| TO, THE MEMBERS.
The Directors of your Company is presenting their 31st Annual Report of
the Company along with the Audited Statement of Accounts for the year
ended 31st March, 2012 and Auditors Report. thereon
1. FINANCIAL RESULTS
PARTICULARS This year 2011-12 Previous Year 10-11
(Rs in lacs) (Rs in lacs)
Operational Profit/Loss)
before financial expanses
and depreciation, (4.88) (0.10)
Less : Financial Expenses (0.00) -
Gross Profit/Loss (4.88) (0.10)
Less: Depreciation (0.05) -
Net profit/Loss After
depreciation (4.93) (0.10)
Add : Balance brought
forward from earlier years (550.21) (550.31)
Balance carried forward (535.14) (550.21)
2. PERFORMANCE
The performance of the Company during the year ended 31st March, 2012
was poor. During the year under review, there is no major activities
took place.
During the year, your Company could have achieved a net turnover of Rs.
30.43 lacs as against Rs. Nil lacs in the preceding year which includes
export turnover (FOB) amounting to Rs. NIL Lacs as against Rs. Nil Lacs
is last year.
3. LISTING OF SHARES
Presently the equity of the Company are listed at Mumbai Stock
Exchange.
4. AUDITORS
M/s. S. S. Surana & Company Charactered Accountants, Auditors of the
Company is to retire at the ensuring Annual General Meeting of the
Company and are eligible for re-appointment. The observations in the
Auditor's Report are realty with in the notes to the accounts at
appropriate place and are self explanatory.
5. DIRECTORS
Shri B.S. Sacheti is to retire at the ensuing Annual General Meeting of
the Company and being eligible offer himself for re-appointment.
6. DIRECTORS RESPONSIBILITY STATEMENT
Statement of Director responsibility pursuant of the Provisions of
section 217 (2AA) of the Companies Act, 1956, forming part of the
Director's Report for the year ended 31st March, 2012.
DIRECTORS CONFIRM:-
(i) That in the preparation of the annual accounts, the applicable
accounting standards policy.
(ii)That the Director have elected 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 2011-12 and of the
profit/loss of the Company for that period.
(iii)That the Directors have 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 & detecting fraud and other irregularities.
(iv)The Directors have prepared the annual accounts on a going concern
basis.
7. SICKNESS OF THE COMPANY
Pursuant to the provisions of 3 (1) (o) of the Sick Industrial
Companies (Special Provisions) Amendment Act, 1993, your Company had
become sick industrial company since at the end of the financial year
2003-04 the accumulated losses of the company exceeds its entire
net worth.
Therefore, pursuant to the provisions of section 15of SICA, 1985, the
Company has filled a reference to the BIFR which has been registered
vide No. 258/2003 dated 30th July, 2003 & Company declared sick by BIFR
on 30.01.2006.
8. REVIVAL OF INDUSTRIAL UNIT:-
The Promoters of the Company have taken effective steps for revival of
the industrial undertaking of the company. One time settlement
proposal was given to FI's & Banks. The settlement of dues of the FLS
and Bankers has been done before 31st March, 2008. To rehabilitate the
unit it has been planned to damage the spinning unit at khari-Ka- Lamba
of the Company based on valuation of assets. The damager will result
into Issue of equity shares by demerged unit and substantial reduction
in existing Equity shares capital of the company.
The scheme of de-merger, reduction in Equity Shares of revivst of sick
industrial undertaking and scheme for making the net worth positive of
the company has been submitted to the Hon'ble BIFR for its approval.
The Hon'ble BIFR has approved the scheme accordingly Spinning Unit at
Khari-Ka-Lamba has been demerged from SSIL and merged into M/s Suzuki
Textile Ltd.,(STL) and assets and liabilities as per the scheme
transferred to STL in the accounting the year 2009-2010. After making
the adjustment & provisions of the scheme the net worth become the
positive. The re-listing of the shares are in the process. The
implementation of the scheme is under process.
9. OBSERVATION IN AUDITORS REPORT:-
The qualifications & observations by auditors have been explained in
notes on accounts. After demerger revival suitable steps will be taken
to complete with the observation of auditors.
10. PERSONNEL/INDUSTRIAL RELATION :-
During the year under review, employees were not retired in view of
closure of unit of the Company.
There was no employee drawing remuneration in excess of limit
prescribed under section 217 (2A) of the companies Act, 1956 read with
the companies (particulars of employees) Amendment Rules, 1999.
11. PARTICULARS OF ENERGY CONSERVATION, TECHNOLOGY ABSORPTION AND
FOREIGN EXCHANGE EARNINGS AND OUTGO,
As required by the Companies (Disclosure of particulars in the report
of Board of Directors) Rules, 1988, the relevant data pertaining to
energy conservation, technology absorption and foreign exchange
earnings and outgo are given in Annexure I forming part of this report.
12. REPORT ON CORPORATE GOVERNANCE .
Pursuant to clause 49 & 51 of the Listing Agreement entered into with
the Stock Exchange, the information's pertaining to Report on Corporate
Governance are given in Annexure II forming part of this report.
13. DEMATERIALIZATION OF SECURITIES OF THE COMPANY.
M/s. Big share Services Pvt. Ltd., Mumbai is working as Registrar for
electronic connectivity with both the Depositories and 42.31% equity
shares of the Company have already been dematerialized till 31st March,
2012 through National Securities Depository Limited (NSDL) and Central
Depository Services (India) Limited (CDSL).
14. ACKNOWLEDGEMENT
Your Directors take this opportunity to express their sincere for the
continued financial support and valuable guidance and assistance
provided by the various departments or Central and State Governments,
Financial Institutions, Bankers and business constituents during the
year under review.
For and on behalf of the Board
B. S. Sacheti
Chairman-cum-Managing Director
Place: Jaipur
Date: 31st May, 2012
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