Mar 31, 2016
c) 47,86,891 Equity Shares are held by Sumeru Ayurveda Private Limted, the holding company as on 31st March, 2016 (Previous Year 44,50,000 Equity Shares)
1. The Deputy Commissioner (C.T.) had vide his Assessment order No. 2467/199-2000 has confirmed the action of C.T.O. Gowliguda and had issued a revised order to collect additional sales tax of Rs. 6,81,265 for the year 1999-2000. The company has effected payment of Rs. 3,40,633 towards 50% payment in respect of disputed sales tax liability for the Assessment year 1999-2000 pursuant to the order from Additional Commissioner. The Company received an order dated November 07, 2013 from the Deputy Commissioner that Rs. 343,633/- needs to be paid by the Company towards the sales tax collected during the period 1999-2000. The Company is yet to receive sales tax recovery order from the department for the same.
2. ESI Department has issued a show cause notice for Rs, 5,51,907 on adhoc basis vide their letter No. AP/Ins. I/52-5639-34/359 dated 26.11.2007 towards omission of contribution on different heads for the period 1999-2000 to 2001-2002. In contest to the Show Cause Notice, company has filed petition for stay vide No.436/09 in Employees Insurance Court, Andhra Pradesh, Hyderabad on 12.03.2009 and obtained stay order. Company has filed a petition challenging the order passed under section 45-A of the ESI Act and the subsequent recovery order issued by the department. The matter is before the ESI court at Hyderbad and the company is attending to the hearings and contesting that the said amount is not payable by company.
3. Commissioner of Central Excise, Hyderabad - IV has appealed to CESTAT against Order No. 7/2006 dated 31.10.2006 of Commissioner (Appeals-II). The Appellate tribunal dismissed the case in favour of the Company vide order passed on 21/11/2013 against which the department has went for an appeal in the tribunal. The Company had filed memorandum of objections against the appeal made by the department. Amount involved in the case is Rs. 13,42,727/This matter has been transferred to Hyderabad Office of the Central Excise Department and from now onwards the proceedings will be continued at Hyderabad Office of the Department.
4. The Assessment Order under CST Act 1956 was served on the Company on July 02, 2013. The order mentioned that net turnover of Rs. 16,30,835/- was not covered by C Forms and tax at 12.5% is payable on the same which amounts to Rs. 1,96,769/- along with the tax on interstate sales.
The Company had not received any prior communication before serving the Assessment Order and has filed an appeal before the Deputy Commissioner- Appeals by making a deposit of 12.5% on August 01, 2013.
Appeal is completed, Final Order from the department is awaited for. The Company had deposited Rs. 25,000 for the appeal. Consultant is following up for the order.
Further Re assessment order vide No.55926 under CST Act 1956 dated 28.11.2013 pertaining to the financial year 2009-10 was received . The order mentioned the balance tax payable is Rs.5,133/ only. This will be adjusted against existing CST credit of Rs.21,586.
5. The ongoing revenue/civil matter with PIL (Pochiraju Industries Limited) has not progressed for redressal of resolution . Hence the financial implications of the same are not ascertainable.
6. The Company had received order from Additional Commissioner of excise department for having availed cenvat credit without having any supporting documents during the month of October 2007 for an amount of Rs. 5,11,930/- even though the Company later submitted photocopies of all the invoices. The Company had filed a petition before Commissioner (Appeals) against the order of Additional Commissioner on April 30, 2013. The Commissioner (Appeals) passed an order in favour of the Company on September 20, 2013. The department later has appealed to the Central Excise Tribunal against the order passed by the Commissioner (Appeals). The Company has filed the memorandum of objections against the appeal with the tribunal.
The tribunal has rejected the appeal filed by the Department as the amount involved in this case is less than Rupees 10 lacs. Further communication from the Department is awaited.
7. The Company has received notice from Income Tax Department vide letter no. AAAC14536Q/1-101/07-08 proposing to disallow the deduction of work in progress for an amount of Rs. 30,62,512. The Company had filed appeal before the Commissioner of Income Tax Appeals-2 which was dismissed vide order dated April 13, 2015. The Company will be filing an appeal against the same with Income Tax Appellate Tribunal. If the said amount is eventually disallowed, the companyâs loss as per Income Tax will be reduced.
Against the order of commissioner of Income Tax Appeals the company was in appeal before Income Tax Appellate Tribunal and Income Tax Appellate Tribunal has set aside the order of commissioner of Income Tax Appeal and sent the matter back to Commissioner of Income Tax Appeal for re-adjudicating the appeal.
8. Segment Reporting as per Accounting Standard - 17
Business Segment: The company is operating in a single segment ie. Ayurvedic Medicines and Health Supplements.
Geographical Segment: The company presently caters the needs of Indian public and the company is not operating in different economic environments and hence no information is provided under this standard.
Disclosure as required by the Accounting Standard 18 of the Institute of Chartered Accountants of India are given below:
Sumeru Ayurveda Private Limited Holding Company
Mr. Arvind Varchaswi N. Key Managerial Personnel
Mr. Narayanan Narasimhan Director
Mr. Vijayendra R Company Secretary,
Key Managerial Personnel
Sumeru Travel Solutions LLP Limited Liability Partnership
Sumeru Aviation LLP Limited Liability Partnership
Divine Services Partnership Firm
Madhurya Partnership Firm
Arvind Exports Partnership Firm
Broadvision Services Private Limited Private Limited Company
Advance Vital Enzymes Private Limited Private Limited Company
Advance Enzyme Technologies Limited Public Limited Company Broadvision Perspectives India Private Limited Private Limited Company Amar Bio Organics (India) Private Limited Private Limited Company
Mar 31, 2015
1 44,50,000 Equity Share are held by Sumeru Ayurveda Private Limited,
the holding company as on 31st March, 2015 (Previous Year 35,50,000
Equity Shares)
2 Contingent Liabilities Rs. In Lakhs
As on 31.03.2015 As on 31.03.2014
a. Bank guarantee against where Nil Nil
counter Guarantee have been
given
b. Claims against the Company not Nil Nil
acknowledged as debt
3 The Deputy Commissioner (C.T.) had vide his Assessment order No.
2467/199-2000 has confirmed the action of C.T.O. Gowliguda and had
issued a revised order to collect additional sales tax of Rs. 6,81,265
for the year 1999-2000. The company has effected payment of Rs.
3,40,633 towards 50% payment in respect of disputed sales tax
liability for the Assessment year 1999-2000 pursuant to the order from
Additional Commissioner. The Company received an order dated November
07, 2013 from the Deputy Commissioner that Rs. 343,633/- needs to be
paid by the Company towards the sales tax collected during the period
1999-2000. The Company is yet to receive sales tax recovery order from
the department for the same.
4 ESI Department has issued a show cause notice for Rs, 5,51,907 on
adhoc basis vide their letter No. AP/Ins. 1/52-5639-34/359 dated
26.11.2007 towards omission of contribution on different heads for the
period 1999-2000 to 2001-2002. In contest to the Show Cause Notice,
company has filed petition for stay vide No.436/09 in Employees
Insurance Court, Andhra Pradesh, Hyderabad on 12.03.2009 and obtained
stay order. Company has filed a petition challenging the order passed
under section 45-A of the ESI Act and the subsequent recovery order
issued by the department.
5 Commissioner of Central Excise, Hyderabad - IV has appealed to
CESTAT against Order No. 7/2006 dated 31.10.2006 of Commissioner
(Appeals-II). The Appellate tribunal dismissed the case in favour of
the Company vide order passed on 21/11/2013 against which the
department has went for an appeal in the tribunal. The Company had
filed memorandum of objections against the appeal made by the
department. Amount involved in the case is Rs. 13,42,727/-
6 The Assessment Order No. 2944 under CST Act 1956 was served on
the Company on July 02, 2013 pertaining to the FY 2009-10. The order
mentioned that net turnover of Rs. 16,30,835/-was not covered by C
Forms and tax at 12.5% is payable on the same which amounts to Rs.
196,769/- along with the tax on inter state sales. The Company had not
received any prior communication before serving the Assessment Order
and has filed an appeal before the Appeal Deputy Commissioner by
making a deposit of 12.5% on August 01, 2013. Company has deposited
Rs. 26719/- for the appeal. Final order from the department is awaited
for.
Further Re Assessment order vide No.55926 under CST Act 1956 on dated
28/11/2013 pertaining to the FY 2009-10. The order mentioned only
Balance tax payable is Rs.5133/-. The
Company has to file the letter at department for Adjustment against
which is excess credit of Rs.21,586 /- available during the year.
7 The ongoing revenue/civil matter with PIL (Pochiraju Industries
Limited) has not progressed for redressal of resolution. Hence the
financial implications of the same are not ascertainable.
8 The Company had received order from Additional Commissioner of
excise department for having availed cenvat credit without having any
supporting documents during the month of October 2007 for an amount of
Rs. 5,11,930/- even though the Company later submitted photocopies of
all the invoices. The Company had filed a petition before Commissioner
(Appeals) against the order of Additional Commissioner on April 30,
2013. The Commissioner (Appeals) passed an order in favour of the
Company on September 20, 2013. The department later has appealed to
the Central Excise Tribunal against the order passed by the
Commissioner (Appeals). The Company has filed the memorandum of
objections against the appeal with the tribunal.
9 The Company has received notice from Income Tax Department vide
letter no. AAAC14536Q/1-101/07-08 proposing to disallow the deduction
of work in progress for an amount of Rs. 30,62,512. The Company had
filed appeal before the Commissioner of Income Tax Appeals-2 which was
dismissed vide order dated April 13, 2015. The Company will be filing
an appeal against the same with Income Tax Appellate Tribunal. If the
said amount is eventually disallowed, the company's loss as per
Income Tax will be reduced and there is no constitutionally
liabilities . The company has prepared for file the appeal before IT
return.
10. Segment Reporting as per Accounting Standard -17
Business Segment: The company is operating in a single segment ie.
Ayurvedic Medicines and Health Supplements.
Geographical Segment: The company presently caters the needs of Indian
public and the company is not operating in different economic
environments and hence no information is provided under this standard.
11. Related Party Disclosure
Disclosure as required by the Accounting Standard 18 ofthe Institute
of Chartered Accountants of India are given below:
Sumeru Ayurveda Private Limited Holding Company
Mr. Arvind Varchaswi N. Key Managerial Personnel
Mr. Narayanan Narasimhan Director
Ms. Rashmi P.G. Company Secretary, Key Managerial
Personnel
Sumeru Travel Solutions LLP Limited Liability Partnership
Sumeru Aviation LLP Limited Liability Partnership
Divine Services Partnership Firm
Madhurya Partnership Firm
Arvind Exports Partnership Firm
Broadvision Services
Private Limited Private Limited Company
Advance Vital Enzymes
Private Limited Private Limited Company
Advance Enzyme Technologies
Limited Public Limited Company
Broadvision Perspectives
India Private Limited Private Limited Company
Amar Bio Organics (India)
Private Limited Private Limited Company
12. Figures for the previous year have been re-grouped, re-classified
and rearranged wherever necessary.
13. Since the Company is not aware of the SSI Status of its creditors,
the amounts due to them have not been identified.
14. Paisa have been rounded off to the nearest rupee.
Mar 31, 2014
1.1 Contingent Liabilities Rs. In Lakhs
As on 31.03.2014 As on 31.03.2013
a. Bank guarantee against where Nil Nil
counter Guarantee have been given
b. Claims against the Company not Nil Nil
acknowledged as debt
1.2 The Deputy Commissioner (C.T.) had vide his Assessment order No.
2467/199-2000 has confirmed the action of C.T.O. Gowliguda and had
issued a revised order to collect additional sales tax of Rs. 6,81,265
for the year 1999-2000. The company has effected payment of Rs.
3,40,633 towards 50% payment in respect of disputed sales tax liability
for the Assessment year 1999-2000 pursuant to the order from Additional
Commissioner. The Company received a order dated November 07, 2013 from
the Deputy Commissioner that Rs. 343,633/- needs to be paid by the
Company towards the sales tax collected during the period 1999-2000.
1.3 ESI Department has issued a show cause notice for Rs, 5,51,907 on
adhoc basis vide their letter No. AP/Ins. I/52-5639-34/359 dated
26.11.2007 towards omission of contribution on different heads for the
period 1999-2000 to 2001-2002. In contest to the Show Cause Notice,
company has filed petition for stay vide No.436/09 in Employees
Insurance Court, Andhra Pradesh, Hyderabad on 12.03.2009 and obtained
stay order. Company has now filed a petition challenging the order
passed under section 45-A of the ESI Act and the subsequent recovery
order issued by the department.
1.4 Commissioner of Central Excise, Hyderabad  IV has appealed to
CESTAT against Order No. 7/2006 dated 31.10.2006 of Commissioner
(Appeals-II). The Appellete tribunal dismissed the case in favour of
the Company vide order passed on 21/11/2013 against which the
department has went for an appeal in the tribunal. The Company has
filed memorandum of objections against the appeal made by the
department. Amount involved in the case is Rs. 13,42,727/- 22.5 We
received a notice dated March 28, 2014 from the EPF department on April
2014 stating that there were certain belated payments being made by the
Company for a period from 01/04/2000 to 31/12/2013 and the total amount
of penalty and interest were charged to the Company for Rs. 1,25,557/-.
Out of which Rs. 463 pertains to the belated payments made in the
period from 2010-2012. The Company replied to the department that
penalty amount upto March 2000 was already paid and we are waiting for
the reply from the department.
1.5 ESI Department also raised a demand for Rs.8479 on actual basis
vide their letter No. AP/Ins. I/52-5639-34/540 dated 27.11.2007
towards short payment of contributions for the period 04/01 to 08/01,
10& 11/01, 01/02 to 03/02, 04/02 to 05/02, 10/02 to 02/03.
1.6 PIL (Pochiraju Industries Limited) filed a petition on 23.01.2008
at III Additional Chief Judge, City Civil Court vide O.P.No.138/2008
for arbitration and for not to open locks of the factory. The Hon''ble
judge after hearing dismissed the case.
PIL demanded Rs. 71.00 lakhs (Rs. 60.00 lakhs Security Deposit and
Rs.11.00 lakhs towards commission for providing Technical Know how)
vide their notice dated 25.03.2008.
The Company had to receive an amount of Rs. 53,67,803 for the year
2007-08 and 2008-09 from PIL. Hence Inwinex had adjusted the said
amount from Rs. 60.00 lakhs of Security Deposit during 2009-10. Further
during 2009-10 the company had adjusted an amount of Rs.3.00 lakhs
towards Rent.
As the case is under Arbitration, if the Company is unable to adjust
the said amounts against Security Deposit then the loss of the company
will increase by Rs. 56,67,803.
The Court has dismissed the money suit case amounting to Rs. 11 lakhs
since the other party did not submit the relevant documents.
1.7 The Company had received order from Additional Commissioner of
excise department for having availed cenvat credit without having any
supporting documents during the month of October 2007 for an amount of
Rs. 5,11,930/- even though the Company later submitted photocopies of
all the invoices. The Company had filed a petition before Commissioner
(Appeals) against the order of Additional Commissioner on April 30,
2013. The Commissioner (Appeals) passed an order in favour of the
Company on September 20, 2013. The department later has appealed to
the Central Excise Tribunal against the order passed by the
Commissioner (Appeals). The Company has filed the memorandum of
objections against the appeal with the tribunal.
1.8 The Company has received notice from Income Tax Department vide
letter no. AAAC14536Q/1-101/07-08 proposing to disallow the deduction
of work in progress for an amount of Rs. 30,62,512. If the said amount
is eventually disallowed, the company''s loss as per Income Tax will be
reduced.
1.09 Deposits under Other Current Assets include amounts aggregating
to Rs. 4,84,619 paid during the year towards arrear APGST for the years
1996-97, 1997-98 and 1998-99 against arrear notice dated 20.10.2009.
1.10 Deferred Revenue Expenditure:
During 2009-10 the company had incurred certain expenditure of non
recurring nature like payment of underwriting commission, capital
reduction scheme expenses, etc which were deferred for a period of five
years commencing from 2009-10.
1.11 The Company has adopted AS 22 Â Accounting for Taxes on Income.
The accumulated net deferred tax asset on account of timing difference
between book and tax loss has not been recognised due to virtual
uncertainty that there will be future taxable income in near future
available to realise such losses.
2. Segment Reporting as per Accounting Standard  17
Business Segment: The company is operating in a single segment ie.
Ayurvedic Medicines and Health Supplements.
Geographical Segment: The company presently caters the needs of Indian
public and the company is not operating in different economic
environments and hence no information is provided under this standard.
3. Figures for the previous year have been re-grouped, re-classified
and rearranged wherever necessary.
4. Since the Company is not aware of the SSI Status of its creditors,
the amounts due to them have not been identified.
5. Paisa have been rounded off to the nearest rupee.
Mar 31, 2013
1.1 The Deputy Commissioner (C.T.) had vide his Assessment order No.
2467/199-2000 has confirmed the action of C.T.O. Gowliguda and had
issued a revised order to collect additional sales tax of Rs. 6,81,265
for the year 1999-2000. The company has effected payment of Rs.
3,40,633 towards 50% payment in respect of disputed sales tax liability
for the Assessment year 1999-2000 pursuant to the order from Additional
Commissioner. The Company later appealed to Sales Tax Appellate
Tribunal wherein the tribunal has allowed appeal against the revision
orders of the department vide STAT''s order dated 01-12-2010 vide TA No.
936/2001 and has directed the revisional authority to The Company
received a notice from the Deputy Commissioner that Rs. 17,320 payable
for which the Company replied that Tribunal Order needs to be
considered and Rs. 342,633/- which is deposited before appeal needs to
be refunded.
1.2 ESI Department has issued a show cause notice for Rs, 5,51,907 on
adhoc basis vide their letter No. AP/Ins. I/52- 5639-34/359 dated
26.11.2007 towards omission of contribution on different heads for the
period 1999-2000 to 2001-2002. In contest to the Show Cause Notice,
company has filed petition for stay vide No.436/09 in Employees
Insurance Court, Andhra Pradesh, Hyderabad on 12.03.2009 and obtained
stay order. Company has now filed a petition challenging the order
passed under section 45-A of the ESI Act and the subsequent recovery
order issued by the department.
1.3 ESI Department also raised a demand for Rs.8479 on actual basis
vie their letter No. AP/Ins. I/52-5639-34/540 dated 27.11.2007 towards
short payment of contributions for the period 04/01 to 08/01, 10&
11/01, 01/02 to 03/02, 04/02 to 05/02, 10/02 to 02/03.
1.4 PIL (Pochiraju Industries Limited) filed a petition on 23.01.2008
at III Additional Chief Judge, City Civil Court vide O.P.No.138/2008
for arbitration and for not to open locks of the factory. The Hon''ble
judge after hearing dismissed the case.
PIL demanded Rs. 71.00 lakhs (Rs. 60.00 lakhs Security Deposit and
Rs.11.00 lakhs towards commission for providing Technical Know how)
vide their notice dated 25.03.2008.
Inwinex had to receive an amount of Rs. 53,67,803 for the year 2007-08
and 2008-09 from PIL. Hence Inwinex had adjusted the said amount from
Rs. 60.00 lakhs of Security Deposit during 2009-10. Further during
2009-10 the company had adjusted an amount of Rs.3.00 lakhs towards
Rent.
As the case is under Arbitration, if the Company is unable to adjust
the said amounts against Security Deposit then the loss of the company
will increase by Rs. 56,67,803.
The Court has dismissed the money suit case amounting to Rs. 11 lakhs
since the other party did not submit the relevant documents.
1.5 The Company has received order from Additional Commissioner of
excise department for having availed cenvat credit without having any
supporting documents during the month of October 2007 for an amount of
Rs. 5,11,930/- even though the Company later submitted photocopies of
all the invoices. The Company has filed a petition before Commissioner
(Appeals) against the order of Additional Commissioner on April 30,
2013.
1.6 The Company has received notice from Income Tax Department vide
letter no. AAAC14536Q/1-101/07-08 proposing to disallow the deduction
of work in progress for an amount of Rs. 30,62,512. If the said amount
is eventually disallowed, the company''s loss as per Income Tax will be
reduced.
1.7 Deposits under Other Current Assets include amounts aggregating to
Rs. 4,84,619 paid during the year towards arrear APGST for the years
1996-97, 1997-98 and 1998-99 against arrear notice dated 20.10.2009.
1.8 Deferred Revenue Expenditure:
During 2009-10 the company had incurred certain expenditure of non
recurring nature like payment of underwriting commission, capital
reduction scheme expenses, etc which were deferred for a period of five
years commencing from 2009-10.
1.9 The Company has adopted AS 22 Â Accounting for Taxes on Income.
The accumulated net deferred tax asset on account of timing difference
between book and tax loss has not been recognised due to virtual
uncertainty that there will be future taxable income in near future
available to realise such losses.
2. Segment Reporting as per Accounting Standard  17
Business Segment: The company is operating in a single segment ie.
Ayurvedic Medicines and Health Supplements.
Geographical Segment: The company presently caters the needs of Indian
public and the company is not operating in different economic
environment and hence no information is provided under this standard.
3. Related Party Disclosure
Disclosure as required by the Accounting Standard 18 of the Institute
of Chartered Accountants of India are given below:
Sumeru Ayurveda Private Ltd Holding Company
Mr. Arvind Varchaswi N. Key Managerial Personnel
Mr. Narayanan Narasimhan Relative of Key Managerial Personnel
Sumeru Travel Solutions LLP Limited Liability Partnership
Sumeru Aviation Private Ltd Associate Company
Divine Services Partnership Firm
Madhurya Partnership Firm
Arvind Exports Partnership Firm
Broadvision Services Private Ltd Associate Company
Advance Vital Enzhymes Limited Associate Company
Advance Enzyme Technologies Limited Associate Company
Broadvision Prospective India Private Limited Associate Company
Amar Bio Organics (India) Private Limited Associate Company
Sri Sri Ayurveda Trust Associate Entity
4. Figures for the previous year have been re-grouped, re-classified
and rearranged wherever necessary.
5. Since the Company is not aware of the SSI Status of its creditors,
the amounts due to them have not been iden
6. Paisa have been rounded off to the nearest rupee.
Mar 31, 2012
A) 28,50,000 Equity Shares are held bv Sumeru Ayurveda Private Limted,
the holdinq company as on March 31, 2012 (Previous Year 28,50,000
Equity Shares)
1.1 Contingent Liabilities Rs. In Lakhs
As on 31.03.2012 As on 31.03.2011
a. Bank guarantee against where
counter Nil Nil
Guarantee have been given
b. Claims against the Company not Nil Nil
acknowledged as debt
C. The Deputy Commissioner (C.T.) has vide his Assessment order No.
2467/199-2000 has confirmed the action of C.T.O. Gowliguda and has
issued a revised order to collect additional sales tax of Rs.
6,81.265 for the year 1999-2000. The Additional Commissioner (C.T.)
legal vide his order LI 1(1 )564/2004 dated 22.03.2004 passed on a
order staying the collection as the disputed tax subject to the
condition that the Company shall pay 50% before 30.03.2004 pending
disposal of the main appeal before STAT. The company has effected
payment of Rs. 3,40,633 towards 50% payment in respect of disputed
sales tax liability for the Assessment year 1999-2000. Pending final
disposal of the disputed liability, the same has been reflected under
loans and advances.
1.2 ESI Department has issued a show cause notice for Rs, 5,51,907 on
adhoc basis vide their letter No. AP/Ins. 1/52-5639-34/359 dated
26.11.2007 towards omission of contribution on different heads for the
period 1999-2000 to 2001-2002. In contest to the Show Cause Notice,
company has filed petition for stay vide No.436/09 in Employees
Insurance Court, Andhra Pradesh, Hyderabad on 1203.2009 and obtained
stay order.
1.3 ESI Department also raised a demand for Rs.8479 on actual basis
vie their letter No. AP/Ins. 1/52- 5639-34/540 dated 27.11.2007 towards
short payment of contributions for the period 04/01 to 08/01, 10&
11/01, 01/02 to 03/02, 04/02 to 05/02, 10/02 to 02/03.
1.4 Commissioner of Central Excise, Hyderabad -IV has appealed to
CESTAT against the Order No.7/2006 dated 31.10.2006 of Commissioner
(Appeals-II) for stay and set aside the order of the Commissioner
(Appeals -II). Amount involved in the Appeal is Rs. 13,42,727.
1.5 PIL (Pochiraju Industries Limited) filed a petition on 23.01.2008
at III Additional Chief Judge, City Civil Court vide O.P.No. 138/2008
for arbitration and for not to open locks of the factory. The Hon'ble
judge after hearing dismissed the case.
PIL demanded Rs. 71.00 lakhs (Rs. 60.00 lakhs Security Deposit and Rs.
11.00 lakhs towards commission for providing Technical Know how) vide
their notice dated 25.03.2008.
Inwinex had to receive an amount of Rs. 53,67,803 for the year 2007-08
and 2008-09 from PIL. Hence Inwinex had adjusted the said amount from
Rs. 60.00 lakhs of Security Deposit during 2009-10. Further during
2009-10 the company had adjusted an amount of Rs.3.00 lakhs towards
Rent.
As the case is under Arbitration, if the Company is unable to adjust
the said amounts against Security Deposit then the loss of the company
will increase by Rs. 56,67,803.
1.6 The Company has received a show cause notice from the excise
department for having availed cenvat credit without having any
supporting documents during the month of October 2007 for an amount of
Rs. 5,11,930/-. However, the Company later submitted photocopies of all
the invoices. Reply from the department has been awaited.
1.7 Deposits under Other Current Assets include amounts aggregating to
Rs. 4,84,619 paid during the year 1 towards arrear APGST for the years
1996-97, 1997-98 and 1998-99 against arrear notice dated 20.10.2009.
1.8 Deferred Revenue Expenditure:
During 2009-10 the company had incurred certain expenditure of non
recurring nature like payment of underwriting commission, capital
reduction scheme expenses, etc which were deferred for a period of five
years commencing from 2009-10.
1.9 The Company has adopted AS 22 - Accounting for Taxes on Income.
The accumulated net deferred tax asset on account of timing difference
between book and tax loss has not been recognised due to virtual
uncertainty that there will be future taxable income in near future
available to realise such losses.
2. Segment Reporting as per Accounting Standard - 17
Business Segment: The company is operating in a single segment ie.
Ayurvedic Medicines and Health
Supplements.
Geographical Segment: The company presently caters the needs of Indian
public and the company is not
operating in different economic environment and hence no information is
provided under this standard.
3. Figures for the previous year have been re-grouped, re-classified
and rearranged wherever necessary.
4. Since the Company is not aware of the SSI Status of its creditors,
the amounts due to them have not been identified.
5. Paisa have been rounded off to the nearest rupee.
Mar 31, 2010
Rs in Lacs
1. Contingent Liabilities As on As on
31.03.10 31.03.09
a. Bank guarantee against where
counter Guarantee Nil Nil
has been given
b. Claim against the Company not
acknowledge as debt Nil Nil
c. State subsidy subject to
compliance of certain Nil 20.00
Conditions
d. The Deputy Commissioner (C.T.) has vide his Assessment order No.
2467/1999-2000 has confirmed the action of C.T.O. Gowliguda and has
issued a revised order to collect additional sales tax of Rs.6,81,265/-
for the year 1999-2000. The Additional Commissioner (C.T.) legal vide
his order LIl(l)/564/2004 dated 22.03.2004 passed an a order staying
the collection as the disputed tax subject to the condition that the
company shall pay 50% before 30.03.2004 pending disposal of the main
appeal before STAT. The company has effected payment of Rs.3,40,633/-
towards 50% payment in respect of disputed sales tax liability for the
Assessment year 1999-2000. Pending final disposal of the disputed
liability, the same has been reflected under loans and advances.
2. ESI Department has issued a show cause notice for Rs.551,907 on
adhoc basis vide their letter No.AP/Ins.I/52-5639-34/539 dated
26.11.2007 towards omission of contribution on different heads for the
period 1999-2000 to 2001-2002. In contest to the Show Cause Notice,
company has filed petition for stay vide No.436/09 in Employees
Insurance court, Andhra Pradesh, Hyderabad on 12.03.2009 & obtained
stay order.
3. ESI Department also raised a demand for Rs.8479/- on actual basis
vide their letter No.AP/Ins.I/52- 5639-34/540 dated 27.11.2007 towards
short payment of contributions for the period 04/01 to 08/01, 10 &
11/01, 01/02 to 03/02, 04/02 to 05/02, 10/02 to 02/03.
4. Commissioner of Central Excise, Hyderabad - IV has appealed to
CESTAT against the Order No.7/2006 dated 31.10.2006 of Commissioner
(Appeals -II) for stay & set aside the order of the Commissioner
(Appeals-II). Amount involved in the Appeal is Rs. 13,42,727/-.
5. PIL (Pochiraju Industries Limited) filed a petition on 23.01.2008
at III Additional Chief Judge, City Civil Court vide O.P.No. 138/2008
for arbitration and for not to open locks of the factory. The Honble
judge after hearing dismissed the case.
PIL demanded Rs.71.00 Lacs (Rs.60.00 Lacs Security Deposit & Rs. 11.00
Lacs towards Commission for providing Technical Know how) vide their
notice dated 25.03.2008.
Inwinex has to receive an amount of Rs.5367803/- for the year 2007-2008
& 2008-2009 from PIL. Hence, Inwinex has adjusted the said amount from
Rs.60.00 Lacs of Security Deposit.
Further during the financial year, company has adjusted an amount of
Rs.300,000/- towards Rent.
As the case is under Arbitration, if the Company is unable to adjust
the said amount against Security Deposit then the loss of the company
will increase by Rs.56,67,803/-.
6. Excise Duty of Rs. 13,952/- is charged to Profit & Loss Account.
7. Deferred Revenue Expenditure:
During the year company has incurred certain expenditure of non
recurring nature like payment of underwriting commission, capital
reduction scheme expenses, etc which were deferred to current and
subsequent four years equally.
8. During the year, the company has adjusted state subsidy of
Rs.20,00,000 against Plant and Machinery.
9. The Company has adopted AS 22 - Accounting for Taxes on Income. The
accumulated net deferred tax assets amounts to Rs. 146.65 Lacs on
account of timing differences between book and tax losses as on
1.4.2010.
The Company has not recognized the above deferred tax assets due to
virtual uncertainty that there will be future taxable income available
to realize such losses.
10. ADDITIONAL INFORMATION PURSUANT TO THE PROVISIONS OF PARAGRAPHS 3,
4C & 4D OF PART II OF THE SCHEDULE VI OF THE COMPANIES ACT,1956.
A. CLASS OF GOODS CAPACITY AND PRODUCTION :
Class of goods manufactured : Allopathic & Ayurvedic Formulations
I. Licensed Capacity : NOT APPLICABLE
II. Installed Capacity : As certified by management
11. Prior period adjustments is Rs.Nil
12. Balance of Sundry Creditors, Sundry debtors, Loans, advances and
deposits are subject to confirmation from parties concerned and
reconciliation thereof.
13. Segment reporting as per Accounting Standard - 17
Business Segment : The Company is operating in two segments i.e.
Allopathic and Ayurvedic Formulations. The revenue generated by the
Allopathic formulations is Nil. Hence, it is not required to disclose
figures for both the segments separately.
Geographical Segment : The Company presently caters the needs of the
Indian public and the company is not operating in different economic
environment and hence no information is provided under this standard.
14. RELATED PARTY DISCLOUSERS
Disclosures as required by the Accounting Standard 18 of the Institute
of Chartered Accountants of India are given below:
a) Ionic Healthcare Private Ltd. Associate Company
Jenirik Products Partnership firm
Sumeru Ayurveda Pvt. Ltd Associate Company
Arvind Varchaswi Director, Sumeru Ayurveda
Pvt. Ltd.
Narasimhan. N Director, Sumeru Ayurveda
Pvt. Ltd
Ashok Kumar Agarwal Brother of Sri Ramesh
Chandra Agarwal
b) Key Management Personnel
Ramesh Chandra Agarwal Managing Director
Manmohan Agarwal Executive Director
15. Figures for the previous year have re-grouped, re-classified and
rearranged wherever necessary.
16. Since the Company is not aware of the SSI status of its creditors,
the amounts due to them have not been identified.
17. Paise have been rounded off to the nearest rupee.
Mar 31, 2009
Rs in Lacs
1. Contingent Liabilities As on As on
31.03.09 31.03.08
a. Bank guarantee against where counter
Guarantee has been given Nil Nil
b. Claim against the Company not acknowledge
as debt Nil Nil
c. State subsidy subject to compliance of
certain Conditions 20.00 20.00
d. The Deputy Commissioner (C.T.) has vide his Assessment order No.
2467/1999-2000 has confirmed the action of C.T.O. Gowliguda and has
issued a revised order to collect additional sales tax of Rs.6,81,265/-
for the year 1999-2000. The Additional Commissioner (C.T.) legal vide
his order L11(l)/564/2004 dated 22.03.2004 passed an a order staying
the collection as the disputed tax subject to the condition that the
company shall pay 50% before 30.03.2004 pending disposal of the main
appeal before STAT. The company has effected payment of Rs.3,40,633/-
towards 50% payment in respect of disputed sales tax liability for the
Assessment year 1999-2000. Pending final disposal of the disputed
liability, the same has been reflected under loans and advances.
2. ESI Department has issued a show cause notice for Rs.551,907 on
adhoc basis vide their letter No.AP/Tns.I/52-5639-34/539 dated
26.11.2007 towards omission of contribution on different heads for the
period 1999-2000 to 2001-2002. In contest to the Show Cause Notice,
company has filed petition for stay vide No.436/09 in Employees
Insurance court, Andhra Pradesh, Hyderabad on 12.03.2009 & obtained
stay order.
3. ESI Department also raised a demand for Rs.8479/- on actual basis
vide their letter No.AP/Ins.I/52-5639-34/540 dated 27.11.2007 towards
short payment of contributions for the period 04/01 to 08/01, 10 &
11/01, 01/02 to 03/02, 04/02 to 05/02, 10/02 to 02/03.
4. Commissioner of Central Excise, Hyderabad - IV has appealed to
CESTAT against the Order No.7/2006 dated 31.10.2006 of Commissioner
(Appeals -II) for stay & set aside the order of the Commissioner
(Appeals-II). Amount involved in the Appeal is Rs. 13,42,727/-.
5. Contingent liability of Rs.358,701/- on account of delay in
delivery of consignment to TNMSC with TVS Southern Roadways was settled
on payment of Rs.200,000/- and the suit filed by TVS is withdrawn.
6. No Excise Duty is charged to Profit & Loss Account as there is no
Sales during the year.
7. The Company has adopted AS 22 - Accounting for Taxes on Income. The
accumulated net deferred tax assets amounts to Rs.146.40 Lacs on
account of timing differences between book and tax losses as on
1.4.2009.
The Company has not recognized the above deferred tax assets due to
virtual uncertainty that there will be future taxable income available
to realize such losses.
8. ADDITIONAL INFORMATION PURSUANT TO THE PROVISIONS OF PARAGRAPHS
3,4C & 4D OF PART II OF THE SCHEDULE VI OF THE COMPANIES ACT,1956.
A. CLASS OF GOODS CAPACITY AND PRODUCTION :
Class of goods manufactured : Allopathic & Ayurvedic Formulations
I. Licensed Capacity : NOT APPLICABLE
II. Installed Capacity : As certified by management
9. Prior period adjustments is Rs.Nil
10. Balance of Sundry Creditors, Sundry debtors, Loans, advances and
deposits are subject to confirmation from parties concerned and
reconciliation thereof.
11.Segment reporting as per Accounting Standard - 17
Business Segment : The Company is operating in two segments i.e.
Allopathic and Ayurvedic Formulations. The revenue generated by the
Ayurvedic formulations is less than 10%. Hence, it is not required to
disclose figures for both the segments separately.
Geographical Segment : The Company presently caters the needs of the
Indian public and the company is not operating in different economic
environment and hence no information is provided under this standard.
12. RELATED PARTY DISCLOUSERS
Disclosures as required by the Accounting Standard 18 of the Institute
of Chartered Accountants of India are given below:
a) Ionic Healthcare Private Ltd. Associate Company
Jenirik Products Partnership firm
Sumeru Ayurveda Pvt. Ltd Associate Company
Arvind Varchaswi Director, Sumeru Ayurveda Pvt. Ltd.
Narasimhan. N Director, Sumeru Ayurveda Pvt. Ltd
Ashok Kumar Agarwal Brother of Sri Ramesh Chandra
Agarwal
Praveen Kumar Agarwal Son of Sri Ramesh Chandra Agarwal
b) Key Management Personnel
Ramesh Chandra Agarwal Managing Director
Manmohan Agarwal Executive Director
13. Figures for the previous year have re-grouped, re-classified and
rearranged wherever necessary.
14. Since the Company is not aware of the SSI status of its creditors,
the amount due to them have not been identified.
15. Paise have been rounded of to the nearest rupee.