1. Company Overview:
Syncom Healthcare Limited is a public company incorporated under
provisions of the Companies Act 1956 together with its one wholly owned
foreign subsidiary operates as an integrated international
pharmaceutical organisation with businesses encompassing the entire
value chain in the marketing, production (including job work) and
distribution of pharmaceutical products. The Company''s shares are
listed for trading on the National Stock Exchange and the Bombay Stock
Exchange in India. Its Global Depository Receipts (GDR) (Each GDR
representing 5 equity shares of the Company) are listed on the
Luxembourg Stock Exchange.
2. The cash subsidy received in the year 2007-08 and 2008-09 from the
government for set up of the Dehradun Industrial unit of the company
has been disclosed as Capital reserve in the balance sheet.
3. Foreign Exchange Translation Resserve represents the exchange
Difference on amount invested as advance in Subsidiary as on 31/03/15.
4. Cash Credit Facility is secured against first charge on current
assets of the company both current & future and Mortgage of Factory
Building, Plant and Machinery of Manufacturing Unit of the company
situated at Selaqui at Dehradun.
5. The Unsecured Loans from Promoters have been brought in to meet the
fund requirements of the Company''s business and Project at Selaqui,
near Dehradun in pursuance to and in accordance with terms and
conditions stipulated by working capital lenders to the company that is
Bank of India. Hence these loans are exempt from the company deposit
rules notified under section 58A of the companies Act 1956 vide sub
clause l of rule 2 of the company deposit rules notified therein.in.
6. As per the records of the company only one of the parties among
trade payables is covered under Micro, Small and Medium Enterprises
Development Act. There was outstanding of Nil (Previous Year Rs.
361368/-) outstanding for more than 15 days as at 31st March, 2015 as
payable under the act. The Interest payable on the above considering
bank rate@9% is Rs. Nil (Previous Year 7391/- ) which has neither been
paid nor provided in the books. 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.
7. Trade payables for supplies includes creditors worth Rs.21478614/-
(Previous Year Rs. 23791613/-) to whom Letter of Credit has been
issued, and secured against Current assets of company.
8. Long term advances to others includes the tax paid under protest
of Rs. 4,36,600/- (Previous Year Rs. 4,36,600/-) for AY 2005-06 and
against which income tax appeal is pending.
9. Deferred Revenue Expenditure: These involve major Expenses on
Product Registration and brand development expenses incurred by the
company in the 2013-14, and in the opinion of the company the benefit
of above is estimated to be to be received for next five years. So this
expenditure has been treated as deferred revenue expenditure to be
written off equally in five years, with first year being financial year
10. There are Debtors to the extent of Rs.53213532/- (Previous Year
37721346/-) against whom cases u/s 138 of the Negotiable Instrument
Act, have been filed by the company. In the opinion of the management,
except above debtors, other current assets, Loans and Advances are
realizable at the values at which they are stated in the balance sheet,
if realized in the ordinary course of business. The provision for
Depreciation and for all known liabilities is adequate and not in
excess of the amount reasonably necessary. No provision has been made
for the bad and doubtful debts against debtors against whom
proceeding(s) u/s 138 have been initiated by the company.
11. Debtors are subject to confirmation.
12. The amount represented by Others under Other loans and
advances are short term Inter-corporate Deposits / Advances to private
parties and there are no written agreements for them. However the
management certifies that all such loans are good, unsecured, and are
repayable on demand. No interest is charged on advances of Nil(Previous
year Rs. 902970/-). Other advances carry interest at the prevailing
market rates, adjusted as per the creditworthiness of the parties.
13. All the above advances are subject to confirmations.
14. Advances recoverable in cash or kind includes the advances for
supply, expenses & services, advances given to employees and
15. Advances to relited party pertains to expenses incurred on behalf
of Subsidiary Company.
16. Prateek Bankda resigned as Director w.e.f. 30th May, 2014 therefore
salary mentioned here is up to that period only, however he is drawing
remuneration as Manager thereafter also.
17. CLAIM, DEMANDS AND CONTINGENCIES:
Disputed and / or contingent liabilities are either provided for or
disclosed depending on the management''s judgment of the outcome.
However for the year under report there are no disputed liabilities at
all outstanding on the company.
Following Contingent Liabilities were not provided in the books.
1. Bank guarantees issues by the Lenders to the company , against
which counter guarantee of the Company is outstanding , and which are
in force as on 31/3/2015 are of total value Rs. 31,34,000/- (Previous
year Rs. 7,77,100/-)
2. Demand of Income tax and Sales tax as under against which the
company has filed appeal (Figures in Bracket represent previous Year)
There were no significant events and contingencies which have occurred
after 31/03/2015 up to the date of signing of these final accounts
which result in the impairment of any asset of the company outstanding
and owned by the company as on 31/03/2015 and which results in any
contingent loss for which provision has to be done in the profit and
loss account for the year.
18. Statutory Liabilities not provided for in the Books and overdue for
more than six months
(a) The company has made certain labour payments for its Dehradun plant
through unregistered labour contractors and therefore liability of
provident fund on the same has not been determined.
(b) Interest on late payment of TDS is Nil (Previous Year Rs.41510/-).
19. Statutory Liabilities provided in books but overdue for more than
(a) Professional tax paid of employees to the extent of Nil (Previous
Year Rs. 22958/-)
(b) Service Tax Liability under Revers Charge Mechanism which has not
been paid and is overdue for more than six months is Rs. 3274845/-
(Previous Year Rs. 1483563/-)
20. Related party Disclosure under Accounting Standard (AS-18). The List
of the related parties as identified and certified by the management is
1. Enterprises that directly or indirectly control (through
subsidiaries) or are controlled by or are under common control with the
a. Syncom Healthcare International FZE - Subsidiary
2. Individuals owning voting power giving control or significant
3. Key management personnel and their relatives;
a. Key Managerial Personnel
i. Shri Ajay Bankda ii. Jagdish Chandra Paliwal
b. Relatives of Key Managerial Persons
i. Ajay Bankda
1. Shri Prateek Bankda-Son 2. Shri Pranav Bankda - Son 3. Ajay Bankda
HUF - HUF of Director
4. Smt. Jyoti Bankda - Wife
4. Enterprises over which any of the persons in 2 or 3 are able to
exercise significant influence over the Company
i. Sinorita Biotech Private Limited ii. Warner Life Sciences (India)
Ltd. iii. Giriraj Buildcon