, head band and wrist band and trading in yarn.
Accordingly segments have been identified in line with Accounting
Standard on Segment Reporting "AS-17". Manufacturing/ trading of
socks and trading of yarn are the primary segment and there is no other
segment.
Secondary segment information
The company caters mainly to the need of Indian market and there is no
Export sale, therefore no reportable geographical segments.
1.5 In view of paucity of funds no salary were paid to any of the
Director for the financial year, however in view of directors
confirmations not to avail any remuneration, no provision for liability
is required.
Note 2. Share Capital
Authorised Capital was rearranged in 4,000,000 Equity Shares having
nominal value of Rs. 10 each and 350,000 6% Redeemable Cumulative Non
Convertible Preference Shares of Rs. 100/-each vide decision of
shareholders in Annual General Meeting held on 25th September 2010.
Issued, Subscribed and Paid Up Capital was reduced from 6,470,000
Equity shares of Rs. 10/- each to 647,000 Equity Shares of Rs. 10/-
each consequent to decision of reduction of share capital approved by
shareholders and High Court of Rajasthan had also approved the same
vide itsorder dtd 22nd April 2010.
278,000 6% Cumulative Non Convertible Preference Shares of Rs. 100/-
each were issued fresh on 9th october 2010 as per decision of
shareholders. Arrears of fixed cumulative dividends on preference
shares as at 31st March, 2015 is 7469442/- (As at 31 March, 2014 Rs
5801442/-).
2.1 Terms / Rights attached to shares
The Company has only one class of equity shares having a par value of
Rs 10 per share. Each holder of equity shares is entitled to one vote
per share. The dividend proposed, if any, by the Board of Directors is
subject to the approval of the shareholders in the ensuing Annual
General Meeting. In the event of liquidation of the Company, the
holders of equity shares will 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.The Company also has only one class of Redeemable
Preference Shares shares having a par value of Rs 100 per share
entitled for 6 % preferential Dividend. In the event of liquidation of
the Company, the holders of such shares will be entitled to receive
remaining assets of the Company prior to equity share holders. The
distribution will be in proportion to the number of shares held by the
shareholders.The Preference shares are not redeemable before three
Years ( i.e 8th October 2013) and not later than five years i.e 8th
october 2015 from the date of allotment.
3.1 Pursuant to Schedule 2 of Companies Act, 2013 and rules made
thereunder, residual life of all depreciable assets has been worked out
in line with recommended useful life . All assets except building are
past their useful life and hence their carrying value has been
considered Nil. For building salvage value is estimated at Rs. 399779
(@ 3% of original cost of the building). The total useful life of
building is estimated as 30 years and hence, the remaining life as on
31st March, 2014 is 11.41 years and depreciation has been adjusted
accordingly. Similarly the depreciation on revalued portion of building
has also been recomputed and is reduced from revaluation reserve. The
opening written down value of all assets, whose residual life is nil
(amounting to Rs. 1294849.14) has been reduced from opening balance of
Reserve & Surplus.
3.2 The Leasehold land was allotted on 99 year lease w.e.f. 4/10/1991
by RIICO.
3.3 In terms of decision of Board of Directors, revaluation of Land and
Building of the company was got done during 2008-09 by approved valuer
so as to represent the true realizable value of assets. The cost of
acquisition in case of land and written down value in case of building
was substituted with value arrived as per revaluation report and the
difference was credited to Revaluation reserve. Accordingly
depreciation is calculated on revalued portion of building, As per
schedule 2 of Companies act 2013, as adjusted to write off the entire
value in residual life and the same has been shown reduced from
revaluation reserve.
Notes:
3.4 Inventories are taken and valued at lower of cost or net realisable
value as certified by the management.Cost is valued on Average rate
method for raw material and FIFO method for others.
3.5 Finished goods and work in progress are valued at lower of cost or
net realisable value. Cost of finished goods includes cost of
conversion and other cost incurred in bringing the inventories to their
present location and condition.
4.1 In the opinion of Board of Directors the Current Assets, Loans and
Advances have a value on realisation in the ordinary course of business
at least equal to the amount at which they are stated in the Balance
Sheet.
Mar 31, 2014
1.1 Contingent Liabilities (Amount in Rs.)
Particulars 2013-14 2012-13
Claims against company not acknowledged
as debts* (*Demand of Rs.1,42,048 raised
by Land & Building Tax Deptt. which is
challanged by the company in appropriate
court. The matter has been resolved
and it is supposed that deposit amount
shall be received in the next
F.Y. 2014-15.) 142048.00 142048.00
Deposited with ESI under protest against
demand for the period from October 2007
to December 2008 during which period the
factory was closed.
This demand has been challenged by
the company in appropriate court. 92035.00 92035.00
Deposit of 25% of registration fees
of Land for filling revision petition
before Ajmer Revnue board to revise
rate of registry charges to 5%
instead of demand of full duty
i.e. Rs. 594250/- vide decision dated
19-1-2012 and demand note
dated 4-10-2012. 0.00 594250.00
1.2 Due to non availability of reliable information regarding SSI
status of suppliers/ sundry creditors, information regarding
outstanding toward them can not be ascertained. However the amount is
not likely to be significant.
1.3 The accounting of deferred tax in terms of "Accounting Standard (
AS22) on " Accounting for Taxes on Income" results in deferred Tax
Assets. However in view of sickness of the company there is no
certainity of realization of such assets in a reasonable period of
time, hence the same has not been accounted for.
1.4 Segments are identified in line with the Accounting Standard 17 (
AS17) taking into account the organisation structure. Expenses which
were identified were attributed directly i.e manufacturing and
depreciation related to Socks segment only and other expenses were
attributed on pro-rata basis of sale value.
Segment Reporting
(a) Primary Segment Information
The company''s operation primarily relates to manufacturing of Knitted
socks, head band and wrist band and trading in yarn. Accordingly
segments have been identified in line with Accounting Standard on
Segment Reporting "AS-17". Sale of socks and yarn are the primary
segment and there is no other segment.
1.5 In view of paucity of funds no salary were paid to any of the
Director for the financial year, however in view of directors
confirmations not to avail any remuneration, no provision for liability
is required.
1.6 In Terms of Provisions of Accounting Standard 28 ( AS28) issued by
The Institute of Chartered Accountants of India the company had
provided for loss due to impairment of assets during 2004-05. The Value
in use being uncertain due to sickness of unit, recoverable amount was
reduced from carrying amount and resultant loss ( impairment loss) was
debited to balance of Profit and Loss a/c .In view of high obsolence
rate of machinery the board had decided to provide depreciation on
original value of block of machinery.
2.1 Terms / Rights attached to shares
The Company has only one class of equity shares having a par value of
Rs 10 per share. Each holder of equity shares is entitled to one vote
per share. The dividend proposed, if any, by the Board of Directors is
subject to the approval of the shareholders in the ensuing Annual
General Meeting. In the event of liquidation of the Company, the
holders of equity shares will 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.The Company also has only one class of Redeemable
Preference Shares shares having a par value of Rs 100 per share
entitled for 6 % preferential Dividend. In the event of liquidation of
the Company, the holders of such shares will be entitled to receive
remaining assets of the Company prior to equity share holders. The
distribution will be in proportion to the number of shares held by the
shareholders.The Preference shares are not redeemable before three
Years ( i.e 8th October 2013) and not later than five years i.e 8th
october 2015 from the date of allotment.
3.1 Depreciation on revalued part of Building is transferred to
revaluation Reserve and balance amount of depreciation is charged to
Profit & Loss A/c. Total life of Building was considered 30 years and
residual life as on 1-4-09 (i.e. date of revaluation) was 15 years and
depreciation is computed @ 6.67% on revalued assets so as to write off
the entire value in residual life of Assets.
3.2 Depreciation on Plant & Machinery is restricted up to the amount of
gross block leaving a residual value of Rs 1/- 6.3 The Leasehold land
was allotted on 99 year lease w.e.f. 4/10/1991 by RIICO.
3.3 In terms of decision of Board of Directors, revaluation of Land and
Building of the company was got done during 2008- 09 by approved valuer
so as to represent the true realizable value of assets. The cost of
acquisition in case of land and written down value in case of building
was substituted with value arrived as per revaluation report and the
difference was credited to Revaluation reserve. Accordingly
depreciation is calculated on revalued portion of building as adjusted
to write off the entire value in residual life and the same has been
shown reduced from revaluation reserve.
3.4 Inventories are taken and valued at lower of cost or net realisable
value as certified by the management.Cost is valued on Average rate
method for raw material and FIFO method for others.
3.5 Finished goods and work in progress are valued at lower of cost or
net realisable value. Cost of finished goods includes cost of
conversion and other cost incurred in bringing the inventories to their
present location and condition.
Mar 31, 2013
1.1 Contingent Liabilities (Amount in Rs.) Particulars 2012-13 2011-12
Claims against company not acknowledged as debts* (*Demand of
Rs.1,42,048 raised by Land & Building Tax Deptt. which is challanged by
the company in appropriate court.) 142048.00 142048.00 Deposited with
ESI under protest against demand for the period from October 2007 to
December 2008 during which period the factory was closed.
This demand has been challenged by the company in appropriate court.
92035.00 92035.00 Deposit of 25% of registration fees of Land for
filling revision petition before Ajmer Revnue board to revise rate of
registry charges to 5% instead of demand of full duty i.e Rs. 594250/-
vide descision dated 19-1-2012 and demand note dated 4-10-2012.
594250.00 0.00
1.2 Due to non availability of reliable information regarding SSI
status of suppliers/ sundry creditors, information regarding
outstanding toward them can not be ascertained. However the amount is
not likely to be significant.
1.3 The accounting of deferred tax in terms of "Accounting Standard (
AS22) on " Accounting for Taxes on Income" results in deferred Tax
Assets. However in view of sickness of the company there is no
certainity of realization of such assets in a reasonable period of
time, hence the same has not been accounted for.
1.4 Segments are identified in line with the Accounting Standard 17 (
AS17) taking into account the organisation structure. Expenses which
were identified were attributed directly i.e manufacturing and
depreciation related to Socks segment only and other expenses were
attributed on pro-rata basis of sale value.
Segment Reporting
(a) Primary Segment Information
The company''s operation primarily relates to manufacturing of Knitted
socks, head band and wrist band and trading in yarn. Accordingly
segments have been identified in line with Accounting Standard on
Segment Reporting "AS-17". Sale of socks and yarn are the primary
segment and there is no other segment.
Secondary segment information:
The company caters mainly to the need of Indian market and there is no
Export sale, therefore no reportable geographical segments.
1.5 In view of paucity of funds no salary were paid to any of the
Director for the financial year, however in view of directors
confirmations not to avail any remuneration, no provision for liability
is required.
1.6 In Terms of Provisions of Accounting Standard 28 ( AS28) issued by
The Institute of Chartered Accountants of India the company had
provided for loss due to impairment of assets during 2004-05. The Value
in use being uncertain due to sickness of unit, recoverable amount was
reduced from carrying amount and resultant loss ( impairment loss) was
debited to balance of Profit and Loss a/c .In view of high obsolence
rate of machinery the board had decided to provide depreciation on
original value of block of machinery.
Mar 31, 2012
Note 1. SHARE CAPITAL
Authorised Capital was rearranged in 4,000,000 Equity Shares having
nominal value of Rs. 10 each and 350,000 6% Redeemable Cumulative
Non Convertible Preference Shares of Rs. 100/- each vide decision of
shareholders in Annual General Meeting held on 25th September 2010.
Issued, Subscribed and Paid Up Capital was reduced from 6,470,000
Equity shares of Rs. 10/- each to 647,000 Equity Shares of Rs. 10/-
each consequent to decision of reduction of share capital approved
by shareholders & High Court of Rajasthan has approved the same vide
its order dtd 22nd April 2010.
278,000 6% Cumulative Non Convertible Preference Shares of Rs. 100/-
each were issued fresh on 9th October 2010 as per decision of
shareholders.
Arrears of fixed cumulative dividends on preference shares as at 31
March, 2012 '2465442/- (As at 31 March, 2011 '797442/-)
The Preference shares are not be redeemable before three Years ( i.e
8th October 2013) and not later than five years i.e 8th October 2015
from the date of allotment.
Note 2: FIXED ASSETS
2.1 Depreciation on revalued part of Building is transferred to
revaluation Reserve and balance amount of depreciation is charged to
Profit & Loss A/c. Total life of Building was considered 30 years and
residual life as on 1-4-09 ( i.e date of revaluation) was 15 years and
depreciation is computed @ 6.67% on revalued assets so as to write off
the entire value in residual life of Assets.
2.2 Depreciation on Plant & Machinery is restricted up to the amount of
net block i.e Rs. 1455869.06/- leaving a residual value of Rs 1/-
2.3 The Leasehold land was allotted on 99 year lease w.e.f. 4-10-1991
by RIICO.
2.4 In terms of decision of Board of Directors, revaluation of Land and
Building of the company was got done during 2008-09 by approved valuer
so as to represent the true realizable value of assets. The cost of
acquisition in case of land and written down value in case of building
was substituted with value arrived as per revaluation report and the
difference was credited to Revaluation reserve. Accordingly
depreciation is calculated on revalued portion of building as adjusted
to write off the entire value in residual life and the same has been
shown reduced from revaluation reserve.
Note 3. Inventories
3.1 Inventories are taken and valued at lower of cost or net
realisable value as certified by the management. Cost is valued on
Average rate method for raw material and FIFO method for others.
3.2 Finished goods and work in progress are valued at lower of cost or
net realisable value. Cost of finished goods includes cost of
conversion and other cost incurred in bringing the inventories to their
present location and condition.
1. The Revised Schedule VI has become effective from April 1, 2011 for
the preparation of financial statements. This has significantly
impacted the disclosure and presentation made in the financial
statements. Previous year's figure have accordingly been
regrouped/reclassified, to correspond with the current year's
classification/disclosure.
2. Contingent Liabilities 2011-12 2010-11
Claims against company not
acknowledged as debts* 142048.00 142048.00
* Demand of Rs. 1,42,048
raised by Land & Building
Tax Deptt.
Which is challanged by the
company in appropriate court. 92035.00 92035.00
(Deposited with ESI under protest against demand for the period from
October 2007 to December 2008 during which period the factory was
closed . This demand has been challenged by the company in appropriate
court.)
3. Due to non availability of reliable information regarding SSI status
of suppliers/sundry creditors, information regarding outstanding toward
them can not be ascertained. However the amount is not likely to be
significant.
4. The accounting of deferred tax in terms of "Accounting Standard (
AS22) on "Accounting for Taxes on Income results in deferred Tax
Assets. However in view of sickness of the company there is no
certainty of realization of such assets in a reasonable period of
time, hence the same has not been accounted for.
5. Segments are identified in line with the Accounting Standard 17
(AS17) taking into account the organisation structure. Expenses which
were identified were attributed directly i.e manufacturing and
depreciation related to Socks segment only and other expenses were
attributed on pro-rata basis of sale value.
Segment Reporting
(a) Primary Segment Information
The company's operation primarily relates to manufacturing of Knitted
socks, head band and wrist band and trading in yarn. Accordingly
segments have been identified in line with Accounting Standard on
Segment Reporting "AS-17". Sale of socks and yarn are the primary
segment and there is no other segment.
Secondary segment information
The company caters mainly to the need of Indian market and there is no
Export sale, therefore no reportable geographical segments.
6. In view of paucity of funds no salary were paid to any of the
Director for the financial year, however in view of directors
confirmations not to avail any remuneration, no provision for liability
is required.
7. In Terms of Provisions of Accounting Standard 28 ( AS28) issued by
The Institute of Chartered Accountants of India the company had
provided for loss due to impairment of assets during 2004-05. The Value
in use being uncertain due to sickness of unit, recoverable amount was
reduced from carrying amount and resultant loss ( impairment loss) was
debited to balance of Profit and Loss a/c .In view of high obsolence
rate of machinery the board had decided to provide depreciation on
original value of block of machinery.
Mar 31, 2010
1. The previous years figures have been re-worked, re grouped,
re-arranged and re classified wherever necessary.
Current Year Previous Year
(Rs.) (Rs.)
2. Contingent Liabilities
Claims against company not
acknowledged as debts* 1,42,048.00 1.42.048.00
Demand of Rs.1,42,048 raised by Land & Building Tax Deptt. which is
challenged by the company in appropriate court.
3. In the opinion of Board of Directors the Current Assets, Loans and
Advances have a value on realisation in the ordinary course of business
at least equal to the amount at which they are stated in the Balance
Sheet.
4. Loans & Advances due from Directors - Nil and due from officers Rs.
Nil (Maximum amount due at any time during the year Rs. NIL)
5. As the production of the company has restarted from 19-2-2010 so
depreciation on fixed assets has been provided for two months only in
terms of decision of Board of Directors..
6. The loan of Stressed Assets Stabilization Fund (SASF) to whom
account was transferred by IOBI was fully paid during the veer.
7. Due to non availability of reliable information regarding SSI
status ofsuppliers/sundrycreditors, information regarding outstanding
toward them can not be ascertained. However the amount is not likely to
be significant.
6. In terms of decision of Board of Directors, revaluation of Land and
Building of the company was got done during 2006-09 by approved valuers
so as to represent the true realizable value of assets. The cost of
acquisition in case of Land and written down value in case of Building
were substituted with the value arrived as per revaluation report and
the difference was credited to revaluation reserve. Accordingly
depreciation is calculated on revalued portion of Building as adjusted
to write off entire value in residual life and the same has been shown
reduced from revaluation reserve. In terms of decision of Board of
Directors the depreciation has been calculated for two months only .
9. The accounting of deferred tax in terms of "Accounting Standard (
AS22) on " Accounting for Taxes on Income" results in deferred Tax
Assets. However in view of sickness of the company there is no
certainty of realization of such assets in a reasonable period of time,
hence the same has not been accounted for.
10. Related Party Disclosure as per Accounting Standard (AS 18) issued
by Institute of Chartered Accountants of India.
Name of The Party : Raj Kumar Sethla
Nature of Relationship : Key Promoter
Unsecured Loan op. balance : 186.89 lacks credit
Received During the Year : 107,25 lacks credit
Closing Balance as on 31-3-2010 : 294.14 lacks credit
11 Segments are identified in line with the Accounting Standard 17
(AS17) taking into account the organisation structure. Expenses which
were identified were attributed directly i.e manufacturing and
depreciation related to Socks segment only and other expenses were
attributed on pro-rata basis of sate value.
Segment Reporting
(a) Primary Segment Information
The companys operation primarily relates to manufacturing of Knitted
socks, head band and wrist band and trading in yarn. Accordingly
segments have been identified in line with Accounting Standard on
Segment Reporting "AS-17". Sale of socks and yam are the primary
segment and there is no other segment.
12. In view of paucity of funds no salary were paid to any of the
Director for the financial year, however in view of directors
confirmations not to avail any remuneration, no provision for liability
is required.
13. In Terms of Provisions of Accounting Standard 28 (AS28) issued by
The Institute of Chartered Accountants of India the company had
provided for loss due to impairment of assets during 2004-05. The Value
in use being uncertain due to sickness of unit, recoverable amount has
been reduced from carrying amount and resultant loss (impairment loss)
was debited to balance of Profit and Loss a/c .In view of high
obsolence rate of machinery the board had decided to provide
depreciation on original value of block of machinery.
14. The Board of Director have approved vide its meeting dt May 30,
2009, a proposal for reduction of share capital from Rs. 6,47,00,000/-
to 64,70,000. The proposal was approved by Share holders of the company
at Annual General Meeting dt July 10,2009. On the basis of the approval
the company has filed petition in Honble High court of Jaipur .
Honble High court of Jaipur by its order no 1/2010 has passed the
scheme for reduction of Capital on April 22, 2016.
15. The company has applied to The Central Excise Department for
De-bonding of 100% Export oriented status on 28- 1-2010. The central
excise has issued final De-bonding of their 100% EOU and LOP dt.
30-9-1994.
16. Additional Information pursuant to the provision of Schedule VI of
the Companies Act 1956 for current Year.