Today's Top Gainer
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TO THE MEMBERS
Your Directors take pleasure in presenting the Twenty Fourth Annual Report and Audited Financial Results of the Company for the year ended on 31st March, 2018.
|FINANCIAL RESULTS||For the year ended 31.03.2018||For the year ended 31.03.2017|
|Profit/(loss) before Tax||6.15||8.36|
|Less: Provision for taxation||3.62||3.37|
|Add: Provision for Deferred Tax||(1.72)||-|
|Tax Expenses for earlier year||(1.22)||-|
|Net Profit/(loss) (PAT)||5.47||4.99|
|Other Comprehensive Income||1.55||116.58|
|Total comprehensive Income for the period||7.02||121.57|
Revenue from operation in the year under review reduced nil, while the other income remaining same resulting in net income for the period being reduced to only 42.08% of that of the Previus Year. Whereas consequent to continuous monitoring of the expenses, the total expenses for the year could be brought down to 37.80% of that of the previous year as a result the Gross profit before taxation could te managed to maintain to maintain at a marginally lower figure of Rs 6.15 lakh as compared to Rs 8.37 :akh in the previous year.
Finally consequent to earning of different tax Profit of Rs. 1.72 lakh and adjustment of tax expenses for the earlier year amounting to Rs 1.22 Lakh, Net profit for the current year marginally exceeded that of the previous from Rs 4.99 lakh to 5.47 lakh.
As a result EPS of the current year firmed up from Rs 0.15 to Rs 0.17.
Incidentally it may be noted that consequent to impalement of changed accounting standard (IND-AS) as recommended by the ICAI, which has since became mandatory, further detail of comprehensive/ expenditure and taxation as reclassifed income have been appropriately disclosed in the Audited statement of accounts & profit.
In view of the insufficient Profit of the year, your Directors refrain from recommending payment of dividend for the year.
For and up to F.Y. 2016-2017, Financial statement were prepared in accordance with the then applicable accounting standard (INDIAN GAAP). From 1st April 2017, Indian Accounting Standards (IND-AS) are
applicable to the Company. Accordingly, The Company has adopted IND AS and prepared financial statements for Financial year 2017-2018 in accordance with the principles laid down in IndrAS. The comparative data for the previous Financial year 2016-2017 have also been presented in accordance with Ind-AS. In preparing these financial statements , the Companys opening balance sheet as at 1" April 2016, the company datemf transition to Ind-AS, has also been prepared accordingly. The Company has, therefore , made principal adjustments to restate its Indian GAAP financial statements as at end for the year ended 3131 March 2017.
TRANSFER TO RESERVE
The Company is not required to transfer any amount to Reserve under the provisions of the Companies Act, 2013.
TRANSFER TO INVESTORS EDUCATION AND PROTECTION FUND.
The unpaid /un-claimed Dividend Balance in the company is Book of Account as at the end of FY 2017/
18 amounting to Rs. 90d8/- is being transfer to IEPF of the control Govt, in term of the provision U/s - 125(4) of the companies act 2013.
STATUTORY AUDITORS AND THEIR REPORT
M/s Jain Pradeep & Co (FRN NO 315109E) , Chartered Accountants has been appointed as the statutory Auditors of the Company by a resolution of the members of the Company for a consecutive (5) five years period ending on the AGM to be held in the year 2019 subject to ratification by the members at every AGM held in between at such, remuneration as may be fixed by on Board . The Report of the Auditors when read with notes forming parts of Accounts is self explanatory and does not require any further elaboration.
Mrs Riti Poddar (DIN 01726726) being as a Non-executive Rotational Director is due to retires at the . forth comming Annual General Meeting and see being eligible offers herself for reappointment.
DECLARATION OF INDEPENDENT DIRECTORS
The Independent Directors have submitted their disclosures to the Board that they fulfill the requirements to be qualified for their appointment as Independent Direcotrs under the provisions of the Companies Act, 2013 U/s 149 as well*aS applicable provisions of SEBI(LODR) Regulations 2015.
DIRECTORS RESPONAIBILITY STATEMENT
Pursuant to the requirements under section 134(3) (c ) of the companies Act, 2013 with respect to Directors Responsibility Statement your Directors hereby confirm and State That :-
In the preparation ofthe Annual Accounts, the Accounting Standard laid down by ICAI, have been strictly followed.
The directors have selected such accounting polices and adopted them consistently and made judgments 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 & loss of the company for the period.
Proper and sufficient care has been taken for the maintenance of adequate records in accordance with provisions of the Companies Act. for safeguarding the assets of the Company and detecting fraud and other irregularities:
The Annual accounts have been prepared on the On-Going concern basis.
Laid down internal financial controls to be followed by the company and that such internal financial control are adequate and were operating effectively.
Devised proper systems to ensure compliance with the provisions of all applicable laws and that such system were adequate and operating effectively.
LISTING OF SHARES
Besides listing on the CSE, the listing of Companys shares on BSE .presently remains suspended and
revocation thereof has duly been applied for which is expected shortly.
DETAILS OF DIRECTOR & KEY MANAGERAL PERSONS INCLUDING THOSE WHO WERE
APPOINTED OR HAVE RESIGNED DURING THE YEAR
|Mr. Sanjay Kumar Shah||: Whole Time Director & CFO.|
|MrAbhishek Poddar||: Non Executive, Independent Director|
|Mr Uma Nath Singh||: Non Executive, Independent Director|
|Mrs Riti Poddar||: Non Executive, Non Independent Director|
There was no appointment or Resignation of Directors during the year.
KEY MANAGERIAL PERSONNEL
Mr. Sanjay Kumar Shah has been appointed as the whole time Executive Director & CFO in compliance of Section 196 read with Section 203 of the companies Act, 2013. Presently the Company is not having any whole time company Secretary. However, the Company is endeavoring to appoint a suitable whole time Company secretary at the earliest.
NUMBER OF BOARD MEETINGS HELD DURING THE YEAR
During the year 2017-18, the Board of Directors met 4(four) times on 30.05.2017, 12.08.2017,14.11.2017,14.02.2018 followed by an exclusive meeting of independent directors on 30.05.2017.
CHANGE IN NATURE OF BUSINESS, IF ANY
During the year, there was no change in the nature of Business of the Company.
THE ANNUAL EVALUATION
The ultimate responsibility for good performance and prudent management of Company lies with the Board of Directors. The Board is expected to exercise continuous proactive and effective decision making and implementation thereof with a view to achive the desired goal. In this connection the Board has set out a framework of guidelines for the directors to undertake continuous evaluation of performance of the Cortipany while affirming the desired destination. The Board of Directors as a whole is required to display its commitment to good governance ensuing a constant improvement of process and procedures and each individual directors are committed to contribute his best in the overall growth of the organization.
The Independent Directors have submitted to the Board necessary declarations as to their eligibility for appointment as independent Director in term of Sec 149 of the Companies Act,2013 and the applicable provisions of SEBI (LODR) Regulation 2015.
MATERIAL CHANGES AND COMMITMENTS, IF ANY, AFFECTING THE FINANCIAL POSTION OF THE COMPANY WHICH HAVE OCCURRED BETWEEN THE END OF THE FINANCIAL YEAR OF THE COMPANY TO WHICH THE FINANCIAL STATEMENTS RELETE AND THE DATE OF THE REPORT.
No material changes and commitments affecting the financial position of the company occurred in between the end of financial year and the,date of Report.
PARTICULARS OF CONTRACTS OR ARRANGEMENTS WITH RELATED PARTIES.
Necessary disclosures havq, been made in the Notes to the financial Statement forming part of the Audited Statements of financial Statements as at the end of Financial year 2017-2018 and was shown as "Related Party Transaction" ip terms of Section, 129 read with schedule III to the Companies Act, 2013 and that such transactions having been made in the ordinary course of business transaction at arms length basis, the provisions of the section, 188 of the Act, was not applicable to the Company.
PARTICULARS OF LOANS,GUARANTEES OR, INVESTMENT U/S186 OF COMPANIES ACT, 2013.
The Company did not provide any loans or guarantee u/s 186 of the Companies, Act, 2013 while the particulars of investments made by the company u/s 186 as at end of the F Y 2017-2018 forms parts of the NOTES TO FINACIAL STATEMENT annexed to this Report.
SIGNAFICANT AND MATERIAL ORDER PASSED BY REGULATORS OR COURTS OR TRIBUNALS IMPACTING THE ON-GOING STATUS OF COMPANYS OPERATIONS.
There was no significant order passed by Regulators or courts or Tribunal impacting the ongoing status of Companys operation in future.
The Company believes that the employees are the most valuable assets of an organization and the optimum utilization of their skill, Knowledge and attitude are instrumental to the growth of an organization.
The Company having no secured Loan and/or issued Debentures or Public Deposit, credit Rating of the Company was not required.
SUBSIDIARIES / ASSOCIATES
The Company do not have any subsidiary and/or Associates Company.
CAPITAL AND FINANCE
There had been no issug r allotment of any securities during the ^ear. The issued, subscribed and paid up capital of the Company remains static at Rs 33099000.00 divided into 3309900 Equity shares of Rs 10/- each as at 31.3,2018.
EMPLOYEE STOCK OPTION PLAN
The Company had not provided any employee Stock option.
The Paid up capital of the Company being less then Rs 5.00 Crore (Rupees Five Crore) the provisions of SEBI (LODR) Regulation 2015 are not attracted to this Company.
Yet, your Directors believe that CORPORATE GOVERNANCE is way of business life, rather than a statutory compliance. It is intended to achieve excellence in business for enhancing the long term shareholders wealth through necessarydisclosure transparency, integrity, accountability, responsibility and fairness in all its dealing with shareholders, customers, suppliers and the society at large. During the financial year 2017-2018, your directors continued their Endeavour to pursue the policy and procedure to safety their ethical responsibility. A brief report on Corporate Governance is annexed hereto as Annexure-A.
PATICULARS OF EMPLOYEES
There being no employee, employed during the year, drawing remuneration in excess of the prescribed ceiling, the provisions of section 197(12) of the Companies Act, 1956 read with rules (5) is not applicable to this company.
PARTICULARS OF THE MANAGEMENT REMUNERATION
In accordance with the provisions U/s 197(2) read with rule 5 of the Companies (Appointment and Remuneration of management) Rules the Company furnish the details as Annexure-C as part of this report.
EXTRACT OF ANNUAL RETURN
The Extract of Annual Return in Form No MGT-9 for the year ended on 31.03.2018 is attached hereto as Annexure-C and form part of this Report.
Pursuant to the provisions of Section 204 of the Companies Act,2013 and rule made there under Mr Rajarshi Ghosh, a Company Secretatory in practice (CP No8921 member ship No ACS 17717) has been appointed as secretarial Auditor of the Company for the year ended 31.03.2018. The Report of SECRETARIAL AUDIT is annexed hereto and marked as annexure-B.
INTERNAL / COMPLAINT COMMITTEE
In accordance with the Sexual harrassement of woman at workplace (prevention, prombition and Redressal)Act 2013 and rules made there under, the Company was not required to consitute any committee for necessary action as required under the Act, since there is no Woman employee engaged by the Company.
CORORATE SOCIAL RESPONCIBILITY
The Provisions of section 135 of Companies Act, 2013 setting out the conditions for applicability of corporate social Responsibility having not been fulfilled by company, the responsibility of setting a Corporate Social Responsibility committee and/or other obligations under this section is not attracted to this company.
CONSERVATION OF ENERGY ETC AND FOREIGN EXCHANGE EARNINGS AND OUTGO.
There being no manufactring activity of the Company during the year, the provisions of the Companies Act, 2013 in the subject matter was not attracted to this company. The information required U/s 134(3)( m) of the Act are not attracted. :
There was no Income or outgo in foreign Exchange during the year.
The Company having no Manufacturing operations during the year, the Provisions of sec 148 of the Companies Act, 2013 is not attracted to the Company.
INTERNAL FINANCIAL CONTROL VIZ-A VIZ INTERNAL AUDIT
The Audit Committee of the Board of Directors of the Company closely monitors the adequacy of the internal Financial Control System in close co-ordination and support of the in-home internal Audit team who periodically submits its findings on the efficacy and adequacy of the internal Control System, its compliance with the Companys operating system and Accounting standards and policies. Based on the Report of the in-house Audit Team , their findings and submissions the Audit committee have elaborate discussions and do make recommendations to the senior management to undertake corrective measures wherever necessary to strengthen the control. The subject process of internal Financial Control is a continuous one and is due compliance of the provisions of the Companies Act 2013. During the F Y 2017-18 there had been no reportable weakness in the design or operation as observed.
The Company has neither accepted nor renewed any public Deposit as defined under the provisions contained in chapter V of the Companies Act, 2013.
RISK MANAGEMENT POLICY
Your Directors have formulated and implemented a Risk Management policy for the Company with a view to identity various risks impacting the company and the mode of addressing them effectively by way of identifying therein the risk elements which in the opinion of the Board may threaten the performance and even existence of the Company.
In pursuance of the Provisions of sub section (9) & (10) of section 179 of the Companies Act,2013 your procedure for whistle blower system to report matters of serious concern and consequences that directors have developed and implemented an extensive vigil mechanism for directors and employees with elaborate may have serious effect on the operation.
MANAGEMENT DISCUSSION & ANLYSIS REPORT
The Companys main business activity was manufacturing and selling of knitted hosiery Garments to cater for the domestic market. But consequent to continuous labour unrest at the manufacturing unit, the company was forced to close down its production activities on a permanent basis and have bean continuing with Trading activities and investing the liquid funds to earn return on idle capital. However the directors are seriously examining viability of diverse project proposals to commence new ventures within the framework of the object clause of the Companys memorandum of Association. In case a suitable project could be indentified within the limit of the Companys available resources your directors- will not hesitate to take necessary actions for immediate implementation of the desired project and the matter will be placed before the members in a General Meeting for consideration and approval of applicable Resolutation there for as may be necessary.
Your Directors wish to place on records, their sincere appreciation of the Valuable co-operation and support received from the Financial Institutions, Banks, and Government Department and Agencies both at the Central and state levels. The Directors would .like to express thanks to the sincere services of Workers, staff and Executives of the Company.
|Dated: 30.05.2018||By order of the Board|
|Place : Kolkata||for Siddheswari Garments Limited|
|Uma Nath Singh|
|Sanjay Kr. Shah|