ASIAN TRACTORS LIMITED
Your Directors submit their Report and Audited Accounts for the year ended
31st March 1995.
The financial results of the company for the year 94-95 had not been bright
owing to the non availability of funds needed to re- orient the company's
product. During the year Company has treated Rs. 38.97 lakhs, the amount
of expenditure in excess of receipts, as Deferred revenue expenditure.
STATUS OF THE PROJECT
The Research and Development efforts taken by the company have resulted in
the completion of the 35 HP model tractor with the modular transmission
The management was planning to start the commercial production of the new
model during the year 95-96, but this may also be not possible due to the
non-availability of the funds needed. However, the management is committed
and is continuously trying to arrange the required funds. The production
can be started within 3 months from the time the funds needed are available
to the company.
The Tractor Industry is now witnessing various collaborations, by existing
and new manufacturer and the introduction of latest technology available in
the world into India. This had necessitated our company too looking for
partners from various parts of the world, as indicated in the previous
report and is now hoping to finalise a collaboration with an Italian
Power generation is a core Industry in any country and with the Economic
Reforms and Industrial Liberalisation the Industrial production and profits
have been taking a big leap. New Industries have been coming in increasing
the gap between the power needed and the power available. In Karnataka
alone according to the premier KPCL the gap during 96-97 is going to be
The Management thought it is the right time to capitalise on the available
land and infrastructure of the company to right use and has negotiated with
an American company for a Joint Venture in the power Project with capacity
to generate 40MW. The Government of Karnataka has been favourable in this
regard. The management is hoping to announce positive developments and
concrete proposals during the general meeting.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE EARNINGS
Information Under Section 217(1)(e) of the Companies Act, 1956 read with
Companies (Disclosure of Particulars in the Report of Directors) Rules,
1988 are given in Annexure-I and are forming part of the Directors' Report
for the year ended 31st March, 1995.
PARTICULARS OF EMPLOYEES
Information as per Section 217(2A) of the Companies Act, 1956, read with
the Companies (Particulars of Employees) Rules, 1975 and forming part of
the Directors' Report for the year ended 31st March, 1995, has been
provided as an Annexure to the Annual Report.
The Company has not accepted any deposit from Public.
Mr. R. Rao, Mr. I.R. Menon and Mr. Harigopal retire by rotation and being
eligible offer themselves for re-appointment.
During the year Mr. B.R.S. Murthy and Mr. Randhir Singh have resigned. The
board records it's appreciation of their invaluable contribution to your
M/s. S.R.R.K. Sharma Associates, retire and are eligible for re-
Replies to observations made by Auditors are as under:-
The bad debts in respect of advances are being evaluated. The company has
internal control procedures but it was not put to use this year since there
was no operation.
Since there was no operation the internal audit was not adopted.
The difference of 1.26 lacs in SBI secured loans is shown as claims not
acknowledged as debts (Ref point 1 of Notes on account).
Your Directors acknowledge with gratitude the co-operation and assistance
received from Central Government, State Government, Bankers, Dealers,
Customers, Solicitors, Internal Auditors, Statutory Auditors and Investors.
Your Directors also wish to place on record their appreciation for
dedicated and sincere services rendered by the Executives, Staff and
Workmen at all levels.
ANNEXURE TO DIRECTORS' REPORT
Information pursuant to Section 217(1)(e) of the Companies Act, 1956:
(A) CONSERVATION OF ENERGY
(i) The company's plant is not energy intensive.
(ii) No additional investment is proposed.
(iii) The impact of energy conservation will be minimal, since the plant is
not energy intensive.
(B) TECHNOLOGY ABSORPTION: RESEARCH & DEVELOPMENT (R & D)
(i) The Company has been successful in indigenising a known-how and
developed its own 35 HP Tractor.
(ii) The development activities continue to receive high priority with
regard to design / drawings and efficient use of materials, with special
emphasis on the development of fuel efficient tractors.
TECHNOLOGY ABSORPTION, ADAPTATION AND INNOVATION
The Technical Known-how and designs obtained from our German collaborator
have been fully absorbed and totally indigenised. Continued efforts are
being made to develop further models for various other applications.
FOREIGN EXCHANGE EARNINGS AND OUTGO NIL
M.C. SATYANARAYNA KESHAV CHANDER
MANAGING DIRECTOR DIRECTOR
Dated: 28th November, 1995.