A N N U A L R E P O R T NKG Infrastructure Limited

Transcription

1 A N N U A L R E P O R T NKG Infrastructure Limited

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26 Fixed Deposit The company has not accepted any deposit from the public within the meaning of section 58A of the Companies Act, 1956 during the year under review. Dividend The company intends to continue its growth and expansion even more aggressively in the coming years for which internal accruals need to be ploughed back. Hence, the board regrets its inability to declare dividend for the year ending 31st March Operational Overview The year under review has been phenomenal for the company. This year witnessed your company grow in its operations and expand itself into newer areas. The company has effectively broadened its horizon to projects and works such as Sewage Treatment Plant, Power Substations, R.O.Bs, Hydro-Electric Power and Airport Development. Your company ensured the timely completion of the allocated projects with assured quality and the standards set over the years. The company has secured World Bank/ Asian Development Bank projects which include the works at Almora- Bageshwar, two works at Haridwar and MPRDC etc. The company has bagged one NHAI contract of the balance work of construction of segment of Lucknow Bypass connecting NH-25 and NH-28 via Lucknow city (U.P.). It has bagged a project with Larsen & Toubro enabling its entry in the Maharashtra region. This work involves airport renovation, hence expanding the operative reach of the company. The development of the Monad University over a landscape of 100 acres has been yet another achievement for the company. The company has undertaken the work of expansion of the new block of ESIC hospital at Sector 24, Noida. During the year under review, your company secured the work of construction, erection, testing, commissioning and laying of rising main etc. for 56 MLD sewage treatment plant based on cycle activated sludge process (SBR Technology) followed by O&M at Dundahera, Ghaziabad (U.P.). The company has divested its stakes in its erstwhile subsidiaries viz. Tybros Resorts Private Limited & Suvipraa Infrastructures Private Limited and accordingly Tybros Resorts Private Limited & Suvipraa Infrastructures Private Limited have ceased to be its subsidiaries. Directors In accordance with the provisions of the Companies Act, 1956 and the Articles of Association of the company, Mr. Y. C. Rishi, Mr. N. K. Garg & Mr. R. B. Maheshwari retire by rotation and seek to be appointed as Directors at this Annual General Meeting. Mr. Rajeev Bansal has resigned from directorship of the company. Mr. Devendra Kumar Garg has been elevated as the Joint Managing Director of the Company. Mr. B. P. Singh has been appointed as a Whole Time Director. A civil engineer with over 40 years experience, Mr. B. P. Singh retired as Joint Managing Director from U.P. Bridge Corporation Limited before joining NKG Infrastructure. Mr. Achin Garg has been appointed as an Independent Director. Mr. Achin Garg, BE in IEM, has a rich industry experience of 11 years. Directors Responsibility Statement Pursuant to the provisions of Sections 217(2AA) of the Companies Act, 1956, it is confirmed that: (1) In preparation of the Annual Accounts for the financial year ended 31st March 2009, the applicable accounting standards have been followed and there has been no material departure. (2) The directors have selected such Accounting Policies and applied them consistently and made judgements and estimates that were reasonable and prudent so as to give a true and fair view of the state of affairs of the company at the end of the financial year 31st March, 2009 and of the profit of the company for the said financial year ending 31st March, (3) The directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 1956 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities. (4) The directors have prepared the Annual Accounts for the financial year ended 31st March 2009, on a going concern basis. Corporate Governance A separate section titled Corporate Governance has been included in this annual report, along with the report on Management Discussion and Analysis. Auditors The auditors of the company, M/s S.K.Mehta & Company, Chartered Accountants, New Delhi retire at the forthcoming Annual General Meeting and are eligible for reappointment. The directors recommend that S.K.Mehta & Company be appointed as the Company s auditors to hold office until the conclusion of the next Annual General Meeting. 24

27 The company has received confirmation from them to effect that their appointment, if made, would be within the prescribed limit under section 224(1B) of the Companies Act, Auditors Qualification on Accounts The observations of the Auditors and the relevant notes on the accounts are self- explanatory and therefore do not call for any further comment and explanations. Particulars of Conservation of Energy, Technology Absorption and Foreign Exchange Earnings and Outgo The statement giving details of the Conversation of Energy, Technology Absorption and foreign Exchange earnings and outgo in accordance with 217 (1) (e) of the Companies Act, 1956, read with the Companies (Disclosure of the particulars in the Report of Board of Directors) Rules, 1988, is given below: A. Conservation of Energy Energy conservation continues to be a prime focus for the company. It is practiced by incorporating renewable power and energy saving measures wherever possible. The company has taken effective steps to minimize waste of electrical energy by inculcating energy saving habits among its employees and workers. B. Technology Absorption The Company has not imported any foreign technology. It has constantly developed and improved its own systems and procedures and thereby has been able to successfully and efficiently complete various works. C. Foreign Exchange Earning/Outgo: NIL Particulars of Employee As required by the provisions of Sections 217 (2A) ofthe Companies Act, 1956, read with the Companies (Particulars of Employees) Rules, 1975 the nameand other particulars of the employees are as under: Name Age Designation Date of Remuneration Qualification Experience Previous (years) Employment (Gross) (Rs.) (years) Employment Mr. Pradeep Garg 43 Managing ,000,000 B.Com, LL.B, 16 Practicing Chartered Director F.C.A Accountant Acknowledgement The Directors wish to express their deep appreciation for the cooperation and assistance received from vendors, customers, financial institutions, banks, shareholders, various government departments and the society at large. The Directors also take on record their appreciation for the commitment displayed by employees across all levels towards the success and growth of your company. For and on behalf of the Board of Directors Place : New Delhi Dated : 15 April, 2009 Naresh Kumar Garg Chairman 25

28 Corporate Governance High standards of corporate governance play a pivotal role in the success of the business and have the objective of inculcating a corporate culture of transparency, openness, equity and fairness in its operations to enable maximum value creation. The Company believes in conducting the affairs in a fair and transparent manner and adhering to the highest ethical standards for securing long term shareholder value. Board of Directors In terms of Corporate Governance philosophy, all statutory and other significant material information is placed before the Board of Directors to enable it to discharge its responsibilities of strategic supervision of the Company. The Board consists of eleven Directors out of which five are Non- Executive Independent Directors. Committees of Directors As a part of Good Corporate Governance, the Company has constituted the following committees of our Board of Directors for compliance with corporate governance requirement: (1) Audit Committee (2) Remuneration Committee (3) Shareholder/ Investor Grievance Committee Audit Committee The Audit Committee was constituted on 30/03/2005 as per the requirements of Section 292A of the Companies Act, The audit committee currently comprises of: S. No. Name of Director Designation Nature of Directorship 1. Mr. Tarun Kansal Chairman Independent & Non- Executive Director 2. Mr. Pradeep Garg Member Managing Director 3. Mr. R.B.Maheshwari Member Independent & Non-Executive Director 4. Mr. R.P.Sharma Member Independent & Non- Executive Director The company secretary of our company is the secretary of the committee. Remuneration Committee The Remuneration committee was constituted by our Directors at their Board Meeting held on 12/09/2007. S. No. Name of Director Designation Nature of Directorship 1. Mr. Tarun Kansal Member Independent & Non- Executive Director 2. Mr. R.B. Maheshwari Member Independent & Non- Executive Director 3. Mr. Rajeev Garg Member Independent & Non- Executive Director 4. Mr. B.P. Singh Member Director Technical The company secretary of our company is the secretary of the committee. Share Transfer and Investor Grievance Committee The Share Transfer and Investor Grievance Committee, as a subcommittee of the board, is responsible for the smooth functioning of the share transfer process as well as redressal of shareholder/investor grievance. The composition of the committee as on 31st March, 2009 is as follows. S. No. Name of Director Designation Nature of Directorship 1. Mr. Tarun Kansal Member Independent & Non- Executive Director 2. Mr. Pradeep Garg Member Managing Director 3. Mr. Rakesh Kumar Member Executive Director 4. Mr. Rajeev Garg Member Independent Director & Non- Executive Director The company secretary of our company is the secretary of the committee. Human Resources Selection of key personnel, major equipments and systematic approach besides quality consciousness and team work are the watch words to growth of this organization. The company has succeeded in establishing an efficient corporate organizational hierarchy. It has broad based its Board by inculcating in it a mix of professional, independent and technically qualified persons thereon. It has dedicated a great amount of time and resources for the purpose of identifying appropriate talent and building a strong team. Furthermore, it has put in place effective remuneration policies and incentives to keep the workforce motivated and geared to face challenging tasks. The relations with the employees have remained cordial 26

29 Auditors Report To the members of NKG INFASTRUCTURE LIMITED 1. We have audited the attached Balance Sheet of NKG INFASTRUCTURE LIMITED as at 31st March 2009, the Profit and Loss Account and also the Cash Flow Statement for the year ended on that date annexed thereto. These financial statements are the responsibility of the company s management. Our responsibility is to express an opinion on these financial statements based on our audit. 2. We conducted our audit in accordance with Auditing & Assurance Standards generally accepted in India. These 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 amount 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 (Auditor s Report) Order, 2003 issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act, 1956, we enclose in the Annexure statement on the matters specified in paragraph 4 and 5 of the 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 purpose of our audit. iii. The Balance Sheet, the Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books of account. iv. In our opinion, the Balance Sheet, the Profit and Loss Account and the Cash Flow Statement dealt with by this report comply with the Accounting Standards referred to in sub-section (3C) of section 211 of the Companies Act, v. On the basis of written representations received from the directors and taken on record by the Board of Directors, we report that none of the directors is disqualified as on 31st March 2009 from being appointed as a director in terms of clause (g) of subsection (1) of section 274 of the Companies Act, vi. In our opinion and to the best of our information and explanations given to us, the said accounts give the information required by the Companies act, 1956 in the manner so required and give a true and fair view in conformity with accounting principles generally accepted in India. (a) in the case of the Balance Sheet, of the state of affairs of the Company as at 31st March, (b) in the case of the Profit and Loss Account, of the Profit for the year ended on that date., and (c) in the case of the Cash Flow Statement, of the cash flows of the company for the year ended on that date. For S.K.MEHTA & CO. Chartered Accountants ii. In our opinion proper books of account as required by law have been kept by the company so far as appears from our examination of those books. B.P.SAXENA Place : New Delhi Partner Dated : 15th April, 2009 Membership No

30 Annexure to the Auditors Report Statement Referred to in Paragraph Above of our Report of Even Date. 1. a) The Company is maintaining proper records showing full particulars including quantitative details and situation of fixed assets on the basis of information available. b) According to information and explanations given to us, the fixed assets have been physically verified during the year. No material discrepancies were noticed on such verification. c) Substantial part of fixed assets has not been disposed off during the year. 2. a) As explained to us the inventories have been physically verified by the management on periodic basis. b) In our opinion, procedure of physical verification is reasonable and adequate in relation to the size of the Company and nature of its business. c) The Company has maintained proper records of the inventory and no material discrepancies were noticed on physical verification. 3. During the year company has taken loan of Rs lacs from directors, shareholders and associate companies. Rate of interest and other terms and conditions of loans given or taken by the company, secured or unsecured, are not prima facie prejudicial to the interest of the company. Outstanding loan from above parties as on is Rs Lacs. 4. In our opinion and according to information and explanations provided to us there are adequate internal control procedures regarding purchase of inventory and fixed assets and for the sale of goods. During the course of audit we have not observed any continuing failure to correct major weakness in internal control system. 5. As explained to us, transactions that need to be entered into register in pursuance of section 301 of Act have been entered. In our opinion transactions have been made at reasonable price considering the prevailing market prices. 6. During the year no deposits u/s 58A of the Companies Act 1956, were accepted from the public. 7. Company has an in house Internal Audit System, which in our opinion is commensurate with the size and nature of its business. 8. The cost records have not been prescribed for the Company. 9. a) Undisputed Statutory dues in respect of Provident Fund, Investor Education and Protection fund, Employees State Insurance, Income tax, sales tax, wealth tax, custom duty, excise duty, cess have generally been regularly deposited with the appropriate authorities within a period of six months from the date they became payable. b) According to the information and explanations given to us, there are no undisputed statutory dues payable in respect of Provident Fund, Investor Education and Protection fund, Employees State Insurance, Income tax, sales tax, Wealth tax, custom duty, excise duty, cess which are outstanding as at for a period of more than six months from the date they became payable. c) The disputed statutory dues aggregating to Rs. 5,088,735 that has not been deposited on account of disputed matters pending before appropriate authority is as under: Name Nature Amount Period to which Forum where of of ( Rs.) amount relates dispute is Statute Dues pending Income Tax Income 5,088,735 A.Year CIT (Appeals) Act, 1961 Tax New Delhi 10. The company has no accumulated losses and has not incurred cash losses during the financial year covered by our audit and the immediately preceding financial year. 11. In our opinion and according to information and explanations provided to us the company has not defaulted in the repayment of dues to financial institution or banks. 12. In our opinion and according to information and explanations provided to us the company has not granted loans and advances on the basis of security by way of pledge of shares, debentures and other securities. 13. The Company is not a Chit fund, Nidhi or mutual benefit society. Hence, requirements of clause (xiii) are not applicable to the company. 14. The Company is not dealing or trading in shares, securities, debentures and other investments. 28

31 15. The Company has given corporate guarantee of Rs. 13 crores to banks for the loans taken by associate company. 16. As per information and explanations given to us, term loans were applied for the purpose of which loans were obtained. 17. According to information and explanations provided to us no fund raised on short-term basis has been used for longterm investment. Similarly, no funds raised on long-term basis have been used for short-term investment. 18. During the year company has made preferential allotment of 2,031,830 equity shares to promoters and associate companies. 19. The Company has not issued any debentures. Therefore, clause (xix) of the order is not applicable. 20. During the year no money is raised by the Company by way of public issues. 21. According to the information and explanation given to us, fraud on or by the Company has not been noticed or reported during the year. For S.K.MEHTA & CO. Chartered Accountants B.P.SAXENA Place : New Delhi Partner Dated : 15th April, 2009 Membership No

32 Balance Sheet as at 31st March 2009 (Rs.) Particulars Schedule As at As at SOURCES OF FUNDS Shareholders' Funds Share Capital A 124,085, ,766,730 Reserves & Surplus B 1,569,897, ,444,368 Loan Funds Secured Loans C 1,239,761, ,232,465 Unsecured Loans D 24,134,724 9,107,147 Deferred Tax Liability ( Net ) 22,100,434 12,592,434 2,979,978,591 1,644,143,144 APPLICATION OF FUNDS Fixed Assets E Gross Block 603,365, ,706,604 Less Depreciation 66,898,951 31,115,492 Net Block 536,466, ,591,112 Investments F - 40,060,000 Current Assets, Loans and Advances Inventories G 694,709, ,523,683 Sundry Debtors H 1,136,381, ,513,122 Cash & Bank Balances I 511,278, ,379,212 Loans and Advances J 312,769, ,128,663 2,655,138,468 1,273,544,680 Current Liabilities & Provisions Current Liabilities K 208,633,012 46,217,648 Provisions L 2,993,060 1,835, ,626,072 48,052,648 Net Current Assets 2,443,512,396 1,225,492,032 2,979,978,591 1,644,143,144 Notes to Accounts and Significant Accounting Policies P The Schedules referred to above form an integral part of the Balance Sheet. As per our Report of even date attached For S.K.Mehta & Co. Chartered Accountants For NKG Infrastructure Limited B.P.SAXENA Rakesh Kumar Pradeep Garg Gurdeep Kaur Partner Executive Director Managing Director (M. No ) Membership No Company Secretary Place : New Delhi Dated : 15th April,

33 Profit & Loss Account for the Year Ended 31st March 2009 (Rs.) Particulars Schedule As at As at INCOME Income from Operations 5,422,742,979 3,564,642,498 Less: Service Tax 4,437,772 17,960,369 5,418,305,207 3,546,682,129 Other Income 14,772,305 6,721,612 Increase/(Decrease) in stock M 814,574, ,832,448 6,247,652,432 3,870,236,189 EXPENDITURE Contract Expenditure 5,612,104,186 3,495,466,176 Personnel expenses N 62,722,695 30,223,686 Administrative & General expenses O 118,146,612 45,920,491 Depreciation 35,899,639 15,985,264 Financial charges 118,166,596 52,010,315 Profit before Tax 300,612, ,630,257 Provision for Tax - Current year 70,000,000 56,500,000 - Fringe Benefit Tax 858, ,000 - Deferred Tax 9,508,000 5,500,000 Excess Provision of earlier years written back - 2,511,621 Profit after Tax 220,246, ,723,878 Profit brought forward from Previous year 289,036, ,312,520 Balance carried to Balance Sheet 509,283, ,036,398 Earning per share ( Equity shares, Face value Rs.10/- each) Basic & Diluted Notes to Accounts and Significant Accounting Policies P The Schedules referred to above form an integral part of the Profit & Loss Account As per our Report of even date attached For S.K.Mehta & Co. Chartered Accountants For NKG Infrastructure Limited B.P.SAXENA Rakesh Kumar Pradeep Garg Gurdeep Kaur Partner Executive Director Managing Director (M. No ) Membership No Company Secretary Place : New Delhi Dated : 15th April,

34 Schedules forming part of the Accounts (Rs.) Schedules As at As at A SHARE CAPITAL Authorised 1,60,00,000 ( Previous year 1,60,00,000 ) Equity shares of Rs. 10/- each 160,000, ,000,000 Issued, subscribed and paid-up 1,24,08,503 ( Previous year 1,03,76,673 ) Equity shares of Rs.10/- each fully paid up. 124,085, ,766, ,085, ,766,730 B RESERVES & SURPLUS General Reserve As at the beginning of the year 289,036, ,312,520 Add Transfer from Profit & Loss Account 220,246, ,283, ,723,878 Share Premium As at the beginning of the year 502,407,970 Add during the year 558,206,200 1,060,614, ,407,970 C D 1,569,897, ,444,368 SECURED LOANS Term Loans From Banks 84,648,345 86,476,600 ( Secured against hypothecation of specific Machinery & vehicles ) From Others 152,802, ,925,636 ( Secured against hypothecation of specific Machinery & vehicles ) 237,450, ,402,236 Cash Credit From Banks (Secured by way of pari-passu first charge on the current 1,002,310, ,830,229 assets and moveable fixed assets excluding those specifically charged to other bankers, equitable mortgage of immovable properties in the name of directors/ relatives/ associate companies and by way of guarantees of direcors/ relatives/ associate companies) 1,002,310, ,830,229 TOTAL 1,239,761, ,232,465 UNSECURED LOANS From Banks & Financial Institutions 7,059,915 9,107,147 From Directors and their relatives 17,074,809-24,134,724 9,107,147 32

35 E Statement of Fixed Assets (Rs.) Gross Block Depreciation Net Block Particulars Cost as on Additions Sale/ Total as on As on During the Sale/ Total As on As on during the year Adjustment Year Adjustment Land & Building 10,821,700 2,090,438-12,912, , , ,446 12,513,692 10,594,460 Plant & Machinery 178,322, ,638, ,961,189 13,367,171 11,028,269-24,395, ,565, ,955,033 Vehicles 14,119,601 20,037, ,837 33,200,911 2,580,716 2,454, ,180 4,919,117 28,281,794 11,538,885 Furniture & Fixtures 768, ,138-1,687,664 83,885 73, ,684 1,529, ,641 Office Equipment 3,764,005 3,014,388-6,778, , ,545-1,039,751 5,738,642 3,340,799 Earth Movng Machine 157,961,099 59,635, ,596,793 14,433,274 21,555,239-35,988, ,608, ,527,825 Total 365,757, ,335, , ,137,088 31,115,492 35,899, ,180 66,898, ,238, ,641,643 Capital work In Progress 43,949,469 38,068,633 50,790,044 31,228, ,228,058 43,949,469 Grand Total 409,706, ,404,423 51,745, ,365,146 31,115,492 35,899, ,180 66,898, ,466, ,591,112 Previous Year 169,952, ,530,456 8,776, ,706,604 15,130,227 15,985,265-31,115, ,591,112 (Rs.) Schedules As at As at F G H INVESTMENTS Long Term Investments ( At Cost ) : (Unquoted) Shares in Subsidiary Company Nil ( Previous year 51,000 Nos.) Equity shares of Rs. 10/- each in Tybros Resorts Pvt.Ltd. Fully paid up - 510,000 Nil ( Previous year 50,000 ) Equity shares of Rs. 10/- each in Suvipra Infrastructure Ltd ,000 Share Application Money with Suvipra Infrastructure Ltd. - 37,500,000 Share Application Money with Land Craft Developers Pvt. Ltd. - 50,000 Balaji Land Craft Pvt.Ltd. - 1,500,000-40,060,000 CURRENT ASSETS Inventories (As valued and certified by Management of the Company- Valued at cost) - (including Goods in transit Rs. 28,823,970 - Previous Year Rs. Nil) - Work-In-Progress ( Including stock at sites ) 1,238,735, ,160,649 Less: Advance Received from clients (544,026,041) (221,636,966) 694,709, ,523,683 SUNDRY DEBTORS (Unsecured & considered good) Debts outstanding for a period exceeding six months 1,615,604 11,059,704 Other Debts 1,134,765, ,453,418 1,136,381, ,513,122 33

36 Schedules As at As at (Rs.) I CASH & BANK BALANCES Cash in hand 1,596,806 1,748,699 Cheques in hand 170,000,000 - Balance with Scheduled Banks : - Current Accounts 4,588,980 1,647,184 Fixed Deposit Account ( Including Rs.326,189,989 ( Previous Year Rs.173,389,561) Pledged with Banks against limits). 335,092, ,983, ,278, ,379,212 J LOANS & ADVANCES ( Unsecured but considered good) Advances recoverable in cash or in kind or for value to be received 36,289,197 12,407,778 Security deposit/ Retention Money held with customers 179,721,495 66,265,373 Prepaid Expenses 22,476,438 6,645,002 Interest accrued & due on fixed deposits 3,623,969 3,384,798 Balance with Excise Authorities 7,418,965 2,559,908 Advance Tax (Net of Provisions) 63,239,465 20,865, ,769, ,128,663 K CURRENT LIABILITIES Trade Creditors 202,343,684 32,818,844 Expenses Payable 5,366,168 13,398,804 Security Deposit Payable 923, ,633,012 46,217,648 L PROVISIONS Provision for Employees Benefits 2,993,060 1,835,000 2,993,060 1,835,000 M INCREASE/ DECREASE IN STOCK Closing Work-in- progress ( Including stock at sites ) 1,238,735, ,160,649 Less: Opening Work-in Progress ( Including stock at sites) 424,160, ,328, ,574, ,832,448 N PERSONNEL COSTS Salary & other benefits 62,102,295 29,899,543 Staff Welfare 620, ,143 62,722,695 30,223,686 34

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41 Cash Flow Statement for the year ended Sr. Particulars As at As at No (A) CASH FLOW STATEMENT FROM OPERATING ACTIVITIES Net Profit Before Taxation 300,612, ,630,257 Adjustments for :- Depreciation 35,899,639 15,985,264 Interest Paid 92,558,849 41,494,697 (Gain)/Loss on sale of Fixed Assets 0 0 (Gain)/Loss on sale of Investment 0 0 Interest Income (14,748,904) (6,334,056) Operating Profit Before Working Capital Changes 414,322, ,776,162 Adjustments for :- Current Assets Change in Debtors 383,867, ,044,219 Change in Inventories 492,185, ,832,448 Change in Loans & Advances 158,267,205 35,358,060 Change in Other Current Assets 0 0 Increase/(decrease) in Current Assets 1,034,321, ,234,728 Current Liabilities & Provisions Increase/(decrease) in Current Liabilities & Provisions 163,573,424 75,456,839 Net Increase/(Decrease) in Working Capital 870,747, ,777,889 Cash Generated from Operations (456,425,291) (395,001,727) Direct Taxes Paid 113,231,661 58,456,566 Total Cash Flow from Operation (A) (569,656,952) (453,458,293) (B) CASH FLOW FROM INVESTING ACTIVITIES Purchase of Fixed Assets 194,614, ,754,137 Disposal of Fixed Assets (839,657) 0 Interest Received (14,748,904) (6,334,056) Purchase / (Sale) of Investments (40,060,000) 36,550,000 (Gain)/Loss on sale of Investments 0 0 (Gain)/Loss on sale of Fixed Assets 0 0 Net Cash Used in Investing Activities (B) 138,965, ,970,081 (C) CASH FLOW FROM FINANCING ACTIVITIES Proceeds from issue of Share Capital (a) Share Capital 20,318,300 28,249,980 (b) Share Premium 558,206, ,749,720 Proceeds from Borrowings 527,556, ,414,271 Interest Paid (92,558,849) (41,494,697) Net Cash From Financing Activities (C) 1,013,521, ,919,274 (D) Net Increase/ Decrease in Cash & Cash Equivalents (A-B+C) 304,899, ,490,900 Opening Balance of Cash & Cash Equivalents 206,379,212 71,888,312 Closing Balance of Cash & Cash Equivalents 511,278, ,379,212 Cash/ Cheques in hand 171,596,806 1,748,699 Balance with Banks In Current Account/ Cheques in hand 4,588,980 1,647,184 in Fixed Deposit 335,092, ,983,329 As per our Report of even date attached For S.K.Mehta & Co. Chartered Accountants For NKG Infrastructure Limited B.P.SAXENA Rakesh Kumar Pradeep Garg Gurdeep Kaur Partner Executive Director Managing Director (M. No ) Membership No Company Secretary Place : New Delhi Dated : 15th April,

42 Balance Sheet Abstract and Company`s General Business Profile (Additional information as required under Part IV of Schedule VI to the Companies Act, 1956.) (i) Registration Details Registration No. : State Code : 55 Balance Sheet Date : (ii) Capital Raised during the year Public Issue : Nil Right Issue : Nil Bonus Issue : Nil Private Placement : Rs.20,318,300/- (iii) Position of Mobilisation and Deployment of Funds (Rs. In 000 s) Total Liabilities : 3,191,605 Total Assets : 3,191,605 Sources of Funds Application of Funds Paid up Capital : 124,085 Net fixed Assets : 536,466 Share Application : 0 Investments & Current Money Assets : 2,655,139 Reserves & Surplus : 1,569,897 Secured Loans : 1,239,761 Unsecured Loans : 24,135 Current Liab. & Provisions : 233,727 (iv) Performance of Company Turnover : 6,247,652 Total Expenditure : 5,947,039 Profit/Loss before tax : 300,613 Profit after tax : 220,247 Earning per share : Rs Dividend Rate : NIL (v) Generic Name of the Principal Products of the Company Item Code No. : NIL (ITC Code) : Product Description : Construction As per our Audit Report of even date attached For S.K.Mehta & Co. Chartered Accountants For NKG Infrastructure Limited B.P.SAXENA Rakesh Kumar Pradeep Garg Gurdeep Kaur Partner Executive Director Managing Director (M. No ) Membership No Company Secretary Place : New Delhi Dated : 15th April,

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