Mar 31, 2014
1. RELATED PARTY DISCLOSURES
Pursuant to Accounting Standards (AS18) Â"Related Party Disclosure"
issued by Institute of Chartered Accountants of India, following
parties are to be treated as related parties along with their
relationships:
1. Name of related parties and description of relationship :
a) Key Management Personnel:
Mr. C. M. Marwah Managing Director
Mr. Samir Katyal Director
b) Related parties where control exists:
J. P. Overseas (P) Limited Enterprises owned or significantly
influenced by Key Management
Personnel or their relatives.
Note:- Related parties relationship is as identified by the management.
2. ADDITIONAL INFORMATION TO THE FINANCIAL STATEMENT
March 31, 2014 March 31, 2013
Rs.in ''000 Rs.in ''000
2.1 Contingent liabilities and
commitments (to the extent not
provided for)
(i) Contingent liabilities
(a) Tax matter under disputes/appeal 2384 2383
(b) Excise matter under disputes/appeals 0 2476
(c) PF matter under disputes/appeals 4667 0
(ii) Commitments
(a) Estimated amount of contracts
remaining to be executed on capital
account 0 0
3. EMPLOYEE BENEFITS (AS - 15 REVISED)
There is no employees who is covered under Retirement Benefits at the
end of the year, and the Directors have been waived their rights to
receive Retirement benefits as on March 31, 2014 and therefore, no
provision for Retirement benefits is required to be made in books of
the account of the Company.
4. In the opinion of the management, the current assets, loans and
advances, if realized in the ordinary course of business would yield a
sum at least equal to that stated in the Balance Sheet and provision
for all known liabilities are adequate.
5. Balances with various customers, suppliers, creditors and advances
recoverable as per books are subject to confirmation/ reconcilation and
consequential adjustments.
6. Other income includes Rs. 9.65 lacs towards profit on sale of
fixed assets, Rs. 30.26 lacs towards sale of scrap and Rs. 24.01 lacs
towards sundry balances written back.
7. Rates and taxes includes Rs. 62.19 lacs paid during the year on
account of interest and other related charges on sales tax assessment
relating to financial years 2008-09, 2009-10 and 2010-11.
8. During the year a Notice of Demand from the Employees'' Provident
Fund Organization relating to arrears of Provident Fund contribution
from February, 2006 to July, 2010 of Rs. 46.67 Lacs (out of which Rs.
32.88 lacs is towards damages and Rs. 13.79 lacs is towards interest
charges) against which appeal has been filled with Employees Provident
Fund Appellate Tribunal challenging the validity and correctness of the
order. On Company''s appeal, Employees Provident Fund Appellate Tribunal
has stayed the order with the condition to deposit Rs. 11.50 lacs
within May 4, 2014. The Company does not consider itself liable on its
accounts and accordingly, no libility have been provided in books of
account of Company. As the ultimate outcome of this matter cannot
presently be determined and provision for liability, if any, cannot be
estimated at this stage.
9. The Company has challenged the constitutional validity of entry
tax lavied in April 2010 in the state of Himachal Pradesh and a writ
petition filled by the Company is pending before the hon''able High
Court of Himachal Pradesh at Shimla, the Company dose not consider
itself liable and accordingly, no liability has been provided in the
books of account of the Company.
10. The Company closed it''s glass manufacturing unit on December 25,
2012 with the permission of Labour Commissioner, Government of Himachal
Pradesh and since paid legal dues to all its employees, including
Settlement Awards directed to be paid by 15.04.2013 in term of
directions of Labour-Cum-Conciliation Office, Baddi Himachal Pradesh
dated December 28, 2012.
11. During the year ended March 31, 2014, the Company has incurred a
loss of Rs. 34,88,205 and has accumulated loss of Rs. 15,82,79,996 as
against Share Capital and Reserves of Rs. 10,00,00,000. Considering the
Company''s nature of business, its future business plan to utilise its
available dealer network to undertake and develop trading operations in
products related to its line of business and the commitment of its
Promoter Group to provide financial and operational support for its
operations in the for seeable future, the management has prepared these
financial statements as a going concern.
12. a. In absence of taxable income during the year, no provision for
current Income tax has been made.
b. In accordance with the Accounting Standard - 22(AS-22) & Accounting
Standard Interpretation (ASI)-3 regarding "Accounting for Taxes on
Income", issued by The Institute of Chartered Accountants of India, the
Deferred Tax Assets/Liabilities have not been accounted for in view of
clouser of Company''s manufacturing unit.
13. a. The Company could not be strictly regular in depositing its
statutory dues due to financial constraints. The overdue outstanding as
on March 31, 2014 were in respect of Service Tax Rs. 27,99,758/-,
Barrier Tax Rs. 10,36,036/-, ESI Rs. 10,30,064/-, VAT/CST Rs.
82,32,130/- and Mandi Tax Rs. 1,87,606/-.
b. No provision for interest and other levies, if any, on overdue
statutory payments has been made, as the same will be accounted for as
and when paid/settled.
14. Previous year figures have been regrouped/recast, where ever
necessary, to confirm with this year''s presentation.
Mar 31, 2013
1 GENERAL INFORMATION
Jai Mata Glass Limited was a manufacturer of pattern glass and the
manufacturing unit was located at Barotiwala, Himachal Pradesh.
1.1 In the opinion of the Management, the value on realization of
current assets, loans and advances in the ordinary course of business
would be at least equal to the amount at which they are stated in the
balance sheet and provision for all known liabilities are adequate.
1.2 Balance with various customers, suppliers, creditors and advances
recoverable as per books are subject to confirmation/reconciliation and
consequential adjustments.
1.3 Unsecured loans from others are due to a former director of the
Company.
1.4 The certain Building, Plant & Machinery have been discarded from
active use w.e.f. close of 28"'' Feb, 2013 and their written down value
have been accounted for as per books as the valuation assessed by a
Valuer as on 28.2.2013 in respect of Discarded/Scrap Building for
Rs.195.00 lacs against the book value for Rs.191.14 lacs and Discarded/
Scrap Plant & Machinery for Rs. 230.00 lacs against the book value for
Rs.229.21 lacs which are more than the written down value and. In view
of this the W.D.V has been taken in the books of accounts. The
depreciation has been accounted for up to February 28, 2013. The
shareholders of the Company at an Extra Ordinary General Meeting held
on 7th May, 2013 approved sale of discarded / scrape Building and Plant
& Machinery.
1.5 Exceptional Items For Rs.60.29 lacs represent in decline in value
of Inventories as at March 31, 2013, which comprises Finished goods,
Raw Materials, Packing Materials, Fuel and Stores, and accounted as per
assessment of a Value.
1.6 Other Income includes Profit on sale of Fixed Assets of Rs. 68.54
Lacs in respect of sale of Plant & Machinery.
1.7 That the Inventories of Rs 65.80 lacs have sold to a party for
Rs. 70.00 lacs as per agreement/confirmation on 12.4.2013 and the
profit on sale of Inventories will be accounted for during next
financial year.
1.8 The Company has challenged the constitutional validity of entry
tax levied in April 2010 in the state of Himachal Pradesh and a writ
petition filled by the Company is pending before the hon''ble High
Court of Himachal Pradesh at Shimla, the Company does not consider
itself liable on this account and according, no liability has been
provided in books of account of Company.
1.9 The Company has also entered a .Memorandum of Understanding on
11.5.2013 with M/s Maruti Agriculture, a Partnership firm in respect of
sale of discarded/ scrap Building and discarded/scrap Plant & Machinery
at barotiwala (H.P) Unit ( except land, boundary wall office cum temple
building etc.) for Rs.430 on the following terms and conditions:-
a) That the Purchaser will dismantle/ remove / lift the entire asset at
his own cost on or after 12" May, 2013 or mutually agreed by both the
parties from times to time.
b) That the Purchaser will born the liabilities towards the sale -tax
except excise duty, if payable, by the Company.
c) That the Company will raise the bill in respect of all assets
directly to the purchaser or other parties as directed by the purchaser
at the time of removal of the material from the factory premises. Till
that time the ownership will always remain with the company.
d) That necessary adjustment in the accounts will be carried out as &
when the assets are sold during the financial year
1.10 The Company closed its glass manufacturing unit on December 25,
2012 with the permission of Labour Commissioner, Government of Himachal
Pradesh and since paid legal dues to all its employees, including
Settlement Awards directed to be paid by 15.4.2013 in terms of
directions of Labour-Cum-Conciliation Office, Baddi Himachal Pradesh
dated December 28, 2012. The aforesaid cost for Rs. 133.60 lacs was
duly accounted as Extraordinary Item.
1.11 The net worth has been eroded due to the losses incurred
including in earlier year and during this financial year the
manufacturing unit closed. In view of the same, the Company is no more a
going concern and the accounts have been prepared accordingly.
b) There is no employee who is covered under Retirement Benefits at the
end of the year, and the Directors have been waived their rights to
receive Retirement benefits as on March 31, 2013,and therefore, no
provision for Retirement Benefits is required to be made in books of the
accounts of the Company.
1.12 RELATED PARTY DISCLOSURES:
1. Relationships:
a) Other related parties where control exists:
J.P. Overseas (P) Limited,
b) Key Management Personnel:
Mr. C.M. Marwah (Managing Director) Mr. Samir Katyal (Whole Time
Director)
1.13 a) In the absence of taxable income during the year, no provision
for current Income tax has been made.
b) In accordance with the Accounting Standard-22 (AS-22) & Accounting
Standard Interpretation (ASI)-3 regarding "Accounting for Taxes on
Income", issued by The Institute of Chartered Accountants of India,
the Deferred Tax Assets/Liabilities have not been accounted for in view
of clouser of Company''s manufacturing unit.
1.14 a) The Company could not be strictly regular in depositing its
statutory dues due to financial constraints. The overdue outstanding as
on March 31, 2013 were in respect of Service Tax Rs.39,49,848/-,
Barrier Tax Rs.10,36,036/-, ESI Rs.10,30,064/-, VAT/CST
Rs.1,77,49,196/-, Income-Tax Rs.64,490/-.(since deposited Rs.64,490/-)
and Mandi Tax Rs, 1,87,606/-.
b) No provision for interest and other levies, if any, on overdue
statutory payments has been made, as the same will be accounted for as
and when paid/settled.
1.15 Figures for the Previous year have been regrouped/rearranged
wherever necessary.
Mar 31, 2012
1 GENERAL INFORMATION
Jai Mata Glass Limited is a manufacturer of pattern glass and the
manufacturing unit is located at Barotiwala, Himachal Pradesh.
1.1 In the opinion of the Management, the value on realization of
current assets, loans and advances in the ordinary course of business
would be atleast equal to the amount at which they are stated in the
balance sheet and provision for all known liabilities are adequate
1.2 Balance with various customers, suppliers, creditors and advances
recoverable as per books are subject to confirmation/reconciliation and
consequential adjustments.
Unsecured loans from others are due to a former director of the
company.
1.3 Employee benefitsfAS-15 revised):
The principal assumptions used in actuarial valuation are as below:
Discount rate 8.5%
Expected rate of increase in compensation levels 6.0%
1.4 RELATED PART DISCLOSURES
1. Relationships:
a) Other related parties where control exists:
J.P. Overseas (P) Limited,
Integraed Capital Services Limeted.
b) Key Management Personnel:
Mr. C.M. Marwah (Managing Director)
Mr. Samir Katyal (Whole Time Director)
2. Transactions carried out with related parties referred in 1 above
in ordinary course of business:
1.5 a) In the absence of taxable income during the year and in view
of exemption under section 80IC, no provision for current Income tax
has been made,
b) In accordance with the Accounting Standard-22 (AS-22) & Accounting
Standard Interpretation (ASI)-3 regarding "Accounting for Taxes on
Income", issued by The Institute of Chartered Accountants of India, the
Deferred Tax Assets/Liabilities have not been accounted for in view of
tax holiday exemption available under section 80IC of the Income Tax
Act, 1961.
1.6 a) The Company could not be strictly regular in depositing its
statutory dues due to financial constraints. The overdue outstanding as
on March 31,2012 were in respect of Service Tax Rs.37,03,668, Provident
Fund Rs. 31,810,696 (since deposited Rs. 5,37,778), Barrier Tax Rs.
10,36,036/-, ESI Rs. 8,67,689 (since deposited Rs. 8,64,163), VAT/CST Rs.
1,60,73,143, Income- TaxRs. 17, 273 (sincedepositedRs. 17, 273)andMandiTax
Rs. 1,87,606.
b) No provision for interest and other levies, if any, on overdue
statutory payments has been made, as the same will be accounted for as
and when paid/settled.
1.7 The Company has challenged the constitutional validity of entry
tax levied in April 2010 in the state of Himachal Pradesh and a writ
petition filled by the Company is pending before the hon'ble High Court
of Himachal Pradesh at Shimla, the Company does not consider itself
liable on this account and according, no liability has been provided in
books of account of Company.
1.8 Figures for the Previous year have been regrouped/rearranged
wherever necessary.
Mar 31, 2010
2009-2010 2008-2009
Rs. Rs.
1. Contingent Liabilities not provided for:
a) Tax matters under disputes/ appeal. 24,48,590 24,48,590
b) Excise matters under disputes/ appeal. 24,75,737 24,75,737
c) Claims against the Company not
acknowledged as debts (to the extent
ascertainable). 23,10,303 37,89,662
2. In the opinion of the Management, the value on realization of
current assets, loans and advances in the ordinary course of business
would be at least equal to the amount at which they are stated in the
Balance Sheet and provision for all known liabilities are adequate.
3. Balance with various customers, suppliers, creditors, advances
recoverable, loans and a bank taken as per books are subject to
confirmation/reconciliation and consequential adjustments.
4. Unsecured loan from others are due to a former director of the
Company.
5. Provision for gratuity and earned leave has been ascertained by the
Actuary as per the guidelines issued the Actuarial Society of India.
6. The Company has not received any information from suppliers or
service providers, whether they are covered under the "Micro, Small and
Medium Enterprises (Development) Act, 2006". Therefore, it is not
possible to give the information required under the Act.
7. (a) The agreement between the Company & Growmore Properties Private
Limited, has since been rescinded by Growmore Properties Private
Limited for not taking over certain land, building and plant &
machinery of Unit-Ill. Pursuant to the same, as per the decisions taken
by the Company in its Assets Sales Committee meeting dated January 14,
2010 in concurrence with GPPL and approved by board , the sum of Rs.213
Lac advanced by GPPL stands forfeited & shown as Exceptional Items.
(b) In accordance with Accounting Standard (AS)-28 issued by The
Institute of Chartered Accountants of India titled "Impairment of
Assets", the Company has assessed the applicability of the aforesaid
Standard as on Balance Sheet date, with respect to indications, if any,
in regard to the impairment in value of assets. Based on such aforesaid
assessment, discarded plant & machinery of Rs. 111.34 lacs now
revalued as on March 31, 2010 by an approved valuer for Rs.15.02 lacs
has resulted in writing off Rs 96.32 lacs; the amount is included as
part of income comprised in Exceptional items.
8. Related parties disclosures :
1. Relationships:
a) Other related parties where control exists :
J.P. Overseas (P) Ltd.
Integrated Capital Services Ltd.
b) Key Management Personnel:
Mr. C. M. Marwah (Managing Director)
Mr. Samir Katyal (Whole Time Director)
9. A sum of Rs. 70 lacs was paid to IDBI during the financial year
2009-10 as advance for Redemption of 70,000 Cumulative Optionally
Redeemable Convertible Preference Shares (CORCPS) of Rs.100 each
aggregating Rs.70 lacs. During April 2010 CORCPS of a value of Rs.35
lacs have been redeemed and the balance of Rs. 35 lacs will be redeemed
at the earlier of approval of the Honble BIFR in terms of the
sanctioned Draft Rehabilitation Scheme under consideration by the
Honble BIFR or March 31 2011.
10. The secured debt of the Company from IDBI has been settled on One
Time Settlement (OTS) basis. IDBI has waived dividend on the above
Cumulative Optionally Redeemable Convertible Preference Shares (CORCPS)
and Rs. 3,96,921/- payable towards interest to IDBI as per the OTS has
been discharged in full and No Dues certificate obtained from IDBI
and Satisfaction of the same has been registered with ROC. The payment
of above interest paid has been accounted in the books of accounts for
the year ended March 31, 2010.
11. a) In the absence of taxable income during the year and in view of
exemption under section 80I C, no provision for current Income tax has
been made.
b) In accordance with the Accounting Standard-22 (AS-22) & Accounting
Standard Interpretation (ASI)3 regarding "Accounting for Taxes on
Income", issued by The Institute of Chartered Accountants of India, the
Deferred Tax Assets/Liabilities have not been accounted for in view of
tax holiday exemption available under section 80IC of the Income Tax
Act, 1961.
12. The secured debt of the Company in the nature of Working Capital
borrowing from State Bank Of India has been settled on One Time
Settlement (OTS) basis. As of date, the amount payable to SBI as per
the OTS has been discharged in full and No Dues Certificate obtained
from State Bank of India and Satisfaction of the same has been
registered with ROC. The interest paid to SBI as per OTS has been
accounted in the books of accounts for the year ended March 31, 2010.
13. As per order of Honble BIFR & in view of various reliefs &
concessions allowed to the Company by all stakeholders and the
commitments to provide fresh finances to the Company, and the
continuing efforts of the Company to improve the operational efficiency
of rolled, figured & wired glass manufacturing plant, the Company will
be able to make its net worth exceed the accumulated losses in the
foreseeable future, and accordingly, the accounts of the Company have
been prepared on going concern basis.
14. a) The Company could not be strictly regular in depositing its
statutory dues due to financial constraints. The overdue outstanding as
on March 31, 2010 were in respect of Provident Fund
Rs.81,84,582/-(since paid Rs.32,84,029/-), Service Tax Rs.19,68,677/-,
Barrier Tax Rs. 10,36,036/-, ESI Rs.1,35,818/- (since paid Rs.
1,35,818/-), Central & State Sales Tax Rs.78,21,455,/-, Mandi Tax Rs.
1,87,606/-, Income-tax(TDS) Rs.2,33,028/- (since paid Rs. 2,33,028/-).
b) No provision for interest and other levies, if any, on overdue
statutory payments has been made, as the same will be accounted for as
and when paid/settled.
15. A Civil Writ Petition filed by the Company in May, 2010 under
Article 226 of the Constitution of India for implementation the
Rehabilitation Scheme dated April 10, 2006 sanctioned by the Honble
BIFR seeking direction to the H. P. Govt., H. P. S. E. B. and Others to
implement the aforesaid scheme was admitted and stay granted from
recovery of the taxes and levies subject matter of the aforesaid
petition. The Company does not consider itself liable for the taxes and
levies collection whereof has been stayed and if required, will account
to the same in the year of final order in the matter.
16. Additional information under Part-ll of Schedule VI of the
Companies Act, 1956, as certified by the Management.
17. Figures for the Previous year have been regrouped/ rearranged
wherever necessary.
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