To,
The Members,
Your directors present the 38thAnnual Report on the business and operations
of the Company along with the Audited Financial Statements for 2023-24.
1. FINANCIAL HIGHLIGHTS:
The Boards Report is prepared based on the standalone financial statements of the
Company.
(Rs. in Lakhs)
| Sr. No. Particulars |
Year ended 31.03.2024 |
Year ended 31.03.2023 |
| 1. Revenue from operations |
164.09 |
76.32 |
| 2. Other Income |
23.55 |
19.93 |
| 3. Total revenue |
187.64 |
96.25 |
| 4. Total Expenditure |
|
|
| i. Employee benefit Expenses |
1.45 |
1.81 |
| ii. Depreciation |
0.71 |
0.75 |
| iii. Contingent Provision against |
0.69 |
- |
| Standard Assets |
11.60 |
8.72 |
| iv. Other Expenditure |
|
|
| Total |
14.45 |
11.28 |
| 5. Profit Before Tax (3-4) |
173.19 |
84.97 |
| 6. Provision for taxation |
|
|
| i) Current Tax |
18.35 |
9.12 |
| ii) Deferred Tax |
(0.22) |
(0.05) |
| iii) Earlier years Tax |
0.23 |
- |
| 7. Profit After Tax |
154.83 |
75.90 |
| 8. Balance carried from previous year |
15.62 |
59.90 |
| 9. Amount Available for Appropriation |
170.45 |
135.80 |
| 10. Appropriations: |
|
|
| Transferred to Statutory Reserve |
(30.97) |
(15.18) |
| Transferred to General Reserve |
(120.00) |
(105.00) |
| 11. Balance carried to Balance Sheet |
19.48 |
15.62 |
| 12. Basic and Diluted EPS |
0.26 |
0.13 |
2. DIVIDEND:
In view of the limited profits of the Company, your directors do not recommend dividend
for the financial year ending on March 31, 2024.
3. RESERVES:
As required under Section 45-IC of the Reserve Bank of India Act, 1934, 20% of the net
profits are required to be transferred to a Special Reserve Account.
Therefore, an amount of Rs. 30.97 Lakhs, which is equal to 20% of the net profits, has
been transferred to the said Reserve.
4. OPERATIONS:
During the period under review, the total income of the Company was Rs. 187.64 Lakhs as
Compared to Previous Year; Rs 96.25 Lakhs. The Company has earned the Net Profit of
Rs.153.83 Lakhs (Previous Year Net Profit: Rs. 75.90 Lakhs). Your directors are confident
that the performance for the coming years is expected to improve with expected
improvements in the economic activities.
5. MATERIAL CHANGES AND COMMITMENTS AFFECTING THE FINANCIAL POSITION OF THE COMPANY:
There have been no material changes and commitments, which affect the financial
position of the company which have occurred between the end of the financial year to which
the financial statements relate and the date of this Report.
6. SHARE CAPITAL AND ANY CHANGES THEREOF:
During the year, the Company had issued Bonus Shares the details of which are given as
follows: Date of Issue of Bonus Shares: June 09, 2023 Date of allotment of Bonus Shares:
June 20, 2023 Ratio: 1:2 [One Equity Share of every 2 Equity Shares Fully Paid] The
paid-up equity share capital as on 31 March 2023 was 4 crore however pursuant to bonus
issue during the year under review the paid up capital of the Company as on 31 March 2024,
is 6 crore.
7. DETAILS WITH RESPECT TO INVESTOR EDUCATION AND PROTECTION FUND (IEPF)
Following are the details w.r.t. IEPF:
a) amount of unclaimed/unpaid dividend and the corresponding shares as on March 31,
2024: - Nil
b) sale proceeds of fractional shares arising out of issuance of bonus shares: - Rs.
8765.46
8. DIRECTORS OR KEY MANAGERIAL PERSONNELS:
The changes during the financial year 2023-2024 are as follows:
| Name of Director |
DIN/PAN |
Date of Appointment /Date of Cessation/ Date of Regularization |
Nature of Change (Appointment/ Cessation) |
| Mr. Prabhat Dinesh Poddar |
09637477 |
June 09, 2023 |
Regularization as Director |
| Ms. Bhoomi Ashwin Thakkar |
ARSPT9794M |
December 28, 2023 |
Cessation as Company Secretary and Compliance Officer |
| Ms. Kinjal Sunny Hiranandani |
AHXPC0777G |
March 22, 2024 |
Appointment as Company Secretary and Compliance Officer |
9. DECLARATION BY INDEPENDENT DIRECTORS:
The Company has received necessary declaration from each independent director under
Section 149(7) of the Companies Act, 2013, that they meet the criteria of independence
laid down in Section 149(6) Schedule IV of the Companies Act, 2013 and Securities and
Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations,
2015.
10. NUMBER OF MEETINGS DURING THE YEAR UNDER REVIEW:
| Sr. No. Particulars |
No. of meetings |
| 1. Board Meetings |
Nine |
| 2. Audit Committee Meetings |
Four |
| 3. Independent Directors Meeting |
One |
| 4. Nomination and Remuneration Committee Meeting |
One |
| 5. Stakeholder Relationship Committee Meeting |
One |
11. NOMINATION AND REMUNERATION POLICY:
The Board of directors has framed a nomination and remuneration policy that lays down a
framework in relation to the remuneration of directors, key managerial personnel, and
senior management of the company.
The said policy is also uploaded on the website of the Company; i.e.,www.
ashirwadcapital.co.in
The policy provides qualifications,positive the criteria for determining attributes and
Independence of Director and criteria for appointment and removal of Directors, Key
Managerial Personnel / Senior Management and performance evaluation which are considered
by the Nomination and Remuneration Committee and the Board of Directors.
The Policy sets out a framework that assures fair and optimum remuneration to the
Directors, Key Managerial Personnel, Senior Management Personnel and other employees such
that the Companys business strategies, values, key priorities and goals are in harmony
with their aspirations. The policy lays emphasis on the importance of diversity within the
Board, encourages diversity of thought, experience, background, knowledge, ethnicity,
perspective, age and gender. The Nomination and Remuneration Policy is directed towards
rewarding performance, based on review of achievements. It is aimed at attracting and
retaining high caliber talent.
12. FORMAL ANNUAL EVALUATION:
Pursuant to the applicable provisions of the Companies Act 2013 and the SEBI (Listing
Obligation and Disclosure Requirements) Regulations, 2015, the Board has carried out an
annual evaluation of its own performance and working of its committees. The Boards
functioning was evaluated on various aspects, including inter alia degree of fulfillment
structure and composition, establishment and delegation of responsibilities to various
Committees. Directors were evaluated on aspects such as attendance and contribution at
Board/ Committee Meetings and guidance/ support to the management of the Company. Areas on
which the Committees of the Board were assessed included degree of fulfillment adequacy of
Committee composition and effectiveness of meetings.
A separate exercise was carried out to evaluate the performance of individual
Directors including the Chairman of the Board, who were evaluated on parameters such as
level of engagement and contribution, independence of judgement safeguarding the interest
of the Company and its minority shareholders etc. The performance evaluation of the
Independent Directors was carried out by the entire Board. The performance evaluation of
the Chairman and the Non-Independent Directors was carried out by the Independent
Directors. The Directors expressed their satisfaction with the evaluation process.
13. PARTICULARS OF EMPLOYEES: a) The Disclosure required under Section 197(12)
of the Act read with the Rule 5(1) of the Companies (Appointment and Remuneration of
Managerial Personnel) Rules, 2014, is annexed as Annexure IV and forms an integral
part of this report. b) Particulars of employees drawing remuneration in excess of limits
prescribed under Section 197(12) read with Rule 5(2) of Companies (Appointment and
Remuneration of Managerial Personnel) Rules, 2014: There are no employees drawing
remuneration exceeding Rupees One Crore and Two Lakhs per annum if employed throughout the
financial year or Rupees Eight Lakh Fifty Thousand per month if employed for part of the
financial year or draws remuneration in excess of Managing Director or Whole time Director
or manager and holds by himself or along with his spouse and dependent children, not less
than two percent of the equity shares of the Company.
14. DIRECTORS RESPONSIBILITY STATEMENT:
The Directors state that—
a) In the preparation of the annual accounts, the applicable accounting standards had
been followed along with proper explanation relating to material departures;
b) The Directors had selected such accounting policies and applied them consistently
and made judgments and estimates that are reasonable and prudent so as to give a true and
fair view of the state of affairs of the Company at the end of the financial year and of
the profit of the Company for that period;
c) The Directors had taken proper and sufficient care for the maintenance of adequate
accounting records in accordance with the provisions of this Act for safeguarding the
assets of the Company and for preventing and detecting fraud and other irregularities;
d) The Directors had prepared the annual accounts on a going concern basis;
e) The Directors, had laid down internal financial controls to be followed by the
Company and that such internal financial controls are adequate and of key
responsibilities, its were operating effectively; and
f) 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. of key
responsibilities,
15. INTERNAL FINANCIAL CONTROLS:
The Company has in place adequate internal financial controls commensurate with the
size, scale and complexity of its operations. The Company has policies and procedures in
place for ensuring proper and efficient conduct of its business, 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.
The Company has adopted accounting policies, which are in line with the Accounting
Standards and the Act.
16. SUBSIDIARIES, JOINT VENTURES OR ASSOCIATE COMPANIES:
The Company does not have any Subsidiaries, Joint Ventures or Associate Companies.
17. PUBLIC DEPOSITS:
Disclosure Regarding details relating to deposits covered under Chapter V of the
act is not applicable since our company is a Non-Banking Financial Company regulated by
Reserve Bank of India and it continues to be a non-deposit taking Non-Banking Financial
Company.
18. PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS:
The Company being a Non-Banking Financial Company, whose principal business to giving
loans, guarantees or provide security in connection to any loan given or acquire shares
and securities, the provisions of section 186 of the Companies Act, 2013 are not
applicable.
The details of the investments and loans made by the company are given in the notes to
the financial statements which are self-explanatory.
19. PARTICULARS OF CONTRACTS OR ARRANGEMENTS WITH RELATED PARTIES:
The particulars of every contract or arrangements entered into by the Company with
related parties referred to in sub-section (1) of section 188 of the Companies Act, 2013
including certain arms length transactions under third proviso thereto is disclosed in
Form No. AOC-2 which is enclosed as Annexure I.
20. CORPORATE SOCIAL RESPONSIBILITY (CSR):
The Company does not have the requisite Net Worth nor has it achieved the requisite
turnover nor it has the requisite net profit for the year for triggering the
implementation of "Corporate Social Responsibility" (CSR), therefore, the
Company has neither formed any CSR committee nor any policy thereof.
21. CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS AND
OUTGO: The Company being a Non-Banking Finance Company information regarding
disclosure of conservation of energy is not applicable to it. However, as a part of
national interest it ensures that energy consumption is kept at minimum. There is no
technology involved as the Company is a Non-Banking Finance Company.
There were no foreign exchange earnings or outgo during the year under review.
22. RISK MANAGEMENT:
Business Risk Evaluation and Management is an ongoing process within the Organization.
The Company has a robust risk management framework to identify; monitor and minimize risks
as also identify business opportunities. The Audit Committee and the Board periodically
review the risks and suggest steps to be taken to manage/ mitigate the risk through a
properly defined framework. During the year, no major risks were noticed, which may
threaten the existence of the Company.
23. VIGIL MECHANISM/ WHISTLE BLOWER POLICY:
The Company has adopted a Whistle Blower Policy to provide a formal mechanism to
the Directors and employees to report their concerns about unethical behaviour, actual or
suspected fraud or violation of the Companys Code of Conduct. The Policy provides for
adequate safeguards against victimization of employees who avail of the mechanism and
provides for direct access to the Chairman of the Audit Committee. It is affirmed that no
person of the Company has been denied access to the Audit Committee. Whistle Blower Policy
has been posted on the website of the Company at www.ashirwadcapital.co.in
24. SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS OR TRIBUNALS:
There are no significant
Courts or Tribunals which would impact the going concern status of your Company and its
future operations.
25. STATUTORY AUDITORS:
At the Annual General Meeting held on June 09, 2023, M/s. Sanjay Raja Jain
& Co., Chartered Accountants, (FRN 120132W), Mumbai, were appointed as statutory
auditors of the Company to hold office till the conclusion of the
Annual General Meeting to be held in the year 2028.
26. EXPLANATION OR COMMENTS ON QUALIFICATIONS, RESERVATION OR ADVERSE REMARKS OR
DISCLAIMERS MADE BY THE AUDITORS IN THEIR REPORT: The report given by the auditors on
the financial statement of the Company is part of the Annual Report. There has been no
qualification, reservation, adverse remarks or disclaimer given by the auditors in their
report.
27. SECRETARIAL AUDIT REPORT:
In terms of Section 204 of the Companies Act, 2013 and Rules made there under, M/s.
Sandeep Dar and Co., Practicing Company Secretaries, have been appointed as Secretarial
Auditor of the Company. The report of the Secretarial Auditors is enclosed as Annexure
-II to this report.
The report is self-explanatory. However, Company has initiated necessary steps to
comply with observations as per the provisions of various statute mentioned under the
Secretarial Audit Report.
28. SECRETARIAL STANDARDS:
The Directors have devised proper systems to ensure compliance with the provisions
of all applicable Secretarial Standards viz. the Secretarial Standard -1 on Board Meetings
(SS-1) and Secretarial Standard -2 on General Meetings (SS-2) issued by the Institute of
Company Secretaries of India and approved by the Central Government, and that such systems
are adequate and operating effectively.
29. ANNUAL RETURN:
Pursuant to Section 92(3) and Section 134(3)(a) of the Companies Act, 2013, the Company
has placed a copy of Annual Return as at March 31, 2024 on its website at
www.ashirwadcapital.co.in.
30. MANAGEMENT DISCUSSION AND ANALYSIS REPORT:
The Management Discussion & Analysis Report, which forms an integral part of this
Report, is enclosed as Annexure III to this report.
31. OBLIGATION OF COMPANY UNDER THE SEXUAL HARASSMENT OF WOMEN AT WORKPLACE
(PREVENTION AND REDRESSAL) ACT, 2013: The Prevention of Sexual Harassment (POSH) at
workplace Act is applicable to every workplace, establishment, company or organization
employing 10 or more employees.
Your Company has only 1 permanent employee on roll of the company, the obligation
of Company under the Sexual Harassment of Women at Workplace (Prevention and Redressal)
Act, 2013, to constitute an Internal Complaints Committee and to formulate of Posh Policy
is not applicable.
32. COMPOSITION OF AUDIT COMMITTEE:
The Composition of Audit Committee as required under section 177(8) of the Companies
Act, 2013 is as follows:
1. Mr. Sanjiv Vishwanath Rungta - Chairman
2. Mr. Madhusudan Lohia - Member
3. Mr. Rajesh Ramprasad Poddar - Member
33. OPINION OF THE BOARD WITH REGARD TO INTERGRITY, EXPERTISE AND EXPERIENCE OF
INDEPENDENT DIRECTORS APPOINTED DURING THE YEAR:
The Board of Directors have not given a statement regarding opinion of the Board with
regard to integrity, expertise and experience (including the proficiency) of the
independent directors appointed during the year as there were no Independent Directors
appointed during the year under review.
34. LISTING AGREEMENT WITH THE STOCK EXCHANGE:
The Company has entered into the Uniform Listing Agreement as per SEBI
(Listing Obligations and Disclosure Requirement) Regulations, 2015 and confirms that it
has paid the Annual Listing Fees for the year 2023-24 to BSE
Ltd. where the Companys Shares are listed.
35. OTHER DISCLOSURE: a) The Central Government has not prescribed the
maintenance of cost records under Section 148(1) of the Act.
There were no incidences of reporting of frauds by Statutory Auditors of the Company
under Section 143(12) of the Act read with Companies (Accounts) Rules, 2014 during the
year under review. b) There is no application made nor any proceeding is pending under the
Insolvency and Bankruptcy Code, 2016 (31 of 2016) during the year.
36. RBI GUIDELINES:
The company continues to comply with all the requirements prescribed by Reserve Bank of
India from time to time
37. ACKNOWLEDGEMENT:
We record our gratitude to the Reserve Bank of India, our Bankers and other Authorities
for their assistance and co-operation during the year. We also wish to place on record our
appreciation for the dedicated services of the employees of the Company. We are equally
thankful to our esteemed investors for their co-operation extended to and confidence
reposed in the management.
| Registered Office: |
By Order of the Board |
| 303, Tantia Jogani Industrial Estate, |
Ashirwad Capital Limited |
| J. R. Boricha Marg, Lower Parel, |
|
| Mumbai - 400 011. |
|
| Date: May 10, 2024 |
Dinesh Poddar |
| Place: Mumbai |
Chairman and Managing Director |
|
DIN: 00164182 |
+91-9892691696
