To The Members,
The have pleasure in presenting the 33rd Annual Report of the Company
alongwith the Audited Statement of Accounts for the year ended 31st
(Rs. in Lacs)
Revenue from Operations
and Other Income 20129.48 22294.24
Profit before Interest,
Depreciation and Tax 902.80 1079.63
Financial Costs 690.28 606.18
Provision for Depreciation 136.15 145.85
Taxes : Current Tax 12.19 64.00
Deferred Tax/Earlier year
tax adjustment (78.99) 759.63
Profit after Tax 143.17 160.96
Balance b/f from Previous Year 2637.37 2476.41
Profit available for appropriations 2780.54 2637.37
Transferred to General Reserve 25.00 25.00
Surplus Carried to Balance Sheet 2755.54 2612.37
During the year under review the Company has recorded a lower Income
from operations which is placed at Rs.20129.48 lacs as compared to
Rs.22294.24 lacs of previous year thus representing a decline of about
9.71% which is attributed to lower production resulting in lower sales
and profitability. As a result the net profit after taxes has declined
from Rs.160.96 lacs to Rs.143.17 lacs recording a fall of about 11.05 %.
Your management is seized of the matter and making all out efforts to
improve the performance of the Company by optimum utilisation of
We are pleased to inform you that during the year under review, the
Company continued to export its products to African Countries.
However due to prevailing general recessionary conditions world wide,
the exports were lower at Rs.871.07 lacs as compared to Rs.2268.39 lacs in
the previous year.
With a view to conserve resources for company''s immediate requirements,
your directors do not recommend any dividend for the year under
LISTING OF SHARES
The Equity Shares of the Company are listed at BSE Limited, Phiroze
Jeejeebhoy Towers, Dalal Street, Mumbai. The company has duly paid the
listing fee to BSE Limited, Mumbai upto the Financial Year 2013-14.
During the year, your Company has not accepted any fixed deposits
within the meaning of Section 58 A of the Companies Act, 1956 and the
Rules made there under.
M r. Mohinder Kumar Jain and Mr. Jawahar Jain, Directors of the company
retire by rotation at the forthcoming Annual General Meeting and being
eligible offer themselves for re-appointment.
Your company has been practicing the principle of good Corporate
Governance over the years. The Board of Directors supports the broad
principles of Corporate Governance. In addition to the basic governance
issues as dictated by compliance of statutory requirements, the Board
lays strong emphasis on transparency, accountability and integrity.
Corporate Governance Report and Management Discussion and Analysis
along with Certificate of the Auditors of your company pursuant to
clause 49 of the Listing Agreement with the Stock Exchange(s) has been
annexed to the report as Annexure-I.
M/s Raj Gupta & Co., Chartered Accountants, Auditors of the company,
retire at the conclusion of this Annual General Meeting and are
eligible for re-appointment. They have furnished a certificate to the
effect that their re-appointment, if made, will be in accordance with
sub-section (IB) of Section 224 of the Companies Act, 1956.
The Auditors'' Report read with the relevant notes on accounts for the
year under review is self explanatory and do not call for any further
comments as there are no adverse remarks in the Auditors'' Report.
Presently the constituent members of the Audit Committee are Mr.
Mohinder Pal Gupta, Mr. Mohan Lal and M r. Jawahar Jain. Mr. Mohinder
Pal Gupta is the Chairman of the said Committee. The statutory auditors
and internal auditors are the permanent invitees to the audit committee
meetings. The Committee met five times during the year under review.
The Board of Directors has appointed M/s. Meenu & Associates, Cost
Accountants, Ludhiana as the Cost Auditors of the Company under Section
233 B of the Companies Act, 1956 for which application to the Central
Government has already been made seeking approval for appointment of
Cost Auditors to conduct audit in respect of all the Units of the
Company for the financial year 2013-14.
The Cost Audit Report for the financial year 2012-13 will be filed with
the Central Government as per provisions of the Companies Act, 1956.
SECRETARIAL COMPLIANCE CERTIFICATE
M/s RCS & Company, the Secretarial Auditors of the Company retire at
the ensuing Annual General Meeting. The reappointment of the
Secretarial Auditors is to be approved by the members at the ensuing
Annual General Meeting to verify the Secretarial records and to provide
a compliance certificate for the financial year 2013-14. The Board
recommends to reappoint M/s RCS & Company, the Secretarial Auditors and
to fix their remuneration.
Further, the Secretarial Compliance Certificate for financial year
2012-13 received from M/s RCS & Company, Practicing Company Secretaries
is annexed and forms part of this report as Annexure-II.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE
EARNINGS AND OUTGO
Information as per Section 217(1)(e) read with Companies (Disclosure of
particulars in the Report of Board of Directors) Rules, 1988 are given
in the Annexure-III forming part of this report.
PERSONNEL AND INDUSTRIAL RELATIONS
The Management - Employees relations remained cordial throughout the
year. The results achieved during the year have been possible only with
the dedication and hard work at all levels of workers, staff and
executives of the Company.
Statement pursuant to Section 217(2A) of the Companies Act, 1956 and
the companies (Particulars of Employees) rules,1975 as amended :
None of the employees of the Company is in receipt of remuneration in
excess of Rs.60.00 lacs per annum or Rs.5.00 lacs per month during the year
under review and as such the information under this head is NIL.
DIRECTORS'' RESPONSIBILITY STATEMENT
Directors'' Responsibility Statement pursuant to the provisions of
Section 217(2AA) of the Companies Act, 1956 is given in Annexure-IV
forming part of this report.
Your Directors take this opportunity to express their sincere thanks
and appreciation to the team of executives, staff members and workers
at all levels for their co-operation, hard work, dedication and
devotion. Our thanks are also due to the Bankers, Government
Authorities and Business constituents for their continued support and
co-operation extended from time to time to the Company.
By order of the Board of Directors
PLACE : LUDHIANA (KAPIL KUMAR JAIN)
DATED : 14.08.2013 CHAIRMAN & MANAGING DIRECTOR