VARUN POLYMOL ORGANICS LIMITED
ANNUAL REPORT 2002-2003
Your Directors present Sixteenth Annual Report and Audited Statement of
Accounts of the Company for the year ended 31st March, 2003.
1. FINANCIAL RESULTS
1.4.2002 to 1.4.2001 to
(Rs. in Lakhs) (Rs. in Lakhs)
Profit/(LOSS) for the year (2.96) (6.50)
Less : Depreciation for
the year (6.06) (6.06)
Profit/(Loss) after depreciation (9.02) (12.56)
Your Company has not recorded any income during the year.
Your Company has incurred a loss of Rs. 9.02 lace after charging
depreciation of Rs. 6.06 lacs as against the previous years net loss of Rs.
During the year under review The State Bank of India (SBI), operating
agency, has forwarded the offers received from parties for takeover of the
management of the company to BIFR. BIFR's response is waited.
3. EXPANSION CAPITAL PROJECTS
Since the Company has become sick industrial undertaking and as a
consequence of suspension of operation at Company's plant at Mahad,
question of Expansion/Capital Projects does not arises.
4. PUBLIC DEPOSITS
During the year under report the company has not accepted/ renewed any
Fixed Deposits under the Company (Acceptance of Deposits) Rules, 1975 from
the Shareholders and public. As on 31.3.2003 and till the date of this
report 8 deposits amounting to Rs. 34,000/- have matured but had net been
The company has written to these depositors requesting them to forward the
duly discharged receipts far repayment of the deposits.
5. INDUSTRIAL RELATIONS
During the year the Lockout in the factory continued. The lockout had been
declared with a view to protect the assets in the factory after labour
The Commissioner of Labour is reviewing the progress of BIFR every quarter
as directed by Bombay High Court.
San. N.P. Deshmukh was appointed as wholetime Director for a period of 5
years from 31st March, 1998 and as such ceased to be a wholetime Director
to the company from tat March, 2003. However, she continues to be a
Director of the company, liable to retire by rotation.
Under Article 166 of the Articles of Association of the Company Smt. N.P.
Deshmukh and Dr. R.S. Shah retire by rotation and being eligible offer
themselves for re appointment.
7. DIRECTORS' RESPONSIBILITY STATEMENT
Pursuant to the retirement under Section 217 (2AA) of the Companies Act,
1956 with respect to Directors' Responsibility Statement, it is hereby
i) that in the preparation of annual accounts far the financial year ended
31st March, 2003, the applicable accounting standards have been followed
along with proper explanation relating to material departures.
ii) that the Directors had selected such accounting policies and applied
them consistently and made judgements and estimates that were reasonable
and prudent so as to give a true and tan view of the state of affairs of
the Company al the end of the financial yea and of the profit and loss of
the Company for the year under review.
iii) that the Directors have taken proper and sufficient care 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) that the Directors have prepared the accounts for the financial year
ended 31st March, 2003 on a going concern bases.
8. PARTICULARS OF EMPLOYEES
There were no employees covered under Section 217 (2A) to the Companies
Act, 1956, read with the Company (Particulars of Employees) Rules 1975, who
we receipt of remuneration in excess of the prescribed limits.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE EARNINGS
Since the Company has suspended its activities and has been declared a sick
industrial unit, no particulars under this heading are available.
Members are requested to appoint Auditors for the current year and fix
their remuneration. M/s. Thanawala & Co,, Chartered Accountants, retire at
the conclusion of the ensuing Annual General Meeting and being eligible,
offer themselves for reappointment. The Auditors have furnished to the
Company the requisite certificate under section 224 (1B) at the Companies
Your Directors wish to place on record their appreciation for the valuable
assistance and guidance given to them by the State Bank of India. Your
Board also acknowledges valuable assistance given to them by various
Central and State Government Departments and Corporations. Finally a owe
sincere gratitude to all shareholders for then support
For and on behalf of the Board
For VARUN POLYMOL ORGANICS LIMITED
Place : Mahad P.D. DESHMUKH
Dated : 28.4 2003 Chairman & Managing Director
A-4, M.I.D.C., Mahad,