ANNUAL REPORT 1998-99
CRYSTAL CREDITS CORPORATION LIMITED
Dear Share Holders,
The Directors have pleasure in presenting the Seventh Annual Report of
CRYSTAL CREDITS CORPORATION LTD, together with Audited Statements of
Accounts for the year ended 31st March, 1999.
During the year under review, your Corporation showed a satisfactory
performance despite adverse market and Economic Condition in the Country,
consequently there is decrease in the profit before depreciation and
taxation. The profits after depreciation & Taxation is lower than previous
year. However your Directors assure better results in the years to come.
We believe in the Darwinism i.e. survival of the fittest. Despite the
depressed financial markets in the country, your corporation is performing
well. The corporation has managed to survive in this period due to over
regulating the NBFC like compulsory linkage of quantum of deposits with
credit rating, strict provisioning norms etc, the already depressed
financial markets, which are affected due to bad state of Indian economy
are at the lowest ebb. The NBFC are struggling to survive in this bad
period of business cycle. Your Directors take this opportunity to
appreciate good team work and sincere efforts of all the employees who have
struggled very hard to upheld profitability of the corporation. The
corporations very confident to come back with flying colours, once
financial sector improves.
The corporation is carrying out both fund based and non-fund based
activities. The financial results as stated above, reflect decline in
profitability. This is due to depressed markets. The corporation has
maintained its operating base and once the market improves, the corporation
will retain its profitability.
The corporation has maintained its operating base and has survived in the
bad times. In the coming months, the corporation intends to concentrate to
maintain its existing base and to venture into the area of financing agro
The Indian economy is primarily agro based, despite this agro based
industries are almost neglected. The corporation has good number of
clientage in the state of Uttarakhand, Uttar Pradesh, Madhya Pradesh,
Haryana, Himachal Pradesh and with this operating base is planning to
concentrate on fund and non fund based activities in agro based industries.
At the end of financial year under review, your Corporation has net Fixed
Deposits Funds worth Rs.679.29 lacs (Previous Year Rs.1503.86 lacs). The
Corporation has concentrated on maintaining liquidity of funds through
recoveries of loans, advances, lease rent and hire purchase installments
etc, instead of concentrating on higher deposits mobilisation. The
Corporation is regularly rating its assets and deposits portfolio and
accordingly making all efforts for its improvement under the present set of
Government rules and regulation, the corporation is reducing its public
deposit portfolio and replacing by ICDs, corporate/AoP deposits & secured
NCDs. The Directors are pleased to inform that there were no overdue
deposits as on 31st March, 1999.
Dr.D.D. Tiwari, Director who retires at this Annual General Meeting and
being eligible offers himself for reappointment. The Board of Directors
recommend the appointment of Dr.D.D.Tiwari as Directors for your approval.
The Notes on Accounts are self explanatory and therefore, do no call for
any further comments under section 217(3) of the Companies Act, 1956.
M/s. U. Shankar & Associates, Chartered Accountants, Statutory Auditors of
the corporation will retire at the conclusion of ensuing Annual General
Meeting being eligible, have expressed their willingness for reappointment,
if made, will be within the limits laid down under Section 224(1B) of the
Companies Act, 1956.
ADDITIONAL INFORMATION REQUIRED UNDER THE COMPANIES (DISCLOSURE OF
PARTICULARS IN THE REPORT OF THE BOARD OF DIRECTORS) RULES, 1988 U/S
217(1)(e) OF THE COMPANIES ACT, 1956.
Your Corporation, being a registered NBFC, not having any manufacturing
activities as such the disclosure of information with regard to absorption
of technology, and Energy Conservation is not warranted. The corporation
has been granted full fledged money changers (FFMC) licence by Reserve Bank
of India, which was renewed for the year 1998-99. Notwithstanding, in
possession of FFMC licence the, corporation has not done any transaction
involving any foreign exchange. There has been no Foreign Exchange outgo
and earning by Corporation.
PARTICULARS OF EMPLOYEES
Information pursuant to the provisions of Section 217(2A) of the Companies
Act, 1956 as amended upto date is annexed hereto.
The Directors place on record their appreciation for the co-operation
extended by the Bankers to the Corporation and all other agencies including
Government and local authorities for their continuous support for the
progress of the Corporation. We also place on record our appreciation for
the efforts and services rendered by the employees of the Corporation.
We on behalf of the Board express gratitude to the Share holders and
Depositors for their confidence reposed in the progress of the Corporation.
For and on behalf of the Board of Directors
CRYSTAL CREDITS CORPORATION LIMITED
Place : New Delhi (DR.D.D.TIWARI) (DR.M.PATHAK)
Date : 05.08.1999 DIRECTOR MANAGING DIRECTOR