Mar 31, 2015
Dear Members,
The Directors present the Annual Report, together with the Audited
Accounts for the year ended 31st March, 2015.
FINANCIAL RESULTS
(in Rs. )
2014-15 2013-14
Profit / ( Loss) before Depreciation,
Finance Costs, Exceptional Items and 1,54,76,911) (1,94,49,437)
Taxation
Less: Depreciation 41,29,118 48,80,974
Less: Finance Costs 49,11,501 17,28,315
Loss before Exceptional Items and Tax (2,45,17,530) (2,60,58,726)
Less: Exceptional Items (net) 4,79,99,981 -
Loss before Tax (7,25,17,511) (2,60,58,726)
Less: Current Tax - -
Loss after Tax for the year (7,25,17,511) (2,60,58,726)
Less: Adjustment relating to Fixed Assets 3,29,80,891 -
Balance brought forward from previous (7,68,17,287) (5,07,58,561)
year
Balance carried forward (18,23,15,689) (7,68,17,287)
DIVIDEND
In view of losses, your Directors regret their inability to propose any
dividend.
OPERATIONS
During the year, total income of the Company has decreased to Rs.
17,90,356/- from Rs. 11,35,07,893/-. Loss after tax for the year is
Rs. 7,25,17,511/- against Rs. 2,60,58,726/- in the previous year.
CLOSURE OF PLANT
Due to continued losses and with no hope of any improvement in the
operations, the Company filed an application under Section 25-O of the
Industrial Disputes Act, 1947 with the Commissioner of Labour,
Maharashtra State, Mumbai for closure of the textile plant at Akola and
the Company has received permission for closure of the said plant.
The Tribunal vide its Order dated 9th April, 2014 has given a
permission for closure of the said plant by giving closure compensation
to the employees. Accordingly, the Company has closed the said plant by
giving the closure compensation to the employees.
The Company has sold plant and machinery during the year as the plant
has been closed down. Your Director's are evaluating other options in
the textile business including trading of textile products.
PUBLIC DEPOSITS
The Company has not accepted any deposits from public and as such, no
amount on account of principal or interest on deposits from public was
outstanding as on the date of the balance sheet or renewed any fixed
deposits during the year.
LOANS, GUARANTEES AND INVESTMENTS
The details of Loans, Guarantees and Investments covered under the
provisions of Section 186 of the Companies Act, 2013 (the Act) are
given in the notes to the Financial Statements.
DIRECTORS
Shri S. M. Soni resigned as a Director of the Company with effect from
3rd February, 2015. The Board has placed on record its appreciation for
the valuable services and guidance given by Shri S. M. Soni during his
tenure as a Director of the Company.
Shri Pradeep S. Chonkar and Smt. Fatima Fernandes were appointed by the
Board as Additional Directors of the Company with effect from 12th
February, 2015.
Pursuant to Section 161(1) of the Act, Shri Pradeep S. Chonkar and
Smt. Fatima Fernandes hold office upto the date of forthcoming Annual
General Meeting (AGM) and being eligible, offer themselves for
appointment as Directors of the Company.
Shri Shekhar R Singh, Director of the Company who retires by rotation
at the forthcoming AGM and, being eligible, offer himself for
re-appointment.
The Company has received declarations from all the Independent
Directors of the Company confirming that they meet with criteria of
independence as prescribed both under the Act and under Clause 49 of
the Listing Agreement.
BOARD EVALUATION
Pursuant to the provisions of the Act and Clause 49 of the Listing
Agreement, a structured questionnaire was prepared after taking into
consideration of the various aspects of the Board's functioning,
composition of the Board and its committees, culture, execution and
performance of specific duties, obligations and governance.
The performance evaluation of the Independent Directors was completed.
The performance evaluation of the Chairman and the Non Independent
Directors was carried out by the Independent Directors. The Directors
expressed their satisfaction with evaluation process.
NUMBER OF MEETINGS OF THE BOARD
During the year under review, five Board meetings were held. The
details of the meetings are given in Corporate Governance Report which
forms part of this Report.
REMUNERATION AND NOMINATION POLICY
The Board has framed a policy for selection and appointment of
Directors, Senior Management and their remuneration. The details of
this Policy is given in the Corporate Governance Report which forms
part of this Report.
FAMILIARIZATION PROGRAMME FOR INDEPENDENT DIRECTORS
The Company has practice of conducting familiarization programme for
Independent Directors of the Company. The details of the programme is
given in the Corporate Governance Report which forms part of this
Report.
PARTICULARS OF EMPLOYEES
During the year, there was no employee in receipt of remuneration as
prescribed in the Rule 5 (2) of the Companies (Appointment and
Remuneration of Managerial Personnel) Rules, 2014. The prescribed
particulars of employees as required under Section 197 (12) of the Act
read with Rule 5(1) of the Companies (Appointment and Remuneration of
Managerial Personnel) Rules, 2014 is attached as Annexure III and forms
a part of this Report.
AUDITORS
At the Sixteenth AGM held on 6th August, 2014, M/s. Vijay Rungta & Co,
Chartered Accountants, Mumbai, were appointed as the Statutory Auditors
of the Company to hold office from the conclusion of that AGM until the
conclusion of the 3rd consecutive AGM to be held thereafter (subject to
ratification of the appointment by the Members at every AGM held after
that AGM).
In terms of the first provis to Section 139 of the Act read with the
Rule 3(7) of Companies (Audit and Auditors) Rules, 2014, the
appointment of the auditor shall be subject to ratification by the
Members at every annual general meeting till the expiry of the term of
the Auditor. Accordingly, the appointment of M/s. Vijay Rungta & Co,
Chartered Accountants, Mumbai, as the Statutory Auditors of the
Company, is placed for ratification by the Members.
In this regard, the Company has received a certificate from the
Auditors to the effect that if they are re-appointed, it would be in
accordance with the provisions of Section 141 of the Act.
COST AUDIT
As there was no production during the year 2014-2015, no cost audit
required to be carried out.
SECRETARIAL AUDIT
A Secretarial Audit was conducted during the year by the Secretarial
Auditors, Shri Manish L. Ghia of M/s. Manish Ghia & Associates,
Practicing Company Secretaries, Mumbai, in accordance with provisions
of Section 204 of the Act. The Secretarial Auditor's Report is attached
as Annexure I and forms part of this Report.
CORPORATE GOVERNANCE
The Company has complied with the mandatory provisions of Corporate
Governance as stipulated in the Listing Agreement with the Stock
Exchange. A separate report on Corporate Governance alongwith the
requisite Auditors' Certificate is annexed and forms part of this
Report.
DIRECTOR'S RESPONSIBILITY STATEMENT
Pursuant to Section 134 (3) (c) read with Section 134 (5) of the Act,
and Clause 49 (III) (D) (4) (a) of the Listing Agreement, on the basis
of information placed before them, the Directors state that:
i. in the preparation of the annual accounts, the applicable
accounting standards have been followed along with proper explanation
relating to material departures, if any;
ii. appropriate accounting policies have been selected and applied
consistently, and the judgments and estimates that have been made are
reasonable and prudent so as to give a true and fair view of the state
of affairs of the Company as at 31st March, 2015 and of the loss of the
Company for the said period;
iii. proper and sufficient care has been taken for the maintenance of
adequate accounting records in accordance with the provisions of the
Act for safeguarding the assets of the Company and for preventing and
detecting fraud and other irregularities;
iv. the annual accounts have been prepared on a going concern basis;
v. the internal financial controls to be followed by the Company and
that such internal financial controls are adequate and were operating
effectively; and
vi. there is a proper systems to ensure compliance with the provisions
of all applicable laws and that such systems were adequate and
operating effectively.
RELATED PARTY TRANSACTIONS
All related party transactions that were entered into during the
financial year were on an arm's length basis and that the provisions of
Section 188 of the Act are not attracted. Thus, disclosure in form
AOC-2 is not required. Further, there are no materially significant
related party transactions made by the Company with Promoters and
Directors or other designated persons which may have a potential
conflict with the interest of the Company at large.
RISK MANAGEMENT COMMITTEE
Pursuant to the requirement of Clause 49 of the Listing Agreement, the
Company has constituted the Risk Management Committee. The details of
Committee and its terms of reference are set out in the Corporate
Governance Report which forms part of this Report.
VIGIL MECHANISM / WHISTLE BLOWER POLICY
The Company has a Vigil Mechanism/Whistle Blower Policy to deal with
instance of fraud and mismanagement, if any. The details of the Policy
is explained in the Corporate Governance Report and is also available
on the Company's website.
EXTRACT OF ANNUAL RETURN
The details forming part of the extract of the Annual Return in form
MGT 9 is annexed herewith as Annexure II.
STOCK EXCHANGE
The Company's equity shares are listed at BSE Limited and the Annual
Listing Fees for the year 2015-16 has been paid.
PARTICULARS OF CONSERVATION OF ENERGY AND TECHNOLOGY ABSORPTION,
FOREIGN EXCHANGE EARNINGS AND OUTGO
During the year under review, the Company has not carried out any
manufacturing activity and hence the Directors have nothing to report
under Section 134 (3) (m) of the Act read with Rule 8(3) of the
Companies (Accounts ) Rules, 2014 with reference to Conservation of
Energy and Technology Absorption. There was no foreign exchange
earnings and outgo during the year under review.
DISCLOSURE UNDER THE PREVENTION OF SEXUAL HARASSMENT ACT
There were no complaints reported under the Prevention of Sexual
Harassment of Women at Workplace (Prevention, Prohibition and
Redressal) Act, 2013.
ACKNOWLEDGMENT
Your Directors place on record their appreciation for the assistance
and support extended by all government authorities, financial
institutions, banks, consultants, solicitors and shareholders of the
Company. The Directors express their appreciation for the dedicated and
sincere services rendered by the employees of the Company.
For and on behalf of the Board of Directors
Sita Sunil
Shekhar R Singh
Mumbai, 27th May, 2015 Directors
Mar 31, 2014
The Members,
The Directors present the Annual Report, together with the Audited
Accounts for the year ended 31st March, 2014.
FINANCIAL RESULTS
(in Rs.)
2013-14 2012-13
Profit / ( Loss) before
Depreciation, Finance Costs and
Taxation (1,94,49,437) 48,48,660
Less: Depreciation 48,80,974 49,18,589
Less: Finance costs 17,28,315 21,98,909
Loss before tax (2,60,58,726) (22,68,838)
Less : Current tax - -
Loss after tax for the year (2,60,58,726) (22,68,838)
Balance brought forward
from previous year (5,07,58,561) (4,84,89,723)
Balance carried forward (7,68,17,287) (5,07,58,561)
DIVIDEND
In view of losses, your Directors regret their inability to propose any
dividend.
OPERATIONS
During the year, total income of the Company has decreased to Rs.
11,35,07,893/- from Rs. 16,91,49,772/- Loss after tax for the year is Rs.
2,60,58,726/- against Rs. 22,68,838/- in the previous year.
CLOSURE OF PLANT
Due to continued losses and with no hope of any improvement in the
operations, the Company filed an application under Section 25-O of the
Industrial Disputes Act, 1947 with the Commissioner of Labour,
Maharashtra State, Mumbai for closure of the textile plant at Akola and
the Company has received permission for closure of the said plant. The
Labour Union was in appeal against the Order and now Union has filed an
application for passing suitable Order and the said application has
been allowed in the operative part of award by the Tribunal.
Accordingly, the Company has offered voluntary retirement, under
Voluntary Retirement Scheme and effect of the Order of the Tribunal
will be given, after full Order is received by the Company.
FIXED DEPOSITS
The Company has not accepted or renewed any fixed deposits during the
year.
DIRECTORS
Ms. Sita Laxman, Director of the Company who retires by rotation at the
forthcoming Annual General Meeting and, being eligible, offer herself
for re-appointment.
Shri S.M.Soni, Shri O.D.Purohit and Shri S.G.Shukla who were
Independent Directors of the Company as on 31st March, 2014, continue
to be Independent Directors of the Company for a period of five years
from 1st April, 2014. All of them are the persons of integrity and
possesses relevant expertise and experience. The Board has also opined
that all of them fulfill the conditions specified in Section 149 of the
Companies Act, 2013 and rules made thereunder and that they are all
independent of management.
AUDITORS
M/s. Vijay Rungta & Co., Chartered Accountants are re-appointed as the
Statutory Auditors of the Company to hold the office from the
conclusion of this Annual General Meeting till the conclusion of the
third consecutive Annual General Meeting held thereafter, subject to
ratification of the appointment by the members at every Annual General
Meeting of the Company after the ensuing Annual General Meeting.
The Auditors have confirmed that, their appointment, if made, would be
within the limits prescribed under Section 141(3) (g) of the Companies
Act, 2013 and that they are not disqualified in terms of Section 139 of
the Companies Act, 2013.
COST AUDIT
Pursuant to the directives of the Central Government under the
provisions of Section 233B of the Companies Act, 1956, M/s. R.
Nanabhoy & Company, Cost Accountants, Mumbai, have been appointed as
Cost Auditors to conduct the cost audit of the product of the Company
for the year ended 31st March, 2014 and Cost Audit Report will be
submitted to the concerned authorities.
PARTICULARS OF EMPLOYEES
During the year, there was no employee in receipt of remuneration as
prescribed under Section 217(2A) of the Companies Act, 1956 read with
the Companies (Particulars of Employees) Amendment Rules, 2011.
CORPORATE GOVERNANCE
The Company has complied with the mandatory provisions of Corporate
Governance as stipulated in the Listing Agreement with the Stock
Exchange. A separate report on Corporate Governance alongwith the
requisite Auditors'' Certificate is annexed and forms part of this
Annual Report.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE
EARNINGS AND OUTGO
Information pursuant to Section 217(1)(e) of the Companies Act, 1956
read with the Companies (Disclosure of Particulars in the Report of the
Board of Directors) Rules, 1988 regarding conservation of energy,
technology absorption and foreign exchange earnings and outgo has been
given in a separate statement annexed hereto and forming part of this
Report.
SECRETARIAL COMPLIANCE CERTIFICATE
Secretarial Compliance Certificate received from M/s. Manish Ghia &
Associates, Practicing Company Secretaries, Mumbai, as required under
Section 383A of the Companies Act, 1956 for the financial year 2013-14
is annexed and forming part of this Annual Report.
STOCK EXCHANGE
The Company''s equity shares are listed at BSE Limited and the Annual
Listing Fees for the year 2014-15 has been paid.
DIRECTORS'' RESPONSIBILITY STATEMENT
Pursuant to Section 217(2AA) of the Companies Act, 1956 on the basis of
information placed before them, the Directors state that:
(i) in the preparation of the annual accounts, the applicable
accounting standards have been followed along with proper explanation
relating to material departures; if any;
(ii) appropriate accounting policies have been selected and applied
consistently, and the judgments and estimates that have been made are
reasonable and prudent so as to give a true and fair view of the state
of affairs of the Company as at 31st March, 2014 and of the loss of the
Company for the said period;
(iii) proper and sufficient care has been taken 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) the annual accounts have been prepared on a going concern basis.
ACKNOWLEDGEMENT
Your Directors place on record their appreciation for the assistance
and support extended by all government authorities, financial
institutions, banks, consultants, solicitors and shareholders of the
Company. The Directors express their appreciation for the dedicated and
sincere services rendered by the employees of the Company.
For and on behalf of the Board of Directors
Sita Laxman
Shekhar R Singh
Mumbai, 15th May, 2014 Directors
Mar 31, 2013
To The Members,
The Directors present the Annual Report, together with the Audited
Accounts for the year ended 31st March, 2013.
FINANCIAL RESULTS
(in Rs.)
2012-13 2011 -12
Profit /( Loss) before Depreciation,
Finance Costs and Taxation 48,48,660 (1,58,23,544)
Less: Depreciation 49,18,589 49,58,213
Less: Finance Costs 21,98,909 23,70,608
Loss before Tax (22,68,838) (2,31,52,365)
Less: Deferred Tax Assets (50,75,424)
Loss after Tax for the year (22,68,838) (1,80,76,941)
Balance brought forward
from previous year (4,84,89,723) (3,04,12,782)
Balance carried forward (5,07,58,561) (4,84,89,723)
DIVIDEND
In view of losses, your Directors regret their inability to propose any
dividend.
OPERATIONS
During the year, total income of the Company has increased to Rs.
16,91,49,772/- from Rs. 13,50,92,837/-. Loss after tax for the year is Rs.
22,68,838/- against Rs. 1,80,76,941/- in the previous year.
CLOSURE OF PLANT
Due to continued losses, the Company filed an application under Section
25-O of the Industrial Disputes Act, 1947 with the Commissioner of
Labour, Maharashtra State, Mumbai for closure of the Textile plant at
Akola. The Commissioner of Labour, Maharashtra State, Mumbai vide their
order dated 25th September, 2008 granted permission for closure of the
said textile plant at Akola. The aggrieved Labour Unions have filed
appeal before the Industrial Tribunal against the said order and the
matter is pending before the Tribunal.
In view of pending appeal before the Industrial Tribunal, the effect of
the order of Commissioner of Labour, Maharashtra State, Mumbai has not
been given and the textile plant is in operation.
FIXED DEPOSITS
The Company has not accepted or renewed any fixed deposits during the
year.
DIRECTORS
Shri Girish Bagri resigned as a Director of the Company with effect
from 25th October, 2012. The Board places on record its appreciation
for the valuable services rendered by Shri Girish Bagri during his
tenure as a Director of the Company.
Shri Shekher R Singh, was appointed by the Board as an Additional
Director of the Company with effect from 19th January, 2013 under
Section 260 of the Companies Act, 1956 (the Act) read with Article 141
of the Articles of Association of the Company. Shri Shekher R Singh
holds office up to the date of forthcoming Annual General Meeting and,
being eligible, offers himself for appointment as a Director at the
said meeting.
Shri O.D. Purohit and Ms. Sita Laxman, Directors of the Company who
retire by rotation at the forthcoming Annual General Meeting and, being
eligible, offer themselves for re-appointment.
None of the Directors is disqualified under Section 274 (1) (g) of the
Act.
AUDITORS
M/s.Vijay Rungta & Co.,Chartered Accountants, Mumbai, retire as
Auditors of the Company and are eligible for re-appointment. The
Company has received a letter from M/s. Vijay Rungta & Co., Chartered
Accountants, Mumbai, expressing their willingness and eligibility to
act as Statutory Auditors of the Company under Section 224(1B) of the
Act, if appointed.
COST AUDIT
Pursuant to the directives of the Central Government under the
provisions of Section 233B of the Act, M/s. R. Nanabhoy & Co., Cost
Accountants, Mumbai, have been appointed as Cost Auditors to conduct
the cost audit of the product of the Company for the year ended 31st
March, 2013 and Cost Audit Report will be submitted to the concerned
authorities.
PARTICULARS OF EMPLOYEES
During the year, there was no employee in receipt of remuneration as
prescribed under Section 217(2A) of the Act read with the Companies
(Particulars of Employees) Amendment Rules, 2011.
CORPORATE GOVERNANCE
The Company has complied with the mandatory provisions of Corporate
Governance as stipulated in the Listing Agreement with the Stock
Exchange. A separate report on Corporate Governance alongwith the
requisite Auditors'' Certificate is annexed and forms part of this
Annual Report.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE
EARNINGS AND OUTGO
Information pursuant to Section 217(1)(e) of the Act, read with the
Companies (Disclosure of Particulars in the Report of the Board of
Directors) Rules, 1988 regarding conservation of energy, technology
absorption and foreign exchange earnings and outgo has been given in a
separate statement annexed hereto and forming part of this Report.
SECRETARIAL COMPLIANCE CERTIFICATE
Secretarial Compliance Certificate received from M/s. Manish Ghia &
Associates, Practicing Company Secretaries, Mumbai, as required under
Section 383A of the Act for the financial year 2012-13 is annexed and
forming part of this Annual Report.
STOCK EXCHANGE
The Company''s equity shares are listed at BSE Limited and the Annual
Listing Fees for the year 2013 -14 has been paid.
DIRECTORS'' RESPONSIBILITY STATEMENT
Pursuant to Section 217(2AA) of the Act, on the basis of information
placed before them, the Directors state that:
(i) in the preparation of the annual accounts, the applicable
accounting standards have been followed along with proper explanation
relating to material departures; if any;
(ii) appropriate accounting policies have been selected and applied
consistently, and the judgments and estimates that have been made are
reasonable and prudent so as to give a true and fair view of the state
of affairs of the Company as at 31st March, 2013 and of the loss of the
Company for the said period;
(iii) proper and sufficient care has been taken for the maintenance of
adequate accounting records in accordance with the provisions of the
Act for safeguarding the assets of the Company and for preventing and
detecting fraud and other irregularities;
(iv) the annual accounts have been prepared on a going concern basis.
ACKNOWLEDGMENT
Your Directors place on record their appreciation for the assistance
and support extended by all government authorities, financial
institutions, banks, consultants, solicitors and shareholders of the
company. The Directors express their appreciation for the dedicated and
sincere services rendered by the employees of the company.
For and on behalf of the
Board of Directors
S.M.Soni Sita Laxman
Mumbai, 15th May, 2013 Directors
Mar 31, 2012
The Directors present the Annual Report, together with the Audited
Accounts for the year ended 31st March, 2012. FINANCIAL RESULTS
(in Rs)
2011-12 2010-11
Profit/(Loss) before Depreciation, Finance
Costs and Taxation (1,58,23,544) 40,68,645
Less: Depreciation 49,58,213 49,33,732
Less: Finance Costs 23,70,608 13,77,152
(Loss) before Tax (2,31,52,365) (22,42,239)
Less : Deferred Tax (Assets)/Liability (50,75,424) 4,92,969
(Loss) after Tax (1,80,76,941) (27,35,208)
Balance brought forward from previous year (3,04,12,782) (2,76,77,574)
Balance carried forward (4,84,89,723) (3,04,12,782)
DIVIDEND
In view of losses, your Directors regret their inability to propose any
dividend.
OPERATIONS
During the year, total income of the Company has decreased to Rs
1,350.93 lacs from Rs 2,013.60 lacs. Loss after tax for the year is Rs
180.77 lacs against Rs 27.35 lacs in the previous year.
CLOSURE OF PLANT
Due to continued losses and with no hope of any improvement in the
operations, the Company filed an application under Section 25-O of the
Industrial Disputes Act, 1947 with the Commissioner of Labour,
Maharashtra State, Mumbai for closure of the Textile plant at Akola.
The Commissioner of Labour, Maharashtra State, Mumbai vide their order
dated 25th September, 2008 granted permission for closure of the said
textile plant at Akola. The aggrieved Labour Unions have filed appeal
before the Industrial Tribunal against the said order and the matter is
pending before the Tribunal.
In view of pending appeal before the Industrial Tribunal, the effect of
the order of Commissioner of Labour, Maharashtra State, Mumbai has not
been given and the textile plant is in operation.
FIXED DEPOSITS
The Company has not accepted or renewed any fixed deposits during the
year.
DIRECTORS
Shri S.M.Soni and Shri S.G.Shukla, Directors of the Company who retire
by rotation at the forthcoming Annual General Meeting and being
eligible, offer themselves for re-appointment.
None of the Directors is disqualified under Section 274 (1) (g) of the
Companies Act, 1956.
AUDITORS
M/s.Vijay Rungta & Co., Chartered Accountants, Mumbai, retire as
Auditors of the Company and are eligible for re-appointment. The
Company has received a letter from M/s. Vijay Rungta & Co., Chartered
Accountants, Mumbai, expressing their willingness and eligibility to
act as Statutory Auditors of the Company under Section 224(1B) of the
Companies Act, 1956, if appointed.
COST AUDIT
Pursuant to the directives of the Central Government under the
provisions of Section 233B of the Companies Act, 1956, M/s. R. Nanabhoy
& Company, Cost Accountants, Mumbai, have been appointed as Cost
Auditors to conduct the cost audit of the product of the Company for
the year ended 31st March, 2012 and Cost Audit Report will be submitted
to the concerned authorities.
PARTICULARS OF EMPLOYEES
During the year, there was no employee in receipt of remuneration as
prescribed under Section 217(2A) of the Companies Act, 1956 read with
the Companies (Particulars of Employees) Amendment Rules, 2011.
CORPORATE GOVERNANCE
The Company has complied with the mandatory provisions of Corporate
Governance as stipulated in the Listing Agreement with the Stock
Exchange. A separate report on Corporate Governance alongwith the
requisite Auditors' Certificate is annexed and forms part of this
Annual Report.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE
EARNINGS AND OUTGO
Information pursuant to Section 217(1)(e) of the Companies Act, 1956,
read with the Companies (Disclosure of Particulars in the Report of the
Board of Directors) Rules, 1988 regarding conservation of energy,
technology absorption and foreign exchange earnings and outgo has been
given in a separate statement annexed hereto and forming part of this
Report.
SECRETARIAL COMPLIANCE CERTIFICATE
Secretarial Compliance Certificate received from M/s. Manish Ghia &
Associates, Practicing Company Secretaries, Mumbai, as required under
Section 383A of the Companies Act, 1956 for the financial year 2011-12
is annexed and forming part of this Annual Report.
STOCK EXCHANGE
The Company's equity shares are listed at BSE Limited and the Annual
Listing Fees for the year 2012-13 has been paid.
DIRECTORS'
RESPONSIBILITY STATEMENT
Pursuant to Section 217(2AA) of the Companies Act, 1956, on the basis
of information placed before them, the Directors state that:
(i) in the preparation of the annual accounts, the applicable
accounting standards have been followed along with proper explanation
relating to material departures; if any;
(ii) appropriate accounting policies have been selected and applied
consistently, and the judgments and estimates that have been made are
reasonable and prudent so as to give a true and fair view of the state
of affairs of the Company as at 31st March, 2012 and of the loss of the
Company for the said period;
(iii) proper and sufficient care has been taken 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) the annual accounts have been prepared on a going concern basis.
ACKNOWLEDGEMENT
Your Directors place on record their appreciation for the assistance
and support extended by all government authorities, financial
institutions, banks, consultants, solicitors and shareholders of the
company. The Directors express their appreciation for the dedicated and
sincere services rendered by the employees of the company.
For and on behalf of the Board of Directors
S.M.Soni
Sita Laxman
Mumbai, 14th May, 2012 Directors
Mar 31, 2011
The Members,
The Directors present the Annual Report, together with the Audited
Accounts for the year ended 31 st March, 2011.
FINANCIAL RESULTS
Year ended Previous Year ended
31.03.2011 31.03.2010
Rs. Rs.
Profit/(Loss) before Interest,
Depreciation, Taxation and
Extraordinary Items 35,82,387 67,00,255
Less: Interest 8,90,894 7,11,065
Less: Depreciation 49,33,732 49,15,451
Profit/(Loss) before Tax and
Extraordinary Items (22,42,239) 10,73,739
Less: Extraordinary Items - 31,64,713
Profit / (Loss) before Tax (22,42,239) (20,90,974)
Less: Deferred Tax (Assets)/
Liability 4,92,969 (47,14,824)
Taxes for earlier years - 1,18,760
Profit/(Loss) after Tax (27,35,208) 25,05,090
Balance brought forward from
previous year (2,76,77,574) (3,01,82,664)
Balance carried forward (3,04,12,782) (2,76,77,574)
DIVIDEND
In view of losses, your Directors regret their inability to propose any
dividend.
OPERATIONS
During the year, total income of the Company has increased to Rs.
2,190.85 lacs from Rs. 1,546.74 lacs. The Company has reported a net
loss of Rs. 27.35 lacs against net profit of Rs. 25.05 lacs in the
previous year.
CLOSURE OF PLANT
Due to continued losses and with no hope of any improvement in the
operations, the Company filed an application under Section 25-0 of the
Industrial Disputes Act, 1947 with the Commissioner of Labour,
Maharashtra State, Mumbai for closure of the Textile plant at Akola.
The Commissioner of Labour, Maharashtra State, Mumbai vide their order
dated 25th September, 2008 granted permission for closure of the said
textile plant at Akola. The aggrieved Labour Unions have filed appeal
before the Industrial Tribunal against the said order and the matter is
pending before the Tribunal.
In view of pending appeal before the Industrial Tribunal, the effect of
the order of Commissioner of Labour, Maharashtra State, Mumbai has not
been given and the textile plant at Akola is in operation.
FIXED DEPOSITS
The Company has not accepted or renewed any fixed deposits during the
year.
DIRECTORS
Shri R. L. Saboo resigned from the Directorship of the Company with
effect from 29th September, 2010. The Board places on record its
appreciation for the valuable services rendered by Shri R. L. Saboo
during his tenure as Director of the Company.
Under Article 156 of the Articles of Association of the Company, Shri
Girish Bagri and Smt. Sitalaxmi Narayanan, Directors retire by rotation
at the ensuing Annual General Meeting and being eligible, offer
themselves for re-appointment.
None of the Directors is disqualified under section 274 (1) (g) of the
Companies Act, 1956.
AUDITORS
M/s. Vijay Rungta & Co., Chartered Accountants, retire as Auditors of
the Company and are eligible for re-appointment. The Company has
received a letter from M/s. Vijay Rungta & Co., Chartered Accountants
expressing their willingness and eligibility to act as Statutory
Auditors of the Company under section 224(1 B) of the Companies Act,
1956, if appointed.
COST AUDIT
Pursuant to the directives of the Central Government under the
provisions of Section 233B of the Companies Act, 1956, M/s. R.
Nanabhoy & Co., Cost Accountants, have been appointed as Cost Auditors
to conduct the cost audit of the product of the Company for the year
ended 31 st March, 2011 and Cost Audit Report will be submitted to the
concerned authorities.
CORPORATE GOVERNANCE
The Company has complied with the mandatory provisions of Corporate
Governance as stipulated in the Listing Agreement with the Stock
Exchange. A separate report on Corporate Governance alongwith the
requisite Auditors' Certificate is annexed and forms part of this
Annual Report.
PARTICULARS OF EMPLOYEES
During the year under review, there was no employee in receipt of
remuneration as prescribed under Section 217 (2A) of the Companies Act,
1956.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE
EARNINGS AND OUTGO
Information pursuant to Section 217(1 )(e) of the Companies Act, 1956,
read with the.Companies (Disclosure of Particulars in the Report of the
Board of Directors) Rules, 1988 regarding conservation of energy,
technology absorption and foreign exchange earnings and outgo has been
given in a separate statement annexed hereto and forming part of this
Report.
SECRETARIAL COMPLIANCE CERTIFICATE
Secretarial Compliance Certificate received from M/s. Manish Ghia &
Associates, Practicing Company Secretaries, as required under Section
383A of the Companies Act, 1956 for the financial year 2010-11 is
annexed and forming part of this Annual Report.
STOCK EXCHANGE
The Company's equity shares are listed at Bombay Stock Exchange Ltd.,
and the Annual Listing Fees for the year 2011-12 has been paid.
DIRECTORS' RESPONSIBILITY STATEMENT
Pursuant to Section 217(2AA) of the Companies Act, 1956, on the basis
of information placed before them, the Directors state that:
(i) in the preparation of the annual accounts, the applicable
accounting standards have been followed along with proper explanation
relating to material departures, if any;
(ii) appropriate accounting policies have been selected and applied
consistently, and the judgments and estimates that have been made are
reasonable and prudent so as to give a true and fair view of the state
of affairs of the Company as at 31st March, 2011 and of the loss of the
Company for the said period;
(iii) proper and sufficient care has been taken 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) the annual accounts have been prepared on agoing concern basis.
ACKNOWLEDGEMENT
Your Directors place on record their appreciation for the assistance
and support extended by all government authorities, financial
institutions, banks, consultants, solicitors and shareholders of the
company. The directors express their appreciation for the dedicated and
sincere services rendered by the employees of the company.
For and on behalf of the Board of Directors
S.M.Soni
Mumbai, May 14, 2011 Sitalaxmi Narayanan ,
Registered Office:
30/Keshavrao Khadye Marg,
Directors
Sant Gadge Maharaj Chowk,
Mumbai-400 011.
Mar 31, 2010
The Directors present their Annual Report, together with the Audited
Accounts for the year ended 31st March, 2010.
FINANCIAL RESULTS
Year ended Previous Year
ended
31.03.2010 31.03.2009
Rs. Rs,
Profit/ (Loss) before Interest, Dpreciation
Taxation and
Extraordinary Items 67,00,255 (95,04,162)
Less: Interest 7,11,065 4,95,298
Less: Depreciation 49,15,451 49,40,685
Profit (less) before Tax and
Extraordinary Items 10,73,739 (1,49,40,145)
Less: Extraordinary Items 3164713 -
Profit/(Loss) before Tax (20,90,974) (1,49,40,145)
Less: Provision for Fringe Benefit Tax - 74,500
Deferred Tax (Assets)/Liability (47,14,824) 21,09,457
Taxes for earlier years 1,18,760 -
Profit/(Loss) after Tax 25,05,090 (1,71,24,102)
Balance brought forward from previous year (3,01,82,664) (1,30,58,562)
Balance carried forward (2,76,77,574) (3,01,82,664)
DIVIDEND
In view of brought forward losses, your Directors do not recommend any
dividend for the year ended 31 st March, 2010.
OPERATIONS
During the year, total income of the Company has increased to
Rs.1,546.74 lacs from Rs.1,254.07 lacs. Profit after tax for
CLOSURE OF PLANT
Due to continued losses and with no hope of any improvement in the
operations, the Company filed an application under Section 25-O of the
Industrial Disputes Act, 1947 with the Commissioner of Labour,
Maharashtra State, Mumbai for closure of the Textile plant at Akola.
The Commissioner of Labour, Maharashtra State, Mumbai vide their order
dated 25th September 2008 granted permission for closure of the said
textile plant at Akola. The aggrieved labour Unions have filed appeal
before the lndustrial Tribunal against the said order and the matter is
pending before the Tribunal.
In view of pending appeal before the Industrial Tribunal, the effect of
the order of Commissioner of Labour, Maharashtra
FIXED DEPOSITS
The Company has not accepted or renewed any fixed deposits during the
year. DIRECTORS
DIRECTORS
Shri S.G. Shukla was appointed as an Additional Director of the Company
with effect from 31 st October 2009 and as per the provisions of
Section 260 pf the Companies Act, 1956 (Act) holds office upto the date
of ensuing Annual General Meeting .The Company has received notice
along with requisite deposit from the member of the Company under
Section 257 of the Act, proposing his candidature for the office of
Directors of the Company.
Under Article 156 of the Article of Association of the company, Shri
R.L. Saboo and Shri O.D Purohit, Directors retires by rotation at the
ensuing Annual General Meeting and being eligible, offer themselves for
re-appointment.
None of the Directors is disqualified under section 274 (1) (g) of the
Companies Act, 1956.
AUDITORS
M/s Vijay Rungta & Co, Chartered Accountants, retire as Auditors of the
Company and are eligible for re-appointment The Company has received a
letter from M/s Vijay Rungta & Co. Chartered Accountants expressing
their willingness and eligibility to act as Statutory Auditors of the
Company under section 224(1B) of the Companies Act, 1956, if appointed.
COST AUDIT
Pursuant to the directives of the Central of the Central Govemment
under the provisions of Section 233B of the Companies Act, 1956, M/s.
R. Nanabhoy & Co. Cost Accountants have been appointed as Cost Audit
report will be submitted to the concemed authorities.
CORPORATE GOVERNANCE
The Company has complied with the mandatory provisions of Corporate
Govemance as stipulated in the Listing Agreement with the stock
Exchange. A separate report on Coporate Govemance along with the
requisite Auditors Certificate is annexed and forms part of this Annual
Report.
PARTICULARS OF EMPLOYEES
During the year under review, there was no employee in receipt of
remuneration as prescribed under Section 217 (2A) of
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE
EARNINGS AND OUTGO
Information pursuant to Section 217 (1) (e) of the Companies Act, 1956,
read with the Companies (Disclosure of Particulars in the Report of the
board of Directors) Rules, 1988 regarding conservation of energy,
technology absorption and foreign exchange earings and outgo has been
given in a separate statement annexed hereto and forming of this Report.
SECRETARIAL COMPLIANCE CERTIFICATE
Secretarial Compliance Certificate received from M/s. Manish Ghia &
Associates. Practicing Company Secretaries, as required under Section
38 3A of the Companies Act, 1956 for the financial year 2009-10 is
annexed and forming part of this Report.
DIRECTORS" RESPONSIBILITY STATEMENT
Pursuant to Section 217(2AA) of the Companies Act, 1956, on the basis
of information placed before them, the Directors state that: (i) in the
preparation of the annual accounts, the applicable accounting standars
have been followed along with proper explanation relating to material
departures; if any;
(ii) appropriate accounting policies have been selected and applied
consistently, and the judments and estimates that have been made are
reasonable and prudent so as to give a true and fair view of the state
of affairs of the Company as at 31 st March, 2010 and of the profit of
the Company for the said period:
(iii) proper and sufficiant care has been taken for the maintenance of
adequate accounting recoreds 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) the annual accounts on a going concern basis.
ACKNOWLEDGEMENT
For and on behalf of the Board of Directors
S.M.Soni
Mumbai,May 21,2010
Registered Office: R.L.Saboo
30, Keshavrao Khadye Marg,
sant Gadge maharaj Chowk,
Mumbai - 400 011.
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