1. Details of Default in repayment of loans and interest in respect of
(a) Amount of Long- Term Borrowings outstanding as on 31/03/2012:
i SVC Term Loan - Amounting Rs. 0.38 Crores
ii) Public Deposits-Amounting to Rs. 0.75 Crores
(b) Amount of Short-Term Borrowings outstanding as on 31/03/2012:
i) SVC Loan(C/C)-AmountingRs.2.11Crores
ii) KVB Loan (C/C) - Amounting Rs.2.13 Crores
iii IFCI Factors (Bill Discounting)-Amounting Rs.12.02 Crores
iv) SICOM (Bill Discounting) - Amounting Rs.11.61 Crores
vi SIDBI (Bill Discounting) - Amounting Rs. 3.08 Crores
vi) inter-Corporate Deposit-Amounting Rs. 1.91 Crores
2. The Shareholder of the Company on June 4, 2012 has approved the GDR
issue upto 20 million USD or equivalent Indian rupee. On July 26, 2012
the Board of the Directors of the Company has approved and allotted
3,50,00,000 Equity Shares of Rs. 10/- each at a premium of Rs. 2.40/-
i.e.@ Rs.12.40/-, underlying 7,00,000 GDR''s. The Company has also
received In - Principal listing approval from Bombay Stock Exchange
Limited and National Stock Exchange Limited. The Securities underlying
GDR does not have voting rights, until they are converted into Equity
Shares of the Company.
3. The balance of sundry debtors, Creditors, Loans & advances are
subject to their confirmation and reconciliation if any Bank balance
subject to cheques on hand realization.
4. The Company has not received any intimation from suppliers
regarding their status under micro, Small and Medium Enterprises
Development Act,2006 and hence disclosure if any in relation to amount
unpaid as at the year end as required under the said Act have not been
5. Segment Reporting:
As the Company''s business activity falls within a single primary
business segment Edible Oil & Cakes the disclosure requirement of
Accounting Standard (AS) 17 Segment Reporting are not applicable.
6. Advances to Employees under Short term Loan &Advance head in
the balance - sheet includes loan to staff of the Company amounting to
Rs.0.02 Crores (Previous Year: Rs. 0.04 Crores).
7. In the opinion of the Board, current assets, loans and advances
have a value at least equal to the amounts at which they are stated in
the Balance Sheet, if realized in ordinary course of business.
Since no commission is payable during the year, computation of net
profit under Section 198 of the Companies Act, 1956 has not been
computed for the year.
8. As per accounting standard -22, issued by the Institute of
Chartered Accountants of India, the Deferred Tax Liability of Rs. 1.90
Crores (Rs.5.64 Crores) has been recognized in the Profit & Loss
Account. The Deferred Tax Liability arises mainly due to the timing
difference of depreciation claimed as per the books of account and the
depreciation claimed under the Income tax Act, 1961.
9. Earnings Per Share.
As required by Statement of Accounting Standard (AS) - 20 Earning Per
Share, reconciliation of basic and diluted number of Equity shares
used in computing Earnings Per Share is as follows:
10. Public Deposit Accepted:
During the period Company has accepted fixed deposit from the public
under the provision of Section 58A and 58AA or any relevant provision
of the companies Act, 1956 and the Companies (Acceptance of Deposits)
11. There are no dues payable to the Investor Education and Protection
Fund as at 31st March 2012.
12. EMPLOYEE BENEFITS:
Disclosures pursuant to Accounting Standard -15 (Revised) Employee
(i) The company has recognized as an expenses in the profit and loss
account as per Acturial Valuation in respect of defined contribution
plan Rs. 0.10 Crores administered by the Government.
(ii) Defined benefit plan and long term employment benefit:
A General description:
Gratuity [Defined benefit plan]:
The Company has a defined benefit gratuity plan. Every employee who has
completed five years or more of service is eligible for gratuity.
Gratuity is computed based on 15 days salary [last drawn salary] for
each completed year of service. The scheme is funded with an insurance
company in the form of qualifying insurance policy.
13. Contingent Liabilities
Raj Oil Mills Ltd. Manufactures and markets pure coconut oil under the
brands of Cocoraj, Cocotoss. Such Coconut Oil (CO) is a 100% natural
product and meets all standards of edible oil as given in the
Prevention of Food Adulteration Act. CO is currently classified under
Excise as a vegetable oil under chapter 15 and attracts Excise at zero
rate. CO classified under chapter 15 as vegetable oil has been
vindicated by the decision of Appleate Tribunal on various occasions.
However the Central Board Of Excise and Custom has recently issued
instruction vide circular No.890/10/2009-CX dated 3rd June 2009 where
in it has classified coconut oil packed in the container size upto
200ml as hair oil there by attracting Excise duty at applicable rates.
The company has filled writ petition no. 1600J2009 with the Bombay High
Court, Mumbai for interim relief hearing is pending for final disposal.
The Honourable High Court vide order dated August 27, 2009 granted
inteirm relief subjet to certain conditions and restrained the
department of Central Excise from recovering Central Excise. The
company has received show cause notice dated March 15,2010 from the
office of the Commissioner of Central Excise, Thane, for Rs. 10.42
crores plus interest and penalty. The company has filed reply to the
Department on 15th October 2010. The Comissioner of Central Excise,
Thane, has passed an Order and issued Order in Original along with the
demand note for the said amount. The Company has filled an Apeal
against the said Order with the Central Excise and Custom and Service
Tax Apellate Tribunal (CESTAT).
(b) Income Tax
The Deputy Commissioner of Income Tax, Mumbai has passed an order u/s
221(1) of Income Tax Act for Assessment Year 2008-09 and levied penalty
of Rs0.34 Crores. The company has preferred an appeal against the said
order before the Income Tax Apellate Tribunal, Mumbai and the case is
pending. The Company has been legally adviced that the demand is likely
to be deleted or substantially reduced and accordingly no provision has
The Additional Comissioner of Income Tax, Mumbai has passed an order
u/s 143 (3) of Income Tax Act for the Assessment Year 2008-09 and
issued Notice of Demand u/s 156 of Income Tax Act, 1961 for sum of
Rs.l.26 Crores. The company has preferred an appeal against the said
order before the Commissioner Appeals Income Tax, Mumbai and the case
(c) Sales Tax
The Assistant Commisioner of Sales Tax Investigation Branch, Mumbai has
demanded a sum of Rs.l.52 Crores. The case is pending before the
Assistant Commissioner of Sales Tax(lnvestigation), Mumbai.
(d) Estimated amount of contracts remaining to be executed on capital
account and not provided for Rs.8.95 Crores (Previous Year 6.29
14 Related Party Transactions
Parties are considered to be related if at any time during the year,
one party has the ability to control the other party or to exercise
significant influence over the other party in making financial and/or
operating decision. As required by Accounting Statndard (AS) -18
Related Party Disclosure issued by The Insitute of Chartered
Accountants of India, information in this respect is as follows:
I. Individual(s) having control with relatives and associate:
Mr. Shaukat S. Tharadra
Mrs. Shahida S. Tharadra
Company has paid Rs.0.89 crores (Previous Period Rs.0.96 crores) to Mr.
Shaukat S. Tharadra, as Rent for registered office building admeasuring
approximate 8950 Sq. Ft. of the carpet area at 224, Bellasis Road,
Mumbai taken on perpetual sub-tenancy basis vide agreement dated 1st
15 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 prepared under revised Schedule VI. Accordingly, the
previous year figures have also been reclassified to confirm to this
16 Particular of Balance Sheet abstract and the Company General
Business Profile, Pursuant to Part IV of Schedule VI of the Companies
Act, 1956 is attached herewith.