TO The Members of RISHAB SPECIAL YARNS LIMITED JAIPUR
The Board of Directors here with presents the Twenty Fourth Annual
Report together with Audited Statement of Accounts of the Company for
the year ended on 31st March, 2012.
FINANCIAL RESULTS Amount in rupees
Net Sales/ Income From Operations
Other Income 886000 866000
Profit/(Loss) before depreciation,
finance cost, 66989 329072
Exceptional items & taxes.
Less: Finance Cost 3695 -
Profit(Loss) before depreciation, 63294 329072
Exceptional items & taxes.
Less: Depreciation 417278 417278
ProfitV(Loss) before exceptional items & taxes (353984) (88206)
Exceptional items: Profit on sale of
land & building - 3430259
ProW(Loss) before tax (353984) 3342053
Provision for Taxation
Profit/(Loss) after tax (353984) 3342053
Balance Brought forward from
the last year (110154053) (113496106)
Balance Carried to Balance Sheet (110508037) (110154053)
Due to financial constraints, manufacturing activities stood
discontinued. During the year under review company has booked a loss of
Rs. 3.54 lakhs, the company has now been able to pay off all its
secured lenders and can now look forward to a new beginning. The
management is examining various options to gainfully utilize factory
assets at Abu Road.
Among others the Company is examining the possibility of putting up the
Granite cutting and polishing unit, PET Bottle and Polypropylene
Recycling and manufacturing of other plastics products. The proposed
new activities shall be finalized and implemented based on final view
of board and availability of funds. The Company intends to use
available land & building for these activities, if finalized. Also,
reviving of the activity of textunsing of polyester yarn (part of
existing business) is under consideration but deferred till change in
indirect tax structure or GST regime, is made applicable, at a new
location identified by the management. As soon as the management is
able to finalize any business plans, it shall keep the valued
shareholders informed through available mode of communications.
The company has complied with all the mandatory requirements of the
Corporate Governance specified under clause 49 of the listing
agreement. As required by the said clause a separate report on
corporate governance forms part of the Annual Report as Annexure - I. A
report from the Statutory Auditors of the Company regarding compliance
of conditions of corporate governance is part of this report as
Annexure - II.
MANAGEMENT DISCUSSION & ANALYSIS
This has been included as a separate Annexure - III to this Report.
In view of the current year loss and carried forward losses, your
directors are unable to declare any dividend.
The company has not accepted any fixed deposit from the public within
the meaning of Section 58-A of Companies Act, 1956 and the Companies
(Acceptance of Deposit) Rules. 1975 during the year.
The company''s shares are not tradable in electronic form. Although the
company has appointed Share Transfer Agent but the formalities of
dematerlisation are yet to be completed. As soon as this is done,
trading of company''s shares shall commence in demat form.
Shri Pradeep Kumar Loiwal and Shri Kamal Kishore Kalani, Directors of
the Company retire by rotation pursuant to Section 256 of the Companies
Act, 1956 and being eligible offer themselves for reappointment.
The firm of auditors M/s N. C. Dhadda & Co. Jaipur was dissolved and
they seize to be Auditors of the Company. To fill the casual vacancy
your Board of Directors in their meeting held on 01.09.2012 appointed
M/s Jain Shrimal & Co., Chartered Accountants, Jaipur as auditors of
the Company to hold office of auditors till the conclusion of next
Annual General Meeting. M/s Jain Shrimal & Co., Chartered Accountants,
Jaipur retire on the conclusion of the Annual General Meeting of the
Company and being eligible have given their consent for re-appointment.
Your Directors recommend their appointment.
M/s. Rishab Special Yarns Ltd. is committed to minimize the
environmental impact of its operations on its products by adopting
and continuous improvements in environmental performance.
DIRECTORS RESPONSIBILITY STATEMENT
In compliance of section 217 (2AA) of the Companies Act, 1956, your
directors confirm that:
1. In the preparation of the annual accounts, the applicable
accounting standards have been followed along with proper explanation
relating to material departures.
2. The directors have selected such accounting policies and applied
them consistently and made judgments and estimates that are reasonable
and prudent as to give a true and fair view of the state of the affairs
of the company at the end of financial year and of the loss of the
company for that period.
3. The directors have taken proper and sufficient care for the
maintenance of adequate accounting records in accordance with the
provisions of Companies Act, 1956 for safeguarding the assets of the
company and for preventing and detecting fraud and other irregularities
4. The directors had prepared the annual accounts based on their
decision to stop operation at its Abu Road plant. CONSERVATION OF
ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE EARNING AND OUTGO :
Information in accordance with Section 217 (1) (e) of the Companies
Act, 1956 read with the Companies (Disclosure of particulars in Report
of Board of
Dirctors) Rules, 1988 are set out in Annexure-IV forming part of the
None of the employees of the company is in receipt of remuneration of
Rs. 60,00,000/- or more per annum, if employed for whole of the year or
of Rs 5,00,000/- or more per month, if employed for part of the year.
The Board gratefully acknowledges the co-operation and support given by
the Shareholders, Banks, Financial Institutions and others.
Jaipur For & on behalf of the Board of Directors
Date : 01/09/2012