(a) Rights, preferences and restrictions attached to shares
(i) The Company has only one class of shares referred to as equity shares having a par value of Rs. 10/- per share. Each holder of equity shares is entitled to one vote per share.
(ii) In the event of liquidation of the Company, the holders of the equity shares of the Company will be entitled to receive the remaining assets of the Company, after distribution of all preferential amounts in proportion to their shareholding.
(iii) There is no fresh issue or buyback of shares during the year.
a) Securities Premium
Securities Premium is used to record the premium on issue of shares and is utilised in accordance with the provisions of the Companies Act, 2013.
b) Retained Earnings
Retained Earnings are the profits of the Company earned till date net of appropriations.
) . Term loan of Rs.17.90/- Lakhs (Previous Year 52.54/- Lakhs ) is non current part of Term loan taken under Covid Emergency credit line and Union Guaranteed Emergency Credit Line facility.
' The Term Loans are secured by hypotication of fully paid stock and entire present and future book debts and duly insured with usual bank clause.
This above Term Loan is also secured by hyothecation on land & building situated at Daman owned by Reliance Cable Corporation a partnership firm of the promoters and hypothecation of Plant & ii Machinary of the Company, lien mark over Fixed Deposit of Relicab Cable Manufacturing Limited and Personal Guarantee, FD and pledge of 30% share of company (1620549 shares of company valued 50% of market price) owned by Mr.Suhir H. Shah. Further Personal Guarantee of Mrs. Rupa Suhir Shah.
This loan is personally Guranteed by Mr. Suhir Shah Director of the Company, Mrs. Rupa Suihir Shah and Reliance Cable Corporation being owner of Land and Building given as security for the above facility.
b) Unsecured loan taken from NBFC @11% pa. of Rs.616.12/- Lakhs (P.Y. 497/- Lakhs ) and from Body corporate @18% of Nil (Previous year Rs.415.21/- Lakhs) for the working capital
' requirement period ranging 12 months to 36 months . The loan has been secured against the Post Dated Cheque and four Undated Cheques.
(a) i Working Capital Loan (Cash Credit ) from Union Bank of India of Rs.423.48/- Lakhs (Previous Year 355/- Lakhs) are secured against hypothecation of fully paid stock/ duly insured woth usual bank clause and entire present and future book debts.
ii This above Cash Credit limit is also secured by hyothecation on land & building situated at Daman owned by Reliance Cable Corporation a partnership firm of the promoters and hypothication of Plant & Machinary of the Company, lien mark over Fixed Deposit of Relicab Cable Manufacturing Limited and Personal Guarantee, FD and pledge of 30% share of company (1620549 shares of company valued 50% of market price) owned by Mr.Suhir H. Shah. Further Personal Guarantee of Mrs. Rupa Suhir Shah.
iii Working Capital (Cash credit) is repayable on demand and carries variable interest.
i Term loan of Rs.45.65/- Lakhs (Previous Year Rs.80.29/- Lakhs) is non current part of Term loan taken under Covid Emergency credit line and Union Guaranteed Emergency Credit Line facility. The Term Loans are secured by hypotication of fully paid stock and entire present and future book debts and duly insured with usual bank clause.
ii This above Term Loan is also secured by hyothecation on land & building situated at Daman owned by Reliance Cable Corporation a partnership firm of the promoters and hypothecation of Plant & Machinary of the Company, lien mark over Fixed Deposit of Relicab Cable Manufacturing Limited and Personal Guarantee, FD and pledge of 30% share of company (1620549 shares of company valued 50% of market price) owned by Mr.Suhir H. Shah. Further Personal Guarantee of Mrs. Rupa Suhir Shah.
Under the Micro, Small and Medium Enterprises Development Act, 2006 ('MSMED') which came into force from 2 October 2006, certain disclosures are required to be made relating to Micro, Small and Medium enterprises. On the basis or the informntion and records available with the management, there are no outstanding dues to the Micro and Small enterprises as defined in the Micro, Small mid Medium Enterprises Development Act, 2006 as set out in the following disclosures-a) Outstanding to suppliers other than micro enterprises and small enterprises of Rs.899.44/- Lakhs & Micro and Small Enterprises Development of Rs.160.33/- Lakhs.
The disclosure required as per the IND AS 19 is as under: a) Retirement Benefits
The Company has following long term retirement employees benefits: i) Defined Contribution Plan:
The Company's defined contribution plans are Employees' Provident fund and Pension Scheme (under the provision of the Employees' Provident Fund and Miscellaneous Provisions Act, 1952) since the company has no further obligation beyond making the contributions.
b) Short Term Employee Benefits
All employees benefits falling due wholly with in twelve months of rendering services are classified as short term employee benefits, which include salaries, wages, bonus, leave encashement ets. The said benefits are recognised as expenses in the period in which the employee renders the related service and measured accordingly.
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28 Contingent Liabilities and commitments (to the extend not provided for)
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As at 31-03-2024
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As at 31-03-2023
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Guaranteed by Banks not provided for (Net)
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0.90
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16.90
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Letter of Credit
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825.21
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867.61
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34 In the opinion of the Board, the Current Assets, Loans & Advances are approximately of the value stated, if realised, in the ordinary course of the business. The provision for depreciation and for all known liabilities is adequate and not in excess of the amount reasonably necessary.
35 Financial Instruments Capital Risk Management
The company's objectives when managing capital is to safeguard continuity as a going concern and provide adequate return to shareholders through continuing growth and maintain an optimal capital structure to reduce the cost of capital. The Company sets the amount of capital required on the basis of annual business plan and long-term operating plans which include capital investments.
Financial Risk Management
A wide range of risks may affect the business and financial results. Amongst other risks that could have significant influence on the Company are market risk, credit risk and liquidity risk.
The Board of Directors manage and review the affairs of the Company by setting up short term and long term budgets by monitoring the same and taking suitable actions to minimise potential adverse effects on its operational and financial performance.
The Company is exposed to the following market risks:
(a) Credit Risk
Credit risk refers to the risk that the counter party will default on its contractual obligation resulting in financial loss. The Company has adopted a policy of dealing with only credit worthy counter parties. This risk principally arises from credit exposures to customers, deposits with banks and financial institutions and other receivables.
(b) Liquidity Risk
Liquidity risk refers to the risk that may not be in a position to meet its financial obligations timely. Management monitors rolling forecasts of the liquidity position (comprising of undrawn bank facilities and cash and cash equivalents) on the basis of expected cash flows. This monitoring includes financial ratios and takes into account the accessibility of cash and cash equivalents.
(c) Market Risk
Market Risk is the risk that the value of on and off-balance sheet positions will be adversely affected by movements in market rates or prices such as interest rates, prices resulting in a loss to earnings and capital.
Capital Management
The Company sets the amount of capital required on the basis of annual business and long-term operating plans.
The funding requirements are met through a mixture of equity, internal fund generation, convertible and non convertible debt securities, and other short term borrowings. The Company’s policy is to use short term and long-term borrowings to meet anticipated funding requirements.
The Company monitors capital on the basis of the net debt to equity ratio. The Company is not subject to any externally imposed capital requirements.
Net debt are long term and short term debts as reduced by cash and cash equivalents (including restricted cash and cash equivalents) and short-term investments. Equity comprises all components of equity without any exclusion.
36 Segment Reporting
The company operates under a single product segment i.e. Cables. The company mainly focuses on specialized cables which differentiates it from other cable players in the country.
37 Other Matters
Information with regard to other matters specified in Revised Schedule III to the Act is either nil or not applicable to the Company for the year.
38 Subsequent Events
No adjusting or significant non-adjusting events have occurred between the reporting date and the date of authorisation.
39 No funds have been advanced or loaned or invested by the Company to/in any intermediary on behalf of ultimate beneficiaries or nor any such sum has been received by the company where the company has act as an intermediary on behalf of ultimate beneficiaries.”
40 Additional Regulatory Information:
a. The Company does not hold any immovable properties which are not held in the name of the Company. Accordingly, disclosure pertaining to the title deeds of immovable properties that are not held in the name of the Company as at the balance sheet date is not applicable.
b. The Company has not revalued any Property, Plant and Equipment. Accordingly, reporting on revaluation of Property, Plant and equipment is not applicable.
c. The Company does not hold any Intangibles assets under development. Accordingly, reporting on Intangibles assets under development ageing and completion schedule is not applicable.
d. The Company does not have any benami property, where any proceeding has been initiated or pending against the Company for holding any benami property.
e. The Company has availed borrowings from banks or financial institutions on the basis of security of current assets & no material variance exceeding 10% were observed during the periodical review statements submitted to banks.
f. The Company is not declared wilful defaulter by and bank or financials institution or lender during the year.
g. The Company has not undertaken any transactions with companies struck off under section 248 of the Companies Act, 2013 or section 560 of Companies Act, 1956.
h. The Company does not have any charges or satisfaction of charges which is yet to be registered with ROC beyond the statutory period.
i. The Company does not have any investment in subsidiaries. Accordingly, Compliance with the number of layers prescribed under clause (87) of section 2 of the Act read with the Companies (Restriction on number of Layers) Rules, 2017 is not applicable.
j. The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:
(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (ultimate beneficiaries) or
(b) provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries
k. The Company has not received any fund from any person(s) or entity(ies), including foreign entities (funding party) with the understanding (whether recorded in writing or otherwise) that the Company shall:
(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the funding party (ultimate beneficiaries) or
(b) provide any guarantee, security or the like on behalf of the ultimate beneficiaries.
l. The Company does not have any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961
m. Reporting on Corporate Social Responsibility (CSR) is not applicable to the Company.
n. The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.
41 Previous period figures have been regrouped and recast wherever necessary to conform to the current year classification.
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