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Kusum Iron & Steel Ltd.

BSE: 513625 Sector: Metals & Mining
NSE: N.A. ISIN Code: INE397E01014
BSE 05:30 | 01 Jan Kusum Iron & Steel Ltd
NSE 05:30 | 01 Jan Kusum Iron & Steel Ltd

Kusum Iron & Steel Ltd. (KUSUMIRON) - Director Report

Company director report

Dear Shareholders

The Directors have pleasure in presenting the Twenty Fourth Annual Report together withthe Audited Accounts for the year ended 31st March2014.

FINANCIAL RESULTS

(Rs.in Lakh)

For the Year ended 31-03-14 For the Year ended 31-03-13
1. Turnover 144.41 0.54
2. Total Expenditure 129.86 5.05
3. Interest - -
4. Gross Profit/(Loss) . 14.55 (4.51)
5. Depreciation 8.03 8.17
6. Provision For Taxation - -
7. Net Profit/(Loss) (4-5-6) 6.52 (12.68)

PRODUCTION

There was no production during the year due to power cut and Labour Problem.

DIVIDEND

Due to non availability of distributable profit the Directors regret their inabilityto recommend any dividend in respect of Equity Shares for the year under review.

DIRECTORS

In accordance with the provision of the Companies Act 1956 and the Company's Articlesof Association Sri Naresh Kumar Agarwala and Sri Sanjay Kumar Agarwala Directors of theCompany retire by rotation and being eligible offer themselves for re-appointment.

DIRECTORS' RESPONSIBILITY STATEMENT

Pursuant to Section 217(2AA) of the Companies (Amendment) Act 2000 the Directorsconfirm that:

(i) in the preparation of the annual accounts the applicable accounting standards hadbeen followed along with proper explanation relating to material departures;

(ii) 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 profit or loss of the company for that period;

(iii) the directors had taken proper and sufficient care for the maintenance ofadequate accounting records in accordance with the provisions of this Act for safeguardingthe assets of the company and for preventing and detecting fraud and other irregularities;

(iv) the directors had prepared the annual accounts on a "going concernbasis".

THE CORPORATE GOVERNANCE CODE :

The Company has complied with the conditions of Corporate Governance as stipulatedunder the Listing Agreement with the Stock Exchanges. A separate section on CorporateGovernance along with a certificate from the Auditor's for the compliance is annexed andforms part of this report.

SUBSIDIARIES :

The Company has no subsidiaries within the meaning of Section 4 of the Companies Act1956.

INFORMATION PURSUANT TO SECTION 217(1)(e) OF THE COMPANIES ACT.1956 :

Information 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 regardingconservation of energy technology absorption foreign exchange earning and outgo is notapplicable for your company during the year under review.

AUDITORS

M/s.R.K.BIHANI & ASSOCIATES Chartered Accountants Auditors of the Company retireat the ensuing Annual General Meeting and being eligible offer themselves for reappointed.The company has received a certificate from the Auditor's that they are qualified underSection 224(1 B) of the Companies Act 1956 to act as the Auditors of the Company ifre-appointed.

PARTICULARS OF EMPLOYEES

None of the employee of the Company is drawing remuneration exceeding the limitsspecified under Section 217(2A) of the Companies Act 1956 read with the Companies(Particulars of the Employees) Rules 1975.

PUBLIC DEPOSIT

The Company has not accepted any deposit(s) within the meaning of Section 58A of theCompanies Act 1956 and the rules made thereof.

FOREIGN EXCHANGE EARNING & OUTGO ACTIVITIES

There is neither inflow nor outflow of Foreign Exchange.

INDUSTRIAL RELATIONS

The factory remained closed through out the year and the Industrial relations continuedto be strained.

On 09-05-1997 the Electricity Department disconnected the line. The ElectricityDepartment raised the differential bill from 01-04-1995 to 30-04-1997. The Company hasdisputed the demand and filed a petition against the above demand to Kolkata High Court.The Honb'le High Court referred the Case to the Chief Electrical Inspector West Bengaland the Case is under process. The Company has also disputed bill amounting to Rs.1283751/- raised during the Financial Year 1998-99. The Chief Electrical Inspectorawarded the same and directed W.B.S.E.B. to issue revised Bill. SubsequentlyW.B.S.E.D.C.L. has issued revised bill for Rs.5196125/-.

AUDITOR'S REMARK

With reference to the observations made by the Auditors in their report the directorsare to state that the notes submitted by the Board as contemplated under section 217(3) ofthe Companies Act 1956; forming part of the Company's Accounts are self explanatory andtherefore do not call for any further clarification.

Registered Office: For and on behalf of the Board
"Mitruka House"
42-M.G.Road
Siliguri-734005
Director Director
Dated:- The 30th day of May 2014