brihan maharashtra sugar syndicate ltd Directors report

DIRECTORS

To

The members of the company,

Your directors present their report together with the audited accounts for the financial year ended 31st March 2014.

Financial Results

Particulars	2013-14	2012-13
	Rs. Lakhs	Rs. Lakhs
Revenue from operations	116.72	41.57
Exceptional items	337.71	423.43
Total Revenue	454.43	465.00
Less : Expenses	211.15	262.55
Profit before tax	243.28	202.45
Profit after tax	198.19	144.09
Proposed dividend	22.72	22.72
Transferred to General Reserve	150.00	115.00

Dividend

For the year under report, your directors have pleasure to recommend dividend @ 10%.

Operations

As informed to you last year, your company has entered into a land mark agreement with Bennett Coleman & Co. Ltd. (Times group) for share cum warrant subscription agreement and advertisement agreement for gaining further heights in the all India market for the popular brands of its subsidiary company viz. Brihans Natural Products Limited (BNPL).

In view of this gainful association with Times Group, the turnover of BNPL has picked up by Rs. 94.57 lakhs during the year under report and as such, there is a consequential steady growth in the valuation of brands of BNPL.

Companys land development activity is taking better shape at P.O. Shreepur, Dist. Solapur and during the year under report, out of the total 66 shops, in the newly constructed Narayan Kaka Agashe Shopping Complex located in the said area, the company has sold 8 number of shops. Your directors expect fairly reasonable surplus from the sale of some additional shops in the ensuing year. Your Directors are also studying the possibilities of pursuing the further land development activities in the same locality.

The profit and loss account discloses the exceptional receipts of about Rs. 337.71 lakhs in Note 26 forming part of the profit and loss account. The company could therefore make the addition to General Reserve amounting to Rs. 150 lakhs.

There is a substantial recovery of Rs. 135.50 lakhs in the amounts advanced to its subsidiaries in the earlier period. Additions to Fixed Assets of the company amounted to Rs.43.44 lakhs as against Rs. 73.82 lakhs during the earlier year. Board has already informed you that in the matter of levy of transport fee on spirit, Government of Maharashtra has preferred an appeal in the Supreme Court, against the order passed by the Honble High Court, Bombay in favour of the company. The issue relates to levy of transport fee on the captive consumption of spirit supplied by companys Distillery unit to Potable Liquor unit for the manufacture of companys IMFL brands. The relative application is still at an admission stage on the date of this report.

Directors

Mrs. R DAgashe, Director (Director Identification Number 00017380) of the company retires by rotation and is eligible for reappointment.

Auditors

M/s. G. M. Oka & Co., Chartered Accountants, Pune, auditors of the company, retire at the ensuing annual general meeting and are eligible for reappointment.

Auditors observations

There is no qualified opinion contained in the Auditors Report.

Conservation of Energy

The company has no particulars to report regarding conservation of energy, technology absorption as required under Section 217(1)(e) of The Companies Act, 1956, read with rules thereunder.

Foreign Exchange earnings and outgo

The company has no particulars to report regarding foreign exchange earnings and outgo.

Particulars of Employees

There was no employee who was in receipt of remuneration exceeding rupees sixty lakhs per annum or rupees five lakhs per month during the year and therefore, the particulars as required under section 217(2A)of the Companies Act, 1956 for the year ended March 31,2014 are not furnished.

Directors Responsibility Statement

Pursuant to section 217(2AA) of the Companies Act, 1956 the board of directors confirm that:

i) in the preparation of the annual accounts, the applicable accounting standards had been followed along with proper explanation relating to material departures;

ii) the directors had 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 of the company for that year;

iii) the directors had 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) the directors had prepared the annual accounts on a going concern basis.

Industrial Relations

Your directors are pleased to report that cordial relations were maintained with the employees during the year.

Acknowledgement

Your directors are thankful to the bankers and the government authorities for their kind support and co-operation.

Your directors place on record their appreciation for the support given to the company by the shareholders, suppliers and customers and are sure to get the same in future.

	For and on behalf of the board of directors
Pune	A.D.Agashe
June 20, 2014	Chairman and Managing Director