Ratan Glitter Industries Ltd Directors Report

To,

The Shareholders

M/s. Ratan Glitter Industries Ltd.

Mumbai.

Your Directors have pleasure in placing before you their Twenty Eighth Annual Report of the Company together with the Audited Statement of Accounts for the year ended on 31st March, 2013.

FINANCIAL RESULTS:

		(Amt in Rs in Laks)
Particulars	Current Year 2011-2012	Previous Year 2011-2012
Sales/Turnover	(467.53)	751.00
Profit/Loss before interest & depreciation & taxation	(672.58)	302.14
Less: Interest	22.89	16.58
Profit/Loss before depreciation & taxation	(649.69)	285.56
Less: Depreciation	243.66	279.25
Profit/Loss before provision for taxation.	(406.03)	6.30
Less: Provision for taxation	0.00	1.01
Net Profit/ Loss carried over to General Reserve	(406.03)	5.29

WORKING RESULTS:

During the year under report, the turnover of the Company has reduced considerably to Rs. 4.67 Crores as against Rs. 7.51 Crores during the previous year, resulting in Loss of Rs. 4.06 Crores as against Profit of Rs. 5.29 Lacs. The company has not made any provision for Interest payable on the outstanding loan amount of Bank of Baroda as the account has been declared as Non Performing Assets. Bank of Baroda has also initiated recovery proceedings against the company in the Debts Recovery Tribunal, Mumbai, subsequent to which bank has taken over the possession of the Factory unit of the Company including Plant & Machinery, Land and Factory Bldg on 29-01-2013. When the factory unit was under the possession of the bank there were huge thefts taken place whereby costly imported machineries and parts of machineries, raw materials, finished goods, consumables etc. were stolen and cumulative loss on account of theft, on rough estimate would be more than Rs. 15 Crores. The company is coordinating with the bank and Police Dept. to find out the exact loss. However the actual loss could be ascertained only after a detailed and independent survey and valuation taken. The Company intends to file necessary claim suite against the Bank in the appropriate uourt of law against the bank for the machineries etc. stolen from the factory when the possession was with the bank. The bank has not taken adequate care to safe guard the factory while it was under their possession/control. However the bank has lodged insurance claim with Insurance Company for the loss on account of theft occurred .at the factory.

DIVIDEND:

Due to loss suffered by the Company the Directors do not recommend any dividend for the year 2012-2013.

EMPLOYEES:

The statement giving the requisite particulars of Employees pursuant to Sec. 217 (2A) of the Companies Act, 1956 is not applicable as there is no employee to whom this provision apply.

LISTING FEES:

The Annual Listing fees for the Year 2012-2013 has been paid to Bombay Stock Exchange. DIRECTORS:

All the Directors of the company continue to serve on the Board of the Company.

CONSERVATION OF ENERGY. TECHNOLOGY ABSORPTION & FOREIGN EXCHANGE EARNING AND OUT GO.:

The particulars as prescribed under Sub-Section (1) (e) of Section 217 of the Companies Act, 1956 read with Companies (Disclosure of particulars in the Report of Board of Directors) Rules 1988 are given in Annexure A.

DIRECTORS RESPONSIBILITY STATEMENT: -

Pursuant to Section 217 (2AA) of the Companies Act, 1956, the Directors confirm that:-

i) In the preparation of annual accounts, the applicable accounting standards have been followed along with proper explanation relating to material departures; if any,

ii) They have 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 as at 31^st March 2013 and of the profit of the Company for the year ended on that date;

iii) They have 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) They have prepared the annual accounts on a going concern basis

COMPLIANCE CERTIFICATE:

Pursuant to Section 383A as amended of the Companies Act, 1956 compliance certificate is attached to this report.

AUDITORS:

JAYESH SHETH & CO., Chartered Accountant, the Retiring Auditor is eligible for reappointment, offer himself for reappointment. You are requested to appoint an Auditor and to fix his remuneration for the coming year.

ACKNOWLEDGEMENT:

Your Directors wish to place on record their appreciation for the devoted services rendered by the members of the staff.

FOR AND ON BEHALF OF THE BOARD OF DIRECTORS

CHAIRMAN

PLACE : MUMBAI.

DATE : 03.05.2013.

ANNEXURE-A

Conservation of energy:

The company has taken adequate steps to conserve electrical energy from time t time.

TECHNOLOGY ABSORPTION:

Research & Development:-
1) Specific areas in which R& D was: Carried out by the company	NIL

2) Benefits derived as a result of the: Does not arise Above:

3) Future plan of action	: Not yet decided
4) Expenditure on R& D	: NIL
a) Capital
b) Recurring
c) Total
d) Total R& D expenditure as a

Technology absorption, adaptation and innovation:-

1) Efforts in brief, made towards technology absorption, adaptation and innovation: The company is not engaged in manufacturing process where technologies involved.

2) Benefit derived as a result of the above efforts, e.g. product improvement, cost reduction, product development, import substitution etc:- Does not arise.

3) In case of imported technology (imported during the last 5 years reckoned from the beginning of the financial year) following information may be furnished :-

a) Technology imported	NIL
b) Year of import	Not applicable
c) Has technology been fully absorbed	Not applicable
d) If not fully absorbed, areas where this has : not taken place, reasons therefore and the plan of action	Not applicable

FOREIGN EXCHANGE EARNING AND OUTGO:

Total Foreign Exchange used	Rs. 28,29,599/-
Total Foreign Exchange earned	NIL