divine entertainment ltd Directors report

ANNUAL REPORT 1998-99 DENIM ENTERPRISES LIMITED DIRECTORS REPORT 1998-99 To, The Members, DENIM ENTERPRISES LIMITED, Ahmedabad. Dear Shareholders, Your Directors have pleasure in presenting herewith the Fourth Audited Annual Report of your company. YEAR UNDER REVIEW: During the year under review the company has not earned any income of revenue nature from any business activities or from any other sources. The company has during the year incurred total cash expense of Rs. 109289 of general Administrative Expenses. The company has also written off during the year preliminary Expenses to the extent of Rs.121078. After making necessary adjustment the total operational loss of Rs.230367 has been carried forwarded to the profit & loss account (Debit Balance) and shown under the head Reserves & Surplus of the Balance Sheet. DIVIDEND: As your Company has not started any commercial activity there was no profit earned during the Year. Your directors regret their inability to recommend any dividend. INFORMATION PURSUANT TO THE LISTING AGREEMENT AND SEBI CIRCULAR NO.SHDRP/ CIR-14/98 DATED APRIL 29TH, 1998. The companys shares are at present Listed on Ahmedabad and Mumbai Stock Exchange. The complete address are given on page-2 of this report. The company has duly paid the annual listing fees upto and including the year 1999-2000 i.e. upto 31 -03-2000 on both the Stock Exchange. The shares of the company are freely tradable and has not been at any time delisted or the trading thereof has not been suspended on any of the above stock exchanges. DEPOSITS: During the year under review your company has neither invited nor accepted any public deposit or deposits from the private parties as defined under section 58A of the companies Act,1956. ENVIRONMENT AND POLLUTION: The Members are aware that the company has not yet obtained the clearance from the pollution control Board for its proposed project due to which the funds for the company are blocked with the suppliers of plant and Machineries, and loans and advances given to various parties. The company has also not commenced any commercial business activities, manufacturing activities which generates any water or Air pollution. INSURANCES AND RISK COVERAGE: The Board of Directors of the company have indentified all the areas and operations including financial transactions which are likely to be affected by the year 2000 problems (Y2K). The Board has also drawn up an advance protective action plans and has started taking up actions in this directions. The Employees of the company are properly being trained to take adequate care of any systems failure. The company has also taken steps to protect the shareholders data and all share department informations. The company is taking steps to maintain all documentary proofs of all financial and banking transactions in physical form apart from the electionic computers maintenance. The expenditure like to be incurred on this account shall be met out of the funds of the company and the same will be accounted for as the normal business expenses. The amount to be incurred on this account is also not of much quantum requires making any specific provision for the same. DIRECTORS: Shri Mahen M. Bavishi being a director, retire by rotation as per the provisions of the Act at the ensuing Annual General Meeting and being eligible offers himself for reappointment. Your directors recommended to pass a resolution. AUDITORS: M/s. Vipul N. Shah & Associates, Chartered Accountant the retiring auditors hold office of the Auditors upto the date of this Annual General Meeting as per the provisions of the Act. The company has received a letter from the said auditors to the effect that their appointment shall be within the limits laid down under section 224(1 B) of the companies Act. A resolution proposing their appointment as the regular Auditors of the company for the period from the conclusion of this Annual General Meeting upto the Date of the next Annual General Meeting is required to be passed. Your directors recommend to pass the said resolution. OBSERVATIONS OF THE AUDITORS: All the observations of the auditors made in their report have been suitably explained in the notes to the accounts which are self explanatory and hence does not warrant for further clerifications. MATERIAL DEVELOPMENTS: No material development have taken place during the period from the closure of the financial year upto the dave of this report which may have substantial bearing on the finances and operations of the company. EMPLOYEES: There are no employees of the company who were in receipt of the remuneration of Rs.3,00,000/ - in the aggregate if employed for the year and in receipt of the monthly remuneration of Rs.25000 /- in the aggregate if employed for a part of the year under review. Hence the information required under section 217 (2A) of the Companies Act, 1956 being not applicable are not given in this report. STATUTORY INFORMATION: As the Company has yet not commenced any commercial operation the information required to be disclosed in the report of the Board of Directors as per the provisions of Section 217 (1)(e) of the Companies Act - 1956 and the Companies (Disclosure of Particulars in the Report of Board of Directors) Rules 1988 are not available and not given in this report. APPRECIATION: Your directors take this opportunity to acknowledge the trust reposed in your company by its Shareholders, Banker and clients. Your Directors also keenly appreciate the dedication & Commitment of all our employees, without which the countinuing progress of the company would not have been possible. Place: Ahmedabad ON BEHALF OF THE BOARD OF DIRECTORS Dated: June 26, 1999 OF DENIM ENTERPRISES LIMITED (Bankim J. Shah) (Mahen M. Bavishi) Director Director