Your Directors are pleased to present the Annual Report and the Audited FinancialStatements of the Company for the period ended 31 March 2019.
REVIEW OF OPERATIONS
During the period the company has reported a Loss of Rs 1095043 as against Rs.976163 in the previous year
|Description ||2018-19 ||2017-18 |
|Income from Operations ||- ||- |
|Total Expenditure ||1095043 ||976163 |
|Profit/(Loss)Before Depreciation ||(1095043) ||(976163) |
|Depreciation ||- ||- |
|Net Profit/(Loss) before Provision for Tax ||(1095043) ||(976163) |
|Deferred Tax ||- ||- |
|Profit/(Loss) after Tax ||(1095043) ||(976163) |
The Company has not declared any dividend for the period.
The Company has neither accepted nor renewed any deposits during the period underreview.
MATERIAL CHANGES AND COMMITMENT IF ANY AFFECTING THE FINANCIAL POSITION OF THECOMPANY OCCURRED BETWEEN THE END OF THE FINANCIAL YEAR TO WHICH THIS FINANCIAL STATEMENTRELATES AND THE DATE OF THE REPORT
No material changes and commitments affecting the financial position of the Companyoccurred between the period to which this financial statement relates and the date of thisreport.
STATEMENT CONCERNING DEVELOPMENT AND IMPLEMENTATION OF RISK MANAGEMENT POLICY OF THECOMPANY
The Company does not have any Risk Management Policy as the elements of riskthreatening the Companys existence are very minimal.
DETAILS OF POLICY DEVELOPED AND IMPLEMENTED BY THE COMPANY ON ITS CORPORATE SOCIALRESPONSIBILITY INITIATIVES
The said provisions of Corporate Social Responsibility are not applicable to theCompany for the current period.
PARTICULARS OF LOANS GUARANTEES OR INVESTMENTS MADE UNDER SECTION 186 OF THE COMPANIESACT 2013
The Company has not given loans guarantees or made investments which are covered bysection 186 of the companies Act 2013.
PARTICULARS OF CONTRACTS OR ARRANGEMENTS MADE WITH RELATED PARTIES
The Company has not entered into any contracts or agreements with related partiesduring the period ended 31 March 2019 under review
EXPLANATIONS OR COMMENTS ON QUALIFICATIONS RESERVATIONS OR ADVERSE REMARKS ORDISCLAIMERS MADE BY THE AUDITORS AND THE PRACTICING COMPANY SECRETARY IN THEIR REPORTS
There are no qualifications / reservations / adverse remarks made by the auditors ofthe Company. The Observation made by the practicing company secretary has been explainedin this report.
COMPANY'S POLICY RELATING TO DIRECTORS APPOINTMENT PAYMENT OF REMUNERATION ANDDISCHARGE OF THEIR DUTIES
The Company has devised a Policy relating to appointment of Directors Payment ofManagerial remuneration Directors qualifications positive attributes Independence ofDirectors and other related matters as provided under Section 178(3) of the Companies Act2013
NUMBER OF BOARD MEETINGS CONDUCTED DURING THE YEAR UNDER REVIEW
The Company had Eight Board meetings during the period under review. Details of thesame are given in the Corporate Governance Report.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT FUTURE OUTLOOK
The Company is now looking for a new investor who would infuse funds to revive thebusiness. It has been proposed to change the main object of the business. Also theCompany has applied for revocation of suspension of trading with Stock Exchanges.
OPPORTUNITIES AND THREATS
As the Indian economy is experiencing a slow growth phase the long-term prospects forinfrastructural activities continues to be attractive.
RISKS & CONCERNS
Delay in revocation of suspension of trading will delay the revival process of thecompany.
DIRECTORS RESPONSIBILITY STATEMENT
In accordance with the provisions of section 134(5] of the Companies Act 2013 theBoard hereby submits its Responsibility Statement: -
(i) in the preparation of the annual accounts the applicable accounting standards hadbeen followed along with proper explanation relating to material departures;
(ii) the directors had selected such accounting policies and applied them consistentlyand made judgments and estimates that are reasonable and prudent so as to give a true andfair view of the state of affairs of the company at the end of the financial period and ofthe profit and loss of the company for the period ended 31 March 2019;
(iii) the directors had taken proper and sufficient care for the maintenance ofadequate accounting records in accordance with the provisions of the Companies Act forsafeguarding the assets of the company and for preventing and detecting fraud and otherirregularities;
(iv) the directors had prepared the annual accounts on a going concern basis;
(v) the directors had laid down internal financial controls to be followed by thecompany and that such internal financial controls are adequate and are operatingeffectively. Internal financial control means the policies and procedures adopted by thecompany for ensuring the orderly and efficient conduct of its business including adherenceto company's policies the safeguarding of its assets the prevention and detection offrauds and errors the accuracy and completeness of the accounting records and the timelypreparation of reliable financial information and
(vi) the directors had devised proper systems to ensure compliance with the provisionsof all applicable laws and that such systems were adequate and operating effectively.
The Companys Board comprises of the following directors as on 31stMarch 2019:
Mr. K.M. Bindhu Sadhakan Mr. JaganathanVenkitasamy Naidu Mr. Devaraj Venkitasamy NaiduMr. Krishnasamy Narayanasamy
Mr. Raman Radhakrishnan Mr. Subrahmaniam Muthuraman Mrs. Srividhya Bindhusadhakan Mr.Narayanan
COMMITTEES OF THE BOARD
Currently the Board has three Committees:
Nomination & Remuneration Committee
Stakeholders Relationship Committee
A detailed note on board and its committees is provided in the Corporate GovernanceReport.
DECLARATION OF INDEPENDENT DIRECTORS
The Independent Directors have submitted their disclosures to the Board that theyfulfill all the requirements as stipulated in Section 149(6) of the Companies Act 2013so as to qualify themselves for the continuance / appointment as Independent Directorsunder the provisions of the Companies Act 2013 and the relevant rules.
During the year was not appointed as Chief Financial officer of the Company.SECRETARIAL AUDIT REPORT
The Company has appointed V K Shankararamann Company Secretary in Practice toundertake the Secretarial Audit for the period ended 31 March 2019. The Report of theSecretarial Audit Report is annexed to this report
DIRECTOR S REPLY TO SECRETARIAL AUDITOR'S OBSERVATION
With regard to the suspension of trading the Company has already submitted therevocation application to BSE Limited.
Further to the filing of statutory compliances under listing regulations the Companyhas already initiated necessary filings with the Listing Authorities.
The Company is taking steps to appoint Company Secretary.
A Report on Corporate Governance as stipulated under LODR forms part of this AnnualReport. The requisite certificate from a Practicing Company Secretary confirmingcompliance with the conditions of Corporate Governance as is attached to this Report.
DISCLOSURE OF COMPOSITION OF AUDIT COMMITTEE AND WHISTLE BLOWER POLICY
The Audit Committee as on 31 March 2019 consists of four Directors:
Mr. S. Muthuraman
Mr. K. Narayanan
Mr. K M Bindhu Sadhakan
Mrs. Srividhya Bindhusadhakan
The Company has not bought back any of its shares during the period under review. TheCompany also has not issued any Sweat Equity Shares Bonus Shares or Stock Option Schemeduring the period under review.
The extracts of Annual Return in Form MGT 9 pursuant to the provisions of Section 92read with Rule 12 of the Companies (Management and Administration) Rules 2014 is annexedto this report.
PARTICULARS OF EMPLOYEES
The Company has no Employees whose salary exceeds the limits as prescribed under Rule(5) (2) of Companies (Appointment and Remuneration of Key Managerial Personnel) Rules2014.
INFORMATION PURSUANT TO RULE 5 OF THE COMPANIES (APPOINTMENT AND REMUNERATION OFMANAGERIAL PERSONNEL) RULES 2014
|The ratio of the remuneration of each director to the median remuneration of the employees of the company for the period ended 31 March 2019 ||Not applicable || |
|The percentage increase in remuneration of each Director Chief Financial Officer Company Secretary in the period ended 31 March 2019 ||Not applicable || |
|The Percentage Increase in the median Remuneration of Employees In the period ended 31 March 2019 ||Not applicable || |
| || || |
|The number of permanent employees on the rolls of Company period ended 31 March 2019 ||Not applicable || |
|The explanation on the relationship between ||Profit (Loss) After Tax (' lakhs) ||Not Applicable |
|average increase in remuneration and Company performance. ||Average increase in Remuneration ||Not applicable |
|Comparison of the remuneration of the Key Managerial Personnel against the performance of the Company ||Income from operations fin Rs) ||Nil |
| ||Remuneration of Key Managerial Personnel fin Rs] ||Nil |
|Variations in the market capitalisation of the company price earnings ratio as at the closing date of the current period and percentage increase over decrease in the market quotations of the shares of the company ||Share Price ||Capitalisation in lakhs |
|Price Earnings Ratio ||Not applicable |
|Average percentile increase already made in the salaries of employees other than the managerial personnel in the last financial year and its comparison with the percentile increase in the managerial remuneration and justification thereof ||Average Percentile Increase already made in the salaries of employees and managerial personnel in the period ended 31 March 2019 ||Not applicable |
AFFIRMATION THAT THE REMUNERATION IS AS PER THE REMUNERATION POLICY OF THE COMPANY
The Company has devised remuneration policy for fixing the remuneration of the Officers/ Executives. The policy would be followed during payment of remuneration to Directors andKey Managerial Personnel of the Company
Your Directors express their grateful thanks for the assistance co-operation andsupport extended to the Company by Promoters shareholders and the bankers for theircontinued support. The Directors also place on record their appreciation of the good workput in by the employees of the company.
For and On behalf of the Board of Sri Nandaaa Spinners Limited
|K.M. Bindhu Sadhakan || ||Srividhya Bindhusadakan |
|Director. || ||Director. |
|(DIN:00671392) || ||(DIN:00671437) |