Your Directors present herewith the TWENTY FIRST ANNUAL REPORT of the
Company together with the audited accounts for the year ended on 31st
(Rs. in lacs)
Year ended Year ended
FINANCIAL RESULTS :
The working results before charging
interest and depreciation shows an
operating Loss of 489.01 392.58
To which have been added :
Interest/Financial Charges 46.34 441.94
Leaving a Cash Loss of 535.35 834.52
To which has been added
Depreciation 167.68 158.42
Making a total of 703.03 992.94
To which has been added :
Liability for I.T/Interest on IT for
Previous Year 2.61 7.48
Net Total 705.64 1000.42
Which has been adjusted by the Directors
Transfer from General Reserve - 107.83
Balance Loss to be carried forward 705.64 892.59
In view of the losses no dividend on equity shares is being proposed.
CURRENT PERFORMANCE :
The year under review has been a very tough year for the Dyes and
Dye-Intermediate industry which is passing through depressed and
recessionary conditions. Low international demand coupled with general
recession as a whole and Gujarat State in particular further aggrivated
uneconomic trading conditions. Sincere efforts to curtail cost at
various levels still continue. Total direct export made by your
company amounted to Rs. 368.34 lacs. Market conditions continue to be
the same in the current year as well.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE EARNING
AND OUTGO ETC.
The particulars relating to above as required under Companies
(Disclosure of Particulars in the Report of the Board of Directors)
Rules, 1988 are annexed and forms part of this report (Annexure-I)
REFERENCE TO BIFR :
The Company has made reference to BIFR Under Section 15 of SICA.
Accordingly the Company was declared Sick on 19th January, 2001.
Mr. Dinesh Chowdhary retires by rotation and being eligible offers
himself for re-appointment. During the year Shri Vijaysingh resigned as
Director of the Company. The services rendered by him during his tenure
was appreciated by the Board. Shri Jasvantlal Madlani, Nominee Director
of G.S.F.C was appointed as Director during the year. Subsequent to
the date of Balance Sheet :-
Shri G.D. Chomal and Shri S. K. Sharma were appointed as Additional
Directors of the Company who ceases at the ensuing Annual General
Meeting and have offered themselves for appointment.
Shri K.K. Kanoria and Shri S.K. Kanoria have resigned as Director of
the Company. The services rendered by them during their tenure was
appreciated by the Board.
There was no employee drawing remuneration as prescribed under section
217(2A) of the Companies Act, 1956.
RESPONSIBILITY STATEMENT :
Pursuant to the requirement under Section 217(2AA) of the Companies
Act, 1956 with respect to the Director's Responsibility Statement, it
is hereby confirmed :
a) that in the preparation of the Annual Accounts, the applicable
accounting standards have been followed mid that no material
deparatures have been made from the same.
b) that they have selected such accounting policies and applied them
consistently and made judgements 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 me profit or loss
of the Company for that period.
c) that they have taken proper and sufficient care for the maintenance
of adequate accounting records in accordance with the provisions of the
Companies Act. 1956 for safeguarding the assets of the Company and for
preventing and detecting fraud and other irregularities;
d) that they have prepared the annual accounts on a going concern
The total Fixed Deposits from Public, which remains outstanding as on
31st March, 2001 stood at Rs. 84.45 lacs.
M/S. Sanghvi & Associate, Chartered Accountants , Ahmedabad will retire
at the end of ensuing Annual General Meeting. Being eligible, they
offer themselves for re-appointment.
EMPLOYEES RELATION :
Employees relations with the company during the year were generally
harmonious and cordial.
The Company has paid the Listing Fees for the Financial Year 2001-02 to
the Ahmedabad Stock Exchange, Vadodara Stock Exchange Ltd and Mumbai
The Directors wish to place on record their appreciation for the
co-operation the company received during the year from IDBI, UCO Bank,
GSFC, GPCB & other related organisations/agencies.
On behalf of the Board
PLACE : AHMEDABAD
DATED : 28-6-2001 Chairman
B. TECHNOLOGY ABSORPTION :
No research and development work has been carried out by the Company
and therefore there is no expenditure on this head nor any benefit
accrued from it. The Company has not imported any technology.
C FOREIGN EXCHANGES EARNING & OUTGO :
a) Export Sales (F.O.B.) 3,68,33,855 6,87,51,398
a) Raw Material 2,45,89,721 1,46,85,680
b) Travelling 65,510 2,08,049
c) Commission 24,49,105 23,73,245