The Directors have pleasure in presenting their 14th Annual Report
together with the Audited Accounts for the financial year ended 31st
Rs in Lakhs
Total Income 2509.49
Profit before Interest,
Depreciation and Taxation 744.08 687.53
Interest 22.33 5.20
Depreciation 596.57 656.92
Extraordinary Items 19.46
Profit before Taxation 105.72 25.41
Provision for Taxation 19.64 4.71
Profit after Taxation 86.08 20.70
Balance brought forward
from previous year 454.47 433.77
Amount available for the appropriations 540.55 454.47
Surplus carried forward 540.55 454.47
BUSINESS OUTLOOK AND MANAGEMENT DISCUSSION:
Your directors are pleased to share with you that your company has
completed fourteen years. E-Governance Services:
The company has received an order worth over Rs 45 Crs from consortium
of public sector undertakings for Socio Economic Caste Census (SECC) in
the states of Bihar and UP.
The company has bid for such other e-governance projects and expected
to have a healthy order book position from this segment.
The company has increased its customer service points (CSP) working for
State Bank of India to more than 200 centers in the state of Bihar. The
business is growing at a healthy rate.
The receivables from government continue to be accumulating with low
recovery for varied reasons of delay in releases from the state
FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE: Share
The paid up share capital now stands at Rs.9,35,00,000 represented by
93,50,000 equity shares of Rs.10/-each.
Reserves and surplus:
During the year under review the reserves and surplus stood at
Rs.1280.15 lakhs as compared to Rs. 1194.07 lakhs in the previous year.
Dividend on Equity:
Your Directors do not recommend any appropriation towards dividend on
Equity Share Capital for the year ended 31st March, 2012.
The Company has not invited / accepted any fixed deposits within
purview of Section 58 A during the year under review.
DIRECTORS: DIRECTORS RESPONSIBILITY STATEMENT:
To the best of their knowledge and belief and according to the
information and explanations obtained by them, your Directors make the
following in terms of Section 217 (2AA) of the Companies Act, 1956.
i. That in accordance with the preparation of the accounts for the
financial year ended 31st March, 2012, the applicable accounting
standards have been followed along with proper explanation relating to
ii. That the directors have selected such accounting policies and
applied them consistently and made judgments and estimates that are
reasonable and prudent so as to give a true
and fair view of the state of affairs of the Company at the end of the
financial year and of the profit of the company for the year under
iii. That 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
iv. That the directors have prepared the annual accounts on a going
concern basis. STATUTORY AUDITORS:
The Auditors, M/s Mahesh, Virender&Sriram, Chartered Accountants,
Hyderabad retire at the conclusion of the forthcoming Annual General
Meeting and being eligible, offer themselves for re-appointment. The
Company has received letter from the auditors to the effect that their
appointment as Auditors, if made, would be within the limits under
Section 224 (1-B) of the Companies Act, 1956.
REPLIES TO AUDITORS’ REPORT:
Since the company is engaged in infrastructure establishment and
maintenance projects, and without adequate bank support and with
considerable delay in receivables from state governments, there were
certain delays in depositing statutory dues. However, the efforts are
in place to overcome such instances.
CASH FLOW STATEMENT:
A Cash Flow Statement for the year ended 31st March, 2012 is attached
with the Annual Audited Accounts of the Company.
The Securities of the Company are listed with and traded in
dematerialized form at Bombay Stock Exchange Ltd from March 17th, 2009
onwards. The BSE Scrip Code is 533056 and ISIN No of the Company is
INE359B01010. The Company has paid the Annual Listing Fees for the year
2012-13 to the Bombay Stock Exchange Ltd.
The Corporate Governance report is set out as Annexure to this Report.
Audit Committee consists of the Directors namely Sri V.Umapathi, Sri G
T Murthy and Sri J.S.R.Durga Prasad
ENERGY, TECHNOLOGY AND FOREIGN EXCHANGE:
The particulars as prescribed under Section 217(1)(e) of the Companies
Act, 1956 read with Rule 2 Companies (Disclosure of Particulars
in the Report of Board of Directors) Rules, 1988:
A. Conservation of Energy:
The operations of the Company involve low energy consumption. Adequate
measures have, however, been taken to conserve energy.
B. Technology Absorption:
Since business and technologies are changing constantly investment in
research and development activities is of paramount importance. Your
Company continues its focus on quality upgradation of product and
C. Foreign Exchange Income and Outgo:
In Rs. Lakhs 2011-12 2010-11
Foreign Exchange Earnings: 84.37 37.88
Foreign Exchange out go :
As regards, information pursuant to Section 217(2AA) of the Companies
Act, 1956 read with Companies (particulars of employees) Rules, 1975
(as amended), there are no employees governed by the said provisions.
Industrial relations have been cordial and your Directors appreciate
the sincere and efficient services rendered by the employees of the
Company at all levels towards the successful working of the Company.
INTERNAL CONTROLS SYSTEMS AND THEIR ADEQUACY:
Adequate internal control systems are in vogue commensurate with the
size of the operations of the organization. Continuous efforts are being
made by constant review to improve the same.
The Company is filing all Forms and Returns with the Registrar of
Companies as required under the Companies Act, 1956. The Company has
not committed any of the defaults specified under Section 274 (1)(g)
of the Companies Act, 1956 (as amended by the Companies Act, 2000)
disqualifying its Directors to act as Directors of other Public Limited
Your Directors take this opportunity to thank all the investors,
business partners, clients, bankers, regulatory and Governmental
authorities, stock exchanges and employees for their continued support
and confidence in the Company.
For & onbehalf ofthe Board
J. S. R. Durgaprasad
Chairman Managing Director
Place: Hyderabad Date : 31.8.2012