The Directors have pleasure in presenting their 37th Annual Report togetherwith Audited Accounts of the Company for the year ended 31st March 2021.
1. FINANCIAL PERFORMANCE &OPERATIONS:
(Rs. In Lacs)
|Particulars ||31st March 2021 ||31st March 2020 |
|Total Income ||1661.08 ||3640.91 |
|Total Expenses ||1679.67 ||3559.13 |
|Profit/(Loss) before tax ||(18.59) ||81.78 |
|Net Profit for the period ||(23.70) ||64.02 |
|Other Comprehensive Income ||0 ||0 |
|Total Comprehensive Income ||(23.70) ||64.02 |
|Earnings per Share (Basic and Diluted) (Rs.) ||(0.34) ||0.92 |
The Board of Directors had not recommended any dividend for this year.
3. TRANSFER TO RESERVES:
During the year the Company has not transferred any amount to reserves due to losses.
4. FIXED DEPOSIT:
The Company did not invite or accept deposit from public during the year under review.
5. PLASTICS INDUSTRY OUT LOOK AND OPPORTUNITIES:
Availability of raw materials supply as well as prices remain stable which lead tomanage the equation between production cost and profitability. There is increase incompetition due to new entrant in these over-crowded industries that leads to lower marginof our products. The company is taking all necessary steps to maintain the optimum levelof production and provide best service to customers. The company is looking for newmarkets where margin is high.
6. QUALITY MANAGEMENT:
The company is committed to supply products and services confirming to customers'requirements by involving employees vendors sub- contractors and customers to achieve itsvision of being a cost- efficient global suppliers of quality products.
7. PARTICULARS OF EMPLOYEE:
The information required pursuant to Section 197 read with Rule 5 of the Companies(Appointment and Remuneration of Managerial Personnel) Rules 2014 in respect to employeesof the Company will be provided on request.
During the Financial Year 2019-20 there has been following changes in Board ofDirectors including Mr. Rajesh Singh Javvari Kapish (DIN: 03508795) who retires byrotation and is eligible to be re-appointed. The Board of Directors during the FinancialYear 2020-21 are as follows:
|S. No. Name of the Director ||Designation ||Category ||Date of change |
|1. J. K. Rajesh Singh ||Managing Director ||Executive ||- |
|2. J P Pavan Singh ||Director ||Non-Executive ||- |
|3. J K Karthik Singh ||Director ||Non-Executive ||- |
|4. Sudhakar Matta ||Director (Independent Director) ||Independent Director ||Resigned with effect from 28/12/2020. |
|5. Beena C. Kandpal ||Director (Independent Director) ||Independent Director ||Resigned with effect from 10/11/2020. |
|6. Sandeep Kumar Patnaikuni ||Additional Director (Independent Director) ||Independent Director ||Appointed on 28/12/2020 |
|7. Rajul Shah ||Additional Director (Independent Director) ||Independent Director ||Appointed on 28/12/2020 and resigned with effect from 15/03/2021. |
9. MEETINGS OF THE BOARD OF DIRECTORS:
The Board of Directors of the Company met 7 times during the last financial year on thefollowing dates: 22/07/2020 03/09/2020 15/09/2020 13/11/2020 30/11/2020 28/12/2020and 13/02/2021.
11. DECLARATION BY INDEPENDENT DIRECTORS:
The independent directors have submitted the declaration of independence as requiredpursuant to section 149(7) of the Companies Act 2013 stating that they meet the criteriaof independence as provided in section 149 (6) of the said Act.
12. MANAGERIAL REMUNERATION:
The Company has paid Managerial Remuneration to Directors and Key Managerial Persons.The Board of Directors has framed a Remuneration Policy that assures the level andcomposition of remuneration is reasonable and enough to attract retain and motivateDirectors Key Managerial Personnel and Senior Management to enhance the quality requiredto run the Company successfully. All the Board Members and Senior Management personnelhave affirmed time to time implementation of the said Remuneration policy. The ManagerialRemuneration which is paid to Directors and Key Managerial personal(s) are provided inAnnexure B MGT-9' provided with this Director's Report.
13. LOANS GUARANTEES AND INVESTMENTS IN ACCORDANCE WITH SECTION 186:
Loans guarantees and investments if any are covered under Section 186 of the CompaniesAct 2013 form part of the Notes to the financial statements provided in this AnnualReport.
14. MATERIAL CHANGES AND COMMITMENTS:
There have been no material changes and commitments affecting the financial position ofthe Company which have occurred between the end of the financial year and the date ofthis Report.
15. CODE OF CONDUCT:
The Board of Directors has laid down a Code of Conduct applicable to the Board ofDirectors and Senior Management. All the Board Members and Senior Management personnelhave affirmed compliance with the code of conduct.
16. DIRECTOR'S RESPONSIBILITY STATEMENTS:
To the best of their knowledge and belief and according to the information andexplanations obtained by them your Directors make the following statements in terms ofSection 134(3)(C) of the Companies Act 2013:
a. That in the preparation of the annual financial statements for the year ended 31stMarch 2021 the applicable accounting standards have been followed along with properexplanation relating to materials departures if any;
b. That such accounting policies as mentioned in Notes of the Financial Statements havebeen selected and applied consistently and judgment and estimates have been made that arereasonable and prudent so as to give a true and fair view of the state of affairs of theCompany as at 31st March 2021 and of the Profit of the Company for the yearended on that date.
c. That proper and sufficient care has been taken for the maintenance of adequateaccounting records in accordance with provisions of the Companies Act 2013 forsafeguarding the assets of the Company and preventing and detecting fraud and otherirregularities;
d. That the annual financial statement has been prepared on-going concern basis;
e. that proper internal financial controls were in place and that the financialcontrols were adequate and were operating effectively;
f. that systems to ensure compliances with the provisions of all applicable laws werein place and were adequate and operating efficiency.
17. CONSERVATION OF ENERGY ABSORPTION OF TECHNOLOGY AND FOREIGN EXCHANGE AND OUTGO:
The information on conservation of energy technology absorption and foreign exchangeearnings and outgo stipulated under Section 134 (3) (m) of the Companies Act 2013 isgiven below:
A. Conservation of Energy:
Continues monitoring and awareness amongst employees has helped to avoid waste ofenergy. Adequate measures had helped in reducing the consumption of energy and overallelectricity bill. It is planned to extend the measures taken during the current year whichyielded satisfactory results to other areas/equipment/offices.
B. Technology Absorption:
Company has not incurred major expenditure on R&D activity during the year underreview; however the company is searching various technology and method which will help inreducing the consumption of energy increase in input/output ration produceinternationally acceptable quality products company have the ISO 9001:2000 Certificate.Information regarding technology imported during the last five years:
|a. Technology imported ||No |
|b. Year of Import ||No |
|c. Has technology been fully absorbed ||N.A. |
|e. If not fully absorbed are as where this has not taken place reasons therefore and future plans of actions ||N.A. |
C. Foreign Exchange:
The foreign exchange used and earned during the year:
|Particulars ||Current Period ||Previous Period |
|Foreign Exchange Earning ||-- ||-- |
|Foreign Exchange Outgo ||-- ||-- |
18. RELATED PARTY TRANSACTION AND DETAILS OF LOANS GUARANTEES INVESTMENT &SECURITIES PROVIDED
Information about Related Party transactions if any are provided in the financialstatements.
1) STATUTORY AUDITOR: -
NSVR & Associates LLP Chartered Accountants Hyderabad (Firm Registration No.008801S/S200060) are Statutory Auditors of the Company who shall hold office till theconclusion of the Annual General Meeting of the Company to be held for the F.Y. 2021-2022on a remuneration as may be determined by Board of Directors.
2) SECRETARIAL AUDITOR:
Pursuant to the provisions of Section 204 of the Companies Act 2013 and Rules madethereunder the Company has appointed M/s. Atluri Ramesh & Associates CompanySecretaries Hyderabad on a remuneration as determined by Board of Directors to undertakethe Secretarial Audit of the Company. Secretarial Audit Report for the year 2020-21 issuedby M/s. Atluri Ramesh & Associates Company Secretaries Hyderabad in the prescribedForm MR-3 is annexed to this Report.
3) INTERNAL AUDITOR:
Company has appointed Mr. Sayed Shahnawaz Nazir as Internal Auditor for F.Y. 2021-22who conducts regular Internal Checks Audits and reports the Board of Directors of theCompany.
20. STATEMENT ON AUDITOR'S OBSERVATION:
The Board's reply on Auditors' comments:
1. Non-receipt of Creditors confirmations fully:
We have sent request letters but we are yet to receive confirmations from certaincreditors.
2. Valuation of inventory:
Management has taken the suggestions of Auditors and will re-work the valuation andwill report in coming quarters.
3. Non-provision for gratuity:
The Management is of the view that new provision for gratuity for the year is notrequired as the previous year provision is Sufficient.
21. RISK MANAGEMENT POLICY:
The Company has a risk management policy which from time to time is reviewed by theAudit Committee of Directors as well as by the Board of Directors. The Policy is reviewedquarterly by assessing the threats and opportunities that will impact the objectives setfor the Company as a whole. The Policy is designed to provide the categorization of riskinto threat and its cause impact treatment and control measures. As part of the RiskManagement policy the relevant parameters for protection of environment safety ofoperations and health of people at work and monitored regularly with reference tostatutory regulations and guidelines defined by the Company.
22. EXTRACT OF ANNUAL RETURN:
The extract of Annual return in Form MGT-9 has been attached herewith.
23. SUBSIDIARIES AND JOINT VENTURES
The Company does not have any Subsidiaries and Joint Ventures.
24. WHISTLE BLOWER POLICY/VIGIL MECHANISM
Pursuant to section 177(9) of the Companies Act 2013 and Regulation 22 of the SEBIListing Regulations 2015) the Board at its meeting amended the existing Whistle BlowerPolicy. The Whistle Blower Policy/Vigil mechanism provides a mechanism for thedirector/employee to report without fear of victimisation any unethical behavioursuspected or actual fraud violation of the Code of Conduct etc. which are detrimental tothe organisation's interest. The mechanism protects whistle blower from any kind ofdiscrimination harassment victimisation or any other unfair employment practice. TheCompany affirms that no employee has been denied access to the Audit Committee. Thedirectors in all cases and employees in appropriate or exceptional cases will have directaccess to the Chairman of the Audit Committee.
25. INTERNAL COMPLAINT COMMITTEE (SEXUAL HARASSMENT)
As per section 4 of Sexual Harassment of Women at work place (Prevention Prohibitionand Redressal) Act 2013 during the relevant financial year Internal Complaint Committeeconstituted for the purpose of prevention and maintain the secure safe environment freefrom sexual harassment as per the Article 21 of the Constitution of India. There were nocomplaints received during the year 2020-21.
26. INTERNAL FINANCIAL CONTROL AND ITS 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 ofassets prevention and detection of frauds and errors accuracy and completeness of theaccounting records and the timely preparation of reliable financial disclosures.
The Equity Shares of the Company are listed on BSE Limited.
28. CORPORATE SOCIAL RESPONSIBILITY
The provisions of Corporate Social responsibility are not applicable to the Company.
29. CORPORATE GOVERNANCE
As per SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015Corporate Governance is not applicable to the Company.
Your Board of Directors thanks all its valued customers and various GovernmentsSemi-Government and Local Authorities Suppliers and other business associates. YourDirectors appreciate continued support from Banks and Financial Institutions and lookforward to their co-operation in the future. Your Directors place on record theirappreciation of the dedicated efforts put in by the employees at all levels and wishes tothank and shareholders and all other stakeholders for their unstinted support andco-operation.
|Union Quality Plastics Limited || || |
|Regd. Off. 209/A || || |
|Sham Kamal B CHS Ltd Agarwal Market ||Sd/- ||Sd/- |
|Tejpal Road Ville Parle East ||J. K. Rajesh Singh ||J P Pavan Singh |
|Mumbai Maharashtra-400057 ||Managing Director ||Director |
|India ||(DIN: 03508795) ||(DIN: 08082518) |
|Place: Hyderabad || || |
|Date: 11/08/2021 || || |