To the Members
The Directors have pleasure in presenting the Seventy Fifth Annual Report along withthe Audited Accounts of the Company for the year ended 31st March 2017.
|Particulars || |
| ||Year ended 31-03-2017 ||Year ended 31-03-2016 ||Year ended 31-03-2017 ||Year ended 31-03-2016 |
| ||Rs. ||Rs. ||Rs. ||Rs. |
|Revenue from Operations ||1151605970 ||1348343593 ||956284937 ||997548858 |
|Other Income ||97652367 ||9410000 ||97649084 ||9403730 |
|Total Income ||1249258337 ||1357753593 ||1053934021 ||1006952588 |
|PBDIT ||(36048243) ||(42085753) ||(11811950) ||(9011729) |
|Interest and Finance Expenses ||734497147 ||626268833 ||734207808 ||625639020 |
|PBDT ||(770545390) ||(668354586) ||(746019758) ||(634650749) |
|Depreciation ||136719660 ||137721708 ||136649837 ||137584431 |
|PBT ||(907265050) ||(806076294) ||(882669595) ||(772235179) |
|Less: Deferred Tax Liability/(Asset) ||- ||- ||- ||- |
|Profit After Tax (PAT) ||(907265050) ||(806076294) ||(882669595) ||(772235179) |
|Profit transferred to Reserves ||(907265050) ||(806076294) ||(882669595) ||(772235179) |
OPERATING AND FINANCIAL PERFORMANCE
The revenue from operations for the year has been ' 9562.85 Lakh as against ' 9975.49Lakh in the previous year. Revenue from operations affected due to continued stiffcompetition in the textile market and recessionary trend. The Company also operated atlower capacity utilization due to shortage of working capital which has also impacted theprofitability of the Company for the year. Production cost also pushed up due toexorbitant increase in power and other input cost. Your Company has taken several remedialsteps to meet the challenges viz. measures in saving cost at all front of operationsoptimize use of available resources etc. In absence of profits your directors are unableto declare any dividend for the year under review.
CHANGE IN NATURE OF BUSINESS
There is no change in the nature of business of the Company
TRANSFER OF AMOUNT TO RESERVE
The Company does not propose to transfer any amount to reserves.
TRAINING UNDER INTEGRATED SKILL DEVELOPMENT SCHEME OF GOVERNMENT OF INDIA
As reported last year the company has been selected as training partner under"Integrated Skill Development scheme of the Ministry of Textiles Government of Indiafor imparting training to 10000 school dropout and illiterate youths from all over Indiato make them skilled and also uplift them economically & socially. Accordingly duringthe year under review the company has trained 9819 persons and booked training income ofRs.91159596/- after obtaining their assessment certificates against which company hasreceived so far total amount of Rs.48500208/- till 31st March20l7 includingRs.27852300/- received during the year ended 31st March 2016. Your company has plannedto complete this project by the end of current financial year.
There has been no change in the Share Capital of the Company.
EMPLOYEE STOCK OPTIONS PLAN
The Company has not granted any stock options during the financial year ended 31stMarch 2017.
As reported last year the Company had proposed the delisting of Company's shares fromNSE in an application made to the Exchange on 10th March 2016 without givingany exit opportunity to its shareholders since the Equity Shares of the Company willcontinue to remain listed in BSE and the shareholders of the Company shall continue toavail the benefits of listing and trading on BSE.
On an application made to NSE the members of the Exchange were informed that thetrading in the equity shares of Birla Cotsyn (India) Limited shall be suspended w.e.f.March 09 2017 (i.e. w.e.f. closing hours of trading on March 08 2017) on account ofvoluntary delisting pursuant to the SEBI (Delisting of Equity Shares) Regulations 2009.The admission to dealings in securities of the said company was withdrawn (delisted)w.e.f. March 16 2017.
SUBSIDIARIES JOINT VENTURES AND ASSOCIATE COMPANIES
The Company has one wholly owned subsidiary at UAE in the name of Birla Cotsyn (India)Limited FZE which has been setup to develop the overseas market for the Company.
The Audited Accounts of the wholly owned Subsidiary Company Birla Cotsyn (India) LtdFZE for the year ended 31st March 2017 have been received by the Company and astatement pursuant to Section 129 of the Companies Act 2013 forms part of this AnnualReport. Your Directors have pleasure in enclosing the consolidated financial statements ofthe Company in accordance with the SEBI (Listing Obligations and Disclosure Requirements)Regulations 2015 and Accounting standards issued by the Institute of CharteredAccountants of India.
In compliance with the general circular issued by Ministry of Corporate Affairs (MCA)Government of India the Balance Sheet Statement of Profit & Loss and other documentsof the subsidiary are not attached hereto. As per the general exemption a statementcontaining brief financial details of the Company's subsidiary for the year ended 31stMarch 2017 is included in this Annual Report in Form AOC-1. The Annual Accounts of thesubsidiary and the related detailed information will be made available to any Member ofthe Company/its subsidiary seeking such information at any point of time and are alsoavailable for inspection by any Member of the Company/its subsidiary at the RegisteredOffice of the Company/its subsidiary.
(ii) Joint Ventures
The Company is not having any Joint Venture business and no Company has become itsJoint Venture during the year under review.
(iii) Associate Company
The Company is not having any Associate Company during the year under review.
MANAGEMENT DISCUSSION AND ANALYSIS AND CORPORATE GOVERNANCE REPORT
In compliance with Regulation 34 (2) (e) of SEBI (Listing Obligations and DisclosureRequirements) Regulations 2015 a separate section on Management Discussion and AnalysisReport which also includes further details on the state of affairs of the Company.
As per Schedule V of the SEBI (Listing Obligations and Disclosure Requirements)Regulations 2015 the Corporate Governance report as approved by the Board of Directorstogether with a certificate from the Practicing Company Secretary forms part of thisAnnual Report.
DIRECTORS RESPONSIBILITY STATEMENT.
Pursuant to Section 134 (5) of the Companies Act 2013 the Directors of the Companystate as under that:
1. In the preparation of the annual accounts the applicable Accounting Standards hadbeen followed along with proper explanation relating to material departures;
2. The selected accounting policies were applied consistently and the Directorsmade judgments and estimates that are reasonable and prudent so as to give true and fairview of the state of affairs of the Company for the financial year ended 31stMarch 2017 and the Loss of the Company for the financial year ended 31stMarch 2017;
3. Proper and sufficient care has been taken for the maintenance of adequate accountingrecords in accordance with the provisions of the Companies Act 2013 for safe guardingthe assets of the Company and for preventing and detecting fraud and other irregularities;
4. The annual accounts have been prepared on a going concern' basis;
5. Internal financial controls had been laid down to be followed by the company andthat such internal financial controls are adequate and were operating effectively; and
6. Proper systems had been devised to ensure compliance with the provisions of allapplicable laws and that such systems were adequate and operating effectively.
BOARD OF DIRECTORS AND ITS MEETINGS/ITS EVALUATION ETC. AND KEY MANAGERIAL PERSONNEL.
Company's Policy on Directors Appointment and Remuneration etc.
The Company has prepared a policy on Director's appointment and remuneration pursuantto Section 178 of the Act. The Company has also laid down criteria for determiningqualifications positive attributes and independence of Director.
Appointment/Resignation of Directors
In accordance with the provisions of the Companies Act 2013 and the Articles ofAssociation of the Company Shri Rakesh Kumar Dixit (DIN-06655663) retires by rotation atthe ensuing Annual General Meeting and being eligible offers himself for re-appointment.Accordingly his re-appointment forms part of the notice of the ensuing Annual GeneralMeeting.
Shri Sanjay Rane who was appointed as Non Executive Independent Director and Smt.Nirmala Mathur who was appointed as Non Executive Non Independent Director resigned fromthe Company w.e.f 10th August 2017 and 14th February 2017respectively.
Smt. Soni Kannojia is appointed as an Additional Director Non Executive IndependentDirector by passing circular resolution w.e.f 12th April 2017. Her Appointmentwas confirmed by the Board of Directors in the meeting held on 29th May 2017.
Code of Independent Directors-Schedule- IV
The Board has considered Code of Independent Directors as prescribed in Schedule IV ofthe Companies Act 2013.
Key Managerial Personnel
Shri Satya Kishore Mathur was re-appointed as the Manager of the Company w.e.f 29thAugust 2016 for a further period of three (3) years. Formal Annual Evaluation
The Formal Annual Evaluation has been made as follows:
a. The Company has laid down evaluation criteria separately for Board IndependentDirectors Directors other than Independent Directors and various committees of the Board.The criteria for evaluation of Directors included parameters such as willingness andcommitment to fulfill duties high level of professional ethics contribution duringmeetings and timely disclosure of all the notice/details required under various provisionsof laws. Based on such criteria the evaluation was done in a structured manner throughpeer consultation & discussion.
b. Evaluation of the Board was made by a Separate Meeting of Independent Directors heldunder Chairmanship of Shri. Satyanarayan Baheti Independent Director (without attendanceof non-Independent Director and members of management).
c. The performance evaluation of all committees were done by the Board of Directorsnamely:
i. Audit Committee
ii. Nomination and Remuneration Committee
iii. Stakeholders Relationship Committee
d. Performance evaluation of non-Independent Directors was done by Separate meeting ofIndependent Directors.
e. Evaluation of Independent Directors was done (excluding the Director who wasevaluated) by the Board of Directors of the Company.
f. In addition the Nomination and Remuneration Committee has carried out evaluation ofevery Director's performance as required under Section 178 (2) of Companies Act 2013.
g. The Directors expressed their satisfaction with the evaluation process.
The Board of Directors met on 4th April 2016 27th May 2016 10thAugust 2016 14th November 2016 14th February 2017 and 15thMarch 2017.
STATEMENT ON DECLARATION GIVEN BY INDEPENDENT DIRECTORS PURSUANT TO SECTION 149(6) OFTHE COMPANIES ACT 2013.
The Company has received declaration from all independent Directors of the Company tothe effect that they meet the criteria of Independence as stipulated u/s. 149 (6) of theAct and applicable regulations of SEBI (Listing Obligations and Disclosure Requirements)Regulations 2015.
MANAGER/CHIEF FINANCIAL OFFICER (CFO) COMPLIANCE CERTIFICATE
Certificate by the Manager and Chief Financial Officer (CFO) pursuant to Regulation17(8) of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015 for thefinancial year ended 31st March 2017 is provided in "Annexure A" tothe Board's Report.
INTERNAL CONTROL SYSTEM
The Company has adequate internal control procedures commensurate with its size andnature of business. The objective of these procedures is to ensure efficient use andprotection of the Company's resources accuracy in financial reporting and due complianceof statues and corporate policies and procedures. The adequacy of internal financialcontrol system are reviewed by the Audit Committee of the board in its periodicalmeetings.
INTERNAL FINANCIAL CONTROL SYSTEM
The Company has a comprehensive Internal Financial Control system commensurate with thesize and scale of its operations. The system ensures the reliability of financialreporting compliance with the policies procedures laws and regulations safeguarding ofassets and economical and efficient use of resources.
The policies and procedures adopted by the company ensures the orderly and efficientconduct of its business and adherence to the company's policies prevention and detectionof frauds and errors and timely preparation of reliable financial information.
|1. ||Deposits Accepted during the year || |
|2. ||Deposits remained unpaid or unclaimed as at end of the year || |
|3. ||Whether there has been any default in repayment of deposits or payment of interest thereon during the year and if so number of such cases and the total amount involved: ||Principal ||Interest |
| ||i. At the beginning of the year ||43688500 ||21846367 |
| ||ii. Maximum during the year ||43688500 ||21846367 |
| ||iii. At the end of the year ||37860750 ||26065859 |
|4. ||The details of deposits which are not in compliance with the requirements of Chapter V of the Act || |
The Hon'ble Company Law Board has passed an order dated 21st January 2016for rescheduling the repayment of the fixed deposits and interest thereon for a specifiedperiod. On the petition filed by the Company. The Company has now started making paymentto almost all FD Holders and has paid sum of Rs.163.66 Lakhs upto 29th May2017 including Rs.76.11 Lakhs during the year under review and will try to make repaymentto all FD holders during the Current year. There are no dues of FD holders in the categoryof deposits up to Rs.20000/- and plan to pay in the category up to 50000/- by the end ofJune 2017.
TRANSFER OF UNCLAIMED DIVIDEND TO INVESTOR EDUCATION AND PROTECTION FUND (IEPF) FOR THEDIVIDEND DECLARED AT THE ANNUAL GENERAL MEETING OF THE COMPANY HELD ON 23rdSEPTEMBER 2009.
The amount of divided if not claimed within seven years i.e 22nd October2016 will be transferred to Investor Education and Protection Fund (IEPF) accordinglyunclaimed amount of Rs.2 44076 have been transferred to Investor Education andProtection Fund during the financial year 2016-17.
EXTRACT OF ANNUAL RETURN
Extract of Annual Return in Form MGT-9 is attached as Annexure B' to thisReport.
AUDITORS Statutory Auditors
M/s. Samria & Co. Chartered Accountants Mumbai Statutory Auditors of theCompany will retire as Auditors of the Company at the conclusion of the ensuing AnnualGeneral Meeting and being eligible have expressed their willingness for re-appointment. Awritten consent from the Auditors has been received along with a certificate that theirappointment if made shall be in accordance with the prescribed conditions and the saidAuditors satisfy the criteria provided in Section 141 of the Companies Act 2013.
The Board has subject to the approval of Central Government has approved theappointment M/s. M. Goyal & Co. Cost Accountants as Cost Auditors of the Company forconducting Cost Audit of Malkapur Textile unit for FY 2017-18 as required pursuant tosection 148 of the Companies Act 20l3 read with the rules made there under and the orderNo. F. No. 52/26/CAB-20I0 dated 24th January 2012 of the Government of IndiaMinistry of Corporate Affairs and for issuance of Compliance Report pursuant to theCompanies (Cost Accounting Records) Rules 2011.
Roy Jacob & Co. Practicing Company Secretary is appointed as Secretarial Auditorfor FY 2017-18 pursuant to Section 204 of the Companies Act 2013 read with rule no. 9 ofthe Companies (Appointment and Remuneration Personnel) Rules 2014.
The Secretarial Audit Report dated 29th May 2017 issued by Roy Jacob &Co. Practicing Company Secretary (CP no. 8220) for the financial year ended 31stMarch 2017 is attached herewith as an Annexure C' to this Report.
STATUTORY AUDITORS REMARKS
Notewise explanation for the Qualified Opinion of the Auditors Report in the opinion ofthe Board.
I. The Company has not obtained the confirmation from all the Inter Corporate Deposit(ICD) parties as all the ICD parties have filed legal cases against the Company includingwinding up petitions for recovery of their dues which the Company is contesting and alsotrying for out of court settlement.
2. Over the past few years the Company has been providing for interest payable on intercorporate and other deposits. However the Company has not been paying interest on loantaken in view of its default on repayment of dues to financial institution and the needto preserve the scare working capital resources. As such the management has decided thatit is prudent and conservative to not provide for such interest payable till such timethey are settled.
3. The Company is in process of getting confirmation of dues of parties. Howeverparties are not co-operating due to fear of taking legal action that may be initiated bythe Company.
4. Over past few years the Company has been providing for interest relievable on loansgiven to related parties. However none of the related party has paid the interest amountto the Company resulting in unrealized income which further increases the receivableamount from the parties. Similarly the Company has not been paying interest on loan takenfrom related parties in view of its default on repayment of dues to financial institutionsand the need to preserve the scare working capital resources. As such the management hasdecided that it is prudent and conservative to not provide for such interest receivableand payable from the related parties till such time they are settled.
5. The Hon'ble Company Law Board has passed an order dated 21st January 2016 forrescheduling the repayment of the fixed deposits and interest thereon for a specifiedperiod. On the petition filed by the Company. The Company has now started making paymentto almost all FD Holders and has paid sum of Rs.163.66 Lakhs upto 29th May2017 including Rs.76.11 Lakhs during the year under review and will try to make repaymentto all FD holders during the Current year. There are no dues of FD holders in the categoryof deposits up to Rs.20000/- and plan to pay in the category up to 50000/- by the end ofJune 2017.
6. The Company is trying to obtain confirmation/reconciliation of such loans. TheCompany is confident of recovery of the loan amount from all the related parties.
7. Some factory units of the Company are not operating due to shortage of need basedworking capital as bankers have stopped providing working capital facility as theirworking capital accounts have become Non Performing Assets. As per valuation carried outby bankers there is no diminution in the value of fixed assets of these units.
8. This is a long term strategic investment made by the Company restating the loan atthe end of every reporting period unnecessarily increases/decreases the loan receivableamount and correspondingly the Foreign Currency Translation Reserve account. The Companyshall realize the profit/loss on foreign currency fluctuation at the time of repayment ofloan by the subsidiary.
9. The Company is trying to obtain confirmation/reconciliation of such advances fromthe parties. However parties are not co-operating due to fear of taking legal action thatmay be initiated by the Company.
10. The Company is trying to obtain confirmation/reconciliation of such tradereceivables from the parties. However parties are not cooperating due to fear of takinglegal action that may be initiated by the Company.
11. The Company has applied to the Department of Industries Energy and LabourGovernment of Maharashtra for extension of the said incentive period by another 8 yearsand is hopeful of getting a favorable response from the Government.
1. The same has been audited as per the laws prevailing at the location of thesubsidiary.
12. The Company has applied to the Department of Industries Energy and LabourGovernment of Maharashtra for extension of the said incentive period by another 8 yearsand is hopeful of getting a favorable response from the Government.
Note: Point No 2 to 11 is same as Standalone.
SECRETARIAL AUDITORS REMARK
Explanation for the Qualified Opinion of the Auditors Report in the opinion of theBoard:
1. The Company is in process of filing Annual Return in MGT-7 but there arevarious errors occurring in the said form hence it is unable to file the e-form. TheCompany had also approached the officers at Registrar of Companies Mumbai but they arealso not able to give us a solution. The Company has written a letter to Ministry ofCorporate Affairs New Delhi seeking their advice. The Company has also filed Compoundingapplication under section 441 of the Companies Act 2013 with ROC by filing form GNL -1.
2. The Hon'ble Company Law Board has passed an order dated 21st January 2016 forrescheduling the repayment of the fixed deposits and interest thereon for a specifiedperiod. On the petition filed by the Company. The Company has now started making paymentto almost all FD Holders and has paid sum of Rs.163.66 Lakhs upto 31st May 2017 includingRs.76.11 Lakhs during the year under review and will try to make repayment to all FDholders during the Current year. There are no dues of FD holders in the category ofdeposits up to Rs.20000/- and plan to pay in the category up to 50000/- by the end ofJune 2017.
RELATED PARTY TRANSACTIONS
In accordance with the provisions of Section 188 of the Companies Act 2013 and rulesmade there under all related party transactions that were entered into during thefinancial year were on arm's length basis and were in the ordinary course of business thedetails of which are included in the notes forming part of the financial statements. Therewere no materially significant related party transactions which may have a potentialconflict with the interests of the Company at large. Accordingly information in FormAOC-2 is not required.
PARTICULARS OF LOANS GUARANTEES AND INVESTMENTS
During the year under review the Company has not given loans guarantees orinvestments under Section 186 of the Companies Act 2013. The details of the investmentsmade by the Company are provided in the accompanying financial statements.
PARTICULARS OF CONSERVATION OF ENERGY TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGEEARNINGS AND OUTGO
The particulars relating to energy technology absorption and foreign exchange earningsand outgo as required to be disclosed under Section 134 (3)(m) of the Companies Act 2013read with Rule 8 (3) of the Companies (Accounts) Rules 2014 are provided in AnnexureD' to Directors Report.
The Company is continuously endeavoring to ensure safe working conditions for all itsemployees.
DISCLOSURE UNDER THE SEXUAL HARASSMENT OF WOMEN AT WORKPLACE (PREVENTION PROHIBITIONAND REDRESSAL) ACT 2013
During the year under review your Company has not received any complaint under theSexual harassment of Women at Workplace under the Sexual Harassment of Women (PreventionProhibition and Redressal) Act 2013.
DISCLOSURE UNDER RULE 5(1) OF THE COMPANIES (APPOINTMENT AND REMUNERATION OF MANAGERIALPERSONNEL) RULES 2014
The information required pursuant to Section 197 read with Rule 5(1) of the Companies(Appointment and Remuneration of Managerial Personnel) Rules 2014 in respect ofemployees of the Company and Directors is attached as Annexure E'. There wereno employees receiving remuneration above the prescribed limit in terms of Rule 5 (2) ofthe Companies (Appointment and Remuneration of Managerial Personnel) Rules 2014.
The company has a vigil mechanism named Whistle Blower Policy to deal with instances offraud and mismanagement. There have been no instances of fraud reported by the Auditorseither to the Company or to the Central Government during the year.
The Board has setup a Risk Management Committee in Compliance with Companies Act 2013and Regulation 21 of the SEBI (Listing Obligations and Disclosure Requirements)Regulation 2015.
INSPECTION OF RECORDS UNDER SECTION 206 R.W. 207 OF THE COMPANIES ACT 2013.
The inspection under Section 206 r.w. Section 207 under the Companies Act 2013 wascarried out by the Joint Director Registrar of Companies (ROC) accordingly the Companyreceived initial letter dated 25th April 2016 stating non compliances incurredby the Company. The Company has replied to the letter dated 20th May 2016stating facts of the alleged violations.
After the initial letters the company received Show Cause Notices dated 30thOctober 2016 for which the company has replied on 7th December 2016. TheCompany is in process of filing Compounding application with requisite authority.
SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS
There are no significant material orders passed by the Regulators/Courts which wouldimpact the going concern status of the Company and its future operations.
Your Directors place on the record their appreciation to the contribution made by theemployees at all levels who through their competence diligence solidarity co-operationand support have enabled the Company to achieve the desired results during the period.
The Board of Directors wishes to acknowledge the invaluable support extended to theCompany by the Government of Maharashtra Bankers Vendors Suppliers Shareholders andCustomers.
| || |
For and on behalf of the Board of Directors
| ||S. N. Baheti ||R. K. Dixit |
| ||Director ||Director |
| ||DIN No- 06933453 ||DIN No- 06655663 |
|Place: Mumbai || || |
|Date: 29th May 2017 || || |
ANNEXURES TO DIRECTOR'S REPORT
MANANGER/CFO COMPLIANCE CERTIFICATE
Certificate by the Manager and Chief Financial Officer (CFO) pursuant to Regulation17(8) of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015 for thefinancial year ended 31st March 2017.
We hereby certify that:-
a) We have reviewed the Financial Statements and Cash Flow Statement for the year endedon 31st March 2017 and that to the best of our knowledge and belief:
I. these statements do not contain any materially untrue statement or omit any materialfact or contain statements that might be misleading;
II. these statements together present a true & fair view of the Company's affairsand are in compliance with existing Accounting Standards applicable Laws and Regulations.
b) There are to the best of our knowledge and belief no transactions entered into bythe Company during the year which are fraudulent illegal or violative of the Company'sCode of Conduct
c) We accept responsibility for establishing and maintaining internal controls forfinancial reporting and that we have evaluated the effectiveness of internal controlsystems of the company pertaining to financial reporting and they have disclosed to theauditors and the Audit Committee deficiencies in the design or operation of such internalcontrols if any of which we are aware and the steps they have taken or propose to taketo rectify these deficiencies.
d) We have indicated to the Statutory Auditors Internal Auditors Cost Auditors andAudit Committee:
I. Significant changes in internal control over financial reporting during the year ifany;
II. Significant changes in accounting policies during the year and that the same havebeen disclosed in the notes to the financial statements if any; and
III. Instances of significant fraud of which they have become aware and the involvementtherein if any of the management or an employee having a significant role in theCompany's internal control system.
| || |
For Birla Cotsyn (India) Limited
| ||Satya Kishore Mathur ||Vipin Varkhawat |
| ||Manager ||Chief Financial Officer |
|Place: Mumbai || || |
|Date: 29th May 2017 || || |
(Information under Section 134 (3) (m) of the Companies Act 2013 read with Companies(the Companies (Accounts) Rules 2014 and forming part of the Directors' Report for theyear ended 31st March 2017.)
A. CONSERVATION OF ENERGY:
i. The Steps taken or impact on conservation of energy.
Energy conservation continues to receive priority attention at all levels. Companyensures that the manufacturing operations are conducted in the manner whereby optimumutilization and maximum possible saving of energy is achieved.
ii. The steps taken by the Company for utilizing alternate sources of energy:
All efforts are made to conserve and optimize use of energy with continuous monitoringthrough improved operational techniques.
iii. The capital investment of energy conservation equipments:
No specific investment has been made in reduction in energy consumption.
During the year the company has utilized Rs.186 27702 units of energy through MSEDCLsource amounting to Rs.100797572/-
B. TECHNOLOGY ABSORPTION:
i. The efforts made towards technology absorption:
The Company is having research and development cell headed by a senior and experiencestextile technologist. The Company constantly strives for maintenance and Improvement inquality of its products.
ii. The benefits derived like product improvement cost reduction product developmentor import substitution- The Company has developed numerous qualities which have beenaccepted by the market.
iii. In case of imported technology (import during the last three years reckoned fromthe beginning of the financial y ear) Nil
iv. The expenditure incurred on Research and Development-
|(a) Capital : ||Nil |
|(b) Recurring : ||6954 |
|Total : ||6954 |
Total R&D expenditure as % of total turnover: 0.0007%
C. FOREIGN EXCHANGE EARNINGS AND OUTGO:
The Company has earned foreign exchange is Rs.NIL in financial year 2016-17 andRs.31 39 13063/- in financial year 2015-16.