Shree Acids & Chemicals Ltd.
||Sector: Agri and agri inputs
||ISIN Code: INE142C01018
05:30 | 01 Jan
Shree Acids & Chemicals Ltd
05:30 | 01 Jan
Shree Acids & Chemicals Ltd
Shree Acids & Chemicals Ltd. (SHACIDSCHEM) - Director Report
Company director report
SHREE ACIDS AND CHEMICALS LTD.
ANNUAL REPORT 1999-2000
ALL THE MEMBERS
Your Directors present the Twentieth Annual Report alongwith the audited
accounts of your Company for the year ended 30th June, 2000.
The Company continued to face liquidity problem throughout the year. There
is long delay in payment of subsidy/ concession on SSP by the Govt. of
India. Subsidy payment have not been made for about last one year pending
some investigations against the SSP industry. As a result the production of
Fertilizer Division during the current year has declined. The general
economic slow down and continuous recession in the paper industry affected
the overall operations of the Paper Division. As a result of all these
factors overall sales of the Company declined by 15% as compared to
previous year. The Company incurred a net loss of Rs.877.12 lacs during the
year under review.
REFERENCE TO BIFR
During the year under review, your Company has become a Sick Industrial
Company within the provisions of Sick Industrial Companies (Special
Provisions) Act, 1985. The necessary reference was filed before BIFR. In
accordance with the directions of BIFR, the Company has submitted a
rehabilitation scheme to the Operating Agency which is under their active
In view of the losses, your Directors regret their inability to recommend
any dividend for the period.
CONSERVATION OF ENERGY, RESEARCH AND DEVELOPMENT, TECHNOLOGY ABSORPTION AND
FOREIGN EXCHANGE EARNING AND OUTGO
As required by the Companies (Disclosure of Particulars in the Report of
the Directors) Rules, 1988, a statement showing the information relating to
Conservation of Energy, Research and Development, Technology Absorption and
Foreign Exchange Earning and Outgo is attached as Annexure.
During the year under review, IFCI has withdrawn the nomination of Mr. M.
S. Murthy as its Nominee Director. Mr. G. K. Sohbti and Mr. O. P. Vaish,
Directors of the Company resigned from the Board during the year under
The Board of Directors wishes to place on record its sincere appreciation
for the valuable services rendered by Mr. M. S. Murthy, Mr. G. K. Sohbti
and Mr. O. P. Vaish to your Company. Mrs. Kum Kum Mittal, Director of the
Company, retire by rotation and being eligible offer herself for re-
The overall industrial relations in the organisation remained cordial
throughout the year. The Directors are pleased to place on record their
sincere appreciation of the valuable contributions made during the year by
the employees at all levels.
YEAR 2000 (Y2K) COMPLIANCE
The rollover to the year 2000 in respect of financial accounting system and
other business IT systems being used by the Company was smooth, without any
PARTICULARS OF EMPLOYEES
There was no employee of the Company whose particulars are required to be
included in the Report under Section 217 (2A) of the Companies Act, 1956 as
The auditors M/s. K. L. Chandak & Co., retire at Annual General Meeting.
Your Directors recommended their re- appointment for the current year.
The Auditors in their report have referred to Notes No.4,10 and 13 of
Schedule 14. Explanations contained in the notes and accounts are self-
explanatory and may be treated as information/explanation submitted by the
Board as contemplated under Section 217 (3) of the Companies Act, 1956.
Your Directors take the opportunity to offer their sincere thanks to
various departments of Central and State Governments, the industry
association, Financial Institutions led by the IFCI and the Company's
banker Punjab National Bank for their valuable assistance from time to
for and on behalf of the Board of Directors
Place: Delhi Sandeep Mittal Ravi Mittal
Dated: 15.11.2000 Jt. Managing Director Managing Director
PARTICULARS AS REQUIRED UNDER COMPANIES (DISCLOSURE OF PARTICULARS IN THE
REPORT OF BOARD OF DIRECTORS) RULES,1988 AND FORMING PART OF DIRECTOR'S
REPORT FOR THE YEAR ENDED 30TH JUNE, 2000
I. CONSERVATION OF ENERGY
The Company's Sulphuric Acid Plant operations involve high steam generation
which is partly utilised in the paper plant and balance is leftout in the
atmosphere. The Company also uses steam in GSSP Plant to reduce the furnace
oil consumption. The Steam Turbine is being installed for power generation
from surplus steam.
II. TECHNOLOGY ABSORPTION AND RESEARCH AND DEVELOPMENT
i) The Company's plant are based on indigenous technology which has been
ii) Company does not have research & development section. However, steps
are being taken from time to time for:
a) Reduction in raw material consumption and use in more indigenous raw
b) Improvement in cost effectiveness.
Quick Links for Shree Acids & Chemicals: