Suncity Syntheti Director Report

Dear Members,



The directors have pleasure in presenting their Twenty seventh annual

report and the audited statement of accounts for the year ended on 31st

March, 2015 together with the auditors report thereon.



FINANCIAL RESULTS



The summarized financial results for year end 31st March 2015 are as

under



Amount in Rs.



Particulars 2014-15 2013-14



Total Revenue (Including other income) 445786527 379411937



Gross Profit before Interest and depreciation 33706899 30322448



Less : Interest 17791372 13397298



Less : depreciation 20345142 11783267



Profit/loss before tax -4429615 5141883



Less: provision for tax including deferred tax (4201889) 2821488



Add: Surplus -227726 2348310



DIVIDEND



Since the company does not have profits for year hence



The directors do not recommend any dividend for the year ended 31st

March 2015.



COMPANY PERFORMANCE



The company continues to operate in Plastics business mainly production

of Polyester staple fiber and nylon granules. The sales for year has

increased from Rs. 37,94,11,397/- to Rs.44,57,86,527/-. But net loss

of Rs. 222726/- due to change in depreciation rates as per guideline of

institute of chartered accountant of India.



BOARD OF DIRECTORS:



Mr. Suresh Kawar Jain Managing Director retires by rotation and is

eligible for being reappointment as directors. The independent

directors are proposed to be appointed for five years in terms of

provisions of the Companies Act 2013. The particular of directors whose

appointment is to be considered is given as annexure to notice.



AUDITORS:



M/s. N. Kumbhat & Co., Chartered Accountants, retire at this Annual

General Meeting and being eligible offer themselves for reappointment.

Your Company has received a letter from them to the effect that their

reappointment, if made, will be in accordance with the provisions of

Section 224(1B) of the Companies Act, 1956. The Board of directors

commends their reappointment.



FIXED DEPOSITS:



Your Company has not accepted any deposits from public.



CORPORATE GOVERNANCE:



Certificate of the statutory auditors regarding compliance of the

conditions of Corporate Governance as stipulated in clause 49 of the

Listing Agreement with stock exchange, is enclosed.



STATUTORY INFORMATION:



(i) Information under section 217 (1) (e) of the Companies Act, 1956

read with the companies (Disclosure of particulars in the Report of the

Board of Directors) Rules, 1988:-



A. CONSERVATION OF ENERGY



a) Energy conversation measures taken: None at present



b) Additional investment and proposals, if any, being implemented for

reduction of consumption of energy: There are no proposals.



c) Impact of measures at (a) & (b) above for reduction of energy

consumption and consequent impact on the cost of production of goods:

Does not arise.



d) Total energy consumption and energy consumption per unit of

production as per Form"A" to annexure in respect of industries

specified in the schedule thereto



A. Power and fuel consumption 2014-15 2013-14



(a) Electricity Purchased 3688432 3047412



Units(KWH)



Total amount Rs.in lacs 2369.70 1953.11



Rate/Unit (Rs.) 6.42 6.41



Own Generation



Units (KWH) 16650 27168



Units per liter of diesel oil 3.8 3.6



Rate/unit (Rs.) 17.55 21.75



B. TECHNOLOGY ABSORPTION



Form B



Research & Development (R & D)



1. Specific area in which R & D carried by the company: None at Present



2. Benefits derived as a result of the above R & D: Does not arise.



3. Future plan of action: At present it is not under consideration



4. Expenditure on R & D: Nil



Technology absorption, adaptation and innovation:



1. Efforts being made towards technology absorption, adaptation and

innovation: None



2. Benefits derived as a result of the above efforts e.g. Product

improvement cost, reduction, product development, import substitution

etc. : None



3. Imported technology: Not applicable as technology has not been

imported.



C. FOREIGN EXCHANGE EARNING AND OUTGO:



Earning: Rs.Nil Outgo : Rs.129.49 lacs



INFORMATION UNDER SECTION 217 (2A) OF THE COMPANIES ACT, 1956 READ WITH

THE COMPANIES (PARTICULARS OF EMPLOYEES) RULES 1975 AS AMENDED UP TO

DATE :



The company do not have any employee drawing salary in excess of limits

prescribed under section 217 (2a) of the companies act, 1956 read with

the companies (particulars of employees) rules 1975 the particulars

should be treated as nil



DIRECTORS'' RESPONSIBILITY STATEMENT.



Your Directors confirm that:



(i) In the preparation of Annual Accounts, the applicable accounting

standards had been followed along with proper explanation relating to

material departures.



(ii) The Directors had selected such accounting policies and applied

them consistently and made judgments and estimates that are reasonable

and prudent so as to give a true and fair view of the state of affairs

of the company at the end of financial year and of the loss of the

company for the year.



(iii) The Directors has 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, and



(iv) The Directors had prepared the accounts on going concern basis.



INDUSTRIAL RELATIONS:



The industrial relations continued to be cordial during the year under

review.



ACKNOWLEDGMENT:



The Directors express their sincere thanks to the employees, customers,

suppliers, company''s bankers and members of the company for their

continued support.



For & On Behalf of the Board of Directors

Place : Surat

Date : 05/08/2015 Chairman