| 1. Terms/ rights attached to equity shares
The Company has only one class of equity shares having par value of
Re.1 per share.Each holder of equity shares is entitled to one vote per
share. In the event of liquidation of the Company, the holders of
equity shares will be entitled to receive any of the remaining assets
of the company,after distribution of all preferential amounts. The
distribution will be in proportion to the number of equity shares held
by the shareholders.
The Company declares and pays dividend in Indian Rupees. The dividend
proposed by the Board of Directors is subject to the approval of
Shareholders in the ensuing Annual General Meeting. During the year
ended 31st March 2015, the amount per share dividend recognised as
distribution to equity share holders is Re.0.10 per equity share of Re.
1 /-each (Previous year - NIL)
(d) The Company has not issued any shares for consideration other than
in cash or by way of bonus during a period of five years immediately
preceding the balance sheet date.
2. Nature of Security
Term loans from bank is secured by hypothecation of plant & machinery,
furniture & fixture and other fixed assets (present as well as proposed
to be purchased). The Term Loan is also secured by personal gurantee of
promoters and equitable mortgage of land & building situated at Plot
No.3, Sector -25, Faridabad.
3. CONTINGENT LIABILITIES
a) Demand under Haryana VAT ACT, 2003 and CST ACT, 1956 for the
Assessment Year 2003-04, 2004-05, and 2006- 07 amounting to Rs. 60.18
Lacs (Previous Year - Rs.60.18 Lacs) against which Company has filed an
appeal before Joint Commissioner (Excise &Taxation) Faridabad &
Tribunal at Chandigarh.
b) Textile Committee Cess Rs. 4.06 Lacs upto December 2000 (Previous
year Rs. 4.06 Lacs)
c) Tax Demand of Rs. 21.46 Lacs for assessment year 2000-01 (Previous
year - Rs. 21.46 Lacs) under Haryana Local Area Development Tax
Act,2000.
d) The Company (through Faridabad Textile Processors Association) has
filed writ petition before Hon'ble Punjab & Haryana High Court in the
matter of applicability of Sales Tax on Job work. The company may be
liable to pay Sales Tax on Job Work already / to be undertaken by it,
if the case is not decided in the favour of the Company / Association
the amount of which is unascertainable (Previous year NIL).
e) Estimated amount of Capital commitment remaining to be executed on
capital account(Net of Capital Advance) Rs. NIL (Previous Year
Rs.2155699.00)
f) Bank Guarantees given by the Compnay (Net of Margin ) Rs. 1074552.00
(Previous Year Rs. 924552.00)
4. RELATED PARTY DISCLOSURES
As per Accounting Standard (AS)-18 issued by The Institute of Chartered
Accountants of India, the disclosure of
transactions with the Related Parties as defined in Accounting Standard
are given below:
Related parties with whom transactions have taken place and
relationships:
ASSOCIATES
1 Shri Balaji Trading Company Firm in which M.D. is
Proprietor
2 Indian Texprints Firm in which E.D. is
Proprietor
3 Tanfac Apparels Ltd. Company in which E.D. is
Director
KEY MANAGMENT PERSONNEL
1 Shri N.P. Jhanwar Managing Director
2 Shri R.N. Maheshwari Executive Director
3 Shri S.N. Maheshwari Director
4 Shri Aditya Maheshwari CFO
5 Ms. Sneha Gera Company Secretary
Relative of Key Management Personnel
1 Shri Aditya Maheshwari Son of Executive Director
2 Ms Swati Mahwshwari Daughter of Managing Director
3 Smt. Devki Maheshwari Wife of Director
4 Shri Laxmi Narayan S Maheshwari Son of Director
5. Effective from 1st April 2014, the Company has revised estimated
useful life of all of its fixed assets as per Schedule II of the
Companies Act, 2013 other than Plant & Machinery wherein Management has
estimated that the useful life worked out as per the residual value,
the carrying amount of the Fixed Assets of Rs. 2.82 lacs (net of
deferred tax assets of Rs. 1.36 lacs) on account of fixed assets whose
useful life has already exhausted as on 1st April, 2014 have been
adjusted to retained earnings. Had there not been any change in the
useful life of the fixed assets,there would not have been any material
change in the amount of depreciation for the year ended 31st March,
2015.
6. Provision on account of impairment of Assets as required under AS
- 28 of ICAI has not been made, as in the opinion of the management,
the carrying amount of the Assets is not less than the recoverable
amount.
7. The Company is engaged in business of Textile viz Fabric
Processing and Garment Manufacturing, which has been considered as one
reportable segment, therefore, no disclosure on segment wise revenue
etc., has been given.
8. Previous year figures have been re-grouped or rearranged wherever
necessary.
The accomanying notes referred to above forms an integral part of the
financial statements.
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