BIHAR FOUNDRY & CASTINGS LIMITED
ANNUAL REPORT 2016-2017
Corporate Information Board Of Directors Name: Dr. Hari Krishna Budhia (DIN: 01481085) Address: Near Surendra Nath Centenary School Dipatoli, P.O. Bariatu, P.S. Sadar, District Ranch-834009 (Jharkhand) Designation: Managing Director Name: Mrs. Aruna Budhia (DIN: 01481095) Address: Near Surendra Nath Centenary School Dipatoli, P.O. Bariatu, P.S. Sadar, District Ranch-834009 (Jharkhand) Designation: Director Name: Mr. Gaurav Budhia (DIN: 01652817) Address: Near Surendra Nath Centenary School Dipatoli, P.O. Bariatu, P.S. Sadar, District Ranch-834009 (Jharkhand) Designation: Director
Compliance Officer Dr. Hari Krishan Budhia
Bankers Name of Bank: Bank of India Address: Ranchi Mid Corporate Branch Sahjanand Chowk, Birsa Raj Marg, Harmu Ranchi, 834002 (Jharkhand) Name Of Bank: Indian Overseas bank Address: Ranchi Branch Atmaram Bhawan, Radheyshyam Lane, M.G. Marg, Main Road, Ranchi-834001 (Jharkhand) Name of Bank: United Bank of India Address: Ranchi Branch
Post Box No .94, Main Road, Ranchi-834001 (Jharkhand) Name of Bank: Canara Bank Address: Ranchi Branch Main Road, Ranchi-834001 (Jharkhand)
Statutory Auditors
M/s S. Sannigrahi & Company Chartered Accountants 305, Shrilok Complex Hazaribagh Road, Ranchi-834001 (Jharkhand) Tel No: 0651-2213953 E Mail: [email protected]
Registered Address Of Company Main Road, Ranchi-834001 Jharkhand, India
DIRECTOR’S REPORT
Dear Members,
Your Directors have pleasure in presenting before you the Annual Report of the Company for the
Financial Year ended 31st March, 2017.
1. Financial Results
Particulars Amount (in Rs.)
2016-17 2015-16
Sales/Revenue From Operation 2,961,899,494.61 3,503,829,039.83
Other Income 9,100,475.68 11,610,856.32
Total Income 2,970,999,970.29 3,515,439,896.15
Less: Expenditure 2,970,265,975.84 3,549,641,029.93
Profit / Loss before Tax and Extraordinary items 733,994.45 (34,201,133.78)
Extraordinary items - -
Less: Tax Expenses
Current Tax
Deffered Tax
139,862.64
12,262,336.22
-
9,908,925.22
Profit / Loss After Tax (11,668,204.41) (44,110,059.00)
Financial highlights
1. During the year under review the company has incurred a loss of Rs.11,668,204.41.
2. Dividend- Since the Company has incurred loss, the Directors of the Company has not recommended
any dividend during the Year under review.
3. Reserves- No amount was proposed to be carried to Reserves.
4. Review of business- During the year under review, your Company has shown a net loss of
Rs.11,668,204.41. It is expected to register growth next year.
5. Change in the nature of business- There is no change in the nature of Business of the Company.
6. Material changes and commitment if any affecting the financial position of the company occurred
between the ends of the financial year to which these financial statements relate and the date of
the report- No material changes and commitments affecting the financial position of the Company
occurred between the end of the financial year to which this financial statements relate and the date
of this report.
7. Statement concerning development and implementation of risk management policy of the
company- The Management/Board does not foresee any Material Risk concerning development and
implementation of risk management policy of the company.
8. Particulars of loans, guarantees or investments made under section 186 of the companies act,
2013- There were no loans, guarantees or investments made by the Company under Section 186 of
the Companies Act, 2013 during the year under review and hence the said provision is not
applicable.
9. Particulars of contracts or arrangements made with related parties - There were contract or
arrangements made with related parties as defined under Section 188 of the Companies Act, 2013
during the year under review. All the Contracts and arrangements entered into with related Parties
were on Arm Length Basis and in the Ordinary Course of Business.
10. Statutory auditors- Comments of the Auditors in their report and the notes forming part of the
Accounts are self explanatory.
During the year under review, the appointment of auditors needs to be ratified as they have been
appointed for a term 5 year.
Your directors’ request that the ratification of appointment of M/s. S. SANNIGRAHI & CO. (FRN-
04995C), the Company's Auditors at the Annual General Meeting. The Company has received a
certificate from the auditors to the effect that ratification of their appointment, if made would be in
accordance with the provisions of section 141of the Companies Act, 2013.
11. Secretarial audit report- Section 204 of Companies Act, 2013 is applicable to the company which is
attached as an annexure to this Board Report.
12. Explanation or comments on qualifications, reservations or adverse remarks or disclaimers made
by the auditors and the practicing company secretary in their reports-
The Statutory Auditor of the Company has stated in their comments that the Company has defaulted
in repayment of the interest free loan of Rs. 50,97,259/- from Bihar State Investment and Credit
Corporation. The Company has not taken any loan either from financial institutions or from the
government and has not issued any debentures.
13. Changes in the Directorship and Company’s policy relating to directors appointment, payment of
remuneration and discharge of their duties-
(a) No changes in the Directorship took place during the year. (b) During the year under review there is no change in terms of remuneration of the Directors.
14. Directors responsibility statement- In accordance with the provisions of Section 134(5) of the
Companies Act, 2013 the Board hereby submits its responsibility Statement:—
(i) That in the preparation of the annual accounts, the applicable accounting standards had
been followed along with proper explanation relating to material departures;
(ii) That the Directors have selected such Accounting Policies and applied them consistently
and made judgments and estimates that are reasonable and prudent so as to give true
and fair view of the state of affairs of the company at the end of the financial year and of
the profit or loss of the company for the year for that period;
(iii) That the Directors have taken proper and sufficient care for the maintenance of the
adequate Accounting records in accordance with the provisions of the Companies Act,
2013 for safeguarding the assets of the company and for preventing and detecting fraud
and other irregularities.
(iv) That the Directors have prepared the annual accounts on a going concern basis.
(v) Since the company is Unlisted, this clause is not applicable.
(vi) The directors had devised proper systems to ensure compliance with the provisions of all
applicable laws and that such systems were adequate and operating effectively.
15. Number of board meetings/EGM conducted during the year under review- The Company had 21
Board meetings during the financial year under review.
Board Meeting were held on 15.04.2016, 13.05.2016, 31.05.2016, 21.06.2016, 24.06.2016,
20.07.2016, 30.08.2016, 31.08.2016, 02.09.2016, 28.09.2016, 03.10.2016, 10.10.2016,
27.10.2016, 05.11.2016, 05.12.2016, 26.12.2016, 12.01.2017, 29.01.2017, 07.02.2017,
15.02.2017, 25.03.2017 during the year under review.
EGM’s were held on 13.02.2017, 15.03.2017 during the year under review.
16. Annual return- The extracts of Annual Return pursuant to the provisions of Section 92 read with
Rule 12 of the Companies (Management and administration) Rules, 2014 is furnished in "Annexure
1" to this report and is attached to this Report.
17. Subsidiaries, joint ventures and associate companies along with their performance and financial
position - The Company does not have any Subsidiary, Joint venture or Associate Company
18. Deposits- The Company has not accepted deposits during the year under review.
19. Shares
a. The Company has not bought back any of its securities during the year under review
b. The Company has not issued any Sweat Equity Shares during the year under review.
c. No Bonus Shares were issued during the year under review.
d. The Company has not provided any Stock Option Scheme to the employees.
e. The Company has issued 200000 Equity Shares during the Year on Private Placement basis.
20. Transfer of unclaimed dividend to Investor Education And Protection Fund- Since there was no
unpaid/unclaimed Dividend declared and paid last year, the provisions of Section 125 of the
Companies Act, 2013 do not apply.
21. Conservation of energy, technology absorption, foreign exchange earnings and outgo
(A) Conservation of energy-
(i) the steps taken or impact on conservation of energy: NIL
(ii) the steps taken by the company for utilising alternate sources of energy: NIL
(iii) the capital investment on energy conservation equipments: NIL
(B) Technology absorption-
i) the efforts made towards technology absorption: NIL
ii) the benefits derived like product improvement, cost reduction, product development or
import substitution: NIL
iii) in case of imported technology (imported during the last three years reckoned from the
beginning of the financial year)- : NIL
iv) the expenditure incurred on Research and Development: NIL
22. Details of significant and material orders passed by the regulators or courts or tribunals impacting
the going concern status and company's operations in future-
No such order has been passed by any Regulators or Courts or Tribunals.
23. Acknowledgements- Your Directors place on record their sincere thanks to bankers, business
associates, consultants, and various Government Authorities for their continued support extended
to your Companies activities during the year under review. Your Directors also acknowledges
gratefully the shareholders for their support and confidence reposed on your Company.
By and on behalf of the Board
Bihar Foundry & Castings Limited
Hari Krishna Budhia
Director
DIN: 01481085
Gaurav Budhia
Director
DIN- 01652817
Annexure-I
FORM NO. MGT 9
EXTRACT OF ANNUAL RETURN
As on financial year ended on 31.03.2017
Pursuant to Section 92 (3) of the Companies Act, 2013 and rule 12(1) of the Company (Management &
Administration) Rules, 2014
I. REGISTRATION & OTHER DETAILS:
1. CIN U27100JH1971PLC000912
2. Registration Date 11/11/1971
3. Name of the Company Bihar Foundry & Castings Limited
4. Category/Sub-category of
the Company
Public Company limited by shares
5. Address of the Registered
office & contact details
Main Road, Ranchi, Jharkhand-834001 E Mail ID: [email protected] Contact No: 0651-2202699
6. Whether listed company No
7. Name, Address & contact
details of the Registrar &
Transfer Agent, if any.
NA
II. PRINCIPAL BUSINESS ACTIVITIES OF THE COMPANY (All the business activities contributing 10 % or
more of the total turnover of the company shall be stated):
Sl. No. Name and Description of main
products / services
NIC Code of the
Product/service
% to total turnover of the
Company
1 Manufacturing facilities of metals
other than iron
99532696 100
III. PARTICULARS OF HOLDING, SUBSIDIARY AND ASSOCIATE COMPANIES
Sl. No. Name and Address of the
Company CIN/GLN
Holding/ Subsidiary /
Associate
1 NA
IV. SHARE HOLDING PATTERN (Equity Share Capital Breakup as percentage of Total Equity)
A) Category-wise Share Holding
Category of
Shareholders
No. of Shares held at the end of the year
[As on 31-March-2017]
No. of Shares held at the end of the year[As
on 31-March-2016]
%
Change
during
the year De
mat
Physical Total % of
Total
Shares
De
mat
Physical Total % of
Total
Shares
A. Promoters
(1) Indian
a) Individual/
HUF
- 2888775 2888775 35.90 - 2688775 2688775 34.26 -
b) Central Govt - - - - - - - - -
c) State Govt(s) - - - - - - - - -
d) Bodies Corp. - - - - - - - - -
e) Banks / FI - - - - - - - - -
f) Any other - - - - - - - - -
Total
shareholding of
Promoter(A)
- 2888775 2888775 35.90 - 2688775 2688775 34.26 -
B. Public
Shareholding
1. Institutions - - - - - - - - -
a) Mutual Funds - - - - - - - - -
b) Banks / FI - - - - - - - - -
c) Central Govt - - - - - - - - -
d) State Govt(s):
Government of
Bihar
- 3250 3250 0.04 - 3250 3250 0.04 -
e) Venture
Capital Funds
- - - - - - - - -
f) Insurance
Companies
- - - - - - - - -
g) FIIs - - - - - - - - -
h) Foreign
Venture Capital
Funds
- - - - - - - - -
i) Others (Private
Companies)
- 3797600 3797600 47.18 - 3797600 3797600 48.39 -
Sub-total (B)(1):- - 3800850 3800850 47.22 - 3800850 3800850 48.43 -
2. Non-
Institutions
a) Bodies Corp.
i) Indian - - - - - - - - -
ii) Overseas - - - - - - - - -
b) Individuals
i) Individual
shareholders
holding nominal
share capital
upto Rs. 1 lakh
- 119475
119475
1.48
- 119475
119475
1.52
-
ii) Individual
shareholders
holding nominal
share capital in
excess of Rs 1
- 1238400 1238400 15.39
- 1238400 1238400 15.78
-
lakh
c) Others
(specify)
- - - - - - - - -
Non Resident
Indians
- - - - - - - - -
Overseas
Corporate
Bodies
- - - - - - - - -
Foreign
Nationals
- - - - - - - - -
Clearing
Members
- - - - - - - - -
Trusts - - - - - - - - -
Foreign Bodies -
D R
- - - - - - - - -
Sub-total (B)(2):- - 1357875 1357875 16.88 - 1357875 1357875 17.30 -
Total Public
Shareholding
(B)=(B)(1)+
(B)(2)
- 5158725 5158725 64.10 - 5158725 5158725 65.74 -
C. Shares held by
Custodian for
GDRs & ADRs
- - - - - - - - -
Grand Total
(A+B+C)
- 8047500 8047500 100 - 7847500 7847500 100 -
B) Shareholding of Promoters-
Sl.
No.
Shareholder’s
Name
Shareholding at the beginning of the
year
Share holding at the end of the year %
change
in share
holding
during
the year
No. of
Shares
% of total
Shares of
the
Company
%of Shares
Pledged /
encumbered
to total shares
No. of
Shares
% of total
Shares of
the
Company
%of Shares
Pledged /
encumbered
to total shares
1 Mangi Lal
Sharma
1000 0.012 -
1000 0.013
-
2 Maharaj Kumar
Raj Kishore Nath
Sahdeo
500 0.006 -
500 0.006
-
3 Hari Krishna
Budhia
2262700 28.12 -
2162700 27.56
-
4 Piarey Lal
Chopra
3000 0.037 -
3000 0.04
-
5 Rajendra Prasad
Budhia
27475 0.34 -
27475 0.35
-
6 Aruna Budhia 179550 2.23 - 179550 2.29 -
7 Gaurav Budhia 414550 5.15 - 314550 4.01 -
Total 2888775 35.90 - 2688775 34.26 -
C) Change in Promoters’ Shareholding (please specify, if there is no change):
Sl.
No.
Shareholding at the
beginning
of the year
Cumulative
Shareholding during
the year
No. of
shares
% of total
shares of
the
Company
No. of
shares
% of total
shares of
the
Company
At the beginning of the year 2688775 34.26 2688775 33.41
Date wise Increase / Decrease in
Promoters Share holding during the year
specifying the reasons for increase /
decrease (e.g. allotment /
transfer / bonus/ sweat equity etc):
- - 200000 2.49
At the end of the year 2688775 34.26 2888775 35.90
D) Shareholding Pattern of top ten Shareholders:
(Other than Directors, Promoters and Holders of GDRs and ADRs):
Sl.
No.
(i) Jackpot Financial consultant SPV
Shareholding at the
beginning of the year
Cumulative
Shareholding during
the year
No. of
shares
% of total
shares of
the
Company
No. of
shares
% of total
shares of
the
Company
At the beginning of the year - - 100000 1.24
Date wise Increase / Decrease in
Promoters Share holding during the year
specifying the reasons for increase /
decrease (e.g. allotment / transfer /
bonus/ sweat equity etc):
100000 1.27 - -
At the end of the year 100000 1.27 100000 1.24
Sl.
No.
(ii) Blue Print Securities Limited
Shareholding at the
beginning of the year
Cumulative
Shareholding during
the year
No. of
shares
% of total
shares of
the
Company
No. of
shares
% of total
shares of
the
Company
At the beginning of the year 183750 2.34 340000 4.22
Date wise Increase / Decrease in
Promoters Share holding during the year
specifying the reasons for increase /
decrease (e.g. allotment / transfer /
bonus/ sweat equity etc):
(183750)
340000
2.34
4.33
- -
At the end of the year 340000 4.33 340000 4.22
Sl.
No.
(iii) Shardaraj Tradefin Limited
Shareholding at the
beginning of the year
Cumulative
Shareholding during the
year
No. of
shares
% of total
shares of
the
Company
No. of
shares
% of total
shares of
the
Company
At the beginning of the year 182500 2.33 385000 4.78
Date wise Increase / Decrease in
Promoters Share holding during the year
specifying the reasons for increase /
decrease (e.g. allotment / transfer /
bonus/ sweat equity etc):
(182500)
385000
2.33
4.91
- -
At the end of the year 385000 4.91 385000 4.78
Sl.
No.
(iv) Aruna Industries and Investments Pvt. Ltd.
Shareholding at the
beginning of the year
Cumulative
Shareholding during the
year
No. of
shares
% of total
shares of
the
Company
No. of
shares
% of total
shares of
the
Company
At the beginning of the year - - 822500 10.22
Date wise Increase / Decrease in
Promoters Share holding during the year
specifying the reasons for increase /
decrease (e.g. allotment / transfer /
bonus/ sweat equity etc):
822500 10.48 - -
At the end of the year 822500 10.48 822500 10.22
Sl.
No.
(v) Konark Commerce & Industries Limited
Shareholding at the
beginning of the year
Cumulative
Shareholding during the
year
No. of
shares
% of total
shares of
the
Company
No. of
shares
% of total
shares of
the
Company
At the beginning of the year 181250 2.31 375000 4.66
Date wise Increase / Decrease in
Promoters Share holding during the year
specifying the reasons for increase /
decrease (e.g. allotment / transfer /
bonus/ sweat equity etc):
(181250)
375000
2.31
4.78
- -
At the end of the year 375000 4.78 375000 4.66
Sl.
No.
(vi) Darkin Distributors Private Limited
Shareholding at the
beginning of the year
Cumulative
Shareholding during
the year
No. of
shares
% of total
shares of
the
Company
No. of
shares
% of total
shares of
the
Company
At the beginning of the year 130000 1.66 130000 1.62
Date wise Increase / Decrease in
Promoters Share holding during the year
specifying the reasons for increase /
decrease (e.g. allotment / transfer /
bonus/ sweat equity etc):
- - - -
At the end of the year 130000 1.66 130000 1.62
Sl.
No.
(vii) Hari Krishna Budhia HUF
Shareholding at the
beginning of the year
Cumulative
Shareholding during
the year
No. of
shares
% of total
shares of
the
Company
No. of
shares
% of total
shares of
the
Company
At the beginning of the year 1238400 15.78 1238400 15.38
Date wise Increase / Decrease in
Promoters Share holding during the year
specifying the reasons for increase /
decrease (e.g. allotment / transfer /
bonus/ sweat equity etc):
- - - -
At the end of the year 1238400 15.78 1238400 15.38
Sl.
No.
(viii) Darshan Barter Private Limited
Shareholding at the
beginning of the year
Cumulative
Shareholding during
the year
No. of
shares
% of total
shares of
the
Company
No. of
shares
% of total
shares of
the
Company
At the beginning of the year 65000 0.83 65000 0.81
Date wise Increase / Decrease in
Promoters Share holding during the year
specifying the reasons for increase /
decrease (e.g. allotment / transfer /
bonus/ sweat equity etc):
- - - -
At the end of the year 65000 0.83 65000 0.81
Sl.
No.
(ix) Allied Global Infrastructure Limited
Shareholding at the
beginning of the year
Cumulative
Shareholding during
the year
No. of
shares
% of total
shares of
the
Company
No. of
shares
% of total
shares of
the
Company
At the beginning of the year 60000 0.76 360000 4.47
Date wise Increase / Decrease in
Promoters Share holding during the year
300000 3.82 - -
specifying the reasons for increase /
decrease (e.g. allotment / transfer /
bonus/ sweat equity etc):
At the end of the year 360000 4.58 360000 4.47
Sl.
No.
(x) Sunshine Housecon Limited
Shareholding at the
beginning of the year
Cumulative
Shareholding during
the year
No. of
shares
% of total
shares of
the
Company
No. of
shares
% of total
shares of
the
Company
At the beginning of the year 60000 0.76 380000 4.72
Date wise Increase / Decrease in
Promoters Share holding during the year
specifying the reasons for increase /
decrease (e.g. allotment / transfer /
bonus/ sweat equity etc):
320000 4.08 - -
At the end of the year 380000 4.84 380000 4.72
E) Shareholding of Directors and Key Managerial Personnel:
Sl.
No.
(i) Hari Krishna Budhia (Managing Director)
Shareholding at the
beginning of the year
Cumulative
Shareholding during
the year
No. of
shares
% of total
shares of
the
Company
No. of
shares
% of total
shares of
the
Company
At the beginning of the year 2162700 27.56 2162700 26.87
Date wise Increase / Decrease in Promoters
Share holding during the year specifying the
reasons for increase / decrease (e.g.
allotment / transfer / bonus/ sweat equity
- - 100000 1.24
etc):
At the end of the year 2162700 27.56 2262700 28.11
Sl.
No.
(ii) Aruna Budhia (Director)
Shareholding at the
beginning of the year
Cumulative
Shareholding during
the year
No. of
shares
% of total
shares of
the
Company
No. of
shares
% of total
shares of
the
Company
At the beginning of the year 179550 2.29 179550 2.29
Date wise Increase / Decrease in
Promoters Share holding during the year
specifying the reasons for increase /
decrease (e.g. allotment / transfer /
bonus/ sweat equity etc):
- - - -
At the end of the year 179550 2.29 179550 2.29
Sl.
No.
(iii) Gaurav Budhia (Director)
Shareholding at the
beginning of the year
Cumulative
Shareholding during
the year
No. of
shares
% of total
shares of
the
Company
No. of
shares
% of total
shares of
the
Company
At the beginning of the year 314550 4.01 414550 5.15
Date wise Increase / Decrease in
Promoters Share holding during the year
specifying the reasons for increase /
decrease (e.g. allotment / transfer /
- - - -
bonus/ sweat equity etc):
At the end of the year 314550 4.01 414550 5.15
F) INDEBTEDNESS -Indebtedness of the Company including interest outstanding/accrued but not due for payment
Secured Loans
excluding
deposits
Unsecured
Loans Deposits
Total
Indebtedness
Indebtedness at the beginning of
the Financial Year
(i) Principal Amount 1328615612.36 0 94907943.92 1402095699.22
(ii) Interest due but not Paid 8744947.80 0 0 8744947.80
(iii) Interest accrued but not due 0 0 0 0
Total (i+ii+iii) 1337360560.16 0 94907943.92 1410840647.02
Change in Indebtedness during the
Financial Year
*Addition
38880693.58 0 0 38880693.58
*Reduction
Net Change
38880693.58 0 0 38880693.58
Indebtedness at the end of the
Financial Year
(i) Principal Amount 1367627640.56 0 94907943.92 1462535584.48
(ii) Interest due but not Paid 8613613.18 0 0 8613613.18
(iii) Interest accrued but not due 0 0 0 0
Total (i+ii+iii) 1376241253.74 0 94907943.92 1471149197.66
G) REMUNERATION OF DIRECTORS AND KEY MANAGERIAL PERSONNEL-
A. Remuneration to Managing Director, Whole-time Directors and/or Manager:
SN. Particulars of Remuneration Name of MD/WTD/ Manager Total
Amount
Hari Krishna
Budhia
Aruna
Budhia
Gaurav
Budhia
1 Gross salary 24,00,000 - 18,00,000
42,00,000
(a) Salary as per provisions
contained in section 17(1) of the
Income-tax Act, 1961
- - -
-
(b) Value of perquisites u/s 17(2)
Income-tax Act, 1961
- - -
-
-
(c) Profits in lieu of salary under
section 17(3) Income- tax Act, 1961
- - -
-
-
2 Stock Option - - -
-
-
3 Sweat Equity - - -
-
-
4 Commission
- as % of profit
- others, specify…
- - -
-
-
5 Others, please specify
- - -
-
-
Total (A)
24,00,000 - 18,00,000
42,00,000
Ceiling as per the Act
- - -
-
-
B. Remuneration to other directors
SN. Particulars of Remuneration Name of Directors Total Amount
----- ---- ---- ---
1 Independent Directors
Fee for attending board
committee meetings
- - - - -
Commission - - - - -
Others, please specify - - - - -
Total (1) - - - - -
2 Other Non-Executive Directors
Fee for attending board
committee meetings
- - - - -
Commission - - - - -
Others, please specify - - - - -
Total (2) - - - - -
Total (B)=(1+2) - - - - -
Total Managerial
Remuneration
- - - - -
Overall Ceiling as per the Act - - - - -
C. Remuneration to key managerial personnel other than MD/Manager/WTD
Sl.
No.
Particulars of Remuneration Key Managerial Personnel
CEO CS CFO Total
1 Gross salary
(a) Salary as per provisions contained in
section 17(1) of the Income-tax Act, 1961
- - - -
(b) Value of perquisites u/s 17(2) - - - -
Income-tax Act, 1961
(c) Profits in lieu of salary under section 17(3)
Income-tax Act, 1961
- - - -
2 Stock Option - - - -
3 Sweat Equity - - - -
4 Commission - - - -
- as % of profit - - - -
others, specify… - - - -
5 Others, please specify - - - -
Total - - - -
VII. PENALTIES / PUNISHMENT/ COMPOUNDING OF OFFENCES: NA
Type Section of the
Companies Act
Brief
Description
Details of Penalty
/ Punishment/
Compounding
fees imposed
Authority
[RD / NCLT/
COURT]
Appeal made,
if any (give
Details)
A. COMPANY
Penalty - - - - -
Punishment - - - - -
Compounding - - - - -
B. DIRECTORS
Penalty - - - - -
Punishment - - - - -
Compounding - - - - -
C. OTHER OFFICERS IN DEFAULT
Penalty - - - - -
Punishment - - - - -
Compounding - - - -
For and on behalf of the Board
Hari Krishna Budhia Gaurav Budhia Managing Director Director DIN: 01481085 DIN: 01652817 Place: Ranchi
FORM NO. MGT-8
[Pursuant to section 92(2) of the Companies Act, 2013 and rule 11(2) of Companies
(Management and Administration) Rules, 2014]
CERTIFICATE BY A COMPANY SECRETARY IN PRACTICE
I have examined the registers, records and books and papers of M/S BIHAR FOUNDRY AND
CASTINGS LIMITED (the Company) as required to be maintained under the Companies Act,
2013 (the Act) and the rules made there under for the financial year ended on 31/03/2017. In my
opinion and to the best of my information and according to the examinations carried out by me
and explanations furnished to me by the company, its officers and agents, I certify that:
A. The Annual Return states the facts as at the close of the aforesaid financial year correctly and adequately.
B. During the aforesaid financial year, the Company has complied with the following provisions of the Companies Act, 2013 & Rules made there under:
1. its status under the Act;
2. maintenance of registers/records and making entries therein within the time
prescribed therefore;
3. filing of forms and returns as stated in the annual return, with the Registrar of
Companies, Regional Director, Central Government, the Tribunal , Court or other
authorities within/beyond the prescribed time.
4. calling/ convening/ holding meetings of Board of Directors or its committees, if any,
and the meetings of the members of the company on due dates as stated in the
annual return in respect of which meetings, proper notices were given and the
proceedings including the circular resolutions and resolutions passed by postal ballot,
if any, have been properly recorded in the Minute Book/registers maintained for the
purpose and the same have been signed.
5. closure of Register of Members / Security holders, as the case may be;
6. advances/loans to its directors and/or persons or firms or companies referred in
section 185 of the Act;
7. contracts/arrangements with related parties as specified in section 188 of the Act;
8. Issue or allotment or transfer or transmission or buy back of securities/ redemption of
preference shares or debentures/ alteration or reduction of share capital/ conversion
of shares/ securities and issue of security certificates in all instances;
9. keeping in abeyance the rights to dividend, rights shares and bonus shares pending registration of transfer of shares in compliance with the provisions of the Act;
10. declaration/ payment of dividend; transfer of unpaid/ unclaimed dividend/other
amounts as applicable to the Investor Education and Protection Fund in accordance with section 125 of the Act;
11. signing of audited financial statement as per the provisions of section 134 of the Act
and report of directors is as per sub - sections (3), (4) and (5) thereof;
12. constitution/ appointment/ re-appointments/ retirement/ filling up casual vacancies/
disclosures of the Directors, Key Managerial Personnel and the remuneration paid to
them;
13. appointment / reappointment / filling up casual vacancies of auditors as per the
provisions of section 139 of the Act;
14. approvals required to be taken from the central Government, Tribunal, Regional Director, Registrar, Court or such other authorities under the various provisions of the Act;
15. acceptance /renewal / repayment of deposits; declaration/ payment of dividend;
transfer of unpaid/ unclaimed dividend/other amounts as applicable to the Investor Education and Protection Fund in accordance with section 125 of the Act;
16. borrowing from its directors, members, public financial institutions, banks, and others
and creation / modification/ satisfaction/ of charges in that respect, wherever
applicable;
17. loans and investments or guarantees given or providing of securities to other bodies
corporate or persons falling under the provisions of section 186 of the Act;
18. alteration of the provisions of the Memorandum and / or Articles of Association of the
Company.
Dharmendra Kumar Company Secretary Membership No.- 8969
COP No. - 13873
Place: Ranchi
List of Shareholders of Bihar Foundry & Casting Limited as on 31st March 2017
Sl. No Name
No. of Shares Held
1 Sri Mangi Lal Sharma 1000
2 Maharaj Kumar Raj Kishore Nath Sahdeo 500
3 Dr. Hari Krishna Budhia 2262700
4 Sri Piarey Lal Chopra 3000
5 Sri R. Prasads Budhia 27475
6 Smt. Lalita Chhachharia 50
7 Smt. Gyan Kaur 500
8 Sri A. C. Mooljee Khare 100
9 Sri U.S. Sanwal 200
10 Sri Radha Krishna Munjal 100
11 Sri Krityanand 50
12 Smt. Vijay C. Kamalia 100
13 Smt. Rita P. Kamalia 100
14 Dr. T.B. Prasad 100
15 Tekchand Dharamdas Bhagwanani 100
16 Avadhesh Pratap Singh 100
17 Sri Krishna Kumar Todi 15000
18 Sri Ashish Budhia 250
19 Smt. Achintya Dass 100
20 Smt. Sheilla Gupta 100
21 Smt. Kanka Chatterjee 100
22 Charanjeet Singh Washu 500
23 Mrs. Eva Dass 100
24 Mrs. Ranju Rekha Dass 100
25 Mrs. Satya Marwaha 100
26 Smt. Mintu Budhia 12850
27 Heendra Kumar Budhia 7375
28 Smt. Aruna Budhia 179550
29 Sri Devendra Kr. Budhia 25125
30 Bhgirathi Devi Budhia 23725
31 Sri Hari Mohan Ghosal 200
32 Mrs. Ranjeet Kaur 100
33 Mrs. Raj Kumari Bhala 200
34 Sri Gurbir Singh 100
35 Government of Bihar 3250
36 Smt. Sarla Devi Todi 15000
37 Bhupendra Kumar Jain & Mrs. Surajmukhi Jain 50
38 Sri F.S. Chhajerh & Mrs. Pushpa Chhajerh 50
39 Sri Ashok Seksaria 500
40 Sri Gaurav Budhia 414550
41 Mr. Nirmal Kumar Khemka 500
42 Sri Aravind Kumar Jhunjhunwala 200
43 Mrs. Abha Budhia 1250
44 Jhunjhunwala Consultants Co. Pvt. Ltd. 100
45 Sri Bimal Kumar Khemka 500
46 Sri Radha Shyam Lohia 500
47 Devendra Kumar Budhia & Smt. Abha Budhia 2000
48 Sri Ravi Agarwal 100
49 Suraj Narayan Agarwal 50
50 Sri Khushi Ram Agarwal 100
51 Sri Gobind Pd. Agarwal 200
52 Shyam Sunder Agarwal 100
53 Ramesh Kumar Bhuwalka 500
54 Miss Munni Bajoria 100
55 Mrs. Parwati Bajoria 150
56 Miss Manju Bajoria 250
57 Kanchan Lata Bhuwalka 500
58 Sri Ajoy Kumar Banerjee 50
59 Shakuntala Devi Budhia 50
60 Smt. Shakuntala Bahi 500
61 Shri Shankarlal Budhia 100
62 Sri Bishnu Kumar Budhia 100
63 Sri Uma Shankar Budhia 100
64 Sri Sachidanand Budhia 100
65 Sri Ram Deo Choudhary 100
66 Satyaindra Kr. Chopra 100
67 Smt. Puspa Daruka 500
68 Smt. Murti Devi 50
69 Sri Tirkha Ram Gopta 500
70 Sri Subhash Goel 100
71 Jetendra Prasad Gupta
100
72 Sri Premchand Goel 400
73 Sri Sita Ram Gupta 50
74 Sri Panchu Gon 50
75 Sri Nand Kishore Gupta
50
76 Sri Surendra Singh Hora
100
77 Ramesh Kumar Honda 100
78 Rampati Ram Kishan Jajodia
50
79 Sri Moolchand Jain 100
80 Sri Antony Joseph 150
81 Smt. Durga Khaitan 500
82 Smt. Sumitra Khaitan 250
83 Sri Gopilal Khaitan 250
84 Smt. Saroj Khaitan 250
85 Sri Satish Kumar 100
86 Sri Dashrath Pd. Kharia 100
87 Sri Surendra Sahu 50
88 Miss Suman Lata 100
89 Sri Surendra Pd. Singh 100
90 Sri Sibendra Nath Sen 50
91 Sri Sibendra Pd. Sen 50
92 Sri Nagendra Pd. Singh 50
93 Sri Shesh Nath Singh 100
94 Nawal Kishore Prasad 50
95 Sri Panalal Jain 100
96 Smt. Buchittar Kaur Rao 200
97 Sri Ram Gopal Surekha 100
98 Smt. Subh Mohindru 200
99 Md. Masihuddin 500
100 Jagdish Pd. Maheshwari 100
101 Mohendra Singh Mangal 100
102 Smt. Radha Devi Pasari 500
103 Sri Rajeshwar Prasad 1000
104 Hriday Narayan Tiwari 100
105 Sri Satyanarayan Todi 50
106 Sri Ram Parwesh Tiwari 100
107 Sri Ashok Kr. Tiwari 100
108 Jyotish Tiwari 50
109 Sri Prem Shankar Mishra 300
110 Sri Sanjay Kumar Mishra 200
111 Sri Vishnu Pd. Upadhaya 100
112 Santosh Kumar Jaiswal 50
113 Dr. Hari Krishna Budhia Gaurav Budhia Aruna Budhia 1238400
114 Aditi Sancharsuvidha Pvt. Ltd. 37500
115 Build Con Finance Ltd. 45000
116 Centak Distributors Pvt. Ltd. 29375
117 Cimmco Vinimay Pvt. Ltd. 15625
118 D.S. Consultancy and Holding Pvt. Ltd. 21875
119 Giri Financial Services Pvt. Ltd. 25000
120 J. P. Engineering Corporation Pvt. Ltd. 25000
121 Mohan Hire Purchase Pvt. Ltd. 12500
122 Motcab Finance Pvt. Ltd. 31250
123 MVS Leasing Pvt. Ltd. 21875
124 Nutshell Vyapaar Pvt. Ltd. 15625
125 Paridhi Finvest Pvt. Ltd. 34375
126 Plus Jet Finvest Pvt. Ltd. 31250
127 Prabhudhan Finance Pvt. Ltd. 28125
128 Priyamvada Finvest Pvt. Ltd. 45625
129 Sai Baba Finvest Private Limited 12500
130 Shree Mata Finance Pvt. Ltd. 15625
131 SJR Auto Financiers Pvt. Ltd. 28125
132 Swastik Securities & Finance Ltd. 12500
133 Vidhan Sales Agencies Pvt. Ltd. 15625
134 V S G Leasing and Finance Company Ltd. 9375
135 Aruna Industries and Investment Pvt Ltd 822500
136 Darshan Barter Private Limited 65000
137 Hallmark Commerce Pvt. Ltd 57500
138 Jhunjhunu Commerce Pvt. Ltd 52500
139 Kotriwal Commercial Pvt. Ltd. 31250
140 Saphire Dealers Private Limited 30000
141 Allied Global Infrastructure Ltd 360000
142 Darkin Distributors Pvt. Ltd 130000
143 Sunshine Housecon Ltd. 380000
144 Ashok Investors Trust Ltd 25000
145 Blue Print Securities Limited 340000
146 Greatful Infrastructures Pvt Ltd. 30000
147 Jackpot Financial Consultant SPV 100000
148 Konark Commerce & Industries Limited 375000
149 Matribhumi Finance Capital India 50000
150 Nihon Commodit Ltd. 50000
151 Shardaraj Tradefin Ltd. 385000
TOTAL 8047500
Independent Auditor’s Report
To the Members of
Bihar Foundry and Castings Limited
Report on the (standalone) Financial Statements
1. We have audited the accompanying (Standalone) financial statements of Bihar
Foundry and Castings Limited (The Company) which comprise the Balance Sheet
as at March 31, 2017, the Statement of Profit and Loss, Cash Flow Statement for
the year then ended, and a summary of significant accounting policies and other
explanatory information.
Management’s Responsibility for the (Standalone) Financial Statements
2. The Company’s Board of Directors is responsible for the matters stated in Section
134(5) of the Companies Act, 2013 (“the Act”) with respect to the preparation of
these (Standalone) financial statements that give a true and fair view of the
financial position, financial performance and cash flows of the Company in
accordance with the accounting principles generally accepted in India, including
the Indian Accounting Standards specified under Section 133 of the Act, read
with Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility also
includes 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 frauds and other irregularities; selection and application
of appropriate accounting policies; making judgments and estimates that are
reasonable and prudent; and design, implementation and maintenance of
adequate internal financial controls, that were operating effectively for ensuring
the accuracy and completeness of the accounting records, relevant to the
preparation and presentation of the (standalone) financial statements that give a
true and fair view and are free from material misstatement, whether due to fraud
or error.
Auditor’s Responsibility
3. Our responsibility is to express an opinion on these (Standalone) financial
statements based on our audit in conducting our audit, we have taken into
account the provisions of the Act, the accounting and auditing standards and
matters which are required to be included in the audit report under the
provisions of the Act and the Rules made thereunder. We conducted our audit of
the (Standalone) financial statements in accordance with the Standards on
Auditing specified under Section 143(10) of the Act. Those Standards require that
we comply with ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the (Standalone) financial statements are
free from material misstatement.
4. An audit involves performing procedures to obtain audit evidence about the
amounts and the disclosures in the (standalone) financial statements. The
procedures selected depend on the auditor’s judgment, including the assessment
of the risks of material misstatement of the (standalone) financial statements,
whether due to fraud or error. In making those risk assessments, the auditor
considers internal financial control relevant to the Company’s preparation of the
(standalone) financial statements that give a true and fair view in order to design
audit procedures that are appropriate in the circumstances. An audit also includes
evaluating the appropriateness of the accounting policies used and the
reasonableness of the accounting estimates made by the Company’s Directors, as
well as evaluating the overall presentation of the (standalone) financial
statements.
5. We believe that the audit evidence we have obtained is sufficient and appropriate
to provide a basis for our audit opinion on the (standalone) financial statements
Opinion
6. In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid (standalone) financial statements give the
information required by the Act in the manner so required and give a true and
fair view in conformity with the accounting principles generally accepted in India,
of the state of affairs of the Company as at March 31, 2017, and its Profit and its
Cash Flow for the year ended on that date.
Report on Other Legal and Regulatory Requirements
7. As required by section 143 (3) of the Act, based on our audit we report to the
extent applicable that:
a. we have sought and obtained all the information and explanations which
to the best of our knowledge and belief were necessary for the purpose of
our audit;
b. in our opinion proper books of account as required by law have been kept
by the Company so far as it appears from our examination of those books;
c. the Balance Sheet, the Statement of Profit and Loss and the Cash Flow
Statement dealt with by this Report are in agreement with the books of
account;
d. in our opinion, the aforesaid (Standalone) financial statements comply with
the Accounting Standards prescribed under section 133 of the Act.
e. On the basis of written representations received from the directors as on
March 31, 2017 taken on record by the Board of Directors, none of the
directors is disqualified as on March 31, 2017 from being appointed as a
director in terms of Section 164 (2) of the Act.
f. With respect to the adequacy of the internal financial controls over
financial reporting of the Company and the operating effectiveness of such
controls, refer to our separate Report in “Annexure A”. Our report
expresses and unmodified opinion on the adequacy and operating
effectiveness of the company’s internal financial controls over financial
reporting.
g. With respect to the other matters to be included in the Auditor’s Report in
accordance with Rule 11 of the Companies (Audit and Auditors) Rules,
2014, as amended, in our opinion and to the best of our information and
according to the explanations given to us:
i. According to the representation given by the company the pending
litigations disclosed in para 9 of note – 25 attached to the
(Standalone) Financial Statement will not significantly impact its
financial position. However, the present position of the matters
referred are subject to confirmation by the Legal Expert engaged by
the company;
ii. The Company did not have any long term contract including
derivative contracts for which their where any material foreseeable
losses.
iii. The Company is not required to transfer any amount to investor
education and protection fund.
iv. The Company has provided requisite disclosures in the standalone
financial statements as regards its holding and dealings in Specified
Bank Notes as defined in the Notification S.O. 3407(E) dated the 8th
November, 2016 of the Ministry of Finance, during the period from
8th November, 2016 to 30th December, 2016. Based on audit
procedures performed and the representations provided to us by
the management we report that the disclosures are in accordance
with the books of account maintained by the Company and as
produced to us by the Management. Also refer Note – 25 (8) to the
(standalone) financial statements.
8. As required by the Companies (Auditor’s Report) Order, 2016 (“the Order”), as
amended, issued by the Central Government of India in terms of sub-section (11)
of section 143 of the Act to the extent applicable to the company, we give in the
“Annexure B” a statement on the matters specified in paragraphs 3 and 4 of the
Order.
For: S. Sannigrahi & Co.
Chartered Accountants
FRN: 04995C
Place: Ranchi
[CA D. Sannigrahi, FCA]
Partner
M. No.: 073322
“Annexure A” to the Independent Auditor’s Report.
(Referred to in paragraph 7(f) under ‘report on under legal and regulatory
requirements’ of even date).
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section
143 of the Companies Act, 2013 (“the Act”)
We have audited the internal financial controls over financial reporting of Bihar Foundry
and Castings Limited (the company) as of March 31, 2017 in conjunction with our audit
of the standalone financial statements of the Company for the year ended on that date.
Management’s Responsibility for Internal Financial Controls
The Company’s management is responsible for establishing and maintaining internal
financial controls based on “the internal control over financial reporting criteria
established by the Company considering the essential components of internal control
stated in the Guidance Note on Audit of Internal Financial Controls Over Financial
Reporting issued by the Institute of Chartered Accountants of India (ICAI)”. These
responsibilities include the design, implementation and maintenance of adequate
internal financial controls that were operating effectively for ensuring the orderly and
efficient conduct of its business, including adherence to company’s policies, the
safeguarding of its assets, the prevention and detection of frauds and errors, the
accuracy and completeness of the accounting records, and the timely preparation of
reliable financial information, as required under the Companies Act, 2013.
Auditors’ Responsibility
Our responsibility is to express an opinion on the Company's internal financial controls
over financial reporting based on our audit. We conducted our audit in accordance with
the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the
“Guidance Note”) issued by The Institute of Chartered Accountants of India and the
Standards on Auditing, prescribed under section 143(10) of the Companies Act, 2013, to
the extent applicable to an audit of internal financial controls. Those Standards and the
Guidance Note require that we comply with ethical requirements and plan and perform
the audit to obtain reasonable assurance about whether adequate internal financial
controls over financial reporting was established and maintained and if such controls
operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy
of the internal financial controls system over financial reporting and their operating
effectiveness. Our audit of internal financial controls over financial reporting included
obtaining an understanding of internal financial controls over financial reporting,
assessing the risk that a material weakness exists, and testing and evaluating the design
and operating effectiveness of internal control based on the assessed risk. The
procedures selected depend on the auditor’s judgement, including the assessment of
the risks of material misstatement of the (standalone) financial statements, whether due
to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion on the Company’s internal financial controls
system over financial reporting.
Meaning of Internal Financial Controls Over Financial Reporting
A company's internal financial control over financial reporting is a process designed to
provide reasonable assurance regarding the reliability of financial reporting and the
preparation of (standalone) financial statements for external purposes in accordance
with generally accepted accounting principles. A company's internal financial control
over financial reporting includes those policies and procedures that (1) pertain to the
maintenance of records that, in reasonable detail, accurately and fairly reflect the
transactions and dispositions of the assets of the company; (2) provide reasonable
assurance that transactions are recorded as necessary to permit preparation of
(standalone) financial statements in accordance with generally accepted accounting
principles, and that receipts and expenditures of the company are being made only in
accordance with authorisations of management and directors of the company; and (3)
provide reasonable assurance regarding prevention or timely detection of unauthorised
acquisition, use, or disposition of the company's assets that could have a material effect
on the (standalone) financial statements.
Inherent Limitations of Internal Financial Controls Over Financial Reporting
Because of the inherent limitations of internal financial controls over financial reporting,
including the possibility of collusion or improper management override of controls,
material misstatements due to error or fraud may occur and not be detected. Also,
projections of any evaluation of the internal financial controls over financial reporting to
future periods are subject to the risk that the internal financial control over financial
reporting may become inadequate because of changes in conditions, or that the degree
of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, an adequate internal financial
controls system over financial reporting and such internal financial controls over
financial reporting were operating effectively as at March 31, 2016, based on for
example, “the internal control over financial reporting criteria established by the
Company considering the essential components of internal control stated in the
Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued
by the Institute of Chartered Accountants of India”.
For: S. Sannigrahi & Co.
Chartered Accountants
FRN: 04995C
Place: Ranchi
[CA D. Sannigrahi, FCA]
Partner
M. No.: 073322
“Annexure B” to the Independent Auditors’ Report
Referred to in paragraph 1 under the heading ‘Report on Other Legal & Regulatory
Requirement’ of our report of even date.
1. Reporting on maintaining. Verifying and disposing off the fixed assets :
a) The companies records showing full particulars including quantitative details and
situations of property, plant and equipments needs to be updated.
b) The management has physically verified all the property, plant and equipments
by its duly constituted team at the end of the year. The reconciliation between
Fixed Assets as per books & as per physical records is yet to be done.
c) The title deeds of immovable properties are held in the name of the company.
2. Physical Verification and maintenance of records of inventories :
a) Physical Verification of stock of stores and provisions has been done by
duly constituted team of the management of the company at the end of
the year.
b) In our opinion, the procedure of physical verification of stock followed by
the management is reasonable in relation to the size of the company and
the nature of its business. However system of identification of
unserviceable and obsolete stores is yet to be implemented.
c) As per the records produced before us, in our opinion, the company has
generally maintained proper records of the inventories. As verified by us,
there is no material variance found on physical verification compared to
the booked stock.
3. Reporting on repayment of loans granted by the Company :
The company has not granted any loans to the parties covered in the registered
maintained U/s 189 of the Companies Act except advances in the normal course
of the business. Accordingly the provisions of clause 3(iii)(a) to (c) of the order
are not applicable to the company and hence not commented upon.
4. Reporting on compliance of the Act in respect of loan granted by the
company:-
In our opinion and according to the information and explanations given to us, the
company has complied with the provisions of section 185 and I86 of the Companies
Act, 2013 In respect of loans, investments, guarantees, and security.
5. Acceptance of deposits:
The Company has not accepted any deposits from the public and hence the
directives issued by the Reserve Bank of India and the provisions of Sections 73 to 76
or any other relevant provisions of the Act and the Companies (Acceptance of
Deposit) Rules, 2015 with regard to the deposits accepted from the public are not
applicable.
6. Cost Records:
As per information & explanation given to us, cost records under sub section (1)
of section 148 of the Companies Act maintained by the company broadly
complied with the requirement of the Act.
7. Payment of applicable taxes:
According to the information and explanations given to us, in respect of statutory
dues;
a) In our opinion, the company needs to be regular in depositing with
appropriate authority undisputed statutory dues payable in respect of
Provident Fund, ESI, Income Tax, Service Tax, TDS, VAT, CST, Cess and
other material statutory dues as applicable to it.
b) There is no dues of material amount in respect of Income tax, wealth tax,
excise duty, service tax, sales tax, value added tax, cess, TDS which are not
been deposited on account of any dispute and outstanding on 31st March
2017 except the matters referred in para – 9 of Note No. 25 of Notes on
Account attached to the balance sheet. However details of demand of
Central Excise not made available for our verification.
8. Default in repayment of dues :
According to our information and explanation given to us, except temporary
irregularities, the company has not defaulted in repayment of its dues to banks
except the default in repayment of the interest free loan of Rs. 50,97,259/- from
Bihar State Investment and Credit Corporation. The Company has not taken any
loan either from financial institutions or from the government and has not issued
any debentures.
9. Initial public offered terms and condition of loan:-
Based upon the audit procedures performed and the information and explanations
given by the management, the company has not raised moneys by way of initial
public offer or further public offer including debt instruments and term Loans.
Accordingly, the provisions of clause 3 (ix) of the Order are not applicable to the
Company and hence not commented upon. However according to our information
and explanation given to us, the company has taken from bank and the loans are
applied for the purpose for which the loans were taken.
10. Reporting of fraud:
According to our information and explanation given to us and on our
examination of the books and records of the company we have neither come
across any instances of fraud or on by the Company, noticed or reported during
the year nor we have been informed of such case by the management.
11. Managerial Remuneration:
According to the information and explanations give to us and based on our
examination of the records of the Company, the Company has paid/provided for
managerial remuneration in accordance with the requisite approvals mandated by
the provisions of section 197 read with Schedule V to the Act.
12. Application of nidhi company:
In our opinion and according to the information and explanations given to us,
the Company is not a nidhi company. Accordingly, paragraph 3(xi) of the Order is
not applicable.
13. Disclosure of transactions with related parties:-
In our opinion, all transactions with the related parties are in compliance with section
177 and 188 of Companies Act, 2013 and the details have been disclosed in the
Financial Statements as required by the applicable accounting standards refer para –
5 of Note - 25.
14. Preferential allotment or private placement of share and debenture:
Based upon the audit procedures performed and the information and
explanations given by the management, the company has not made any
preferential allotment of shares or debenture, hence reporting under this clause
of the order is not application to the company.
15. Non cash transaction with the directors :-
Based upon the audit procedures performed and the information and explanations
given by the management, the company has not entered into any non-cash
transactions with directors or persons connected with him. Accordingly, the
provisions of clause 3 (xv) of the Order are not applicable to the Company and
hence not commented upon.
16. Registration with RBI
In our opinion, the company is not required to be registered under section 45 IA of
the Reserve Bank of India Act, 1934 and accordingly, the provisions of clause 3 (xvi)
of the Order are not applicable to the Company and hence not commented upon.
For: S. Sannigrahi & Co.
Chartered Accountants
Place: Ranchi FRN: 04995C
[CA D. Sannigrahi, FCA]
Partner
M. No.: 073322
BIHAR FOUNDRY & CASTINGS LTD.
Balance Sheet as at 31st March 2017
Particulars
Note No
Figures as at 31st March 2017
Figures as at 31st March 2016
I. EQUITY AND LIABILITIES
(1) Shareholder's Funds
(a) Share Capital 1 80,475,000.00 78,475,000.00
(b) Reserves and Surplus 2 616,918,690.93 610,586,895.34
(2) Share application money pending allotment - -
Sub Total 697,393,690.93 689,061,895.34
(3) Non-Current Liabilities
(a) Long-term borrowings 3 839,112,071.22 851,876,873.33
(b) Deferred tax liabilities (Net) 4 50,633,468.04 38,371,131.82
(c) Other Long term liabilities - -
(d) Long term provisions 5 6,381,736.00 5,357,437.00
Sub Total 896,127,275.26 895,605,442.15
(4) Current Liabilities
(a) Short-term borrowings 6 526,896,082.93 546,161,060.58
(b) Trade payables 7 370,684,990.68 389,028,778.30
(c) Other current liabilities 8 268,469,091.89 164,126,407.84
(d) Short-term provisions 9 8,926,982.64 9,468,027.00
Sub Total 1,174,977,148.14
1,108,784,273.72
Total 2,768,498,114.34
2,693,451,611.21
II.ASSETS
(1) Non-current assets
(a) Fixed assets
(i) Tangible assets 10 1,255,775,258.58
1,294,949,981.84
(ii) Capital work-in-progress 31,726,465.70 -
(b) Long term loans and advances 11 58,245,936.25 49,730,531.25
Sub Total 1,345,747,660.53
1,344,680,513.09
(2) Current assets
(a) Current Investment 12 1,075,050.00
(b) Inventories 13 637,602,192.88 439,141,267.14
(c) Trade receivables 14 549,358,554.71 705,753,061.79
(d) Cash and cash equivalents 15 20,784,904.38 24,128,146.17
(e) Short-term loans and advances 16 210,157,035.72 166,932,015.85
(f) Other current assets 17 3,772,716.10 12,816,607.15
Sub Total 1,422,750,453.79
1,348,771,098.10
Total 2,768,498,114.34
2,693,451,611.21
III Significant Accounting Policies and Notes on Accounts 25
For : BIHAR FOUNDRY AND CASTINGS LIMITED
Dr. Hari Krishna Budhia Gaurav Budhia
DIN: 01481085 DIN: 01652817
Managing Director Director
Place : Ranchi
BIHAR FOUNDRY AND CASTINGS LIMITED
Profit and Loss statement for the year ended 31st March, 2017
Particulars
Note No
Figures as at 31st March 2017
Figures as at 31st March 2016
I Revenue from operations 18
2,961,899,494.61
3,503,829,039.83
II Other Income 19
9,100,475.68
11,610,856.32
III Total Revenue (I +II)
2,970,999,970.29
3,515,439,896.15
IV Expenses:
Cost of materials consumed 20
1,642,163,207.95
1,723,000,490.13
Changes in inventories of finished goods, 21 (12,966,941.22)
(8,232,799.68)
Employee benefit expense 22
19,188,665.99
16,875,398.36
Financial costs 23
152,762,740.98
123,205,044.06
Depreciation and amortization expense 10
57,118,932.35
36,420,183.02
Other expenses 24
1,111,999,369.78
1,658,372,714.05
Total Expenses
2,970,265,975.84
3,549,641,029.93
V
Profit before exceptional and extraordinary items and tax
733,994.45
(34,201,133.78)
VI Exceptional Items -
VII Profit before extraordinary items and tax
733,994.45
(34,201,133.78)
VIII Extraordinary Items - -
IX Profit before tax
733,994.45
(34,201,133.78)
X Tax expense:
(1) Current tax
139,862.64 -
(2) Deferred tax
12,262,336.22
9,908,925.22
XI
Profit(Loss) for the period from continuing operations
(11,668,204.41)
(44,110,059.00)
XII Profit/(Loss) from discontinuing operations -
XIII Tax expense of discontinuing operations - -
XIV Profit/(Loss) from Discontinuing operations (After tax) - -
XV Profit/(Loss) for the period
(11,668,204.41)
(44,110,059.00)
XVI Earning per equity share:
(1) Basic - -
(2) Diluted - -
Notes referred above form integral part of the statement of Profit & Loss
For : BIHAR FOUNDRY AND CASTINGS LIMITED
Dr. Hari Krishna Budhia Gaurav Budhia
DIN: 01481085 DIN: 01652817
Managing Director Director
BIHAR FOUNDRY AND CASTINGS LIMITED
Notes on Financial Statement for the Period Ended 31st March, 2017
Current Year Previous Year
Amount( In `) Amount( In `)
Note - 1
DETAILS OF SHARE CAPITAL
1.1 Authorised Share capital
81,00,000 Equity Share of ` 10/- each
81,000,000.00 81,000,000.00
80,000,000.00
80,000,000.00
(Previous year 80,00,000 Equity Share of 10/ each)
1.2 Issued, Subscribed & Paid-up
80,47,500 Equity share of `10/- each Fully paid-up.
80,475,000.00
78,475,000.00
(Previous Year 78,47,500 Equity share of `10/- each Fully paid-up)
TOTAL 80,475,000.00
78,475,000.00
1.3 Reconcilation between Opening and Closing Numbers of Shares
Number of Shares Amount( In `)
Number of Shares Amount( In `)
1.3 Particulars
Equity Shares at the Begning of the Reporting Period
7,847,500 78,475,000.00
5,872,500
58,725,000.00
Add : Fresh Equity Shares Issued during the reporting period
200,000 2,000,000.00
1,975,000
19,750,000.00
Equity Shares at the End of the Reporting Period
8,047,500 80,475,000.00
7,847,500
78,475,000.00
1.4 Details of Shareholders Holding More than 5% Number of
Shares Percentage Number of
Shares Percentage
of Shares In the Company
(a) Hari Krishna Budhia
2,262,700 28.12
2,162,700 27.56
(b) Hari Krishna Budhia(HUF)
1,238,400 15.39
1,238,400 15.78
(c ) Aruna Industries and Investment Pvt Ltd
822,500 10.22
822,500 10.48
(d) Gaurav Budhia
414,550 5.15
314,550 4.01
1.5 Shares out of Issued, Subscribed and paid up Share Capital were alloted as Bonus Shares in the last five years
NIL NIL 1.6 Shares out of Issued, Subscribed and paid up Share
Capital were alloted in the last five years without payment being received in Cash NIL NIL
1.7 Shares of the company were bought back in the last five years NIL NIL
Note - 2
DETAILS OF RESERVES AND SURPLUS
2.1 Securities Premium Account
Balance at the Begning of the Year
451,125,000.00
273,375,000.00
Add : Addition during the Year
18,000,000.00
177,750,000.00
Less: Deduction during the Year - -
Balance at the close of the Year 469,125,000.00
451,125,000.00
2.2 Profit and Loss Account
Balance at the Begning of the Year
156,866,989.66
200,977,048.66
Add : Depreciation Written Back
Add : Addition during the Year
(11,668,204.41)
(44,110,059.00)
Add : Depreciation Written Back - -
Balance at the close of the Year 145,198,785.44
156,866,989.66
2.3 Investment Allowance Utilasation Reserve (free Reserve)
Balance at the Begning of the Year
2,594,905.68
2,594,905.68
Add : Addition during the Year - -
Less: Deduction during the Year - -
Balance at the close of the Year 2,594,905.68
2,594,905.68
TOTAL 616,918,690.93
610,586,895.34
Note - 3
DETAILS OF LONG TERM BORROWINGS
3.1 Secured
3.1.1 From Banks (Consortium)
739,945,159.00
756,150,000.00
3.1.2 From other Financial Instution
4,258,968.30
818,929.41
744,204,127.30
756,968,929.41
3.2 Unsecured
3.2.1 Deposit from Related Parties
94,907,943.92
94,907,943.92
94,907,943.92
94,907,943.92
TOTAL 839,112,071.22
851,876,873.33
3.1.1
(a) Long term Borrowing from Banks (Consortium) are
secured by Charges on Fixed Asset,hypothecation of Stock & Book Debts and by Personal Guarantee of Directors
(b) Terms of Repayment
In Financial Year 2016-17 - Rs 195.50 Lacs
In Financial Year 2017-18 - Rs 683.02 Lacs
In Financial Year 2018-19 - Rs 981.04 Lacs
In Financial Year 2019-20 - Rs 1,053.36 Lacs
In Financial Year 2020-21 - Rs 1,053.36 Lacs
In Financial Year 2021-22 - Rs 1,100.36 Lacs
In Financial Year 2022-23 - Rs 1,100.36 Lacs
In Financial Year 2023-24 - Rs 1,100.36 Lacs
In Financial Year 2024-25 - Rs 1,089.64 Lacs
(c ) Rate of Interest(March,2017) 10.50% 10.25% (d) Instalment Due in respenct of loans from Bank
Consortium upto 31.03.2018 have been reported under Current maturities of Long term Debt.
3.2.1
(a) Unsecured Loan from Related parties are interest free and not payable within 12 Months
Note - 4
DETAILS OF DEFERRED TAX LIABILITIES (Net)
4.1 As per Last Statement
38,371,131.82
28,462,206.60
4.2 Add Provision for the Reporting Period
12,262,336.22
9,908,925.22
50,633,468.04
38,371,131.82
Note - 5
DETAILS OF LONG TERM PROVISION
5.1 For Employee Benefit
6,381,736.00
5,357,437.00
TOTAL 6,381,736.00
5,357,437.00
Note - 6
DETAILS OF SHORT TERM BORROWING
6.1 Secured
Working Capital Loan from Banks- Consortium
526,896,082.93 526,896,082.93
546,161,060.58
6.2 Working Capital Loan is secured by hypothecation of present and future Stock in Trade & Sundry Debtors
6.3 Working Capital Loans are repayable on Demand.
6.4 Rate of Interest(March,2016) 10.25% 10.25%
TOTAL 526,896,082.93
546,161,060.58
Note - 7
DETAILS OF TRADE PAYABLES
7.1 Trade Payables
327,559,790.68
345,835,352.30
7.2 Bills Accepted(Against LC)
43,125,200.00
43,193,426.00
TOTAL 370,684,990.68
389,028,778.30
Note - 8
DETAILS OF OTHER CURRENT LIABILITIES
8.1 Current maturities of Long Term Debt-
72,627,000.00
24,870,805.00
Consortiun Banks
8.2 Bank Overdraft
21,862,267.23
8.3 Current maturities of Long Term Debt-
2,038,163.10
614,817.37
Other Financial Instution
8.4 Interest Accured and due on borrowings
8,613,613.18
8,744,947.80
8.5 Creditors for Capital Expenditure
23,456,996.47
30,339,338.17
8.6 Interest Free Sales Tax Loan from BICICO
5,097,258.97
5,097,258.97
8.7 Advance from Customers
63,783,475.67
78,252,745.92
8.8 Statutory Dues & Other Current Liability
70,990,317.27
16,206,494.61
TOTAL 268,469,091.89
164,126,407.84
Note - 9
DETAILS OF SHORT TERM PROVISIONS
9.1 For Employees Benefit
1,966,934.00
2,337,703.00
9.2 Central Excise Duty on Finished Goods
6,820,186.00
7,130,324.00
9.3 Income Tax
139,862.64 -
TOTAL 8,926,982.64
9,468,027.00
BIHAR FOUNDRY & CASTINGS LTD
Note - 10
Details of Fixed Assets and Depreciation as on 31st March 2017
DESCRIPTION OF ASSETS
GROSS BLOCK DEPRECIATION NET BLOCK
Balance As on 01-04-2016
Add/Adj
Dedn/Ad
j
Total As on 31-03-2017
Balance as on 01-04-2016
For the year ended
31-03-2017
Dedn/
Adj
Arrear
of Depreciatio
n
Total as on 31-03-2017
As on 31-03 -2017
As on 31-03-2016
Lease hold Land 558,250.01 -
-
558,250.01
131,145.00
3,360.00
-
-
134,505.00
423,745.01 427,105.01
5 Acre Land 27,101,037.00 -
-
27,101,037.00
451,683.95
903,367.90
-
-
1,355,051.85
25,745,985.15
26,649,353.05
Internal Road 146,000.00 -
-
146,000.00
145,999.00 -
-
-
145,999.00
1.00 1.00
Factory Building 48,058,539.78 -
-
48,058,539.78
11,255,110.58
1,505,654.66
-
-
12,760,765.24
35,297,774.54
36,803,429.20
Plant & Machinery 833,580,245.56 9,161,045.57
-
842,741,291.13
123,381,626.51
29,881,657.36
-
-
153,263,283.87
689,478,007.26
710,198,619.05
Motor Vehicles 15,110,028.19 8,213,752.52
-
23,323,780.71
5,162,411.34
2,073,182.74
-
-
7,235,594.08
16,088,186.63
9,947,616.85
Miscellaneous Fixed Assets 7,309,303.79 569,411.00
-
7,878,714.79
4,218,609.53
574,464.74
-
4,793,074.28
3,085,640.51
3,090,694.26
Factory Building 12,360,020.52 -
-
12,360,020.52
1,960,003.42
392,000.68
-
-
2,352,004.10
10,008,016.42
10,400,017.10
Plant & Machinery 570,231,106.69 -
-
570,231,106.69
72,797,960.37
21,785,244.27
-
-
94,583,204.63
475,647,902.06
497,433,146.32
TOTAL 1,514,454,531.54 17,944,209.09
-
1,532,398,740.63
219,504,549.70
57,118,932.35
-
-
276,623,482.05
1,255,775,258.58
1,294,949,981.84
Previous years Figures 965,040,099.50 549,414,432.04
-
1,514,454,531.54
183,084,366.68
36,420,183.02
-
-
219,504,549.70
1,294,949,981.84
781,955,732.82
Current Year Previous Year
Amount( In `) Amount( In `)
Note - 11
DETAILS OF LONG TERM LOAN & ADVANCES
11.1 Capital Advance 48,193,436.25
39,678,031.25
11.2 Deposit with Central Excise Department 10,052,500.00
10,052,500.00
All the above Advances are unsecured but considered good.
TOTAL
58,245,936.25
49,730,531.25
Note - 12
DETAILS OF CURRENT INVESTMENT
12.1 Gold Coins 1,075,050.00 -
TOTAL
1,075,050.00 -
Note - 13
DETAILS OF INVENTORIES
13.1 Raw Material 485,069,608.12
144,909,036.88
13.2 Finished Goods 78,740,133.35
65,773,192.13
13.3 Stock In Transit 33,454,540.26
79,994,042.60
13.4 Stores & Spares 40,337,911.15
148,464,995.54
Stocks are taken, valued and certified by management
TOTAL
637,602,192.88
439,141,267.14
Note -
14
DETAILS OF TRADE RECEIVABLE 14.1 Outstanding for a period exceeding Six
Month From from the date they are due 215,939,138.26
61,717,811.21
14.2 Other Debtor 333,419,416.45
644,035,250.58
All the debtors are unsecured considered good and are realisable either in cash or by Adjustment
TOTAL
549,358,554.71
705,753,061.79
Note - 15
DETAILS OF CASH AND CASH EQUIVALENT
15.1 Cash in Hand 564,077.05
4,290,189.91
15.2 Balances with Bank(Current Account) 169,196.69
768,188.97
15.3 Balances with Bank in Fixed Deposit Account
20,051,630.64
19,069,767.29
(Held as Margin for BG & LC)
TOTAL
20,784,904.38
24,128,146.17
Note - 16
DETAILS OF SHORT TERM LOANS AND ADVANCES
16.1 Advances to Suppliers 161,610,410.16
140,334,834.85
16.2 Advances to Related Parties - -
H.K.Budhia
8,662,736.76
Gaurav Budhia
6,987,280.00
16.3 Advance to others 7,148,421.20
9,666,570.00
15.4 Security Deposit 25,748,187.60
16,930,611.00
All the Advances are Unsecured but considered good
TOTAL
210,157,035.72
166,932,015.85
Note - 17
DETAILS OF OTHER CURRENT ASSET
17.1 Prepaid paid Expenses 907,589.60
6,407,673.85
17.2 Advance Tax and Tax Refundable(Direct & Indirect)
2,865,126.50
6,408,933.30
All the Above Balances are Considered
Good
TOTAL
3,772,716.10
12,816,607.15
Current Year Previous Year
Amount( In `) Amount( In `)
Note - 18
DETAILS OF REVENUE FROM OPERATIONS
18.1 Gross Sales 3,280,944,585.11
3,832,443,084.96
Less Excise Duty
319,045,090.50
328,614,045.13
Net Revenue from Operation
2,961,899,494.61
3,503,829,039.83
Note - 19
DETAILS OF OTHER INCOME
19.1 Interest on Fixed Deposit
1,282,778.00
1,407,241.00
19.2 Interest on Security Deposit
6,248,390.00
8,304,714.00
19.3 Discount Received
909,746.89
1,003,490.92
19.4 Foreign Exchange Difference Account
214,402.00 -
19.5 Other Income
445,158.79
895,410.40
TOTAL
9,100,475.68
11,610,856.32
Note - 20
DETAILS OF COST OF MATERIAL CONSUMED
20.1 Opening Stock
Raw material
144,909,036.88
152,072,483.64
Stock In Transit
79,994,042.60 -
Stores & Spares
148,464,995.54
373,368,075.01
193,254,183.88
345,326,667.52
20.2 Add : Purchase Made
Manganese Ore
379,788,678.70
505,118,111.89
Steel scrap
234,246,314.55
198,568,771.26
Iron Ore/ Iron Ore Pellet
367,920,244.52
576,989,339.63
Coal/Coke
387,956,631.88
629,233,510.36
Other Purchase and Related Expenses Including Carriage Inward
591,049,771.03
1,960,961,640.68
513,428,983.21
2,423,338,716.35
20.3 Less: Closing Stock
Raw Material
485,069,608.12
144,909,036.88
Stock In Transit
33,454,540.26
79,994,042.60
Stock & Spare
40,337,911.15
558,862,059.53
148,464,995.54
373,368,075.01
20.4 Less: Stores and Spare Consumption transferred to Repair and Maintenance & consumbales under other expenses
133,304,448.21
672,296,818.73
Coal/Coke
613,182,770.48
Civil Material -
1,634,193.39
Consumable Store
93,655,863.34
36,732,804.38
Electrical
10,776,429.68
5,166,692.04
Laboratory
2,416,425.45
1,947,374.60
Mechanical Stores
23,471,927.28
13,630,451.25
Tools & Tackels
2,983,802.46
2,532.59
TOTAL
1,642,163,207.95
1,723,000,490.13
Note - 21
DETAILS OF CHANGE IN INVENTORY OF FINISHED GOODS
21.1 Closing Stock of Finished Goods 78,740,133.35
65,773,192.13
21.2 Less Opening Stock of Finished Goods
65,773,192.13
57,540,392.45
TOTAL
(12,966,941.22)
(8,232,799.68)
Note - 22
DETAILS OF EMPLOYEE BENEFIT EXPENSE
22.1 Salary & Wages
10,566,952.00
9,725,574.00
22.2 Annual Bonus -
900,937.00
22.3 Gratuity & Leave Encashment
2,426,467.99
646,349.36
22.4 Staff & Labour Welfare
619,254.00 57,800.00
22.5 Employer Contribution to ESI & EPF
1,375,992.00
1,319,538.00
22.6 Director Remuneration
4,200,000.00
4,200,000.00
22.7 Medical Reimbursement 25,200.00
TOTAL
19,188,665.99
16,875,398.36
Note - 23
DETAILS OF FINANCE COSTS
23.1 Interest
145,706,582.73
113,092,839.56
23.2 Other Borrowing Cost
7,056,158.25
10,112,204.50
TOTAL
152,762,740.98
123,205,044.06
Note - 24
DETAILS OF OTHER EXPENSES
24.1 Consumables
96,072,288.79
651,862,949.46
24.2 Electricity Charges 685,531,442.00
786,776,892.00
24.3 Contractor Payments
48,871,698.00
20,075,114.00
24.4 Machine Hire Charges
3,434,177.00
1,723,125.00
24.5 Repair & Maintenance of Building
18,078.00
1,716,540.39
24.6 Repair & Maintenance of Plant & Machinery
43,415,168.42
20,644,552.88
24.7 Repair & Maintenance of Computer
165,660.00
170,254.00
24.8 Repair & Maintenance of Other
5,075,798.00
1,009,161.00
24.9 Central Excise Duty & Custom Duty
35,985,648.89
44,852,527.23
24.10 Insurance Expenses
3,181,244.00
2,076,446.86
24.11 Rent, Rates & Taxes
3,084,080.25
1,145,400.00
24.12 Security Expenses
3,610,818.81
4,245,073.17
24.13 Commission & Brokerage
14,071,769.00
14,305,350.20
24.14 Carriage Outward
118,766,341.00
81,089,300.00
24.15 Auditor Remuneration
390,000.00
469,750.00
24.16 Other Expenses
50,325,157.62
26,210,277.86
TOTAL
1,111,999,369.78
1,658,372,714.05
BIHAR FOUNDRY & CASTINGS LTD.
Cash Flow Statement for the year ended 31st March, 2017
Year Ended Year Ended
31.03.2017 31.03.2016
Figure in Lacs
A. Cash Flow from Operating Activities :
Net Profit before tax 7.34
(342.01)
Adjustments for :
Depreciation 571.19 364.20
Interest on Fixed Deposit (12.83) (14.07)
558.36
350.13
Operating Profit before Working Capital Changes 565.70
8.12
Increase in Inventory (1,984.61) (362.74)
Decrease in Debtors 1,563.95 (458.85)
Increase in Short Term Loan & Advances (432.25) (378.83)
Decrease in Other Current Assets 79.69 253.31
Increase In Current Liability & Provisions 394.72 1,115.76
Increase In Other Long Term Liability -
(378.50) (40.00) 128.66
Cash Generated from Operations
Advance Tax,Tax Deducted at Source and Taxes of Earlier Years - -
Direct Taxes paid (1.40) -
(1.40)
-
Net Cash from Operating Activities 185.80
136.78
B. Cash Flow from Investing Activities :
Purchase of fixed assets (179.44) (5,494.14)
Increase in Advances Paid toward Capital work in progress
(85.15)
1,280.90
Increase in Capital work in progress (317.26) 1,945.11
Increase in Current Investment -
Interest on Fixed Deposit 12.83 14.07
Net Cash used in Investing Activities
(569.03)
(2,254.06)
C. Cash Flow from Financing Activities :
Increase in Share Capital 20.00 197.50
Increase in Share Premium 180.00 1,777.50
Increase in Long Term Liability 342.45 247.32
Increase in Short Term Liability (192.65) -258.86
Net Cash from Financing Activities 349.80
1,963.46
Net Increase/(Decrease) in Cash or Cash equivalents (A+B+C)
(33.43)
(153.83)
Opening Cash and Cash equivalents 241.28
395.11
Closing Cash and Cash Equivalents 207.85 241.28
207.85
0.00
For : BIHAR FOUNDRY & CASTINGS LTD.
Dr. Hari Krishna Budhia Gaurav Budhia
DIN: 01481085 DIN: 01652817
Managing Director Director
BIHAR FOUNDRY & CASTINGS LTD.
NOTE -25
NOTE: ANNEXED TO AND FORMING PART OF THE FINANCIAL STATEMENTS AS AT AND FOR
THE YEAR ENDED 31st MARCH, 2017 AND TO BE READ INCONJUCTION THEREWITH.
1. Figures of previous year have been regrouped and rearranged wherever considered necessary.
2. Significant Accounting Policies:
i) The financial statement are prepared under the historical cost convention on accrual
basis as going concern and materially comply with the mandatory accounting standards
issued by the Institute of Chartered Accountants of India, subject to the matter stated
hereunder/before.
ii) Valuation of Closing Stock:
a) Closing stock of Raw Material is valued at cost.
b) Closing stock of store and spares are valued at cost.
c) Closing stock of finished goods valued at realisable price inclusive of Excise Duty in
accordance with the provisions of section 145A of Income Tax Act, 1961.
iii) Fixed Assets:
Fixed Assets are recorded at cost of acquisition.
iv) Depreciation:
a. Depreciation on fixed assets is charged over the estimated use full life of the asset
in accordance with part A of schedule 2 of Companies Act,2013 provided from the
date of asset put to use under straight line method.
b. The residual value of all the fixed asset for depreciation purpose is considered as
5% of original cost of asset
v) Revenue recognition:
a. Sales are exclusive of state tax but inclusive of excise duty and net off discount and
rebate allowed.
b. Revenue on account of disposal of rejected stores, materials etc. are recognised on
realisation basis.
c. As per accounting policy consistently followed by the company sales include unsold
stock with consignee. Differences in realisations are adjusted in the year of actual
sale by the consignee.
vi) Use of Estimates:
The preparation of financial year statements requires estimates and assumption to be
made that affect the reported amount of asset and liabilities on the date of the
financial statements and the reported amount of revenues and expenses during the
reporting period. Difference between the actual results and estimates are recognised in
the period in which the results are known/materialised.
vii) Impairment of Assets:
An asset is treated as impaired when the carrying cost of assets exceeds its recoverable
value. An impairment loss is charges to the Profit and loss Account in the year in which
an asset is identified as impaired. The impairment loss recognised in prior accounting
period is reversed if there has been a change in the estimate of recoverable amount.
viii) Employee Benefits:
Retirement Benefits are treated in the account consistently in the following manner:-
a. For gratuity liability – The Company has made provisions for accrued gratuity
liability in accordance with the Act.
b. Provident Fund & Family Pension Fund - As per actual contribution made to the
concerned authorities in accordance with the Act.
c. Leave encashment on retirement – The Company has made provisions for accrued
liability in accordance with the rules of the company for the financial year 2016-17.
ix) Borrowing Cost:
Interest and other borrowing costs attributable to qualifying asset are capitalised. Other
interest and Borrowing costs are charged to revenue.
x) Finance Cost:
Finance Charge include Bank Interest, interest on unsecured loan and other borrowing
cost.
xi) Balance and Balance Confirmation:
Individual balances of debtors and creditors are net of security deposit advance deposit
with/from the parties and subject to reconciliation and confirmation.
xii) Consumption of Material:
Raw material, stores consumption amount is net of recovery.
xiii) Repair & Maintenance:
Repairs & Maintenance expense of plant and machinery, building & others are mainly
cost of the materials used and exclusive of salary and wages incurred for the same.
xiv) Electricity Charges
Company has commenced availing Power Supply for its Ferro Alloys Unit from
Jharkhand State Electricity Board from November, 2013.
For the period of supply from DVC to Ferro Alloys Unit, the company has made claim
to DVC for refund of Rs. 11.69 crores. In terms of final tariff orders of Central Electricity
Regular Commission for the Tariff period 2009-2014 published during June, 2013 to
September, 2013 which has been disputed by DVC and the matter is now subjudice
before the Hon’ble Jharkhand High Court in writ petition being WP(C) No. 93/2014.
xv) Grouping of Items:
Sales & expenditure of consignment sale is accounted by merging the same with the
overall sales and expenditure.
xvi) Cash In Hand
Cash Balances are as taken and certified by the management.
xvi) Inventories
Closing stock of stores and provisions are valued at average cost of Physical stock
found on physical verification by team of management.
xvii) Bank Balances
Bank Balances are net of Cheque Issued/ Deposited but not debited/credited till the
end of the year appearing in bank reconciliation statement.
xviii) Tax on Income
The company is not liable to pay income tax for the year in accordance with the
applicable provisions of Income Tax Act because of taxable loss. However the company
is liable to pay MAT ` 1,39,863/- on Book Profit ` 7,33,994/-.
3. As the Company’s Business activity falls within Single Primary Business Segment viz.
“Manufacturing of Steel and allied materials”, accordingly the disclosure requirement of
Accounting Standard- 17 – “Segment Reporting” issued by the Institute of Chartered
Accountants of India is not applicable.
4. No amount is due to Micro and Small Enterprises as defined in the “The Micro, Small and
Medium Enterprises Development Act, 2006”. This has been determined to the extent such
parties have been identified on the basis of information available with the Company. The
disclosures relating to Micro and Small Enterprises as at 31st March, 2017 are as under:-
Sl. No. Description Rupees
1 The principal amount remaining unpaid to supplier as at the
end of accounting year (included in Trade Payables)
Nil
2 The interest due thereon unpaid to supplier as at the end of
accounting year
Nil
3 The amount of interest paid in terms of Section 16, along with
the amount of payment made to the supplier beyond the
appointment day during the year 2016-17
Nil
4 The amount of interest due and payable for the period of delay
in making payment (which have been paid but beyond the
appointed day during the year)
Nil
5 The amount of interest accrued during the year and remaining
unpaid at the end of the accounting year
Nil
5. Related Party disclosure as required under Accounting Standard- 18 are given.
Name of related parties and description of relationship are given below:-
1. List of Related Parties
1.1 Key Managerial Personal
(a) Dr. Hari Krishna Budhia
(b) Sri Gaurav Budhia
(c) Smt. Aruna Budhia
1.2 Relative of Key Managerial Personal
(a) Dr. Hari Krishna Budhia (HUF)
(b) Smt. Sweta Budhia
1.3 Associates
(a) Aruna Industries and Investments Pvt. Ltd.
(b) Sweta Minerals
2. Transactions with Related parties Current year Amt. in ` Previous year Amt. in `
2.1 Remuneration
(a) Dr. Hari Krishna Budhia 24,00,000.00 24,00,000.00
(b) Sri Gaurav Budhia 18,00,000.00 19,00,000.00
2.2 Services Received (Hire Charges)
(a) Sri Gaurav Budhia 21,24,00 0.00 12,01,000.00
(b) Smt. Aruna Budhia 2,40,000.00 3,00,000.00
(c) Aruna Industries and
Investments Pvt. Ltd.
3,86,000.00 6,00,000.00
(d) Dr. Hari Krishna Budhia 2,40,000.00 --
2.3 Services Received (Rent)
(a) Hari Krishna Budhia (HUF) 6,00,000.00 6,00,000.00
(b) Smt. Aruna Budhia -- 2,40,000.00
2.4 Purchases (Raw Material)
(a) Sweta Minerals 33,30,68,611.00 25,88,71,250.00
(b) Aruna Industries and
Investments Pvt. Ltd.
20,36,37,183.52 --
2.4 Sale
(a) Sweta Minerals
--
4,73,34,065.00
Deposits (Other than temporary advances) Current year Amt. in ` Previous year Amt. in `
(a) Hari Krishna Budhia (HUF) Cr. 6,46,296.92 Cr. 6,46,296.92
(b) Smt. Aruna Budhia Cr. 2,82,86,545.00 Cr. 2,82,86,545.00
(c) Dr. Hari Krishna Budhia Cr. 4,92,33,102.00 Cr. 4,92,33,102.00
(d) Gaurav Budhia Cr. 1,67,42,000.00 Cr. 1,67,42,000.00
6. Earnings Per Share is calculated by dividing Net Profit for the year attributable to equity share
holders by number of Equity Share outstanding during the year in accordance with the
requirement of Accounting Standard- 20 issued by The Institute of Chartered Accountant of
India.
7. The calculation for deferred tax has been made in accordance with the requirement of
Accounting Standard -22 issued by the Institute of Chartered Accountant of India.
8. Details of Specified Bank Notes (SBNs) held and transacted during the period from 8th
November, 2016 to 30th December, 2016 as provided in the table below:-
Particulars SBNs Other
Denomination
Notes
Total
Closing cash in hand as on 08-11-2016 1,90,63,500 4,15,917 1,94,79,417
(+) Permitted receipts -- 9,54,000 9,54,000
(-) Permitted payments -- 2,93,663 2,93,663
(-) Amount deposited in banks 1,90,63,500 -- 1,90,63,500
Closing cash in hand as on 30.12.2016 -- 10,76,254 10,76,254
9. Contingent Liabilities and commitments (to the extent not provided for)
Current year `
in lakhs
Previous year ` in
lakhs
i. Commitments
Estimated amount of contracts remaining to be
executed on capital account and not provided for
-- --
ii. Contingent Liabilities
Disputed Income Tax demand by estimated addition 93.94 63.34
of income in assessment and apparent mistake in
calculation of demand of earlier years(In Lacs)
Disputed Demand of Commissioner of Customs 67.58 --
Bank Outstanding Guarantee 20.69 5.00
a. Damodar Valley Corporation’s claim of minimum demand and energy Charges for the
period July, 1977 to October, 1978 amounting to Rs. 30.18 lakhs is still under arbitration as
per courts order. The Company has furnished bank guarantees of Rs. 5.00 lakhs as per the
direction of the Court.
b. During search and seizure on 16th October, 2008 by Central Excise Authorities the amount
of Rs. 1 crore paid under protest has been shown as deposit as the purported demand is
under protest before CESTAT, Kolkata.
c. All the known liabilities upto 31st March, 2017 have been provided for in the accounts. The
company has no knowledge of any other liability proper and/or contingent not provided for
or not disclosed in the accounts other than those disclosed above.
For BIHAR FOUNDARY & CASTINGS LTD. For S. SANNIGRAHI & CO.
Chartered Accountants
(Firm R. No. 004995C)
Dr. Hari Krishna Budhia Sri Gaurav Budhia (CA. Debasish Sannigrahi)
(DIN : 01481085) (DIN : 01652817) Partner
Managing Director Director M. NO. 073322
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