AASHEESH SECURITIES LIMITED
ANNUAL REPORT 2009-2010
Your Directors have pleasure in presenting the Fifteenth Annual Report
alongwith Audited Accounts for the year ended on 31st March, 2010.
The Financial Results for the year ended on March 31, 2010 are as under:
Total Income 8,640.00
Less : Total Expenses 71,890.00
Loss before Tax 63,250.00
Loss after Tax 63,250.00
As conveyed earlier, the company's operations remained suspended during the
year on account of very precarious financial position. The costs have been
reduced to the extent possible so as to check the losses being incurred by
the company. The company being a listed company, the statutory compliances
require maintenance of basic records for which minimal staff is being
maintained and overhead expenses are minimised to the extent possible.
As reported earlier, some sub-brokers/clients of the company had defaulted
in making payment of their dues to the company. In all such cases where
legal proceedings were considered useful for recovery, cases had been filed
against such parties, which are at advance stages of proceedings in the
Courts. There has not been any progress in the matter of recovery of inter-
corporate deposit made by the company.The company is saddled with large
amount of debtors. All out efforts so far made by the company to realise
the money have remained futile. In the meantime, as advised by the
auditors, debtors amounting to Rs.1,70, 87, 831.51 have been considered
doubtful and had accordingly been written off during the previous year.
As reported earlier, a search was carried out by the Income Tax Department
on 15.12.1999 in the Corporate Office of the Company at Delhi. The block
assessment proceedings had been completed by the Dy. Commissioner of
Income-tax wherein adhoc additions have been made on the basis of
loose, rough sheets seized at the time of search and on the basis of such
additions a demand of Rs. 1,63,06,964/- had been created against the
company. The company had filed appeal against the said Order before ITAT
and the matter has been remanded back to CIT (Appeals). In the meantime,
the Income-tax authorities had attached the debtors of the company to
recover their dues. This has led to virtual no recovery from the debtors of
In view of losses incurred during the year, your Directors feel their
inability in declaring any dividend for the period under review.
As reported earlier, your company had disposed off the assets of the
company to augment resources for retiring some of the liabilities of the
company and consequently the financial position of the company is very
precarious and the company is finding it very difficult to even meet out
its statutory obligations of payment of listing fee etc. In view of
financial stringency, no new business activity could be taken-up during the
Shri B.K.Jha, retires by rotation at the ensuing Annual General Meeting and
being eligible, offers himself for reappointment.
The Company's Auditors M/s. Atul Kumar Gupta & Co., Chartered Accountants,
retire at the conclusion of the ensuing Annual General Meeting and are
eligible for reappointment.
DIRECTORS' RESPONSIBILITY STATEMENT
In terms of provisions of Section 217(2AA) of the Companies Act,1956, your
Directors confirm as under:-
1. That in the preparation of Annual Accounts, the applicable accounting
standards have been followed alongwith proper explanation relating to
2. That the accounting policies selected and applied are consistent and the
judgements and estimates made 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 loss of the Company for that period;
3. That proper and sufficient care has been taken 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;
4. That the annual accounts have been prepared on a going concern basis.
Pursuant to Clause 49 of the Listing Agreement, a report on Corporate
Governance alongwith a certificate from the auditors of the company is
given as Annexure to this Report.
LOANS/ADVANCES AND INVESTMENT
The Company nor any of its associates has made any investment in company's
shares and no loan and advance in the nature of loan has been made to any
DELISTING OF COMPANY'S SHARES
As reported earlier, requests had been made for delisting of the shares of
the company to Ludhiana and Jaipur Stock Exchanges. It may be noted that
ever since the shares of the company had been got listed at both these
Stock Exchanges, there had hardly been any transaction in its shares at
these Stock Exchanges. As approved by the members last year, application
had been made for delisting of the company's shares from the Delhi Stock
Exchange. Even after delisting, company's shares will continue to be listed
at Mumbai Stock Exchange, whose address is given hereunder. The company has
always been regular in complying with the provisions of the listing
agreement. The listing fee could not be paid to both Delhi and Mumbai Stock
Exchange in time.
PARTICULARS OF EMPLOYEES
No employee is covered under section 217(2A) of the Companies Act, 1956
read with the Companies (Particulars of Employees) Rules, 1975.
The Provisions relating to the conservation of energy and technology
absorption as required to be disclosed under Section 217(1)(e) of the
Companies Act, 1956 do not apply to the company. The company had no foreign
exchange earning/outgo during the year under review.
The Company has not accepted any deposits from the Public during the year.
Your Directors wish to place on record their appreciation for the
cooperation and support extended by the Bankers, shareholders & members of
the staff at all levels.
By order of the Board
For Aasheesh Securities Limited
Dated: 31st May,2010.