MLG INDUSTRIES LIMITED
The Directors have pleasure in submitting the fifteenth Annual Report
together with audited accounts for the year ended on 31st March, 1998.
Since the company's factory are in possession of the Haryana Financial
Corporation. the manufacturing activities of the company are not
continuing. Your company has already instituted a suit against Haryana
The Financial position of the company is not good. The company has been
passing through heavy resources crunch. Your company has also not been able
to mobilise any resources due to inconducive financial market of the
The Board of Directors after examination of accounts for the financial year
1997-98 particularly the provisions of interest and financial status of the
company, it has formed the opinion that the company has became sick as per
provisions of clause o of sub section (1) of section 3 of the Sick
Industrial Companies (Special Provisions) Act, 1985. The same has also been
reported in the Report of Auditors of the company for abovesaid financial
At the fortheoming Annual General Meeting, Members are required to appoint
Auditors for the current year. M/s. N. C. Raj & Associates, Chartered
Accountant, Delhi may be appointed at the place of M/S Deepak Bansal &
Associates who retires by rotation and who shall hold office till the
conclusion of next Annual General Meeting of the company. The Board
recommend their appointment for your approval.
There are three companies which are subsidiary of your company namely
Brahma Products Pvt. Ltd., Delhi Synthetic Pvt. Ltd. and Bhawana Chemicals
Ltd. and the statement of accounts of the said companies for the year ended
on 31.03.1g98 together with Directors and Auditors Report thereon form
parts of this report and attached. A statement pursuant to section 212 of
the Companies Act, 1956 is attached herewith.
During the year of report, your company-has not accepted any deposit under
section 58A of the Companies Act, 1956.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNING
CONSERVATION OF ENERGY
The company has already installed required equipments for conservation of
energy and has commissioned energy saving devices.
The. company has not entered into any collaboration or arrangement for
absorption of technology or know how during the year of report.
FOREIGN EXCHANGE EARNING AND OUTGOING
During the year of report company has not entered/involved into any
transaction involving any foreign technology.
As no employee is getting remuneration of more then Rs.3,00,001- (Rupees
Three Lakhs only) per annum or more then 25,000/- (Rupees Twenty five
thousand only) per month, if employed for part of the year. The statement
required under section 217 t2A) of the Companies Act, 1956 is not required.
The Board of Directors wish to place on record the sincere appreciation and
assistance/support received from its employees, Banks, Financial
Institution and other Government Authorities.
FOR AND ON BEHALF OF THE BOARD
Place: Delhi NARESH KUMAR GUPTA
Date : 02.04.1998 Managing Director