The Members IMC Finance Limited
Your Directors have pleasure in presenting the 35lb Annual Report on the business andoperations of the Company and the accounts for the Financial Year ended March 312017.
1. Financials performance of the company:
|Particulars ||2016-17 ||2015-16 |
| ||Rs. ||Rs. |
|Total Income ||366521.28 ||251641.57 |
|Less : Operating & Admin Expenses ||574996.00 ||451909.96 |
|Profit / (Loss) before Depreciation and Taxes ||(208474.72) ||(200268.39) |
|Less : Depreciation ||0.00 ||0.00 |
|Profit / (Loss) before Tax (PBT) ||(208474.72) ||(200268.39) |
|Less : Provision for Current tax || || |
|Provision for Deferred Tax |
Short / (Excess) Provision for Taxation for earlier
| || |
|Profit / (Loss) after Tax (PAT) ||(208474.72) ||(200268.39) |
|Add : Profit/(Loss) brought forward from Previous Period ||4443542.16 ||4643810.55 |
|Less : Transfer to Statutory Reserve as U/s 45IC of Reserve Bank of India Act 1934 || ||- |
|Profit to be carried forward to Balance Sheet ||4235067.44 ||4443542.16 |
2. Material changes and commitments if any affecting the financial position of thecompany which have occurred between the end of the financial year of the company to whichthe financial statements relate and the date of the report:
There is no material changes and commitment which could affect the financial positionof the company from the end of the financial year till the date of this report.
Directors of the Company are not recommending any dividend for the Financial Year ended31s' March 2017.
4. Share Capital:
During the year the company has not issued any shares and paid-up capital andauthorized capital remains same.
5. Directors' Responsibility Statement:
Pursuant to the requirement under Section 134(3) (c) of the Companies Act 2013 withrespect to Directors' Responsibility Statement it is hereby confirmed that:
(a) in the preparation of the annual accounts the applicable accounting standards hadbeen followed along with proper explanation relating 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 and ofthe 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 this Act for safeguarding theassets of the company and for preventing and detecting fraud and other irregularities;
(d) the directors had prepared the annual accounts on a going concern basis;
(e) the directors had laid down proper internal financial controls to be followed bythe Company and that such internal financial controls are adequate and were operatingeffectively and
(f) the directors had devised proper systems to ensure compliance with the provisionsof all applicable laws and that such systems were adequate and operating effectively.
6. Directors and Key Managerial Personnel (KMP):
Mr. Kolappan Kannan retires by rotation and being eligible offers himself forre-appointment.
Key Managerial Persons: The Company does not have any whole time KMPs pursuant toSection 203 of the Companies Act 2013.
7. Extract of Annual Return:
Pursuant to the requirement of section 92(3) of the Companies Act 2013 read with Rule12(1) of the Companies (Management and Administration) Rules 2014 an Extract of AnnualReturn in Form MGT-9 is annexed as Annexure -1.
8. Number of Meetings of the Board:
Board of Directors of the company has met Six times during the year i.e. 30.05.201610.08.2016 05.09.2016 14.11.2016 13.02.2017 29.03.2017. The intervening gap betweenthe meetings was within the period prescribed under the Companies Act 2013.
The existing statutory auditor of the company M/s. B L Sarda & Co. CharteredAccountants (Firm Registration Number 109267W) Mumbai is holding the position ofstatutory auditor for more than 10 years and as per Sec.139 of the Companies Act 2013 histerm of appointment comes to an end upon conclusion of ensuing Annual General Meeting.
Considering the tenure of the existing Statutory Auditors and the provisions of Section139 of the Companies Act 2013 your Directors recommend the appointment of M/sSubramaniam Bengali & Associates Chartered Accountants (Firm Registration Number127499W) to hold office from the conclusion of ensuing 35lh AGM until the conclusion ofthe 39th Annual General Meeting of the Company to be held in the calendar year 2022 i.e.for a period of five years (subject to ratification of the appointment by the members atevery AGM held after this AGM).
The Company has received letter from M/s Subramaniam Bengali & Associates Chartered Accountants (Firm Registration Number 127499W) to the effect of theirappointment if made would be within prescribed limit under Section 141 of the CompaniesAct 2013 read with Rule 4(1) of the Companies (Audit & Auditors) Rules 2014 and thatthey are not disqualified for appointment.
10. Internal Controls:
The Company has in place adequate systems of internal control commensurate with itssize and the nature of its operations. These have been designed to provide reasonableassurance with regard to recording and providing reliable financial and operationalinformation complying with applicable statutes safeguarding assets from unauthorizeduse executing transactions with proper authorization and ensuring compliance of corporatepolicies.
11. Particulars of loans guarantees or investments under section 186:
Particulars of the same are given in Notes to Accounts
12. Related Party Transactions: During the year your company has not entered anyrelated party transactions.
13. Conservation of energy technology absorption and foreign exchange earnings andoutgo:
The details of conservation of energy technology absorption foreign exchange earningsand outgo are as follows:
|I. Conservation of energy || |
|... the steps taken or impact on conservation of ' ' energy || |
|.... the steps taken by the company for utilizing alternate sources of energy ||Nil |
|..... the capital investment on energy conservation ' equipment's || |
|II. Technology absorption || |
|(i) the efforts made towards technology absorption || |
|the benefits derived like product improvement (ii) cost reduction product development or import substitution || |
|in case of imported technology (imported during the last three years reckoned from the beginning of the financial year)- || |
| (a) the details of technology imported ||. Nil |
|V'M/ (b) the year of import; || |
|(c) whether the technology been fully absorbed || |
|(d) if not fully absorbed areas where absorption has not taken place and the reasons thereof || |
|.. . the expenditure incurred on Research and ' Development || |
|III. Foreign exchange earnings and Outgo || |
|Earnings ||Nil |
|Outgo ||Nil |
14. Details of Subsidiarv/Joint Ventures/Associate Companies:
Your company does not have any Subsidiary / Associates / Joint Ventures.
15. Explanation to Statutory Auditor's report:
The Statutory Auditors' Report does not contain any qualification reservation oradverse remark or disclaimer. Notes to Accounts and Auditors remarks in their report areself-explanatory and do not require for any further comments.
16. Explanation to Secretarial Auditor's report: The Company is in the process ofappointing another Independent Director and after the appointment it will reconstitute theAudit Committee and Nomination Remuneration Committee. Further it is searching for thesuitable person to be appointed as Women Director and Key Managerial Personnel and it willcomply the provisions shortly. Report of the Secretarial Auditor is annexed. Please referAnnexure - II
17. Particulars of employees as required under Rule 5(2) of the Companies (Appointmentand Remuneration of Managerial Personnel) Rules. 2014:
Your company does not have any employees hence the above provision is not applicable.
18. Risk management policy:
The Board of Directors is overall responsible for identifying evaluating and managingall significant risks faced by the Company. The Board approved Risk Management policywhich acts as an overarching statement of intent and establishes the guiding principles bywhich key risks are managed across the organization.
The Company follows well established and detailed risk assessment and minimizationprocedures. The Company has in place a business risk management framework for identifyingrisks and opportunities that may have a bearing on the organization's objectivesassessing them in terms of likelihood and magnitude of impact and determining a responsestrategy. In the opinion of the Board none of the risks faced by the Company threaten itsexistence.
19. Deposit from public:
The Company has not accepted any deposits from public and as such no amount on accountof principal or interest on deposits from public was outstanding as on the date of thebalance sheet.
Your Directors state that no disclosure or reporting is required in respect of thefollowing items as there were no transactions on these items during the year under review:
(1) Change in nature of business
(2) Issue of shares
(3) Names of companies which have become or ceased to be its Subsidiaries JointVentures or Associate Companies during the year
(4) No significant or material orders were passed by the Regulators or Courts orTribunals which impact the going concern status and Company's operations in future.
(5) Your Directors further state that during the year under review there were no casesfiled pursuant to the Sexual Harassment of Women at Workplace (Prevention Prohibition andRedressal) Act 2013.
(6) Details in respect of frauds reported by auditors under Sec.143(12) other thanwhich are reportable to Central Government
Your Directors place on record their appreciation for the assistance and supportextended by all Government Authorities Financial Institutions Bankers Shareholders andother stakeholders and look forward to their continued support.
For and on behalf of the Board of Directors of IMC Finance Limited
|K Kannan ||SIM Lele |
|Director ||Director |
|Place : Mumbai || |
|Date : 30th May 2017 || |