southpole securities ltd Directors report

SOUTHPOLE SECURITIES LIMITED ANNUAL REPORT 2006-2007 DIRECTORS REPORT To, The Members, of South Pole Securities Ltd Your directors have pleasure in presenting herewith their Thirteenth Annual Report together with the Audited Statements of Accounts for the Period 31st March, 2007. PERFORMANCE HIGHLIGHTS: Particulars Year Ended Year Ended 31.03.2007 31.03.2006 (Rupees) (Rupees) In lacs In lacs Gross Income 0.00 0.02 Profit/Loss Before Depreciation and Tax -0.84 -0.60 Less: Depreciation 0.00 0.00 Profit/Loss Before Tax -0.84 -0.60 Less: Provision for Tax 0.00 0.00 Add: Balance Brought Forward -0.84 -0.60 Prior Period Item -0.11 -0.03 Add: Balance Brought Forward -52.81 -52.17 Balance available for Appropriation -53.76 -52.81 Appropriations: Transfer to Reserve Fund 0.00 0.00 Balance carried to Balance Sheet -53.76 -52.81 DIVIDEND: As the company has incurred losses, the directors do not declared any dividend during the year under review. BUSINESS OPERATION: Considering the financial constraints in the money market, no growth possible in the leasing business and due to no major activity carried out by the company for want of funds. FIXED DEPOSIT: The company has not accepted any deposits from the public, as defined under section 58A of the Companies Act, 1956 and as such, there are no outstanding deposits in terms of the Companies (Acceptance of Deposits) Rules, 1975. CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE EARNINGS / OUTGO: Information of conservation of energy, technology absorption as required under Section 217 (1) (e) of the Companies Act, 1956 read with Companies (Disclosure of Particulars in the Report of Board of Directors) Rules, 1988, is not given as it is not applicable. There were no foreign exchange earnings and out go during the year under review. PARTICULARS OF EMPLOYEES: Provision of Section 217(2A) of the Companies Act, 1956 read with the Companies (Particulars Employees) Rules, 1975 are not applicable to the Company, since none of the employees of the Company was in receipt of total remuneration exceeding of Rs.24,00,000/- p.a. or Rs.2,00,000/- p.m. DIRECTORS: In accordance with provisions of Section 256 of the Companies Act, 1956, Shri. Suresh Hegde and Shri. Hemant Thanki retire by rotation and being eligible offer himself for re-appointment. AUDIT COMMITTEE: The Board of directors of the company has re-constituted an Audit Committee vide its meeting held on 28th June, 2006 comprising three independent Non- Executive Directors viz. Shri. Rajmal L. Mogra, Shri. Suresh M. Hegde and Shri. Omprakash Sharma. The constitution of Audit Committee meets with the requirements under Section 292A of the Companies Act, 1956 and Clause 49 of the Listing agreement of the Stock Exchanges as well. ACCOUNTING STANDARDS AND FINANCIAL REPORTING: The Company incorporates the accounting standards as and when issued by the institute of Chartered Accountants of India. The Company complied with the Stock Exchange and legal requirement concerning the Financial Statements at the time of preparing them for the Annual Report. CORPORATE GOVERNANCE: A separate section on Corporate Governance is included in the Annual Report and Certificate from Companys Auditors confirming the compliance with the code of Corporate Governance as enumerated in Clause-49 of the listing agreement with the Stock Exchange is annexed hereto. AUDITORS: The Company has received the letter dated 2nd July, 2007 from M/s. Ashish & Associates, Chartered Accountants, Ahmedabad resigning as Auditors of the Company due to their pre-occupation. The Company has received letter from M/s. Khandelwal Jain & Co., Chartered Accountants, Mumbai regarding their willingness to be appointed as auditors of the Company to fill the casual vacancy caused by resignation and their appointment will be within the limits as prescribed under Section 224 (1) (b). AUDITORS REPORT: The comments in the Auditors Report with Notes on Accounts referred to the Auditors Report are self explanatory and, therefore do not call for any further explanation. INSURANCE: The assets of the Company, both immovable and movable have been sufficiently insured by the Company. No claims are pending with Insurance Company. DIRECTORS RESPONSIBILITY STATEMENT: Pursuant to the requirement under Section 217(2AA) of the Companies Act,1956 with respect to Directors Responsibilities Statement, it is hereby confirmed: (i) that in the preparation of the Annual Accounts for the Financial Year ended 31st March, 2007, the applicable accounting standards had been followed along with proper explanation relating to material departures; (ii) that the Director 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 Financial Year and of the Profit or Loss of the Company for the Company for the year under review; (iii) that the Directors had taken proper and sufficient care for the maintenance of Adequate accounting records in according 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) that the Directors had prepared the accounts for the Financial Year ended 31st March,2006, on a going concern basis. ACKNOWLEDGEMTNT: Your Directors place on record their sincere thanks for continues support of the Government, Banks and Customers during the year under review. The Directors also express their gratitude to the shareholders for the confidence reposed towards the Company. Place: Ahmedabad Date : 14th July, 2007 By Order of the Board Registered Office: For, South Pole Securities Ltd F-70 C, 2nd Floor, Tilak Vihar, Tilak Nagar, SURESH R. KARIA New Delhi - 110 001 DIRECTOR