| 1. CORPORATE INFORMATION
Simplex Mills Company Limited ("the Company") is in manufacturing of
cotton yarn and industrial fabrics and trading in textile products
(i.e. cloths). The Company is a Public Limited Company and is listed on
BSE Limited.
2. SHARE CAPITAL
a. Terms/rights attached to the equity shares
The Company has 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
the equity shares will be entitled to receive remaining assets of the
Company, after distribution of all preferential amounts, in proportion
to their shareholding.
3. Retirement benefit plans
As per Accounting Standard 15 "Employee benefits", the disclosures as
defined in the Accounting Standard are given below:
I) Defined Contribution Plan
a) Provident Fund
b) Pension Scheme 1995
II) Defined Benefit Plans
a) Contribution to Gratuity Fund (Non-Funded)
b) Leave Encashment (Non-Funded)
4. Contingent Liabilities :
Claims against the Company not acknowledged as debt: (In Rs. )
31.03.2015 31.03.2014
Appeals filed in respect of disputed demands:
i) Central Excise 3,03,04,158 3,03,04,158
ii) Labour Matters 1,06,46,115 5,74,290
5. Estimated amount of contracts remaining to be executed on capital
account and not provided for Rs. 2,85,99,008/- (net of advances)
(Previous year Rs. 2,85,99,008/-).
6. During the year, the Company has received permission for closure
of its Akola Plant under Section 25-O of the Industrial Disputes Act,
1947 from the Honb'le Industrial Court and accordingly, closure
compensation to the workers and staff of the Company was paid. The
total closure compensation paid to the workers and staff was Rs.
4,85,13,118/- which has been shown as exceptional item. Consequent upon
the said event, the net worth of the Company has been fully eroded.
However, the Management is in the process of evaluating viable textile
business options and accordingly, the accounts have been prepared on
going concern basis.
7. The Company has not received any intimation from "suppliers"
regarding their status under the Micro, Small and Medium Enterprises
Development Act, 2006 and hence disclosures, if any, relating to
amounts unpaid as at the year end together with interest paid/payable
as required under the said Act have not been given.
8. During the year, the Company has provided depreciation as per the
provision of Schedule II to the Companies Act, 2013 ("the Act") based
on the remaining useful life of the assets and consequently, in case of
the assets which have completed their useful lives as prescribed under
Schedule II to the Act, the carrying value (net of residual value) as
at 01st April, 2014 amounting to Rs. 3,29,80,891/- has been
transferred to the retained earnings and in case of other assets, the
carrying value (net of residual value) is being depreciated over the
revised remaining useful lives. As a result of the above, depreciation
for the current year is higher by Rs. 9,09,607/-.
9. During the year under review, the Company has sold the Plant and
Machinery along with the other fixed assets and made a net profit of
Rs. 5,13,137/- the same has been disclosed as an exceptional item.
10. Earnings per Share - (EPS) is calculated by dividing the
profit/(loss) attributable to the equity share holders by weighted
average number of equity shares outstanding during the year.
11. The Company's activities are classified as belonging to a single
business segment of manufacture and trading in yarns, textiles and
textile products. The Company's operations are largely limited to
India.
12. Previous year's figures
The previous year's figures have been reclassified, wherever necessary,
to conform current year's presentation.
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