| The Directors have pleasure in presenting the Twenty sixth Annual Report
together with the Audited Statement of Account of the Company For
the year ended 31st March, 2010.
1.FINANCAL RESULTS Year Ended Year Ended
31/03/2010 31/03/2009
(Rs.) (Rs.)
2 37.29,010 7,31(92,444
Sales and Conversion Charges
(Net of Sales Tax (VAT) )
Loss for the year after providing (59,74,51,087) (50,97,18,393)
Interest & Finance Charges
profit/(Loss) before depreciation (60,86,43,878) (50,97,18,939)
Less: Depreciation 2,09,98,980 1,40,20,386
Profit/(Loss) for the year (62,96,42,858) (52,7,38,779)
Add : Write back of
interest,H.P.chrgs 14,34,03,065 42,40,18,894
including Lease chrgs due to OTS.
Add/(less) Prior period
Adjustments (60,377) 37,000
Less: Fringe Benefit Tax
Surplus/(Deficit) b/f
from last year (2,58,21,19,432) (2,48,23,62,547)
Deficit carried to
Balance Sheet (3,06,84,19,602) (2,58,21,19,432)
2. OPERATIONS:
During the year under review the company continued to operate on job
work basis in view of the lack of working capital and only a part of the
total capacity could be utilised as the desired level of job work was
not available. the galvanized plant of the company continued to remain
closed. The net loss for the year was Rs. 4863.00 Lacs mainly due to
provision on account of interest and finance charges and depreciation
and the same is after adjustment of Rs. 1434.03 Lacs write back due to
one Time Settlement (OTS) of SICOM Ltd. and SBI capital Markets Ltd.
3. GENERAL REVIEW AND ONE TIME SETTLEMENT:
As reported earlier that the company was declared a sick company by the
Board for Industrial and Financial Reconstruction (BIFR) on 3rd May
2001, under sub-section (1) of section 17 of the sick Industrial
Companies (Special Provisions) Act, 1985 as defined under sub-section
(1) of section 3 of the SICA 1985 . The company has already submitted
one time settlement proposal which is under consideration. It was
reported last year the company has submitted One Time Settlement (OTS)
proposal to secured as well as unsecured lenders of the company. The
same was being pursued regularly during this year also which resulted
positively as majority of the secured as well as unsecured lenders of
the company have either agreed or shown their willingness to settle
their dues. As per the Draft Rehabilitation scheme (Which cutoff date
of 31st March, 2009) the SICOM Ltd. and SBI capital Markets Ltd. has
accepted the company's proposal for the OTS and the company has made
full & final payment. The company continued to negotiate and do the
needful with remaining parties in the best interest of all concerned.
IN the mean time the Draft rehabilitation Scheme (DRS) has been
submitted to BIFR through IFCI Ltd. who is the Operating Agency (OA)
and the approval of the same is awaited.
4. DIVIDEND
In view of losses, your board has decided not to recommend any dividend
for the year ended 31st March, 2010.
5. BOARD OF DIRECTORS
In terms of the Articles of Association of Association of the Company
and as per the provisions of the Companies Act, 1956 Shri G.D.singi
Director of the company retires by rotation and being eligible offers
himself for re-appointment.
6. SECRETARIAL COMPLIANCE REPORT
Your directors attach a copy of compliance certificate issued by a
practicing Company Secretary for the year ended 31st March, 2010
pursuant to proviso under Section 383A (1) of the Company Act,1956.
7. DIRECTORS RESPONSIBILITY STATEMENT
The Directors hereby confirm:
i. that in the preparation of the annual accounts, the applicable
accounting standards had been followed alongwith proper explanation
relating to material departures.
ii. that the Directors had 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 profit &
Loss of the company for that year.
iii. the Directors had taken proper and sufficient care for the
maintenance of adequate accounting records in accordance with the
provisions of this Act for safeguarding the assets of the company and
for preventing and detecting fraud and other irregularities.
iv. that the Directors had prepared the annual accounts on a going
concern basis.
8. AUDITORS
M/s. Khandelwal Jain & Co, Chartered Accountants, present Auditors of
the company retire at the conclusion of the ensuing Annual General
Meeting and being eligible, offer themselves for re- appointing. The
company has received a Certificate from them certifying that their
appointment, if made would be within the limits specified under Section
224(1-B) of the Companies Act, 1956,
9. AUDITORS REPORT
Observations made in the Auditors' Report are self-explanatory and
therefore do not call for any further comments under section 217(3) of
the Companies Act, 1956.
10.FIXED DEPOSITS
Your company has not accepted any deposits from the public within the
meaning of Section 58A of the Companies Act, 1956 and rules made
thereunder during the year.
11.PARTICULARS OF EMPLOYEES
Information required to be given under Section 217 (2A) of the
companies Act, 1956 with the companies (particulars Employees) Rules,
1975 are not applicable to the company, as the company has not employed
any employee whose salary exceeds the limits as laid down in the said
section.
12.INFORMATION ON ENERGY CONSERVATION & FOREIGN EXCHANGE EARNING &
OUTGO
Information required to be given under section 217(e) of the Companies
Act, 1956 read with the Companies (Disclosure of particulars in the
Report of the Board of Directors) Rules. 1988 requiring disclosure of
particulars regarding conservation of Energy , Technology absorption
and foreign exchange earnings and out go is given in the prescribed
format annexed hereto (Annexure I) and forms part of this report.
13.ACKNOWLEDGMENTS
Your Directors wish to thank company's Bankers/Financial
Institutions, staff , workmen Government agencies and client for their
support in running the company and look forward for the same.
FOR AND ON BEHALF OF THE BOARD
REGSTERED OFFICE CHAIRMAN
S.No. - 67, P.O.- Vikramgadh,
Taluka Jawhar.
Dist. - Thane 401 605
Dated: 30th August, 2010
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