Dec 31, 2013
Terms/Rights attached to Equity Shares
The company has only one class of equity shares having a par value of
Rs.10 per share. Each holder of equity shares is entitled to one vote
per share.
In the event of liquidation of the company, the holders of equity
shares will be entitled to receive remaining assets of the
company,after distribution of all preferential amounts.
The distribution will be in proportion to the number of equity shares
held by the shareholders.
Terms/Rights attached to Non-Cumulative Redeemable Preference Shares
The company has only one class of Non-Cumulative Redeemable Preference
Shares, having a par value of Rs.100 per share.
Redemption of fully paid Non-Cumulative Redeemable Preference shares
shall be made at par on 1st March 2025 or earlier at the option of
Company. Such reedemption shall be made out of profits of the company
which would otherwise be available for dividend i.e. out of general
reserve created by ploughing back of distributable profits or may be
made out of the proceeds of a fresh issue of shares made for the
purpose of redemption.
Terms/Rights attached to 0.01% Cumulative Redeemable Preference Shares
The company has only one class of Cumulative Redeemable Preference
Shares, having a par value of Rs.10 per share.
Redemption of fully paid Cumulative Redeemable Preference shares shall
be made at par on 1st March 2025 or earlier at the option of Company.
Such reedemption shall be made out of profits of the company which
would otherwise be available for dividend i.e. out of general reserve
created by ploughing back of distributable profits or may be made out
of the proceeds of a fresh issue of shares made for the purpose of
redemption.
Terms/Rights attached to 6.5% Cumulative Convertible Preference Shares
The company has only one class of Cumulative Convertible Preference
Shares, having a par value of Rs.100 per share.
These shares will be paid dividend @ 6.5% p.a. from their respective
deemed dates of allotment.These shares are subject to the rules framed
by SEBI, convertible into Equity Shares in two equal installments in
2017-18 & 2018-2019 at a price to be determined at the time of
conversion in accordance with the SEBI (ICDR) Regulations 2009.
The equity shares to be issued on conversion of the CCPS shall rank
pari passu in all respects, with the existing equity shares of the
Company, except that dividend, if any, declared for the company for the
financial year of issuance of the CCPS shall be paid to the CCPS
proportionate to the date of issue.
** Export Packing Credit and Export bills discounted are secured by
paripassu first charge created through hypothecation of company''s raw
materials, work-in-process, finished goods, stores and spares meant for
export and book debts and also by extension of charge (by way of second
paripassu charge) over all fixed assets of the company alongwith
personal guarantees of two directors, namely Mr. Ashok Mehra and Mr.
C.P.Mehra.
Cash Credit is secured by paripassu first charge created through
hypothecation of company''s raw materials. Work-in-progress, finished
goods, stores and spares meant for domestic sale and also by extension
of charge (by way of second paripassu charge) over all fixed assets of
the company alongwith personal guarantees of two directors, namely Mr.
Ashok Mehra and Mr. C.P.Mehra.
2. Sales include Rs.111861992/- (P.Y. Rs.54649755/-) being the sale
value of Cotton Waste. Sales of cotton waste is inclusive of Sales Tax
thereon.
3. Based on the Company''s approach, the Corporate Debt Restructuring
Empowered Group approved reworking of existing CDR Package on 31st
December, 2012 by allowing deferment of repayment of Term Loans.
Accordingly the Consortium Member Banks sanctioned and implemented the
reworked CDR Package. In accordance with the reworked CDR Package,
repayment of Term Loans will start from March, 2014.
4. In view of brought forward business losses, unabsorbed depreciation
and other applicable provisions of the Income Tax Act, no provision is
required for current Income Tax for the year under audit.
5. Due to continuous losses suffered by the Company and in the absence
of virtual certainty of availability of taxable income in the immediate
future, the Company has not accounted Deferred Tax Asset for the
current year and also adjusted carrying amount of Deferred Tax Assets
and Liabilities recognized by the Company in the earlier years. The
position of Deferred Tax is reviewed by the Company as at each Balance
Sheet date for its recognition on a going concern basis.
6. As certified by technical expert, Plant & Machinery and Electrical
installations have been considered to be continuous process plants as
per Schedule XIV to the Companies Act 1956.
7. The balances of Sundry Debtors, Sundry Creditors, Loans and
Advances are subject to confirmation from respective parties.
8. Segment Reporting :
In terms of Accounting Standard 17 of the Institute of Chartered
Accountants of India, Segment Information has not been given as the
Company is engaged primarily in manufacture and sale of Textile
Products and has no significant reportable Business or Geographical
segment.
9. Related party disclosures as per Accounting Standard 18 are given
below :- i) Name and description of relationship with the related
parties :
a) Key Management Personnel : Nature of Designation
1. Mr. Ashok Mehra : Chairman cum Whole Time Director
2. Mr. C. P. Mehra : Managing Director
3. Mr. Basudeo Prasad Agarwal : Sr. Vice President & Secretary
b) Enterprises in which relatives of key management personnel exist and
name of the relatives :
1. Bala Techno Industries Ltd.
2. Gautam Mehra
10. Additional depreciation of Rs.19488887/- (P.Y. Rs.15591110/-)
arising due to revaluation of certain fixed assets is charged to
Statement of Profit & Loss.
11. These accounts are covering a period of 15 months (from 1st October
2012 to 31st December 2013) and as such figures relating to previous
year (covering a period of 12 months (from 1st October 2011 to 30th
September 2012) are not strictly comparable with those of current
period.
12. Previous year figures are regrouped and rearranged wherever
necessary.
Sep 30, 2012
1. Sales include Rs.54649755/- (P.Y. Rs.97945987/-) being the sale
value of Cotton Waste. Sales of cotton waste is inclusive of Sales Tax
thereon.
2. The Company approached to Consortium Banks for reworking of
existing CDR Package by allowing deferment of repayment of Term Loans
and the Consortium Banks have agreed in principle to defer the
repayment of Term Loans starting from March, 2014. However, the Company
has shown the amount of Term Loans falling due within one year under
Note No. 8 : Other Current Liabilities, pending final approval of
reworked CDR package.
3. Contingent Liability in respect of :
(Amount in Rs.)
As at 30th
Sept. 2012 As at 30th
Sept. 2011
Particulars (Rs.) (Rs.)
Letter Of Credit 6999200 6999200
Dividend payable on
6.5% CCPS to Banks 85842027 58707563
4. In view of brought forward business losses, unabsorbed depreciation
and other applicable provisions of the Income Tax Act, no provision is
required for current Income Tax for the year under audit.
5. As there is no certainty for immediate future taxable income,
deferred tax asset on account of brought forward business losses are
not accounted for in the accounts under audit.
6. As certified by technical expert, Plant & Machinery and Electrical
installations have been considered to be continuous process plants as
per Schedule XIV to the Companies Act 1956.
7. The balances of Sundry Debtors, Sundry Creditors, Loans and
Advances are subject to confirmation from respective parties.
8. Segment Reporting :
Since the Company is engaged primarily in manufacture and sale of
Textile Products, this is the only reportable segment. The Company''s
operating facilities are located in India.
Since sales out of India made to many countries without any significant
difference in the value of supplies made to individual countries, these
have been aggregated ''Export'' . The Company has chosen the following
geographical segments as primary segments :
1. Export
2. Domestic
9. Related party disclosures as per Accounting Standard 18 are given
below :- i) Name and description of relationship with the related
parties :
a) Key Management Personnel : Nature of Designation
1. Mr. Ashok Mehra : Chairman cum Whole Time Director
2. Mr. C P Mehra : Managing Director
3. Mr. Basudeo Prasad Agarwal : Sr. Vice President & Secretary
b) Enterprises in which relatives of key management personnel exist and
name of the relatives :
1. Atlantic Projects Ltd.
2. Bala Techno Industries Ltd.
3. Bala Techno Global Ltd.
4. City Desk Finance Pvt. Ltd.
5. Cross Finance Pvt. Ltd.
6. Mehra Traders
7. Techno Dyeing & Bleaching Works
8. Techno Elastics
9. Gautam Mehra
Note : Related Party relationship is as identified by the Company and
relied upon by the auditor.
10. Additional depreciation of Rs.15591110/- (P.Y. Rs.15591110/-)
arising due to revaluation of certain fixed assets is charged to
Statement of Profit & Loss.
11. Previous year figures are regrouped and rearranged wherever
necessary.
Sep 30, 2011
1. In Terms of the CDR Package approved on 25th June, 2009, 6.5%
Cumulative Convertible Preference Shares of Rs.416312700/- has been
allotted to the banks during the period.
2. Sundry Creditors are inclusive of liability of Rs.71182502/- (P.Y.
Rs.165282493/-) on account of export bills discounted with banks.
3. Sundry Creditors includes Rs.Nil (P.Y. Rs.1528633/-) due to
directors lying in their current account with the Company.
4. Sales include Rs. 97945987/- (P.Y. Rs.118086332/-) being the sale
value of Cotton Waste. Sales of cotton waste is inclusive of Sales Tax
thereon.
5. Contingent Liability in respect of :
(Amount in Rs.) (Amount in Rs.)
As at 30th
September, 2011 As at 30th Septem
ber, 2010
Letter Of Credit 6999200 6999200
Dividend payable on 6.5%
CCPS to Banks 58707563 Nil
6. Rupee Term Loan from Canara Bank, State Bank of India and Central
Bank of India are secured by paripassu first charge on all fixed assets
of the company and paripassu second charge on all current assets of the
company along with personal guarantee of the two directors, namely Mr.
Ashok Mehra and Mr. C.P.Mehra.
Export Packing Credit and Export bills discounted from the above three
Banks are secured by paripassu first charge created through
hypothecation of company''s raw materials, work-in-process, finished
goods, stores and spares meant for export and book debts and also by
extension of charge (by way of second paripassu charge) over all fixed
assets of the company along with personal guarantees of two directors,
namely Mr. Ashok Mehra and Mr. C.P.Mehra.
Cash Credit from the above three Banks is secured by paripassu first
charge created through hypothecation of company''s raw materials,
work-in-progress, finished goods, stores and spares, book debts meant
for domestic sale and also by extension of charge (by way of second
paripassu charge) over all fixed assets of the company along with
personal guarantees of two directors, namely Mr. Ashok Mehra and Mr.
C.P.Mehra.
Soft Loan from Government of West Bengal is secured by creation of the
residuary charges on the Fixed Assets of the Company.
7. Based on information available with the Company, there were no dues
payable to Small Scale Industrial Undertakings, which are outstanding
for more than thirty days.
8. In view of carry forward unabsorbed depreciation and other
applicable provisions of the Income Tax Act, no provision is required
for current Income Tax for the year under audit.
9. As certified by technical expert, Plant & Machinery and Electrical
installations have been considered to be continuous process plants as
per Schedule XIV to the Companies Act 1956.
10. The balances of Sundry Debtors, Sundry Creditors, Loans and
Advances are subject to confirmation from respective parties.
11. Segment Reporting :
Since the Company is engaged primarily in manufacture and sale of
Textile Products, this is the only reportable segment. The Company''s
operating facilities are located in India.
Since sales out of India made to many countries without any significant
difference in the value of supplies made to individual countries, these
have been aggregated "Export" . The Company has chosen the
following geographical segments as primary segments :
12. Related party disclosures as per Accounting Standard 18 are given
below :- i) Name and description of relationship with the related
parties :
a) Key Management Personnel : Nature of Designation
1. Mr. Ashok Mehra : Chairman cum Whole Time Director
2. Mr. C P Mehra : Managing Director
3. Mr. Basudeo Prasad Agrawal : Sr. Vice President & Secretary
b) Enterprises in which relatives of key management personnel exist and
name of the relatives :
1. Atlantic Projects Limited
2. Bala Techno Industries Limited
3. City Desk Finance Pvt. Ltd.
4. Cross Finance Pvt. Ltd.
5. Mehra Traders
6. Techno Dyeing and Bleaching Works
7. Techno Elastics
8. Sarda Mehra
9. Premlata Mehra Family Welfare Trust
10. Siddharth Mehra
11. Gautam Mehra
* Sales including 27.26 Kgs. (P.Y. 33.80 Kgs.) for free trade samples.
Figures in bracket are for the previous year.
13. Additional depreciation of Rs.15591110/- (P.Y. Rs.23386665/-)
arising due to revaluation of certain fixed assets is charged to Profit
& Loss Account.
14. These accounts are covering a period of 12 months (from 1st
October 2010 to 30th September 2011) and as such figures relating to
previous year (covering a period of 18 months from 1st April 2009 to
30th September 2010) are not strictly comparable with those of current
period.
15. Previous year figures are regrouped and rearranged wherever
necessary.
Sep 30, 2010
1. Certain Fixed Assets of the Company had been revalued by an
approved valuer using going concern concept at net replacement cost
basis and the difference of Rs.335154868/- between revalued amount and
net book value of Fixed Assets as on 1st April 2005 has been credited
to revaluation reserve account of the Company and the same has been
fully adjusted against the debit balance in Profit & Loss Account of
the Company as per scheme sanctioned by Hon''ble High Court at Calcutta.
2. The CDR Package approved on 25th June, 2009 has been successfully
implemented by the banks during the period. In terms of the sanctioned
package an amount of Rs.405850240/- lying as Term Loan liability
including accrued interest as on 30th September, 2010 will be converted
into Cumulative Convertible Preference Shares on receipt of Statutory
Approvals by the banks. In absence of necessary approvals, the said
amount has shown under the head Share Capital Suspense Account for
pending issue / allotment of Cumulative Convertible Preference Shares.
3. Sundry Creditors are inclusive of liability of Rs.165282493/- (P.Y.
Rs.130935637/-) on account of export bills discounted with banks.
4. Sundry Creditors includes Rs.1528633/- (P.Y. Rs.7820630/-) due to
directors lying in their current account with the Company.
5. Contingent Liability in respect of :
(Amount in Rs.) (Amount in Rs.)
As at 30th
September, 2010 As at 31st
March, 2009
Letter Of Credit 6999200 5500000
Goods removed on
Bond furnished
for Excise Duty Nil 14297976
6. Rupee Term Loan from Canara Bank, State Bank of India and Central
Bank of India are secured by paripassu first charge on all fixed assets
of the company and paripassu second charge on all current assets of the
company along with personal guarantee of the two directors, namely Mr.
Ashok Mehra and Mr. C.P.Mehra.
Export Packing Credit and Export bills discounted from the above three
Banks are secured by paripassu first charge created through
hypothecation of company''s raw materials, work-in-process, finished
goods, stores and spares meant for export and book debts and also by
extension of charge (by way of second paripassu charge) over all fixed
assets of the company along with personal guarantees of two directors,
namely Mr. Ashok Mehra and Mr. C.P.Mehra.
Cash Credit from Canara Bank is secured by paripassu first charge
created through hypothecation of company''s raw materials.
Work-in-progress, finished goods, stores and spares meant for domestic
sale and also by extension of charge (by way of second paripassu
charge) over all fixed assets of the company along with personal
guarantees of two directors, namely Mr. Ashok Mehra and Mr. C.P.Mehra.
Soft Loan from Government of West Bengal is secured by creation of the
residuary charges on the Fixed Assets of the Company.
7. Based on information available with the Company, there were no
dues payable to Small Scale Industrial Undertakings, which are
outstanding for more than thirty days.
8. In view of carry forward unabsorbed depreciation and other
applicable provisions of the Income Tax Act, no provision is required
for current Income Tax for the year under audit.
9. As certified by technical expert, Plant & Machinery and Electrical
installations have been considered to be continuous process plants as
per Schedule XIV to the Companies Act 1956.
10. Advances recoverable include Rs. ''Nil'' (P.Y. Rs.10692274/-) for
C.S.T. Reimbursement as the company is entitled for the same on account
of being 100% EOU.
11. The balances of Sundry Debtors, Sundry Creditors, Loans and
Advances are subject to confirmation from respective parties.
12. Segment Reporting :
Since the Company is engaged primarily in manufacture and sale of
Textile Products, this is the only reportable segment. The Company''s
operating facilities are located in India.
Since sales out of India made to many countries without any significant
difference in the value of supplies made to individual countries, these
have been aggregated "Export" . The Company has chosen the
following geographical segments as primary segments :
13. Related party disclosures as per Accounting Standard 18 are given
below :-
i) Name and description of relationship with the related parties :
a) Key Management Personnel : Nature of Designation
1. Mr. Ashok Mehra : Chairman cum Whole Time Director
2. Mr. C P Mehra : Managing Director
3. Mr. Basudeo Prasad Agrawal : Sr. Vice President & Secretary
b) Enterprises in which relatives of key management personnel exist and
name of the relatives :
1. Bala Techno Industries Limited
2. Atlantic Projects Limited
3. City Desk Finance Pvt. Ltd.
4. Cross Finance Pvt. Ltd.
5. Mehra Traders
6. Techno Dyeing and Bleaching Works
7. Techno Elastics
8. Sarda Mehra
9. Premlata Mehra Family Welfare Trust
10. Siddharth Mehra
* includes Nil Kgs. sold for Rs.Nil (P.Y. 2939755 Kgs. sold for
Rs.130698689/-).
* includes Nil Kgs. sold for Rs.Nil (P.Y. 2939755 Kgs. sold for
Rs.130698689/-).
14. Additional depreciation of Rs.23386665/- (P.Y. Rs.11693333/-)
arising due to revaluation of certain fixed assets is charged to Profit
& Loss Account.
15. These accounts are covering a period of 18 months (from 1st April
2009 to 30th September 2010) and as such figures relating to previous
year (covering a period of 9 months from 1st July 2008 to 31st March
2009) are not strictly comparable with those of current period.
16. Previous year figures are regrouped and rearranged wherever
necessary.
Note : a. Figures in Brackets indicates Outflows.
b. Previous Years figures have been regrouped and rearranged whenever
necessary.