yuvraj international ltd share price Management discussions

YUVRAJ INTERNATIONAL LIMITED ANNUAL REPORT 2007-2008 MANAGEMENT DISCUSSION AND ANALYSIS OPERATION & FUTURE PROSPECTS: The Company had filed with the BIFR u/s.15 (1) of SIC (SP) Act, 1985 for being registered as a sick company. However the same has been rejected by the BIFR. The Company had gone in appeal with AAIFR against the said order of BIFR and the said appeal was also rejected during the year. The Company has not been able to repay the outstanding dues to the banking institutions. However as the loan are NPA for the Banks, no interest has been charged by the banks on these loans. In the previous years, State Bank of Saurashtra and Janakalyan Sahakari Dank Ltd. had taken the possession of the immovable and other movable assets. During this year the Company has received letter from Kotak Mahindra Bank (on behalf of State Bank of Saurashtra) stating that the movable and immovable assets have been disposed off during the year and have provided the information in respect of value realized, expenses incurred on sale and the net proceeds received on such sale vide their letter. Further, they have also informed that the net proceeds have been credited against the outstanding dues payable by the company. However, no details have been provided in respect of itemised description of assets sold by the Bank. A Letter has also been received from the Janakalyan Sahakari Bank Ltd. stating that they have sold through Auction the plant and machinery in their possession for an aggregate value of Rs. 1,97,000/-. The bank in their letter have not given any other details / description of Plant & Machinery sold by them. All the Assets of the Company have been disposed off during the year by the Banks and the respective amounts realized have been credited to the outstanding loan account. The Company is considering various propositions to revive the Business operation.