1. Share Capital
(d) Rights of Shareholders, Dividend and Repayment of Capital:
i) Holder of equity shares is entitled to one vote per share.
ii) The company declares and pays dividend in Indian rupees.The
companies Act, 1956 provides that any dividend be declared out of
accumulated distributed profits only after transfer to general
reserve of a special percentage of net profit computed in accordance
with current regulations.
iii) In the event of liquidation of the company, holder of the shares
shall be entitled to receive any of the remaining assets of the
company, after distribution of all preferential amounts.The amount
distributed will be in proportion to number of equity shares held by
2. Contingent Liabilities Rs. Nil (Previous Year Rs. Nil)
3. Capital Commitment:
Estimated amount of contracts remaining to be executed on capital
account and not provided for are Rs. Nil (Previous Year Rs. Nil)
4. The company has discontinued manufacturing of paper and paper
board and has continued the activity of assembling of pollution control
equipments. The company has also carried out trading activity and
leasing assets on rent. The Company''s net worth is negative as on
March 31, 2012. The management is hopeful of making the net worth
positive from out of the surplus that may be generated from present
activities and also by bringing required funds to finance losses. Now
having regard to these the accounts are prepared on going concern.
5. In the opinion of the Board, the current assets, loans and
advances are approximately of the value stated, if realized in the
ordinary course of business, provision for depreciation and all known
liabilities is adequate and not in excess of the amount reasonably
6. a) Balance of Trade Payables, Trade Deposits, Advance from
Customers, Trade Receivables, Non Current and Current Loans & Advances
are subject to confirmation by the parties.
b) There are no Micro, Small and Medium Enterprises, to whom the
Company owes dues, which are outstanding for more than 45 days at the
Balance Sheet date. The Micro, Small and Medium Enterprises have been
identified on the basis of information available with the Company. This
has been relied upon by the auditors.
7. The Company has setup Gratuity Fund for future payment of
retirement gratuities of employees. The company has not ascertained the
amount of accrued liability on the basis of actuarial valuation and has
not made any contribution to gratuity fund.
8. Disclosure for operating leases under Accounting Standard 19 -
(i) The company has significant operating leases for premises. These
lease arrangements range for a period between 11 months and 3 years
which includes cancellable leases. Most of leases are renewable for
further period on mutually agreeable terms and also include escalation
(ii) Lease income are recognized to Profit and Loss Account under Rent
received for Rs. 67,64,796/- (P.Y. Rs.22,22,000/-). Operating Lease
payments are recognised in Statement of Profit and Loss for Rs.
30,000/- (P.Y. Rs.30,000/-).
9. Expenditure in foreign currency during the year on account of
Travelling expenses Rs. 33,809 (Previous Year Rs. NIL )
10. OF Value of Imports of Raw Materials for Paper Division Rs.NIL
Lacs and Import of Felt, Wire Cloth . Stores Rs.NIL Lacs (Previous Year
Rs. NIL Lacs)
11. Remittance in Foreign Currency on account of Dividend Rs. NIL
(Previous Year Rs. NIL)
12. Earnings in foreign exchange on account of Exports Rs. NIL
(Previous Year Rs. NIL)
13. Related party disclosures:
I. LIST OF RELATED PARTIES:
A) Key Management Personnel:
a) Shri Manoj R. Patel : Managing Director
b) Shri Rajeev R. Patel : Whole time Director
c) Smt. Laxmiben J. Patel : Director
B) Other Related Parties:
a) M/S Polycone Paper Limited : Associate Company
b) Laj Investments Private Limited : Associate Company
14. In view of the uncertainty of availment of tax benefit on
accumulated business losses and unabsorbed depreciation, the company
has not considered any deferred tax assets as required to be disclosed
under Accounting Standard 22 Accounting for Taxes on Income
15. Company has closed down engineering division during the year
2011-12. However the required information as per Accounting Standard -
24 have not been disclosed.
16. The financial statements for the year ended March 31, 2011 had
been prepared as per the then applicable, pre-revised schedule VI to
the Companies Act, 1956.Consequent to the notification of Revised
Schedule VI under the Companies Act, 1956, financial statements for the
year ended March 31, 2012 are prepared as per Revised Schedule VI.
Accordingly, the previous figures have been reclassified to conform to
this year''s classification. The adoption of Revised Schedule VI for
the previous year figures does not impact recognition and measurement
principles followed for preparation of financial statements.