| The Directors presented to the members the Annual Report together with
the Statement of Accounts of the Company for the year ended
31st March, 2002 and the Auditor Reports thereon.
FINANCIAL HIGHLIGHTS
Rs.in Lacs
March 31,2002 March 31,2001
TURNOVER 39.09 117.64
OTHER INCOME 16.19 17.60
ACCRETION(+)/DECRETION(-)TO STOCK (+) 2.83 (+) 16.46
GROSS PROFIT 6.36 7.10
DEPRECIATION 6.25 6.90
PROFIT BEFORE TAX 0.11 0.20
PROVISION FOR TAX 0.01 0.02
PROFIT AFTER TAX
BALANCE BROUGHT FORWARD FROM
PREVIOUS YEAR 120.91 120.73
TRANSFER TO GENERAL RESERVE
BALANCE CARRIED FORWARD 121.01 120.91
PERFORMANCE
During the period under review, the economic activities in the Country
slowed down to a state of stagnancy. Marked fall in the scale of
operations of industries consuming the products of your Company caused
reduction of orders placed on your Company, resulting in lower
capacity utilisation and substantial All in production and turnover.
Secondly, the price of indigenous coal fixed by the Government
continues to be high resulting in increase in the cost of production.
In a highly competitive market situation, your Company is unable to
pass on adverse impact on the cost of production to the customer and is
forced to absorb the impact to a large extent causing erosion of
margin. Thirdly; taking advantage of the Governments policy of import
liberalisation several Countries are dumping Coal & Coke at cheaper
rate. Your Company is faced with stiff and uneven competition from the
imported Coal & Coke. The cumulative effect of all these factors has
taken a heavy toll on the profit of the Company.
FINANACE & MANAGEMENT
As a part of its prudent resource management, the Company has not
availed of the loan facility of Rs.90 lacs sanctioned by the Bihar
State Credit & Investment Corporation Ltd., and thus has not incurred
any interest charges. The Company also exercised strict cost control in
all areas.
DIVIDEND
As a part of the poor trading results of the Company during the year
under review your Directors are of the view that it would not be
prudent to recommend any dividend for the year ended 31st March, 2002.
PUBLIC ISSUE OF EQUITY SHARES
Calls receivable as on 31st March, 2002 remained unchanged at Rs.
16,41,508.00.
FUTURE PROSPECTS
Your Directors fervently hope that in the near future the economic and
industrial situation in the country will improve and the government
will take suitable policy for distribution, pricing and protection for
supply of indigenous coal which will benefit your companies operations.
FIXED DEPOSITS
During the year under report, the company has not accepted any fixed
deposits under the Companies (Acceptance of Deposits) Rules, 1975 from
the shareholders and the public. As on the date of this report, there
is, therefore, no matured and /or unclaimed deposits.
PARTICULARS OF EMPLOYEES
There are no employees in respect of whom particulars are required to
be furnished under section 217(2A) of the Companies Act, 1956. and the
rules framed thereunder.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE
EARNINGS AND OUTGO
A statement giving information regarding conservation of energy,
technology absorption and foreign exchange earnings and outgo, as
required under section 217(1)(c) of the Companies Act, 1956 is annexed
hereto and forms part of this Report.
DIRECTORS RESPONSIBILITY STATEMENT
Your Directors Confirm :
(i) that in the preparation of annual accounts, applicable Accounting
Standards have been followed;
(ii) that the Directors have selected such accounting policies and
applied them consistently end made judgements 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 of the
profit 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 the Companies Act, 1956, for safeguarding the assets of
the company and for preventing and detecting fraud and other
irregularities; and
(iv) that the Directors have prepared the annual accounts on a going
concern basis.
AUDITORS
The term of office of the companies Auditors. R. K Patnia & Co.,
Chartered Accountants. 1st Floor, Rathore Mansion. Bank More. Dhanbad
826 001 will expire at the conclusion of the ensuing Annual General
Meeting and they, being eligible offer themselves for reappointment.
They have furnished a certificate to the effect that the proposed
re-appointment, if made, will be in accordance with section 224 (IB)
of the Act.
ACKNOWLEDGEMENT
Your Directors are pleased to place on record their thanks to the
companies shareholders, customers, bankers and nil other benefactors of
the company. Your Directors also wish to place on record their
appreciation for the devoted service rendered by the employees of the
company.
ANNEXURE TO DIRECTORS REPORT
INFORMATION UNDER SEC.217(i) (e) OF THE COMPANIES ACT, 1956 READ WITH
COMPANIES (DISCLOSURE OF PARTICULARS IN THE REPORT OF BOARD OF
DIRECTORS) RULE 1988, FORMING PART OF THE DIRECTORS REPORT FOR THE YEAR
ENDED 31st MARCH, 2002
(A) CONSERVATION OF ENERGY
(a) Energy conservation measures taken : The Coal Washery Plant has
been in operation since 8th November 1994. But due to inadequate and
irregular supply of coal, it has not so far beta possible to operate
at its optimum capacity. Measures for energy conservation will be taken
when the Washery will operate at the optimum capacity. The Company does
not envisage any measure to be taken at this stage.
(b) Additional investment & Proposals, if any. being implemented for
reduction of consumption of energy : Further investment at present not
required.
(c) Impact of the measures at (a) & (b) above for reduction of energy
consumption and consequent impact on the cost of production of the
goods : The measures required, if any, will be considered in due course
of time and efforts for reduction of energy consumption and cost of
production will be made.
(d) Total energy consumption and energy consumption per unit of
production as per Form A : Not applicable as the company is not a
specified industry as per schedule
(B) TECHNOLOGY ABSORPTION
I. (i) RESEARCH AND DEVELOPMENT : The company is continuously engaged
in R & D activities and taking all care and steps to see the¯i there is
minimum wastage of raw materials and power, for protecting the
environment.
(ii) TECHNOLOGY ABSORPTION, ADOPTION & INNOVATION : The latest
technology has been / is being adopted in various ways for improving
productivity and product quality and reducing the consumption of scarce
raw materials and energy.
2. The Company has set up facilities for the manufacture of Washed Coal
based on latest non polluting technology from Derek Parnaby Cyclones
International Ltd., U.K. it has multifarious advantages. The technology
has been adopted and absorbed in the process of manufacturing Washed
Coal.
(C) FOREIGN EXCHANGE EARNINGS & OUTGO
The information on foreign exchange earnings & outgo : NIL
Place : Kolkata BY ORDER OF THE BOARD
Dated : The 22nd day of July, 2002. J. N. GUPTA S. N. SHARMA
Director Director | 