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Blue Coast Hotels Ltd.

BSE: 531495 Sector: Services
NSE: BLUECOAST ISIN Code: INE472B01011
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OPEN 84.90
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VOLUME 150
52-Week high 150.00
52-Week low 84.90
P/E
Mkt Cap.(Rs cr) 108
Buy Price 0.00
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Blue Coast Hotels Ltd. (BLUECOAST) - Director Report

Company director report

To

The Members

Your Directors have pleasure in presenting their 24th Annual Report on the business andoperations of the Company and the accounts for the Financial Year ended March 31 2017.

FINANCIAL HIGHLIGHTS

The Board's Report is prepared based on the standalone financial statements of theCompany. The Company's financial performance for the year under review along with previousyear's figures are given hereunder:

(Rs. in Lakh)

PARTICULARS Consolidated Standalone
2016-17 2015-16 2016-17 2015-16
Revenue from Operations 13265.90 11543.78 13265.90 11543.78
Expenses (10926.17) (8658.36) (10925.58) (8657.07)
Depreciation (663.01) (605.18) (663.01) (605.18)
Profit from Operations before Finance Cost & Tax 1676.72 2280.24 1677.31 2281.53
Other Income 113.26 61.40 113.26 61.40
Profit before Interest & Tax 1789.98 2341.64 1780.57 2342.93
Interest / Finance Charges-Operation (649.49) (679.07) (649.49) (679.07)
Operating Profit before Tax 1140.49 1662.57 1131.08 1663.86
Interest / Finance Charges - New Hotel Projects (1805.00) (1160.00) (1805.00) (1160.00)
Profit (Loss) before Tax (664.51) 502.57 (663.92) 503.86
Tax Expense Prior Period 61.17 -
Profit (Loss) after Tax (603.34) 502.57 (602.75) 503.87
Share of Minority interest in Profit/Loss - - - -
Net Profit/(Loss) for the Year available for majority shareholders (603.34) 502.57 (602.75) 503.87

OPERATIONS

The Revenue from Operations has registered a growth of 14.91% during the year ascompared to the previous year however the profit before interest and tax has declined toRs 1789.98 Lakh as compared to Rs. 2341.64 Lakh due to increase in cost of materialconsumed pay-roll cost travelling cost and legal & professional charges. Duringthe year the company continued to defend itself before the Hon'ble Supreme Court ofIndia in respect of the Special Leave Petition filed by the Secured lender and allegedauction purchaser challenging the order of the Hon'ble High Court of Bombay which had setaside the alleged auction of the hotel property " Park Hyatt Goa Resort &Spa". In view of this the interest on term loan from financial institution isprovided at simple contracted rate of interest. The Company is also contesting the suitfiled by the debenture holders against its alleged pre-mature recall / redemption ofdebentures disputed / default interest & redemption premium thereon andnon-fulfillment of its other obligations which is pending adjudication. In view oflitigation neither provision for interest or redemption premiums is made nor debentureredemption reserve is created. The Hotel property continues to be operated under the brand" Park Hyatt Goa Resort & Spa " and maintained under management agreementwith Hyatt International. Your directors are pleased to inform you that Park Hyatt GoaResort & Spa continues to be the best property of Goa and has won the followingawards:-

Year Award Title
2017 World Luxury Spa Awards 2016 Sereno Spa Best Destination Spa (#1)
2017 Conde Nast Traveller India Readers' Winner of " Favourite Indian
Travel Awards 2017 Leisure Hotel"
2017 Times Food Awards Goa 2017 Palms Best Luxury Shack
2017 asiaSpa India Award 2016 Sereno Spa Most Luxurious Resort (#1)
2017 asiaSpa India Awards 2016 Best Spa Marketing (#1)
2016 Times Food Awards Goa 2016 Palms Best Luxury Shack and
Da Luigi Best Italian
2016 Conde Nast Traveller India Readers' Favourite Indian Leisure Hotel (#1)
Travel Awards 2016
2016 World Luxury Hotel Awards 2016 Official Country Winner -
Luxury Wedding Destination (#1)

CHANGE IN THE NATURE OF BUSINESS IF ANY

There was no change in the nature of business of the Company during the financial yearended 31st March 2017.

SHARE CAPITAL

During the year under review there was no change in the shareholding of either thePromoters or Public.

However in pursuant to the authorisation granted in the Annual General Meeting dated30th September 2002 and the allotment made in the Board Meeting dated 30th October 2002the Company had issued 4150000 10% Cumulative Redeemable Preference Shares of Rs. 100each with the redemption period of 15 years. The Company has not paid the Dividend on thesaid Preference Shares since its allotment and these are due for redemption in October2017.

In the interest of the Company and in view of the improved business and ongoinglitigations being faced by the Company it is not desirable to redeem the said PreferenceShares or pay any dividend thereof. Therefore the Board in terms of Section 48 and 55 ofthe Companies Act 2013 has approached the Preference Share holder to request them toconsider the extension of the tenure of the Preference Shares by a further period of 15years so that the same be due for redemption in October 2032. Since the provisions ofsection 48 of the Companies Act 2013 provides that the rights attached to the shares ofany class may be varied with the consent in writing of the holders of not less thanthree-fourths (3/4th) of the issued shares of that class or by means of a specialresolution passed at a separate meeting of the holders of the issued shares of that classand if such variation by one class of shareholders affects the rights of any other classof shareholders the consent of three-fourths (3/4th) of such other class of shareholdersshall also be obtained. Therefore such variation in the terms and conditions associatedwith the preference shares is subject to approval of the equity shareholders of theCompany. Your Company shall take appropriate steps to seek approval of both PreferenceShareholders and Equity Shareholders by way of Postal Ballot/e-voting.

The shares issued by Company continued to be listed at following Stock Exchanges as atMarch 31 2017:

1. National Stock Exchange of India Limited. (NSE)

2. Bombay Stock Exchange Limited (BSE)

DIVIDEND

In view of inadequate profit made by the Company during the year Your Directors havenot recommended any dividend for the Financial Year 2016-17.

PUBLIC DEPOSITS

During the period under review your Company has not accepted renewed or invited anypublic deposit and no amount of principal or interest was outstanding on the deposits ason the Balance Sheet date.

DIRECTORS

The Board consists of 7 Directors comprising a Chairman and Managing Director OneNon-executive Director and five Independent Directors (including one-woman director).

Appropriate Resolution seeking your approval to the appointment/ re-appointment ofDirectors has been included in the Notice of the AGM.

Pursuant to the provisions of Section 152 of the Companies Act 2013 Mr. Kushal Surithe Non-Executive Director of the Company is liable to retire by rotation at the ensuingAnnual General Meeting and being eligible offer himself for re-appointment.

BOARD EVALUATION

In accordance with the SEBI (Listing Obligations and Disclosure Requirements)Regulations 2015 and schedule IV of the Companies Act 2013 and the Board has constantlymonitored and reviewed the Board evaluation framework. As per the provisions the Boardhas made formal evaluation of its own performance and that of its committees andindividual directors and that the same was done excluding the Director being evaluated.

DECLARATION BY INDEPENDENT DIRECTOR (S) AND RE-APPOINTMENT IF ANY

All the Independent Directors have submitted their disclosures to the Board withinstipulated time that they fulfill all the requirements as stipulated in Section 149(6) ofthe Companies Act 2013 so as to qualify themselves to be appointed as IndependentDirectors under the provisions of the Companies Act 2013 and the relevant rules.

MEETINGS OF BOARD OF DIRECTORS

During the year under review the Board of Directors met 4 (Four) times to transact thebusiness of the Company the details of which are given in Corporate Governance Report.

Further a separate Meeting of the Independent Directors of the Company was also heldon 03rd February 2017 whereat the prescribed items enumerated under Schedule IV to theCompanies Act 2013 and the SEBI (Listing Obligations and Disclosure Requirements)Regulations 2015 were discussed.

POLICY ON DIRECTORS APPOINTMENT AND REMUNERATION

The policy to have an appropriate mix of Executive and Independent Directors tomaintain the independence of the Board and separate its function of management andgovernance has been followed this year as well. As on March 31 2017 the Board consistsof 7 Directors comprising a Chairman and Managing Director One Non-executive Director andfive Independent Directors (including one-woman director). The Board periodicallyevaluates the need for change in its composition and size.

The Policy on Directors appointment and remuneration including criterion determiningthe qualifications positive attributes independence of a Director and other mattersprovided under Sub Section (3) of Section 178 of the Companies Act 2013 adopted by theBoard available on the website of the Company at www.bluecoast.in.

INDEPENDENT DIRECTORS TRAINING/ MEETING

During the year under review a separate meeting of the Independent Directors of theCompany was held on 03rd February 2017 without the presence of other Directors andmembers of Management. The Independent Directors reviewed the performance ofNon-Independent Directors and the Board as a whole performance of Chairperson of theCompany and assessed the quality quantity and timelines of flow of information betweenthe Company management and the Board. The Company Secretary acted as a secretary to theMeeting.

To familiarize the new inductees with the strategy operations and functions of theCompany the Executive Directors/senior managerial personnel make presentations to theinductees about the Company's strategies operations. Further at the time of joining theIndependent Directors are issued a formal letter of appointment outlining his/her rolefunctions duties and responsibilities as a director. The format of Letter of appointmentis available on the website of the Company at www.bluecoast.in.

DIRECTORS' RESPONSIBILITY STATEMENT

Pursuant to the requirement under Section 134(5) of the Companies Act 2013 withrespect to the Director's Responsibility Statement it is hereby confirmed that:

a) In the preparation of annual accounts for the Financial Year ended March 31 2017the applicable accounting standards have been followed along with proper explanationrelating to material departures;

b) The Directors had selected such accounting policies and applied them consistentlyand made judgments and estimates that are reasonable and prudent so as to give a true andfair view of the state of affairs of the Company at the end of the financial year 2016-17and of the profit or loss of the Company for that period;

c) The Directors had taken proper and sufficient care for the maintenance of adequateaccounting records in accordance with the provisions of the Companies Act 2013 forsafeguarding the assets of the Company and for prevention and detecting fraud and otherirregularities;

d) The Directors had prepared the annual accounts for the financial year ended on March31 2017 on a going concern basis;

e) The Directors had laid down internal financial controls to be followed by theCompany and that such internal financial controls are adequate and were operatingeffectively; and

f) The Directors had devised proper systems to ensure compliance with the provisions ofall applicable laws and that such systems were adequate and operating effectively.

MANAGERIAL REMMUNERATION AND OTHER DISCLOSURES

The disclosures as required pursuant to Section 197 of the Companies Act 2013 readwith Rule 5 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules2014

a) Ratio of the remuneration of each Director to the median employee's remuneration andother details pursuant to Section 197 (12) of the Companies Act 2013 read with Rule 5(1)of the Companies (Appointment and Remuneration of Managerial Personnel) Rules 2014:

The aforesaid Disclosure is annexed and forms part of this report as ANNEXURE 'A'.

b) Detail of every employee of the Company as required pursuant to Rule 5(2) of theCompanies (Appointment and Remuneration of Managerial Personnel) Rules 2014:

The aforesaid Disclosure is annexed and forms part of this report as ANNEXURE 'B'.

c) No Director of the Company including its Managing Director is in receipt of anycommission from the Company or its Subsidiary Companies.

AUDITORS

i) STATUTORY AUDITORS

The Companies Act 2013 ('the Act') was notified effective April 1 2014. Section 139of the Act lays down the criteria for appointment and mandatory rotation of statutoryauditors. Pursuant to Section 139 of the Act and the

Rules made thereunder it is mandatory to rotate the statutory auditors on completionof two terms of five consecutive years. The Rules also lay down the transitional periodthat can be served by the existing auditors depending on the number of consecutive yearsfor which an audit firm has been functioning as auditor in the same company. The incumbentauditors M/s M. Kamal Mahajan & Co. LLP Chartered Accountants (Firm registrationnumber: 06855N) have served the Company for over 10 years before the Act was notified andwill be completing the maximum number of transitional period (three years) at the ensuing24th AGM.

The audit committee of the Company has on 11th August 2017 proposed and the Board hasrecommended the appointment of M/s. Dewan & Gulati Chartered Accountants (Firmregistration number 003881-N) as the statutory auditors of the Company. M/s. Dewan &Gulati will hold office for a period of five consecutive years from the conclusion of the24th Annual General Meeting of the Company till the conclusion of the 29th Annual GeneralMeeting to be held in 2022. The first year of audit will be of the financial statementsfor the year ending March 31 2018 which will include the audit of the quarterlyfinancial statements for the year.

ii) SECRETARIAL AUDIT

During the year under review the Company has appointed Mr. Prem Chand Goel PracticingCompany Secretary (C.P No 457) Ghaziabad to conduct the Secretarial Audit of the Companyas per the provisions under section 204(1) of the Companies Act 2013 and other laws asapplicable for the financial year 2016-17. The Report in Form MR-3 is enclosed as Annexure-'C' to this Annual Report and there are no qualifications reservations and remarksmade by the Secretarial Auditor in this Report if any are self-explanatory.

EXPLANATION TO SECRETARIAL AUDIT REPORT

i) The company owned Park Hyatt Hotel located at Cansaulim Goa. The said hotel wasallegedly auctioned by IFCI under SARFAESI act 2002 which was contested by the companybefore the Hon'ble High court of Bombay. The Hon'ble court vide its Judgment dt.23.03.2016 quashed and set aside the alleged auction sale of the property and directed thesecured lender IFCI Limited to refund the sale consideration to the alleged purchaser ITCLimited. Thereafter the ITC Limited alongwith IFCI Limited approached the Hon'ble SupremeCourt of India. The Hon'ble Supreme court on 22nd April 2016 ordered to maintain the'Status Quo' in favour of the company and that the amount paid by ITC limited shall remainwith the IFCI Limited until further orders. The Hotel property continues to be operatedunder the agreement executed by Company with Hyatt for their brand "Park Hyatt GoaResort & Spa"- The said comment is self-explanatory and does not require anyexplanation from the management except that the matter is listed before the Supreme Courton 22nd August 2017.

ii) The Company is contesting the suit filed by the Debenture holder against itsalleged pre-mature recall/ redemption of Debentures disputes/ default interest &redemption premium thereon and non-fulfilment of its other obligations which is pendingadjudication. "- The said comment is self-explanatory and does not require anyexplanation from the management except that the matter has been referred to the Commercialcourts in Goa

iii) INTERNAL AUDITOR

During the year under review pursuant to Section 138 and other applicable provisionsof the Companies Act

2013 M/s. S.S. Kothari Mehta & Co. (formerly known as M/s. KSMN & Company) hasbeen re-appointed as the Internal Auditors for the Financial Year 2017-18.

COMMITTEES OF THE BOARD

Currently the Board has four Committees the Audit Committee Nomination andRemuneration Committee Stakeholder Relationship Committee and Corporate SocialResponsibility Committee. The composition of the Committees as per the applicableprovisions of the Act and Rules thereof is as follows: -

Name of the Committee Composition of the Committee Designation
Audit committee Mr. Praveen Kumar Dutt Chairman
Mr. Ashok Kini Member
Dr. Vijay Mohan Kaul Member
Ms. Seema Joshi* Member
Nomination and Mr. Ashok Kini Chairman
Remuneration Committee Mr. Praveen Kumar Dutt Member
Dr. Vijay Mohan Kaul Member
Stakeholder Relationship Ms. Seema Joshi* Chairman
Committee Dr. Vijay Mohan Kaul Member
Mr. Praveen Kumar Dutt Member
Mr. Ashok Kini Member
Corporate Social Mr. Sushil Suri Chairman
Responsibility Committee Mrs. Seema Joshi* Member
Mr. Madan Gopal Khanna Member

* Mrs. Seema Joshi has resigned from the Directorship on 15th July 2017.

A detailed note on the Board and its Committees is provided under the CorporateGovernance Report Section in this Annual Report.

CORPORATE SOCIAL RESPONSIBILITY (CSR)

As per provisions of section 135 of the Companies Act 2013 a CSR committee has beenformed for carrying out CSR activities as per the Schedule VII of the Companies Act 2013.However since there have been continuous losses for last few financial years hence noamount shall is required to be spent on CSR for FY 2017-18.

WHISTLE BLOWER /VIGIL MECHANISM

The Company has established a Whistle Blower Policy/Vigil Mechanism through which itsDirectors Employees and Stakeholders can report their genuine concern about unethicalbehavior actual or suspected fraud or violation of the Company's Code of Conduct orEthics Policy. The said policy provides for adequate safeguard against victimization andalso direct access to the higher level of superiors including Chairman of the AuditCommittee in exceptional cases. The Audit Committee reviews the same from time to time. Incompliance with Section 177 of the Act and the Listing

Agreement the same is available on the website of the Company at www.bluecoast.in.

RISK MANAGEMENT

The Company has in place a mechanism to inform the Board about the risk assessment andminimisation procedures and periodical review to ensure that management controls riskthrough means of a properly defined framework.

The Company has formulated and adopted Risk Management Policy to prescribe riskassessment management reporting and disclosure requirements of the Company; the same isavailable on our website www.bluecoast.in.

VOTING RIGHTS

In terms of the provisions contained in Section 47(2) of the Companies Act 2013 thePreference Shareholders of the Company with respect to the 4150000 10% CumulativeRedeemable Preference shares of Rs.100/- each are entitled to vote on every resolutionplaced before the Company at the General Meeting. The existing Promoters/Promoters Groupholds the said preference shares and there is no change in the management/ control of theCompany.

EXPLANATION TO AUDITOR'S REPORT

On Matters of Emphasis on Statutory Auditor's Report

i. Note no. 9 (A) (b) and 25(b) to the financial statements regarding no provision forinterest or any other charges has been made on debentures pending litigation and recoveryproceedings since 1st April 2015. Further the interest on term loan from financialinstitution is provided at simple contracted rate of interest since 1st April 2015. Replyas above in Secretarial Audit report.

ii. Note no. 9(B) to the financial statements regarding the secured lender IFCI Limitedhad initiated the recovery proceedings and allegedly auctioned the hotel property underthe provisions of the SARFAESI Act which was contested by the company at Hon'ble HighCourt of Bombay. By the Judgment dated 23.3.2016 the Hon'ble Bombay High Court quashedand set aside the alleged auction sale of property and directed secured lender IFCI

Limited to refund the sale consideration to auction purchaser ITC Limited subsequentlyITC Ltd & IFCI Ltd have approached the Hon'ble Supreme Court against the Bombay HighCourt judgment whereupon the grant of stay against the order was not accepted. The Hon'bleSupreme Court ordered 'Status Quo' as on 22nd April 2016 be maintained and furtherordered that the amounts paid by ITC Limited in the auction purchase shall remain with theIFCI Ltd until further orders. The Hotel property continues to be operated under the brand"Park Hyatt Goa Resort & Spa" & maintained under management agreementwith Hyatt International. Reply as above in Secretarial Audit Report.

iii. In view of above the assumption of going concern is dependent upon realization ofthe various initiatives undertaken by the company outcome of court cases and/ or thecompany's ability to raise requisite finance/ generate cash flow in future to meet itsobligations including financial support to its subsidiary companies.

SUBSIDIARIES / JOINT VENTURES / ASSOCIATES

The Company has following Subsidiaries/Associates as on March 31 2017 namely:

1. Silver Resorts Hotels India Private Limited (Subsidiary Company)

2. Golden Joy Hotels Private Limited (Wholly Owned Subsidiary Company) &

3. Blue Coast Hospitality Limited (Wholly Owned Subsidiary Company)

The Company has entered into a Joint Venture for the development of the high-endresidential villa and undertaking the renovation & refurbishment of the hotel with oneof the companies in the group which has an expertise and a requisite experience toundertake such activities on the terms and conditions which are not prejudicial to theinterest of the members of the company.

During the year under review the Board reviewed the affairs of the Subsidiaries. Inaccordance with Section 129(3) of the Companies Act 2013 we have prepared consolidatedfinancial statements of the Company and all its Subsidiaries which form part of theAnnual Report. Further a Statement containing the salient features of the financialstatements of our Subsidiaries in the prescribed Form AOC-1 pursuant to Section129 of the Companies Act 2013 read with the Rule 5 of the Companies (Accounts) Rules2014 is annexed to this report as ANNEXURE 'D'.

In accordance with Section 136 of the Companies Act 2013 the Audited FinancialStatements including the consolidated Financial Statements and related information of theCompany and audited accounts of each of our Subsidiary is available on the website of theCompany at www.bluecoast.in. These documents are also available for inspection during thebusiness hours at the Corporate Office of the Company situated at 415-417 AntrikshBhawan 22 K G Marg New Delhi 110001.

SEGMENT REPORTING

Your Company's operations comprise of only one segment Hotel Operations andaccordingly there are no separate reportable segments as envisaged by Accounting Standard17.

LISTING

The shares of your Company are listed at Bombay Stock Exchange Limited Mumbai andNational Stock Exchange of India Limited Mumbai. The listing fees up to date have beenpaid to both the Stock Exchanges.

EXTRACT OF ANNUAL RETURN

The detailed extract of Annual Return in Form MGT-9 as required under Section 134(3)(a) of the Companies Act 2013 is annexed and forms part of this report as ANNEXURE 'E'.

INTERNAL FINANCIAL CONTROLS

The Company has an Internal Financial Control System commensurate with size scale andcomplexity of its operations. The internal financial controls are adequate and areoperating effectively so as to ensure orderly and efficient conduct of businessoperations. The Company's internal financial control procedures ensure that reliability ofthe financial statements of the Company and prepared in accordance with the applicablelaws.

To maintain its objectivity and independence the Internal Audit Team reports to theChairman of the Audit Committee of the Board. Based on the internal audit report processcorrective action in their respective areas is taken to strengthening the controls.Significant audit observations and corrective actions thereon are presented to the AuditCommittee of the Board. Team engaged in internal audit carries out extensive auditthroughout the year across all functional areas and submits its reports from time to timeto the Audit Committee of the Board.

MATERIAL CHANGES AND COMMITMENTS IF ANY AFFECTING THE FINANCIAL POSITION OF THECOMPANY BETWEEN THE END OF THE FINANCIAL YEAR AND DATE OF REPORT

DETAILS OF SIGNIFICANT AND MATERIAL ORDERS PASSED BY REGULATORS / COURTS / TRIBUNALS

In the matter of alleged sale of Park Hyatt Goa Resorts and SPA by the Secured LenderIFCI Limited to the auction purchaser ITC Limited the Hon'ble High Court of Bombay hasquashed & set-aside the Order of Debt Recovery Appellate Tribunal (DRAT) Order ofDistrict Magistrate (DM) South Goa and has also cancelled the sale certificate issued tothe auction purchaser by the secured lender in respect of the Hotel property underSARFAESI Act 2002. The Secured Lender & Auction Purchaser has filed a Special LeavePetition (SLP) before the Supreme Court of India which has directed to maintain the StatusQuo in respect of the Hotel Property.

Additionally during the year under review the arbitration proceedings as invoked bythe subsidiary Company Silver Resort Hotel India Private Limited (SRHIPL) under Section 9of The Arbitration and Conciliation Act 1996 against Delhi International Airport PrivateLimited (DIAL) have been concluded and the award has been passed however the same has beenwithheld to be pronounced.

PARTICULARS OF LOANS GUARANTEES OR INVESTMENTS

Details of Loans Guarantees and Investments covered under the provisions of Section186 of the Companies Act 2013 form part of the notes to the Financial Statements providedin this Annual Report.

PARTICULARS OF CONTRACTS OR ARRANGEMENTS WITH RELATED PARTIES

The information relating to contracts or arrangements with related parties includingcertain arm's length transactions under third proviso of Section 188 of the Companies Act2013 read with the Companies (Meeting of Board and its Powers) Rules 2014 is annexed in FormAOC 2 and forms part of this report as ANNEXURE 'F'. In accordance with therequirements of the Listing Agreement the Company has formulated policy on the relatedParty transactions and material subsidiaries. The said Policy is available on the websiteof the Company at www.bluecoast.in.

CORPORATE GOVERNANCE

A Report on Corporate Governance along with a certificate from the Statutory Auditorsof the Company regarding compliance with conditions of Corporate Governance as stipulatedin Regulation 34 of the SEBI (Listing Obligations and Disclosure Requirements)Regulations 2015 forms part of this report and is annexed in the Corporate GovernanceReport.

MANAGEMENT DISCUSSION AND ANALYSIS REPORT

A detailed review of the operations performance and other matters of the Company isset out in the Management Discussion and Analysis Report pursuant to Regulation 34 of theSEBI (Listing Obligations and Disclosure Requirements) Regulations 2015 which forms partof this Annual Report as ANNEXURE 'G'.

NUMBER OF CASES FILED IF ANY AND THEIR DISPOSAL UNDER SECTION 22 OF THE SEXUALHARASSMENT OF WOMEN AT WORKPLACE (PREVENTION PROHIBITION AND REDRESSAL) ACT 2013

The Company has in place a policy on prevention of sexual harassment at workplace onthe line of the requirement of the Sexual Harassment of Women at The Work Place(Prevention Prohibition & Redressed) Act 2013. Internal Complaint Committee (ICC)has been set up to redress complaints received regarding sexual harassment. All employees(permanent contractual temporary trainees) are covered under this policy.

The following is a summary of sexual harassment complaints received and disposed offduring the year 2016-17: No. of Complaints received: 0 No. of Complaints disposed off: 0

HUMAN RESOURCES

Your Company had been able to retain good and talented people. Significant number ofemployees has chosen to stay back with Company and have contributed a lot in smoothrunning of the Company.

Fair practices and equal opportunity has been afforded to employees at all levels. TheCompany is keeping these traditions alive and is making conscious effort to grow yearafter year. The Company understands that importance of Human capital and acts judiciouslyin rewarding its workforce. It has strong belief in collective efforts of all the teammembers. The inter-personal relationship amongst workers staff and officers has alwaysbeen cordial and healthy.

As on March 31 2017 there were 430 employees working for the Company across alllevels at various locations.

AWARDS AND ACCOLADES

Park Hyatt Goa Resort and Spa received the following Awards during the year underreview & Accolades:

Year Award Title
2017 World Luxury Spa Awards 2016 Sereno Spa Best Destination Spa (#1)
2017 Conde Nast Traveller India Readers' Winner of " Favourite Indian Leisure Hotel"
Travel Awards 2017
2017 Times Food Awards Goa 2017 Palms Best Luxury Shack
2017 asiaSpa India Award 2016 Sereno Spa Most Luxurious Resort (#1)
2017 asiaSpa India Awards 2016 Best Spa Marketing (#1)
2016 Times Food Awards Goa 2016 Palms Best Luxury Shack and
Da Luigi Best Italian
2016 Conde Nast Traveller India Readers' Favourite Indian Leisure Hotel (#1)
Travel Awards 2016
2016 World Luxury Hotel Awards 2016 Official Country Winner -
Luxury Wedding Destination (#1)

PARTICULARS REGARDING CONSERVATION OF ENERGY TECHNOLOGY ABSORPTION AND FOREIGNEXCHANGE EARNINGS AND OUTGO PURSUANT TO SUB SECTION (3) (M) OF SECTION 134 OF THECOMPANIES ACT 2013 READ WITH RULE (8) (3) OF THE COMPANIES (ACCOUNTS) RULES 2014.

Information pursuant to of the Companies Act 2013 read with Rule 8 of The Companies(Accounts) Rules 2014 pertaining to the conservation of energy technology absorptionforeign exchange earnings & outgo are set out as 'Annexure H' to this report.

ACKNOWLEDGEMENT

The Directors express their sincere appreciation of the co-operation and assistancereceived from the members Bankers eminent Lawyers Hyatt International and otherBusiness Associates. The Directors also wish to place on record their deep sense ofappreciation for the commitment displayed by the Employees at all levels.

By Order of the Board
For Blue Coast Hotels Limited
(Sushil Suri)
Chairman and Managing Director
DIN: 00012028
Place: New Delhi
Date: 11.08.2017