Hindustan Copper Ltd Directors Report.

The Shareholders Hindustan Copper Ltd.

Kolkata

Your Directors have pleasure in presenting the fifty second Annual Report of Hindustan Copper Ltd. (HCL/the Company) together with the audited statement of accounts and Auditors Report thereon for the year ended 31.3.2020.

1. Performance

Financial Summary or highlights

The comparative working results for the FY 2019-20 vis-a-vis FY 2018-19 are as under:

(H in crore)

Particulars 2019-20 2018-19
(a) Turnover 803.17 1753.44
(b) Profit /(Loss) before depreciation, amortization, finance cost & tax (188.68) 538.70
(c) Less : Depreciation & Amortization 288.61 252.89
(d) Less : Finance Cost 60.42 55.46
(e) Profit/ (Loss) Before Tax from continuing operation (537.71) 230.35
(f) Profit/(Loss) Before Tax from discontinuing operation (0.35) (0.35)
(g) Profit/(Loss) Before Tax from continuing & discontinuing operation (538.06) 230.00
(h) Less : Provision for Taxation (Current & Deferred Tax) 31.29 84.49
(i) Profit / (Loss) after tax from Continuing & Discontinuing Operation (569.35) 145.51
(j) Other Comprehensive Income / (Loss) (net of tax) (22.46) (10.90)
(k) Total Comprehensive Income / (Loss) for the year (591.81) 134.61
(l) Add: Balance brought forward from the previous year 869.85 763.13
(m) Balance available for appropriation 278.04 897.74
(n) Less : Dividend 48.11 23.13
(o) Less : Tax on Dividend 9.89 4.76
(p) Balance to be carried forward 220.04 869.85
(q) Earnings per Share(Rs) (Both Basic & Diluted) (6.15) 1.57

During 2019-20, the turnover of the Company was lower at H803.17 crore compared with H1753.44 crore achieved in last year which is due to lower sales volume coupled with fall in LME price of Copper during the year. Similarly, Profit/(Loss) After Tax from continuing & discontinuing operation during the year stood at H (569.35) crore as against H145.51 crore in FY 2018-19. The financial performance during 2019-20 was affected due to non-lifting of copper concentrate by the buyer owing to reasons attributable to international market and one time write off of closing stock amounting to H257.10 crore arising out of reconciliation of metal content in copper concentrate on inter-unit transfer and sales, assessment of metal loss in generation of granulated dump slag, handling losses, old and oxidized concentrate. Further, for Lean Ore and Mill Scat containing low grade copper and presently not in use in the manufacturing process, a provision amounting to H183.32 crore has been made in the books of accounts. The Company has formulated the Standard Operating Procedure on Inventory Management to strengthen the reconciliation system of inventory throughout the Company.

Physical performance:

The comparative physical performance of production and sales for the year 2019-20 vis-a-vis 2018-19 is as under:-

Particulars 2019-20 2018-19
Ore (Lakh Tonnes)) 39.68 41.22
Metal in concentrate (MIC) (Tonnes) 26,502 32,439
Cathode (Tonnes) 5,340 16,215
CC Wire Rod (Tonnes) 8,443 21,450
Sales (Tonnes):
CC Rod 4,247 13,756
Cathode MIC 1,492 2,564
12,669 21,953
Total 18,408 38,273

Ore production during 2019-20 was marginally less compared to last year mainly due to break down of ore hoisting system at Kolihan mine. Metal in Concentrate (MIC) production was affected due to low grade of ore at Malanjkhand Copper Project (MCP) and Khetri Copper Complex (KCC) as well as water shortage at KCC. The overall grade of ore during 2019-20 was 0.75% as against 0.88% in 2018-19. The availability of material was less in the open cast mine at MCP which has reached its ultimate depth and is in a transition phase from open cast to underground mining. In order to sustain and augment production during the transition phase, the Company had awarded contract for Ore production from MCP underground mine during the year. To overcome the problem of water shortage at KCC, the Company had taken up the matter with state Government of Rajasthan to increase supply of water from Kumbharam project. Cathode and Wire rod production during the year was less due to direct sale of concentrate as per market scenario.

2. Dividend

Your Directors have not recommended any dividend on equity shares for the year under review.

3. Material Changes, if any

No material change and commitment affecting the financial position of the Company occurred between the end of the financial year to which the financial statements relate and the date of the report.

4. Projects

Your Company had initially during FY 2010-11 envisaged increase in mine production capacity from 3.4 million tonne per annum (MTPA) to 12.2 MTPA. This was subsequently revised to 20.2 MTPA in order to boost domestic production of copper metal to reduce dependence on imports. The expansion plan will be implemented in a phased manner i.e. in first phase capacity up to 12.2 MTPA would be targeted and in second phase it will be scaled up to 20.2 MTPA.

Status of different continuing mine expansion projects is as under:-

i. Malanjkhand Copper Project (MP)

The proposed expansion of MCP will augment the ore production capacity from present 2.0 to 5.0 MTPA by developing an underground mine below existing open pit whose life is at its fag end. After obtaining the required Environment Clearance (EC) and clearance from National Board for Wild Life (NBWL), contract for development of underground mine was awarded in April, 2015 and as on 31.3.2020 the progress of important milestones are as under:

Sl. No. Milestones Planned depth / length (m) Completed (m) Status
1 Service Shaft 665 665 Sinking completed
2 Production Shaft 694 694 Sinking completed
3 North Ventilation Shaft 633 372 Under progress
4 South Ventilation Shaft 645 475 Under progress
5 North Decline 4610 2975 Under progress
6 South Decline 3860 2103 Under progress

Due to precarious financial position, the contractual Agency has been referred under Insolvency and Bankruptcy Code,

2016 and their liquidation is under process. This resulted into slow progress on construction of underground mine at MCP.

Meanwhile, a contract for ore production from developing underground mine through decline has been awarded in July,

2019 and it is expected that production will commence in 2020-21.

ii. Khetri, Kolihan and Banwas mine (Rajasthan)

The proposed expansion of mines at western sector will increase ore production capacity from existing 1.0 to 3.0 MTPA.

Mine-wise status is as under:-

a. Kolihan Mine: Environmental clearance for shaft sinking & creation of ore handling facilities below 0 mRL (meter reduced level) to augment the production capacity to 1.5 MTPA was obtained on 2.2.2015. To establish the ore bodies at depth, 1650 m of Diamond drilling work was undertaken. In 2019-20, a total of 308.4 m of drilling have been completed. Further drilling has been undertaken to establish mineralization corresponding to (-) 120 mRL and 6298 meter of surface exploratory drilling has been completed in 2019 -20. Further drilling is in progress. After proving of continuity of ore body in depth, proposal will be undertaken.

b. Khetri mine: Contract was awarded during 2011-12 to augment ore production capacity of Khetri mine from 0.5 MTPA to 1.5 MTPA under Phase II through deepening of existing shaft and other related activities. However, during execution of the contract, the work was badly affected at the initial stage due to extremely bad ground / fault zone encountered while making approach cross cut to reach below the existing Production Shaft area for setting up winding arrangement for sinking of shaft further. Despite many efforts made by the contractor the problem persisted and finally the contract was terminated in January, 2017 as per terms and conditions of the contract.

After identification of the fault plane and bad ground below ground, a detailed study was done to modify the design of deepening of Production shaft in safest manner. Tendering action for new contract for deepening of the existing Production shaft has been initiated.

c. Banwas Mine: Contract was awarded during 2009-10 to develop the Banwas deposit as part of Khetri mine to augment the production capacity to 0.6 MTPA and the project was completed in February, 2017.

During FY 2016-17, the Company has appointed contractual agency for ore production from Banwas deposit. The contractual agency has produced 2,43,942 tonne of ore in FY 2019-20 and the target production ramp will be achieved by 2023-24.

iii. Surda mine expansion (Jharkhand)

The plan envisages sinking of shaft, deepening of various winzes to increase production capacity from 0.4 to 0.9 MTPA in Surda mine.

The Expert Appraisal Committee (EAC) of the Ministry of Environment, Forest and Climate Change (MoEFCC) in its 34th meeting held on 4.6.2020 deferred the proposal of Environment Clearance (EC) of Surda Mine asking additional information like Letter of Intent (LoI) from the Government of Jharkhand for extension of the lease and few other clarifications. HCL has requested the Government of Jharkhand for issue of LoI and the matter is being pursued. Mining lease of Surda which was valid up to 31.3.2020 would be renewed after obtaining EC from the MoEFCC.

Meanwhile, depth exploration drilling has been undertaken at Surda Mining Lease and 8924.50 meters of surface exploratory drilling has been done in Surda Mining Lease during 2019-20.

iv. Re-opening of closed mines at Indian Copper Complex (ICC) Ghatsila (Jharkhand)

The Company initiated action to re-open closed mines, development of new underground mine at Singhbum Copper Belt of ICC namely, Kendadih and Rakha mines. Mine-wise status is given below:

a. Kendadih mine: A contract for reopening and development of closed Kendadih mine was awarded in 2011-12. After obtaining necessary statutory clearances, Kendadih mine was reopened in December, 2017 with commissioning of winders after completion of dewatering of the mine. Presently, Mine development work is in progress. Equipment were mobilized in a phased manner and mine had produced 43,200 MT of ore during 2019-20 which was treated in Mosaboni Concentrator Plant.

b. Chapri Sideshwar and Rakha mine: Chapri-Sideshwar mine falls within the Rakha and Kedadih mining lease area. The EC and Stage II FC for Kendadih was obtained in the year 2015 and 2017 respectively.

It is planned to augment the production capacity to 1.5 MTPA of ore by reopening and expansion of closed Rakha mine. The EC and Stage II FC for for Rakha mining lease was obtained on 1.8.2014 and 15.9.2016 respectively.

Tender floated by the Company for mine development and production from Chapri mine was discharged despite several attempts due to high price quoted by bidders and poor response. In view of this, the Company is exploring to engage contractor through MDO (Mine Developer cum Operator) route for re-opening and expansion of Rakha Copper Mine. Development of a new underground mine at Chapri-Sideshwar and erection & commissioning of a new Concentrator Plant at ICC is in the process of floating the tender for engagement of MDO agency.

Meanwhile, surface exploratory drilling has been undertaken at Chapri Block of Rakha Mining Lease and 5243.5 m of drilling has been done during the year 2019-20.

The company envisages augmentation of ore production capacity in 1st phase to 12.2 MTPA by 2028-29 in stages. The company will take up enhancement of ore production capacity to 20.2 MTPA in 2nd phase after successful completion of 12.2 million tonne per annum capacity plan.

5. Significant or material orders passed by the Regulators or Courts or Tribunals

No significant or material orders have been passed by the Regulators or Courts or Tribunals impacting the going concern status and companys operations in future.

6. Utilization of funds raised through preferential allotment or QIP during the year

The Company has not raised funds through preferential allotment or Qualified Institutions Placement during the year and hence not applicable.

7. Management Discussion and Analysis

A report on Management discussion and analysis of the performance of the Company is given at Annexure-I._

8. Awards and Accolades

a) HCL received ‘Honourable Mention at the National CSR Awards 2018 in the category — ‘Corporate Awards in CSR in Challenging Circumstances, Sub Category — East organized on 29.10.2019 at Vigyan Bhawan, New Delhi for its project in Drinking Water and Sanitation. This was the first National CSR Award organized by Ministry of Corporate Affairs, Government of India.

b) Following mines of HCL got awards in different categories at the National Safety Awards (Mines) at New Delhi on 16.12.2019:

(i) Kolihan Copper Mine, Rajasthan won the National Safety Awards (Mines) for year 2015 under category LAFP (Longest Accident Free Period)-Type-6.

(ii) Kolihan Copper Mine, Rajasthan won the National Safety Awards (Mines) for year 2016 under category LIFRM (Lowest Injury frequency rate per lakh man shift)-Type-6.

(ii) Surda Copper Mine, Jharkhand got runner-up prize at National Safety Awards (Mines) for year 2015 under category LAFP (Longest Accident Free Period)-Type-6.

c) Khetri and Kolihan Mines of KCC got several awards during 33rd Mines Safety Week- 2019 in the category of ‘Underground Mines organized from 2.12.2019 to 8.12.2019 and during the 30th Mines Environment & Mineral Conservation Week 2019 — 20 in the category of ‘Fully Mechanized (Group B Underground mine) organized from 5.1.2020 to 11.1.2020.

9. Information in respect of Subsidiary, Associate and Joint Venture

During the year, HCL has invested .75 Lakhs in the equity shares of Khanij Bidesh India Ltd (KABIL), a JV company between NALCO, HCL and MECL incorporated on 8.8.2019 with the objective to identify, acquire, develop, process and make commercial use of strategic and other minerals in overseas locations for supply in India and boost “Make in India” campaign. The shareholding of NALCO, HCL and MECL in the JV Company is in the ratio of 40:30:30.

During the year, HCL has not made any additional investment in its subsidiary viz. Chhattisgarh Copper Ltd (CCL). The total paid up capital of CCL as on 31.3.2020 is .25 Lakhs out of which 74% equity is held by HCL and remaining 26% is held by Chhattisgarh Mineral Development Corporation Ltd.

Information in respect of Subsidiary, Associate & Joint Venture (Form AOC 1) pursuant to Section 129(3) of the Companies Act, 2013 read with Rule 5 of Companies (Accounts) Rules, 2014 is given in Notes to Financial Statements 2019-20.

10. Deposits

The Company has not taken any deposits covered under or which are not in compliance with the requirements of Chapter V of the Companies Act, 2013.

11. Related Party Transactions (RPTs)

Investment of .75 Lakhs made by HCL towards equity capital of KABIL during 2019-20 falls under the category of RPT. Detail of RPT in Form AOC-2 is given at Annexure - II. Policy on RPTs and dealing with RPTs has been formulated and put up at the Companys website at www.hindustancopper.com.

12. Maintenance of cost records

The Company is required to maintain cost records as specified by the Central Government under section 148 of the Companies Act, 2013, and accordingly such accounts and records are being maintained.

13. Establishment of Vigil mechanism

The Company has in place a Whistle Blower Policy which provide adequate safeguards against victimization of employees / directors who avail of the mechanism and also provide for direct access to the chairman of the Audit Committee in exceptional cases. The Policy has been posted at the Companys website at www.hindustancopper.com.

14. Risk Management Policy

The Board of Directors of the Company has developed and implemented a Risk Management Policy for the Company including identification therein of elements of risk, which in the opinion of the Board, may threaten the existence of the Company.

15. Internal Financial Controls

The Company has in place adequate internal financial control with reference to financial statements commensurate with its size and operations.

16. Conservation of Energy, Technology Absorption, Foreign Exchange Earnings and Outgo

Information on conservation of energy, technology absorption and foreign exchange earnings and outgo stipulated under Section 134(3)(m) of the Companies Act, 2013 read with Rule 8 of the Companies (Accounts) Rules, 2014, is given as Annexure-III forming part of this report.

17. Safety

Safety remains high priority area and the Company is always aiming to achieve “Zero Accident”. The Company continues to maintain the tradition of attracting recognition for its safety performance and, like previous years, received a number of awards in mine safety as indicated below:

i. Malanjkhand open cast mine had won the following safety performance award in large opencast mine category in 2019-20 under the aegis of DGMS (Nagpur region I & II):

a) 1st Prize on Swatchata Abhiyan.

b) 2nd Prize on Mine Plans and Records.

c) 3rd Prize on Vocational Training & First Aid; Occupational Health & Safety & welfare Amenities; First Aid Team Competition, First aid team captain.

ii. Khetri Copper Mine had received 1st Prize on Storage, Transport & Use of Explosives, 2nd Prize on Plant, Machinery, Maintenance & Operation of Winder and 3rd Prize on Electrical Equipment & Installations and Occupational Health & Safety and Welfare Amenities, Vocational Training & First Aid and Accident Statistics & Control Measures such as SMP & Emergency Preparedness.

iii. Kolihan Copper Mine received 1st Prize on Occupational Health & Safety and Welfare Amenities, Vocational Training & First Aid and Accident Statistics & Control, 2nd Prize for Overall Performance and Mine Working, Mine Plans & Record and 3rd Prize on Electrical equipment & Installation, Plant, Machinery, Maintenance & Operation of Winder and Publicity, Propaganda & Awareness.

Besides the above, special training, regular refresher training program and on-the-job training are provided to all employees. Safety Campaigns like “Annual Mines Safety Week”, “Fire Services Day”, “Fire services week” and “Industrial Safety Day” celebrations are conducted regularly with active participation of employees in all the Units of HCL.

18. Corporate Social Responsibility (CSR)

The CSR Report in the prescribed format as per the Companies (Corporate Social Responsibility Policy) Rules, 2014 is at Annexure-IV.

19. Vigilance Activities

Vigilance is an essential management tool to ensure rules of corporate governance which is necessary to increase corporate discipline and probity in public life. The Vigilance Department plays an enabling role in (a) strengthening of systems and procedures, (b) updation of manuals, (c) adoption of rules to accommodate changing processes and business plan, (d) enhancement of transparency, (e) minimization of discretionary space and (f) fostering e-friendly environment through technical upgradation etc.

The stress is provided on capacity building by increasing awareness amongst employees and streamlining systems and procedures in tune with the latest government guidelines.

While preventive and proactive vigilance will always remain the priority, punitive action cannot be avoided in cases of serious misconduct. Even though, the same may evoke mixed responses at times, punitive vigilance is also important in the interest of maintaining discipline, fairness and probity in public dealings.

With the ever changing technology and economic scenario under which the Public Sectors have to function, the task of the Vigilance Department is becoming increasingly challenging and requires the streamlining of rules & guidelines, innovative thinking and solid management support for contributing to the growth of the organization.

The vigilance organization of HCL will always strive to achieve the above objectives.

20. Official Language Implementation

During FY 2019-20, HCL made constant endeavor to increase the use of Official Language Hindi in its Units/Offices. Raj Bhasha fortnight and Hindi Diwas were celebrated in the Units/Offices from 14.9.2019 to 28.9.2019. On this occasion, the messages of Honble Home Minister, Honble Mines Minister, Govt. of India and CMD, HCL were circulated /read out. Various competitions were organized with a view to increase interest among employees towards the Official Language and winners were rewarded. Employees are constantly motivated to use Hindi in their day-to-day official work. Hindi Workshops were conducted in the Units/ Offices at regular intervals. Regular review of progressive use of Hindi was carried out in quarterly meetings of Official Language Implementation Committee under the Chairmanship of CMD at Corporate Office and Unit Heads in Units.

During FY 2019-20, HCL participated in the half-yearly meetings organized by the Town Official Language Implementation Committee (PSUs), Kolkata conducted on 31.8.2019 and 29.1.2020. In the meeting held on 29.1.2020, two officers of HCL secured first position in the quiz contest and conferred the awards by his Excellency, the Governor of West Bengal.

The progressive use of Hindi is being reviewed regularly at Board meetings. The Companys in-house journal “Tamralipi” is published in Hindi and English languages and distributed among the employees and also sent to Institutions. There is a continuous effort to publish advertisement of recruitment / tender etc bilingually. In order to increase knowledge and popularity of Hindi among employees, a scheme of ‘one Hindi word and one sentence every day is being implemented. The use of Hindi in the computer has been further increased and advance software Unicode Hindi Open Office has been made available to all units/offices of the Company.

21. Business Responsibility Report

Pursuant to Regulation 34 (2) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 {SEBI (LODR), 2015}, Business Responsibility Report for FY 2019-20 describing various initiatives taken by the Company on social, environmental and governance perspective, is attached at Annexure-V which forms part of this report.

22. Extract of Annual Return

Extract of Annual Return pursuant to Section 92(3) of the Companies Act, 2013 is available at Companys website at www. hindustancopper.com.

23. Corporate Governance

Corporate Governance Report as per SEBI (LODR), 2015 is given at Annexure-VI forming part of this report together with Certificate on Corporate Governance.

24. Number of meetings of the Board

During FY 2019-20, nine Board meetings were held on 25.4.2019, 28.5.2019, 20.7.2019, 10.8.2019, 16.9.2019, 16.10.2019, 14.11.2019, 27.12.2019 and 13.2.2020.

25. Directors Responsibility Statement

In terms of Section 134(5) of Companies Act, 2013, your Directors confirm:

(i) That in the preparation of the Annual Accounts for the year ended 31st March, 2020 the applicable Accounting Standards had been followed along with proper explanations relating to material departures.

(ii) That such Accounting Policies have been selected and applied consistently and made adjustments and estimates which 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 31st March, 2020 and of the Profit and Loss of the Company for the FY 2019-20.

(iii) That proper and sufficient care has been taken for the maintenance of adequate accounting records in accordance with the provisions of the Act 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.

(v) That the Directors have laid down internal financial controls to be followed by the Company and that such internal financial controls are adequate and operating effectively.

(vi) That the Directors have devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems are adequate and operating effectively.

26. Declaration by Independent Directors

Independent Directors of the Company have given declaration to the effect that they meet the criteria of independence as provided under Section 149(6) of the Companies Act, 2013.

27. Familiarization Program for Independent Directors

On joining, Independent directors are familiarized through induction program / presentation with the overview of business, operations, new projects and business model of the Company. Visit to Units is also organized as per their convenience. They are also updated on the changes / developments including in the relevant statutory / regulatory requirements from time-to-time. Detail of Directors Training / Familiarization Program has been hosted at the Companys website at www. hindustancopper.com.

28. Opinion of the Board with regard to integrity, expertise and experience (including the proficiency) of the Independent Directors

In the opinion of Board the Independent Directors of HCL are person of integrity and possesses expertise and experience required to discharge their duty. Two out of four Independent Directors (viz. S/Shri R Kalyansundaram and Pawan Kumar Dhawan) have successfully completed online proficiency self-assessment test conducted by the Indian Institute of Corporate Affairs.

29. Manner of Annual evaluation of Board sub Committees and individual Directors

HCL being a Government Company, performance evaluation of its Directors and criteria of evaluation is decided and undertaken by the Government of India.

30. Code of Conduct

The Company has in place a Code of Conduct applicable to the Directors as well as Senior Management and the same has been circulated to all concerned and posted at the Companys website www.hindustancopper.com. All Board members and senior management personnel have affirmed compliance of the Code for the year ended 31st March, 2020.

31. Directors

S/Shri R Kalyansundaram, Pawan Kumar Dhawan and Balwinder Singh Canth have been appointed as Non-official Independent Directors with effect from 22.7.2019.

Shri Anupam Anand who was under suspension from 11.4.2019 in terms of Order No. A/05/1/2019-Vig. dated 11.4.2019 issued by Ministry of Mines, Government of India, ceased to be Director (Personnel) with effect from 4.8.2019 upon completion of his term.

Shri Niranjan Kumar Singh ceased to be part time official (Govt. Nominee) Director from 14.10.2019 on completion of his central deputation tenure.

Smt Simantini Jena and Shri Hemant Mehtani ceased to be Non-official Independent Directors on completion of their tenure on 16.11.2019.

Shri Dileep Raj Singh Chaudhary ceased to be Non-official Independent Director on completion of his tenure on 30.11.2019. Shri Santosh Sharma and Shri Sanjay Kumar Bhattacharya ceased to be CMD and Director (Mining) respectively on attaining the age of superannuation on 31.12.2019.

Shri Arun Kumar Shukla took over the charge of CMD from 1.1.2020.

Shri Satendra Singh appointed as part time official (Govt. Nominee) Director from 1.1.2020 to 7.8.2020.

Shri Sanjeev Verma appointed as part time official (Govt. Nominee) Director vice Shri Satendra Singh from 7.8.2020.

The Board places on record its appreciation for the valuable services rendered and contribution made by Smt Simantini Jena, S/Shri Niranjan Kumar Singh, Satendra Singh, Hemant Mehtani, Dileep Raj Singh Chaudhary, Santosh Sharma, Sanjay Kumar Bhattacharya and Anupam Anand during their tenure on the Board.

32. Secretarial Audit Report

M/s Bajaj Todi & Associates (Formerly known as PS & Associates), Practicing Company Secretaries, has been appointed as Secretarial Auditor for FY 2019-20. Report given by the Secretarial Auditor is given at Annexure -VII to this report. With regard to observations of Secretarial Auditor about composition of the Board that “No. of Independent Directors were less than 50% from 1.4.2019 to 21.7.2019 and 1.12.2019 to 31.12.2019. Also the Board does not have Women Director with effect from 16.11.2019”, it is stated that HCL, being a Government Company and in terms of its Articles of Association, appointment of all Directors on its Board is made by the President of India through orders issued by the Ministry of Mines (MoM). The Company has no role to play in the appointment process. However, the Company is pursuing the matter with MoM for appointment.

33. Auditors

M/s. Chaturvedi & Co, Kolkata was appointed as Statutory Auditors to audit the accounts of the Company for the year 2019-20.

M/s. Chatterjee & Co, Kolkata was appointed as Cost Auditor of the Company for carrying out the Cost Audit of Copper Ore, Concentrate, Cathode, Continuous Cast Copper Rods, other Processed Copper and articles along with Sulphuric acid for the year 2019-20.

34. Comments of C&AG

The comments of C&AG under the Companies Act on the accounts of the Company for the year ended 31st March, 2020 are annexed to this report.

35. Appreciation

In conclusion, your Directors wish to place on record their appreciation of the hard work put in by all employees of the Company during the year under review. The Board gratefully acknowledges the valuable guidance and co-operation received from the Ministry of Mines and other Ministries/ Departments of the Government of India and the support received from the State Governments of Rajasthan, Jharkhand, Madhya Pradesh, Maharashtra, Gujarat and West Bengal and the Companys bankers, customers and office bearers of the recognized Trade Unions of different Units / Head Office. The Board also thanks all shareholders and investors for the trust reposed by them in the Company.

For and on behalf of the Board of Directors
Arun Kumar Shukla
Chairman and Managing Director (DIN-03324672)
Place: Kolkata
Date: 10.8.2020