| The Directors are happy to present the Nineteenth Annual Report of
your company together with the Audited Accounts of the Company for the
financial year ended 31st March 2011.
FINANCIAL HIGHLIGHTS:
During the year under review, the company has incurred a loss of
Rs.11,973,210/- as against a loss of Rs. 18 722 960/- during the
previous year. The financial results of the company compared to the
previous year are summarized as under:
(Rs.)
Particulars 31.03.2011 31.03.2010
Income 22,325,275.00 18,421,969.00
Profit / (Loss) before
Depreciation and Tax 6,609,461.00 (10,839,197.00)
Less: Depreciation 265,592.00 1,471,376.00
Profit/(Loss) Before Tax 6,343,869.00 (12,310,573.00)
Prior Period Expenditure - -
Provision for FBT - -
Provision for Taxation -
Current 1,176,153.00 -
Provision for Deferred
Tax - Asset (621,463) (337,362.00)
Profit/(Loss) After Tax 5,789,179.00 (11,973,211.00)
Balance Brought Forward (100,517,609.00) (88,544,398.00)
Balance carried over to
Balance Sheet. (94,728,430.00) (100,517,609.00)
EPS Basic & Diluted (Rs.) 0.27 (0.53)
Weighted Average No. of
shares 23,235,250 23,235,250
MATERIAL CHANGES AND COMMITMENTS:
There have been no material changes & Commitments, which have occurred
between the end of the financial year of the company to which the
balance sheet relates and the date of the report affecting the
financial position of the company.
RESERVES:
The company does not propose to carry any amount to reserves during the
financial year in view of the loss incurred by the company.
DIVIDEND:
Your directors do not recommend any dividend during this year.
DEPOSITS AND LOANS/ ADVANCES:
The Company has not accepted any public deposits during the financial
year.
The particulars of loans/ advances and investment in its own shares by
listed companies, their subsidiaries, associates etc. required to be
disclosed in the annual accounts of the company pursuant to Clause 32
of the listing agreement with the company, are furnished separately.
Your company continues to have cordial relations with its employees.
DIRECTORS
Shri Heera chand Surana and Shri Y.Satya Kumar, Directors of the
company retires by rotation at the ensuing Annual General Meeting of
the Company and being eligible offers themselves for reappointment.
AUDITORS:
M/s Venkat & Rangaa, Chartered Accountants, Statutory Auditors of the
Company retire at the conclusion of the ensuing Annual General Meeting
of the Company and being eligible offer themselves for reappointment. A
written certificate pursuant to section 224(1 B) has been obtained that
their appointment if made will be within the limits specified therein.
The Audit Committee in its meeting have recommended die reappointment
of the Auditors.
AUDITORS REPORT:
There are no reservations, qualifications or adverse remarks contained
in the Auditors Report.
CORPORATE GOVERNANCE:
Your Company has always striven to incorporate appropriate standards
for good corporate governance. The company's philosophy of Corporate
Governance is aimed at exhibiting maximum transparency to the investors
by providing them with more information. This is done not only with the
information that are to be revealed under mandatory provisions but also
with those information which according to the Management and the Board
are relevant to the investors and other Statutory Authorities to whom
these Reports are addressed to. It has taken adequate steps to ensure
that all mandatory provisions of corporate governance as prescribed
under the amended listing agreements of the stock exchanges, with which
the company is listed are complied with.
A separate report on Corporate Governance is produced as a part of the
Annual Report of the Company.
The Auditors of the Company have certified that conditions of Corporate
Governance as stipulated under Clause 49 of the Listing Agreement are
complied with by die Company and their Certificate is annexed to the
Report on Corporate Governance.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE
EARNINGS AND OUTGO:
The information regarding conservation of energy and technology
absorption as required under Companies (Disclosure of Particulars in
the Report of Board of Directors) Rules, 1988 are not applicable to
your company. There were no foreign exchange earnings and outgo during
the financial year.
PARTICULARS OF EMLPOYEES U/S 217(2A) OF THE ACT:
None of the employees have received remuneration in excess of the sum
prescribed u/s 217(2A) of the Companies Act, 1956.
GOING CONCERN:
The Directors consider on the basis of current financial results,
future projections and infrastructure available that the company has
adequate resources to continue the operational existence in the
foreseeable accounts and therefore, the accounts have been prepared on
a going concern basis.
DIRECTORS RESPONSIBILITY STATEMENT
The Board of Directors hereby declare:-
(i) that in preparation of accounts, applicable accounting standards
have been followed or where departure has been made, explanation
relating to material departures;
(ii) that directors have selected such accounting policies and applied
them and made judgements and estimates that are reasonable and prudent
to give a true and fair view of state of affairs of the Company at the
end of the financial year and of the profit or loss of the Company for
that period.
(iii) that Directors have taken proper and sufficient care for
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; and
(iv) that the directors had prepared Annual Accounts on a Going Concern
basis.
COMPANY SECRETARY:
The appointment of Whole time Company Secretary is under consideration
of the Company. The company has been availing services of practicing
company secretary from time to time to ensure compliance of the
provisions of the applicable acts and statutes. Also the Annual Return
of the Company is being certified by practicing company secretary from
year to year and the company is also taking certifications from them
for Stock Exchange Compliances.
CAUTIONARY STATEMENT:
Statements in the Management discussion and analysis describing the
company's objectives, projections, estimates and expectations may be
"forward looking statements" within the meaning of applicable
securities laws and regulations. Actual results could differ materially
from those expressed or implied. Important factors that could make a
difference to the company's operations include economic conditions
affecting demand/supply and prices conditions in the domestic and
overseas markets in which the company operates/ going to operate,
changes in government regulations, tax laws and other statutes and
other incidental factors.
ACKNOWLEDGEMENT
Your directors wish to place on record their deep appreciation of the
dedication and commitment of employees to the growth of your company
during the year. Your directors also express their sincere gratitude to
the bankers, consultants, customers, Auditors and the shareholders for
their continued patronage and cooperation.
FOR AND ON BEHALF OF THE BOARD
Sd/- Sd/-
(Heerachand Surana) (Y. Sathyakumar)
Chairman & Director Whole time Director
Date : 03/09/2011
Place: Chennai
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