-i sarthak metals limitedref: bse security code 540393 please find enclosed the annual report for...
TRANSCRIPT
![Page 1: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/1.jpg)
�ARTHAK
-i ,
An ISO 9001 : 2008 Certified Co.
CIN-L51102CT1995PLC009772
Head Office :
BBC Colony, G.E. Road, P.O. : Khursipar, Bhilai - 490 011 (C.G.) Contact : +91 91 1101 5041 Landline : +91 788 2296495, 2296499 Telefax : +91 788 2225874 E-mail : [email protected]
Works:
17 - N, Heavy Industrial Area,
hathkhoj, Bhilai - 490 026 (C.G.) Contact: +91 91 1101 5042 Web : www.sarthakmetals.com
SARTHAK METALS LIMITED (Formerly : Sarthak Metals Marketing Private Limited)
Date: 14.09.2018
To, The SecretaryBombay Stock Exchange Limited25th Floor, Phiroz Jeejeebhoy TowersDalal StreetMumbai- 400001
Dear Sir/Madam,
Subject: Submission of Annual Report as per Regulation 34 of SEBI (Listing Obligation And Disclosure requirements) Regulations, 2015.
Ref: BSE Security Code 540393
Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation and Disclosure requirements) Regulations, 2015 duly approved and adopted as per the provisions of the Companies Act, 2013.
This is for your information and record.
Kindly acknowledge the receipt.
Thanking You,Yours faithfully,For Sarthak Metals Limited
Itika SinghalCompliance Officer & Company Secretary
![Page 2: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/2.jpg)
20172018ANNUAL REPORT
![Page 3: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/3.jpg)
SarthakMetalsLimited|AnnualReport201718
BOARDOFDIRECTORS
Mr.AnoopKumarBansal : ChairmanandManagingDirector
Mr.MayurBhatt : WholeTimeDirector
Mr.SanjayShah : WholeTimeDirector
Mr.ChetanKumar : NonExecutiveIndependentDirector
Mrs.RamaKohli : NonExecutiveIndependentDirector
Mr.KishoreKumarBansal : NonExecutiveNonIndependentDirector
CHIEFFINANCIALOFFICER
Mr.AnirudhSinghal
Mrs.ItikaSinghal
Begani&Begani
CharteredAccountants
2ndFloor,C34/1,
TagoreNagar,
Raipur(C.G.)492001
BANKERS
StateBankofIndia
ICICIBankLimited
AxisBank
REGISTEREDOFFICE
B.B.C.Colony,G.E.Road,Khursipar
Bhilai–490011,
Chhattisgarh,India
COMPANYSECRETARYANDCOMPLIANCEOFFICER
STATUTORYAUDITORS rd23 ANNUALGENERALMEETING
DAY,DATE,TIME
Friday,14thSeptember2018at11A.M.
ANNUALGENERALMEETIGVENUE
B.B.C.Colony,G.E.Road,Khursipar,
Bhilai–490011,Chhattisgarh,India
07thSeptember2018to
14thSeptember2018
BOOKCLOSURE
BigShareServicesPrivateLimited
1stFloor,BharatTinWorksBuilding,Opposite
VasantOasisApartments(NexttoKeysHotel),
MarolMaroshiRoad,AndheriEast,Mumbai400059
REGISTRAR&TRANSFERAGENT
www.sarthakmetals.com
WEBSITE
![Page 4: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/4.jpg)
SarthakMetalsLimited|AnnualReport201718
BOARDOFDIRECTORS
Mr.AnoopKumarBansal : ChairmanandManagingDirector
Mr.MayurBhatt : WholeTimeDirector
Mr.SanjayShah : WholeTimeDirector
Mr.ChetanKumar : NonExecutiveIndependentDirector
Mrs.RamaKohli : NonExecutiveIndependentDirector
Mr.KishoreKumarBansal : NonExecutiveNonIndependentDirector
CHIEFFINANCIALOFFICER
Mr.AnirudhSinghal
Mrs.ItikaSinghal
Begani&Begani
CharteredAccountants
2ndFloor,C34/1,
TagoreNagar,
Raipur(C.G.)492001
BANKERS
StateBankofIndia
ICICIBankLimited
AxisBank
REGISTEREDOFFICE
B.B.C.Colony,G.E.Road,Khursipar
Bhilai–490011,
Chhattisgarh,India
COMPANYSECRETARYANDCOMPLIANCEOFFICER
STATUTORYAUDITORS rd23 ANNUALGENERALMEETING
DAY,DATE,TIME
Friday,14thSeptember2018at11A.M.
ANNUALGENERALMEETIGVENUE
B.B.C.Colony,G.E.Road,Khursipar,
Bhilai–490011,Chhattisgarh,India
07thSeptember2018to
14thSeptember2018
BOOKCLOSURE
BigShareServicesPrivateLimited
1stFloor,BharatTinWorksBuilding,Opposite
VasantOasisApartments(NexttoKeysHotel),
MarolMaroshiRoad,AndheriEast,Mumbai400059
REGISTRAR&TRANSFERAGENT
www.sarthakmetals.com
WEBSITE
![Page 5: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/5.jpg)
Sr.No. Particulars PageNo.
1 LettertoShareholders 1
2 NoticefortheAGM 24
3 DirectorsReport 515
4 AnnexurestoDirectorsReport 16
4a. AnnexureA 16
4b. AnnexureB 1617
4c. FormMGT9 1827
4d. FormAOC–1 2829
4e. FormAOC–2 30
5 ManagementDiscussion&Analysis 3132
6 SecretarialReport 3335
7 IndependentAuditorsReport 3641
8 AuditedFinancialStatements 4245
9 CashFlowStatement 4647
10 NotesformingpartofFinancialStatement 4869
11 AttendanceSlip 70
14 ProxyForm 71
15 RouteMap 72
INDEX
SarthakMetalsLimited|AnnualReport201718
Letter to Shareholders DearStakeholders,
WearepleasedtosharewithyoutheAnnualReportofyourCompanyfortheFinancialYear2018.Duringthe
yearyourcompanysawa12.4%growthinrevenuesfromFY2017,ahealthysignofimprovingSteelsectorin
India.Thisgrowthhasbeenfromoldplantsaswellassomegreenfieldprojectsofsteelplantscomingonlinein
FY2018.YourcompanyhasmaintainedtheEBIDTAmarginof7%whileincreasingtherevenueswhichhasled
to increase in absoluteEBITDAby16.7%.TheEPS growthhasdoubled as compared to last year growingby
20%.TheProfitAfterTaxstoodat₹4.75Croresonnetsalesof₹171.26Croresagainst₹153.87CroresinFY
201617.
Yourcompanyhasbeenbreakingit’sownrecordsbywayofproductionofCoredWiresandAluminumFlipping
Coil.Thisisyearhasbeentheyearofhighestproductioneverbyyourcompany.Thecompanyalsosawit’sFerro
Aluminumplant comingonline inFY2018.FerroAluminum is lookingathealthy sales inFY2019especially
fromnewcustomers.Theaveragecapacityutilizationhasbeenbelow60%.
IthasbeenmorethanayearsincethesharesofyourcompanywerelistedontheBombayStockExchange.The
company’s market capitalization has seen various highs and lows but comparing the yearends, market has
rewardedyourcompanywitha17%increaseinmarketcapitalization.
Yourcompanyisconsistentcommittedinit’sstrategyofbackwardintegration.Thecompanyhasstartedsetting
upAluminumwirerodmillforbackwardintegratingouraluminumflippingcoilproduct.Withthehelpofthis
backwardintegrationweshallbeabletoreduceourrawmaterialcosts,addtoourgrossmarginsandleverage
ourexisting relationshipsandbrandnamewith the steelplants. Furthermore, your company shallbe able to
increaseitsmarketsharebyofferingthisproductatcompetitiveprices.Thealuminumwirerodplantshallbe
comeonlinebyOctober2018.
Your company has been delivering strong growth and performance due to hold on the domestic as well as
exportsmarket.Sarthak’sbrandgoodname,strategyofbackwardintegrationandresearchonnewproductshas
been thekey inkeepingnewentrantsatbay.Wecontinue togrowby leveragingourstrengthsandexploiting
newopportunities.
I express my thanks to all fellow Directors for their invaluable contribution through their guidance and
encouragement,whichhavebeenmomentousforthesuccessofthecompany.Iwouldalsoliketothankallour
employeesfortheirhardwork,dedicationandstrongcommitmenttowardsourcompany.
I finallythankallofyou,thestakeholders, foryourcontinuedpatronageandtrust inthemanagementofyour
company.Iassureyouthatwearecommittedtobuildingacompany,whichweallshallbeproudof.
sd/-
ANOOPKUMARBANSAL
ManagingDirector
SarthakMetalsLimited
1
SarthakMetalsLimited|AnnualReport201718
![Page 6: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/6.jpg)
Sr.No. Particulars PageNo.
1 LettertoShareholders 1
2 NoticefortheAGM 24
3 DirectorsReport 515
4 AnnexurestoDirectorsReport 16
4a. AnnexureA 16
4b. AnnexureB 1617
4c. FormMGT9 1827
4d. FormAOC–1 2829
4e. FormAOC–2 30
5 ManagementDiscussion&Analysis 3132
6 SecretarialReport 3335
7 IndependentAuditorsReport 3641
8 AuditedFinancialStatements 4245
9 CashFlowStatement 4647
10 NotesformingpartofFinancialStatement 4869
11 AttendanceSlip 70
14 ProxyForm 71
15 RouteMap 72
INDEX
SarthakMetalsLimited|AnnualReport201718
Letter to Shareholders DearStakeholders,
WearepleasedtosharewithyoutheAnnualReportofyourCompanyfortheFinancialYear2018.Duringthe
yearyourcompanysawa12.4%growthinrevenuesfromFY2017,ahealthysignofimprovingSteelsectorin
India.Thisgrowthhasbeenfromoldplantsaswellassomegreenfieldprojectsofsteelplantscomingonlinein
FY2018.YourcompanyhasmaintainedtheEBIDTAmarginof7%whileincreasingtherevenueswhichhasled
to increase in absoluteEBITDAby16.7%.TheEPS growthhasdoubled as compared to last year growingby
20%.TheProfitAfterTaxstoodat₹4.75Croresonnetsalesof₹171.26Croresagainst₹153.87CroresinFY
201617.
Yourcompanyhasbeenbreakingit’sownrecordsbywayofproductionofCoredWiresandAluminumFlipping
Coil.Thisisyearhasbeentheyearofhighestproductioneverbyyourcompany.Thecompanyalsosawit’sFerro
Aluminumplant comingonline inFY2018.FerroAluminum is lookingathealthy sales inFY2019especially
fromnewcustomers.Theaveragecapacityutilizationhasbeenbelow60%.
IthasbeenmorethanayearsincethesharesofyourcompanywerelistedontheBombayStockExchange.The
company’s market capitalization has seen various highs and lows but comparing the yearends, market has
rewardedyourcompanywitha17%increaseinmarketcapitalization.
Yourcompanyisconsistentcommittedinit’sstrategyofbackwardintegration.Thecompanyhasstartedsetting
upAluminumwirerodmillforbackwardintegratingouraluminumflippingcoilproduct.Withthehelpofthis
backwardintegrationweshallbeabletoreduceourrawmaterialcosts,addtoourgrossmarginsandleverage
ourexisting relationshipsandbrandnamewith the steelplants. Furthermore, your company shallbe able to
increaseitsmarketsharebyofferingthisproductatcompetitiveprices.Thealuminumwirerodplantshallbe
comeonlinebyOctober2018.
Your company has been delivering strong growth and performance due to hold on the domestic as well as
exportsmarket.Sarthak’sbrandgoodname,strategyofbackwardintegrationandresearchonnewproductshas
been thekey inkeepingnewentrantsatbay.Wecontinue togrowby leveragingourstrengthsandexploiting
newopportunities.
I express my thanks to all fellow Directors for their invaluable contribution through their guidance and
encouragement,whichhavebeenmomentousforthesuccessofthecompany.Iwouldalsoliketothankallour
employeesfortheirhardwork,dedicationandstrongcommitmenttowardsourcompany.
I finallythankallofyou,thestakeholders, foryourcontinuedpatronageandtrust inthemanagementofyour
company.Iassureyouthatwearecommittedtobuildingacompany,whichweallshallbeproudof.
sd/-
ANOOPKUMARBANSAL
ManagingDirector
SarthakMetalsLimited
1
SarthakMetalsLimited|AnnualReport201718
![Page 7: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/7.jpg)
NOTICEisherebygiventhatthe23rdAnnualGeneralMeetingofthemembersofSarthakMetalsLimitedwillbeheldon
Friday,14thSeptember2018at11.A.M.attheB.B.C.Colony,Khursipar,G.E.Road,Bhilai,Chhattisgarh490011totransact
thefollowingbusiness:
ORDINARYBUSINESS
1. To receive and adopt Audited Financial statement for the year ended 31.03.2018 with all annexure and
attachmenttheretoincludingtheAuditor’sReportandtheDirectors’Report.
2. ToappointMr.KishoreKumarBansal(DIN:03067387),whoretiresbyrotationandbeingeligibleoffershimself
forreappointment:
“RESOLVEDTHATpursuant to theprovisionofsection152(6)of theCompaniesAct,2013andtherulesmade
there under, Mr. Kishore Kumar Bansal (DIN: 03067387) who retires by rotation and being eligible for re
appointment,beandisherebyreappointedastheDirectoroftheCompany.”
SPECIALBUSINESS
3. TosetlimitofborrowingsuptoRs.70croresabovethenetworthoftheCompany.
“RESOLVED THAT, pursuant to the provisions of Section 180 (1) (c) and (2) of Companies Act, 2013 or any
amendmentormodificationsthereof,approvalofmembersbeandisherebyaccordedtotheBoardofDirectorsof
the Company to borrow and raise such sum or sums ofmoney from time to time asmay be required for the
purposesofthebusinessoftheCompany,inexcessoftheaggregateofthepaidupcapitaloftheCompanyandfree
reservesoftheCompany,thatistosay,reservesnotsetapartforanyspecificpurpose,subjecttotheprovisothat
suchborrowingshallnotexceedRs.70,00,00,000(RupeesSeventyCroresonly)overandabovetheaggregateof
thepaidupcapitalof theCompanyand its freereservesandshallexcludeall temporary loansobtainedby the
Companyfromitsbankersintheordinarycourseofitsbusiness,onsuchtermsandconditionsastheBoardmay
considernecessaryandexpedientinthebestinterestoftheCompany.
RESOLVED FURTHER THAT for the purpose of giving effect to this resolution the Board be and is hereby
authorizedtodoallsuchacts,deeds,mattersandthingsas itmayinitsabsolutediscretionconsidernecessary,
properordesirableandtosettleanyquestion,difficultyordoubtthatmayariseinthisregard.”
NOTICEOFANNUALGENERALMEETING
2
RegisteredOffice:
B.B.C.Colony,Khursipar,G.E.Road,
Bhilai,Chhattisgarh490011
CIN:L51102CT1995PLC009772
Email:[email protected],[email protected]
website:www.sarthakmetals.com
ByOrderoftheBoardofDirectors
SarthakMetalsLimited
ItikaSinghal
Sd/-
CompanySecretary
SarthakMetalsLimited|AnnualReport201718
3
NOTES:
1. A MEMBER ENTITLED TO ATTEND AND VOTE AT THE MEETING IS ENTITLED TO APPOINT A PROXY TOATTENDANDVOTEONPOLLINSTEADOFHIMSELF/HERSELFANDTHEPROXYNEEDNOTBEAMEMBEROFTHECOMPANY.PROXIES,INORDERTOBEEFFECTIVE,MUSTBERECEIVEDBYTHECOMPANYNOTLESSTHAN48HOURSBEFORETHETIMEOFMEETING.
2. Apersoncanactasproxyonbehalfofmembersnotexceedingfiftyandholdinginaggregatenotmorethantenpercentofthetotalsharecapitalofthecompanycarryingvotingrights.AmemberholdingmorethantenpercentofthetotalsharecapitaloftheCompanycarryingvotingrightsmayappointasinglepersonasproxyandsuchpersonshallnotactasproxyforanyotherpersonorshareholder.
3. TheExplanatorystatementfortheproposedresolutionsunderItemNo.3pursuanttosection102oftheCompaniesAct,2013readwithsection110oftheCompaniesAct,2013settingoutmaterialfactsareannexedherewith.
4. TheattendanceslipcumProxyFormisplacedattheendofthisAnnualReport.
5. PursuanttotheprovisionofSEBI(LODR)Regulations,2015andsection91oftheCompaniesAct,2013,RegisterofMembersandShareTransferBooksoftheCompanywillremainclosedfromFriday,07thSeptember2018toFriday,14thSeptember2017.(bothdaysinclusive).
6. CorporateMembersintendingtosendtheirauthorizedrepresentativestoattendtheMeetingarerequestedtosendtotheCompany,acertifiedcopyoftheBoardResolutionauthorizingtherepresentativetoattendandvoteontheirbehalfatthemeeting
7. Asper theapplicableprovisionsandrules thereunderanyDividendremainingunpaidandunclaimedat theendof07thyearthereaftershallbetransferredtotheInvestorEducationandProtectionFund(IEPF).
8. Members / Proxies attending the Meeting are requested to bring their copies of Annual Report together withattendanceslipdulycompletedandsignedalongwithClientIDandDPIDnumbers.
9. MembersseekinganyinformationrelatingtoAccountsarerequestedtowritetotheCompanyatleast10daysbeforethe date of the Annual GeneralMeeting to enable theManagement to keep the required information ready at themeeting.
10. TheMinistryofCorporateAffairshascomeoutwithacirculardated29thApril2011whichallowsthecompaniestosenddocumentsincludingAnnualReportsandotherintimationbyanemail.Therefore,youarerequestedtoregisteryouremailIDswiththeRegistrarandTransferAgentoftheCompany.TheCompanyisalreadyhavingemailIDofthemembersholdingtheirsharesinDEMATthroughtheirrespectiveDepositoryParticipants.ThesaidemailIDshallbeconsideredasregisteredemailIDforthesaidmembersunlessinformedotherwisetotheCompanyorRegistrarandTransferAgent.
11. Shareholders holding shares in dematerialized form should communicate the change of address, if any, to theirDepositaryParticipantandotherwhoholdsharesinphysicalformshouldcommunicatethechangeofaddress,totheRegistrarandShareTransferAgentoftheCompanyatthefollowingaddress:
BigShareServicesPrivatelimited
1stFloor,BharatTinWorksBuilding,
Opp.VasantOasisApartments(NexttoKeysHotel),
MarolMaroshiRoad,AndheriEast,Mumbai400059
12. IntermsofSection72oftheCompaniesAct,2013,nominationfacilityisavailabletotheindividualshareholder.Thesameshouldbeavailedthroughrespectivedepository.
13. The Notice of 23rd AGM along with the attendance slip and proxy form are being sent via electronic mode (toshareholdershavingtheiremailIDsregisteredwiththeCompany/DepositoryParticipants)andinphysicalmode(toshareholdersnothavingtheiremailIDsregisteredwiththeCompany/DepositoryParticipants).
14. TheCompany,beinglistedonSMEExchangeandinviewofprovisionsofRule20oftheCompanies(ManagementandAdministration)Rules,2014isnotrequiredtoprovideremoteevotingfacilitytoitsmembers.
SarthakMetalsLimited|AnnualReport201718
![Page 8: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/8.jpg)
NOTICEisherebygiventhatthe23rdAnnualGeneralMeetingofthemembersofSarthakMetalsLimitedwillbeheldon
Friday,14thSeptember2018at11.A.M.attheB.B.C.Colony,Khursipar,G.E.Road,Bhilai,Chhattisgarh490011totransact
thefollowingbusiness:
ORDINARYBUSINESS
1. To receive and adopt Audited Financial statement for the year ended 31.03.2018 with all annexure and
attachmenttheretoincludingtheAuditor’sReportandtheDirectors’Report.
2. ToappointMr.KishoreKumarBansal(DIN:03067387),whoretiresbyrotationandbeingeligibleoffershimself
forreappointment:
“RESOLVEDTHATpursuant to theprovisionofsection152(6)of theCompaniesAct,2013andtherulesmade
there under, Mr. Kishore Kumar Bansal (DIN: 03067387) who retires by rotation and being eligible for re
appointment,beandisherebyreappointedastheDirectoroftheCompany.”
SPECIALBUSINESS
3. TosetlimitofborrowingsuptoRs.70croresabovethenetworthoftheCompany.
“RESOLVED THAT, pursuant to the provisions of Section 180 (1) (c) and (2) of Companies Act, 2013 or any
amendmentormodificationsthereof,approvalofmembersbeandisherebyaccordedtotheBoardofDirectorsof
the Company to borrow and raise such sum or sums ofmoney from time to time asmay be required for the
purposesofthebusinessoftheCompany,inexcessoftheaggregateofthepaidupcapitaloftheCompanyandfree
reservesoftheCompany,thatistosay,reservesnotsetapartforanyspecificpurpose,subjecttotheprovisothat
suchborrowingshallnotexceedRs.70,00,00,000(RupeesSeventyCroresonly)overandabovetheaggregateof
thepaidupcapitalof theCompanyand its freereservesandshallexcludeall temporary loansobtainedby the
Companyfromitsbankersintheordinarycourseofitsbusiness,onsuchtermsandconditionsastheBoardmay
considernecessaryandexpedientinthebestinterestoftheCompany.
RESOLVED FURTHER THAT for the purpose of giving effect to this resolution the Board be and is hereby
authorizedtodoallsuchacts,deeds,mattersandthingsas itmayinitsabsolutediscretionconsidernecessary,
properordesirableandtosettleanyquestion,difficultyordoubtthatmayariseinthisregard.”
NOTICEOFANNUALGENERALMEETING
2
RegisteredOffice:
B.B.C.Colony,Khursipar,G.E.Road,
Bhilai,Chhattisgarh490011
CIN:L51102CT1995PLC009772
Email:[email protected],[email protected]
website:www.sarthakmetals.com
ByOrderoftheBoardofDirectors
SarthakMetalsLimited
ItikaSinghal
Sd/-
CompanySecretary
SarthakMetalsLimited|AnnualReport201718
3
NOTES:
1. A MEMBER ENTITLED TO ATTEND AND VOTE AT THE MEETING IS ENTITLED TO APPOINT A PROXY TOATTENDANDVOTEONPOLLINSTEADOFHIMSELF/HERSELFANDTHEPROXYNEEDNOTBEAMEMBEROFTHECOMPANY.PROXIES,INORDERTOBEEFFECTIVE,MUSTBERECEIVEDBYTHECOMPANYNOTLESSTHAN48HOURSBEFORETHETIMEOFMEETING.
2. Apersoncanactasproxyonbehalfofmembersnotexceedingfiftyandholdinginaggregatenotmorethantenpercentofthetotalsharecapitalofthecompanycarryingvotingrights.AmemberholdingmorethantenpercentofthetotalsharecapitaloftheCompanycarryingvotingrightsmayappointasinglepersonasproxyandsuchpersonshallnotactasproxyforanyotherpersonorshareholder.
3. TheExplanatorystatementfortheproposedresolutionsunderItemNo.3pursuanttosection102oftheCompaniesAct,2013readwithsection110oftheCompaniesAct,2013settingoutmaterialfactsareannexedherewith.
4. TheattendanceslipcumProxyFormisplacedattheendofthisAnnualReport.
5. PursuanttotheprovisionofSEBI(LODR)Regulations,2015andsection91oftheCompaniesAct,2013,RegisterofMembersandShareTransferBooksoftheCompanywillremainclosedfromFriday,07thSeptember2018toFriday,14thSeptember2017.(bothdaysinclusive).
6. CorporateMembersintendingtosendtheirauthorizedrepresentativestoattendtheMeetingarerequestedtosendtotheCompany,acertifiedcopyoftheBoardResolutionauthorizingtherepresentativetoattendandvoteontheirbehalfatthemeeting
7. Asper theapplicableprovisionsandrules thereunderanyDividendremainingunpaidandunclaimedat theendof07thyearthereaftershallbetransferredtotheInvestorEducationandProtectionFund(IEPF).
8. Members / Proxies attending the Meeting are requested to bring their copies of Annual Report together withattendanceslipdulycompletedandsignedalongwithClientIDandDPIDnumbers.
9. MembersseekinganyinformationrelatingtoAccountsarerequestedtowritetotheCompanyatleast10daysbeforethe date of the Annual GeneralMeeting to enable theManagement to keep the required information ready at themeeting.
10. TheMinistryofCorporateAffairshascomeoutwithacirculardated29thApril2011whichallowsthecompaniestosenddocumentsincludingAnnualReportsandotherintimationbyanemail.Therefore,youarerequestedtoregisteryouremailIDswiththeRegistrarandTransferAgentoftheCompany.TheCompanyisalreadyhavingemailIDofthemembersholdingtheirsharesinDEMATthroughtheirrespectiveDepositoryParticipants.ThesaidemailIDshallbeconsideredasregisteredemailIDforthesaidmembersunlessinformedotherwisetotheCompanyorRegistrarandTransferAgent.
11. Shareholders holding shares in dematerialized form should communicate the change of address, if any, to theirDepositaryParticipantandotherwhoholdsharesinphysicalformshouldcommunicatethechangeofaddress,totheRegistrarandShareTransferAgentoftheCompanyatthefollowingaddress:
BigShareServicesPrivatelimited
1stFloor,BharatTinWorksBuilding,
Opp.VasantOasisApartments(NexttoKeysHotel),
MarolMaroshiRoad,AndheriEast,Mumbai400059
12. IntermsofSection72oftheCompaniesAct,2013,nominationfacilityisavailabletotheindividualshareholder.Thesameshouldbeavailedthroughrespectivedepository.
13. The Notice of 23rd AGM along with the attendance slip and proxy form are being sent via electronic mode (toshareholdershavingtheiremailIDsregisteredwiththeCompany/DepositoryParticipants)andinphysicalmode(toshareholdersnothavingtheiremailIDsregisteredwiththeCompany/DepositoryParticipants).
14. TheCompany,beinglistedonSMEExchangeandinviewofprovisionsofRule20oftheCompanies(ManagementandAdministration)Rules,2014isnotrequiredtoprovideremoteevotingfacilitytoitsmembers.
SarthakMetalsLimited|AnnualReport201718
![Page 9: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/9.jpg)
4
EXPLANATORYSTATEMENTASREQUIREDUNDERSECTION102OFTHECOMPANIESACT,2013
ITEMNO.3
Section 180(1)(c) of the Companies Act, 2013 requires the consent of the Members in the General Meeting forauthorizingtheBoardofDirectorstoborrowmonies(apartfromthetemporaryloansobtainedortobeobtainedfromtheCompany’sBankersintheordinarycourseofbusiness)inexcessoftheaggregateofthepaidupcapitalandfreereserves.
Intheviewofgrowingoperations,companymayrequireadditionalfunds.ItisthereforerecommendedtoauthorizeBoard of Directors to borrow the money subject to the provisions that such borrowing shall not exceed Rs.70,00,00,000(RupeesSeventyCroresonly)overandabovetheaggregateofthepaidupcapitaloftheCompanyanditsfreereservesandshallexcludealltemporaryloansobtainedbytheCompanyfromitsbankersintheordinarycourseof its business, on such terms and conditions as the Boardmay consider from time to time in the interest of theCompany.
NoDirectoroftheCompanyaredeemedtobedirectlyorindirectlyinterestedinpassingthisresolution.
TheDirectorsofYourCompanyrecommendstheseresolutionsforyourapprovalasaSpecialResolution.
STATEMENTPURSUANTTOSECTION102OFTHECOMPANIESACT,2013
DETAILS OF THE DIRECTORS SEEKING APPOINTMENT/RE-APPOINTMENT IN THE 23RD ANNUAL GENERAL
MEETINGOFTHECOMPANY
Mr.KishoreKumarBansalNonExecutiveNonindependentDirector
NameofDirector Mr.KishoreKumarBansal(DIN:06359909)
DateofBirth 19/08/1968
DateofAppointmentAppointed as Director July 28, 1995 Change in designation fromExecutiveDirectortoNonExecutiveDirectorfromAugust16,2016
BriefResumeandNatureofExpertiseinFunctionalAreas
Qualification
Hehasover20yearsofexperienceinthemetalstradingbusinessandindustry.
UnderMatriculation
No.ofEquitySharesheldintheCompany 741000shares
ListofDirectorship/CommitteeMembershipsinotherPublicCompaniesason31stMarch,2018
OtherDirectorshipNILOtherCommitteeMembershipNIL
DisclosureofRelationshipsbetweenDirectorsinterse Mr.AnoopKumarBansalandMr.KishoreKumarBansalarebrothers
RegisteredOffice:
B.B.C.Colony,Khursipar,G.E.Road,
Bhilai,Chhattisgarh490011
CIN:L51102CT1995PLC009772
Email:[email protected],[email protected]
website:www.sarthakmetals.com
ByOrderoftheBoardofDirectors
SarthakMetalsLimited
ItikaSinghal
Sd/-
CompanySecretary
SarthakMetalsLimited|AnnualReport201718
DIRECTORS'REPORT
To
TheMembers,
YourDirectorshavepleasureinpresentingthe23rdAnnualReportofSARTHAKMETALSLIMITEDalongwiththeAudited
FinancialStatementsfortheyearended31stMarch2018.
FINANCIALSUMMARY/HIGHLIGHTS
OurCompany’sfinancialperformancefortheyearunderreviewhasbeenencouragingandissummarizedbelow:
(Inlakhs)
Particulars CurrentYearason31.03.2018 PreviousYearason31.03.2017
TotalIncome 17,290.17 15,387.39
Less:Expenditure&Depreciation 16,575.70 14,799.98
ProfitbeforeTax(PBT) 714.47 587.41
Less:Tax(includingdeferredtax) 227.29 192.39
ProfitAfterTax(PAT) 487.18 395.02
PERFORMANCEREVIEW
Iron&Steelsectorhasseenpositiveresultsinthepastfinancialyearaftermanyyearsofpoorperformance.Thisismainly
due to two reasons, first being higher budget allocation by Central Government on infrastructure expenditure and
measurestostopcheapsteel imports fromChina.Overall ithasbeenagoodyear foryourcompany.Ourrevenueshave
increasedby12.4%andEBIDTAincreasedby16.7%.Earningspersharehavealsoincreasedby20%.Thegrowthhasbeen
steadydespitemanyotherplayersenteringthemarket.Wehavebeenabletoshowgoodperformanceduetoourclient’s
trustinourproductandtheirreadinesstopayapremiumforthesame.
DIVIDEND
Inordertoconserveresourcesforfuturegrowthandbusinessexpansion,yourdirectorsdonotrecommendanydividend
fortheFinancialYear201718.
RESERVES
TheCompanyhastransferredthewholeamountofProfittoReserve&SurplusAccountasperattachedauditedBalance
Sheetfortheyearendedon31stMarch2018
SHARECAPITAL
The Paidup Equity share capital of the Company as on 1st April, 2017was Rs. 13,68,97,500 divided into 1,36,89,750
EquitySharesofRs10/each.Nochangewasmadeduringtheyear.Theequitysharecapitalthus,ason31/03/2018was
Rs.13,68,97,500.
EXTRACTOFTHEANNUALRETURN
TheextractoftheannualreturninFormNo.MGT–9isattachedinAnnexureAappendedtotheDirector’sReport.
5
SarthakMetalsLimited|AnnualReport201718
![Page 10: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/10.jpg)
4
EXPLANATORYSTATEMENTASREQUIREDUNDERSECTION102OFTHECOMPANIESACT,2013
ITEMNO.3
Section 180(1)(c) of the Companies Act, 2013 requires the consent of the Members in the General Meeting forauthorizingtheBoardofDirectorstoborrowmonies(apartfromthetemporaryloansobtainedortobeobtainedfromtheCompany’sBankersintheordinarycourseofbusiness)inexcessoftheaggregateofthepaidupcapitalandfreereserves.
Intheviewofgrowingoperations,companymayrequireadditionalfunds.ItisthereforerecommendedtoauthorizeBoard of Directors to borrow the money subject to the provisions that such borrowing shall not exceed Rs.70,00,00,000(RupeesSeventyCroresonly)overandabovetheaggregateofthepaidupcapitaloftheCompanyanditsfreereservesandshallexcludealltemporaryloansobtainedbytheCompanyfromitsbankersintheordinarycourseof its business, on such terms and conditions as the Boardmay consider from time to time in the interest of theCompany.
NoDirectoroftheCompanyaredeemedtobedirectlyorindirectlyinterestedinpassingthisresolution.
TheDirectorsofYourCompanyrecommendstheseresolutionsforyourapprovalasaSpecialResolution.
STATEMENTPURSUANTTOSECTION102OFTHECOMPANIESACT,2013
DETAILS OF THE DIRECTORS SEEKING APPOINTMENT/RE-APPOINTMENT IN THE 23RD ANNUAL GENERAL
MEETINGOFTHECOMPANY
Mr.KishoreKumarBansalNonExecutiveNonindependentDirector
NameofDirector Mr.KishoreKumarBansal(DIN:06359909)
DateofBirth 19/08/1968
DateofAppointmentAppointed as Director July 28, 1995 Change in designation fromExecutiveDirectortoNonExecutiveDirectorfromAugust16,2016
BriefResumeandNatureofExpertiseinFunctionalAreas
Qualification
Hehasover20yearsofexperienceinthemetalstradingbusinessandindustry.
UnderMatriculation
No.ofEquitySharesheldintheCompany 741000shares
ListofDirectorship/CommitteeMembershipsinotherPublicCompaniesason31stMarch,2018
OtherDirectorshipNILOtherCommitteeMembershipNIL
DisclosureofRelationshipsbetweenDirectorsinterse Mr.AnoopKumarBansalandMr.KishoreKumarBansalarebrothers
RegisteredOffice:
B.B.C.Colony,Khursipar,G.E.Road,
Bhilai,Chhattisgarh490011
CIN:L51102CT1995PLC009772
Email:[email protected],[email protected]
website:www.sarthakmetals.com
ByOrderoftheBoardofDirectors
SarthakMetalsLimited
ItikaSinghal
Sd/-
CompanySecretary
SarthakMetalsLimited|AnnualReport201718
DIRECTORS'REPORT
To
TheMembers,
YourDirectorshavepleasureinpresentingthe23rdAnnualReportofSARTHAKMETALSLIMITEDalongwiththeAudited
FinancialStatementsfortheyearended31stMarch2018.
FINANCIALSUMMARY/HIGHLIGHTS
OurCompany’sfinancialperformancefortheyearunderreviewhasbeenencouragingandissummarizedbelow:
(Inlakhs)
Particulars CurrentYearason31.03.2018 PreviousYearason31.03.2017
TotalIncome 17,290.17 15,387.39
Less:Expenditure&Depreciation 16,575.70 14,799.98
ProfitbeforeTax(PBT) 714.47 587.41
Less:Tax(includingdeferredtax) 227.29 192.39
ProfitAfterTax(PAT) 487.18 395.02
PERFORMANCEREVIEW
Iron&Steelsectorhasseenpositiveresultsinthepastfinancialyearaftermanyyearsofpoorperformance.Thisismainly
due to two reasons, first being higher budget allocation by Central Government on infrastructure expenditure and
measurestostopcheapsteel imports fromChina.Overall ithasbeenagoodyear foryourcompany.Ourrevenueshave
increasedby12.4%andEBIDTAincreasedby16.7%.Earningspersharehavealsoincreasedby20%.Thegrowthhasbeen
steadydespitemanyotherplayersenteringthemarket.Wehavebeenabletoshowgoodperformanceduetoourclient’s
trustinourproductandtheirreadinesstopayapremiumforthesame.
DIVIDEND
Inordertoconserveresourcesforfuturegrowthandbusinessexpansion,yourdirectorsdonotrecommendanydividend
fortheFinancialYear201718.
RESERVES
TheCompanyhastransferredthewholeamountofProfittoReserve&SurplusAccountasperattachedauditedBalance
Sheetfortheyearendedon31stMarch2018
SHARECAPITAL
The Paidup Equity share capital of the Company as on 1st April, 2017was Rs. 13,68,97,500 divided into 1,36,89,750
EquitySharesofRs10/each.Nochangewasmadeduringtheyear.Theequitysharecapitalthus,ason31/03/2018was
Rs.13,68,97,500.
EXTRACTOFTHEANNUALRETURN
TheextractoftheannualreturninFormNo.MGT–9isattachedinAnnexureAappendedtotheDirector’sReport.
5
SarthakMetalsLimited|AnnualReport201718
![Page 11: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/11.jpg)
CHANGESINDIRECTORSANDKEYMANAGERIALPERSONNEL
ThecompositionoftheBoardisaspertheListingRegulationsandprovisionsoftheCompaniesAct,2013.Therewasno
changeinthecompositionoftheBoardduringtheyearunderreview.
Presently, thecompositionof theBoard issixDirectors, ledbyChairmanandManagingDirectorwith twoWholeTime
Director,twoNonExecutiveIndependentDirectorandoneNonExecutiveNonIndependentDirector.
InaccordancewiththeprovisionsofCompaniesAct,2013,Mr.KishoreKumarBansal,DirectoroftheCompany,retiresby
rotationattheensuingAnnualGeneralMeetingandoffershimselfforreappointment.
MANAGEMENTDISCUSSIONANDANALYSIS:
As required by Regulation 34 of the Securities and Exchange Board of India (Listing Obligations and Disclosure
Requirements)Regulations,2015aManagementDiscussion&AnalysisReportformspartoftheAnnualReport.
REPORTONCORPORATEGOVERNANCE:
Sarthak Metals Limited is listed on SME Exchange of BSE, the requirement of Corporate Governance as notified in
Regulation15(2)oftheSEBI(ListingObligationandDisclosureRequirement)Regulation,2015notapplicable;therefore
itisnotrequiredtomaintainCorporateGovernanceReport.
DECLARATIONBYINDEPENDENTDIRECTORS:
The Company has received declarations from all the Independent Directors of the Company under Section 149 (7) of
CompaniesAct,2013confirmingthattheymeetwiththecriteriaof independenceasprescribedbothundersubsection
(6)of Section149of theCompaniesAct, 2013andunderRegulation16of the Securities andExchangeBoardof India
(ListingObligationsandDisclosureRequirements)Regulations,2015.
PERFORMANCEEVALUATIONOFBOARD,COMMITTEES&INDIVIDUALDIRECTOR
AformalevaluationoftheperformanceoftheBoard,itsCommittees,theChairmanandtheindividualDirectorswasledby
Nomination & Remuneration Committee, the evaluationwas done using individual interviews covering amongst other
vision, strategy and role clarity of the Board. Board dynamic and processes, contribution towards development of the
strategy, risk management, budgetary controls, receipt of regular inputs and information, functioning, performance &
structureofBoardCommittees,ethics&values,skillset,knowledge&expertiseofDirectors,leadershipetc.
AspartoftheevaluationprocesstheperformanceofnonindependentDirectors,theChairmanandtheBoardwasdone
bytheIndependentDirectors.TheperformanceevaluationoftherespectiveCommitteesandthatofindependentandnon
independentDirectorswasdonebytheBoardexcludingtheDirectorbeingevaluated.TheDirectorsexpressedsatisfaction
withtheevaluationprocess.
FAMILIARISATIONPROGRAMMESFORBOARDMEMBERS:
TheBoardmembers are providedwith brochures, reports and internal policies to enable them to familiarizewith the
Company’s procedures and practices. The Chairman and Managing Director had one to one discussions with newly
appointedDirectorstofamiliarizethemwiththeCompany’soperations.PeriodicpresentationsaremadeattheBoardand
BoardCommitteeMeetings,onbusinessandperformanceupdatesoftheCompany,globalbusinessenvironment,business
strategyandrisksinvolved.QuarterlyupdatesonrelevantstatutoryandregulatorychangesarecirculatedtotheDirectors.
Sitevisits tovariousplant locationsareorganized for theDirectors toenable themtounderstandtheoperationsof the
Company.
6
SarthakMetalsLimited|AnnualReport201718
NUMBEROFMEETINGSOFTHEBOARDOFDIRECTORS
TheBoardofDirectorsdulymet6(Six)timesinfinancialyear31stMarch,2018andaspersection173oftheCompanies
ActthetimegapbetweenanytwoMeetingshasnotbeenmorethanonehundredandtwentydays.Thedatesonwhichthe
BoardMeetingswereheldare15thApril,2017,29thMay,2017,23rdJune,2017,12thSeptember,2017,15thNovember,
2017and9thMarch,2018.
ThenameandcategoryofDirectorsontheBoard,theirattendanceattheBoardMeetingsheldduringtheyearandalsoat
theAnnual GeneralMeeting, themember ofDirectorships and CommitteeMemberships and Chairpersonships held by
theminothercompaniesason31stMarch,2018aregivenbelow.
*Represents Memberships/Chairpersonships of Audit Committee & Stakeholders’ Relationship Committee of public
companiesonly.
^DesignatesasaWomanDirectoronBoard.
Asperthedisclosurereceived,noneoftheDirectorsofyourCompanyholdmemberships/Chairmanshipsmorethanthe
prescribedlimitsacrossallcompaniesinwhichhe/sheisaDirector.
MEETINGSOFINDEPENDENTDIRECTORS:
TheCompany’sIndependentDirectorsshallmeetat leastonceineveryfinancialyearwithoutthepresenceofExecutive
Directorsormanagementpersonnel.SuchmeetingsareconductedinformallytoenableIndependentDirectorstodiscuss
matterspertainingto(i)reviewtheperformanceofNonIndependentDirectorsandtheBoardasawhole,(ii)reviewthe
performanceoftheChairpersonoftheCompany,takingintoaccounttheviewsofExecutiveDirectorsandNonExecutive
Directors;and(iii)toassessthequality,quantityandtimelinessofflowofinformationbetweentheCompanyManagement
andtheBoard.
COMMITTEESOFTHEBOARDOFDIRECTORS
In compliance with the requirement of applicable laws and as part of the best governance practice, the Board has
7
NameofDirectors
Category No.ofBoardMeetingheld
andattendduringtheyear
No.ofDirectorshipinother
PublicCompany
No.ofCommitteespositionsheldin
otherPublicCompanies*
AttendanceatlastAGMheld
on01/08/2017
Held Attend Chairman Member
Mr.AnoopKumarBansal
Chairman&ManagingDirector
6 6 0 0 0 Yes
Mr.KishoreKumarBansal
NonExecutiveNonIndependentDirector
6 6 0 0 0 Yes
Ms.RamaKohli^ NonExecutiveIndependentDirector
6 4 0 0 0 No
Mr.SanjayShah WholeTimeDirector 6 6 0 0 0 Yes
Mr.MayurBhatt WholeTimeDirector 6 6 0 0 0 Yes
Mr.ChetanKumar NonExecutiveIndependentDirector
6 2 0 0 0 Yes
SarthakMetalsLimited|AnnualReport201718
![Page 12: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/12.jpg)
CHANGESINDIRECTORSANDKEYMANAGERIALPERSONNEL
ThecompositionoftheBoardisaspertheListingRegulationsandprovisionsoftheCompaniesAct,2013.Therewasno
changeinthecompositionoftheBoardduringtheyearunderreview.
Presently, thecompositionof theBoard issixDirectors, ledbyChairmanandManagingDirectorwith twoWholeTime
Director,twoNonExecutiveIndependentDirectorandoneNonExecutiveNonIndependentDirector.
InaccordancewiththeprovisionsofCompaniesAct,2013,Mr.KishoreKumarBansal,DirectoroftheCompany,retiresby
rotationattheensuingAnnualGeneralMeetingandoffershimselfforreappointment.
MANAGEMENTDISCUSSIONANDANALYSIS:
As required by Regulation 34 of the Securities and Exchange Board of India (Listing Obligations and Disclosure
Requirements)Regulations,2015aManagementDiscussion&AnalysisReportformspartoftheAnnualReport.
REPORTONCORPORATEGOVERNANCE:
Sarthak Metals Limited is listed on SME Exchange of BSE, the requirement of Corporate Governance as notified in
Regulation15(2)oftheSEBI(ListingObligationandDisclosureRequirement)Regulation,2015notapplicable;therefore
itisnotrequiredtomaintainCorporateGovernanceReport.
DECLARATIONBYINDEPENDENTDIRECTORS:
The Company has received declarations from all the Independent Directors of the Company under Section 149 (7) of
CompaniesAct,2013confirmingthattheymeetwiththecriteriaof independenceasprescribedbothundersubsection
(6)of Section149of theCompaniesAct, 2013andunderRegulation16of the Securities andExchangeBoardof India
(ListingObligationsandDisclosureRequirements)Regulations,2015.
PERFORMANCEEVALUATIONOFBOARD,COMMITTEES&INDIVIDUALDIRECTOR
AformalevaluationoftheperformanceoftheBoard,itsCommittees,theChairmanandtheindividualDirectorswasledby
Nomination & Remuneration Committee, the evaluationwas done using individual interviews covering amongst other
vision, strategy and role clarity of the Board. Board dynamic and processes, contribution towards development of the
strategy, risk management, budgetary controls, receipt of regular inputs and information, functioning, performance &
structureofBoardCommittees,ethics&values,skillset,knowledge&expertiseofDirectors,leadershipetc.
AspartoftheevaluationprocesstheperformanceofnonindependentDirectors,theChairmanandtheBoardwasdone
bytheIndependentDirectors.TheperformanceevaluationoftherespectiveCommitteesandthatofindependentandnon
independentDirectorswasdonebytheBoardexcludingtheDirectorbeingevaluated.TheDirectorsexpressedsatisfaction
withtheevaluationprocess.
FAMILIARISATIONPROGRAMMESFORBOARDMEMBERS:
TheBoardmembers are providedwith brochures, reports and internal policies to enable them to familiarizewith the
Company’s procedures and practices. The Chairman and Managing Director had one to one discussions with newly
appointedDirectorstofamiliarizethemwiththeCompany’soperations.PeriodicpresentationsaremadeattheBoardand
BoardCommitteeMeetings,onbusinessandperformanceupdatesoftheCompany,globalbusinessenvironment,business
strategyandrisksinvolved.QuarterlyupdatesonrelevantstatutoryandregulatorychangesarecirculatedtotheDirectors.
Sitevisits tovariousplant locationsareorganized for theDirectors toenable themtounderstandtheoperationsof the
Company.
6
SarthakMetalsLimited|AnnualReport201718
NUMBEROFMEETINGSOFTHEBOARDOFDIRECTORS
TheBoardofDirectorsdulymet6(Six)timesinfinancialyear31stMarch,2018andaspersection173oftheCompanies
ActthetimegapbetweenanytwoMeetingshasnotbeenmorethanonehundredandtwentydays.Thedatesonwhichthe
BoardMeetingswereheldare15thApril,2017,29thMay,2017,23rdJune,2017,12thSeptember,2017,15thNovember,
2017and9thMarch,2018.
ThenameandcategoryofDirectorsontheBoard,theirattendanceattheBoardMeetingsheldduringtheyearandalsoat
theAnnual GeneralMeeting, themember ofDirectorships and CommitteeMemberships and Chairpersonships held by
theminothercompaniesason31stMarch,2018aregivenbelow.
*Represents Memberships/Chairpersonships of Audit Committee & Stakeholders’ Relationship Committee of public
companiesonly.
^DesignatesasaWomanDirectoronBoard.
Asperthedisclosurereceived,noneoftheDirectorsofyourCompanyholdmemberships/Chairmanshipsmorethanthe
prescribedlimitsacrossallcompaniesinwhichhe/sheisaDirector.
MEETINGSOFINDEPENDENTDIRECTORS:
TheCompany’sIndependentDirectorsshallmeetat leastonceineveryfinancialyearwithoutthepresenceofExecutive
Directorsormanagementpersonnel.SuchmeetingsareconductedinformallytoenableIndependentDirectorstodiscuss
matterspertainingto(i)reviewtheperformanceofNonIndependentDirectorsandtheBoardasawhole,(ii)reviewthe
performanceoftheChairpersonoftheCompany,takingintoaccounttheviewsofExecutiveDirectorsandNonExecutive
Directors;and(iii)toassessthequality,quantityandtimelinessofflowofinformationbetweentheCompanyManagement
andtheBoard.
COMMITTEESOFTHEBOARDOFDIRECTORS
In compliance with the requirement of applicable laws and as part of the best governance practice, the Board has
7
NameofDirectors
Category No.ofBoardMeetingheld
andattendduringtheyear
No.ofDirectorshipinother
PublicCompany
No.ofCommitteespositionsheldin
otherPublicCompanies*
AttendanceatlastAGMheld
on01/08/2017
Held Attend Chairman Member
Mr.AnoopKumarBansal
Chairman&ManagingDirector
6 6 0 0 0 Yes
Mr.KishoreKumarBansal
NonExecutiveNonIndependentDirector
6 6 0 0 0 Yes
Ms.RamaKohli^ NonExecutiveIndependentDirector
6 4 0 0 0 No
Mr.SanjayShah WholeTimeDirector 6 6 0 0 0 Yes
Mr.MayurBhatt WholeTimeDirector 6 6 0 0 0 Yes
Mr.ChetanKumar NonExecutiveIndependentDirector
6 2 0 0 0 Yes
SarthakMetalsLimited|AnnualReport201718
![Page 13: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/13.jpg)
constituted various Committees of its members. These Committees hold meetings at such frequencies as is deemed
necessarybythemtoeffectivelyundertakeanddeliverupontheresponsibilitiesandtasksassignedtothem.Minutesof
themeetingsofeachoftheseCommitteesaretabledregularlyattheBoardMeetings.
YourCompanycurrentlyhas4(Four)Committeesviz:
(a) AUDITCOMMITTEE
TheCompanyhasformedaqualifiedandIndependentAuditCommitteewhichactsasalinkbetweentheStatutory
andInternalAuditorsandtheBoardofDirectors.ThetermsofreferenceoftheAuditCommitteecoverthematters
specifiedforAuditCommitteeintheSEBIListingRegulationsandSection177oftheCompaniesAct,2013.
Ason31stMarch,2018,theAuditCommitteecomprisesofthefollowingmembers
1. Mr.ChetanKumar Chairman
2. Ms.RamaKohli Member
3. Mr.KishoreKumarBansal Member
TheCommitteemet4timesduringtheyearon29thMay,2017,23rdJune,2017and15thNovember2017andthe
attendanceofMembersattheMeetings.
TheCompanySecretaryoftheCompanyistheSecretaryoftheCommittee.
The Chairman of the Audit Committee of the Companywas present at the last Annual GeneralMeeting of the
Companyheldon1stAugust,2017.
(b) NOMINATION&REMUNERATIONCOMMITTEE
In compliance with Section 178 of the Companies Act, 2013 and SEBI Listing Regulations, a Nomination &
RemunerationCommitteeoftheCompanyhasbeenconstituted.
Ason31stMarch,2018,theNominationandRemunerationCommitteecomprisesofthefollowingmembers
1. Mr.ChetanKumar Chairman
2. Ms.RamaKohli Member
3. Mr.KishoreKumarBansal Member
TheCommitteemet1timeduringtheyearon15thApril,2017andtheattendanceofMembersattheMeetingsis
asfollows:
8
NameofMember NatureofMembership No.ofMeeting(s)attended/held
Mr.ChetanKumar Chairman 3/3
Mrs.RamaKohli Member 3/3
Mr.KishoreKumarBansal Member 3/3
NameofMember NatureofMembership No.ofMeeting(s)attended/held
Mr.ChetanKumar Chairman 1/1
Mrs.RamaKohli Member 1/1
Mr.KishoreKumarBansal Member 1/1
SarthakMetalsLimited|AnnualReport201718
(c) STAKEHOLDERSRELATIONSHIPCOMMITTEE
TheStakeholdersRelationshipCommitteeisconstitutedaccordingtoSection178oftheCompaniesAct,2013and
SEBI Listing Regulations. The Committee ensures cordial investor relations and overseas the mechanism for
redressal of investor grievances. The Committee specifically looks into redressing shareholders and investor
complaints/grievancespertainingtosharetransfers,nonreceiptsofannualreports,nonreceiptofdividendand
otheralliedcomplaints.
Ason31stMarch,2018,theStakeholdersRelationshipCommitteecomprisesofthefollowingmembers
1. Mr.ChetanKumar Chairman
2. Ms.RamaKohli Member
3. Mr.KishoreKumarBansal Member
During the period under review, Company has not received any complaint from shareholders. There is no
outstandingcomplaintason31stMarch,2018.
TheCompanySecretaryoftheCompanyalsoactsasComplianceOfficeroftheCompany.
(d) CORPORATESOCIALRESPONSIBILITYCOMMITTEE
In compliance with provision of the Companies Act, 2013 and SEBI Listing Regulations, a Corporate Social
ResponsibilityCommitteeoftheCompanyhasbeenconstituted.
Ason31stMarch,2018,theCorporateSocialResponsibilityCommitteecomprisesofthefollowingmembers
1. Mr.ChetanKumar Chairman
2. Ms.RamaKohli Member
3. Mr.KishoreKumarBansal Member
TheCommitteemet2timesduringtheyearon29thMay,2017and15thNovember,2017andtheattendanceof
MembersattheMeetingsisasfollows:
NOMINATION&REMUNERATIONPOLICYOFTHECOMPANY:
TheBoardhas,ontherecommendationoftheNomination&RemunerationCommitteeframedapolicyforselectionand
appointmentofDirectors,SeniorManagementandtheirremuneration.
The Company’s remuneration policy is directed towards rewarding performance based on review of achievements
periodically.Theremunerationpolicyisinconsonancewiththeexistingindustrypractice.ExtractofRemunerationPolicy
fromNominationandRemunerationpolicyisattachedasAnnexureA
ANALYSISOFREMUNERATION
ThedetailsofremunerationpaidtoDirectorsandKeyManagerialPersonnelisgiveninextractofAnnualreturnattached
withthisreport.
9
NameofMember NatureofMembership No.ofMeeting(s)attended/held
Mr.ChetanKumar Chairman 2/2
Mrs.RamaKohli Member 2/2
Mr.KishoreKumarBansal Member 2/2
SarthakMetalsLimited|AnnualReport201718
![Page 14: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/14.jpg)
constituted various Committees of its members. These Committees hold meetings at such frequencies as is deemed
necessarybythemtoeffectivelyundertakeanddeliverupontheresponsibilitiesandtasksassignedtothem.Minutesof
themeetingsofeachoftheseCommitteesaretabledregularlyattheBoardMeetings.
YourCompanycurrentlyhas4(Four)Committeesviz:
(a) AUDITCOMMITTEE
TheCompanyhasformedaqualifiedandIndependentAuditCommitteewhichactsasalinkbetweentheStatutory
andInternalAuditorsandtheBoardofDirectors.ThetermsofreferenceoftheAuditCommitteecoverthematters
specifiedforAuditCommitteeintheSEBIListingRegulationsandSection177oftheCompaniesAct,2013.
Ason31stMarch,2018,theAuditCommitteecomprisesofthefollowingmembers
1. Mr.ChetanKumar Chairman
2. Ms.RamaKohli Member
3. Mr.KishoreKumarBansal Member
TheCommitteemet4timesduringtheyearon29thMay,2017,23rdJune,2017and15thNovember2017andthe
attendanceofMembersattheMeetings.
TheCompanySecretaryoftheCompanyistheSecretaryoftheCommittee.
The Chairman of the Audit Committee of the Companywas present at the last Annual GeneralMeeting of the
Companyheldon1stAugust,2017.
(b) NOMINATION&REMUNERATIONCOMMITTEE
In compliance with Section 178 of the Companies Act, 2013 and SEBI Listing Regulations, a Nomination &
RemunerationCommitteeoftheCompanyhasbeenconstituted.
Ason31stMarch,2018,theNominationandRemunerationCommitteecomprisesofthefollowingmembers
1. Mr.ChetanKumar Chairman
2. Ms.RamaKohli Member
3. Mr.KishoreKumarBansal Member
TheCommitteemet1timeduringtheyearon15thApril,2017andtheattendanceofMembersattheMeetingsis
asfollows:
8
NameofMember NatureofMembership No.ofMeeting(s)attended/held
Mr.ChetanKumar Chairman 3/3
Mrs.RamaKohli Member 3/3
Mr.KishoreKumarBansal Member 3/3
NameofMember NatureofMembership No.ofMeeting(s)attended/held
Mr.ChetanKumar Chairman 1/1
Mrs.RamaKohli Member 1/1
Mr.KishoreKumarBansal Member 1/1
SarthakMetalsLimited|AnnualReport201718
(c) STAKEHOLDERSRELATIONSHIPCOMMITTEE
TheStakeholdersRelationshipCommitteeisconstitutedaccordingtoSection178oftheCompaniesAct,2013and
SEBI Listing Regulations. The Committee ensures cordial investor relations and overseas the mechanism for
redressal of investor grievances. The Committee specifically looks into redressing shareholders and investor
complaints/grievancespertainingtosharetransfers,nonreceiptsofannualreports,nonreceiptofdividendand
otheralliedcomplaints.
Ason31stMarch,2018,theStakeholdersRelationshipCommitteecomprisesofthefollowingmembers
1. Mr.ChetanKumar Chairman
2. Ms.RamaKohli Member
3. Mr.KishoreKumarBansal Member
During the period under review, Company has not received any complaint from shareholders. There is no
outstandingcomplaintason31stMarch,2018.
TheCompanySecretaryoftheCompanyalsoactsasComplianceOfficeroftheCompany.
(d) CORPORATESOCIALRESPONSIBILITYCOMMITTEE
In compliance with provision of the Companies Act, 2013 and SEBI Listing Regulations, a Corporate Social
ResponsibilityCommitteeoftheCompanyhasbeenconstituted.
Ason31stMarch,2018,theCorporateSocialResponsibilityCommitteecomprisesofthefollowingmembers
1. Mr.ChetanKumar Chairman
2. Ms.RamaKohli Member
3. Mr.KishoreKumarBansal Member
TheCommitteemet2timesduringtheyearon29thMay,2017and15thNovember,2017andtheattendanceof
MembersattheMeetingsisasfollows:
NOMINATION&REMUNERATIONPOLICYOFTHECOMPANY:
TheBoardhas,ontherecommendationoftheNomination&RemunerationCommitteeframedapolicyforselectionand
appointmentofDirectors,SeniorManagementandtheirremuneration.
The Company’s remuneration policy is directed towards rewarding performance based on review of achievements
periodically.Theremunerationpolicyisinconsonancewiththeexistingindustrypractice.ExtractofRemunerationPolicy
fromNominationandRemunerationpolicyisattachedasAnnexureA
ANALYSISOFREMUNERATION
ThedetailsofremunerationpaidtoDirectorsandKeyManagerialPersonnelisgiveninextractofAnnualreturnattached
withthisreport.
9
NameofMember NatureofMembership No.ofMeeting(s)attended/held
Mr.ChetanKumar Chairman 2/2
Mrs.RamaKohli Member 2/2
Mr.KishoreKumarBansal Member 2/2
SarthakMetalsLimited|AnnualReport201718
![Page 15: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/15.jpg)
ThemedianremunerationofemployeesoftheCompanyduringthefinancialyearwasRs.1,11,091.72p.a.Pleasenotethat
onlythosepersonswhowereemployeesason31stMarch2018havebeenconsideredforthecalculationofthemedian
salary.Further,nobonuspaymentshavebeenconsideredforthesecalculations.
NamesandPositions [A]RatioofDirectors'RemunerationtothemedianRemunerationofEmployees
[B]Percentage(%)increaseinRemuneration
MR.CHETANKUMAR(INDEPENDENTDIRECTOR&CHAIRPERSON
NIL NotApplicable
MS.RAMAKOHLI(INDEPENDENTDIRECTOR)
NIL NotApplicable
MR.ANOOPKUMARBANSAL(MANAGINGDIRECTOR)
21.60Times Reductionby33%
MR.MAYURBHATT(WHOLETIMEDIRECTOR)
5.4Times Reductionby50%
MR.KISHOREKUMARBANSAL(DIRECTOR)
NIL Reductionby100%
MR.SANJAYSHAH(WHOLETIMEDIRECTOR)
21.60Times Reductionby33%
MR.ANIRUDHSINGHAL(CHIEFFINANCIALOFFICER)
21.60Times Reductionby50%
MRS.ITIKASINGHAL(COMPANYSECRETARY)
2.70Times NotApplicableasMs.ItikaSinghalwasnotemployedwith
theCompanyinFY2017
10
Disclosure/details pursuant to provisions of Section 197 (12) of the Companies Act 2013 read with the Companies
(AppointmentandRemunerationofmanagerialpersonnel)Rules,2014aregivenasfollows:
SarthakMetalsLimited|AnnualReport201718
[C]PercentageincreaseinthemedianRemunerationofEmployees
Declineof2.67%
[D]NumberofpermanentEmployeesontherollsofCompany
126ason31stMarch2018
[E]Explanationontherelationshipbetweenaveragei n c r e a s e i n R e m u n e r a t i o n a n d C o m p a nyperformance
SalesIncrease–12.4%EBITDAIncrease–16.7%PBTIncrease–18.15%PATIncrease–20.25%EPSIncrease–20%MedianSalaryDecline–(2.67%)
[F] Comparison of the Remuneration of the KeyManagerial Personnel against the performance oftheCompany
The Remuneration of the Key Managerial personnel haspersonnelhasdeclined33%andthecompany'sturnoverhasincreased by 12.4%. Further, the company's EPS has alsoincreasedby20%.
[G] Variations in the Market Capitalization of theCompanyasat31stMarch,2018ascomparedto31stMarch,2017
Increase in Market capitalization of company by 16.98%comparedbetween31stMarch2017and30thMarch2018
[H] Price Earning Ratio as at 31st March, 2018 ascomparedto31stMarch,2017
Increaseof20%
[I] Percentage increase or decrease in the marketquotations of the shares of the company incomparisontotherateatwhichthecompanycameoutwiththelastpublicoffer
Thecompanywaslistedason27thMarch2017atRs30perequityshare.Thepriceperequityshareon31stMarch2018atclosingbellwasRs41pershare.Thepercentage increase is36.67%.
(J)Averagepercentileincreasealreadymadeinthesalaries of employees other than the managerialpersonalinthelastfinancialyearanditscomparisonwith the percentile increase in the managerialremunerationandjustificationthereof
MedianSalaryofnonmanagerialstaffhasdeclinedby2.67%andtheaveragesalaryofmanagerialstaffhasdeclinedby33%average.
(K)ComparisonoftheeachKMPsRemunerationvis-à-vistheperformanceoftheCompany
NameofKMP RemunerationofKMP(RsinLacs)
NetProfitofCompanyaftertax(RsinLacs)
Mr.AnoopKumarBansal(ManagingDirector)
Mr.AnirudhSinghal(ChiefFinancialOfficer)
Mr.MayurBhatt(WholeTimeDirector)
Mr.SanjayShah(WholeTimeDirector)
Ms.ItikaSinghal(CompanySecretary)
24.00
6.50
6.50
24.00
3.00
475.58
(L)Thekeyparametersforanyvariablecomponentofremunerationavailedbythedirectors
No
(M)TheratiooftheremunerationofthehighestpaidDirector to that of the Employees who are notDirectorsbutreceiveremunerationinexcessofthehighestpaidDirectorduringtheyear.
HighestpaidDirectorsRemuneration(I)Rs24,00,000
RemunerationofRatioEmployeereceivingremunerationinexcessof(I)1.25
11
SarthakMetalsLimited|AnnualReport201718
![Page 16: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/16.jpg)
ThemedianremunerationofemployeesoftheCompanyduringthefinancialyearwasRs.1,11,091.72p.a.Pleasenotethat
onlythosepersonswhowereemployeesason31stMarch2018havebeenconsideredforthecalculationofthemedian
salary.Further,nobonuspaymentshavebeenconsideredforthesecalculations.
NamesandPositions [A]RatioofDirectors'RemunerationtothemedianRemunerationofEmployees
[B]Percentage(%)increaseinRemuneration
MR.CHETANKUMAR(INDEPENDENTDIRECTOR&CHAIRPERSON
NIL NotApplicable
MS.RAMAKOHLI(INDEPENDENTDIRECTOR)
NIL NotApplicable
MR.ANOOPKUMARBANSAL(MANAGINGDIRECTOR)
21.60Times Reductionby33%
MR.MAYURBHATT(WHOLETIMEDIRECTOR)
5.4Times Reductionby50%
MR.KISHOREKUMARBANSAL(DIRECTOR)
NIL Reductionby100%
MR.SANJAYSHAH(WHOLETIMEDIRECTOR)
21.60Times Reductionby33%
MR.ANIRUDHSINGHAL(CHIEFFINANCIALOFFICER)
21.60Times Reductionby50%
MRS.ITIKASINGHAL(COMPANYSECRETARY)
2.70Times NotApplicableasMs.ItikaSinghalwasnotemployedwith
theCompanyinFY2017
10
Disclosure/details pursuant to provisions of Section 197 (12) of the Companies Act 2013 read with the Companies
(AppointmentandRemunerationofmanagerialpersonnel)Rules,2014aregivenasfollows:
SarthakMetalsLimited|AnnualReport201718
[C]PercentageincreaseinthemedianRemunerationofEmployees
Declineof2.67%
[D]NumberofpermanentEmployeesontherollsofCompany
126ason31stMarch2018
[E]Explanationontherelationshipbetweenaveragei n c r e a s e i n R e m u n e r a t i o n a n d C o m p a nyperformance
SalesIncrease–12.4%EBITDAIncrease–16.7%PBTIncrease–18.15%PATIncrease–20.25%EPSIncrease–20%MedianSalaryDecline–(2.67%)
[F] Comparison of the Remuneration of the KeyManagerial Personnel against the performance oftheCompany
The Remuneration of the Key Managerial personnel haspersonnelhasdeclined33%andthecompany'sturnoverhasincreased by 12.4%. Further, the company's EPS has alsoincreasedby20%.
[G] Variations in the Market Capitalization of theCompanyasat31stMarch,2018ascomparedto31stMarch,2017
Increase in Market capitalization of company by 16.98%comparedbetween31stMarch2017and30thMarch2018
[H] Price Earning Ratio as at 31st March, 2018 ascomparedto31stMarch,2017
Increaseof20%
[I] Percentage increase or decrease in the marketquotations of the shares of the company incomparisontotherateatwhichthecompanycameoutwiththelastpublicoffer
Thecompanywaslistedason27thMarch2017atRs30perequityshare.Thepriceperequityshareon31stMarch2018atclosingbellwasRs41pershare.Thepercentage increase is36.67%.
(J)Averagepercentileincreasealreadymadeinthesalaries of employees other than the managerialpersonalinthelastfinancialyearanditscomparisonwith the percentile increase in the managerialremunerationandjustificationthereof
MedianSalaryofnonmanagerialstaffhasdeclinedby2.67%andtheaveragesalaryofmanagerialstaffhasdeclinedby33%average.
(K)ComparisonoftheeachKMPsRemunerationvis-à-vistheperformanceoftheCompany
NameofKMP RemunerationofKMP(RsinLacs)
NetProfitofCompanyaftertax(RsinLacs)
Mr.AnoopKumarBansal(ManagingDirector)
Mr.AnirudhSinghal(ChiefFinancialOfficer)
Mr.MayurBhatt(WholeTimeDirector)
Mr.SanjayShah(WholeTimeDirector)
Ms.ItikaSinghal(CompanySecretary)
24.00
6.50
6.50
24.00
3.00
475.58
(L)Thekeyparametersforanyvariablecomponentofremunerationavailedbythedirectors
No
(M)TheratiooftheremunerationofthehighestpaidDirector to that of the Employees who are notDirectorsbutreceiveremunerationinexcessofthehighestpaidDirectorduringtheyear.
HighestpaidDirectorsRemuneration(I)Rs24,00,000
RemunerationofRatioEmployeereceivingremunerationinexcessof(I)1.25
11
SarthakMetalsLimited|AnnualReport201718
![Page 17: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/17.jpg)
PARTICULARSOFEMPLOYEES
NoneoftheemployeesoftheCompanyisdrawingremuneration,requiringdisclosureofinformationundersection134of
theCompaniesAct,2013readwithRule5(2)oftheCompanies(Appointment&RemunerationofManagerialPersonnel)
Rules,2014
REGULATORYORDERS
Duringtheyeartherewasnosignificantandmaterialorderspassedbytheregulatorsorcourtsortribunalsimpactingthe
goingconcernstatusandCompany’soperationsinfuture.
WHISTLEBLOWERPOLICY:
PursuanttotheSection177(9)and(10)oftheCompaniesAct,2013andSecuritiesandExchangeBoardofIndia(Listing
ObligationsandDisclosureRequirements)Regulations,2015,theCompanyhasformulatedWhistleBlowerPolicyforvigil
mechanismforDirectorsandEmployeestoreportthemanagementabouttheunethicalbehavior,fraud,improperpractice
or violation of the Company’s Code of Conduct or complaints regarding accounting, auditing, internal controls or
disclosurepracticesoftheCompany.Itgivesaplatformtothewhistleblowertoreportanyunethicalorimproperpractice
(not necessarily violation of law) and to define processes for receiving and investigating complaints. The mechanism
provides adequate safeguards against victimization of employees and directors who use such mechanism and makes
provisionfordirectaccesstotheChairmanoftheAuditCommitteeinexceptionalcases.
STATUTORYAUDITORS
InaccordancewiththeprovisionsofSection139&142oftheCompaniesAct,2013readwiththeCompanies(Auditand
Auditors)Rules,2014,asamendedfromtimetotimeandsuchotherapplicableprovisions,M/sBegani&Begani,(FRN
010779C),StatutoryAuditFirmwereappointedasAuditorsof theCompanytoholdoffice fromtheconclusionof22nd
AnnualGeneralMeeting(‘AGM’) till theconclusionof the27thAGMto2022,atsuchremuneration includingapplicable
taxes,asmaybemutuallyagreedbetweentheBoardofDirectorsoftheCompanyandtheAuditors.
AUDITORS'REPORT
TheBoardhasdulyreviewedtheStatutoryAuditor’sReporton theAccounts.Theobservationscommentsandnotesof
Auditorareselfexplanatoryanddonotcallforanyfurtherexplanation/clarification
COSTAUDITOR-NOTAPPLICABLE
SECRETARIALAUDITORS
Pursuant to the provisions of Section 204 of Companies Act, 2013 and the rules made thereunder, the Company has
appointedM/sNILESHA. PRADHAN&CO. PracticingCompany Secretary (COP.No. 3659) to undertake the Secretarial
AuditoftheCompanyforthe31st,March,2018.
TheSecretarialAuditReport for the financialyearended31stMarch2018 is includedasAnnexureMR3and formsan
integralpartofthisreport.
ResponsesofyourDirectorsontheobservationsmadebytheSecretarialAuditorareasfollows:
ResponsetopointNo.1
TheCompanyhassubmittedtheAnnualReporttotheStockExchangeBEFOREDUEDATEi.e.asmentionedinRegulation
34of theSecuritiesandExchangeBoardof India (ListingObligationsandDisclosureRequirements)Regulations,2015.
The Annual Report is available on BSE website, but advertently, it was uploaded before the prescribed due date. The
companywilltakecareofitnexttimeandwillfiletoBSEontimeafterAnnualGeneralMeeting.
12
SarthakMetalsLimited|AnnualReport201718
ResponsetopointNo.2
Therewas1daydelayintheBoardMeetingforthequarterended30thSeptember2017,itwasheldon15thNovember,
2017 instead of 14thNovember, 2017. This delay occurred inadvertently due to somemiscalculation in estimating the
numberofdays.Themanagementensurestotakecareofitinfuture.
ResponsetopointNo.3
TheCompanyhastransferredtheDividenddeclaredon1stAugust,2017fortheyearended31.03.2017totheseparate
bankaccountaspertheprovisionssection123ofthe CompaniesAct,2013on8thAugust,2017,sincethereweretwo
holidaysinbetween.
ResponsetopointNo.4
This delay occurred as there are various Bank formalities to open Bank account with the name of Unpaid Dividend
Account SarthakMetals Limited inBhilai (RemoteArea). Themanagement isworking on it andwill take care of it in
future.
DETAILSOFSUBSIDIARY/JOINTVENTURES/ASSOCIATECOMPANIES
TheCompanydoesnothaveanySubsidiaryCompanyorJointVentureCompanyorAssociateCompany.
CORPORATESOCIALRESPONSIBILITY
ThedetailsoftheCorporateSocialResponsibilityPolicyframedandactivitiescarriedoutthereunderarerequiredtobe
disclosed in the format prescribed under Companies (Corporate Social Responsibility Policy) Rules, 2014 is given as
AnnexureB.
PARTICULARSOFLOANS,GUARANTEESORINVESTMENTSUNDERSECTION186
TherearenoLoans,InvestmentsorGuarantees/SecuritygivenbytheCompanyduringtheyearundersection186ofthe
CompaniesAct,2013;hencenoparticularsarerequiredtobegiven.
PARTICULARSOFCONTRACTSORARRANGEMENTSWITHRELATEDPARTIES:
AlltransactionsenteredintowiththeRelatedPartiesasdefinedundertheCompaniesAct,2013andordinarycourseof
business and on an arm’s length pricing basis. There were no materially significant transactions with related parties
duringthefinancialyearwhichwereinconflictwiththeinterestoftheCompany.
KindlynotethattheformatfordisclosuresoftransactionswithrelatedpartyarementionedinAnnexureAOC2.
MATERIAL CHANGES AND COMMITMENTS, IF ANY, AFFECTING THE FINANCIAL POSITION OF THE COMPANY
WHICH HAVE OCCURRED BETWEEN THE END OF THE FINANCIAL YEAR OF THE COMPANY TO WHICH THE
FINANCIALSTATEMENTSRELATEANDTHEDATEOFTHEREPORT
Managementdoesnotperceive anymaterial changesoccurred subsequent to the closeof the financial year as on31st
March, 2018 before the date of report dated 1ST August, 2018, affecting the financial position of the Company in any
substantialmanner.
ENERGYCONSERVATION,TECHNOLOGYABSORPTIONANDFOREIGNEXCHANGEEARNINGSANDOUTGO:
(A) ParticularsrelatingtoconservationofenergyandtechnologyabsorptionstipulatedintheCompanies(Accounts)
Rules, 2014 are not applicable. The Company is not energy intensive. Further, the Company’s technology is
indigenouslydevelopedandbeingconstantlyupgradedbasedonearningsofthepromotersandemployees.
13
SarthakMetalsLimited|AnnualReport201718
![Page 18: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/18.jpg)
PARTICULARSOFEMPLOYEES
NoneoftheemployeesoftheCompanyisdrawingremuneration,requiringdisclosureofinformationundersection134of
theCompaniesAct,2013readwithRule5(2)oftheCompanies(Appointment&RemunerationofManagerialPersonnel)
Rules,2014
REGULATORYORDERS
Duringtheyeartherewasnosignificantandmaterialorderspassedbytheregulatorsorcourtsortribunalsimpactingthe
goingconcernstatusandCompany’soperationsinfuture.
WHISTLEBLOWERPOLICY:
PursuanttotheSection177(9)and(10)oftheCompaniesAct,2013andSecuritiesandExchangeBoardofIndia(Listing
ObligationsandDisclosureRequirements)Regulations,2015,theCompanyhasformulatedWhistleBlowerPolicyforvigil
mechanismforDirectorsandEmployeestoreportthemanagementabouttheunethicalbehavior,fraud,improperpractice
or violation of the Company’s Code of Conduct or complaints regarding accounting, auditing, internal controls or
disclosurepracticesoftheCompany.Itgivesaplatformtothewhistleblowertoreportanyunethicalorimproperpractice
(not necessarily violation of law) and to define processes for receiving and investigating complaints. The mechanism
provides adequate safeguards against victimization of employees and directors who use such mechanism and makes
provisionfordirectaccesstotheChairmanoftheAuditCommitteeinexceptionalcases.
STATUTORYAUDITORS
InaccordancewiththeprovisionsofSection139&142oftheCompaniesAct,2013readwiththeCompanies(Auditand
Auditors)Rules,2014,asamendedfromtimetotimeandsuchotherapplicableprovisions,M/sBegani&Begani,(FRN
010779C),StatutoryAuditFirmwereappointedasAuditorsof theCompanytoholdoffice fromtheconclusionof22nd
AnnualGeneralMeeting(‘AGM’) till theconclusionof the27thAGMto2022,atsuchremuneration includingapplicable
taxes,asmaybemutuallyagreedbetweentheBoardofDirectorsoftheCompanyandtheAuditors.
AUDITORS'REPORT
TheBoardhasdulyreviewedtheStatutoryAuditor’sReporton theAccounts.Theobservationscommentsandnotesof
Auditorareselfexplanatoryanddonotcallforanyfurtherexplanation/clarification
COSTAUDITOR-NOTAPPLICABLE
SECRETARIALAUDITORS
Pursuant to the provisions of Section 204 of Companies Act, 2013 and the rules made thereunder, the Company has
appointedM/sNILESHA. PRADHAN&CO. PracticingCompany Secretary (COP.No. 3659) to undertake the Secretarial
AuditoftheCompanyforthe31st,March,2018.
TheSecretarialAuditReport for the financialyearended31stMarch2018 is includedasAnnexureMR3and formsan
integralpartofthisreport.
ResponsesofyourDirectorsontheobservationsmadebytheSecretarialAuditorareasfollows:
ResponsetopointNo.1
TheCompanyhassubmittedtheAnnualReporttotheStockExchangeBEFOREDUEDATEi.e.asmentionedinRegulation
34of theSecuritiesandExchangeBoardof India (ListingObligationsandDisclosureRequirements)Regulations,2015.
The Annual Report is available on BSE website, but advertently, it was uploaded before the prescribed due date. The
companywilltakecareofitnexttimeandwillfiletoBSEontimeafterAnnualGeneralMeeting.
12
SarthakMetalsLimited|AnnualReport201718
ResponsetopointNo.2
Therewas1daydelayintheBoardMeetingforthequarterended30thSeptember2017,itwasheldon15thNovember,
2017 instead of 14thNovember, 2017. This delay occurred inadvertently due to somemiscalculation in estimating the
numberofdays.Themanagementensurestotakecareofitinfuture.
ResponsetopointNo.3
TheCompanyhastransferredtheDividenddeclaredon1stAugust,2017fortheyearended31.03.2017totheseparate
bankaccountaspertheprovisionssection123ofthe CompaniesAct,2013on8thAugust,2017,sincethereweretwo
holidaysinbetween.
ResponsetopointNo.4
This delay occurred as there are various Bank formalities to open Bank account with the name of Unpaid Dividend
Account SarthakMetals Limited inBhilai (RemoteArea). Themanagement isworking on it andwill take care of it in
future.
DETAILSOFSUBSIDIARY/JOINTVENTURES/ASSOCIATECOMPANIES
TheCompanydoesnothaveanySubsidiaryCompanyorJointVentureCompanyorAssociateCompany.
CORPORATESOCIALRESPONSIBILITY
ThedetailsoftheCorporateSocialResponsibilityPolicyframedandactivitiescarriedoutthereunderarerequiredtobe
disclosed in the format prescribed under Companies (Corporate Social Responsibility Policy) Rules, 2014 is given as
AnnexureB.
PARTICULARSOFLOANS,GUARANTEESORINVESTMENTSUNDERSECTION186
TherearenoLoans,InvestmentsorGuarantees/SecuritygivenbytheCompanyduringtheyearundersection186ofthe
CompaniesAct,2013;hencenoparticularsarerequiredtobegiven.
PARTICULARSOFCONTRACTSORARRANGEMENTSWITHRELATEDPARTIES:
AlltransactionsenteredintowiththeRelatedPartiesasdefinedundertheCompaniesAct,2013andordinarycourseof
business and on an arm’s length pricing basis. There were no materially significant transactions with related parties
duringthefinancialyearwhichwereinconflictwiththeinterestoftheCompany.
KindlynotethattheformatfordisclosuresoftransactionswithrelatedpartyarementionedinAnnexureAOC2.
MATERIAL CHANGES AND COMMITMENTS, IF ANY, AFFECTING THE FINANCIAL POSITION OF THE COMPANY
WHICH HAVE OCCURRED BETWEEN THE END OF THE FINANCIAL YEAR OF THE COMPANY TO WHICH THE
FINANCIALSTATEMENTSRELATEANDTHEDATEOFTHEREPORT
Managementdoesnotperceive anymaterial changesoccurred subsequent to the closeof the financial year as on31st
March, 2018 before the date of report dated 1ST August, 2018, affecting the financial position of the Company in any
substantialmanner.
ENERGYCONSERVATION,TECHNOLOGYABSORPTIONANDFOREIGNEXCHANGEEARNINGSANDOUTGO:
(A) ParticularsrelatingtoconservationofenergyandtechnologyabsorptionstipulatedintheCompanies(Accounts)
Rules, 2014 are not applicable. The Company is not energy intensive. Further, the Company’s technology is
indigenouslydevelopedandbeingconstantlyupgradedbasedonearningsofthepromotersandemployees.
13
SarthakMetalsLimited|AnnualReport201718
![Page 19: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/19.jpg)
14
(B)ForeignexchangeearningsandOutgo:
PUBLICDEPOSITS
YourCompanyhasnotaccepted,invitedand/orreceivedanydepositsfrompublicwithinthemeaningofsection73&76
oftheCompaniesAct,2013andtheCompanies(AcceptanceofDeposit)Rules,2014,asamendedfromtimetotimeduring
theyearunderreview.
ISSUE OF EQUITY SHARES WITH DIFFERENTIAL VOTING RIGHTS/SWEAT EQUITY SHARES/ EMPLOYEE STOCK
OPTIONSCHEME
Atthebeginningoftheyear,therewerenoEquityshareswithdifferentialvotingrightsorsweatequitysharesoremployee
stockoptionschemeoutstanding.
Duringtheyear, theCompanyhasnot issuedanyequityshareswithdifferentialvotingrightsorsweatequitysharesor
sharesunderemployeestockoptionscheme.Hence,disclosuresregardingthesamearenotrequiredtobegiven.
DISCLOSUREONCOSTRECORDSMAINTENANANCE
TheprovisionswithrespecttomaintenanceofcostrecordsasspecifiedbytheCentralGovernmentundersubsection(1)
ofsection148oftheCompaniesAct,2013,isnotapplicabletotheCompany.
INTERNALCONTROLSYSTEMANDTHEIRADEQUACY
The Company has proper and adequate system of internal controls to ensure that all the assets are safeguarded and
protectedagainstlossesfromunauthorizeduseordispositionandthattransactionsareauthorized,recordedandreported
correctly. The Company has an effective system in place for achieving efficiency in operations, optimum and effective
utilizationofresources,monitoringthereofandcompliancewithapplicablelaws.Theauditorshavealsoexpressedtheir
satisfactionontheadequacyoftheinternalcontrolsystemsincorporatedbyyourcompany.
DISCLOSUREUNDERTHESEXUALHARASSMENTOFWOMENATWORKPLACE(PREVENTION,PROHIBITIONAND
REDRESSAL)ACT,2013:
TheCompanyhas inplaceapolicyonPrevention,ProhibitionandRedressalofSexualHarassmentatworkplace in line
with the requirements of the Sexual Harassment ofWomen atWorkplace (Prevention, Prohibition and Redressal) Act,
2013. The Company has complied with setting up of an Internal Complaints Committee (ICC) to redress complaints
received regarding sexualharassment.Thepolicyhas set guidelineson the redressal andenquiryprocess that is tobe
followed by complainants and the ICC, whilst dealing with issues related to sexual harassment at the work place. All
womenemployees(permanent,temporary,contractualandtrainees)arecoveredunderthispolicy.TheCompanyhasnot
receivedanycomplaintsduringtheyear.
DIRECTORS'RESPONSIBILITYSTATEMENT
Pursuant to the requirements under Section 134(5) of the Companies Act, 2013, with respect to the Director’s
ResponsibilitiesStatement,theDirectorsstateandherebyconfirmthat:
Particulars Ason01.04.2017(InRs.) Ason31.03.2018(InRs.)
Foreignexchangeearnings 5,71,99,953 24,21,80,995
ForeignExchangeOutgo 39,73,15,729 56,13,34,105
SarthakMetalsLimited|AnnualReport201718
15
(a) In the preparation of the annual accounts, the applicable accounting standards have been followed alongwith
properexplanationrelatingtomaterialdepartures;
(b) the directors have selected such accounting policies and applied them consistently and made judgments and
estimatesthatarereasonableandprudentsoastogiveatrueandfairviewofthestateofaffairsofthecompany
attheendofthefinancialyearandoftheprofitandlossofthecompanyforthatperiod;
(c) The directors have taken proper and sufficient care for the maintenance of adequate accounting records in
accordancewith the provisions of this Act for safeguarding the assets of the company and for preventing and
detectingfraudandotherirregularities;
(d)Thedirectorshavepreparedtheannualaccountsonagoingconcernbasis;and
(e)thedirectorshavedevisedpropersystemstoensurecompliancewiththeprovisionsofallapplicablelawsandthat
suchsystemsareadequateandoperatingeffectively.
ACKNOWLEDGMENTS:
TheBoardofDirectorswishtoplaceonrecorditsappreciationforthecommitment,dedicationandhardworkdonebythe
employeesoftheCompanyandthecooperationextendedbyBanks,GovernmentAuthorities,Customers,Shareholdersand
looksforwardtoacontinuedmutualsupportandcooperation.
FORSARTHAKMETALSLIMITED
Sd/-
(ANOOPKUMARBANSAL)
(DINNo.01661844)
Chairman&ManagingDirector
Place:Bhilai,Chhattisgarh
Date:01.08.2018
SarthakMetalsLimited|AnnualReport201718
![Page 20: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/20.jpg)
14
(B)ForeignexchangeearningsandOutgo:
PUBLICDEPOSITS
YourCompanyhasnotaccepted,invitedand/orreceivedanydepositsfrompublicwithinthemeaningofsection73&76
oftheCompaniesAct,2013andtheCompanies(AcceptanceofDeposit)Rules,2014,asamendedfromtimetotimeduring
theyearunderreview.
ISSUE OF EQUITY SHARES WITH DIFFERENTIAL VOTING RIGHTS/SWEAT EQUITY SHARES/ EMPLOYEE STOCK
OPTIONSCHEME
Atthebeginningoftheyear,therewerenoEquityshareswithdifferentialvotingrightsorsweatequitysharesoremployee
stockoptionschemeoutstanding.
Duringtheyear, theCompanyhasnot issuedanyequityshareswithdifferentialvotingrightsorsweatequitysharesor
sharesunderemployeestockoptionscheme.Hence,disclosuresregardingthesamearenotrequiredtobegiven.
DISCLOSUREONCOSTRECORDSMAINTENANANCE
TheprovisionswithrespecttomaintenanceofcostrecordsasspecifiedbytheCentralGovernmentundersubsection(1)
ofsection148oftheCompaniesAct,2013,isnotapplicabletotheCompany.
INTERNALCONTROLSYSTEMANDTHEIRADEQUACY
The Company has proper and adequate system of internal controls to ensure that all the assets are safeguarded and
protectedagainstlossesfromunauthorizeduseordispositionandthattransactionsareauthorized,recordedandreported
correctly. The Company has an effective system in place for achieving efficiency in operations, optimum and effective
utilizationofresources,monitoringthereofandcompliancewithapplicablelaws.Theauditorshavealsoexpressedtheir
satisfactionontheadequacyoftheinternalcontrolsystemsincorporatedbyyourcompany.
DISCLOSUREUNDERTHESEXUALHARASSMENTOFWOMENATWORKPLACE(PREVENTION,PROHIBITIONAND
REDRESSAL)ACT,2013:
TheCompanyhas inplaceapolicyonPrevention,ProhibitionandRedressalofSexualHarassmentatworkplace in line
with the requirements of the Sexual Harassment ofWomen atWorkplace (Prevention, Prohibition and Redressal) Act,
2013. The Company has complied with setting up of an Internal Complaints Committee (ICC) to redress complaints
received regarding sexualharassment.Thepolicyhas set guidelineson the redressal andenquiryprocess that is tobe
followed by complainants and the ICC, whilst dealing with issues related to sexual harassment at the work place. All
womenemployees(permanent,temporary,contractualandtrainees)arecoveredunderthispolicy.TheCompanyhasnot
receivedanycomplaintsduringtheyear.
DIRECTORS'RESPONSIBILITYSTATEMENT
Pursuant to the requirements under Section 134(5) of the Companies Act, 2013, with respect to the Director’s
ResponsibilitiesStatement,theDirectorsstateandherebyconfirmthat:
Particulars Ason01.04.2017(InRs.) Ason31.03.2018(InRs.)
Foreignexchangeearnings 5,71,99,953 24,21,80,995
ForeignExchangeOutgo 39,73,15,729 56,13,34,105
SarthakMetalsLimited|AnnualReport201718
15
(a) In the preparation of the annual accounts, the applicable accounting standards have been followed alongwith
properexplanationrelatingtomaterialdepartures;
(b) the directors have selected such accounting policies and applied them consistently and made judgments and
estimatesthatarereasonableandprudentsoastogiveatrueandfairviewofthestateofaffairsofthecompany
attheendofthefinancialyearandoftheprofitandlossofthecompanyforthatperiod;
(c) The directors have taken proper and sufficient care for the maintenance of adequate accounting records in
accordancewith the provisions of this Act for safeguarding the assets of the company and for preventing and
detectingfraudandotherirregularities;
(d)Thedirectorshavepreparedtheannualaccountsonagoingconcernbasis;and
(e)thedirectorshavedevisedpropersystemstoensurecompliancewiththeprovisionsofallapplicablelawsandthat
suchsystemsareadequateandoperatingeffectively.
ACKNOWLEDGMENTS:
TheBoardofDirectorswishtoplaceonrecorditsappreciationforthecommitment,dedicationandhardworkdonebythe
employeesoftheCompanyandthecooperationextendedbyBanks,GovernmentAuthorities,Customers,Shareholdersand
looksforwardtoacontinuedmutualsupportandcooperation.
FORSARTHAKMETALSLIMITED
Sd/-
(ANOOPKUMARBANSAL)
(DINNo.01661844)
Chairman&ManagingDirector
Place:Bhilai,Chhattisgarh
Date:01.08.2018
SarthakMetalsLimited|AnnualReport201718
![Page 21: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/21.jpg)
ANNEXURE:A
PROVISIONSRELATINGTOREMUNERATIONOFMANAGERIALPERSONNEL,KMPANDSENIORMANAGEMENT:
1) To grant approval for formulation of the criteria for determining qualifications, positive attributes and
independenceofadirectorandrecommendtotheBoardofDirectorsapolicyrelatingto,theremunerationofthe
directors,keymanagerialpersonnelandotheremployees.
2) To grant approval for formulation of criteria for evaluation of performance of independent Directors and the
BoardofDirectors.
3) TograntapprovalfordevisingapolicyondiversityofBoardofDirectors.
4) To approve and recommend to the Board of Directors appointment of persons who are qualified to become
directorsandwhomaybeappointedinseniormanagementinaccordancewiththecriterialaiddownaswellas
removal.
5) Tograntapprovalwhethertoextentorcontinuethetermofappointmentoftheindependentdirector,onthebasis
ofthereportofperformanceevaluationofindependentdirectors.
1. Abriefoutlineofthecompany'sCSRpolicy,includingoverview of projects or programs proposed to beundertakenandareferencetotheweblinktotheCSRpolicyandprojectsorprograms.
Sarthak Metals Limited is keen to working towardsprovidingeducationtotheunderpriviledgedkids. Inthisendeavor, the company has associated itselfwith ShoshitSevaSanghFoundationwhichoperatesaschoolinPatnaforthe Musahar(RatEating)CommunityofBihar.Thelinkofthewebsiteishttp://sssfoundation.org.SarthakMetalsLimitedisalsocommittedtohelpinglesserprivledged people in and around Bhilai, Chhattisgarh tohave access to affordable medical facilities like dialysis.Bhagwan Mahavir Jain Relief Trust has set up a dialysiscenterforthepoorinRaipur.SMLiscommittedtowardsprovidingaffordablehealthandeductioninthestateofChhattisgarhandisworkingtowardsprovidingsustainablesolutionsforthesame.
2. ThecompositionoftheCSRcommittee CompositionoftheCSRCommittee 1. Mr. Chetan Kumar Chairman/ Non Executive &
IndependentDirector 2. Mrs. Rama Kohli Member/ Non Executive &
IndependentDirector 3. Mr. Kishore Kumar Bansal Member/ Non
Executive&NonIndependentDirector
3. Average net profit of the company for last threefinancialyears.
Rs616.03Lacs
4. Prescribed CSR Expenditure (two percent of theamountasinitem3above)
Rs12.20Lacs
5. DetailsofCSRspentduringthefinancialyear: ShoshitSevaSanghFoundation–Rs2.4LacsCRY–Rs0.12LacsBhagwanMahavirJainReliefTrust–Rs2.00Lacs
AnnualReportonCSRActivities(Annexure-B)
16
SarthakMetalsLimited|AnnualReport201718
(1) (2) (3) (4) (5) (6) (7) (8)
Sl.No.
CSRprojectoractivity
Identified
Sectorinwhich
theProjectiscovered
Projectorprograms
(1)Localareaor
other(2)Specifythe
Stateanddistrict
whereprojectsor
programswereundertaken
Amountoutlay
(budget)projectorprograms
wise
(AmountinRs.)
Amountspentonthe
projectsorprogramsSub-heads:(1)Direct
expenditureonprojectsor
programs(2)
Overheads
(AmountinRs.)
Cumulativeexpenditure
uptothereporting
period(ason
31.03.2017)
Amountspent:
Directorthrough
implementing
agency
1. ShoshitSevaSanghFoundation
AffordableEducation
BIHAR Rs2.40Lacs
Rs2.40lacs Rs2.40lacs Direct
2 CRY AffordableEducation
CHHATTISGARH Unplanned Rs.0.12lacs Rs.0.12lacs Direct
3 BhagwanMahavirJainReliefTrust
AffordableHealth
CHHATTISGARH Unplanned Rs.2.00lacs Rs.2.00lacs Direct
6 In case the company has failed to spend the twopercent of the average net profit of the last threefinancialyearsoranypartthereof,thecompanyshallprovidethereasonsfornotspendingtheamountinitsBoardReport.
Section135ofTheCompaniesAct2013recommendsthatCSRexpenditurebytheCompanyshouldbepreferablydoneinandaroundtheareaofit'soperations.However,SML'sCSRcommitteewasunabletofindanyworthycauseinlinewithCompaniescauses.However,SMLiscommitteedtoAffordablehealthandAffordableEducationinthestateofChhattisgarhandshallworktowardsthesame.
7. AresponsibilitystatementoftheCSRCommitteethattheimplementationandmonitoringofCSRpolicy,isincompliance with CSR objectives and Policy of thecompany.
YES
17
(a) Totalamounttobespentforthefinancialyear Rs.9.03lacs
(b) Amountunspent,ifany Rs.6.63lacs
(c) Manner in which the amount spent during thefinancialyearisdetailedbelow
Rs2.40lacs–DonationtoSSSFoundation
SarthakMetalsLimited|AnnualReport201718
![Page 22: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/22.jpg)
ANNEXURE:A
PROVISIONSRELATINGTOREMUNERATIONOFMANAGERIALPERSONNEL,KMPANDSENIORMANAGEMENT:
1) To grant approval for formulation of the criteria for determining qualifications, positive attributes and
independenceofadirectorandrecommendtotheBoardofDirectorsapolicyrelatingto,theremunerationofthe
directors,keymanagerialpersonnelandotheremployees.
2) To grant approval for formulation of criteria for evaluation of performance of independent Directors and the
BoardofDirectors.
3) TograntapprovalfordevisingapolicyondiversityofBoardofDirectors.
4) To approve and recommend to the Board of Directors appointment of persons who are qualified to become
directorsandwhomaybeappointedinseniormanagementinaccordancewiththecriterialaiddownaswellas
removal.
5) Tograntapprovalwhethertoextentorcontinuethetermofappointmentoftheindependentdirector,onthebasis
ofthereportofperformanceevaluationofindependentdirectors.
1. Abriefoutlineofthecompany'sCSRpolicy,includingoverview of projects or programs proposed to beundertakenandareferencetotheweblinktotheCSRpolicyandprojectsorprograms.
Sarthak Metals Limited is keen to working towardsprovidingeducationtotheunderpriviledgedkids. Inthisendeavor, the company has associated itselfwith ShoshitSevaSanghFoundationwhichoperatesaschoolinPatnaforthe Musahar(RatEating)CommunityofBihar.Thelinkofthewebsiteishttp://sssfoundation.org.SarthakMetalsLimitedisalsocommittedtohelpinglesserprivledged people in and around Bhilai, Chhattisgarh tohave access to affordable medical facilities like dialysis.Bhagwan Mahavir Jain Relief Trust has set up a dialysiscenterforthepoorinRaipur.SMLiscommittedtowardsprovidingaffordablehealthandeductioninthestateofChhattisgarhandisworkingtowardsprovidingsustainablesolutionsforthesame.
2. ThecompositionoftheCSRcommittee CompositionoftheCSRCommittee 1. Mr. Chetan Kumar Chairman/ Non Executive &
IndependentDirector 2. Mrs. Rama Kohli Member/ Non Executive &
IndependentDirector 3. Mr. Kishore Kumar Bansal Member/ Non
Executive&NonIndependentDirector
3. Average net profit of the company for last threefinancialyears.
Rs616.03Lacs
4. Prescribed CSR Expenditure (two percent of theamountasinitem3above)
Rs12.20Lacs
5. DetailsofCSRspentduringthefinancialyear: ShoshitSevaSanghFoundation–Rs2.4LacsCRY–Rs0.12LacsBhagwanMahavirJainReliefTrust–Rs2.00Lacs
AnnualReportonCSRActivities(Annexure-B)
16
SarthakMetalsLimited|AnnualReport201718
(1) (2) (3) (4) (5) (6) (7) (8)
Sl.No.
CSRprojectoractivity
Identified
Sectorinwhich
theProjectiscovered
Projectorprograms
(1)Localareaor
other(2)Specifythe
Stateanddistrict
whereprojectsor
programswereundertaken
Amountoutlay
(budget)projectorprograms
wise
(AmountinRs.)
Amountspentonthe
projectsorprogramsSub-heads:(1)Direct
expenditureonprojectsor
programs(2)
Overheads
(AmountinRs.)
Cumulativeexpenditure
uptothereporting
period(ason
31.03.2017)
Amountspent:
Directorthrough
implementing
agency
1. ShoshitSevaSanghFoundation
AffordableEducation
BIHAR Rs2.40Lacs
Rs2.40lacs Rs2.40lacs Direct
2 CRY AffordableEducation
CHHATTISGARH Unplanned Rs.0.12lacs Rs.0.12lacs Direct
3 BhagwanMahavirJainReliefTrust
AffordableHealth
CHHATTISGARH Unplanned Rs.2.00lacs Rs.2.00lacs Direct
6 In case the company has failed to spend the twopercent of the average net profit of the last threefinancialyearsoranypartthereof,thecompanyshallprovidethereasonsfornotspendingtheamountinitsBoardReport.
Section135ofTheCompaniesAct2013recommendsthatCSRexpenditurebytheCompanyshouldbepreferablydoneinandaroundtheareaofit'soperations.However,SML'sCSRcommitteewasunabletofindanyworthycauseinlinewithCompaniescauses.However,SMLiscommitteedtoAffordablehealthandAffordableEducationinthestateofChhattisgarhandshallworktowardsthesame.
7. AresponsibilitystatementoftheCSRCommitteethattheimplementationandmonitoringofCSRpolicy,isincompliance with CSR objectives and Policy of thecompany.
YES
17
(a) Totalamounttobespentforthefinancialyear Rs.9.03lacs
(b) Amountunspent,ifany Rs.6.63lacs
(c) Manner in which the amount spent during thefinancialyearisdetailedbelow
Rs2.40lacs–DonationtoSSSFoundation
SarthakMetalsLimited|AnnualReport201718
![Page 23: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/23.jpg)
FormNo.MGT-9
EXTRACTOFANNUALRETURN
Asonthefinancialyearendedon31stMarch2017
[Pursuant to section 92(3) of the Companies Act, 2013 and rule 12(1) of the Companies (Management and
Administration)Rules,2014]
I.REGISTRATIONANDOTHERDETAILS:
i) CIN:L51102CT1995PLC009772
ii) RegistrationDate:28/07/1995
iii) NameoftheCompany:SARTHAKMETALSLIMITED
iv) Category/SubCategoryof:CompanyLimitedbyShares/IndianNon-GovernmentCompany
v) Address of the Registered office and contact details: B.B.C. Colony, G.E. Road, Khursipar ,Bhilai- 490011,
Chhattisgarh
vi) Whetherlistedcompany:Yes
vii)Name,AddressandContactdetailsofRegistrarandTransferAgent,ifany:
BigshareServicesPrivateLimited
1stFloor,BharatTinWorksBuilding,
Opp.VasantOasisApartments(nexttoKeysHotel)
MarolMaroshiRoad,AndheriEast,Mumbai400059
Tel:912240430200•Fax:912228475207
Email:[email protected]
II. PRINCIPALBUSINESSACTIVITIESOFTHECOMPANY
Allthebusinessactivitiescontributing10%ormoreofthetotalturnoverofthecompanyshallbestated:
Sl.No. Name and Description of main products /services
NICCodeoftheProduct/Service
%tototalturnoverofthecompany
1 MANUFACTURINGOFFERROALLOYS 27110 65.02%
2 MANUFACTURING OF ALUMINUM WIREFLIPPINGCOIL
27203 31.96%
III.PRINCIPALBUSINESSACTIVITIESOFTHECOMPANY
Sr.No. NAMEANDADDRESSOFTHECOMPANY
CIN/GLN HOLDING/SUBSIDIARY/ASSOCIATE
%ofsharesheld
ApplicableSection
NIL
18
SarthakMetalsLimited|AnnualReport201718
IVSHAREHOLDINGPATTERN(EquityShareCapitalBreakupaspercentageofTotalEquity)
i)CategorywiseShareHolding
CategoryofShareholders
No.ofSharesheldatthebeginningoftheyeari.e.01/04/2017
No.ofSharesheldattheendoftheyeari.e.31/03/2018
%changeduringtheyear
Demat Physical Total%ofTotalShares
DematPhysical
Total%ofTotalShares
A.Promoters
(1)Indian
Individual/HUF
7,349,700 - 7,349,700 53.69% 7,349,700 7,349,70
053.69% 0
CentralGovt.
StateGovt(s)
BodiesCorp 901,250 - -901,250 6.58% 901,250 901,250 6.58% 0
Banks/FI
AnyOtherDIRECTORSRELATIVES
1,229,000 - 1,229,0008.98%
1,229,000 -1,229,00
08.98%
0
Sub-total(A)(1):-
9,479,950 - 9,479,950 69.25% 9,479,9509,479,95
069.25% 0
(2)Foreign
NRIsIndividuals
Other–Individuals
BodiesCorp
Banks/FI
AnyOther
Sub-total(A)(2):-
Totalshareholding(A)=(A)(1)+(A)(2)
9479950 9479950 69.25% 9479950 - 9479950 69.25% 0
1.Institutions
MutualFunds
Banks/FI
19
SarthakMetalsLimited|AnnualReport201718
![Page 24: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/24.jpg)
FormNo.MGT-9
EXTRACTOFANNUALRETURN
Asonthefinancialyearendedon31stMarch2017
[Pursuant to section 92(3) of the Companies Act, 2013 and rule 12(1) of the Companies (Management and
Administration)Rules,2014]
I.REGISTRATIONANDOTHERDETAILS:
i) CIN:L51102CT1995PLC009772
ii) RegistrationDate:28/07/1995
iii) NameoftheCompany:SARTHAKMETALSLIMITED
iv) Category/SubCategoryof:CompanyLimitedbyShares/IndianNon-GovernmentCompany
v) Address of the Registered office and contact details: B.B.C. Colony, G.E. Road, Khursipar ,Bhilai- 490011,
Chhattisgarh
vi) Whetherlistedcompany:Yes
vii)Name,AddressandContactdetailsofRegistrarandTransferAgent,ifany:
BigshareServicesPrivateLimited
1stFloor,BharatTinWorksBuilding,
Opp.VasantOasisApartments(nexttoKeysHotel)
MarolMaroshiRoad,AndheriEast,Mumbai400059
Tel:912240430200•Fax:912228475207
Email:[email protected]
II. PRINCIPALBUSINESSACTIVITIESOFTHECOMPANY
Allthebusinessactivitiescontributing10%ormoreofthetotalturnoverofthecompanyshallbestated:
Sl.No. Name and Description of main products /services
NICCodeoftheProduct/Service
%tototalturnoverofthecompany
1 MANUFACTURINGOFFERROALLOYS 27110 65.02%
2 MANUFACTURING OF ALUMINUM WIREFLIPPINGCOIL
27203 31.96%
III.PRINCIPALBUSINESSACTIVITIESOFTHECOMPANY
Sr.No. NAMEANDADDRESSOFTHECOMPANY
CIN/GLN HOLDING/SUBSIDIARY/ASSOCIATE
%ofsharesheld
ApplicableSection
NIL
18
SarthakMetalsLimited|AnnualReport201718
IVSHAREHOLDINGPATTERN(EquityShareCapitalBreakupaspercentageofTotalEquity)
i)CategorywiseShareHolding
CategoryofShareholders
No.ofSharesheldatthebeginningoftheyeari.e.01/04/2017
No.ofSharesheldattheendoftheyeari.e.31/03/2018
%changeduringtheyear
Demat Physical Total%ofTotalShares
DematPhysical
Total%ofTotalShares
A.Promoters
(1)Indian
Individual/HUF
7,349,700 - 7,349,700 53.69% 7,349,700 7,349,70
053.69% 0
CentralGovt.
StateGovt(s)
BodiesCorp 901,250 - -901,250 6.58% 901,250 901,250 6.58% 0
Banks/FI
AnyOtherDIRECTORSRELATIVES
1,229,000 - 1,229,0008.98%
1,229,000 -1,229,00
08.98%
0
Sub-total(A)(1):-
9,479,950 - 9,479,950 69.25% 9,479,9509,479,95
069.25% 0
(2)Foreign
NRIsIndividuals
Other–Individuals
BodiesCorp
Banks/FI
AnyOther
Sub-total(A)(2):-
Totalshareholding(A)=(A)(1)+(A)(2)
9479950 9479950 69.25% 9479950 - 9479950 69.25% 0
1.Institutions
MutualFunds
Banks/FI
19
SarthakMetalsLimited|AnnualReport201718
![Page 25: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/25.jpg)
CentralGovt.
StateGovt(s)
VentureCapitalFunds
InsuranceCompanies
FIIs
ForeignVentureCapitalFunds
Others(Specify)
Sub–TotalB(1)
2.Non-Institutions
BodiesCorporate 684000 - 684000 5.00% 886000 - 886000 6.47% 1.48%
(Overseas) 36000 36000 0.26% 16000 - 16000 0.12% (0.15)%
Individuals
i)IndividualshareholdersholdingnominalsharecapitaluptoRs.1lakhs
781838 781838 5.71% 713250 - 713250 5.21% (0.50)%
ii)IndividualshareholdersholdingnominalsharecapitalinexcessofRs1lakhs
2356550 2356550 17.21% 2560550 - 2560550 18.70% 1.49%
c)Others(CLEARINGMEMBER)
351412 - 351412 2.57% 34000 34000 0.25% (2.32)%
Sub-total(B)(2):- 4209800 - 4209800 30.75% 4209800 - 4209800 30.75% 0
TotalPublicShareholding(B)=(B)(1)+(B)(2)
4209800 - 4209800 30.75% 4209800 4209800 30.75% 0
C.SharesheldbyCustodianforGDRs&ADRs
GrandTotal(A+B+C) 1368975 - 1368975 100% 13689750 13689750 100% 0%
20
SarthakMetalsLimited|AnnualReport201718
(ii)ShareholdingofPromoters
Sl.No.
Shareholder'sNameShareholdingatthebeginningoftheyear
01/04/2017Shareholdingattheendofthe
year31/03/2018
No.ofShares %oftotalSharesoftheCompany
%ofSharesPledged/encumberedtototalshares
No.ofShares
%oftotalSharesof
theCompany
%ofShares
Pledged/encumberedtototalshares
%changeinshareholdingduringtheYear
1MR.ANOOPKUMARBANSAL
1145250 8.37% NA 1145250 8.37% NA 0
2MR.KISHOREKUMARBANSAL
741000 5.41% NA 741000 5.41% NA 0
3 MR.SANJAYSHAH 535950 3.91% NA 535950 3.91% NA 0
4MR.MANOJKUMARBANSAL
3782700 27.63% NA 3782700 27.63% NA 0
5 MS.SHALINISHAH 261000 1.91% NA 261000 1.91% NA 0
6 MS.CHAMPABENSHAH 277200 2.02% NA 277200 2.02% NA 0
7MANOJKUMARBANSAL(HUF)
213300 1.55% NA 213300 1.55% NA 0
8 DESHRAJBANSAL(HUF) 540000 3.94% NA 540000 3.94% NA 0
9CHAMANLALKHUSHALJISHAH(HUF)
247500 1.81% NA 247500 1.81% NA 0
10ANOOPKUMARBANSAL(HUF)
144000 1.05% NA 144000 1.05% NA 0
11 MS.SANJUBANSAL 237000 1.73% NA 237000 1.73% NA 0
12 MS.KIRTIBANSAL 231300 1.69% NA 231300 1.69% NA 0
13 MS.SIMMIBANSAL 222500 1.63% NA 222500 1.63% NA 0
14SARTHAKENERGYPRIVATELIMITED
1250 0.0091% NA 1250 0.0091% NA 0
15METALGRACEINJECTIONALLOYSPRIVATELIMITED
900000 6.57% NA 900000 6.57% NA 0
TOTAL 9479950 69.229% 9479950 69.229% 0
21
SarthakMetalsLimited|AnnualReport201718
![Page 26: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/26.jpg)
CentralGovt.
StateGovt(s)
VentureCapitalFunds
InsuranceCompanies
FIIs
ForeignVentureCapitalFunds
Others(Specify)
Sub–TotalB(1)
2.Non-Institutions
BodiesCorporate 684000 - 684000 5.00% 886000 - 886000 6.47% 1.48%
(Overseas) 36000 36000 0.26% 16000 - 16000 0.12% (0.15)%
Individuals
i)IndividualshareholdersholdingnominalsharecapitaluptoRs.1lakhs
781838 781838 5.71% 713250 - 713250 5.21% (0.50)%
ii)IndividualshareholdersholdingnominalsharecapitalinexcessofRs1lakhs
2356550 2356550 17.21% 2560550 - 2560550 18.70% 1.49%
c)Others(CLEARINGMEMBER)
351412 - 351412 2.57% 34000 34000 0.25% (2.32)%
Sub-total(B)(2):- 4209800 - 4209800 30.75% 4209800 - 4209800 30.75% 0
TotalPublicShareholding(B)=(B)(1)+(B)(2)
4209800 - 4209800 30.75% 4209800 4209800 30.75% 0
C.SharesheldbyCustodianforGDRs&ADRs
GrandTotal(A+B+C) 1368975 - 1368975 100% 13689750 13689750 100% 0%
20
SarthakMetalsLimited|AnnualReport201718
(ii)ShareholdingofPromoters
Sl.No.
Shareholder'sNameShareholdingatthebeginningoftheyear
01/04/2017Shareholdingattheendofthe
year31/03/2018
No.ofShares %oftotalSharesoftheCompany
%ofSharesPledged/encumberedtototalshares
No.ofShares
%oftotalSharesof
theCompany
%ofShares
Pledged/encumberedtototalshares
%changeinshareholdingduringtheYear
1MR.ANOOPKUMARBANSAL
1145250 8.37% NA 1145250 8.37% NA 0
2MR.KISHOREKUMARBANSAL
741000 5.41% NA 741000 5.41% NA 0
3 MR.SANJAYSHAH 535950 3.91% NA 535950 3.91% NA 0
4MR.MANOJKUMARBANSAL
3782700 27.63% NA 3782700 27.63% NA 0
5 MS.SHALINISHAH 261000 1.91% NA 261000 1.91% NA 0
6 MS.CHAMPABENSHAH 277200 2.02% NA 277200 2.02% NA 0
7MANOJKUMARBANSAL(HUF)
213300 1.55% NA 213300 1.55% NA 0
8 DESHRAJBANSAL(HUF) 540000 3.94% NA 540000 3.94% NA 0
9CHAMANLALKHUSHALJISHAH(HUF)
247500 1.81% NA 247500 1.81% NA 0
10ANOOPKUMARBANSAL(HUF)
144000 1.05% NA 144000 1.05% NA 0
11 MS.SANJUBANSAL 237000 1.73% NA 237000 1.73% NA 0
12 MS.KIRTIBANSAL 231300 1.69% NA 231300 1.69% NA 0
13 MS.SIMMIBANSAL 222500 1.63% NA 222500 1.63% NA 0
14SARTHAKENERGYPRIVATELIMITED
1250 0.0091% NA 1250 0.0091% NA 0
15METALGRACEINJECTIONALLOYSPRIVATELIMITED
900000 6.57% NA 900000 6.57% NA 0
TOTAL 9479950 69.229% 9479950 69.229% 0
21
SarthakMetalsLimited|AnnualReport201718
![Page 27: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/27.jpg)
(iii)ChangeinPromotersShareholding(pleasespecify,ifthereisnochange):
Sl.No.
ParticularsShareholdingatthebeginningofthe
year01/04/2017CumulativeShareholdingduring
theyear31/03/2018
No.ofshares%oftotal
sharesofthecompany
No.ofshares%oftotal
sharesofthecompany
1 MR.ANOOPKUMARBANSAL (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
2 MR.KISHOREKUMAR (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
3 MR.SANJAYSHAH (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
4 MR.MANOJKUMARBANSAL
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
5 MS.SHALINISHAH (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
6 MS.CHAMPABENSHAH (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
7MANOJKUMARBANSAL(HUF)
(NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
22
SarthakMetalsLimited|AnnualReport201718
23
8 DESHRAJBANSAL(HUF) (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
9CHAMANLALKHUSHALJISHAH(HUF)
(NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
10ANOOPKUMARBANSAL(HUF)
(NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
11 MS.SANJUBANSAL (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
12 MS.KIRTIBANSAL (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
13 MS.SIMMIBANSAL (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
14SARTHAKENERGYPRIVATELIMITED
Atthebeginningoftheyear
Decreaseinshareholding
AttheEndoftheyear
15METALGRACEINJECTIONALLOYSPRIVATELIMITED
(NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
SarthakMetalsLimited|AnnualReport201718
![Page 28: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/28.jpg)
(iii)ChangeinPromotersShareholding(pleasespecify,ifthereisnochange):
Sl.No.
ParticularsShareholdingatthebeginningofthe
year01/04/2017CumulativeShareholdingduring
theyear31/03/2018
No.ofshares%oftotal
sharesofthecompany
No.ofshares%oftotal
sharesofthecompany
1 MR.ANOOPKUMARBANSAL (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
2 MR.KISHOREKUMAR (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
3 MR.SANJAYSHAH (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
4 MR.MANOJKUMARBANSAL
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
5 MS.SHALINISHAH (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
6 MS.CHAMPABENSHAH (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
7MANOJKUMARBANSAL(HUF)
(NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
22
SarthakMetalsLimited|AnnualReport201718
23
8 DESHRAJBANSAL(HUF) (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
9CHAMANLALKHUSHALJISHAH(HUF)
(NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
10ANOOPKUMARBANSAL(HUF)
(NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
11 MS.SANJUBANSAL (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
12 MS.KIRTIBANSAL (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
13 MS.SIMMIBANSAL (NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
14SARTHAKENERGYPRIVATELIMITED
Atthebeginningoftheyear
Decreaseinshareholding
AttheEndoftheyear
15METALGRACEINJECTIONALLOYSPRIVATELIMITED
(NOCHANGE)
Atthebeginningoftheyear
Increaseinshareholding
AttheEndoftheyear
SarthakMetalsLimited|AnnualReport201718
![Page 29: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/29.jpg)
(iv)ShareholdingPatternoftoptenShareholders(otherthanDirectors,PromotersandHoldersofGDRsandADRs):
Sl.No.
Particulars
Shareholdingatthebeginningoftheyear
01/04/2017
CumulativeShareholdingduringtheyear31/03/2018
Increase/DecreaseinShareholding
No.ofshares
%oftotalsharesofthe
company
No.ofshares
%oftotalsharesofthe
company
1. GUINESSSECURITIESLTD. 280000 2.05% 309000 2.26%Increase
29000(0.21%)
2. MR.SANJAYPOPATLALJAIN 232000 1.69% 228000 1.67%Decrease
4000(0.02%)
3. BAHUBALIFINANCIALSERVICESLTD. 164000 1.20% Decrease
164000(1.20%)
4. BHILAITECHNOPRIVATELIMITED 164000 1.20% 324000 2.37%Increase
160000(1.17%)
5.MR.PARASRAMHOLDINGSPRIVATELIMITED
160000 1.17% 2000 0.01%
Decrease
158000(1.16%)
6. MR.GOPALAGARWAL 160000 1.17% 160000 1.17%0
7.MR.SUNILKUMARPYAREYLALAGARWAL
160000 1.17% 320000 2.34%
Increase
160000(0.17%)
8. MR.PRAKASHCHANDRABHATT 80000 0.58% 104000 0.76%Increase
24000(0.18%)
9. MR.HARSHSARAWGI 144000 1.05% 144000 1.05%0
10. MRS.JAYABHATT 118500 0.87% 118500 0.87%0
11.ILANDFSSECURITIESSERVICESLIMITED
167700 1.23%
Increase
167700(1.23%)
24
SarthakMetalsLimited|AnnualReport201718
(v)ShareholdingofDirectorsandKeyManagerialPersonnel:
Sl.No.
ParticularsShareholdingatthebeginningof
theyear01/04/2017CumulativeShareholdingduring
theyear31/03/2018
ForeachoftheDirectorsandKMP No.ofshares%oftotal
sharesofthecompany
No.ofshares%oftotal
sharesofthecompany
1.MR.ANOOPKUMARBANSAL(MANAGINGDIRECTOR)
1145250 8.37% 1145250 8.37%
2.MR.CHETANKUMAR(INDEPENDENTDIRECTOR)
NIL NIL NIL NIL
3. MR.MAYURBHATT(WHOLETIMEDIRECTOR)
454050 3.32% 454050 3.32%
4. MR.SANJAYSHAH(WHOLETIMEDIRECTOR)
535950 3.92% 535950 3.91%
5. MS.RAMAKOHLI(INDEPENDENTDIRECTOR)
NIL NIL NIL NIL
6. MR.KISHOREKUMARBANSAL(DIRECTOR)
741000 5.41% 741000 5.41%
7. MR.ANIRUDHSINGHAL(CHIEFFINANCIALOFFICER)
56000 0.41% 56000 0.41%
8. MRS.ITIKASINGHAL(COMPANYSECRETARY)
NIL NIL NIL NIL
(v)INDEBTEDNESS:
IndebtednessoftheCompanyincludinginterestoutstanding/accruedbutnotdueforpayment
SecuredLoansexcludingdeposits
UnsecuredLoans
DepositsTotal
Indebtedness
Indebtednessatthebeginningofthefinancialyear
I) PrincipalAmount 20,23,43,291 7,01,00,000 27,24,43,291
II) Interestduebutnotpaid
III)Interestaccruedbutnotdue
Total(i+ii+iii) 20,23,43,291 7,01,00,000 27,24,43,291
ChangeinIndebtednessduringthefinancialyear*Addition*Reduction (4,25,51,752
2,87,89,356
(1,37,62,396)
NetChange (4,25,51,752) 2,87,89,356 (1,37,62,396)
Indebtednessattheendofthefinancialyear
I) PrincipalAmount 15,97,91,539 9,88,89,356 25,86,80,895.00
II)Interestduebutnotpaid
III)Interestaccruedbutnotdue
Total(i+ii+iii) 15,97,91,539 3,24,618 25,86,80,895.00
25
(InRupees)
SarthakMetalsLimited|AnnualReport201718
![Page 30: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/30.jpg)
(iv)ShareholdingPatternoftoptenShareholders(otherthanDirectors,PromotersandHoldersofGDRsandADRs):
Sl.No.
Particulars
Shareholdingatthebeginningoftheyear
01/04/2017
CumulativeShareholdingduringtheyear31/03/2018
Increase/DecreaseinShareholding
No.ofshares
%oftotalsharesofthe
company
No.ofshares
%oftotalsharesofthe
company
1. GUINESSSECURITIESLTD. 280000 2.05% 309000 2.26%Increase
29000(0.21%)
2. MR.SANJAYPOPATLALJAIN 232000 1.69% 228000 1.67%Decrease
4000(0.02%)
3. BAHUBALIFINANCIALSERVICESLTD. 164000 1.20% Decrease
164000(1.20%)
4. BHILAITECHNOPRIVATELIMITED 164000 1.20% 324000 2.37%Increase
160000(1.17%)
5.MR.PARASRAMHOLDINGSPRIVATELIMITED
160000 1.17% 2000 0.01%
Decrease
158000(1.16%)
6. MR.GOPALAGARWAL 160000 1.17% 160000 1.17%0
7.MR.SUNILKUMARPYAREYLALAGARWAL
160000 1.17% 320000 2.34%
Increase
160000(0.17%)
8. MR.PRAKASHCHANDRABHATT 80000 0.58% 104000 0.76%Increase
24000(0.18%)
9. MR.HARSHSARAWGI 144000 1.05% 144000 1.05%0
10. MRS.JAYABHATT 118500 0.87% 118500 0.87%0
11.ILANDFSSECURITIESSERVICESLIMITED
167700 1.23%
Increase
167700(1.23%)
24
SarthakMetalsLimited|AnnualReport201718
(v)ShareholdingofDirectorsandKeyManagerialPersonnel:
Sl.No.
ParticularsShareholdingatthebeginningof
theyear01/04/2017CumulativeShareholdingduring
theyear31/03/2018
ForeachoftheDirectorsandKMP No.ofshares%oftotal
sharesofthecompany
No.ofshares%oftotal
sharesofthecompany
1.MR.ANOOPKUMARBANSAL(MANAGINGDIRECTOR)
1145250 8.37% 1145250 8.37%
2.MR.CHETANKUMAR(INDEPENDENTDIRECTOR)
NIL NIL NIL NIL
3. MR.MAYURBHATT(WHOLETIMEDIRECTOR)
454050 3.32% 454050 3.32%
4. MR.SANJAYSHAH(WHOLETIMEDIRECTOR)
535950 3.92% 535950 3.91%
5. MS.RAMAKOHLI(INDEPENDENTDIRECTOR)
NIL NIL NIL NIL
6. MR.KISHOREKUMARBANSAL(DIRECTOR)
741000 5.41% 741000 5.41%
7. MR.ANIRUDHSINGHAL(CHIEFFINANCIALOFFICER)
56000 0.41% 56000 0.41%
8. MRS.ITIKASINGHAL(COMPANYSECRETARY)
NIL NIL NIL NIL
(v)INDEBTEDNESS:
IndebtednessoftheCompanyincludinginterestoutstanding/accruedbutnotdueforpayment
SecuredLoansexcludingdeposits
UnsecuredLoans
DepositsTotal
Indebtedness
Indebtednessatthebeginningofthefinancialyear
I) PrincipalAmount 20,23,43,291 7,01,00,000 27,24,43,291
II) Interestduebutnotpaid
III)Interestaccruedbutnotdue
Total(i+ii+iii) 20,23,43,291 7,01,00,000 27,24,43,291
ChangeinIndebtednessduringthefinancialyear*Addition*Reduction (4,25,51,752
2,87,89,356
(1,37,62,396)
NetChange (4,25,51,752) 2,87,89,356 (1,37,62,396)
Indebtednessattheendofthefinancialyear
I) PrincipalAmount 15,97,91,539 9,88,89,356 25,86,80,895.00
II)Interestduebutnotpaid
III)Interestaccruedbutnotdue
Total(i+ii+iii) 15,97,91,539 3,24,618 25,86,80,895.00
25
(InRupees)
SarthakMetalsLimited|AnnualReport201718
![Page 31: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/31.jpg)
Sl.No. ParticularsofRemuneration NameofMD/WTD/Manager TotalAmount
MR.ANOOPKUMARBANSAL
MR.MAYIURBHATT
MR.SANJAYSHAH
1.
GrossSalary
(a) SalaryasperprovisionscontainedinSection17(1)oftheIncomeTaxAct,1961
24,00,000 6,50,000 24,00,000 54,50,000
(b) Valueofperquisitesu/s17(2)oftheIncomeTaxAct,1961
NIL NIL NIL NIL
(c) ProfitsinlieuofsalaryunderSection17(3)oftheIncomeTaxAct,1961
NIL NIL NIL NIL
2 StockOption NIL NIL NIL NIL
3 SweatEquity NIL NIL NIL NIL
4CommissionAs%ofprofitOthers,specify
NIL NIL NIL NIL
5 Others,specify NIL NIL NIL NIL
Total(A) 24,00,000 6,50,000 24,00,000 54,50,000
OverallCeilingaspertheAct 42,00,000 42,00,000 42,00,000
(vi)VI.REMUNERATIONOFDIRECTORSANDKEYMANAGERIALPERSONNEL
A.RemunerationtoManagingDirector,Whole-timeDirectorsand/orManager:
Sl.No. ParticularsofRemuneration NameofDirectors TotalAmount
MR.CHETANKUMAR
MRS.RAMAKOHLI
MR.KISHOREKUMARBANSAL
1. IndependentDirectors*Feeforattendingboardcommitteemeetings*Commission*Other,Salary
NIL NIL NIL NIL
Total(1) NIL NIL NIL NIL
2. OtherNonExecutiveDirectors*Feeforattendingboardcommitteemeetings*Commission*Others,pleasespecify
NIL NIL NIL NIL
Total(2) NIL NIL NIL NIL
Total(B)=(1+2) NIL NIL NIL NIL
TotalManagerialRemuneration NIL NIL NIL NIL
OverallCeilingaspertheAct withintheCeilingLimit
withintheCeilingLimit
withintheCeilingLimit
B.Remunerationtootherdirectors:
26
(InRupees)
(InRupees)
SarthakMetalsLimited|AnnualReport201718
Sl.No. ParticularsofRemuneration KeyManagerialPersonnel
CompanySecretary
CFO TOTAL
1.GrossSalary(a) SalaryasperprovisionscontainedinSection17(1)oftheIncomeTaxAct,1961
300,000 6,50,000 9,50,000
(b) Valueofperquisitesu/s17(2)oftheIncomeTaxAct,1961 NIL NIL NIL
(c) ProfitsinlieuofsalaryunderSection17(3)oftheIncomeTaxAct,1961
NIL NIL NIL
2 StockOption NIL NIL NIL
3 SweatEquity NIL NIL NIL
4CommissionAs%ofprofitOthers,specify
NIL NIL NIL
5 Others,specify NIL NIL NIL
Total(A) 300,000 6,50,000 9,50,000
OverallCeilingaspertheActwithintheCeilingLimit
withintheCeilingLimit
C.REMUNERATIONTOKEYMANAGERIALPERSONNELOTHERTHANMD/MANAGER/WTD
TypeSectionofthe
CompaniesActBrief
Description
DetailsofPenalty/punishment/Compounding
feesimposed
Authority[RD/NCLT/
COURT]
Appealmade,ifany(giveDetails)
A.COMPANY
Penalty
Punishment
Compounding
B.DIRECTORS
Penalty
Punishment
Compounding
C.OTHEROFFICERSINDEFAULT
Penalty
Punishment
Compounding
VII.PENALTIES/PUNISHMENT/COMPOUNDINGOFOFFENCES:NIL
FORSARTHAKMETALSLIMITED
Sd/-
ANOOPKUMARBANSAL
ManagingDirector
01661844
MAYURBHATT
Director
07586457
Place:Bhilai,Chhattisgrah
Date:01.08.2018
27
(InRupees)
SarthakMetalsLimited|AnnualReport201718
![Page 32: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/32.jpg)
Sl.No. ParticularsofRemuneration NameofMD/WTD/Manager TotalAmount
MR.ANOOPKUMARBANSAL
MR.MAYIURBHATT
MR.SANJAYSHAH
1.
GrossSalary
(a) SalaryasperprovisionscontainedinSection17(1)oftheIncomeTaxAct,1961
24,00,000 6,50,000 24,00,000 54,50,000
(b) Valueofperquisitesu/s17(2)oftheIncomeTaxAct,1961
NIL NIL NIL NIL
(c) ProfitsinlieuofsalaryunderSection17(3)oftheIncomeTaxAct,1961
NIL NIL NIL NIL
2 StockOption NIL NIL NIL NIL
3 SweatEquity NIL NIL NIL NIL
4CommissionAs%ofprofitOthers,specify
NIL NIL NIL NIL
5 Others,specify NIL NIL NIL NIL
Total(A) 24,00,000 6,50,000 24,00,000 54,50,000
OverallCeilingaspertheAct 42,00,000 42,00,000 42,00,000
(vi)VI.REMUNERATIONOFDIRECTORSANDKEYMANAGERIALPERSONNEL
A.RemunerationtoManagingDirector,Whole-timeDirectorsand/orManager:
Sl.No. ParticularsofRemuneration NameofDirectors TotalAmount
MR.CHETANKUMAR
MRS.RAMAKOHLI
MR.KISHOREKUMARBANSAL
1. IndependentDirectors*Feeforattendingboardcommitteemeetings*Commission*Other,Salary
NIL NIL NIL NIL
Total(1) NIL NIL NIL NIL
2. OtherNonExecutiveDirectors*Feeforattendingboardcommitteemeetings*Commission*Others,pleasespecify
NIL NIL NIL NIL
Total(2) NIL NIL NIL NIL
Total(B)=(1+2) NIL NIL NIL NIL
TotalManagerialRemuneration NIL NIL NIL NIL
OverallCeilingaspertheAct withintheCeilingLimit
withintheCeilingLimit
withintheCeilingLimit
B.Remunerationtootherdirectors:
26
(InRupees)
(InRupees)
SarthakMetalsLimited|AnnualReport201718
Sl.No. ParticularsofRemuneration KeyManagerialPersonnel
CompanySecretary
CFO TOTAL
1.GrossSalary(a) SalaryasperprovisionscontainedinSection17(1)oftheIncomeTaxAct,1961
300,000 6,50,000 9,50,000
(b) Valueofperquisitesu/s17(2)oftheIncomeTaxAct,1961 NIL NIL NIL
(c) ProfitsinlieuofsalaryunderSection17(3)oftheIncomeTaxAct,1961
NIL NIL NIL
2 StockOption NIL NIL NIL
3 SweatEquity NIL NIL NIL
4CommissionAs%ofprofitOthers,specify
NIL NIL NIL
5 Others,specify NIL NIL NIL
Total(A) 300,000 6,50,000 9,50,000
OverallCeilingaspertheActwithintheCeilingLimit
withintheCeilingLimit
C.REMUNERATIONTOKEYMANAGERIALPERSONNELOTHERTHANMD/MANAGER/WTD
TypeSectionofthe
CompaniesActBrief
Description
DetailsofPenalty/punishment/Compounding
feesimposed
Authority[RD/NCLT/
COURT]
Appealmade,ifany(giveDetails)
A.COMPANY
Penalty
Punishment
Compounding
B.DIRECTORS
Penalty
Punishment
Compounding
C.OTHEROFFICERSINDEFAULT
Penalty
Punishment
Compounding
VII.PENALTIES/PUNISHMENT/COMPOUNDINGOFOFFENCES:NIL
FORSARTHAKMETALSLIMITED
Sd/-
ANOOPKUMARBANSAL
ManagingDirector
01661844
MAYURBHATT
Director
07586457
Place:Bhilai,Chhattisgrah
Date:01.08.2018
27
(InRupees)
SarthakMetalsLimited|AnnualReport201718
![Page 33: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/33.jpg)
FormAOC-1
(Pursuanttofirstprovisotosubsection(3)ofsection129readwithrule5ofCompanies(Accounts)Rules,2014)
Statementcontainingsalientfeaturesofthefinancialstatementof
subsidiaries/associatecompanies/jointventures
Part“A”:Subsidiaries
(InformationinrespectofeachsubsidiarytobepresentedwithamountsinRs.)
Sl.No.
Particulars Details
1. Nameofthesubsidiary NOTAPPLICABLE
2. Reportingperiodforthesubsidiaryconcerned,ifdifferentfromtheholdingcompany'sreportingperiod
3. ReportingcurrencyandExchangerateasonthelastdateoftherelevantFinancialyearinthecaseofforeignsubsidiaries
4. Sharecapital
5. Reserves&surplus
6. Totalassets
7. TotalLiabilities
8. Investments
9. Turnover
10. Profitbeforetaxation
11. Provisionfortaxation
12. Profitaftertaxation
13. ProposedDividend
14. %ofshareholding
Notes:Thefollowinginformationshallbefurnishedattheendofthestatement:
1.Namesofsubsidiarieswhichareyettocommenceoperations
2.Namesofsubsidiarieswhichhavebeenliquidatedorsoldduringtheyear.
28
SarthakMetalsLimited|AnnualReport201718
Part“B”:AssociatesandJointVentures
StatementpursuanttoSection129(3)oftheCompaniesAct,2013
relatedtoAssociateCompaniesandJointVentures
Sl.No. Particulars Name1 Name2
NameofAssociates/JointVentures
1. LatestauditedBalanceSheetDate
2. SharesofAssociate/JointVenturesheldbythecompanyontheyearend
No.
AmountofInvestmentinAssociates/JointVenture
ExtendofHolding%
3 Descriptionofhowthereissignificantinfluence
4 Reasonwhytheassociate/jointventureisnotconsolidated
5 NetworthattributabletoShareholdingasperlatestauditedBalanceSheet
6 Profit/Lossfortheyear
i.ConsideredinConsolidation
ii.NotConsideredinConsolidation
1.Namesofassociatesorjointventureswhichareyettocommenceoperations
2.Namesofassociatesorjointventureswhichhavebeenliquidatedorsoldduringtheyear.
Note:ThisFormistobecertifiedinthesamemannerinwhichtheBalanceSheetistobecertified.
29
SarthakMetalsLimited|AnnualReport201718
![Page 34: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/34.jpg)
FormAOC-1
(Pursuanttofirstprovisotosubsection(3)ofsection129readwithrule5ofCompanies(Accounts)Rules,2014)
Statementcontainingsalientfeaturesofthefinancialstatementof
subsidiaries/associatecompanies/jointventures
Part“A”:Subsidiaries
(InformationinrespectofeachsubsidiarytobepresentedwithamountsinRs.)
Sl.No.
Particulars Details
1. Nameofthesubsidiary NOTAPPLICABLE
2. Reportingperiodforthesubsidiaryconcerned,ifdifferentfromtheholdingcompany'sreportingperiod
3. ReportingcurrencyandExchangerateasonthelastdateoftherelevantFinancialyearinthecaseofforeignsubsidiaries
4. Sharecapital
5. Reserves&surplus
6. Totalassets
7. TotalLiabilities
8. Investments
9. Turnover
10. Profitbeforetaxation
11. Provisionfortaxation
12. Profitaftertaxation
13. ProposedDividend
14. %ofshareholding
Notes:Thefollowinginformationshallbefurnishedattheendofthestatement:
1.Namesofsubsidiarieswhichareyettocommenceoperations
2.Namesofsubsidiarieswhichhavebeenliquidatedorsoldduringtheyear.
28
SarthakMetalsLimited|AnnualReport201718
Part“B”:AssociatesandJointVentures
StatementpursuanttoSection129(3)oftheCompaniesAct,2013
relatedtoAssociateCompaniesandJointVentures
Sl.No. Particulars Name1 Name2
NameofAssociates/JointVentures
1. LatestauditedBalanceSheetDate
2. SharesofAssociate/JointVenturesheldbythecompanyontheyearend
No.
AmountofInvestmentinAssociates/JointVenture
ExtendofHolding%
3 Descriptionofhowthereissignificantinfluence
4 Reasonwhytheassociate/jointventureisnotconsolidated
5 NetworthattributabletoShareholdingasperlatestauditedBalanceSheet
6 Profit/Lossfortheyear
i.ConsideredinConsolidation
ii.NotConsideredinConsolidation
1.Namesofassociatesorjointventureswhichareyettocommenceoperations
2.Namesofassociatesorjointventureswhichhavebeenliquidatedorsoldduringtheyear.
Note:ThisFormistobecertifiedinthesamemannerinwhichtheBalanceSheetistobecertified.
29
SarthakMetalsLimited|AnnualReport201718
![Page 35: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/35.jpg)
(Pursuanttoclause(h)ofsubsection(3)ofsection134oftheActandRule8(2)oftheCompanies(Accounts)Rules,2014)
Formfordisclosureofparticularsofcontracts/arrangementsenteredintobythecompanywithrelatedpartiesreferredto
in subsection (1) of section 188 of the Companies Act, 2013 including certain arms length transactions under third
provisothereto
1. Detailsofcontractsorarrangementsortransactionsnotatarm'slengthbasi:NIL
(a) Name(s)oftherelatedpartyandnatureofrelationship
(b) Natureofcontracts/arrangements/transactions
(c) Durationofthecontracts/arrangements/transactions
(d) Salienttermsofthecontractsorarrangementsortransactionsincludingthevalue,ifany
(e) Justificationforenteringintosuchcontractsorarrangementsortransactions
(f) date(s)ofapprovalbytheBoard
(g) Amountpaidasadvances,ifany:
(h) Dateonwhichthespecialresolutionwaspassedingeneralmeetingasrequiredunderfirstprovisotosection188
2. Detailsofmaterialcontractsorarrangementortransactionsatarm'slengthbasis:
AnnexureI:FormNo.AOC-2
(Ref.:Board'sReport,Itemno.11)
Name(s)oftherelatedpartyandnatureofrelationship
Natureofcontracts/arrangements/transactions
Durationofthecontractsarrangements/transactions
Salienttermsofthecontractsorarrangementsortransactionsincludingthevalue,ifany
Date(s)ofapprovalbytheBoard,ifany
Amountpaidasadvances,ifany
1) METAL GRACE INJECTION ALLOYS PRIVATE LIMITED
ENTERPRISEOVERWHICHSIGNIFICANTINFLUENCE
RentPaid ANNUALY Rentpaid1,44,000.00 N/A NIL
2) M/S BANSAL BROTHERS (TRADING DIV.)
ENTERPRISEOVERWHICHSIGNIFICANTINFLUENCE
PurchaseRawMaterial,PurchaseofPackingMaterial,PurchaseofConsumableGoods,FactoryShed&Building,Repair&MaintenanceMachine
ANNUALY 1.PurchaseRawMaterial1,56,48,0772.PurchaseofPackingMaterial1,47,6463.PurchaseofConsumableGoods1,64,5894.FactoryShed&Building3.43.707Repair&MaintenanceMachine3,349
N/A NIL
3) M/S BANSAL BROTHERS (FAD)
ENTERPRISEOVER WHICHSIGNIFICANTINFLUENCE
PurchaserawMaterial
ANNUALY PurchaseRawMaterial7,87,43,564
N/A NIL
30
SarthakMetalsLimited|AnnualReport201718
OverallIndianEconomyOutlook
Theyear2017wasmarkedbyanumberofkeystructuralinitiativestobuildstrengthacrossmacroeconomicparameters
forsustainablegrowthinthefuture.Thegrowthinthefirsthalfoftheyearsuffereddespiteglobaltailwinds.However,the
weaknessseenatthebeginningof2017,seemstohavebottomedoutas2018setin.Currently,theeconomyseemstobe
onthepathtorecovery,withindicatorsofindustrialproduction,stockmarketindex,autosalesandexportshavingshown
uptick.
The Indian economy is expected to grow at an annual rate of 7.4% in 2018 and 7.8% in 2019, according to a
recentlyreleasedIMF Economic Outlook. India’s economy is “lifted by strong private consumption as well as fading
transitoryeffectsofthecurrencyexchangeinitiativeandimplementationofthenationalgoodsandservicestax,”notesthe
report.“Overthemediumterm,growthisexpectedtograduallyrisewithcontinuedimplementationofstructuralreforms
thatraiseproductivityandincentivizeprivateinvestment.”
SteelSectorOutlook
Indiahasmaintainedit’spositionasthethirdlargestproducerofSeelintheworld.InFY18,Indiaproduced104.98million
tonnes(MT)offinishedsteel.CrudeSteelproductionduring201718stoodat102.34MT.Steelconsumptionisexpectedto
grow5.7percentyearonyear to92.1MT in2018. India’s steelproduction isexpected to increase from102.34MT in
FY18to128.6MTby2021.India’spercapitaconsumptionofsteelgrewataCAGRof3.96percentfrom46kgsinFY08to
65.25kgsinFY17.Thefigurestoodat68kgsduringAprilFebruary201718.NationalSteelPolicy2017seekstoincrease
percapitasteelconsumptiontothelevelof160kgs.
Opportunities
Steeldemandiscurrentlygoingstrongmimickingpreviousyear’strend.WithcomingofGoods&ServiceTax,costofmany
productshascomedownmakingIndiamorecompetitive intheexportsmarket.Further,strongpushbygovernmenton
MakeinIndiaandvariousinfrastructureinvestmentshasaddedtothedemandofsteelinIndia.FollowingpoliciesofGoI
areaddinglustertothesector:
• Government of India’s focus on infrastructure and restarting roadprojects is aiding the boost in demand for steel.
Also,furtherlikelyaccelerationinruraleconomyandinfrastructureisexpectedtoleadtogrowthindemandforsteel.
• TheUnionCabinet,Governmentof Indiahasapproved theNationalSteelPolicy (NSP)2017,as it seeks to createa
globallycompetitivesteel industryinIndia.NSP2017targets300milliontonnes(MT)steelmakingincapacityand
160kgspercapitasteelconsumptionby2030.
Theongoing tradewarbetweenEU,USAandChinaaddsaslewofopportunities for Indiansteelaswellas Indianraw
materials. Indiaexpects tokeep itsMFNstatuswithUS therebyboostingexports.With thecurrent increase incapacity
additionsbyvarioussteelplantsgoingonlineIndiaispoisedtoovertakeJapanasthesecondlargeststeelproducerbyFY
2020behindonlyChinawhichisprojectingadeclineinSteelconsumptionby2%in2019fiscal.
Threats
Themain threat to the Indian steel industry is fromcheap steel importswhich theChinese companies aredumping in
India.WiththeChinesesteelfacingcloseddoorsinUSA,theyonlyhaveIndiatolooktowardsinlightofwaningdomestic
steeldemand.Thecurrentgovernmenthasputsafeguarddutiesforthesameandprotectedthelocalindustries.However,
itisnotclearforhowlongthesedutiesshallprevail.
Further,USA andEUmight impose tariffs on Indian steel as they have onChinese steel if the situations for their local
industriesdonot improve.Theonlycase inpoint fortheseeconomiesmaybethattheIndiansteelstillmakeseconomic
senseforthedownstreamindustries.
ManagementDiscussion&Analysis
31
SarthakMetalsLimited|AnnualReport201718
![Page 36: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/36.jpg)
(Pursuanttoclause(h)ofsubsection(3)ofsection134oftheActandRule8(2)oftheCompanies(Accounts)Rules,2014)
Formfordisclosureofparticularsofcontracts/arrangementsenteredintobythecompanywithrelatedpartiesreferredto
in subsection (1) of section 188 of the Companies Act, 2013 including certain arms length transactions under third
provisothereto
1. Detailsofcontractsorarrangementsortransactionsnotatarm'slengthbasi:NIL
(a) Name(s)oftherelatedpartyandnatureofrelationship
(b) Natureofcontracts/arrangements/transactions
(c) Durationofthecontracts/arrangements/transactions
(d) Salienttermsofthecontractsorarrangementsortransactionsincludingthevalue,ifany
(e) Justificationforenteringintosuchcontractsorarrangementsortransactions
(f) date(s)ofapprovalbytheBoard
(g) Amountpaidasadvances,ifany:
(h) Dateonwhichthespecialresolutionwaspassedingeneralmeetingasrequiredunderfirstprovisotosection188
2. Detailsofmaterialcontractsorarrangementortransactionsatarm'slengthbasis:
AnnexureI:FormNo.AOC-2
(Ref.:Board'sReport,Itemno.11)
Name(s)oftherelatedpartyandnatureofrelationship
Natureofcontracts/arrangements/transactions
Durationofthecontractsarrangements/transactions
Salienttermsofthecontractsorarrangementsortransactionsincludingthevalue,ifany
Date(s)ofapprovalbytheBoard,ifany
Amountpaidasadvances,ifany
1) METAL GRACE INJECTION ALLOYS PRIVATE LIMITED
ENTERPRISEOVERWHICHSIGNIFICANTINFLUENCE
RentPaid ANNUALY Rentpaid1,44,000.00 N/A NIL
2) M/S BANSAL BROTHERS (TRADING DIV.)
ENTERPRISEOVERWHICHSIGNIFICANTINFLUENCE
PurchaseRawMaterial,PurchaseofPackingMaterial,PurchaseofConsumableGoods,FactoryShed&Building,Repair&MaintenanceMachine
ANNUALY 1.PurchaseRawMaterial1,56,48,0772.PurchaseofPackingMaterial1,47,6463.PurchaseofConsumableGoods1,64,5894.FactoryShed&Building3.43.707Repair&MaintenanceMachine3,349
N/A NIL
3) M/S BANSAL BROTHERS (FAD)
ENTERPRISEOVER WHICHSIGNIFICANTINFLUENCE
PurchaserawMaterial
ANNUALY PurchaseRawMaterial7,87,43,564
N/A NIL
30
SarthakMetalsLimited|AnnualReport201718
OverallIndianEconomyOutlook
Theyear2017wasmarkedbyanumberofkeystructuralinitiativestobuildstrengthacrossmacroeconomicparameters
forsustainablegrowthinthefuture.Thegrowthinthefirsthalfoftheyearsuffereddespiteglobaltailwinds.However,the
weaknessseenatthebeginningof2017,seemstohavebottomedoutas2018setin.Currently,theeconomyseemstobe
onthepathtorecovery,withindicatorsofindustrialproduction,stockmarketindex,autosalesandexportshavingshown
uptick.
The Indian economy is expected to grow at an annual rate of 7.4% in 2018 and 7.8% in 2019, according to a
recentlyreleasedIMF Economic Outlook. India’s economy is “lifted by strong private consumption as well as fading
transitoryeffectsofthecurrencyexchangeinitiativeandimplementationofthenationalgoodsandservicestax,”notesthe
report.“Overthemediumterm,growthisexpectedtograduallyrisewithcontinuedimplementationofstructuralreforms
thatraiseproductivityandincentivizeprivateinvestment.”
SteelSectorOutlook
Indiahasmaintainedit’spositionasthethirdlargestproducerofSeelintheworld.InFY18,Indiaproduced104.98million
tonnes(MT)offinishedsteel.CrudeSteelproductionduring201718stoodat102.34MT.Steelconsumptionisexpectedto
grow5.7percentyearonyear to92.1MT in2018. India’s steelproduction isexpected to increase from102.34MT in
FY18to128.6MTby2021.India’spercapitaconsumptionofsteelgrewataCAGRof3.96percentfrom46kgsinFY08to
65.25kgsinFY17.Thefigurestoodat68kgsduringAprilFebruary201718.NationalSteelPolicy2017seekstoincrease
percapitasteelconsumptiontothelevelof160kgs.
Opportunities
Steeldemandiscurrentlygoingstrongmimickingpreviousyear’strend.WithcomingofGoods&ServiceTax,costofmany
productshascomedownmakingIndiamorecompetitive intheexportsmarket.Further,strongpushbygovernmenton
MakeinIndiaandvariousinfrastructureinvestmentshasaddedtothedemandofsteelinIndia.FollowingpoliciesofGoI
areaddinglustertothesector:
• Government of India’s focus on infrastructure and restarting roadprojects is aiding the boost in demand for steel.
Also,furtherlikelyaccelerationinruraleconomyandinfrastructureisexpectedtoleadtogrowthindemandforsteel.
• TheUnionCabinet,Governmentof Indiahasapproved theNationalSteelPolicy (NSP)2017,as it seeks to createa
globallycompetitivesteel industryinIndia.NSP2017targets300milliontonnes(MT)steelmakingincapacityand
160kgspercapitasteelconsumptionby2030.
Theongoing tradewarbetweenEU,USAandChinaaddsaslewofopportunities for Indiansteelaswellas Indianraw
materials. Indiaexpects tokeep itsMFNstatuswithUS therebyboostingexports.With thecurrent increase incapacity
additionsbyvarioussteelplantsgoingonlineIndiaispoisedtoovertakeJapanasthesecondlargeststeelproducerbyFY
2020behindonlyChinawhichisprojectingadeclineinSteelconsumptionby2%in2019fiscal.
Threats
Themain threat to the Indian steel industry is fromcheap steel importswhich theChinese companies aredumping in
India.WiththeChinesesteelfacingcloseddoorsinUSA,theyonlyhaveIndiatolooktowardsinlightofwaningdomestic
steeldemand.Thecurrentgovernmenthasputsafeguarddutiesforthesameandprotectedthelocalindustries.However,
itisnotclearforhowlongthesedutiesshallprevail.
Further,USA andEUmight impose tariffs on Indian steel as they have onChinese steel if the situations for their local
industriesdonot improve.Theonlycase inpoint fortheseeconomiesmaybethattheIndiansteelstillmakeseconomic
senseforthedownstreamindustries.
ManagementDiscussion&Analysis
31
SarthakMetalsLimited|AnnualReport201718
![Page 37: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/37.jpg)
TheGoI’s IBChasbeeneffective inresolving thestressedassetsofBanks in theBhushanSteelandMonnet Ispatcases.
However,decisionsonassets likeEssarandBPSLstill remain in limbo.TataSteel& JSWSteel thecompanieswhohave
acquired the stressed assets mentioned earlier have also stretched their balance sheets to buy these assets making
situationsquestionablefortheonlytwoprofitablesteelplantsinIndia.IndiansteelcompanieslikeJSPLandJSLcontinue
to facepressure frombanks, asmost of themare still overleveraged.TheFY2018 results ofmost steel companies are
definitelyabreathoffreshairbutcontinuousachievementofsuchperformanceisquestionable.
ProductWisePerformance
SarthakMetals Limitedhas threemanufacturingdivisions as on31stMarch2018 i.e. industrial oxygenmanufacturing,
coredwiremanufacturingplant andFerroAluminummanufacturingplant. The industrial oxygenplant is of 200Cubic
Meterperhourcapacity. Ithasbeengivingsteadyperformanceandcateringtonearbysteel fabricationcompanies.The
coredwiredivisionof the companymanufacturesvarious coredwiresandaluminum flipping coils for the Iron&Steel
companies. Your company has commissioned the Ferro Aluminum and Iron Powder plants in FY 2019. Further, your
companyhasalsostartedthecommissioningofAluminumwirerodmanufacturingplant,whichshallbetherawmaterial
forAluminumflippingcoil.WearehopefulofbringingthealuminiumwirerodplantonlinebyOctober2018.
Theproductwiseperformanceofthebothcoredwires,aluminumflippingcoilandFerroAluminiumhasbeenbriefedin
thetablebelow:
Outlook
Recovering fundamentals of steel companies and strong domestic demand of steel shall be amajor contributor to the
company'sgrowthinthecomingfiscals.Thetwofactors,whichshallkeepourcompanycompetitive, isqualityandcost
control.Thereseemstobenoreasonfornotgrowingifwelivebythesetwocovenants.
CautionaryStatement
Statementsmade in thisManagementDiscussionsandAnalysisdescribingcompany'sobjectiveandpredictionsmaybe
"Forwardlookingstatements"withinthemeaningofapplicablelawsandregulations.Actualresultsmaydifferfromthose
expressed therein. Important factors that couldmakedifference to the operations includeGovernment regulations, tax
structuresandcountry'seconomicdevelopment,availabilityofinputandtheirpricesandotherincidentalfactors.
ProductName ContributiontoTurnover(RsinCrores)
Quantity(inMetricTonnes)
CapacityUtilisation
CoredWires 107.71 5951.393 60%
AluminumFlippingCoil 53.97 3170.097 64%
FerroAluminum 4.96 1569.535 32.70%
32
Table:CapacityUtilisationforPrimaryProducts
SarthakMetalsLimited|AnnualReport201718
FormNo.MR-3
SECRETARIALAUDITREPORT
REPORTFORTHEFINANCIALYEARENDED31stMARCH,2018
[Pursuanttosection204(1)oftheCompaniesAct,2013andruleNo.9oftheCompanies(AppointmentandRemuneration
Personnel)Rules,2014]
To,
TheMembers,
SARTHAKMETALSLIMITED
B.B.C.Colony,G.E.Road,Khurspar,
Bhilai–490011
I have conducted the secretarial audit of the compliance of applicable statutory provisions and the adherence to good
corporatepracticesbySARTHAKMETALSLIMITED(hereinaftercalledtheCompany).SecretarialAuditwasconductedina
mannerthatprovidedmeareasonablebasisforevaluatingthecorporateconducts/statutorycompliancesandexpressing
myopinionthereon.
Based on my verification of the Company’s books, papers, minute books, forms and returns filed and other records
maintained by the company and also the information provided by the Company, its officers, agents and authorized
representativesduringtheconductofsecretarialaudit, Iherebyreportthat inmyopinion,thecompanyhas,duringthe
auditperiodcoveringthefinancialyearendedon31stMarch,2018(‘AuditPeriod’)compliedwiththestatutoryprovisions
listed hereunder and also that the Companyhas adequateBoardprocesses and compliancemechanism in place to the
extent,inthemannerandsubjecttothereportingmadehereinafter:
Ihaveexaminedthebooks,papers,minutebooks,formsandreturnsfiledandotherrecordsmaintainedbyCompanyfor
thefinancialyearendedon31stMarch,2018accordingtotheprovisionsof:
i. TheCompaniesAct,2013(theAct)andtherulesmadethereunder;
ii. TheSecuritiesContracts(Regulation)Act,1956(‘SCRA’)andtherulesmadethereunder;
iii. TheDepositoriesAct,1996andtheRegulationsandByelawsframedthereunder;
iv. Foreign ExchangeManagement Act, 1999 and the rules and regulationsmade thereunder to the extent of Foreign
DirectInvestment,OverseasDirectInvestmentandExternalCommercialBorrowings;
v. The following Regulations and Guidelines prescribed under the Securities and Exchange Board of India Act, 1992
(‘SEBIAct’):
a) TheSecuritiesandExchangeBoardofIndia(SubstantialAcquisitionofSharesandTakeovers)Regulations,2011;
b) TheSecuritiesandExchangeBoardofIndia(ProhibitionofInsiderTrading)Regulations,2015;
c) TheSecuritiesandExchangeBoardofIndia(ListingObligationsandDisclosureRequirements)Regulations,2015;
d) The Securities and Exchange Board of India (Issue of Capital andDisclosure Requirements) Regulations, 2009
(NotApplicableastheCompanyhasnotissuedanyfurthersharecapitalduringtheyear;
e) TheSecuritiesandExchangeBoardofIndia(SharebasedEmployeeBenefits)Regulations,2014(NotApplicable);
f) The Securities and Exchange Board of India (Issue and Listing of Debt Securities) Regulations, 2008 (Not
Applicable);
33
SarthakMetalsLimited|AnnualReport201718
![Page 38: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/38.jpg)
TheGoI’s IBChasbeeneffective inresolving thestressedassetsofBanks in theBhushanSteelandMonnet Ispatcases.
However,decisionsonassets likeEssarandBPSLstill remain in limbo.TataSteel& JSWSteel thecompanieswhohave
acquired the stressed assets mentioned earlier have also stretched their balance sheets to buy these assets making
situationsquestionablefortheonlytwoprofitablesteelplantsinIndia.IndiansteelcompanieslikeJSPLandJSLcontinue
to facepressure frombanks, asmost of themare still overleveraged.TheFY2018 results ofmost steel companies are
definitelyabreathoffreshairbutcontinuousachievementofsuchperformanceisquestionable.
ProductWisePerformance
SarthakMetals Limitedhas threemanufacturingdivisions as on31stMarch2018 i.e. industrial oxygenmanufacturing,
coredwiremanufacturingplant andFerroAluminummanufacturingplant. The industrial oxygenplant is of 200Cubic
Meterperhourcapacity. Ithasbeengivingsteadyperformanceandcateringtonearbysteel fabricationcompanies.The
coredwiredivisionof the companymanufacturesvarious coredwiresandaluminum flipping coils for the Iron&Steel
companies. Your company has commissioned the Ferro Aluminum and Iron Powder plants in FY 2019. Further, your
companyhasalsostartedthecommissioningofAluminumwirerodmanufacturingplant,whichshallbetherawmaterial
forAluminumflippingcoil.WearehopefulofbringingthealuminiumwirerodplantonlinebyOctober2018.
Theproductwiseperformanceofthebothcoredwires,aluminumflippingcoilandFerroAluminiumhasbeenbriefedin
thetablebelow:
Outlook
Recovering fundamentals of steel companies and strong domestic demand of steel shall be amajor contributor to the
company'sgrowthinthecomingfiscals.Thetwofactors,whichshallkeepourcompanycompetitive, isqualityandcost
control.Thereseemstobenoreasonfornotgrowingifwelivebythesetwocovenants.
CautionaryStatement
Statementsmade in thisManagementDiscussionsandAnalysisdescribingcompany'sobjectiveandpredictionsmaybe
"Forwardlookingstatements"withinthemeaningofapplicablelawsandregulations.Actualresultsmaydifferfromthose
expressed therein. Important factors that couldmakedifference to the operations includeGovernment regulations, tax
structuresandcountry'seconomicdevelopment,availabilityofinputandtheirpricesandotherincidentalfactors.
ProductName ContributiontoTurnover(RsinCrores)
Quantity(inMetricTonnes)
CapacityUtilisation
CoredWires 107.71 5951.393 60%
AluminumFlippingCoil 53.97 3170.097 64%
FerroAluminum 4.96 1569.535 32.70%
32
Table:CapacityUtilisationforPrimaryProducts
SarthakMetalsLimited|AnnualReport201718
FormNo.MR-3
SECRETARIALAUDITREPORT
REPORTFORTHEFINANCIALYEARENDED31stMARCH,2018
[Pursuanttosection204(1)oftheCompaniesAct,2013andruleNo.9oftheCompanies(AppointmentandRemuneration
Personnel)Rules,2014]
To,
TheMembers,
SARTHAKMETALSLIMITED
B.B.C.Colony,G.E.Road,Khurspar,
Bhilai–490011
I have conducted the secretarial audit of the compliance of applicable statutory provisions and the adherence to good
corporatepracticesbySARTHAKMETALSLIMITED(hereinaftercalledtheCompany).SecretarialAuditwasconductedina
mannerthatprovidedmeareasonablebasisforevaluatingthecorporateconducts/statutorycompliancesandexpressing
myopinionthereon.
Based on my verification of the Company’s books, papers, minute books, forms and returns filed and other records
maintained by the company and also the information provided by the Company, its officers, agents and authorized
representativesduringtheconductofsecretarialaudit, Iherebyreportthat inmyopinion,thecompanyhas,duringthe
auditperiodcoveringthefinancialyearendedon31stMarch,2018(‘AuditPeriod’)compliedwiththestatutoryprovisions
listed hereunder and also that the Companyhas adequateBoardprocesses and compliancemechanism in place to the
extent,inthemannerandsubjecttothereportingmadehereinafter:
Ihaveexaminedthebooks,papers,minutebooks,formsandreturnsfiledandotherrecordsmaintainedbyCompanyfor
thefinancialyearendedon31stMarch,2018accordingtotheprovisionsof:
i. TheCompaniesAct,2013(theAct)andtherulesmadethereunder;
ii. TheSecuritiesContracts(Regulation)Act,1956(‘SCRA’)andtherulesmadethereunder;
iii. TheDepositoriesAct,1996andtheRegulationsandByelawsframedthereunder;
iv. Foreign ExchangeManagement Act, 1999 and the rules and regulationsmade thereunder to the extent of Foreign
DirectInvestment,OverseasDirectInvestmentandExternalCommercialBorrowings;
v. The following Regulations and Guidelines prescribed under the Securities and Exchange Board of India Act, 1992
(‘SEBIAct’):
a) TheSecuritiesandExchangeBoardofIndia(SubstantialAcquisitionofSharesandTakeovers)Regulations,2011;
b) TheSecuritiesandExchangeBoardofIndia(ProhibitionofInsiderTrading)Regulations,2015;
c) TheSecuritiesandExchangeBoardofIndia(ListingObligationsandDisclosureRequirements)Regulations,2015;
d) The Securities and Exchange Board of India (Issue of Capital andDisclosure Requirements) Regulations, 2009
(NotApplicableastheCompanyhasnotissuedanyfurthersharecapitalduringtheyear;
e) TheSecuritiesandExchangeBoardofIndia(SharebasedEmployeeBenefits)Regulations,2014(NotApplicable);
f) The Securities and Exchange Board of India (Issue and Listing of Debt Securities) Regulations, 2008 (Not
Applicable);
33
SarthakMetalsLimited|AnnualReport201718
![Page 39: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/39.jpg)
g) TheSecuritiesandExchangeBoardofIndia(RegistrarstoanIssueandShareTransferAgents)Regulations,1993
regardingtheCompaniesActanddealingwithclient(NotApplicable);
h) TheSecuritiesandExchangeBoardofIndia(DelistingofEquityShares)Regulations,2009(Notapplicableasthe
Companyhasnotdelisted/proposetodelistanyofitssecuritiesduringthefinancialyearunderreview.);and
i) The Securities and Exchange Board of India (Buyback of Securities) Regulations, 1998(Not applicable as the
Companyhasnotboughtback/proposetobuybackanyofitssecuritiesduringthefinancialyearunderreview).;
Ihavealsoexaminedcompliancewiththeapplicableclausesofthefollowing:
(i) SecretarialStandardswithregardtoMeetingofBoardofDirectors(SS1)andGeneralMeetings(SS2)issuedby
TheInstituteofCompanySecretariesofIndia.
(ii)TheListingAgreemententeredintobytheCompanywithStockExchange.
During the period under review the Company has complied with the provisions of the Act, Rules, Regulations,
Guidelines,Standards,etc.mentionedabovesubjecttothefollowingobservations:.
1. TheCompanyhasnotsubmittedtheAnnualReporttotheStockExchangeasmentionedinRegulation34ofthe
SecuritiesandExchangeBoardofIndia(ListingObligationsandDisclosureRequirements)Regulations,2015.
2. TheBoardMeetingforthequarterended30thSeptember,2017washeldon15thNovember,2017andsubmitted
thesametotheStockExchangeon15thNovember,2017.
3. TheCompanyhas transferred thedividenddeclaredon1stAugust,2017 for theyearended31.03.2017 to the
separatebankaccountaspertheprovisionsSection123oftheCompaniesAct,2013on08thAugust,2017.
4. TheCompanyhasnottransferredtheunpaiddividendtothespecialaccountwithin7daysfromthedateofexpiry
ofthe30daysofdeclarationaspertheprovisionsSection124oftheCompaniesAct,2013.
IfurtherreportthatTheBoardofDirectorsoftheCompanyisdulyconstitutedwithproperbalanceofExecutiveDirectors,
NonExecutiveDirectorsandIndependentDirectors.TherewaschangeinthecompositionoftheBoardofDirectorsduring
theperiodunderreview.
AdequatenoticeisgiventoalldirectorstoscheduletheBoardMeetings,agendaanddetailednotesonagendaweresentat
leastsevendays inadvance,andasystemexists forseekingandobtaining further informationandclarificationsonthe
agendaitemsbeforethemeetingandformeaningfulparticipationatthemeeting.
AllthedecisionsatBoardMeetingsandCommitteeMeetingsarecarriedoutunanimouslyasrecordedintheminutesof
themeetingsoftheBoardofDirectorsoftheBoardasthecasemaybe.
I further report that there are adequate systems and processes in the company commensurate with the size and
operationsofthecompanytomonitorandensurecompliancewithapplicablelaws,rules,regulationsandguidelines.
Ifurtherreportthatduringtheauditperiodtherewerenoinstancesof:
i) RightIssue|Preferentialissueofshares|issueofdebentures|issueofsweatEquity.
ii) Redemption|Buybackofsecurities.
iii) MajordecisionstakenbytheMembersinpursuancetoSection180oftheAct.
iv) ForeignTechnicalCollaborations.
34
SarthakMetalsLimited|AnnualReport201718
IfurtherreportthatduringtheauditperiodtheCompanyhasnotundertakenevents/actionshavingamajorbearingon
theCompany’saffairsinpursuanceoftheabovereferredlaws,rules,regulations,guidelines,standards,etc.
Place:Mumbai ForNileshA.Pradhan&Co.
Date:1stAugust,2018 PracticingCompanySecretary
Sd/
NileshA.Pradhan
Proprietor
FCS:5445
CP:3659
Note:ThisreportshouldbereadwithmyletterwhichisannexedasAnnexureIandformsintegralpartofthisreport.
ANNEXURE–I
To,
TheMembers,
SARTHAKMETALSLIMITED
B.B.C.Colony,G.E.Road,Khurspar,
Bhilai–490011
Myreportofevendateistobereadalongwiththisletter
1. Maintenance of Secretarial record is the responsibility of themanagement of the Company.My responsibility is to
expressanopiniononthesesecretarialrecordsbasedonmyaudit.
2. I have followed the audit practices and processes aswere appropriate to obtain reasonable assurance about the
correctnessofthecontentsoftheSecretarialrecords.Theverificationwasdoneontestbasistoensurethatcorrect
facts are reflected in secretarial records. I believed that the processes and practices that I followed provide a
reasonablebasisformyopinion.
3. IhavenotverifiedthecorrectnessandappropriatenessoffinancialrecordsandBooksofAccountsofthecompany.
4. Where ever required, I have obtained the Management representation about the compliance of laws, rules and
regulationsandhappeningofeventsetc.
5. The compliance of the provisions of Corporate and other applicable laws, rules, regulations, standards is the
responsibilityofmanagement.Myexaminationwaslimitedtotheverificationofproceduresontestbasis.
6. TheSecretarialAudit report isneitheranassuranceas to the futureviabilityof thecompanynorof theefficacyor
effectivenesswithwhichthemanagementhasconductedtheaffairsofthecompany.
ForNileshA.Pradhan&Co,
PracticingCompanySecretaries
Sd/
NileshA.Pradhan
Proprietor
Place:Mumbai FCS:5445
Date:01.08.2018 COP:3659
35
SarthakMetalsLimited|AnnualReport201718
![Page 40: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/40.jpg)
g) TheSecuritiesandExchangeBoardofIndia(RegistrarstoanIssueandShareTransferAgents)Regulations,1993
regardingtheCompaniesActanddealingwithclient(NotApplicable);
h) TheSecuritiesandExchangeBoardofIndia(DelistingofEquityShares)Regulations,2009(Notapplicableasthe
Companyhasnotdelisted/proposetodelistanyofitssecuritiesduringthefinancialyearunderreview.);and
i) The Securities and Exchange Board of India (Buyback of Securities) Regulations, 1998(Not applicable as the
Companyhasnotboughtback/proposetobuybackanyofitssecuritiesduringthefinancialyearunderreview).;
Ihavealsoexaminedcompliancewiththeapplicableclausesofthefollowing:
(i) SecretarialStandardswithregardtoMeetingofBoardofDirectors(SS1)andGeneralMeetings(SS2)issuedby
TheInstituteofCompanySecretariesofIndia.
(ii)TheListingAgreemententeredintobytheCompanywithStockExchange.
During the period under review the Company has complied with the provisions of the Act, Rules, Regulations,
Guidelines,Standards,etc.mentionedabovesubjecttothefollowingobservations:.
1. TheCompanyhasnotsubmittedtheAnnualReporttotheStockExchangeasmentionedinRegulation34ofthe
SecuritiesandExchangeBoardofIndia(ListingObligationsandDisclosureRequirements)Regulations,2015.
2. TheBoardMeetingforthequarterended30thSeptember,2017washeldon15thNovember,2017andsubmitted
thesametotheStockExchangeon15thNovember,2017.
3. TheCompanyhas transferred thedividenddeclaredon1stAugust,2017 for theyearended31.03.2017 to the
separatebankaccountaspertheprovisionsSection123oftheCompaniesAct,2013on08thAugust,2017.
4. TheCompanyhasnottransferredtheunpaiddividendtothespecialaccountwithin7daysfromthedateofexpiry
ofthe30daysofdeclarationaspertheprovisionsSection124oftheCompaniesAct,2013.
IfurtherreportthatTheBoardofDirectorsoftheCompanyisdulyconstitutedwithproperbalanceofExecutiveDirectors,
NonExecutiveDirectorsandIndependentDirectors.TherewaschangeinthecompositionoftheBoardofDirectorsduring
theperiodunderreview.
AdequatenoticeisgiventoalldirectorstoscheduletheBoardMeetings,agendaanddetailednotesonagendaweresentat
leastsevendays inadvance,andasystemexists forseekingandobtaining further informationandclarificationsonthe
agendaitemsbeforethemeetingandformeaningfulparticipationatthemeeting.
AllthedecisionsatBoardMeetingsandCommitteeMeetingsarecarriedoutunanimouslyasrecordedintheminutesof
themeetingsoftheBoardofDirectorsoftheBoardasthecasemaybe.
I further report that there are adequate systems and processes in the company commensurate with the size and
operationsofthecompanytomonitorandensurecompliancewithapplicablelaws,rules,regulationsandguidelines.
Ifurtherreportthatduringtheauditperiodtherewerenoinstancesof:
i) RightIssue|Preferentialissueofshares|issueofdebentures|issueofsweatEquity.
ii) Redemption|Buybackofsecurities.
iii) MajordecisionstakenbytheMembersinpursuancetoSection180oftheAct.
iv) ForeignTechnicalCollaborations.
34
SarthakMetalsLimited|AnnualReport201718
IfurtherreportthatduringtheauditperiodtheCompanyhasnotundertakenevents/actionshavingamajorbearingon
theCompany’saffairsinpursuanceoftheabovereferredlaws,rules,regulations,guidelines,standards,etc.
Place:Mumbai ForNileshA.Pradhan&Co.
Date:1stAugust,2018 PracticingCompanySecretary
Sd/
NileshA.Pradhan
Proprietor
FCS:5445
CP:3659
Note:ThisreportshouldbereadwithmyletterwhichisannexedasAnnexureIandformsintegralpartofthisreport.
ANNEXURE–I
To,
TheMembers,
SARTHAKMETALSLIMITED
B.B.C.Colony,G.E.Road,Khurspar,
Bhilai–490011
Myreportofevendateistobereadalongwiththisletter
1. Maintenance of Secretarial record is the responsibility of themanagement of the Company.My responsibility is to
expressanopiniononthesesecretarialrecordsbasedonmyaudit.
2. I have followed the audit practices and processes aswere appropriate to obtain reasonable assurance about the
correctnessofthecontentsoftheSecretarialrecords.Theverificationwasdoneontestbasistoensurethatcorrect
facts are reflected in secretarial records. I believed that the processes and practices that I followed provide a
reasonablebasisformyopinion.
3. IhavenotverifiedthecorrectnessandappropriatenessoffinancialrecordsandBooksofAccountsofthecompany.
4. Where ever required, I have obtained the Management representation about the compliance of laws, rules and
regulationsandhappeningofeventsetc.
5. The compliance of the provisions of Corporate and other applicable laws, rules, regulations, standards is the
responsibilityofmanagement.Myexaminationwaslimitedtotheverificationofproceduresontestbasis.
6. TheSecretarialAudit report isneitheranassuranceas to the futureviabilityof thecompanynorof theefficacyor
effectivenesswithwhichthemanagementhasconductedtheaffairsofthecompany.
ForNileshA.Pradhan&Co,
PracticingCompanySecretaries
Sd/
NileshA.Pradhan
Proprietor
Place:Mumbai FCS:5445
Date:01.08.2018 COP:3659
35
SarthakMetalsLimited|AnnualReport201718
![Page 41: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/41.jpg)
INDEPENDENTAUDITORS’REPORT
TOTHEMEMBERSOF
M/sSARTHAKMETALSLIMITED
(FormerlyknownasSarthakMetalsMarketingPrivateLimited)
ReportontheFinancialStatements
We have audited the accompanying financial statements of M/s SARTHAK METALS LIMITED (“the company”) which
comprisetheBalanceSheetasat31stMarch2018,theStatementofProfitandLoss,theCashFlowStatementfortheyear
thenendedandasummaryofsignificantaccountingpoliciesandotherexplanatoryinformation.
Management'sResponsibilityfortheFinancialStatements
TheCompany’sBoardofDirectorsisresponsibleforthemattersstatedinsection134(5)oftheCompaniesAct,2013(“the
Act”)withrespecttothepreparationandpresentationofthesefinancialstatementsthatgiveatrueandfairviewofthe
financial position, financial performance and cash flows of the Company in accordancewith the accounting principles
generallyacceptedinIndia,includingtheAccountingStandardsspecifiedunderSection133oftheAct,readwithRule7of
theCompanies(Accounts)Rules,2014.Thisresponsibilityalsoincludesthemaintenanceofadequateaccountingrecords
inaccordancewiththeprovisionoftheActforsafeguardingoftheassetsoftheCompanyandforpreventinganddetecting
the fraudsandother irregularities; selectionandapplicationofappropriateaccountingpolicies;making judgmentsand
estimates thatarereasonableandprudent;anddesign, implementationandmaintenanceofadequate internal financial
control,thatwereoperatingeffectivelyforensuringtheaccuracyandcompletenessoftheaccountingrecords,relevantto
the preparation and presentation of the financial statements that give a true and fair view and are free frommaterial
misstatement,whetherduetofraudorerror.
Auditor’sResponsibility
Ourresponsibilityistoexpressanopiniononthesefinancialstatementsbasedonouraudit.Wehavetakenintoaccount
theprovisionsoftheAct,theaccountingandauditingstandardsandmatterswhicharerequiredtobeincludedintheaudit
reportundertheprovisionsoftheActandtheRulesmadethereunder.
WeconductedourauditinaccordancewiththeStandardsonAuditingspecifiedundersection143(10)oftheAct.Those
Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable
assuranceaboutwhetherthefinancialstatementsarefreefrommaterialmisstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial
statements.Theproceduresselecteddependontheauditor’sjudgment,includingtheassessmentoftherisksofmaterial
misstatementof the financial statements,whetherdue to fraudorerror. Inmaking those riskassessments, theauditor
considers internal financialcontrolrelevanttotheCompany’spreparationofthefinancialstatementsthatgivetrueand
fair view, in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of
expressinganopiniononwhethertheCompanyhasinplaceanadequateinternalfinancialcontrolssystemoverfinancial
reportingandoperatingeffectivenessofsuchcontrols.Anauditalsoincludesevaluatingtheappropriatenessofaccounting
policiesusedandthereasonablenessoftheaccountingestimatesmadebyCompany’sDirectors,aswellasevaluatingthe
overallpresentationofthefinancialstatements.
Webelievethattheauditevidencewehaveobtainedissufficientandappropriatetoprovideabasisforourauditopinion
onthefinancialstatements.
36
SarthakMetalsLimited|AnnualReport201718
Opinion
Inouropinionand to thebestofour informationandaccording to theexplanationsgiven tous, theaforesaid financial
statementsgivetheinformationrequiredbytheActinthemannersorequiredandgiveatrueandfairviewinconformity
withtheaccountingprinciplesgenerallyacceptedinIndiaofthestateofaffairsoftheCompanyasat31stMarch2018,its
Profit,itsCashFlowsandchangesinEquityfortheyearendedonthatdate.
ReportonotherLegalandRegulatoryRequirements
1. AsrequiredbytheCompanies(Auditor’sReport)Order,2016(“theOrder”)issuedbytheCentralGovernmentofIndia
intermsofsubsection(11)ofsection143oftheAct,wegiveintheAnnexureAastatementonthemattersSpecified
inparagraphs3and4oftheOrder,totheextentapplicable.
2. Asrequiredbysection143(3)oftheAct,wereportthat:
a) Wehavesoughtandobtainedalltheinformationandexplanationswhichtothebestofourknowledgeandbelief
werenecessaryforthepurposesofouraudit.
b) InouropinionproperbooksofaccountasrequiredbylawhavebeenkeptbytheCompanysofaras itappears
fromourexaminationofthosebooks.
c) theBalance Sheet, the Statement of Profit and Loss andCash Flow Statement dealtwith by thisReport are in
agreementwiththebooksofaccount.
d) Inouropinion,theaforesaidfinancialstatementscomplywiththeAccountingStandardsspecifiedunderSection
133oftheAct,readwithRule7oftheCompanies(Accounts)Rules,2014.
e) Onthebasisofwrittenrepresentationsreceivedfromthedirectorsason31stMarch,2018takenonrecordbythe
BoardofDirectors,noneofthedirectorsisdisqualifiedason31stMarch,2018frombeingappointedasadirector
intermsofSection164(2)oftheAct.
f) WithRespecttotheadequacyoftheInternalFinancialControlsoverfinancialreportingoftheCompanyandthe
OperatingEffectivenessofsuchcontrols,refertoourseparatereportinAnnexureB.
g) In our opinion and to the best of our information and according to the explanations given to us,we report as
underwith respect to othermatters to be included in the Auditor’s Report in accordancewith Rule 11 of the
Companies(AuditandAuditors)Rules,2014:
i. TheCompanydoesnothaveanypendinglitigationswhichwouldimpactitsfinancialposition.
ii. TheCompanydoesnothaveanylongtermcontractsincludingderivativescontractsforwhichtherewereany
materialforeseeablelosses.
iii. TherewerenoamountswhicharerequiredtobetransferredbytheCompanytotheInvestorEducationand
ProtectionFund.
ForBEGANI&BEGANI
CHARTEREDACCOUNTANTS
FRNNO.010779C
Place:RAIPUR(C.G.)
Date:29/05/2018Sd/
(VIVEKBEGANI)
PARTNER
M.NO.403743
37
SarthakMetalsLimited|AnnualReport201718
![Page 42: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/42.jpg)
INDEPENDENTAUDITORS’REPORT
TOTHEMEMBERSOF
M/sSARTHAKMETALSLIMITED
(FormerlyknownasSarthakMetalsMarketingPrivateLimited)
ReportontheFinancialStatements
We have audited the accompanying financial statements of M/s SARTHAK METALS LIMITED (“the company”) which
comprisetheBalanceSheetasat31stMarch2018,theStatementofProfitandLoss,theCashFlowStatementfortheyear
thenendedandasummaryofsignificantaccountingpoliciesandotherexplanatoryinformation.
Management'sResponsibilityfortheFinancialStatements
TheCompany’sBoardofDirectorsisresponsibleforthemattersstatedinsection134(5)oftheCompaniesAct,2013(“the
Act”)withrespecttothepreparationandpresentationofthesefinancialstatementsthatgiveatrueandfairviewofthe
financial position, financial performance and cash flows of the Company in accordancewith the accounting principles
generallyacceptedinIndia,includingtheAccountingStandardsspecifiedunderSection133oftheAct,readwithRule7of
theCompanies(Accounts)Rules,2014.Thisresponsibilityalsoincludesthemaintenanceofadequateaccountingrecords
inaccordancewiththeprovisionoftheActforsafeguardingoftheassetsoftheCompanyandforpreventinganddetecting
the fraudsandother irregularities; selectionandapplicationofappropriateaccountingpolicies;making judgmentsand
estimates thatarereasonableandprudent;anddesign, implementationandmaintenanceofadequate internal financial
control,thatwereoperatingeffectivelyforensuringtheaccuracyandcompletenessoftheaccountingrecords,relevantto
the preparation and presentation of the financial statements that give a true and fair view and are free frommaterial
misstatement,whetherduetofraudorerror.
Auditor’sResponsibility
Ourresponsibilityistoexpressanopiniononthesefinancialstatementsbasedonouraudit.Wehavetakenintoaccount
theprovisionsoftheAct,theaccountingandauditingstandardsandmatterswhicharerequiredtobeincludedintheaudit
reportundertheprovisionsoftheActandtheRulesmadethereunder.
WeconductedourauditinaccordancewiththeStandardsonAuditingspecifiedundersection143(10)oftheAct.Those
Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable
assuranceaboutwhetherthefinancialstatementsarefreefrommaterialmisstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial
statements.Theproceduresselecteddependontheauditor’sjudgment,includingtheassessmentoftherisksofmaterial
misstatementof the financial statements,whetherdue to fraudorerror. Inmaking those riskassessments, theauditor
considers internal financialcontrolrelevanttotheCompany’spreparationofthefinancialstatementsthatgivetrueand
fair view, in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of
expressinganopiniononwhethertheCompanyhasinplaceanadequateinternalfinancialcontrolssystemoverfinancial
reportingandoperatingeffectivenessofsuchcontrols.Anauditalsoincludesevaluatingtheappropriatenessofaccounting
policiesusedandthereasonablenessoftheaccountingestimatesmadebyCompany’sDirectors,aswellasevaluatingthe
overallpresentationofthefinancialstatements.
Webelievethattheauditevidencewehaveobtainedissufficientandappropriatetoprovideabasisforourauditopinion
onthefinancialstatements.
36
SarthakMetalsLimited|AnnualReport201718
Opinion
Inouropinionand to thebestofour informationandaccording to theexplanationsgiven tous, theaforesaid financial
statementsgivetheinformationrequiredbytheActinthemannersorequiredandgiveatrueandfairviewinconformity
withtheaccountingprinciplesgenerallyacceptedinIndiaofthestateofaffairsoftheCompanyasat31stMarch2018,its
Profit,itsCashFlowsandchangesinEquityfortheyearendedonthatdate.
ReportonotherLegalandRegulatoryRequirements
1. AsrequiredbytheCompanies(Auditor’sReport)Order,2016(“theOrder”)issuedbytheCentralGovernmentofIndia
intermsofsubsection(11)ofsection143oftheAct,wegiveintheAnnexureAastatementonthemattersSpecified
inparagraphs3and4oftheOrder,totheextentapplicable.
2. Asrequiredbysection143(3)oftheAct,wereportthat:
a) Wehavesoughtandobtainedalltheinformationandexplanationswhichtothebestofourknowledgeandbelief
werenecessaryforthepurposesofouraudit.
b) InouropinionproperbooksofaccountasrequiredbylawhavebeenkeptbytheCompanysofaras itappears
fromourexaminationofthosebooks.
c) theBalance Sheet, the Statement of Profit and Loss andCash Flow Statement dealtwith by thisReport are in
agreementwiththebooksofaccount.
d) Inouropinion,theaforesaidfinancialstatementscomplywiththeAccountingStandardsspecifiedunderSection
133oftheAct,readwithRule7oftheCompanies(Accounts)Rules,2014.
e) Onthebasisofwrittenrepresentationsreceivedfromthedirectorsason31stMarch,2018takenonrecordbythe
BoardofDirectors,noneofthedirectorsisdisqualifiedason31stMarch,2018frombeingappointedasadirector
intermsofSection164(2)oftheAct.
f) WithRespecttotheadequacyoftheInternalFinancialControlsoverfinancialreportingoftheCompanyandthe
OperatingEffectivenessofsuchcontrols,refertoourseparatereportinAnnexureB.
g) In our opinion and to the best of our information and according to the explanations given to us,we report as
underwith respect to othermatters to be included in the Auditor’s Report in accordancewith Rule 11 of the
Companies(AuditandAuditors)Rules,2014:
i. TheCompanydoesnothaveanypendinglitigationswhichwouldimpactitsfinancialposition.
ii. TheCompanydoesnothaveanylongtermcontractsincludingderivativescontractsforwhichtherewereany
materialforeseeablelosses.
iii. TherewerenoamountswhicharerequiredtobetransferredbytheCompanytotheInvestorEducationand
ProtectionFund.
ForBEGANI&BEGANI
CHARTEREDACCOUNTANTS
FRNNO.010779C
Place:RAIPUR(C.G.)
Date:29/05/2018Sd/
(VIVEKBEGANI)
PARTNER
M.NO.403743
37
SarthakMetalsLimited|AnnualReport201718
![Page 43: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/43.jpg)
Annexure-‘A’totheAuditors’Report
Intermsoftheinformationandexplanationssoughtbyusandgivenbythecompanyandthebooksandrecordsexamined
byusinthenormalcourseofauditandtothebestofourknowledgeandbelief,westatethat::
(i) (a) TheCompanyhasmaintainedproperrecordsshowingfullparticulars,includingquantitativedetailsand
situationoffixedassets.
(b) Asexplained&Informedtous,theCompanyhasaregularprogrammeofphysicalverificationofitsfixed
assetsbywhichfixedassetsareverifiedinaphasedmanneroveraperiodofthreeyears.Inaccordance
with this programme, certain fixed assetswere verifiedduring the year andnomaterial discrepancies
werenoticedon suchverification. Inouropinion, thisperiodicityofphysical verification is reasonable
havingregardtothesizeoftheCompanyandthenatureofitsassets.
(c) As explained & Informed to us, the title deeds of immoveable properties are held in the name of the
company.
(ii) As explained to us, physical verification of inventory has been conducted at reasonable intervals by the
managementandthereisnomaterialdiscrepancy.
(iii) Asattheyearend,thereisnoloanoutstandinggivenbythecompany,whichiscoveredintheregistermaintained
undersection189ofthecompaniesAct,2013
(iv) Inouropinionandaccordingtotheinformationandexplanationsgiventous,thecompanyhascompliedwiththe
provisionsofsection185and186oftheAct,withrespecttotheloansandinvestmentsmade.
(v) Inouropinionandaccordingtotheinformationandexplanationsgiventous,theCompanyhasnotacceptedany
depositsincontraventionofDirectivesissuedbyReserveBankofIndiaandtheprovisionsofsection73to76or
any other relevant provisions of the Act and the rules framed there under. No order has been passed by the
Company Law Board or National Company Law Tribunal or Reserve Bank of India or any court or any other
tribunal.
(vi) AsExplained&Informedtousmaintenanceofcostrecordsfortheitemsmanufactured/dealtbythecompanyin
itsdifferentundertakingisnotapplicable.
(vii) (a) According to the information and explanations given to us and on the basis of our examination of the
recordsof theCompany,amountsdeducted/accrued in thebooksofaccount inrespectofundisputed
statutory dues including income tax, service tax, cess and other material statutory dues have been
regularlydepositedduringtheyearbytheCompanywiththeappropriateauthorities.Asexplainedtous,
the Company did not have any dues on account of employees' state insurance and duty of excise.
Accordingtotheinformationandexplanationsgiventous,noundisputedamountspayableinrespectof
incometax,servicetax,cessandothermaterialstatutorydueswereinarrearsasat31stMarch2018for
aperiodofmorethansixmonthsfromthedatetheybecamepayable.
(b) According to the information and explanations given to us and on the basis of our examination of the
recordsoftheCompany,thecompanydidnothaveanyundisputedamountpayableinrespectofIncome
Tax ,Wealth Tax ,Custom Duty, Excise Duty, Sales Tax VAT, Cess and other material statutory due in
arrears/wereoutstandingasat31stMarch2018foraperiodofmorethansixmonthsfromthedatethey
becamepayable.
(viii) Accordingtotheinformationandexplanationsgiventous,theCompanyhasnotdefaultedinrepaymentofloans
orborrowingtoafinancialinstitutionorbanks.
38
SarthakMetalsLimited|AnnualReport201718
(ix) DuringtheyeartheCompanyhasnotraisedanyfreshmoneybywayofinitialpublicoffer,furtherpublicofferand
termloans.
(x) Basedupon theauditproceduresperformedandaccording to the informationandexplanationsgiven tous,no
fraudby the companyor any fraudon the companyby its officers or employeeshasbeennoticedor reported
duringthecourseofouraudit,thatcausesthefinancialstatementstobemateriallymisstated.
(xi) According to the informationandexplanationsgiven tousandbasedonourexaminationof the recordsof the
company, the company has paid/provided for managerial remuneration in accordance with the requisite
approvalsmandatedbytheprovisionsofdection197readwithscheduleVtotheact.
(xii) ThecompanyisnotaNidhiCompanyhencethisclauseisnotapplicable.
(xiii) Basedupontheauditproceduresperformedandaccordingto the informationandexplanationsgiventous,All
transactionswith related parties are in compliancewith sections 177 and 188 of Companies Act, 2013where
applicable and the details have been disclosed in the Financial statements etc. as required by the applicable
accountingstandards.
(xiv) Thecompanyhasnotmadeanypreferentialallotmentorprivateplacementofsharesorfullyorpartlyconvertible
debenturesduringtheyearunderreview.
(xv) Thecompanyhasnotenteredintoanynoncashtransactionswithdirectorsorpersonsconnectedwithhim.
(xvi) TheCompanyisnotrequiredtoberegisteredundersection45IAoftheReserveBankofIndiaAct,1934.
39
ForBEGANI&BEGANI
CHARTEREDACCOUNTANTS
FRNNO.010779C
Place:RAIPUR(C.G.)
Date:29/05/2018Sd/
(VIVEKBEGANI)
PARTNER
M.NO.403743
SarthakMetalsLimited|AnnualReport201718
![Page 44: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/44.jpg)
Annexure-‘A’totheAuditors’Report
Intermsoftheinformationandexplanationssoughtbyusandgivenbythecompanyandthebooksandrecordsexamined
byusinthenormalcourseofauditandtothebestofourknowledgeandbelief,westatethat::
(i) (a) TheCompanyhasmaintainedproperrecordsshowingfullparticulars,includingquantitativedetailsand
situationoffixedassets.
(b) Asexplained&Informedtous,theCompanyhasaregularprogrammeofphysicalverificationofitsfixed
assetsbywhichfixedassetsareverifiedinaphasedmanneroveraperiodofthreeyears.Inaccordance
with this programme, certain fixed assetswere verifiedduring the year andnomaterial discrepancies
werenoticedon suchverification. Inouropinion, thisperiodicityofphysical verification is reasonable
havingregardtothesizeoftheCompanyandthenatureofitsassets.
(c) As explained & Informed to us, the title deeds of immoveable properties are held in the name of the
company.
(ii) As explained to us, physical verification of inventory has been conducted at reasonable intervals by the
managementandthereisnomaterialdiscrepancy.
(iii) Asattheyearend,thereisnoloanoutstandinggivenbythecompany,whichiscoveredintheregistermaintained
undersection189ofthecompaniesAct,2013
(iv) Inouropinionandaccordingtotheinformationandexplanationsgiventous,thecompanyhascompliedwiththe
provisionsofsection185and186oftheAct,withrespecttotheloansandinvestmentsmade.
(v) Inouropinionandaccordingtotheinformationandexplanationsgiventous,theCompanyhasnotacceptedany
depositsincontraventionofDirectivesissuedbyReserveBankofIndiaandtheprovisionsofsection73to76or
any other relevant provisions of the Act and the rules framed there under. No order has been passed by the
Company Law Board or National Company Law Tribunal or Reserve Bank of India or any court or any other
tribunal.
(vi) AsExplained&Informedtousmaintenanceofcostrecordsfortheitemsmanufactured/dealtbythecompanyin
itsdifferentundertakingisnotapplicable.
(vii) (a) According to the information and explanations given to us and on the basis of our examination of the
recordsof theCompany,amountsdeducted/accrued in thebooksofaccount inrespectofundisputed
statutory dues including income tax, service tax, cess and other material statutory dues have been
regularlydepositedduringtheyearbytheCompanywiththeappropriateauthorities.Asexplainedtous,
the Company did not have any dues on account of employees' state insurance and duty of excise.
Accordingtotheinformationandexplanationsgiventous,noundisputedamountspayableinrespectof
incometax,servicetax,cessandothermaterialstatutorydueswereinarrearsasat31stMarch2018for
aperiodofmorethansixmonthsfromthedatetheybecamepayable.
(b) According to the information and explanations given to us and on the basis of our examination of the
recordsoftheCompany,thecompanydidnothaveanyundisputedamountpayableinrespectofIncome
Tax ,Wealth Tax ,Custom Duty, Excise Duty, Sales Tax VAT, Cess and other material statutory due in
arrears/wereoutstandingasat31stMarch2018foraperiodofmorethansixmonthsfromthedatethey
becamepayable.
(viii) Accordingtotheinformationandexplanationsgiventous,theCompanyhasnotdefaultedinrepaymentofloans
orborrowingtoafinancialinstitutionorbanks.
38
SarthakMetalsLimited|AnnualReport201718
(ix) DuringtheyeartheCompanyhasnotraisedanyfreshmoneybywayofinitialpublicoffer,furtherpublicofferand
termloans.
(x) Basedupon theauditproceduresperformedandaccording to the informationandexplanationsgiven tous,no
fraudby the companyor any fraudon the companyby its officers or employeeshasbeennoticedor reported
duringthecourseofouraudit,thatcausesthefinancialstatementstobemateriallymisstated.
(xi) According to the informationandexplanationsgiven tousandbasedonourexaminationof the recordsof the
company, the company has paid/provided for managerial remuneration in accordance with the requisite
approvalsmandatedbytheprovisionsofdection197readwithscheduleVtotheact.
(xii) ThecompanyisnotaNidhiCompanyhencethisclauseisnotapplicable.
(xiii) Basedupontheauditproceduresperformedandaccordingto the informationandexplanationsgiventous,All
transactionswith related parties are in compliancewith sections 177 and 188 of Companies Act, 2013where
applicable and the details have been disclosed in the Financial statements etc. as required by the applicable
accountingstandards.
(xiv) Thecompanyhasnotmadeanypreferentialallotmentorprivateplacementofsharesorfullyorpartlyconvertible
debenturesduringtheyearunderreview.
(xv) Thecompanyhasnotenteredintoanynoncashtransactionswithdirectorsorpersonsconnectedwithhim.
(xvi) TheCompanyisnotrequiredtoberegisteredundersection45IAoftheReserveBankofIndiaAct,1934.
39
ForBEGANI&BEGANI
CHARTEREDACCOUNTANTS
FRNNO.010779C
Place:RAIPUR(C.G.)
Date:29/05/2018Sd/
(VIVEKBEGANI)
PARTNER
M.NO.403743
SarthakMetalsLimited|AnnualReport201718
![Page 45: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/45.jpg)
Annexure-‘B’totheAuditor’sReport
ReportontheInternalFinancialControlsunderClause(i)ofSub-section3ofSection143oftheCompaniesAct,
2013("theAct")
WehaveauditedtheinternalfinancialcontrolsoverfinancialreportingofM/sSARTHAKMETALSLIMITED(Formerly
knownasSarthakMetalsMarketingPrivateLimited)("theCompany")asof31stMarch2018inconjunctionwithour
auditofthefinancialstatementsoftheCompanyfortheyearendedonthatdate.
Management'sResponsibilityforInternalFinancialControls
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
internalcontrolstatedintheGuidanceNoteonAuditofInternalFinancialControlsoverFinancialReportingissuedbythe
Institute of Chartered Accountants of India (`ICAI'). These responsibilities include the design, implementation and
maintenanceofadequateinternalfinancialcontrolsthatwereoperatingeffectivelyforensuringtheorderlyandefficient
conduct of its business, including adherence to company's policies, the safeguarding of its assets, the prevention and
detectionof fraudsanderrors, theaccuracyandcompletenessof theaccountingrecords,and the timelypreparationof
reliablefinancialinformation,asrequiredundertheCompaniesAct,2013.
Auditors’Responsibility
OurresponsibilityistoexpressanopinionontheCompany'sinternalfinancialcontrolsoverfinancialreportingbasedon
our audit.We conducted our audit in accordancewith the GuidanceNote on Audit of Internal Financial Controls over
FinancialReporting (the "GuidanceNote") and theStandardsonAuditing, issuedby ICAIanddeemed tobeprescribed
undersection143(10)oftheCompaniesAct,2013,totheextentapplicabletoanauditofinternalfinancialcontrols,both
applicabletoanauditof InternalFinancialControlsand,both issuedbytheInstituteofCharteredAccountantsof India.
ThoseStandardsandtheGuidanceNoterequirethatwecomplywithethicalrequirementsandplanandperformtheaudit
to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was
establishedandmaintainedandifsuchcontrolsoperatedeffectivelyinallmaterialrespects.
Ouraudit involvesperformingprocedurestoobtainauditevidenceabouttheadequacyoftheinternalfinancialcontrols
systemover financial reporting and their operating effectiveness.Our audit of internal financial controls over financial
reporting includedobtaininganunderstandingof internal financial controlsover financial reporting, assessing the risk
thatamaterialweaknessexists,andtestingandevaluatingthedesignandoperatingeffectivenessofinternalcontrolbased
ontheassessedrisk.Theproceduresselecteddependontheauditor'sjudgment,includingtheassessmentoftherisksof
materialmisstatementofthefinancialstatements,whetherduetofraudorerror.
Webelievethattheauditevidencewehaveobtainedissufficientandappropriatetoprovideabasisforourauditopinion
ontheCompany'sinternalfinancialcontrolssystemoverfinancialreporting.
MeaningofInternalFinancialControlsOverFinancialReporting
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 financial statements for external purposes in
accordancewithgenerallyacceptedaccountingprinciples.Acompany'sinternalfinancialcontroloverfinancialreporting
includesthosepoliciesandproceduresthat(1)pertaintothemaintenanceofrecordsthat,inreasonabledetail,accurately
and fairly reflect the transactionsanddispositionsof theassetsof thecompany; (2)provide reasonableassurance that
transactions are recorded as necessary to permit preparation of financial statements in accordance with generally
accepted accountingprinciples, and that receipts and expenditures of the company arebeingmadeonly in accordance
with authorisations of management and directors of the company; and (3) provide reasonable assurance regarding
preventionortimelydetectionofunauthorisedacquisition,use,ordispositionofthecompany'sassetsthatcouldhavea
40
SarthakMetalsLimited|AnnualReport201718
ForBEGANI&BEGANI
CHARTEREDACCOUNTANTS
FRNNO.010779C
Place:RAIPUR(C.G.)
Date:29/05/2018Sd/
(VIVEKBEGANI)
PARTNER
M.NO.403743
materialeffectonthefinancialstatements.
InherentLimitationsofInternalFinancialControlsOverFinancialReporting
Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of
collusionorimpropermanagementoverrideofcontrols,materialmisstatementsduetoerrororfraudmayoccurandnot
bedetected.Also,projectionsofanyevaluationoftheinternalfinancialcontrolsoverfinancialreportingtofutureperiods
are subject to the risk that the internal financial control over financial reporting may become inadequate because of
changesinconditionsorthatthedegreeofcompliancewiththepoliciesorproceduresmaydeteriorate.
Opinion
In ouropinion, theCompanyhas, in allmaterial respects, an adequate internal financial controls systemover financial
reportingandsuch internal financial controlsover financial reportingwereoperatingeffectivelyasat31stMarch2018
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
ReportingissuedbytheInstituteofCharteredAccountantsofIndia.
41
SarthakMetalsLimited|AnnualReport201718
![Page 46: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/46.jpg)
Annexure-‘B’totheAuditor’sReport
ReportontheInternalFinancialControlsunderClause(i)ofSub-section3ofSection143oftheCompaniesAct,
2013("theAct")
WehaveauditedtheinternalfinancialcontrolsoverfinancialreportingofM/sSARTHAKMETALSLIMITED(Formerly
knownasSarthakMetalsMarketingPrivateLimited)("theCompany")asof31stMarch2018inconjunctionwithour
auditofthefinancialstatementsoftheCompanyfortheyearendedonthatdate.
Management'sResponsibilityforInternalFinancialControls
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
internalcontrolstatedintheGuidanceNoteonAuditofInternalFinancialControlsoverFinancialReportingissuedbythe
Institute of Chartered Accountants of India (`ICAI'). These responsibilities include the design, implementation and
maintenanceofadequateinternalfinancialcontrolsthatwereoperatingeffectivelyforensuringtheorderlyandefficient
conduct of its business, including adherence to company's policies, the safeguarding of its assets, the prevention and
detectionof fraudsanderrors, theaccuracyandcompletenessof theaccountingrecords,and the timelypreparationof
reliablefinancialinformation,asrequiredundertheCompaniesAct,2013.
Auditors’Responsibility
OurresponsibilityistoexpressanopinionontheCompany'sinternalfinancialcontrolsoverfinancialreportingbasedon
our audit.We conducted our audit in accordancewith the GuidanceNote on Audit of Internal Financial Controls over
FinancialReporting (the "GuidanceNote") and theStandardsonAuditing, issuedby ICAIanddeemed tobeprescribed
undersection143(10)oftheCompaniesAct,2013,totheextentapplicabletoanauditofinternalfinancialcontrols,both
applicabletoanauditof InternalFinancialControlsand,both issuedbytheInstituteofCharteredAccountantsof India.
ThoseStandardsandtheGuidanceNoterequirethatwecomplywithethicalrequirementsandplanandperformtheaudit
to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was
establishedandmaintainedandifsuchcontrolsoperatedeffectivelyinallmaterialrespects.
Ouraudit involvesperformingprocedurestoobtainauditevidenceabouttheadequacyoftheinternalfinancialcontrols
systemover financial reporting and their operating effectiveness.Our audit of internal financial controls over financial
reporting includedobtaininganunderstandingof internal financial controlsover financial reporting, assessing the risk
thatamaterialweaknessexists,andtestingandevaluatingthedesignandoperatingeffectivenessofinternalcontrolbased
ontheassessedrisk.Theproceduresselecteddependontheauditor'sjudgment,includingtheassessmentoftherisksof
materialmisstatementofthefinancialstatements,whetherduetofraudorerror.
Webelievethattheauditevidencewehaveobtainedissufficientandappropriatetoprovideabasisforourauditopinion
ontheCompany'sinternalfinancialcontrolssystemoverfinancialreporting.
MeaningofInternalFinancialControlsOverFinancialReporting
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 financial statements for external purposes in
accordancewithgenerallyacceptedaccountingprinciples.Acompany'sinternalfinancialcontroloverfinancialreporting
includesthosepoliciesandproceduresthat(1)pertaintothemaintenanceofrecordsthat,inreasonabledetail,accurately
and fairly reflect the transactionsanddispositionsof theassetsof thecompany; (2)provide reasonableassurance that
transactions are recorded as necessary to permit preparation of financial statements in accordance with generally
accepted accountingprinciples, and that receipts and expenditures of the company arebeingmadeonly in accordance
with authorisations of management and directors of the company; and (3) provide reasonable assurance regarding
preventionortimelydetectionofunauthorisedacquisition,use,ordispositionofthecompany'sassetsthatcouldhavea
40
SarthakMetalsLimited|AnnualReport201718
ForBEGANI&BEGANI
CHARTEREDACCOUNTANTS
FRNNO.010779C
Place:RAIPUR(C.G.)
Date:29/05/2018Sd/
(VIVEKBEGANI)
PARTNER
M.NO.403743
materialeffectonthefinancialstatements.
InherentLimitationsofInternalFinancialControlsOverFinancialReporting
Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of
collusionorimpropermanagementoverrideofcontrols,materialmisstatementsduetoerrororfraudmayoccurandnot
bedetected.Also,projectionsofanyevaluationoftheinternalfinancialcontrolsoverfinancialreportingtofutureperiods
are subject to the risk that the internal financial control over financial reporting may become inadequate because of
changesinconditionsorthatthedegreeofcompliancewiththepoliciesorproceduresmaydeteriorate.
Opinion
In ouropinion, theCompanyhas, in allmaterial respects, an adequate internal financial controls systemover financial
reportingandsuch internal financial controlsover financial reportingwereoperatingeffectivelyasat31stMarch2018
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
ReportingissuedbytheInstituteofCharteredAccountantsofIndia.
41
SarthakMetalsLimited|AnnualReport201718
![Page 47: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/47.jpg)
SARTHAKMETALSLIMITED
(FormerlyKnownasSARTHAKMETALSMARKETINGPRIVATELIMITED)
BALANCESHEETASAT31stMARCH2018
42
EQUITYANDLIABILITIES
Shareholders’funds
(a)Sharecapital
(b)Reservesandsurplus
(c)Moneyreceivedagainstsharewarrants
Shareapplicationmoneypendingallotment
Non-currentliabilities
(a)Longtermborrowings
(b)Deferredtaxliabilities(Net)
(c)OtherLongtermliabilities
(d)Longtermprovisions(Gratuity)
Currentliabilities
(a)Shorttermborrowings
(b)Tradepayables
(c)Othercurrentliabilities
(d)Shorttermprovisions
TOTAL
ASSETS
Non-currentassets
(a)Fixedassets
(i)Tangibleassets
(ii)Intangibleassets
(iii)Capitalworkinprogress
(iv)Intangibleassetsunderdevelopment
(b)Noncurrentinvestments
(c)Deferredtaxassets(net)
(d)Longtermloansandadvances
(e)Othernoncurrentassets
Currentassets
(a)Currentinvestments
(b)Inventories
(c)Tradereceivables
(d)CashandCashequivalents
(e)Shorttermloansandadvances
(f)Othercurrentassets
TOTAL
1
ParticularsAsat31.03.2018 Asat31.03.2017
` `
NoteNo.
2
I.
4
3
II.
1
2
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
136,897,500
229,173,611
22,777,255
356,401
2,169,765
235,903,640
9,257,818
12,558,683
2,319,845
651,414,517
87,291,627
1,944,461
5,742,578
7,500,000
3,653,160
1,225,003
155,516,553
291,285,186
16,323,493
28,682,089
52,250,366
651,414,517
136,897,500
189,853,764
10,046,022
1,651,201
1,219,035
262,397,269
3,451,870
20,716,230
1,174,354
627,407,245
70,326,683
3,203,594
19,367,834
7,500,000
4,920,279
1,465,000
101,517,850
297,734,583
89,004,791
32,366,630
627,407,245
(AmountinRs.)
SarthakMetalsLimited|AnnualReport201718
Summaryofsignificantaccountingpolicies 1&25
TheaccompanyingNotesareanintegralpartofthefinancialstatements.
FORANDONBEHALFOFBOARDOFDIRECTOROFSARTHAKMETALSLTD.
43
AsperourReportofevendate
ForBEGANI&BEGANI
CHARTEREDACCOUNTANTS
FRNNO.010779C
Sd/
(VIVEKBEGANI)
PARTNER
M.NO.403743
Sd/
(ANOOPKUMARBANSAL)
DIRECTOR
DIN:01661844
Sd/
(MAYURBHATT)
DIRECTOR
DIN:07586457
Sd/
(ITIKASINGHAL)
COMPANYSECRETARY
Sd/
(ANIRUDHSINGHAL)
CHIEFFINANCIALOFFICER
Place:RAIPUR(C.G.)
Date:29/05/2018
SarthakMetalsLimited|AnnualReport201718
![Page 48: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/48.jpg)
SARTHAKMETALSLIMITED
(FormerlyKnownasSARTHAKMETALSMARKETINGPRIVATELIMITED)
BALANCESHEETASAT31stMARCH2018
42
EQUITYANDLIABILITIES
Shareholders’funds
(a)Sharecapital
(b)Reservesandsurplus
(c)Moneyreceivedagainstsharewarrants
Shareapplicationmoneypendingallotment
Non-currentliabilities
(a)Longtermborrowings
(b)Deferredtaxliabilities(Net)
(c)OtherLongtermliabilities
(d)Longtermprovisions(Gratuity)
Currentliabilities
(a)Shorttermborrowings
(b)Tradepayables
(c)Othercurrentliabilities
(d)Shorttermprovisions
TOTAL
ASSETS
Non-currentassets
(a)Fixedassets
(i)Tangibleassets
(ii)Intangibleassets
(iii)Capitalworkinprogress
(iv)Intangibleassetsunderdevelopment
(b)Noncurrentinvestments
(c)Deferredtaxassets(net)
(d)Longtermloansandadvances
(e)Othernoncurrentassets
Currentassets
(a)Currentinvestments
(b)Inventories
(c)Tradereceivables
(d)CashandCashequivalents
(e)Shorttermloansandadvances
(f)Othercurrentassets
TOTAL
1
ParticularsAsat31.03.2018 Asat31.03.2017
` `
NoteNo.
2
I.
4
3
II.
1
2
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
136,897,500
229,173,611
22,777,255
356,401
2,169,765
235,903,640
9,257,818
12,558,683
2,319,845
651,414,517
87,291,627
1,944,461
5,742,578
7,500,000
3,653,160
1,225,003
155,516,553
291,285,186
16,323,493
28,682,089
52,250,366
651,414,517
136,897,500
189,853,764
10,046,022
1,651,201
1,219,035
262,397,269
3,451,870
20,716,230
1,174,354
627,407,245
70,326,683
3,203,594
19,367,834
7,500,000
4,920,279
1,465,000
101,517,850
297,734,583
89,004,791
32,366,630
627,407,245
(AmountinRs.)
SarthakMetalsLimited|AnnualReport201718
Summaryofsignificantaccountingpolicies 1&25
TheaccompanyingNotesareanintegralpartofthefinancialstatements.
FORANDONBEHALFOFBOARDOFDIRECTOROFSARTHAKMETALSLTD.
43
AsperourReportofevendate
ForBEGANI&BEGANI
CHARTEREDACCOUNTANTS
FRNNO.010779C
Sd/
(VIVEKBEGANI)
PARTNER
M.NO.403743
Sd/
(ANOOPKUMARBANSAL)
DIRECTOR
DIN:01661844
Sd/
(MAYURBHATT)
DIRECTOR
DIN:07586457
Sd/
(ITIKASINGHAL)
COMPANYSECRETARY
Sd/
(ANIRUDHSINGHAL)
CHIEFFINANCIALOFFICER
Place:RAIPUR(C.G.)
Date:29/05/2018
SarthakMetalsLimited|AnnualReport201718
![Page 49: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/49.jpg)
44
SARTHAKMETALSLIMITED
(FormerlyKnownasSARTHAKMETALSMARKETINGPRIVATELIMITED)
STATEMENTOFPROFIT&LOSSACCOUNTFORTHEYEARENDED31stMARCH2018
Revenuefromoperations
Otherincome
TotalRevenue(I+II)
Expenses:
Costofmaterialsconsumed
PurchasesofStockinTrade
ChangesininventoriesoffinishedgoodsworkinprogressandStockinTrade
Employeebenefitsexpense
Financecosts
Depreciationandamortizationexpense
Otherexpenses
Totalexpenses
Profitbeforeexceptionalandextraordinaryitemsandtax(III-IV)
Divdend
Exceptionalitems
Profitbeforeextraordinaryitemsandtax(V-VI)
ExtraordinaryItems
Profitbeforetax(VIIVIII)
Taxexpense:
(1)Currenttax
(2)Deferredtax
Profit(Loss)fortheperiodfromcontinuingoperations(VII-VIII)
Profit/(loss)fromdiscontinuingoperations
Taxexpenseofdiscontinuingoperations
Profit/(loss)fromDiscontinuingoperations(aftertax)(XII-XIII)
Profit(Loss)fortheperiod(XI+XIV)
Earningsperequityshare:
(1)Basic
(2)Diluted
ParticularsAsat31.03.2018 Asat31.03.2017
` `
NoteNo.
I.
X.
(AmountinRs.)
17
18
19
20
21
22
8
23
24
II.
III.
IV.
V.
VI.
VII.
VIII.
IX.
XI.
XII.
XIII.
XIV.
XV.
XVI.
1,712,608,633
16,408,005
1,729,016,638
1,469,825,041
10,158,084
(14,345,282)
44,083,088
34,576,868
13,500,289
99,772,267
1,657,570,354
71,446,284
1,158,120
70,288,164
70,288,164
24,024,789
(1,294,800)
47,558,175
47,558,175
3.47
-
1,521,783,800
16,954,743
1,538,738,544
1,282,935,272
1,083,600
3,935,173
41,895,817
33,783,126
10,082,255
106,282,763
1,479,998,006
58,740,538
(766,009)
59,506,547
59,506,547
19,598,587
406,268
39,501,692
39,501,692
2.89
-
SarthakMetalsLimited|AnnualReport201718
FORANDONBEHALFOFBOARDOFDIRECTOROFSARTHAKMETALSLTD.
AsperourReportofevendate
ForBEGANI&BEGANI
CHARTEREDACCOUNTANTS
FRNNO.010779C
Sd/
(VIVEKBEGANI)
PARTNER
M.NO.403743
Sd/
(ANOOPKUMARBANSAL)
DIRECTOR
DIN:01661844
Sd/
(MAYURBHATT)
DIRECTOR
DIN:07586457
Sd/
(ITIKASINGHAL)
COMPANYSECRETARY
Sd/
(ANIRUDHSINGHAL)
CHIEFFINANCIALOFFICER
Place:RAIPUR(C.G.)
Date:29/05/2018
45
SarthakMetalsLimited|AnnualReport201718
![Page 50: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/50.jpg)
44
SARTHAKMETALSLIMITED
(FormerlyKnownasSARTHAKMETALSMARKETINGPRIVATELIMITED)
STATEMENTOFPROFIT&LOSSACCOUNTFORTHEYEARENDED31stMARCH2018
Revenuefromoperations
Otherincome
TotalRevenue(I+II)
Expenses:
Costofmaterialsconsumed
PurchasesofStockinTrade
ChangesininventoriesoffinishedgoodsworkinprogressandStockinTrade
Employeebenefitsexpense
Financecosts
Depreciationandamortizationexpense
Otherexpenses
Totalexpenses
Profitbeforeexceptionalandextraordinaryitemsandtax(III-IV)
Divdend
Exceptionalitems
Profitbeforeextraordinaryitemsandtax(V-VI)
ExtraordinaryItems
Profitbeforetax(VIIVIII)
Taxexpense:
(1)Currenttax
(2)Deferredtax
Profit(Loss)fortheperiodfromcontinuingoperations(VII-VIII)
Profit/(loss)fromdiscontinuingoperations
Taxexpenseofdiscontinuingoperations
Profit/(loss)fromDiscontinuingoperations(aftertax)(XII-XIII)
Profit(Loss)fortheperiod(XI+XIV)
Earningsperequityshare:
(1)Basic
(2)Diluted
ParticularsAsat31.03.2018 Asat31.03.2017
` `
NoteNo.
I.
X.
(AmountinRs.)
17
18
19
20
21
22
8
23
24
II.
III.
IV.
V.
VI.
VII.
VIII.
IX.
XI.
XII.
XIII.
XIV.
XV.
XVI.
1,712,608,633
16,408,005
1,729,016,638
1,469,825,041
10,158,084
(14,345,282)
44,083,088
34,576,868
13,500,289
99,772,267
1,657,570,354
71,446,284
1,158,120
70,288,164
70,288,164
24,024,789
(1,294,800)
47,558,175
47,558,175
3.47
-
1,521,783,800
16,954,743
1,538,738,544
1,282,935,272
1,083,600
3,935,173
41,895,817
33,783,126
10,082,255
106,282,763
1,479,998,006
58,740,538
(766,009)
59,506,547
59,506,547
19,598,587
406,268
39,501,692
39,501,692
2.89
-
SarthakMetalsLimited|AnnualReport201718
FORANDONBEHALFOFBOARDOFDIRECTOROFSARTHAKMETALSLTD.
AsperourReportofevendate
ForBEGANI&BEGANI
CHARTEREDACCOUNTANTS
FRNNO.010779C
Sd/
(VIVEKBEGANI)
PARTNER
M.NO.403743
Sd/
(ANOOPKUMARBANSAL)
DIRECTOR
DIN:01661844
Sd/
(MAYURBHATT)
DIRECTOR
DIN:07586457
Sd/
(ITIKASINGHAL)
COMPANYSECRETARY
Sd/
(ANIRUDHSINGHAL)
CHIEFFINANCIALOFFICER
Place:RAIPUR(C.G.)
Date:29/05/2018
45
SarthakMetalsLimited|AnnualReport201718
![Page 51: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/51.jpg)
146
SARTHAKMETALSLIMITED
(FormerlyKnownasSARTHAKMETALSMARKETINGPRIVATELIMITED)
CASHFLOWSTATEMENTFORTHEYEARENDED31stMARCH2018
CASHFLOWFROMOPERATINGACTIVITIES:
NetProfitbeforetaxasperProfit&LossAccount
Adjustmentfor:
Depreciation
Interest(Net)
AmortazationOfPreliminaryExps
Loss/(profit)onsaleoffixedassets
OperatingProfitbeforeWorkingCapitalchanges
Adjustmentfor:
Inventories
Tradeandotherreceivable
ShortTermLoansandAdvances
LongTermLoansandAdvances
TradePayable
OtherCurrentAssets
LongtermLaiblites
OtherCurrentLiabilities
CashgeneratedfromOperations
DirectTaxes(Net)
NetCashfromOperatingActivities
CASHFLOWFROMINVESTINGACTIVITIES:
InvestmentinFixedAssetsincludingCapitalWIP
Proceedsfromsaleoffixedassets
InvestmentinNonCurrentInvestments
InterestReceived
NetCashusedinInvestingActivities
CASHFLOWFROMFINANCINGACTIVITIES:
ProceedFromLongTermBorrowing
OtherShortTermBorrowings
InterestPaid
DividendPaid
NetCashfromfinancingActivities
NetIncrease/(decrease)inCashandCashequivalents(A+B+C)
CASHANDCASHEQUIVALENTSASAT01/04/2017(asperNote-'13')
CASHANDCASHEQUIVALENTSASAT31/03/2018(asperNote-'13')
Increase/(decrease)inCashandCashequivalents
ParticularsAsat31.03.2018 Asat31.03.2017
` `
I.
(AmountinRs.)
702.88
135.00
276.11
2.40
(2.58)
410.93
1,113.81
(539.99)
64.49
36.85
12.67
58.06
(522.50)
9.51
(8.41)
(889.32)
224.49
(220.88)
3.61
(159.12)
5.89
1.26
(151.97)
46.24
(264.94)
(277.37)
(82.38)
(578.46)
(726.82)
890.04
163.23
(726.81)
587.40
100.82
337.83
(0.67)
437.98
1,025.38
54.58
(481.49)
12.92
(98.47)
19.99
76.71
(415.76)
609.62
(199.28)
410.34
(225.09)
3.67
(221.42)
539.43
348.35
(337.83)
549.95
738.87
151.17
890.04
738.87
SarthakMetalsLimited|AnnualReport201718
47
Notes:
(a)Cashandcashequivalentincludethefollowing:
CashonHand
BalancewithBanks(IncludingFixedDeposits)
(b)Figuresinbracketsrepresentoutflows.
5.58
157.66
163.23
3.82
886.22
890.04
(c)Previousyearfigureshavebeenrecast/restatedwherevernecessary.
FORANDONBEHALFOFBOARDOFDIRECTOROFSARTHAKMETALSLTD.
AsperourReportofevendate
ForBEGANI&BEGANI
CHARTEREDACCOUNTANTS
FRNNO.010779C
Sd/
(VIVEKBEGANI)
PARTNER
M.NO.403743
Sd/
(ANOOPKUMARBANSAL)
DIRECTOR
DIN:01661844
Sd/
(MAYURBHATT)
DIRECTOR
DIN:07586457
Sd/
(ITIKASINGHAL)
COMPANYSECRETARY
Sd/
(ANIRUDHSINGHAL)
CHIEFFINANCIALOFFICER
Place:RAIPUR(C.G.)
Date:29/05/2018
SarthakMetalsLimited|AnnualReport201718
![Page 52: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/52.jpg)
146
SARTHAKMETALSLIMITED
(FormerlyKnownasSARTHAKMETALSMARKETINGPRIVATELIMITED)
CASHFLOWSTATEMENTFORTHEYEARENDED31stMARCH2018
CASHFLOWFROMOPERATINGACTIVITIES:
NetProfitbeforetaxasperProfit&LossAccount
Adjustmentfor:
Depreciation
Interest(Net)
AmortazationOfPreliminaryExps
Loss/(profit)onsaleoffixedassets
OperatingProfitbeforeWorkingCapitalchanges
Adjustmentfor:
Inventories
Tradeandotherreceivable
ShortTermLoansandAdvances
LongTermLoansandAdvances
TradePayable
OtherCurrentAssets
LongtermLaiblites
OtherCurrentLiabilities
CashgeneratedfromOperations
DirectTaxes(Net)
NetCashfromOperatingActivities
CASHFLOWFROMINVESTINGACTIVITIES:
InvestmentinFixedAssetsincludingCapitalWIP
Proceedsfromsaleoffixedassets
InvestmentinNonCurrentInvestments
InterestReceived
NetCashusedinInvestingActivities
CASHFLOWFROMFINANCINGACTIVITIES:
ProceedFromLongTermBorrowing
OtherShortTermBorrowings
InterestPaid
DividendPaid
NetCashfromfinancingActivities
NetIncrease/(decrease)inCashandCashequivalents(A+B+C)
CASHANDCASHEQUIVALENTSASAT01/04/2017(asperNote-'13')
CASHANDCASHEQUIVALENTSASAT31/03/2018(asperNote-'13')
Increase/(decrease)inCashandCashequivalents
ParticularsAsat31.03.2018 Asat31.03.2017
` `
I.
(AmountinRs.)
702.88
135.00
276.11
2.40
(2.58)
410.93
1,113.81
(539.99)
64.49
36.85
12.67
58.06
(522.50)
9.51
(8.41)
(889.32)
224.49
(220.88)
3.61
(159.12)
5.89
1.26
(151.97)
46.24
(264.94)
(277.37)
(82.38)
(578.46)
(726.82)
890.04
163.23
(726.81)
587.40
100.82
337.83
(0.67)
437.98
1,025.38
54.58
(481.49)
12.92
(98.47)
19.99
76.71
(415.76)
609.62
(199.28)
410.34
(225.09)
3.67
(221.42)
539.43
348.35
(337.83)
549.95
738.87
151.17
890.04
738.87
SarthakMetalsLimited|AnnualReport201718
47
Notes:
(a)Cashandcashequivalentincludethefollowing:
CashonHand
BalancewithBanks(IncludingFixedDeposits)
(b)Figuresinbracketsrepresentoutflows.
5.58
157.66
163.23
3.82
886.22
890.04
(c)Previousyearfigureshavebeenrecast/restatedwherevernecessary.
FORANDONBEHALFOFBOARDOFDIRECTOROFSARTHAKMETALSLTD.
AsperourReportofevendate
ForBEGANI&BEGANI
CHARTEREDACCOUNTANTS
FRNNO.010779C
Sd/
(VIVEKBEGANI)
PARTNER
M.NO.403743
Sd/
(ANOOPKUMARBANSAL)
DIRECTOR
DIN:01661844
Sd/
(MAYURBHATT)
DIRECTOR
DIN:07586457
Sd/
(ITIKASINGHAL)
COMPANYSECRETARY
Sd/
(ANIRUDHSINGHAL)
CHIEFFINANCIALOFFICER
Place:RAIPUR(C.G.)
Date:29/05/2018
SarthakMetalsLimited|AnnualReport201718
![Page 53: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/53.jpg)
48
SARTHAKMETALSLIMITED
(FormerlyKnownasSARTHAKMETALSMARKETINGPRIVATELIMITED)
NotestofinancialstatementsfortheyearendedMarch31,2018
Note1
1. SIGNIFICANTACCOUNTINGPOLICIES
1.1 CorporateInformation
SarthakMetalsLimited(hereinafterreferredtoas'theCompany')isapubliccompanydomiciledinIndia.
Earlier,theCompanywasknownasSarthakMetalsMarketingPrivateLimited.ItssharesarelistedonBES
SMEStockExchange.Thecompanyisengagedinthemanufacturingandsellingcoredwires,ferroalloys,
aluminiumwire,industrialgasesandrelateditems.
2. BASISOFPREPARATION
ThefinancialstatementsoftheCompanyhavebeenpreparedinaccordancewithgenerallyacceptedaccounting
principlesinIndia(IndianGAAP).TheCompanyhaspreparedthesefinancialstatementstocomplyinallmaterial
respectswiththeaccountingstandardsnotifiedunderSection133oftheCompaniesAct2013,readtogetherwith
paragraph7oftheCompanies(Accounts)Rules2014andCompanies(AccountingStandards)AmendmentRules,
2016.Thefinancialstatementshavebeenpreparedonanaccrualbasisandunderthehistoricalcostconvention.
TheaccountingpolicieshavebeenconsistentlyappliedbytheCompanyandareconsistentwiththoseofprevious
year.
2.1 Useofestimates
The preparation of financial statements in conformitywith Indian GAAP requires themanagement to
make judgments, estimates and assumptions that affect the reported amounts of revenues, expenses,
assetsandliabilitiesandthedisclosureofcontingentliabilities,attheendofthereportingyear.Although
these estimates are based on the management’s best knowledge of current events and actions,
uncertainty about these assumptions and estimates could result in the outcomes requiring amaterial
adjustmenttothecarryingamountsofassetsorliabilitiesinfutureyears.
2.2 Fixedassets
TangibleFixedAssets
"Tangiblefixedassetsarestatedatcostofacquisitionorconstructionlessaccumulateddepreciationand
impairmentloss,ifany.Thecostofanassetcomprisesofitspurchasepriceandanydirectlyattributable
costofbringingtheassetstoworkingconditionforitsintendeduse.Subsequentexpenditurerelatedto
anitemoffixedassetisaddedtoitsbookvalueonlyifitincreasesthefuturebenefitsfromtheexisting
assetbeyonditspreviouslyassessedstandardofperformance.Allotherexpensesonexistingfixedassets,
includingdaytodayrepairandmaintenanceexpenditureandcostofreplacingparts,arechargedtothe
statementofprofitandlossfortheyearduringwhichsuchexpensesareincurred.”
Intangiblefixedassets
Intangible assets acquired separately are measured on initial recognition at cost. Following initial
recognition, intangible assets are carried at cost less accumulated amortization and accumulated
impairmentlosses,ifany.
SarthakMetalsLimited|AnnualReport201718
49
2.4 Depreciation
Depreciation on fixed assets is calculated on a written down valuemethod using the rates arrived at
basedon theuseful livesestimatedby themanagement,asprescribed inSchedule II to theCompanies
Act,2013,onaproratabasisfromthedatetheassetisreadytoputtouse.
The appropriateness of depreciation/amortisation period and depreciation/amortisation method is
reviewedbythemanagementineachfinancialyear.
2.5 Impairmentoftangibleandintangibleassets
TheCompanyreviewsthecarryingamountsofassetsateachbalancesheetdatetoascertainif thereis
any indicationof impairment. If any indication exists, the asset’s recoverable amount is estimated. For
assets that are not available for use, the recoverable amount is estimated at each reporting date. An
impairment loss is recognised wherever the carrying amount of an asset or its cash generating unit
exceedsitsrecoverableamountandisrecognisedintheStatementofProfitandLoss.Afterimpairment,
depreciation isprovidedontherevisedcarryingamountof theassetover itsremaininguseful life.The
impairmentlossrecognisedintheprioraccountingperiodisreversedifthereischangeintheestimate
used todetermine the recoverable amount.However, the carryingvalue after reversal isnot increased
beyond the carrying value that would have prevailed by charging usual depreciation if there was no
impairment.
2.6Inventories
"Raw materials, components, stores and spares are valued at lower of cost and net realizable value.
However,materialsandother itemsheld foruse in theproductionof inventoriesarenotwrittendown
belowcostifthefinishedproductsinwhichtheywillbeincorporatedareexpectedtobesoldatorabove
cost. Cost of rawmaterials, components and stores and spares is determined on FIFO basis. Finished
goodsarevaluedatlowerofcostandnetrealizablevalue.Costincludesdirectmaterials.Costoffinished
goodsincludesexciseduty.CostisdeterminedonFIFObasis.Tradedgoodsarevaluedatestimatedcost
basedonthesellingpriceof thestock,basedonthepastpractice.Netrealizablevalue is theestimated
sellingprice in theordinarycourseofbusiness, lessestimatedcostsofcompletionandestimatedcosts
necessarytomakethesale.”
2.7 IncomeTax
"Taxexpensecomprisescurrentanddeferredtax.Currenttaxisprovidedforonthetaxableprofitsofthe
yearatapplicabletaxrates.Deferredincometaxesreflectthe impactofcurrentyeartimingdifferences
betweentaxableincomeandaccountingincomefortheyearandreversaloftimingdifferencesofearlier
years.Deferredtaxismeasuredbasedonthetaxratesandthetaxlawsenactedorsubstantivelyenacted
atthebalancesheetdate.Deferredtaxassetsarerecognisedonlytotheextentthatthereisreasonable
certaintythatsufficientfuturetaxableincomewillbeavailableagainstwhichsuchdeferredtaxassetscan
be realised. Deferred tax assets are recognised on carry forward of unabsorbed depreciation and tax
lossesonlyifthereisvirtualcertaintythatsuchdeferredtaxassetscanberealisedagainstfuturetaxable
profits.The carryingamountofdeferred taxassets are reviewedat each reportingdate.TheCompany
writesdownthecarryingamountofdeferredtaxassettotheextentthatitisnolongerreasonablycertain
or virtually certain, as the casemay be, that sufficient future taxable incomewill be available against
whichdeferredtaxassetcanberealized.Anysuchwritedownisreversedtotheextentthatitbecomes
reasonablycertainorvirtuallycertain,as thecasemaybe, thatsufficient future taxable incomewillbe
available.”
SarthakMetalsLimited|AnnualReport201718
![Page 54: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/54.jpg)
48
SARTHAKMETALSLIMITED
(FormerlyKnownasSARTHAKMETALSMARKETINGPRIVATELIMITED)
NotestofinancialstatementsfortheyearendedMarch31,2018
Note1
1. SIGNIFICANTACCOUNTINGPOLICIES
1.1 CorporateInformation
SarthakMetalsLimited(hereinafterreferredtoas'theCompany')isapubliccompanydomiciledinIndia.
Earlier,theCompanywasknownasSarthakMetalsMarketingPrivateLimited.ItssharesarelistedonBES
SMEStockExchange.Thecompanyisengagedinthemanufacturingandsellingcoredwires,ferroalloys,
aluminiumwire,industrialgasesandrelateditems.
2. BASISOFPREPARATION
ThefinancialstatementsoftheCompanyhavebeenpreparedinaccordancewithgenerallyacceptedaccounting
principlesinIndia(IndianGAAP).TheCompanyhaspreparedthesefinancialstatementstocomplyinallmaterial
respectswiththeaccountingstandardsnotifiedunderSection133oftheCompaniesAct2013,readtogetherwith
paragraph7oftheCompanies(Accounts)Rules2014andCompanies(AccountingStandards)AmendmentRules,
2016.Thefinancialstatementshavebeenpreparedonanaccrualbasisandunderthehistoricalcostconvention.
TheaccountingpolicieshavebeenconsistentlyappliedbytheCompanyandareconsistentwiththoseofprevious
year.
2.1 Useofestimates
The preparation of financial statements in conformitywith Indian GAAP requires themanagement to
make judgments, estimates and assumptions that affect the reported amounts of revenues, expenses,
assetsandliabilitiesandthedisclosureofcontingentliabilities,attheendofthereportingyear.Although
these estimates are based on the management’s best knowledge of current events and actions,
uncertainty about these assumptions and estimates could result in the outcomes requiring amaterial
adjustmenttothecarryingamountsofassetsorliabilitiesinfutureyears.
2.2 Fixedassets
TangibleFixedAssets
"Tangiblefixedassetsarestatedatcostofacquisitionorconstructionlessaccumulateddepreciationand
impairmentloss,ifany.Thecostofanassetcomprisesofitspurchasepriceandanydirectlyattributable
costofbringingtheassetstoworkingconditionforitsintendeduse.Subsequentexpenditurerelatedto
anitemoffixedassetisaddedtoitsbookvalueonlyifitincreasesthefuturebenefitsfromtheexisting
assetbeyonditspreviouslyassessedstandardofperformance.Allotherexpensesonexistingfixedassets,
includingdaytodayrepairandmaintenanceexpenditureandcostofreplacingparts,arechargedtothe
statementofprofitandlossfortheyearduringwhichsuchexpensesareincurred.”
Intangiblefixedassets
Intangible assets acquired separately are measured on initial recognition at cost. Following initial
recognition, intangible assets are carried at cost less accumulated amortization and accumulated
impairmentlosses,ifany.
SarthakMetalsLimited|AnnualReport201718
49
2.4 Depreciation
Depreciation on fixed assets is calculated on a written down valuemethod using the rates arrived at
basedon theuseful livesestimatedby themanagement,asprescribed inSchedule II to theCompanies
Act,2013,onaproratabasisfromthedatetheassetisreadytoputtouse.
The appropriateness of depreciation/amortisation period and depreciation/amortisation method is
reviewedbythemanagementineachfinancialyear.
2.5 Impairmentoftangibleandintangibleassets
TheCompanyreviewsthecarryingamountsofassetsateachbalancesheetdatetoascertainif thereis
any indicationof impairment. If any indication exists, the asset’s recoverable amount is estimated. For
assets that are not available for use, the recoverable amount is estimated at each reporting date. An
impairment loss is recognised wherever the carrying amount of an asset or its cash generating unit
exceedsitsrecoverableamountandisrecognisedintheStatementofProfitandLoss.Afterimpairment,
depreciation isprovidedontherevisedcarryingamountof theassetover itsremaininguseful life.The
impairmentlossrecognisedintheprioraccountingperiodisreversedifthereischangeintheestimate
used todetermine the recoverable amount.However, the carryingvalue after reversal isnot increased
beyond the carrying value that would have prevailed by charging usual depreciation if there was no
impairment.
2.6Inventories
"Raw materials, components, stores and spares are valued at lower of cost and net realizable value.
However,materialsandother itemsheld foruse in theproductionof inventoriesarenotwrittendown
belowcostifthefinishedproductsinwhichtheywillbeincorporatedareexpectedtobesoldatorabove
cost. Cost of rawmaterials, components and stores and spares is determined on FIFO basis. Finished
goodsarevaluedatlowerofcostandnetrealizablevalue.Costincludesdirectmaterials.Costoffinished
goodsincludesexciseduty.CostisdeterminedonFIFObasis.Tradedgoodsarevaluedatestimatedcost
basedonthesellingpriceof thestock,basedonthepastpractice.Netrealizablevalue is theestimated
sellingprice in theordinarycourseofbusiness, lessestimatedcostsofcompletionandestimatedcosts
necessarytomakethesale.”
2.7 IncomeTax
"Taxexpensecomprisescurrentanddeferredtax.Currenttaxisprovidedforonthetaxableprofitsofthe
yearatapplicabletaxrates.Deferredincometaxesreflectthe impactofcurrentyeartimingdifferences
betweentaxableincomeandaccountingincomefortheyearandreversaloftimingdifferencesofearlier
years.Deferredtaxismeasuredbasedonthetaxratesandthetaxlawsenactedorsubstantivelyenacted
atthebalancesheetdate.Deferredtaxassetsarerecognisedonlytotheextentthatthereisreasonable
certaintythatsufficientfuturetaxableincomewillbeavailableagainstwhichsuchdeferredtaxassetscan
be realised. Deferred tax assets are recognised on carry forward of unabsorbed depreciation and tax
lossesonlyifthereisvirtualcertaintythatsuchdeferredtaxassetscanberealisedagainstfuturetaxable
profits.The carryingamountofdeferred taxassets are reviewedat each reportingdate.TheCompany
writesdownthecarryingamountofdeferredtaxassettotheextentthatitisnolongerreasonablycertain
or virtually certain, as the casemay be, that sufficient future taxable incomewill be available against
whichdeferredtaxassetcanberealized.Anysuchwritedownisreversedtotheextentthatitbecomes
reasonablycertainorvirtuallycertain,as thecasemaybe, thatsufficient future taxable incomewillbe
available.”
SarthakMetalsLimited|AnnualReport201718
![Page 55: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/55.jpg)
50
2.8 Revenuerecognition
Revenue is recognized to the extent that it is probable that the economic benefits will flow to the
Companyandtherevenuecanbereliablymeasured.Thefollowingspecificrecognitioncriteriamustalso
bemetbeforerevenueisrecognized:
Saleoftradedgoods
Revenuefromsaleofgoodsisrecognizedwhenallthesignificantrisksandrewardsofownershipofthe
goodshavebeenpassedtothebuyer.TheCompanycollectssalestaxesandvalueaddedtaxes(VAT)on
behalfofthegovernmentand,therefore,thesearenoteconomicbenefitsflowingtotheCompany.Hence,
theyareexcludedfromrevenue.Excisedutydeductedfromrevenue(gross)istheamountthatisincluded
intherevenue(gross)andnottheentireamountofliabilityarisingduringtheyear.
Otheroperatingincome
Revenuefromothersourceshavebeenrecognizedonaccrualbasis.
InterestIncome
Interestincomeisrecognizedonatimeproportionbasistakingintoaccounttheamountoutstandingand
theapplicableinterestrate.Interestincomeisincludedunderthehead“otherincome”inthestatementof
profitandloss.
2.9 Investments
"Investments,whicharereadilyrealizableand intendedtobeheld fornotmorethanoneyear fromthe
dateonwhichsuchinvestmentsaremade,areclassifiedascurrentinvestments.Allotherinvestmentsare
classifiedaslongterminvestments.Currentinvestmentsarecarriedinthefinancialstatementsatlower
ofcostandfairvaluedeterminedonanindividualinvestmentbasis.Longterminvestmentsarecarriedat
cost.However,provisionfordiminutioninvalueismadetorecognizeadeclineotherthantemporaryin
thevalueof the investments.Ondisposalof an investment, thedifferencebetween its carryingamount
andnetdisposalproceedsischargedorcreditedtothestatementofprofitandloss.”
2.10 Foreigncurrencytranslation-Foreigncurrencytransactionsandbalances
Initialrecognition
Foreigncurrencytransactionsarerecordedinthereportingcurrency,byapplyingtotheforeigncurrency
amount the exchange rate between the reporting currency and the foreign currency at the date of the
transaction.
Conversion
Foreign currencymonetary items are retranslated using the exchange rate prevailing at the reporting
date. Nonmonetary items, which are measured in terms of historical cost rate at denominated in a
foreigncurrency,aretranslatedusingtheexchangerateatthedatewhensuchvaluewasdetermined,the
dateofthetransaction.
Exchangedifferences
Theexchangedifferencesarisingonaccountofconversion/settlementoftransactionsarerecognisedin
thestatementofprofitorlossasincomeorexpensesintheperiodinwhichtheyarise.
SarthakMetalsLimited|AnnualReport201718
51
2.11 Employeebenefits
Salaries,wages and bonuses are accrued in the year inwhich the associated services are rendered by
employees of the Company. Other employee benefits include provident fund, superannuation fund,
gratuity fund, compensated absences, long service awards andpostemploymentmedical benefits. The
Company'scontribution toprovident fundandsuperannuation fundarechargedasanexpenseas they
fallduebasedontheamountofcontributionrequiredtobemade.
2.12 EarningsPerShare
"Basicearningspersharearecalculatedbydividingthenetprofitor loss for theperiodattributable to
equityshareholdersby theweightedaveragenumberofequitysharesoutstandingduring theyear.For
thepurposeofcalculatingdilutedearningspershare,thenetprofitorlossfortheperiodattributableto
equityshareholdersandtheweightedaveragenumberofsharesoutstandingduringtheyearareadjusted
fortheeffectsofalldilutivepotentialequityshares.”
2.13 Provisions
A provision is recognised when an enterprise has a present obligation as a result of past event; it is
probable that an outflow of resources will be required to settle the obligation, in respect of which a
reliable estimate can bemade. Provisions are not discounted to its present value and are determined
basedonbestestimaterequiredtosettletheobligationatthebalancesheetdate.Thesearereviewedat
eachbalancesheetdateandareadjustedtoreflectthecurrentbestestimates.
2.14 Contingentliabilities
A contingent liability is a possible obligation that arises from past events whose existence will be
confirmed by the occurrence or nonoccurrence of one or more uncertain future events beyond the
controloftheCompanyorapresentobligationthatisnotrecognizedbecauseitisnotprobablethatan
outflow of resources will be required to settle the obligation. A contingent liability also arises in
extremelyrarecaseswherethereisaliabilitythatcannotberecognizedbecauseitcannotbemeasured
reliably.TheCompanydoesnotrecognizeacontingentliabilitybutdisclosesitsexistenceinthefinancial
statements.
2.15 Cashandcashequivalents
Cashandcashequivalentsforthepurposesofcashflowstatementcomprisecashatbankandinhandand
shortterminvestmentswithanoriginalmaturityofthreemonthsorless.
2.16 DeferredRevenueExpenditure
Preliminary expenses or Initial Public offer's expenses are being written off in five equal yearly
installments.
2.17 SegmentReporting
TheCompany’soperatingbusinessesareorganizedandmanagedseparatelyaccording to thenatureof
products and services provided, with each segment representing a strategic business unit that offers
different products and serves different markets. The Company prepares its segment information in
conformitywiththeaccountingpoliciesadoptedforpreparingandpresentingthefinancialstatementsof
theCompanyasawhole.
SarthakMetalsLimited|AnnualReport201718
![Page 56: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/56.jpg)
50
2.8 Revenuerecognition
Revenue is recognized to the extent that it is probable that the economic benefits will flow to the
Companyandtherevenuecanbereliablymeasured.Thefollowingspecificrecognitioncriteriamustalso
bemetbeforerevenueisrecognized:
Saleoftradedgoods
Revenuefromsaleofgoodsisrecognizedwhenallthesignificantrisksandrewardsofownershipofthe
goodshavebeenpassedtothebuyer.TheCompanycollectssalestaxesandvalueaddedtaxes(VAT)on
behalfofthegovernmentand,therefore,thesearenoteconomicbenefitsflowingtotheCompany.Hence,
theyareexcludedfromrevenue.Excisedutydeductedfromrevenue(gross)istheamountthatisincluded
intherevenue(gross)andnottheentireamountofliabilityarisingduringtheyear.
Otheroperatingincome
Revenuefromothersourceshavebeenrecognizedonaccrualbasis.
InterestIncome
Interestincomeisrecognizedonatimeproportionbasistakingintoaccounttheamountoutstandingand
theapplicableinterestrate.Interestincomeisincludedunderthehead“otherincome”inthestatementof
profitandloss.
2.9 Investments
"Investments,whicharereadilyrealizableand intendedtobeheld fornotmorethanoneyear fromthe
dateonwhichsuchinvestmentsaremade,areclassifiedascurrentinvestments.Allotherinvestmentsare
classifiedaslongterminvestments.Currentinvestmentsarecarriedinthefinancialstatementsatlower
ofcostandfairvaluedeterminedonanindividualinvestmentbasis.Longterminvestmentsarecarriedat
cost.However,provisionfordiminutioninvalueismadetorecognizeadeclineotherthantemporaryin
thevalueof the investments.Ondisposalof an investment, thedifferencebetween its carryingamount
andnetdisposalproceedsischargedorcreditedtothestatementofprofitandloss.”
2.10 Foreigncurrencytranslation-Foreigncurrencytransactionsandbalances
Initialrecognition
Foreigncurrencytransactionsarerecordedinthereportingcurrency,byapplyingtotheforeigncurrency
amount the exchange rate between the reporting currency and the foreign currency at the date of the
transaction.
Conversion
Foreign currencymonetary items are retranslated using the exchange rate prevailing at the reporting
date. Nonmonetary items, which are measured in terms of historical cost rate at denominated in a
foreigncurrency,aretranslatedusingtheexchangerateatthedatewhensuchvaluewasdetermined,the
dateofthetransaction.
Exchangedifferences
Theexchangedifferencesarisingonaccountofconversion/settlementoftransactionsarerecognisedin
thestatementofprofitorlossasincomeorexpensesintheperiodinwhichtheyarise.
SarthakMetalsLimited|AnnualReport201718
51
2.11 Employeebenefits
Salaries,wages and bonuses are accrued in the year inwhich the associated services are rendered by
employees of the Company. Other employee benefits include provident fund, superannuation fund,
gratuity fund, compensated absences, long service awards andpostemploymentmedical benefits. The
Company'scontribution toprovident fundandsuperannuation fundarechargedasanexpenseas they
fallduebasedontheamountofcontributionrequiredtobemade.
2.12 EarningsPerShare
"Basicearningspersharearecalculatedbydividingthenetprofitor loss for theperiodattributable to
equityshareholdersby theweightedaveragenumberofequitysharesoutstandingduring theyear.For
thepurposeofcalculatingdilutedearningspershare,thenetprofitorlossfortheperiodattributableto
equityshareholdersandtheweightedaveragenumberofsharesoutstandingduringtheyearareadjusted
fortheeffectsofalldilutivepotentialequityshares.”
2.13 Provisions
A provision is recognised when an enterprise has a present obligation as a result of past event; it is
probable that an outflow of resources will be required to settle the obligation, in respect of which a
reliable estimate can bemade. Provisions are not discounted to its present value and are determined
basedonbestestimaterequiredtosettletheobligationatthebalancesheetdate.Thesearereviewedat
eachbalancesheetdateandareadjustedtoreflectthecurrentbestestimates.
2.14 Contingentliabilities
A contingent liability is a possible obligation that arises from past events whose existence will be
confirmed by the occurrence or nonoccurrence of one or more uncertain future events beyond the
controloftheCompanyorapresentobligationthatisnotrecognizedbecauseitisnotprobablethatan
outflow of resources will be required to settle the obligation. A contingent liability also arises in
extremelyrarecaseswherethereisaliabilitythatcannotberecognizedbecauseitcannotbemeasured
reliably.TheCompanydoesnotrecognizeacontingentliabilitybutdisclosesitsexistenceinthefinancial
statements.
2.15 Cashandcashequivalents
Cashandcashequivalentsforthepurposesofcashflowstatementcomprisecashatbankandinhandand
shortterminvestmentswithanoriginalmaturityofthreemonthsorless.
2.16 DeferredRevenueExpenditure
Preliminary expenses or Initial Public offer's expenses are being written off in five equal yearly
installments.
2.17 SegmentReporting
TheCompany’soperatingbusinessesareorganizedandmanagedseparatelyaccording to thenatureof
products and services provided, with each segment representing a strategic business unit that offers
different products and serves different markets. The Company prepares its segment information in
conformitywiththeaccountingpoliciesadoptedforpreparingandpresentingthefinancialstatementsof
theCompanyasawhole.
SarthakMetalsLimited|AnnualReport201718
![Page 57: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/57.jpg)
52
(i)Reconciliationofthenumberofsharesoutstandingatthebeginningandattheendofthereportingperiod:
(ii)Allequitysharescarryequalvotinganddistributionrights.
(iii)Detailsofshareholdersholdingmorethan5percentofsharesinthecompany:
Note2:Sharecapital
SHARECAPITAL Asat31.03.2018 Asat31.03.2017
Authorised:15,00,000(P.Y.15,00,000)EquityShareofRs.10/each 15,000,000 15,000,000
Total 15,000,000 15,000,000
Issued,Subscribed&PaidupCapital:13689750(P.Y.13689750)EquitySharesofRs.10/eachfullypaidup 136,897,500 136,897,500
Total 136,897,500 136,897,500
ParticularsEquityShares Asat31.03.2018 Asat31.03.2017
Number Rs. Rs.
Sharesoutstandingatthebeginningoftheyear 13,689,750 136,897,500 120,897,500
Sharesissuedduringtheyear 16,000,000
Sharesboughtbackduringtheyear
Sharesoutstandingattheendoftheyear 13,689,750 136,897,500 136,897,500
Asat31.03.2018 Asat31.03.2017
ShriKishoreKumarBansal
No.ofSharesheld 1,145,250 1145250
%ofHolding 8.37% 8.37%
ShriKishoreKumarBansal
No.ofSharesheld 741000 741,000
%ofHolding 5.41% 5.41%
ShriManojKumarBansal
No.ofSharesheld 3,782,700 3,782,700
%ofHolding 27.63% 27.63%
Metal-GraceInjectionAlloysPrivateLimited
No.ofSharesheld 900,000 900,000
%ofHolding 6.57% 6.57%
SarthakMetalsLimited|AnnualReport201718
53
(iv) Thecompanyhasonlyoneclassofequityshareholders.Eachshareholderisentitledtorightofonevotepershare.
(v) ThecompanydeclaresandpaysdividendinIndianRupees.Dividendproposedbydirectorsissubjecttoapproval
ofshareholdersattheensuingAnnualGeneralMeeting.
(vi) Intheeventofliquidation,equityshareholdersshallbeeligibletoreceiveremainingassetsofthecompanyafter
distributionofallpreferentialamountsinproportionoftheirshareholding.
(vii) Numberofbonussharesallottedtoexistingshareholdersforconsiderationotherthancashinthelast5years:
SL.No. DateofissueofFullyPaidupBonusShares NumberofBonusShareissued
1 Friday,March16,2012 2,048,000
2 Friday,March15,2013 4,011,500
3 Saturday,March22,2014 4,023,250
a.SecuritiesPremiumAccount Asat31.03.2018 Asat31.03.2017
OpeningBalance 43,391,000 11,391,000
Add:SecuritiespremiumcreditedonShareissue 32,000,000
Less:PremiumUtilisedforvariousreasons
ClosingBalance 43,391,000 43,391,000
b.Surplus
OpeningBalance 145,962,766 106,461,074
(+)NetProfit/(NetLoss)Forthecurrentyear 47,558,175 39,501,691
(+)TransferfromReserves
()DeclaredDividends(F.Y.20162017) 8,238,330
()InterimDividends
()AdjustmentforDepreciation
ClosingBalance 185,282,611 145,962,764
C.CapitalInvestmentSubsidy
OpeningBalance 500,000 500,000
(+)TransferfromReserves
(-)Adjustment
ClosingBalance 500,000 500,000
Total 229,173,611 189,853,764
Note3:Reserve&Surplus
SarthakMetalsLimited|AnnualReport201718
![Page 58: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/58.jpg)
52
(i)Reconciliationofthenumberofsharesoutstandingatthebeginningandattheendofthereportingperiod:
(ii)Allequitysharescarryequalvotinganddistributionrights.
(iii)Detailsofshareholdersholdingmorethan5percentofsharesinthecompany:
Note2:Sharecapital
SHARECAPITAL Asat31.03.2018 Asat31.03.2017
Authorised:15,00,000(P.Y.15,00,000)EquityShareofRs.10/each 15,000,000 15,000,000
Total 15,000,000 15,000,000
Issued,Subscribed&PaidupCapital:13689750(P.Y.13689750)EquitySharesofRs.10/eachfullypaidup 136,897,500 136,897,500
Total 136,897,500 136,897,500
ParticularsEquityShares Asat31.03.2018 Asat31.03.2017
Number Rs. Rs.
Sharesoutstandingatthebeginningoftheyear 13,689,750 136,897,500 120,897,500
Sharesissuedduringtheyear 16,000,000
Sharesboughtbackduringtheyear
Sharesoutstandingattheendoftheyear 13,689,750 136,897,500 136,897,500
Asat31.03.2018 Asat31.03.2017
ShriKishoreKumarBansal
No.ofSharesheld 1,145,250 1145250
%ofHolding 8.37% 8.37%
ShriKishoreKumarBansal
No.ofSharesheld 741000 741,000
%ofHolding 5.41% 5.41%
ShriManojKumarBansal
No.ofSharesheld 3,782,700 3,782,700
%ofHolding 27.63% 27.63%
Metal-GraceInjectionAlloysPrivateLimited
No.ofSharesheld 900,000 900,000
%ofHolding 6.57% 6.57%
SarthakMetalsLimited|AnnualReport201718
53
(iv) Thecompanyhasonlyoneclassofequityshareholders.Eachshareholderisentitledtorightofonevotepershare.
(v) ThecompanydeclaresandpaysdividendinIndianRupees.Dividendproposedbydirectorsissubjecttoapproval
ofshareholdersattheensuingAnnualGeneralMeeting.
(vi) Intheeventofliquidation,equityshareholdersshallbeeligibletoreceiveremainingassetsofthecompanyafter
distributionofallpreferentialamountsinproportionoftheirshareholding.
(vii) Numberofbonussharesallottedtoexistingshareholdersforconsiderationotherthancashinthelast5years:
SL.No. DateofissueofFullyPaidupBonusShares NumberofBonusShareissued
1 Friday,March16,2012 2,048,000
2 Friday,March15,2013 4,011,500
3 Saturday,March22,2014 4,023,250
a.SecuritiesPremiumAccount Asat31.03.2018 Asat31.03.2017
OpeningBalance 43,391,000 11,391,000
Add:SecuritiespremiumcreditedonShareissue 32,000,000
Less:PremiumUtilisedforvariousreasons
ClosingBalance 43,391,000 43,391,000
b.Surplus
OpeningBalance 145,962,766 106,461,074
(+)NetProfit/(NetLoss)Forthecurrentyear 47,558,175 39,501,691
(+)TransferfromReserves
()DeclaredDividends(F.Y.20162017) 8,238,330
()InterimDividends
()AdjustmentforDepreciation
ClosingBalance 185,282,611 145,962,764
C.CapitalInvestmentSubsidy
OpeningBalance 500,000 500,000
(+)TransferfromReserves
(-)Adjustment
ClosingBalance 500,000 500,000
Total 229,173,611 189,853,764
Note3:Reserve&Surplus
SarthakMetalsLimited|AnnualReport201718
![Page 59: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/59.jpg)
54
Note4:LongTermBorrowings
Note5:Long-TermBorrowings:
Particulars Asat31March,2017 Asat31March,2016
` `
UnsecuredBorrowings
AxisBankLimited(ChanelFinanceforPurchasefromBalco)
98,889,356 70,100,000
SecuredBorrowings
StateBankofIndiaBuyerCreditAccount 57,551,646 39,058,786
CashCreditLimitfromStateBankOfIndia
(SecuredAgainstHypothecationofEntireStock&Debtors,
EquitableMortgageofLeaseHoldLand&Plant&Machinery
&PersonalGuaranteeofboththeDirectors.)
69,432,153 153,238,483
StateBankOfIndia(SLCLIMIT)
(SecuredAgainstHypothecationofEntireStock&Debtors,
EquitableMortgageofLeaseHoldLand&Plant&Machinery
&PersonalGuaranteeofboththeDirectors.)
10,030,486
Total 235,903,640 262,397,269
1. Cash credit and Buyers' Credit from State Bank of India is secured against leasehold land, factoy land and
commercial office complex in the name of the Company. The cash credit is repayable on demand and carries
[email protected]%p.a.Further,thecredithasbeenguaranteedbythepersonalguaranteeofthedirectors
oftheCompany.
2. FinancingfacilityfromAxisBankisunsecured.Theloanisrepayableondemandandcarrieseffectiveinterest@
9.00%p.a.
LONGTERMBORROWINGS Asat31.03.2018 Asat31.03.2017
SecuredBorrowings
VehicleLoanFromBanks 3,311,559 2,684,957
StateBankofIndiaTermLoan 19,465,696 7,361,065
Total 22,777,255 10,046,022
1. Term loan from State Bank of India was taken during the current financial year and carries effective interest
@10.00%p.a.TheloanissecuredbyhypothecationofplantandmachineryoftheCompany.Further,theloanhas
beenguaranteedbythepersonalguaranteesofsomeofthedirectorsoftheCompany.
2. VehicleloansfrombanksissecuredbyhypothecationofrespectivevehiclesoftheCompany.
SarthakMetalsLimited|AnnualReport201718
55
Note6:OtherCurrentLiabilities
ParticularsAsat31March,2017 Asat31March,2016
` `
AdvanceFromCustomers 3,034,203
EmployeeRetlatedLiabilities 5,291,339 5,505,354
OtherLiabilities 6,096,272 10,822,257
StatutoryLiabilities 1,171,072 1,354,416
Total 12,558,683 20,716,230
Note7:ShortTermProvisions
Particulars Asat31March,2017 Asat31March,2016
` `
ProvisionForCurrentTaxation 24,024,788.88 383,403
Less:AdvanceTax,TDS&TCS 21,704,944.00 2,319,845
CorporateSocialResponsibility 653,210
ProvisionforGratuity - 137,741
Total 2,319,845 1,174,354
SarthakMetalsLimited|AnnualReport201718
![Page 60: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/60.jpg)
54
Note4:LongTermBorrowings
Note5:Long-TermBorrowings:
Particulars Asat31March,2017 Asat31March,2016
` `
UnsecuredBorrowings
AxisBankLimited(ChanelFinanceforPurchasefromBalco)
98,889,356 70,100,000
SecuredBorrowings
StateBankofIndiaBuyerCreditAccount 57,551,646 39,058,786
CashCreditLimitfromStateBankOfIndia
(SecuredAgainstHypothecationofEntireStock&Debtors,
EquitableMortgageofLeaseHoldLand&Plant&Machinery
&PersonalGuaranteeofboththeDirectors.)
69,432,153 153,238,483
StateBankOfIndia(SLCLIMIT)
(SecuredAgainstHypothecationofEntireStock&Debtors,
EquitableMortgageofLeaseHoldLand&Plant&Machinery
&PersonalGuaranteeofboththeDirectors.)
10,030,486
Total 235,903,640 262,397,269
1. Cash credit and Buyers' Credit from State Bank of India is secured against leasehold land, factoy land and
commercial office complex in the name of the Company. The cash credit is repayable on demand and carries
[email protected]%p.a.Further,thecredithasbeenguaranteedbythepersonalguaranteeofthedirectors
oftheCompany.
2. FinancingfacilityfromAxisBankisunsecured.Theloanisrepayableondemandandcarrieseffectiveinterest@
9.00%p.a.
LONGTERMBORROWINGS Asat31.03.2018 Asat31.03.2017
SecuredBorrowings
VehicleLoanFromBanks 3,311,559 2,684,957
StateBankofIndiaTermLoan 19,465,696 7,361,065
Total 22,777,255 10,046,022
1. Term loan from State Bank of India was taken during the current financial year and carries effective interest
@10.00%p.a.TheloanissecuredbyhypothecationofplantandmachineryoftheCompany.Further,theloanhas
beenguaranteedbythepersonalguaranteesofsomeofthedirectorsoftheCompany.
2. VehicleloansfrombanksissecuredbyhypothecationofrespectivevehiclesoftheCompany.
SarthakMetalsLimited|AnnualReport201718
55
Note6:OtherCurrentLiabilities
ParticularsAsat31March,2017 Asat31March,2016
` `
AdvanceFromCustomers 3,034,203
EmployeeRetlatedLiabilities 5,291,339 5,505,354
OtherLiabilities 6,096,272 10,822,257
StatutoryLiabilities 1,171,072 1,354,416
Total 12,558,683 20,716,230
Note7:ShortTermProvisions
Particulars Asat31March,2017 Asat31March,2016
` `
ProvisionForCurrentTaxation 24,024,788.88 383,403
Less:AdvanceTax,TDS&TCS 21,704,944.00 2,319,845
CorporateSocialResponsibility 653,210
ProvisionforGratuity - 137,741
Total 2,319,845 1,174,354
SarthakMetalsLimited|AnnualReport201718
![Page 61: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/61.jpg)
56
No
te8
:Tra
de
Pa
ya
ble
s
Fix
ed
Ass
ets
Ba
lan
cea
sa
t1
Ap
ril
20
17
Ad
dit
ion
sA
cqu
ired
th
rou
gh
bu
sin
ess
co
mb
inat
ion
Dis
po
sals
/T
ran
sfe
rB
ala
nce
as
at
31
Ma
rch
18
Ba
lan
cea
sa
t1
Ap
ril
20
17
De
pre
cia
tio
n
cha
rge
fo
rth
e
ye
ar
Ad
just
-m
en
tT
ran
sfe
rB
ala
nce
as
at
3
1M
arc
h2
01
8B
ala
nce
as
at
1
Ap
ril
20
17
Ba
lan
cea
sa
t3
1
Ma
rch
20
18
CW
D
AirConditioner
576,626.95
576,626.95
487,050.00
33,339.00
520,389.00
89,576.95
56,237.95
AluminumPlant&M
achinery
(WIP)
1,631,625.00
1,631,625.00
1,631,625.00
AluminumPlantSh
ed&
Building(W
IP)
4,110,952.67
4,110,952.67
4,110,952.67
Computer
2,851,531.68
72,482.22
2,924,013.90
2,479,732.36
214,856.00
0.32
2,694,588.68
371,799.32
229,425.22
ComputerErp
3,984,473.00
3,984,473.00
780,879.00
1,259,133.00
2,040,012.00
3,203,594.00
1,944,461.00
ElectricalE
quipmen
t1,950,084.38
1,499,066.03
3,449,150.41
1,826,325.88
202,009.00
2,028,334.88
123,758.50
1,420,815.53
Eot
1,032,697.00
1,032,697.00
504,603.00
95,604.00
600,207.00
528,094.00
432,490.00
FactoryShed
andBuilding
9,056,628.13
15,138,310.46
24,194,938.59
4,738,915.10
1,845,036.00
6,583,951.10
4,317,713.03
17,610,987.49
ForkLift
1,844,149.00
1,844,149.00
1,074,984.00
139,247.00
1,214,231.00
769,165.00
629,918.00
Furniture&Fixtures
823,607.00
823,607.00
611,212.00
52,649.00
663,861.00
212,395.00
159,746.00
Lan
d13,937,562.00
13,937,562.00
13,937,562.00
13,937,562.00
Mobile
431,068.00
50,000.00
481,068.00
196,785.00
113,606.00
310,391.00
234,283.00
170,677.00
New
Fad
Electrical(WIP)
19,356.00
1,479,710.03
1,499,06
6.03
19,356.00
New
Fad
Plantan
d
Machinery(W
IP)
5,474,282.02
3,939,728.20
5,474,282.02
New
Fad
Shed
&Building
(WIP)
13,874,196.32
1,264,114.14
13,874,196.32
OfficeEquipmen
t382,560.00
65,062.50
447,622.50
326,634.00
43,279.00
369,913.00
55,926.00
77,709.50
Plant&M
achinery
33,838,860.14
11,192,365.24
45,031,225.38
13,094,693.60
4,823,828.00
17,918,521.60
20,744,166.54
27,112,703.78
RccFrame)
3,124,296.50
3,124,296.50
1,325,341.50
87,615.00
1,412,956.50
1,798,955.00
1,711,340.00
Truck
974,000.00
974,000.00
855,914.00
36,883.00
892,797.00
118,086.00
81,203.00
TwoW
heeler
261,180.00
261,180.00
221,528.00
7,667.00
229,195.00
39,652.00
31,985.00
Veh
icles(FourWheeler)
16,505,998.00
16,505,998.00
9,541,319.00
2,168,714.00
11,710,033.00
6,964,679.00
4,795,965.00
Weigh
ingMachine
494,533.00
494,533.00
457,091.94
7,397.00
464,488.94
37,441.06
30,044.06
To
tal
(A)
11
1,4
37
,68
9.1
24
0,4
43
,41
6.4
91
25
,82
9,7
18
.90
38
,52
3,0
08
.38
11
,13
0,8
62
.00
0.3
24
9,6
53
,87
0.7
07
2,9
14
,68
0.7
47
6,1
75
,84
8.2
0
SarthakMetalsLimited|AnnualReport201718
GD
AirConditioner
Computer
ElectricalEquipmen
t
FactorySh
edAndBuilding
Furniture&Fixtures
GasCylinder
LAND
Plant&
Machinery
Trolly
Truck
TwoWheeler
Veh
icles(Fo
urW
heeler)
Weigh
ingM
achine
58,500.00
90,600.00
1,337,476.00
5,150,897.65
2,215.00
35,521,346.39
180,406.00
19,977,906.20
1,336,255.00
1,103,957.00
121,522.00
614,300.00
62,281.00
1,520,295.00
6,265,889.20
58,500.00
90,600.00
1,337,476.00
5,150,897.65
2,215.00
35,521,346.39
180,406.00
13,712,017.00
1,336,255.00
2,624,252.00
121,522.00
614,300.00
62,281.00
27,075.00
86,069.00
1,133,102.02
2,492,646.98
2,104.00
26,869,521.00
14,789,576.20
1,185,679.00
972,531.00
78,141.00
545,113.00
59,167.00
51,040.00
250,729.00
735,393.00
925,406.00
40,045.00
121,359.00
10,726.00
23,114.00
28,500.00
(5,962,907.20)
55,575.00
86,069.00
1,184,142.02
2,743,375.98
2,104.00
27,604,914.00
9,752,075.00
1,225,724.00
1,093,890.00
88,867.00
568,227.00
59,167.00
31,425.00
4,531.00
204,373.98
2,658,250.67
111.00
8,651,825.39
180,406.00
5,188,330.00
150,576.00
131,426.00
43,381.00
69,187.00
3,114.00
2,925.00
4,531.00
153,333.98
2,407,521.67
111.00
7,916,432.39
180,406.00
3,959,942.00
110,531.00
1,530,362.00
32,655.00
46,073.00
3,114.00
To
tal(
B)
65
,55
7,6
62
.24
1
,52
0,2
95
.00
6
,26
5,8
89
.20
6
0,8
12
,06
8.0
4
48
,24
0,7
25
.20
2,1
57
,81
2.0
0
(5,9
34
,40
7.2
0)
44
,46
4,1
30
.00
1
7,3
16
,93
7.0
41
6,3
47
,93
8.0
4
NG
P
Computer
Furniture&Fixtures
OfficeE
quipmen
t
RCCFRAME)
TwoW
heeler
170,100.00
1,438,141.00
216,389.00
3,303,825.00
87,000.00
170,100.00
1,438,141.00
216,389.00
3,303,825.00
87,000.00
156,900.00
1,201,632.00
154,257.00
977,014.00
59,158.00
3,409.00
62,055.00
25,910.00
113,112.00
7,129.00
160,309.00
1,263,687.00
180,167.00
1,090,126.00
66,287.00
13,200.00
236,509.00
62,132.00
2,326,811.00
27,842.00
9,791.00
174,454.00
36,222.00
2,213,699.00
20,713.00
To
tal(
B)
5,2
15
,45
5.0
0
-
-5
,21
5,4
55
.00
2
,54
8,9
61
.00
2
11
,61
5.0
0
-
2,7
60
,57
6.0
0
2,6
66
,49
4.0
0
2,4
54
,87
9.0
0
GR
AN
DT
OT
AL
(A
+B
+C
)1
82
,21
0,8
06
.36
4
1,9
63
,71
1.4
9
3
2,3
17
,27
5.9
1
19
1,8
57
,24
1.9
4
89
,31
2,6
94
.58
13
,50
0,2
89
.00
(5,9
34
,40
6.8
8)
9
6,8
78
,57
6.7
0
92
,89
8,1
11
.78
94
,97
8,6
65
.24
No
te8
:Tra
de
Pa
ya
ble
s
No
te8
:Tra
de
Pa
ya
ble
s
57
SarthakMetalsLimited|AnnualReport201718
![Page 62: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/62.jpg)
56
No
te8
:Tra
de
Pa
ya
ble
s
Fix
ed
Ass
ets
Ba
lan
cea
sa
t1
Ap
ril
20
17
Ad
dit
ion
sA
cqu
ired
th
rou
gh
bu
sin
ess
co
mb
inat
ion
Dis
po
sals
/T
ran
sfe
rB
ala
nce
as
at
31
Ma
rch
18
Ba
lan
cea
sa
t1
Ap
ril
20
17
De
pre
cia
tio
n
cha
rge
fo
rth
e
ye
ar
Ad
just
-m
en
tT
ran
sfe
rB
ala
nce
as
at
3
1M
arc
h2
01
8B
ala
nce
as
at
1
Ap
ril
20
17
Ba
lan
cea
sa
t3
1
Ma
rch
20
18
CW
D
AirConditioner
576,626.95
576,626.95
487,050.00
33,339.00
520,389.00
89,576.95
56,237.95
AluminumPlant&M
achinery
(WIP)
1,631,625.00
1,631,625.00
1,631,625.00
AluminumPlantSh
ed&
Building(W
IP)
4,110,952.67
4,110,952.67
4,110,952.67
Computer
2,851,531.68
72,482.22
2,924,013.90
2,479,732.36
214,856.00
0.32
2,694,588.68
371,799.32
229,425.22
ComputerErp
3,984,473.00
3,984,473.00
780,879.00
1,259,133.00
2,040,012.00
3,203,594.00
1,944,461.00
ElectricalE
quipmen
t1,950,084.38
1,499,066.03
3,449,150.41
1,826,325.88
202,009.00
2,028,334.88
123,758.50
1,420,815.53
Eot
1,032,697.00
1,032,697.00
504,603.00
95,604.00
600,207.00
528,094.00
432,490.00
FactoryShed
andBuilding
9,056,628.13
15,138,310.46
24,194,938.59
4,738,915.10
1,845,036.00
6,583,951.10
4,317,713.03
17,610,987.49
ForkLift
1,844,149.00
1,844,149.00
1,074,984.00
139,247.00
1,214,231.00
769,165.00
629,918.00
Furniture&Fixtures
823,607.00
823,607.00
611,212.00
52,649.00
663,861.00
212,395.00
159,746.00
Lan
d13,937,562.00
13,937,562.00
13,937,562.00
13,937,562.00
Mobile
431,068.00
50,000.00
481,068.00
196,785.00
113,606.00
310,391.00
234,283.00
170,677.00
New
Fad
Electrical(WIP)
19,356.00
1,479,710.03
1,499,06
6.03
19,356.00
New
Fad
Plantan
d
Machinery(W
IP)
5,474,282.02
3,939,728.20
5,474,282.02
New
Fad
Shed
&Building
(WIP)
13,874,196.32
1,264,114.14
13,874,196.32
OfficeEquipmen
t382,560.00
65,062.50
447,622.50
326,634.00
43,279.00
369,913.00
55,926.00
77,709.50
Plant&M
achinery
33,838,860.14
11,192,365.24
45,031,225.38
13,094,693.60
4,823,828.00
17,918,521.60
20,744,166.54
27,112,703.78
RccFrame)
3,124,296.50
3,124,296.50
1,325,341.50
87,615.00
1,412,956.50
1,798,955.00
1,711,340.00
Truck
974,000.00
974,000.00
855,914.00
36,883.00
892,797.00
118,086.00
81,203.00
TwoW
heeler
261,180.00
261,180.00
221,528.00
7,667.00
229,195.00
39,652.00
31,985.00
Veh
icles(FourWheeler)
16,505,998.00
16,505,998.00
9,541,319.00
2,168,714.00
11,710,033.00
6,964,679.00
4,795,965.00
Weigh
ingMachine
494,533.00
494,533.00
457,091.94
7,397.00
464,488.94
37,441.06
30,044.06
To
tal
(A)
11
1,4
37
,68
9.1
24
0,4
43
,41
6.4
91
25
,82
9,7
18
.90
38
,52
3,0
08
.38
11
,13
0,8
62
.00
0.3
24
9,6
53
,87
0.7
07
2,9
14
,68
0.7
47
6,1
75
,84
8.2
0
SarthakMetalsLimited|AnnualReport201718
GD
AirConditioner
Computer
ElectricalEquipmen
t
FactorySh
edAndBuilding
Furniture&Fixtures
GasCylinder
LAND
Plant&
Machinery
Trolly
Truck
TwoWheeler
Veh
icles(Fo
urW
heeler)
Weigh
ingM
achine
58,500.00
90,600.00
1,337,476.00
5,150,897.65
2,215.00
35,521,346.39
180,406.00
19,977,906.20
1,336,255.00
1,103,957.00
121,522.00
614,300.00
62,281.00
1,520,295.00
6,265,889.20
58,500.00
90,600.00
1,337,476.00
5,150,897.65
2,215.00
35,521,346.39
180,406.00
13,712,017.00
1,336,255.00
2,624,252.00
121,522.00
614,300.00
62,281.00
27,075.00
86,069.00
1,133,102.02
2,492,646.98
2,104.00
26,869,521.00
14,789,576.20
1,185,679.00
972,531.00
78,141.00
545,113.00
59,167.00
51,040.00
250,729.00
735,393.00
925,406.00
40,045.00
121,359.00
10,726.00
23,114.00
28,500.00
(5,962,907.20)
55,575.00
86,069.00
1,184,142.02
2,743,375.98
2,104.00
27,604,914.00
9,752,075.00
1,225,724.00
1,093,890.00
88,867.00
568,227.00
59,167.00
31,425.00
4,531.00
204,373.98
2,658,250.67
111.00
8,651,825.39
180,406.00
5,188,330.00
150,576.00
131,426.00
43,381.00
69,187.00
3,114.00
2,925.00
4,531.00
153,333.98
2,407,521.67
111.00
7,916,432.39
180,406.00
3,959,942.00
110,531.00
1,530,362.00
32,655.00
46,073.00
3,114.00
To
tal(
B)
65
,55
7,6
62
.24
1
,52
0,2
95
.00
6
,26
5,8
89
.20
6
0,8
12
,06
8.0
4
48
,24
0,7
25
.20
2,1
57
,81
2.0
0
(5,9
34
,40
7.2
0)
44
,46
4,1
30
.00
1
7,3
16
,93
7.0
41
6,3
47
,93
8.0
4
NG
P
Computer
Furniture&Fixtures
OfficeE
quipmen
t
RCCFRAME)
TwoW
heeler
170,100.00
1,438,141.00
216,389.00
3,303,825.00
87,000.00
170,100.00
1,438,141.00
216,389.00
3,303,825.00
87,000.00
156,900.00
1,201,632.00
154,257.00
977,014.00
59,158.00
3,409.00
62,055.00
25,910.00
113,112.00
7,129.00
160,309.00
1,263,687.00
180,167.00
1,090,126.00
66,287.00
13,200.00
236,509.00
62,132.00
2,326,811.00
27,842.00
9,791.00
174,454.00
36,222.00
2,213,699.00
20,713.00
To
tal(
B)
5,2
15
,45
5.0
0
-
-5
,21
5,4
55
.00
2
,54
8,9
61
.00
2
11
,61
5.0
0
-
2,7
60
,57
6.0
0
2,6
66
,49
4.0
0
2,4
54
,87
9.0
0
GR
AN
DT
OT
AL
(A
+B
+C
)1
82
,21
0,8
06
.36
4
1,9
63
,71
1.4
9
3
2,3
17
,27
5.9
1
19
1,8
57
,24
1.9
4
89
,31
2,6
94
.58
13
,50
0,2
89
.00
(5,9
34
,40
6.8
8)
9
6,8
78
,57
6.7
0
92
,89
8,1
11
.78
94
,97
8,6
65
.24
No
te8
:Tra
de
Pa
ya
ble
s
No
te8
:Tra
de
Pa
ya
ble
s
57
SarthakMetalsLimited|AnnualReport201718
![Page 63: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/63.jpg)
58
Note9:NonCurrentInvestments
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
InvestmentinEquityShares(Unquoted)
ShareofSarthakEnergyPvtLtd
(250000EquitySharesoffacevalueRs10/each)
7,500,0007,500,000
Total 7,500,000 7,500,000
Note10:Long-TermLoans&Advances
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
(Unsecured,consideredgood)
SecurityDeposits
3,653,160 4,920,279
Total 3,653,160 4,920,279
Note11:OtherNonCurrentAsset
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
PreliminaryExps 1,225,003 1,465,000
Total 1,225,003 1,465,000
Note12:Inventories
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
RawMaterialsandcomponents(ValuedatFIFOMethod)
Finishedgoods(ValuedatCost)
Coal,Storesandspares&RollsStock(ValuedatCost)
InventoryConsumablegoods
121,573,159
28,251,978
5,645,170
46,246
85,140,171
13,906,697
2,429,482
41,500
Total 155,516,553 101,517,850
SarthakMetalsLimited|AnnualReport201718
59
Note13:TradeReceivables
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
Outstandingforaperiodlessthansixmonths
Unsecured,consideredgood
Less:Provisionfordoubtfuldebts
Outstandingforaperiodexceedingsixmonths
Unsecured,consideredgood
Less:Provisionfordoubtfuldebts
281,353,263
9,931,923
293,691,964
4,042,619
Total 291,285,186 297,734,583
Note14:Cash&CashEquivalents
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
BalancewithBanks
StateBankofIndiaFixedDepositWithBank(MarginMoney)
CashonHand
1,505,248
14,260,280
557,965
74,362,323
14,260,280
382,188
Total 16,323,493 89,004,791
MarginmoneydepositsRs.1,42,60,280/aresubjecttofirstchargetosecuretheCompany’sLineofCredit,Buyers'Credit
andBankGuarantees.
Note15:Short-TermLoans&Advances
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
(Unsecured,consideredgood)
AdvancestoSuppliers&Others
28,682,089 32,366,630
Total 28,682,089 32,366,630
Note16:OtherCurrentAssets
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
CommOfCustomAndExcise
IncomeTaxAppeal(1112)
CstAppeal(0809)
GSTReceivable(ason31StMarch2018)
LeaseRent
Interest(InterrstforfutureAccountedforAgainstCarLoan)
Vat&CstReceivable
SecurityDeposit
633,122
213,680
220,685
48,641,025
23,904
100,727
13,105
2,404,119
Total 52,250,366 -
SarthakMetalsLimited|AnnualReport201718
![Page 64: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/64.jpg)
58
Note9:NonCurrentInvestments
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
InvestmentinEquityShares(Unquoted)
ShareofSarthakEnergyPvtLtd
(250000EquitySharesoffacevalueRs10/each)
7,500,0007,500,000
Total 7,500,000 7,500,000
Note10:Long-TermLoans&Advances
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
(Unsecured,consideredgood)
SecurityDeposits
3,653,160 4,920,279
Total 3,653,160 4,920,279
Note11:OtherNonCurrentAsset
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
PreliminaryExps 1,225,003 1,465,000
Total 1,225,003 1,465,000
Note12:Inventories
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
RawMaterialsandcomponents(ValuedatFIFOMethod)
Finishedgoods(ValuedatCost)
Coal,Storesandspares&RollsStock(ValuedatCost)
InventoryConsumablegoods
121,573,159
28,251,978
5,645,170
46,246
85,140,171
13,906,697
2,429,482
41,500
Total 155,516,553 101,517,850
SarthakMetalsLimited|AnnualReport201718
59
Note13:TradeReceivables
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
Outstandingforaperiodlessthansixmonths
Unsecured,consideredgood
Less:Provisionfordoubtfuldebts
Outstandingforaperiodexceedingsixmonths
Unsecured,consideredgood
Less:Provisionfordoubtfuldebts
281,353,263
9,931,923
293,691,964
4,042,619
Total 291,285,186 297,734,583
Note14:Cash&CashEquivalents
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
BalancewithBanks
StateBankofIndiaFixedDepositWithBank(MarginMoney)
CashonHand
1,505,248
14,260,280
557,965
74,362,323
14,260,280
382,188
Total 16,323,493 89,004,791
MarginmoneydepositsRs.1,42,60,280/aresubjecttofirstchargetosecuretheCompany’sLineofCredit,Buyers'Credit
andBankGuarantees.
Note15:Short-TermLoans&Advances
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
(Unsecured,consideredgood)
AdvancestoSuppliers&Others
28,682,089 32,366,630
Total 28,682,089 32,366,630
Note16:OtherCurrentAssets
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
CommOfCustomAndExcise
IncomeTaxAppeal(1112)
CstAppeal(0809)
GSTReceivable(ason31StMarch2018)
LeaseRent
Interest(InterrstforfutureAccountedforAgainstCarLoan)
Vat&CstReceivable
SecurityDeposit
633,122
213,680
220,685
48,641,025
23,904
100,727
13,105
2,404,119
Total 52,250,366 -
SarthakMetalsLimited|AnnualReport201718
![Page 65: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/65.jpg)
60
Note17:RevenuefromOperations
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
Saleofproducts(ReferNote(I)below)
Saleofservices
Otheroperatingrevenues(ReferNote(ii)below)
Less:
Exciseduty
VAT&CST
GST
1,977,347,557
4,754,736
32,831,898
5,179,722
231,482,040
1,711,184,388
6,187,880
162,794,725
32,793,743
Total 1,712,608,633 1,521,783,800
Note Particulars Asat31March,2018 Asat31March,2017
₹ ₹
(i) Saleofproductscomprises:
Manufacturedgoods
Sales
Sales(Consignment)
Sales(Export)
Sales(WireFeedermachine)
Total-Saleofmanufacturedgoods
Tradedgoods
SalesTrading
Total-Saleoftradedgoods
Saleofservices
Servicechargesreceived
QualityIncentives
1,446,210,536
242,180,995
1,688,391,531
12,263,866
12,263,866
4,754,736
1,298,898,364
10,660,696
196,337,982
1,505,897,041
5,231,464
5,231,464
4,467,415
Total-SaleofServices 4,754,736 4,467,415
Total-Saleofproducts 1,700,655,397 1,515,595,920
(ii) Otheroperatingrevenuescomprises:
CylinderCharges(Maintenance&handlingCharges,Rent)
Sales(Scrap)
Sales(EmptyDrum)
CylinderLost
5,659,793
1,538,707
911,672
3,841,558
1,420,650
14,000
Total-Otheroperatingrevenues 7,198,500 6,187,880
SarthakMetalsLimited|AnnualReport201718
61
Note18:OtherIncome
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
DutyDrawback
InsuranceClaim
ProfitonBuyerCredit
CylinderLost
DicInterestSubsidy
InterestReceived
Cylindermaintt.&handlingcharges
Transportdel.&coll.charges
Cylinderrent
ProfitonsaleoffixedAsset
Profitonforeigncurrencytransactions(Net)
P/LOnConsignmentSales
1,887,748
2,021,725
4,140,244
84,000
15,392
126,360
274,509
11,381
258,318
7,588,328
1,416,774
1,417,148
1,178,915
2,225,274
5,595,581
67,108
5,122,925
(68,981)
Total 16,408,005 16,954,743
Note19:CostofMaterialsConsumed
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
OpeningStockRawMaterial
Add:Purchases&Expenses(Net)
85,181,671
1,484,550,904
88,514,073
1,256,512,815
Less:Sales
Less:ClosingStock
1,569,732,576
121,619,405
1,345,026,888
85,181,671
Total 1,448,113,171 1,259,845,216
OpeningStockStores&Spares
Add:Purchases&Expenses(Net)
2,429,482
24,927,557
620,000
24,899,538
Less:ClosingStock
27,357,040
5,645,170
25,519,538
2,429,482
Total 21,711,870 23,090,055
GrandTotal 1,469,825,041 1,282,935,272
SarthakMetalsLimited|AnnualReport201718
![Page 66: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/66.jpg)
60
Note17:RevenuefromOperations
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
Saleofproducts(ReferNote(I)below)
Saleofservices
Otheroperatingrevenues(ReferNote(ii)below)
Less:
Exciseduty
VAT&CST
GST
1,977,347,557
4,754,736
32,831,898
5,179,722
231,482,040
1,711,184,388
6,187,880
162,794,725
32,793,743
Total 1,712,608,633 1,521,783,800
Note Particulars Asat31March,2018 Asat31March,2017
₹ ₹
(i) Saleofproductscomprises:
Manufacturedgoods
Sales
Sales(Consignment)
Sales(Export)
Sales(WireFeedermachine)
Total-Saleofmanufacturedgoods
Tradedgoods
SalesTrading
Total-Saleoftradedgoods
Saleofservices
Servicechargesreceived
QualityIncentives
1,446,210,536
242,180,995
1,688,391,531
12,263,866
12,263,866
4,754,736
1,298,898,364
10,660,696
196,337,982
1,505,897,041
5,231,464
5,231,464
4,467,415
Total-SaleofServices 4,754,736 4,467,415
Total-Saleofproducts 1,700,655,397 1,515,595,920
(ii) Otheroperatingrevenuescomprises:
CylinderCharges(Maintenance&handlingCharges,Rent)
Sales(Scrap)
Sales(EmptyDrum)
CylinderLost
5,659,793
1,538,707
911,672
3,841,558
1,420,650
14,000
Total-Otheroperatingrevenues 7,198,500 6,187,880
SarthakMetalsLimited|AnnualReport201718
61
Note18:OtherIncome
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
DutyDrawback
InsuranceClaim
ProfitonBuyerCredit
CylinderLost
DicInterestSubsidy
InterestReceived
Cylindermaintt.&handlingcharges
Transportdel.&coll.charges
Cylinderrent
ProfitonsaleoffixedAsset
Profitonforeigncurrencytransactions(Net)
P/LOnConsignmentSales
1,887,748
2,021,725
4,140,244
84,000
15,392
126,360
274,509
11,381
258,318
7,588,328
1,416,774
1,417,148
1,178,915
2,225,274
5,595,581
67,108
5,122,925
(68,981)
Total 16,408,005 16,954,743
Note19:CostofMaterialsConsumed
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
OpeningStockRawMaterial
Add:Purchases&Expenses(Net)
85,181,671
1,484,550,904
88,514,073
1,256,512,815
Less:Sales
Less:ClosingStock
1,569,732,576
121,619,405
1,345,026,888
85,181,671
Total 1,448,113,171 1,259,845,216
OpeningStockStores&Spares
Add:Purchases&Expenses(Net)
2,429,482
24,927,557
620,000
24,899,538
Less:ClosingStock
27,357,040
5,645,170
25,519,538
2,429,482
Total 21,711,870 23,090,055
GrandTotal 1,469,825,041 1,282,935,272
SarthakMetalsLimited|AnnualReport201718
![Page 67: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/67.jpg)
62
Note20:ChangeinInventories
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
OpeningStockOfFinishedGoods
OpeningStockOfFinishedGoods(WIP)
13,905,442
1,255
17,841,870
Less:ClosingStockOfFinishedGoods
Less:ClosingStockOfFinishedGoods(WIP)
13,906,697
28,251,978
17,841,870
13,905,442
1,255
28,251,978 13,906,697
Total (14,345,282) 3,935,173
Note21:EmployeeBenefitExpenses
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
Salary&Allowances
LeaveSalary
BonusExps
LabourPayment
Gratuity(BasedOnActurialValutaion)
Staff&LabourWelfare
ProvidentFund
DirectorRemuneration
ESICExps.
28,902,651
1,092,499
2,312,130
2,804,580
981,285
676,609
1,387,342
5,400,000
525,992
26,535,536
1,092,853
2,737,160
376,100
611,316
782,174
9,400,000
360,678
Total 44,083,088 41,895,817
Note22:FinanceCosts
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
Interestexpenses
ToBank&CashCreditLimit
ToOthers
ToVehicleloans
ToOnLC/BuyersCreditfacility
ToOnUnsecuredLoans
Interestonotherfacilities
BankCharges&Commission
12,837,981
13,325,350
165,637
1,095,156
313,158
6,839,586
29,290,470
106,490
1,147,616
324,618
2,879,064
34,868
Total 34,576,868 33,783,126
SarthakMetalsLimited|AnnualReport201718
63
Note23:OtherExpenses
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
AmortizedExpsCalciumManagementExpensesClearingAndForwardingCommission&BrokerageComputer/ERPExpsConsuamblestoresCorporationTaxCylinderExpensesDestinationExpsDonationExpensesEntryTaxGardenExpsGasExpensesInsuranceLeaseRent,FactoryLicence&RentExpensesLegal&ProfessionalExpensesLoadingAndUnloadingLossonConsignmentSaleMemberFees&SubscripitionOfficeExps.Oil&LubricantPaymentToAuditorsPostage&telegramexp.PowerChargesPrinting&StationeryProfessionalTaxPropertyTaxSalesPromotionSalesTax(CST&CGST)SecurityGuardExpsServiceChargesSundryBalanceWriteOffTelephoneExpensesTestingChargesTransportationExpsTraveling&ConvyanceExps(IncludesForeignTravelingExps)VehicleMaintaince&PetrolWaterChargesWeigmentChargesBankChargesConsignmentExpensesDiscountLDChargesExciseDuty/ServiceTaxLossonDollarsHedgingMiscellaneousExpensesRate&Qty.Diff.SwachchhaBharatCessOthersCSRExpenditureRepair&Maintenance
240,000
27,537,0192,344,115858,302800,952
4,516344,068709,263
5,4005,000
36,11394,127
1,612,2072,057,6111,210,984
97,83557,498
142,8501,082,5211,116,361250,000
8,78322,340,408
651,19917,50051,070
322,783390
987,7341,669,297
12,915550,733789,666
25,884,7011,710,8831,968,918
9,33166,685
2,122,530
480,00112,287,128
1,295,820751,707
4,553
59,979
22,3931,913,705
3,118,616
298,975941,233476,606227,400
13,904,912
574,82917,500
332,919234,905
500985,050
2,054,569
473,743702,300
50,665,8862,359,9891,756,073
5,410,665550,562
255322,948426,358
(1,241,685)847,851567,472159,02636,190
903,2102,358,622
Total 99,772,267 106,282,763
SarthakMetalsLimited|AnnualReport201718
![Page 68: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/68.jpg)
62
Note20:ChangeinInventories
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
OpeningStockOfFinishedGoods
OpeningStockOfFinishedGoods(WIP)
13,905,442
1,255
17,841,870
Less:ClosingStockOfFinishedGoods
Less:ClosingStockOfFinishedGoods(WIP)
13,906,697
28,251,978
17,841,870
13,905,442
1,255
28,251,978 13,906,697
Total (14,345,282) 3,935,173
Note21:EmployeeBenefitExpenses
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
Salary&Allowances
LeaveSalary
BonusExps
LabourPayment
Gratuity(BasedOnActurialValutaion)
Staff&LabourWelfare
ProvidentFund
DirectorRemuneration
ESICExps.
28,902,651
1,092,499
2,312,130
2,804,580
981,285
676,609
1,387,342
5,400,000
525,992
26,535,536
1,092,853
2,737,160
376,100
611,316
782,174
9,400,000
360,678
Total 44,083,088 41,895,817
Note22:FinanceCosts
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
Interestexpenses
ToBank&CashCreditLimit
ToOthers
ToVehicleloans
ToOnLC/BuyersCreditfacility
ToOnUnsecuredLoans
Interestonotherfacilities
BankCharges&Commission
12,837,981
13,325,350
165,637
1,095,156
313,158
6,839,586
29,290,470
106,490
1,147,616
324,618
2,879,064
34,868
Total 34,576,868 33,783,126
SarthakMetalsLimited|AnnualReport201718
63
Note23:OtherExpenses
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
AmortizedExpsCalciumManagementExpensesClearingAndForwardingCommission&BrokerageComputer/ERPExpsConsuamblestoresCorporationTaxCylinderExpensesDestinationExpsDonationExpensesEntryTaxGardenExpsGasExpensesInsuranceLeaseRent,FactoryLicence&RentExpensesLegal&ProfessionalExpensesLoadingAndUnloadingLossonConsignmentSaleMemberFees&SubscripitionOfficeExps.Oil&LubricantPaymentToAuditorsPostage&telegramexp.PowerChargesPrinting&StationeryProfessionalTaxPropertyTaxSalesPromotionSalesTax(CST&CGST)SecurityGuardExpsServiceChargesSundryBalanceWriteOffTelephoneExpensesTestingChargesTransportationExpsTraveling&ConvyanceExps(IncludesForeignTravelingExps)VehicleMaintaince&PetrolWaterChargesWeigmentChargesBankChargesConsignmentExpensesDiscountLDChargesExciseDuty/ServiceTaxLossonDollarsHedgingMiscellaneousExpensesRate&Qty.Diff.SwachchhaBharatCessOthersCSRExpenditureRepair&Maintenance
240,000
27,537,0192,344,115858,302800,952
4,516344,068709,263
5,4005,000
36,11394,127
1,612,2072,057,6111,210,984
97,83557,498
142,8501,082,5211,116,361250,000
8,78322,340,408
651,19917,50051,070
322,783390
987,7341,669,297
12,915550,733789,666
25,884,7011,710,8831,968,918
9,33166,685
2,122,530
480,00112,287,128
1,295,820751,707
4,553
59,979
22,3931,913,705
3,118,616
298,975941,233476,606227,400
13,904,912
574,82917,500
332,919234,905
500985,050
2,054,569
473,743702,300
50,665,8862,359,9891,756,073
5,410,665550,562
255322,948426,358
(1,241,685)847,851567,472159,02636,190
903,2102,358,622
Total 99,772,267 106,282,763
SarthakMetalsLimited|AnnualReport201718
![Page 69: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/69.jpg)
64
Note24:ExceptionalItems
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
Debit/(Credit)pertainingToEarlierYear(IT) 1,158,120 (766,009)
Total 1,158,120 (766,009)
Note25:AdditionalNotestoAccounts
Sl.No.
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
(a) DemandRaisedByIncomeTaxDeptt.
(b) DemandRaisedByCommercialTaxDeptt.
Less:AmountPaidForAppealsPreferred
Netliability
(c) BankGuarantee/LCOutstanding 5,519,522 9,123,777
Less:MarginProvided(STDR) 1,42,60,280 14,260,280
Netliability
a. Contingentliabilitynotprovidedfor:
b. The company has not received any memorandum (as required to be filed by the suppliers with the notified
authorityundertheMicro,SmallandMediumEnterprisesdevelopmentAct,2006)claimingtheirstatusason31st
March,2018 as micro, small or medium enterprises. Consequently the amount paid/payable to these parties
duringtheyearisNil(previousyear:Nil)
C. ExpenditureinForeignCurrency
Particulars 2017-18 2016-17
₹ ₹
ForeignTourExpenses(ExchangePurchaseCost) 694,675 1,128,787
d. EarningsinforeigncurrencyisRs.75lacs(Previousyear:Rs.51.22Lacs)
f. RELATEDPARTYTRANSACTIONS:
During theYearendedMarch31,2018 theCompanyhasentered intoseveral commercial transactionswith its
relatedparties.Thedetailsofsuchtransactionsandnamesofrelatedparties&natureofrelationshiparegiven
below:
SarthakMetalsLimited|AnnualReport201718
65
TRANSACTIONS KEY
MANAGEMENTPERSONNEL
RELATIVESOFKEY
MANAGEMENTPERSONNEL
ENTERPRISESOVERWHICHSIGNIFICANTINFUNECEBYKEY
MANAGEMENTPERSONNEL/RELATIVEOFMANAGEMENTPERSONNEL
PurchasesofMaterials 95,050,932
Remuneration 9,650,000 5,548,000
TransportationCharges
Rent 144,000
Salesofgoods
S.No. PartyName Relation Amount TypeofTransactions
1 ShriAnoopKumarBansal KeyManagementPersonnel 2,400,000.00 DirectorSalary
300,000.00 Bonus/Incentive
2 ShriManojKumarBansal KeyManagementPersonnel 2,400,000.00 PresidentSalary
300,000.00 Bonus/Incentive
3 ShriSanjayC.Shah KeyManagementPersonnel 2,400,000.00 DirectorSalary
200,000.00 Bonus/Incentive
4 ShriMayurBhatt KeyManagementPersonnel 600,000.00 DirectorSalary
100,000.00 Bonus/Incentive
5 ShriGauravAgarwal RelativeKeyManagementPersonnel 3,000,000.00 StaffSalary
250,000.00 Bonus/Incentive
6 ShriAnirudhSinghal KeyManagementPersonnel 600,000.00 StaffSalary
50,000.00 Bonus/Incentive
7 ItikaSinghal KeyManagementPersonnel 300,000.00 StaffSalary
8 ShriSamarthBansal RelativeKeyManagementPersonnel 600,000.00 StaffSalary
50,000.00 Bonus/Incentive
9 SakshiBansal RelativeKeyManagementPersonnel 300,000.00 StaffSalary
50,000.00 Bonus/Incentive
10 ShaliniShah RelativeKeyManagementPersonnel 648,000.00 StaffSalary
11 JayaBhatt RelativeKeyManagementPersonnel 600,000.00 StaffSalary
50,000.00 Bonus/Incentive
12 BansalBrothers(TradingDiv.)
ENTERPRISESOVERWHICHSIGNIFICANTINFUNECE
15,648,077.00
147,646.00
164,589.00
343,707.00
3,349.00
PurchaseRawMaterial
PurchaseofPackingMaterial
PurchaseofConsumableGoods
FactoryShed&Building
Repair&Maint.Machine
13 BansalBrothers(FAD) ENTERPRISESOVERWHICHSIGNIFICANTINFUNECE 78,743,564.00 PurchaseRawMaterial
14 MetalGraceInjectionAlloysPvt.Ltd.
ENTERPRISESOVERWHICHSIGNIFICANTINFUNECE
144,000.00 RentPaid
Partywisetransactions:
SarthakMetalsLimited|AnnualReport201718
![Page 70: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/70.jpg)
64
Note24:ExceptionalItems
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
Debit/(Credit)pertainingToEarlierYear(IT) 1,158,120 (766,009)
Total 1,158,120 (766,009)
Note25:AdditionalNotestoAccounts
Sl.No.
Particulars Asat31March,2018 Asat31March,2017
₹ ₹
(a) DemandRaisedByIncomeTaxDeptt.
(b) DemandRaisedByCommercialTaxDeptt.
Less:AmountPaidForAppealsPreferred
Netliability
(c) BankGuarantee/LCOutstanding 5,519,522 9,123,777
Less:MarginProvided(STDR) 1,42,60,280 14,260,280
Netliability
a. Contingentliabilitynotprovidedfor:
b. The company has not received any memorandum (as required to be filed by the suppliers with the notified
authorityundertheMicro,SmallandMediumEnterprisesdevelopmentAct,2006)claimingtheirstatusason31st
March,2018 as micro, small or medium enterprises. Consequently the amount paid/payable to these parties
duringtheyearisNil(previousyear:Nil)
C. ExpenditureinForeignCurrency
Particulars 2017-18 2016-17
₹ ₹
ForeignTourExpenses(ExchangePurchaseCost) 694,675 1,128,787
d. EarningsinforeigncurrencyisRs.75lacs(Previousyear:Rs.51.22Lacs)
f. RELATEDPARTYTRANSACTIONS:
During theYearendedMarch31,2018 theCompanyhasentered intoseveral commercial transactionswith its
relatedparties.Thedetailsofsuchtransactionsandnamesofrelatedparties&natureofrelationshiparegiven
below:
SarthakMetalsLimited|AnnualReport201718
65
TRANSACTIONS KEY
MANAGEMENTPERSONNEL
RELATIVESOFKEY
MANAGEMENTPERSONNEL
ENTERPRISESOVERWHICHSIGNIFICANTINFUNECEBYKEY
MANAGEMENTPERSONNEL/RELATIVEOFMANAGEMENTPERSONNEL
PurchasesofMaterials 95,050,932
Remuneration 9,650,000 5,548,000
TransportationCharges
Rent 144,000
Salesofgoods
S.No. PartyName Relation Amount TypeofTransactions
1 ShriAnoopKumarBansal KeyManagementPersonnel 2,400,000.00 DirectorSalary
300,000.00 Bonus/Incentive
2 ShriManojKumarBansal KeyManagementPersonnel 2,400,000.00 PresidentSalary
300,000.00 Bonus/Incentive
3 ShriSanjayC.Shah KeyManagementPersonnel 2,400,000.00 DirectorSalary
200,000.00 Bonus/Incentive
4 ShriMayurBhatt KeyManagementPersonnel 600,000.00 DirectorSalary
100,000.00 Bonus/Incentive
5 ShriGauravAgarwal RelativeKeyManagementPersonnel 3,000,000.00 StaffSalary
250,000.00 Bonus/Incentive
6 ShriAnirudhSinghal KeyManagementPersonnel 600,000.00 StaffSalary
50,000.00 Bonus/Incentive
7 ItikaSinghal KeyManagementPersonnel 300,000.00 StaffSalary
8 ShriSamarthBansal RelativeKeyManagementPersonnel 600,000.00 StaffSalary
50,000.00 Bonus/Incentive
9 SakshiBansal RelativeKeyManagementPersonnel 300,000.00 StaffSalary
50,000.00 Bonus/Incentive
10 ShaliniShah RelativeKeyManagementPersonnel 648,000.00 StaffSalary
11 JayaBhatt RelativeKeyManagementPersonnel 600,000.00 StaffSalary
50,000.00 Bonus/Incentive
12 BansalBrothers(TradingDiv.)
ENTERPRISESOVERWHICHSIGNIFICANTINFUNECE
15,648,077.00
147,646.00
164,589.00
343,707.00
3,349.00
PurchaseRawMaterial
PurchaseofPackingMaterial
PurchaseofConsumableGoods
FactoryShed&Building
Repair&Maint.Machine
13 BansalBrothers(FAD) ENTERPRISESOVERWHICHSIGNIFICANTINFUNECE 78,743,564.00 PurchaseRawMaterial
14 MetalGraceInjectionAlloysPvt.Ltd.
ENTERPRISESOVERWHICHSIGNIFICANTINFUNECE
144,000.00 RentPaid
Partywisetransactions:
SarthakMetalsLimited|AnnualReport201718
![Page 71: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/71.jpg)
66
Notes:
NameofRelatedParties:-
1.KEYMANAGEMENTPERSONNEL:
ShriManojKumarBansalManagingDirector
ShriKishorKumarBansalDirector
ShriSanjayShahWholeTimeDirector
ShriAnirudhSinghalCFO
ShriMayurBhattWholeTimeDirector
Mr.ChetanKumarDirector
MrsRamaKohliDirector
CSItikaSinghalCompanySecretary
2. RELATIVESOFKEYMANAGEMENTPERSONNEL:
ShriManojKumarBansal
ShriSamarthBansal
Smt.SakshiBansal
Smt.ShaliniShah
Smt.JayaBhatt
ShriGauravAgarwal
3. ENTERPRISESOVERWHICHSIGNIFICANTINFLUENCEEXISTS:
a. MetalGraceInjectionAlloysPvt.Ltd.
b. BansalBrothers
c. M/s.SarthakEnergyPvt.Ltd.
g. Previous year's figures are regrouped and reclassified to confirm to this year's classification, as per revised
CompaniesAct,2013.
h. InterestSubsidyofRs.15,382.00/hadbeenreceivedfromDIC
i YearendcashbalanceandClosingstocksaretakenasverifiedandrepresentedbythemangement.
j Intheopinionofboard,allcurrentassetsincludingsundrydebtors,loansandadvances,etc.arerecoverableinthe
ordinarycourseofbusinessandwouldrealizethevalueasstated.
Further,intheopinionofboard,theprovisionsfordepreciationandallknownliabilitiesareadequateandarenot
inexcessoftheamountreasonablynecessary.
k Parties'closingbalancesaresubjecttoconfirmationand/orreconciliationhowever,theCompanyhasadopteda
system toascertain thebalance confirmationonperiodicalbasis andany consequential adjustments,presently
unascertainable,shallbeaccountedforasandwhentheseaccountsarereconciled/settled.
l DEFERREDTAXES:
TheCompanyfollowsthedepreciationmethodaspertheCompaniesAct2013.Deferredtaxhasbeenworkedout
@33.063%ontheTreatmentofDepreciationundertheCompaniesvisavistheIncomeTaxAct.TheCompany
hasprovidedtheLiability/AssetsforDeferredTaxundertheheadDeferredTaxLiability.Accordinglytheamount
ofDeferredTaxLiabilitiesisasfollows:
SarthakMetalsLimited|AnnualReport201718
67
PARTICULARS ASAT31.03.2018 ASAT31.03.2017
(a) OpeningbalanceofDTL(onaccountofTimeDifference) 1,651,200.93 1,244,933
(b) DepreciationasperCompaniesActfortheyear 92,898,111.78 10,082,255
(c) DepreciationasperIncomeTaxActfortheyear 91,820,070.07 11,311,023
(d) TimeDifference(bc) 1,078,041.71 (1,228,768)
(e) [email protected]%Liability/Asset 356,400.59 (406,268)
(f) ClosingbalanceofDTL(onaccountofTimeDifference) 1,294,800.34 1,651,201
m. CalculationofEPSfortheyearended:
Particulars 2018 2017
NetProfitasperP&LA/c 47,558,175 39,501,692
No.ofShares 13,689,750 13,689,750
Basic&DilutedEPS 3.47 2.89
n TheCompanyhasRs.16.27Lacunrealisedgainsonforeigncurrencytransactionsason31stMarch2018.
o There is total long termborrowing as on 31stmarch 2018 is Rs. 227,77,255.42 outwhich instalment payable
withinTwelveMonthsisRs,125,27,965/.
p Since,companyhasearnedaveragenetprofitbeforetaxmorethanRs5Croresinthelastthreeyears,provision
forCorporateSocialResponsibilityisrequiredtobemadeunderSection135OfCompaniesAct,2013.However,
theprovisionhasnotbeenrecognisedintheFY2018FinancialResultsastheCSRCommitteemeetingofcompany
wasdelayedandwasconductedposttheannouncementofFinancialResults.Theamountrecommendedbythe
CSRcommitteeforCSRprovisionisRs12.20LacsforFY201718whichSMLplanstoexpendinFY201819along
withanyunspentCSRprovisionspertainingtoearlierfinancialyears.
q TheIPOProceedsofcompanywereusedonlyforintendedpurposesaspertheProspectusoftheCompany.There
isnodeviationintheutilisationofIPOproceeds.
FORANDONBEHALFOFBOARDOFDIRECTOROFSARTHAKMETALSLTD.
AsperourReportofevendate
ForBEGANI&BEGANI
CHARTEREDACCOUNTANTS
FRNNO.010779C
Sd/
(VIVEKBEGANI)
PARTNER
M.NO.403743
Sd/
(ANOOPKUMARBANSAL)
DIRECTOR
DIN:01661844
Sd/
(MAYURBHATT)
DIRECTOR
DIN:07586457
Sd/
(ITIKASINGHAL)
COMPANYSECRETARY
Sd/
(ANIRUDHSINGHAL)
CHIEFFINANCIALOFFICER
Place:RAIPUR(C.G.)
Date:29/05/2018
SarthakMetalsLimited|AnnualReport201718
![Page 72: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/72.jpg)
66
Notes:
NameofRelatedParties:-
1.KEYMANAGEMENTPERSONNEL:
ShriManojKumarBansalManagingDirector
ShriKishorKumarBansalDirector
ShriSanjayShahWholeTimeDirector
ShriAnirudhSinghalCFO
ShriMayurBhattWholeTimeDirector
Mr.ChetanKumarDirector
MrsRamaKohliDirector
CSItikaSinghalCompanySecretary
2. RELATIVESOFKEYMANAGEMENTPERSONNEL:
ShriManojKumarBansal
ShriSamarthBansal
Smt.SakshiBansal
Smt.ShaliniShah
Smt.JayaBhatt
ShriGauravAgarwal
3. ENTERPRISESOVERWHICHSIGNIFICANTINFLUENCEEXISTS:
a. MetalGraceInjectionAlloysPvt.Ltd.
b. BansalBrothers
c. M/s.SarthakEnergyPvt.Ltd.
g. Previous year's figures are regrouped and reclassified to confirm to this year's classification, as per revised
CompaniesAct,2013.
h. InterestSubsidyofRs.15,382.00/hadbeenreceivedfromDIC
i YearendcashbalanceandClosingstocksaretakenasverifiedandrepresentedbythemangement.
j Intheopinionofboard,allcurrentassetsincludingsundrydebtors,loansandadvances,etc.arerecoverableinthe
ordinarycourseofbusinessandwouldrealizethevalueasstated.
Further,intheopinionofboard,theprovisionsfordepreciationandallknownliabilitiesareadequateandarenot
inexcessoftheamountreasonablynecessary.
k Parties'closingbalancesaresubjecttoconfirmationand/orreconciliationhowever,theCompanyhasadopteda
system toascertain thebalance confirmationonperiodicalbasis andany consequential adjustments,presently
unascertainable,shallbeaccountedforasandwhentheseaccountsarereconciled/settled.
l DEFERREDTAXES:
TheCompanyfollowsthedepreciationmethodaspertheCompaniesAct2013.Deferredtaxhasbeenworkedout
@33.063%ontheTreatmentofDepreciationundertheCompaniesvisavistheIncomeTaxAct.TheCompany
hasprovidedtheLiability/AssetsforDeferredTaxundertheheadDeferredTaxLiability.Accordinglytheamount
ofDeferredTaxLiabilitiesisasfollows:
SarthakMetalsLimited|AnnualReport201718
67
PARTICULARS ASAT31.03.2018 ASAT31.03.2017
(a) OpeningbalanceofDTL(onaccountofTimeDifference) 1,651,200.93 1,244,933
(b) DepreciationasperCompaniesActfortheyear 92,898,111.78 10,082,255
(c) DepreciationasperIncomeTaxActfortheyear 91,820,070.07 11,311,023
(d) TimeDifference(bc) 1,078,041.71 (1,228,768)
(e) [email protected]%Liability/Asset 356,400.59 (406,268)
(f) ClosingbalanceofDTL(onaccountofTimeDifference) 1,294,800.34 1,651,201
m. CalculationofEPSfortheyearended:
Particulars 2018 2017
NetProfitasperP&LA/c 47,558,175 39,501,692
No.ofShares 13,689,750 13,689,750
Basic&DilutedEPS 3.47 2.89
n TheCompanyhasRs.16.27Lacunrealisedgainsonforeigncurrencytransactionsason31stMarch2018.
o There is total long termborrowing as on 31stmarch 2018 is Rs. 227,77,255.42 outwhich instalment payable
withinTwelveMonthsisRs,125,27,965/.
p Since,companyhasearnedaveragenetprofitbeforetaxmorethanRs5Croresinthelastthreeyears,provision
forCorporateSocialResponsibilityisrequiredtobemadeunderSection135OfCompaniesAct,2013.However,
theprovisionhasnotbeenrecognisedintheFY2018FinancialResultsastheCSRCommitteemeetingofcompany
wasdelayedandwasconductedposttheannouncementofFinancialResults.Theamountrecommendedbythe
CSRcommitteeforCSRprovisionisRs12.20LacsforFY201718whichSMLplanstoexpendinFY201819along
withanyunspentCSRprovisionspertainingtoearlierfinancialyears.
q TheIPOProceedsofcompanywereusedonlyforintendedpurposesaspertheProspectusoftheCompany.There
isnodeviationintheutilisationofIPOproceeds.
FORANDONBEHALFOFBOARDOFDIRECTOROFSARTHAKMETALSLTD.
AsperourReportofevendate
ForBEGANI&BEGANI
CHARTEREDACCOUNTANTS
FRNNO.010779C
Sd/
(VIVEKBEGANI)
PARTNER
M.NO.403743
Sd/
(ANOOPKUMARBANSAL)
DIRECTOR
DIN:01661844
Sd/
(MAYURBHATT)
DIRECTOR
DIN:07586457
Sd/
(ITIKASINGHAL)
COMPANYSECRETARY
Sd/
(ANIRUDHSINGHAL)
CHIEFFINANCIALOFFICER
Place:RAIPUR(C.G.)
Date:29/05/2018
SarthakMetalsLimited|AnnualReport201718
![Page 73: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/73.jpg)
68
SARTHAKMETALSLIMITED(FormerlyKnownasSARTHAKMETALSMARKETINGPRIVATELIMITED)
NotestofinancialstatementsfortheyearendedMarch31,2017
Note22-EmployeeBenefitsUnderAS-15
AmountstoberecognizedintheBalanceSheet
TheprincipalassumptionsusedindetermininggratuityfortheCompany’splansareshownbelow:
EmployeeBenefits
A. ProvidentFundContribution
TheCompanymakescontributiontostatutoryprovidentfundinaccordancewithEmployeesProvidentFundandMiscellaneousProvisionsAct,1952.Thisispostemploymentbenefitandisinthenatureofdefinedcontributionplan.ThecontributionmadebytheCompanyduringtheyearisRs13,87,342/(previousyear:Rs7,82,174).
B.Gratuity*
ThefollowingtablesetoutsthestatusofthegratuityplanasrequiredunderAS15:
AmounttoberecognizedintheStatementofProfit&Loss
DescriptionAsat31March,2018 Asat31March,2017
₹ ₹
CurrentServiceCost 509,962.00 312,320.00
InterestCost 102,301.00 78,454.00
NetActuarialGainrecognizedduringtheyear 369,022.00 (14,674.00)
981,285.00 376,100.00
DescriptionAsat31March,2018 Asat31March,2017
₹ ₹
PresentValueoftheObligationattheendoftheyear 2,338,061.00 1,356,776.00
Fairvalueofplanassetsattheendoftheyear
NetLiabilityrecognizedinBalanceSheet 2,338,061.00 1,356,776.00
CurrentPortion 168,296.00 137,741.00
NonCurrentPortion 2,169,765.00 1,219,035.00
DescriptionAsat31March,2018 Asat31March,2017
₹ ₹
DiscountingRate(Perannum) 7.71% 7.54%
FutureSalaryIncrease(Perannum) 10.00% 10.00%
Mortality IALM(200608) IALM(200608)
WithdrawalRate
Upto30Years(perannum) 5.00% 5.00%
From31to44Years(perannum) 3.00% 3.00%
Above44years(perannum) 2.00% 2.00%
SarthakMetalsLimited|AnnualReport201718
69
DescriptionAsat31March,2018 Asat31March,2017
₹ ₹
DiscountingRate(Perannum) 7.71% 7.54%
FutureSalaryIncrease(Perannum) 10.00% 10.00%
Mortality IALM(200608) IALM(200608)
WithdrawalRate
Upto30Years(perannum) 5.00% 5.00%
From31to44Years(perannum) 3.00% 3.00%
Above44years(perannum) 2.00% 2.00%
C.CompensatedAbsences
*InthepreviousyearCompanyacknowledgedthefactthattheacturialvaluationisapplicableontheCompanyasper
AccountingStandard15(Revised).Accordingly,theactuarialliabilityforgratuitywasmadeinthepreviousyearand
actuarialliabilityforgratuityhasbeenrecognisedforthepreviousyearsaspartofpriorperiodadjustment.
SarthakMetalsLimited|AnnualReport201718
![Page 74: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/74.jpg)
68
SARTHAKMETALSLIMITED(FormerlyKnownasSARTHAKMETALSMARKETINGPRIVATELIMITED)
NotestofinancialstatementsfortheyearendedMarch31,2017
Note22-EmployeeBenefitsUnderAS-15
AmountstoberecognizedintheBalanceSheet
TheprincipalassumptionsusedindetermininggratuityfortheCompany’splansareshownbelow:
EmployeeBenefits
A. ProvidentFundContribution
TheCompanymakescontributiontostatutoryprovidentfundinaccordancewithEmployeesProvidentFundandMiscellaneousProvisionsAct,1952.Thisispostemploymentbenefitandisinthenatureofdefinedcontributionplan.ThecontributionmadebytheCompanyduringtheyearisRs13,87,342/(previousyear:Rs7,82,174).
B.Gratuity*
ThefollowingtablesetoutsthestatusofthegratuityplanasrequiredunderAS15:
AmounttoberecognizedintheStatementofProfit&Loss
DescriptionAsat31March,2018 Asat31March,2017
₹ ₹
CurrentServiceCost 509,962.00 312,320.00
InterestCost 102,301.00 78,454.00
NetActuarialGainrecognizedduringtheyear 369,022.00 (14,674.00)
981,285.00 376,100.00
DescriptionAsat31March,2018 Asat31March,2017
₹ ₹
PresentValueoftheObligationattheendoftheyear 2,338,061.00 1,356,776.00
Fairvalueofplanassetsattheendoftheyear
NetLiabilityrecognizedinBalanceSheet 2,338,061.00 1,356,776.00
CurrentPortion 168,296.00 137,741.00
NonCurrentPortion 2,169,765.00 1,219,035.00
DescriptionAsat31March,2018 Asat31March,2017
₹ ₹
DiscountingRate(Perannum) 7.71% 7.54%
FutureSalaryIncrease(Perannum) 10.00% 10.00%
Mortality IALM(200608) IALM(200608)
WithdrawalRate
Upto30Years(perannum) 5.00% 5.00%
From31to44Years(perannum) 3.00% 3.00%
Above44years(perannum) 2.00% 2.00%
SarthakMetalsLimited|AnnualReport201718
69
DescriptionAsat31March,2018 Asat31March,2017
₹ ₹
DiscountingRate(Perannum) 7.71% 7.54%
FutureSalaryIncrease(Perannum) 10.00% 10.00%
Mortality IALM(200608) IALM(200608)
WithdrawalRate
Upto30Years(perannum) 5.00% 5.00%
From31to44Years(perannum) 3.00% 3.00%
Above44years(perannum) 2.00% 2.00%
C.CompensatedAbsences
*InthepreviousyearCompanyacknowledgedthefactthattheacturialvaluationisapplicableontheCompanyasper
AccountingStandard15(Revised).Accordingly,theactuarialliabilityforgratuitywasmadeinthepreviousyearand
actuarialliabilityforgratuityhasbeenrecognisedforthepreviousyearsaspartofpriorperiodadjustment.
SarthakMetalsLimited|AnnualReport201718
![Page 75: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/75.jpg)
70
ATTENDANCESLIP
23rdAnnualGeneralMeetingonFriday,The14thSeptember,2018at11A.M.
Regd.FolioNo.___________________________________________________________________________________________________________________________
DPID_____________________________________________________________________________________________________________________________________
ClientID/Ben.A/C______________________________________________________________________________________________________________________
No.ofsharesheld_______________________________________________________________________________________________________________________
Icertifythat Iamaregisteredshareholder/proxyfortheregisteredShareholderof theCompanyandherebyrecordmy
presenceatthe23rdAnnualGeneralMeetingoftheCompanyonFriday,14thSeptember,2018at11.A.M.atB.B.C.Colony,
Khursipar,G.E.Road,Bhilai,Chhattisgarh490011
___________________________________________________________________________________________________________________________________________
___________________________________________________________________________________________________________________________________________
Member's/Proxy'snameinBlockLetters Member's/Proxy'sSignature
Note:Pleasefillthisattendanceslipandhanditoverattheentranceofthehall.
___________________________________________________________________________________________________________________________________________
SarthakMetalsLimited|AnnualReport201718
71
FormNo.MGT-11Proxyform
[PursuanttoSection105(6)oftheCompaniesAct,2013andRule19(3)oftheCompanies(ManagementandAdministration)Rules,2014]
CIN:L51102CT1995PLC009772
NameoftheCompany:SARTHAKMETALSLIMITED
Registeredoffice:B.B.C.Colony,Khursipar,G.E.Road,Bhilai,Chhattisgarh490011
NameoftheMember(s):
Registeredaddress:
EmailId:FolioNo/ClientId:DPID:
asmy/ourproxy toattendandvote (onapoll) forme/usandonmy/ourbehalfat23rdAnnualGeneralMeetingofmembersoftheCompany,tobeheldonFriday,14thSeptember, 2018 at the B.B.C. Colony, Khursipar, G.E. Road, Bhilai, Chhattisgarh490011registeredofficeoftheCompanyat11A.M.,andatanyadjournmentthereofinrespectofsuchresolutionsasareindicatedbelow:
I/Webeingthememberof……...................................................................……,holding…...............................................shares,herebyappoint
1.Name:.............................................................................................
Address:
EmailId:
Signature:……..............................................…..,orfailinghim
2.Name:.............................................................................................
Address:
EmailId:
Signature:……..............................................…..,orfailinghim
SignatureofShareholderSignatureofProxyHolder(s)Signedthis…......................dayof…......................2018
Note:ThisformofproxyinordertobeeffectiveshouldbedulycompletedanddepositedattheRegisteredOfficeoftheCompany,beforethecommencementoftheMeeting
Sr.No. Resolutions For Against
ORDINARYBUSINESS
1. Toreceive,considerandadopt,financialstatementsfortheyearended31stMarch,2018togetherwiththeReportofBoardofDirector'sandAuditor'sthereon.
2. ToreappointaDirectorinplaceofMr.KishoreKumarBansal(DIN:03067387)
SPECIALBUSINESS
3 TosetlimitofborrowingsuptoRs.70croresabovethenetworthoftheCompany.
AffixRevenue
Stamp
SarthakMetalsLimited|AnnualReport201718
![Page 76: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/76.jpg)
70
ATTENDANCESLIP
23rdAnnualGeneralMeetingonFriday,The14thSeptember,2018at11A.M.
Regd.FolioNo.___________________________________________________________________________________________________________________________
DPID_____________________________________________________________________________________________________________________________________
ClientID/Ben.A/C______________________________________________________________________________________________________________________
No.ofsharesheld_______________________________________________________________________________________________________________________
Icertifythat Iamaregisteredshareholder/proxyfortheregisteredShareholderof theCompanyandherebyrecordmy
presenceatthe23rdAnnualGeneralMeetingoftheCompanyonFriday,14thSeptember,2018at11.A.M.atB.B.C.Colony,
Khursipar,G.E.Road,Bhilai,Chhattisgarh490011
___________________________________________________________________________________________________________________________________________
___________________________________________________________________________________________________________________________________________
Member's/Proxy'snameinBlockLetters Member's/Proxy'sSignature
Note:Pleasefillthisattendanceslipandhanditoverattheentranceofthehall.
___________________________________________________________________________________________________________________________________________
SarthakMetalsLimited|AnnualReport201718
71
FormNo.MGT-11Proxyform
[PursuanttoSection105(6)oftheCompaniesAct,2013andRule19(3)oftheCompanies(ManagementandAdministration)Rules,2014]
CIN:L51102CT1995PLC009772
NameoftheCompany:SARTHAKMETALSLIMITED
Registeredoffice:B.B.C.Colony,Khursipar,G.E.Road,Bhilai,Chhattisgarh490011
NameoftheMember(s):
Registeredaddress:
EmailId:FolioNo/ClientId:DPID:
asmy/ourproxy toattendandvote (onapoll) forme/usandonmy/ourbehalfat23rdAnnualGeneralMeetingofmembersoftheCompany,tobeheldonFriday,14thSeptember, 2018 at the B.B.C. Colony, Khursipar, G.E. Road, Bhilai, Chhattisgarh490011registeredofficeoftheCompanyat11A.M.,andatanyadjournmentthereofinrespectofsuchresolutionsasareindicatedbelow:
I/Webeingthememberof……...................................................................……,holding…...............................................shares,herebyappoint
1.Name:.............................................................................................
Address:
EmailId:
Signature:……..............................................…..,orfailinghim
2.Name:.............................................................................................
Address:
EmailId:
Signature:……..............................................…..,orfailinghim
SignatureofShareholderSignatureofProxyHolder(s)Signedthis…......................dayof…......................2018
Note:ThisformofproxyinordertobeeffectiveshouldbedulycompletedanddepositedattheRegisteredOfficeoftheCompany,beforethecommencementoftheMeeting
Sr.No. Resolutions For Against
ORDINARYBUSINESS
1. Toreceive,considerandadopt,financialstatementsfortheyearended31stMarch,2018togetherwiththeReportofBoardofDirector'sandAuditor'sthereon.
2. ToreappointaDirectorinplaceofMr.KishoreKumarBansal(DIN:03067387)
SPECIALBUSINESS
3 TosetlimitofborrowingsuptoRs.70croresabovethenetworthoftheCompany.
AffixRevenue
Stamp
SarthakMetalsLimited|AnnualReport201718
![Page 77: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/77.jpg)
72
SarthakMetalsLimited|AnnualReport201718
NOTE
SarthakMetalsLimited|AnnualReport201718
![Page 78: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/78.jpg)
72
SarthakMetalsLimited|AnnualReport201718
NOTE
SarthakMetalsLimited|AnnualReport201718
![Page 79: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/79.jpg)
NOTE
SarthakMetalsLimited|AnnualReport201718
![Page 80: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/80.jpg)
NOTE
SarthakMetalsLimited|AnnualReport201718
![Page 81: -i SARTHAK METALS LIMITEDRef: BSE Security Code 540393 Please find enclosed the Annual report for the Financial Year 2017-18 as required under Regulation 34 of SEBI (Listing Obligation](https://reader033.vdocuments.site/reader033/viewer/2022060717/607d9e3cd5cf1b084b33c7e9/html5/thumbnails/81.jpg)
SARTHAKMETALSLIMITEDCIN:L51102CT1995PLC009772
RegisteredOffice:B.B.C.Colony,Khursipar,G.E.Road,Bhilai,Chhattisgarh490011