Your Directors are pleased to present before you the 37th Annual Report together withthe Audited Financial Statements for the Financial Year ended 31st March 2021.
Your Directors are pleased to present before you the 37th Annual Report together withthe Audited Financial Statements for the Financial Year ended 31st March 2021.
FINANCIAL RESULTS FOR THE FINANCIAL YEAR ENDED 31.03.2021
|Particulars ||Year Ended 31.03.2021 ||Year Ended 31.03.2020 |
|Total Income ||314.13 ||235.45 |
|Operating Expenses ||189.69 ||154.29 |
|Profit before Finance Cost Depreciation & Amortisation Exp. ||124.44 ||81.16 |
|Depreciation & Amortisation Exp. ||37.45 ||36.67 |
|Financial Expenses ||34.03 ||22.01 |
|Profit before Exceptional Items ||52.96 ||22.48 |
|Exceptional Items ||41.09 ||56.72 |
|Profit/(Loss) after Exceptional ||11.87 ||(34.24) |
|Provision for Tax ||- ||- |
|Profit/(Loss) after Tax ||11.87 ||(34.24) |
|Earnings per share (Basic and Diluted) ||0.40 ||(1.14) |
During the year the turnover of the Company is Rs.314.13 Lacs as against the previousyear turnover of Rs.235.44 Lacs. The profit before finance cost depreciation andamortization is Rs.124.44 Lacs in current year (previous year Rs.81.16 Lacs) and afterexceptional items and tax Profit is Rs.11.87 Lacs against previous year loss of Rs.34.24Lacs.
Your Company's Information for the year under review is given in greater detail in theManagement Discussion and Analysis which forms part of this Annual Report.
During the financial year 2020-21 no dividend was declared by the Board of Directors ofthe Company.
There were no Fixed Deposits as on 31st March 2021. No fresh deposits were acceptedduring the financial year 2020-21. There were no unclaimed deposits as at March 312021.
The Directors state that applicable Secretarial Standards i.e SS-1 and SS-2 relatingto Meeting of the Board of Director' and General Meetings' respectively havebeen duly followed by the Company.
MATERIAL CHANGES AFFECTING THE COMPANY
There have been no material changes and commitments affecting the financial position ofthe Company between the end of the financial year and date of this Report. There has beenno change in the nature of business of the Company.
Mr. Anil Kumar Khanna has appointed as a Managing Director of the Company with effectfrom AGM dated 16th December 2020. Mr.Suman Kapur Pravin Raja and Ms. Rekha Sharma arealso appointed as an Independent Director with effect from AGM dated 16th December 2020 .
The Company has received declarations from all the Independent Directors of the Companyconfirming that they meet the criteria of independence as prescribed under sub-section (6)of Section 149 of the Act read with Regulation 16 of Listing Regulations. The IndependentDirectors have also confirmed that they have complied with the Code for IndependentDirectors prescribed in Schedule IV to the Act.
Save and except aforementioned there was no other change in Directors of the Company.
KEY MANAGERIAL PERSONNEL
Mr. Shashi Shekhar appointed as a Company Secretary and Compliance officer w.e.f. 3rdDecember 2020 and Ms. Chandni Arora resigned as Company Secretary of the Company w.e.f17th August 2020.
Mr. Pradeep Anand appointed as Chief Financial Officer w.e.f. 11th November 2020 andMr.Ashish Khanna Director & Chief Financial Officer(CFO) of the Company resignedw.e.f. 17th August 2020.
MEETINGS OF THE BOARD:
The strength of Board of Directors as on March 31 2021 was 6 Directors. The Boardcomprises of one non-Independent Executive Director five Independent Directors. The Boardmeets the requirement of not less than half of the Board being Independent Directors theChairperson being an Executive Director.
|Date of Meetings ||Board Strength ||No. of Directors present |
|11th May 2020 ||08 ||08 |
|29th July 2020 ||06 ||06 |
|09th September 2020 ||05 ||05 |
|11th November 2020 ||05 ||05 |
|13th February 2021 ||06 ||06 |
The maximum time gap between any two meetings was not more than 120 days.
The composition of Board of Directors and attendance of Directors at the Board Meetingsduring the year and at the last Annual General Meeting and also number of otherdirectorships committee memberships and chairmanship held by them are given below:
|Name of Directors ||DIN ||Details ||Attendance ||No. of other Directorships and Committee Memberships/ Chairmanship held in Public Limited Companies || |
| || ||Category ||Board Meeting ||AGM ||Directorship ||Committee Membership ||Committee Chairmanship ||Directorship in other Listed Companies |
|Mr. Anil Kumar Khanna ||00207839 ||E.D/M.D ||05 ||Yes ||05 ||01 ||01 ||01 |
|Mr. Aditya Khanna* ||01860038 ||E.D/M.D ||02 ||No ||02 ||Nil ||Nil ||01 |
|Mr. Ashish Khanna* ||01251582 ||E.D. ||02 ||No ||02 ||01 ||Nil ||01 |
|Mr. Kapil Dutta ||00964585 ||I.D. ||05 ||Yes ||01 ||03 ||01 ||Nil |
|Mr.V.K Batra ||00601619 ||I.D. ||05 ||Yes ||Nil ||03 ||01 ||Nil |
|Mr. Suman Kapur ||00590936 ||I.D. ||03 ||Yes ||Nil ||02 ||01 ||Nil |
|Mr.Pravin Raja ||07564476 ||I.D. ||02 ||Yes ||Nil ||Nil ||NIL ||Nil |
|Mrs.Rekha Sharma ||06987967 ||I.D. ||03 ||Yes ||Nil ||01 ||Nil ||Nil |
|Mrs.Vimal Kumari* ||07225462 ||I.D. ||04 ||Yes ||Nil ||01 ||Nil ||Nil |
|Mr. Tushar Jagota* ||07018464 ||I.D. ||02 ||No ||Nil ||Nil ||Nil ||Nil |
|Mr.Surendra Biswal* ||08630386 ||I.D. ||01 ||No ||Nil ||Nil ||Nil ||Nil |
|Mr.Rakesh Singh* ||07845028 ||A.D. ||01 ||No ||Nil ||Nil ||Nil ||Nil |
Category : E.D. - Executive Director; I.D. - Independent Director; M.D - ManagingDirector; A.D. - Additional Director *Mr.Aditya Khanna Mr.Ashish Khanna Mrs.VimalKumari Mr.Surendra Biswal Mr.Tushar Jagota and Mr. Rakesh Singh were resigned previousyear.
The Committee's composition and terms of reference meet with requirements of Section177 of the Act and Regulation 18 of Listing Regulations. Members of the Audit Committeepossess financial/accounting expertise/exposure.
Brief description of terms of reference:
The role and the powers of the audit committee are as per the guidelines set out in theListing Regulations. The Committee also act as a link between the auditors and the Boardof Directors. The Committee meets the auditors periodically and reviews thequarterly/half-yearly and annual financial statements and discusses their findings andsuggestions and seeks clarification thereon.
The audit committee met four times during the financial year 2020-21 on 29th July202009th September 2020 11th November 2020 and 13th Februrary2021. The attendance of meetingis given hereunder:-
|Name ||Chairman/Member ||No. of Meeting (s) attended |
|Mr. Kapil Dutta ||Chairman ||04 |
|Mr.VK. Batra ||Member ||04 |
|Mr. Suman Kapur ||Member ||03 |
|Ms.Vimar Kumari * ||Member ||01 |
Mr. Suman Kapur appointed as a member of the Committee w.e.f. 09.09.2020.
*Mrs. Vimal Kumari member of the Audited Committee resigned w.e.f. 17.8.2020.
NOMINATION AND REMUNERATION COMMITTEE:
Nomination & Remuneration Committee was constituted to comply with the provisionsof the Companies Act 2013 and Regulation 19 of SEBI (Listing Obligations and DisclosureRequirements) Regulations 2015.
Brief description of terms of reference:
To formulate the criteria for determining qualifications positive attributes andindependence of a director formulate the criteria for evaluation of Independent Directorsand the Board and performance of every Directors of the Board and recommend to the Boardall remuneration in whatever form payable to Senior Management i.e. Chief ExecutiveOfficer Managing Director Whole time Director Manager Chief Financial Officer andCompany Secretary
The Committee met four times during the financial year 2020-21 on 29th July2020 09thSeptember 2020 11th November 2020 and 13th Februrary2021.
The Composition of the Nomination and Remuneration Committee and attendance of meetingis given hereunder:-
|Name ||Chairman/Member ||No. of Meetings attended |
|Mr. Suman Kapur ||Chairman ||03 |
|Mr. Kapil Dutta ||Member ||04 |
|Mr.VK. Batra ||Member ||04 |
Mr. Suman Kapur appointed as a member of the Committee on 9th September 2020.
STAKEHOLDERS' RELATIONSHIP COMMITTEE
The Stakeholder Relationship Committee was constituted to comply with the CompaniesAct 2013 and Regulation 20 of SEBI (Listing Obligations and Disclosure Requirements)Regulations 2015.
Brief description of terms of reference:
To approve issue of duplicate Share Certificate and to oversee and review all mattersconnected with transfer of Company's Securities and to resolve concerns/complaints/grievances of the security holders including complaints related to transfer/ transmissionof shares non-receipt of annual report non-receipt of declared dividends issue ofnew/duplicate certificates general meetings etc.
The Committee met four times during the financial year 2020-21 on 29th July 2020 09thSeptember 2020 11th November 2020 and 13th Februrary2021.
|Name ||Chairman / Member ||No. of Meeting(s) attended |
|Mr.V.K. Batra ||Chairman ||04 |
|Mr. Kapil Dutta ||Member ||04 |
|Mr. Anil Kumar Khanna ||Member ||04 |
MEETINGS OF INDEPENDENT DIRECTORS
The Company's Independent Directors meet at least once in every year without thepresence of Non-Independent Directors and Management Personnel. Such meetings areconducted to enable Independent Directors to discuss matters pertaining to the Company'saffairs and put forth their views to the other Independent Directors. IndependentDirectors take appropriate steps to present their views to the Board.
The Independent directors met one time during the financial year 2020-21 on 29th July2021 The declaration of Independent Director is attached as per Annexure "A".
MANAGEMENT'S DISCUSSION AND ANALYSIS REPORT
United Leasing & Industries Ltd is having a manufacturing unit of embroideredfabrics in Gurugram and has significant holding of real estate land parcel in the districtof Gurugram in Haryana India.
The Company is well positioned in terms of capacities capabilities and establishedrelationships to capitalize on market opportunities. While market conditions will becompetitive we see incremental opportunities in both domestic and overseas market.
TEXTILE CLOTHING AND FIBRE INDUSTRY GLOBAL SCENARIO
The world has been fighting the Covid-19 pandemic for more than a year now and thestruggle has had deleterious economic effects. In 2020 the global economy contracted by3.3% the largest contraction on record at least since World War-II. Much of it wasconcentrated in the first half of our financial year 2020-21 as several countriesenforced strict lockdowns. Economies bounced back - albeit at differentiated speeds - insubsequent quarters on the back of large fiscal stimulus packages especially in thedeveloped countries restocking demand after dilution of lockdowns and improvedconfidence levels following the start of vaccination programmes.
As per the recent forecasts from International Monetary Fund (IMF) the US and Chinaare expected to record a strong recovery in 2021 resulting in a net positive expansion oftheir economies over the 2019 levels. These two engines of growth are expected to boostdemand for exports from other countries. But Europe and Japan are projected to see only apartial recovery and will possibly fail to erase their last year's contraction in thecurrent year. In response to the pandemic central banks resorted to strongly supportivemonetary policies in most developed economies causing interest rates to go down to recordlows. At the same time another consequence of this policy has been a surfeit ofliquidity. That has led to a strong rally in prices of many industrial commodities whichhas also been supported by the evolving economic recovery stimulus-related demandexpectations and certain supply-side disruptions. This has caused inflationary pressureson the cost dynamic of several manufacturing industries. The latest IMF forecast suggestsa strong 6% growth in global GDP in 2021. But the occurrences of second and third waves ofCovid-19 in different parts of the world and reports of virus mutations have createddownside risks to the outlook of a strong growth rebound. Recovery remains uneven anduncertain with the extent of fiscal support and level of vaccination being keydifferentiators of the short-term economic outlook across countries.
GOVERNMENT POLICES-TEXTILE SECTOR
The Government is active to industry expectations to avail of un-interrupted benefitsunder the Foreign Trade Policy 2015-20 which has now been extended till March 2021. Asthe spread of Corona Virus is picking up speed Government is not only preparing thestrategies to combat COVID-19 but also effectively plan for life after the virus. IMF hasalready suggested that one of the measures to fight against COVID-19 must include a planfor recovery that will reduce potential scarring effects of the pandemic through policyaction. Government is exploring new financial lending institutions to support small-scaleunits.
Indian economy which was firmly on the path of recovery in the second half offinancial year 21 has been hit in recent months by a rather unexpectedly virulent secondwave of Covid-19. It has caused a severe strain on healthcare facilities in many parts ofthe country leading to localised lockdowns and a fall in mobility to levels seen a yearago. The double-digit GDP growth expectations for India in financial 22 have been paredback. As a silver lining disruptions to production and supply chains have been far lesssevere during the second wave than during the first wave. Vaccination is expected to pickup pace in the coming months which would support normalisation of mobility levels and ofrelated economic activities. Continued accommodative monetary policy of the RBI and theexpected increase in capex from the Government will be the other supporting factorshelping the economy to steer through this difficult phase.
Of course sustaining such recovery will require the containment of any furtherevolution of the pandemic. Quite in contrast to the near-term challenges the longer-termprospects for the Indian economy continue to be robust. Various initiatives includingprivatization of public sector enterprises monetisation of assets implementation ofNational Infrastructure Pipeline targeted investment incentives through theProduction-Linked Incentives Scheme and the new Labour Code are likely to spur a virtuouscycle of investments and growth in the medium-term.
OPPORTUNITIES THREATS RISK & CONCERNS
On exports front there are both positive and negative factors. Positive factorsinclude the weak currency and decreasing cost competitiveness of China that are likely togive positive impetus to the Indian exports. At the same time factors like slowdown anduncertainty in the global markets volatile foreign exchange rates and increase in cottonand yarn prices are likely to negatively affect growth and profitability for the textileexports. Interest expenses are part of the finance costs therefore any major upwardfluctuations in the Interest rates leads to increase in the cost of debt of the Company.The interest rate risks are mitigated to an extent through fixed interest rates on thenon-convertible debentures.
The biggest challenge facing the Indian textile industry is competition from the otherlow cost neighboring countries which attract more business from the international marketbecause of lower production costs ease in doing business and easier trade routesaccording to an industry expert.
Other challenge faced by the Industry is that approx. one third of the productionCapacity is lying idle due to sluggish Exports poor domestic demand and growing importsfrom Bangladesh and Sri Lanka. Textile and Clothing segments are presently undergoing adeep crisis due to uncompetitive prices declining exports un-competitiveness of theproducts in international markets taxes not getting refunded.
The novel corona virus disease is holding the world in a vice-like grip. It isuncertain and hard to predict whether the containment measures will be effective or not.If international borders continue to be closed for too long the situation will becomecatastrophic for many countries in the world. The global economy is heading in execrablyinto recession. The volume of world trade can shrink by 13-32 per cent in 2020 asprojected by the World Trade Organization. The deteriorating global economic conditionsincluding foreign and fiscal exchange constraints have already effected supply chainsprevailing trading patterns need to be reviewed. Efforts should be taken to accelerate thetrading engagements with local regional distribution channels rather than only the globalsupply chain networks. Considering the scale of impact on business the economy and tradethe Government has been announcing relief measures which are a mix of credit guaranteesliquidity infusions into Banks and other financial institutions rather the economy perse.A package of relief measures for SME's has also been announced including changes in thedefinition. Apart from investment the criteria of turnover has also included in thedefinition.
RESEARCH & DEVELOPMENT (R & D)
Your Company continues to derive sustainable benefit from the strong foundation andlong tradition of Research & Development (R&D) which differentiates it from manyothers. New products processes and benefits flow from work done by the team of in housedesigners. This allows us to enhance quality productivity and customer satisfactionthrough continuous innovation. In order to successfully carve a niche of our own we needto develop a vital competitive edge in the design development to stay ahead of thecompetition.
HUMAN RESOURCE DEVELOPMENT/ INDUSTRIAL RELATION.
HR function is at the core of the Company and plays a major role in nurturingenhancing and retaining talent through job satisfaction management development programmeetc. The Company has an induction process and Goals/Deliverables are in place foremployees based on which appraisals are done.
The primary objective of ULIL ("the Company") is to bring aboutorganizational effectiveness by helping employees achieve their personal goals in a mannerthat enhances the overall performance of the Company.
The fundamental driver of any Company is its people and Industry there has always beenextended focus on the Management of Human Resources. It is widely recognized that theCompany's employees are the most valuable asset to the organization and will play apivotal role in helping the business overcome its present challenges. The belief is thatwith a well-motivated and energized work force nothing is impossible.
ENVIRONMENT OCCUPATIONAL HEALTH SAFETY
Company's Environment Health & Safety (EHS) strategies are directed towardsachieving the greenest and safest operations by optimizing natural resource usage andproviding a safe and healthy workplace. Systemic and structured efforts continue to bemade towards natural resource conservation by continuously improving resource-useefficiencies.
As we continue to bring about energy efficiencies in our operations we also strive tosubstitute our energy consumptions with increased component of renewable energy. The Plantof the Company is eco-friendly and do not generate any harmful effluents. Safety deviceshave been installed wherever necessary.
CORPORATE SOCIAL RESPONSIBILITY (CSR)
As per section 135 of the Companies Act 2013 the provisions of Corporate SocialResponsibility are not applicable to our company.
With the enactment of Section 135 of the Companies Act 2013 and the Companies(Corporate Social Responsibility) Rules 2014 read with various clarifications issued bythe Ministry of Corporate Affairs Every Company having the net worth of Rs.500 Crores ormore turnover of Rs.1000 Crores or more or net profit of Rs.5 Crores or more duringimmediately preceding financial year have to spend at least 2% of the average net profitof the Company made during the three immediately preceding financial years.
In pursuance of the Companies Act 2013 and the Companies (Corporate SocialResponsibility) Rules 2014 the above rules are not applicable to the company during theyear.
The Company has a policy for performance evaluation of the Board Committees and otherindividual Directors (including Independent Directors) which includes criteria forperformance evaluation. In accordance with the manner specified by the Nomination andRemuneration Committee the Board carried out performance evaluation of the Board itsCommittees and Individual Directors (including Independent Directors).
The Independent Directors separately carried out evaluation of Chairperson NonIndependent Directors and Board as a whole. The performance of each Committee wasevaluated by the Board based on views received from respective Committee Members. Thereport on performance evaluation of the Individual Director was reviewed by theChairperson of the Board and feedback was given to Directors.
RELATED PARTY TRANSACTION
All the related party transactions were entered on arms' length basis and were in theordinary course of business. Further the transactions with related parties were incompliance with applicable provisions of the Act and the Listing Regulations. Omnibusapproval was obtained for the transactions which were foreseen and repetitive in nature. Astatement of all related party transactions was presented before the Audit Committee on aquarterly basis. During the year the Company had not entered into any contract/arrangement/transactions with related parties which could be considered material inaccordance with the policy of the Company on materiality of Related Party Transactions orwhich is required to be reported in Form No. AOC-2 in terms of Section 134(3)(h) read withSection 188 of the Act and Rule 8(2) of the Companies (Accounts) Rules 2014.
The details of the transactions with Related Parties are provided in AOC-2 annexed withthe Board's Report.
PARTICULARS OF LOANS AND GUARANTEES AND INVESTMENTS
The Company has not made any investment and guarantees during the period and has notgranted any loan during the period under review.
SUBSIDIARIES/ JOINT VENTURES/ ASSOCIATE COMPANIES
Your Company does not have any Subsidiary/ Joint Venture/ Associate Company. Thereforedisclosures for the same are not applicable.
VIGIL MECHANISM AND WHISTLE BLOWER POLICY
The Company has adopted a Whistle Blower policy to provide a formal mechanism to theDirectors and employees of the Company for reporting genuine concerns about unethicalpractices and suspected or actual fraud or violation of the code of conduct of the Companyas prescribed under the Companies Act 2013 Regulation 22 of the Listing Obligation andDisclosure Requirements 2015.
This Vigil Mechanism shall provide a channel to the employees and Directors to reportto the management concerns about unethical behavior and also provide for adequatesafeguards against victimization of persons who use the mechanism and also make provisionfor direct access to the chairperson of the Audit Committee in appropriate or exceptionalcases. It is affirmed that no personnel of the company has been denied access to the AuditCommittee.
DISCLOSURE UNDER SEXUAL HARASSMENT OF WOMEN AT WORKPLACE (PREVENTION PROHIBITION ANDREDRESSAL) ACT 2013
Internal Complaints Committee (ICC) has been set up to redress complaints receivedregarding sexual harassment. There were no complaint received from any employee during thefinancial year 2020-21 and hence no complaint is outstanding as a 31.3.2021 forcompliance.
Appointment of M/s Ravi Rajan & Co.LLP Chartered Accountants as Statutory Auditorsfor term of five financial years in place of the retiring Auditors M/s. Raj Anirudh &Associates Chartered Accountants.
"RESOLVED THAT pursuant to Section 139 and 142 and other applicable provisions ofthe Companies Act 2013 and the Companies (Audit and Auditors) Rules 2014 and pursuant tothe recommendation made by the Audit Committee of the Board M/s. Ravi Rajan & Co.LLPChartered Accountants (Firm Registration No. 009073N/N500320) allotted by The Instituteof Chartered Accountants of India (ICAI) be and are hereby appointed as the Auditors ofthe Company in place of the retiring Auditors M/s. Raj Anirudh & Associates CharteredAccountants having registration No. 020497N allotted by ICAI who shall hold office fromthe conclusion of this 37th Annual General Meeting for term of consecutive five years tillconclusion of the 42nd Annual General Meeting (subject to ratification of the appointmentby the members at every Annual General Meeting held after this Annual General Meeting) andthat the Board be and is hereby authorized to fix such remuneration as may be determinedby the Audit Committee in consultation with the Auditors in addition to reimbursement ofall out-of-pocket expenses as may be incurred in connection with the audit of the accountsof the Company."
The Notes on financial statement referred to in the Auditors' Report areself-explanatory and do not call for further comments. The Auditors' Report does notcontain any qualification reservation adverse remark or disclaimer.
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 M/s. Choudhary Pankaj & Associates Company Secretaries in practice (CP No5417) to undertake the Secretarial Audit of the Company for the year ending 31st March2022.
The Secretarial Audit Report for the year ended 31st March 2021 is annexed herewith asAnnexure-I to this Report. The Company has complied with all applicable SecretarialStandards (SS) issued by the Institute of Company Secretaries of India (SS1 and SS2)relating to the meetings of the Board including its Committees and General Meetings whichhave mandatory application during the year under review. The Secretarial Audit Report doesnot contain any adverse qualification reservation or remark.
EXTRACTS OF ANNUAL RETURN
The extracts of the Annual Return as per section 92(3) of the Companies Act 2013 andrule 12(1) of the Companies (Management and Administration) Rules 2014 in the Form MGT 9is attached as Annexure-C'.
CORPORATE GOVERNANCE REPORT
The Company is committed to maintain the highest standards of Corporate Governance andadhere to the Corporate Governance requirements set out by Securities and Exchange Boardof India ("SEBI"). The detailed Corporate Governance Report of the Company inpursuance of the Listing Regulations forms part of the Annual Report of the Company. TheCertificate confirming the compliance of conditions of Corporate Governance as stipulatedSEBI (Listing Obligations and Disclosure Requirements) Regulations 2015 is attached inAnnexure "D".
RISK MANAGEMENT SYSTEM
The Company's business is exposed to both external and internal risks.Your Company hasincorporated processes and systems to proactively monitor manage and mitigate these risksalong with appropriate review mechanisms. The Company has an elaborate Risk ManagementFramework which is designed to enable risks to be identified assessed and mitigatedappropriately.
INTERNAL FINANCIAL CONTROLS
The Company has adequate system of internal financial controls to safeguard and protectthe Company from loss unauthorized use or disposition of its assets. All the transactionsare properly authorized recorded and reported to the Management. The Company is followingthe applicable Accounting Standards for properly maintaining the books of accounts andreporting financial statements. The internal financial controls have been embedded in thebusiness processes.
Assurance on the effectiveness of internal financial controls is obtained throughmanagement reviews continuous monitoring by functional leaders as well as testing of theinternal financial control systems by the internal auditors during the course of theiraudits. The Audit Committee reviews adequacy and effectiveness of Company's InternalControls and monitors the implementations of audit recommendations.
PARTICULARS OF EMPLOYEES
In terms of the provision of Section 197 of the Act read with Rules 5(2) and 5(3) ofthe Companies (Appointment and Remuneration of Managerial Personnel) Rules 2014 Noemployee is drawing remuneration in excess of the limits set out in the said rules areprovided in the Act.
CONSERVATION OF ENERGY
The Company does not belong to the category of power intensive industries and henceconsumption of power is not significant. However the management is aware of theimportance of conservation of energy and also reviews from time to time the measurestaken/ to be taken for reduction of consumption of energy.
During the year your Company is running successfully its embroidery unit in Gurugramcomprising two computerized high quality embroidery machines the company is going for upgradation of these machines on phase manner which is likely to bring higher efficiency inthe coming years.
The Company is conscious of implementation of latest technologies in key working areas.Technology is ever-changing and employees of the Company are made aware of the latestworking techniques and technologies for optimum utilization of available resources and toimprove operational efficiency.
During the year there is no expenditure on Research and Development.
FOREIGN EXCHANGE EARNINGS AND OUTGO
|Total Foreign exchange earned ||: Rs. Nil |
|Total Foreign exchange used ||: Rs. Nil |
DIRECTORS RESPONSIBILITY STATEMENT
To the best of their knowledge and belief and according to the explanations obtained bythem your Directors make the following statements in terms of Section 134(3)(c ) of theCompanies Act 2013:
(i) In preparation of the annual accounts for the financial year ended March 312021the applicable Accounting Standards read with the requirements set out under Schedule IIIto the Act have been followed and there are no material departures from the same;
(ii) The Directors have 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 year March312021 and the Profit/Loss of the company for that period;
(iii) The Directors have been taken proper and sufficient care for the maintenance ofadequate accounting records in accordance with the provisions of this Act for safeguardingthe assets of the company and for preventing / detecting fraud and other irregularities;
(iv) The Directors have prepared the annual accounts Company for the financial yearended March 31 2021 on a going concern basis.
(v) The Directors have laid down internal financial controls to be followed by thecompany and that such financial controls are adequate and operating effectively.
(vi) The Directors have devised proper systems to ensure compliance with the provisionsof all applicable laws and that such systems were adequate and operating effectively.
The Board of Directors wish to place on record their appreciation for the faith reposedin the Company and continuous support extended by all the employees members customersinvestors government authorities bankers and various stakeholders.
| ||For and on the behalf of the Board United Leasing & Industries Limited Sd/- Anil Kumar Khanna |
|Date: 11th AUGUST 2021 Place: Gurugram Haryana ||Managing Director |