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Spacenet Enterprises India Ltd.

BSE: 513249 Sector: IT
NSE: SPCENET ISIN Code: INE970N01027
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Spacenet Enterprises India Ltd. (SPCENET) - Director Report

Company director report

Dear Shareholders

Your Directors have pleasure in presenting Tenth Board's Report on the business andoperations of the Company together with the audited financial statements for the yearended March 31 2020.

FINANCIAL PERFORMANCE:

Particulars For the Year ended 31st March 2020 For the Year ended 31st March 2019
Revenue
Income from operations 31859220 5341920
Other income 14743 1060867
Total revenue 31873963 6402787
Expenses
Operating expenses 29303718 5335363
Employee benefits expense 2872811 212723
Finance costs - -
Depreciation and amortisation expense 72728 69560
Other expenses 51558324 1106607
Total expenses 83807581 6724253
Profit / (Loss) before extraordinary items and tax (51933617) (321466)
Extraordinary items - -
Profit / (Loss) before tax (51933617) (321466)
Tax expense
-Current tax - -
-Deferred tax - -
Profit / (Loss) after tax (51933617) (321466)
Other Comprehensive Income / (Loss) (OCI)
Items that will not be reclassified to profit or loss in subsequent periods: - -
Other Comprehensive Income / (Loss) for the period net of tax - -
Total Comprehensive Income for the period net tax (51933617) (321466)
Paid up equity share capital (face value of Rs.1/-each)
Earnings per share - par value of Rs. 1 per share
Basic (106) (0.01)
Diluted (106) (0.01)

REVIEW OF OPERATIONS:

For the financial year ended March31 2020 your Company had reported total income ofRs.31873963.00 as against Rs.6402787.00 during the previous financial year. TheCompany incurred a Net Loss of Rs. 51933617 as against Net Loss of Rs.321466.00 duringthe previous financial year.

The Company has entered a Scheme of Arrangement with Kling Enterprises India Limitedand with their respective shareholders and creditors for the transfer of their commoditytrading division to the Company under Section 230 (3) of the Companies Act 2013. TheCompany has obtained the necessary approval from the National Stock Exchange of India(NSE) under Regulation 37 of the Securities Exchange of India (Listing Obligations andDisclosure Requirements) Regulations 2015 and applied to the Hon'ble NCLT Hyderabadbranch for its final approval during the year under review.

TRANSFER OF AMOUNT TO GENERAL RESERVE:

Board of Directors of your company has decided not to transfer any amount to theReserves for the year under review.”

DIVIDEND:

The Board of Directors of your company after considering holistically the relevantcircumstances have decided that it would be prudent not to recommend any Dividend for theyear under review.”

SHARE CAPITAL:

The paid-up Equity Share Capital of the Company as on 31st March 2020 stands at49018590 comprising of 49018590 equity shares of face value of Rs.1 each. During theyear under review your Company has neither issued any shares with differential votingrights nor has granted any stock options or sweat equity.

LISTING OF SHARES:

The shares of the company are listed on National Stock Exchange of India Limited (NSE).The listing fee for the year 2020- 21 has already been paid to the NSE.

HOLDING SUBSIDIARY AND ASSOCIATE COMPANIES:

During the year your company is not having any holding subsidiary and associatecompanies COVID-19 AND ITS IMPACT:

During the year under review the covid-19 pandemic developed rapidly globally therebyforcing the government to enforce complete lock-down since March 24 2020 of almost alleconomic activities except essential services which are allowed to operate with limitedstaff strength during the lock down period your company continued its operations bystrictly adhering to the minimal staff strength requirement and maintaining socialdistance and other precautions as per government directions.

However as the Company operates in an industry that is considered essential in Indiaand other countries its operations were continuing during lockdown by ensuringappropriate safety measures.

INTERNAL CONTROL SYSTEMS & THEIR ADEQUACY:

The Board has adopted policies and procedures for ensuring the orderly and efficientconduct of its business including adherence to the Company's policies safeguarding of itsassets prevention and detection of frauds and errors accuracy and completeness of theaccounting records and timely preparation of reliable financial disclosures.

AUDITORS:

Statutory Auditors:

In terms of the provisions of Section 139(2) of Companies Act 2013 (the“Act”) no listed company can appoint or re-appoint an audit firm as auditor formore than two terms of five consecutive years.

It is to be noted that the retiring Auditors M/s. Navitha and Associates CharteredAccountants Hyderabad (Firm Registration No. 012026S) who will hold the office till theconclusion of this 10th AGM of the company as the Audit Firm also expressed itsineligibility to be re-appointed pursuant to the applicable provisions of the companiesact 2013 hence the Board of Directors of the Company with the recommendation made by theAudit Committee of the Board on its meeting dated 03rd September 2020 recommended theappointment of M/s. M/S Gorantla & Co. Hyderabad (Firm Registration No. 016943S) asthe Statutory Auditor of the Company in place of retiring Auditors to hold office for aperiod of 5 consecutive years i.e from the conclusion of this 10th aGm untilthe conclusion of the 15th AGM of the Company.

The Audit Committee has considered the qualifications and experience of the proposedauditors and has recommended their appointment. The Board of Directors has also consideredthe matter and recommends the passing of the Ordinary Resolution appointing M/S Gorantla& Co. Hyderabad (Firm Registration No. 016943S) as the Statutory Auditors of thecompany with the written consent of the proposed auditors together with a certificate thatthe appointment if made shall be in accordance with the conditions specified in Rule 4of the Companies (Audit and Auditors) Rules 2014 has been received.

Internal Auditors:

During the year under review M/s. Gorantla & Co. Chartered Accountants performedthe duties of internal auditors of the company and their report is reviewed by the auditcommittee from time to time.

Note: M/s. Gorantla & Co. Chartered Accountants who served as internal auditorsduring the financial year under review tendered their resignation from the post ofinternal auditor's w.e.f 03-09-2020 and the board accepted the same and kept on record thevaluable services rendered by them during their tenure as an internal Auditors.

Cost Auditors:

The provisions related to Cost Audit and appointment of Cost Auditors is not applicableto the company during year under review.

Secretarial Auditors:

Pursuant to the provisions of Section 204 of the Companies Act 2013 and The Companies(Appointment and Remuneration of Managerial Personnel) Rules 2014 the Company hasappointed Desina Balarama Krishna Company Secretary in Practice to as SecretarialAuditors to undertake the Secretarial Audit of the Company for the FY 2019-20.

REPORTING OF FRAUDS:

During the year under review there was no instance of fraud which required theStatutory Auditors to report to the Audit Committee and /or Board under Section 143(12) ofthe Companies Act 2013 and the rules made thereunder.

SECRETARIAL AUDIT:

Pursuant to the provisions of Section 204 of the Companies Act 2013 and The Companies(Appointment and Remuneration of Managerial Personnel) Rules 2014 the Company hasappointed Desina Balarama Krishna Company Secretary in Practice to undertake theSecretarial Audit of the Company for the FY 2019-20. The Secretarial Audit Report FormMR-3 is annexed herewith as 'Annexure I' to this report.

COMPLIANCE WITH SECRETARIAL STANDARDS ON BOARD AND ANNUAL GENERAL MEETINGS:

During the year under review the Company has complied with secretarial standardsissued by the Institute of Company Secretaries of India on Board Meetings and AnnualGeneral Meetings.

DIRECTORS & KEY MANAGERIAL PERSONNEL (KMP):

Directors:

The Board of directors of the Company has an optimum combination of ExecutiveNon-Executive and Independent Directors with one-woman Director.

In accordance with the provisions of Section 152 of the Companies Act 2013 none ofthe Directors of the Company are eligible to retire by rotation in this Annual GeneralMeeting since the composition of 6 directors out 3 are independent whose office ofdirectors are not liable to retire by rotation and rest 3 directors who appointed asadditional directors are seeking approval of shareholders in this Annual General Meetingfor regularisation of their appointments as directors of the company hence not eligible toretire by rotation.

Declaration by Independent Directors:

All the Independent Directors have submitted their declaration of independence and haveconfirmed that they fulfil the independence criteria as required under section 149(7) ofthe companies act2013 and Regulation 25(8) of SEBI (LODR) Regulations respectively.

• Based on the recommendation of Nomination and Remuneration Committee the Boardof Directors have appointed Mr. Dasigi Venkata Surya Prakash Rao (DIN: 03013165) as anAdditional Director of the Company in their meeting held on 13th November2019who holds office till the ensuing Annual General Meeting. The Board considered theappointment of Mr. Dasigi Venkata Surya Prakash Rao as Executive Director subject toapproval of shareholders. Accordingly a resolution seeking approval of Shareholders forhis appointment as Executive Director for a period of Three years commencing from 13thNovember 2019 is included at Item No.3 of the Notice convening the Annual GeneralMeeting.

• Based on the recommendation of Nomination and Remuneration Committee the Boardof Directors have appointed Mr.Srinivasa Rao Tatipaka (DIN: 02449906) Rao as anAdditional Director of the Company in their meeting held on 03rd September 2020 whoholds office till the ensuing Annual General Meeting. The Board considered theappointment of Mr.Srinivasa Rao Tatipaka as Whole-time Director subject to approval ofshareholders. Accordingly a resolution seeking approval of Shareholders for hisappointment as Whole-time Director for a period of Three years commencing from 03rdSeptember 2020 is included at Item No.4 of the Notice convening the Annual GeneralMeeting.

• Based on the recommendation of Nomination and Remuneration Committee the Boardof Directors have appointed Mr.Suresh Tammineedi (DIN: 00952079) as an Additional Directorof the Company in their meeting held on 03rd September 2020 who holds office till theensuing Annual General Meeting. The Board considered the appointment of Mr.SureshTammineedi as an Executive Director of the company subject to approval of shareholders.Accordingly a resolution seeking approval of Shareholders for his appointment asExecutive Director for a period of Three years commencing from 03rd September 2020 isincluded at Item No.5 of the Notice convening the Annual General Meeting.

• Based on the recommendation of Nomination and Remuneration Committee the Boardof Directors have appointed Mrs. KorpuVenkata Kali Kanaka Durga (DIN: 08640661) as anAdditional Director of the Company in their meeting held on 18th December2019 who holdsoffice till the ensuing Annual General Meeting. The Board considered the appointment ofMrs. KorpuVenkata Kali Kanaka Durga as an Independent Director subject to approval ofshareholders. Accordingly a resolution seeking approval of Shareholders for herappointment as an Independent Director for a period of five years commencing from 18thDecember2019 is included at Item No.6 of the Notice convening the Annual General Meeting.

• Based on the recommendation of Nomination and Remuneration Committee the Boardof Directors have appointed Mr. Kakkera Sri Krishna (DIN: 01810232) Rao as an AdditionalDirector of the Company in their meeting held on 13th November 2019 who holds officetill the ensuing Annual General Meeting. The Board considered the appointment of Mr.Kakkera Sri Krishna as Whole-time Director subject to approval of shareholders.Accordingly a resolution seeking approval of Shareholders for his appointment asWhole-time Director for a period of Three years commencing from 13th November 2019 isincluded at Item No.7 of the Notice convening the Annual General Meeting.

• During the year under review Mrs. Chukka Lakshmi Independent Director of theCompany resigned from the office of Independent Director with effect from 18thDecember 2019.

• During the year under review Mr. T .Venkateswara Rao Executive Director of theCompany resigned from the office of Director with effect from 23rd May 2019.

• During the year under review Mr. Gaddi Linga Murthy Executive Director of theCompany resigned from the office of Director with effect from 13th March 2020.

• During the year under review Mr. Srinivasa Rao Tatipaka Executive Director ofthe Company resigned from the office of Director with effect from 23rd May2019.

• During the year under review Mr. Vasudevarao Maraka Executive Director of theCompany resigned from the office of Director with effect from 13th November2019.

• During the year under review Mr. Venkata Krishnayya Nekkanti IndependentDirector of the Company resigned from the office of Independent Director with effect from23rd May 2019.

• During the year under review Mr. Avinash Karingam Executive Director of theCompany resigned from the office of Director with effect from 13th October2019.

Key Managerial Personnel (KMP):

• During the year under review Mr. T .Venkateswara Rao Chief Financial Officer(KMP) of the Company resigned from the post of Chief Financial Officer with effect from 28thAugust 2019.

• During the year under review Mr. Vasudevarao Maraka Appointed as ChiefFinancial Officer (KMP) of the Company with effect from 28th August 2019 andtendered his resignation from the post of Chief Financial Officer with effect from 13thNovember 2019.

• During the year under review Mr. Mr. Dasigi Venkata Surya Prakash Rao Appointedas Chief Financial Officer (KMP) of the Company with effect from 13th November2019.

• During the year under review Mr. Abhishek Mishra Company Secretary of theCompany resigned from the post of Company Secretary with effect from 01stJuly 2019.

• During the year under review Mr. K. Kiran Appointed as Company Secretary of theCompany with effect from 18th December 2019.

(Note: He tendered his resignation from the post of Company Secretary of the Companywith effect from 30th May 2020.)

• Mr. Anshul Gupta Appointed as Company Secretary of the company w.e.f. 16thJune 2020 and tendered his resignation from the post of Company Secretary of the Companywith effect from 03rd September 2020.

Meetings of the Board:

The Board met 9 times in the financial year 2019-20 on the following dates with a gapnot exceeding one hundred and twenty days between any two meetings:

18th April 2019 23rd May 2019 01st July 2019 08thAugust 2019 28thAugust 2019 13th November 2019 18th December 2019 13th February 2020 13th March 2020

Audit Committee:

Details of composition of the Audit Committee is as follows:

Name of the Director Designation
Satya Srikanth Karaturi (Independent Director) Chairman
Chukka Siva Satya Srinivas (Independent Director) Member
Mr. Chukka Lakshmi (Independent Director) Up to 18-12-2019) Member
K .V. kali kanaka durga (Independent Director) (w.e.f. 19-12-2020) Member

Meetings during the year:

The Audit committee met 4 times in the financial year 2019-20 on the following dates

23rd May2019 08th August2020 13th Novenmber2019 13th February2020

Nomination and Remuneration Committee:

Details of composition of Nomination and Remuneration Committee is as follows:

Name of the Director Designation
Satya Srikanth Karaturi ( Independent Director) Chairman
Chukka Siva Satya Srinivas (Independent Director) Member
Mr. Chukka Lakshmi (Independent Director) (Up to 18-12-2019) Member
K .V. kali kanaka durga (Independent Director) (w.e.f. 19-12-2020) Member

Meetings during the year:

The Nomination and Remuneration Committee met 1 time in the financial year 2019-20 onthe 13th November 2019

Stakeholders Relationship Committee:

Details of composition of Stakeholders Relationship Committee is as follows:

Name of the Director Designation
Satya Srikanth Karaturi ( Independent Director) Chairman
Chukka Siva Satya Srinivas ( Independent Director) Member
Mr. Chukka Lakshmi ( Independent Director) (Up to 18-12-2019) Member
K .V. kali kanaka durga ( Independent Director) (w.e.f. 19-12-2020) Member

Meetings during the year:

The Stakeholders Relationship Committee met 1 time during the year 2019-20 on 13thFebruary 2020.

Policy on Director's Appointment and Remuneration and other matters:

(a) Procedure for Nomination and Appointment of Directors:

The Nomination and Remuneration Committee has been formed. The main object of thisCommittee is to identify persons who are qualified to become directors and who may beappointed in senior management of the Company recommend to the Board theirappointment/removal and shall carry out evaluation of every Director's performancerecommend the remuneration package of both the Executive and the Non-Executive Directorson the Board and also the remuneration of Senior Management one level below the Board.The Committee reviews the remuneration package payable to Executive Director(s) andrecommends to the Board the same and acts in terms of reference of the Board from time totime.

On the recommendation of the Nomination and Remuneration Committee the Board hasadopted and framed a Remuneration Policy for the Directors Key Managerial Personnel andother Employees. The remuneration determined for Executive/Non-Executive Directors issubject to the recommendation of the Nomination and Remuneration Committee and approval ofthe Board of Directors. The Non-Executive Directors will be compensated by way ofprofit-sharing Commission and the Non-Executive Directors will be entitled to sitting feesfor the Board/Committee Meetings. The remuneration paid to Directors Key ManagerialPersonnel and all other employees is in accordance with the Remuneration Policy of theCompany.

Annual Evaluation of Board Performance and Performance of its Committees and ofDirectors:

The Board has carried out the annual performance evaluation of its own performance theDirectors individually as well as the evaluation of the working of its Audit Nominationand Remuneration and all other Committees.

A separate exercise was carried out to evaluate the performance of individualDirectors who were evaluated on parameters such as level of engagement and contributionindependence of judgment safeguarding the interest of the Company and its minorityshareholders etc. The performance evaluation of the Independent Directors was carried outby the entire Board. The performance evaluation the Non-Independent Directors was carriedout by the Independent Directors who also reviewed the performance of the SecretarialDepartment. The Directors expressed their satisfaction with the evaluation process.

It is informed to the members of the company that none of the directors on the Board ofthe Company have been debarred or disqualified from being appointed or continuing asdirectors of companies by the Board/Ministry of Corporate Affairs or any such statutory orRegulatory authority either during the Financial Year 2018-19 or 201920 respectively.

PARTICULARS OF LOANS GUARANTEES AND INVESTMENTS:

Details of Loans Guarantees and Investments covered under the provisions of Section186 of the Companies Act 2013 are given in the notes to the Financial Statements.

PUBLIC DEPOSITS:

Your Company has neither accepted nor renewed any fixed deposits from the public withinthe meaning of Section 73 of the Companies Act 2013 and the Companies (Acceptance ofDeposits) Rules 2014 and as such no principal or interest was outstanding as on the dateof the Balance sheet.

DIRECTORS' RESPONSIBILITY STATEMENT:

Pursuant to Section 134 (5) of the Companies Act 2013 your Directors confirm that tothe best of their knowledge and belief and according to the information and explanationobtained by them.

a) In the preparation of the annual accounts the applicable accounting standards havebeen followed along with proper explanation relating to material departures;

b) Such accounting policies as mentioned in the notes to the financial statements havebeen selected and applied consistently and judgments and estimates that are reasonable andprudent made so as to give a true and fair view of the state of affairs of the Company atthe end of the financial year 2019-20 and of the profit or loss of the Company for thatperiod;

c) Proper and sufficient care has been taken for the maintenance of adequate accountingrecords in accordance with the provisions of the Companies Act 2013 for safeguarding theassets of the Company and for preventing and detecting fraud and other irregularities;

d) The annual accounts for the year 2019-20 have been prepared on a going concernbasis.

e) That proper internal financial controls were in place and that the financialcontrols were adequate and were operating effectively.

f) That systems to ensure compliance with the provisions of all applicable laws were inplace and were adequate and operating effectively

VIGIL MECHANISM / WHISTLE BLOWER POLICY:

The Company has a Whistle Blower Policy framed to deal with instance of fraud andmismanagement if any in the Group. The Policy provides for adequate safeguards againstvictimization of employees who avail the mechanism and also provides for direct access tothe Chairman of the Audit Committee.

MANAGEMENT DISCUSSION & ANALYSIS:

Pursuant to the provisions of Regulation 34(2) of SEBI (Listing Obligations andDisclosure Requirements) Regulations 2015 a report on Management Discussion &Analysis is herewith annexed as “Annexure II” to this report.

EXTRACT OF ANNUAL RETURN:

Pursuant to Section 92(3) of the Companies Act 2013 and Rule 12(1) of the Companies(Management and Administration) Rules 2014 an extract of Annual Return in form MGT- 9 isannexed herewith as 'Annexure III' to this report and the same is uploaded on the websiteof the Company at http://www.spacenetent.com/

RELATED PARTY TRANSACTIONS AND PARTICULARS OF CONTRACTS OR ARRANGEMENTS WITH RELATEDPARTIES:

All the related party transactions that were entered into during the financial yearwere on an arm's length basis and were in the ordinary course of business. There are nomaterially significant related party transactions made by the Company with PromotersDirectors Key Managerial Personnel or other designated persons which may have a potentialconflict with the interest of the Company at large.

All the related party transactions are placed before the Audit Committee also andbefore the Board for approval.

Particulars of contracts or arrangements with related parties are provided in 'AnnexureIV' in Form AOC-2 and forms part of this report.

POLICY ON MATERIAL SUBSIDIARIES:

During the year under review there are no material subsidiaries pursuant to The Policyon Material Subsidiaries as per SEBI (Listing Obligations and Disclosure Requirements)Regulations 2015.

CHANGE IN THE NATURE OF BUSINESS:

There has been no change in the nature of business of the Company during the year underreview.

TRANSFER OF AMOUNTS TO INVESTOR EDUCATION AND PROTECTION FUND:

Pursuant to the provisions of Section 124 (5) of the Companies Act 2013 No amountwhich remained unclaimed for a period of seven years has been transferred by the Companyto the Investor Education and Protection Fund established by the Central Government duringthe financial year 2019-20.

TRANSFER OF UNCLAIMED SHARES TO INVESTOR EDUCATION AND PROTECTION FUND:

Pursuant to the provisions of Section 124 of the Companies Act 2013 No shares inrespect of which dividend has not been paid or claimed for seven consecutive years weretransferred by the Company in the name of Investor Education and Protection Fund duringthe financial year 2019-20.

PARTICULARS OF EMPLOYEES:

None of the employees are in receipt of the remuneration as mentioned in Section 197 ofthe Companies Act read with Rule 5 of the Companies (Appointment and Remuneration ofManagerial Personnel) Rules 2014.

BUSINESS RESPONSIBILITY REPORT:

A Business Responsibility Report as per Regulation 34 of the Listing Regulationsdetailing various initiatives taken by the Company on the environmental social andgovernance not applicable to the company during the year under review.

CORPORATE GOVERNANCE:

Since the paid-up capital of the company is less than Rs.10 Crores and the net worth ofthe Company is less than Rs.25 Crores the provisions of Regulations 17 17A 18 19 202122 23 24 24A 25 26 27 and clauses (b) to (i) of sub-regulation (2) of regulation46 and para C D and E of Schedule V of the Securities and Exchange Board of India(Listing Obligations and Disclosures Requirements) Regulations 2015 are not applicableto the Company hence corporate governance report has not been enclosed to directorsreport.

CORPORATE SOCIAL RESPONSIBILITY:

Even though the provisions of Companies Act 2013 regarding Corporate SocialResponsibility are not attracted to the company yet the Company has been over the yearspursuing as part of its corporate philosophy an unwritten CSR policy voluntarily whichgoes much beyond mere philanthropic gestures and integrates interest welfare andaspirations of the community with those of the Company itself in an environment ofpartnership for inclusive development.

HUMAN RESOURCES:

Your Company considers its Human Resources as the key to achieve its objectives.Keeping this in view your Company takes utmost care to attract and retain qualityemployees. The employees are sufficiently empowered and conducive work environment propelsthem to achieve higher levels of performance. The unflinching commitment of the employeesis the driving force behind the Company's vision. Your Company appreciates the spirit ofits dedicated employees.

POLICY ON PREVENTION PROHIBITION AND REDRESSAL OF SEXUAL HARASSMENT AT WORK PLACE:

Your Company strongly supports the rights of all its employees to work in anenvironment free from all forms of harassment. The Company has adopted a Policy onPrevention Prohibition and Redressal of Sexual Harassment at workplace as per theprovisions of the Sexual Harassment of Women at Workplace (Prevention Prohibition andRedressal) Act 2013 and the Rules made thereunder. The policy aims to provide protectionto Employees at the workplace and prevent and redress complaints of sexual harassment andfor matters connected or incidental thereto with the objective of providing a safeworking environment where Employees feel secure.

The Company has also constituted an Internal Complaints Committee (ICC) to Address theconcerns and complaints of sexual harassment and to recommend appropriate action.

The Company has not received any complaint on sexual harassment during the year 2019-20PREVENTION OF INSIDER TRADING:

The company has adopted a code of conduct for prevention of Insider Trading with a viewto regulate trading in securities by the directors KMP s and designated employees of thecompany. The code requires pre-clearance for dealing in the company's securities andprohibits the dealing in securities of the company while in possession of unpublishedprice sensitive information in relation to the company. The Board and the designatedemployees have confirmed compliance with the code.

CONSERVATION OF ENERGY TECHNOLOGY ABSORPTION FOREIGN EXCHANGE EARINGS AND OUTGO:

The company has no activities relating to Conservation of Energy TechnologyAbsorption.

Foreign Exchange earnings and Outgo during the year under review as given below:

Particulars For the Year ended 31st March-2020 For the Year ended 31st March-2019
Foreign Exchange Earnings NIL NIL
Foreign Exchange outgo NIL NIL

SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS

There are no significant or material orders passed by the Regulators / Courts whichwould impact the going concern status of the Company and its future operations.

MATERIAL CHANGES AND COMMITMENTS:

There were no material changes and commitments affecting the financial position of theCompany that have occurred between the end of the Financial Year 2019-20 and the date ofthe report.

GREEN INITIATIVE IN CORPORATE GOVERNANCE

The Ministry of Corporate Affairs (MCA) has undertaken green initiative in CorporateGovernance by allowing paperless compliances by the Companies and permitted the service ofAnnual Reports and documents to the shareholders through electronic mode subject tocertain conditions and the Company continues to send Annual Reports and othercommunications in electronic mode to the members who have registered their email addresseswith the Company/RTA.

ACKNOWLEDGMENTS:

Your Directors take this opportunity to express their sincere appreciation to theshareholders customers bankers suppliers and other business associates for theexcellent support and cooperation extended by them.

Your Directors gratefully acknowledge the ongoing co-operation and support provided bythe Central and State Governments Stock Exchanges SEBI RBI and other Regulatory Bodies.

For Specenet Enterprises India Limited
Sd/- Sd/-
Satya Srikanth Karaturi Dasigi Venkata Surya Prakash Rao
Director Executive Director
(DIN: 07733024) (DIN: 03013165)
Date: 03-09- 2020
Place: Hyderabad

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