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> Industry Structure and Performance
The Company was in the business of manufacturing of HDPE/PP woven sacks. Productionactivities have been stopped since February 2001.
> Financial Review
During the year under review the company earned profit after tax of Rs. 4,45,188/-.However, the accumulated losses brought forward from earlier years were of Rs.3,41,68,869/- thereby resulting in overall loss of Rs. 3,37,23,681/- as compared to lossof Rs. 3,41,68,869/- for the previous year.
> Internal Control
The Company has formed audit committee and has adequate internal control system inexistence.
> Outlook and opportunities
Presently, production activities have been stopped since February 2001. Management islooking for new avenues.
> Human Resource
The Company has no employee other than Managing Director.
In accordance with the provisions of Articles of Association, Mr. Sanjeev M. Kokane,Director of the Company retires by rotation at the ensuing Annual General Meeting andbeing eligible, he offers himself for reappointment. Board recommends his reappointment.
During the year under review, the Company has not accepted any deposit.
Report on Corporate-Governance and certificate from the auditors of the Companyregarding compliance of Corporate Governance is annexed and form part of this report.
None of the employees of the Company are drawing remuneration during the year in excessof the amount specified under Section 217(2A) of the Companies Act, 1956 read with theCompanies (Particulars of Employees) Rules, 1975 as amended.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS AND OUTGO
There was no energy consumption, technology absorption and foreign exchange earningsand outgo during year under review.
M/s. RSVA & Co., Chartered Accountants, Pune auditors of the Company will holdoffice until the conclusion of the ensuing Annual General Meeting. M/s. RSVA & Co.,Chartered Accountants, Pune have informed the Company that if reappointed, theirappointment will be within the limits prescribed under Section 224(1B) of the CompaniesAct, 1956. Accordingly members' approval is being sought to their reappointment asauditors of the Company at the ensuing Annual General Meeting.
COMPLIANCE CERTIFICATE AS REQUIRED UNDER THE PROVISO TO SUB SECTION (1) OF SECTION383A:
As per provisions of the Companies Act, 1956 as amended and the Companies (ComplianceCertificate) Rules, 2001, a Compliance Certificate for the financial year 2009-2010 hasbeen obtained from M/s MRM Associates, Company Secretaries, Pune and as required by theproviso to sub Section (1) of Section 383A. The said Compliance Certificate is attached tothis Report.
DIRECTORS' RESPONSIBILITY STATEMENT
Pursuant to the requirement under section 217 (2AA) of the Companies Act, 1956 withrespect to Directors' Responsibility Statement, it is hereby confirmed:
i) that in the preparation of the annual accounts for the financial year ended on 31stMarch, 2010, the applicable accounting standards have been followed along withproper explanations relating to material departures;
ii) that the Directors have selected such accounting policies and applied themconsistently and made judgments and estimates that were reasonable and prudent so as togive a true and fair view of the state affairs of the Company at the end of the financialyear and of the profit of the Company for that period;
iii) that the Directors have taken proper and sufficient care for the maintenance ofadequate accounting records in accordance with the provisions of the Companies Act, 1956for safeguarding the assets of the Company and for preventing and detecting fraud andother irregularities;
iv) that the Directors have prepared the annual accounts for the Financial Year endedon 31st March, 2010 on a going concern basis.
Yours Directors acknowledge with deep sense of gratitude the continued support byinvestors, customers, business associates, bankers and vendors. Yours Directors take thisopportunity to thank the regulatory and government authorities.
|Date: 30th June, 2010 || |
For and on Behalf of the Board of Directors
|Place: Pune || || |
| ||Ashish R. Shah ||Ashutosh R. Shah |
| ||Managing Director ||Chairman & Director |