Stratmont Industries Ltd Directors Report.

To,

The Members,

Stratmont Industries Limited

Your Directors have pleasure in presenting the 36TH Annual Report with the Audited Accounts of the Company for the year ended March 31,2020.

Financial Performance Summary

1. The summarized financial highlight is depicted below:

31 -Mar-20 3 1 -Mar-19
Revenue from operations 4,435,397 778,112,699
Other income 4,282,813 100,000
Total income 8,7 1 8,210 778,21 2,699
Expenses
Purchases of stock in trade Changes of inventory - stock in trade 3,785,634 772,806,41 5
Employee benefits expense 1,7 1 7, 11 4 1 ,662,027
Finance costs - -
Depreciation and amortization expense - -
Other expenses 2,798,782 2,719,175
Total expenses 8,301,531 777, 1 87,617
Profit before exceptional items and tax 4 1 6,679 1 ,025,082
Exceptional items - -
Profit before tax 416,679 1,025,082
Tax expense
Current tax 108,336 266,521
Deferred tax (benefit)/charge - -
Total tax expense 1 08,336 2 66 , 5 21
Profit for the year 308,342 7 58 , 5 61
Other comprehensive income
Items that will not be reclassified to profit or loss - -
Income tax on items that will not be reclassified to profit or loss - -
Items that will be reclassified to profit or loss

-

-

Income tax on items that will be reclassified to profit or loss - -
Total other comprehensive income - -
Total comprehensive income for the year 308,342 758,561

2. Dividend:

In view of losses the directors of company has not recommended any dividend for the current Period.

3. Fixed Deposits:

During the Period Your Company has not accepted any public deposits during the financial period under review.

4. RELATED PARTY TRANSACTIONS

All Related Party Transactions are placed before the Audit Committee for approval. Prior omnibus approval of the Audit Committee is obtained for the transactions which are repetitive in nature. A statement of all Related Party Transactions is placed before the Audit Committee for its review on a quarterly basis, specifying the nature, value and terms and conditions of the transactions.

The Company has adopted a Related Party Transactions Policy. The Policy, as approved by the Board, is uploaded on the Companys website.

Details of Related Party Transaction as follows:

List of Key Management Personnel

Mrs. Gayatri Devi Goyal Chairman & Independent Director
Mr. Jagdish Savaji Bhai Managing
Chhanga Director
Mr. Harish Kisa n Kuchekar Director
Mr. Kamal Kant Thakur Company Secretary

As per information and explanation given to us and on the basis of our examination of the records of the Company, all the transaction if any with related parties are in compliance with Section177 and 188 of Companies Act 2013 and all the details have been disclosed in Standalone Ind AS Financial Statements as required by the applicable Accounting Standards.

Other related Parties with whom transactions have taken place Simplex Coke and Refractory Pvt. Ltd.

Nature of Transaction FY 2019-20 (Rs.)
Sales : Traded Goods Purchases : Machine Hire Charges 27,90,747 10,36,130
Total 38,26,877

5. RISK MANAGEMENT

Risk management comprises all the organizational rules and actions for e a r l y identification o f risks in the course of doing business and the management of such risks.

Although not mandatory, as a measure of good governance, the Company has constituted a Risk Management Committee of the Board. The Committee reviews the Companys performance against identified risks, formulates strategies towards identifying new and emergent risks that may materially affect the Companys overall risk exposure and reviews the Risk Management Policy and structure.

This robust Risk Management framework seeks to create transparency, minimize adverse impact on business objectives and enhance the Companys competitive advantage.

The Internal Audit Department is responsible for facilitating coordination with the heads of various Departments, with respect to the process of identifying key risks associated with the business, manner of handling risks, adequacy of mitigating factors and recommending corrective action. The major risks forming part of the Enterprise Risk Management process are linked to the audit universe and are also covered as part of the annual risk based audit plan.

The Company has adopted a Risk Management Policy pursuant to Section 135 of the Act.

6. Information under Section 196-202 of Companies Act, 2013 and Rule 3-10 of the, Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014

None of the employees was in receipt of remuneration exceeding the limit specified under section 196202 of Companies Act, 2013.

7. INFORMATION UNDER SECTION 196 - 202 OF THE COMPANIES ACT, 2013 AND RULE 3-10 OF THE COMPANIES (APPOINTMENT AND REMUNERATION OF MANAGERIAL PERSONNEL) RULE, 2014

None of the employees was in receipt of remuneration exceeding the limit specified under section 196202 of Companies Act, 2013 Annexure - VI

8. DIRECTORS

Pursuant to section 152 of the companies Act, 2013 (the Act) and under Article (Article No. if any) of the Companys Articles of Association Smt.GAYATARI DEVI GOYAL (DIN 07193505) has been appointed as an Independent director of the company with effect from 13/07/2015. Accordingly, the current term of Smt. Gayatri Devi Goyal on 12th July,2020. In terms of Section 149 of the Companies Act, 2013, Smt. Gayatri Devi Goyal is eligible for being Re-appointed as an Independent Director for another term of 5 consecutive years effective 13Th July,2020.

Mr. Harish Kisan Kuchekar (DIN 07619457) has been appoint as an executive Director of the company with effect from 01/11/2016 who retires by rotation and, being eligible, offers himself for reappointment as a Director of the Company.

Mr. Jagdish Savajibhai Chhanga (DIN 08004894) has been appointed as a Managing Director of the Company with effect from 28Th November,2017 with the terms agreed between Board of Directors and Mr.Jagdish Savajibhai Chhanga

Mr.Vatsal Agarwaal (DIN 07252960) has been appointed as an Non Executive Non Independent Director of the company with effect from 11/06/2020.

Mr. Ashok Kumar Tyagi (DIN 08473107) has been appointed as an Non Executive Independent Director of the company with effect from 18/06/2020

Mr. Chinmoy Kumar Guha (DIN 07706047) has been appointed as an Non Executive Independent Director of the company with effect from 27/06/2020

DIRECTORS RESPONSIBILITY STATEMENT:

Pursuant to in terms of clause (c) of Sub Section 3 of Section 135 of the Companies Act, 2013, the Directors, based on the representations received from the management, confirm:

That in the preparation of the Annual Accounts, the applicable accounting standards have been followed,

That we have selected such accounting policies and applied 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 March 2020 and of the Profits /Loss of the Company for that period,

That we have taken proper and sufficient care for the maintenances 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,

That we have prepared the Annual accounts on a going concern basis.

9. AUDITORS:

(1) Statutory Auditors:

The Board has proposed to re-appointed of M/s SARP & ASSOCIATES., Chartered(FRN:007375C) as a Statutory Auditors of the Company until the conclusion of next Annual General Meeting of the company at remuneration as the Board of Directors may determine. “Subject to the approval of the shareholders in the Annual General Meeting of the company.”

(2) Secretarial Auditors:

Pursuant to the provisions of Section 204 of the Act and The Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, the Board of Directors of the Company had appointed Mr. Ritul Bharat Parmar,

Practicing Company Secretary in practice (Memb No:31583) to undertake the Secretarial Audit of the Company for the year ended 31st March, 2020. The Secretarial Audit Report is annexed Practicing Company Secretary in practice

10. CONVERSATION OF ENERGY, RESERCH AND DEVELOPMENT, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS AND OUTGO:

The information required under the companies Act, 2013 with respect to conversation of energy, technology absorption and foreign exchange earnings / outgo is appended hereto it forms part of this Report.

11. EMPLOYEE RELATIONS:

The employee relations in the company continued to be positive, information as per Section 135 of the Companies Act, 2013 (the Act) read with the Companies (Particulars of Employees) rule, 1975 forms part of this Report. As per the provisions of the Section 136(1) of the Act, the Report and Accounts are being sent to the shareholders of the Company excluding the statement on particulars of employees under Section 135 of the Act. Any shareholder interested in obtaining a copy of the said statement may write to the Secretarial Department at the Registered Office of the Company.

12. TRADE RELATIONS:

Your Directors wish to record appreciation of the continued unstinted support and co - operation from its Customers, suppliers of goods / services, clearing and forwarding agents and all others associated with it. Your Company will continue to build and maintain strong association with its business partners.

Your Company also has policy on prevention of Sexual Harassment which is reviewed by the internal Complaints Committee at regular intervals. Your Company recognizes its responsibility and continues to provide a safe working environment for women, free from sexual harassment and discrimination and to boost their confidence, morale and performance.

13. CORPORATE GOVERNANCE:

As per clause 49 of the Listing Agreement entered into with the Stock Exchanges, Corporate Governance Report with auditors certificate thereon and management Discussion and Analysis are attached and form part of this report.

As per clause 55 of the Listing Agreement entered into with the Stock Exchanges, a Business Responsibility Report is attached and form part of the annual report.

14. ACKNOWLEDGEMENTS:

The Directors thank the Companys customers, vendors, investors, business associates, bankers for their support to the company. The Directors appreciate and value the contributions made by every member of the “Stratmont” family across the country.

15. PARTICULARS OF EMPLOYEES

There was no employee in respect of whom information is required to be given pursuant to Section 135 of the Companies Act, 2013 read with the Companies (Particulars of Employees) Amendment Rules, 1999 as amended up-to-date.

16. AUDITOR REPORT

The Auditors Report to the shareholders did not contain any adverse or qualification remarks.

17. INDUSTRIAL RELATIONS

During the year under review, your company has cordial and harmonious industrial relations at all levels of the Organization.

18. PUBLIC DEPOSITS

During the year under review, your Company has not accepted any Fixed Deposits from public within the meaning of the provisions of the Section 73 & 76 of the Companies Act, 2013 and the Rules made there under.

Your Directors place on record their appreciation of the dedication and commitment of your Companys employees and look forward to their support in the future as well.

By The Order of The Board
Sd/-
Mr. Jagadish Savajibhai Chhanga
Managing Director
Mumbai
May 30, 2020