Kanoria Plaschem Ltd. के निदेशक की रिपोर्ट

Mar 31, 2011

The Directors place before you the Eighteenth Annual Report on the working of your Company and the Audited Statement of Accounts for the year ended 31st March 2011.

1. PERFORMANCE OF THE COMPANY DURING THE YEAR UNDER REVIEW:

The financial performance during the year ended March 31, 2011 is briefly summarized below:

For the Current Year For the Previous Year Particulars Ended 31-03-2011 Ended 31-03-2010 (Rs. In Lacs) (Rs. In Lacs)

Total Income 1562.93 991.96

Gross Profit (Loss) after Interest and before Depreciation 63.88 36.17

Depreciation, 49.99 35.06

Income Tax 2.60 0.20

Profit/ (Loss) after tax 102.64 0.91

2. DIVIDEND

Since the company has accumulated losses, your Directors decided not to recommend dividend for the year 2010-2011.

3. DEPOSITS

The Company has not accepted deposits from the public during the year under review.

4. DIRECTORS

a. We regret to inform that Shri K.P. Padmanabha, has reached heavenly abode on 04th May 2011. The management remembers the services rented by Shri K.P. Padmanabha to the company.

b. Shri Siddhartha Kanoria, retires by rotation and being eligible offers himself for re-appointment at the ensuing Annual General Meeting.

5. DIRECTORS' RESPONSIBILITY STATEMENT

As required under Section 217(2AA) of The Companies Act, 1956 your Directors state that:

While preparing Annual Accounts for the year ending 31st March 2011, the applicable Accounting Standards have been followed along with proper explanations relating to material departures:

Company had selected such accounting policies and applied them consistently and made judgments that are reasonable and prudent which gives true and fair view of the affairs of the Company.

Company had taken proper and sufficient care for the maintenance of adequate Accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities;

Company had prepared accounts for the year ending 31st March 2011 on a going concern basis.

6. Reply to Auditors Qualifications:

Non compliance of Section 297(1) of Company's Act, 1956- The Company has taken up the matter with the legal person for making the application to central Government.

Non compliance of clause 49 of the listing agreement: As the shares of the Company are not being traded on the stock exchange for long time due to losses, the compliance has not been done.

Gratuity provision: The Company proposes to take the help of Actuarial valuer, for gratuity valuation.

Depreciation written back: The company has revised the value of the plant and machinery in accordance with the market value based on the certificate issued by registered Chartered Engineer. The depreciation is charged on the basis of useful life of the machinery. Excess depreciation charged earlier has been written back.

MSME Disclosure: The company has made effort to get the information from the suppliers. However the company yet to receive the information hence disclosure is not being done.

7. STATUTORY COMPLIANCE CERTIFICATE

As required under Section 383A of the Companies Act, 1956, Statutory Compliance Certificate issued by a Company Secretary in Whole Time Practice is annexed herewith.

8. AUDITORS

M/S Gowthama and Company, Chartered Accountants, Bangalore, retire at the conclusion of the ensuing Annual General Meeting and are eligible for re- appointment.

9. INFORMATION OF EMPLOYEES

None of the employees were drawing remuneration more than the limit prescribed under section 217(2A) of the Companies act, 1956.

10. CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS/OUTGO

The information required U/s 217(1)(e) of the Company's Act 1956, read with the Companies (disclosure of particulars in the report of the Board of Directors 1988 is appended hereto and forms part of this report.

11. ACKNOWLEDGEMENTS

The Directors thank the Customers, Suppliers, Financial Institutions, Banks and share holders for their continued support and also recognize the contribution made by the employees to the Company's progress during the year under review.

For and on behalf of the Board

Place: Bangalore (ASHISH KANORIA)

Date : 15-06-2011 Chairman & Managing Director