| a) (i) During the year, the Company has not issued or brought back
Equity shares
(ii) During the year the Company has issued 10% Non Comulatiive Non
Convertible Reedemable Prererence shares on Dt. 30.09.2014.
b) The holders of the equity shares are entitled to receive dividends
as declared from time to time, and are entitled to vote at meetings of
the Company.
c) There are no holding or subsidiary companies of the Company.
d) Following shareholders held more than 5% of the total Equity &
Preference shares in the Company
(iii) Following is the reconciliation of number of shares outstanding
as at the beginning of the year and end of the year
DISCLOSURES REGARDING LONG TERM BORROWINGS
a) The term loan is secured against First pari passu charge by way of
hypothecation and mortage over entire present & future movable &
immovable fixed assets of the company
b) The loan is further secured by exclusive charge by way of mortage
over the immovable property at 10-11, Masjid Moth G.K.-II New Delhi
owned by M/s Pace Enterprises Pvt. Ltd. & M/s Cambridge Construction (
Delhi ) Ltd.
c) The total amount of borrowing has been invested in 6.5% Non
Convertible Cumulative Redeemable Preference shares (CRPS ) of M/s
Monnet Ispat & Energy Ltd. @ Rs.100/- per Share which have been pledged
with the bank alongwith all rights associated with CRPS..
d) The loan is further secured by personal guarantee of Sh. Sandeep
Jajodia and corporate guarantee of M/s Pace Enterprises Pvt. Ltd. & M/s
Cambridge Construction ( Delhi ) Ltd.
e) The loan is repayable in 3 equal installment payable at the end of
3th, 4th & 5th years from the date of disbursement. The loan is
carrying interest rate is 12.25 %.
f) There has been no continuing default on the balance sheet date in
repayment of loan and interest.
a) Non-Current Investments have been valued considering the Significant
Accounting Policy No.5 disclosed in Note No. 1 to these financial
statement.
b) Figures in bracket represent previous year figures.
OTHER NOTES ON ACCOUNTS
1. Balance confirmations have not been received from some of the
parties showing debit/credit balances.
2. The company has accounted for retirement benefit of employees on
accrual basis calculated on arithmetical basis based on last drawn
salaries which is considered sufficient by the management for
compliance of Accounting Standard AS-15.
3. The Company, has during the year not received any information from
any vendor regarding their status being registered under Micro, Small
and Medium Enterprises Development Act, 2006. Based on the above,
disclosures, if any, relating to amounts unpaid as at the period end
along with interest paid / payable have not been given.
4. In the opinion of the Board and to the best of their knowledge and
belief, the value on realization of loans, advances & other current
assets in the ordinary course of business will not be less than the
amount at which they are stated in the Balance Sheet.
5. Deferred tax asset has not been recognized in terms of AS 22
issued by ICAI by adopting the conservative approach in respect of
ascertained profitability in the future years.
6. Depreciation and Amortization on tangible and intangible fixed
assets: the Company was hitherto charging depreciation on Written Down
Value (WDV) at the rates provided in Schedule XIV of the Companies Act,
1956. In the current year, the Company has reassessed the useful life
of assets, and adopted the useful life as provided in Schedule II of
the Companies Act, 2013.
Consequent to change of useful life as above, an amount of
Rs.88,22,928/- representing WDV of those assets whose useful life had
already expired as on 1st April, 2014 has been adjusted against the
Surplus in Schedule 3, Reserves & Surplus.
Had there been no change, depreciation charge for the year would have
been higher by Rs.1412150/- and profit for the year would have been
lower by the same amount.
7. The accumulated losses of the company as on 31st March 2015 exceeds
its Paid Up Capital & Free Reserves. Since the net worth of the company
have become negative, it is a Sick Industrial Unit. Suitable steps shall
be taken in current financial year in this connection. In view of
uncertainty, the financial statements of the company have been prepared
on Going Concern Basis.
8. Segmental Reporting:
The business activity of the company falls within one broad business
segment viz "Ferro Magnese" and substantially sale of the product is
within the country. The Gross income and profit from the other segment
is below the norms prescribed in AS-17 of The Institute of Chartered
Accountants of India. Hence the disclosure requirement of Accounting
Standard 17 of "Segment Reporting" issued by the Institute of Chartered
Accountants of India is not considered applicable.
9. To comply with the guidance note on "Accounting Treatment of
Excise Duty" issued by Institute of Chartered Accountants of India,
excise duty amounting to Rs.15,83,356/- (previous year Nil ) has been
included in the value of inventories as on 31.03.2015 and the
corresponding amount of Excise Duty payable has been included in other
liabilities. However, this accounting policy has no impact on the
profit for the year.
10. Related Party Disclosures:
In accordance with the Accounting Standards (AS-18) on Related Party
Disclosures, where control exists and where key management personnel
are able to exercise significant influence and, where transactions have
taken place during the year, alongwith description of relationship as
identified, are given below:-
11. Earning per share (EPS)-The numerators and denominators used to
calculate Basic and Diluted Earning per share :
12. Previous year figures have been regrouped or recasted wherever
necessary.
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