1. Allotment money due amounting to Rs. 1,14,91,250 is pending
against Public Issae of 35,00,000 Equity Shares allotted on 16.3.1996.
2. Aggregate amount of guarantee furnished by the bank on behalf of
the company to Commissioner of Customs, Chennai is Rs. 16,85,500
against availment of concessional duty on import of open end spinning
machine and further under obligation to export cotton yarn worth US$
16,41,493 within 5 years with effect from 17.11.95 being the date of
issue of license there being no progress till date and secured against
margin money in Fixed Deposits of Rs. 17,58,586 and during the year
Company has paid a sum of Rs. 1685500 (Previous Year NIL) towards
Customs Duty for non fulfillment of export obligation under EPGC
3. Under Sales Tax Deferral Scheme granted by Commercial Tax
Department Tamil Nadu, the Company was exempted from deposit of sales
tax collected till the period 23.03.2002 the liability as on 31.03.2002
being Rs. 23,30,056, the payment of which has not been made, as the
Company has applied for BIFR.
4. Interest on Recurring deposit with bank Rs. 146102, has not been
received and same has not been provided in the books as the Account has
become NPA as per banks and interest amount is considered to be not
5. The Company has received a sum of Rs. 51,36,613 in 1998-99, against
claim lodged with The Oriental Insurance Co. Ltd. for the loss due to
fire in factory in 1997-98 of stock, godown and other assets worth Rs.
1,01,97,419. For short receipt of claims, the company made necessary
representation before the Consumer Forum.
6. The Company is availing concession in electricity consumption as
per interim order dated 8th October, 1997 of Honble High Court at
7. As per notification No. GSR 129(E), dated 22/2/99 issued by the
Department of Company Affairs, Ministry of Law, Justice & Company
Affairs the names of the Small Scale Industrial undertakings to whom
the company owns a sum exceeding Rs. 1 lakh is NIL, as per information
8. The Company has suspended operations since December, 2000 due to
shortage of working capital and unfavourable market conditions.
9. The Company has made an application with BIFR on 21.06.2000 and a
case no. 218/2000 has been allotted, and certain papers as desired by
BIFR to be submitted has been field on 24.01.2002 for which hearing is
10. Segment Reporting:
As there being no primary business segment, AS 17, is not applicable to