(a) Working capital is secured by hypothecation of present and future
stocks of raw materials, stock-in- process, finished goods, stores &
spare parts, books debts and other moveable assets and personal
guarantees of some of the directors of the company.
(b) Term loans are partly secured by pari-passu first charge on the
fixed assets of the company & personal guarantees of some of the
directors of the company and partly by exclusive charge on the specific
assets and personal guarantees of the directors.
1 Disclosure of related party transactions (as identified & certified
by the management):
As per Accounting Standard-18 . ''Related Party Disclosures'' issued by
the Institute of Chartered Accountants of India, the names of the
related parties are given below :
(a) Key Management
(a) Shri Piyush Periwal Vice Chairman & Managing Director
(b) Shri Vijay Kumar Periwal Director
(c) Shri N. G. Paul Director
(b) Enterprise owned or significantly influenced by Key Management
Personnel and their relatives
(c) Relatives/Associate Concern
M/s Hazarimal Laxminarayan (Unsecured Loan)
National Boards Ltd. (Trade payable and Advances)
Hanutram Ramchander (Advances)
M/sPlynex (Trade payable)
Utility Plywood & Timber Industries (Advances)
The above transactions do not include reimbursement of expenses made /
received during the year.
Previous year figures are in the brackets.
2 To make regular monthly Contribution to Varies Providend Funds which
are in the nature of defined Contribution schemes and such paid/payable
amount are charged against revenue. To administer through duly
constituted and approved independents trusts, various gratuity and
pension funds, which are in the nature of defined benefit/contribution
schemes. To determine the liabilities towards such schemes as
applicable by an independent acturial valuations as per the
requirements of Accounting.
3 Micro, Small and Medium Enterprises
There are no Micro, Small & Medium enterprises, to whom the Company
owes dues, which are outstanding as at 31st March 2012. This
information as required to be disclosed under the Micro, Small and
medium Enterprises Development Act, 2006 has been determined to the
extent such parties have been identified on the basis of information
available with the Company.
4 In the opinion of the Board of Directors, the Current Assets, Loans
& Advances are approximately of the value stated in accounts, if
realised in ordinary course of business, unless otherwise stated. The
provision for all known liabilities is adequate and not in excess/short
of the amount considered reasonable/necessary.
5 Balances of some of the Sundry creditors, Loans and advances
incorporated in the books as per balances appearing in the relevant
subsidiary records, are subject to confirmation from the respective
parties and consequential adjustments arising from reconciliation, if
any. The management however is of the view that there will be no
material discrepancies in this regard.
6 Historically, the company''s investment in unquoted shares has been
done with a view to hold them for long term and thereby earn capital
gains, since dividend payout on such investments has generally been
nil. The aforesaid policy has been taken into consideration while
computing the provision for income-tax as aplicable.
7 The financial statements for the year ended 31st March, 2011 had
been prepared as per the then applicable pre-revised Schedule VI to the
Companies Act, 1956, Consequent to the notification under the Companies
Act, 1956. the financial statements for the year ended 31st March, 2012
are prepare under revised Schedule VI. Accordingly, the previous year
figures have also been reclassified to conform to this year''s
8 Figures in the bracket relate to previous year.
9 Figures have been rounded off to nearest rupee.