| 1. BACKGROUND:
1 The company is a public limited company and is engaged in the business
of buying/ selling and trading of industrial chemicals and salt and
acting as agents for chemical business. The Company is also engaged in
the business of providing warehousing services.
2.1 The Company has neither received any intimation from its vendors
regarding their "statu under the Macro, Small and Medium
Enterprises Development Act, 2006 nor there has been any claim made for
interest by the said enterprises, if any and hence the disclosure,
under the said Act has not been made.
2.2 One of the Shareholders of the Company had filed a petition in the
High Court of Kolkata making Company as of the defendants inter-alia
praying for resi_ vining the Company from transferring the shares of the
Company disposing its immovable property at Thane, Mumbai, in response
to which the Hon. High Court passed an
Ad Interim Order" restraining the Company from transferring the shares
and disposing the said property, the same, the Company had filed appeal
in Calcutta High Court Civil Appellate and received an order in favors
of the Company. The said shareholder has filed a Special Leave Petition
against the Order of the Hon. Calcutta Court Civil Appellate with the
Hon. Supreme Court of India before whom the said matter is pending
hearing and disposal
In the meantime, the Company has been directed by the Hon. Supreme
Court to maintain a status-quo in respect of its immovable property at
Thane
2.2 Confirmation of balance from debtors, parties to whom deposits,
loans are given and/or received and from has not been obtained.
2.3 xhe Company is contingently liable in respect of sales tax demand
for the period 1st April, 2000 to 12th December, 2000, the amount
whereof is not known pending notice of demand from the Sales Tax
Authorities.
2.4 No provision has been made for accruing gratuity liability and
accruing leave salary payable to employee, as the company charges the
same in the year of payment Such unprovoked liability has not been
ascertained.
2.5 Provision has not been made in the accounts:
(a) For fall in value of unquoted investments, if any, amounts whereof
are not ascertained.
(b) For fall in value of quoted investments the amounts whereof are not
ascertainable.
(c) For water charges of Rs. 7,30,060 for past years as the same are
disputed by the Company (Previous Year Rs. 7,30,060).
(d) For doubtful debts aggregating to Rs. 3,335,734/ -(Previous Year
Rs.11,545,610/-)
2.6 Since trading in Company's security, i.e. equity shares continues
to be suspended on Bombay Stock Exchange, it not complied with certain
regulatory requirements of the Listing Agreement with the Stock
Exchange and certain applicable requirements of Security Exchange Board
of India (SEBI)
2.7 Certain old and obsolete Fixed Assets Plant & Machinery,
Electrical Installation, Lab Equipments having an aggregate book value
of Rs.12,539/- which had been retired from active use long ago shown
separately as "Retired Fixed Assets" during earlier years in accordance
with AS-10 "Accounting for Fixed Assets" have been written off during
the year.
No depreciation has been provided in respect of the above mentioned
assets as they have been depreciated up to
2.8 Certain vehicles purchased by the company having aggregate value
of Rs. 5,735,517/- are held in the name of the director's of the
Company. The Company has obtained loans from banks against
hypothecation of the said vehicles.
2.9 The Company doesnot have possession of certain investments having
aggregate book value of Rs.2,028,294/-.
inuiks:
1 "The Company has disclosed the above business segments as the primary
segment.
2 In the opinion of the management, there is no geographical segment.
3 The Company does not have adequate information as regards direct and
indirect costs and expenses as also assets employed and attributable
liabilities attributable to warehousing income and hence, the same have
not been shown
3 The Revised Schedule VI has become effective from 1 April, 2011 for
the preparation of financial statements. This has significantly impacted
die disclosure and presentation nude in the financial statements. Previous year's figures have been regrouped / reclassified wherever necessary to correspond with the current year's classification / disclosure.
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