The Members of
Paras Petrofils Limited
The directors have pleasure in presenting the Twenty Third Annual
report together with the audited statements of accounts for the year
ending on 31st March, 2014.
The summarized financial results are as under: - (Rs. In Lacs)
Particulars 2013-14 2012-13
Revenue from Operations 952.86 11795.76
Other Income 3.18 56.17
Profit/(Loss) before depreciation 774.19 (1451.23)
Less: Depreciation 7.11 456.24
Net Profit/(Loss) Before Tax 767.08 (1907.47)
Less: Provision for Tax including tax
of earlier years 0.00 0.11
Less: MAT Credit Entitlement 174.63 0.00
Less/(Add): Deferred Tax Liability/(Assets) 236.99 (588.88)
Net Profit/(Loss) after Tax 355.46 (1318.70)
Balance of Profit & Loss account
brought forward (1020.02) 298.68
Balance of Profit & Loss account to be
carried forward (664.56) (1020.02)
For the year under review, company has earned net profit. However to
set off the previous year losses, your directors regret their inability
to recommend any divided for the year.
PERFOMANCE DURING THE YEAR & OUTLOOK:
During the year under review, the turnover of the company has decreased
to Rs. 952.86 Lacs as against turnover of Rs. 11795.76 Lacs during the
previous year. The Company has earned net profit after tax of Rs.
355.46 Lacs during the year. During the year under consideration the
manufacturing operation of the company were suspended due to sluggish
market condition and heavy losses incurred by the company during
previous years from manufacturing activity. However company has
continued its trading activity during the year. Looking to the current
market situation of the manufacturing activity in India and specially
of the standalone yarn manufacturing units, directors of the company
are of the view to permanently discontinue its manufacturing activity
and dispose-off all related assets of the company subject to approval
of the share holders and use all available recourses to expand its
textile trading activity. The directors of the company are quite
confident to improve its profitability and performance in coming years
from textile trading activity.
M/s. RKG & Company, Chartered Accountants, the auditors of the company,
retires at the conclusion of ensuing Annual general meeting and had
confirmed their eligibility for the reappointment and willingness to
accept office, if reappointed.
The observations made in the Auditor''s Report are self-explanatory and
do not require further explanation.
Pursuant to the provisions of Sections 255 and 256 of the Companies
Act, 1956 and as per the provisions of Articles of Association of the
Company, Shri Harshad J Patel, Shri Ashok R Jain retire by rotation and
being eligible offer themselves for re-appointment. The board
recommends reappointment of retiring directors.
Details of the Directors seeking reappointment as required under Clause
49 (VI) of the Listing Agreements are provided in Notice forming part
of this Annual Report. None of the Directors are disqualified under
Section 274(1) (g) of the Companies Act, 1956.
The Company does not have any employee drawing salary as stipulated
under Section 217(2A) of the Companies Act, 1956 read with the
Companies (Particulars of Employees) Rules, 1975.
CASH FLOW ANALYSIS
The Cash Flow statement for the year ended on 31st March, 2014, in
terms of Clause 32 of the Listing Agreement entered by the Company with
the Stock Exchanges where the shares of the Company are listed forms
part of the Annual Report.
DIRECTORS'' RESPONSIBILITY STATEMENT:
As required under section 217(2AA) of the Companies Act, 1956, it is
hereby stated that- (i) In the preparation of the annual accounts, the
applicable accounting standards had been followed along with proper
explanation relating to material departures.
(ii) We 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 or loss
of the Company for that period.
(iii) We have taken proper and sufficient care for the maintenance of
the adequate accounting records in accordance with the provisions of
the Companies Act, 1956 for safeguarding the assets of the company and
for preventing and detecting fraud and other irregularities; and
(iv) We have prepared annual accounts on a going concern basis.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE
EARNING AND OUT GO:
Information required u/s 217(1)(e) of the Companies Act, 1956 read with
Companies (Disclosure of Particulars in the Report of Board of
Directors) Rules, 1988 relating to conservation of energy, technology
absorption are as per the Annexure forming part of this Report.
The Company has not accepted any deposit during the period under
During the period under review, Company has discontinue its yarn
SAFETY HEALTH & ENVIRONMENT
Your company is committed to being proactive to Safety, Health and
Environment. Continued safety awareness was maintained through several
activities such as training, competitions, awards, etc. where there is
high worker participation.
Your Company has ensured eco-friendly disposal of various hazardous
waste at the designated disposal site recognized by Pollution Control
Board. In addition, the Company has complied with the environmental
Your Company complies with all the mandatory requirements pertaining to
Corporate Governance, in terms of clause 49 of the Listing Agreement
with the Stock Exchanges. A report on Corporate Governance as
stipulated under Clause 49 of the Listing Agreement with the stock
exchanges, forms part of the annual report.
A separate section on Corporate Governance containing all the
information as mandated by the Listing Agreement is attached herewith
and forms a part of this report.
Certificate from the Practicing Company Secretary of your Company
regarding compliance with the conditions of Corporate Governance as
stipulated in Clause 49 of the Listing Agreement with the Stock
Exchange is attached herewith and forms a part of the Corporate
MANAGEMENT DISCUSSION AND ANALYSIS
Management Discussion and Analysis on matters relating to business
performance, as stipulated in Clause 49 of the listing agreement with
the stock exchanges, is given as a separate statement in the Annual
Your Directors place on record their appreciation for the continued
support and co-operation received from customers, suppliers, dealers,
banks and government authorities. The Board also, expresses its
appreciation for the understanding and support extended by the
shareholders and employees of the Company.
Registered office: For and on behalf of Board of Directors,
Block No 529, N. H. No. 8,
Place: Palsana (Ashok R Jain) (Harshad J Patel)
Date : 14th August, 2014 Managing Director Director