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OPEN 357.00
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P/E 20.85
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OPEN 357.00
CLOSE 361.95
VOLUME 28650
52-Week high 542.00
52-Week low 193.70
P/E 20.85
Mkt Cap.(Rs cr) 2,490
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

MSTC Ltd. (MSTCLTD) - Director Report

Company director report


The Shareholders MSTC Limited

The Directors are pleased to present the 56th Annual Report on thebusiness and operations of the Company together with the Audited Financial StatementsAuditor's Report and comments of the Comptroller & Auditor General of India for theyear ended 31st March 2021.

Financial Highlights of the Company

The Profit after Tax stands at ^1010.71 Million in Financial Year2020-21 as against Rs 752.03 Million last year.

The Standalone Financial results of the Company for the financial year2020-21 and 2019-20 are given below:-

(Rs in Million)

Particulars 2020-21 2019-20
Volume of Business 1289859.00 1273912.30
Profit (Loss) before tax 1146.81 1294.91
Tax 136.10 542.88
Profit after tax 1010.71 752.03
Paid up capital (Equity) 704.00 704.00
Reserves 2845.59 2094.31
Dividend (%) 44% 33%
PBT Per Employee 3.42 3.76
Earnings per share ( Rs ) (Face value Rs10/-) 14.36 10.68

Operational Highlights:

1. Spectrum Auction: During the financial year MSTC has successfullyconducted Spectrum auction which has fetched revenue of Rs 778150 Million for Govt. ofIndia.

2. Coal Block Auction for Commercial Mining: The bidding for CommercialCoal Mine auction was concluded in the month of November 2020. Out of 38 mines put up forauction 19 mines have been successfully auctioned. The bidding portal of MSTC was able togenerate huge competition among the bidders.

3. Allotment of License for Liquor Shop: MSTC has conducted onlineauctions for Excise Department Government of Rajasthan for allotment of License forLiquor Shops in the State of Rajasthan.

4. Selection of Agency for Sand Operation in A.P.: Department of Mines& Geology Andhra Pradesh appointed MSTC for providing online bidding platform forselection of Agency to carry out Sand Operations in the State of Andhra Pradesh. In thisprocess MSTC played the role of a Transaction Advisor as well as e-tendering serviceprovider.


Financial year 2020-21 was a highly volatile and challenging year.Covid-19 changed almost every aspect of human lives in ways never imagined. The economictoll from the pandemic was unprecedented. Operational challenges mounted due to restrictedmovement and disrupted supply lines. As the Covid-19 cases continued to riseexponentially the economy declined sharply. Our focus was on our people's health &safety.

As the country navigated through the crisis the Government and theReserve Bank of India took effective measures to support a robust economic recovery. TheUnion Budget 2021 focused on regaining the growth momentum in the economy through severalmeasures including keeping tax rates stable and enhancing investments in infrastructure.

MSTC holds employee well-being in high regard. An advisory guide oncorona virus guidelines for travel to work and updated office etiquette were issued. TheCompany has taken proactive measures to comply with various directions / regulations /guidelines issued by the Government and local bodies to ensure safety of workforce acrossall its offices. Further Employees who were affected by COVID were provided withnecessary help and aid to ensure their recovery. Help was also extended to the immediatefamilies of the employees in need.

As a responsible member of the communities the Company has contributedRs 50.00 Million to the Prime Minister's Citizen Assistance and Relief in EmergencySituations Fund (PM CARES Fund). All the employees of the Company have also contributedone day salary to Prime Minister's Citizen Assistance and Relief in Emergency SituationsFund (PM CARES Fund).

Due to outbreak of 2nd wave of Covid-19 globally and in India theCompany's management has made initial assessment of likely adverse impact on business andfinancial risks on account of 2nd wave of Covid-19 and that the management does not seeany medium to long term risks in the Company's ability to continue as a going concern andmeeting its liabilities.


The Board of Directors of your Company is pleased to recommend a finaldividend of Rs 4.40 per equity share of the face value of Rs 10 each (@ 44%) payable tothose Shareholders whose names appear in the Register of Members as on the Book Closure /Record Date. The total proposed dividend for the year aggregates to Rs 309.76 Million. Thedividend pay-out will be in accordance with the Company's dividend distribution policy.The Dividend Distribution policy as formulated by the Company may be accessed at the weblink


The Reserves stand at Rs 2845.59 Million as on 31st March 2021.

Changes in Share Capital

The authorized share capital of your Company as on 31st March 2021stands at Rs 1500.00 Million divided into 150.00 Million equity shares of Rs 10.00 each.During the year under review there is no change in share capital of your company.

Directors Responsibility Statement

Pursuant to the provisions of Section 134(5) of the Companies Act2013 the Board of Directors shall state that:

a) In preparation of the Annual Accounts applicable Indian AccountingStandards (IND- AS) have been followed along with proper explanation relating to materialdepartures.

b) The Directors have selected such accounting policies and appliedthem consistently and made judgments and estimates that are reasonable and prudent so asto give a true and fair view of the state of affairs of the Company as at 31st March 2021and of the profit of the Company for the financial year 2020-21.

c) The Directors have taken proper and sufficient care for themaintenance of adequate accounting records in accordance with the provisions of theCompanies Act 2013 for safeguarding the assets of the Company and for preventing anddetecting frauds and other irregularities.

d) The Directors have prepared the Annual Accounts for the year ended31st March 2021 on a going concern basis.

e) The Directors had laid down internal financial controls of theCompany and that such systems were adequate and operating effectively.

f) The Directors had devised proper systems to ensure compliance withthe provisions of all applicable laws and that such systems were adequate and operatingeffectively.

Directors & Key Managerial Personnel

Shri Surinder Kumar Gupta Chairman and Managing Director Smt. BhanuKumar Director (Commercial) and Shri Subrata Sarkar Director (Finance) and ChiefFinancial Officer are Whole-time Directors of the Company. Shri Surinder Kumar Gupta isalso acting as Chairman and Managing Director of Ferro Scrap Nigam Limited (FSNL) andChairman of Mahindra MSTC Recycling Pvt. Ltd. (MMRPL). Smt. Bhanu Kumar is also acting asDirector of Ferro Scrap Nigam Limited. Shri Subrata Sarkar is also acting as Director ofMahindra MSTC Recycling Pvt. Ltd. (MMRPL).

During the current financial year Dr. Promodita Sathish Govt. NomineeDirector Shri Gangaram Aloria Dr. T.V. Muralivallabhan and Dr. R.S. Yeli IndependentDirectors ceased to be the member of the Board. The Board places on its record sinceregratitude for the valuable guidance and support rendered by the aforesaid Directors duringtheir long association with the company.

During the financial year Shri Awadhesh Kumar Choudhary was appointedas Govt. Nominee Director in place of Dr. Promodita Sathish.

Smt. Ruchika Chaudhury Govil Govt. Nominee director is retiring byrotation and being eligible offered herself for reappointment. The Directors recommendedher reappointment in the ensuing Annual General Meeting of the Company.

The Company has received necessary declaration and certificate from allthe Independent Directors confirming that they meet the criteria prescribed forIndependent Directors under the applicable provisions of the Companies Act 2013 SEBI(Listing Obligations and Disclosure Requirement) Regulations 2015 and rules made thereunder.

A separate meeting of Independent Directors was held during the year.

The provisions of Section 134(3)(p) of the Companies Act 2013 requirea listed entity to include a statement indicating the manner of formal annual evaluationof performance of the Board its Committees and of individual Directors. However the saidprovisions are not applicable for Government Companies as the performance evaluation ofDirectors is carried out by the Administrative Ministry as per laid down evaluationmethodology.

A brief profile of the Directors proposed to be appointed andreappointed at the ensuing AGM is provided in the Corporate Governance Report section.

The details of the Key Managerial Personnel of the Company as on thedate of this report are as follows;

SI. No. KMP Designation
1. Shri Surinder Kumar Gupta Chairman and Managing Director
2. Smt. Bhanu Kumar Director (Commercial)
3. Shri Subrata Sarkar Director (Finance) & CFO
4. Shri Ajay Kumar Rai Company Secretary & Compliance Officer

The provisions of Section 134(3)(e) of the Companies Act 2013regarding the policy on Directors appointment and remuneration including criteria fordetermining qualifications positive attributes independence of a Director and othermatters provided in Sec 178(3) are exempted for Government Companies

Related Party Transactions

All Related Party Transactions that were entered into during thefinancial year were on an arm's length basis and were in the ordinary course of business.Hence the provision of section 188 of Companies Act 2013 as amended are not attracted.Details of all related party transactions are provided in the financial statement in notesto accounts. Thus disclosures in Form AOC-2 are not required. Further there are norelated party transactions with the Directors and KMP or other designated persons whichmay have a potential conflict with the interest of the Company. All Related PartyTransactions are placed before the Audit Committee for approval.

The Company has a related party transaction policy and the same hasbeen uploaded on the website of the Company at

The details of the related party transactions during the financial yearare provided in note no. 39 of the financial statement.

Conservation of Energy Technology Absorption Foreign Exchange Earningand Outgo

In accordance with the provisions of Section 134(3) (m) of theCompanies Act 2013 read with Rule 8 of the Companies (Accounts) Rules 2014 theparticulars relating to Conservation of Energy Technology Absorption and Foreign ExchangeEarnings and Outgo are given in Annexure-I to this Report.

Corporate Governance Report

Separate details on Corporate Governance Report along with theCompliance Certificate on Corporate Governance are attached herewith as Annexure-II andform part of the Board's Report.

Management Discussion and Analysis Report

Management Discussion and Analysis Report forms part of the Board'sReport.

Business Responsibility Report

Business Responsibility Report is attached herewith as Annexure III andforms part of the Board's Report.

Annual Return

In compliance of Section 92 of the Companies Act 2013 and Rules madethereunder the Annual Return for the financial year 2020-21 is available on the Company'sWebsite at

Corporate Social Responsibility

The Company is seriously committed to social upliftment. In line withthe Companies Act 2013 Companies (Corporate Social Responsibility Policy) Rules 2014& DPE guidelines the Company has constituted a CSR Committee which functions as perthe Govt. guidelines and the Company's CSR policy. The CSR Policy of the Company has beenapproved by the Board and is hosted on the website of the Company.

The Company has transferred Rs 5.40 Million from its CSR fund on 30thMarch 2020 to PMCARES FUND in pursuance of the appeal/ directions of the Ministry ofSteel.

Annual Report on Corporate Social Responsibility as required under Rule8 of the Companies (Corporate Social Responsibility Policy) Rules 2014 is placed as

Annexure IV. Secretarial Audit

In compliance with Section 204(1) of the Companies Act 2013 and Rule 9of the Companies (Appointment and Remuneration of Managerial Personnel) Rules 2014 ShriSaumayo Jyoti Seal (Membership No. - F9766) Practicing Company Secretary has beenappointed as the Secretarial Auditor for the year 2020-21. The Report of the SecretarialAuditor as prescribed is enclosed as Annexure V to this Report.

The Secretarial Auditor has made following observations;

With respect to constitution of Board of Directors of the Company andthe committees thereof there exists shortage in the number of Independent Director duringthe financial year under review.

In this regard it is clarified that your Company is a Govt. Companyunder the administrative control of Ministry of Steel and neither the Board nor theCompany is empowered to appoint Independent Directors as the power to appoint IndependentDirector vest with Government of India as per the Government guidelines.

The Secretarial Audit Report of Company's unlisted material subsidiaryi.e. Ferro Scrap Nigam Limited (FSNL) also forms part of the Board's Report and isenclosed as Annexure VI. The Secretarial Audit Report of FSNL does not contain anyqualification reservation adverse remark or disclaimer. Auditors

Pursuant to Section 139 of the Companies Act 2013 the

Comptroller and Auditor General of India has appointed M/s. S Ghose& Co LLP Chartered Accountants (FRN: 302184E) as Statutory Auditors of the Companyfor the year 2020-21. The report of the Auditors is attached to the Financial Statementsof the Company. Management replies on the comments/observations of the Auditors are placedas Annexure VII to the Board's Report.

Comments by the Comptroller and Auditor General of India (CAG)

The comments of the CAG on the Annual Accounts of the Company in termsof Section 143(6) (b) of the Companies Act 2013 shall be deemed as part of the Board'sReport.

Number of Meetings of the Board

The Board met seven times during the financial year 202021. The detailsof number of meetings of the Board of Directors held during the year 2020-21 form a partof the Corporate Governance Report.

Disqualification of Directors

Pursuant to Section 164(2) of the Act and Rule 14(1) of Companies(Appointment and Qualification of Directors) Rules 2014 all the Directors have intimatedthat they stand free from any disqualification from being a Director.

Notice of Interest by the Directors

Pursuant to Section 184(1) of the Act Rule 9(1) of the Companies(Meetings of Board and its Powers) Rules 2014 and applicable provisions of SEBI all theDirectors have given Notice of Interest.

Committees of the Board

MSTC has constituted four committees of the Board viz. AuditCommittee Nomination and Remuneration Committee Corporate Social Responsibility (CSR)Committee and Stakeholders Relationship Committee details of which are provided in theCorporate Governance Report.

Audit Committee

The Company has in place a board level Audit Committee in terms of therequirements of the Companies Act 2013 read with rules made thereunder and Regulation 18of the SEBI

(Listing Obligation & Disclosure Requirements) Regulations 2015the details in respect of which are given in the Corporate Governance Report. Furtherthere has been no instance where the Board of Directors has not accepted therecommendation of Audit Committee.

Corporate Social Responsibility (CSR) Committee

In compliance of Section 135(1) of the Act read with Rule 5 of theCompanies (CSR Policy) Rules 2014 the Company had constituted the CSR Committee of theBoard with Smt. Aparna Chaturvedi Independent Director as Chairman Shri Awadhesh KumarChoudhary Govt. Nominee Director and Shri Subrata Sarkar Director (Finance) as members.

Subsidiary Company and Joint Venture Ferro Scrap Nigam Limited

Ferro Scrap Nigam Limited is the 100% Subsidiary of the Company. TheOperational result are given :

(Rs in Million)

Particulars 2020-21 2019-20
Total Revenue 3649.69 4098.96
Profit/(Loss) Before Tax 320.65 460.17
Profit/(Loss) After Tax 227.50 305.76

The detailed information relating to the subsidiary Company in formAOC-1 in compliance with Section 129(3) of the Companies Act read with Rule 5 ofCompanies (Accounts) Rules forms part of Annual Report as Annexure VIII.

Mahindra MSTC Recycling Pvt. Ltd

MSTC had entered into JVA with Mahindra Intertrade Limited and formed aJoint Venture Company "Mahindra MSTC Recycling Pvt. Ltd.". MSTC through this JVhas set up India's first authorised Collection and Dismantling centre at Greater NoidaChennai and Pune and also intends to set up four more Collection & Dismantlingcentres. The Company's output from the recycling operations was well received by themarket. During the year ended 31st March 2021 the Company earned an Income of Rs 98.77Million as against a figure of Rs58.32 Million in previous year.

Consolidated Financial Results

In accordance with the provisions of the Companies Act 2013 and theAccounting Standards issued by the Institute of Chartered Accountants of India yourCompany has prepared the Consolidated Financial Statement for the group including itssubsidiary and joint venture.

The Summary of Consolidated Financial Results are as follows:

(Rs in Million)

Particulars 2020-21 2019-20
Profit (Loss) before tax 1358.84 1667.43
Tax 229.25 697.29
Profit after tax 1129.59 970.15
Paid up capital (Equity) 704.00 704.00
Reserves 4875.53 4035.23
PBT Per Employee 4.06 4.85
Earnings per share ( Rs ) 16.05 13.78
(Face value Rs10/-)

Material Changes and Commitments if any affecting the FinancialPosition of the Company

There are no material changes and commitments affecting the financialposition of the Company that have occurred between the close of the financial year ended31st March 2021 and the date of Board's Report.

Details of Significant and material order passed by the RegulatorsCourts and Tribunals

No significant and material order has been passed by the RegulatorsCourts and Tribunal impacting the going concern status and the Company's operation infuture. Particulars of Loans Guarantees or Investments Details of Loan Guaranteesand Investments covered under the provisions of Section 186 of the Companies Act 2013 andRules made there under are given in the notes to the financial statements.

Public Deposits

Your company has not accepted any deposits under the Companies Act2013 during the financial year ended 31st March 2021.

Compliance with DPE Guidelines and Policies

The guidelines and policies issued by the Department of PublicEnterprise from time to time are duly complied with by the Company.

Compliance with Secretarial Standards

Your Company complies with the applicable Secretarial Standards issuedby the Institute of Company Secretaries of India (ICSI).

Internal Financial Controls

Your Company has put in place adequate internal financial controls forensuring the efficient conduct of its business in adherence with laid-down policies; thesafeguarding of its assets; the prevention and detection of frauds and errors; theaccuracy and completeness of the accounting records; and the timely preparation ofreliable financial information which is commensurate with the operations of the Company.M/s. Nirupam and Associates M/s Biswas Das Gupta and Roy and M/s P.K Chopra and Co. werethe Internal Auditor of the Company for the year and their reports are put up to themanagement at regular intervals and summarized statement of important issues are placedbefore the Audit Committee.


MSTC's IT infrastructure is by far the most sophisticated and robust inthe country to take up ecommerce services in a secure and transparent manner for more than150000 clients across the globe.

MSTC's IT Department is equipped with the powerful RISC based IBM PowerSeries Servers having robust processing power and can serve more than ten thousand ofconcurrent hits. The servers are highly energy efficient leading to saving of power andthese servers are in operation with redundancy & high availability disaster recoverymode for providing uninterrupted services to our stakeholders like Principals Bidders& other users.

Mumbai Disaster Recovery site is also having a similar set up as inKolkata Data Center.

MSTC is concerned with information security issues and has left nostone unturned to achieve maximum security by installing different OEM Next GenerationFirewall Intrusion Prevention System (IPS) Managed Distributed Denial of Service(MDDoS) SSL etc.

The much needed security features 'Write Once Media' which captures theAudit trails on a non-editable tamperproof media has been the hallmark of MSTC's e-Commerce system.

SSL Encryption

SSL (Secure Sockets Layer) is the standard security technology forestablishing an encrypted link between a web server and a client end browser. This linkensures that all data passed between the web server and browsers remain private andintegral. We have implemented 256-bit SSL in our web server with enforcement of TLS 1.2& above.

All network equipment like routers switches are from CISCO/CHECKPOINTand are totally ready for IPv6 migration. Security Appliances like Firewalls IPS are inplace to prevent unauthorized intrusion with latest signatures. Periodical ApplicationSecurity Testing is conducted by

STQC a Govt. of India Department. MSTC ensures security throughperiodical penetration vulnerability & performance testing by STQC. MSTC conducts itsbusiness through a dedicated 155.52 MBPS ILL and also has a standby ILL connectivity takenfrom a different provider and with a point-to-point(P2P) connectivity between DC & DRfor data synchronization.

MSTC has developed an in-house browser independent e- Procurementsolution with e-tendering e-reverse auction e-reverse auction with L1 matching and manyother models. General Financial Rules CVC guidelines IT Act 2000 and its Amendment of2008 have been adhered to in this e- Procurement application and the said service has beencertified by STQC.

MSTC server in Kolkata is manned round-the-clock throughout the year.The Systems dept. is well equipped with qualified professionals whose skills arecontinuously upgraded with training on latest technology.

MSTC's System Department is ISO 27001:2013 certified by STQC.

MSTC e-Commerce division is also ISO 9001:2015 Quality certified.

MSTC e-Commerce System is appraised to CMMI Level-3 Dev.

Developments of Information Technology during 2020-21

1) MSTC e-Bidding Portal on Spectrum Auctions is certified by STQCKolkata that included all the testing like Functional testing CVC and IT Act complianceAudit Web Application Security Testing Performance Testing Vulnerability Assessment& Penetration Testing and the certificate is valid till 24 th July 2022.

2) Security is in place by two different OEM Checkpoint & CISCONext Generation Firewall at two levels.

3) ISO 9001:2015 certification is also maintained as per standards andthis certificate is valid up to 9th December 2023.

4) MSTC Systems division is CMMI Level 3 appraised. The same is validup to 18th September 2022 and version upgradation is under process.

5) Imperva Write-once management device (EOL device replaced with newdevice) is in place for better management & monitoring of activities related to data.

6) Security of our corporate website was enhancedby implementing 256 bit Secured Socket Layer and this site has received compliancecertification as per GIGW from STQC and is valid till 04th February 2022.

7) Customized e-Commerce solution for Rajasthan State Excise DepartmentLiquor shop Leasing auction has been developed and made live where huge participation andrate hike is seen in a big way.

8) In 2020-21 MSTC had executed 52716 no. of Auctions/ events throughits portal as compared to previous year figure of 46535 which could not be increasedfurther due to COVID-19 pandemic.

9) MSTC In-house Java Team developed and implemented many customizedecommerce solutions like Spectrum auction portal CCI Cotton Bales/Export e-auctionportal Coal Block Auction portal for Commercial Mining HSIIDC e-auction portal IT TDSimplementation Digitally signed AL/DO Rajasthan Liquor Shop Licencing e-auction portalMeghalaya Coal Scheme implementation etc.

10. MSTC In-house dotnet Team developed and implemented many customizedsolutions like HSIIDC Software to weigh the loaded vehicles and generate billsaccordingly E-Office application Jaivikkheti Mobile App developed in REACT NATIVE(Earlier it was there but it was based on web view) MSTC eAuction App Single Sign On anddash board for accessing the Internal Apps etc.

11. In FY 2020-21 MSTC has generated revenue from operations fromservice charges on e-Commerce to the tune of Rs 2027.80 million (previous year '1831.40million).

12. 40 nos. of new agreements were signed with Principals during FY2020-21 in e-Commerce.

13. During FY 2020-21 MSTC has generated Rs 73.50 million revenuethrough development of Customised Portal with new features.

14. In FY 2020-21 MSTC has signed 5 nos. of new Agreements withPrincipals for providing solution with QCBS based procurement for goods and services.

15. MSTC has implemented Data Analytic Tools with effect from 19thFebruary 2021 as value added service to its auction portal.

16. In FY 2020-21 MSTC has procured goods and services through GeMportal and such procurement percentage comes to 34.10% of total procurement made duringthe FY 2019-20.


The Memorandum of Understanding (MoU) with the Government of Indiasetting performance parameters and targets for the year 2020-21 was signed by Chairman andManaging Director of the Company and Secretary (Ministry of Steel) Govt. of India on23rd November 2020. MoU targets for the Company continue to be more challenging andtougher over the years. However the Company has been continuously striving to achieve newheights in terms of performance numbers surpassing all previous achievements. Theperformance rating for the financial year 2020-21 is under evaluation.

Human Resource Development (HRD)

MSTC Limited has always considered its human resource as the mostimportant resource. With the increase in volume of business and employees retiring fromthe Company recruitment has been undertaken at the entry level of both executive cadreand Junior Computer Assistant posts. Total of 06 (six) persons have joined our companythrough direct recruitment during the year 2020-21.

Since we are a people oriented company development of employeesthrough training has been an important area of HR activities. Emphasis was laid oncompetency building of employees for higher roles in the Company. The company has trained12 (twelve) executives so far and 04 (four) more have been nominated in various trainingprograms held by Centers of excellence in India on topics for capability enhancement andskill development. The topics for training were chosen to promote overall development andto foster understanding collaboration teamwork and leadership qualities amongst theemployees in the organization. Further 119 executives so far and 50 more have beennominated were trained in-house for development of their capabilities.

Welfare of Weaker Sections

The Presidential Directives issued from time to time in regard toreservation relaxation concession etc. for the SC/ST/OBC/PWD candidates pertaining tothe policies and procedures of the Government were duly observed. The directives inmatters concerning recruitment and promotion regarding the weaker sections have been dulycomplied with. All Departmental Promotion Committees and Selection Committees (in case ofrecruitment) constituted during the year had representatives of SC/ST community. Out of 06(six) no. of persons recruited during the year 01 (one) person belonged to OBC category.

During the year 8 ST 16 SC 30 OBC and 4 PWD employee of the Companywere sponsored for in-house and Institutional training programmes. In addition allpossible cooperation and assistance was provided to the MSTC SC/ST Employees' Councilwhich function primarily to safeguard the interest of the reserved section of employees ofthe Company.

Empowerment of Women

MSTC is a Corporate Life Member of Forum of Women in Public Sector(WIPS) and women employees were nominated in the programs organized by WIPS. InternalComplaints Committees constituted in all the offices of MSTC have been functioningsuccessfully. Periodical meetings and Complaint redressal awareness programs etc. arealso duly conducted by the Committees.

Disclosure under Section 22 of the Sexual Harassment of Women atWorkplace (Prevention Prohibition and Redressal) Act 2013.

MSTC has in place a mechanism for prevention and redressal of sexualharassment of women employees at the workplace in accordance with the Sexual Harassmentof Women at Workplace (Prevention Prohibition and Redressal) Act 2013. InternalComplaints Committees (ICCs) have been set up in all the offices of the Company forrendering necessary assistance to and dealing with complaints if any of all the womenemployees of the Company. All employees (permanent outsourced trainees etc.) are coveredunder this policy. Workshop are held with an objective to create awareness among theemployees.

(a) Number of Complaints filed during the financial year 2020-21 : Nil

(b) Number of complaints disposed off during the financial year 2020-21: NA

(c) Number of Complaints pending as on end of the financial year2020-21 : Nil


EX 92* 9 2 4 4 16 0 6 7 8 15 1 9 10 9 7 0 7 10 7 5 8 236
NEX 30 7 0 1 0 9 0 1 1 0 12 0 5 7 3 10 0 1 7 3 0 2 99

*Posted in MMRPL.


A 236 34(14.40) 16(6.77) 59(25.00) 8(3.38)
B 5 2(40.00) NIL NIL NIL
C 88 18(20.45) 3(3.40) 23(26.13) 2(2.27)
D 6 2(33.33) NIL NIL NIL
TOTAL 335 56(16.71) 19(5.67) 82(24.47) 10(2.98)


Groups Male Female Total
EX 195 41 236
NEX 82 17 99
TOTAL 277 58 335

Grievance Redressal Mechanism

Your Company is providing Public Grievance Redressal Cells. There aretotal 8 (eight) cells in regions and branches of the organisation and there are a NodalOfficer and a Public Grievance officer in the Head Office. There is facility of onlineregistration for lodging grievance on the Company's website MSTC hasalso implemented Centralized Public Grievance Redressal and Monitoring System (CPGRAMS)for online receipt and disposal of public grievances so that grievance can be sorted outimmediately and to take action to solve the cases. Some grievances are also received bypost. Action is taken to address and redress grievances received from outside and fromstaff of the organisation.

Apart from the cells a Grievance Committee is also constituted at HeadOffice. The Grievance Committee makes recommendations after examination of the grievancesand comments obtained from the concerned department/ region/branch. The GrievanceCommittee meets at periodic intervals to review the cases. The Centralized PublicGrievance Redressal and Monitoring System (CPGRAMS) and Public Grievance site of theCompany are monitored regularly by the Head Office. Report on Public Grievance Redressalis sent to the Administrative Ministry.

Statement of Public Grievances for the period of 01.04.2020 to31.03.2021

Grievances outstanding as on 01.04.2020 Grievances registered in 2020-21 Grievances redressed in 2020-21 Grievances outstanding as on 31.03.2021
02 30 29 03

Right to Information Act 2005

Your Company has aligned with the online RTI portal launched by DoPTand all the applications / appeals received through the portal have been disposed offthrough the portal namely

Provisions of RTI Act 2005 were complied with for processing the RTIapplications and appeals received in all offices of MSTC. There is one TransparencyOfficer one First Appellate Authority one CPIO one Nodal Officer in MSTC Head officeand every region/branch has one PIO for effectively processing the RTI applicationsreceived at various locations of the Company.

All quarterly reports have been uploaded online on CIC site. During 1stApril 2020 to 31st March 2021 a total 88 RTI applications have been received throughonline and by post. A total of 23 First Appeals have been received. Out of the above 84RTI Applications and 19 First Appeals have been disposed of. The remaining RTIapplications/appeals are under process.

Official Language

Continuous efforts are being made for publicity and effectiveimplementation of official language in all the units of the company and the progress madein this regard is being continuously reviewed and monitored. Official Language MonitoringCommittee has been reconstituted during the financial year.

Efforts to Promote Use of Official Language:

In order to promote use of Official Language in your Company thefollowing activities had been undertaken:

(a) Hindi Computer Workshops;

(b) Development of e-office software to promote use of Hindi

(c) In-House Hindi Training;

(d) Induction Programme for newly joined Officers/ Supervisors;

(e) Implementation of various incentive schemes.

Chairman and Managing Director participated in the half yearlye-meeting organized by Narakas on 26 th August 2020 and Officials also enthusiasticallyparticipated in various competitions organized by Narakas.

"E-Rajbhasha Trimas-2020" was organized online among allIndia MSTC offices. During this period Hindi competitions and workshops were organized inHead Office Regional and Branch Offices. It had 114 prizes in various Hindi competitions.

Rajbhasha Award:

MSTC has received the first award in corporate office category for thebest performance in the field of official language implementation.

Company has also received appreciation for implementation of officiallanguage from the Parliamentary Official Language Committee.

Vigilance Setup

Vigilance is defined as watchfulness and alertness. Being watchful& alert and thereby ensuring a corruption free environment in the organization is theresponsibility of the Vigilance department. MSTC Ltd is having a full-fledged Vigilancesetup headed by the Chief Vigilance Officer (CVO) who is appointed for a fixed tenure bythe Central Government with the approval of Central Vigilance Commission (CVC). The CVOand the vigilance setup functions as the extended arm of CVC the apex statutoryanticorruption body of the Nation. The Vigilance department also acts as a link betweenthe organisation and other anti-corruption agencies like CBI Anti-Corruption Branches(ACB) of State Governments and Administrative Ministry etc. on vigilance related matters.

Vigilance function essentially is a management function and is part ofthe checks that are required for healthy growth of the organization. Vigilance departmenttakes up the anticorruption fight mainly on two fronts - Preventive & Punitive. Itincludes detecting irregularities analysing and finding out reasons for suchirregularities and making effective systemic improvements to curb them.

During the year 2020-21 19 inspections were carried out by Vigilanceincluding surprise checks. 86 Property Returns were scrutinized and 48 Audit Reportsexamined. 46 Complaints received in MSTC; 41 Complaints disposed. 03 taken up for detailedInvestigation (02 from complaints and 01 from scrutiny of files). 04 Preventive VigilanceTraining Module organized covering 32 employees at induction level and 71 employees at midcareer level 01 vendor meet organized 03 Workshops were held for sensitization ofemployees as well as refresher courses for Vigilance Officers. Besides 03 DepartmentalInquiries initiated. Punitive action initiated against 04 below board level officials.Such examinations/investigations have resulted into initiation of various systemimprovement measures.

Systemic Institutional changes implemented;

• Standardization in the process for receipt/custody of APR.

• CDA rule pertaining to schedule of delegated powers-Disciplinary Authority in Minor / Major penalty cases .

• Whistleblower policy / vigil mechanism.

• OTP based login of the bidder's/seller's login augmenting thesecurity aspects.

• Strengthening of internal controls on (i) pursuance ofoutstanding debtors; (ii) reconciliation of funds/ accounts and adjustments in timelymanner; (iii) settlement of temporary advances and (iv) maintaining another level ofreview and approval performed by an individual independent of the process has beenimplemented.

• Leveraging of IT in invoicing (Format III) online medical billsubmission and reimbursement.

Some other System Improvements have been suggested by vigilance whichare under consideration of management.

Vigilance Awareness Week - 2020 was observed with the theme"Vigilant India Prosperous India" in all offices of MSTC w.e.f 27th October2020 to 2nd November 2020. Internal (housekeeping) activities as indicated in the CVCguidelines on the observance of VAW was taken up in campaign mode. Various activities viz;Pledge taking poster competition Essay writing Slogan writing Quiz ElocutionCompetitions Lecture by an eminent speaker Vendors meet Customer grievance redressalcamp etc organized to create awareness about vigilance involving the participation ofemployees their dependents and other stakeholders. A special magazine and pamphlet onwhistleblower and other anti-corruption measures has been brought out on the occasion.Second edition of special vigilance magazine named Jaagrat was also brought out duringthe period.


The Board of Directors wish to place on record their gratitude to theHon'ble Union Minister for Steel Hon'ble Minister of State for Steel Secretary (Steel)Additional Secretary and FA (Steel) and other officials of the Ministry of Steel DefenceMinistry Coal Ministry Mining Ministry Civil Aviation Petroleum Natural Gas Ministryand various other Central Government Ministries all State Governments various Centraland State public sector undertakings private companies the bankers our principals andothers for their valuable assistance and guidance extended to the Company during the year.The Directors express their gratitude to all stakeholders customers and suppliers for thetrust and confidence reposed by them on your Company year after year.

The Directors mourn the loss of life due to COVID-19 pandemic and aredeeply grateful and have immense respect for every person who risked their life and safetyto fight this pandemic.

Your Directors also place on record the appreciation of the sincereefforts made by employees which has resulted in excellent performance of the Company.

For and on behalf of the Board of Directors
Place : Kolkata (Surinder Kumar Gupta)
Date : June 25 2021 Chairman and Managing Director
[DIN :08643406]