To the Members,
Your Directors have pleasure in presenting their Annual Report together with the
Audited Accounts of the Company for the financial year ended 31st March, 2021.
COMPANY PERFORMANCE
|
2020 - 2021 |
2019 - 2020 |
| FINANCIAL RESULTS |
Rs. |
Rs. |
| Total Revenue |
18,628 |
2,86,910 |
| Net Profit/(Loss) after Tax |
(31,54,589) |
(68,07,120) |
| Add: Opening Balance in Statement of Profit & Loss |
9,98,72,833 |
10,66,76,953 |
| Closing Balance |
9,67,18,243 |
9,98,72,833 |
DIVIDEND
In view of the losses incurred by the Company, your Directors have not recommended any
dividend for the year under review.
COVID-19 PANDEMIC
The Countrys economy was impacted since March 2020 due to the lockdown announced by
the Government of India on account of COVID-19 outbreak. The Board of your Company
monitors the situation and makes assessment of the likely impact of the pandemic on
overall economic environment and its operations. In the prevailing circumstances, the
Company does not anticipate any challenge in meeting its future obligations and as such
does not expect any impact of COVID 19 outbreak on its ability to continue as a going
concern.
SCHEME OF AMALGAMTION
The proposed Scheme of Amalgamation in terms of Section 230-232 of the Companies Act,
2013 involving (a) Neptune Exports Limited, (b) Northern Projects Limited, (c) Tea Time
Limited and (d) Orient International Limited with Hindusthan Udyog Limited has received
NOC from the Stock Exchanges during the year ended 31st March, 2021. The
Company is in the process of obtaining other necessary approvals/consents including that
of the Shareholders and the National Company Law Tribunal, Kolkata Bench.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT
Management Discussion and Analysis Report for the year under review is appended below:
A. BUSINESS
Your Company was engaged in the business of exporting tea. However, the said business
is presently under suspension. The Company is presently engaged in investment and
financial activities and is registered with Reserve Bank of India under Section 45IA of
the Reserve Bank of India Act, 1934 as a Non-Banking Financial Company.
B. REVIEW OF OPERATIONS & FUTURE PROSPECTS
The Board of your Company is exploring alternatives for improving its operations and
reduction of losses.
C. OPPORTUNITIES AND THREATS, RISKS AND CONCERNS
Your Companys objective is to effect improvement in its operations. However, the
Company is exposed to threats and risks, as faced by other organizations in general and
those engaged in similar business, like adverse changes in the general economic and market
conditions, changes in Government policies and regulations etc.
D. INTERNAL CONTROL SYSTEM
The Company has Internal control procedures commensurate with the nature of its
business and size of its operations. The objectives of these procedures are to ensure
efficient use and protection of Companys resources, accuracy in financial reports and due
compliance of applicable statutes and Companys norms, policies and procedures.
E. HUMAN RESOURCES
The employees of the Company are committed towards the growth of the Company and there
was no loss of work or any problem during the year with respect to them.
DIRECTORS & KEY MANAGERIAL PERSONNEL
Mr. V.N. Agarwal (DIN 00408731) Director, retires by rotation at the ensuing Annual
General Meeting (AGM) and being eligible offers himself for re-appointment. His brief
resume is attached to the Notice of the ensuing AGM.
Ms. Ranu Dey Talukdar resigned as the Company Secretary and Compliance Officer of the
Company with effect from the close of 28th February, 2021.
NUMBER OF BOARD MEETINGS HELD
During the Financial Year 2020-21, Six (6) Board Meetings were held on 29th
June, 2020, 6th July, 2020, 10th September, 2020, 13th
November, 2020, 21st January, 2021 and 27th February, 2021.
DIRECTORS RESPONSIBILITY STATEMENT
In accordance with Section 134(5) of the Companies Act, 2013 your Board of Directors
confirms that:-
(a) in the preparation of the Annual Accounts for the financial year ended 31st
March, 2021, the applicable accounting standards had been followed along with proper
explanation relating to material departures;
(b) the directors had selected such accounting policies and applied them consistently
and made judgments and estimates that were 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 or loss of the Company for that period;
(c) the Directors had taken proper and sufficient care for the maintenance of adequate
accounting records in accordance with the provisions of the Companies Act, 2013 for
safeguarding the assets of the Company and for preventing and detecting fraud and other
irregularities;
(d) the annual accounts of the Company have been prepared on a "going
concern" basis;
(e) the directors had laid down internal financial controls to be followed by the
Company and that such internal financial controls are adequate and were operating
effectively; and
(f) the directors had devised proper systems to ensure compliance with the provisions
of all applicable laws and that such systems were adequate and operating effectively.
POLICY FOR DIRECTORS APPOINTMENT
The Company believes that in order to ensure that the Board of Directors can discharge
their duties and responsibilities effectively; it aims to have a Board with optimum
combination of experience and commitment with the presence of Independent Directors. Such
Board can provide a long term plan for the Companys growth, improve the quality of
governance and increase the confidence of its shareholders.
The Company has a policy in terms of Section 178(3) of the Companies Act, 2013 on
directors appointment and remuneration including the criteria for determining their
qualifications, positive attributes and independence.
BOARD EVALUATION
The Board has evaluated the effectiveness of its functioning and that of the Committees
and of individual Directors by seeking inputs on various aspects of Board/Committee
Governance and considered and discussed in details the inputs received from the Directors.
AUDIT COMMITTEE
The Audit Committee as on 31st March, 2021 comprised of Mr. G.K. Agarwal as
the Committee Chairman and Mr. V.N. Agarwal and Mr. B.K. Mawandia as the other Members.
All the recommendations made by the Audit Committee during the financial year under review
were considered by the Board.
NOMINATION AND REMUNERATION COMMITTEE
The Nomination and Remuneration Committee as on 31st March, 2021 comprised
of Mr. V.N. Agarwal as the Committee Chairman and Mr G.K. Agarwal and Mr. B.K. Mawandia as
the other Members. All the recommendations made by the Nomination and Remuneration
Committee during the financial year under review were considered by the Board.
INDEPENDENT DIRECTORS DECLARATION
The Independent Directors meet the criteria of being Independent (as prescribed in the
Companies Act, 2013 and the Listing Regulations) and an Independency Certificate from them
have been obtained.
ANNUAL RETURN
As provided under Section 92(3) read with Section 134(3)(a) of the Companies Act, 2013,
the Annual Return as on 31st March, 2021 in Form MGT-7 is available on the
Website of the Company at: www.northernproj.co.in/investor.php.
STATUTORY AUDITORS
M/s Amitava Sarkar& Co., Chartered Accountants (Firm Registration No. 328605E)
continue to act as the Statutory Auditors of the Company as they were appointed for a term
of 5 years commencing from the Financial Year 2017-18.
SECRETARIAL AUDITOR
Pursuant to the provisions of Section 204 of the Companies Act, 2013 and the Rules
there under, the Board of Directors of the Company has appointed a Practicing Company
Secretary to conduct the Secretarial Audit of the Company for the Financial Year 2020-21.
The Secretarial Audit Report for the financial year ended 31st March, 2021 is
annexed herewith as Annexure A.
COST AUDIT
The Company is not required to maintain cost records in terms of Section 148(1) of the
Companies Act, 2013
RELATED PARTY TRANSACTIONS
All contracts/arrangements/transactions entered by the Company with its Related Parties
during the financial year were on arms length basis and in the ordinary course of
business. Hence the provisions of Section 188 of the Companies Act, 2013 and disclosure in
Form AOC-2 are not applicable. The transactions with Related Parties are disclosed in the
Notes to the Financial Statements.
PARTICULARS OF LOANS, INVESTMENTS AND GUARANTEES
Details of Loans, Investments and Guarantees, if any, given/made by the Company are
disclosed in the Notes to the Financial Statements.
VIGIL MECHANISM
Pursuant to the provisions of Section 177(9) & (10) of the Companies Act, 2013, a
Vigil Mechanism for Directors and Employees has been established, details of which are
given on the website of the Company.
RISK MANAGEMENT
Risk Management is the process of identification, assessment and prioritization of
risks to minimize/mitigate/monitor the probability and/or impact of unfortunate events.
Risk Management Policy enables the Company to manage such uncertainties and changes in the
internal and external environment to reduce their negative impact. The Board of Directors
of the Company, as and when needed, develops such policies for assessing and managing the
risks in accordance with the requirements of the Companies Act, 2013.
PARTICULARS OF EMPLOYEES
Information required to be given pursuant to the provisions of Section 197(12) of the
Companies Act, 2013 read with Rule 5(1) of the Companies (Appointment and Remuneration of
Managerial Personnel) Rules, 2014 is annexed as Annexure B.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE EARNINGS AND OUTGO
Particulars relating to Conservation of Energy, Technology Absorption, Foreign Exchange
Earnings and Outgo, as required under Section 134(3)(m) of the Companies Act, 2013 read
with Companies (Accounts) Rules, 2014 were not applicable to the Company during the year
ended 31st March, 2021.
ACKNOWLEDGEMENTS
Your Directors would like to thank shareholders, bankers and all other business
associates for the continuous support given by them to the Company.
PLACE: KOLKATA
DATE: 29th JUNE, 2021
+91-9892691696
