Directors Report of Jumbo Bag Ltd.

Mar 31, 2025

Your Directors present their 35th Annual Report together with the Audited Statement of Accounts of the Company for the financial year ended 31st March 2025.

FINANCIAL RESULTS:

(Rupees in Laks)
PARTICULARS	2024-25	2023-24
SALES AND OTHER INCOME	12,672.49	10,542.50
PROFIT BEFORE INTEREST, DEPRECIATION, TAXES & EXCEPTIONAL ITEMS	1024.19	865.50
INTEREST	299.61	325.79
DEPRECIATION	228.58	223.25
EXCEPTIONAL ITEMS	â	178.71
PROFIT/ (LOSS) BEFORE TAX	496.34	137.75
TAX EXPENSES	172.62	18.87
PROFIT/ (LOSS) AFTER TAX	323.71	118.88
PROFIT AVAILABLE FOR APPROPRIATION	323.71	118.88

OPERATIONS AND FINANCIAL PERFORMANCE:

The revenue of the Company for the FY 2024-25 is Rs.12,672.49- lakhs increasing by (20.20%) over the previous year revenue of Rs.10,542.50/- The PBT for the FY 2024-25 is Rs.496.34 against Rs.137.75 for FY 2023-24. The PAT of the Company for FY 2023-24 is Rs.323.71 lakhs, reduced by 19.16% over the previous year PAT of Rs. 118.88 lakhs in FY 2023-24. The detail overview of the Company performance in the financial year 2024-25 is given in Annexure-I to the Directors Report - Management Discussion and Analysis Report.

The trading division of the Company which is into polymer raw material sales has record- ed decent sales during the FY 2024-25 compared to the previous year. The revenue from the trading division of company in FY 2024-25 is Rs. 506.37 lakhs increased by 2.02 % against the previous year commission of Rs. 496.17 lakhs in FY 2023-24.

DIRECTORS & KEY MANAGERIAL PERSONNEL:

Pursuant to the provisions of Sections 152 and 161 of the Companies Act, 2013 and the applicable rules made thereunder, Mr. G S Srinivas((DIN: 01922225 ), who was appointed as an Additional Director of the Company with effect from 25/03/2025 and who holds office up to the date of this Annual General Meeting, be and is hereby/ regularised and appointed as a Director of the Company, liable to retire by rotation."

DIVIDEND:

The Board of Directors have not recommended any dividend for the financial year ended 31st March 2025.

UNPAID / UNCLAIMED DIVIDEND:

In compliance with the provisions of Section 124 of the Companies Act, 2013 and rules made thereunder the Company had transferred all the unclaimed dividends to Investor Education and Protection Fund and there is no unclaimed dividends lying in the Company''s Unpaid Dividend Account.

TRANSFER TO RESERVES IN TERMS OF SECTION 134 (3) (J) OF THE COMPANIES ACT, 2013:

For the financial year ended 31st March 2025, the Company has proposed to carry an amount of Rs. 77.93 Lakhs to General Reserve Account.

COMMISSION RECEIVED BY DIRECTOR FROM HOLDING OR SUBSIDIARY COMPANY:

The Company neither has any holding nor has any subsidiary company, therefore, disclosure under Section 197 (14) of the Companies Act, 2013 not applicable.

MATERIAL CHANGES AND COMMITMENTS

There have been no material changes and commitments affecting the financial position of the Company occurred between the end of the financial year to which this financial statements relate and the date of this report.

ANNUAL EVALUATION OF BOARD''S PERFORMANCE:

Pursuant to the provisions of the Companies Act, 2013 and SEBI Guidance note on Board evaluation issued by SEBI vide its circular dated January 5, 2017, the annual performance evaluation of its Board, the directors individually and Committees of the board viz., Audit and Nomination and Remuneration Committee has been carried out.

The board and the committee were evaluated on various criteria as stated below:

1. Composition of the Board and Committee.

2. Understanding of the Company and its business by the Board.

3. Availability of information to the board and committee.

4. Effective Conduct of Board and Committee Meetings.

5. Monitoring by the Board management effectiveness in implementing strategies, managing risks and achieving the goals.

The Board also carried out the evaluation of directors and chairman based on following criteria:

1. Attendance at the meetings.

2. Understanding and knowledge of the entity.

3. Maintaining Confidentiality of board discussion.

4. Contribution to the board by active participation.

5. Maintaining independent judgment in the decisions of the Board NUMBER OF MEETINGS OF BOARD AND AUDIT COMMITTEE:

The Board meets at regular intervals to discuss and decide on business strategies / policies and review the financial performances of the Company. The Board Meetings are pre-sched-uled and a tentative annual calendar of the Board is circulated to the Directors well in advance to facilitate the Directors to plan their schedules. The details of number of board meetings and other committee meetings held during the Financial Year 2024-2025 are as follows:

1. No. of Board Meetings: 6
	29th April, 2024
	24th July, 2024
	25th October, 2024
	24th December, 2024
	23rd January, 2025
	25th March,2025
The interval between two Board Meetings was well within the maximum period mentioned under section 173 of the Companies Act, 2013, and SEBI Listing (Disclosures and Obligations Requirements) Regulations, 2015. 2. No. of Audit Committee Meetings: 6
	29th April, 2024
	24th July, 2024
	25th October, 2024
	24th December, 2024
	23rd January, 2025
	25th March, 2025
3. No. of Nomination & Remuneration Committee Meetings		: 2

29th April, 2024

25rd March,2025

4. Stakeholder Relationship Committee: NIL

As required under Section 178(5) of the Companies Act, 2013, the Company has constituted Stakeholders'' Relationship Committee. The committee includes Shri. G.S. Rajasekar as Chairperson and Shri. Rajendra Kumar P as member. The Committee considers and resolves the grievances of security holders of the company.

5. Share Transfer Committee: 01

The Committee overseas share transfers, share transmission, issue of duplicate share certificates etc. The committee includes Shri G.S. Rajasekar as Chairperson and Shri Rajendra Kumar Prasan as member.

04th April,2024

DECLARATION OF INDEPENDENCE:

All independent Directors have given declarations that they meet the criteria of independence as laid down under Section 149 of the Companies Act, 2013 which has been relied on by the Company and placed at the Board Meeting of the Company.

SEPARATE MEETING OF THE INDEPENDENT DIRECTORS:

As required under Clause VII of Schedule IV of the Companies Act, 2013, the Independent Directors held a Meeting on 23rd January 2025, without the attendance of Non-Independent Directors and members of Management.

FAMILIARISATION PROGRAMME FOR INDEPENDENT DIRECTORS

The familiarization program is to update the Directors on the roles, responsibilities, rights and duties under the Act and other statutes and about the overall functioning and performance of the Company. The policy and details of familiarization program is available on the website of the Company at www.jumbobaglimited.com

NOMINATION AND REMUNERATION POLICY:

Pursuant to Section 178(3) of the Companies Act, 2013, the Board of Directors has framed a policy which lays down a framework in relation to remuneration of Directors, Key Managerial Personnel and Senior Management of the company. The policy also lays down the criteria for selection and appointment of Board Members. The Remuneration Policy is available on the website of the company. The salient features of the policy are given below:

Nomination & remuneration Policy:

In accordance with the Nomination and Remuneration Policy, the Nomination and

Remuneration Committee has, inter alia, the following responsibilities:

1. The Committee shall formulate the criteria for determining qualifications, positive attributes and independence of a director.

2. The Committee shall identify persons who are qualified to become Director and persons who may be appointed in Key Managerial and Senior Management positions in accordance with the criteria laid down in this policy.

3. Recommend to the Board, appointment and removal of Director, KMP and Senior Management Personnel.

4. The Board shall carry out evaluation of performance of every Director, Managerial Person, KMP and Senior Management Personnel at regular interval (yearly).

5. The remuneration/ compensation/ commission etc. to the Managerial Person, KMP and Senior Management Personnel will be determined by the Committee and recommended to the Board for approval. The remuneration/ compensation/ commission etc. shall be subject to the prior/ post approval of the shareholders of the Company and Central Government, wherever required.

6. Increments to the existing remuneration/ compensation structure may be recommended by the Committee to the Board which should be within the slabs approved by the Shareholders in the case of Managerial Personnel.

7. Where any insurance is taken by the Company on behalf of its Managerial Personnel, Chief Executive Officer, Chief Financial Officer, the Company Secretary and any other employees for indemnifying them against any liability, the premium paid on such insurance shall not be treated as part of the remuneration payable to any such personnel. Provided that if such person is proved to be guilty, the premium paid on such insurance shall be treated as part of the remuneration.

8. The Non- Executive/ Independent Director may receive remuneration by way of fees for attending meetings of Board or Committee thereof provided that the amount of such fees shall not exceed Rs. One lakh per meeting of the Board or Committee or such amount as may be prescribed by the Central Government from time to time.

9. Commission to Non-Executive/ Independent Directors may be paid within the monetary limit approved by shareholders, subject to the limit not exceeding 1% of the net profits of the Company computed as per the applicable provisions of the Companies Act, 2013.

RISK MANAGEMENT:

The Company has in place a Risk Management Policy duly approved by the board which is periodically reviewed by the management. The main objective of the company''s risk management policy is to ensure the effective identification and reporting of risk exposures, involvement of all departments and employees in risk management, to ensure continuous growth of business and protect all the stakeholders of the Company.

The Audit Committee and Board of Directors consider the risk exposure before approving a strategic decision taken by the Company. Further the Company has strong internal control system in place to identify the risks at any stage of the business. This internal control system is further reviewed by the internal auditors of the Company and a report is submitted to the Audit Committee. The Committee based on the report of internal auditors advises on the necessary action to be taken in case of any deviation from required standards.

AUDITORS:

Pursuant to the provisions of Section 139(8) and other applicable provisions of the Companies Act, 2013 read with rules made thereunder (including any statutory modification(s) or re-enactment thereof for the time being in force), and based on the recommendation and approval of the Board of Directors, M/s DPV & ASSOCIATES , Chartered Accountants (FRN: 011688S), has been appointed, confirmed and ratified as the Statutory Auditors of the Company for the financial year 2024-25, to fill the casual vacancy caused due to the resignation of M/s Venkatesh & Co, Chartered Accountants (FRN: 004636S), to hold office till the conclusion of the 35th Annual General Meeting.

The Auditors Report and the Notes on financial statement for the year 2024-25 referred to in the Auditor''s Report are self explanatory and do not contain any qualification, reservation or adverse remark, therefore, do not call for any further comments.

COST AUDIT:

Pursuant to notification of Companies (Cost Records and Audit) Rules, 2014 read with Companies (Cost Records and Audit) amendment rules, 2014, the Company''s product does not fall under the purview of Cost Audit.

MANAGEMENT DISCUSSION ANALYSIS REPORT:

The report has been presented separately detailing the overall status of economy, industry and business of the Company in Annexure [I].

SECRETARIAL AUDITORS:

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 had appointed M/s Lakshmmi Subramanian & Associates, Practising Company Secretaries to undertake the Secretarial Audit of the Company. The Secretarial Audit Report for the year 2024-2025

The Secretarial Audit Report for the financial year ended 31st March 2025 in Form MR-3 is attached as "Annexure III" and forms part of this Report. The report of the Secretarial Auditor does not contain any qualification, reservation or adverse remark, therefore, do not call for any comments. Further, the Board of Directors of the Company on the recommendation of the Audit Committee, at its meeting held on 10th May 2025 has re-appointed for a period of 5FY M/s. M/s Lakshmmi Subramanian & Associates, Practising Company Secretaries to conduct Secretarial Audit for the financial year 2025-26 to 2029-2030.

EXTRACT OF ANNUAL RETURN:

The Annual Return in accordance with Section 92(3) of the Companies Act, 2013 read with the Companies (Management and Administration) Rules, 2014, is available on company''s website and can be accessed at www.jumbobaglimited.com.

RELATED PARTY TRANSACTIONS:

During the financial year 2024-25, your Company has entered into transactions with related parties as defined under Section 2(76) of the Companies Act, 2013 read with Companies (Specification of Definitions Details) Rules, 2014, which were in the ordinary course of business and on arms'' length basis and in accordance with the provisions of the Companies Act, 2013, Rules issued thereunder. There are no materially significant related party transactions made by the Company with Promoters, Directors, Key Managerial Personnel or other designated persons which may have a potential conflict with the interest of the Company at large. Thus, disclosure in Form AOC-2 is not required.

The details of the related party transactions as required under Indian Accounting Standard - 24 are set out in Note to the standalone financial statements forming part of this Annual Report.

LOANS, GUARANTEES OR INVESTMENTS:

Details of Loans, Guarantees and Investments covered under the provisions of Section 186 of the Companies Act, 2013 are given in the notes to financial statement.

VIGIL MECHANISM:

Your Company has in place Whistle Blower Policy approved by Board of Directors in

compliance with provisions of Section 177 (10) of the Companies Act, 2013. The policy provides a mechanism to the Directors and Employees to voice their concerns regarding irregularities in the Company in an effective manner. The mechanism provides for adequate safeguards against victimization of Directors and employees to avail the mechanism and also provides for direct access to the Chairman of the Audit Committee in exceptional cases. The policy as amended from time to time can be accessed from the website of the Company at www.jumbobaglimited.com.

AUDIT COMMITTEE RECOMMENDATION:

During the year all the recommendations of the Audit Committee were accepted by the Board. Pursuant to Section 177(8) of the Companies Act, 2013, the Composition of Audit Committee is given as under:

â¢ Smt. Renuka Mohan Rao - Chairperson

â¢ Smt. Subhashini Subramanian - Member

â¢ Shri. Rajendra kumar.P - Member

Secretary of the Company shall be the Secretary of the Committee.

DEPOSITS

The Company has not accepted any deposits from the public during the period 2024-25 within the meaning of Sections 73 and 74 of the Companies Act, 2013 read together with the Companies (Acceptance of Deposits) Rules, 2014.

INTERNAL COMPLAINTS COMMITTEE:

The Company has in place an Anti Sexual Harassment Policy in line with the requirements of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013. The Internal Complaints Committee ("ICC") has been set up to redress the complaints received regarding sexual harassment. All employees are covered under this policy. No Complaints were received during the year under review.

CORPORATE GOVERNANCE:

As prescribed under the provisions of Regulation 15(2) of SEBI (Listing Obligations and Disclosures Requirements) Regulations 2015, your Company does not fall under the purview of complying with the provisions of Corporate Governance. During the year your Company has informed the non-applicability provision to the Bombay Stock Exchange.

Since, the provision of Corporate Governance is not applicable for the entire Financial Year 2024-25, a separate report of Corporate Governance is not disclosed in the Annual Report 2024-25.

LISTING FEES:

The Company confirms that it has paid the annual listing fees for the year 2024-25 to the Bombay Stock Exchange.

CLOSURE OF REGISTER OF MEMBERS AND SHARE TRANSFER BOOKS:

The Register of Members and Share Transfer books of the company will be closed with effect from 28th August, 2025 to 04th August, 2025 (both days inclusive).

DIRECTORS'' RESPONSIBILITY STATEMENT:

Pursuant to Section 134(3) (C) of the Companies Act, 2013, the Directors confirm that:

1. In the preparation of the annual accounts for the financial year ended 31st March, 2025, the applicable accounting standards and Schedule III of the Companies Act, 2013, have been followed and there are no material departures from the same;

2. The Directors 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 your Company as at 31st March, 2025 and of the statement of profit and loss of the Company for the financial year ended 31st March, 2025;

3. Proper and sufficient care has been taken for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 2013 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities;

4. The annual accounts have been prepared on a ''going concern'' basis;

5. Proper internal financial controls laid down by the Directors were followed by the Company and that such internal financial controls are adequate and were operating effectively; and

6. Proper systems to ensure compliance with the provisions of all applicable laws were in place and that such systems were adequate and operating effectively.

PERSONNEL:

None of the employees of the Company drew remuneration which in the aggregate exceeded the limits fixed under Section 134(3) (q) read with Rule 5 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014

REMUNERATION RATIO OF THE DIRECTORS / KEY MANAGERIAL PERSONNEL (KMP) / EMPLOYEES:

The information required pursuant to Section 197 read with Rule 5 of The Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 in respect of employees of the Company and Directors is furnished hereunder:

The ratio of the remuneration of each Director to the median remuneration of the employees of the Company for the financial year and percentage increase in remuneration of each Director and KMP

(Rupees in words)
S. No	Name	Designation	Remuneration for FY 2024-25	Remuneration for FY 2023-24	Increase in remuneration from previous year	Ratio / times per median of employee remuneration
1	G.S. AnilKu-mar	Managing Director	32.40	32.28	0.35%	9.04
2	Sunil Kumar A	Company Secretary	0.21	-
3	*Bharathi J	Company Secretary	6.04	5.61	11.47%	1.74
4	G.A.Darshan	CFO	13.86	13.92	-0.41%
5	Renuka Mohan Rao	Independent Director	-	-	-	-
6	S. Subhashini	Independent Director		-	-	-
7	Rajendra Kumar P	Independent Director		-	-	-
8	G S Srinivas	Additional Director
9	G.S. Ra-jasekar	Director		-	-	-

Note:

1. The percentage increase in the median remuneration of employees in the financial year is 12.67 %

2. The number of permanent employees on the rolls of company as on 31st March 2025

is 235.

3. The average increase/decrease in salaries of employees other than managerial personnel in 2024-25 was 12.70% and that of managerial personnel is 1.70%.

4. The remuneration payable to the KMP / Whole time directors are in accordance with the Industry and Geographical standards and as per the Remuneration policy of the Company.

1. No remuneration is paid to the Independent Directors of the Company other than the sitting fees of Rs.25,000/-.

2. *Smt. Bharathi J, Company Secretary resigned from the services of the company with effect from 25th January 2025. Shri. Sunil Kumar Alluri was appointed as the company secretary with effect from 25th March 2025. According the disclosure with respect to median and increase in remuneration has been made.

The details of sitting fees paid to the Directors are set out in Extract of Annual Return which is uploaded in the website of the Company at www.jumbobaglimited.com

CONSERVATION OF ENERGY AND TECHNOLOGY OBSORPTION:

The information on conservation of energy, technology absorption as stipulated under Section 134 of the Companies Act, 2013 read with the Companies (Accounts) Rules, 2014, is set out herewith as "Annexure [II]" to this Report.

SIGNIFICANT/MATERIAL ORDERS PASSED BY THE REGULATORS:

During the year, the Company has not received any significant and material orders passed by the Regulators or courts or tribunals which would affect the going concern status of the Company and its future operations.

DETAILS OF DIFFERENCE BETWEEN AMOUNT OF THE VALUATION DONE AT THE TIME OF ONE TIME SETTLEMENT AND THE VALUATION DONE WHILE TAKING LOAN FROM THE BANKS OR FINANCIAL INSTITUTIONS ALONG WITH THE REASONS THEREOF:

During the year under review there was no instance of one-time settlement with any Bank or Financial Institution.

DETAILS OF APPLICATION MADE OR ANY PROCEEDING PENDING UNDER THE INSOLVENCY AND BANKRUPTCY CODE, 2016 (31 OF 2016) DURING THE YEAR ALONGWITH THEIR STATUS AS AT THE END OF THE FINANCIAL YEAR:

There is no proceeding pending under the Insolvency and Bankruptcy Code, 2016.

REPORTING OF FRAUDS BY AUDITORS:

There is no fraud reported in the Company during the F.Y. ended 31st March, 2025. This is also being supported by the report of the auditors of the Company as no fraud has been reported in their audit report for the F.Y. ended 31st March, 2025.

INTERNAL FINANCIAL CONTROLS:

The Company has put in place an internal financial control based on the processes involved in the manufacturing and trading divisions of the Company. There is involvement from both management and functional/business process owner with periodic meetings to discuss issues, weaknesses, and progress of the company''s internal financial control program.

The internal audit conducted for every quarter further scrutinizes the functioning of various areas of operations and gives its observation to the Audit Committee. Required action is taken based on the decision of the Audit Committee on the observations by the internal auditor.

Various processes like procurements, maintenance, production, marketing, Accounting etc.. are reviewed periodically both internally and by the internal auditors in a way which is commensurate with size & complexity of operations of the Company.

The above process helps the company in taking precautionary measures, making the existing process more efficient, bringing accuracy in accounting which enables orderly conduct of the business.

PARTICULARS OF EMPLOYEES

There are no employees falling within the provisions of section 197 of the Companies Act, 2013 read with Rule 5(2) and 5(3) of The Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014.

SECRETARIAL STANDARDS OF ICSI

The Company is in compliance with the Secretarial Standards on Meetings of the Board of Directors (SS - 1) and General Meetings (SS - 2) issued by The Institute of Company Secretaries of India and approved by the Central Government.

INDUSTRIAL RELATIONS:

Human Resource is an important asset for the Company and there is cordial relationship exist between the management and the employees across all the plants of the Company.

in the factory. Also conducted sports activities for the employees to improve work place culture and morale. Many employees participated in all the activities and awareness program.We have participated in various job fairs conducted by the Government and given employment opportunities to the candidates from rural areas.

SOCIAL RESPONSIBILITY:

Your Company believes in importance of education in the growth of individuals and the economy as whole. With an intention to support the education of under privileged children your company runs a school in the name of Shri Gorantla Ramalingaiah Vivekananda Vidyalaya School providing education to over 1300 students at concessional fees. Many children have benefited from this initiative of the Company. We have singed MOU with Vadakarai Government ITI to provide one month industrial training to develop the skills of final year ITI students with stipend. We have signed MOU with VIT and RMK colleges to provide opportunities for the Engineering students to develop automation projects in our company. Further, we have contributed donations for Flag Day for Armed Forces to our local government bodies.

CAUTIONARY STATEMENT

Shareholders and Readers are cautioned that in the case of data and information external to the Company, no representation is made on its accuracy or comprehensiveness though the same are based on sources believed to be reliable. Utmost care has been taken to ensure that the opinions expressed by the management herein contain its perceptions on the material impacts on the Company''s operations, but it is not exhaustive as they contain forward-looking statements which are extremely dynamic and increasingly fraught with risk and uncertainties. Actual results, performances, achievements or sequence of events may be materially different from the views expressed herein.

ACKNOWLEDGEMENT:

Your Directors place on record their appreciation for the continued co-operation, support and assistance extended to the Company by Government of India, Government of Tamil Nadu, Bankers and the Shareholders.

Your Directors also place on record their appreciation for the continued and dedicated performance and commitment by Officers and Staff of the Company.

Mar 31, 2024

The Directors present their 34^th Annual Report together with the Audited Statement of Accounts of the Company for the financial year ended 31^st March 2024.

FINANCIAL RESULTS:

(Rs in Lakhs)
PARTICULARS	2023-24	2022-23
SALES AND OTHER INCOME	10,477.29	11,144.24
PROFIT BEFORE INTEREST, DEPRECIATION, TAXES & EXCEPTIONAL ITEMS	800.28	722.43
INTEREST	260.57	262.98
DEPRECIATION	223.25	238.93
EXCEPTIONAL ITEMS	178.71	31.59
PROFIT/ (LOSS) BEFORE TAX	137.75	188.93
TAX EXPENSES	18.87	41.88
PROFIT/ (LOSS) AFTER TAX	118.88	147.06
PROFIT AVAILABLE FOR APPROPRIATION	118.88	147.06

OPERATIONS AND FINANCIAL PERFORMANCE:

The revenue of the Company for the FY 2023-24 is Rs.10,477.29/- lakhs decreasing by 5.98% over the previous year revenue of Rs. 11,144.24/- The PBT for the FY 2023-24 is Rs.137.75 against Rs. 188.93 for FY

2022- 23. The PAT of the Company for FY 2023-24 is Rs. 118.88 lakhs, reduced by 19.16% over the previous year PAT of Rs. 147.06 in FY 2022-23. The detail overview of the Company performance in the financial year

2023- 24 is given in Annexure-I to the Directors Report - Management Discussion and Analysis Report.

The trading division of the Company which is into polymer raw material sales has recorded decent sales during the FY 2023-24 compared to the previous year. The revenue from the trading division of company in FY 2023-24 is Rs. 430.95 lakhs increased by 42.68 % against the previous year commission of Rs. 302.02 lakhs in FY 2022-23.

DIRECTORS & KEY MANAGERIAL PERSONNEL:

In accordance with section 152 of the Companies Act, 2013 Shri G.S. Rajasekar (DIN: 00086002) will retire by rotation at this ensuing Annual General Meeting. He being eligible, offers himself for re-appointment. The subject forms part of the ordinary business in the Notice of the 34^th Annual General Meeting.

DIVIDEND:

The Board of Directors have not recommended any dividend for the financial year ended 31^st March 2024. UNPAID / UNCLAIMED DIVIDEND:

TRANSFER TO RESERVES IN TERMS OF SECTION 134 (3) (J) OF THE COMPANIES ACT, 2013:

For the financial year ended 31^st March 2024, the Company has proposed to carry an amount of Rs.5.83 Lakhs to General Reserve Account.

COMMISSION RECEIVED BY DIRECTOR FROM HOLDING OR SUBSIDIARY COMPANY:

The Company neither has any holding nor has any subsidiary company, therefore, disclosure under Section 197 (14) of the Companies Act, 2013 not applicable.

MATERIAL CHANGES AND COMMITMENTS

ANNUAL EVALUATION OF BOARD''S PERFORMANCE:

The board and the committee were evaluated on various criteria as stated below:

1. Composition of the Board and Committee.

2. Understanding of the Company and its business by the Board.

3. Availability of information to the board and committee.

4. Effective Conduct of Board and Committee Meetings.

5. Monitoring by the Board management effectiveness in implementing strategies, managing risks and achieving the goals.

The Board also carried out the evaluation of directors and chairman based on following criteria:

1. Attendance at the meetings.

2. Understanding and knowledge of the entity.

3. Maintaining Confidentiality of board discussion.

4. Contribution to the board by active participation.

5. Maintaining independent judgment in the decisions of the Board NUMBER OF MEETINGS OF BOARD AND AUDIT COMMITTEE:

The Board meets at regular intervals to discuss and decide on business strategies / policies and review the financial performances of the Company. The Board Meetings are pre-scheduled and a tentative annual calendar of the Board is circulated to the Directors well in advance to facilitate the Directors to plan their schedules. The details of number of board meetings and other committee meetings held during the Financial Year 2023-2024 are as follows:

1.No. of Board Meetings: 5

28^th April, 2023

30^th June, 2023

09^th August, 2023

25^th October, 2023

30^th January, 2024

The interval between two Board Meetings was well within the maximum period mentioned under section 173 of the Companies Act, 2013, and SEBI Listing (Disclosures and Obligations Requirements) Regulations, 2015.

2.No. of Audit Committee Meetings: 4

28^th April, 2023

09^th August, 2023

25^th October, 2023

30^th January, 2024

3.No. of Nomination & Remuneration Committee Meetings: 1 28^th April, 2023

4.Stakeholder Relationship Committee: NIL

5.Share Transfer Committee: 3

The Committee overseas share transfers, share transmission, issue of duplicate share certificates etc. The committee includes Shri G.S. Rajasekar as Chairperson and

Shri Rajendra Kumar Prasan as member.

21^st June,2023 01^st August,2023 27^th November,2023

DECLARATION OF INDEPENDENCE:

SEPARATE MEETING OF THE INDEPENDENT DIRECTORS:

As required under Clause VII of Schedule IV of the Companies Act, 2013, the Independent Directors held a Meeting on 30^th January 2024, without the attendance of Non-Independent Directors and members of Management.

FAMILIARISATION PROGRAMME FOR INDEPENDENT DIRECTORS

NOMINATION AND REMUNERATION POLICY:

Nomination & remuneration Policy:

In accordance with the Nomination and Remuneration Policy, the Nomination and Remuneration Committee has, inter alia, the following responsibilities:

1. The Committee shall formulate the criteria for determining qualifications, positive attributes and independence of a director.

3. Recommend to the Board, appointment and removal of Director, KMP and Senior Management Personnel.

4. The Board shall carry out evaluation of performance of every Director, Managerial Person, KMP and Senior Management Personnel at regular interval (yearly).

RISK MANAGEMENT:

AUDITORS:

M/s Venkatesh & CO, Chartered Accountants (FRN: 004636S) are the Statutory Auditors of the Company who were appointed by the board in its meeting dated 28^th April, 2023 on the recommendation of Audit Committee and ratified by the members in its meeting dated 09^th August 2023, for a period of 5 years commencing from 33^rd AGM to hold office until the conclusion of 38^th Annual General Meeting.

The Auditors Report and the Notes on financial statement for the year 2023-24 referred to in the Auditor''s Report are self explanatory and do not contain any qualification, reservation or adverse remark, therefore, do not call for any further comments.

COST AUDIT:

MANAGEMENT DISCUSSION ANALYSIS REPORT:

The report has been presented separately detailing the overall status of economy, industry and business of the Company in Annexure [I].

SECRETARIAL AUDITORS:

The Secretarial Audit Report for the financial year ended 31^st March 2024 in Form MR-3 is attached as "Annexure III" and forms part of this Report. The report of the Secretarial Auditor does not contain any qualification, reservation or adverse remark, therefore, do not call for any comments. Further, the Board of Directors of the Company on the recommendation of the Audit Committee, at its meeting held on 29^th April 2024 has re-appointed M/s. M/s Lakshmmi Subramanian & Associates, Practising Company Secretaries to conduct Secretarial Audit for the financial year 2024-25.

EXTRACT OF ANNUAL RETURN:

RELATED PARTY TRANSACTIONS:

During the financial year 2023-24, your Company has entered into transactions with related parties as defined under Section 2(76) of the Companies Act, 2013 read with Companies (Specification of Definitions Details) Rules, 2014, which were in the ordinary course of business and on arms'' length basis and in accordance with the provisions of the Companies Act, 2013, Rules issued thereunder. There are no materially significant related party transactions made by the Company with Promoters, Directors, Key Managerial Personnel or other designated persons which may have a potential conflict with the interest of the Company at large. Thus, disclosure in Form AOC-2 is not required.

The details of the related party transactions as required under Indian Accounting Standard - 24 are set out in Note to the standalone financial statements forming part of this Annual Report.

LOANS, GUARANTEES OR INVESTMENTS:

Details of Loans, Guarantees and Investments covered under the provisions of Section 186 of the Companies Act, 2013 are given in the notes to financial statement.

VIGIL MECHANISM:

Your Company has in place Whistle Blower Policy approved by Board of Directors in compliance with provisions of Section 177 (10) of the Companies Act, 2013. The policy provides a mechanism to the Directors and Employees to voice their concerns regarding irregularities in the Company in an effective manner. The mechanism provides for adequate safeguards against victimization of Directors and employees to avail the mechanism and also provides for direct access to the Chairman of the Audit Committee in exceptional cases.

The policy as amended from time to time can be accessed from the website of the Company at www. jumbobaglimited.com.

AUDIT COMMITTEE RECOMMENDATION:

During the year all the recommendations of the Audit Committee were accepted by the Board. Pursuant to Section 177(8) of the Companies Act, 2013, the Composition of Audit Committee is given as under:

â¢ Smt. Renuka Mohan Rao - Chairperson

â¢ Smt. Subhashini Subramanian - Member

â¢ Shri. Rajendra kumar.P - Member

Secretary of the Company shall be the Secretary of the Committee.

DEPOSITS

The Company has not accepted any deposits from the public during the period 2023-24 within the meaning of Sections 73 and 74 of the Companies Act, 2013 read together with the Companies (Acceptance of Deposits) Rules, 2014.

INTERNAL COMPLAINTS COMMITTEE:

CORPORATE GOVERNANCE:

Since, the provision of Corporate Governance is not applicable for the entire Financial Year 2023-24, a separate report of Corporate Governance is not disclosed in the Annual Report 2023-24.

LISTING FEES:

The Company confirms that it has paid the annual listing fees for the year 2023-24 to the Bombay Stock Exchange.

CLOSURE OF REGISTER OF MEMBERS AND SHARE TRANSFER BOOKS:

The Register of Members and Share Transfer books of the company will be closed with effect from 18^th July, 2024 to 24^th July, 2024 (both days inclusive).

DIRECTORS'' RESPONSIBILITY STATEMENT:

Pursuant to Section 134(3) (C) of the Companies Act, 2013, the Directors confirm that:

1. In the preparation of the annual accounts for the financial year ended 31^st March, 2024, the applicable accounting standards and Schedule III of the Companies Act, 2013, have been followed and there are no material departures from the same;

2. The Directors 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 your Company as at 31^st March, 2024 and of the statement of profit and loss of the Company for the financial year ended 31^st March, 2024;

4. The annual accounts have been prepared on a ''going concern'' basis;

5. Proper internal financial controls laid down by the Directors were followed by the Company and that such internal financial controls are adequate and were operating effectively; and

6. Proper systems to ensure compliance with the provisions of all applicable laws were in place and that such systems were adequate and operating effectively.

PERSONNEL:

REMUNERATION RATIO OF THE DIRECTORS / KEY MANAGERIAL PERSONNEL (KMP) / EMPLOYEES:

The ratio of the remuneration of each Director to the median remuneration of the employees of the Company for the financial year and percentage increase in remuneration of each Director and KMP

(Rs. In lakhs)
S. No	Name	Designation	Remuneration for FY 2023-24	Remuneration for FY 2022-23	Increase in remuneration from previous year	Ratio / times per median of employee remuneration
1	G.S. AnilKumar	Managing Director	32.28	24.00	31.18%	9.7
2	*Bharathi J	Company Secretary	5.61	4.42	7.13%	1.70
3	Renuka Mohan Rao	Independent Director
4	S. Subhashini	Independent Director	-	-	-	-
5	Rajendra Kumar P	Independent Director	-	-	-	-
6	G.S. Rajasekar	Director	-	-	-	-

Note:

1. The percentage increase in the median remuneration of employees in the financial year is 12 %

2. The number of permanent employees on the rolls of company as on 31^st March 2024 is 231.

3. The average increase/decrease in salaries of employees other than managerial personnel in 2023-24 was 12.69% and that of managerial personnel is -11.71%.

4. The remuneration payable to the KMP / Whole time directors are in accordance with the Industry and Geographical standards and as per the Remuneration policy of the Company.

3. No remuneration is paid to the Independent Directors of the Company other than the sitting fees of

Rs.25,000/-.

4. *Shri. Kashiraman Balakrishnan, Company Secretary resigned from the services of the company with

effect from 11^th April 2023. Smt. Bharathi J was appointed as the company secretary with effect from 28^th April 2023. According the disclosure with respect to median and increase in remuneration has been made.

The details of sitting fees paid to the Directors are set out in Extract of Annual Return which is uploaded in the website of the Company at www.jumbobaglimited.com

CONSERVATION OF ENERGY AND TECHNOLOGY OBSORPTION:

SIGNIFICANT/MATERIAL ORDERS PASSED BY THE REGULATORS:

During the year under review there was no instance of one-time settlement with any Bank or Financial Institution.

DETAILS OF APPLICATION MADE OR ANY PROCEEDING PENDING UNDER THE INSOLVENCY AND BANKRUPTCY CODE, 2016 (31 OF 2016) DURING THE YEAR ALONGWITH THEIR STATUS AS AT THE END OF THE FINANCIAL YEAR:

There is no proceeding pending under the Insolvency and Bankruptcy Code, 2016.

REPORTING OF FRAUDS BY AUDITORS:

There is no fraud reported in the Company during the F.Y. ended 31st March, 2024. This is also being supported by the report of the auditors of the Company as no fraud has been reported in their audit report for the F.Y. ended 31st March, 2024.

INTERNAL FINANCIAL CONTROLS:

The above process helps the company in taking precautionary measures, making the existing process more efficient, bringing accuracy in accounting which enables orderly conduct of the business.

PARTICULARS OF EMPLOYEES

SECRETARIAL STANDARDS OF ICSI

INDUSTRIAL RELATIONS:

Human Resource is an important asset for the Company and there is cordial relationship exist between the management and the employees across all the plants of the Company.

During the year our Company provided various welfare measures and conducted various activities for the benefit of our employees. We have organised and conducted Training on Women Wellness & Health Awareness, Outbound training on Team work, Women''s Day celebration, Safety Week Celebration, many medical camps and checkups for our employees in the factory. Also conducted sports activities for the employees to improve work place culture and morale. Many employees participated in all the activities and awareness program.We have participated in various job fairs conducted by the Government and given employment opportunities to the candidates from rural areas.

SOCIAL RESPONSIBILITY:

CAUTIONARY STATEMENT

ACKNOWLEDGEMENT:

Your Directors also place on record their appreciation for the continued and dedicated performance and commitment by Officers and Staff of the Company.

Mar 31, 2015

Dear Members,

The Directors present their 25th Annual Report together with the audited statement of accounts of the Company for the financial year ended on 31st March 2015.

FINANCIAL RESULTS:

(Rs in Lakhs)

PARTICULARS 2014-15 2013-14

SALES AND OTHER INCOME 9,635.60 8,352.73

PROFIT BEFORE INTEREST, DEPRECIATION & 886.73 (482.79) TAXES

INTEREST 664.05 410.97

DEPRECIATION 170.84 193.18

PROFIT/ (LOSS) BEFORE TAX 51.84 (1,086.94)

EXCEPTIONAL ITEMS / CONTINGENCIES (200.00) 841.43

TAX (DEFERRED TAX FOR 2014-15)/INCOME TAX 13.44 24.19

PROFIT/ (LOSS) AFTER TAX (134.72) (221.32)

PROFIT OF EARLIER YEARS 286.70 508.02

DEPRECIATION CHARGED OF PREVIOUS YEARS 236.11 - (AS PER NEW COMPANIES ACT)

INCOME TAX CHARGED OF PREVIOUS YEAR (2011-12) 9.88 -

PROFIT AVAILABLE FOR APPROPRIATION (94.01) 286.70

OPERATIONS AND FINANCIAL PERFORMANCE:

The consolidated revenue of Jumbo Bag Limited stands at Rs. 96.36 Crores for the financial year ended on 31st March 2015 as compared to the revenue of Rs 83.53 crores in the previous year. Your Company has incurred a loss during this year amounting to Rs. 1.35 Crores in the current year as against the loss of Rs.2.21 Crores in the previous year.

The after effects of the major fire accident that your company had faced towards the end of 2013-14 had serious implications in its performance in the financial year 2014-15 as well, since your company was able to carry on the manufacturing activity in only one of its manufacturing units. Your company strove to find the best alternative solution to build up the production capacity that was lost in the fire accident. However, the company managed to stabilize its production during the course of the Financial Year 2014-15.

The machineries and equipments from Unit II, where the fire broke, were shifted to Unit I and the satellite units during the year and this helped in maintaining the optimal level of production. The current stabilization in production has helped the company to recover some of the loss incurred last year. However, your company expects the payment of insurance claim to enable further stabilization in the operations.

Your company continues its struggle with the insurance claim process which is still underway. During the month of November, 2014, the company had received a letter of repudiation from one of the insurance company against the claim made in the earlier year in respect of loss of stock. Based on the legal advice received the stand taken by the insurance company is not tenable and your company has already filed the objection/appeal against the said letter. Your company is taking necessary measures to seek appropriate remedies in the matter. Based on expert legal advice, the Company believes that it has a good case and expects a favourable decision from the regulatory authorities.

Your company continues to perform well on the trading sector and the growth trajectory has been maintained on an upward trend with the increase in sales commission by 22% in the year 2014-15 as against 2013-14. With the impressive performance over the last 4 years, Indian Oil Corporation Limited (IOCL) has provided an opportunity to your company to expand the trading business geographically and to venture in the North

Indian markets in the states of Madhya Pradesh, Rajasthan and Chattisgarh. The Company is exploring the market at present and it is expected that growth in the northern region shall be at a slower pace than the southern region as the market in the South is well established.

DIVIDEND:

The Board of Directors have not recommended any dividend for the financial year ended 31st March 2015.

DIRECTORS & KEY MANAGERIAL PERSONNEL:

During the financial year 2014-15, the Board of Directors appointed Smt. S. Subhashini as an Additional/Non- Executive Director with effect from 27th March 2015. Smt. S. Subhashini is proposed to be appointed as the Non-Executive Director of your Company at the ensuing Annual General Meeting. Your Directors recommend her appointment as a Non-Executive Director of your Company.

Sri G.S. Anil Kumar and Sri G.P. Ramraj, Whole-Time Directors, are liable to retire by rotation at the ensuing AGM pursuant to the provisions of Section 152 of the Companies Act, 2013 read with the Companies (Appointment and Qualification of Directors) Rules, 2014 and being eligible have offered themselves for reappointment. Appropriate resolutions for their re-appointment are being placed for your approval at the ensuing AGM.

A brief resume, expertise and details of other directorships of these Directors are attached along with the Notice convening the ensuing Annual General Meeting.

Sri G.P.N. Gupta, Managing Director & CEO, Sri G.S. Anil Kumar, Director-Finance & CFO and Ms. P. Prema Sona Bharathi, Company Secretary are the Key Managerial Personnel of your Company in accordance with the provisions of Sections 2(51) and 203 of the Companies Act, 2013 read with the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014.

ANNUAL EVALUATION OF BOARD'S PERFORMANCE:

In terms of the provisions of the Companies Act, 2013 read with Rules issued thereunder and Clause 49 of the Listing Agreement, the Board of Directors on recommendation of the Nomination and Remuneration Committee, have evaluated the effectiveness of the Board/Director(s) for the financial year 2014-15.

NUMBER OF MEETINGS OF BOARD AND AUDIT COMMITTEE:

The details of the number of Board and Audit Committee meetings of your Company are set out in the Corporate Governance Report which forms part of this Report.

DECLARATION OF INDEPENDENCE:

Your Company has received declarations from all the Independent Directors confirming that they meet the criteria of independence as prescribed under the provisions of the Companies Act, 2013 read with the Schedules and Rules issued thereunder as well as Clause 49 of the Listing Agreement.

NOMINATION AND REMUNERATION POLICY:

The Board of Directors has framed a policy which lays down a framework in relation to remuneration of Directors, Key Managerial Personnel and Senior Management of the company. The policy also lays down the criteria for selection and appointment of Board Members. The details of this policy are explained in the Corporate Governance Report.

AUDITORS:

Pursuant to the provisions of Section 139 of the Companies Act, 2013, the appointment of M/s. M.Srinivasan & Associates, Chartered Accountant (Firm Registration No. 004050S) as Statutory Auditors of the Company have been approved in the 24th Annual General Meeting of the Company. They shall hold office until the conclusion of the 27th Annual General Meeting of the Company subject to ratification of their re-appointment by the Shareholders at every AGM. A resolution ratifying their re-appointment as Statutory Auditors forms part of the notice.

INDEPENDENT AUDITORS' REPORT:

Clarification on Auditors observations is given below:

'Emphasis of Matter' of the Independent Auditors' Report:

Report: We draw attention to note no. 12 of Schedule 1 forming part of the financial statements in respect of the status of Insurance Claim which is self explanatory. Our opinion is not modified in respect of this matter.

Managements' Reply:

As mentioned in Note no. 12 of Schedule 1, the estimates of claim both with regard to loss of stock and capital goods have been prepared in consultation with experts and as per guidelines communicated by them. The estimates were also modified on the basis of discussions with the surveyors appointed by Insurance Company. During the year, company had received a letter of repudiation from one of the insurance company against the claim made in the earlier year in respect of loss of stock. Based on the legal advice received the stand taken by the insurance company is not tenable and the company has already filed the objection/appeal against the said letter. The Company has made various representations to the insurance company to facilitate redressal of this claim through grievance mechanism laid down as per IRDA Guidelines. However, the insurance company has been denying an opportunity to present our case to them. Your company is taking all remedial measures and seeking expert legal advice to recover the claim amount.

The company has obtained legal advice on the matter and has approached the Honorable Court seeking appropriate directions to the Insurance Company for appointment of an Arbitrator to resolve this matter. The Company is confident that based on the facts available on record the process of arbitration will render justice to the Company's application. This has been appropriately dealt in the books of accounts.

COST AUDIT:

Pursuant to notification of the Companies (Cost Records and Audit) Rules, 2014 read with Companies (Cost Records and Audit) Amendment Rules, 2014, the Company's product does not fall under the purview of Cost Audit from the financial year 2014-15. The Company has also intimated the non-applicability of Cost Audit to the Registrar of Companies.

SECRETARIAL AUDIT:

Pursuant to the provisions of Section 204 of the Companies Act, 2013 read with the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, your Company has appointed M/s. Lakshmmi Subramanian & Associates, Practicing Company Secretaries to conduct the Secretarial Audit of your Company. The Secretarial Audit Report is annexed herewith as "Annexure - I" to this Report.

SECRETARIAL AUDIT REPORT:

Clarification on Secretarial Auditor's observation is given below:

We further report that during the audit period, no events have occurred during the year, which have a major bearing on the Company's affairs except the Order dated 09th December 2014 passed by SAT against BSE & SEBI condoning the delay in submitting the Audited Financial Results of the Company for the quarter ended 31.12.2013 and year ended 31.03.2014 due to the major fire accident, occurred during that period and application for delisting of equity shares from Madras Stock Exchange made during the year 2014-15 for which the delisting order was received by the company in May 2015.

Management's Reply:

The company had, in the month of November 2013 faced a major fire accident in one of its factories at Athipedu. The accident resulted in huge capital loss for the company. Since the loss amount was large and the insurance survey was under process, the company was not able to submit the unaudited financial results for the quarter ended 31st December, 2013 and the audited financial results for the year ended 31st March 2014.

The Stock Exchange had, in this regard issued a notice to the company for demanding compliance of Clause 41, non-compliance of which would lead to suspension. As the delays made for filing was due to an exceptional circumstance, the company had requested for exemptions well before the time of filing the above-said financials. However, the stock exchanges and SEBI did not consider our grievance and issued a notice for suspension of trading in shares of the company vide their letter dated 19th August 2014.

The company, aggrieved by the communication, filed an appeal with the SEBI Appellate Tribunal. The case was heard on 9th December, 2014 by SAT and without going into the merits of the matter, SAT disposed the appeal setting aside BSE's impugned order for suspension of trading in shares with the stock exchange and also set aside the penalty that was levied for non-filing of financial statement.

The company had, however, subsequently submitted the unaudited results for the quarter ended 31st December, 2013 and the audited financial results for the year ended 31st March, 2014 in its meeting held on 13th August, 2014.

EXTRACT OF ANNUAL RETURN:

The details forming part of the extract of the Annual Return in Form MGT- 9 in accordance with Section 92(3) of the Companies Act, 2013 read with the Rule 12(1) of the Companies (Management and Administration) Rules, 2014, are set out herewith as "Annexure - II" to this Report.

RELATED PARTY TRANSACTIONS:

During the financial year 2014-15, your Company has entered into transactions with related parties as defined under Section 2(76) of the Companies Act, 2013 read with the Companies (Specification of Definitions Details) Rules, 2014, which were in the ordinary course of business and on arms' length basis and in accordance with the provisions of the Companies Act, 2013 and Rules issued thereunder. There are no materially significant related party transactions made by the Company with Promoters, Directors, Key Managerial Personnel or other designated persons which may have a potential conflict with the interest of the Company at large. Thus, disclosure in Form AOC-2 is not required.

The details of the related party transactions as required under Accounting Standard - 18 are set out in Note 18 to the standalone financial statements forming part of this Annual Report.

LOANS AND INVESTMENTS:

Details of Loans, Guarantees and Investments covered under the provisions of Section 186 of the Companies Act, 2013 are given in the notes to financial statement.

VIGIL MECHANISM:

Your Company is committed to highest standards of ethical, moral and legal business conduct. Accordingly, the Board of Directors has formulated a Whistle Blower Policy which is in compliance with the provisions of Section 177 (10) of the Companies Act, 2013 and Clause 49 of the Listing Agreement. The policy provides for a framework and process whereby concerns can be raised by its employees against any kind of discrimination, harassment, victimization or any other unfair practice being adopted against them. The policy has been uploaded in the website of the Company at www.jumbobaglimited.com. More details on the vigil mechanism and the Whistle Blower Policy of your Company have been outlined in the Corporate Governance Report which forms part of this report.

AUDIT COMMITTEE RECOMMENDATION:

During the year all the recommendations of the Audit Committee were accepted by the Board. The Composition of the Audit Committee is as described in the Corporate Governance Report.

DEPOSITS:

During the financial year 2014-15, your Company has not accepted any deposit within the meaning of Sections 73 and 74 of the Companies Act, 2013 read together with the Companies (Acceptance of Deposits) Rules, 2014.

The total amount of Fixed Deposits from the Public and Shareholders of the Company as at 31st March 2014 was Rs.64,00,000/-. There was no default in repayment of deposits or interest thereon on the due dates and there was no overdue/unclaimed deposit at the end of the year.

Pursuant to Section 74(1)(b) of the Companies Act, 2013 and the explanation given under Rule 19 of the Companies (Acceptance of Deposits) Rules, 2015, your company has repaid the dues that were repayable upto 6th May 2015 totally amounting to Rs.29,25,000/-.

Total amount due for repayment upto the year 2016 arrives at Rs.32,75,000/- and the same shall be repaid along with interest within the period stipulated under the explanation given under Rule 19 of the Companies (Acceptance of Deposits) Rules, 2015.

INTERNAL COMPLAINTS COMMITTEE:

The Ministry of Women and Child Development have notified the Sexual Harassment at Workplace (Prevention, Prohibition and Redressal) Act, 2013 and the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Rules 2013 with effect from 9th December 2013.

In deference to the aforesaid act and rules as notified, Jumbo Bag Limited has constituted an Internal Complaints Committee as required under Section 4(1) of the above-said act on 24th May 2014. The members of the Committee are as under:

Head Office

1. Ms. M. Jagadeeshwari (Sonia) - Presiding Officer

2. Sri Satish K. Shenoy - Member

3. Ms. P. Prema Sona Bharathi - Member cum Secretary

4. Sri Thalamuthu Natarajan - Independent Member

Ponneri & Athipedu Units

1. Ms. Bonfi Joseph - Presiding Officer

2. Sri Satish K. Shenoy - Member

3. Ms. P. Prema Sona Bharathi - Member cum Secretary

4. Sri Thalamuthu Natarajan - Independent Member

There have been no cases reported since the time of constitution of the committee. The Committee met once on 23.04.2015 to review the policy and to discuss on women safety and the measures taken by your company.

CORPORATE GOVERNANCE:

Pursuant to Clause 49 of the Listing Agreement with the Stock Exchanges, Management Discussion & Analysis Report, Corporate Governance Report and Certificate regarding compliance of conditions of Corporate Governance are made part of the Annual Report.

As prescribed under the Listing Agreement which came into force from 1st October 2014, your Company does not fall under the purview of applicability of clause 49 of the Listing Agreement. During the year, with the approval of Board of Directors, your Company has informed the non-applicability provision to the Bombay Stock Exchange.

LISTING FEES:

The Company confirms that it has paid the annual listing fees for the year 2015-16 before the due date to the Bombay Stock Exchange.

CLOSURE OF REGISTER OF MEMBERS AND SHARE TRANSFER BOOKS:

The Register of Members and Share Transfer books of the company will be closed with effect from 17th September, 2015 to 23rd September, 2015 (both days inclusive).

DIRECTORS' RESPONSIBILITY STATEMENT:

Pursuant to Section 134(3)(c) of the Companies Act, 2013, the Directors confirm that:

(a) in the preparation of the annual accounts for the financial year ended 31st March, 2015, the applicable accounting standards and Schedule III of the Companies Act, 2013, have been followed and there are no material departures from the same;

(b) the Directors 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 your Company as at 31st March, 2015 and of the statement of profit and loss of the Company for the financial year ended 31st March, 2015;

(c) proper and sufficient care has been taken for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 2013 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities;

(d) the annual accounts have been prepared on a 'going concern' basis;

(e) proper internal financial controls laid down by the Directors were followed by the Company and that such internal financial controls are adequate and were operating effectively; and

(f) proper systems to ensure compliance with the provisions of all applicable laws were in place and that such systems were adequate and operating effectively.

PERSONNEL:

None of the employees of the Company drew remuneration which in the aggregate exceeded the limits fixed under Section 134(3)(q) read with Rule 5 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014.

REMUNERATION RATIO OF THE DIRECTORS / KEY MANAGERIAL PERSONNEL (KMP) / EMPLOYEES:

The information required pursuant to Section 197 read with Rule 5 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 and the Companies (Particulars of Employees) Rules, 1975, in respect of employees of the Company and Directors is furnished hereunder:

Remuneration Remuneration S. paid paid No Name Designation Fy 2014-15 FY 2013-14 (Rs. in lakhs) (Rs. in lakhs)

1 G.P.N. Gupta Managing 20.20 19.05 Director

G.S. Chief Financial 15.19 14.80 2 Anilkumar Officer (KMP)

Whole Time 15.20 14.78 3 G.P. Ramraj Director - Operations

P. Prema Sona Company 4.06 3.65 4 Bharathi Secretary (KMP)

Increase in Ratio / times S. remuneration per median No Name from previous of employee year remuneration

1 G.P.N. Gupta 6.03 17.57

G.S. 2.64 13.21 2 Anilkumar

2.84 13.22 3 G.P. Ramraj

P. Prema Sona 11.23 3.28 4 Bharathi

Note:

1. The remuneration payable to the KMP / Whole time directors are in accordance with the Industry and Geographical standards and as per the Remuneration policy of the Company.

2. The percentage increase in the median remuneration of employees in the financial year is 13%.

3. The number of permanent employees on the rolls of company as on 31st March 2015 is 247.

4. No remuneration is paid to the Independent Directors and Non-Executive Director of the Company other than the sitting fees of Rs.10,000/- for attending Board / Committee Meetings. The details of sitting fees paid to the Directors are set out in Corporate Governance Report.

ENERGY, TECHNOLOGY AND FOREIGN EXCHANGE:

The information on conservation of energy, technology absorption and foreign exchange earnings and outgo as stipulated under Section 134 of the Companies Act, 2013 read with the Companies (Accounts) Rules, 2014, is set out herewith as "Annexure - III" to this Report.

STATUTORY INFORMATION:

The Madras Stock Exchange limited had, via their letter dated 12.06.2014 intimated that they have submitted an application for voluntary exit as a Stock Exchange to SEBI. To bring this to effect, it is in the process of getting the companies listed with them to apply for voluntary delisting. In view of the same, your company got delisted from Madras Stock Exchange with effect from 14th May 2015.

The Business Responsibility Reporting as required under Clause 55 of the Listing Agreement with the Stock Exchanges is not applicable for your company for the financial year ending 31st March 2015.

SIGNIFICANT/MATERIAL ORDERS PASSED BY THE REGULATORS:

There are no significant material orders passed by the Regulators / Courts which would impact the going concern status of the Company and its future operations.

However, your company was not in a position to file its unaudited financial statements post the fire accident at Unit - II situated at Athipedu for the quarter ended 31st December, 2013 and the audited financial results for the year ended 31st March, 2014 due to non-ascertainment of admissible claim amount by the insurance company. It was difficult for your company to provide financials without the assessment of loss, since the same would result to not portraying the correct financial position of the company for the said period.

Your company had therefore made an application to the Stock Exchange to consider our position and grant us extension of time for filing the financial results. Our grievance was not considered and a communication was issued by the Bombay Stock Exchange on 19th August 2014 stating that the stock exchange shall proceed for suspension of trading in the shares of your company for not filing the financials within the stipulated time. The appeal was heard on 9th December, 2014 by SAT and without going into the merits of the matter, SAT disposed the appeal setting aside BSE's impugned order for suspension of trading in shares with the stock exchange and also set aside the penalty that was levied for non-filing of financial statement.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY:

Your company believes in continuous improvement and constantly strives to optimize the control and monitoring systems. The Control and Monitoring Systems in place to ensure that all assets are safeguarded and protected against loss from unauthorized use or disposition, and all transactions are authorized, recorded and reported correctly. Periodic review of control systems by the internal auditors M/s. A. Raghunathan & Co., Chartered Accountants, Chennai ensures their adequacy and effectiveness. All shortcomings identified by the Internal Audit team are placed before the Audit Committee and the Board and prompt corrective action are taken.

INDUSTRIAL RELATIONS:

The industrial relations in respect of all other manufacturing facilities and divisions of your Company are normal. Your company determines to take the relationship with the workers at cordial levels and is committed to provide necessary support for the welfare of its staff.

SOCIAL RESPONSIBILITY:

Integration of social, environmental, ethical and human rights makes an enterprise meet the fullest level of social responsibility. Keeping this in mind, Jumbo Bag Limited commits itself to the environment by meeting the environmental regulation, best utilization of natural resources and creating awareness on prevention of pollution through training and communication.

Your company continued to endeavor and participated actively in the welfare of the community. Your company had during the year organized Free Medical Camp on 21st December 2014 with specialized check up for eye care, Dental care and ENT among the general check up.

Your Company had sponsored furniture to Government Primary School at Panjetty village on 22.01.2015. Your company continues to support Gorantla Ramalingaiah Vivekananda Vidyalaya in various ways. This school has strength of over 1094 students at present and many employees' children are enjoying the benefits of concessional fees studying in the above-mentioned school.

CAUTIONARY STATEMENT:

In accordance with the Code of Corporate Governance approved by the Securities and Exchange Board of India, Shareholders and Readers are cautioned that in the case of data and information external to the Company, no representation is made on its accuracy or comprehensiveness though the same are based on sources believed to be reliable. Utmost care has been taken to ensure that the opinions expressed by the management herein contain its perceptions on the material impacts on the Company's operations, but it is not exhaustive as they contain forward-looking statements which are extremely dynamic and increasingly fraught with risk and uncertainties. Actual results, performances, achievements or sequence of events may be materially different from the views expressed herein.

ACKNOWLEDGEMENT:

Your Directors place on record their appreciation for the continued co-operation, support and assistance extended to the Company by Government of India, Government of Tamil Nadu, State Bank of India & State Bank of Hyderabad and the Shareholders.

Your Directors also place on record their appreciation for the continued and dedicated performance and commitment by Officers and Staff of the Company.

For and on behalf of the Board

Place: Chennai K.J.M. SHETTY Date : 14.08.2015 Chairman DIN:00033296

Mar 31, 2014

To the Members,

The Directors present their 24th Annual Report together with the audited statement of accounts of the Company for the fi nancial year ended 31st March 2014.

FINANCIAL RESULTS: (Rs in Lacs)

PARTICULARS 2013-14 2012-13

SALES AND OTHER INCOME 8352.73 8775.79

PROFIT BEFORE INTEREST, DEPRECIATION & TAXES (482.79) 656.53

INTEREST 410.97 443.70

DEPRECIATION 193.18 202.30

PROFIT/ (LOSS) BEFORE TAX (1086.94) 10.53

EXCEPTIONAL ITEMS 841.43 -

TAX (DEFERRED TAX FOR 2013-14) 24.19 1.25

PROFIT/ (LOSS) AFTER TAX (221.32) 9.28

PROFIT OF EARLIER YEARS 508.02 498.74

PROFIT AVAILABLE FOR APPROPRIATION 286.701 508.02

OPERATIONS AND FINANCIAL PERFORMANCE

The consolidated revenue of Jumbo Bag Limited stands at Rs. 83.53 Crores for the fi nancial year ended 31st March 2014 as compared to the revenue of Rs 87.76 crores in the previous year. Your Company has incurred a loss this year amounting to Rs. 221.32 Lacs in the current year as against a Profit of Rs.9.28 Lacs in the previous year.

Your Company had faced a setback in the fi nancial year 2012-13; however, it picked up on its performance gradually and made a profit of Rs.30 Lacs in the Second Quarter of the year 2013-14. The operation of the company was again affected due to a major fi re accident at Unit II (Athipedu Factory) that occurred on 23rd November 2013. Major portion of the factory was gutted in fire and the company faced huge loss in terms of materials and machinery. The factory was completely shut down till 9th December 2014. Thereafter, the portion that was not damaged operated.

Further to the above, there was a strike by the workers in Unit I (Ponneri Factory) that lasted for 25 days from 27th December, 2013 to 20th January, 2014. Despite the unforeseen hurdles, your company took immediate steps to control the damage caused and maintained the production level. Rigorous steps are being taken to fulfi ll the customer obligations on time and to keep the production going up to the maximum capacity with the help of various sources available in the market. Your company would like to inform that despite the hard times, the market and the customer have been understanding to our situation and have given us helping hand in every way possible. Your company is confi dent that it will recover from this setback at the earliest possible time.

Your company has been able to withstand two big jolts experienced during the last fi nancial year and it was able to resume its operations at the unaffected part of the Athipedu Unit within a short span of time from the date of incidents. Your company''s cordial relationship with the market in general helped in garnering support at the time of adversity from its competitors and vendors. Besides, your company managed to find alternative sources to fi nish the orders on time so that the customers did not suffer due to the setback faced by the company in production.

On the brighter aspects, your company has been able to sustain its growth in the trading of IOCL Products in terms of sales and volume. The fi nancial year 2013-14 saw 20% growth in volume of sales.

DIVIDEND:

The Board of Directors have not recommended any dividend for the fi nancial year ended 31st March 2014. DIRECTORS:

Sri Krishnamurthy Grandhy resigned from the Board of Directors with effect from 14th February 2014. The Board places on record its deep sense of appreciation for the outstanding contribution made by Sri Krishnamurthy Grandhy as the Director of the Company.

As per the provisions of the Companies Act, 2013, Independent Directors are required to be appointed for a term of five consecutive years and shall not be liable to retire by rotation. Accordingly, resolutions proposing appointment of Independent Directors form part of the Notice of the Annual General Meeting. All the Independent Directors will retire at the ensuing Annual General Meeting and, being eligible, offer themselves for re-election.

A brief resume, expertise and details of other directorships of these Directors are attached along with the Notice convening the ensuing Annual General Meeting.

AUDITORS:

M/s. M. Srinivasan & Associates, Chartered Accountants, Chennai, Statutory Auditors, retire at the conclusion of the ensuing Annual General Meeting and being eligible, offer themselves for reappointment.

The Board, subject to the recommendation of the Audit Committee, proposes that M/s. M. Srinivasan & Associates, Chartered Accountants, Chennai bearing registration No.004050S be re-appointed as the Statutory Auditors of the Company to hold office till the conclusion of the fourth consecutive Annual General Meeting of the Company. M/s. M. Srinivasan & Associates, Chartered Accountants, Chennai have forwarded a certificate to the Company, stating that their re-appointment, if made, will be within the limit specifi ed in that behalf in sub- section (1) of section 139 of the Companies Act, 2013 (Previously, Section 224(1B) of the Companies Act, 1956).

Independent Auditors'' Report:

Clarifi cation on Auditors observations is given below:

''Emphasis of Matter'' of the Independent Auditors'' Report:

Report: We draw attention to Note No.2.19 of the financial statements with regard to the Claims receivables from the Insurance Companies and outstanding of Rs. 1099.58 lakhs on the balance sheet date. The management is confident of recovery of full amount and therefore no further provision is made. Our opinion is not qualified in respect of this matter.

As mentioned in Note no.2.19 of the notes on accounts, the estimates of claim both with regard to loss of stock and capital goods have been prepared in consultation with experts and as per guidelines communicated by them. The estimates were also modified on the basis of discussions with the surveyors appointed by insurance company. The claims estimates submitted have not yet been admitted by the insurance company in the case of stock policy. While in the case of fi xed assets, we have received interim payment of Rs.70 lacs. We believe that estimates of claims preferred are reasonable and accountable considered on the basis of best judgement basis. In absence of claim admission and quantifi cation by insurance company, any variation to the claim preferred will be dealt with at the time of receipt as per accounting guidelines.

COST AUDITORS:

Ms. S. Subhashini, Cost Accountant was appointed as the Cost Auditor of your Company for the financial year 2013-14 pursuant to Section 233B of the Companies Act, 1956 to carry out the audit of your Company''s cost records.

DEPOSITS:

The total amount of Fixed Deposits from the Public and Shareholders of the Company as at 31st March 2014 was Rs.64,00,000/-. There was no default in repayment of deposits or interest thereon on the due dates and there was no overdue/ unclaimed deposit at the end of the year.

With the new provisions of the Companies Act, 2013 coming into effect from 01.04.2014, your company shall repay all the deposits before prescribed due dates as mentioned in Section 74 of the Companies Act, 2013 and the rules notified thereunder.

INTERNAL COMPLAINTS COMMITTEE:

The Ministry of Women and Child Development have notified The Sexual Harassment at Workplace (Prevention, Prohibition and Redressal) Act, 2013 and The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Rules 2013 with effect from 09.12.2013.

In deference to the aforesaid act and rules as notified, Jumbo Bag Limited has constituted an Internal Complaints Committee as required under Section 4(1) of the above-said act on 24.05.2014. The members of the Committee are as under:

Head Office

1. Ms. M. Jagadeeshwari (Sonia) - Presiding Officer

2. Sri Satish K. Shenoy - Member

3. Ms. P. Prema Sona Bharathi - Member cum Secretary

4. Sri Thalamuthu Natarajan - Independent Member Ponneri & Athipedu Units

1. Ms. Bonfi Joseph - Presiding Officer

2. Sri Satish K. Shenoy - Member

3. Ms. P. Prema Sona Bharathi - Member cum Secretary

4. Sri Thalamuthu Natarajan - Independent Member

There have been no cases reported since the time of constitution of the committee.

CORPORATE GOVERNANCE:

Pursuant to Clause 49 of the Listing Agreement with the Stock Exchanges, Management Discussion & Analysis Report, Corporate Governance Report and Certificate regarding compliance of conditions of Corporate Governance are made part of the Annual Report.

DIRECTORS'' RESPONSIBILITY STATEMENT:

Pursuant to Section 217(2AA) of the Companies Act, 1956, the Directors hereby state that:

- In the preparation of the annual accounts, the applicable accounting standards have been followed along with proper explanation relating to material departures;

- The directors had selected such accounting policies and applied them consistently and made judgments and estimates that were 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 the year under review;

- The directors have taken proper and suffi cient care for the maintenance of adequate accounting records in accordance with the provisions of the companies Act, 1956 for safeguarding the assets of the company and for preventing and detecting fraud and other irregularities;

- The directors prepared the annual accounts for the fi nancial year on a "going concern" basis.

PARTICULARS OF EMPLOYEES:

None of the employees of the company were in receipt of remuneration which in the aggregate exceeded the limits fi xed under sub-section (2A) of Section 217 of the Companies Act, 1956 read with Companies (Particulars of Employees) Rules,1975 as amended.

ENERGY, TECHNOLOGY AND FOREIGN EXCHANGE:

Particulars relating to conservation of energy, technology absorption and foreign exchange earnings and outgo, as required under Section 217(1)(e) of the Companies Act,1956, are attached to form part of the Report.

ACKNOWLEDGEMENT:

Your Directors place on record their appreciation for the continued co-operation, support and assistance extended to the Company by Government of India, Government of Tamil Nadu, State Bank of India & State Bank of Hyderabad and the Shareholders.

Your Directors also place on record their appreciation for the continued and dedicated performance and commitment by officers and Staff of the Company.

For and on behalf of the Board Place: Chennai K.J.M. SHETTY Date : 13.08.2014 Chairman

Mar 31, 2012

The Directors submit the Annual Report of the Company together with the Audited Financials Statement of accounts for the Financial Year ended 31.03.2012.Financial Results: (Rs. in Lakhs)

Financial Results: (Rs. in Lakhs)

PARTICULARS 2011-12 2010-11

SALES AND OTHER INCOME 8334 9712

PROFIT BEFORE INTEREST, DEPRECIATION & TAXES 688 584

INTEREST 398 303

DEPRECIATION 193 188

PROFIT BEFORE TAX 97 93

TAX 29 29

PROFIT AFTER TAX 68 64

PROFIT OF EARLIER YEARS 430 366

PROFIT AVAILABLE FOR APPROPRIATION 498 430

BUSINESS PERFORMANCE

The consolidated revenue of Jumbo Bag Limited stands at Rs. 83.34 Crores for the financial year ended 31st March 2012 as compared to the revenue of Rs. 97.12 Crores for previous year resulting in reduction by 14%. The Profit Before Tax (PBT) was Rs. 96.98 Lakhs for the current year registering an increase of 3.56% from the previous year. The Profit After Tax (PAT) was Rs. 68.15 Lakhs for the current year as against Rs. 64.38 for the previous year.

DIVIDEND:

Considering the low profitability of the company during the year, the Board is not recommending any dividend for the year 2011-12.

EQUITY SHARE CAPITAL:

During the financial year 2011-12, the company had allotted 4 lakh Equity Shares of Rs. 10 each (at a premium of Rs. 16.00 per share) through preferential allotment to M/s. Balaji Trading Enterprises Private Limited, a promoter group company, which was approved by the Shareholder in the Annual General Meeting, held on August 02, 2011.

FIXED DEPOSITS:

The total amount of Fixed Deposits from the Public and Shareholders of the Company as at 31st March 2012 was Rs. 63,10,000/-. There was no default in repayment of deposits or interest thereon on the due dates and there was no overdue/unclaimed deposit at the end of the year.

DIRECTORS:

Sri. M. Rama Rao and Sri. M.V. Ananthakrishna Directors of the Company retire by rotation at the ensuing Annual General Meeting and being eligible, offer themselves for re-appointment.

Sri. G. Sudhakar has resigned from the Vice Chairmanship and directorship of the company W.E.F 22.03.2012. The Board of Directors places on records their appreciation for the valuable services rendered by Sri. G. Sudhakar during his term as the chief mentor and Vice Chairman of the Company.

DIRECTORSÃ RESPONSIBILITY STATEMENT:

Pursuant to Section 217 (2AA) of the Companies Act, 1956, the Directors hereby state:

i. That in the preparation of the annual accounts, the applicable accounting standards have been followed along with proper explanation relating to material departures;

ii. That the directors had selected such accounting policies and applied them consistently and made judgments and estimates that were 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 the year under review.

iii. That the directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 1956 for safeguarding the assets of the company and for preventing and detecting fraud and other irregularities;

iv. That the directors prepared the annual accounts for the financial year on a Ãgoing concernÃ basis.

STATUTORY AUDITORS:

The Board of Directors recommends the reappointment of the Auditors of the Company to hold office from the conclusion of the ensuing Annual General Meeting until the conclusion of the next Annual General Meeting and to fix their remuneration. The present Auditors, M/s. M. Srinivasan & Associates are eligible for reappointment.

INDUSTRIAL RELATIONS:

Industrial relations continued to be cordial. The Directors place on record their deep appreciation for the sincere and dedicated teamwork of all employees at all levels to meet the quality, cost and delivery requirements of the customers.

PARTICULARS OF EMPLOYEES:

None of the employees of the Company were in receipt of remuneration which in the aggregate exceeded the limits fixed under sub-section (2A) of Section 217 of the Companies Act, 1956 Read with Companies (Particulars of Employees) Rules, 1975 as amended.

INFORMATION UNDER SECTION 217 (1) (E) OF THE COMPANIES ACT, 1956:

Information in accordance with the provisions of 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 regarding conservation of energy, technology absorption and foreign exchange earnings and outgo are given as Annexure I of this Report.

SOCIAL RESPONSIBILITY:

Your company continues to participate actively in the welfare of the community by conducting medical camps and eye camps and providing free cataract operations and distributing free spectacles in and around the villages in vicinity of the factory; supporting vocational training centers of Gorantla Ramalingaiah Vivekananda Vidhyalaya by providing stationary and infrastructure support. Your company is also promoting renewable energy by setting up micro bio gas plants to generate gas for cooking through kitchen waste and other such degradable wastes.

CORPORATE GOVERNANCE:

The Company has complied with all mandatory provisions of Corporate Governance as prescribed under the Listing Agreement of the Stock Exchanges with which the Company is listed. In line with the requirements of Clause 49 of the listing agreement, a separate report on Corporate Governance, along with a certificate from the Statutory Auditors of the Company is annexed herewith for the information of the members.

GREEN INITIATIVES IN CORPORATE GOVERNANCE

Ministry of Corporate Affairs has taken green initiative and has granted the Companies the option to send electronic copies of Annual Report, Notices to the shareholders at their E-Mail IDÃs. The Company has arranged to forward a soft copy to all the shareholders who have furnished their E-mail IDÃs to their respective DPÃs. Shareholders requiring hard copies of this annual report may write to the company requesting for the same.

CAUTIONARY STATEMENT:

Management Discussion and Analysis forming part of this Report is in compliance with Corporate Governance Standards incorporated in the listing agreement with Stock Exchanges and such statements may be Ãforward-lookingÃ within the meaning of applicable securities laws and regulations. Actual results could differ materially from those expressed or implied. Important factors that could make a difference to the CompanyÃs operations include economic conditions affecting demand / supply and price conditions in the domestic and overseas markets in which the company operates, changes in the Government regulations, tax laws and other statutes and other incidental factors.

ACKNOWLEDGEMENT:

Your Directors wish to place on record their gratitude to the Central Government and the Government of Tamil Nadu, State Bank of India & State Bank of Hyderabad for their continued support during the year. Your Directors also wish to convey their thanks to the valued employees, customers and dealers for their continued patronage during the year.

For and on behalf of the Board K.J.M. SHETTY Chairman

Place : Chennai Date : 07.08.2012

Mar 31, 2011

To the Shareholder's

The Directors are pleased to present before the share holders the 21st Annual Report and Audited Financials for the year ended 31st March 2011.

Financial Health: (Rs in Lakhs)

PARTICULARS 2010-2011 2009-2010

Sales and other Income 10,401 6,897

profit before Interest, Depreciation & Taxes 667 575

Interest 389 280

Depreciation 188 184

profit Before Tax 90 106

Current Tax 16 36

Deferred Tax 13 11

profit After Tax 61 59

Add/Less Prior Period adjustments 3 2

profit of earlier years 366 306

profit / (Loss) 431 366

Business performance

The consolidated revenue of Jumbo Bag Limited is Rs.104 Crores for the financial year ended 31st March 2011 as compared to the revenue of Rs 69 crores for previous year. The consolidated Net profit for the fscal year ended 31st March 2011 stood at Rs 64 lacs as against the previous year's consolidated Net profit of Rs 61 lacs

Dividend:

Considering the low profitability of the company during the year gone by, the Board is not recommending any dividend for the year 2010-11.

Management discussion and analysis:

Global Economy Outlook

World growth is projected at about 4.25 percent in 2011.

(Source: IMF)

There is underlying uncertainty in the global economy. US has still not recovered from the recession and there are repeated problems about crisis in some European countries. China is also undergoing a metamorphosis of sorts with high infation and currency adjustment.

INDIAN ECONOMY:

The Indian economy, on the back of improved agricultural output, strong private consumption, robust investment, and a pick-up in exports, has rebounded strongly with a GDP growth of 8.6 per cent in 2010- 11. However, infation has emerged as a major concern. While the GDP has shown a slight increase during the year 2010-11 as compared to the year 2009-10, the over all expectations of attaining the double digit GDP growth is still eluding India. The Ministry of Finance indicates that a growth of 9% is expected during the year 2011-12. Taking into consideration the continued tightening of monetary policy and further escalation in global oil prices, it is expected that India will be able to achieve a GDP growth rate of 8 to 8.5% during the financial year 2011-12. The Indian manufacturing industry had registered an overall growth of only 7.8% during April-February 2010-11 as against 10% seen during April-February 2009-10. The increase in infation from 8.31% in February 2011 to 8.98% in March 2011, will affect the performance of most companies. The high interest rate regime is a compromise for high growth and not enough is being done to control infation through supply side interventions. India needs to go towards a more balanced interest rate regime aligned to sustain the pace of growth.

OVERALL INDUSTRY OUTLOOK AND FIBC MARKET OUTLOOK:

The $500 billion global packaging industry is multi-technology, multi product and multi process industry. Your company is focused on the $5 Billion FIBC segment. The company has a market share of about 7% of domestic demand (Source: Crisil). The FIBC industry is set to grow at about 5% globally and 13-15% per annum domestically over the next fve years basically on account of growing demand for FIBC in end-use industry and growing acceptance of FIBC over other forms of packaging.

Demand from end-use industries to grow significantly

60% of the domestic FIBC demand is due to the petrochemical and mineral industries. The petrochemical industry, which accounts for 40% of the company's sales, is expected to be one of the fastest growing end-use segments for FIBCs.

FIBC is being preferred to other forms of packaging

Packing materials made from textiles include wrapping fabric, polyolefn woven sacks, hessian (commonly known as jute) bags and FIBCs. Industries that predominantly use packaging textiles are increasingly switching to FIBC as it offers benefits over the hessian bags, such as lower cost, better protection of contents, ease in procurement of the required polymer grades and more convenient handling. Further, FIBCs are fnding newer applications such as UN bags (for hazardous goods) and clean room bags (used for food products such as milk powder, starch, spices and bulk drugs). These are a small but growing proportion of the total domestic FIBC consumption.

REVIEW OF OPERATIONS:

Though your company's top line performance had increased by 51% from Rs. 69 Crores to Rs. 104 Crores, it did not result in increase in the bottom line due to high manufacturing cost and volatile raw material prices. Although the order positions have never been a problem, the major concern for the company remains shortage of labour and power.

Segment wise performance:

Manufacturing

The manufacturing industry in India has had a weak year and the situation is the same with your company also. The major factors which hampered the performance of the company are: fuctuating raw material & fuel prices, lack of power, non availability of skilled and semi skilled workers, and underutilization of capacity.

Trading

We had in the previous annual report reported that the company had been appointed by Indian Oil Corporation Limited (IOCL) as one of its Del Ã Credere Associate cum consignment stockist for Tamil Nadu, Pondicherry and Kerala. IOCL had in the year 2009-10 started manufacturing polymer raw materials such as polypropylene and polyethylene among others. The delay in grade availability and unanticipated production shutdowns did not allow volume growth to the anticipated extent. However your company has earned a commission income of Rs. 15 lacs from trading activity. The company is expecting to continuously enhance its volume as IOCL scales up its capacity and makes more grades available on continuous basis.

SWOT ANALYSIS:

STRENGTHS AND OPPORTUNITIES

The major strengths of the Company are that it has a diverse market with customers in over 30 countries and the value added bags which are made available as per the customer needs. The increasing demand for the FIBC bags due to industries such as chemicals, fertilizers, food products, grains, pharmaceuticals among others switching over to FIBC bags gives your company the confdence of bouncing back in the coming years. The company's exports have increased from Rs. 20 Crores to Rs. 33.5 Crores in the current year - an increase of around 60% compared to the previous year. European and United States of America are the major consumers of FIBC in the world. They were also major manufacturers in the world, but due to high cost of man-power, European countries had slowly moved towards Eastern Europe and US towards Mexico to sustain their costs, even there the cost have gone up, due to which there has been a continuing shift to South Asian Countries. Global demand is seeing a rapid growth and the upward trend is likely to continue for a years to come. FIBC manufacturing companies in the South Asian Countries are emerging as major players exporting to the global markets, since FIBC is a highly labour intensive product. These trends augur well for the growth in the FIBC industry.

WEAKNESSES AND THREATS

Fluctuating prices of raw materials Ã The main raw material used in the manufacture of FIBC is polypropylene, which is a crude derivative, and subject to price fuctuations.

Under utilization of available capacity- Your Company is having huge order book, it is however not able to utilize the capacity to the fullest due to lack of power and shortage in man power.

Labour shortage - FIBC manufacturing is a labour-intensive activity.

Non-availability of power Ã Chennai and other parts of Tamil Nadu are reeling under severe power cuts. Power cuts last for three hours daily during the peak hours.

FINANCIAL ANALYSIS:

The interest and financial charges have gone up by Rs. 1.2 crores, partially due to increase in rate of interest and partially due to reduction in TUF benefits for the year 2010-11. The bank charges have gone up substantially from Rs. 49.79 lakhs to Rs. 86.01 lakhs, primarily due to bank guarantee and sanction fee for IOCL business.

The performance for the financial year 2010-11 was adversely affected largely due to

1. Power situation in Tamil Nadu.

2. Shortage of labour

3. High and volatile raw material prices

Company has been purchasing power from private parties at rates higher than the grid power. Though this is cheaper than diesel cost it is still hurting company's bottom line. The labour shortage is a problem across the country and company is initiating several HR measures to retain and attract people. The company is trying to hedge the raw material costs to the extent possible but sudden fuctuation in prices makes it diffcult to pass on the entire increase to customers.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY:

Your company believes in continuous improvement and constantly strives to optimize the control and monitoring systems. The Control and Monitoring Systems in place ensure that all assets are safeguarded and protected against loss from unauthorized use or disposition, and all transactions are authorized, recorded and reported correctly. Periodic review of the Control Systems by the Internal auditors M/s. A.Raghunathan & Co., Chartered Accountants, Chennai ensures their adequacy and effectiveness. All short comings identifed by the internal audit team are placed before the Audit Committee and the Board and prompt corrective action is taken.

MATERIAL DEVELOPMENTS IN HUMAN RESOURCES/INDUSTRIAL RELATIONS FRONT:

Relations between the Management and the Labor were cordial, throughout the year under review.

FIXED DEPOSITS:

The total amount of Fixed Deposits from the Public and Shareholders of the Company as at 31st March 2011 was Rs.61,10,000/-. There was no default in repayment of deposits or interest thereon on the due dates and there was no overdue/unclaimed deposit at the end of the year.

DIRECTORS:

Sri G.Radhakrishna and Dr. Gaddam Kumar Reddy, Directors of the Company retire by rotation at the ensuing Annual General Meeting and being eligible, offer themselves for re-appointment.

Sri. G.Sudhakar, Vice Chairman and Chief Mentor tenure as a chief mentor for three years came to an end during the year on April 01, 2011. The Board in its meeting held on 30.03.2011 approved the appointment of Sri. G.Sudhakar as a vice chairman and chief mentor for a monthly retainer fee of Rs.45,000 or such amount as may be amended by the Board within its powers without going to the Central Government for approval. The Board approved his appointment and places this decision before the Shareholders for their consent.

SUBSIDIARY

The Company had informed in its previous year that it was a strategic investor in Jumbo Bag LLC and that it was looking for a joint venture partner. It was also informed earlier that a clear status of the actual structure of the holding of Jumbo Bag LLC would be decided in the year 2010-11 after investment made by a joint venture partner. M/s. Balaji Trading Enterprises Private Limited invested an additional capital of USD 7500 in Jumbo Bag LLC during the year. Jumbo Bag LLC is therefore not a subsidiary of the company and is thus not required to provide consolidated statement of accounts. Balaji Trading Enterprises Private Limited with its rich experience in trading is expected to bring much synergy to the company.

DIRECTORS' RESPONSIBILITY STATEMENT:

Pursuant to Section 217 (2AA) of the Companies Act, 1956, the Directors hereby state:

i. That in the preparation of the annual accounts, the applicable accounting standards have been followed along with proper explanation relating to material departures;

ii. That the directors had selected such accounting policies and applied them consistently and made judgments and estimates that were 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 the year under review.

iii. That the directors have taken proper and suffcient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 1956 for safeguarding the assets of the company and for preventing and detecting fraud and other irregularities;

iv. That the directors prepared the annual accounts for the financial year on a "going concernÃ basis.

STATUTORY AUDITORS:

The Board of Directors recommends the appointment of the Auditors of the Company to hold offce from the conclusion of the ensuing Annual General Meeting until the conclusion of the next Annual General Meeting and to fix their remuneration. The present Auditors, M/s. M. Srinivasan & Associates are eligible for reappointment.

INDUSTRIAL RELATIONS:

Industrial relations continued to be cordial. The Directors place on record their deep appreciation for the sincere and dedicated teamwork of all employees at all levels to meet the quality, cost and delivery requirements of the customers.

PARTICULARS OF EMPLOYEES:

None of the employees of the Company were in receipt of remuneration which in the aggregate exceeded the limits fixed under sub-section (2A) of Section 217 of the Companies Act, 1956 Read with Companies (Particulars of Employees) Rules, 1975 as amended.

INFORMATION UNDER SECTION 217 (1) (E) OF THE COMPANIES ACT, 1956:

Information in accordance with the provisions of 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 regarding conservation of energy, technology absorption and foreign exchange earnings and outgo are given as Annexure I of this Report.

SOCIAL RESPONSIBILITY:

Your company continues to participate actively in the welfare of the community by conducting health camps, supporting vocational training centers, by continuosly lending support to Gorantla Ramalingaiah Vivekananda School etc.

CORPORATE GOVERNANCE:

The Company has complied with all mandatory provisions of Corporate Governance as prescribed under the Listing Agreement of the Stock Exchanges with which the Company is listed. In line with the requirements of Clause 49 of the listing agreement, a separate report on Corporate Governance, along with a certifcate from the Statutory Auditors of the Company is annexed herewith for the information of the members.

GREEN INITIATIVES IN CORPORATE GOVERNANCE:

Ministry of Corporate Affairs has taken another step and is granting the Companies the option to send electronic copies of Annual Report, Notices to the Shareholders at their E-mail ID's. The Company has arranged to forward a soft copy to all the Shareholders who have furnished their E-mail ID's to their respective DP's.

CAUTIONARY STATEMENT:

Management Discussion and Analysis forming part of this Report is in compliance with Corporate Governance Standards incorporated in the listing agreement with Stock Exchanges and such statements may be "forward-lookingÃ within the meaning of applicable securities laws and regulations. Actual results could differ materially from those expressed or implied. Important factors that could make a difference to the Company's operations include economic conditions affecting demand / supply and price conditions in the domestic and overseas markets in which the company operates, changes in the Government regulations, tax laws and other statutes and other incidental factors.

ACKNOWLEDGEMENT:

Your Directors wish to place on record their gratitude to the Central Government and the Government of Tamil Nadu, State Bank of India, State Bank of Hyderabad and Indian Overseas Bank for their continued support during the year. Your Directors also wish to convey their thanks to the valued employees, customers and dealers for their continued patronage during the year.

For and on behalf of the Board

Place : Chennai K.J.M.Shetty Date : 28.05.2011 Chairman

Mar 31, 2010

The Directors have pleasure in presenting their Report and the Audited Accounts of the Company for the year ended 31st March 2010.

FINANCIAL RESULTS:

Rs. In lakhs

Particulars 2009-10 2008-2009

Income

Sales and other Income 6405.39 7127.38

Profit before Interest, Depreciation & Taxes 574.88 701.10

Interest 279.63 319.64

Depreciation 184.09 170.74

Profit Before Tax 106.42 214.71

Current Tax 36.08 55.95

Deferred Tax 10.94 8.73

Fringe Benefit Tax 0.00 6.52

Profit After Tax 59.12 143.51

Add/less Prior period adjustments 1.55 1.36

Profit of earlier years 305.54 216.65

Profit available for Appropriation 366.21 361.52

DIVIDEND:

Considering that we have gone through a recessionary period and the profits are very minimal, your directors after much deliberation have decided to skip the dividend for the year 2009-10.

EXTRA ORDINARY GENERAL MEETING:

The company conducted an Extra Ordinary General Meeting on March 03, 2010. Two Special resolutions were passed at the said EGM, for commencement of business specified in the other objects of the Memorandum of Association and reappointment of Sri. G.P.N Gupta as the Managing Director of the company for three years. The resolutions were passed unnanimously by the shareholders at the meeting and all legal formalities relating to the same have been completed.

NSE PLATFORM TRADING:

As a testimony of good Corporate Governance your company has been selected by National Stock Exchange to trade the companys shares in the National Stock Exchange platform, details of which are given in the Report of Corporate governance.

FIXED DEPOSITS:

The total amount of Fixed Deposits from the Public and Shareholders of the Company as at 31st March 2010 was Rs.45,10,000/-. There was no default in repayment of deposits or interest thereon on the due dates and there was no overdue/unclaimed deposit at the end of the year.

DIRECTORS:

Sri G.Krishnamurthy, K.J.M. Shetty, Rama Rao Directors of the Company retire by rotation at the ensuing Annual General Meeting and being eligible, offer themselves for re-appointment.

Sri. G.S.Anil Kumar, Director - Finance and Sri. G.P. Ramraj, Director - Marketing present term as Whole time Directors for three years comes to an end by the month of October this year. Sri M.V.Ananthakrishna has been appointed as an additional director to the Board during the year. The Board recommends for their re-appointment / appointment and places before the Shareholders for their consent.

SUBSIDIARY

Your company has made an investment of USD 5000 in Jumbo Bag LLC, Georgia, USA which has commenced commercial operations during the year. The total turnover for the company during the year is Rs 71.33 Lakhs. While the potential of the market is huge, exploiting the market requires appointing sales personnel resulting in huge fixed cost on recurring basis without any certainty of orders. Your company therefore is evaluating various options for the growth of Jumbo Bag LLC. While it is currently a subsidiary, Joint Ventures are being explored and the future plans will determine its holding structure. The operation of the Jumbo Bag LLC are also not material and is insignificant in relation to that of its parent company, Jumbo Bag Ltd. Therefore the consolidated financial statements are not presented herewith. However a statement pursuant to Section 212 of Companies Act, 1956 is annexed hereto.

DIRECTORS RESPONSIBILITY STATEMENT:

Pursuant to Section 217 (2AA) of the Companies Act, 1956, the Directors hereby confirm that they have:

i. followed the applicable Accounting Standards in the preparation of the annual accounts;

ii. selected such accounting policies and applied them consistently and made judgments and estimates that were 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 profits of the company for the year under review.

iii. taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 1956 for safeguarding the assets of the company and detecting fraud and irregularities;

iv. prepared the accounts for the financial year on a "going concern" basis.

STATUTORY AUDITORS:

The Board of Directors recommends the appointment of the Auditors of the Company to hold office from the conclusion of the ensuing Annual General Meeting until the conclusion of the next Annual General Meeting and to fix their remuneration. The present Auditors, M/s. M. Srinivasan & Associates are eligible for reappointment.

INDUSTRIAL RELATIONS:

Industrial relations continued to be cordial. The Directors place on record their deep appreciation for the sincere and dedicated teamwork of all employees at all levels to meet the quality, cost and delivery requirements of the customers.

PARTICULARS OF EMPLOYEES:

None of the employees of the Company were in receipt of remuneration which in the aggregate exceeded the limits fixed under sub-section (2A) of Section 217 of the Companies Act, 1956 Read with Companies (Particulars of Employees) Rules, 1975 as amended.

INFORMATION UNDER SECTION 217 (1) (E) OF THE COMPANIES ACT, 1956:

Information in accordance with the provisions of Section 217(l)(e) of the Companies Act, 1956 read with the Companies (Disclosure of Particulars in the Report of Board of Directors) Rules, 1988 regarding conservation of energy, technology absorption and foreign exchange earnings and outgo are given as Annexure I of this Report.

SOCIAL RESPONSIBILITY:

Your company continues to participate actively in the community needs by conducting health camps, supporting vocational training centers, support to Gorantla Ramalingaiah Vivekananda School etc.,

ACREDITATION PROCESS:

BRC Certificate:

Your company on fulfilling the requirement of Global Standard for Packaging & Packaging Material has been awarded the Certificate by British Retail Constorium.

ISO 14001:2004 - Environmental Management System

The ISO has developed international environmental standards which are known as the ISO 14000. It provides the framework for the development of an environmental management system and the supporting audit programme. Your company having met the standards prescribed by ISO 14000: 2004, has been awarded the certificate for environment management system.

ISO 22000 - Food Safety Management system

Your company has taken the lead in implementation of ISO 22000 and has been certified for Food Safety Management System.

All certificates have been issued by Intertex System Certificates.

CORPORATE GOVERNANCE:

The Company has complied with all mandatory provisions of Corporate Governance as prescribed under the Listing Agreement of the Stock Exchanges with which the Company is listed. In line with the requirements of Clause 49 of the listing agreement, a separate report on Corporate Governance, along with a certificate from the Statutory Auditors of the Company is annexed herewith for the information of the members.

ACKNOWLEDGEMENT:

Your Directors wish to place on record their gratitude to the Central Government and the Government of Tamil Nadu, State Bank of India, State Bank of Hyderabad and Indian Overseas Bank for their continued support during the year. Your Directors also wish to convey their thanks to the valued customers, employees and dealers for their continued patronage during the year.

For and on behalf of the Board

Place : Chennai N.D.PRABHU

Date : 31.05.2010 Chairman

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