Mar 31, 2018
Dear Members
The Board of Directors hereby submits the report of the business and operations of your company for the financial year ended 31 March 2018.
Financial Results
Financial results of the company for the financial year under report are given below:
(Rs. in crore)
Particulars |
Year ended 31 March 2018 |
Year ended 31 March 2017 |
Total revenue |
1002.86 |
774.44 |
Profit before interest & depreciation |
125.86 |
103.45 |
Interest |
64.35 |
67.68 |
Profit before depreciation |
61.51 |
35.77 |
Depreciation |
30.21 |
29.84 |
Profit before tax |
31.30 |
5.93 |
Provision for tax (including deferred tax) |
3.60 |
1.26 |
Profit after tax |
27.70 |
4.67 |
Other comprehensive income |
(0.65) |
(0.36) |
Total comprehensive income for the year 2017-18 |
27.05 |
4.31 |
Performance Review
Your company has shown excellent results in the year under review and crossed landmark of Rs.1000 crore. The company has achieved total revenue Rs.1002.86 crore during the year under review in comparison to Rs.774.44 crore during the previous year, registering an increase of 29.49 %. The profit after tax is Rs.27.70 crore during the year against Rs.4.67 crore during the previous year, mainly due to increase in sales of the company and improved operational efficiencies during the year. The EBITDA during financial year ended 31 March 2018 went up to Rs.125.86 crore as against Rs.103.45 crore during previous financial year ended 31 March 2017.
The company continues to give more focus to increase the pharma share in its total business and is able to increase pharma share to 63% during the year under review against 56% during the previous year.
Cash Flow Statement
A Cash Flow Statement for the financial year 2017-18 is included in the annexed statement of accounts.
Dividend
The Board of Directors has not recommended any dividend due to inadequate profit during the year under review.
Share Capital
The paid up equity share capital of the company is Rs.56,20,55,020/consisting of 5,62,05,502 equity shares of Rs.10/- each as on 31 March 2018.
Holding & Subsidiary Company
The company has neither a holding company nor any subsidiary company.
Internal financial control systems and their adequacy
The details in respect of internal financial controls and their adequacy are included in the Management Discussion & Analysis Report , which forms part of this report.
Loan, guarantees or investment under Section 186 of the Companies Act, 2013
The particulars of loans, guarantees and investments have been provided in the notes of the financial statements.
Expansion Schemes
During the year 2017-18, your company has setup Unit III to manufacture Fenofibrate, Clopidogrel and Lamotrigine with project cost of Rs.16.48 crore met through internal accruals. The company has also setup Unit IV for manufacturing Metformin an anti-diabetic drug with a capacity of 3000 MT per annum with project cost of Rs.10.02 crore which was financed through internal accruals.
The company has also enhanced installed capacity of Ibuprofen from 7200 TPA to 10000 TPA by debottlenecking and re-engineering the plant in the month of August 2018.
Research and Development
Research and Development (R&D) capabilities have enabled your company to produce technology-intensive products, enhancing its presence in local & international markets. The companyâs R&D strength is in developing processes for APIs and intermediates with substantial backward integration to minimize its dependency on external forces and to be a leader in highly competitive world of generic APIs. Currently, the company has five APIs and three intermediates in its pipeline, which are either on the verge of development or are ready for commercialization. Going forward, the companyâs R&D is targeting to develop at-least 4-5 APIs every year. The company employs about 50 research scientists working in R&D centre equipped with cutting-edge technologies for research.
Credit Rating
The CARE Ratings Limited has revised the credit rating for long term bank facilities to âCARE BBB-; Stableâ (Triple B Minus; Outlook: Stable) from âCARE BB; Stableâ (Double B; Outlook: Stable) and the credit rating for short term bank facilities to âCARE A3â(A Three) from âCARE A4 Stableâ (A Four).
Composition and Number of Meetings of the Board
The Board comprises of well qualified and experienced persons having expertise in their respective areas. It has appropriate combination of Executive, Non Executive and Independent Directors.
During the financial year 2017-18, the Board met 4 (four) times on 27 May 2017, 18 August 2017, 13 November 2017 and 12 February 2018.
Directors /Key Managerial Personnel
In accordance with the provisions of the Companies Act, 2013 and the Articles of Association of the company, Mr Vijay Garg and Mr Vikas Gupta will retire in the ensuing Annual General Meeting and being eligible has offered themselves for re-appointment. The Board has recommended their re-election to the members.
During the current year, Mr Vijay Singla, Director (Works) has resigned from directorship with effect from 27 May 2017, however remains in the company as President (Chemicals).The Board places on record their appreciation for the services rendered by him during his tenure as director of the company.
Board evaluation
The Board has carried out an annual evaluation of its own performance, board committees and independent directors pursuant to the provisions of the Companies Act, 2013 and the corporate governance requirements as prescribed under Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, (hereinafter referred as SEBI Listing Regulations). The Board has evaluated the performance of independent directors mainly on the basis of their constructive participation in the board/ committee proceedings, their ability to monitor the management performance, providing guidance in the key issue in the best interest of the company and their commitment to the ethical and to fulfilment of fiduciary and other duties assigned by the act, regulations and rules by the Government. The performance evaluation of the chairman and the non-Independent directors was carried out by the Committee of Independent Directors.
Nomination and Remuneration Policy
The Nomination and Remuneration Policy on directorsâ appointment and remuneration including criteria for determining qualifications, positive attributes, independence of a director and other matters, as required under Section 178 of the Companies Act, 2013 is available on our website www.iolcp.com. There has been no change in the policy since the last fiscal year.
Directorsâ Responsibility Statement
Pursuant to the provisions of Section 1 34(5) of the Companies Act, 2013, the Directors of your company confirm that:
a) in the preparation of the annual accounts, the applicable accounting standards had been followed along with proper explanation relating to material departures.
b) they have selected such accounting policies and applied them consistently and made judgments and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the company at the end of the financial year and of the profit or loss of the company for that period;
c) they have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the company and for preventing and detecting fraud and other irregularities.
d) they have prepared the annual accounts on a going concern basis.
e) they have laid down internal financial controls to be followed by the company and that such internal financial controls are adequate and operating properly; and
f) they have devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.
Declaration by Independent Directors
The company has received necessary declaration from each of independent director under Section 149(7) of the Companies Act, 2013 that he/she meets the criteria of independence as laid down in Section 149(6) of the Companies Act, 2013 and Regulation 16 of the SEBI Listing Regulations, 2015.
Corporate Governance
The company has in place a system of Corporate Governance. A separate report on Corporate Governance along with auditorsâ certificate regarding compliance of conditions of corporate governance set out by the SEBI Listing Regulations is annexed to this Report.
Management Discussion and Analysis Report
Management Discussion and Analysis Report is given separately in this Report.
Audit and Risk Management Committee
The Composition and role of the Committee has been provided in the Corporate Governance Report annexed with this report.
Risk Management
The Board has formed Audit and Risk Management Committee inter alia to frame, implement and monitor the risk management plan for the company. The Committee is responsible for reviewing the risk management plan and ensuring its effectiveness. It has been covered in the Management Discussion and Analysis Report, which forms part of this report.
Related Party Transactions
All related party transactions that were entered into during the financial year were on armâs length and were in the ordinary course of business. During the year, the company had not entered into any contract / arrangement / transaction with related parties which could be considered material in accordance with the provisions of Policy on Materiality of and dealing with Related Party Transactions. The disclosures of related party transactions are provided in notes to financial statements.
The company has formulated a Policy on Materiality of and dealing with Related Party Transactions. The policy is available on the companyâs website www.iolcp.com.
Fixed Deposits
The company has not accepted any fixed deposits from the public/ members during the year under review.
Investor Services
Your company is committed to provide its best services to the shareholders/ investors. M/s Alankit Assignments Limited, New Delhi is working as Registrars and Share Transfer Agents (RTA) of the company for transfer, dematerialization of shares and other investor related services. No correspondence /enquiry from any shareholder/ investor is pending with the company for reply.
Listing of Shares
The equity shares of the company continued to be listed and traded on National Stock Exchange of India Limited (Script code; IOLCP) and BSE Limited (Script code; 524164). The company has made all compliances of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 including payment of annual listing fee.
Energy Conservation / Technology Absorption and Foreign Exchange Earnings and Outgo
Energy conservation continues to be an area of major emphasis in the company. A statement giving details of conservation of energy, technology absorption, foreign exchange earnings and outgo, in accordance with Section 134 of the Companies Act, 2013 read with Rule 8(3) of the Companies (Accounts) Rules, 2014 is annexed hereto as Annexure I and forms part of this report.
Auditors
M/s SCV & Co. LLP, Chartered Accountants, New Delhi (formerly known as M/s S C Vasudeva & Co.) Statutory Auditors of the company have submitted Auditorsâ Report on the financial statements of the company for the financial year ended on 31 March 2018. The Auditorsâ Report for the year is self-explanatory & does not contain any modified opinion, hence no comment is required.
Pursuant to the provisions of Section 139 of the Companies Act, 2013 and the Rules framed thereunder, M/s SCV & Co. LLP, Chartered Accountants, New Delhi (formerly known as M/s S C Vasudeva & Co.) will mandatorily retire at the conclusion of the ensuing Annual General Meeting.
The Board of Directors based on the recommendations of the Audit and Risk Management Committee has recommended the appointment of M/s Ashwani & Associates (Firm Registration No: 000497N) Chartered Accountants, Ludhiana as Statutory Auditors of the company in place of M/s SCV & Co LLP., Chartered Accountants, New Delhi for a term of five consecutive years, from the conclusion of ensuing 31st Annual General Meeting until the conclusion of the 36th Annual General Meeting of the company for the approval of shareholders of the company in the ensuing 31st Annual General Meeting of the company.
M/s Ashwani & Associates has confirmed its willingness and eligibility, to act as statutory auditors to conduct audit of the companyâs financial statements from the financial year 2018-19.
Secretarial Audit
Pursuant to the provisions of Section 204 of the Companies Act, 2013 and the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, the Board of Directors has appointed M/s B. K. Gupta & Associates, practicing company secretary for conducting secretarial audit of the company for the financial year 2017-18. The Secretarial Audit Report is annexed hereto as Annexure II and forms part of the Report.
The Secretarial Audit Report does not contain any qualification, reservation or adverse remark.
Cost Auditors
Pursuant to the provisions of Section 139 of Companies Act, 2013, the Board of Directors has appointed M/s Ramanath Iyer & Co., Cost Accountants, New Delhi as Cost Auditor to conduct the audit of cost accounts of bulk drugs and chemicals maintained by the company, for the financial year 2018-19, subject to determination of their remuneration by members of the company thereto.
The Cost Audit Report for the year ended 31 March 2017 has been filed on 02 September 2017 with Ministry of Corporate Affairs, New Delhi.
Extract of Annual Return
The details forming part of the extract of the Annual Return in form MGT-9 is annexed herewith as Annexure III forming part of this report.
Industrial Relations
Industrial relations remained cordial and harmonious throughout the year under review.
Safety, Health and Environment
Safety is companyâs top priority with regard to employment and it is encouraging safety measures at all levels of operations especially at the floor level. Regular training programmers are being conducted to bring in awareness about the importance of safety at work place.
Prevention of Sexual Harassment Policy
The company has in place a Prevention of Sexual Harassment policy in line with the requirements of the Sexual Harassment of Women at the Workplace (Prevention, Prohibition and Redressal) Act, 2013. An Internal Complaints Committee has been set up to redress complaints received regarding sexual harassment. All employees (permanent, contractual, temporary, trainees) are covered under this policy. During the year 2017-2018, no complaint related to sexual harassment was received by the company.
Vigil Mechanism
In pursuant to the provisions of Section 177(9) & (10) of the Companies Act, 2013, a Vigil Mechanism for directors and employees to report genuine concerns has been established. The Vigil Mechanism Policy has been uploaded on the website of the company at www.iolcp.com.
Particulars of managerial remuneration and related disclosures
Disclosures relating to remuneration and other details as required under Section 197(12) of the Companies Act,2013 read with Rule 5(1) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 are provided in the Annual Report, which forms part of this report.
In terms of the provisions of Section 197(12) of the Companies Act, 2013 read with Rules 5(2) and 5(3) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, as amended, a statement showing the names and other particulars of the employees drawing remuneration in excess of the limits set out in the said rules are provided in the Annual Report, which forms part of this report.
Having regard to the provisions of the first proviso to Section 136(1) of the Companies Act, 2013 the Annual Report excluding the aforesaid information is being sent to the members of the company. The said information is available for inspection at the registered office of the company during working hours and any member interested in obtaining such information may write to the Company Secretary and the same will be furnished on request.
Corporate Social Responsibility Committee (CSR Committee)
The Board of Directors have constituted a CSR Committee comprising of Mr Varinder Gupta as Chairman and Dr ( Mrs) Sandhya Mehta, Mr Vijay Garg and Mr Vikas Gupta ,Directors as its members. The CSR Committee is to oversees the companyâs CSR initiatives under the overall supervision and guidance of the Board of Directors.
The provisions of Section 135 of Companies Act, 2013 and the Rules made thereunder for CSR are applicable to the company for financial year commenced on 01 April 2018.
GENERAL
Your Directors state that no disclosure or reporting is required in respect of the following items as there were no transactions on these items during the year under review:
1. Details relating to deposits covered under Chapter V of the Act.
2. Issue of equity shares with differential rights as to dividend, voting or otherwise.
3. Change in the nature of business of the company.
4. The company does not have any scheme of provision of money for the purchase of its own shares by employees or by trustees for the benefit of employees.
5. Neither the Managing Director nor the Whole-time Directors of the company receive any remuneration or commission from any of its subsidiaries.
6. No significant or material orders were passed by the Regulators or Courts or Tribunals which impact the going concern status and companyâs operations in future.
7. No fraud has been reported by the Auditors to the Audit Committee or the Board.
Acknowledgement
We are pleased to place on record our sincere gratitude and appreciation for assistance and co-operation received from the Union Government, Punjab Government, bankers, members, customers, vendors and business constituents.
We also place on record our sincere appreciation of the contribution made by the employees at all levels. Our consistent growth is made possible by their devout, sincere and unstinted services.
For and on behalf of the Board
Sd/- Sd/-
Varinder Gupta Dr M A Zahir
Place : Ludhiana Managing Director Chairman
Dated : 11 August 2018 DIN -00044068 DIN-00002973
Mar 31, 2016
Dear Members
The Directors are pleased to present the Twenty-ninth Annual Report and Audited Accounts for the financial year ended 31 March 2016.
Financial Results
Financial results of the Company for the financial year under report are given below:
(Rs. in crore)
Particulars |
Year ended 31 March 2016 |
Year ended 31 March 2015 |
Gross sales and other income |
645.44 |
427.02 |
Net sales and other income |
581.64 |
386.04 |
Profit before interest & depreciation |
52.60 |
12.58 |
Interest |
61.47 |
59.11 |
Profit before depreciation |
(8.86) |
(46.53) |
Depreciation |
29.68 |
28.91 |
Profit before tax |
(38.55) |
(75.44) |
Provision for tax (including deferred tax) |
1.48 |
(8.79) |
Profit after tax |
(40.03) |
(66.65) |
Balance carried to the Balance Sheet |
(59.96) |
(19.93) |
Performance Review
Net Revenue and other income of the Company went up by 51% to Rs. 581.64 crore during the year under review in comparison to Rs. 386.04 crore reported in the previous year. The Company was able to reduce its losses to Rs. 40.03 crore during the year under review from Rs. 66.65 crore incurred during the previous year, mainly due to increase in sales of the Company and improved operational efficiency during the year.
The Company continues to maintain strategic focus on grabbing more share in the market. Further, the Company is striving for improvement in the product mix to increase the share of pharma business, capitalizing product level opportunities for which regulatory approvals have been received. Product rationalization, cost effectiveness throughout the organization would be the key growth drivers.
Cash Flow Statement
A Cash Flow Statement for the financial year 2015-16 is included in the annexed Statement of Accounts.
Dividend
The Board of Directors has not recommended any dividend due to inadequate profits during the year under review.
Share Capital
The paid up equity share capital of the Company has been increased from Rs. 47,65,55,020/- consisting of 4,76,55,502 equity shares of Rs. 10/each to Rs. 56,20,55,020/- consisting of 5,62,05,502 equity shares of Rs. 10/- each due to allotment of 85,50,000 equity share of face value of Rs. 10/- each on the conversion of share warrants during the year ended 31 March 2016.
Holding & Subsidiary Company
The Company has neither any holding company nor a subsidiary company.
Internal financial control and its adequacy
The details in respect of internal financial control and its adequacy are included in the Management Discussion & Analysis Report, which forms part of this Report.
Loan, guarantees or investment under Section 186 of the Companies Act, 2013
The particulars of loans, guarantees and investments have been disclosed in the financial statements.
Recognitions
Members would be happy to note the receipt of following recognitions by the Company during the year under review:
- âCertificates of Pharmaceuticals Productsâ (COPP) for manufacturing facilities of Ibuprofen IP/BP/USP/Ph.Eur./JP and Lamotrigine IP/BP/USP/Ph.Eur products in its exiting Multiple Purpose Plant conforming to the WHO guidelines from, Food & Drugs Administration, Punjab.
- Approval of US Food and Drug Administration (USFDA) in July 2015 to launch API business in the US Market.
- âCertificate of Good Manufacturing Practices Compliance of Manufacturerâ from Authority for Health and Consumer Protection, Hamburg, Germany.
- Company has got renewal of âHALAL CERTIFICATEâ from Halal Committee, Jamiat Ulama - E - Maharashtra for Ibuprofen, Iso Butyl Benezene, Ethyl Acetate and other products of the Company for the year 2016-2017.
- The Company has been awarded with CEP certification (Certificates of Suitability) dated 17 April 2015 for its product Metformin Hydrochloride by European Directorate for the Quality of Medicines & HealthCare (EDQM) authorities, Council of Europe, France. The certificate is valid for a period of five years from the date of issue.
- The Company has got âTwo Star Export House âcertificate on 24 June 2015.
Composition and Number of Meetings of the Board
The Board comprises of well qualified and experienced persons having expertise in their respective areas. The Board has appropriate combination of Executive and Independent Directors.
During the financial year 2015-16, the Board met 5 (five) times on 29 May 2015, 11 August 2015, 13 August 2015, 30 October 2015 and 30 January 2016.
Directors /Key Managerial Personnel
The Board on the recommendation of Nomination and Remuneration Committee has re-appointed Mr Varinder Gupta as Managing Director of the Company for a period of three years with effect from
01 September 2015. The members of the Company in its Annual General Meeting held on 29 September 2015 have approved his reappointment as Managing Director of the Company.
The Board on the recommendation of Nomination and Remuneration Committee has re-appointed Mr Vijay Kumar Garg as Joint Managing Director for a period of three years with effect from 02 March 2016 subject to the approval of the members.
The Board on the recommendation of Nomination and Remuneration Committee has re-appointed Mr Vijay Singla as Director (Works) for a period of three years with effect from 01 April 2016 subject to the approval of the members.
The Board on the recommendation of Nomination and Remuneration Committee has appointed Mr Vikas Gupta as an Additional and Executive Director for a period of five years with effect from 29 May
2015 and members of the Company in its Annual General Meeting held on 29 September 2015 has approved his appointment as Executive Director of the Company.
In accordance with the provisions of the Companies Act, 2013 and the Articles of Association of the Company, Mr Vijay Kumar Garg, Mr Vikas Gupta and Mr Vijay Singla will retire in the ensuing Annual General Meeting and being eligible has offered themselves for re-appointment.
During the current year, Mr Yogesh Goel and Mr Ravi Pratap Singh, independent directors resigned from directorship of the Company with effect from 14 May 2016 due to their pre-occupations. The Board places on record appreciation for the services rendered by them during their tenure as directors of the Company.
The Company has appointed Mr Pardeep Kumar Khanna as Chief Financial Officer (CFO) of the Company with effect from 13 August 2015 in place of Mr Rakesh Mahajan. The Company has enhanced the role of Mr Rakesh Mahajan with higher responsibilities.
Woman director
In terms of the provisions of Section 149 of the Companies Act, 2013 and Regulation 17 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Dr Sandhya Mehta has been serving as independent woman director on the Board of the Company since 22 August 2014. She is also a member of Audit and Risk Management Committee and Nomination and Remuneration Committee.
Board evaluation
The Board has carried out an annual evaluation of its own performance, Board Committees and Independent Directors pursuant to the provisions of the Companies Act, 2013 and the corporate governance requirements as prescribed by Securities and Exchange Board of India (âSEBIâ) under Regulation 17 (10) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The Board has evaluated the performance of Independent Directors mainly on the basis of their constructive participation in the Board/ Committee proceedings, their ability to monitor the management performance, providing guidance in the key issue in the best interest of the Company and their commitment to the ethical and to fulfillment of fiduciary and other duties assigned by the various act, regulations and rules by the Government. The performance evaluation of the Chairman and the Non-Independent Directors was carried out by the Committee of Independent Directors.
Nomination and Remuneration Policy
The Nomination and Remuneration Policy on directorsâ appointment and remuneration including criteria for determining qualifications, positive attributes, independence of a director and other matters, as required under sub section (3) of Section 178 of the Companies Act, 2013 is available on our website www.iolcp.com. There has been no change in the policy since the last fiscal year.
Directorsâ Responsibility Statement
Pursuant to the provisions of Section 134(5) of the Companies Act, 2013 the Directors of your Company confirm that:
a) in the preparation of the Annual Accounts, the applicable accounting standards had been followed along with proper explanation relating to material departures.
b) they have selected such accounting policies and applied them consistently and made judgments and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the Company at the end of the financial year and of the profit or loss of the Company for that period.
c) they have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities.
d) they have prepared the annual accounts on a going concern basis.
e) they have laid down internal financial controls to be followed by the Company and that such internal financial controls are adequate and operating effectively; and
f) they have devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.
Declaration by Independent Directors
The Company has received necessary declaration from each independent director under Section 149(7) of the Companies Act, 2013 that he/she meets the criteria of independence laid down in Section 149(6) of the Companies Act, 2013 and Regulation 16 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
Corporate Governance
The Company has in place a system of Corporate Governance. A separate report on Corporate Governance along with Auditorsâ Certificate regarding compliance of conditions of corporate governance under Regulation 34 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 is annexed to this Annual Report.
Management Discussion and Analysis Report
Management Discussion and Analysis Report is given separately in this Annual Report.
Audit and Risk Management Committee
The Composition and role of the Committee has been provided in the Corporate Governance Report annexed with the report.
Risk management
The Board has formed Audit and Risk Management Committee inter alia to frame, implement and monitor the risk management plan for the Company. The Committee is responsible for reviewing the risk management plan and ensuring its effectiveness. It has been covered in the Management Discussion and Analysis Report, which forms part of this report.
Related Party Transactions
All Related Party Transactions that were entered into during the financial year were on armâs length and were in the ordinary course of business. During the year, the Company had not entered into any contract / arrangement / transaction with related parties which could be considered material in accordance with the provisions of Policy on materiality of and dealing with Related Party Transactions. The disclosures of related party transactions are provided in notes to financial statements.
The Company has formulated a Policy on materiality of and dealing with Related Party Transactions. The policy is available on the Companyâs website www.iolcp.com.
Fixed Deposits
The Company has not accepted any fixed deposits from the public/ members during the year under review.
Investor Services
The Company is committed to provide its best services to the shareholders/ investors. M/s Alankit Assignments Limited, New Delhi is working as Registrars and Share Transfer Agents (RTA) of the Company for transfer, dematerialization of shares and other investor related services. No correspondence /enquiry from any shareholder/ investor is pending with the Company for reply.
Listing of Shares
The equity shares of the Company continued to be listed and traded on National Stock Exchange of India Limited (Script code; IOLCP) and BSE Limited (Script code; 524164). The Company has made all compliances of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 including payment of annual listing fee.
Auditors
Pursuant to the provisions of Section 139 of the Companies Act, 2013 and the Rules framed there under, M/s S C Vasudeva & Co., Chartered Accountants, New Delhi were appointed as statutory auditors of the Company from the conclusion of the twenty seventh Annual General Meeting of the Company held on 30 September 2014 till the conclusion of the thirty first Annual General Meeting to be held in the year 2018, subject to ratification of their appointment at every Annual General Meeting of the Company.
In terms of aforesaid provisions, the appointment of auditorsâ is placed for rectification by the members.
Statutory Auditorsâ Report
Auditorsâ Report on the accounts is self-explanatory and does not contain any qualifications, reservations or adverse remarks.
Secretarial Audit
Pursuant to the provisions of Section 204 of the Act and the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, the Board of Directors has appointed M/s B. K. Gupta & Associates, practicing Company Secretaries for conducting secretarial audit of the Company for the financial year 2015-2016. The Secretarial Audit Report is annexed hereto as Annexure I and forms part of the report.
The Secretarial Audit Report does not contain any qualification, reservation or adverse remark.
Cost Auditors
Pursuant to the provisions of Section 139 of Companies Act, 2013, the Company has appointed M/s Ramanath Iyer & Co., Cost Accountants, New Delhi as Cost Auditor to conduct the audit of cost accounts of bulk drugs and chemicals maintained by the Company, for the financial year 2016-17, subject to determination of their remuneration by members of the Company thereto.
The Cost Audit Report for the year ended 31 March 2015 has been filed on 16 September 2015 with Ministry of Corporate Affairs, New Delhi.
Energy Conservation / Technology Absorption and Foreign Exchange Earnings and Outgo
Energy conservation continues to be an area of major emphasis in the Company. A statement giving details of conservation of energy, technology absorption, foreign exchange earnings and outgo, in accordance with Section 134 of the Companies Act, 2013 read with Rule 8(3) of the Companies (Accounts) Rules, 2014 is annexed hereto as Annexure II and forms part of the Report.
Extract of Annual Return
The details forming part of the extract of the Annual Return in form MGT 9 is annexed herewith as Annexure III forming part of the Report.
Particulars of remuneration and related disclosures
Disclosures pertaining to remuneration and other details as required under Section 197(12) of the Companies Act, 2013 read with Rule 5(1) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 are provided in the Annexure IV forming part of the Report.
The statement showing the name and other detail of the top ten employees in terms of remuneration drawn and every employee employed throughout the financial year was in receipt of remuneration of Rs. 1.02 crore or more, or posted for part of financial year and in receipt of remuneration of Rs. 8.50 lakh or more a month, as required under Section 197(12) of the Companies Act, 2013 read with Rule 5(2), 5(3) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 are provided in the Annexure V forming part of the Report.
Industrial Relations
Industrial relations remained cordial and harmonious throughout the year under review.
Safety, Health and Environment
Safety is Companyâs top priority with regard to employment and it is encouraging safety measures at all levels of operations especially at the floor level. Regular training programmers are being conducted to bring in awareness about the importance of safety at work place.
Prevention of Sexual Harassment Policy
The Company has in place a Prevention of Sexual Harassment policy in line with the requirements of the Sexual Harassment of Women at the Workplace (Prevention, Prohibition and Redressal) Act, 2013. An Internal Complaints Committee has been set up to redress complaints received regarding sexual harassment. All employees (permanent, contractual, temporary, trainees) are covered under this policy. During the year 2015-2016, no complaint related to sexual harassment was received by the Company.
Vigil Mechanism
In pursuant to the provisions of Section 177(9) & (10) of the Companies Act, 2013, a Vigil Mechanism for directors and employees to report genuine concerns has been established. The Vigil Mechanism Policy has been uploaded on the website of the Company at www.iolcp.com.
Acknowledgement
We are pleased to place on record our sincere gratitude and appreciation for assistance and co-operation received from the Union Government, Punjab Government, bankers, members, customers, vendors and business constituents.
We also place on record our sincere appreciation for contribution made by the employees at all levels. Our consistent growth is made possible by their devout, sincere and unstinted services.
For and on behalf of the Board
Sd/- Sd/-
Place : Ludhiana Varinder Gupta Dr M A Zahir
Dated : 08 August 2016 Managing Director Chairman
DIN: 00044068 DIN: 00002973
Mar 31, 2015
Dear Members
The Board is pleased to present the Twenty-Eighth Annual Report and
Audited Accounts for the financial year ended 31 March 2015.
Financial Results
Financial results of the Company for the financial year under report
are given below:
(Rs. in crore)
Particulars Year ended Year ended
31 March 2015 31 March 2014
Gross sales and other income 427.02 626.04
Net sales and other income 386.04 564.81
Profit before interest & 12.58 97.06
depreciation
Interest 59.11 60.34
Profit before depreciation (46.53) 36.72
Depreciation 28.91 31.63
Profit before tax (75.44) 5.08
Provision for tax (including (8.79) 1.78
deferred tax)
Profit after tax (66.65) 3.30
Balance carried to the Balance
Sheet
Performance review
Net revenue and other income for the year ended 31 March 2015 was at Rs.
386.04 crore against Rs. 564.81 crore during the previous year
representing decrease of 31.65 % over the previous year.
Loss before tax for the year ended 31 March 2015 was at Rs. 75.44 crore
against profit before tax Rs. 5.08 crore for the year ended 31 March
2014.
Loss is mainly due to decrease in gross sales and other income which
decreased from Rs. 626.04 crore to Rs. 427.02 crore during the year under
review.
Overall performance of the Company lower than that of previous year due
to mis-match in input and output prices in chemical business and
Company was not able to pass on the increased price of raw materials to
its customers because of subdued sentiments in overall economy.
Now Company continues to maintain strategic focus on grabbing more
share in market, improvement in the product mix so as to increase the
share of pharma business, capitalizing product level opportunities for
which regulatory approvals have been received, product rationalization,
cost effectiveness throughout the organization.
Cash Flow statement
A Cash Flow Statement for the financial year 2014-15 is included in the
annexed Statement of Accounts.
Dividend
The Board has not recommended any dividend due to inadequate profits
during the year under review.
Share Capital
The paid up equity share capital of the Company has been increased from
Rs. 28,81,51,640/- consisting of 2,88,15,164 equity shares of Rs. 10/- each
to Rs. 47,65,55,020/- consisting of 4,76,55,502 equity shares of Rs. 10/-
each due to allotment of 1,88,40,338 equity share of face value of Rs.
10/- each on the conversion of Preference Shares, Foreign Currency
Convertible Bonds and Share Warrants and allotment on preferential
basis during the year ended 31 March 2015.
During the current year, the Company has allotted 33,00,000 equity
share of face value of Rs. 10/- each on the conversion of Share Warrants
resulting in total equity paid up capital of Rs. 50,95,55,020/-
consisting of 5,09,55,502 equity shares of face value of Rs. 10/- each
and still 52,50,000 Share Warrants are outstanding for conversion.
DEBT RESTRUCTURING
The Joint Lender Forum (JLF) has sanctioned the comprehensive
restructuring of all debts of the Company with cut-off date as 01
September 2014. The restructuring of facilities included restructuring
of repayment schedule, interest funding, reduction in interest rates,
sanction of working capital term loans.
The Company is complying the provisions of debt restructuring approved
by Joint Lender Forum (JLF) .There is no default in repayment of debts
and interest thereon.
Holding & subsidiary Company
The Company has neither any holding company nor a subsidiary company.
Internal financial control systems and their adequacy
The details in respect of internal financial control and their adequacy
are included in the Management Discussion & Analysis Report, which
forms part of this report.
Loan, guarantees or investment under section 186 of the Companies Act,
2013
The particulars of loans, guarantees and investments have been
disclosed in the financial statements.
Awards
The Company has been awarded with "2nd prize in National Energy
Conservation Award" by the Ministry of Power, Government of India in
chemical sector. The Company has been awarded the prize consecutively
for nine years by the Ministry of Power, Government of India.
RECOGNITIONS
Following recognitions were received by the Company during the year
under review:
o Approval of US Food and Drug Administration (USFDA) in July 2015 to
launch API business in US Market o Company has got "Two Star Export
House" certificate from Joint Director General of Foreign Trade on 24
June 2015. o Company has got renewal of "HALAL CERTIFICATE" from
Halal Committee, Jamiat Ulama - E - Maharashtra for Ibuprofen, Iso
Butyl Benezene, Ethyl Acetate and other products of the Company for the
year 2015-2016.
o The Company has been awarded with CEP certification (Certificates of
Suitability) dated 17 April 2015 for its product Metformin
Hydrochloride by European Directorate for the Quality of Medicines &
HealthCare (EDQM) authorities, Council of Europe, France. The
certificate is valid for a period of five years from the date of issue.
Now, the Company is able to sell Metformin Hydrochloride in Europe
resulting into increase in higher value added export turnover and
margin.
The Company has already holding valid CEP certification (Certificates
of Suitability) for its products Ibuprofen & Lamotrigine from European
Directorate for the Quality of Medicines & HealthCare (EDQM)
authorities, Council of Europe, France and selling these products in
Europe.
Credit Rating
The Credit Analysis & Research Ltd (CARE) has rated Company as "CARE
BB-" (pronounced " Double B Minus") for Long Term Facilities and
"CARE A4" (pronounced "A Four") for Short Term Facilities.
Composition and Number of Meetings of the Board
The Board comprises of well qualified and experienced persons having
expertise in their respective areas. It has appropriate combination of
Executive, Non Executive and Independent Directors.
During the financial year 2014-15, the Board met 9 (nine) times on 21
May 2014, 30 May 2014, 20 June 2014, 14 August 2014, 22 August 2014, 29
October 2014, 28 November 2014, 31 December 2014 and 13 February 2015.
Directors /Key Managerial Personnel
In accordance with the provisions of the Companies Act, 2013 and the
Articles of Association of the Company, Mr Vijay Singla is liable for
retire by rotation at the ensuing Annual General Meeting and being
eligible has offered himself for re-appointment. The Board has
recommended the re-election to the members.
Mr Vikas Gupta appointed as an Additional Director and Executive
Director of the Company with effect from 29 May 2015 on the
recommendation of Nomination and Remuneration Committee and shall hold
office upto the date of ensuing Annual General Meeting. He is BSc
(Hons.) in Business Management from Kings College London. The Company
has received requisite notice from a member proposing his name for
appointment as director of the Company. The Board recommends his
appointment as Executive Director for a term of five years.
The tenure of Mr Varinder Gupta as Managing Director of the Company is
expiring on 31 August 2015. He is re-appointed as Managing Director of
the Company for the period of 3 years from 01 September 2015 to 31
August 2018 on the recommendation of Nomination and Remuneration
Committee held on 29 May 2015. The Board recommends his re-appointment
to the mambers.
Mr Pardeep Khanna was appointed as Chief Financial Officer(CFO) of the
Company w.e.f. 13 August 2015 in place of Mr Rakesh Mahajan. The
Company is enhanced the role of Mr Rakesh Mahajan with higher
responsibilities.
Woman Director
In terms of the provisions of Section 149 of the Companies Act, 2013
and Clause 49 of the Listing Agreement, the Company has appointed Dr
Sandhya Mehta as Independent Director on the Board since 22 August
2014, who is presently the member of Audit and Risk Management
Committee and Nomination and Remuneration Committee.
Board Evaluation
The Board has carried out an annual evaluation of its own performance,
Board Committees and Independent Directors pursuant to the provisions
of the Companies Act, 2013 and the corporate governance requirements as
prescribed by Securities and Exchange Board of India ("SEBI") under
Clause 49 of the Listing Agreements ("Clause 49"). The Board has
evaluated the performance of Independent Directors mainly on the basis
of their constructive participation in the Board/ Committee
proceedings, their ability to monitor the management performance,
providing guidance in the key issue in the best interest of the Company
and their commitment to the ethical and to fulfillment of fiduciary and
other duties assigned by the various act, regulation and rules by the
Government. The performance evaluation of the Chairman and the
Non-Independent Directors was carried out by the Committee of
Independent Directors.
Nomination and Remuneration Policy
The Nomination and Remuneration Committee has formulated the Nomination
and Remuneration Policy on directors' appointment and remuneration
including criteria for determining qualifications, positive attributes,
independence of a director in compliance with Section 178 of the
Companies Act, 2013 read along with the applicable rules thereto and
Clause 49 of the Listing Agreement. The Nomination and Remuneration
Policy is annexed hereto as Annexure I and forms part of the report.
DIRECTORS' RESPONSIBILITY STATEMENT
Pursuant to the provisions of Section 134(5) of the Companies Act, 2013
the Directors of your Company confirm that:
a) in the preparation of the Annual Accounts, the applicable accounting
standards had been followed along with proper explanation relating to
material departures.
b) they have selected such accounting policies and applied them
consistently and made judgments and estimates that are reasonable and
prudent so as to give a true and fair view of the state of affairs of
the Company at the end of the financial year and of the profit or loss
of the Company for that period.
c) they have taken proper and sufficient care for the maintenance of
adequate accounting records in accordance with the provisions of this
Act for safeguarding the assets of the Company and for preventing and
detecting fraud and other irregularities.
d) they have prepared the annual accounts on a going concern basis.
e) they have laid down internal financial controls to be followed by
the Company and that such internal financial controls are adequate and
operating effectively; and
f) they have devised proper systems to ensure compliance with the
provisions of all applicable laws and that such systems were adequate
and operating effectively.
Declaration by Independent Directors
Every Independent Director, at the first meeting of the Board in which
he participates as a Director and thereafter at the first meeting of
the Board in every financial year, gives a declaration that he meets
the criteria of independence laid down in Section 149(6) of the
Companies Act, 2013 and Clause 49 of the Listing Agreement.
Corporate Governance
The Company has in place a system of corporate governance. A separate
report on corporate governance alongwith Auditors' Certificate
regarding compliance with Clause 49 of the Listing Agreement is annexed
to this Annual Report.
Management Discussion and Analysis Report
Management Discussion and Analysis Report is given separately in this
Annual Report.
Audit and Risk Management Committee
The composition and role of the Committee has been provided in the
Corporate Governance Report annexed with the report.
Risk management
The Board has formed a Audit and Risk Management Committee inter alia
to frame, implement and monitor the risk management plan for the
Company. The Committee is responsible for reviewing the risk management
plan and ensuring its effectiveness. The development and implementation
of risk management policy has been covered in the Management Discussion
and Analysis Report, which forms part of this report.
Related Party Transactions
All related party transactions that were entered into during the
financial year were on arm's length and were in the ordinary course
of business. All related party transactions were placed before the
Audit and Risk Management Committee of the Board for their approval.
The Committee has granted omnibus approval for related party
transactions as per the provisions and restrictions contained in the
Listing Agreement.
The Company has formulated a policy on materiality of related party
transactions and also on dealing with related party transactions. The
policy is available on the Company's website www.iolcp.com.
Fixed Deposits
The Company has not accepted any fixed deposits from the public/
members during the year under review.
Investor Services
The Company is committed to provide the best services to the
shareholders/ investors. M/s Alankit Assignments Limited, New Delhi is
working as Registrars and Share Transfer Agents (RTA) of the Company
for transfer, dematerialization of shares and other investor related
services. No correspondence /enquiry from any shareholder/ investor is
pending with the Company for reply.
Listing of shares
The equity shares of the Company continued to be listed and traded on
National Stock Exchange of India Limited (Script code; IOLCP) and BSE
Limited (Script code; 524164). The Company has made all compliances of
the Listing Agreements including payment of annual listing fee.
Change of Industrial Classification
Recently NSE and BSE has changed the industrial classification of the
Company from specialty chemicals to pharmaceuticals.
Auditors
Pursuant to the provisions of Section 139 of the Companies Act, 2013
and the Rules framed thereunder, M/s S C Vasudeva & Co., Chartered
Accountants, New Delhi were appointed as statutory auditors of the
Company from the conclusion of the twenty seventh Annual General
Meeting of the Company held on 30 September 2014 till the conclusion of
the thirty first Annual General Meeting to be held in the year 2018,
subject to ratification of their appointment at every Annual General
Meeting of the Company.
In terms of aforesaid provisions, the appointment of auditors' is
placed for rectification by the members. statutory auditors' Report
Auditors' Report on the accounts is self-explanatory and does not
contain any qualifications, reservations or adverse remarks.
SECRETARIAL AUDIT
Pursuant to the provisions of Section 204 of the Companies Act, 2013
and the Companies (Appointment and Remuneration of Managerial
Personnel) Rules, 2014, the Board has appointed M/s B. K. Gupta &
Associates, Practicing Company Secretaries for conducting secretarial
audit of the Company for the financial year 2014-2015. The Secretarial
Audit Report is annexed hereto as Annexure II and forms part of the
report.
The Secretarial Audit report does not contain any qualification,
reservation or adverse remark.
Cost Auditors
Pursuant to the provisions of Section 139 of Companies Act, 2013,
Company has appointed M/s Ramanath Iyer & Co., Cost Accountants, New
Delhi as Cost Auditor to conduct the audit of cost accounts of bulk
drugs and chemicals maintained by the Company, for the financial year
2015-16, subject to determination of their remuneration by members of
the Company thereto.
The Cost Audit Report for the year ended 31 March 2014 has been filed
on 03 September 2014 with Ministry of Corporate Affairs, New Delhi.
Energy Conservation / Technology Absorption and Foreign Exchange
Earnings and Outgo
Energy conservation continues to be an area of major emphasis in the
Company. A statement giving details of conservation of energy,
technology absorption, foreign exchange earnings and outgo, in
accordance with Section 134 of the Companies Act, 2013 read with Rule
8(3) of the Companies (Accounts) Rules, 2014 is annexed hereto as
Annexure III and forms part of the report.
The Company has awarded with "2nd Prize in National Energy
Conservation Award" in consecutively for nine years by Ministry of
Power, Government of India for its continued efforts towards new
technology implementation so as to conserve the energy resources of the
country. Extract of Annual Return
The details forming part of the extract of the Annual Return in Form
MGT 9 is annexed herewith as Annexure IV forming part of the Annual
Report. Particulars of remuneration and related disclosures
Disclosures pertaining to remuneration and other details as required
under Section 197(12) of the Companies Act, 2013 read with Rule 5(1) of
the Companies (Appointment and Remuneration of Managerial Personnel)
Rules, 2014 are provided in the Annexure V forming part of the Report.
In terms of the provisions of Section 197(12) of the Companies Act,
2013 read with Rules 5(2) and 5(3) of the Companies (Appointment and
Remuneration of Managerial Personnel) Rules, 2014, there has no
employee who was in receipt of remuneration equal to or exceeding Rs. 60
lacs per annum or Rs. 5 lacs per month if employed for part of the year.
Industrial Relations
Industrial relations remained cordial and harmonious throughout the
year under review.
Safety, Health and Environment
Safety is Company's top priority with regard to employment and it is
encouraging safety measures at all levels of operations especially at
the floor level. Regular training programmers are being conducted to
bring in awareness about the importance of safety at work place.
Bi-monthly medical camps are also being organized for welfare of the
members in addition to regular medical facilities provided to them.
Prevention of sexual Harassment Policy
The Company has in place a Prevention of Sexual Harassment policy in
line with the requirements of the Sexual Harassment of Women at the
Workplace (Prevention, Prohibition and Redressal) Act, 2013. An
Internal Complaints Committee has been set up to redress complaints
received regarding sexual harassment. All employees (permanent,
contractual, temporary, trainees) are covered under this policy. During
the year 2014-2015, no complaints was received by the Company related
to sexual harassment.
Vigil Mechanism
In pursuant to the provisions of Section 177(9) & (10) of the Companies
Act, 2013, a Vigil Mechanism for directors and employees to report
genuine concerns has been established. The Vigil Mechanism Policy has
been uploaded on the website of the Company at www.iolcp.com.
Acknowledgement
We are pleased to place on record our sincere gratitude and
appreciation for assistance and co-operation received from the Union
Government, Punjab Government, Company's Bankers, Members, Customers
and Business Constituents.
We also place on record our sincere appreciation for contribution made
by the employees at all levels. Our consistent growth is made possible
by their devout, sincere and unstinted services.
For and on behalf of the Board
Sd/- Sd/-
Place : Ludhiana Varinder Gupta Dr M A Zahir
Dated : 13 August 2015 Managing Director Chairman
DIN: 00044068 DIN: 00002973
Mar 31, 2014
Dear Members
The Board of Directors of the Company has the pleasure of presenting
the Twenty-seventh Annual Report of IOL Chemicals and Pharmaceuticals
Limited together with Audited Statements of Accounts for the fi nancial
year ended 31 March 2014.
1. Financial Results
Financial results of the Company for the fi nancial year under report
vis-a-vis previous year are as under:
(X in crore)
Particulars Year ended Year ended
31 March 2014 31 March 2013
Gross sales and other 626.04 536.43
Income
Net sales and other income 564.81 484.04
Profi t before interest & 97.06 91.57
depreciation
Interest 60.34 57.23
Profi t before depreciation 36.72 34.33
Depreciation 31.63 31.37
Profi t before tax 5.08 2.96
Provision for tax (including 1.78 1.37
deferred tax)
Profi t after tax 3.30 1.59
Balance carried to the 49.33 46.03
Balance Sheet
2. Performance Review
The Company, during fi nancial year 2013-14, has clocked a growth of
16.70% in gross revenue, which has grown to X 626.04 crore from the
gross revenue of X 536.43 crore in the previous year.The profi t before
depreciation interest and tax (PBDIT) to net revenue has decreased from
18.92% to 17.18%. The Company has earned profi t before tax (PBT) of X
5.08 crore during the year under review against X 2.96 crore during the
previous year. Higher PBT is mainly due to increase in sale of the
Company and improved in operation effi ciency during the year.
The Company continues to maintain strategic focus on grabbing more
share in market, improvement in the product mix, capitalizing product
level opportunities for which regulatory approvals have been received,
product rationalization, cost effectiveness throughout the
organization.
3. Cash Flow Statement
A Cash Flow Statement for the fi nancial year 2013-14 is included in
the annexed Statement of Accounts.
4. Dividend
The Board of Directors has not recommended any dividend keeping in view
the ongoing expansion, modifi cation and other future investment
possibilities and decided to plough back profit.
5. Capital Structure Authorised Capital
The Company has enhanced the authorized share capital from X 54 crore
to X 80 crore divided into 2,20,00,000 Preference Share of X 10/- each
and 5,80,00,000 Equity Shares of X 10/- each on 20 June 2014
Paid -up Share Capital
The paid up equity share capital of the Company has been increased from
Rs. 28,81,51,640/- to Rs. 39,31,15,910/- due to allotment of 1,04,96,427
equity share on the conversion of preference share and allotment on
preferential basis in following trenches:
71,46,427 Equity Share of face value of Rs. 10/- each at a premium of Rs.
18/- per share on 21 June 2014 against redemption of 1,50,10,000 1% Non
Cumulative Redeemable Preference Shares of Rs. 10/- each to promoter
group Companies and 50,00,000 7% Non Cumulative Redeemable Preference
Shares of Rs. 10/- each to a non-promoter;
22,00,000 equity share of face value of Rs. 10/- each at premium of Rs.
18/-each on preferential basis on 21 June 2014 to non- promoters;
11,50,000 equity share of face value of Rs. 10/- each at premium of Rs.
18/- each on preferential basis on 4 July 2014 to non promoters;
In addition of above, the Company has allotted 1,10,00,000 warrants
with option to subscribe to a equity share of face vale of Rs. 10/- at
the premium of Rs. 18/- for each warrant, within period of 18 month from
the date of allotment on preferential basis to non- promoters on 04
July 2014.
6. Adjustment of Conversion Price of FCCBs
On the issue of aforesaid equity shares and warrants, the pursuant to
para 6.3.12 of the Terms and Conditions relating to adjustment of
conversion price in connection with the Zero Coupon Unsecured Foreign
Currency Convertible Bonds (FCCB) issued by the Company in May 2010,
the conversion price of said Bonds stands adjusted from date of
allotment that is from 04 July 2014 from Rs. 78/- to Rs. 77/- per equity
share.
7. Credit Rating
The Credit Analysis & Research Ltd (CARE) has rated Company as "CARE
BB-" (pronounced "Double B Minus") for Long Term Facilities and "CARE
A4" (pronounced "A Four") for Short Term Facilities.
8. Holding & Subsidiary Company
The Company has neither any holding company nor a subsidiary company.
9. Awards
Members would be happy to note the receipt of following Awards by the
Company during the year under review:
The Company has been awarded with "1st prize in National Energy
Conservation Award" in Drugs and Pharmaceuticals sector and with "2nd
prize in National Energy Conservation Award" in Chemicals sector by the
Ministry of Power, Government of India. The Company has been awarded
the prize consecutively for eight years by the Government of India.
10. Recognitions
Following recognitions were received by the Company during the year
under review:
- Certifi cate of Good Manufacturing Practices Compliance of
Manufacturer" from Authority for Health and Consumer Protection,
Hamburg, Germany
11. Directors
Pursuant to the provisions of Section 161(1) of the Companies Act, 2013
and the Articles of Association of the Company, Dr Sandhya Mehta, was
appointed as an Additional Director designated as an
Independent Director w.e.f. 22 August 2014 on the recommendation of
Nomination and Remuneration Committee and she shall hold offi ce up to
the date of the ensuing Annual General Meeting. She has vast 22
experience to her credit. She has published seven books in addition to
numerous papers published in reputed National & International Journals.
She holds master degree in Business Management and Ph.D in Management
Studies. The Company has received requisite notice in writing from a
member proposing her name for appointment as an Independent Director.
The Board recommends her appointment as Independent Directors for a
term up to fi ve consecutive fi ve years.
As per the provisions of the Companies Act, 2013 and the Articles of
Association of the Company, Mr Vijay Singla and Mr Vijay Garg will
retire in the ensuing Annual General Meeting and being eligible offers
themselves for re-appointment. The Board recommends their
re-appointment.
As per the provisions of the Companies Act, 2013, Independent Director
are eligible to hold offi ce for a term maximum up to consecutive fi ve
years and are eligible for re-appointment for the second term on
passing a special resolution by the company. During their tenure, they
shall not be retire by rotation.
In terms of the Articles of Association of the Company, Dr M A Zahir,
Mr Chandra Mohan, Mr Yogesh Goel and Mr Ravi Pratap Singh,
non-executive ( independent ) directors so appointed, will retire in
the ensuing Annual General Meeting.
The Company has received from all the Independent Directors consents
for their appointment and declarations confi rming that they meet the
criteria of independence as envisaged under the Companies Act, 2013 and
the Listing Agreement. The Company has received requisite notices in
writing from members proposing their names for appointment as
Independent Directors. The Board recommends their appointment as
Independent Directors for a term up to fi ve consecutive years.
12. Corporate Governance
The Company has in place a system of Corporate Governance. A separate
report on Corporate Governance alongwith Auditors'' Certifi cate
regarding compliance with Clause 49 of the Listing Agreement is annexed
to this Annual Report.
13. Management Discussion and Analysis Report
Management Discussion and Analysis Report is given separately in this
Annual Report.
14. Safety, Health and Environment
Safety is Company''s top priority with regard to employment and it is
encouraging safety measures at all levels of operations especially at
the fl oor level. Regular training programmers are being conducted to
bring in awareness about the importance of safety at work place.
Bi-monthly medical camps are also being organized for welfare of the
members in addition to regular medical facilities provided to them.
15. Fixed Deposits
The Company has not accepted any fi xed deposits from the public/
members during the year under review.
16. Investor Services
The Company is committed to provide the best services to the
shareholders/ investors. M/s Alankit Assignments Limited, New Delhi are
working as Registrars and Share Transfer Agents (RTA) of the Company
for transfer, dematerialization of shares and other
investor related services.
No correspondence /enquiry from any shareholder/investor are pending
with the Company for reply.
17. Listing of equity shares
The equity shares of the Company continued to be listed and traded on
National Stock Exchange of India Limited (Script code; IOLCP) and BSE
Limited (Script code; 524164). The Company has made all compliances of
the Listing Agreements including payment of annual listing fee.
18. Statutory Auditors'' Report
Auditors'' Report on the accounts is self-explanatory and no comments
are required.
19. Statutory Auditors
In terms of the provisions of the Companies Act, 2013, M/s S C Vasudeva
and Co., Chartered Accountants, New Delhi (Firm Reg. No. 00235N)
Statutory Auditors of the Company, will complete six consecutive years
at the conclusion of the ensuing Annual General Meeting. They can be
further appointed as Statutory Auditors for another term of four
consecutive years i.e, till the conclusion of Annual General Meeting to
be held in the year 2018. The Company has obtained necessary certifi
cate under Section 141 of the Companies Act, 2013 from the auditors
conveying their eligibility for the above appointment. The Audit & Risk
Management Committee and the Board reviewed their eligibility criteria,
as laid down under Section 141 of the Companies Act, 2013 and
recommended their appointment as auditors for the above said period.
20. Cost Auditors
The Company has appointed M/s Ramanath Iyer & Co., Cost Accountants,
New Delhi as Cost Auditors to conduct the audit of Cost Accounts of
chemicals and bulk drugs maintained by the Company, for the fi nancial
year 2013-14, subject to the approval of Central Govt. thereto. As
mandated by Circular No.15/2011 dated 11th April, 2011 issued by the
Ministry of Corporate Affairs, Govt. of India, full particulars of
Cost Auditors are given herein below:-
Name M/s Ramanath Iyer & Co.Cost
Accountants
ICWA Membership No. 13848
Address No. 808, Pearls Business
Park, Netaji Subhash Place,
Delhi  110034
Details of Cost Audit Report for
the financial year ended 31 March
2013
(a) Due date of fi ling 30 September 2013
(b) Actual date of filing 06 September 2013
21. Industrial Relations
Industrial relations remained cordial and harmonious throughout the
year under review.
22. Energy Conservation / Technology Absorption and Foreign Exchange
Earnings and Outgo
Energy conservation continues to be an area of major emphasis in the
Company. A statement giving details of conservation of energy,
technology absorption, foreign exchange earnings and outgo, in
accordance with Section 217(1)(e) of the Companies Act, 1956, read with
the Companies (Disclosure of Particulars in the Report of Board of
Directors) Rules, 1988 is annexed hereto as Annexure I and forms part
of the report.
The Company has been awarded with "1st prize in National Energy
Conservation Award" in Drugs and Pharmaceuticals sector and with "2nd
prize in National Energy Conservation Award" in Chemicals sector by the
Ministry of Power, Government of India. The Company has been awarded
the prize consecutively for eight years by the Government of India.
23. Information on personnel
Statement showing particulars of the employees as required by the
provisions of Section 217(2A) of the Companies Act, 1956 is not given
as no employee was in receipt of remuneration equal to or exceeding Rs.
60 lacs per annum or Rs. 5 lacs per month if employed for the part of the
year.
24. Directors'' Responsibility Statement
Pursuant to the provisions of Section 217(2AA) of the Companies Act,
1956, it is hereby confi rmed that:
1. in preparation of the annual accounts, the applicable accounting
standards had been followed along with proper explanations relating to
material departures;
2. the directors had selected such accounting policies and applied
them consistently and made judgments and estimates that are reasonable
and prudent so as to give a true and fair view of the state of affairs
of the Company at the end of the fi nancial year and of the profi t of
the Company for that period;
3. the directors had taken proper and suffi cient care for the
maintenance of adequate accounting records in accordance with the
provisions of this Act for safeguarding the assets of the Company and
for preventing and detecting fraud and other irregularities;
4. the directors had prepared the annual accounts on a going concern
basis.
25. Acknowledgement
We are pleased to place on record our sincere gratitude and
appreciation for assistance and co-operation received from the Union
Government, Punjab Government, Company''s Bankers, Members, Customers
and Business Constituents.
We also place on record our sincere appreciation for contribution made
by the employees at all levels. Our consistent growth is made possible
by their devout, sincere and unstained services.
For and on behalf of the Board
Sd/- Sd/-
Place : Ludhiana Dr M A Zahir Varinder Gupta
Dated : 22 August 2014 Chairman Managing Director
DIN: 00002973 DIN: 00044068
Mar 31, 2013
Dear Members
The Board of Directors of the Company has the pleasure of presenting
the Twenty-sixth Annual Report of IOL Chemicals and Pharmaceuticals
Limited together with Audited Statements of Accounts for the fnancial
year ended 31 March 2013.
1. Financial Results
Financial results of the Company for the fnancial year under report
vis-a-vis previous year are as under:
(Rs.in crore)
Particulars Year ended Year ended
31 March 2013 31 March 2012
Gross sales and other 536.43 507.85
Income
Net sales and other income 484.04 473.02
Proft before interest & 91.57 70.94
depreciation
Interest 57.24 43.20
Proft before depreciation 34.33 27.74
Depreciation 31.37 23.94
Proft before tax 2.96 3.80
Provision for tax (including 1.37 (0.96)
deferred tax)
Proft after tax 1.59 4.75
Balance carried to the 46.03 44.45
Balance Sheet
2. Performance Review
The Company, during FY 2012-13, has clocked a growth of 5.63% in Gross
Revenue, which has grown to Rs. 536.43 crore from the gross revenue of
Rs.507.85 crore in the previous year. Your Company has also improved in
operational effciency this year and proft before depreciation interest
and tax (PBDIT) to Net Revenue has increased from 14.99% to 18.92%. The
Company has earned proft before tax (PBT) of Rs. 2.96 crore during the
year under review against Rs. 3.80 crore during the previous year. Lower
PBT is mainly due to increase in interest cost which increased from Rs.
43.20 crore to Rs. 57.24 crore during the year.
Your Company continues to maintain strategic focus on grabbing more
share in market, improvement in the product mix, capitalizing product
level opportunities for which regulatory approvals have been received,
product rationalization, cost effectiveness throughout the
organization.
3. Cash Flow Statement
A Cash Flow Statement for the fnancial year 2012-13 is included in the
annexed Statement of Accounts.
4. Dividend
The Board of Directors has not recommended any dividend keeping in view
the ongoing expansion, modifcation and other future investment
possibilities and decided to plough back proft.
5. Credit Rating
The Credit Analysis & Research Ltd (CARE) has rated Company as "CARE
BB-" (pronounced "Double B Minus") for long term facilities and "CARE
A4" (pronounced "A Four") for short term facilities.
6. Holding & Subsidiary Company
Your Company has neither any holding company nor a subsidiary company.
7. Awards
Members would be happy to note the receipt of following Awards by the
Company during the year under review:
The Company has been awarded with "2nd prize in National Energy
Conservation Award" by the Ministry of Power, Government of India in
chemical sector. The Company has been awarded the prize consecutively
for seven years by the Ministry of Power, Government of India.
8. Recognitions
Following recognitions were received by the Company during the year
under review:
- ANVISA Certifcate (Brazil) Ministry of Health Dated 12 June 2012
- EUGMP certifcation from "Freie und Hansestadt Hamburg", Germany Dated
21 February 2013 Company has also received "Trading House Certifcate"
from Joint Director General of foreign trade on 03 May 2013
9. Directors
According to Article 146 of the Articles of Association of the Company
and subject to the provisions of Section 255 of the Companies Act,
1956, all the directors other than Managing Director and Whole Time
Directors of the Company shall retire from the offce. Accordingly, Dr
M A Zahir, Mr Chandra Mohan, Mr Yogesh Goel and Mr Ravi Pratap Singh
are liable to retire at the ensuing Annual General Meeting and, being
eligible, have offered themselves for re-appointment. The Board has
recommended the re-election of these directors to the members.
Mr Vijay Kumar Garg was appointed as Additional and Whole Time Director
on the Board w.e.f. 02 March 2013 in terms of Article 133 of the
Articles of Association of the Company and designated as Joint Managing
Director of the Company. Pursuant to Section 260 of the Companies Act,
1956, he holds offce upto the date of ensuing Annual General Meeting.
The Company has received a notice from a member under Section 257 of
Companies Act,1956 for his appointment as Director of the Company.
Mr N K Pundir, resigned from the directorship of the Company w.e.f. 14
August 2012. The Board has placed on record their appreciation for the
valuable services rendered by him during his tenure as director of the
Company.
10. Corporate Governance
The Company has in place a system of Corporate Governance. A separate
report on Corporate Governance alongwith Auditors'' Certifcate regarding
compliance with Clause 49 of the Listing Agreement is annexed to this
Annual Report.
11. Management Discussion and Analysis Report
Management Discussion and Analysis Report is given separately in this
Annual Report.
12. Safety, Health and Environment
Safety is Company''s top priority with regard to employment and it is
encouraging safety measures at all levels of operations especially at
the foor level. Regular training programmers are being conducted to
bring in awareness about the importance of safety at work place.
Bi-monthly medical camps are also being organized for welfare of the
members in addition to regular medical facilities provided to them.
13. Fixed Deposits
The Company has not accepted any fxed deposits from the public/ members
during the year under review.
14. Investor Services
The Company is committed to provide the best services to the
shareholders/ investors. M/s Alankit Assignments Limited, New Delhi are
working as Registrars and Share Transfer Agents (RTA) of the Company
for transfer, dematerialization of shares and other investor related
services.
No correspondence /enquiry from any shareholder/investor are pending
with the Company for reply.
15. Listing of equity shares
The equity shares of the Company continued to be listed and traded on
National Stock Exchange Limited (Script code; IOLCP) and BSE Limited
(Script code; 524164). The Company has made all compliances of the
Listing Agreements including payment of annual listing fee.
16. Statutory Auditors'' Report
Auditors'' Report draw intention to note no. 36 to the fnancial
statement, relating to remuneration paid/ provided in respect of
Managing Director and Whole Time Director of the Company, in excess of
the limit prescribed under Section 198 read with Schedule XIII to the
Companies Act, 1956, which is subject to the approval of Central
Government.
In this regard we wish to inform you that the Company has received
approval of the Central Government vide its letter no.
B61721627/1/2012-CL,VII dated 29 May 2013 to the appointment of Mr
Varinder Gupta as Managing Director of the Company and the approval of
the Central Government is awaited to the appointment of Mr Vijay Kumar
Garg as Joint Managing Director of the Company .
17. Statutory Auditors
M/s S C Vasudeva and Co., Chartered Accountants, New Delhi (Firm Reg.
No. 00235N) Statutory Auditors of the Company, retire at the conclusion
of ensuing Annual General Meeting and being eligible, have offered
themselves for re-appointment.
18. Cost Auditors
The Company has appointed M/s Ramanath Iyer & Co., Cost Accountants,
New Delhi as Cost Auditor to conduct the audit of cost accounts of
chemicals and bulk drugs maintained by the Company, for the fnancial
year 2013-14, subject to the approval of Central Government thereto. As
mandated by Circular No.15/2011 dated 11 April 2011 issued by the
Ministry of Corporate Affairs, Govt. of India, full particulars of Cost
Auditor are given herein below:- Name M/s Ramanath Iyer & Co., Cost
Accountants ICWA Membership No. 13848
Address No. 808, Pearls Business
Park, Netaji Subhash Place, Delhi  110 034 Details of Cost Audit
Report for the fnancial year ended 31 March 2012
(a) Due date of fling 28 February 2013
(b) Actual date of fling 9 January 2013
19. Industrial Relations
Industrial relations remained cordial and harmonious throughout the
year under review.
20. Energy Conservation / Technology Absorption and Foreign Exchange
Earnings and Outgo
Energy conservation continues to be an area of major emphasis in the
Company. A statement giving details of conservation of energy,
technology absorption, foreign exchange earnings and outgo, in
accordance with Section 217(1)(e) of the Companies Act, 1956, read with
the Companies (Disclosure of Particulars in the Report of Board of
Directors) Rules, 1988 is annexed hereto as Annexure I and forms part
of the report.
The Company has been awarded with "2nd prize in National Energy
Conservation Award" by Ministry of Power, Government of India in
chemical sector. The Company has been awarded the prize consecutively
for seven years by the Ministry of Power, Government of India.
21. Information on personnel
Statement showing particulars of the employees as required by the
provisions of Section 217(2A) of the Companies Act, 1956 is not given
as no employee was in receipt of remuneration equal to or exceeding Rs.
60 lacs per annum or Rs. 5 lacs per month if employed for the part of the
year.
22. Directors'' Responsibility Statement
Pursuant to the provisions of Section 217(2AA) of the Companies Act,
1956, it is hereby confrmed that:
1. in preparation of the annual accounts, the applicable accounting
standards had been followed along with proper explanations relating to
material departures;
2. the directors had selected such accounting policies and applied
them consistently and made judgments and estimates that are reasonable
and prudent so as to give a true and fair view of the state of affairs
of the Company at the end of the fnancial year and of the proft of the
Company for that period;
3. the directors had taken proper and suffcient care for the
maintenance of adequate accounting records in accordance with the
provisions of this Act for safeguarding the assets of the Company and
for preventing and detecting fraud and other irregularities;
4. the directors had prepared the annual accounts on a going concern
basis.
23. Acknowledgement
We are pleased to place on record our sincere gratitude and
appreciation for assistance and co-operation received from the Union
Government, Punjab Government, Company''s Bankers, Members, Customers
and Business Constituents.
We also place on record our sincere appreciation for contribution made
by the employees at all levels. Our consistent growth is made possible
by their devout, sincere and unstained services.
For and on behalf of the Board
Sd/- Sd/-
Place : Ludhiana Dr M A Zahir Varinder Gupta
Dated : 12
August 2013 Chairman Managing Director
Mar 31, 2012
The Directors are pleased to present the Twenty-fifth Annual Report
and Audited Accounts for the financial year ended 31 March 2012.
1. Financial Results
Financial results of the Company for the financial year under report
are given below:
(in crore)
Particulars Year ended Year ended
31 March
2012 31 March
2011
Net sales and other income 473.02 391.30
Profit before interest &
depreciation 70.94 69.60
Interest 43.20 36.80
Profit before depreciation 27.74 32.80
Depreciation 23.94 23.76
Profit before tax 3.80 9.04
Provision for tax (including
deferred tax) (0.96) 2.86
Profit after tax 4.75 6.18
Balance carried to the
Balance Sheet 44.45 52.37
2. Presentation of Financial Results
Notification dated 28 February 2011 issued by the Ministry of Corporate
Affairs has stipulated a revised format for disclosure of financial
statements under Schedule VI to the Companies Act, 1956. The financial
results of the Company for the year ended 31 March 2012 are, therefore,
disclosed as per the revised Schedule VI and the previous years'
figures have been restated to align with the current year's
presentation.
3. Performance Review
There was a healthy improvement in the overall performance of the
Company in comparison to the previous year's performance. Net sales and
other income of the Company has increased by 20.88% to Rs. 473.02 crore
from Rs. 391.30 crore during the previous year. Profit before interest &
depreciation has increased by 1.91% to Rs. 70.94 crore during the year
under review against from Rs. 69.60 crore during the previous year. The
Company has earned net profit after tax Rs. 4.75 crore during the year
under review against Rs. 6.18 crore during the previous year.
4. Cash Flow Statement
A Cash Flow Statement for the financial year 2011-12 is included in the
annexed Statement of Accounts.
5. Dividend
The Board of Directors has not recommended any dividend keeping in view
the ongoing expansion, modification and other future investment
possibilities and decided to plough back profit.
6. Merger
The Board for Industrial and Financial Reconstruction (BIFR) the
competent authority under the Sick Industrial Companies (Special
Provisions) Act, 1985 vide its order dated 15 March 2012 sanctioned
merger of G Drugs and Pharmaceuticals Limited (GDPL) with the Company
with appointed date of 1 April 2010. The merger become effective on 20
April 2012 with the filing of order with the Registrar of Companies.
Consequently GDPL ceased to exit from that date. Pursuant to the
aforesaid scheme, 4,34,500 equity shares of the Company were issued to
the shareholders of GDPL on 2 May 2012 in swap ratio of 1:20 i.e. one
fully paid equity share of Rs. 10/- each of the Company for every 20
equity shares of Rs. 10/- each of GDPL. With this issue, the paid-up
equity share capital of the Company has increased from Rs. 25.72 crore
consisting of 2,57,16,664 equity shares of face value of Rs. 10/- each to
Rs. 26.15 crore consisting of 2,61,51,164 equity shares of face value of
Rs. 10/- each. These shares are listed on BSE Limited (BSE) and the
National Stock
Exchange of India Limited (NSE).
7. Change in Authorised share capital
Pursuant to merger of G Drugs and Pharmaceuticals Limited with the
Company vide BIFR's order dated 15 March 2012 the Authorised share
capital of the Company stands increased from Rs. 45 crore consisting of
4,00,00,000 equity shares of face value of Rs. 10/- each and 50,00,000
preference shares of Rs. 10/- each to Rs. 54 crore consisting of
4,90,00,000 equity shares of Rs. 10/- each and 50,00,000 preference
shares of Rs. 10/- each.
8. Multi Product Plant and upgrading of R&D facilities
The project of capacity enhancement and multi product PPIs plant and
other pharmaceutical intermediate products with a CAPEX of Rs. 130 crore
has been completed and in process of stabilization. The Company has
undertaken another project of multi product plant for manufacture
active pharmaceutical ingredients and upgrading of R&D facilities
involving a CAPEX of Rs. 58.41 crore. The aforesaid project is on
schedule and likely to be completed during the current year.
9. Credit Rating
The Credit Analysis & Research Ltd (CARE) has rated Company as "CARE
BBB" for Long Term Facilities which indicates moderate safety for
timely servicing of debt obligations and as "CARE A2" for Short Term
Facilities which indicates adequate capacity for timely payment of
short term debt obligations.
10. Awards
Members would be happy to note the receipt of following Awards by their
Company during the year under review:
Awarded with "2nd prize in National Energy Conservation Award"
consecutively for the years 2005, 2006, 2007, 2008, 2009 & 2011 by
Ministry of Power, Government of India in Chemical Sector and awarded
with "1st prize in National Energy Conservation Award" 2010 in Drugs
and Pharmaceutical Sector by Ministry of Power, Government of India.
11. Recognitions
Following recognitions were received by the Company during the year
under review:
* OHSAS 18001:2007 for Occupational Health & Safety Management System
* Recognition for In house R & D unit by Department of Scientific &
Industrial Research (DSIR), Ministry of Science & Technology,
Government of India.
12. Directors
According to Article 146 of the Articles of Association of the Company,
one third of the directors for time being liable to retire by rotation,
shall retire from the office. Accordingly, Dr M A Zahir and Mr Chandra
Mohan, are liable to retire by rotation at the ensuing Annual General
Meeting and, being eligible, have offered themselves for
re-appointment. The Board has recommended the re-election of these
directors to the members.
Mr N K Pundir was appointed as Additional Director and Director
(Commercial) on the Board w.e.f. 31 March 2012 in terms of Article 133
of the Articles of Association of the Company.
Mrs Dimple Gupta and Mr Kanwal Pushkarnath Pandita, Directors resigned
from the directorship of the Company w.e.f 31 March 2012. Mr N K
Pundir, Director (Commercial) resigned from the directorship of the
Company w.e.f 14 August 2012. The Board has placed on record their
appreciation for the valuable services rendered by them during their
tenure as Director of the Company
13. Corporate Governance
The Company has in place a system of Corporate Governance. A separate
report on Corporate Governance alongwith Auditors'Certificate regarding
compliance with Clause 49 of the Listing Agreement is annexed to
this Annual Report.
14. Management Discussion and Analysis Report Management Discussion
and Analysis Report is given separately in this Annual Report.
15. Safety, Health and Environment
Safety is Company's top priority with regard to employment and it is
encouraging safety measures at all levels of operations especially at
the floor level. Regular training programmers are being conducted to
bring in awareness about the importance of safety at work place.
Bi-monthly medical camps are also being organized for welfare of the
members in addition to regular medical facilities provided to them.
16. Fixed Deposits
The Company has not accepted any fixed deposits from the public/
members during the year under review.
17. Investor Services
The Company is committed to provide the best services to the
shareholders/ investors. M/s Alankit Assignments Limited, New Delhi are
working as Registrars and Share Transfer Agents (RTA) of the Company
for transfer, dematerialization of shares and other investor related
services. No correspondence /enquiry from any shareholder/ investor is
pending with the Company for reply.
18. Listing of Shares
The equity shares of the Company continued to be listed and traded on
National Stock Exchange Limited (Script code; IOLCP) and BSE Limited
(Script code; 524164). The Company has made all compliances of the
Listing Agreements including payment of annual listing fee.
19. Statutory Auditors' Report
Auditors' Report on the accounts is self-explanatory and no comments
are required.
20. Statutory Auditors
M/s S. C. Vasudeva and Co., Chartered Accountants, New Delhi (Firm Reg.
No. 00235N) Statutory Auditors of the Company, retire at the conclusion
of ensuing Annual General Meeting and being eligible, have offered
themselves for re- appointment.
21. Cost Auditors
The Company has appointed M/s Ramanath Iyer & Co., Cost Accountants,
New Delhi as Cost Auditors to conduct the audit of cost Accounts of
chemicals and bulk drugs maintained by the Company, for the financial
year 2012-13, subject to the approval of Central Government thereto. As
mandated by Circular No.15/2011 dated 11 April 2011 issued by the
Ministry of Corporate Affairs, Government of India, full particulars of
Cost Auditor are given herein below:-
Name M/s Ramanath Iyer & Co., Cost
Accountants
ICWA Membership No. 13848
Address BL-4 (Paschmi), Shalimar Bagh,
New Delhi - 110088
Details of Cost Audit Report
for the financial year
ended 31 March 2011
(a) Due date of filing 30 September 2011
(b) Actual date of filing 09 September 2011
22. Industrial Relations
Industrial relations remained cordial and harmonious throughout the
year under review.
23. Energy Conservation / Technology Absorption and Foreign Exchange
Earnings and Outgo Energy conservation continues to be an area of major
emphasis in the Company. A statement giving details of conservation of
energy, technology absorption, foreign exchange earnings and outgo, in
accordance with Section 217(1)(e) of the Companies Act, 1956, read with
the Companies (Disclosure of Particulars in the Report of Board of
Directors) Rules, 1988 is annexed hereto as Annexure I and forms part
of the report.
The Company has Awarded with "2nd prize in National Energy Conservation
Award" consecutively for the years 2005, 2006, 2007, 2008, 2009 & 2011
by Ministry of Power, Government of India in Chemical Sector. The
Company has also Awarded with "1st prize in National Energy
Conservation Award" for the year 2010 in Drugs & Pharmaceuticals Sector
by Ministry of Power, Government of India.
24. Information on personnel
Statement showing particulars of the employees as required by the
provisions of Section 217(2A) of the Companies Act, 1956 is not given
as no employee was in receipt of remuneration equal to or exceeding Rs.
60 lacs per annum or Rs. 5 lacs per month if employed for the part of the
year.
25. Directors' Responsibility Statement
Pursuant to the provisions of Section 217(2AA) of the Companies Act,
1956, it is hereby confirmed that:
1. in preparation of the annual accounts, the applicable accounting
standards had been followed along with proper explanations relating to
material departures;
2. the directors had selected such accounting policies and applied
them consistently and made judgments and estimates that are reasonable
and prudent so as to give a true and fair view of the state of affairs
of the Company at the end of the financial year and of the profit of
the Company for that period;
3. the directors had taken proper and sufficient care for the
maintenance of adequate accounting records in accordance with the
provisions of this Act for safeguarding the assets of the Company and
for preventing and detecting fraud and other irregularities;
4. the directors had prepared the annual accounts on a going concern
basis.
26. Acknowledgement
We are pleased to place on record our sincere gratitude and
appreciation for assistance and co-operation received from the Union
Government, Punjab Government, Company's Bankers, Members, Customers
and Business Constituents.
We also place on record our sincere appreciation for contribution made
by the employees at all levels. Our consistent growth is made possible
by their devout, sincere and unstinted services.
For and on behalf of the Board
Sd/-
Place : Ludhiana Varinder Gupta
Dated : 14 August 2012 Chairman and Managing Director
Mar 31, 2011
Dear Members
The Directors are pleased to present the Twenty-forth Annual Report
and Audited Accounts for the financial year ended 31 March 2011.
1. Financial Results
Financial results of the Company for the financial year under report
are given below:
(Rs in crore)
Particulars Year ended Year ended
31 March 31 March
2011 2010
Net sales and other income 391.36 350.42
Profit before interest 69.60 39.54
& depreciation
Interest 36.80 14.87
Profit before depreciation 32.80 24.67
Depreciation 23.76 10.01
Profit before tax 9.04 14.66
Provision for tax 2.86 4.64
(including deferred tax)
Profit after tax 6.18 10.02
Balance carried to the 52.37 46.20
Balance Sheet
2. Performance Review
There was a healthy improvement in the overall performance of the
Company in comparison to the previous year's performance. Net sales and
other income of the Company has increased by 11.68% to Rs. 391.36 crore
from Rs. 350.42 crore. Profit before interest & depreciation has
increased by 76.02 % to Rs. 69.60 crore during the year under review
against from Rs. 39.54 crore. The Company has earned net profit after
tax Rs. 6.18 crore during the year under review against Rs. 10.02 crore
due to the higher Interest and Depreciation.
3. Dividend
The Board of Directors have not recommended any dividend keeping in
view the ongoing expansion, modification and other future investment
possibilities and have decided to plough back profit.
4. Allotment of Equity Share and Warrants
During the year under review, paid up equity share capital of the
Company has been increased from Rs. 22,71,66,640 to Rs. 25,71,66,640
due to allotment of 30,00,000 equity shares of Rs. 10 each on the
exercise of option attached with the warrants in following trenches:
a) 15,00,000 equity shares at a premium of Rs. 68 per share on 25
August 2010 against exercise of option attached with warrants which
were issued to non-promoters on preferential basis.
b) 15,00,000 equity shares at a premium of Rs. 46 per share on 25
August 2010 against exercise of option attached with warrants out of
30,00,000 warrants issued to promoters and their associates on
preferential basis.
5. Issue of Foreign Currency Convertible Bonds ( FCCBs )
The Company has issued 70 Zero Coupon Unsecured Foreign Currency
Convertible Bonds on 28 May 2010 due June 2015 (ISIN XS 0505067461)
aggregating to USD 7 million to international investors to part finance
capital expenditure programme of the Company. Each bond is convertible
into equity shares of face value of Rs. 10 each of the Company at a
conversion price of Rs. 78 per share subject to adjustment, if any, at
any time on or after 28 May 2010 until the close of business on 28 May
2015, unless previously redeemed, converted or purchased and cancelled.
The Company also has option to convert the bonds at any time from 28
November 2014 to 28 May 2015 at prevailing conversion price. Bonds
which are not redeemed, converted or purchased and cancelled, are
redeemable on 5 June 2015 at an amount equal to principal amount of the
Bonds multiplied by 1.4124872.
These bonds have been listed on the Luxembourg Stock Exchange,
Luxembourg.
6. Expansion project
The Company has undertaken capacity enhancement and diversification
into more value-added pharmaceutical products involving a CAPEX of Rs.
130 crore.
Sr Product Unit Present Proposed
No. capacities capacities
1. Proton Pumps
Inhibitors (PPI's) TPA Ã 150
2. Multi Purpose Plant TPA Ã 2,400
3. Ethyl Acetate TPA 36,000 42,000
4. Acetic Anhydride TPA 18,000 30,000
5. Iso Butyl Benzene TPA 6,600 9,000
The aforesaid project is on schedule and are likely to be completed
during the current year.
7. Credit Rating
The Credit Analysis & Research Ltd (CARE) has rated Company as "CARE
BBBÃ for Long Term Facilities which indicates moderate safety for
timely servicing of debt obligations and as "PR2Ã for Short Term
Facilities which indicates adequate capacity for timely payment of
short term debt obligations.
8. Awards
Members would be happy to note the receipt of following Awards by their
Company during the year under review:
1. First Prize in National Energy Conservation Award 2010 in Drugs &
Pharmaceuticals Sector by the Ministry of Power, Government of India
(IOLCP awarded with this award in Chemical Sector consecutively for the
Year 2005, 2006, 2007, 2008 and 2009).
2. First Prize in State Level Energy Conservation Award in Drugs and
Pharmaceuticals Sector for the year 2010.
9. Recognitions
Following recognitions were received by the Company during the year
under review:
1. Certificate of Registration from Department of Scientific &
Industrial Research (DSIR) for In-house R&D unit(s) of the Company.
2. Certificate of suitability for ibuprofen from the European
Directorate for Quality of Medicine & Healthcare (EDQM).
10. Directors
Dr (Mrs) H K Bal and Mr R K Thukral have resigned from the Board with
effect from 21 May 2011 and 11 July 2011 respectively due to personal
reasons. The Board places on record their appreciation for the valuable
services rendered by them during their tenure as Director/ Executive
Director of the Company.
Mr Kanwal Pushkarnath Pandita was appointed as Additional Director on
the Board w.e.f. 16 August 2010 in terms of Article 133 of the Articles
of Association of the Company. Pursuant to Section 260 of the Companies
Act, 1956 he holds office upto the date of ensuing Annual General
Meeting. The Company has received a notice from a member under Section
257 of Companies Act,1956 for his appointment as Director of the
Company.
Mr Vijay Singla was appointed as Additional Director and Director
(Works ) on the Board w.e.f. 11 July 2011 in terms of Article 133 of
the Articles of Association of the Company. Pursuant to Section 260 of
the Companies Act, 1956 he holds office upto the date of ensuing Annual
General Meeting. The Company has received a notice from a member under
Section 257 of Companies Act,1956 for his appointment as Director of
the Company.
According to Article 146 of the Articles of Association of the Company,
one third of the directors for time being liable to retire by rotation,
shall retire from the office. Accordingly, Mr Ravi Pratap Singh and Mr
Yogesh Goel, are liable to retire by rotation at the ensuing Annual
General Meeting and, being eligible, have offered themselves for
re-appointment.
A brief resume containing nature of expertise, details of directorship
held in other companies, of the directors proposing appointment /
re-appointment along with their shareholding in the Company as
stipulated under Clause 49 of the Listing Agreement with the stock
exchanges is given in the notice of ensuing Annual General Meeting.
11. Re-constitution of Committees
a. Audit and Risk Management Committee
The Board has re-constituted the committee consisting of Dr M A Zahir
as a Chairman, Mr Ravi Pratap Singh and Mr Vijay Singla as members on
11 July 2011.
b. Investors' Grievance Committee
The Board has re-constituted the committee consisting of Mrs Dimple
Gupta as a Chairman, Dr M A Zahir and Mr Vijay Singla as members on 11
July 2011.
12. Corporate Governance
The Company has in place a system of Corporate Governance. A separate
report on Corporate Governance along with Auditors' Certificate
regarding compliance with Clause 49 of the Listing Agreement is annexed
to this Annual Report.
13. Management Discussion and Analysis Report
Management Discussion and Analysis Report is given separately in this
Annual Report.
14. Safety, Health and Environment
Safety is the Company's top priority and it is encouraging safety
measures at all levels of operations especially at the floor level.
Regular training programmers are being conducted to bring in awareness
about the importance of safety at work place. Bi- monthly medical camps
are also being organized for welfare of the members in addition to
regular medical facilities provided to them.
15. No Default
The Company has not made default in the payment of any statutory dues
to government, interest and/or repayment of loans to any of the
financial institutions / banks during the year under review.
16. Fixed Deposits
The Company has not accepted any fixed deposits from the public/
members during the year under review.
17. Investor Services
The Company is committed to provide the best services to the
shareholders/ investors. M/s Alankit Assignments Limited, New Delhi are
working as Registrars and Share Transfer Agents (RTA) of the Company
for transfer, dematerialization of shares and other investor related
services. No correspondence /enquiry from any shareholder/ investor is
pending with the Company for reply.
18. Listing of Shares
During the year the Company got its equity shares listed on National
Stock Exchange Limited (NSE) w.e.f. 8 November 2010. The equity shares
of the Company continued to be listed and traded on National Stock
Exchange Limited (Script code; IOLCP) and BSE Limited (Script code;
524164). The Company has made all compliances of the Listing Agreements
including payment of annual listing fee.
19. Statutory Auditors' Report
Auditors' Report on the accounts is self-explanatory and no comments
are required.
20. Statutory Auditors
M/s S C Vasudeva and Co., Chartered Accountants, New Delhi (Firm Reg.
No. 00235N) Statutory Auditors of the Company, retire at the conclusion
of ensuing Annual General Meeting and being eligible, have offered
themselves for re- appointment.
21. Cost Auditors
The Central Government had directed that audit be carried out of the
cost accounts maintained by the Company in respect of chemicals and
bulk drugs by a qualified cost accountant. The Board subject to the
approval of the Central Government has re-appointed M/s Ramanath Iyer &
Co., Cost Accountants, New Delhi as Cost Auditors, for financial year
2011-12 and application is being submitted to the Central Government
for its approval.
22. Industrial Relations
Industrial relations remained cordial and harmonious throughout the
year under review.
23. Energy Conservation / Technology Absorption and Foreign Exchange
Earnings and Outgo
Energy conservation continues to be an area of major emphasis in the
Company. A statement giving details of conservation of energy,
technology absorption, foreign exchange earnings and outgo, in
accordance with Section 217(1)(e) of the Companies Act, 1956, read with
the Companies (Disclosure of Particulars in the Report of Board of
Directors) Rules, 1988 is annexed hereto as Annexure I and forms part
of the report.
The Company has received the National Award for Energy Conservation
"National Energy Conservation Award 2010Ã, First prize in Drugs &
Pharmaceuticals Sector from the Ministry of Power, Government of India.
The Company has received the said award in chemical sector
consecutively for the year 2005, 2006, 2007, 2008 and 2009. The Company
has also received First Prize in State Level Energy Conservation Award
for the year 2010.
24. Information on Personnel
Statement showing particulars of the employees as required by the
provisions of Section 217(2A) of the Companies Act, 1956 is not given
as no employee was in receipt of remuneration equal to or exceeding Rs.
60 lac per annum or Rs. 5 lac per month if employed for the part of the
year.
25. Directors' Responsibility Statement
Pursuant to the provisions of Section 217(2AA) of the Companies Act,
1956, it is hereby confirmed that:
1. in preparation of the annual accounts, the applicable accounting
standards has been followed along with proper explanation relating to
material departures;
2. the directors have selected such accounting policies and applied
them consistently and made judgment and estimate that are reasonable
and prudent so as to give a true and fair view of the state of affairs
of the Company at the end of the financial year and of the profit of
the Company for that period;
3. the directors have taken proper and sufficient care for the
maintenance of adequate accounting records in accordance with the
provisions of this Act for safeguarding the assets of the Company and
for preventing and detecting fraud and other irregularities;
4. the directors have prepared the annual accounts on a going concern
basis.
26. Acknowledgement
We are pleased to place on record our sincere gratitude and
appreciation for assistance and co-operation received from the Union
Government, Punjab Government, Company's Bankers, Members, Customers
and Business Constituents.
We also place on record our sincere appreciation for contribution made
by the employees at all levels. Our consistent growth is made possible
by their devout, sincere and unstinted services.
For and on behalf of the Board
Sd/-
Varinder Gupta
Chairman and Managing Director
Place : Ludhiana
Dated : 11 July 2011
Mar 31, 2010
The Directors are pleased to present the Twenty-third Annual Report
and Audited Accounts for the financial year ended 31 March 2010.
1. Financial Results
Financial results of the Company for the financial year under
report are given below: (Rs in lac)
Particulars Year ended Year ended
31 March 2010 31 March 2009
Net sales and other income 35,041.67 30,519.36
Profit before interest & depreciation 3,953.26 3,601.88
Interest 1,486.74 1,491.95
Profit before depreciation 2,466.52 2,109.93
Depreciation 1,001.12 1,000.16
Profit before tax 1,465.40 1,109.77
Provision for tax (including deferred tax) 463.80 (159.65)
Profit after tax 1,001.60 1,269.42
Balance carried to the Balance Sheet 4,619.54 3,617.94
2. Performance Review
There was a healthy improvement in the overall performance and
profitability of the Company in comparison to the previous years
performance. Net sales and other income of the Company has increased by
14.82% to Rs 350.42 crore from Rs 305.19 crore. Corresponding profit
before interest & depreciation has increased by 9.76% to Rs 39.53 crore
during the year under review against from Rs 36.02 crore. Net profit
after tax decreased by 21 % to Rs 10.02 crore during the year under
review from Rs 12.69 crore of the previous year due to the higher
provision for taxation of Rs 4.64 crore against during the year under
review in comparison to a deferred tax credit of Rs (1.60) crore.
3. Dividend
The Board of Directors has not recommended any dividend keeping in view
the ongoing expansion, modification and other future investment
possibilities and decided to plough back profit.
4. Allotment of Equity Share and Warrants
During the year under review, paid up equity share capital of the
Company has been increased from Rs 18,15,00,000 to Rs 22,71,66,640 due
to allotment of 45,66,664 equity shares of Rs 10 each on conversion of
fully convertible debenture and warrants in following trenches:
a) 18,66,664 equity shares at a premium of Rs 65 per share on 21 April
2009 against conversion of fully convertible debenture which were
earlier issued to non-promoters on preferential basis.
b) 12,00,000 equity shares at a premium of Rs 65 per share on 21 April
2009 against exercise of options attached to warrants which were
earlier issued to promoters on preferential basis.
c) 15,00,000 equity shares at a premium of Rs 46 per share on 16
January 2010 to promoters on preferential basis.
In addition to above, Company has allotted 30,00,000 (thirty lac)
warrants on 16 January 2010, carrying an option to the holders of such
warrants to subscribe to one equity share of Rs 10 at premium of Rs 46
per share for every warrant held, within a period of 18 months from the
date of allotment of the warrants, to the promoters/ promoters
companies on preferential basis.
5. Issue of Foreign Currency Convertible Bonds (FCCBs) Company has
issued 50 Zero Coupon Unsecured Foreign Currency Convertible Bonds on
28 May 2010 due June 2015 (ISIN XS 0505067461) aggregating to USD 5
million (subject to an option to issue an additional USD 10 million of
such bonds) to international investors to part finance capital
expenditure programme of the Company. Each bond is convertible into
equity shares of face value of Rs 10 each of the Company at
a conversion price of Rs 78 per share at any time on or after 28 May
2010 until the close of business on 28 May 2015, unless previously
redeemed, converted or purchased and cancelled. The Company has also
option to convert the bonds at any time from 28 November 2014 to 28 May
2015. Bonds which are not redeemed, converted or purchased and
cancelled, are redeemable on 5 June 2015 at an amount equal to
principal amount of the Bonds multiplied by 141.24872. These bonds
have been listed on the Luxembourg Stock Exchange, Luxembourg.
6. Expansion project
Expansion cum Backward and Forward integration project, undertaken by
Company has been successfully completed and implemented during the year
under review with aggregated project cost of Rs 258 crore. Following
enhanced capacities became commercially operative during the year:
Sr Product Unit Earlier Enhanced
No. capacities capacities
1. Acetic Acid TPA 50,000 75,000
2. Ethyl Acetate TPA 33,000 36,000
3. Acetic Anhydride TPA 12,000 18,000
4. Ibuprofen TPA 3,600 6,000
5. Cogeneration Power MW 4 17
6. Acetyl Chloride TPA Ã 5,200
7. Mono Chloro Acetic AcidTPA Ã 7,200
8. Iso Butyl Benzene TPA Ã 6,600
Company has now embarked upon a second phase of capacity enhancement
and diversification into more value-added pharmaceutical products which
will involve a CAPEX of Rs 130 crore. Detail of proposed capacities
under this project is as follow:
Sr Product Unit Present Proposed
No. capacities capacities
1. Proton Pumps
Inhibitors (PPIs) TPA - 150
2. Multi Purpose PlantTPA - 2,400
3. Ethyl Acetate TPA 36,000 42,000
4. Acetic Anhydride TPA 18,000 30,000
5. Iso Butyl Benzene TPA 6,600 9,000
7. Credit Rating
The Credit Analysis & Research Ltd (CARE) has rated Company as "CARE
BBB" for Long Term Facilities which indicates moderate safety for
timely servicing of debt obligations and as "PR2" for Short Term
Facilities which indicates adequate capacity for timely payment of
short term debt obligations.
8. Awards
Members would be happy to note the receipt of following awards by their
Company during the year under review:
1 National Energy Conservation Award 2009 (Second Prize) for
appreciation of its effors in energy conservation in Drugs &
Pharmaceuticals Sector from Ministry of Power, Government of India
2 National Energy Conservation Award 2009 (Commendation Certificate)
for appreciation of its effors in energy conservation in Chemical
Sector from Ministry of Power, Government of India. (Company has
received this award consecutively fifth year)
3 State Energy Conservation Award (Second Position) from the Punjab
Energy Development Agency, Chandigarh.
9. Recognitions
Following recognitions were received by the Company during the year
under review:
1. Registration certificate of Halal Committee, Jamiat Ulama-
E-Maharastra;
2. A Kosher Certification from Kosher Inspection Services India;
3. A Star Export House recognition from the Ministry of Commerce and
Industry, India.
10. Directors
According to Article 146 of the Articles of Association of the Company,
one third of the directors for time being liable to retire by rotation,
shall retire from the office. Accordingly, Mr Chandra Mohan and Mrs
Dimple Gupta, are liable to retire by rotation at the ensuing Annual
General Meeting and, being eligible, have offered themselves for
re-appointment. Board has recommended the re-election of these
directors to the members.
11. Corporate Governance
Company have in place a system of Corporate Governance. A separate
report on Corporate Governance alongwith Auditors Certificate
regarding compliance with Clause 49 of the Listing Agreement is annexed
to this Annual Report.
12. Management Discussion and Analysis Report Management Discussion
and Analysis Report is given separately in this Annual Report.
13. Safety, Health and Environment
Safety is Companys top priority with regard to employment and it is
encouraging safety measures at all levels of operations especially at
the floor level. Regular training programmers are being conducted to
bring in awareness about the importance of safety at work place.
Bi-monthly medical camps are also being organized for welfare of the
members in addition to regular medical facilities provided to them.
Company has been awarded with the Punjab State Safety Awards in 2008
for the largest reduction in the frequency of accidents in chemical
sector from the Punjab Industrial Safety Council and Chief Inspector of
Factories, Punjab.
14. No Default
Company has not made default in the payment of any statutory dues to
government, interest and/or repayment of loans to any of the financial
institutions / banks during the year under review.
15. Fixed Deposits
Company has not accepted any fixed deposits from the public/ members
during the year under review.
16. Investor Services
Company is committed to provide the best services to the shareholders/
investors. M/s Alankit Assignments Limited, New Delhi are working as
Registrars and Share Transfer Agents (RTA) of the Company for transfer,
dematerialization of shares and other investor related services. No
correspondence /enquiry from any shareholder/investor is pending with
the Company for reply.
17. Listing of Shares
Equity shares of the Company continued to be listed and traded on the
Bombay Stock Exchange Limited (BSE); Script code is 524164. Company has
made all compliances of the Listing Agreement including payment of
annual listing fee.
18. Audit and Risk Management Committee
Audit and Risk Management Committee of the Company consists of the
following three independent directors:
1. Dr M A Zahir (Chairman)
2. Dr (Mrs) H K Bal
3. Mr Parminder Singh Cheema
19. Statutory Auditors Report
Auditors Report on the accounts is self-explanatory and no comments
are required.
20. Statutory Auditors
M/s S C Vasudeva and Co., Chartered Accountants, Auditors of the
Company, retire at the conclusion of ensuing Annual General Meeting and
being eligible, have offered themselves for re-appointment. Auditors
Report on the accounts is self- explanatory and no comments are
required.
21. Cost Auditors
The Central Government had directed that audit be carried out of the
cost accounts maintained by the Company in respect of chemicals by a
qualified cost accountant. Board subject to approval of the Central
Government has appointed M/s Ramanath Iyer & Co., Cost Accountants, New
Delhi as Cost Auditors, for financial year 2010-11 and application has
been submitted to the Central Government for its approval.
22. Industrial Relations
Industrial relations remained cordial and harmonious throughout the
year under review.
23. Energy Conservation / Technology Absorption and Foreign Exchange
Earnings and Outgo
Energy conservation continues to be an area of major emphasis in the
Company. A statement giving details of conservation of energy,
technology absorption, foreign exchange earnings and outgo, in
accordance with Section 217(1)(e) of the Companies Act, 1956, read with
the Companies (Disclosure of Particulars in the Report of Board of
Directors) Rules, 1988 is annexed hereto as Annexure I and forms part
of the report. Company has received the "National Energy Conservation
Award 2009" for both divisions. Second prize in Drugs & Pharmaceuticals
Sector and Commendataion Certificate in Chemical Sector from the
Ministry of Power, Government of India. The said award is received by
Company consecutively for the fifth year.
24. Information on personnel
Statement showing particulars of the employees as required by the
provisions of Section 217(2A) of the Companies Act, 1956 read with the
Companies (Particulars of Employees) Rules, 1975 as amended, is not
given as no employee was in receipt of remuneration equal to or
exceeding Rs 24 lac per annum, if employed for the full year or Rs 2
lac per month if employed for the part of the year.
25. Directors Responsibility Statement
Pursuant to the provisions of Section 217(2AA) of the Companies Act,
1956, it is hereby confirmed that:
1. in preparation of the annual accounts, the applicable accounting
standards had been followed along with proper explanations relating to
material departures;
2. the directors had selected such accounting policies and applied
them consistently and made judgments and estimates that are reasonable
and prudent so as to give a true and fair view of the state of affairs
of the Company at the end of the financial year and of the profit of
the Company for that period;
3. the directors had taken proper and sufficient care for the
maintenance of adequate accounting records in accordance with the
provisions of this Act for safeguarding the assets of the Company and
for preventing and detecting fraud and other irregularities;
4. the directors had prepared the annual accounts on a going concern
basis.
26. Acknowledgement
We are pleased to place on record our sincere gratitude and
appreciation for assistance and co-operation received from the Union
Government, Punjab Government, Companys Bankers, Members, Customers
and Business Constituents. We also place on record our sincere
appreciation for contribution made by the employees at all levels. Our
consistent growth is made possible by their devout, sincere and
unstinted services.
For and on behalf of the Board
Sd/-
Place : Ludhiana (Varinder Gupta)
Dated : 29 May 2010 Chairman and Managing Director
Disclaimer: This is 3rd Party content/feed, viewers are requested to use their discretion and conduct proper diligence before investing, GoodReturns does not take any liability on the genuineness and correctness of the information in this article