KARTIK INVESTMENTS
TRUST LIMITED
33rd ANNUAL REPORT 2010-2011
CONTENTS
Notice to shareholders 1
Directors report 2
List of Promoters 10
Auditors Report 11
Balance Sheet 14
Profit and Loss account 15
Schedules to accounts 16
Cash flow statement 21
NOTICE TO THE SHAREHOLDERS
Notice is hereby given that the thirty third annual general meeting of the shareholders of Kartik Investments Trust Limited will be held at the Registered Office of the Company Parry House No43 Moore Street Chennai 600 001 at 4 pm on Wednesday the 31 st August 2011 to transact the following business
ORDINARY BUSINESS
1 To receive consider and adopt the audited Profit and Loss Account for the year ended 31 st March 2011 and the Balance Sheet as at that date and the Report of the Board of Directors and the Auditors thereon
2 To appoint a director in the place of Mr R Surendran Director who retires by rotation and being eligible offers himself for re-appointment
3 To appoint Mis Shanker Giri amp Prabhakar Chartered Accountants Chennai bearing registration nO003761S as auditors of the company to hold office from the conclusion of thirty third annual general meeting till the conclusion of the thirty fourth annual general meeting at a remuneration to be fixed by the Board
On behalf of the Board
Chennai SURESH KRISHNAN May 132011 DIRECTOR
NOTES
1 A member entitled to attend and vote at the above meeting may appoint one or more proxies to attend and vote instead of him The proxy need not be a member of the Company Proxy to be valid shall be deposited with the Company not later than forty eight hours before the time for holding the meeting
2 The Register of members and share transfer books will remain closed from Friday the 26th August 2011 to Wednesday the 31 st August 2011 (both days inclusive)
3 Members are requested to notify immediately any change in the address to the Registered Office ofthe Company
On behalf of the Board
Chennai SURESH KRISHNAN May 132011 DIRECTOR
1
DIRECTORS REPORT
Your directors present the thirty third annual report together with the audited accounts for the year ended 31 st March 2011
( Rs in lakhs) FINANCIAL RESULTS Year ended March
312011 Year ended March
312010 Income 217 2923 Expenses 122 365 Profit I(Loss) before taxation 095 2557 Profit I (Loss) after taxation 095 2190
OPERATIONS
During the year under review the gross income of the Company was at Rs217 lakhs as against Rs2923 lakhs (which includes the profit on sale of investments of Rs2710 lakhs) during the previous year The Company made a profit after tax of Rs095 lakhs as against Rs2190 lakhs during the previous year
DIRECTORS
Mr R Surendran Director retires by rotation at the ensuing annual general meeting and being eligible has offered himself for re-appointment
AUDITORS
MIs Shanker Giri and Prabhakar Chartered Accountants Chennai retire at the ensuing annual general meeting and are eligible for re-appointment
DIRECTORS RESPONSIBILITY STATEMENT
The Directors Responsibility Statement under Section 217 (2AA) of the Companies Act 1956 is attached and forms a part of the directors report
CERTIFICATE UNDER SECTION 383A OF THE COMPANIES ACT 1956
Certificate as required under Section 383A of the Companies Act 1956 being a report of secretarial audit by practicing company secretary is attacped with this report
CORPORATE GOVERNANCE
The Ministry of Corporate Affairs has issued Corporate Governance Voluntary Guidelines in December 2009 Some of the provisions of these guidelines are already in place and the other provisions of these guidelines are being evaluated and your Company will strive to adopt the same in a phased manner
J
2
GENERAL
During the year 31 st March 2011 there was no employee covered by the provisions of Section 217(2A) of the Companies Act 1956 There is no information to be disclosed under the Companies (Disclosure of Particulars in Report of Board of Directors) Rules 1988 in respect of particulars relating to Conservation of Energy Technology Absorption and Foreign Exchange Earnings and Outgo The Company does not accept public deposits There were no unclaimedoverdue deposits lying with the Company as on 31 st March 2011 The shares of your company are listed in The Bombay Stock Exchange Ltd
On behalf ofthe Board
Chennai RSURENDRAN May 132011 CHAIRMAN
3
DIRECTORS RESPONSIBILITY STATEMENT (Annexure to the directors report)
The Directors accept the responsibility for the integrity and objectivity of the Profit amp Loss
Account for the year ended 31 st March 20 II and the Balance Sheet as at that date (financial
statements) and confirm that
bull in the preparation of the financial statements the generally accepted accounting
principles (GAAP) of India and applicable accounting standards issued by the
Institute of Chartered Accountants of India have been followed
bull appropriate accounting policies have been selected and applied consistently and
judgments and estimates that are reasonable and prudent have been made so as to give
a true and fair view of the state of affairs of the company as at the end of the financial
year and of the profit of the company for that period
bull proper and sufficient care has been taken for the maintenance of adequate accounting
records in accordance with the provisions of the Companies Act 1956 for
safeguarding the assets of the company and for preventing and detecting fraud and
other irregularities To ensure this the company has established internal control
systems consistent with its size and nature of operations subject to the inherent
limitations that should be recognized in weighing the assurance provided by any such
system of internal controls These systems are reviewed and updated on an ongoing
basis
bull the financial statements have been prepared on a going concern basis
On behalf of the Board
Chennai RSURENDRAN May 132011 CHAIRMAN
4
New No5 (Old No12) Sivasailam Street
OS RSridharan amp Associates TNagar Chennai - 600 017 Company Secretaries Phone 421669884350299742555587
Telefax 044-42137082 email sribhavairtelmaiLin
aryesairtelmaiLin
Il65993TN1978PlC0129131
COMPLIANCE CERTIFICATE
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN1978PLC012913 Authorized Capital Rs 10000000shyPaid-up Capital Rs 2440000shy
To The Members MESSRS KARTIK INVESTMENTS TRUST LIMITED Parry House II Floor No43 Moore Street Chennai - 600 001
We have examined the LIMITED (the Company) 1956 (the Act) and the rules made there under d Articles ofAssociation of the Company for the n and to the best of our information and accordi furnished to us by the Company its officers
1 The Company has to this certificate as per the provisions been recorded
2 The Company has fi this certificate with the Registrar of Law Board or other authorities ~_n~~_
3 The Company is a Company is a listed
4 The Board of Directors met on 24th May 2010 28th October 2010 and 28th January 2011 in respect of which meetings notices were given and proceedings were recorded including the circular resolutions dated 7th April 2010 and 4th March 2011 in the Minutes Book maintained for the purpose
5 The Company closed its Register of Members from 23rd August 2010 to 27th August 2010 (both days indusive) and necessary compliance of Section 154 of the Act hasbeen made
6 The Thirty Second Annual General Meeting for the financial year ended 31st March 2010 was held on 27th August 2010 after giving notice to the members of the Company and the resolutions passed thereat were recorded in the Minutes Book maintained for the purpose
7 No Extra-ordinary general meeting was held during the financial year
8 The Company has not advanced any loans or given any guarantees or provided any securities to its directors or persons or firms or companies referred under Section 295 of the Act
9 The Company has not entered into any contracts falling within the purview of Section 297of(m6~r
KARnK INVESTMENTS TRUST LIMITED
5
Continuation Sheetos R Sridharan ampAssociates Company Secretaries
Il65993TN 1978PlC01291~
10 During the financial year the Company has not entered into any contracts falling within the purview ofSections 297 and 299 of the Act
11 As there were no instances falling within the purview of Section 314 of the Act the Company has not obtained any approvals from the Board of directors members or Central Government
12 The Company has not issued any duplicate share certificates during the financial year
13 The Company
(i) has delivered all the certificates on lodgment thereof for transfer in accordance with the provisions of the Act during the financial year
(ii) has not effected any allotment ofsecurities during the financial year
(iii) has not deposited any amount in a separate Bank Account as no dividend was declared during the financial year
(iv) was not required to no dividend was declared during the financial
(v) has no unpaid d
(vi) has not issued eposits and hence the question of t-rinC~ matured deposits and the interest for a period ofseven
(vii)
14 The Board of appOintment of M~ V Suryanarayanan an was duly made through the of Mr V Suryanarayanan as Meeting held on 27th August 2010 to fill casual vacancy during the financial
15 The Company has not i rt-rr Manager during the financial year
16 The Company has not appointed any sole selling agents during the financial year
17 The Company was not required to obtain any approvals of the Central Government Company Law Board Regional Director Registrar and or such authorities prescribed under the various provisions of the Act during the financial year
18 The directors have disclosed their interest in other firms Companies to the Board of Directors pursuant to the provisions of the Act and the rules made there under
19 The Company has not issued any shares debentures or other securities during the financial year
20 The Company has not bought back any shares during the financial year and hence the qilestion of complying with the buy back provisions does not arise
KARTIK INVESTMENTS TRUST LIMITED
6
Continuation Sheet 8S R Sridharan ampAssociates Company Secretaries
IL65993TN1978PLC01291~
21 The Company has no preference share capital and has not issued debentures and hence the question of redemption of preference shares or debentures during the financial year does not arise
22 There were no transactions necessitating the Company to keep in abeyance the rights to dividend rights shares and bonus shares pending registration of transfer ofshares
23 The Company has not invited I accepted any deposits including any unsecured loans falling within the purview ofSection S8A during the financial year
24 The Company has not made any borrowings during the financial year
25 The Company is an investment Company and hence the provisions of Section 372A of the Companies Act 1956 is not applicable
26 The Company has not altered the provisions of the Memorandum of Association with respect to situation of the Companys registered office from one State to another during the financial year
27 The Company has not altered the provisions of the Memorandum of Association with respect to the objects of the Company
-28 The Company has not of the Company during
with respect to name
29 The Company has not capital of the Company
with respect to share
30 The Company has not
31 There was no prosecu fines or penalties or for offences under the
by the Company and no the financial year
32 The Company has no employees during the
as security from its
33 As per the information question ofcontribution
and hence the
PLACE CHENNAI DATE IgtI ~ lOI
KARnK INVESTMENTS TRUST UMITED
7 ---~-
Continuation Sheet os R Sridharan amp Associates Company Secretaries
IL65993TN1978PLC01291~
ANNEXURE A
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN197BPLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
REGISTERS AS MAINTAINED BY THE COMPANY
SI No Section Number Name of the Register
1 lOB Share Transfer Register
2 143
3 150
4 151
5 193
6 193
7 301
B 303
9 307
10
11
PLACE CHENNAI DATE rb oJQ)tI
For RSRIDHA COM
RSRIDHARAN CP No 3239
FCS No 4775
KARTIK INVESTMENTS TRUST UMITED
8
os Continuation SheetR Sridharan ampAssociates Company Secretaries
Il65993TN1978PlC01291~
ANNEXURE B
Name ofthe Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L6S993TN1978PLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
Returns Documents Forms filed with the Registrar of Companies Regional Director Central Government or other authorities during the financial year ended 315t March 2011
FOR THE FINANCIAL YEAR 2010-2011 [01042010 To 31032011]
REGISTRAR OF COMPANIES
SI No
1
2
3
4
S
Form No
66
23AC 23ACAamp
SchVI 20B
amp SchV
32
32
Relevant Section
383A
220
159
303
303
Description Date of filing
Whether filed
within prescribed
time YesNo
If delay in filing
whether requisite
additionaJ fee paid YesNo
NA
NA
YES
NA
NA
Remarks (SRN
11 rnot- Paid)
PS2913084 RssOO - (N)
PS2914223 RsSOO- (N)
P58727660 Rs500 - (N) RsSOO A83988428 RssOO- (N)
A94796232 RsSOO- (N)
REGIONAL DIRECTOR CENTRAL GOVERNMENT amp OTHER AUTHORITIES NIL
PLACE CHENtyI DATE 131 05(10 l
CS RSRIDHARAN CPNo 3239
FCS No 4775
KARTIK INVESTMENTS TRUST LIMITED
9-_--shy
5
10
15
20
25
30
List of Promoters of the Company belonging to the Murugappa Group pursuant to Regulation 3(1)(e)(i) of SEBI (Substantial Acquisition of Sharesamp Takeovers) Regulations 1997
NamesSI No EID Parry (India) Limited and subsidiaries
2 1
Silk Road Sugar Private Limited 3 New Ambadi Estates Private Limited amp subsidiaries 4 Ambadi Enterprises Limited amp subsidiaries
Tube Investments ofIndia Limited amp subsidiaries 6 Parry Estates Limited 7 Presmet Private Limited 8 Cholamandalam MS Risk Services Limited
Carborundum Universal Limited amp subsidiaries rds Private Limited amp subsidiaries
11
9 D
Coromandel Engineering Company Limited 12 Murugappa Educational amp Medical Foundation 13 AMM Arunachalam amp Sons Private Limited 14 AMM Vellayan Sons Private Limited
M M Muthiah Sons Private Limited 16 Murugappa amp Sons 17 Yelnoorkhan Group Estates 18 Kadamane Estates Company 19 MM Muthiah Research Foundation
A R Lakshmi Achi Trust 21 AMM Foundation 22 M V Murugappan amp Family 23 M V Subbiah amp Family 24 S Vellayan amp Family
A Vellayan amp Family 26 V Arunachalam amp Family 27 A Venkatachalam amp Family 28 M M Murugappan amp Family 29 M M Muthiah amp Family
M M Venkatachalam amp Family 31 UUottuu ~itluily 32 Arun Alagappan amp Family 33 M A M Arunachalam amp Family 34 Any company entity promoted or controlled by any of the above
Family for this purpose includes spouse dependent children and parents
10
GUHALAYA~ FlatB-7cSlianber girl tIC Jrabbakar No 262 (Old 179) Royapettah High Road
Mylapole Chennai - 600 004 Chartered Accountants Phone 2499298224991345
Fax 91-44-24997317
REPORT OF THE AUDITORS TO THE MEMBERS OF
KARTIK INVESTMENTS TRUST LIMITED
1 We have audited the attached Balance Sheet of KARTIK INVESTMENTS LIMITED as at 31 st March 2011 and also the Profrt and Loss Account for the year ended on that date annexed thereto and the Cash Flow Statement for the year ended on that date These financial statements are the responsibility of the Companys management dur responsibility is to express an opinion on these financial statements based on our audit
2 We conducted our audit in accordance with auditing standards generally accepted in India Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes examining on a test basis evidence supporting the amounts and disclosures in the financial statements An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation We believe that our audit provides a reasonable basis for our opinion
3 As required by the Companies (Auditors Report) Order 2003 as ilmended by the Companies (Auditors Report) (Amendment) Order 2004 (together the Order) issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act 1956 and on the basis of such checks of the books and records of the company we enclose in the Annexure a statement on the matters specified in paragraphs 4and 5ofthe said Order
4 Further to our comments in the Annexure referred to above we report that
(i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit
(ii) In our opinion proper books of accpunt as required by Law have been kept by the Company so far as appears from our examination of those books
(iii) the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books ofaCCOunt
(iv) In our opinion the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this Report comply with the accounting standards referred to in sub-section (3-C) of Section 211 of the Companies Ad 1956
(v) On the basis of the written representations received from the directors as on 31 5t March 2011 and taken on record by the Board of Directors we report that none of the directors is disqualified as on 31 st
March 2011 from being appointed as a directorin terms of clause (g) of sub-section (1) of section 274 ofthe Companies Act 1906
(vi) In our opinion and to the best ofour information and according to the explanations given to us the said accOunts together with the schedules attached thereto give the information required by the Companies Act 1956 in the manner so reqllired and gives a true and fair view in conformity with the accounting principles generally aCcepted in India a) in the case of the Balance Sheet of the state of affairs of the Company as at 31 sl March 2011 and b) in the case of the Profit and Loss Account of the profit for the year ended on that date and c) in so far a it relates to the Cash Flow Statell1(mt of the cash flows of the company for the year
ended on that date~
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number =03761S
PPRABHAKAR RAO CHENNAI 13OS) 2 81 Partner
Membership Number 18408
11
middotGUHALAYA~ Flat B-7c5lianber Siriamp PraMaiar No ~62 (Old 179) Royapettah High Road
Myapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
Annexure referred to in Paragraph 3 of the Auditors Report to the Members of Kartik Investments Trust Limited on the accounts for the year ended 31 st March 2011
(i) The Company does not have any fixed assets and hence reporting on the same does not arise
(ii) The Company is an Investment Company and does not hold any inventory and hence reporting on physical verification of inventory and maintenance of inventory records does not arise
(iii) The Company has neither granted nor taken any loans secured or unsecured to I from companies firms or other parties covered in the register maintained under section 301 of the Act
(iv) In our opinion and according to the information and explanations given to us the internal control system is commensurate with the size of the company and the nature of its business
(v) According to the information andmiddot explanations given to us there are no contracts or arrangements referred to in Section 301 of the Companies Act 1956 during the year that need to be entered in the register maintained unltler that Section
(vi) The Company has not accepted any deposits from the Public
(vii) The Company has no formal internal audit department as such However its control procedures ensure reasonable internal checking of its financial and other records
(viii) Maintenance of cost records have not been prescribed by the Central Govemment in respect of the business carried on by the Company
(ix) a) The Company is regular in depositing with appropriate authorities undisputed statutdry dues like InCome tax and Service tax The Company did not have any dues in respect of Provident Fund Employees State InsuranQe investor education protection fund sales tax wealth taxcOsf6m duty excise duty and cess
b) AcCording tathe information and explanation given to us there are no dues of sales tax income tax customs duty wealth taxservice tax excise duty and cess which have not been depositetJ on account of any dispute
(x) The Company has no accumulated losses as at 31 st March 2011 It has not incurred any cash loss during the year and duringJheimmediately preceding financial year
(xi) In our opinion and according to the information and explanations given to us the company has not defaulted in repayment df dues to any financial institution or bank The company has not issued any Debentures
(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of ihlres debentures and other securities
(xiii) The provisionsmiddot of any special statute applicable to chit fund I nidhi I mutual benefit fund I societies are nat applicable to the Company
12
middotGUHALAYA~ Flat B-7 rS6anJer Siri tl Pra6lialar No 2fj2 (Old 179) Royapettah High Road
Mylapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
(xiv) In our opinion and according to the information and explanations given to us the company has maintained proper records of the transactions and contracts relating to dealings in shares securities debentures and other investments and these are held by the company in its own name
(xv) According to the information and explanations given to us the Company has not given
guarantees for loans taken by others from bank or financial institutions
(xvi) The Company has not taken any Term Loans and hence reporting on the utilisation of such loans does not arise
(xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the company as at 31 st March 2011 we report that short term funds have not been used for long term investment
(xviii) The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section covered in the Register maintained under section 301 of the Companies Act 1956 shy
(xix) The Company has not issued any Debentures and hence the question of reporting on creation of security or charge in respect of Debentures issued does not arise
(xx) The Company has not raised any resources by way of public issues- and hence the question of reporting on the disclosure relating to end use of such resources does not arise
(xxi) During the course of our examination of the books and records of the company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us we have neither come across any instance of fraud on or by the company noticed or reported du~ng the year nor have we been informed of such case by the management
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number 03671S ~
~Y-~~d0~ Iti ~~(i(CHIIRTERED ~ll-lt CCOUtONlSIgt
PPRABHAKAR RAO 1 -t- )7 J ~ iPartner ~~- ~ r~ 1CHENNAI 13 I bS 2 0
Membership Number 18408 ~~~1f~~ ~--
13
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
CONTENTS
Notice to shareholders 1
Directors report 2
List of Promoters 10
Auditors Report 11
Balance Sheet 14
Profit and Loss account 15
Schedules to accounts 16
Cash flow statement 21
NOTICE TO THE SHAREHOLDERS
Notice is hereby given that the thirty third annual general meeting of the shareholders of Kartik Investments Trust Limited will be held at the Registered Office of the Company Parry House No43 Moore Street Chennai 600 001 at 4 pm on Wednesday the 31 st August 2011 to transact the following business
ORDINARY BUSINESS
1 To receive consider and adopt the audited Profit and Loss Account for the year ended 31 st March 2011 and the Balance Sheet as at that date and the Report of the Board of Directors and the Auditors thereon
2 To appoint a director in the place of Mr R Surendran Director who retires by rotation and being eligible offers himself for re-appointment
3 To appoint Mis Shanker Giri amp Prabhakar Chartered Accountants Chennai bearing registration nO003761S as auditors of the company to hold office from the conclusion of thirty third annual general meeting till the conclusion of the thirty fourth annual general meeting at a remuneration to be fixed by the Board
On behalf of the Board
Chennai SURESH KRISHNAN May 132011 DIRECTOR
NOTES
1 A member entitled to attend and vote at the above meeting may appoint one or more proxies to attend and vote instead of him The proxy need not be a member of the Company Proxy to be valid shall be deposited with the Company not later than forty eight hours before the time for holding the meeting
2 The Register of members and share transfer books will remain closed from Friday the 26th August 2011 to Wednesday the 31 st August 2011 (both days inclusive)
3 Members are requested to notify immediately any change in the address to the Registered Office ofthe Company
On behalf of the Board
Chennai SURESH KRISHNAN May 132011 DIRECTOR
1
DIRECTORS REPORT
Your directors present the thirty third annual report together with the audited accounts for the year ended 31 st March 2011
( Rs in lakhs) FINANCIAL RESULTS Year ended March
312011 Year ended March
312010 Income 217 2923 Expenses 122 365 Profit I(Loss) before taxation 095 2557 Profit I (Loss) after taxation 095 2190
OPERATIONS
During the year under review the gross income of the Company was at Rs217 lakhs as against Rs2923 lakhs (which includes the profit on sale of investments of Rs2710 lakhs) during the previous year The Company made a profit after tax of Rs095 lakhs as against Rs2190 lakhs during the previous year
DIRECTORS
Mr R Surendran Director retires by rotation at the ensuing annual general meeting and being eligible has offered himself for re-appointment
AUDITORS
MIs Shanker Giri and Prabhakar Chartered Accountants Chennai retire at the ensuing annual general meeting and are eligible for re-appointment
DIRECTORS RESPONSIBILITY STATEMENT
The Directors Responsibility Statement under Section 217 (2AA) of the Companies Act 1956 is attached and forms a part of the directors report
CERTIFICATE UNDER SECTION 383A OF THE COMPANIES ACT 1956
Certificate as required under Section 383A of the Companies Act 1956 being a report of secretarial audit by practicing company secretary is attacped with this report
CORPORATE GOVERNANCE
The Ministry of Corporate Affairs has issued Corporate Governance Voluntary Guidelines in December 2009 Some of the provisions of these guidelines are already in place and the other provisions of these guidelines are being evaluated and your Company will strive to adopt the same in a phased manner
J
2
GENERAL
During the year 31 st March 2011 there was no employee covered by the provisions of Section 217(2A) of the Companies Act 1956 There is no information to be disclosed under the Companies (Disclosure of Particulars in Report of Board of Directors) Rules 1988 in respect of particulars relating to Conservation of Energy Technology Absorption and Foreign Exchange Earnings and Outgo The Company does not accept public deposits There were no unclaimedoverdue deposits lying with the Company as on 31 st March 2011 The shares of your company are listed in The Bombay Stock Exchange Ltd
On behalf ofthe Board
Chennai RSURENDRAN May 132011 CHAIRMAN
3
DIRECTORS RESPONSIBILITY STATEMENT (Annexure to the directors report)
The Directors accept the responsibility for the integrity and objectivity of the Profit amp Loss
Account for the year ended 31 st March 20 II and the Balance Sheet as at that date (financial
statements) and confirm that
bull in the preparation of the financial statements the generally accepted accounting
principles (GAAP) of India and applicable accounting standards issued by the
Institute of Chartered Accountants of India have been followed
bull appropriate accounting policies have been selected and applied consistently and
judgments and estimates that are reasonable and prudent have been made so as to give
a true and fair view of the state of affairs of the company as at the end of the financial
year and of the profit of the company for that period
bull proper and sufficient care has been taken for the maintenance of adequate accounting
records in accordance with the provisions of the Companies Act 1956 for
safeguarding the assets of the company and for preventing and detecting fraud and
other irregularities To ensure this the company has established internal control
systems consistent with its size and nature of operations subject to the inherent
limitations that should be recognized in weighing the assurance provided by any such
system of internal controls These systems are reviewed and updated on an ongoing
basis
bull the financial statements have been prepared on a going concern basis
On behalf of the Board
Chennai RSURENDRAN May 132011 CHAIRMAN
4
New No5 (Old No12) Sivasailam Street
OS RSridharan amp Associates TNagar Chennai - 600 017 Company Secretaries Phone 421669884350299742555587
Telefax 044-42137082 email sribhavairtelmaiLin
aryesairtelmaiLin
Il65993TN1978PlC0129131
COMPLIANCE CERTIFICATE
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN1978PLC012913 Authorized Capital Rs 10000000shyPaid-up Capital Rs 2440000shy
To The Members MESSRS KARTIK INVESTMENTS TRUST LIMITED Parry House II Floor No43 Moore Street Chennai - 600 001
We have examined the LIMITED (the Company) 1956 (the Act) and the rules made there under d Articles ofAssociation of the Company for the n and to the best of our information and accordi furnished to us by the Company its officers
1 The Company has to this certificate as per the provisions been recorded
2 The Company has fi this certificate with the Registrar of Law Board or other authorities ~_n~~_
3 The Company is a Company is a listed
4 The Board of Directors met on 24th May 2010 28th October 2010 and 28th January 2011 in respect of which meetings notices were given and proceedings were recorded including the circular resolutions dated 7th April 2010 and 4th March 2011 in the Minutes Book maintained for the purpose
5 The Company closed its Register of Members from 23rd August 2010 to 27th August 2010 (both days indusive) and necessary compliance of Section 154 of the Act hasbeen made
6 The Thirty Second Annual General Meeting for the financial year ended 31st March 2010 was held on 27th August 2010 after giving notice to the members of the Company and the resolutions passed thereat were recorded in the Minutes Book maintained for the purpose
7 No Extra-ordinary general meeting was held during the financial year
8 The Company has not advanced any loans or given any guarantees or provided any securities to its directors or persons or firms or companies referred under Section 295 of the Act
9 The Company has not entered into any contracts falling within the purview of Section 297of(m6~r
KARnK INVESTMENTS TRUST LIMITED
5
Continuation Sheetos R Sridharan ampAssociates Company Secretaries
Il65993TN 1978PlC01291~
10 During the financial year the Company has not entered into any contracts falling within the purview ofSections 297 and 299 of the Act
11 As there were no instances falling within the purview of Section 314 of the Act the Company has not obtained any approvals from the Board of directors members or Central Government
12 The Company has not issued any duplicate share certificates during the financial year
13 The Company
(i) has delivered all the certificates on lodgment thereof for transfer in accordance with the provisions of the Act during the financial year
(ii) has not effected any allotment ofsecurities during the financial year
(iii) has not deposited any amount in a separate Bank Account as no dividend was declared during the financial year
(iv) was not required to no dividend was declared during the financial
(v) has no unpaid d
(vi) has not issued eposits and hence the question of t-rinC~ matured deposits and the interest for a period ofseven
(vii)
14 The Board of appOintment of M~ V Suryanarayanan an was duly made through the of Mr V Suryanarayanan as Meeting held on 27th August 2010 to fill casual vacancy during the financial
15 The Company has not i rt-rr Manager during the financial year
16 The Company has not appointed any sole selling agents during the financial year
17 The Company was not required to obtain any approvals of the Central Government Company Law Board Regional Director Registrar and or such authorities prescribed under the various provisions of the Act during the financial year
18 The directors have disclosed their interest in other firms Companies to the Board of Directors pursuant to the provisions of the Act and the rules made there under
19 The Company has not issued any shares debentures or other securities during the financial year
20 The Company has not bought back any shares during the financial year and hence the qilestion of complying with the buy back provisions does not arise
KARTIK INVESTMENTS TRUST LIMITED
6
Continuation Sheet 8S R Sridharan ampAssociates Company Secretaries
IL65993TN1978PLC01291~
21 The Company has no preference share capital and has not issued debentures and hence the question of redemption of preference shares or debentures during the financial year does not arise
22 There were no transactions necessitating the Company to keep in abeyance the rights to dividend rights shares and bonus shares pending registration of transfer ofshares
23 The Company has not invited I accepted any deposits including any unsecured loans falling within the purview ofSection S8A during the financial year
24 The Company has not made any borrowings during the financial year
25 The Company is an investment Company and hence the provisions of Section 372A of the Companies Act 1956 is not applicable
26 The Company has not altered the provisions of the Memorandum of Association with respect to situation of the Companys registered office from one State to another during the financial year
27 The Company has not altered the provisions of the Memorandum of Association with respect to the objects of the Company
-28 The Company has not of the Company during
with respect to name
29 The Company has not capital of the Company
with respect to share
30 The Company has not
31 There was no prosecu fines or penalties or for offences under the
by the Company and no the financial year
32 The Company has no employees during the
as security from its
33 As per the information question ofcontribution
and hence the
PLACE CHENNAI DATE IgtI ~ lOI
KARnK INVESTMENTS TRUST UMITED
7 ---~-
Continuation Sheet os R Sridharan amp Associates Company Secretaries
IL65993TN1978PLC01291~
ANNEXURE A
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN197BPLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
REGISTERS AS MAINTAINED BY THE COMPANY
SI No Section Number Name of the Register
1 lOB Share Transfer Register
2 143
3 150
4 151
5 193
6 193
7 301
B 303
9 307
10
11
PLACE CHENNAI DATE rb oJQ)tI
For RSRIDHA COM
RSRIDHARAN CP No 3239
FCS No 4775
KARTIK INVESTMENTS TRUST UMITED
8
os Continuation SheetR Sridharan ampAssociates Company Secretaries
Il65993TN1978PlC01291~
ANNEXURE B
Name ofthe Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L6S993TN1978PLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
Returns Documents Forms filed with the Registrar of Companies Regional Director Central Government or other authorities during the financial year ended 315t March 2011
FOR THE FINANCIAL YEAR 2010-2011 [01042010 To 31032011]
REGISTRAR OF COMPANIES
SI No
1
2
3
4
S
Form No
66
23AC 23ACAamp
SchVI 20B
amp SchV
32
32
Relevant Section
383A
220
159
303
303
Description Date of filing
Whether filed
within prescribed
time YesNo
If delay in filing
whether requisite
additionaJ fee paid YesNo
NA
NA
YES
NA
NA
Remarks (SRN
11 rnot- Paid)
PS2913084 RssOO - (N)
PS2914223 RsSOO- (N)
P58727660 Rs500 - (N) RsSOO A83988428 RssOO- (N)
A94796232 RsSOO- (N)
REGIONAL DIRECTOR CENTRAL GOVERNMENT amp OTHER AUTHORITIES NIL
PLACE CHENtyI DATE 131 05(10 l
CS RSRIDHARAN CPNo 3239
FCS No 4775
KARTIK INVESTMENTS TRUST LIMITED
9-_--shy
5
10
15
20
25
30
List of Promoters of the Company belonging to the Murugappa Group pursuant to Regulation 3(1)(e)(i) of SEBI (Substantial Acquisition of Sharesamp Takeovers) Regulations 1997
NamesSI No EID Parry (India) Limited and subsidiaries
2 1
Silk Road Sugar Private Limited 3 New Ambadi Estates Private Limited amp subsidiaries 4 Ambadi Enterprises Limited amp subsidiaries
Tube Investments ofIndia Limited amp subsidiaries 6 Parry Estates Limited 7 Presmet Private Limited 8 Cholamandalam MS Risk Services Limited
Carborundum Universal Limited amp subsidiaries rds Private Limited amp subsidiaries
11
9 D
Coromandel Engineering Company Limited 12 Murugappa Educational amp Medical Foundation 13 AMM Arunachalam amp Sons Private Limited 14 AMM Vellayan Sons Private Limited
M M Muthiah Sons Private Limited 16 Murugappa amp Sons 17 Yelnoorkhan Group Estates 18 Kadamane Estates Company 19 MM Muthiah Research Foundation
A R Lakshmi Achi Trust 21 AMM Foundation 22 M V Murugappan amp Family 23 M V Subbiah amp Family 24 S Vellayan amp Family
A Vellayan amp Family 26 V Arunachalam amp Family 27 A Venkatachalam amp Family 28 M M Murugappan amp Family 29 M M Muthiah amp Family
M M Venkatachalam amp Family 31 UUottuu ~itluily 32 Arun Alagappan amp Family 33 M A M Arunachalam amp Family 34 Any company entity promoted or controlled by any of the above
Family for this purpose includes spouse dependent children and parents
10
GUHALAYA~ FlatB-7cSlianber girl tIC Jrabbakar No 262 (Old 179) Royapettah High Road
Mylapole Chennai - 600 004 Chartered Accountants Phone 2499298224991345
Fax 91-44-24997317
REPORT OF THE AUDITORS TO THE MEMBERS OF
KARTIK INVESTMENTS TRUST LIMITED
1 We have audited the attached Balance Sheet of KARTIK INVESTMENTS LIMITED as at 31 st March 2011 and also the Profrt and Loss Account for the year ended on that date annexed thereto and the Cash Flow Statement for the year ended on that date These financial statements are the responsibility of the Companys management dur responsibility is to express an opinion on these financial statements based on our audit
2 We conducted our audit in accordance with auditing standards generally accepted in India Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes examining on a test basis evidence supporting the amounts and disclosures in the financial statements An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation We believe that our audit provides a reasonable basis for our opinion
3 As required by the Companies (Auditors Report) Order 2003 as ilmended by the Companies (Auditors Report) (Amendment) Order 2004 (together the Order) issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act 1956 and on the basis of such checks of the books and records of the company we enclose in the Annexure a statement on the matters specified in paragraphs 4and 5ofthe said Order
4 Further to our comments in the Annexure referred to above we report that
(i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit
(ii) In our opinion proper books of accpunt as required by Law have been kept by the Company so far as appears from our examination of those books
(iii) the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books ofaCCOunt
(iv) In our opinion the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this Report comply with the accounting standards referred to in sub-section (3-C) of Section 211 of the Companies Ad 1956
(v) On the basis of the written representations received from the directors as on 31 5t March 2011 and taken on record by the Board of Directors we report that none of the directors is disqualified as on 31 st
March 2011 from being appointed as a directorin terms of clause (g) of sub-section (1) of section 274 ofthe Companies Act 1906
(vi) In our opinion and to the best ofour information and according to the explanations given to us the said accOunts together with the schedules attached thereto give the information required by the Companies Act 1956 in the manner so reqllired and gives a true and fair view in conformity with the accounting principles generally aCcepted in India a) in the case of the Balance Sheet of the state of affairs of the Company as at 31 sl March 2011 and b) in the case of the Profit and Loss Account of the profit for the year ended on that date and c) in so far a it relates to the Cash Flow Statell1(mt of the cash flows of the company for the year
ended on that date~
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number =03761S
PPRABHAKAR RAO CHENNAI 13OS) 2 81 Partner
Membership Number 18408
11
middotGUHALAYA~ Flat B-7c5lianber Siriamp PraMaiar No ~62 (Old 179) Royapettah High Road
Myapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
Annexure referred to in Paragraph 3 of the Auditors Report to the Members of Kartik Investments Trust Limited on the accounts for the year ended 31 st March 2011
(i) The Company does not have any fixed assets and hence reporting on the same does not arise
(ii) The Company is an Investment Company and does not hold any inventory and hence reporting on physical verification of inventory and maintenance of inventory records does not arise
(iii) The Company has neither granted nor taken any loans secured or unsecured to I from companies firms or other parties covered in the register maintained under section 301 of the Act
(iv) In our opinion and according to the information and explanations given to us the internal control system is commensurate with the size of the company and the nature of its business
(v) According to the information andmiddot explanations given to us there are no contracts or arrangements referred to in Section 301 of the Companies Act 1956 during the year that need to be entered in the register maintained unltler that Section
(vi) The Company has not accepted any deposits from the Public
(vii) The Company has no formal internal audit department as such However its control procedures ensure reasonable internal checking of its financial and other records
(viii) Maintenance of cost records have not been prescribed by the Central Govemment in respect of the business carried on by the Company
(ix) a) The Company is regular in depositing with appropriate authorities undisputed statutdry dues like InCome tax and Service tax The Company did not have any dues in respect of Provident Fund Employees State InsuranQe investor education protection fund sales tax wealth taxcOsf6m duty excise duty and cess
b) AcCording tathe information and explanation given to us there are no dues of sales tax income tax customs duty wealth taxservice tax excise duty and cess which have not been depositetJ on account of any dispute
(x) The Company has no accumulated losses as at 31 st March 2011 It has not incurred any cash loss during the year and duringJheimmediately preceding financial year
(xi) In our opinion and according to the information and explanations given to us the company has not defaulted in repayment df dues to any financial institution or bank The company has not issued any Debentures
(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of ihlres debentures and other securities
(xiii) The provisionsmiddot of any special statute applicable to chit fund I nidhi I mutual benefit fund I societies are nat applicable to the Company
12
middotGUHALAYA~ Flat B-7 rS6anJer Siri tl Pra6lialar No 2fj2 (Old 179) Royapettah High Road
Mylapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
(xiv) In our opinion and according to the information and explanations given to us the company has maintained proper records of the transactions and contracts relating to dealings in shares securities debentures and other investments and these are held by the company in its own name
(xv) According to the information and explanations given to us the Company has not given
guarantees for loans taken by others from bank or financial institutions
(xvi) The Company has not taken any Term Loans and hence reporting on the utilisation of such loans does not arise
(xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the company as at 31 st March 2011 we report that short term funds have not been used for long term investment
(xviii) The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section covered in the Register maintained under section 301 of the Companies Act 1956 shy
(xix) The Company has not issued any Debentures and hence the question of reporting on creation of security or charge in respect of Debentures issued does not arise
(xx) The Company has not raised any resources by way of public issues- and hence the question of reporting on the disclosure relating to end use of such resources does not arise
(xxi) During the course of our examination of the books and records of the company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us we have neither come across any instance of fraud on or by the company noticed or reported du~ng the year nor have we been informed of such case by the management
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number 03671S ~
~Y-~~d0~ Iti ~~(i(CHIIRTERED ~ll-lt CCOUtONlSIgt
PPRABHAKAR RAO 1 -t- )7 J ~ iPartner ~~- ~ r~ 1CHENNAI 13 I bS 2 0
Membership Number 18408 ~~~1f~~ ~--
13
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
NOTICE TO THE SHAREHOLDERS
Notice is hereby given that the thirty third annual general meeting of the shareholders of Kartik Investments Trust Limited will be held at the Registered Office of the Company Parry House No43 Moore Street Chennai 600 001 at 4 pm on Wednesday the 31 st August 2011 to transact the following business
ORDINARY BUSINESS
1 To receive consider and adopt the audited Profit and Loss Account for the year ended 31 st March 2011 and the Balance Sheet as at that date and the Report of the Board of Directors and the Auditors thereon
2 To appoint a director in the place of Mr R Surendran Director who retires by rotation and being eligible offers himself for re-appointment
3 To appoint Mis Shanker Giri amp Prabhakar Chartered Accountants Chennai bearing registration nO003761S as auditors of the company to hold office from the conclusion of thirty third annual general meeting till the conclusion of the thirty fourth annual general meeting at a remuneration to be fixed by the Board
On behalf of the Board
Chennai SURESH KRISHNAN May 132011 DIRECTOR
NOTES
1 A member entitled to attend and vote at the above meeting may appoint one or more proxies to attend and vote instead of him The proxy need not be a member of the Company Proxy to be valid shall be deposited with the Company not later than forty eight hours before the time for holding the meeting
2 The Register of members and share transfer books will remain closed from Friday the 26th August 2011 to Wednesday the 31 st August 2011 (both days inclusive)
3 Members are requested to notify immediately any change in the address to the Registered Office ofthe Company
On behalf of the Board
Chennai SURESH KRISHNAN May 132011 DIRECTOR
1
DIRECTORS REPORT
Your directors present the thirty third annual report together with the audited accounts for the year ended 31 st March 2011
( Rs in lakhs) FINANCIAL RESULTS Year ended March
312011 Year ended March
312010 Income 217 2923 Expenses 122 365 Profit I(Loss) before taxation 095 2557 Profit I (Loss) after taxation 095 2190
OPERATIONS
During the year under review the gross income of the Company was at Rs217 lakhs as against Rs2923 lakhs (which includes the profit on sale of investments of Rs2710 lakhs) during the previous year The Company made a profit after tax of Rs095 lakhs as against Rs2190 lakhs during the previous year
DIRECTORS
Mr R Surendran Director retires by rotation at the ensuing annual general meeting and being eligible has offered himself for re-appointment
AUDITORS
MIs Shanker Giri and Prabhakar Chartered Accountants Chennai retire at the ensuing annual general meeting and are eligible for re-appointment
DIRECTORS RESPONSIBILITY STATEMENT
The Directors Responsibility Statement under Section 217 (2AA) of the Companies Act 1956 is attached and forms a part of the directors report
CERTIFICATE UNDER SECTION 383A OF THE COMPANIES ACT 1956
Certificate as required under Section 383A of the Companies Act 1956 being a report of secretarial audit by practicing company secretary is attacped with this report
CORPORATE GOVERNANCE
The Ministry of Corporate Affairs has issued Corporate Governance Voluntary Guidelines in December 2009 Some of the provisions of these guidelines are already in place and the other provisions of these guidelines are being evaluated and your Company will strive to adopt the same in a phased manner
J
2
GENERAL
During the year 31 st March 2011 there was no employee covered by the provisions of Section 217(2A) of the Companies Act 1956 There is no information to be disclosed under the Companies (Disclosure of Particulars in Report of Board of Directors) Rules 1988 in respect of particulars relating to Conservation of Energy Technology Absorption and Foreign Exchange Earnings and Outgo The Company does not accept public deposits There were no unclaimedoverdue deposits lying with the Company as on 31 st March 2011 The shares of your company are listed in The Bombay Stock Exchange Ltd
On behalf ofthe Board
Chennai RSURENDRAN May 132011 CHAIRMAN
3
DIRECTORS RESPONSIBILITY STATEMENT (Annexure to the directors report)
The Directors accept the responsibility for the integrity and objectivity of the Profit amp Loss
Account for the year ended 31 st March 20 II and the Balance Sheet as at that date (financial
statements) and confirm that
bull in the preparation of the financial statements the generally accepted accounting
principles (GAAP) of India and applicable accounting standards issued by the
Institute of Chartered Accountants of India have been followed
bull appropriate accounting policies have been selected and applied consistently and
judgments and estimates that are reasonable and prudent have been made so as to give
a true and fair view of the state of affairs of the company as at the end of the financial
year and of the profit of the company for that period
bull proper and sufficient care has been taken for the maintenance of adequate accounting
records in accordance with the provisions of the Companies Act 1956 for
safeguarding the assets of the company and for preventing and detecting fraud and
other irregularities To ensure this the company has established internal control
systems consistent with its size and nature of operations subject to the inherent
limitations that should be recognized in weighing the assurance provided by any such
system of internal controls These systems are reviewed and updated on an ongoing
basis
bull the financial statements have been prepared on a going concern basis
On behalf of the Board
Chennai RSURENDRAN May 132011 CHAIRMAN
4
New No5 (Old No12) Sivasailam Street
OS RSridharan amp Associates TNagar Chennai - 600 017 Company Secretaries Phone 421669884350299742555587
Telefax 044-42137082 email sribhavairtelmaiLin
aryesairtelmaiLin
Il65993TN1978PlC0129131
COMPLIANCE CERTIFICATE
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN1978PLC012913 Authorized Capital Rs 10000000shyPaid-up Capital Rs 2440000shy
To The Members MESSRS KARTIK INVESTMENTS TRUST LIMITED Parry House II Floor No43 Moore Street Chennai - 600 001
We have examined the LIMITED (the Company) 1956 (the Act) and the rules made there under d Articles ofAssociation of the Company for the n and to the best of our information and accordi furnished to us by the Company its officers
1 The Company has to this certificate as per the provisions been recorded
2 The Company has fi this certificate with the Registrar of Law Board or other authorities ~_n~~_
3 The Company is a Company is a listed
4 The Board of Directors met on 24th May 2010 28th October 2010 and 28th January 2011 in respect of which meetings notices were given and proceedings were recorded including the circular resolutions dated 7th April 2010 and 4th March 2011 in the Minutes Book maintained for the purpose
5 The Company closed its Register of Members from 23rd August 2010 to 27th August 2010 (both days indusive) and necessary compliance of Section 154 of the Act hasbeen made
6 The Thirty Second Annual General Meeting for the financial year ended 31st March 2010 was held on 27th August 2010 after giving notice to the members of the Company and the resolutions passed thereat were recorded in the Minutes Book maintained for the purpose
7 No Extra-ordinary general meeting was held during the financial year
8 The Company has not advanced any loans or given any guarantees or provided any securities to its directors or persons or firms or companies referred under Section 295 of the Act
9 The Company has not entered into any contracts falling within the purview of Section 297of(m6~r
KARnK INVESTMENTS TRUST LIMITED
5
Continuation Sheetos R Sridharan ampAssociates Company Secretaries
Il65993TN 1978PlC01291~
10 During the financial year the Company has not entered into any contracts falling within the purview ofSections 297 and 299 of the Act
11 As there were no instances falling within the purview of Section 314 of the Act the Company has not obtained any approvals from the Board of directors members or Central Government
12 The Company has not issued any duplicate share certificates during the financial year
13 The Company
(i) has delivered all the certificates on lodgment thereof for transfer in accordance with the provisions of the Act during the financial year
(ii) has not effected any allotment ofsecurities during the financial year
(iii) has not deposited any amount in a separate Bank Account as no dividend was declared during the financial year
(iv) was not required to no dividend was declared during the financial
(v) has no unpaid d
(vi) has not issued eposits and hence the question of t-rinC~ matured deposits and the interest for a period ofseven
(vii)
14 The Board of appOintment of M~ V Suryanarayanan an was duly made through the of Mr V Suryanarayanan as Meeting held on 27th August 2010 to fill casual vacancy during the financial
15 The Company has not i rt-rr Manager during the financial year
16 The Company has not appointed any sole selling agents during the financial year
17 The Company was not required to obtain any approvals of the Central Government Company Law Board Regional Director Registrar and or such authorities prescribed under the various provisions of the Act during the financial year
18 The directors have disclosed their interest in other firms Companies to the Board of Directors pursuant to the provisions of the Act and the rules made there under
19 The Company has not issued any shares debentures or other securities during the financial year
20 The Company has not bought back any shares during the financial year and hence the qilestion of complying with the buy back provisions does not arise
KARTIK INVESTMENTS TRUST LIMITED
6
Continuation Sheet 8S R Sridharan ampAssociates Company Secretaries
IL65993TN1978PLC01291~
21 The Company has no preference share capital and has not issued debentures and hence the question of redemption of preference shares or debentures during the financial year does not arise
22 There were no transactions necessitating the Company to keep in abeyance the rights to dividend rights shares and bonus shares pending registration of transfer ofshares
23 The Company has not invited I accepted any deposits including any unsecured loans falling within the purview ofSection S8A during the financial year
24 The Company has not made any borrowings during the financial year
25 The Company is an investment Company and hence the provisions of Section 372A of the Companies Act 1956 is not applicable
26 The Company has not altered the provisions of the Memorandum of Association with respect to situation of the Companys registered office from one State to another during the financial year
27 The Company has not altered the provisions of the Memorandum of Association with respect to the objects of the Company
-28 The Company has not of the Company during
with respect to name
29 The Company has not capital of the Company
with respect to share
30 The Company has not
31 There was no prosecu fines or penalties or for offences under the
by the Company and no the financial year
32 The Company has no employees during the
as security from its
33 As per the information question ofcontribution
and hence the
PLACE CHENNAI DATE IgtI ~ lOI
KARnK INVESTMENTS TRUST UMITED
7 ---~-
Continuation Sheet os R Sridharan amp Associates Company Secretaries
IL65993TN1978PLC01291~
ANNEXURE A
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN197BPLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
REGISTERS AS MAINTAINED BY THE COMPANY
SI No Section Number Name of the Register
1 lOB Share Transfer Register
2 143
3 150
4 151
5 193
6 193
7 301
B 303
9 307
10
11
PLACE CHENNAI DATE rb oJQ)tI
For RSRIDHA COM
RSRIDHARAN CP No 3239
FCS No 4775
KARTIK INVESTMENTS TRUST UMITED
8
os Continuation SheetR Sridharan ampAssociates Company Secretaries
Il65993TN1978PlC01291~
ANNEXURE B
Name ofthe Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L6S993TN1978PLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
Returns Documents Forms filed with the Registrar of Companies Regional Director Central Government or other authorities during the financial year ended 315t March 2011
FOR THE FINANCIAL YEAR 2010-2011 [01042010 To 31032011]
REGISTRAR OF COMPANIES
SI No
1
2
3
4
S
Form No
66
23AC 23ACAamp
SchVI 20B
amp SchV
32
32
Relevant Section
383A
220
159
303
303
Description Date of filing
Whether filed
within prescribed
time YesNo
If delay in filing
whether requisite
additionaJ fee paid YesNo
NA
NA
YES
NA
NA
Remarks (SRN
11 rnot- Paid)
PS2913084 RssOO - (N)
PS2914223 RsSOO- (N)
P58727660 Rs500 - (N) RsSOO A83988428 RssOO- (N)
A94796232 RsSOO- (N)
REGIONAL DIRECTOR CENTRAL GOVERNMENT amp OTHER AUTHORITIES NIL
PLACE CHENtyI DATE 131 05(10 l
CS RSRIDHARAN CPNo 3239
FCS No 4775
KARTIK INVESTMENTS TRUST LIMITED
9-_--shy
5
10
15
20
25
30
List of Promoters of the Company belonging to the Murugappa Group pursuant to Regulation 3(1)(e)(i) of SEBI (Substantial Acquisition of Sharesamp Takeovers) Regulations 1997
NamesSI No EID Parry (India) Limited and subsidiaries
2 1
Silk Road Sugar Private Limited 3 New Ambadi Estates Private Limited amp subsidiaries 4 Ambadi Enterprises Limited amp subsidiaries
Tube Investments ofIndia Limited amp subsidiaries 6 Parry Estates Limited 7 Presmet Private Limited 8 Cholamandalam MS Risk Services Limited
Carborundum Universal Limited amp subsidiaries rds Private Limited amp subsidiaries
11
9 D
Coromandel Engineering Company Limited 12 Murugappa Educational amp Medical Foundation 13 AMM Arunachalam amp Sons Private Limited 14 AMM Vellayan Sons Private Limited
M M Muthiah Sons Private Limited 16 Murugappa amp Sons 17 Yelnoorkhan Group Estates 18 Kadamane Estates Company 19 MM Muthiah Research Foundation
A R Lakshmi Achi Trust 21 AMM Foundation 22 M V Murugappan amp Family 23 M V Subbiah amp Family 24 S Vellayan amp Family
A Vellayan amp Family 26 V Arunachalam amp Family 27 A Venkatachalam amp Family 28 M M Murugappan amp Family 29 M M Muthiah amp Family
M M Venkatachalam amp Family 31 UUottuu ~itluily 32 Arun Alagappan amp Family 33 M A M Arunachalam amp Family 34 Any company entity promoted or controlled by any of the above
Family for this purpose includes spouse dependent children and parents
10
GUHALAYA~ FlatB-7cSlianber girl tIC Jrabbakar No 262 (Old 179) Royapettah High Road
Mylapole Chennai - 600 004 Chartered Accountants Phone 2499298224991345
Fax 91-44-24997317
REPORT OF THE AUDITORS TO THE MEMBERS OF
KARTIK INVESTMENTS TRUST LIMITED
1 We have audited the attached Balance Sheet of KARTIK INVESTMENTS LIMITED as at 31 st March 2011 and also the Profrt and Loss Account for the year ended on that date annexed thereto and the Cash Flow Statement for the year ended on that date These financial statements are the responsibility of the Companys management dur responsibility is to express an opinion on these financial statements based on our audit
2 We conducted our audit in accordance with auditing standards generally accepted in India Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes examining on a test basis evidence supporting the amounts and disclosures in the financial statements An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation We believe that our audit provides a reasonable basis for our opinion
3 As required by the Companies (Auditors Report) Order 2003 as ilmended by the Companies (Auditors Report) (Amendment) Order 2004 (together the Order) issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act 1956 and on the basis of such checks of the books and records of the company we enclose in the Annexure a statement on the matters specified in paragraphs 4and 5ofthe said Order
4 Further to our comments in the Annexure referred to above we report that
(i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit
(ii) In our opinion proper books of accpunt as required by Law have been kept by the Company so far as appears from our examination of those books
(iii) the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books ofaCCOunt
(iv) In our opinion the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this Report comply with the accounting standards referred to in sub-section (3-C) of Section 211 of the Companies Ad 1956
(v) On the basis of the written representations received from the directors as on 31 5t March 2011 and taken on record by the Board of Directors we report that none of the directors is disqualified as on 31 st
March 2011 from being appointed as a directorin terms of clause (g) of sub-section (1) of section 274 ofthe Companies Act 1906
(vi) In our opinion and to the best ofour information and according to the explanations given to us the said accOunts together with the schedules attached thereto give the information required by the Companies Act 1956 in the manner so reqllired and gives a true and fair view in conformity with the accounting principles generally aCcepted in India a) in the case of the Balance Sheet of the state of affairs of the Company as at 31 sl March 2011 and b) in the case of the Profit and Loss Account of the profit for the year ended on that date and c) in so far a it relates to the Cash Flow Statell1(mt of the cash flows of the company for the year
ended on that date~
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number =03761S
PPRABHAKAR RAO CHENNAI 13OS) 2 81 Partner
Membership Number 18408
11
middotGUHALAYA~ Flat B-7c5lianber Siriamp PraMaiar No ~62 (Old 179) Royapettah High Road
Myapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
Annexure referred to in Paragraph 3 of the Auditors Report to the Members of Kartik Investments Trust Limited on the accounts for the year ended 31 st March 2011
(i) The Company does not have any fixed assets and hence reporting on the same does not arise
(ii) The Company is an Investment Company and does not hold any inventory and hence reporting on physical verification of inventory and maintenance of inventory records does not arise
(iii) The Company has neither granted nor taken any loans secured or unsecured to I from companies firms or other parties covered in the register maintained under section 301 of the Act
(iv) In our opinion and according to the information and explanations given to us the internal control system is commensurate with the size of the company and the nature of its business
(v) According to the information andmiddot explanations given to us there are no contracts or arrangements referred to in Section 301 of the Companies Act 1956 during the year that need to be entered in the register maintained unltler that Section
(vi) The Company has not accepted any deposits from the Public
(vii) The Company has no formal internal audit department as such However its control procedures ensure reasonable internal checking of its financial and other records
(viii) Maintenance of cost records have not been prescribed by the Central Govemment in respect of the business carried on by the Company
(ix) a) The Company is regular in depositing with appropriate authorities undisputed statutdry dues like InCome tax and Service tax The Company did not have any dues in respect of Provident Fund Employees State InsuranQe investor education protection fund sales tax wealth taxcOsf6m duty excise duty and cess
b) AcCording tathe information and explanation given to us there are no dues of sales tax income tax customs duty wealth taxservice tax excise duty and cess which have not been depositetJ on account of any dispute
(x) The Company has no accumulated losses as at 31 st March 2011 It has not incurred any cash loss during the year and duringJheimmediately preceding financial year
(xi) In our opinion and according to the information and explanations given to us the company has not defaulted in repayment df dues to any financial institution or bank The company has not issued any Debentures
(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of ihlres debentures and other securities
(xiii) The provisionsmiddot of any special statute applicable to chit fund I nidhi I mutual benefit fund I societies are nat applicable to the Company
12
middotGUHALAYA~ Flat B-7 rS6anJer Siri tl Pra6lialar No 2fj2 (Old 179) Royapettah High Road
Mylapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
(xiv) In our opinion and according to the information and explanations given to us the company has maintained proper records of the transactions and contracts relating to dealings in shares securities debentures and other investments and these are held by the company in its own name
(xv) According to the information and explanations given to us the Company has not given
guarantees for loans taken by others from bank or financial institutions
(xvi) The Company has not taken any Term Loans and hence reporting on the utilisation of such loans does not arise
(xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the company as at 31 st March 2011 we report that short term funds have not been used for long term investment
(xviii) The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section covered in the Register maintained under section 301 of the Companies Act 1956 shy
(xix) The Company has not issued any Debentures and hence the question of reporting on creation of security or charge in respect of Debentures issued does not arise
(xx) The Company has not raised any resources by way of public issues- and hence the question of reporting on the disclosure relating to end use of such resources does not arise
(xxi) During the course of our examination of the books and records of the company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us we have neither come across any instance of fraud on or by the company noticed or reported du~ng the year nor have we been informed of such case by the management
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number 03671S ~
~Y-~~d0~ Iti ~~(i(CHIIRTERED ~ll-lt CCOUtONlSIgt
PPRABHAKAR RAO 1 -t- )7 J ~ iPartner ~~- ~ r~ 1CHENNAI 13 I bS 2 0
Membership Number 18408 ~~~1f~~ ~--
13
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
DIRECTORS REPORT
Your directors present the thirty third annual report together with the audited accounts for the year ended 31 st March 2011
( Rs in lakhs) FINANCIAL RESULTS Year ended March
312011 Year ended March
312010 Income 217 2923 Expenses 122 365 Profit I(Loss) before taxation 095 2557 Profit I (Loss) after taxation 095 2190
OPERATIONS
During the year under review the gross income of the Company was at Rs217 lakhs as against Rs2923 lakhs (which includes the profit on sale of investments of Rs2710 lakhs) during the previous year The Company made a profit after tax of Rs095 lakhs as against Rs2190 lakhs during the previous year
DIRECTORS
Mr R Surendran Director retires by rotation at the ensuing annual general meeting and being eligible has offered himself for re-appointment
AUDITORS
MIs Shanker Giri and Prabhakar Chartered Accountants Chennai retire at the ensuing annual general meeting and are eligible for re-appointment
DIRECTORS RESPONSIBILITY STATEMENT
The Directors Responsibility Statement under Section 217 (2AA) of the Companies Act 1956 is attached and forms a part of the directors report
CERTIFICATE UNDER SECTION 383A OF THE COMPANIES ACT 1956
Certificate as required under Section 383A of the Companies Act 1956 being a report of secretarial audit by practicing company secretary is attacped with this report
CORPORATE GOVERNANCE
The Ministry of Corporate Affairs has issued Corporate Governance Voluntary Guidelines in December 2009 Some of the provisions of these guidelines are already in place and the other provisions of these guidelines are being evaluated and your Company will strive to adopt the same in a phased manner
J
2
GENERAL
During the year 31 st March 2011 there was no employee covered by the provisions of Section 217(2A) of the Companies Act 1956 There is no information to be disclosed under the Companies (Disclosure of Particulars in Report of Board of Directors) Rules 1988 in respect of particulars relating to Conservation of Energy Technology Absorption and Foreign Exchange Earnings and Outgo The Company does not accept public deposits There were no unclaimedoverdue deposits lying with the Company as on 31 st March 2011 The shares of your company are listed in The Bombay Stock Exchange Ltd
On behalf ofthe Board
Chennai RSURENDRAN May 132011 CHAIRMAN
3
DIRECTORS RESPONSIBILITY STATEMENT (Annexure to the directors report)
The Directors accept the responsibility for the integrity and objectivity of the Profit amp Loss
Account for the year ended 31 st March 20 II and the Balance Sheet as at that date (financial
statements) and confirm that
bull in the preparation of the financial statements the generally accepted accounting
principles (GAAP) of India and applicable accounting standards issued by the
Institute of Chartered Accountants of India have been followed
bull appropriate accounting policies have been selected and applied consistently and
judgments and estimates that are reasonable and prudent have been made so as to give
a true and fair view of the state of affairs of the company as at the end of the financial
year and of the profit of the company for that period
bull proper and sufficient care has been taken for the maintenance of adequate accounting
records in accordance with the provisions of the Companies Act 1956 for
safeguarding the assets of the company and for preventing and detecting fraud and
other irregularities To ensure this the company has established internal control
systems consistent with its size and nature of operations subject to the inherent
limitations that should be recognized in weighing the assurance provided by any such
system of internal controls These systems are reviewed and updated on an ongoing
basis
bull the financial statements have been prepared on a going concern basis
On behalf of the Board
Chennai RSURENDRAN May 132011 CHAIRMAN
4
New No5 (Old No12) Sivasailam Street
OS RSridharan amp Associates TNagar Chennai - 600 017 Company Secretaries Phone 421669884350299742555587
Telefax 044-42137082 email sribhavairtelmaiLin
aryesairtelmaiLin
Il65993TN1978PlC0129131
COMPLIANCE CERTIFICATE
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN1978PLC012913 Authorized Capital Rs 10000000shyPaid-up Capital Rs 2440000shy
To The Members MESSRS KARTIK INVESTMENTS TRUST LIMITED Parry House II Floor No43 Moore Street Chennai - 600 001
We have examined the LIMITED (the Company) 1956 (the Act) and the rules made there under d Articles ofAssociation of the Company for the n and to the best of our information and accordi furnished to us by the Company its officers
1 The Company has to this certificate as per the provisions been recorded
2 The Company has fi this certificate with the Registrar of Law Board or other authorities ~_n~~_
3 The Company is a Company is a listed
4 The Board of Directors met on 24th May 2010 28th October 2010 and 28th January 2011 in respect of which meetings notices were given and proceedings were recorded including the circular resolutions dated 7th April 2010 and 4th March 2011 in the Minutes Book maintained for the purpose
5 The Company closed its Register of Members from 23rd August 2010 to 27th August 2010 (both days indusive) and necessary compliance of Section 154 of the Act hasbeen made
6 The Thirty Second Annual General Meeting for the financial year ended 31st March 2010 was held on 27th August 2010 after giving notice to the members of the Company and the resolutions passed thereat were recorded in the Minutes Book maintained for the purpose
7 No Extra-ordinary general meeting was held during the financial year
8 The Company has not advanced any loans or given any guarantees or provided any securities to its directors or persons or firms or companies referred under Section 295 of the Act
9 The Company has not entered into any contracts falling within the purview of Section 297of(m6~r
KARnK INVESTMENTS TRUST LIMITED
5
Continuation Sheetos R Sridharan ampAssociates Company Secretaries
Il65993TN 1978PlC01291~
10 During the financial year the Company has not entered into any contracts falling within the purview ofSections 297 and 299 of the Act
11 As there were no instances falling within the purview of Section 314 of the Act the Company has not obtained any approvals from the Board of directors members or Central Government
12 The Company has not issued any duplicate share certificates during the financial year
13 The Company
(i) has delivered all the certificates on lodgment thereof for transfer in accordance with the provisions of the Act during the financial year
(ii) has not effected any allotment ofsecurities during the financial year
(iii) has not deposited any amount in a separate Bank Account as no dividend was declared during the financial year
(iv) was not required to no dividend was declared during the financial
(v) has no unpaid d
(vi) has not issued eposits and hence the question of t-rinC~ matured deposits and the interest for a period ofseven
(vii)
14 The Board of appOintment of M~ V Suryanarayanan an was duly made through the of Mr V Suryanarayanan as Meeting held on 27th August 2010 to fill casual vacancy during the financial
15 The Company has not i rt-rr Manager during the financial year
16 The Company has not appointed any sole selling agents during the financial year
17 The Company was not required to obtain any approvals of the Central Government Company Law Board Regional Director Registrar and or such authorities prescribed under the various provisions of the Act during the financial year
18 The directors have disclosed their interest in other firms Companies to the Board of Directors pursuant to the provisions of the Act and the rules made there under
19 The Company has not issued any shares debentures or other securities during the financial year
20 The Company has not bought back any shares during the financial year and hence the qilestion of complying with the buy back provisions does not arise
KARTIK INVESTMENTS TRUST LIMITED
6
Continuation Sheet 8S R Sridharan ampAssociates Company Secretaries
IL65993TN1978PLC01291~
21 The Company has no preference share capital and has not issued debentures and hence the question of redemption of preference shares or debentures during the financial year does not arise
22 There were no transactions necessitating the Company to keep in abeyance the rights to dividend rights shares and bonus shares pending registration of transfer ofshares
23 The Company has not invited I accepted any deposits including any unsecured loans falling within the purview ofSection S8A during the financial year
24 The Company has not made any borrowings during the financial year
25 The Company is an investment Company and hence the provisions of Section 372A of the Companies Act 1956 is not applicable
26 The Company has not altered the provisions of the Memorandum of Association with respect to situation of the Companys registered office from one State to another during the financial year
27 The Company has not altered the provisions of the Memorandum of Association with respect to the objects of the Company
-28 The Company has not of the Company during
with respect to name
29 The Company has not capital of the Company
with respect to share
30 The Company has not
31 There was no prosecu fines or penalties or for offences under the
by the Company and no the financial year
32 The Company has no employees during the
as security from its
33 As per the information question ofcontribution
and hence the
PLACE CHENNAI DATE IgtI ~ lOI
KARnK INVESTMENTS TRUST UMITED
7 ---~-
Continuation Sheet os R Sridharan amp Associates Company Secretaries
IL65993TN1978PLC01291~
ANNEXURE A
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN197BPLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
REGISTERS AS MAINTAINED BY THE COMPANY
SI No Section Number Name of the Register
1 lOB Share Transfer Register
2 143
3 150
4 151
5 193
6 193
7 301
B 303
9 307
10
11
PLACE CHENNAI DATE rb oJQ)tI
For RSRIDHA COM
RSRIDHARAN CP No 3239
FCS No 4775
KARTIK INVESTMENTS TRUST UMITED
8
os Continuation SheetR Sridharan ampAssociates Company Secretaries
Il65993TN1978PlC01291~
ANNEXURE B
Name ofthe Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L6S993TN1978PLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
Returns Documents Forms filed with the Registrar of Companies Regional Director Central Government or other authorities during the financial year ended 315t March 2011
FOR THE FINANCIAL YEAR 2010-2011 [01042010 To 31032011]
REGISTRAR OF COMPANIES
SI No
1
2
3
4
S
Form No
66
23AC 23ACAamp
SchVI 20B
amp SchV
32
32
Relevant Section
383A
220
159
303
303
Description Date of filing
Whether filed
within prescribed
time YesNo
If delay in filing
whether requisite
additionaJ fee paid YesNo
NA
NA
YES
NA
NA
Remarks (SRN
11 rnot- Paid)
PS2913084 RssOO - (N)
PS2914223 RsSOO- (N)
P58727660 Rs500 - (N) RsSOO A83988428 RssOO- (N)
A94796232 RsSOO- (N)
REGIONAL DIRECTOR CENTRAL GOVERNMENT amp OTHER AUTHORITIES NIL
PLACE CHENtyI DATE 131 05(10 l
CS RSRIDHARAN CPNo 3239
FCS No 4775
KARTIK INVESTMENTS TRUST LIMITED
9-_--shy
5
10
15
20
25
30
List of Promoters of the Company belonging to the Murugappa Group pursuant to Regulation 3(1)(e)(i) of SEBI (Substantial Acquisition of Sharesamp Takeovers) Regulations 1997
NamesSI No EID Parry (India) Limited and subsidiaries
2 1
Silk Road Sugar Private Limited 3 New Ambadi Estates Private Limited amp subsidiaries 4 Ambadi Enterprises Limited amp subsidiaries
Tube Investments ofIndia Limited amp subsidiaries 6 Parry Estates Limited 7 Presmet Private Limited 8 Cholamandalam MS Risk Services Limited
Carborundum Universal Limited amp subsidiaries rds Private Limited amp subsidiaries
11
9 D
Coromandel Engineering Company Limited 12 Murugappa Educational amp Medical Foundation 13 AMM Arunachalam amp Sons Private Limited 14 AMM Vellayan Sons Private Limited
M M Muthiah Sons Private Limited 16 Murugappa amp Sons 17 Yelnoorkhan Group Estates 18 Kadamane Estates Company 19 MM Muthiah Research Foundation
A R Lakshmi Achi Trust 21 AMM Foundation 22 M V Murugappan amp Family 23 M V Subbiah amp Family 24 S Vellayan amp Family
A Vellayan amp Family 26 V Arunachalam amp Family 27 A Venkatachalam amp Family 28 M M Murugappan amp Family 29 M M Muthiah amp Family
M M Venkatachalam amp Family 31 UUottuu ~itluily 32 Arun Alagappan amp Family 33 M A M Arunachalam amp Family 34 Any company entity promoted or controlled by any of the above
Family for this purpose includes spouse dependent children and parents
10
GUHALAYA~ FlatB-7cSlianber girl tIC Jrabbakar No 262 (Old 179) Royapettah High Road
Mylapole Chennai - 600 004 Chartered Accountants Phone 2499298224991345
Fax 91-44-24997317
REPORT OF THE AUDITORS TO THE MEMBERS OF
KARTIK INVESTMENTS TRUST LIMITED
1 We have audited the attached Balance Sheet of KARTIK INVESTMENTS LIMITED as at 31 st March 2011 and also the Profrt and Loss Account for the year ended on that date annexed thereto and the Cash Flow Statement for the year ended on that date These financial statements are the responsibility of the Companys management dur responsibility is to express an opinion on these financial statements based on our audit
2 We conducted our audit in accordance with auditing standards generally accepted in India Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes examining on a test basis evidence supporting the amounts and disclosures in the financial statements An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation We believe that our audit provides a reasonable basis for our opinion
3 As required by the Companies (Auditors Report) Order 2003 as ilmended by the Companies (Auditors Report) (Amendment) Order 2004 (together the Order) issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act 1956 and on the basis of such checks of the books and records of the company we enclose in the Annexure a statement on the matters specified in paragraphs 4and 5ofthe said Order
4 Further to our comments in the Annexure referred to above we report that
(i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit
(ii) In our opinion proper books of accpunt as required by Law have been kept by the Company so far as appears from our examination of those books
(iii) the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books ofaCCOunt
(iv) In our opinion the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this Report comply with the accounting standards referred to in sub-section (3-C) of Section 211 of the Companies Ad 1956
(v) On the basis of the written representations received from the directors as on 31 5t March 2011 and taken on record by the Board of Directors we report that none of the directors is disqualified as on 31 st
March 2011 from being appointed as a directorin terms of clause (g) of sub-section (1) of section 274 ofthe Companies Act 1906
(vi) In our opinion and to the best ofour information and according to the explanations given to us the said accOunts together with the schedules attached thereto give the information required by the Companies Act 1956 in the manner so reqllired and gives a true and fair view in conformity with the accounting principles generally aCcepted in India a) in the case of the Balance Sheet of the state of affairs of the Company as at 31 sl March 2011 and b) in the case of the Profit and Loss Account of the profit for the year ended on that date and c) in so far a it relates to the Cash Flow Statell1(mt of the cash flows of the company for the year
ended on that date~
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number =03761S
PPRABHAKAR RAO CHENNAI 13OS) 2 81 Partner
Membership Number 18408
11
middotGUHALAYA~ Flat B-7c5lianber Siriamp PraMaiar No ~62 (Old 179) Royapettah High Road
Myapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
Annexure referred to in Paragraph 3 of the Auditors Report to the Members of Kartik Investments Trust Limited on the accounts for the year ended 31 st March 2011
(i) The Company does not have any fixed assets and hence reporting on the same does not arise
(ii) The Company is an Investment Company and does not hold any inventory and hence reporting on physical verification of inventory and maintenance of inventory records does not arise
(iii) The Company has neither granted nor taken any loans secured or unsecured to I from companies firms or other parties covered in the register maintained under section 301 of the Act
(iv) In our opinion and according to the information and explanations given to us the internal control system is commensurate with the size of the company and the nature of its business
(v) According to the information andmiddot explanations given to us there are no contracts or arrangements referred to in Section 301 of the Companies Act 1956 during the year that need to be entered in the register maintained unltler that Section
(vi) The Company has not accepted any deposits from the Public
(vii) The Company has no formal internal audit department as such However its control procedures ensure reasonable internal checking of its financial and other records
(viii) Maintenance of cost records have not been prescribed by the Central Govemment in respect of the business carried on by the Company
(ix) a) The Company is regular in depositing with appropriate authorities undisputed statutdry dues like InCome tax and Service tax The Company did not have any dues in respect of Provident Fund Employees State InsuranQe investor education protection fund sales tax wealth taxcOsf6m duty excise duty and cess
b) AcCording tathe information and explanation given to us there are no dues of sales tax income tax customs duty wealth taxservice tax excise duty and cess which have not been depositetJ on account of any dispute
(x) The Company has no accumulated losses as at 31 st March 2011 It has not incurred any cash loss during the year and duringJheimmediately preceding financial year
(xi) In our opinion and according to the information and explanations given to us the company has not defaulted in repayment df dues to any financial institution or bank The company has not issued any Debentures
(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of ihlres debentures and other securities
(xiii) The provisionsmiddot of any special statute applicable to chit fund I nidhi I mutual benefit fund I societies are nat applicable to the Company
12
middotGUHALAYA~ Flat B-7 rS6anJer Siri tl Pra6lialar No 2fj2 (Old 179) Royapettah High Road
Mylapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
(xiv) In our opinion and according to the information and explanations given to us the company has maintained proper records of the transactions and contracts relating to dealings in shares securities debentures and other investments and these are held by the company in its own name
(xv) According to the information and explanations given to us the Company has not given
guarantees for loans taken by others from bank or financial institutions
(xvi) The Company has not taken any Term Loans and hence reporting on the utilisation of such loans does not arise
(xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the company as at 31 st March 2011 we report that short term funds have not been used for long term investment
(xviii) The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section covered in the Register maintained under section 301 of the Companies Act 1956 shy
(xix) The Company has not issued any Debentures and hence the question of reporting on creation of security or charge in respect of Debentures issued does not arise
(xx) The Company has not raised any resources by way of public issues- and hence the question of reporting on the disclosure relating to end use of such resources does not arise
(xxi) During the course of our examination of the books and records of the company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us we have neither come across any instance of fraud on or by the company noticed or reported du~ng the year nor have we been informed of such case by the management
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number 03671S ~
~Y-~~d0~ Iti ~~(i(CHIIRTERED ~ll-lt CCOUtONlSIgt
PPRABHAKAR RAO 1 -t- )7 J ~ iPartner ~~- ~ r~ 1CHENNAI 13 I bS 2 0
Membership Number 18408 ~~~1f~~ ~--
13
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
GENERAL
During the year 31 st March 2011 there was no employee covered by the provisions of Section 217(2A) of the Companies Act 1956 There is no information to be disclosed under the Companies (Disclosure of Particulars in Report of Board of Directors) Rules 1988 in respect of particulars relating to Conservation of Energy Technology Absorption and Foreign Exchange Earnings and Outgo The Company does not accept public deposits There were no unclaimedoverdue deposits lying with the Company as on 31 st March 2011 The shares of your company are listed in The Bombay Stock Exchange Ltd
On behalf ofthe Board
Chennai RSURENDRAN May 132011 CHAIRMAN
3
DIRECTORS RESPONSIBILITY STATEMENT (Annexure to the directors report)
The Directors accept the responsibility for the integrity and objectivity of the Profit amp Loss
Account for the year ended 31 st March 20 II and the Balance Sheet as at that date (financial
statements) and confirm that
bull in the preparation of the financial statements the generally accepted accounting
principles (GAAP) of India and applicable accounting standards issued by the
Institute of Chartered Accountants of India have been followed
bull appropriate accounting policies have been selected and applied consistently and
judgments and estimates that are reasonable and prudent have been made so as to give
a true and fair view of the state of affairs of the company as at the end of the financial
year and of the profit of the company for that period
bull proper and sufficient care has been taken for the maintenance of adequate accounting
records in accordance with the provisions of the Companies Act 1956 for
safeguarding the assets of the company and for preventing and detecting fraud and
other irregularities To ensure this the company has established internal control
systems consistent with its size and nature of operations subject to the inherent
limitations that should be recognized in weighing the assurance provided by any such
system of internal controls These systems are reviewed and updated on an ongoing
basis
bull the financial statements have been prepared on a going concern basis
On behalf of the Board
Chennai RSURENDRAN May 132011 CHAIRMAN
4
New No5 (Old No12) Sivasailam Street
OS RSridharan amp Associates TNagar Chennai - 600 017 Company Secretaries Phone 421669884350299742555587
Telefax 044-42137082 email sribhavairtelmaiLin
aryesairtelmaiLin
Il65993TN1978PlC0129131
COMPLIANCE CERTIFICATE
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN1978PLC012913 Authorized Capital Rs 10000000shyPaid-up Capital Rs 2440000shy
To The Members MESSRS KARTIK INVESTMENTS TRUST LIMITED Parry House II Floor No43 Moore Street Chennai - 600 001
We have examined the LIMITED (the Company) 1956 (the Act) and the rules made there under d Articles ofAssociation of the Company for the n and to the best of our information and accordi furnished to us by the Company its officers
1 The Company has to this certificate as per the provisions been recorded
2 The Company has fi this certificate with the Registrar of Law Board or other authorities ~_n~~_
3 The Company is a Company is a listed
4 The Board of Directors met on 24th May 2010 28th October 2010 and 28th January 2011 in respect of which meetings notices were given and proceedings were recorded including the circular resolutions dated 7th April 2010 and 4th March 2011 in the Minutes Book maintained for the purpose
5 The Company closed its Register of Members from 23rd August 2010 to 27th August 2010 (both days indusive) and necessary compliance of Section 154 of the Act hasbeen made
6 The Thirty Second Annual General Meeting for the financial year ended 31st March 2010 was held on 27th August 2010 after giving notice to the members of the Company and the resolutions passed thereat were recorded in the Minutes Book maintained for the purpose
7 No Extra-ordinary general meeting was held during the financial year
8 The Company has not advanced any loans or given any guarantees or provided any securities to its directors or persons or firms or companies referred under Section 295 of the Act
9 The Company has not entered into any contracts falling within the purview of Section 297of(m6~r
KARnK INVESTMENTS TRUST LIMITED
5
Continuation Sheetos R Sridharan ampAssociates Company Secretaries
Il65993TN 1978PlC01291~
10 During the financial year the Company has not entered into any contracts falling within the purview ofSections 297 and 299 of the Act
11 As there were no instances falling within the purview of Section 314 of the Act the Company has not obtained any approvals from the Board of directors members or Central Government
12 The Company has not issued any duplicate share certificates during the financial year
13 The Company
(i) has delivered all the certificates on lodgment thereof for transfer in accordance with the provisions of the Act during the financial year
(ii) has not effected any allotment ofsecurities during the financial year
(iii) has not deposited any amount in a separate Bank Account as no dividend was declared during the financial year
(iv) was not required to no dividend was declared during the financial
(v) has no unpaid d
(vi) has not issued eposits and hence the question of t-rinC~ matured deposits and the interest for a period ofseven
(vii)
14 The Board of appOintment of M~ V Suryanarayanan an was duly made through the of Mr V Suryanarayanan as Meeting held on 27th August 2010 to fill casual vacancy during the financial
15 The Company has not i rt-rr Manager during the financial year
16 The Company has not appointed any sole selling agents during the financial year
17 The Company was not required to obtain any approvals of the Central Government Company Law Board Regional Director Registrar and or such authorities prescribed under the various provisions of the Act during the financial year
18 The directors have disclosed their interest in other firms Companies to the Board of Directors pursuant to the provisions of the Act and the rules made there under
19 The Company has not issued any shares debentures or other securities during the financial year
20 The Company has not bought back any shares during the financial year and hence the qilestion of complying with the buy back provisions does not arise
KARTIK INVESTMENTS TRUST LIMITED
6
Continuation Sheet 8S R Sridharan ampAssociates Company Secretaries
IL65993TN1978PLC01291~
21 The Company has no preference share capital and has not issued debentures and hence the question of redemption of preference shares or debentures during the financial year does not arise
22 There were no transactions necessitating the Company to keep in abeyance the rights to dividend rights shares and bonus shares pending registration of transfer ofshares
23 The Company has not invited I accepted any deposits including any unsecured loans falling within the purview ofSection S8A during the financial year
24 The Company has not made any borrowings during the financial year
25 The Company is an investment Company and hence the provisions of Section 372A of the Companies Act 1956 is not applicable
26 The Company has not altered the provisions of the Memorandum of Association with respect to situation of the Companys registered office from one State to another during the financial year
27 The Company has not altered the provisions of the Memorandum of Association with respect to the objects of the Company
-28 The Company has not of the Company during
with respect to name
29 The Company has not capital of the Company
with respect to share
30 The Company has not
31 There was no prosecu fines or penalties or for offences under the
by the Company and no the financial year
32 The Company has no employees during the
as security from its
33 As per the information question ofcontribution
and hence the
PLACE CHENNAI DATE IgtI ~ lOI
KARnK INVESTMENTS TRUST UMITED
7 ---~-
Continuation Sheet os R Sridharan amp Associates Company Secretaries
IL65993TN1978PLC01291~
ANNEXURE A
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN197BPLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
REGISTERS AS MAINTAINED BY THE COMPANY
SI No Section Number Name of the Register
1 lOB Share Transfer Register
2 143
3 150
4 151
5 193
6 193
7 301
B 303
9 307
10
11
PLACE CHENNAI DATE rb oJQ)tI
For RSRIDHA COM
RSRIDHARAN CP No 3239
FCS No 4775
KARTIK INVESTMENTS TRUST UMITED
8
os Continuation SheetR Sridharan ampAssociates Company Secretaries
Il65993TN1978PlC01291~
ANNEXURE B
Name ofthe Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L6S993TN1978PLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
Returns Documents Forms filed with the Registrar of Companies Regional Director Central Government or other authorities during the financial year ended 315t March 2011
FOR THE FINANCIAL YEAR 2010-2011 [01042010 To 31032011]
REGISTRAR OF COMPANIES
SI No
1
2
3
4
S
Form No
66
23AC 23ACAamp
SchVI 20B
amp SchV
32
32
Relevant Section
383A
220
159
303
303
Description Date of filing
Whether filed
within prescribed
time YesNo
If delay in filing
whether requisite
additionaJ fee paid YesNo
NA
NA
YES
NA
NA
Remarks (SRN
11 rnot- Paid)
PS2913084 RssOO - (N)
PS2914223 RsSOO- (N)
P58727660 Rs500 - (N) RsSOO A83988428 RssOO- (N)
A94796232 RsSOO- (N)
REGIONAL DIRECTOR CENTRAL GOVERNMENT amp OTHER AUTHORITIES NIL
PLACE CHENtyI DATE 131 05(10 l
CS RSRIDHARAN CPNo 3239
FCS No 4775
KARTIK INVESTMENTS TRUST LIMITED
9-_--shy
5
10
15
20
25
30
List of Promoters of the Company belonging to the Murugappa Group pursuant to Regulation 3(1)(e)(i) of SEBI (Substantial Acquisition of Sharesamp Takeovers) Regulations 1997
NamesSI No EID Parry (India) Limited and subsidiaries
2 1
Silk Road Sugar Private Limited 3 New Ambadi Estates Private Limited amp subsidiaries 4 Ambadi Enterprises Limited amp subsidiaries
Tube Investments ofIndia Limited amp subsidiaries 6 Parry Estates Limited 7 Presmet Private Limited 8 Cholamandalam MS Risk Services Limited
Carborundum Universal Limited amp subsidiaries rds Private Limited amp subsidiaries
11
9 D
Coromandel Engineering Company Limited 12 Murugappa Educational amp Medical Foundation 13 AMM Arunachalam amp Sons Private Limited 14 AMM Vellayan Sons Private Limited
M M Muthiah Sons Private Limited 16 Murugappa amp Sons 17 Yelnoorkhan Group Estates 18 Kadamane Estates Company 19 MM Muthiah Research Foundation
A R Lakshmi Achi Trust 21 AMM Foundation 22 M V Murugappan amp Family 23 M V Subbiah amp Family 24 S Vellayan amp Family
A Vellayan amp Family 26 V Arunachalam amp Family 27 A Venkatachalam amp Family 28 M M Murugappan amp Family 29 M M Muthiah amp Family
M M Venkatachalam amp Family 31 UUottuu ~itluily 32 Arun Alagappan amp Family 33 M A M Arunachalam amp Family 34 Any company entity promoted or controlled by any of the above
Family for this purpose includes spouse dependent children and parents
10
GUHALAYA~ FlatB-7cSlianber girl tIC Jrabbakar No 262 (Old 179) Royapettah High Road
Mylapole Chennai - 600 004 Chartered Accountants Phone 2499298224991345
Fax 91-44-24997317
REPORT OF THE AUDITORS TO THE MEMBERS OF
KARTIK INVESTMENTS TRUST LIMITED
1 We have audited the attached Balance Sheet of KARTIK INVESTMENTS LIMITED as at 31 st March 2011 and also the Profrt and Loss Account for the year ended on that date annexed thereto and the Cash Flow Statement for the year ended on that date These financial statements are the responsibility of the Companys management dur responsibility is to express an opinion on these financial statements based on our audit
2 We conducted our audit in accordance with auditing standards generally accepted in India Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes examining on a test basis evidence supporting the amounts and disclosures in the financial statements An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation We believe that our audit provides a reasonable basis for our opinion
3 As required by the Companies (Auditors Report) Order 2003 as ilmended by the Companies (Auditors Report) (Amendment) Order 2004 (together the Order) issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act 1956 and on the basis of such checks of the books and records of the company we enclose in the Annexure a statement on the matters specified in paragraphs 4and 5ofthe said Order
4 Further to our comments in the Annexure referred to above we report that
(i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit
(ii) In our opinion proper books of accpunt as required by Law have been kept by the Company so far as appears from our examination of those books
(iii) the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books ofaCCOunt
(iv) In our opinion the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this Report comply with the accounting standards referred to in sub-section (3-C) of Section 211 of the Companies Ad 1956
(v) On the basis of the written representations received from the directors as on 31 5t March 2011 and taken on record by the Board of Directors we report that none of the directors is disqualified as on 31 st
March 2011 from being appointed as a directorin terms of clause (g) of sub-section (1) of section 274 ofthe Companies Act 1906
(vi) In our opinion and to the best ofour information and according to the explanations given to us the said accOunts together with the schedules attached thereto give the information required by the Companies Act 1956 in the manner so reqllired and gives a true and fair view in conformity with the accounting principles generally aCcepted in India a) in the case of the Balance Sheet of the state of affairs of the Company as at 31 sl March 2011 and b) in the case of the Profit and Loss Account of the profit for the year ended on that date and c) in so far a it relates to the Cash Flow Statell1(mt of the cash flows of the company for the year
ended on that date~
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number =03761S
PPRABHAKAR RAO CHENNAI 13OS) 2 81 Partner
Membership Number 18408
11
middotGUHALAYA~ Flat B-7c5lianber Siriamp PraMaiar No ~62 (Old 179) Royapettah High Road
Myapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
Annexure referred to in Paragraph 3 of the Auditors Report to the Members of Kartik Investments Trust Limited on the accounts for the year ended 31 st March 2011
(i) The Company does not have any fixed assets and hence reporting on the same does not arise
(ii) The Company is an Investment Company and does not hold any inventory and hence reporting on physical verification of inventory and maintenance of inventory records does not arise
(iii) The Company has neither granted nor taken any loans secured or unsecured to I from companies firms or other parties covered in the register maintained under section 301 of the Act
(iv) In our opinion and according to the information and explanations given to us the internal control system is commensurate with the size of the company and the nature of its business
(v) According to the information andmiddot explanations given to us there are no contracts or arrangements referred to in Section 301 of the Companies Act 1956 during the year that need to be entered in the register maintained unltler that Section
(vi) The Company has not accepted any deposits from the Public
(vii) The Company has no formal internal audit department as such However its control procedures ensure reasonable internal checking of its financial and other records
(viii) Maintenance of cost records have not been prescribed by the Central Govemment in respect of the business carried on by the Company
(ix) a) The Company is regular in depositing with appropriate authorities undisputed statutdry dues like InCome tax and Service tax The Company did not have any dues in respect of Provident Fund Employees State InsuranQe investor education protection fund sales tax wealth taxcOsf6m duty excise duty and cess
b) AcCording tathe information and explanation given to us there are no dues of sales tax income tax customs duty wealth taxservice tax excise duty and cess which have not been depositetJ on account of any dispute
(x) The Company has no accumulated losses as at 31 st March 2011 It has not incurred any cash loss during the year and duringJheimmediately preceding financial year
(xi) In our opinion and according to the information and explanations given to us the company has not defaulted in repayment df dues to any financial institution or bank The company has not issued any Debentures
(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of ihlres debentures and other securities
(xiii) The provisionsmiddot of any special statute applicable to chit fund I nidhi I mutual benefit fund I societies are nat applicable to the Company
12
middotGUHALAYA~ Flat B-7 rS6anJer Siri tl Pra6lialar No 2fj2 (Old 179) Royapettah High Road
Mylapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
(xiv) In our opinion and according to the information and explanations given to us the company has maintained proper records of the transactions and contracts relating to dealings in shares securities debentures and other investments and these are held by the company in its own name
(xv) According to the information and explanations given to us the Company has not given
guarantees for loans taken by others from bank or financial institutions
(xvi) The Company has not taken any Term Loans and hence reporting on the utilisation of such loans does not arise
(xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the company as at 31 st March 2011 we report that short term funds have not been used for long term investment
(xviii) The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section covered in the Register maintained under section 301 of the Companies Act 1956 shy
(xix) The Company has not issued any Debentures and hence the question of reporting on creation of security or charge in respect of Debentures issued does not arise
(xx) The Company has not raised any resources by way of public issues- and hence the question of reporting on the disclosure relating to end use of such resources does not arise
(xxi) During the course of our examination of the books and records of the company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us we have neither come across any instance of fraud on or by the company noticed or reported du~ng the year nor have we been informed of such case by the management
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number 03671S ~
~Y-~~d0~ Iti ~~(i(CHIIRTERED ~ll-lt CCOUtONlSIgt
PPRABHAKAR RAO 1 -t- )7 J ~ iPartner ~~- ~ r~ 1CHENNAI 13 I bS 2 0
Membership Number 18408 ~~~1f~~ ~--
13
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
DIRECTORS RESPONSIBILITY STATEMENT (Annexure to the directors report)
The Directors accept the responsibility for the integrity and objectivity of the Profit amp Loss
Account for the year ended 31 st March 20 II and the Balance Sheet as at that date (financial
statements) and confirm that
bull in the preparation of the financial statements the generally accepted accounting
principles (GAAP) of India and applicable accounting standards issued by the
Institute of Chartered Accountants of India have been followed
bull appropriate accounting policies have been selected and applied consistently and
judgments and estimates that are reasonable and prudent have been made so as to give
a true and fair view of the state of affairs of the company as at the end of the financial
year and of the profit of the company for that period
bull proper and sufficient care has been taken for the maintenance of adequate accounting
records in accordance with the provisions of the Companies Act 1956 for
safeguarding the assets of the company and for preventing and detecting fraud and
other irregularities To ensure this the company has established internal control
systems consistent with its size and nature of operations subject to the inherent
limitations that should be recognized in weighing the assurance provided by any such
system of internal controls These systems are reviewed and updated on an ongoing
basis
bull the financial statements have been prepared on a going concern basis
On behalf of the Board
Chennai RSURENDRAN May 132011 CHAIRMAN
4
New No5 (Old No12) Sivasailam Street
OS RSridharan amp Associates TNagar Chennai - 600 017 Company Secretaries Phone 421669884350299742555587
Telefax 044-42137082 email sribhavairtelmaiLin
aryesairtelmaiLin
Il65993TN1978PlC0129131
COMPLIANCE CERTIFICATE
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN1978PLC012913 Authorized Capital Rs 10000000shyPaid-up Capital Rs 2440000shy
To The Members MESSRS KARTIK INVESTMENTS TRUST LIMITED Parry House II Floor No43 Moore Street Chennai - 600 001
We have examined the LIMITED (the Company) 1956 (the Act) and the rules made there under d Articles ofAssociation of the Company for the n and to the best of our information and accordi furnished to us by the Company its officers
1 The Company has to this certificate as per the provisions been recorded
2 The Company has fi this certificate with the Registrar of Law Board or other authorities ~_n~~_
3 The Company is a Company is a listed
4 The Board of Directors met on 24th May 2010 28th October 2010 and 28th January 2011 in respect of which meetings notices were given and proceedings were recorded including the circular resolutions dated 7th April 2010 and 4th March 2011 in the Minutes Book maintained for the purpose
5 The Company closed its Register of Members from 23rd August 2010 to 27th August 2010 (both days indusive) and necessary compliance of Section 154 of the Act hasbeen made
6 The Thirty Second Annual General Meeting for the financial year ended 31st March 2010 was held on 27th August 2010 after giving notice to the members of the Company and the resolutions passed thereat were recorded in the Minutes Book maintained for the purpose
7 No Extra-ordinary general meeting was held during the financial year
8 The Company has not advanced any loans or given any guarantees or provided any securities to its directors or persons or firms or companies referred under Section 295 of the Act
9 The Company has not entered into any contracts falling within the purview of Section 297of(m6~r
KARnK INVESTMENTS TRUST LIMITED
5
Continuation Sheetos R Sridharan ampAssociates Company Secretaries
Il65993TN 1978PlC01291~
10 During the financial year the Company has not entered into any contracts falling within the purview ofSections 297 and 299 of the Act
11 As there were no instances falling within the purview of Section 314 of the Act the Company has not obtained any approvals from the Board of directors members or Central Government
12 The Company has not issued any duplicate share certificates during the financial year
13 The Company
(i) has delivered all the certificates on lodgment thereof for transfer in accordance with the provisions of the Act during the financial year
(ii) has not effected any allotment ofsecurities during the financial year
(iii) has not deposited any amount in a separate Bank Account as no dividend was declared during the financial year
(iv) was not required to no dividend was declared during the financial
(v) has no unpaid d
(vi) has not issued eposits and hence the question of t-rinC~ matured deposits and the interest for a period ofseven
(vii)
14 The Board of appOintment of M~ V Suryanarayanan an was duly made through the of Mr V Suryanarayanan as Meeting held on 27th August 2010 to fill casual vacancy during the financial
15 The Company has not i rt-rr Manager during the financial year
16 The Company has not appointed any sole selling agents during the financial year
17 The Company was not required to obtain any approvals of the Central Government Company Law Board Regional Director Registrar and or such authorities prescribed under the various provisions of the Act during the financial year
18 The directors have disclosed their interest in other firms Companies to the Board of Directors pursuant to the provisions of the Act and the rules made there under
19 The Company has not issued any shares debentures or other securities during the financial year
20 The Company has not bought back any shares during the financial year and hence the qilestion of complying with the buy back provisions does not arise
KARTIK INVESTMENTS TRUST LIMITED
6
Continuation Sheet 8S R Sridharan ampAssociates Company Secretaries
IL65993TN1978PLC01291~
21 The Company has no preference share capital and has not issued debentures and hence the question of redemption of preference shares or debentures during the financial year does not arise
22 There were no transactions necessitating the Company to keep in abeyance the rights to dividend rights shares and bonus shares pending registration of transfer ofshares
23 The Company has not invited I accepted any deposits including any unsecured loans falling within the purview ofSection S8A during the financial year
24 The Company has not made any borrowings during the financial year
25 The Company is an investment Company and hence the provisions of Section 372A of the Companies Act 1956 is not applicable
26 The Company has not altered the provisions of the Memorandum of Association with respect to situation of the Companys registered office from one State to another during the financial year
27 The Company has not altered the provisions of the Memorandum of Association with respect to the objects of the Company
-28 The Company has not of the Company during
with respect to name
29 The Company has not capital of the Company
with respect to share
30 The Company has not
31 There was no prosecu fines or penalties or for offences under the
by the Company and no the financial year
32 The Company has no employees during the
as security from its
33 As per the information question ofcontribution
and hence the
PLACE CHENNAI DATE IgtI ~ lOI
KARnK INVESTMENTS TRUST UMITED
7 ---~-
Continuation Sheet os R Sridharan amp Associates Company Secretaries
IL65993TN1978PLC01291~
ANNEXURE A
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN197BPLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
REGISTERS AS MAINTAINED BY THE COMPANY
SI No Section Number Name of the Register
1 lOB Share Transfer Register
2 143
3 150
4 151
5 193
6 193
7 301
B 303
9 307
10
11
PLACE CHENNAI DATE rb oJQ)tI
For RSRIDHA COM
RSRIDHARAN CP No 3239
FCS No 4775
KARTIK INVESTMENTS TRUST UMITED
8
os Continuation SheetR Sridharan ampAssociates Company Secretaries
Il65993TN1978PlC01291~
ANNEXURE B
Name ofthe Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L6S993TN1978PLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
Returns Documents Forms filed with the Registrar of Companies Regional Director Central Government or other authorities during the financial year ended 315t March 2011
FOR THE FINANCIAL YEAR 2010-2011 [01042010 To 31032011]
REGISTRAR OF COMPANIES
SI No
1
2
3
4
S
Form No
66
23AC 23ACAamp
SchVI 20B
amp SchV
32
32
Relevant Section
383A
220
159
303
303
Description Date of filing
Whether filed
within prescribed
time YesNo
If delay in filing
whether requisite
additionaJ fee paid YesNo
NA
NA
YES
NA
NA
Remarks (SRN
11 rnot- Paid)
PS2913084 RssOO - (N)
PS2914223 RsSOO- (N)
P58727660 Rs500 - (N) RsSOO A83988428 RssOO- (N)
A94796232 RsSOO- (N)
REGIONAL DIRECTOR CENTRAL GOVERNMENT amp OTHER AUTHORITIES NIL
PLACE CHENtyI DATE 131 05(10 l
CS RSRIDHARAN CPNo 3239
FCS No 4775
KARTIK INVESTMENTS TRUST LIMITED
9-_--shy
5
10
15
20
25
30
List of Promoters of the Company belonging to the Murugappa Group pursuant to Regulation 3(1)(e)(i) of SEBI (Substantial Acquisition of Sharesamp Takeovers) Regulations 1997
NamesSI No EID Parry (India) Limited and subsidiaries
2 1
Silk Road Sugar Private Limited 3 New Ambadi Estates Private Limited amp subsidiaries 4 Ambadi Enterprises Limited amp subsidiaries
Tube Investments ofIndia Limited amp subsidiaries 6 Parry Estates Limited 7 Presmet Private Limited 8 Cholamandalam MS Risk Services Limited
Carborundum Universal Limited amp subsidiaries rds Private Limited amp subsidiaries
11
9 D
Coromandel Engineering Company Limited 12 Murugappa Educational amp Medical Foundation 13 AMM Arunachalam amp Sons Private Limited 14 AMM Vellayan Sons Private Limited
M M Muthiah Sons Private Limited 16 Murugappa amp Sons 17 Yelnoorkhan Group Estates 18 Kadamane Estates Company 19 MM Muthiah Research Foundation
A R Lakshmi Achi Trust 21 AMM Foundation 22 M V Murugappan amp Family 23 M V Subbiah amp Family 24 S Vellayan amp Family
A Vellayan amp Family 26 V Arunachalam amp Family 27 A Venkatachalam amp Family 28 M M Murugappan amp Family 29 M M Muthiah amp Family
M M Venkatachalam amp Family 31 UUottuu ~itluily 32 Arun Alagappan amp Family 33 M A M Arunachalam amp Family 34 Any company entity promoted or controlled by any of the above
Family for this purpose includes spouse dependent children and parents
10
GUHALAYA~ FlatB-7cSlianber girl tIC Jrabbakar No 262 (Old 179) Royapettah High Road
Mylapole Chennai - 600 004 Chartered Accountants Phone 2499298224991345
Fax 91-44-24997317
REPORT OF THE AUDITORS TO THE MEMBERS OF
KARTIK INVESTMENTS TRUST LIMITED
1 We have audited the attached Balance Sheet of KARTIK INVESTMENTS LIMITED as at 31 st March 2011 and also the Profrt and Loss Account for the year ended on that date annexed thereto and the Cash Flow Statement for the year ended on that date These financial statements are the responsibility of the Companys management dur responsibility is to express an opinion on these financial statements based on our audit
2 We conducted our audit in accordance with auditing standards generally accepted in India Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes examining on a test basis evidence supporting the amounts and disclosures in the financial statements An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation We believe that our audit provides a reasonable basis for our opinion
3 As required by the Companies (Auditors Report) Order 2003 as ilmended by the Companies (Auditors Report) (Amendment) Order 2004 (together the Order) issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act 1956 and on the basis of such checks of the books and records of the company we enclose in the Annexure a statement on the matters specified in paragraphs 4and 5ofthe said Order
4 Further to our comments in the Annexure referred to above we report that
(i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit
(ii) In our opinion proper books of accpunt as required by Law have been kept by the Company so far as appears from our examination of those books
(iii) the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books ofaCCOunt
(iv) In our opinion the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this Report comply with the accounting standards referred to in sub-section (3-C) of Section 211 of the Companies Ad 1956
(v) On the basis of the written representations received from the directors as on 31 5t March 2011 and taken on record by the Board of Directors we report that none of the directors is disqualified as on 31 st
March 2011 from being appointed as a directorin terms of clause (g) of sub-section (1) of section 274 ofthe Companies Act 1906
(vi) In our opinion and to the best ofour information and according to the explanations given to us the said accOunts together with the schedules attached thereto give the information required by the Companies Act 1956 in the manner so reqllired and gives a true and fair view in conformity with the accounting principles generally aCcepted in India a) in the case of the Balance Sheet of the state of affairs of the Company as at 31 sl March 2011 and b) in the case of the Profit and Loss Account of the profit for the year ended on that date and c) in so far a it relates to the Cash Flow Statell1(mt of the cash flows of the company for the year
ended on that date~
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number =03761S
PPRABHAKAR RAO CHENNAI 13OS) 2 81 Partner
Membership Number 18408
11
middotGUHALAYA~ Flat B-7c5lianber Siriamp PraMaiar No ~62 (Old 179) Royapettah High Road
Myapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
Annexure referred to in Paragraph 3 of the Auditors Report to the Members of Kartik Investments Trust Limited on the accounts for the year ended 31 st March 2011
(i) The Company does not have any fixed assets and hence reporting on the same does not arise
(ii) The Company is an Investment Company and does not hold any inventory and hence reporting on physical verification of inventory and maintenance of inventory records does not arise
(iii) The Company has neither granted nor taken any loans secured or unsecured to I from companies firms or other parties covered in the register maintained under section 301 of the Act
(iv) In our opinion and according to the information and explanations given to us the internal control system is commensurate with the size of the company and the nature of its business
(v) According to the information andmiddot explanations given to us there are no contracts or arrangements referred to in Section 301 of the Companies Act 1956 during the year that need to be entered in the register maintained unltler that Section
(vi) The Company has not accepted any deposits from the Public
(vii) The Company has no formal internal audit department as such However its control procedures ensure reasonable internal checking of its financial and other records
(viii) Maintenance of cost records have not been prescribed by the Central Govemment in respect of the business carried on by the Company
(ix) a) The Company is regular in depositing with appropriate authorities undisputed statutdry dues like InCome tax and Service tax The Company did not have any dues in respect of Provident Fund Employees State InsuranQe investor education protection fund sales tax wealth taxcOsf6m duty excise duty and cess
b) AcCording tathe information and explanation given to us there are no dues of sales tax income tax customs duty wealth taxservice tax excise duty and cess which have not been depositetJ on account of any dispute
(x) The Company has no accumulated losses as at 31 st March 2011 It has not incurred any cash loss during the year and duringJheimmediately preceding financial year
(xi) In our opinion and according to the information and explanations given to us the company has not defaulted in repayment df dues to any financial institution or bank The company has not issued any Debentures
(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of ihlres debentures and other securities
(xiii) The provisionsmiddot of any special statute applicable to chit fund I nidhi I mutual benefit fund I societies are nat applicable to the Company
12
middotGUHALAYA~ Flat B-7 rS6anJer Siri tl Pra6lialar No 2fj2 (Old 179) Royapettah High Road
Mylapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
(xiv) In our opinion and according to the information and explanations given to us the company has maintained proper records of the transactions and contracts relating to dealings in shares securities debentures and other investments and these are held by the company in its own name
(xv) According to the information and explanations given to us the Company has not given
guarantees for loans taken by others from bank or financial institutions
(xvi) The Company has not taken any Term Loans and hence reporting on the utilisation of such loans does not arise
(xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the company as at 31 st March 2011 we report that short term funds have not been used for long term investment
(xviii) The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section covered in the Register maintained under section 301 of the Companies Act 1956 shy
(xix) The Company has not issued any Debentures and hence the question of reporting on creation of security or charge in respect of Debentures issued does not arise
(xx) The Company has not raised any resources by way of public issues- and hence the question of reporting on the disclosure relating to end use of such resources does not arise
(xxi) During the course of our examination of the books and records of the company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us we have neither come across any instance of fraud on or by the company noticed or reported du~ng the year nor have we been informed of such case by the management
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number 03671S ~
~Y-~~d0~ Iti ~~(i(CHIIRTERED ~ll-lt CCOUtONlSIgt
PPRABHAKAR RAO 1 -t- )7 J ~ iPartner ~~- ~ r~ 1CHENNAI 13 I bS 2 0
Membership Number 18408 ~~~1f~~ ~--
13
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
New No5 (Old No12) Sivasailam Street
OS RSridharan amp Associates TNagar Chennai - 600 017 Company Secretaries Phone 421669884350299742555587
Telefax 044-42137082 email sribhavairtelmaiLin
aryesairtelmaiLin
Il65993TN1978PlC0129131
COMPLIANCE CERTIFICATE
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN1978PLC012913 Authorized Capital Rs 10000000shyPaid-up Capital Rs 2440000shy
To The Members MESSRS KARTIK INVESTMENTS TRUST LIMITED Parry House II Floor No43 Moore Street Chennai - 600 001
We have examined the LIMITED (the Company) 1956 (the Act) and the rules made there under d Articles ofAssociation of the Company for the n and to the best of our information and accordi furnished to us by the Company its officers
1 The Company has to this certificate as per the provisions been recorded
2 The Company has fi this certificate with the Registrar of Law Board or other authorities ~_n~~_
3 The Company is a Company is a listed
4 The Board of Directors met on 24th May 2010 28th October 2010 and 28th January 2011 in respect of which meetings notices were given and proceedings were recorded including the circular resolutions dated 7th April 2010 and 4th March 2011 in the Minutes Book maintained for the purpose
5 The Company closed its Register of Members from 23rd August 2010 to 27th August 2010 (both days indusive) and necessary compliance of Section 154 of the Act hasbeen made
6 The Thirty Second Annual General Meeting for the financial year ended 31st March 2010 was held on 27th August 2010 after giving notice to the members of the Company and the resolutions passed thereat were recorded in the Minutes Book maintained for the purpose
7 No Extra-ordinary general meeting was held during the financial year
8 The Company has not advanced any loans or given any guarantees or provided any securities to its directors or persons or firms or companies referred under Section 295 of the Act
9 The Company has not entered into any contracts falling within the purview of Section 297of(m6~r
KARnK INVESTMENTS TRUST LIMITED
5
Continuation Sheetos R Sridharan ampAssociates Company Secretaries
Il65993TN 1978PlC01291~
10 During the financial year the Company has not entered into any contracts falling within the purview ofSections 297 and 299 of the Act
11 As there were no instances falling within the purview of Section 314 of the Act the Company has not obtained any approvals from the Board of directors members or Central Government
12 The Company has not issued any duplicate share certificates during the financial year
13 The Company
(i) has delivered all the certificates on lodgment thereof for transfer in accordance with the provisions of the Act during the financial year
(ii) has not effected any allotment ofsecurities during the financial year
(iii) has not deposited any amount in a separate Bank Account as no dividend was declared during the financial year
(iv) was not required to no dividend was declared during the financial
(v) has no unpaid d
(vi) has not issued eposits and hence the question of t-rinC~ matured deposits and the interest for a period ofseven
(vii)
14 The Board of appOintment of M~ V Suryanarayanan an was duly made through the of Mr V Suryanarayanan as Meeting held on 27th August 2010 to fill casual vacancy during the financial
15 The Company has not i rt-rr Manager during the financial year
16 The Company has not appointed any sole selling agents during the financial year
17 The Company was not required to obtain any approvals of the Central Government Company Law Board Regional Director Registrar and or such authorities prescribed under the various provisions of the Act during the financial year
18 The directors have disclosed their interest in other firms Companies to the Board of Directors pursuant to the provisions of the Act and the rules made there under
19 The Company has not issued any shares debentures or other securities during the financial year
20 The Company has not bought back any shares during the financial year and hence the qilestion of complying with the buy back provisions does not arise
KARTIK INVESTMENTS TRUST LIMITED
6
Continuation Sheet 8S R Sridharan ampAssociates Company Secretaries
IL65993TN1978PLC01291~
21 The Company has no preference share capital and has not issued debentures and hence the question of redemption of preference shares or debentures during the financial year does not arise
22 There were no transactions necessitating the Company to keep in abeyance the rights to dividend rights shares and bonus shares pending registration of transfer ofshares
23 The Company has not invited I accepted any deposits including any unsecured loans falling within the purview ofSection S8A during the financial year
24 The Company has not made any borrowings during the financial year
25 The Company is an investment Company and hence the provisions of Section 372A of the Companies Act 1956 is not applicable
26 The Company has not altered the provisions of the Memorandum of Association with respect to situation of the Companys registered office from one State to another during the financial year
27 The Company has not altered the provisions of the Memorandum of Association with respect to the objects of the Company
-28 The Company has not of the Company during
with respect to name
29 The Company has not capital of the Company
with respect to share
30 The Company has not
31 There was no prosecu fines or penalties or for offences under the
by the Company and no the financial year
32 The Company has no employees during the
as security from its
33 As per the information question ofcontribution
and hence the
PLACE CHENNAI DATE IgtI ~ lOI
KARnK INVESTMENTS TRUST UMITED
7 ---~-
Continuation Sheet os R Sridharan amp Associates Company Secretaries
IL65993TN1978PLC01291~
ANNEXURE A
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN197BPLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
REGISTERS AS MAINTAINED BY THE COMPANY
SI No Section Number Name of the Register
1 lOB Share Transfer Register
2 143
3 150
4 151
5 193
6 193
7 301
B 303
9 307
10
11
PLACE CHENNAI DATE rb oJQ)tI
For RSRIDHA COM
RSRIDHARAN CP No 3239
FCS No 4775
KARTIK INVESTMENTS TRUST UMITED
8
os Continuation SheetR Sridharan ampAssociates Company Secretaries
Il65993TN1978PlC01291~
ANNEXURE B
Name ofthe Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L6S993TN1978PLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
Returns Documents Forms filed with the Registrar of Companies Regional Director Central Government or other authorities during the financial year ended 315t March 2011
FOR THE FINANCIAL YEAR 2010-2011 [01042010 To 31032011]
REGISTRAR OF COMPANIES
SI No
1
2
3
4
S
Form No
66
23AC 23ACAamp
SchVI 20B
amp SchV
32
32
Relevant Section
383A
220
159
303
303
Description Date of filing
Whether filed
within prescribed
time YesNo
If delay in filing
whether requisite
additionaJ fee paid YesNo
NA
NA
YES
NA
NA
Remarks (SRN
11 rnot- Paid)
PS2913084 RssOO - (N)
PS2914223 RsSOO- (N)
P58727660 Rs500 - (N) RsSOO A83988428 RssOO- (N)
A94796232 RsSOO- (N)
REGIONAL DIRECTOR CENTRAL GOVERNMENT amp OTHER AUTHORITIES NIL
PLACE CHENtyI DATE 131 05(10 l
CS RSRIDHARAN CPNo 3239
FCS No 4775
KARTIK INVESTMENTS TRUST LIMITED
9-_--shy
5
10
15
20
25
30
List of Promoters of the Company belonging to the Murugappa Group pursuant to Regulation 3(1)(e)(i) of SEBI (Substantial Acquisition of Sharesamp Takeovers) Regulations 1997
NamesSI No EID Parry (India) Limited and subsidiaries
2 1
Silk Road Sugar Private Limited 3 New Ambadi Estates Private Limited amp subsidiaries 4 Ambadi Enterprises Limited amp subsidiaries
Tube Investments ofIndia Limited amp subsidiaries 6 Parry Estates Limited 7 Presmet Private Limited 8 Cholamandalam MS Risk Services Limited
Carborundum Universal Limited amp subsidiaries rds Private Limited amp subsidiaries
11
9 D
Coromandel Engineering Company Limited 12 Murugappa Educational amp Medical Foundation 13 AMM Arunachalam amp Sons Private Limited 14 AMM Vellayan Sons Private Limited
M M Muthiah Sons Private Limited 16 Murugappa amp Sons 17 Yelnoorkhan Group Estates 18 Kadamane Estates Company 19 MM Muthiah Research Foundation
A R Lakshmi Achi Trust 21 AMM Foundation 22 M V Murugappan amp Family 23 M V Subbiah amp Family 24 S Vellayan amp Family
A Vellayan amp Family 26 V Arunachalam amp Family 27 A Venkatachalam amp Family 28 M M Murugappan amp Family 29 M M Muthiah amp Family
M M Venkatachalam amp Family 31 UUottuu ~itluily 32 Arun Alagappan amp Family 33 M A M Arunachalam amp Family 34 Any company entity promoted or controlled by any of the above
Family for this purpose includes spouse dependent children and parents
10
GUHALAYA~ FlatB-7cSlianber girl tIC Jrabbakar No 262 (Old 179) Royapettah High Road
Mylapole Chennai - 600 004 Chartered Accountants Phone 2499298224991345
Fax 91-44-24997317
REPORT OF THE AUDITORS TO THE MEMBERS OF
KARTIK INVESTMENTS TRUST LIMITED
1 We have audited the attached Balance Sheet of KARTIK INVESTMENTS LIMITED as at 31 st March 2011 and also the Profrt and Loss Account for the year ended on that date annexed thereto and the Cash Flow Statement for the year ended on that date These financial statements are the responsibility of the Companys management dur responsibility is to express an opinion on these financial statements based on our audit
2 We conducted our audit in accordance with auditing standards generally accepted in India Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes examining on a test basis evidence supporting the amounts and disclosures in the financial statements An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation We believe that our audit provides a reasonable basis for our opinion
3 As required by the Companies (Auditors Report) Order 2003 as ilmended by the Companies (Auditors Report) (Amendment) Order 2004 (together the Order) issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act 1956 and on the basis of such checks of the books and records of the company we enclose in the Annexure a statement on the matters specified in paragraphs 4and 5ofthe said Order
4 Further to our comments in the Annexure referred to above we report that
(i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit
(ii) In our opinion proper books of accpunt as required by Law have been kept by the Company so far as appears from our examination of those books
(iii) the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books ofaCCOunt
(iv) In our opinion the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this Report comply with the accounting standards referred to in sub-section (3-C) of Section 211 of the Companies Ad 1956
(v) On the basis of the written representations received from the directors as on 31 5t March 2011 and taken on record by the Board of Directors we report that none of the directors is disqualified as on 31 st
March 2011 from being appointed as a directorin terms of clause (g) of sub-section (1) of section 274 ofthe Companies Act 1906
(vi) In our opinion and to the best ofour information and according to the explanations given to us the said accOunts together with the schedules attached thereto give the information required by the Companies Act 1956 in the manner so reqllired and gives a true and fair view in conformity with the accounting principles generally aCcepted in India a) in the case of the Balance Sheet of the state of affairs of the Company as at 31 sl March 2011 and b) in the case of the Profit and Loss Account of the profit for the year ended on that date and c) in so far a it relates to the Cash Flow Statell1(mt of the cash flows of the company for the year
ended on that date~
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number =03761S
PPRABHAKAR RAO CHENNAI 13OS) 2 81 Partner
Membership Number 18408
11
middotGUHALAYA~ Flat B-7c5lianber Siriamp PraMaiar No ~62 (Old 179) Royapettah High Road
Myapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
Annexure referred to in Paragraph 3 of the Auditors Report to the Members of Kartik Investments Trust Limited on the accounts for the year ended 31 st March 2011
(i) The Company does not have any fixed assets and hence reporting on the same does not arise
(ii) The Company is an Investment Company and does not hold any inventory and hence reporting on physical verification of inventory and maintenance of inventory records does not arise
(iii) The Company has neither granted nor taken any loans secured or unsecured to I from companies firms or other parties covered in the register maintained under section 301 of the Act
(iv) In our opinion and according to the information and explanations given to us the internal control system is commensurate with the size of the company and the nature of its business
(v) According to the information andmiddot explanations given to us there are no contracts or arrangements referred to in Section 301 of the Companies Act 1956 during the year that need to be entered in the register maintained unltler that Section
(vi) The Company has not accepted any deposits from the Public
(vii) The Company has no formal internal audit department as such However its control procedures ensure reasonable internal checking of its financial and other records
(viii) Maintenance of cost records have not been prescribed by the Central Govemment in respect of the business carried on by the Company
(ix) a) The Company is regular in depositing with appropriate authorities undisputed statutdry dues like InCome tax and Service tax The Company did not have any dues in respect of Provident Fund Employees State InsuranQe investor education protection fund sales tax wealth taxcOsf6m duty excise duty and cess
b) AcCording tathe information and explanation given to us there are no dues of sales tax income tax customs duty wealth taxservice tax excise duty and cess which have not been depositetJ on account of any dispute
(x) The Company has no accumulated losses as at 31 st March 2011 It has not incurred any cash loss during the year and duringJheimmediately preceding financial year
(xi) In our opinion and according to the information and explanations given to us the company has not defaulted in repayment df dues to any financial institution or bank The company has not issued any Debentures
(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of ihlres debentures and other securities
(xiii) The provisionsmiddot of any special statute applicable to chit fund I nidhi I mutual benefit fund I societies are nat applicable to the Company
12
middotGUHALAYA~ Flat B-7 rS6anJer Siri tl Pra6lialar No 2fj2 (Old 179) Royapettah High Road
Mylapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
(xiv) In our opinion and according to the information and explanations given to us the company has maintained proper records of the transactions and contracts relating to dealings in shares securities debentures and other investments and these are held by the company in its own name
(xv) According to the information and explanations given to us the Company has not given
guarantees for loans taken by others from bank or financial institutions
(xvi) The Company has not taken any Term Loans and hence reporting on the utilisation of such loans does not arise
(xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the company as at 31 st March 2011 we report that short term funds have not been used for long term investment
(xviii) The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section covered in the Register maintained under section 301 of the Companies Act 1956 shy
(xix) The Company has not issued any Debentures and hence the question of reporting on creation of security or charge in respect of Debentures issued does not arise
(xx) The Company has not raised any resources by way of public issues- and hence the question of reporting on the disclosure relating to end use of such resources does not arise
(xxi) During the course of our examination of the books and records of the company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us we have neither come across any instance of fraud on or by the company noticed or reported du~ng the year nor have we been informed of such case by the management
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number 03671S ~
~Y-~~d0~ Iti ~~(i(CHIIRTERED ~ll-lt CCOUtONlSIgt
PPRABHAKAR RAO 1 -t- )7 J ~ iPartner ~~- ~ r~ 1CHENNAI 13 I bS 2 0
Membership Number 18408 ~~~1f~~ ~--
13
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
Continuation Sheetos R Sridharan ampAssociates Company Secretaries
Il65993TN 1978PlC01291~
10 During the financial year the Company has not entered into any contracts falling within the purview ofSections 297 and 299 of the Act
11 As there were no instances falling within the purview of Section 314 of the Act the Company has not obtained any approvals from the Board of directors members or Central Government
12 The Company has not issued any duplicate share certificates during the financial year
13 The Company
(i) has delivered all the certificates on lodgment thereof for transfer in accordance with the provisions of the Act during the financial year
(ii) has not effected any allotment ofsecurities during the financial year
(iii) has not deposited any amount in a separate Bank Account as no dividend was declared during the financial year
(iv) was not required to no dividend was declared during the financial
(v) has no unpaid d
(vi) has not issued eposits and hence the question of t-rinC~ matured deposits and the interest for a period ofseven
(vii)
14 The Board of appOintment of M~ V Suryanarayanan an was duly made through the of Mr V Suryanarayanan as Meeting held on 27th August 2010 to fill casual vacancy during the financial
15 The Company has not i rt-rr Manager during the financial year
16 The Company has not appointed any sole selling agents during the financial year
17 The Company was not required to obtain any approvals of the Central Government Company Law Board Regional Director Registrar and or such authorities prescribed under the various provisions of the Act during the financial year
18 The directors have disclosed their interest in other firms Companies to the Board of Directors pursuant to the provisions of the Act and the rules made there under
19 The Company has not issued any shares debentures or other securities during the financial year
20 The Company has not bought back any shares during the financial year and hence the qilestion of complying with the buy back provisions does not arise
KARTIK INVESTMENTS TRUST LIMITED
6
Continuation Sheet 8S R Sridharan ampAssociates Company Secretaries
IL65993TN1978PLC01291~
21 The Company has no preference share capital and has not issued debentures and hence the question of redemption of preference shares or debentures during the financial year does not arise
22 There were no transactions necessitating the Company to keep in abeyance the rights to dividend rights shares and bonus shares pending registration of transfer ofshares
23 The Company has not invited I accepted any deposits including any unsecured loans falling within the purview ofSection S8A during the financial year
24 The Company has not made any borrowings during the financial year
25 The Company is an investment Company and hence the provisions of Section 372A of the Companies Act 1956 is not applicable
26 The Company has not altered the provisions of the Memorandum of Association with respect to situation of the Companys registered office from one State to another during the financial year
27 The Company has not altered the provisions of the Memorandum of Association with respect to the objects of the Company
-28 The Company has not of the Company during
with respect to name
29 The Company has not capital of the Company
with respect to share
30 The Company has not
31 There was no prosecu fines or penalties or for offences under the
by the Company and no the financial year
32 The Company has no employees during the
as security from its
33 As per the information question ofcontribution
and hence the
PLACE CHENNAI DATE IgtI ~ lOI
KARnK INVESTMENTS TRUST UMITED
7 ---~-
Continuation Sheet os R Sridharan amp Associates Company Secretaries
IL65993TN1978PLC01291~
ANNEXURE A
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN197BPLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
REGISTERS AS MAINTAINED BY THE COMPANY
SI No Section Number Name of the Register
1 lOB Share Transfer Register
2 143
3 150
4 151
5 193
6 193
7 301
B 303
9 307
10
11
PLACE CHENNAI DATE rb oJQ)tI
For RSRIDHA COM
RSRIDHARAN CP No 3239
FCS No 4775
KARTIK INVESTMENTS TRUST UMITED
8
os Continuation SheetR Sridharan ampAssociates Company Secretaries
Il65993TN1978PlC01291~
ANNEXURE B
Name ofthe Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L6S993TN1978PLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
Returns Documents Forms filed with the Registrar of Companies Regional Director Central Government or other authorities during the financial year ended 315t March 2011
FOR THE FINANCIAL YEAR 2010-2011 [01042010 To 31032011]
REGISTRAR OF COMPANIES
SI No
1
2
3
4
S
Form No
66
23AC 23ACAamp
SchVI 20B
amp SchV
32
32
Relevant Section
383A
220
159
303
303
Description Date of filing
Whether filed
within prescribed
time YesNo
If delay in filing
whether requisite
additionaJ fee paid YesNo
NA
NA
YES
NA
NA
Remarks (SRN
11 rnot- Paid)
PS2913084 RssOO - (N)
PS2914223 RsSOO- (N)
P58727660 Rs500 - (N) RsSOO A83988428 RssOO- (N)
A94796232 RsSOO- (N)
REGIONAL DIRECTOR CENTRAL GOVERNMENT amp OTHER AUTHORITIES NIL
PLACE CHENtyI DATE 131 05(10 l
CS RSRIDHARAN CPNo 3239
FCS No 4775
KARTIK INVESTMENTS TRUST LIMITED
9-_--shy
5
10
15
20
25
30
List of Promoters of the Company belonging to the Murugappa Group pursuant to Regulation 3(1)(e)(i) of SEBI (Substantial Acquisition of Sharesamp Takeovers) Regulations 1997
NamesSI No EID Parry (India) Limited and subsidiaries
2 1
Silk Road Sugar Private Limited 3 New Ambadi Estates Private Limited amp subsidiaries 4 Ambadi Enterprises Limited amp subsidiaries
Tube Investments ofIndia Limited amp subsidiaries 6 Parry Estates Limited 7 Presmet Private Limited 8 Cholamandalam MS Risk Services Limited
Carborundum Universal Limited amp subsidiaries rds Private Limited amp subsidiaries
11
9 D
Coromandel Engineering Company Limited 12 Murugappa Educational amp Medical Foundation 13 AMM Arunachalam amp Sons Private Limited 14 AMM Vellayan Sons Private Limited
M M Muthiah Sons Private Limited 16 Murugappa amp Sons 17 Yelnoorkhan Group Estates 18 Kadamane Estates Company 19 MM Muthiah Research Foundation
A R Lakshmi Achi Trust 21 AMM Foundation 22 M V Murugappan amp Family 23 M V Subbiah amp Family 24 S Vellayan amp Family
A Vellayan amp Family 26 V Arunachalam amp Family 27 A Venkatachalam amp Family 28 M M Murugappan amp Family 29 M M Muthiah amp Family
M M Venkatachalam amp Family 31 UUottuu ~itluily 32 Arun Alagappan amp Family 33 M A M Arunachalam amp Family 34 Any company entity promoted or controlled by any of the above
Family for this purpose includes spouse dependent children and parents
10
GUHALAYA~ FlatB-7cSlianber girl tIC Jrabbakar No 262 (Old 179) Royapettah High Road
Mylapole Chennai - 600 004 Chartered Accountants Phone 2499298224991345
Fax 91-44-24997317
REPORT OF THE AUDITORS TO THE MEMBERS OF
KARTIK INVESTMENTS TRUST LIMITED
1 We have audited the attached Balance Sheet of KARTIK INVESTMENTS LIMITED as at 31 st March 2011 and also the Profrt and Loss Account for the year ended on that date annexed thereto and the Cash Flow Statement for the year ended on that date These financial statements are the responsibility of the Companys management dur responsibility is to express an opinion on these financial statements based on our audit
2 We conducted our audit in accordance with auditing standards generally accepted in India Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes examining on a test basis evidence supporting the amounts and disclosures in the financial statements An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation We believe that our audit provides a reasonable basis for our opinion
3 As required by the Companies (Auditors Report) Order 2003 as ilmended by the Companies (Auditors Report) (Amendment) Order 2004 (together the Order) issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act 1956 and on the basis of such checks of the books and records of the company we enclose in the Annexure a statement on the matters specified in paragraphs 4and 5ofthe said Order
4 Further to our comments in the Annexure referred to above we report that
(i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit
(ii) In our opinion proper books of accpunt as required by Law have been kept by the Company so far as appears from our examination of those books
(iii) the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books ofaCCOunt
(iv) In our opinion the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this Report comply with the accounting standards referred to in sub-section (3-C) of Section 211 of the Companies Ad 1956
(v) On the basis of the written representations received from the directors as on 31 5t March 2011 and taken on record by the Board of Directors we report that none of the directors is disqualified as on 31 st
March 2011 from being appointed as a directorin terms of clause (g) of sub-section (1) of section 274 ofthe Companies Act 1906
(vi) In our opinion and to the best ofour information and according to the explanations given to us the said accOunts together with the schedules attached thereto give the information required by the Companies Act 1956 in the manner so reqllired and gives a true and fair view in conformity with the accounting principles generally aCcepted in India a) in the case of the Balance Sheet of the state of affairs of the Company as at 31 sl March 2011 and b) in the case of the Profit and Loss Account of the profit for the year ended on that date and c) in so far a it relates to the Cash Flow Statell1(mt of the cash flows of the company for the year
ended on that date~
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number =03761S
PPRABHAKAR RAO CHENNAI 13OS) 2 81 Partner
Membership Number 18408
11
middotGUHALAYA~ Flat B-7c5lianber Siriamp PraMaiar No ~62 (Old 179) Royapettah High Road
Myapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
Annexure referred to in Paragraph 3 of the Auditors Report to the Members of Kartik Investments Trust Limited on the accounts for the year ended 31 st March 2011
(i) The Company does not have any fixed assets and hence reporting on the same does not arise
(ii) The Company is an Investment Company and does not hold any inventory and hence reporting on physical verification of inventory and maintenance of inventory records does not arise
(iii) The Company has neither granted nor taken any loans secured or unsecured to I from companies firms or other parties covered in the register maintained under section 301 of the Act
(iv) In our opinion and according to the information and explanations given to us the internal control system is commensurate with the size of the company and the nature of its business
(v) According to the information andmiddot explanations given to us there are no contracts or arrangements referred to in Section 301 of the Companies Act 1956 during the year that need to be entered in the register maintained unltler that Section
(vi) The Company has not accepted any deposits from the Public
(vii) The Company has no formal internal audit department as such However its control procedures ensure reasonable internal checking of its financial and other records
(viii) Maintenance of cost records have not been prescribed by the Central Govemment in respect of the business carried on by the Company
(ix) a) The Company is regular in depositing with appropriate authorities undisputed statutdry dues like InCome tax and Service tax The Company did not have any dues in respect of Provident Fund Employees State InsuranQe investor education protection fund sales tax wealth taxcOsf6m duty excise duty and cess
b) AcCording tathe information and explanation given to us there are no dues of sales tax income tax customs duty wealth taxservice tax excise duty and cess which have not been depositetJ on account of any dispute
(x) The Company has no accumulated losses as at 31 st March 2011 It has not incurred any cash loss during the year and duringJheimmediately preceding financial year
(xi) In our opinion and according to the information and explanations given to us the company has not defaulted in repayment df dues to any financial institution or bank The company has not issued any Debentures
(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of ihlres debentures and other securities
(xiii) The provisionsmiddot of any special statute applicable to chit fund I nidhi I mutual benefit fund I societies are nat applicable to the Company
12
middotGUHALAYA~ Flat B-7 rS6anJer Siri tl Pra6lialar No 2fj2 (Old 179) Royapettah High Road
Mylapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
(xiv) In our opinion and according to the information and explanations given to us the company has maintained proper records of the transactions and contracts relating to dealings in shares securities debentures and other investments and these are held by the company in its own name
(xv) According to the information and explanations given to us the Company has not given
guarantees for loans taken by others from bank or financial institutions
(xvi) The Company has not taken any Term Loans and hence reporting on the utilisation of such loans does not arise
(xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the company as at 31 st March 2011 we report that short term funds have not been used for long term investment
(xviii) The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section covered in the Register maintained under section 301 of the Companies Act 1956 shy
(xix) The Company has not issued any Debentures and hence the question of reporting on creation of security or charge in respect of Debentures issued does not arise
(xx) The Company has not raised any resources by way of public issues- and hence the question of reporting on the disclosure relating to end use of such resources does not arise
(xxi) During the course of our examination of the books and records of the company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us we have neither come across any instance of fraud on or by the company noticed or reported du~ng the year nor have we been informed of such case by the management
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number 03671S ~
~Y-~~d0~ Iti ~~(i(CHIIRTERED ~ll-lt CCOUtONlSIgt
PPRABHAKAR RAO 1 -t- )7 J ~ iPartner ~~- ~ r~ 1CHENNAI 13 I bS 2 0
Membership Number 18408 ~~~1f~~ ~--
13
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
Continuation Sheet 8S R Sridharan ampAssociates Company Secretaries
IL65993TN1978PLC01291~
21 The Company has no preference share capital and has not issued debentures and hence the question of redemption of preference shares or debentures during the financial year does not arise
22 There were no transactions necessitating the Company to keep in abeyance the rights to dividend rights shares and bonus shares pending registration of transfer ofshares
23 The Company has not invited I accepted any deposits including any unsecured loans falling within the purview ofSection S8A during the financial year
24 The Company has not made any borrowings during the financial year
25 The Company is an investment Company and hence the provisions of Section 372A of the Companies Act 1956 is not applicable
26 The Company has not altered the provisions of the Memorandum of Association with respect to situation of the Companys registered office from one State to another during the financial year
27 The Company has not altered the provisions of the Memorandum of Association with respect to the objects of the Company
-28 The Company has not of the Company during
with respect to name
29 The Company has not capital of the Company
with respect to share
30 The Company has not
31 There was no prosecu fines or penalties or for offences under the
by the Company and no the financial year
32 The Company has no employees during the
as security from its
33 As per the information question ofcontribution
and hence the
PLACE CHENNAI DATE IgtI ~ lOI
KARnK INVESTMENTS TRUST UMITED
7 ---~-
Continuation Sheet os R Sridharan amp Associates Company Secretaries
IL65993TN1978PLC01291~
ANNEXURE A
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN197BPLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
REGISTERS AS MAINTAINED BY THE COMPANY
SI No Section Number Name of the Register
1 lOB Share Transfer Register
2 143
3 150
4 151
5 193
6 193
7 301
B 303
9 307
10
11
PLACE CHENNAI DATE rb oJQ)tI
For RSRIDHA COM
RSRIDHARAN CP No 3239
FCS No 4775
KARTIK INVESTMENTS TRUST UMITED
8
os Continuation SheetR Sridharan ampAssociates Company Secretaries
Il65993TN1978PlC01291~
ANNEXURE B
Name ofthe Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L6S993TN1978PLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
Returns Documents Forms filed with the Registrar of Companies Regional Director Central Government or other authorities during the financial year ended 315t March 2011
FOR THE FINANCIAL YEAR 2010-2011 [01042010 To 31032011]
REGISTRAR OF COMPANIES
SI No
1
2
3
4
S
Form No
66
23AC 23ACAamp
SchVI 20B
amp SchV
32
32
Relevant Section
383A
220
159
303
303
Description Date of filing
Whether filed
within prescribed
time YesNo
If delay in filing
whether requisite
additionaJ fee paid YesNo
NA
NA
YES
NA
NA
Remarks (SRN
11 rnot- Paid)
PS2913084 RssOO - (N)
PS2914223 RsSOO- (N)
P58727660 Rs500 - (N) RsSOO A83988428 RssOO- (N)
A94796232 RsSOO- (N)
REGIONAL DIRECTOR CENTRAL GOVERNMENT amp OTHER AUTHORITIES NIL
PLACE CHENtyI DATE 131 05(10 l
CS RSRIDHARAN CPNo 3239
FCS No 4775
KARTIK INVESTMENTS TRUST LIMITED
9-_--shy
5
10
15
20
25
30
List of Promoters of the Company belonging to the Murugappa Group pursuant to Regulation 3(1)(e)(i) of SEBI (Substantial Acquisition of Sharesamp Takeovers) Regulations 1997
NamesSI No EID Parry (India) Limited and subsidiaries
2 1
Silk Road Sugar Private Limited 3 New Ambadi Estates Private Limited amp subsidiaries 4 Ambadi Enterprises Limited amp subsidiaries
Tube Investments ofIndia Limited amp subsidiaries 6 Parry Estates Limited 7 Presmet Private Limited 8 Cholamandalam MS Risk Services Limited
Carborundum Universal Limited amp subsidiaries rds Private Limited amp subsidiaries
11
9 D
Coromandel Engineering Company Limited 12 Murugappa Educational amp Medical Foundation 13 AMM Arunachalam amp Sons Private Limited 14 AMM Vellayan Sons Private Limited
M M Muthiah Sons Private Limited 16 Murugappa amp Sons 17 Yelnoorkhan Group Estates 18 Kadamane Estates Company 19 MM Muthiah Research Foundation
A R Lakshmi Achi Trust 21 AMM Foundation 22 M V Murugappan amp Family 23 M V Subbiah amp Family 24 S Vellayan amp Family
A Vellayan amp Family 26 V Arunachalam amp Family 27 A Venkatachalam amp Family 28 M M Murugappan amp Family 29 M M Muthiah amp Family
M M Venkatachalam amp Family 31 UUottuu ~itluily 32 Arun Alagappan amp Family 33 M A M Arunachalam amp Family 34 Any company entity promoted or controlled by any of the above
Family for this purpose includes spouse dependent children and parents
10
GUHALAYA~ FlatB-7cSlianber girl tIC Jrabbakar No 262 (Old 179) Royapettah High Road
Mylapole Chennai - 600 004 Chartered Accountants Phone 2499298224991345
Fax 91-44-24997317
REPORT OF THE AUDITORS TO THE MEMBERS OF
KARTIK INVESTMENTS TRUST LIMITED
1 We have audited the attached Balance Sheet of KARTIK INVESTMENTS LIMITED as at 31 st March 2011 and also the Profrt and Loss Account for the year ended on that date annexed thereto and the Cash Flow Statement for the year ended on that date These financial statements are the responsibility of the Companys management dur responsibility is to express an opinion on these financial statements based on our audit
2 We conducted our audit in accordance with auditing standards generally accepted in India Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes examining on a test basis evidence supporting the amounts and disclosures in the financial statements An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation We believe that our audit provides a reasonable basis for our opinion
3 As required by the Companies (Auditors Report) Order 2003 as ilmended by the Companies (Auditors Report) (Amendment) Order 2004 (together the Order) issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act 1956 and on the basis of such checks of the books and records of the company we enclose in the Annexure a statement on the matters specified in paragraphs 4and 5ofthe said Order
4 Further to our comments in the Annexure referred to above we report that
(i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit
(ii) In our opinion proper books of accpunt as required by Law have been kept by the Company so far as appears from our examination of those books
(iii) the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books ofaCCOunt
(iv) In our opinion the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this Report comply with the accounting standards referred to in sub-section (3-C) of Section 211 of the Companies Ad 1956
(v) On the basis of the written representations received from the directors as on 31 5t March 2011 and taken on record by the Board of Directors we report that none of the directors is disqualified as on 31 st
March 2011 from being appointed as a directorin terms of clause (g) of sub-section (1) of section 274 ofthe Companies Act 1906
(vi) In our opinion and to the best ofour information and according to the explanations given to us the said accOunts together with the schedules attached thereto give the information required by the Companies Act 1956 in the manner so reqllired and gives a true and fair view in conformity with the accounting principles generally aCcepted in India a) in the case of the Balance Sheet of the state of affairs of the Company as at 31 sl March 2011 and b) in the case of the Profit and Loss Account of the profit for the year ended on that date and c) in so far a it relates to the Cash Flow Statell1(mt of the cash flows of the company for the year
ended on that date~
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number =03761S
PPRABHAKAR RAO CHENNAI 13OS) 2 81 Partner
Membership Number 18408
11
middotGUHALAYA~ Flat B-7c5lianber Siriamp PraMaiar No ~62 (Old 179) Royapettah High Road
Myapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
Annexure referred to in Paragraph 3 of the Auditors Report to the Members of Kartik Investments Trust Limited on the accounts for the year ended 31 st March 2011
(i) The Company does not have any fixed assets and hence reporting on the same does not arise
(ii) The Company is an Investment Company and does not hold any inventory and hence reporting on physical verification of inventory and maintenance of inventory records does not arise
(iii) The Company has neither granted nor taken any loans secured or unsecured to I from companies firms or other parties covered in the register maintained under section 301 of the Act
(iv) In our opinion and according to the information and explanations given to us the internal control system is commensurate with the size of the company and the nature of its business
(v) According to the information andmiddot explanations given to us there are no contracts or arrangements referred to in Section 301 of the Companies Act 1956 during the year that need to be entered in the register maintained unltler that Section
(vi) The Company has not accepted any deposits from the Public
(vii) The Company has no formal internal audit department as such However its control procedures ensure reasonable internal checking of its financial and other records
(viii) Maintenance of cost records have not been prescribed by the Central Govemment in respect of the business carried on by the Company
(ix) a) The Company is regular in depositing with appropriate authorities undisputed statutdry dues like InCome tax and Service tax The Company did not have any dues in respect of Provident Fund Employees State InsuranQe investor education protection fund sales tax wealth taxcOsf6m duty excise duty and cess
b) AcCording tathe information and explanation given to us there are no dues of sales tax income tax customs duty wealth taxservice tax excise duty and cess which have not been depositetJ on account of any dispute
(x) The Company has no accumulated losses as at 31 st March 2011 It has not incurred any cash loss during the year and duringJheimmediately preceding financial year
(xi) In our opinion and according to the information and explanations given to us the company has not defaulted in repayment df dues to any financial institution or bank The company has not issued any Debentures
(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of ihlres debentures and other securities
(xiii) The provisionsmiddot of any special statute applicable to chit fund I nidhi I mutual benefit fund I societies are nat applicable to the Company
12
middotGUHALAYA~ Flat B-7 rS6anJer Siri tl Pra6lialar No 2fj2 (Old 179) Royapettah High Road
Mylapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
(xiv) In our opinion and according to the information and explanations given to us the company has maintained proper records of the transactions and contracts relating to dealings in shares securities debentures and other investments and these are held by the company in its own name
(xv) According to the information and explanations given to us the Company has not given
guarantees for loans taken by others from bank or financial institutions
(xvi) The Company has not taken any Term Loans and hence reporting on the utilisation of such loans does not arise
(xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the company as at 31 st March 2011 we report that short term funds have not been used for long term investment
(xviii) The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section covered in the Register maintained under section 301 of the Companies Act 1956 shy
(xix) The Company has not issued any Debentures and hence the question of reporting on creation of security or charge in respect of Debentures issued does not arise
(xx) The Company has not raised any resources by way of public issues- and hence the question of reporting on the disclosure relating to end use of such resources does not arise
(xxi) During the course of our examination of the books and records of the company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us we have neither come across any instance of fraud on or by the company noticed or reported du~ng the year nor have we been informed of such case by the management
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number 03671S ~
~Y-~~d0~ Iti ~~(i(CHIIRTERED ~ll-lt CCOUtONlSIgt
PPRABHAKAR RAO 1 -t- )7 J ~ iPartner ~~- ~ r~ 1CHENNAI 13 I bS 2 0
Membership Number 18408 ~~~1f~~ ~--
13
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
Continuation Sheet os R Sridharan amp Associates Company Secretaries
IL65993TN1978PLC01291~
ANNEXURE A
Name of the Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L65993TN197BPLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
REGISTERS AS MAINTAINED BY THE COMPANY
SI No Section Number Name of the Register
1 lOB Share Transfer Register
2 143
3 150
4 151
5 193
6 193
7 301
B 303
9 307
10
11
PLACE CHENNAI DATE rb oJQ)tI
For RSRIDHA COM
RSRIDHARAN CP No 3239
FCS No 4775
KARTIK INVESTMENTS TRUST UMITED
8
os Continuation SheetR Sridharan ampAssociates Company Secretaries
Il65993TN1978PlC01291~
ANNEXURE B
Name ofthe Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L6S993TN1978PLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
Returns Documents Forms filed with the Registrar of Companies Regional Director Central Government or other authorities during the financial year ended 315t March 2011
FOR THE FINANCIAL YEAR 2010-2011 [01042010 To 31032011]
REGISTRAR OF COMPANIES
SI No
1
2
3
4
S
Form No
66
23AC 23ACAamp
SchVI 20B
amp SchV
32
32
Relevant Section
383A
220
159
303
303
Description Date of filing
Whether filed
within prescribed
time YesNo
If delay in filing
whether requisite
additionaJ fee paid YesNo
NA
NA
YES
NA
NA
Remarks (SRN
11 rnot- Paid)
PS2913084 RssOO - (N)
PS2914223 RsSOO- (N)
P58727660 Rs500 - (N) RsSOO A83988428 RssOO- (N)
A94796232 RsSOO- (N)
REGIONAL DIRECTOR CENTRAL GOVERNMENT amp OTHER AUTHORITIES NIL
PLACE CHENtyI DATE 131 05(10 l
CS RSRIDHARAN CPNo 3239
FCS No 4775
KARTIK INVESTMENTS TRUST LIMITED
9-_--shy
5
10
15
20
25
30
List of Promoters of the Company belonging to the Murugappa Group pursuant to Regulation 3(1)(e)(i) of SEBI (Substantial Acquisition of Sharesamp Takeovers) Regulations 1997
NamesSI No EID Parry (India) Limited and subsidiaries
2 1
Silk Road Sugar Private Limited 3 New Ambadi Estates Private Limited amp subsidiaries 4 Ambadi Enterprises Limited amp subsidiaries
Tube Investments ofIndia Limited amp subsidiaries 6 Parry Estates Limited 7 Presmet Private Limited 8 Cholamandalam MS Risk Services Limited
Carborundum Universal Limited amp subsidiaries rds Private Limited amp subsidiaries
11
9 D
Coromandel Engineering Company Limited 12 Murugappa Educational amp Medical Foundation 13 AMM Arunachalam amp Sons Private Limited 14 AMM Vellayan Sons Private Limited
M M Muthiah Sons Private Limited 16 Murugappa amp Sons 17 Yelnoorkhan Group Estates 18 Kadamane Estates Company 19 MM Muthiah Research Foundation
A R Lakshmi Achi Trust 21 AMM Foundation 22 M V Murugappan amp Family 23 M V Subbiah amp Family 24 S Vellayan amp Family
A Vellayan amp Family 26 V Arunachalam amp Family 27 A Venkatachalam amp Family 28 M M Murugappan amp Family 29 M M Muthiah amp Family
M M Venkatachalam amp Family 31 UUottuu ~itluily 32 Arun Alagappan amp Family 33 M A M Arunachalam amp Family 34 Any company entity promoted or controlled by any of the above
Family for this purpose includes spouse dependent children and parents
10
GUHALAYA~ FlatB-7cSlianber girl tIC Jrabbakar No 262 (Old 179) Royapettah High Road
Mylapole Chennai - 600 004 Chartered Accountants Phone 2499298224991345
Fax 91-44-24997317
REPORT OF THE AUDITORS TO THE MEMBERS OF
KARTIK INVESTMENTS TRUST LIMITED
1 We have audited the attached Balance Sheet of KARTIK INVESTMENTS LIMITED as at 31 st March 2011 and also the Profrt and Loss Account for the year ended on that date annexed thereto and the Cash Flow Statement for the year ended on that date These financial statements are the responsibility of the Companys management dur responsibility is to express an opinion on these financial statements based on our audit
2 We conducted our audit in accordance with auditing standards generally accepted in India Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes examining on a test basis evidence supporting the amounts and disclosures in the financial statements An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation We believe that our audit provides a reasonable basis for our opinion
3 As required by the Companies (Auditors Report) Order 2003 as ilmended by the Companies (Auditors Report) (Amendment) Order 2004 (together the Order) issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act 1956 and on the basis of such checks of the books and records of the company we enclose in the Annexure a statement on the matters specified in paragraphs 4and 5ofthe said Order
4 Further to our comments in the Annexure referred to above we report that
(i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit
(ii) In our opinion proper books of accpunt as required by Law have been kept by the Company so far as appears from our examination of those books
(iii) the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books ofaCCOunt
(iv) In our opinion the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this Report comply with the accounting standards referred to in sub-section (3-C) of Section 211 of the Companies Ad 1956
(v) On the basis of the written representations received from the directors as on 31 5t March 2011 and taken on record by the Board of Directors we report that none of the directors is disqualified as on 31 st
March 2011 from being appointed as a directorin terms of clause (g) of sub-section (1) of section 274 ofthe Companies Act 1906
(vi) In our opinion and to the best ofour information and according to the explanations given to us the said accOunts together with the schedules attached thereto give the information required by the Companies Act 1956 in the manner so reqllired and gives a true and fair view in conformity with the accounting principles generally aCcepted in India a) in the case of the Balance Sheet of the state of affairs of the Company as at 31 sl March 2011 and b) in the case of the Profit and Loss Account of the profit for the year ended on that date and c) in so far a it relates to the Cash Flow Statell1(mt of the cash flows of the company for the year
ended on that date~
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number =03761S
PPRABHAKAR RAO CHENNAI 13OS) 2 81 Partner
Membership Number 18408
11
middotGUHALAYA~ Flat B-7c5lianber Siriamp PraMaiar No ~62 (Old 179) Royapettah High Road
Myapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
Annexure referred to in Paragraph 3 of the Auditors Report to the Members of Kartik Investments Trust Limited on the accounts for the year ended 31 st March 2011
(i) The Company does not have any fixed assets and hence reporting on the same does not arise
(ii) The Company is an Investment Company and does not hold any inventory and hence reporting on physical verification of inventory and maintenance of inventory records does not arise
(iii) The Company has neither granted nor taken any loans secured or unsecured to I from companies firms or other parties covered in the register maintained under section 301 of the Act
(iv) In our opinion and according to the information and explanations given to us the internal control system is commensurate with the size of the company and the nature of its business
(v) According to the information andmiddot explanations given to us there are no contracts or arrangements referred to in Section 301 of the Companies Act 1956 during the year that need to be entered in the register maintained unltler that Section
(vi) The Company has not accepted any deposits from the Public
(vii) The Company has no formal internal audit department as such However its control procedures ensure reasonable internal checking of its financial and other records
(viii) Maintenance of cost records have not been prescribed by the Central Govemment in respect of the business carried on by the Company
(ix) a) The Company is regular in depositing with appropriate authorities undisputed statutdry dues like InCome tax and Service tax The Company did not have any dues in respect of Provident Fund Employees State InsuranQe investor education protection fund sales tax wealth taxcOsf6m duty excise duty and cess
b) AcCording tathe information and explanation given to us there are no dues of sales tax income tax customs duty wealth taxservice tax excise duty and cess which have not been depositetJ on account of any dispute
(x) The Company has no accumulated losses as at 31 st March 2011 It has not incurred any cash loss during the year and duringJheimmediately preceding financial year
(xi) In our opinion and according to the information and explanations given to us the company has not defaulted in repayment df dues to any financial institution or bank The company has not issued any Debentures
(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of ihlres debentures and other securities
(xiii) The provisionsmiddot of any special statute applicable to chit fund I nidhi I mutual benefit fund I societies are nat applicable to the Company
12
middotGUHALAYA~ Flat B-7 rS6anJer Siri tl Pra6lialar No 2fj2 (Old 179) Royapettah High Road
Mylapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
(xiv) In our opinion and according to the information and explanations given to us the company has maintained proper records of the transactions and contracts relating to dealings in shares securities debentures and other investments and these are held by the company in its own name
(xv) According to the information and explanations given to us the Company has not given
guarantees for loans taken by others from bank or financial institutions
(xvi) The Company has not taken any Term Loans and hence reporting on the utilisation of such loans does not arise
(xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the company as at 31 st March 2011 we report that short term funds have not been used for long term investment
(xviii) The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section covered in the Register maintained under section 301 of the Companies Act 1956 shy
(xix) The Company has not issued any Debentures and hence the question of reporting on creation of security or charge in respect of Debentures issued does not arise
(xx) The Company has not raised any resources by way of public issues- and hence the question of reporting on the disclosure relating to end use of such resources does not arise
(xxi) During the course of our examination of the books and records of the company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us we have neither come across any instance of fraud on or by the company noticed or reported du~ng the year nor have we been informed of such case by the management
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number 03671S ~
~Y-~~d0~ Iti ~~(i(CHIIRTERED ~ll-lt CCOUtONlSIgt
PPRABHAKAR RAO 1 -t- )7 J ~ iPartner ~~- ~ r~ 1CHENNAI 13 I bS 2 0
Membership Number 18408 ~~~1f~~ ~--
13
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
os Continuation SheetR Sridharan ampAssociates Company Secretaries
Il65993TN1978PlC01291~
ANNEXURE B
Name ofthe Company KARTIK INVESTMENTS TRUST LIMITED Registration No (CIN) L6S993TN1978PLC012913 Authorized Capital Rs10000000shyPaid-up Capital Rs 2440000shy
Returns Documents Forms filed with the Registrar of Companies Regional Director Central Government or other authorities during the financial year ended 315t March 2011
FOR THE FINANCIAL YEAR 2010-2011 [01042010 To 31032011]
REGISTRAR OF COMPANIES
SI No
1
2
3
4
S
Form No
66
23AC 23ACAamp
SchVI 20B
amp SchV
32
32
Relevant Section
383A
220
159
303
303
Description Date of filing
Whether filed
within prescribed
time YesNo
If delay in filing
whether requisite
additionaJ fee paid YesNo
NA
NA
YES
NA
NA
Remarks (SRN
11 rnot- Paid)
PS2913084 RssOO - (N)
PS2914223 RsSOO- (N)
P58727660 Rs500 - (N) RsSOO A83988428 RssOO- (N)
A94796232 RsSOO- (N)
REGIONAL DIRECTOR CENTRAL GOVERNMENT amp OTHER AUTHORITIES NIL
PLACE CHENtyI DATE 131 05(10 l
CS RSRIDHARAN CPNo 3239
FCS No 4775
KARTIK INVESTMENTS TRUST LIMITED
9-_--shy
5
10
15
20
25
30
List of Promoters of the Company belonging to the Murugappa Group pursuant to Regulation 3(1)(e)(i) of SEBI (Substantial Acquisition of Sharesamp Takeovers) Regulations 1997
NamesSI No EID Parry (India) Limited and subsidiaries
2 1
Silk Road Sugar Private Limited 3 New Ambadi Estates Private Limited amp subsidiaries 4 Ambadi Enterprises Limited amp subsidiaries
Tube Investments ofIndia Limited amp subsidiaries 6 Parry Estates Limited 7 Presmet Private Limited 8 Cholamandalam MS Risk Services Limited
Carborundum Universal Limited amp subsidiaries rds Private Limited amp subsidiaries
11
9 D
Coromandel Engineering Company Limited 12 Murugappa Educational amp Medical Foundation 13 AMM Arunachalam amp Sons Private Limited 14 AMM Vellayan Sons Private Limited
M M Muthiah Sons Private Limited 16 Murugappa amp Sons 17 Yelnoorkhan Group Estates 18 Kadamane Estates Company 19 MM Muthiah Research Foundation
A R Lakshmi Achi Trust 21 AMM Foundation 22 M V Murugappan amp Family 23 M V Subbiah amp Family 24 S Vellayan amp Family
A Vellayan amp Family 26 V Arunachalam amp Family 27 A Venkatachalam amp Family 28 M M Murugappan amp Family 29 M M Muthiah amp Family
M M Venkatachalam amp Family 31 UUottuu ~itluily 32 Arun Alagappan amp Family 33 M A M Arunachalam amp Family 34 Any company entity promoted or controlled by any of the above
Family for this purpose includes spouse dependent children and parents
10
GUHALAYA~ FlatB-7cSlianber girl tIC Jrabbakar No 262 (Old 179) Royapettah High Road
Mylapole Chennai - 600 004 Chartered Accountants Phone 2499298224991345
Fax 91-44-24997317
REPORT OF THE AUDITORS TO THE MEMBERS OF
KARTIK INVESTMENTS TRUST LIMITED
1 We have audited the attached Balance Sheet of KARTIK INVESTMENTS LIMITED as at 31 st March 2011 and also the Profrt and Loss Account for the year ended on that date annexed thereto and the Cash Flow Statement for the year ended on that date These financial statements are the responsibility of the Companys management dur responsibility is to express an opinion on these financial statements based on our audit
2 We conducted our audit in accordance with auditing standards generally accepted in India Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes examining on a test basis evidence supporting the amounts and disclosures in the financial statements An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation We believe that our audit provides a reasonable basis for our opinion
3 As required by the Companies (Auditors Report) Order 2003 as ilmended by the Companies (Auditors Report) (Amendment) Order 2004 (together the Order) issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act 1956 and on the basis of such checks of the books and records of the company we enclose in the Annexure a statement on the matters specified in paragraphs 4and 5ofthe said Order
4 Further to our comments in the Annexure referred to above we report that
(i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit
(ii) In our opinion proper books of accpunt as required by Law have been kept by the Company so far as appears from our examination of those books
(iii) the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books ofaCCOunt
(iv) In our opinion the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this Report comply with the accounting standards referred to in sub-section (3-C) of Section 211 of the Companies Ad 1956
(v) On the basis of the written representations received from the directors as on 31 5t March 2011 and taken on record by the Board of Directors we report that none of the directors is disqualified as on 31 st
March 2011 from being appointed as a directorin terms of clause (g) of sub-section (1) of section 274 ofthe Companies Act 1906
(vi) In our opinion and to the best ofour information and according to the explanations given to us the said accOunts together with the schedules attached thereto give the information required by the Companies Act 1956 in the manner so reqllired and gives a true and fair view in conformity with the accounting principles generally aCcepted in India a) in the case of the Balance Sheet of the state of affairs of the Company as at 31 sl March 2011 and b) in the case of the Profit and Loss Account of the profit for the year ended on that date and c) in so far a it relates to the Cash Flow Statell1(mt of the cash flows of the company for the year
ended on that date~
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number =03761S
PPRABHAKAR RAO CHENNAI 13OS) 2 81 Partner
Membership Number 18408
11
middotGUHALAYA~ Flat B-7c5lianber Siriamp PraMaiar No ~62 (Old 179) Royapettah High Road
Myapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
Annexure referred to in Paragraph 3 of the Auditors Report to the Members of Kartik Investments Trust Limited on the accounts for the year ended 31 st March 2011
(i) The Company does not have any fixed assets and hence reporting on the same does not arise
(ii) The Company is an Investment Company and does not hold any inventory and hence reporting on physical verification of inventory and maintenance of inventory records does not arise
(iii) The Company has neither granted nor taken any loans secured or unsecured to I from companies firms or other parties covered in the register maintained under section 301 of the Act
(iv) In our opinion and according to the information and explanations given to us the internal control system is commensurate with the size of the company and the nature of its business
(v) According to the information andmiddot explanations given to us there are no contracts or arrangements referred to in Section 301 of the Companies Act 1956 during the year that need to be entered in the register maintained unltler that Section
(vi) The Company has not accepted any deposits from the Public
(vii) The Company has no formal internal audit department as such However its control procedures ensure reasonable internal checking of its financial and other records
(viii) Maintenance of cost records have not been prescribed by the Central Govemment in respect of the business carried on by the Company
(ix) a) The Company is regular in depositing with appropriate authorities undisputed statutdry dues like InCome tax and Service tax The Company did not have any dues in respect of Provident Fund Employees State InsuranQe investor education protection fund sales tax wealth taxcOsf6m duty excise duty and cess
b) AcCording tathe information and explanation given to us there are no dues of sales tax income tax customs duty wealth taxservice tax excise duty and cess which have not been depositetJ on account of any dispute
(x) The Company has no accumulated losses as at 31 st March 2011 It has not incurred any cash loss during the year and duringJheimmediately preceding financial year
(xi) In our opinion and according to the information and explanations given to us the company has not defaulted in repayment df dues to any financial institution or bank The company has not issued any Debentures
(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of ihlres debentures and other securities
(xiii) The provisionsmiddot of any special statute applicable to chit fund I nidhi I mutual benefit fund I societies are nat applicable to the Company
12
middotGUHALAYA~ Flat B-7 rS6anJer Siri tl Pra6lialar No 2fj2 (Old 179) Royapettah High Road
Mylapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
(xiv) In our opinion and according to the information and explanations given to us the company has maintained proper records of the transactions and contracts relating to dealings in shares securities debentures and other investments and these are held by the company in its own name
(xv) According to the information and explanations given to us the Company has not given
guarantees for loans taken by others from bank or financial institutions
(xvi) The Company has not taken any Term Loans and hence reporting on the utilisation of such loans does not arise
(xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the company as at 31 st March 2011 we report that short term funds have not been used for long term investment
(xviii) The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section covered in the Register maintained under section 301 of the Companies Act 1956 shy
(xix) The Company has not issued any Debentures and hence the question of reporting on creation of security or charge in respect of Debentures issued does not arise
(xx) The Company has not raised any resources by way of public issues- and hence the question of reporting on the disclosure relating to end use of such resources does not arise
(xxi) During the course of our examination of the books and records of the company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us we have neither come across any instance of fraud on or by the company noticed or reported du~ng the year nor have we been informed of such case by the management
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number 03671S ~
~Y-~~d0~ Iti ~~(i(CHIIRTERED ~ll-lt CCOUtONlSIgt
PPRABHAKAR RAO 1 -t- )7 J ~ iPartner ~~- ~ r~ 1CHENNAI 13 I bS 2 0
Membership Number 18408 ~~~1f~~ ~--
13
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
5
10
15
20
25
30
List of Promoters of the Company belonging to the Murugappa Group pursuant to Regulation 3(1)(e)(i) of SEBI (Substantial Acquisition of Sharesamp Takeovers) Regulations 1997
NamesSI No EID Parry (India) Limited and subsidiaries
2 1
Silk Road Sugar Private Limited 3 New Ambadi Estates Private Limited amp subsidiaries 4 Ambadi Enterprises Limited amp subsidiaries
Tube Investments ofIndia Limited amp subsidiaries 6 Parry Estates Limited 7 Presmet Private Limited 8 Cholamandalam MS Risk Services Limited
Carborundum Universal Limited amp subsidiaries rds Private Limited amp subsidiaries
11
9 D
Coromandel Engineering Company Limited 12 Murugappa Educational amp Medical Foundation 13 AMM Arunachalam amp Sons Private Limited 14 AMM Vellayan Sons Private Limited
M M Muthiah Sons Private Limited 16 Murugappa amp Sons 17 Yelnoorkhan Group Estates 18 Kadamane Estates Company 19 MM Muthiah Research Foundation
A R Lakshmi Achi Trust 21 AMM Foundation 22 M V Murugappan amp Family 23 M V Subbiah amp Family 24 S Vellayan amp Family
A Vellayan amp Family 26 V Arunachalam amp Family 27 A Venkatachalam amp Family 28 M M Murugappan amp Family 29 M M Muthiah amp Family
M M Venkatachalam amp Family 31 UUottuu ~itluily 32 Arun Alagappan amp Family 33 M A M Arunachalam amp Family 34 Any company entity promoted or controlled by any of the above
Family for this purpose includes spouse dependent children and parents
10
GUHALAYA~ FlatB-7cSlianber girl tIC Jrabbakar No 262 (Old 179) Royapettah High Road
Mylapole Chennai - 600 004 Chartered Accountants Phone 2499298224991345
Fax 91-44-24997317
REPORT OF THE AUDITORS TO THE MEMBERS OF
KARTIK INVESTMENTS TRUST LIMITED
1 We have audited the attached Balance Sheet of KARTIK INVESTMENTS LIMITED as at 31 st March 2011 and also the Profrt and Loss Account for the year ended on that date annexed thereto and the Cash Flow Statement for the year ended on that date These financial statements are the responsibility of the Companys management dur responsibility is to express an opinion on these financial statements based on our audit
2 We conducted our audit in accordance with auditing standards generally accepted in India Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes examining on a test basis evidence supporting the amounts and disclosures in the financial statements An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation We believe that our audit provides a reasonable basis for our opinion
3 As required by the Companies (Auditors Report) Order 2003 as ilmended by the Companies (Auditors Report) (Amendment) Order 2004 (together the Order) issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act 1956 and on the basis of such checks of the books and records of the company we enclose in the Annexure a statement on the matters specified in paragraphs 4and 5ofthe said Order
4 Further to our comments in the Annexure referred to above we report that
(i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit
(ii) In our opinion proper books of accpunt as required by Law have been kept by the Company so far as appears from our examination of those books
(iii) the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books ofaCCOunt
(iv) In our opinion the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this Report comply with the accounting standards referred to in sub-section (3-C) of Section 211 of the Companies Ad 1956
(v) On the basis of the written representations received from the directors as on 31 5t March 2011 and taken on record by the Board of Directors we report that none of the directors is disqualified as on 31 st
March 2011 from being appointed as a directorin terms of clause (g) of sub-section (1) of section 274 ofthe Companies Act 1906
(vi) In our opinion and to the best ofour information and according to the explanations given to us the said accOunts together with the schedules attached thereto give the information required by the Companies Act 1956 in the manner so reqllired and gives a true and fair view in conformity with the accounting principles generally aCcepted in India a) in the case of the Balance Sheet of the state of affairs of the Company as at 31 sl March 2011 and b) in the case of the Profit and Loss Account of the profit for the year ended on that date and c) in so far a it relates to the Cash Flow Statell1(mt of the cash flows of the company for the year
ended on that date~
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number =03761S
PPRABHAKAR RAO CHENNAI 13OS) 2 81 Partner
Membership Number 18408
11
middotGUHALAYA~ Flat B-7c5lianber Siriamp PraMaiar No ~62 (Old 179) Royapettah High Road
Myapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
Annexure referred to in Paragraph 3 of the Auditors Report to the Members of Kartik Investments Trust Limited on the accounts for the year ended 31 st March 2011
(i) The Company does not have any fixed assets and hence reporting on the same does not arise
(ii) The Company is an Investment Company and does not hold any inventory and hence reporting on physical verification of inventory and maintenance of inventory records does not arise
(iii) The Company has neither granted nor taken any loans secured or unsecured to I from companies firms or other parties covered in the register maintained under section 301 of the Act
(iv) In our opinion and according to the information and explanations given to us the internal control system is commensurate with the size of the company and the nature of its business
(v) According to the information andmiddot explanations given to us there are no contracts or arrangements referred to in Section 301 of the Companies Act 1956 during the year that need to be entered in the register maintained unltler that Section
(vi) The Company has not accepted any deposits from the Public
(vii) The Company has no formal internal audit department as such However its control procedures ensure reasonable internal checking of its financial and other records
(viii) Maintenance of cost records have not been prescribed by the Central Govemment in respect of the business carried on by the Company
(ix) a) The Company is regular in depositing with appropriate authorities undisputed statutdry dues like InCome tax and Service tax The Company did not have any dues in respect of Provident Fund Employees State InsuranQe investor education protection fund sales tax wealth taxcOsf6m duty excise duty and cess
b) AcCording tathe information and explanation given to us there are no dues of sales tax income tax customs duty wealth taxservice tax excise duty and cess which have not been depositetJ on account of any dispute
(x) The Company has no accumulated losses as at 31 st March 2011 It has not incurred any cash loss during the year and duringJheimmediately preceding financial year
(xi) In our opinion and according to the information and explanations given to us the company has not defaulted in repayment df dues to any financial institution or bank The company has not issued any Debentures
(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of ihlres debentures and other securities
(xiii) The provisionsmiddot of any special statute applicable to chit fund I nidhi I mutual benefit fund I societies are nat applicable to the Company
12
middotGUHALAYA~ Flat B-7 rS6anJer Siri tl Pra6lialar No 2fj2 (Old 179) Royapettah High Road
Mylapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
(xiv) In our opinion and according to the information and explanations given to us the company has maintained proper records of the transactions and contracts relating to dealings in shares securities debentures and other investments and these are held by the company in its own name
(xv) According to the information and explanations given to us the Company has not given
guarantees for loans taken by others from bank or financial institutions
(xvi) The Company has not taken any Term Loans and hence reporting on the utilisation of such loans does not arise
(xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the company as at 31 st March 2011 we report that short term funds have not been used for long term investment
(xviii) The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section covered in the Register maintained under section 301 of the Companies Act 1956 shy
(xix) The Company has not issued any Debentures and hence the question of reporting on creation of security or charge in respect of Debentures issued does not arise
(xx) The Company has not raised any resources by way of public issues- and hence the question of reporting on the disclosure relating to end use of such resources does not arise
(xxi) During the course of our examination of the books and records of the company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us we have neither come across any instance of fraud on or by the company noticed or reported du~ng the year nor have we been informed of such case by the management
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number 03671S ~
~Y-~~d0~ Iti ~~(i(CHIIRTERED ~ll-lt CCOUtONlSIgt
PPRABHAKAR RAO 1 -t- )7 J ~ iPartner ~~- ~ r~ 1CHENNAI 13 I bS 2 0
Membership Number 18408 ~~~1f~~ ~--
13
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
GUHALAYA~ FlatB-7cSlianber girl tIC Jrabbakar No 262 (Old 179) Royapettah High Road
Mylapole Chennai - 600 004 Chartered Accountants Phone 2499298224991345
Fax 91-44-24997317
REPORT OF THE AUDITORS TO THE MEMBERS OF
KARTIK INVESTMENTS TRUST LIMITED
1 We have audited the attached Balance Sheet of KARTIK INVESTMENTS LIMITED as at 31 st March 2011 and also the Profrt and Loss Account for the year ended on that date annexed thereto and the Cash Flow Statement for the year ended on that date These financial statements are the responsibility of the Companys management dur responsibility is to express an opinion on these financial statements based on our audit
2 We conducted our audit in accordance with auditing standards generally accepted in India Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes examining on a test basis evidence supporting the amounts and disclosures in the financial statements An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation We believe that our audit provides a reasonable basis for our opinion
3 As required by the Companies (Auditors Report) Order 2003 as ilmended by the Companies (Auditors Report) (Amendment) Order 2004 (together the Order) issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act 1956 and on the basis of such checks of the books and records of the company we enclose in the Annexure a statement on the matters specified in paragraphs 4and 5ofthe said Order
4 Further to our comments in the Annexure referred to above we report that
(i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit
(ii) In our opinion proper books of accpunt as required by Law have been kept by the Company so far as appears from our examination of those books
(iii) the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books ofaCCOunt
(iv) In our opinion the Balance Sheet Profit and Loss Account and the Cash Flow Statement dealt with by this Report comply with the accounting standards referred to in sub-section (3-C) of Section 211 of the Companies Ad 1956
(v) On the basis of the written representations received from the directors as on 31 5t March 2011 and taken on record by the Board of Directors we report that none of the directors is disqualified as on 31 st
March 2011 from being appointed as a directorin terms of clause (g) of sub-section (1) of section 274 ofthe Companies Act 1906
(vi) In our opinion and to the best ofour information and according to the explanations given to us the said accOunts together with the schedules attached thereto give the information required by the Companies Act 1956 in the manner so reqllired and gives a true and fair view in conformity with the accounting principles generally aCcepted in India a) in the case of the Balance Sheet of the state of affairs of the Company as at 31 sl March 2011 and b) in the case of the Profit and Loss Account of the profit for the year ended on that date and c) in so far a it relates to the Cash Flow Statell1(mt of the cash flows of the company for the year
ended on that date~
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number =03761S
PPRABHAKAR RAO CHENNAI 13OS) 2 81 Partner
Membership Number 18408
11
middotGUHALAYA~ Flat B-7c5lianber Siriamp PraMaiar No ~62 (Old 179) Royapettah High Road
Myapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
Annexure referred to in Paragraph 3 of the Auditors Report to the Members of Kartik Investments Trust Limited on the accounts for the year ended 31 st March 2011
(i) The Company does not have any fixed assets and hence reporting on the same does not arise
(ii) The Company is an Investment Company and does not hold any inventory and hence reporting on physical verification of inventory and maintenance of inventory records does not arise
(iii) The Company has neither granted nor taken any loans secured or unsecured to I from companies firms or other parties covered in the register maintained under section 301 of the Act
(iv) In our opinion and according to the information and explanations given to us the internal control system is commensurate with the size of the company and the nature of its business
(v) According to the information andmiddot explanations given to us there are no contracts or arrangements referred to in Section 301 of the Companies Act 1956 during the year that need to be entered in the register maintained unltler that Section
(vi) The Company has not accepted any deposits from the Public
(vii) The Company has no formal internal audit department as such However its control procedures ensure reasonable internal checking of its financial and other records
(viii) Maintenance of cost records have not been prescribed by the Central Govemment in respect of the business carried on by the Company
(ix) a) The Company is regular in depositing with appropriate authorities undisputed statutdry dues like InCome tax and Service tax The Company did not have any dues in respect of Provident Fund Employees State InsuranQe investor education protection fund sales tax wealth taxcOsf6m duty excise duty and cess
b) AcCording tathe information and explanation given to us there are no dues of sales tax income tax customs duty wealth taxservice tax excise duty and cess which have not been depositetJ on account of any dispute
(x) The Company has no accumulated losses as at 31 st March 2011 It has not incurred any cash loss during the year and duringJheimmediately preceding financial year
(xi) In our opinion and according to the information and explanations given to us the company has not defaulted in repayment df dues to any financial institution or bank The company has not issued any Debentures
(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of ihlres debentures and other securities
(xiii) The provisionsmiddot of any special statute applicable to chit fund I nidhi I mutual benefit fund I societies are nat applicable to the Company
12
middotGUHALAYA~ Flat B-7 rS6anJer Siri tl Pra6lialar No 2fj2 (Old 179) Royapettah High Road
Mylapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
(xiv) In our opinion and according to the information and explanations given to us the company has maintained proper records of the transactions and contracts relating to dealings in shares securities debentures and other investments and these are held by the company in its own name
(xv) According to the information and explanations given to us the Company has not given
guarantees for loans taken by others from bank or financial institutions
(xvi) The Company has not taken any Term Loans and hence reporting on the utilisation of such loans does not arise
(xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the company as at 31 st March 2011 we report that short term funds have not been used for long term investment
(xviii) The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section covered in the Register maintained under section 301 of the Companies Act 1956 shy
(xix) The Company has not issued any Debentures and hence the question of reporting on creation of security or charge in respect of Debentures issued does not arise
(xx) The Company has not raised any resources by way of public issues- and hence the question of reporting on the disclosure relating to end use of such resources does not arise
(xxi) During the course of our examination of the books and records of the company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us we have neither come across any instance of fraud on or by the company noticed or reported du~ng the year nor have we been informed of such case by the management
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number 03671S ~
~Y-~~d0~ Iti ~~(i(CHIIRTERED ~ll-lt CCOUtONlSIgt
PPRABHAKAR RAO 1 -t- )7 J ~ iPartner ~~- ~ r~ 1CHENNAI 13 I bS 2 0
Membership Number 18408 ~~~1f~~ ~--
13
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
middotGUHALAYA~ Flat B-7c5lianber Siriamp PraMaiar No ~62 (Old 179) Royapettah High Road
Myapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
Annexure referred to in Paragraph 3 of the Auditors Report to the Members of Kartik Investments Trust Limited on the accounts for the year ended 31 st March 2011
(i) The Company does not have any fixed assets and hence reporting on the same does not arise
(ii) The Company is an Investment Company and does not hold any inventory and hence reporting on physical verification of inventory and maintenance of inventory records does not arise
(iii) The Company has neither granted nor taken any loans secured or unsecured to I from companies firms or other parties covered in the register maintained under section 301 of the Act
(iv) In our opinion and according to the information and explanations given to us the internal control system is commensurate with the size of the company and the nature of its business
(v) According to the information andmiddot explanations given to us there are no contracts or arrangements referred to in Section 301 of the Companies Act 1956 during the year that need to be entered in the register maintained unltler that Section
(vi) The Company has not accepted any deposits from the Public
(vii) The Company has no formal internal audit department as such However its control procedures ensure reasonable internal checking of its financial and other records
(viii) Maintenance of cost records have not been prescribed by the Central Govemment in respect of the business carried on by the Company
(ix) a) The Company is regular in depositing with appropriate authorities undisputed statutdry dues like InCome tax and Service tax The Company did not have any dues in respect of Provident Fund Employees State InsuranQe investor education protection fund sales tax wealth taxcOsf6m duty excise duty and cess
b) AcCording tathe information and explanation given to us there are no dues of sales tax income tax customs duty wealth taxservice tax excise duty and cess which have not been depositetJ on account of any dispute
(x) The Company has no accumulated losses as at 31 st March 2011 It has not incurred any cash loss during the year and duringJheimmediately preceding financial year
(xi) In our opinion and according to the information and explanations given to us the company has not defaulted in repayment df dues to any financial institution or bank The company has not issued any Debentures
(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of ihlres debentures and other securities
(xiii) The provisionsmiddot of any special statute applicable to chit fund I nidhi I mutual benefit fund I societies are nat applicable to the Company
12
middotGUHALAYA~ Flat B-7 rS6anJer Siri tl Pra6lialar No 2fj2 (Old 179) Royapettah High Road
Mylapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
(xiv) In our opinion and according to the information and explanations given to us the company has maintained proper records of the transactions and contracts relating to dealings in shares securities debentures and other investments and these are held by the company in its own name
(xv) According to the information and explanations given to us the Company has not given
guarantees for loans taken by others from bank or financial institutions
(xvi) The Company has not taken any Term Loans and hence reporting on the utilisation of such loans does not arise
(xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the company as at 31 st March 2011 we report that short term funds have not been used for long term investment
(xviii) The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section covered in the Register maintained under section 301 of the Companies Act 1956 shy
(xix) The Company has not issued any Debentures and hence the question of reporting on creation of security or charge in respect of Debentures issued does not arise
(xx) The Company has not raised any resources by way of public issues- and hence the question of reporting on the disclosure relating to end use of such resources does not arise
(xxi) During the course of our examination of the books and records of the company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us we have neither come across any instance of fraud on or by the company noticed or reported du~ng the year nor have we been informed of such case by the management
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number 03671S ~
~Y-~~d0~ Iti ~~(i(CHIIRTERED ~ll-lt CCOUtONlSIgt
PPRABHAKAR RAO 1 -t- )7 J ~ iPartner ~~- ~ r~ 1CHENNAI 13 I bS 2 0
Membership Number 18408 ~~~1f~~ ~--
13
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
middotGUHALAYA~ Flat B-7 rS6anJer Siri tl Pra6lialar No 2fj2 (Old 179) Royapettah High Road
Mylapore Chennai - 600 004Chartered Accountants Phone 2499 2982 2499 1345
Fax 91-44-2499 7317
(xiv) In our opinion and according to the information and explanations given to us the company has maintained proper records of the transactions and contracts relating to dealings in shares securities debentures and other investments and these are held by the company in its own name
(xv) According to the information and explanations given to us the Company has not given
guarantees for loans taken by others from bank or financial institutions
(xvi) The Company has not taken any Term Loans and hence reporting on the utilisation of such loans does not arise
(xvii) According to the information and explanations given to us and on an overall examination of the balance sheet of the company as at 31 st March 2011 we report that short term funds have not been used for long term investment
(xviii) The Company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section covered in the Register maintained under section 301 of the Companies Act 1956 shy
(xix) The Company has not issued any Debentures and hence the question of reporting on creation of security or charge in respect of Debentures issued does not arise
(xx) The Company has not raised any resources by way of public issues- and hence the question of reporting on the disclosure relating to end use of such resources does not arise
(xxi) During the course of our examination of the books and records of the company carried out in accordance with the generally accepted auditing practices in India and according to the information and explanations given to us we have neither come across any instance of fraud on or by the company noticed or reported du~ng the year nor have we been informed of such case by the management
For SHANKER GIRl amp PRABHAKAR Chartered Accountants
Firm Registration Number 03671S ~
~Y-~~d0~ Iti ~~(i(CHIIRTERED ~ll-lt CCOUtONlSIgt
PPRABHAKAR RAO 1 -t- )7 J ~ iPartner ~~- ~ r~ 1CHENNAI 13 I bS 2 0
Membership Number 18408 ~~~1f~~ ~--
13
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
Kartik Investn1ents Trust Limited
Balance Sheet as at March 31st 2011
Sources of Funds
As at 3I-Mar-2011 Rs
As at 3I-Mar- 2010
amp
1 Shareholders Funds
Share Capital
Reserves amp Surplus
Surplus in Profit and Loss Account
A 2440000
7742926
2440000
7648411
10182926 10088411
Application of Funds
1 Investments B 590521B 5905218
2 Current Assets loans amp advances
Cash amp Bank balances
Loans amp Advances
(A)
C
D
3026246
1289174
4315419
191695
4036954
4228649
Less Current L1abilHles amp Provisions
Liabilities E 37711 45456
Net Current Assets
(B)
(A) - (B)
37711
4277708
46456
4183193
Notes on Accounts I
10182926 10088411
This is the Balance Sheet referred to in our report of evex date
For Shanker Girl amp Prabhakar
P Prabhakar Rao Partner
R Surendran Suresh Krishnan Chairman Director
14
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
Karlik Investments Trust Linlited
Profit amp loss account for the year Ended March 312011
Sch~dgl Y~i~ Y~ar~nded 31-Mar-2011 U-Mar-2010
Income Rs
Interest ampOther Income F 216561
216561
Expenses
Administrativeamp Other Expenses G 122046
Interest H
122046
ProfitCLoss) before taxation 94515
Provision for taxation - Current Tax
ProfitCLoss) after taxation 94515
Balance brought forward from previous year 7648411
Balance carried to Balance Sheet 7742926
Notes on Accounts I
Rs
2922578
2922578
198697
166413
365110
2557467
367200
2190267
5458144
7648411
This is the Profit amp Loss Account referred to in our report of even date
For Shanker Girl amp Prabhakar
Chartered Accountants
P Prabha~r Rao RSurendran ~Krishnan Partner Chaittman Director Place Chennai
Date 13 oS2011
15
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
Kartik Investments Trust Limited
Schedules to Balance Sheet As at 31-Mar-2011 As at 31-Mar- 2010
A Share Capital Rs Rs
Authorised
1000000 Equity shares of RslO each 10000000 10000000
10000000 10000000 Issued subscribed and paid-up
244000 Equity shares of Rsl 0 each fully paid 2440000 2440000
2440000 2440000
B Investmentsmiddot At Cost F~llValye N2 ~ ~ ~
long Term - Non Trade Rs
In fully paid Equity Shares
Quoted
The Coromandel Engineering Co Ltd 10 26876 191443 26876 191443
(11) 191443 191443
Unguoted
Cholamandalam MS Risk Services Ltd 10 10008 100080 10008 100080
Chola Business Services Ltd 10 9500 95000 9500 95000
Murugappa Management Services Ltd 100 6727 675150 6727 675150
Murugappa Morgan Thermal Ceramic Ltd 10 42 42
Parry Engineering amp Exports Ltd 10 201600 1754726 201600 1754726
Cholamandalam MS General Insurance Ltd 10 100 1000 100 1000
Amaravathi Sri Venkatesa Paper Mills Ltd 10 70000 3087777 70000 3087777
(B) 5iI3775 5713775
Total (A + B) 5905218 5905218
Market Value oCQouted Investments 5912720 5267696
16
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
Kartik Investments Trust Linlited
Schedules to Balance Sheet
C Cash and Bank balances
Balances with Scheduled hanks
- On Current Account
- On Deposit Account
D Loans and Advances (Unsecured Considered Good)
Short Term Deposit and advances with Companies
Interest accrued but not due on Bank Deposits
Advance payment of tax and Tax deducted
at source (Net of prOvision for tax - Rs378366shy
(2010 - Rs378366-)
L Current Uabilities
Provisions Payable
Other Liabilities
As at 3I-Mar-2011
226245
2800000
3026245
67303
l22187l
1289174
24817
12894
37711
As at 31-Mar- 2010
191695
191695
2800000
1236964
4036954
29781
16676
45456
17
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
Karlik Investments Trust Limitedmiddot
Schedules to Profit and loss account
Yearended 31-My-2011
F Interest amp Other Income Rs Rs
Interest -leD Placed (TDS Rs 3498-) 34981 31913
- Deposits with Bank (TDS -Rs7478-) 74781
Dividend 106799 181130
Profit on Sale of Investments 2709535
216561 2922578
6 Administrative Expenses
Rates amp Taxes 12530 24225
Advertisement 46558 89907
Printing amp StCtionery 2520
Auditors Remuneration
- For Audit 27575 27575
- For Certification 16545 10927
Legal and Professional charges 16318 46063
122046 198697
H Interest
Interest on fixed loans 163897
Bank charges 2516
166413
18
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
Karlik Investments Trust Umited
Schedules to accounts for the year ended 31st March 2011
K Notes on Accounts
1 SIGNIFICJ1NT ACCOUNTING POLICIES
a) BASIS OF ACCOUNTING
The accounts of the Company have been prepared on a Going Concern Basis
b) REVENU8 RECOGNITION Accual basis of accounting has been adopted for both revenue and costs
c) INVESTMENTS
Investments are valued at cost and income arising there from is accounted on accrual basis The diminution il
the market value of suCh investments has been provided for wherever such diminutionis considered
permanent
Z In accordance with the provisions of Accounting Standard 22 Accounting for Taxes on Income issued by
the Institute of Chartered Accountants of India Deferred Tax Asset attributable to unabsorbed carried over
business losses and losses under the head Capital Gains as at 31-03-2011 is not recognised in viewofthe
uncertainty regai-dng its utilisation by way of set off in subsequent years The aggregate deferred tax asset not recoqnised as at 31st March 20 11 is Rs43611acs
3 Related parties
There are no related parties
4 Earning per sharfi llillHl ~ Rs Rs
a) Profit as per Profit and Loss account 94515 2190267
b) Weighted average number of Equity Shares
of Rs10 each outstanding during the year 244000 244000
c) Earnings per share 039 81)8
5 Segment Reporting
The Company is engaged in the b~inessOf dealing in Investments and Finance and hence this is considered
the only business segment
6 Previous years figures have been reclassified whereever necessary to confirm to the classification
adopted in these accounts
SIGNATURES TO SCHEDULES A TO K
For Shanker Girl amp Prabhakar
P Prabhakar Rac Partner
RSurendran )uresh Krishnan Chairman Director
19
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
I
Karlik Investments Trust Limited
Balance Sheet Abstract and Companys General Business Profile AS PER PART IV TO SCHEDULE VI TO THE COMPANIES ACT 1956
Registration Details
Registration No cr-ItliJm~J]J State Code
Balance Sheet Date 131110 InZrD 11 UJ Capital raised during the year (Amount in Rs Thousands)
Public Issue
I I Bonus Issue Private Placement
Cl~ I Nrmmrmcm
11 Position of Mobilisation and Deployment ofF~nds (Amount in Rs Thousands)
Total Uabilities
[] I I 1110 1813 Source ofFunds
Paid-up capital
-gt-1---------I------------------11mmlm 4 I 4 10 I Secured Loans
Application ofFunds
Net fixed assets
Deferred Tax Asset
Miscellaneous expenditure Accumulated losses
[T I I I I Nil ILl IV Performance of Company (Amount in Rs Thousands)
+ Profit before Tax + ProfiVlossanerTax
(Please tick Appropriate box + for Profit - for Loss)
V Generic Names of Three Principal ProductsServices of Company (as per monetary terms)
Product Description Investments
For Shanker Girl amp Prabhakar
P Prabhakar
Partner RSurenruan Suresh Krishnan Chairman Director
20
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
Karlik Investments Trust Umited
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 312011
2009-20102010-2011
A CASH FLOWS FROM OPERATING ACTIVITIES
2551461NET PROFIT(LOSS) BEFORE TAX 94515
ADJUSTMENTS FOR Interest Received (31913)(109162)
(2109535)Profit on sale of investments -(181130)Dividend (106199) 166413Interest expeIlSes -
(198698)(122046)OPERATING PROFIT BEFO~WORKING CAPITAL CHANGP
ADJUSTEMENTS FOR Trade and Other Receivables (2800000)2132691
(11616)Trade Payables (1145)
(3016374)CASH GENERATED FROM OPERATIONS 2602906
- (166413)Interest Paid (3191)15083Direct IltPl(1spaid Irefunds
(3185978)2617989NET CASH FROM OPElUlTING ACTlVITIES (A)
B CASH FLOW FROM INVESTING ACTIVITIES
-Loans and Advances Sale I (Purchase) of Investments
--5092929Sale of Investments -
31913Interest Received on Bank and Other deposits 109762 181130Dividend Received on Investments 106799
5305972
C CASH FLOW FROM FINANCING ACTIVITIES
216561NET CASH USED IN INVESTING ACTlVITlES (B)
(2300000)Repayment of borrOwings
(2300000)NET CASH USED IN FINANCING ACTIVITIES (0) -(180006)2834550NET INCREASE IN CASH AND CASH EQUIVALENTS (A+B+O)
371701191695CASH AND CASH EQUIVALENTS AS AT BEGINNING OF THE YEAR I
GASH AND CASH EQUIVALENTS AS AT THE END OF THE YEAR 1916953026245
This is tlJ~ Cash Flow Statement referred to in our report of even date
P Prabhakar Rao Pal1ner
Place Chennai
RSurendran Sresh Krishnan Chairman Director
Date 13oS2 Ofl
21
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate
Registered Office KARTIK INVESTMENTS TRUST LIMITED
PARRY HOUSE No43 Moore Street Parrys Chennai 600 001
Folio No ADMISSION SLIP
Name amp Address of Member
I certify that I am a registered Shareholder of the Company and hold Shares
Please indicate whether Member Proxy
Members Proxys Signature Notes I Shareholders Proxy holders must bring the Admission Slip to the meeting and hand over the
same at the entrance duly signed
2 Shareholders are requested to advise their change in address ifany to the Companys Registered Office quotingfolio numbers
KARTIK INVESTMENTS TRUST LIMITED Registered Office PARRY HOUSE No43 Moore Street Parrys Chennai 600001
PROXY FORM Folio No No of Shares
I We of
Being a Member Members of Kartik
Investments Trusts Limited hereby appoint
of or failing him her
of as my proxy to
attend and vote for me us on my our behalf in the manner indicated below at the Thirty third Annual General Meeting of the Company to held at 4 pm on Wednesday the 31 s1 August 2011 and at any adjournment thereof
For item Nos -
Against item Nos -
Signed this day of 2011 ---
Affix 15 Paise Signature ofthe Member Proxy Revenue
I
I
bull__ ~~~__ J I
Note The Proxy form must reach the Registered Office ofthe Company not less that 48 hours before the time for holding the aforesaid meeting The Proxy need not be a Member ofthe Company
This is only optional please fiJI up item nos as appearing in the notice of the AGM Ifyou leave the item nos blank your proxy will be entitled to vote in the manner as heshe thinks appropriate