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Rajkumar Forge Ltd.

BSE: 513369 Sector: Engineering
NSE: N.A. ISIN Code: INE013J01016
BSE 00:00 | 11 Aug 45.65 -3.35
(-6.84%)
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NSE 05:30 | 01 Jan Rajkumar Forge Ltd
OPEN 47.30
PREVIOUS CLOSE 49.00
VOLUME 2861
52-Week high 64.70
52-Week low 37.55
P/E 13.31
Mkt Cap.(Rs cr) 50
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 47.30
CLOSE 49.00
VOLUME 2861
52-Week high 64.70
52-Week low 37.55
P/E 13.31
Mkt Cap.(Rs cr) 50
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Rajkumar Forge Ltd. (RAJKUMARFORGE) - Director Report

Company director report

Dear Members

Your directors are pleased to present the 32nd Annual Reportof Rajkumar Forge Limited ("Your Company /the Company") along with the AuditedFinancial Statements for the financial year ended March 31 2022.

Your Company is customers' preferred choice when it comes to Open DieForgings which caters to the majority of industries viz Oil & Gas InfrastructurePower transmission mining and construction. Your Company continuous endeavor towardstimely delivery of quality and competitive forged components to its customers have notonly made Rajkumar Forge a reliable supplier in India but also outside India. RajkumarForge is a part of the Western India Forgings Group based in Pune Maharashtra since 2016pursuant to the takeover of the Promoters stake by Western India Forgings Pvt Ltd. Withits strategic location to its key customers in Pune backed by the highest standardproduction facilities and a vast experience of Western India Forgings group Your Companyis well-positioned and has an edge over its competitors to cater the needs of Open DieForged components

1. FINANCIAL HIGHLIGHTS:

(Rs in Lakhs)

Particulars Financial Year 2021-22 Financial Year 2020-21
Revenue from Operation (Net of Taxes) 6722.32 4044.30
Other Income 90.65 17.54
Total Income 6812.97 4061.84
Expenses excluding Finance Cost and Depreciation & Amortization Expenses 6061.99 3404.81
Profit for the year before Interest Depreciation & Amortization 750.98 657.03
Finance Cost 62.20 62.15
Depreciation & Amortization Expenses 152.59 155.85
Profit for the year before exceptional items and tax 536.19 439.04
Exceptional Items 0.00 0.00
Profit before Tax 536.19 439.04
Tax Expenses
• Provision for Income Tax 151.35 73.28
• Deferred Tax 9.21 7.61
Profit for the Year 375.63 358.14
Earnings Per Share
• Basic 3.43 3.27
• Diluted 3.43 3.27

The above-mentioned figures are extracted from Financial Statementsprepared in accordance with the Indian accounting standards (IND AS).

2. OPERATIONS AND STATE OF AFFAIRS:

Your Company's Performance reflected the overall economic climate theimpact of strategic steps implemented during the last few years and our supressed positionin the supply chain. Overall performance of the Company during the year was satisfactorygiven the backdrop of Recurring waves of covid-19 infection virus mutations lockdownsgeopolitical tensions and consequent supply-chain disruptions and global inflation createdparticularly turbulent and challenging times.

Your Company registered revenue from operations during the currentfiscal of Rs 6722.32 Lakhs as against Rs 4044.30 Lakhs in the previous year. The Profitbefore Tax (PBT) for the current fiscal stood at Rs 536.19 Lakhs as against Rs 439.04Lakhs in the previous year and Profit After Tax (PAT) for the current fiscal stood at Rs375.63 Lakhs as against Rs 358.14 Lakhs in the previous year.

During the current financial year there were substantial increases inthe commodities prices in the range of 20% to 40% resulting into increased input coststhat could not be passed fully on to the customers which has impacted profitability ofyour Company.

Your Board is also pleased to inform you that the affairs of theCompany are functioning smoothly and appropriately in compliance with all the applicablelaws and regulations.

Outlook of the business has been discussed in detail in the ManagementDiscussion and Analysis which forms part of this Annual Report.

MANAGEMENT DISCUSSION & ANALYSIS REPORT

The Management Discussion and Analysis Report for the year underreview as stipulated under Regulation 34 of Securities and Exchange Board of India(Listing Obligations and Disclosure Requirements) Regulations 2015 ("the ListingRegulations") is separately set out and forms part of this Annual Report.

3. IMPACT OF COVID 19:

This year is the third financial year since the day when the COVID-19pandemic has emerged as a global challenge which has led to unprecedented socio-economicdisruption worldwide. During the fiscal year 2021-2022 our Country witnessed the secondWave of the COVID-19 pandemic which has deepened the health crises in the country with farmore high positivity as well as mortality rates than the first wave. Consequently theeconomic activities were slowed down and have affected the performance of your Company tosome extent. Your Board has and shall continue to closely monitor the situation. The Boardcontinues to take appropriate measures to ensure the minimalistic impact on itsoperations taking into consideration the safety and health of all its employees therebyprotecting the interest of all the stakeholders of the Company at large.

Amidst the challenging situations imposed by waves of COVID-19Pandemic Your Company managed to continue its operations efficiently.

• INSTABILITY IN GLOBAL POLITICAL ENVIRONMENT:

During the last quarter of the year under review the global economywitnessed an outbreak of war between Ukraine and Russia which has resulted into thefollowing major impacts:

i. Surging Inflation: Increasing commodity prices includingferrous-nonferrous metals crude oil and gas edible oils etc.

ii. Shortage of essential commodities due to interruption of logisticsfor the foreign trades

iii. Weakening of Indian Currency along with the currencies of allemerging economies.

This crisis unfolds while the global economy was on a mending path buthad not yet fully recovered from the COVID-19 pandemic.

In addition to the war frequent and wider-ranging lockdowns inChina—including in key manufacturing hubs—have also slowed activity there andcould cause new bottlenecks in global supply chains.

To sum up these impacts will severely set back the global recoveryslowing growth and increasing inflation even further which ultimately has the cascadingeffect and instability of global economy.

Your Board is of the opinion that all these factors may have adverseimpact on the sectors to/in which your Company caters/ operates and the performance of thecompany might be affected in the near/ medium term. However the longterm outlookcontinues to be positive.

4. DIVIDEND:

Given the uncertain economic outlook and with a view to conserve theresources in long run the Board has not recommended any Dividend for the financial yearended March 31 2022.

5. CHANGE IN THE NATURE OF BUSINESS IF ANY:

During the financial year ended March 31 2022 there was no change inthe nature of the Company's business.

6. SHARE CAPITAL:

There was no change in the authorized as well as paid-up share capitalof the Company during the year under review.

The current Authorized Capital of the Company is Rs 132500000/-divided into 12500000 Equity shares of Rs 10/- each and 750000 4% Non-CumulativeRedeemable Preference Shares of Rs 10/- each and Paid-up Capital of the Company is Rs109394000/- divided into 10939400 Equity Shares of Rs 10/- each.

7. TRANSFER TO RESERVES:

The Board of Directors has decided to retain the entire amount ofprofit for the financial year ended March 31 2022 in the profit and loss account. TheCompany has not transferred any amount to General Reserves during the financial year endedMarch 31 2022.

8. PUBLIC DEPOSITS:

During the year under review your Company has not accepted anydeposits from the public falling within the purview of Section 73 of the Companies Act2013 ("the Act") read with the Companies (Acceptance of Deposits) Rules 2014.

9. PARTICULARS OF CONTRACTS OR ARRANGEMENTS MADE WITH RELATED PARTIES:

All contracts/ arrangements/ transactions entered by the Company duringthe financial year under review with related parties were on an arm's length basis andwere in the ordinary course of business. Such transactions form part of the notes to thefinancial statements provided in this Annual Report. All Related Party Transactions("RPTs") are placed before the Audit Committee for prior approval. Prior omnibusapproval of the Audit Committee is obtained for the RPTs which are repetitive in nature orwhen the need for these transactions cannot be foreseen in advance. On a quarterly basisdetails of such transactions were placed before the audit committee for noting/review.(w.e.f January 01 2022 Related Party Transactions are being approved only by members whoare Independent Directors)

The information for related party transactions as required under Rule8(2) of the Companies (Accounts) Rules 2014 in prescribed Form AOC-2 is enclosed as'Annexure A' to this Report. Your attention is drawn to the Related Party disclosures setout in Note no. 39 of the Standalone Financial Statements.

Your Company has already adopted a Policy for dealing with RelatedParty Transactions which is subject to review and revision of Audit Committee and Board.The revised and updated policy on Related Party Transaction as approved by the Board hasbeen displayed on the Company's website athttps://rkforge.in/wp-content/uploads/2022/04/Related-Party-Transaction-Policy-Version3-April-2022-V2-Reviewed-and-Finalised.pdf

10. MATERIAL CHANGES AND COMMITMENTS IF ANY AFFECTING THE FINANCIALPOSITION OF THE COMPANY:

There has been no material change and commitment affecting thefinancial position of your Company which has occurred between end of financial year towhich the financial statements relate and the date of this Report.

11. SUBSIDIARIES JOINT VENTURE AND ASSOCIATE COMPANY:

The Company does not have any subsidiary joint venture and associatecompany during the year under review.

12. PARTICULARS OF LOANS GUARANTEES AND INVESTMENTS:

There were no loans guarantees and investments made by the Companyunder Section 186 of the Act during the period under review.

13. SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS:

There are no significant and material orders passed by theRegulators/Courts which would impact the going concern status of the Company and itsfuture operations.

14. INTERNAL FINANCIAL CONTROLS:

The internal financial controls with reference to the financialstatements are commensurate with the size and nature of business by virtue of internalaudit of the Company. Internal Audits are periodically conducted by an external firm ofChartered Accountants who monitor and evaluate the efficiency and adequacy of internalcontrol systems in the Company its compliance with operating systems accountingprocedures and policies of the Company. Board also takes quarterly review of internalaudit functioning and accounting systems in order to take suitable corrective actions incase of any deviations. During the year such controls were tested and no materialweaknesses were observed.

15. DIRECTORS AND KEY MANAGERIAL PERSONNEL:

DIRECTORS:

During the year your Company has optimum combination of executive aswell as non-executive Directors in compliance with Regulation 17 of the ListingRegulations as amended from time to time.

BOARD OF DIRECTORS OF THE COMPANY AS ON MARCH 31 2022:

Sr. No. Name Designation Category
1 Mr. Arun Krishankumar Jindal Chairman Non-Executive Non-Independent
2 Mr. Nitin Shyam Rajore Whole Time Director Executive Director
3 Mr. Ratanlal Tikaram Goel Non-Executive Director Non-Executive Independent
4 Ms. Sudha Santhanam Non-Executive Director Non-Executive Independent

During the year under review there was no change in the composition ofBoard of the Company.

RE-APPOINTMENTS:

• Re-appointment of Independent Directors:

At 31st AGM and as per the provisions of the Act Mr.Ratanlal Tikaram Goel (DIN: 07663394) and Ms. Sudha Santhanam (DIN: 06579108) werere-appointed as Independent Directors of the Company by the members for the second term of5 years w.e.f. December 01 2021 and May 15 2022 respectively.

• Re-appointment of Executive Director:

At 31st AGM and as per the provisions of the Act Mr. NitinShyam Rajore (DIN: 01802633) was also re-appointed as Executive Director to be designatedas Whole-Time Director of the Company w.e.f December 012021 for the period of 5 years.

• Director liable to retire by rotation:

As per the provisions of the Act Mr. Nitin Shyam Rajore (DIN:01802633) Whole Time Director is liable to retire at the ensuing Annual General Meeting("AGM") being eligible seeks reappointment. Based on performance evaluationand the recommendation of the nomination and remuneration committee the Board recommendshis reappointment.

KEY MANAGERIAL PERSONNEL:

In terms of section 203 of Act following are the Key ManagerialPersonnel of the Company

Sr. No. Name Designation
1 Mr. Nitin Rajore Whole Time Director
2 Mr. Shubham Jindal Chief Financial Officer
3 Mr. Satish Kadrolli Company Secretary & Compliance Officer

During the year under review there was no change in the Key ManagerialPersonnel of the Company

16. DETAILS OF BOARD MEETINGS:

The Board met six (6) times during the financial year. The meetingdetails are provided in the Corporate Governance Report that forms part of this AnnualReport. The intervening gap between the Meetings was within the period prescribed underthe Act/ the Listing Regulations.

17. COMMITTEES OF THE BOARD:

As of March 31 2022 the Board had five committees: the AuditCommittee the Nomination and Remuneration Committee the Stakeholder RelationshipCommittee the Share Transfer Committee and the Committee for issue of Duplicate ShareCertificate.

A detailed note on the composition of the Board and its committees isprovided in the Corporate Governance annexure to this Report.

18. CONTRIBUTION OF INDEPENDENT DIRECTORS TO THE GROWTH OF THE COMPANY:

The Board of Directors of your Company strategically comprises ofIndependent Directors which adds value to the Company. Both Independent Directors haveexpertise and integrity and have earned vast experience and reputation in the industry.Our Independent Directors are Qualified Chartered Accountants and Company secretaries andare experts in Finance Company Laws Information Technology Commercial Laws CorporateGovernance and Audit. These expertise helps the Board to ensure that Company is at parwith the global benchmarks in terms of ethics corporate governance best industrypractices and transparency. In addition their wealth of experience in the corporate worldensures that the company benefits significantly from their advice.

19. DECLARATION BY INDEPENDENT DIRECTORS:

During the year under review Your Company has received necessarydeclarations from each of the Independent Directors as required under Section 149(7) ofthe Act and regulation 25(8) of SEBI LODR 2015 that he / she meets the criteria ofindependence laid down in Section 149(6) of the Act and Regulation 16(1)(b) of SEBI LODR2015.

The Independent Directors have also given a declaration of compliancewith Rules 6(1) and 6(2) of the Companies (Appointment and Qualification of Directors)Rules 2014 with respect to their name appearing in the data bank of IndependentDirectors maintained by the Indian Institute of Corporate Affairs.

20. FORMAL ANNUAL EVALUATION:

Pursuant to the provisions of Act and the Listing Regulations and asper the guidance note issued by SEBI on January 05 2017 the Board has carried out anAnnual Evaluation of its own performance performance of individual directors and workingof its committees. The summary of the evaluation reports was presented to the respectiveCommittees and the Board. The way evaluation has been carried out and matters incidentalthereto have been detailed in the Report on Corporate Governance which forms part ofthis report.

21. COMPANY'S POLICY ON DIRECTORS' APPOINTMENT AND REMUNERATIONINCLUDING CRITERIA FOR DETERMINING QUALIFICATIONS POSITIVE ATTRIBUTES INDEPENDENCE OF ADIRECTOR:

Your Company has adopted the Guidelines on Board Effectiveness("Governance Guidelines" or "guidelines") which inter-alia cover thecriteria for determining qualifications attributes and independence of a director. Thedetails of the Policy are stated in the Corporate Governance Report.

22. TRANSFER TO INVESTOR EDUCATION AND PROTECTION FUND (IEPF)

a. Transfer of unclaimed Dividend to IEPF

During the year Company has not transferred any unclaimed Dividend toIEPF since there are no unclaimed dividend with the Company.

b. Transfer of shares to IEPF

During the year Company has not transferred any shares to IEPF sincethere are no shares eligible to be transferred to IEPF as per section 124 and 125 of theCompanies Act 2013

23. CORPORATE GOVERNANCE CERTIFICATE:

Your Company is committed to maintain the highest standards ofcorporate governance. It believe in adhere to good corporate practices implement policiesand guidelines and develop a culture of the best management practices and compliance withthe law coupled with the highest standards of integrity transparency accountability andethics in all business matters to enhance and retain investor trust long-term shareholdervalue and respect minority rights in all our business decisions.

Your Company has taken adequate steps to ensure that all mandatoryprovisions of Corporate Governance as prescribed under the Listing Regulation are compliedwith. As per Regulation 34(3) Read with Schedule V of the Listing Regulations a separatesection on corporate governance together with a certificate from the Company'sSecretarial Auditors forms part of this Report.

24. ANNUAL SECRETARIAL COMPLIANCE REPORT:

Pursuant to SEBI Circular CIR/CFD1/27/2019 dated February 08 2019 alllisted entities shall additionally on annual basis submit a report to the stockexchange(s) on compliance of all applicable SEBI Regulations and circulars / guidelinesissued thereunder within 60 days of end of financial year. Such report shall be submittedby Company Secretary in practice to the Company in the prescribed format.

Your Company has received such report from CS Nishad Umranikar Partner- M/s. MSN Associates Company Secretaries Pune for the financial year ended March312022 and it shall be submitted to the stock exchange within the stipulated timeframe.Copy of the said report shall be available at BSE website https://www.bseindia.com/ andalso on the Company's website: https://rkforge.in/annual-secretarial-compliance-reports/post filing with BSE.

25. ANNUAL RETURN:

As per the requirement of Section 92(3) read with section 134(3)(a) ofthe Act copies of the Annual Returns of the Company prepared in accordance with Section92(1) of the Act read with Rule 11 of the Companies (Management and Administration) Rules2014 are placed on the website of the Company and is accessible at the web link:https://rkforge.in/wp-content/uploads/2022/07/RFL-MGT-7-Draft-2022.pdf

26. AUDITORS:

a. Statutory Auditors

M/s. Gokhale Tanksale & Ghatpande Chartered Accountants Pune(Firm Registration No. 103277W) were appointed as the Statutory Auditors of the Company tohold office from the conclusion of 27th AGM of the Company held on September27 2017 until the conclusion of the ensuing Annual General Meeting of the Company and iseligible for re-appointment.

The Company has received confirmation from the Auditors to the effectthat their appointment if made will be in accordance with the limits specified under theCompanies Act 2013 and the firm satisfies the criteria specified in Section 141 of theCompanies Act 2013 read with Rule 4 of Companies (Audit & Auditors) Rules 2014. TheBoard is of the opinion that continuation of M/s. Gokhale Tanksale & GhatpandeChartered Accountants Pune as Statutory Auditors will be in the best interests of theCompany and therefore the members are requested to consider their re-appointment asStatutory Auditors of the Company for a term of five years from the conclusion of theensuing Annual General Meeting till the Annual General Meeting to be held in thefinancial year 2026-2027 at such remuneration mutually agreed and approved by the Board.

The Independent Auditors' Report for the financial year 2021-2022 onthe financial statement of the Company is unmodified i.e it does not contain anyqualifications reservations or adverse remarks. The observations of the StatutoryAuditors' in their Report are self-explanatory and therefore Directors don't have anyfurther comments to offer on the same. The Auditors Report is enclosed with the financialstatements forming part of this annual report.

b. Secretarial Auditors

Pursuant to Section 204 of the Act and the Companies (Appointment andRemuneration of Managerial Personnel) Rules 2014 the Board of Directors had appointedM/s MSN Associates Company Secretaries Pune for conducting the Secretarial Audit of theCompany for the financial year 2021-22.

The Report of the Secretarial Audit is annexed herewith as an‘Annexure B' to this Report.

There are no qualifications reservations or adverse remarks made bythe Secretarial Auditors in their audit report for the year ended March 31 2022.

Pursuant to recent amendments in SEBI (Listing Obligations andDisclosure Requirements) Regulations 2015 read with SEBI circular No. LIST/ COMP/14/2018dated June 20 2018 a certificate from MSN Associates Company Secretaries Pune thatnone of the Directors on the Board of the Company have been debarred or disqualified frombeing appointed or continuing as directors of Companies by the SEBI / Ministry ofCorporate Affairs or any such statutory authority is annexed to Corporate GovernanceReport.

c. Cost records:

In terms of provisions of Section 148 of the Act read with Rule 3 ofCompanies (Cost Record and Audit) Rules 2014 Your Company is required to maintain thecost records and as such the same are maintained for the financial year 2021-2022.

d. Internal Auditors:

Your Company had appointed M/s. S A N N & Co. CharteredAccountants as Internal Auditors of the Company for the financial year 2021-22. The scopeand authority of the Internal Auditor is as per the terms of reference approved by AuditCommittee. The Internal Auditors monitors and evaluates the efficacy and adequacy ofinternal control system in the Company its compliance with operating systems accountingprocedures and policies of the Company. Significant audit observations and recommendationsalong with corrective actions thereon are presented to the Audit Committee of the Board.

27. REPORTING OF FRAUDS BY AUDITORS:

During the year under review none of the Statutory Auditors' InternalAuditors the Secretarial Auditors has reported to the Audit Committee under Section 143(12) of the Act any instances of fraud committed by the Company or against your Companyby its officers or employees the details of which would need to be mentioned in theBoard's report.

28. EXPLANATION OR COMMENTS ON QUALIFICATIONS RESERVATIONS OR ADVERSEREMARKS OR DISCLAIMERS MADE BY THE AUDITORS IN THEIR REPORTS:

There were no qualifications reservations or adverse remarks made bythe Statutory Auditors Internal Auditors as well as Secretarial Auditor in their report.

29. INTERNAL FINANCIAL CONTROLS

The Internal Financial Controls with reference to financial statementsas designed and implemented by the Company are adequate. During the year under review nomaterial or serious observation has been received from the Statutory Auditors and theInternal Auditors of the Company on the inefficiency or inadequacy of such controls.

30. RISK MANAGEMENT:

The details of Risk Assessment framework are set out in the CorporateGovernance Report forming part of the Board's Report.

31. MANAGERIAL REMUNERATION/ PARTICULARS OF EMPLOYEES:

The statement containing information required pursuant to Section 197read with Rule 5(1) of the Companies (Appointment and Remuneration of ManagerialPersonnel) Rules 2014 in respect of employees of the Company and Directors forms part ofthis Report and is annexed herewith as an ‘Annexure C'.

32. PARTICULARS OF EMPLOYEES:

Information required under Section 197(12) of the Act read with Rule5(2)(i) to (iii) of the Companies (Appointment and Remuneration of Managerial Personnel)Rules 2014 is not provided herein since there are no employees who have receivedremuneration in excess of the limits prescribed therein.

33. CONSERVATION OF ENERGY TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGEEARNINGS AND OUTGO:

The particulars relating to conservation of energy technologyabsorption foreign exchange earnings and outgo as required to be disclosed under Section134(3)(m) of the Act read with Rule 8 of the Companies (Accounts) Rules 2014 forms partof this Report and is annexed herewith as 'Annexure D'.

34. COMPLIANCE WITH SECRETARIAL STANDARDS:

Your Company is compliant with all the applicable mandatory SecretarialStandards issued by The Institute of Company Secretaries of India.

35. CORPORATE SOCIAL RESPONSIBILITY (CSR):

Provisions of CSR were applicable to your Company during the financialyear under review and accordingly your Company has formulated CSR policy according towhich the Board of Directors of the Company at regular intervals do monitor and review theCSR activities that are being taken up by the Company. Your Company believes in theprinciple of building a Sustainable Society and to contribute to the long-term socialwelfare of the society.

In Compliance of the Section 135 of the Act read with CSR Rules asamended and applicable form time to time Detailed Annual Report on CSR Activitiesundertaken by the Company during the year is given as ‘Annexure E'. Company's updatedCSR Policy is disclosed on the website of the Companyhttps://rkforge.in/wp-content/uploads/2021/07/RFL_Corporate-Social-Responsibility-Policy-Version-1-w.e.f-03.06.2021.pdf

36. VIGIL MECHANISM/ WHISTLE BLOWER POLICY:

Your Company has set up vigil mechanism viz. Whistle Blower Policy toprovide a formal mechanism to the Directors and employees to report their genuineconcerns unethical behavior actual or suspected fraud irregularities or violation ofCompany's Code of Conduct if any noticed by them in the Company which could adverselyaffect company's operations. This mechanism also provides safeguards against victimizationof employees who avail of the mechanism and also provides direct access to the Chairmanof the Audit Committee. The details of the same are explained in the Corporate GovernanceReport and also posted on the website of the Company athttps://rkforge.in/wp-content/uploads/2021/07/Whistle-Blower-Policy.pdf

All Directors and employees have access to the Chairman of the AuditCommittee. The policy with the name and address of Chairman of the Audit Committee hasbeen circulated to the employees. Further no personnel have been denied access to theAudit Committee during the period under review. The vigil mechanism is overseen by theAudit Committee and your Company is happy to inform that during the year there has beenno Complaints received by the Audit Committee.

37. POLICY ON PREVENTION PROHIBITION AND REDRESSAL OF SEXUALHARASSMENT AT WORKPLACE:

Your Company has adopted policy on prevention prohibition andredressal of sexual harassment at workplace in line of the provisions of the SexualHarassment of women at workplace (Prevention Prohibition and Redressal) Act 2013 and theRules thereunder. The policy aims to provide protection to employees at the workplace andto prevent and redress complaints of sexual harassment and for matters connected andincidental thereto with an objective of providing a safe working environment whereemployees feel secure. The company has not received any complaints during the financialyear 2021-22.

38. DETAILS OF APPLICATION MADE OR ANY PROCEEDING PENDING UNDER THEINSOLVENCY AND BANKRUPTCY CODE 2016 DURING THE YEAR:

During the year your Company has not made any application nor there isany proceeding pending under the Insolvency and Bankruptcy Code 2016 as at the end of thefinancial year.

39. THE DETAILS OF DIFFERENCE BETWEEN AMOUNT OF THE VALUATION DONE ATTHE TIME OF ONE TIME SETTLEMENT AND THE VALUATION DONE WHILE TAKING LOAN FROM THE BANKS ORFINANCIAL INSTITUTIONS ALONG WITH THE REASONS THEREOF:

During the year your Company has not initiated One Time Settlementwith the Banks or Financial Institutions and therefore no details are required to befurnished.

40. DIRECTORS' RESPONSIBILITY STATEMENT:

Pursuant to the requirement under Section 134 (5) of the Act withrespect to Directors' Responsibility Statement the Board of Directors to the best oftheir knowledge and ability confirm that:

i. that in the preparation of the annual accounts the applicableaccounting standards had been followed along with proper explanation relating to materialdepartures;

ii. that they have selected such accounting policies and applied themconsistently and made judgments and estimates that are reasonable and prudent so as togive a true and fair view of the state of affairs of the Company at the end of thefinancial year and of the profit of the Company for that period;

iii. that they have taken proper and sufficient care for themaintenance of adequate accounting records in accordance with the provisions of this Actfor safeguarding the assets of the Company and for preventing and detecting fraud andother irregularities;

iv. that they have prepared the annual accounts on going concern basis;

v. that they have laid down Internal Financial Controls to be followedby the Company and that such Internal Financial Controls are adequate and were operatingeffectively; and

vi. that they have devised proper systems to ensure compliance with theprovisions of all applicable laws and that such systems were adequate and operatingeffectively.

41. ACKNOWLEDGEMENT:

Your Directors would like to express their sincere appreciation to allemployeesworkers and all the stakeholders of the Company at all levels for their hardwork dedication commitment and are deeply grateful and have immense respect for everyperson who risked his/her life and safety to fight this pandemic. The directors also placeon record their appreciation and gratitude for all the co-operation extended byGovernment authorities regulators Bankers Business Associates and investors and allother stakeholders.

For and on behalf of the Board of Directors
RAJKUMAR FORGE LIMITED
Arun Jindal Nitin Rajore
Place: Pune Chairman Whole Time Director
Date: May 11 2022 DIN : 00121523 DIN :01802633

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