FICON LEASE AND FINANCE LIMITED
ANNUAL REPORT 2007-2008
The Directors' present the Fourteenth Annual report on the business and
operations of your Company for the year 2007-2008.
FINANCIAL RESULTS AND OPERATIONAL REVIEW:
(a) Financial Performance:
During the year under review the total income from operations was Rs.12.68
Lacs as compared to Rs. 14.92 Lacs of that of the previous Year. The
Company has not provided any amount as depreciation. After making provision
for current year income tax and after taking into account the current year
net profit and total provisions for taxation, the surplus carried to
Balance Sheet is Rs.462.66 Lacs; the management has nothing to say much
about the activities of the company. Right now various options are being
explored and appropriate decision will be. taken as early as possible to
fully activate the company.
(b) Change of Line of Business and Change of name of the Company:
As the shareholders were aware that the company was carrying on financial
activities, however the Company could not fare well since last so many
years. In the fast changing Business and economic environment, it was
imperative for every company to keep examining various opportunities and
different businesses to ensure growth momentum and maximization of
shareholders value. Your Directors were considering various proposals to
change into the new line of business ventures and i.e. building,
constructions, infrastructures and related activities.
Accordingly, the Company has also got the name 'GALLOPS ENTERPRISES
LIMITED'. as available for change of name. Since the above amendment comes
within the ambit of section 17 of the Companies Act, 1956, your approval
sought under the provisions of section 192A of the said Act read with the
provisions of the Companies Act, 1956. The Company has also informed the
office of the Reserve Bank of India, Ahmedabad for change of line of
business and surrender of Certification of Registration as NBFC for
cancellation and surrender of Certificate of Registration (as NBFC) under
Section 451 and 451A of the Reserve Bank of India, 1934.
PARTICULARS OF EMPLOYEES:
There is no employee having remuneration with the provisions of section
217(2A) of the companies Act, 1956 read with the companies (Particulars of
employee) Rules, 1975 as amended.
In terms of Articles 125, 126 of the Articles of Association of the
Company, Mr. Naman Vyas and Mr. Riken Patel, Directors of the Company,
retire by rotation and being eligible, offer herself for reappointment at
the ensuing Annual General Meeting. Moreover, Mr. Varun Naginbhai Patel,
Mr. Narsinhbhai Ganpatbhai. Patel, Mr. Dakshesh Ramesh Shah and Mr.
Naginbhai Ganpatbhai Patel, who had been appointed as the Additional
Directors of the Company pursuant to section 260 of the Companies Act.1956,
to hold the office up to the conclusion of this Annual General Meeting, and
eligible to be appointed as Director of the Company u/s 255, 256 and 257 of
the Companies Act, 1956. It was recommended to appoint them as Directors of
the company whose term of office liable to determination for retire by
rotation. Moreover, Mr. Satyendra Krishandeo Jha, Director of the Company
has tendered his resignation on 28th April, 2008 which has been approved by
the Board of Directors at their meeting held on 28th April, 2008.
MANAGEMENT DISCUSSION AND ANALYSIS:
1) INDUSTRY STRUCTURE & DEVELOPMENT:
With the improvement in primary market sentiment and also vastly improved
secondary market. the investment climate in the country leaves the
Management with much scope for new business activities in the future.
2) OPPORTUNITIES & THREATS, RISKS & CONCERNS AND BUSINESS OUTLOOK:
The Capital Market is expected to continue its upward trend. Consequently,
the Management will explore opportunities in Trading in securities and
other related activities.
3) INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY:
The internal control system followed by the Company is considered adequate
reviewing the operations of the Company regularly. The recommendations made
by Audit Committee are reviewed and monitored towards its successful
4) HUMAN RESOURCES:
The company is managed by a professional team under the guidance of the
Managing Director. Frequent meetings are arranged to upgrade the knowledge
of the employees and to strengthen their managerial capabilities.
In view of losses, your Directors do not recommend any dividend during the
The Company has not accepted any deposit from the public during the year.
As required u/s 217(2AA) of the Companies Act, 1956 your Director confirms
that in the preparation of the annual accounts:
The applicable accounting standards have been followed along with proper
explanation relating to material. departures.
Such accounting policies have been selected and applied consistently and
reasonable and prudent judgments and estimates made, 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 the profit/loss of the company for that period.
Proper and sufficient care has been taken for the maintenance of the
adequate accounting records in accordance with provisions of this act for
safeguarding the assets of the company and for preventing and detecting
fraud and other irregularities.
The annual accounts have been prepared on a going concern basis.
APPOINTMENT OF AUDITORS:
M/S P. DOSHI & ASSOCIATES, Chartered Accountants the retiring auditors
being eligible offer themselves for re-appointment. Members are requested
to appoint them as auditors of the company.
MANAGEMENT DISCUSSION AND ANALYSIS:
Management discussion and analysis Report, pursuant to Clause 49 of the
Stock Exchange Listing agreement, forms part of this Report and the same is
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE:
As required under rule 3 of the companies (Disclosure of Particulars in the
report of Board of Directors) Rules 1998, the particulars relating to the
conservation of energy, Technology absorption, and the foreign exchange
earnings and outgo are also Nil.
REPORT ON CORPORATE GOVERNANCE:
A separate Report on Corporate Governance along with Certificate from
Auditors on its compliance as annexed hereto.
Your Company is engaged in a single segment only.
The management is grateful to the government authorities, Bankers, Vendors
for their continued assistance and co-operation. The directors also wish to
place on record the confidence of members in the company.
FOR AND ON BEHALF OF THE COMPANY
BARTHIBEN BHANUPRASAD BATEL
Date : 12.06.2008