apex intertech ltd Directors report

APEX INTERTECH LIMITED ANNUAL REPORT 2002-2003 DIRECTORS REPORT The Directors hereby present the 36th Annual Report alongwith audited accounts of the Company for the year ended March 31, 2003. FINANCIAL RESULTS In view of continued financial stringency, the Company could not restart trading in autoparts which was suspended last year. During the year, therefore, the only revenue was on account of interest received on income tax refund, some balances written back and miscellaneous income totalling to Rs.6.50 Lacs. After providing for depreciation, the year closed with a net loss of Rs.17.00 Lacs. Both Mr. Deepak Singh, the former Chairman and Mr. S. K. Sharma, Director of the Company did not charge interest on their outstanding loans to the Company resulting in substantial savings in interest cost. Mr. Deepak Singh as well as Mr. S. K. Sharma have confirmed that they will not be charging any interest on their outstanding loans during the current year also. DIVIDEND In view of carried forward losses as well as loss for the year, the Directors recommend that no dividend be paid for the year both on Equity as well as Preference Shares. OPERATIONS The Company hived off its various manufacturing divisions in the previous years. The trading in auto parts was also discontinued during the last financial year 2001-02 due to working capital resource crunch. Consequently, the Company could not carry out any manufacturing or trading operations during the year under review. One of the creditors of the Company has filed a petition with the Delhi High Court seeking winding up of the Company under section 433(e) and 434 of the Companies Act, 1956 on account of its inability to repay the debts. A notice confirming the admission of petition has been received by the Company in this regard. DIRECTORS There was no change in the Board of Directors of Your Company during the year. Mr.S.K.Sharma, Director, retires by rotation at the forthcoming Annual General Meeting and being eligible, offers himself for re-appointment. AUDITORS The Auditors, M/s. V Sahai & Co., Chartered Accountants, New Delhi will retire at the ensuing Annual General Meeting of the Company and being eligible, offer themselves for re-appointment. DEPOSITS No deposits were invited and accepted by the Company during the year under the provisions of Section 58A of the Companies Act, 1956 read with the Companies (Acceptance of Deposits) Rules, 1975. CONSERVATION OF ENERGY AND TECHNOLOGY ABSORPTION/ FOREIGN EXCHANGE EARNINGS OR OUTGO During the year under review, the Company had no activities involving any consumption of Energy and/or utilising Technology Sourced from outside/others. Furthermore, the Company neither earned nor spent any foreign exchange during the year under review. PARTICULARS OF EMPLOYEES During the year under review, the Company had no employee whose particulars are required to be mentioned pursuant to the provisions of Section 217(2A) of the Companies Act, 1956 read with the rules framed thereunder. AUDITORS OBSERVATION The observations made by the Auditors are generally self-explanatory. However, we wish to clarify as follows :- Observation of the Auditors about going concern concept is explained in Note No. 5 of part B of Annexure No. 10 of the Balance Sheet. LISTING OF SECURITIES OF THE COMPANY The Equity Shares of the Company are listed on Delhi (Regional), Mumbai. Ahmedabad, Jaipur and Ludhiana Stock Exchanges. DIRECTORS RESPONSIBILITY STATEMENT Your Directors confirm: i) that in the preparation of annual accounts, applicable accounting standards have been followed; ii) that the Directors have selected such accounting policies and applied them consistently and made judgements and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the Company at the end of the financial year and of the profit or 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 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 annual accounts on a going concern basis. ACKNOWLEDGEMENT The Directors wish to place on record their thanks to various Government departments, Companys Bankers, Shareholders and other business associates for their support and their appreciation of the devoted services rendered by the Company personnel during the year. FOR AND ON BEHALF OF THE BOARD OF DIRECTORS Place : New Delhi (S.K.SHARMA) Date : 18.08.2003 Director