ICDS Ltd Management Discussions.
Review of Operations: ,
The present activity of the company is restricted to recovery of overdues of Hire Purchase installments/ Lease Installments, Loans and other dues and repayment of balance of public Liabilities as per the Scheme of Arrangement sanctioned by the Honble High Court of Karnataka.
In order to generate some income to partly meet the establishment expenses, the Company has been engaged as Corporate Agent for Life and General Insurance Companies. The Company has also taken up distributorship of SistemaShyam Teleservices Ltd. for their MTS mobile phones, dealership of Videocon & Intex brand handsets etc. and accessaries at Coimbatore and Salem areas in the State of Tamil Nadu..
During the year under review, the company recovered / realised an amount of Rs.226.03 Lakhs from various sources such as Recovery of Bad and Doubtful Debts, Demerger Receivables from Manipal Properties Ltd. The figure also include fee based income earned from other activities like service charges under Insurance Agency and Telecom Franchise, Dividend Income and rental income.
Payment of Public Liabilities:
The Final installment payable under the Scheme of Arrangement was on 30th June, 2010. In spite of sending letters, reminders to various investors, 5,123 investors have not surrendered the original certificates of investments to take back their investment and interest. Further some of the investors have not either presented the cheque issued in their favour in settlement of their dues or the instruments were lost in transit. The aggregate amount of investments still lying with the Company is Rs.293 Lakhs. In addition, interest payable to the investors as per the Scheme of Arrangement upto 15th July 2002 amounting to Rs. 198 Lakhs has not yet been claimed by the investors as they are required to claim by producing original investment certificates. Arrangements are in place to pay the claims received from investors as and when the original investment certificates lodged by such investors.
Transfer of Unclaimed Public Liabilities to Investors Education & Protection Fund (IEPF) formed by the Govt, of India, u/s 205 (C) of the Companies Act, 1956.
The public liabilities which were not claimed by the investors as on 31st March, 2016 pertaining to Installment of category 4 of the Scheme, i.e. Face value of investment of Rs. 10,000 and above and less than Rs.20,000 was Rs.Nil. Flowever unclaimed/ unencashed cheques amounting to Rs.84,65,735/- remaining unpaid has been remitted to IEPF.
The Company has sent individual letters to all the investors to claim their investment/interest by tendering the original certificates failing which the company will be compelled to remit the same to IEPF by 31st July, 2017.
Discussion on Financial Performance:
The discussion on financial performance and future business plan of the Company is covered in the Directors Report.
Human Resource Development:
There has been no material development on the Human Resources front. The number of people employed as on 31s1 March, 2016 was 40 as against the previous years figure of 41.