Moneycontrol Be a Pro
Get App
SENSEX NIFTY India | Notes to Account > Food Processing > Notes to Account from Ravalagaon Sugar Farm - BSE: 507300, NSE: RAVALSUGAR

Ravalagaon Sugar Farm

BSE: 507300|NSE: RAVALSUGAR|ISIN: INE615A01017|SECTOR: Food Processing
Oct 16, 15:40
-59 (-3.17%)
Ravalagaon Sugar Farm is not traded in the last 30 days
Mar 15
Notes to Accounts Year End : Mar '16

1 Term loan from Banks : The Term loan from Dena Bank is secured by the hypothecation of the finished goods, raw material stocks and other assets; and residual charge on other fixed assets of the company. Carries interest @ 12.55% p.a. The term loan from HDFC Bank is secured by the equitable mortgage of Office Property and carries interest @ 12.05% p.a. The loan is repayable in monthly installments from January, 2011 to October 2019.

2 Term loan from State Government is secured against Bank Guarantee and further secured by residual charge on fixed assets.

3 The total amount outstanding from SICOM is Rs 149.35 Lacs out of which Rs 41.66 Lacs is repayable from April 2016 to March 2017 and the balance amount is to be repaid within 5 years from the date of completion of the assessment of the relevant years

4 Working Capital borrowings from the banks are secured by way of joint hypothecation of inventory including stock of sugar, confectionery and other items and second charge by way of equitable mortgage of company''s immovable property situated at factory

5 Inter Corporate Deposits bears interest between 11% p.a.

6 Cane, Transport and Harvesters advances and liabilities, Debtors and Creditors balances are subject to confirmation and reconciliation.

7 As per the accounting practice followed by the Company, excise duty is accounted for at the point of Sales / transfer of goods.

8 In the opinion of the Board, current assets, loans and advances have a value on realization in the ordinary course of the business at least equal to the amount at which they are stated.

9 AS 15 - Employee benefits:

a The present value of accrued Gratuity liability as determined by an Actuary as at 31 March 2016 was Rs. 284.50 lacs (Previous year Rs. 320.35 lacs).

The balance lying in the contributory fund with the Life Insurance Corporation of India (LIC) as at 31 March 2016 is Rs. 1.10 lacs (Previous Year Rs. 1.02 lacs).

The net liability of Rs.283.40 lacs as at year end (Previous Year Rs.319.33 lacs) has not been recognized in the Accounts as required under the Accounting Standard - 15 i.e. Employee Benefits, notified by Companies (Accounts) Rules, 2014.

Consequently as against the charge to the profit and loss account of Rs. Nil (Previous Year Rs. Nil Lacs), the expense determined by the Actuarial Valuation is Rs. (17.20) Lacs (Previous Year Rs. 17.89 lacs).

However the Company expects to meet this liability in due course with enhanced funding of the Contribution to L.I.C. or upon actual payment to employees as has been done in earlier years.

b Subject to above, however the disclosure required under AS 15 Employee Benefits notified in the Companies (Accounts) Rules 2014, are given below:

I General description :

a Gratuity : The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of services gets a gratuity on death or resignation or retirement at 15 days salary (last drawn) for each completed year of service. The scheme is funded with Insurance Company in the form of qualifying insurance policy.

b Leave Wages : The leave wages are payable to all eligible employees at the rate of daily salary for each day of accumulated leave on death or on resignation or upon retirement on attaining superannuation age.

II Defined Benefit Plan :

The employees'' Gratuity Fund scheme managed by a Trust is a defined benefit plan.

The present value of obligation is determined based on actuarial valuation using the Projected Unit Credit Method which recognizes each period of service as giving rise to additional unit of employee benefit entitlement and measures each unit to build up

The obligation for leave encashment is recognized in the same manner as gratuity.

10 Related Party Disclosures:

A. Associate Companies Lanica Financial Services Limited Associate Company

Carina Finvest Limited Associate Company

Acrow India Limited Associate Company

Leela Bharat Foundation Associate Company

B. Key Management Personnel Mr. Harshavardhan B Doshi Chairman & Managing Director

Mr. Nihal H Doshi Executive Director

C. Relative of Key managerial Mrs. Lamya H Doshi Spouse of Chairman & Managing Director personnel Miss Carina H Doshi Daughter of Chairman & Managing Director

11 Lease Rentals:

a) Future lease rentals payable within one year in respect of premises taken on lease Rs. Nil Lacs.

(Previous Year Rs. Nil Lacs)

b) Rent includes payment of lease rent in respect of premises of Rs. Nil Lacs.(Previous Year Rs. Nil Lacs)

c) General Description of Lease Terms:

Lease rentals are recognized on the basis of agreed terms. Assets are taken on lease for a period of 12/ 33/ 60 months

12 Due to economic constraints, lack of availability of harvesting labour, coupled with declaration of drought in the state of Maharashtra, the Company did not run sugar manufacturing operations during the financial year. However, the Company is of the view that this is a temporary situation, which is liklely to turnaround shortly. Based on this, it is felt that the going concern assumption is not affected and, hence, the accounts have been prepared accordingly.

13 As per Sec.74 of the Companies Act 2013 which has come into force with effect from 01.04.2014, deposits accepted from public before commencement of this Act, remain unpaid or become due at any time thereafter the same has to be repaid within one year or date on which it is due whichever is earlier. The Company had approached the Company Law Board seeking extension of time for repayment of deposit and the Company Law Board vide it''s order no. CA. No. 09/2015 dated 07.04.2016 has approved the company''s request for the time extension and directed the Company to pay the deposits with agreed interest to all Fixed Deposit holders as per the date of maturity.

14 The Central Government in consultation with National Advisory Committee on Accounting Standards has amended Companies (Accounting Standards) Rules, 2006 (''principal rules’), vide notification issued by Ministry of Corporate Affairs dated March 30, 2016, The Companies (Accounting Standards) Rules, 2016 is effective March 30, 2016.

The Company believes, that the Rule 3(2) of the principal rules has not been withdrawn or replaced and accordingly, the Companies (Accounting Standards) Rule, 2016 will apply for the accounting periods commencing on or after March 30, 2016.

Source : Dion Global Solutions Limited
Quick Links for ravalagaonsugarfarm
Explore Moneycontrol
Stocks     A | B | C | D | E | F | G | H | I | J | K | L | M | N | O | P | Q | R | S | T | U | V | W | X | Y | Z | Others
Mutual Funds     A | B | C | D | E | F | G | H | I | J | K | L | M | N | O | P | Q | R | S | T | U | V | W | X | Y | Z
Copyright © Ltd. All rights reserved. Reproduction of news articles, photos, videos or any other content in whole or in part in any form or medium without express written permission of is prohibited.