Jindal Cotex Ltd. - Quarterly/Annual Result Disclosures and Notes dated 31 Mar 2018
Auditor and Management Disclosures and Notes for the annual results dated 31 Mar 2018
The Associate company(Himachal Textiles Park Limited) has not yet started its operations . So in said company, there is no profit or loss and no impact on consolidation of financial statement.
1 The above results were reviewed by the Audit Committee of Directors on 30th May, 2018 and taken on record by the Board of Directors at its meeting held on 30th May, 2018.
2 The Associate company (Himachal Textiles Park Limited) has not yet started its operations. So in said company, there is no profit or loss and no impact on consolidation of financial statement.
3 The audited financial results of the company have been prepared in accordance with Indian Accounting Standards (Ind AS) as specified in the companies (Indian Accounting Standard) Rules, 2015 as amended in terms of regulation 33 of the SEBI (listing obligation and disclosure requirement) Regulation, 2015 and SEBI circular dated July 05, 2016. The company has for the first time adopted Ind AS for the financial year commencing from April 01, 2017 with a transition date of April 01, 2016.
4 The consolidated financial results have been prepared with audited financials of the company’s subsidiaries namely Jindal Medicot Limited, Jindal Specialty Textile Limited and with unaudited financials of Jindal International FZE, an subsidiary and M/s Himachal Textile Park Ltd, an associate company.
5 Since all the accounts of the company and its Indian subsidiaries have been declared Sub-standard over a period of time, the banks have started recovery action under SARFAESI Act. In the absence of any information on interest on outstanding dues to the bank, the provision of interest has not been made by the company.
6 Oriental Bank of Commerce & Allahabad Bank being the lenders to M/s Jindal Cotex Ltd and Punjab National Bank & Allahabad Bank being the lenders to the M/s Jindal Specialty Textiles Limited have assigned their Debt to J M Financial ARC Pvt. Ltd.
7 Since company has not conducted actuarial valuation of employee benefits during the previous years, hence Ind AS 19, Employee Benefits cannot be applied.
8 The Company has already made a provision for trade receivables aggregating to Rs. 6510.26 lakhs in previous years as per compliance of Ind AS 37.
9 Regarding compliance of provision IND AS 109 in respect to accounting of corporate guarantee for Rs. 256.10 crore given by the M/s Jindal Cotex Limited to its subsidiaries, as the same is presently not ascertainable as accounts of the subsidiaries have turned sub-standard over a period of time.
10 Amortization of processing fees of term loans has not been done as required by Ind AS, since accounts of the company and its subsidiaries have been classified as NPA before the transition date as per Ind AS.
11 Previous period's figures have been regrouped / rearranged wherever considered necessary. The figure for the quarter ended 31st March, 2018 and the corresponding quarter ended in the previous year as reported in these financial result are the balancing figures between audited figures in respect of the full financial year and the year to date figures upto the end of the third quarter of the relevant financial year.
12 There was no manufacturing activities at unit of the M/s Jindal Cotex Limited situated at VPO- Jugiana , GT Road Ludhiana
Reconciliation of financial results to those reported under previous Generally Accepted Accounting Principles (GAAP) are summarized as follows: