| The Directors have plesure in presenting the inteenth Annual Report
along with the Auditor Accountant for the year ended 31st march 2004
FINANCIAL RESULTS
The Company has recorded a total other income Rs.94.93 Lakhs during the
year ended 31st March 2004. The Net Loss of your Company during the
year under review is Rs.65.20 Lakhs
The financial result of the company or the year ended 31st March 2004
are summarised as follows
Rs. in lakhs
Other Income 94.93
Total Expenditure 100.16
Gross Loss before depreciation and taxation 5.23
Depreciation 59.97Net Loss carried to Balance Sheet 65.20
FUTURE PLANS
Due to versatility of the Factory. Our Company is venturing into export
of Processed Food products and Vegetables. The company is able to cut
costs and improve on the revenue through processing. The Company has
been registered with the Board for Industrial a d Financial
Reconstruction (BIFR) and the operating Agency. namely, IDBI is in
preparation of a report The company is hopeful of getting concessions
in the BIFR package.
SUBSIDIARY COMPANIES
The Turnover of the subsdiaries namely, Agri-marine (Export) Limited
amounted to Rs. 1,57.181 UK Pounds while M&M Harvests did not do any
turnover over during the year.
PUBLIC DEPOSIT
The Company has not accepted any deposit from the public during
the year.
RESPONSIBILITY STATEMENTS
The Directors Confirm:
a. That in the preparation of the annual accounts, the applicable
accounting standards have been followed and that no material departures
have been made from the same:
b. That they have selected such accounting policies and applied them
consistently and made judgements and estimates that are reasonable and
prudent so as to given 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;
c. That they have Jaken proper and sufficient care for the maintenance
of 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;
d: That they have prepared the annual accounts on a going concern
basis.
DIRECTORS
Under Article 79 of the Articles of Association of the Company
Mr.Firoz Elias, Director of the Company is retiring by rotation and
being eligible offers himself for reappointment.
PARTICULARS OF EMPLOYEES
With regard to information relating to employees covered under Section
217(2A) of the Companies Act, we wish to report that no employee of the
Company is in receipt of remuneration during the year under review in
excess of the prescribed limits.
AUDITORS
Mrs. Vivekanandan Associates, the auditors of the company retire at the
conclusion of the Annual General Meeting and are eligible for
re-appointment.
CLARIFICATION ON THE AUDITORS' COMMENTS
Note No.6: The company is following the practice of accounting of
export revenue receipts at the rates prevailing on the date of
negotiation. The net effect would be the same for the revenue would be
increased decreased and the effect would be shown separately as
exchange fluctuation. As the net effect is the same the company is
following this method consistently.
Note No. 4 & 5: The company is optimistic over the reausation of the
Debtors and hence did not warrant any provision, for bad and doubtful
debtors. Since the company's credit facilities have become non
performing assets, in some cases, the company could not obtain
confirmation of balances from Banks and Financial Institutions.
However, there-is no operation in these accounts and obtaining
confirmation is only procecdural and this will not affect in any way.
Note No. 7: The working vpital loan has become a non performing asset
with respect to the bank and hence no provision has been made on the
said loans. The company felt that the rate of interest cnarged by the
bank could be negotiated and hence no provision has ceen made.
Note No,8: Regarding capitalisation of interest pertaining to term loan
from IDBI, it is par ified that the interest on the loan from IDBI form
part of the fixed assets for Which the said loan is raised and hence
the company capitalised the interest.
Point No.4 of Annexure to auditors Report The company did not have
purchases dunrig the year and is doing only processing and hence the
internal control procedures for the purchase of raw materials and
others have no bearing on the present company's bisiness.
Point No.9 of Annexure to auditors Report: Due to the financial crunch
faced by the company, there are delays in depositing the PF and ESI
dues. However, there is no outstanding to be remitted to the
authonties.
Disclosure of particulars with respect to conservation of Energy,
Technology Absorption, Foreign Exchange Earnings and outgo as required
under the Companies (Disclosure of particulars in the Report of Board
of Directors) Rules, 1988 and forming part of the report of the Board
of Directors for the year ended 31st March 2004.
(Rs.in Lakhs)
Total Foreign Exchange Earning during the year NIL
Total Foreign Exchange used during the year NIL
The particulars regarding conservation of Energy, Technology Absorption
ane R & D are not applicable during the year.
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