(Rs. in lacs)
As at As at
31s1 March, 2015 31st March, 2014
1. SHARE CAPITAL
Authorised Share Capital:
220,000,000 (Previous Year -
220,000,000) Equity Shares of Rs. 1/-
each 2200.00 2200.00
800,000 (Previous Year - 800,000)
0.01% Redeemable Preference
Shares of Rs. 100/- each
TOTAL 3000.00 3000.00
Issued, Subscribed and Paid up:
185,268,241 (Previous Year -
185,268,241) Equity Shares of Rs. 1/-
each 1852.68 1852.68
fully paid up
TOTAL 1852.68 1852.68
2.1 Terms/rights attached to Equity Shares:
The Company has only one class of Equity Shares having a par value of Rs.
1/- per share. The Equity Shares have equal rights, preferences and
restrictions which are in accordance with the provisions of law, in
particular the Companies Act, 2013
Defined Benefit Plan :
The company has a defined benefit gratuity plan. Every employee who has
completed five years or more of service is entitled to Gratuity on
terms not less favourable than the provisions of the Payment of
Gratuity Act, 1972. The scheme is funded with SBI Life Insurance in
form of qualifying insurance policy.
The Company also extends benefit of compensated absences to the
employees, whereby they are eligible to carry forward their entitlement
of privilege leave for encashment. This is an unfunded plan.
The following tables summaries the components of net expense
recongnised in the Statement of Profit and Loss and Balance Sheet for
the respective plans.
3. Corporate Scocial Responsibility Expenditure during the year
amounts to Rs. 53.13 Lacs which has been debited under different heads of
accounts in the Statement of Profit and Loss.
4. There are no Micro, Small and Medium Enterprises, to whom the
company owes dues, which are outstanding as at the Balance Sheet date.
The above information has been determined to the extent such parties
have been identified on the basis of information available with the
company. This has been relied upon by the auditors.
5. Contingent Liabilities and Commitments
(I) Contingent Liabilities :
(a) Claims against the Company not acknowledged as debts, since
disputed Rs. 6,027.52 lacs (Previous Year Rs. 4,848.54 lacs). Amounts paid
under protest Rs. 379.61 lacs (Previous Year Rs. 352.83 lacs) have been
debited to Advance Account.
(b) Counter guarantees in favour of Consortium Banks in respect of
their outstandings with Facor Steels Limited. Due to the nature of the
liability, its financial impact is not ascertainable.
(II) Capital and other Commitments :
(a) Estimated amount of contracts on Capital Account remaining to be
executed and not provided for in accounts Rs. 599.91 Lacs (Previous Year
Rs. 848.49 lacs).
6. a) The Company has given corporate guarantee to Rural
Electrification Corporation Ltd. (REC) in connection with granting a
facility of Term Loan of Rs. 51,790 Lacs (Previous Year Rs. 46,704 Lacs) to
Facor Power Ltd. (FPL). The Company has also pledged 19,80,60,000
shares (Previous Year 15,10,74,299 shares) with REC out of 19,80,60,000
shares (Previous Year 17,81,00,000 shares) held in FPL besides giving
an undertaking to provide interest free unsecured subordinated loan or
subscribe for equity / preference shares to FPL in case of cost overrun
at any stage of the project.
b) The Company has given corporate guarantee to Central Bank of India
of Rs. 4,200 Lacs (Previous Year Rs. 4,200 Lacs) for providing Working
Capital Facilities to FPL.
7. Details of Loans given, Investments made and Guarantee given
covered U/s 186(4) of the Companies Act, 2013 :
Loans given, Investments made and Guarantees given by the Company in
respect of loans are given under the respective heads.
8. Previous Year''s figures have been re-grouped wherever necessary.