Beta-Kappa Investments Ltd Directors Report

BETA KAPPA INVESTMENTS LIMITED ANNUAL REPORT 2008-2009 DIRECTORS REPORT The Directors have pleasure in presenting their THIRTEENTH Report on the business and operations of the Company and the Financial Accounts for the year ending 31st March, 2009. OPERATIONS During the year, the company has earned a net profit of Rs.47,641/- after providing for taxation of Rs.5,500/- The financial results are summarized below: 2008-09 2007-08 (Rs. in Lacs) (Rs. in Lacs) Gross sales 8.37 9.17 Net Sales 8.37 9.17 Total Income 9.76 10.48 Profit Before Tax 0.53 0.57 Net Profit after Tax 0.48 0.51 DIRECTORS Mr. P.R. Varadhan, Director retires by rotation at the ensuing Annual General Meeting and has expressed his inability to continue as a director. DIRECTORS RESPONSIBILITY STATEMENT Pursuant to sub-section (2AA) of Section 217 of the Companies Act, 1956, the Board of Directors of the Company hereby state and 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 period; (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. AUDIT COMMITTEE The Audit Committee consists of Mr. R. Mohan as Chairman with Mr. V. Kunchithapatham, as member. CORPORATE GOVERNANCE A report on Corporate Governance has been enclosed in the Annual Report in accordance with Clause 49 of the Listing Agreement. A Certificate from the Practising Company Secretary regarding compliance of conditions of corporate governance as stipulated in Clause 49 of the Listing Agreement is attached to this report. AUDITORS The retiring Auditors M/s. P Chandrasekar, Chartered Accountants, Chennai are eligible for reappointment and their remuneration has to be fixed. FIXED DEPOSITS The Company has not accepted any Fixed Deposits from the Public during the financial year. MANAGEMENT DISCUSSION AND ANALYSIS 1. Industry structure and development The Indian economy is estimated to be growing by around 9% in 2008-09, GDP growth has also been noteworthy. However, high oil prices have the potential to affect the economic growth. 2. Opportunities, threats and outlook The investment activity promises a great opportunity A judicial selection of liquidity and higher yield in the segment is of paramount importance. 3. Segment-wise/product-wise performance The company is exploring opportunities for safe and profitable investment and during the year under review, the major revenue is from trading in consumer fast moving goods. 4. Risks and concerns The company has not made any borrowings and a conservative approach in investing the resources of the company has been taken. 5. Internal control systems and their adequacy Adequate internal control systems support the present activities. 6. Discussion on financial performance with respect to operational performance Your companys financial performance during 2008-09 was a begining towards finding new avenues of investment and the company is looking forward to stability and improved financial performance. 7. Human Resources The company is in the process of creating a conducive environment for attracting suitable talented candidates in tune with its business plans. 8. Cautionary Statement Certain statements in the Management Discussion and Analysis describing the companys views about the industry, expectations/ predictions, objectives etc. may be forward looking within the meaning of applicable laws and regulations. Actual results may differ materially from those expressed in the statement. Companys operations may be affected with the supply and demand situations, input prices and their availability, changes in government regulations, tax laws and other factors such as industrial relations and economic development etc. Shareholders are requested to bear the above in mind. 9. PERSONNEL: The particulars of employees as required under section 217(2A) of the Companies Act,1956 and the Companies (Particulars of Employees) Rules, 1975 are not applicable as the Company has not employed anyone drawing more than the prescribed amount of remuneration. 10. CONSERVATION OF ENERGY TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE EARNINGS AND OUTGO Information required under Sec 217(1)(e) of the Companies Act 1956 read with the Companies (Disclosure of Particular in the Report of Directors) Rules 1988. A) Conservation of Energy Nil B) Technology Absorption Nil C) Research & Development Nil D) Foreign Exchange Earnings Outgo Nil BY ORDER OF THE BOARD For BETA KAPPA INVESTMENTS LTD. Sd/- Sd/- V. Kunchithapatham R. Mohan Director Director Place : Chennai Date : 30.06.2009.