a) Terms/rights attached to equity/preference shares :
The company has issued only one class of equity shares having a par
value of Rs. 10 per share. Each holder of equity share is entitled to one
vote per share. The company declares and pays dividend in Indian
rupees. The dividend proposed by the Board of Directors is subject to
the approval of the shareholders in the ensuing Annual General Meeting.
1) Contingent Liabilities & Commitments
a) Contingent Liabilities :
i) Guarantees given by the Company''s bankers on
behalf of the Company 728.47 696.13
ii) Disputed claims for excise and sales tax 128.86 128.86
iii) Custom Duty which may arise if obligation
for export is not fulfilled. 63.00 75.00
iv) Income tax Demand, interest & penalty
under dispute 69.93 415.19
b) Commitments :
i) Estimated amount of contracts remaining to
be executed on 5,148.41 553.72
capital account and not provided for
(Net of advance)
2) The Excise Department has valued texturised and twisted yam
manufactured at Silvassa Unit on the higher side and raised additional
demand of Rs. 203 Lacs. On appeal, the excise Tribunal, Delhi has passed
the order in favour of Company. However, the Department has filed an
appeal in the Supreme Court, which is pending. The Company does not
expect any liability on this account.
3) Prior period items included under respective accounts in the Profit
and Loss Account Rs. 1.80 Lacs debit (12.47 Lacs debit).
4) Related Party Disclosures :
As per Accounting Standard 18, the disclosures of transactions with the
related parties as defined in the Accounting Standard are given below.
(List of related parties were control exists and related parties with
whom transactions have taken place and relationships:
(a) Key Management Personnel (KMP):
Mr. Dharaprasad R. Poddar- Chairman,
Mr. Ramesh D. Poddar - Vice Chairman & Managing Director,
Mr. Pawan D. Poddar - Jt. Managing Director,
Mr. Shrikishan D.Poddar - Executive Director,
Smt. Vijayalaxmi A Poddar -Executive Director,
Shri Ashok Jalan - Sr.President cum Director,
Shri Arvind Poddar- Director
(b) Relatives of Key Management Personnel (KMP):
Smt.Ashadevi R. Poddar,
Smt. Vibha S. Poddar,
Shri Gaurav Poddar,
Shri Abhishek Poddar
(c) Other Related Parties (Enterprises - KMP having significant
influence / Owned by Major Shareholders)
Balkrishna Synthetics Ltd.,
Govind Rubber Ltd.,
S.P.Investrade (I) Ltd.,
Sanchana Trading & Finance Ltd.,
S.P. Finance & Trading Ltd.,
Santigo Textile Mills (P) Ltd.,
Balgopal Holdings and Traders Ltd,
Oxemberg Fashion Ltd.,
Beetee Textile Industries Ltd.,
Futuristic Concepts Media Ltd.,
Vishal Furnishing Ltd.,
Fabwear Garments, Poddar Bio Diesel Pvt Ltd.,
Poddar Brothers Investment Pvt. Ltd.,
Balkrishna Paper Mill Ltd.,
GRL International Ltd.,
Seeom Fabrics Ltd.,
Image Commercial Pvt. Ltd.,
SPG Reality Pvt. Ltd.
5) The activities of the Company relate to only one Segment i.e.
6) Leases - Operating Leases.
i) The Company has taken various residential / commercial premises
under cancellable operating leases. These lease agreements are normally
renewed on expiry.
ii) During the year the Company has given on non-cancellable operating
leases commercial premises, the cost of which Rs. 923.63 Lacs( Previous
year Rs. 861.22 Lacs) and the accumulated depreciation of Rs. 348.80 Lacs
(Previous year Rs. 255.46 lacs) are included under Fixed Assets Schedule.
The depreciation provided on the above Assets in the Profit and Loss
Account for the year is Rs. 28.21 Lacs (Previous year Rs. 24.55 lacs).
k) Amounts remitted during the year in Foreign Currency on account of
The Company has not made remittances in foreign currencies on account
of dividends during the year and does not have information as to the
extent to which remittance in foreign currencies on account of
dividends have been made by or on behalf of Non-resident shareholders.
The particulars of dividend paid to Non-resident shareholders are as
Dividend in respect of Year 2010-11
(103 Shareholder holding 45,363 Equity Shares) 3.18 -
Dividend in respect of Year 2009-10
(57 Shareholder holding 31,546 Equity Shares) - 1.89
7) Figures in brackets in these notes are in respect of previous year.
8) The previous years/periods figures have been regrouped to be in
conformity with the revised schedule VI of the Companies Act, 1956.