bala techno industries limited - bombay stock exchangetechno industries limited will be held at...

Bala Techno Industries Limited

Annual Report 2013

BALA TECHNO INDUSTRIES LIMITED BOARD OF DIRECTORS C.P MEHRA ASHOK MEHRA

Chairman Managing Director

S.A. HUSSAIN B.B.BHATTACHARYA SANJAY KHANNA AMITABHA MUKHERJEE

BANKERS UNITED COMMERCIAL BANK

ORIENTAL BANK OF COMMERCE AUDITORS U.NARAIN & COMPANY

CHARTERED ACCOUNTANTS 35, CHITTARANJAN AVENUE 5TH FLOOR, ROOM NO. 25/6 KOLKATA 700012

FACTORY AND PLOT NO. B4 & B5 REGISTERED OFFICE FALTA INDUSTRIAL GROWTH CENTRE SECTOR – III, FALTA,

DIST. 24, PARGANAS (SOUTH) WEST BENGAL

CORPORATE OFFICE P-22, C.I.T.ROAD,

SCHEME- 55, KOLKATA – 700 014

NOTICE NOTICE is hereby given that the 22nd Annual General Meeting of the Members of Bala Techno Industries Limited will be held at Company’s Registered Office at Falta Industrial Growth Centre, Sector-III, Falta, Dist. 24 Parganas (South), West Bengal on Saturday, the 28th September, 2013 at 10.00 a.m. to transact the following business : ORIDNARY BUSINESS 1. To receive, consider and adopt the Audited Balance Sheet of the Company as at 31st

March, 2013 and the Profit and Loss Account for the year ended on that date and the Reports of the Directors and Auditors’ thereon.

2. To appoint a director in place of Shri S.A Hussain who retires by rotation and being

eligible, offers himself for reappointment. 3. To appoint a director in place of Shri B.B Bhattacharya who retires by rotation and

being eligible, offers himself for reappointment. 4. To appoint Auditors of the Company to hold office from the conclusion of this

meeting untill conclusion of the next Annual General Meeting and to fix their remuneration.

Corporate Office : P-22,C.I.T Road By Order of the Board Scheme-55 For Bala Techno Industries Ltd. Place : Kolkata – 700 014 Date : 27th August,2013 Ashok Mehra Managing Director

NOTES 1. A member entitled to attend and vote at the Annual General Meeting is also entitled to

appoint proxy to attend and vote instead of himself/herself and a proxy need not be a member of the Company. Proxies in order to be effective must be received by the Company at its Registered Office not less than Forty Eight hours before the commencement of the Annual General Meeting.

2. The Register of Members and Share Transfer Books of the Company will remain

closed from 18th September,2013 to 28th September,2013 (both days inclusive). 3. For the convenience of Members, an Attendance Slip is annexed to the Proxy form.

Members are requested to affix their signature as registered with the company at the space provided therein and handover the Attendance Slip at the entrance to the place of the Meeting.

4. Members holding shares in the Dematerialized and Physical mode are requested to intimate / send the following to facilitate better servicing :

a) Any change in their address / name

b) Share Certificates held in multiple accounts in identical names or joint

accounts in the same order of names, for consolidation of such shareholdings into a single account .

c) All changes pertaining to their Bank details, ECS, mandates, nominations,

power of attorne / etc. be informed to their depository participant and to the Company’s Registrars and Share Transfer Agents Niche Technologies Private Limited, D-511. Bagree Market, 71, B.R.B. Basu Road, Kolkata – 700 001 . Tel No. (033)2235-7270/7271, 2234-3576 , Telefax No.- (033) 2215 6823, E-mail : [email protected] .Changes intimated to the depository participant will then be automatically reflected in the Company’s records, which will help the Company and its Registrar and Transfer Agents to provide efficient and better service to the Members. Shareholders are hereby intimated that under instructions from the Securities and Exchange Board of India, furnishing of bank particulars by the shareholders has become mandatory.

5. Members are requested to bring their Attendance/Admission slips and Annual Reports

to the Meeting . 6. Copy of the documents referred to in the notice are available for inspection at the

Registered Office of the Company during office hours on all working days except Saturday, between 11.00 a.m. to 1.00 p.m. prior to the date of Annual General Meeting.

7. Shareholders may kindly note that trading in equity shares of the company are under

compulsory dematerialisation form. Members are requested to approach their Depository Participant to dematerialise of Equity Shares of the Company .

8. In terms of provisions of Section 109A of the Companies Act, 1956, nomination

facility is now available to individual shareholder. The shareholders who are desirous of availing this facility may kindly write to the Company at its Corporate Office at P-22, C.I.T. Road, Scheme-55, Kolkata-700014 or to its Registrar and share Transfer Agents at the above address

9. Members are requested to note that the Ministry of Corporate Affiars has taken a

“Green Initiative in the Corporate Governance” by allowing paperless compliance by the companies after considering sections 2,4,5 and 81 of the Information Technology Act,2000 for legal validity of Compliance under Companies Act through electronic mode.The Department of posts has discontinued the postal facility “Under Certificate of Posting “ vide letter dated 23.02.2011.Keeping in view of this, services of documents may be made through electronic mode provided the Company has obtained email address of its members for sending the notice /documents including Annual Report through email .To support this green initiative of the Government in full measure, members who have not registered their email address so far , are requested to register their E-mail address to their respective Depository Participant and to the Company or its Registrar and Share Transfer Agent.

10. The Equity Shares of the Company are listed on Stock Exchange at Mumbai. The Annual Listing Fee for the year 2013 – 14 has been paid to the Stock Exchange.

11. Details pursuant to clause 49 of the listing agreement with regard to Directors

seeking reappointment in the ensuing Annual General Meeting on 28th September, 2013 .

1 Name of Director SHRI S.A. HUSSAIN Shri Bipul Bikash Bhattacharya

2 Date of Birth 29.05.1938 08.08.1943 3 Date of Appointment 16.01.2008 16.01.2008 4 Qualification

M.A. (Econ)CA L.L.B. BSC (HNS) MIE

5 Expertise in Executive Functional Area

Wide knowledge and experience in the area of Finance and Banking : (i) Served as Chief General Manager (Now redesignated as Regional Director) of 5 major offices of Reserve Bank of India at Calcutta, New Delhi, Madras, Hyderabad and Chandigarh and as Executive Director of Reserve Bank of India, Central Office, Bombay. (ii) Had been nominee Director of RBI of (a) Andhra Bank, (b) United Bank of India and (c) Indian Bank.

i) Retired General Manager: CESC Ltd. ii) 40 Years Experience in Technical /Operational aspect of Electrical power Dirtribution and Commercial Management. iii) Involved in multinational role in power sector.

6 List of Companies in which Directorship held.

(i) Godavari Drugs Ltd (ii) Bio Chemicals & synthetics Ltd (iii) Sathavahana Ispat Ltd (iv) Pacific cotspin Ltd (v) Climate Green Power Ltd.

i) Mandine Pharmaceutical Pvt. Ltd. ii) Climate Green Power Ltd.

7 Chairman / Members of the Committee of the Board of Company’s on which he is a Director.

Member of Audit Committee, and Shareholder/ Investors Grivance Committee in Pacific Cotspin Ltd.

None

8 Shareholding in the Company

NIL NIL

Corporate Office: By order of the Board P-22,C.I.T Road,Scheme-55 For Bala Techno Industries Ltd. Place: Kolkata-700014 Date: 27th August,2013 Ashok Mehra Managing Director

DIRECTORS’ REPORT DEAR MEMBERS Your Directors have pleasure in presenting the 22nd Annual Report together with the Audited Statement of Accounts for the year ended 31st March, 2013 . FINANCIAL RESULTS Your Company's performance during the period is summarized below:

For the year ended For theyear ended

31st March, 2013 31st March, 2012 (Rs.in lacs) (Rs.in lacs) Gross Income 13566.83 6103.25 Gross Profit/(Loss) 63.54 62.03 Less: Depreciation 59.95 58.48 --------- ---------- Profit/(Loss)before Tax 3.59 3.55 Add: Deferred Tax 8.14 6.62 ---------- ---------- 11.73 10.17 Less: Provision for Taxation 5.31 5.30 Net Profit/(Loss)After Tax ------------ ----------- Add: Profit /(Loss)brought 6.42 4.87 forward from previous year 265.62 260.75 Balance Profit/(Loss) ---------- ---------- Carried Forward 272.04 265.62 ----------- ---------- DIVIDEND Your Board of Directors does not recommend any Dividend on equity and preference shares in order to conserve the resources. PERFORMANCE AND OUTLOOK The Gross Income for the year was Rs. 13566.83 Lacs against Rs. 6103.25 lacs in previous year and the net profit was Rs. 6.42 for the year against net profit of Rs.4.87 lacs in previous year. The Company’s performance is in line with the Industry trend during the year under review and expects better financial results in ensuing year.

DIRECTORS

Shri S.A Hussan and Shri B.B Bhattacharya, Directors of the company retire by rotation and being eligible offer themselves for reappointment. DIRECTORS’S RESPONSIBILITY STATEMENT

Pursuant to the requirement under Section 217(2AA) of the Companies Act, 1956 with respect to Directors’ Responsibility Statement, it is hereby confirmed: i) That in the preparation of the accounts for the year ended 31st March, 2013 the

applicable accounting standards have 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 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 the year under review.

iii) That the Directors have taken proper and sufficient care for the maintenance of

adequate accounting records in accordance with the provisions of the Companies Act, 1956 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities.

iv) That the Directors have prepared the accounts for the financial year ended 31st March,

2013 on a going concern basis. CORPORATE GOVERNANCE Your Directors affirm their commitments to the corporate governance standards prescribed by the securities and Exchange Board of India (SEBI). A Report on corporate Governance alongwith certificate from Company Secretaries for its compliance and management discussion and analysis as required under clause 49 of the listing agreement is attached. DEMATERIALISATION Your Company’s Shares are being traded in the dematerialized form and over 45.74 % of the Shares of the Company have been dematerialized upto 31.03.2013. AUDITORS: The Auditors of the company, M/s U.Narain & Company, Chartered Accountants, retire at the conclusion of the ensuing Annual General Meeting. They have signified their willingness to accept reappointment and have confirmed their eligibility under section 224(1-B) of the Companies Act, 1956.Your Directors recommend their reappointment. The Report of the Auditors and Notes on Accounts are self explanatory and therefore do not call for any further comments.

STATUTORY REQUIREMENTS: None of the employee of the company has drawn salary is excess of the limit specified under Section 217(2a) of the Companies Act, 1956 read with Companies(particulars of Employee) Rules 1975, as amended. The Company has not accepted and/or renewed any deposits from the public and/or shareholders during the year under review. Information regarding conservation of energy, etc. as required U/s 217(1)(e) of the Companies Act, 1956 read with companies (Disclosures of Particulars in the Reports of Directors) Rules 1988, is given below: CONSERVATION OF ENERGY: The Company’s activities involve less consumption of energy and as there is very little scope for energy conservation. However, there is a conscious and concentrated drive towards conservation of energy in all its forms.Strict vigilance is maintained over usage of energy by constant monitoring and educating the need to conserve energy. Replacement of worn out wires, control of idle running of machines, plugging of leakage and putting off power to all major equipment at non- working time, are some of the measures taken to conserve energy during the period. Total energy consumption and energy consumption per unit. Electricity For the year For the year ended 31.03.2013 ended 31.03.2012 Purchased Units 1002335 864067 Total amount (Rs. in lacs) 81.07 59.64 Rate/Unit (Rs.) 8.09 6.90 TECHNOLOGY ABSORPTION AND RESEARCH & DEVELOPMENT: The Company has not obtained any technology from outside parties either from India or abroad nor entered any technical collaboration agreement with any party from abroad. The Company keeps abreast with the technology development and introduces, adopts and absorbs those sophisticated technologies, wherever suitable. The Company does not have any in-house Research and Development department. In case of any necessity in future, the Company will take technical help from the outside agencies.

FOREIGN EXCHANGE EARNINGS AND OUT GO: For the year ended For the year ended 31st March, 2013 31st March, 2012 a) Earnings (Rs. in lacs) 24.24 36.88 b) Expenditure (Rs. in lacs) Nil Nil ACKNOWLEDGEMENT:

Your Directors wish to place on record their application for valuable co-operation and support received from Central/State Government and in particular from the financial Institutions and Banks. They are also grateful to shareholder, customers and suppliers of the company for their continued valued support. Your Director also wish to place on record, their appreciation for devoted services of the sincere workers, staff and Executives of the company.

FOR AND ON BEHALF OF THE BOARD Place: Kolkata ASHOK MEHRA Date : 27th May, 2013 MANAGING DIRECTOR

REPORT ON CORPORATE GOVERNANCE

1) Company’s Philosophy on Code of Corporate Governance

The Company firmly believes in and has consistently endeavoured to

practice good Corporate Governance. The Company’s philosophy on

Corporate Governance envisages the attainment of the highest levels of

transparency, professionalism and accountability, in all facets of its

operations, and in all its interactions with its stake holders, including

shareholders, employees, the government and lenders.

2) Board of Directors

The Board comprises of the Chairman,Managing Director, and Four Non-

Executive and Independent Directors.

Composition and category of directors is as follows:

Category Name of Directors

Promoter/Executive Directors Shri Ashok Mehra - Chairman

Shri C.P. Mehra – Managing Director

Non Executive and Shri S.A. Hussain

Independent Directors Shri Amitabha Mukherjee

Shri Sanjay Khanna

Shri B.B.Bhattercharya

Attendance of each Director of the Board Meetings, last Annual General

Meeting & Number of other Directorship and Chairmanship/Membership

of Committee of each Director in various Companies for the years ended

31.03.2013:

Name of the Directors Attendance

Particulars

No. of the Directorships and Committee

member /Chairmanship

Board

Meeting

Last

AGM

Other

Directorship

including Pvt.

Ltd. Cos.

Other

Committee

Membership

Other

Committee

Chairmanship

Shri Ashok Mehra 7 Yes 1 None None

Shri C.P. Mehra 7 Yes 1 None None

Shri Amitabha Mukherjee 5 Yes 1 None None

Shri Sanjay Khanna 4 No None None None

Shri S.A Hussain - No 5 4 None

Shri B.B.Bhattacharya - No 2 None None

In accordance with clause 49 of the listing agreement, membership/ chairmanship

in Audit Committee and Shareholders/Investors grievance committee have been

considered only.

Number of Board Meetings held and the date on which held.

Seven Board Meetings were held during the period. The date on which the

meetings were held are as under:-

1 13.05.2012 6 07.01.2013

2 10.07.2012 7 12.02.2013

3 13.08.2012

4 30.08.2012

5 12.11.2012

The maximum time gap between any two meetings was not more than three

months.

3) Board Committees :

(a) Audit Committee

i) Terms of Reference :The terms of reference of the Audit committee are in

conformity with the requirement of Clause 49 of the Listing Agreement and

Section 292A of the Companies Act, 1956. These broadly cover the following :

1) To oversee the Company’s financial reporting process and the

disclosure of its financial information to ensure that the

financial statements are correct, sufficient and credible.

2) To review and recommend to the Board about the

appointment, reappointment and if required the replacement

or removal of Statutory Auditors and fixation of their fees.

3) To review with the management, the financial statements

before submission to the Board, focusing primarily on

Management discussion and Analysis, Directors’ responsibility

Statement which forms part of the Director’s Report,

accounting policies, compliance with accounting standards,

compliance with Stock Exchange and legal requirements and

any related party transactions etc.

4) To review with the management, performance of external

and internal auditors, the adequacy of internal control

systems & internal audit reports if any, on internal control

weaknesses .

5) To discuss with the Auditors on the scope and nature of Audit

and also to have Post Audit discussion to ascertain any area

of concern.

6) To review the Company’s financial and risk management

policies.

7) A statement of material related party transactions, if any.

8) To undertake such other matters as may be delegated by the

board from time to time.

ii) Composition The composition of the Audit Committee is as follows :

Shri Amitabha Mukherjee (Chairman)

Shri Sanjay Khanna (Member)

Shri B.B Bhattacharjee (Member)

All the members of the Committee are Non-executive and Independent

Directors.

iii) Meetings and Attendance

During the period ended on 31st March, 2013, four meetings were held on

13.05.2012, 13.08.2012,12.11.2012 and 12.02.2013

The attendance of the Audit Committee Members is as follows :

Name(s) Held Attended

Shri Amitabha Mukherjee 04 04

Shri Sanjay Khanna 04 04

Shri B.B Bhattacharya 04 -

In pursuance of the SEBI (Prohibition of Insider Trading) Regulations, 1992

(duly amended), the Board has approved the code of conduct for prevention

of Insider Trading “and authorised Committee to implement and monitor the

various requirements as set out in the code.

4) Remuneration Committee Remuneration Committee has been constituted to consider the policy and the matters

relating to the remuneration of Managerial persons.

The Composition of the Remuneration Committee is as under :

Name of the Director Category Position in the Committee

Shri Amitabha Mukherjee Non- Executive and

Independent

Chairman

Shri Sanjay Khanna -DO- Member

Shri B.B Bhattacharjee -DO- Member

Remuneration Committee met on 27.08.2011. All the members of the committee were

present.The committee took note that during the year:

(i) No remuneration was paid to any director of the company.

(ii) No Directors’ fee for attending meeting of the Board or its committee was paid.

Pecuniary relationship or transactions of the non-executive Directors of the

Company : NIL

5) Shareholder/Investor Grievance Committee

The Shareholder/Investor Grievance Committee consists of non executive

independent Directors namely Shri Amitabha Mukherjee as chairman and Shri B.B

Bhattacharjee and Shri Sanjay Khanna as members.

The Committee reviews the redressing of shareholders and investors complaints

regarding transfer and dematerialization of shares, non-receipt of Annual Reports,

besides complaints from SEBI, Stock Exchanges, Court, ROC and various

Investor Forums. The committee also oversees the performance of Registrar and

Transfer Agents and recommends measures for overall improvement in the quality

of service to the investors.

The Board has designated Sri Tapan Paul as Compliance officer of the Company.

There was one complaint outstanding at the beginning of the year.During the

year six complaints were received and attended.There was no complaint

outstanding as on 31.03.2013.No request for transfer of shares physical or

electronic was pending as on 31.03.2013.

In pursuance of Clause 47(f) of the listing agreement, the company has displayed

email ID [email protected] in the Website for the purpose of

registering complaints by investors and also to take necessary follow up action.

6) Code of Conduct The Company has already adopted a Code of Conduct which was made applicable

to all its directors, whether executive or non-executive and all Senior Management

Personnel of the Company. All Board members and Senior Management personnel

have affirmed compliance with the Company’s code of conduct during the period. A

certificate pursuant to Clause 49(v) of the listing agreement and a declaration to

the effect that all Board members and senior management personnel have

complied with the Company’s code of conduct during the year under review by the

Chairman and Managing Director of the Company duly signed by them, is annexed

and forms part of the Report. The aforesaid code of conduct has been posted on

the website of the Company.

7) Risk Management The company has laid down procedures to inform Board of Directors about the risk

assessment and minimisation procedures.

8) General Body Meetings 8.1 Location and time for last three Annual General Meeting held :

Year Location Date Day Time

2009-2010 Company’s Registered Office

at Falta Industrial Growth

Centre, Sector-III, Falta, Dist.

24 Parganas(S), West Bengal

30.09.2010 Thursday 10.00 a.m

2010-2011 -DO- 29.09.2011 Thursday 10.00 a.m

2011-2012 -DO- 28.09.2012 Friday 10.00 a.m

8.2 Whether special resolutions were put through postal ballot, last year? : No

8.3 Are votes proposed to be conducted through postal ballot, this year?: No

8.4 One Extra ordinary general meeting during last 3 financial years:

27.06.2011

9) Disclosures a. Disclosure on materially significant related party transactions i.e.

transactions of the Company of material nature, with any of the related

parties that may have potential conflict with the interest of the Company

at large, other than in the normal course of business. The transactions

undertaken during the year have been disclosed in Note No of Notes

on significant Accounting Policies and Financial Statement.

b. There was no penalties, strictures imposed on the Company by stock

Exchanges or SEBI or any Statutory Authority on any mater related to

Capital Market during the last 3 years.

c. The Company duly complies with all the mandatory requirements of

Clause 49 of the Listing Agreement with the Stock Exchange. However,

the Company has not adopted the non-mandatory requirements defined

therein except formation of remuneration committee.

10) Means of communication

i) Quarterly results are published in leading newspaper such as, The

Eco of India (English) and Duranto Barta/Newz Bangla (Regional

Newspaper).

ii) The quarterly and yearly financial results of the company are

immediately sent to the Stock Exchange(s) at which the Company’s

shares are listed.

iii) The Management Discussion and Analysis forms a part of this

Annual Report.

11) General Shareholder Information

a) Annual General Meeting Date and Time : 28th September, 2013 at 10.00 a.m.

Venue : Falta Industrial Growth Centre,

Sector–III, Falta,

Dist. 24-Parganas(S),

West Bengal, Pin – 743504

b) Financial calendar (tentative) for the year 2013-14

Results for quarter ending:

30th June, 2013 : 2nd week of August, 2013

30th September, 2013 : 2nd week of November, 2013

31st December, 2013 : 2nd week of February, 2014

31st March,2014 : 2nd week of May, 2014

c) Book closure Date : 18th September, 2013 to

28th September, 2013 (both

days inclusive) - Books

closing once in a year at the

time of Annual General

Meeting.

d) Dividend payment date :No Dividend has been

proposed

e) Listing of Equity Shares

on Stock Exchanges at : Bombay Stock Exchange

Listing fees for the year 2013-2014 has been paid to Bombay Stock

Exchange.

f) (i) Stock Code :

Bombay Stock Exchange : 514199

(ii) Demat ISIN No. in NSDL and : INE 653 B01016

CDSL for Equity Shares.

g) Stock Market Data: Company’s Equity Shares were traded in

Mumbai Stock Exchange as under:

h) Registrar and Transfer Agents: NICHE TECHNOLOGIES PVT LTD.

D-511, Bagre Market

71, B.R.B. Basu Road

KOLKATA – 700 001

Phones: 2235-7270/ 7271/ 3070, 2234-3576/2318

Fax: 033 22156823

MMONTHS

BOMBAY STOCK EXCHANGE

Month’s Higher Price

Rate (Rs.)

Month’s low Price Rate

(Rs.)

April, 2012 1.42 1.24

May, 2012 1.47 1.34

June, 2012 - -

July, 2012 1.54 1.29

August, 2012 1.35 1.17

September, 2012 1.40 1.22

October, 2012 1.30 1.24

November, 2012 1.32 1.10

December, 2012 2.88 1.38

January , 2013 3.05 2.90

February,2013 3.00 2.60

March,2013 2.90 2.05

i) Share Transfer System : Presently, the shares received in

physical form for transfer are returned

within a period of 15 days from the

date of receipt, subject to the

documents being valid and complete in

all respects.The Company obtains a

certificate on each half year from a

company secretary in practise in

respect of Compliance with the share

transfer formalities as required under

Clause 47(c) of the listing agreement

with Stock Exchange and files a copy

of the certificate with the stock

Exchange within the prescribed time

limit. As regards shares held in

Electronic form, the credit being given

as per guide lines by laws issued by

SEBI/NSDL/CDSL.

j) A) Share holding pattern as on 31st March, 2013

B) Distribution of shareholding as on 31st March, 2013

No. of shares held No. of

shareholders

% of

share

holders

No. of

Shares

issued

Equity

% of

Shareholding

1-500 11619 93.1906 1636823 23.4598

501-1000 486 3.8980 429377 6.1540

1001-5000 280 2.2457 663841 9.5145

5001-10000 33 0.2647 232495 3.3322

10001 - 50000 36 0.2887 723430 10.3686

50001 – 100000 5 0.0401 414056 5.9345

100001 and above 9 0.0722 2877118 41.2364

TOTAL 12468 100.0000 6977140 100.0000

k) Dematerialization of shares and liquidity

The Shares of the Company are compulsory traded in demat form. The

Company has arrangements with both National Depositories Ltd. (NSDL) and

Central Depository Services (India) Limited (CDSL) to establish electronic

Sl.

No.

Category No. of

shares(issued

Equity)

Percentage

1. Promoters 2603146 37.310

2. Banks, Indian Financial Institutions,

Central/State Govt. Institutions,

Mutual Funds etc.

609900 8.741

3. NRI/OCB 300 0.004

4. Others 3763794 53.945

6977140 100.00

connectivity of our shares for scripless trading. As on 31.03.2013 45.74%

shares of the company were held in dematerialized form.

The shares of the company are actively traded in the Bombay Stock Exchange

(BSE).

l) Outstanding GDR/ADR/Warrants

or any Convertible investements,

Conversion Date and impact

on Equity. : Not applicable

m) Plant location :Falta Industrial Growth Centre,

Sector–III,Falta,

Dist. 24-Parganas (South),

West Bengal.

n) Investor’s correspondence for transfer/ : Secreterial Department

dematerialization of shares and any other Bala Techno Industries ltd.

query relating to the shares, Annual P-22, C.I.T. Road,

Report etc. Scheme -55

Kolkata – 700 014.

The above report was adopted by the Board of Directors at their meeting held on

27th August, 2013.

For AND ON BEHALF OF THE BAORD

Place: Kolkata C.P.Mehra Ashok Mehra

Date: 27th August,2013 Chairman Managing Director

Compliance Certificate on the corporate governance :

The certifcate dated 27th August,2013 obtained from the Company Secretaries, S.A

& ASSOCIATES confirming compliance with the corporate governance

requirements as stipulated under clause 49 of the listing agreement is annexed

hereto.

CERTIFICATE FROM COMPANY SECRETARIES ON COMPLIANCE WITH THE

CONDITIONS OF CORPORATE GOVERNANCE UNDER CLAUSE 49 OF THE

LISTING AGREEMENT(S)

To,

The Members of Bala Techno Industries Ltd.

1) We have reviewed the implementation of Corporate Governance by Bala Techno

Industries Limited during the year ended on 31st March, 2013 with the relevant

records and documents maintained by the company, furnished to us for our

review and report on Corporate Governance as approved by the Board of

Directors.

2) The compliance of conditions on Corporate Governance is the responsibility of

the management. Our examination was limited to review of procedures and

implementation thereof, adopted by the Company for ensuring the Compliance

of the conditions of the Corporate Governance. It is neither an audit nor an

expression of opinion on the financial statements of the Company.

We further state that such compliance is neither an assurance as to the future

viability of the Company nor the efficiency or effectiveness with which the

Management has conducted the affairs of the Company.

3) We state that no investor grievances are pending for a period exceeding one

month against the Company as per the records maintained by the

shareholders/Investors Grievance Committee.

4) On the basis of our review and according to the information and explanations

provided to us, the conditions of Corporate Governance as stipulated in Clause

49 of the Listing Agreement(s) with the Stock Exchanges have been complied

with in all material respect by the Company.

For S.A & ASSOCIATES

COMPANY SECRETARIES

Place : ‘SWASTIK’ 334/157

Jessore Road, S.N- 8 (Ground Floor)

Kolkata – 700 089 (SHIPRA AGARWAL)

Date: 27thAugust,2013 Proprietor

CP No. 3173

CEO AND CFO CERTIFICATION

We, C.P. Mehra, Chairman and Ashok Mehra, Managing Director of the Company,

responsible for overall financial functions, certify that :

a) We have reviewed the financial statements and cash flow statements for the

year ended 31st March, 2013 and to the best of our knowledge and belief :

i) these statements do not contain any materially untrue statement or

omit any material fact or contain statement that might be

misleading;

ii) these statements together present a true and fair view of the

Company’s affairs and are in compliance with existing Accounting

Standards, applicable laws and regulations.

b) To the best of our knowledge and belief, no transactions entered into by the

Company during the year ended 31st March, 2013 are fraudulent, illegal or

violative of the Company’s code of conduct.

c) We accept responsibility for establishing and maintaining internals controls for

financial reporting and we have evaluated the effectiveness of internal control

systems of the Company pertaining to financial reporting. Deficiencies in the

design or operation of such internal controls, if any, of which we are aware

have been disclosed to the auditors and the Audit Committee and steps have

been taken to rectify these deficiencies.

d) i) There has not been any significant change in internal control over

the financial reporting during the year under reference;

ii) There has not been any significant change in accounting policies

during the year requiring disclosure in the notes to the financial

statements; and

iii) We are not aware of any instance during the year of significant

fraud with involvement therein of the management or any employee

having a significant role in the Company’s internal control system

over financial reporting.

e) Further, we declare that all Board Members and Senior Management personnel

have affirmed compliance with the code of conduct during the year under

review.

Place:Kolkata, C.P MEHRA ASHOK MEHRA

Date:27th August 2013 Chairman Manaing Director

MANAGEMENT DISCUSSION AND ANALYSIS INDUSTRY STRUCTURE AND DEVELOPMENT The fabric industry comprises of powerlooms, mills and hosiery (knitting units).It can be divided into organized sectors. The mills make up the organized sector, while the unorganized sector includes the decentralized power loom segment and the hosiery segment. Special Narrow Woven Fabric is part of the powerloom industry and it caters to various segments of the knit industry and the end use comprises garments which are manufactured domestically and ultimately exported to various countries including USA, Europe and Middle East. Further, the knit industry is a growth industry and is positively affected by opening up the WTO with effect from 1st January, 2005.

1. RAW MATERIALS The raw materials used in manufacturing of fabrics, special fabrics, elastic tapes are cotton yarn, polyester yarn, synthetics yarn and rubber thread. Cotton yarn and polyester yarn are abundantly available throughout the country and the capacity of spinning mills which manufacture such cotton and synthetic yarn have increased manifold in recent years. Rubber thread is also manufactured and produced within the country. 2. OUTLOOK

The fabrics and the products produced by the company are used for the garment industry and garment industry of India has increased manifold. On account of the decrease in costs in the country and gradual increase of cotton crop on an annual basis, scope for fabrics and garments export are progressively improving. 3. OPPORTUNITY & THREATS

Opportunities are that, being part of the Textile Industry, the TUF subsidy is available for the industry which helps to compete with competing countries.

Opportunities are arising out of the WTO opening of the quotas to USA and the increasing demand of garments from USA & Europe. The threats would be from other competitive countries like Vietnam, china and Bangladesh.

4. SEGMENT – WISE OR PRODUCT – WISE PERFORMANCE

The Company is mainly engaged in the business in the manufacture of fabric and narrow elastic tape.

5. INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

The company has a proper and adequate internal control system to ensure that all assets are safeguarded and protected against loss from unauthorized use or disposition and that transactions are authorized, recorded and reported correctly.

The internal control is supplemented by an extensive programme of internal audits,

review by management and documented policies, guidelines and procedures. The internal control is designed to ensure that the financial and other records are reliable for preparing financial statements and other data, and for maintaining accountability of assets.

6. FINANCIAL AND OPERATIONAL PERFORMANCE

Please refer Board’s Report on performance review.

7. MATERIAL DEVELOPMENTS IN HUMAN RESOURCES/ INDUSTRIAL RELATIONS FRONT, INCLUDING NUMBER OF PEOPLE EMPLOYED

The Company recognized the importance and contribution of its human resources for its growth and development and is committed to the development of its people. The company has been adopting methods and practices for Human Resources Development. With utmost respect to human values, company served its human resources with integrity, through a variety of services by using appropriate training, motivation, techniques and employee welfare activities. Industrial relations were cordial and satisfactory.

8. CAUTIONERY STATEMENT

Statements made in this report describing the Company’s projections, estimates,

expectations or predictions may be forward looking predictions within the meaning of applicable securities laws and regulations. Actual result may differ from such estimates, projections etc. whether expressed or implied. Factors which would make a significant difference to the company’s Operations include availability of quality yarn, and rubber thread, and market prices in the domestic and overseas market, changes in govt. regulations and tax laws, economic conditions affecting demand/ supplies and other environmental factor over which the company does not have any control.

U . N A R A I N & C O .

Chartered Accountants 3 5 , Chi t ta ran ja n Avenue, Thacke r House ,

5 t h F loo r , Room No. 25/6, Ko lka ta – 700012.

Page 1 of 5

Independent Auditors’ Report to the Members of Bala Techno Industries Limited Report on the Financial Statements We have audited the accompanying financial statements of Bala Techno Industries Limited (“the Company”) which comprise the Balance Sheet as at 31 March 2013, the Statement of Profit and Loss and the Cash Flow Statement for the year then ended and a summary of significant accounting policies and other explanatory information. Management’s Responsibility for the Financial Statements Management is responsible for the preparation of these 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 Accounting Standards referred to in sub-section (3C) of section 211 of the Companies Act, 1956 (“the Act”). This responsibility includes the design, implementation and maintenance of internal control relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error. Auditors’ Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with the Standards on Auditing issued by the Institute of Chartered Accountants of India. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Company’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Opinion In our opinion and to the best of our information and according to the explanations given to us, the aforesaid 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: i. in the case of the Balance Sheet, of the state of affairs of the Company as at 31 March 2013;

ii. in the case of the Statement of Profit and Loss, of the profit for the year ended on that date; and

iii. in the case of the Cash Flow Statement, of the cash flows for the year ended on that date.

U . N A R A I N & C O .



Page 2 of 5

Report on Other Legal and Regulatory Requirements 1. As required by the Companies (Auditor’s Report) Order, 2003 (“the Order”), as amended, issued

by the Central Government of India in terms of sub-section (4A) of section 227 of the Act, we give

in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the Order.

2. As required by section 227(3) of the Act, we report that:

a. we have 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 appears from our examination of those books;

c. the Balance Sheet, Statement of Profit and Loss and Cash Flow Statement dealt with by this

Report are in agreement with the books of account;

d. in our opinion, the Balance Sheet, Statement of Profit and Loss and Cash Flow Statement

comply with the Accounting Standards referred to in sub-section (3C) of Section 211 of the

Act; and

e. on the basis of written representations received from the directors as on 31 March 2013, and

taken on record by the Board of Directors, none of the directors is disqualified as on 31 March

2013, from being appointed as a director in terms of clause (g) of sub-section (1) of Section 274

of the Act.

For U. Narain & Co. Chartered Accountants FRN: 000935C ( J. P. Agarwal) Partner

Membership No. 54090 Place: Kolkata Date: 27th May 2013

U . N A R A I N & C O .



Page 3 of 5

ANNEXURE TO INDEPENDENT AUDITORS' REPORT

(Referred to in paragraph 1 under the heading “Report on other Legal and Regulatory requirements” of our report of even date) (i)

a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.

b) All of the fixed assets have not been physically verified by the management during the year but there is a regular programme of verification which, in our opinion, is reasonable having regard to the size of the company and the nature of its fixed assets. No material discrepancies were noticed on such verification.

c) During the year, there is no substantial disposal of fixed assets which would affect the going status of the company.

(ii)

a) The inventory has been physically verified during the year by the management. In our opinion, the frequency of verification is reasonable.

b) The procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the company and the nature of its business.

c) The company is maintaining proper records of inventory. The discrepancies noticed on verification between the physical stock and the book records were not material.

(iii)

a) The Company has not granted any loan, secured or unsecured to companies, firms or other parties covered in the register maintained under Section 301 of the Companies Act, 1956.

b) In view of clause (iii) (a) above, clause (iii)(b) is not applicable. c) In view of clause (iii) (a) above, clause (iii)(c) is not applicable. d) In view of clause (iii) (a) above, clause (iii)(d) is not applicable. e) The Company has not taken any Unsecured loan, secured or unsecured from companies,

firms or other parties covered in the register maintained under section 301 of the Companies Act, 1956.

f) In view of clause (iii) (e) above, clause (iii)(f) is not applicable. g) In view of clause (iii) (e) above, clause (iii)(g) is not applicable.

(iv) In our opinion and according to the information and explanations given to us, there are adequate

internal control procedures commensurate with the size of the Company and the nature of its business with regard to purchase of inventory, fixed assets and with regard to sale of goods and job work. During the course of our audit, we have not observed any continuing failure to correct major weaknesses in internal controls.

(v)

a) According to the information and explanations given to us, we are of the opinion that the transactions that need to be entered into the register maintained under Section 301 of the Companies Act, 1956 have been so entered.

U . N A R A I N & C O .



Page 4 of 5

b) In our opinion and according to the information and explanations given to us, the transactions made in pursuance of contracts or arrangements entered in the register maintained under Section 301 of the Companies Act, 1956 and exceeding the value of rupees five lakhs in respect of any party during the year have been made at prices which are reasonable having regard to prevailing market prices at the relevant time.

(vi) The Company has not accepted any deposits from the public. (vii) In our opinion, the Company has an internal audit system commensurate with the size and

nature of its business. (viii) According to information and explanations given to us, the Company has not maintained cost records under Section 209 (1) (d) of the Companies Act, 1956 as per the Companies (Cost Accounting Records) Rules, 2011. (ix)

a) The Company has been generally regular in depositing with appropriate authorities undisputed statutory dues including Provident Fund, Employees' State Insurance, Income Tax, Sales Tax, wealth tax, Service tax, Custom Duty, Excise Duty, cess and other statutory dues applicable to it excepting service tax on transport payments. There are no arrears of outstanding statutory dues at 31st March 2013 for a period of more than six months from the date they become payable.

b) According to information and explanations given to us, there are no disputed amounts

payable in respect of Income Tax, wealth tax, Service tax, Sales Tax, Custom Duty and Excise Duty at the year end on 31st March, 2013.

(x) In our opinion, the company does not have any accumulated losses at the end of the financial

period. The company has not incurred cash losses during the financial period covered by our audit and also in the immediately preceding financial period.

(xi) In our opinion and according to information and explanations given to us, the company has not

defaulted in repayment of dues to bank. We have been informed that the company has no dues to any financial institution nor has it issued any debentures.

(xii) According to information and explanations given to us the company has not granted loans and

advances on the basis of security by way of pledge of shares, debentures and other securities. (xiii) In our opinion, the company is not a chit fund or a nidhi/mutual benefit fund/society.

Therefore, clause 4(xiii) of the Companies (Auditor's Report) Order, 2003 are not applicable to the company.

(xiv) In our opinion, the company is not dealing in or trading in shares, securities, debentures and

other investments. Accordingly, the provisions of clause 4(xiv) of the Companies (Auditors Report) Order, 2003 are not applicable to the company.

(xv) According to the information and explanations given to us, the company has not given any

guarantees for loans taken by others from banks or financial institutions.

U . N A R A I N & C O .



Page 5 of 5

(xvi) According to the information and explanations given to us, the company has availed term loans during the year. In our opinion on overall basis, the term loans have been applied for the purpose for which they were obtained.

(xvii) According to the information and explanations given to us and on an overall examination of

the Balance Sheet of the company, we report that no funds raised on short-term basis have been used for long-term investment.

(xviii) According to the information and explanations given to us, the company has not made any

preferential allotment of shares to parties or companies covered in the register maintained under Section 301 of the Act.

(xix) The company does not have any outstanding debentures during the year. (xx) The company has not raised any money through a public issue during the year. (xxi) According to the information and explanations given to us, no fraud on or by the company has

been noticed or reported during the course of our audit.

For U.NARAIN & CO. Chartered Accountants

FRN:- 000935C (J.P.Agarwal) Partner M. No - 054090 Place: Kolkata Date : 27th May 2013

BALA TECHNO INDUSTRIES LTD.

Balance Sheet as at 31st March, 2013 (Amount in Rupees)

Particulars Note No. As at 31.03.2013 As at 31.03.2012

EQUITY AND LIABILITIESShareholders' Funds

Share Capital 2 85,021,400 85,021,400Reserves & Surplus 3 36,037,565 35,395,370

Non-Current LiabilitiesLong Term Borrowings 4 1,471,167 2,413,160Long Term Provisions 4A 1,561,892 1,211,776

Current LiabilitiesShort Term Borrowings 5 266,391,476 266,761,100Trade Payables 6 289,370,638 301,422,213Other Current Liabilities 7 3,500,040 3,907,910

TOTAL 683,354,178 696,132,928

ASSETSNon-Current Assets

Fixed Assets - Tangible 8 55,284,455 61,279,630Non-Current Investments 8A 20,671,700 20,671,700Deffered Tax Assets (Net) 9 (2,395,594) (3,209,266)Long Term Loans and Advances 10 70,699,345 71,653,653Other Non Current Assets 11 4,818,593 15,434,447

Current AssetsInventories 12 205,509,271 208,942,301Trade Receivables 13 302,080,200 301,099,914Cash and Cash Equivalents 14 18,075,158 12,960,953Short Term Loans and Advances 15 7,720,419 6,541,147Other Current Assets 16 890,631 758,449

TOTAL 683,354,178 696,132,928

Notes to the Accounts & Significant Accounting Policies 1 to 43

As per our annexed report of even date.For U. NARAIN & CO. For and on behalf of the BoardChartered AccountantsFRN : 000935C

[ J. P. Agarwal ] C.P. Mehra Ashok Mehra Partner Chairman Mg. Director Membership No. 54090

Place : KolkataDate : 27th May 2013


Statement of Profit and Loss for the year ended on 31st March, 2013 (Amount in Rupees)

Particulars Note No.Current Year

Ended on 31.03.2013

Previous Year Ended on 31.03.2012

Revenue from Operations 17 1,346,209,478 606,881,169Other Incomes 18 1,226,224 1,741,766

Total Revenue 1,347,435,702 608,622,935

Expenses :Cost of Material Consumed 19 86,717,411 53,331,982Purchase of Stock-in-Trade 20 1,083,047,601 399,070,313Changes in Inventories of Finished Goods,Work-in-Process & Stock-in-Trade 21 9,246,604 (1,701,536)Employee Benefit Expenses 22 26,846,444 23,388,532Finance Costs 23 47,345,764 49,204,617Depreciation 8 5,995,175 5,847,860Other Expenses 24 87,877,622 79,125,777

Total Expenses 1,347,076,621 608,267,544

Profit before Tax 359,079 355,391Tax Expenses :

Current Tax 530,556 529,853Deferred Tax (813,672) (661,928)

Profit / (Loss) for the year 642,195 487,466

Earning per Equity Share (Basic / Diluted) 25 0.09 0.07

Notes to the Accounts & Significant Accounting Policies 1 to 43

As per our annexed report of even date. For U. NARAIN & CO. For and on behalf of the BoardChartered AccountantsFRN : 000935C

[ J. P. Agarwal ] C.P.Mehra Ashok Mehra Partner Chairman Mg. Director Membership No. 54090


1. Significant Accounting Policies:

i. The accounts are prepared on the historical cost basis and on the accounting principles of going concern.

ii. Accounting policies not specifically referred to otherwise are consistent and in consonance

with generally accepted accounting principles.

iii. All the items of expenses and income are accounted on accrual basis except dividend income.

iv. The Fixed Assets of the company are valued at cost including related pre-operational

expenses and interest up to the date these are put to use. In case of revaluation of fixed assets, the original cost as written up by the approved valuer is considered in the accounts and the differential amount is credited to revaluation reserve.

v. Depreciation on fixed assets has been provided on straight-line method at the rates

prescribed in Schedule XIV of the Companies Act, 1956 on Pro-rata basis.

vi. The inventories are valued at lower of cost or net realisable value. vii. The transactions in relation to Foreign Currency remaining unsettled at the end of the year

are translated at year end rates and the Profit/Loss arising therefrom is taken to profit & loss account. Transactions in Foreign Currency are recorded in the books of account in rupees at the rate of exchange prevailing on the date of transaction.

viii. Contingent liabilities are not provided in the accounts but are disclosed by way of a note

in 'Notes on Accounts'

ix. Deferred revenue expenses are written off over a year of 10 years commencing subsequent to the year these are incurred.

x. Investments are accounted for at cost. Dividends are accounted for as and when received.

xi. State Capital investment subsidy is credited to capital reserve.

xii. Provision for current tax is made on the assessable income at the tax rate applicable to the

relevant assessment year. The Deferred tax Asset and Deferred tax Liability is calculated in terms of the Accounting Standard - 22 "Accounting for taxes on income" issued by the Institute of Chartered Accountants of India. Deferred tax Assets are recognised only if there is virtual certainty of its realisation, supported by convincing evidences.


Notes to Financial Statements (Amount in Rupees)As at 31.03.2013 As at 31.03.2012

NOTE NO. 2 : SHARE CAPITALAuthorised -70,00,000 (P.Y. 70,00,000) Equity Shares of Rs. 10/- each 70,000,000 70,000,000

2,50,000 (P.Y. 2,50,000) 15% Non-Cumulative Redeemable Preference 25,000,000 25,000,000Shares of Rs. 100/- each

95,000,000 95,000,000Issued, Subcribed and Fully Paid up -69,77,140 (P.Y. 69,77,140) Equity Shares of Rs.10/- each 69,771,400 69,771,400

1,52,500 (P.Y. 1,52,500) 15% Non-Cumulative Redeembale Preference Shares of Rs. 100/- each. 15,250,000 15,250,000

85,021,400 85,021,400

Terms/Rights attached to Equity Shares

The company has only one class of equity shares having a par value of Rs.10 per share. Each holder of equity shares is entitled to one vote per share.

In the event of liquidation of the company, the holders of equity shares will be entitled to receive remaining assets of the company,after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

Terms/Rights attached to Non-Cumulative Redeemable Preference Shares

The company has only one class of Non-Cumulative Redeemable Preference Shares, having a par value of Rs.100 per share.

Redemption of fully paid Non-Cumulative Redeemable Preference shares shall be made within20 years from the date of issue. Such reedemption shall be made out of profits of the companywhich would otherwise be available for dividend i.e. out of general reserve created by ploughing backof distributable profits or may be made out of the proceeds of a fresh issue of shares made for the purpose of redemption.

Details of shareholders holding more than 5% in the company -

In Equity Shares

Name of the Shareholders Nos.% of Holding

Shares Nos. % of Holding SharesWest Bengal Development corpn.Ltd. 580000 8.31% 580000 8.31%

2012-2013 2011-2012



NOTE NO. 3 : RESERVES AND SURPLUS

CAPITAL RESERVEAs per last Balance Sheet 1,987,500 1,987,500

AMALGAMATION RESERVEAs per last Balance Sheet 6,845,216 6,845,216

STATEMENT OF PROFIT AND LOSS Balance as per last Balance Sheet 26,562,654 26,075,188Add: Profit/(Loss) for the year 642,195 487,466

27,204,849 26,562,654

36,037,565 35,395,370NOTE NO. 4 : LONG TERM BORROWINGS

Secured *Term Loans : - From Banks 971,167 1,413,160

971,167 1,413,160.00 Unsecured

- From Body Corporates 500,000 1,000,000500,000 1,000,000

1,471,167 2,413,160

* Term Loans are secured by paripassu first charge on all fixed assets of the company and paripassu secondcharge on all current assets of the company alongwith personal guarantee of the two directors, namely Mr. Ashok Mehra and Mr. C.P. Mehra.

Repayable in monthly instalments

NOTE NO. 4A : LONG TERM PROVISIONSProvision for Retirement Gratuity 1,561,892 1,211,776

1,561,892 1,211,776

NOTE NO. 5 : SHORT TERM BORROWINGSSecured **

Loans Repayable on Demand - From Banks Cash Credit from Bank 260,596,629 260,652,397 Overdraft in Current Account 5,794,847 2,215,323 Overdraft against lien of Fixed Deposits - 3,081,030 Foreign Bills Discounted with Banks - 812,350

266,391,476 266,761,100

** Cash Credit is secured by paripassu first charge created through hypothecation of company’s raw materials.Work-in-progress, finished goods, stores and spares meant for domestic sale and also by extension of charge(by way of second paripassu charge) over all fixed assets of the company alongwith personal guarantees of two directors, namely Mr. Ashok Mehra and Mr. C.P.Mehra.



NOTE NO. 6 : TRADE PAYABLESMicro, Small and Medium Enterprise * - - Others 284,960,812 296,968,005L.C. Acceptances due within normal operating cycle 4,409,826 4,454,208

289,370,638 301,422,213* There is no declaration received from vendor for being registered as Micro, Small & Medium Enterprise.

NOTE NO. 7 : OTHER CURRENT LIABILITIESCurrent Maturities of Long Term Loans - From Banks 441,993 398,954.00 Advances from Customers 1,416,167 2,249,430Outstanding for Expenses 1,641,880 1,259,526

3,500,040 3,907,910


Notes to Balance Sheet

Note No. 8 : Fixed Assets - Tangible

GROSS BLOCK DEPRECIATION NET BLOCKDescription As on 31.03.12 Addition DeductionAs on 31.03.2013 As on 31.03.12 Provided Deduction As on 31.03.2013 As on 31.03.2013 As on 31.03.12

Lease hold lands 3897844.72 - - 3897844.72 - - - - 3897844.72 3897844.72

Factory Building 14507636.21 - - 14507636.21 5121632.36 484555.05 - 5606187.41 8901448.80 9386003.85

Plant & Machinery 113812496.35 - - 113812496.35 69753709.04 5129021.28 - 74882730.32 38929766.03 44058787.31

Electrical Installation 2638139.98 - - 2638139.98 1116781.31 88113.88 - 1204895.19 1433244.79 1521358.67

Furnitures & Equipments 1858792.50 - - 1858792.50 1780914.95 65300.34 - 1846215.29 12577.21 77877.55

Motor Car 2611992.00 - - 2611992.00 274233.85 228184.21 - 502418.06 2109573.94 2337758.15

Scooter 13960.00 - - 13960.00 13960.00 - - 13960.00 - -

139340861.76 0.00 - 139340861.76 78061231.51 5995174.76 - 84056406.27 55284455.49 61279630.25

(Previous Year) 132219784.41 7121077.35 - 139340861.76 72213371.28 5847860.23 - 78061231.51 61279630.25

8A. NON-CURRENT INVESTMENTS

INVESTMENTS IN EQUITY INSTRUMENTSAS AT AS AT

Quoted Shares 31.03.2013 31.03.2012 435300 Equity shares of Bala Techno Global Ltd. 8271700.00 8271700.00 of Rs.10/- each fully paid up [Market value Rs.2442033/-, P.Y. Rs.3369222/-] Unquoted Shares

1240000 Equity Shares of Texas Textile & Industries Ltd. 12400000.00 12400000.00 of Rs. 10/- each fully paid up

20671700.00 20671700.00



NOTE NO. 9 : DEFERRED TAX ASSET (NET)Deferred Tax Asset

Other Timing Differences 482,624 374,439482,624 374,439

Less : Deferred Tax LiabilityDepreciation on Fixed Assets 2,878,218 3,583,705

(2,395,594) (3,209,266)

NOTE NO. 10 : LONG TERM LOANS AND ADVANCES (Unsecured and Considered Good)

Balances with Govt. Authorities 313,090 198,852Deposits 16,636,114 16,636,114Advances Recoverable in Cash or Kind 53,750,142 54,818,688

70,699,345 71,653,653

NOTE NO. 11 : OTHER NON-CURRENT ASSETSFixed Deposit With Banks 4,818,593 15,434,447(Maturity above one year) 4,818,593 15,434,447

NOTE NO. 12: INVENTORIES(as certified and valued by the management)

i) Raw materials 23,543,024 19,360,714 ii) Work-in-Process 6,316,125 7,043,513 iii) Finished goods 133,748,270 96,514,082 iv) Stock In Trade - Fabrics 28,181,859 73,935,263 v) Colours & Consumable 11,952,332 10,623,325 vi) Spare Parts 1,125,325 766,852 vii) Fuel 642,336 698,552

205,509,271 208,942,301

NOTE NO. 13 : TRADE RECEIVABLESSecured - Debts due for less than six months - 1,169,014Unsecured - Debts over six months 61,903,015 11,356,328 Other Debts 240,177,185 288,574,572

302,080,200 301,099,914



NOTE NO. 14 : CASH AND CASH EQUIVALENTSCash in hand (as certified by Management) 9,806,484 12,816,815Balances with Scheduled Banks - in Current Accounts 202,524 144,138 in Deposit Accounts (Maturity within three months) 3,463,562

13,472,570 12,960,953

in Deposit Accounts (Maturity after 3 months but within 12 months) 4,602,58818,075,158 12,960,953

NOTE NO. 15 : SHORT TERM LOANS AND ADVANCES (Unsecured and Considered Good)

Adavances for Supply of Materials 6,034,786 4,711,410Advance Income Tax (Net) 1,685,634 1,829,737

7,720,419 6,541,147NOTE NO. 16 : OTHER CURRENT ASSETS

Prepaid Expenses 283,133 255,560Other Receivables 607,498 502,889

890,631 758,449

Current Year Ended on 31.03.2013


NOTE NO. 17 : REVENUE FROM OPERATIONSExport Sales 2,424,439 3,687,597Domestic Sales 1,343,742,151 602,202,060Total Sales 1,346,166,590 605,889,657Exchange Gain/(Loss) due to fluctuation 42,888 (432,441)D.E.P.B. Licence - 1,423,953

1,346,209,478 606,881,169NOTE NO. 18 : OTHER INCOME

Interest on Bank Deposits 1,004,737 1,695,657Miscellaneous Income 221,487 46,109

1,226,224 1,741,766NOTE NO. 19 : COST OF MATERIAL CONSUMED

Opening Stock 19,360,714 17,812,148Add : Purchases 90,899,721 54,880,548Less : Closing Stock 23,543,024 19,360,714

86,717,411 53,331,982NOTE NO. 20 : PURCHASE OF STOCK-IN-TRADE

Purchase 1,083,047,601 399,070,3131,083,047,601 399,070,313

NOTE NO. 21. : CHANGES IN INVENTORIES OF FINISHED GOODS, WORK-IN-PROCESS & STOCK-IN-TRADE

Inventories (At Close)Finished Goods 133,748,270 96,514,082Work-in-Process 6,316,125 7,043,513Stock-in-Trade - Fabrics 28,181,859 73,935,263

Inventories (At Commentcement)Finished Goods 96,514,082 115,363,859Work-in-Process 7,043,513 6,055,716Stock-in-Trade - Fabrics 73,935,263 54,371,747

9,246,604 (1,701,536)


Notes to Financial Statements (Amount in Rupees)Current Year

Ended on 31.03.2013


NOTE NO. 22 : EMPLOYEE BENEFIT EXPENSESSalaries, Wages, Bonus etc. 25,534,987 22,131,235Contribution to PF & ESI 1,300,154 1,225,047Staff Welfare & Workmen 11,303 32,250

26,846,444 23,388,532NOTE NO. 23 : FINANCE COSTS

Interest Expense :Interest on Bank Borrowings 44,556,552 47,059,580Other Interest 313,346 338,573

44,869,898 47,398,153Other Borrowing Costs :

Discounting Charges 4,687 865,113Bank Charges 2,471,179 941,351

2,475,866 1,806,464

47,345,764 49,204,617NOTE NO. 24 : OTHER EXPENSES

Power, Fuel & Water 35,872,235 30,980,312Dyes, Chemicals & Consumables 25,300,454 21,406,600Spares & Maintanance 7,464,185 5,772,039Packing Materials 1,684,002 1,050,156Factory General & Other Expenses 5,377,886 3,609,483Land Maintenance, Rent, Rates & Taxes 61,616 70,808Insurance 379,134 341,720Lease Rental & Others 378,000 378,000Postage, telefax & telephones 231,538 132,151Printing & stationery 125,978 201,211Travelling & conveyance 372,767 295,411Advertising & marketing 574,442 1,135,599Transport, Coolie & Cartages, Clearing 2,777,824 1,977,045Discount, Brokerage & Commission 4,244,878 8,708,759Auditors' remuneration 168,540 168,540Repairs to Machineries & Others 8,396 181,132Miscellaneous Expenses 2,855,746 2,716,811

87,877,622 79,125,777

NOTE NO. 25 : EARNING PER SHAREIn terms of Accounting Standard – 20, “Earning Per Share” is as follows -

Net Profit after tax as per Statement of Profit and Loss 642,195 487,466attributable to Equity Shareholders (Rs.)

Weighted Average number of equity shares used as 6,977,140 6,977,140Denominator for calculating EPS

Face Value per Equity Share (Rs.) 10 10

Basic and Diluted Earnings per Share (Rs.) 0.09 0.07

26. Contingent Liabilities not provided for in respect of Bank Guarantees issued to: West Bengal State Electricity Board – Rs.743000/- (Previous year Rs.743000/-)

27. The break-up of Auditors' remuneration is as below:

Audit fees Rs. 56180 /- (Previous year Rs. 56180/-) Tax audit fees Rs. 112360 /-(Previous year Rs. 112360/-)

28. Sales are stated net of returns but includes VAT, if any.

29. 15% Non cumulative redeemable Preference Shares of Rs 100/- each are redeemable at

any time within a period of twenty years from the date of their issue. 30. In terms of Accounting Standard 17 of the Institute of Chartered Accountants of India,

Segment Information has not been given as Company has no reportable Business or Geographical segment.

31. No provision for Income Tax has been considered necessary as the Company has no

taxable income in the current year. However provision for minimum alternate tax under Income Tax Act has been made.

32. Deferred Tax:

As at As at 31.03.2013 31.03.2012 Rs. Rs.

Deferred Tax Liability : Depreciation on Fixed Assets 2878218 3583705 Deferred Tax Assets : Unabsorbed Depreciation/Business Losses Nil Nil Other Timing Differences 482624 374439 482624 374439 Net Deferred Tax Liability 2395594 3209266

33. Related Party disclosures as per Accounting Standard 18 are given below: (i) Name and description of relationship with the related parties. a) Key Management Personnel: Nature of Designation 1. Mr. Chandra Prakash Mehra : Chairman 2. Mr. Ashok Mehra: Managing Director b) Enterprises in which of key management personnel or their relatives exist: 1. Pacific Cotspin Ltd. 2. Bala Techno Global Ltd. 3. Atlantic Projects Ltd.

4. Techno Elastics 5. Techno Dyeing and Bleaching Works 6. Mehra Traders 7. Citidesk Finance Pvt.Ltd. 8. Cross Finance Pvt.Ltd. c) Other Related Parties 1. Kapil Mehra Note: Related Party relationship is as identified by the company and relied upon by the Auditors. (ii) Details of transactions with related parties:

(Figures in Rupees)

Nature of transaction

Key Management personnel

Enterprise in which key

management personnel or their

relatives exist

Other Reatives

Total

Sales

NIL (NIL)

407571065 (50000000)

NIL (NIL)

407571065 (50000000)

Purchases

NIL (NIL)

1083047601 (359479508)

NIL (NIL)

1083047601 (359479508)

Lease Rental & Re-imbursement

NIL (NIL)

25263996 (20765259)

NIL (NIL)

25263996 (20765259)

Management Fees

NIL (NIL)

187200 (187200)

NIL (NIL)

187200 (187200)

Salaries NIL (NIL)

NIL (NIL)

336000 (336000)

336000 (336000)

Investment in Shares

NIL (NIL)

8271700 (8271700)

NIL (NIL)

8271700 (8271700)

Debit Balance Lying

NIL (NIL)

75532904 (10174864)

NIL (NIL)

75532904 (10174864)

Credit balance Lying

550849 (550849)

246267363 (252996437)

NIL (NIL)

246818212 (253547286)

Figures in brackets are for the previous year.

34. On the basis of the information available with the Company there are no Small Scale Industries to whom the Company owes a sum exceeding Rs 100000/ which is outstanding for more than 30 days.

35. In the opinion of the Board and the best of their knowledge and belief the realisable amount

of Current Assets and Loans & Advances in the ordinary course of business would not be less than the amount at which they are stated in the Balance Sheet. However, the outstanding balances in respect of some of the Trade Receivables, Trade Payables and Loans and Advances are subject to confirmation and reconciliation, if any.

36. Additional depreciation of Rs. 2425263/- for current year (P.Y – Rs. 2425263/-) arising due to

revaluation of certain fixed assets is charged to Statement of Profit & Loss.

37 Manufacturing Activity

Quantity Value Quantity Value Quantity Value Quantity Value Mtrs. Rs. Mtrs. Rs. Kgs. Rs. Kgs. Rs. ------------ ------------- ------------- ------------- ----------- --------------- ----------- -------------

Opening Stock 21,780,659 96,514,083 24,244,721 115,363,859 - - - - Closing Stock 26,297,444 133,748,270 21,780,659 96,514,083 - - - - Sales 21,354,952 122,532,748 16,554,342 87,933,234 - - - -

Fabric Job Work - - - - 980,044 80,336,186 1,035,544 78,159,802

Quantity Value Quantity ValueKgs. Rs. Kgs. Rs.

38 Trading Activity ----------- --------------- ----------- ------------- Opening Stock 377,407 73,935,263 377,407 54,371,747 Closing Stock 120,407 28,181,859 377,407 73,935,263 Purchase 4,571,086 1,083,047,601 1,984,693 399,070,313 Sales 4,828,086 1,143,134,739 1,984,693 439,796,620 Shortage / Excess

QTY.(Kgs). VALUE(Rs). QTY.(Kgs). VALUE(Rs).39 Raw Materials Consumed

Yarns and Others 428,187 86,717,411 283,446 53,331,981

(Includes sale of 1674 kg.unusable materials for Rs. 162917/-)

40 Consumption of Raw Materials,Store & Others

Indigeneous Raw Materials 100% 86,554,494 100% 53,331,981 Imported Raw Materials - - - -

Imported Stores and Others - - - - Indigeneous Stores and Others 100% 7,464,185 100% 5,772,039 Indigeneous Dyes, Chemicals & Consumables 100% 25,300,454 100% 21,406,600

41 CIF Value of Imports Stores, Spares & Components - - - - Raw Materials - - - -

42 Earning in Foreign Currency FOB Value of Exports 2,424,439 3,687,597

43 Figures of the previous year have been regrouped and rear-ranged, wherever considered necessary.

As per our report attached By Order of the Board For U.NARAIN & CO. Chartered accountants FRN:-000935C

C. P. Mehra Ashok Mehra (J.P.AGARWAL) Chairman Mg. Director Partner Membership No:- 054090 Place:- Kolkata Date : 27th May 2013

CURRENT YEAR PREVIOUS YEARTAPE UNIT FABRIC MERCERISING UNIT

CURRENT YEAR PREVIOUS YEAR

CURRENT YEAR PREVIOUS YEAR

FABRICCURRENT YEAR PREVIOUS YEAR


Cash Flow Statement for the year ended on 31st March, 2013 (Amount in Rupees)

Current Year Previous YearEnded on Ended on31.03.2013 31.03.2012

A. CASH FLOW FROM OPERATING ACTIVITIESNet Profit /(Loss) before tax and extraordinary items 359,079 355,391Add Back : Depreciation 5,995,175 5,847,860 Finance Charges 47,345,764 49,204,617Operating Profit before Working Capital Changes 53,700,019 55,407,868Adjustment for : Trade Receivables (980,285) 139,175,931 Inventories 3,433,030 (3,404,496) Other Current & Non-Current Assets 5,881,084 8,155,874 Long Term & Short Term Loans and Advances (369,068) 2,014,507 Long Term Provisions 350,116 64,112 Trade Payables & Other Current Liabilities (12,459,444) (19,014,093)Cash Generated from Operation 49,555,452 182,399,703 Income Tax Paid (386,453) (552,164) Income Tax Refund - 458,437 Net Cash from Operating Activities 49,168,999 182,305,976

B. CASH FLOW FROM INVESTING ACTIVITIESPurchase of Fixed Assets - (7,121,077) (Including Capital Work in Progress)Net Cash used in Investing Activities - (7,121,077)

C. CASH FLOW FROM FINANCING ACTIVITIESProceeds from Long Term Borrowings (941,993) (586,840)Proceeds from Short Term Borrowings (369,624) (137,414,434)Finance Charges Paid (47,345,764) (49,204,617)Net Cash used in Financing Activities (48,657,382) (187,205,891)

NET INCREASE IN CASH AND CASH EQUIVALENTS 511,617 (12,020,992)

OPENING CASH AND CASH EQUIVALENTS 12,960,953 24,981,945

CLOSING CASH AND CASH EQUIVALENTS 13,472,570 12,960,953

Note : a. Figures in Brackets indicates Outflows.

b. Previous Years figures have been regrouped and rearranged whenever necessary.

As per our annexed report of even date.For U. NARAIN & CO For and on behalf of the BoardChartered AccountantsFRN : 000935C

[ J.P. Agarwal ] C.P. Mehra Ashok Mehra Partner Chairman Mg.Director Membership No. 54090


BALA TECHNO INDUSTRIES LIMITED Registered Office : Falta Industrial Growth Centre, Sector III,

Falta, Dist: 24 Parganas (South), West Bengal

PROXY

Folio No. DPID No. Client ID No. No. of Shares I/We of being a member / members of BALA TECHNO INDUSTRIES LIMITED hereby appoint_______________ of or failing him of or failing him of As my/our proxy to attend and vote for me/us on my/our behalf at the 22nd Annual General Meeting to be held on Saturday, the 28th September, 2013 at 10.00 a.m. at Company’s Registered Office at Falta Industrial Growth Centre, Sector III, Falta, Dist. 24 Parganas (South), West Bengal and at any adjournment thereof. Signed this day of 2013 Signature Note : i) The Proxy must be deposited at the Registered Office of the Company not less

than 48 hours before the time fixed for holding the meeting. ii) The form should be signed across the Stamp as per specimen signature registered. iii) A Proxy need not be a member.

BALA TECHNO INDUSTRIES LIMITED

A T T E N D A N C E S L I P

PLEASE COMPLETE THIS ATTENDANCE SLIP AND HAND IT OVER AT THE ENTRANCE OF THE MEETING HALL. ONLY MEMBERS OR THEIR PROXIES / REPRESENTATIVES ARE ENTITLED TO BE PRESENT AT THE MEETING. Folio No. DPID No. Client ID No. No. of Shares Name of the Shareholder/s (in block letters) : ……………………………………………………………… Name of the Proxy/Representative (in block letters) :………………………………………………………. (to be filled in if the Proxy/Representative attends instead of Member/s). ………………………………………………………….. I/We hereby record my presence at the 22nd Annual General Meeting of the Company being held on Saturday, the 28th September, 2013 at 10.0 0 a.m. at Company’s Registered Office at Falta Industrial Growth Centre, Sector III, Falta, Dist 24 Parganas (South), West Bengal. SIGNATURE OF THE SHAREHOLDER/PROXY/REPRESENTATIVE …………………………………… Notes: i) A member/Proxy/Representative wishing to attend must complete this Attendance Slip and hand it over at the entrance.

ii) The Attendance Slip should be signed at the time of handing over the slip.

One Rupee Revenue Stamp

If undelivered please return to :

Bala Techno Industries Limited

Corporate office:

P-22,C.I.T Road Scheme- 55,

Calcutta 700014

bala techno industries limited - bombay stock exchangetechno industries limited will be held at...

Documents