The Directors have pleasure in presenting the TWENTY FOURTH ANNUAL
REPORT together with Audited Accounts of the Company for the year ended
31st March, 2008.
Rs. Lakhs Rs. Lakhs
Total Income 210.88 96.78
Gross Profit/ Loss 80.55 (6.07)
Less: Depreciation 5.39 4.20
Provision for Taxation 9.40 0.23
Previous Year Adjustment (Taxation) NIL 0.22
Profit/Loss after Taxation 65.76 (10.72)
Add : Loss Brought forward from previous year (105.49) (94.77)
Profit & Loss Appropriation Account (39.73) (105.49)
The Directors regret their inability, to recommend dividend for the
year 2007-2008 due to inadequacy of profits.
The Companys operating results for the year are showing Net Profit of
Rs. 65.76 Lacs against the Loss incurred by the Company Rs.10.27 Lacs
for the previous year. Current years profit includes the profit on
sale of office premises at Nariman Point. Due to developments in
manufacturing technology our machines have become obsolete and
outdated. We are facing stiff competition from large scale
manufacturers who have put up latest machines with higher production
capacities. This has resulted in stagnation of our production and sales
of Pet Preforms and left no margins for profits.
The Company has not accepted any Fixed Deposits under section 58A of
the Companies Act 1956 during the year and Note No (xiii) in the
annexure to the Auditors Report is self explanatory.
Our Chairman Shri J. U. Patel expired on 22nd January 2008 which has
caused a great loss to the Company. Mr. J. U. Patel has been always an
helping hand to the Company and taking great interest in the affairs of
the company. His death has resulted a great shock to his family and the
financial organisations of this country. Your Directors record and
acknowledge great contribution of Shri J. U. Patel to the Company and
pray to God to provide strength to his family to absorb this great loss
and his soul may rest in peace.
In place of Shri J. U. Patel, Board has requested Shri S. C. Gautam,
Vice Chairman & Managing Director to take the charge as a Chairman of
In accordance with the provision of the Companies Act, 1956 and the
Companys Articles of Association, Shri. S. K. Agarwal Director of the
company retires by rotation and being eligible offers himself for
Shri S. C. Gautam Managing Director of the Company been appointed as a
Managing Director for the Period of five years on 01/10/ 2003. His
terms as a Managing Director expires on the conclusion of this Annual
General Meeting and Board vide its Meeting held on 28th July 2008 has
approved his appointment as a Managing Director of the Company for a
further period of five years on the terms and conditions of his last
appointment and the same is elaborated in the Notice conveneing the
Further Mr. S. C. Gautam has not taken any remuneration from the
company due to the losses incurred by the company in the previous years
M/s Motilal & Associates, Chartered Accountants, Mumbai retire with the
conclusion of the Twenty Fourth Annual General Meeting and are eligible
to offer themselves for reappointment.
PARTICULARS OF EMPLOYEES:
Information pursuant to Section 217 (2A) of the Companies (Particulars
of Employment) Rules, 1975 as amended by the Companies Amendment Act,
1988 not applicable to company as no employee was drawing salary more
than 1,00,000/-p. m. if employed for the part of the year or annual
salary of Rs. 12,00,000/-.
DIRECTORS RESPONSIBILITY STATEMENT
The Directors confirm:
1. That in the preparation of the annual accounts, the applicable
accounting standards have been followed.
2. That the Directors have selected such accounting policies and have
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 and loss of the Company for that period.
3. That the Directors have taken proper and sufficient care for the
maintenance of adequate accounting records in accordance with the
provisions of the Company Act for safeguarding the assets of the
Company and for preventing and detecting fraud and other
4. That the Directors have prepared the annual accounts on a going
Your Directors wish to place on record their appreciation for the
support and co-operation extended by the Bankers, Executives and Staff
of the Company.
For and on behalf of the Board
For SWADESHI INDUSTRIES & LEASING LIMITED
Chairman & Managing Director
Place : Mumbai.
Dated : 28th July, 2008