KUSHAL DIAMONDS LIMITED
Your Directors have pleasure in presenting the Seventh Annual Report
together with the Audited Accounts for the Year ended 31st March, 1996.
1. OPERATING PERFORMANCE
Due to the general downward trend in the economy and the liquidity crunch
the country has been facing, the performance of our Company has been
affected. The sales of the Company have decreased by 69.25% against
previous year. In view of the improvement in the international market and
changes in domestic market the Company expects to do well in the current
2. FUTURE PROSPECT OF THE COMPANY
Bright prospect exist for ready-made Gold Jewellery (plain and
stone studded) Export to the middle east and also far east countries.
Your Company has received export enquiries and your Directors are
working to enter the Gold Jewellery Export Business so as to turn around
the Company in view of the poor and recessionary trend in Diamond Trade.
During the year Company has incurred Loss, hence your Directors are unable
to recommend dividend for the year ended 31st March, 1996.
During the year Mr. Subhash Chanana. Mr. Shamm Chanana. Mr. Mazhar Kapadia
have resigned from the directorship and the Board of Directors appreciated
the services rendered by them during their tenure and valuable guidance
given to the Company.
In accordance with the provisions of the Companies Act, 1956 and the
Articles of Association of the Company, Mr. A.K. Patel will retire by
rotation and being eligible, offer himself for reappointment.
During the year Company appointed Mr. Vipul Amodwala as an additional
Director under Section 255 of the companies Act, 1956. Who can hold the
office upto ensuing Annual General Meeting and he has offered himself for
5. PARTICULARS OF EMPLOYEES
The information required under Section 217(2A) of the Companies Act, 1956
read with the Companies (Particulars of Employees) Rules, 1975 is not given
as there is no employee employed during year 1995-96 or part thereof, as
mentioned under Section 217(2A).
M/S. A.J. Baliya & Associates, Chartered Accountants, the Auditors of the
Company will retire at the conclusion of the ensuing Annual General Meeting
and being eligible, offers themselves for reappointment.
7. AUDITORS' REPORT
The notes referred to by the Auditors to their report are self explanatory
and hence do not required any explanation.
8. FIXED DEPOSITS
During the year under the review, the Company has not taken any deposits
9. CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE
EARNINGS AND OUTGO
The particulars of conservation of energy and Technology Absorption
required under Section 217(1)(e) of the Companies Act, 1956, read with the
Companies (Disclosure of Particulars in the Report of the Board of
Directors) Rules, 1988 are not given as there is no such activities at
present being carried on by the Company.
Foreign Exchange earnings and outgo:
i) Foreign exchanges earnings 16,60,961
ii) Freight, insurance & Carriage Nil
iii) Foreign exchange outgo
(Travelling, Exps.) 9,88,780
Your Board of Directors would like to place on record its sincere
appreciation for the whole hearted support and contributions made by all
its employees from across the Company, as well as the Banks. Distributors,
Suppliers, other business associates towards the conduct of efficient
operation of your Company.
For and on behalf of the Board of Directors
For KUSHAL DIAMONDS LIMITED
Place : Mumbai
Dated : 3rd August 1996.