ONIDA FINANCE LIMITED
ANNUAL REPORT 2001-2002
To the Members,
Your Directors submit the 12th Annual Report together with the Audited
Accounts for the financial year ended 31st March, 2002.
The capital market remained depressed during the year under review due to
which the operations of the company also remained subdued. The liquidity
conditions remained affected due to delay and non-payment of various
installments due to the company by its customers under the leasing/hire
purchase agreements. The company has already filed various suits in courts
for recovery of its dues. The process of initiating legal proceedings
continued during the year.
In view of the losses incurred by the company the directors do not recom-
mend payment of any dividend.
Mr. K.D. Dwivedi, Director on the Board retire by rotation at the forth-
coming Annual General Meeting and does not seek reelection.
Mr. A. K. Jha, has been appointed on the Board as a Director of the Company
in place of retiring Director, Mr. K.D. Dwivedi.
Mr. Anii JaiH(w.e.f. 19th March, 2002) had been appointed as an Additional
Director of the company and shall hold office upto the ensuing annual
general meeting. The Company have received notices from members pursuant to
section 257 of the Companies Act, 1956 signifying their intention to
propose the candidature of the aforesaid persons for the office of
M/s. J. L. Garg & Co. Chartered Accountants, New Delhi, Auditors of the
Company hold office until the conclusion of the ensuing Annual General
Meeting and are recommended for re-appointment.
AUDITORS' REPORT :
The observations made in the Auditor's Report are self explanatory and do
not require further clarification.
FIXED DEPOSITS :
The Company had outstanding matured Fixed Deposits of Rs. 113.78 Lac as on
31.03.2002 as compare to the last year, which was Rs. 353.43 Lac. As compa-
red to the last year, there is a decrease in the liability of the Company
by around 67.8% of Fixed Deposits. The order of the Company Law Board dated
13.10.98 stands vacated by the order of the Delhi High Court dated
14.08.2001. The Company is now able to repay to its Depositors and is in
the process of further repaying. The Company has a target of repaying its
Fixed Deposits in full in the forthcoming year.
NON CONVERTIBLE DEBENTURE :
The Company had outstanding matured Non-Convertible Debentures of Rs.
491.83 Lac as on 31.03.2002 as compared to the last year which was Rs.
569.59 Lac. The redemption of the Non-Convertible Debentures of the Company
had been delayed due to circumstances beyond the control of the Company and
the liquidity crises which the Company is facing now has mismatched cash
flows. However, the Company is trying its best to satisfy its liabilities
towards its debenture holders. There is a downfall in the liability of the
Company by around 13.65% of Debentures in the year. The Debentures are
secured by way of mortrgages/ charges in favour of the ICICI (the trustees)
of immovable and movable assets. The ICICI (trustees) has filed the case in
the Mumbai High Court for execution of Trust Deed. The same is pending for
LISTING OF SECURITIES AND DEMATERIALISATION OF SHARES :
The Company has entered into a Triplicate agreement on 21.06.2002 with the
Registrar and National Seucrities Depository Limited (NSDL) for entering
into the depository system. Accordingly the equity shares of the Company
can be held in Electronic Form with any Depository participant (DP) with
whom the member/investor have their Depository account.
In case of any difficulty members may contact to Company's Share Transfer
agent at the following adddress BEETAL FINANCIAL AND COMPUTER SERVICES (P)
LTD., 321-S, CHIRAG DELHI, NEAR SHAHEED BHAGAT SINGH COLLEGE, NEW DELHI-
FOREIGN EXCHANGE EARNING AND OUTGO :
The Details are as Follows :
a) Foreign Exchange earnings : Nil
b) Foreign Exchange outgo : Nil
Considering the nature of activities undertaken by your company, the other
particulars in the Companies (Disclosure of Particulars in the Report of
Board of Directors) Rule, 1988 are not applicable.
None of the employees of the Company is covered under the provisions of
Section 217 (2A) of the Companies Act, 1956 read with the Companies
(Particulars of Employees) Rules, 1975.
DIRECTORS RESPONSIBILITY REPORT :
Pursuant to Section 217 (2AA) of the Companies Act, 1956, your Directors,
hereby, confirm the following :.
1. Appropriate accounting policies have been selected and applied consis-
tently and judgements and estimates that are reasonable and prudent have
been made, so as to give a true and fair view of the state of affairs of
the company at the end of financial year and of the profit or loss of the
company for the year under review
2. Proper and sufficient care for the maintenance of adequate accounting
records in accordance with the provisions of the Companies Act, 1956, has
been taken for safeguarding the assets of the Company and preventing and
detecting fraud and other irregularities, to the best of our knowledge and
3. The annual accounts for the financial year ended 31st March, 2002 have
been prepared on a "going concern basis".
Your Directors express their sincere thanks to the shareholders for the
confidence and the faith reposed in the management and place on record
their appreciation of the dedicated services rendered by the employees of
the company at all levels.
For and on behalf of the Board
COL. A.C. SACHDEV
Place: New Delhi MR. ANIL JAIN
Date : 20-08-2002 DIRECTOR