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Page 1: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the
Page 2: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

Tw

enty

Th

ird

An

nu

al R

eport

2013-2

014

Sai In

du

stri

es L

imit

ed

Page 3: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

BO

AR

D O

F D

IRE

CT

OR

SD

r. N

ira

j K. S

ing

hC

ha

irm

an

&

Ma

na

gin

g D

ire

cto

r

Mrs

. Ju

hi S

ing

hD

ire

cto

r

(Non

Exe

cu

tive

)

Dr. S

.M. P

ath

ak

Dir

ecto

r

(Non E

xecutive

, In

depen

dent)

Mr. H

ari

sh

Ku

ma

rD

ire

cto

r

(Non E

xecutive

, In

depen

dent)

BA

NK

ER

SIN

DIA

N B

AN

K,

Au

rob

ind

o P

lace

,

Ha

uz K

ha

s,

New

De

lh ! 1

10

01

6

AU

DIT

OR

SM

/s. A

K G

& C

o.

E-1

0, K

AIL

AS

H C

OL

ON

Y,

NE

W D

EL

HI-

11

00

48

RE

GIS

TR

AR

& S

HA

RE

M/S

. BE

ETA

L F

INA

NC

IAL

& C

OM

PU

TE

R

TR

AN

SF

ER

AG

EN

TS

ER

VIC

ES

PV

T. L

TD

.

Be

eta

l H

ou

se

3rd

Flo

or, 9

9, M

ad

an

gir,

Ne

w D

elh

i -

11

00

62

Co

mp

an

y S

ecre

tarie

sH

.P. S

ha

rma

& A

sso

cia

tes

15

84

/11

3, T

ri N

ag

ar,

De

lhi -

11

00

35

RE

GIS

TE

RE

D O

FF

ICE

20

4,

Au

rob

ind

o P

lace

,

Ha

uz K

ha

s,

New

De

lhi -

11

00

16

Co

nte

nts

Pag

e

Notic

e1

Directo

rs' R

epo

rt2-9

Aud

itor's R

ep

ort

10-1

2

Ba

lan

ce

Sh

ee

t & N

ote

s13-1

6

Pro

fit &

Lo

ss A

cco

un

t &

No

tes

17-1

8

Ca

sh

Flo

w S

tate

me

nt &

19

Sch

ed

ule

of F

ixe

d A

sse

ts20

Inve

stm

ent (

7a

)21-2

4

Note

s25-2

8

SA

I I

ND

US

TR

IES

L

IMIT

ED

Twen

ty T

hird

Annu

al R

epo

rt 2

013-2

014

Page 4: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

NO

TIC

E F

OR

AN

NU

AL

GE

NE

RA

L M

EE

TIN

GN

otice

is h

ere

by g

ive

n t

ha

t th

e T

we

nty

Th

ird

A

nn

ua

l G

en

era

l M

ee

tin

g o

f th

e C

om

pa

ny w

ill b

eh

eld

as s

ch

ed

ule

d b

elo

w:

Da

y a

nd

Da

teT

ue

sd

ay,

30

th S

ep

tem

be

r 2

01

4T

ime

10

.00

A.M

.P

lace

2n

d F

loo

r, A

uro

bin

do

Pla

ce

,Ha

uz K

ha

s,

Ne

w D

elh

i -

11

00

16

.T

he

ag

en

da

fo

r th

e m

ee

tin

g w

ill b

e a

s f

ollo

ws:

OR

DIN

AR

Y B

US

INE

SS

1To

re

ce

ive

, co

nsid

er

an

d a

do

pt

the

Ba

lan

ce

Sh

ee

t a

s o

n 3

1st

Ma

rch

, 2

01

4 a

nd

Pro

fit

&L

oss A

cco

un

t fo

r th

e y

ea

r e

nd

ed

as o

n th

at d

ate

an

d r

ep

ort

s o

f th

e A

ud

ito

rs a

nd

Dir

ecto

rsth

ere

on

.2

To

ap

po

int

a D

ire

cto

r in

pla

ce

of

Mrs

. Ju

hi S

ing

h (

DIN

02

02

23

13

) w

ho

re

tire

s b

y r

ota

tio

na

nd

be

ing

elig

ible

off

ers

he

rse

lf f

or

rea

pp

oin

tme

nt

3To

co

nsid

er

an

d,

if t

ho

ug

ht

fit,

to

pa

ss w

ith

or

with

ou

t m

od

ific

ati

on

(s),

th

e f

ollo

win

gre

so

lutio

n a

s a

n O

rdin

ary

Re

so

lutio

n:

“RE

SO

LV

ED

TH

AT

pu

rsu

ant to

th

e p

rovis

ion

s o

f S

ectio

ns 1

49

, 1

52

and

an

y o

the

r a

pp

lica

ble

pro

vis

ion

s o

f th

e C

om

pa

nie

s A

ct,

20

13

an

d t

he

ru

les m

ad

e t

he

re u

nd

er

(in

clu

din

g a

ny

sta

tuto

ry m

od

ific

atio

ns o

r re

-en

actm

en

t th

ere

of,

fo

r th

e t

ime

be

ing

in

fo

rce

) re

ad

with

Sch

ed

ule

IV

to

th

e C

om

pa

nie

s A

ct,

20

13

, S

hri

Ha

rish

Ku

ma

r (D

IN 0

18

89

511

) w

ho

wa

sa

pp

oin

ted

as A

dd

itio

na

l D

ire

cto

r o

f th

e C

om

pa

ny a

nd

ho

lds o

ffic

e u

pto

th

e d

ate

of

this

An

nu

al G

en

era

l M

ee

tin

g a

nd

in

re

sp

ect

of

wh

om

th

e C

om

pa

ny h

as r

ece

ive

d a

No

tice

u/s

16

0 o

f th

e C

om

pa

nie

s A

ct,

20

13

fro

m a

Me

mb

er

sig

nif

yin

g h

is i

nte

ntio

n t

o p

rop

ose

his

ca

nd

ida

ture

fo

r th

e o

ffic

e o

f D

ire

cto

r, b

e a

nd

is h

ere

by a

pp

oin

ted

as N

on

-Exe

cu

tive

Ind

ep

en

de

nt

Dir

ecto

r o

f th

e C

om

pa

ny t

o h

old

off

ice

fo

r 5

(five

) co

nse

cu

tive

ye

ars

with

eff

ect

fro

m t

he

da

te o

f p

assin

g o

f th

is r

eso

lutio

n a

nd

he

sh

all n

ot

be

lia

ble

to

re

tire

by

rota

tio

n”.

4“R

ES

OLV

ED

TH

AT

pu

rsu

ant to

th

e p

rovis

ion

s o

f S

ectio

ns 1

49

, 1

52

and

an

y o

the

r a

pp

lica

ble

pro

vis

ion

s o

f th

e C

om

pa

nie

s A

ct,

20

13

an

d t

he

ru

les m

ad

e t

he

re u

nd

er

(in

clu

din

g a

ny

sta

tuto

ry m

od

ific

atio

ns o

r re

-en

actm

en

t th

ere

of,

fo

r th

e t

ime

be

ing

in

fo

rce

) re

ad

with

Sch

ed

ule

IV

to

th

e C

om

pa

nie

s A

ct,

20

13

, D

r. S

ury

a M

an

i P

ath

ak (

DIN

02

58

49

31

) w

ho

wa

s a

pp

oin

ted

as D

ire

cto

r lia

ble

to

re

tire

by r

ota

tio

n a

nd

ho

lds o

ffic

e u

pto

th

e d

ate

of

this

An

nu

al G

en

era

l M

ee

tin

g a

nd

in

re

sp

ect

of

wh

om

th

e C

om

pa

ny h

as r

ece

ive

d a

No

tice

u/s

16

0 o

f th

e C

om

pa

nie

s A

ct,

20

13

fro

m a

Me

mb

er

sig

nif

yin

g h

is i

nte

ntio

n t

o p

rop

ose

his

ca

nd

ida

ture

fo

r th

e o

ffic

e o

f D

ire

cto

r, b

e a

nd

is h

ere

by a

pp

oin

ted

as N

on

-Exe

cu

tive

Ind

ep

en

de

nt D

ire

cto

r o

f th

e C

om

pa

ny to

ho

ld o

ffic

e fo

r 5

(five

) o

nse

cu

tive

ye

ars

with

eff

ect

fro

m t

he

da

te o

f p

assin

g o

f th

is r

eso

lutio

n a

nd

he

sh

all

no

t b

e lia

ble

to

re

tire

by r

ota

tio

n”.

5To

a

pp

oin

t A

ud

ito

rs w

ho

sh

all

ho

ld o

ffic

e, if

ap

po

inte

d f

rom

th

e c

on

clu

sio

n o

f th

is A

nn

ua

lG

en

era

l M

ee

tin

g

un

til

th

e c

on

clu

sio

n o

f n

ext

An

nu

al

Ge

ne

ral

Me

etin

g

an

d t

o f

ix t

he

irre

mu

ne

ratio

n a

nd

in

th

is r

eg

ard

to

co

nsid

er

an

d i

f th

ou

gh

t fit

to p

ass w

ith

or

with

ou

tm

od

ific

atio

n t

he

fo

llo

win

g r

eso

lutio

n a

s a

n O

rdin

ary

Re

so

lutio

n :

“RE

SO

LV

ED

th

at

M/s

. A

K G

& C

o.,

Ch

art

ere

d A

cco

un

tan

ts (

Fir

m R

eg

istr

atio

n N

o.

00

49

24

N)

be

an

d a

re h

ere

by a

pp

oin

ted

Au

dito

rs o

f th

e C

om

pa

ny t

o h

old

o

ffic

e fr

om

th

eco

nclu

sio

n o

f th

is A

nn

ua

l G

en

era

l M

ee

tin

g U

ntil

the

co

nclu

sio

n o

f n

ext

An

nu

al

Ge

ne

ral

Me

etin

g o

f th

e C

om

pa

ny o

n s

uch

re

mu

ne

ratio

n a

s s

ha

ll b

e fix

ed

by th

e B

oa

rd o

f D

ire

cto

rse

xclu

siv

e o

f tr

ave

llin

g a

nd

oth

er

ou

t o

f p

ocke

t e

xp

en

se

s”

NO

TE

S :

1T

he

re

gis

ter

of

me

mb

ers

an

d s

ha

re t

ran

sfe

r b

oo

ks o

f th

e c

om

pa

ny w

ill

rem

ain

clo

se

dfr

om

1

6-0

9-2

01

4 t

o 3

0-0

9-2

01

4 (

Bo

th d

ays in

clu

siv

e).

2A

me

mb

er

en

title

d t

o a

tte

nd

an

d v

ote

is e

ntitle

d t

o a

pp

oin

t a

pro

xy t

o a

tte

nd

an

d v

ote

1

Page 5: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

inste

ad

of

him

se

lf/h

ers

elf a

nd

th

e

pro

xy n

ee

d n

ot

be

a m

em

be

r o

f th

e c

om

pa

ny.

Pro

xie

s i

no

rde

r to

be

eff

ective

mu

st

be

re

ce

ive

d b

y t

he

co

mp

an

y n

ot

less t

ha

n 4

8 h

ou

rs b

efo

re t

he

tim

e o

f h

old

ing

me

etin

g.

3M

em

be

rs d

esir

ing

an

y i

nfo

rma

tio

n o

f th

e a

cco

un

ts a

t th

e a

nn

ua

l g

en

era

l m

ee

tin

g a

rere

qu

este

d t

o w

rite

to

th

e c

om

pa

ny a

t its r

eg

iste

red

off

ice

atle

ast

10

da

ys in

ad

va

nce

so

as

to e

na

ble

th

e c

om

pa

ny t

o k

ee

p t

he

in

form

atio

n r

ea

dy.

4A

s a

me

asu

re o

f e

co

no

my,

co

pie

s o

f th

e A

nn

ua

l R

ep

ort

will

no

t b

e d

istr

ibu

ted

at

the

An

nu

al G

en

era

l Me

etin

g. M

em

be

rs a

re th

ere

fore

re

qu

este

d to

bri

ng

th

e c

op

y o

f th

e A

nn

ua

lR

ep

ort

with

th

em

at

the

Me

etin

g.

5In

te

rms o

f C

lau

se

49

of

the

Lis

tin

g A

gre

em

en

t in

form

atio

n o

n D

ire

cto

rs s

ee

kin

ga

pp

oin

tme

nt/

re

ap

po

intm

en

t a

t th

is A

nn

ua

l G

en

era

l M

ee

tin

g i

s a

s u

nd

er:

Pa

rtic

ula

rsH

ari

sh

Ku

ma

rJu

hi

Sin

gh

D

r. S

ury

a M

an

i Path

ak

Da

te o

f B

irth

& A

ge

Ma

y 1

9, 1

98

0/3

4 y

rsN

ov

05

, 1

96

5/4

8 y

rs

Ju

ly 1

5.1

93

1/8

2 y

rs.

Ap

po

inte

d o

n1

0/2

3/2

01

33

0/9

/20

10

3

0/6

/20

09

Qu

alif

ica

tio

ns

Inte

r.

B.A

., P

.G.D

.B.M

.P

h.D

.E

xpert

ise

in

sp

ecific

fun

ctio

na

l a

rea

s1

0 y

ea

rs e

xpeie

nce i

n2

3 y

ears

ric

h

R

etire

d G

en

. M

an

ag

er

Ma

rketin

g &

Pro

du

ct

exp

erie

nce

in .

Ba

nk o

f In

dia

De

ve

lop

me

nt

Ma

rketin

g &

Ge

nera

l A

dm

nD

irecto

rsh

ip h

eld

in

oth

er

Pu

blic

M/s

Sa

i C

ap

ital L

td.

M

/s.

So

ftw

are

Tech

.C

om

pa

nie

s (

exclu

din

g F

ore

ign

G

rou

p In

tl. L

td.

Co

mp

an

ies)

Me

mb

ers

hip

s/C

ha

irm

an

sh

ips

of

co

mm

itte

es a

cro

ss

Pu

blic

Co

mp

an

ies

3 4

56

Me

mb

ers

wh

o h

ave

no

t re

gis

tere

d t

he

ir e

-ma

il ID

s y

et

are

re

qu

este

d t

o d

o t

he

sa

me

fo

rre

ce

ivin

g a

ll co

mm

un

ica

tio

ns f

rom

th

e C

om

pa

ny i

nclu

din

g A

nn

ua

l R

ep

ort

s,

No

tice

s,

etc

.in

ele

ctr

on

ic f

orm

.7

Th

e S

ecu

ritie

s a

nd

Exch

an

ge

Bo

ard

of

Ind

ia (

SE

BI)

ha

s m

ad

e i

t m

an

da

tory

fo

r e

ve

ryp

art

icip

an

t in

th

e S

ecu

ritie

s M

ark

et to

su

bm

it P

erm

an

en

t Acco

un

t N

um

be

r (P

AN

). M

em

be

rsa

re r

eq

ue

ste

d t

o s

ub

mit t

he

ir P

AN

to

th

e C

om

pa

ny/R

TA

.8

Me

mb

ers

ho

ldin

g s

ha

res in

sin

gle

na

me

are

ad

vise

d to

re

gis

ter

the

ir n

om

ina

tio

n w

ith th

eC

om

pany.

9.

V

oti

ng

th

rou

gh

ele

ctr

on

ic m

ea

ns

:E

-vo

tin

g f

acili

ty is b

ein

g p

rovid

ed

to

all

me

mb

ers

pu

rsu

an

t to

th

e p

rovis

ion

s o

f S

ectio

n 1

08

of

the

Co

mp

an

ies A

ct,

20

13

re

ad

with

Ru

le 2

0 o

f th

e C

om

pa

nie

s (

Ma

na

ge

me

nt

an

dA

dm

inis

tra

tio

n)

Ru

les,

20

14

, a

nd

cla

use

35

B o

f th

e L

istin

g A

gre

em

en

t. T

he

Co

mp

an

y h

as

en

ga

ge

d t

he

se

rvic

es o

f B

ee

tal

Pri

va

te L

imite

d (

"")

for

pro

vid

ing

e-v

otin

g f

acili

tie

s.

Th

e e

-vo

tin

g r

igh

ts o

f th

e M

em

be

rs s

ha

ll b

e in

pro

po

rtio

n to

th

e p

aid

-up

va

lue

of th

eir

sh

are

s in

th

ee

qu

ity c

ap

ita

l o

f th

e C

om

pa

ny a

s o

n t

he

cu

t-o

ff d

ate

(i.e

. th

e r

eco

rd d

ate

), b

ein

g *

*da

y, 1

,2

014

. D

eta

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g fa

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dic

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an

d m

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ua

l R

ep

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.T

he

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su

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with

th

e S

cru

tin

ize

r's R

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ava

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n th

e w

eb

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mp

an

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ww

. a

nd

on

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eta

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ttp

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Page 6: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

3

DIR

EC

TO

RS

’ R

EP

OR

TTo

th

e S

ha

reh

old

ers

of

SA

I IN

DU

ST

RIE

S L

IMIT

ED

Th

e D

ire

cto

rs t

ake

ple

asu

re i

n p

rese

ntin

g t

he

Tw

en

ty T

hir

d A

nn

ua

l R

ep

ort

of

yo

ur

Co

mp

an

ya

nd

th

e A

ud

ite

d S

tate

me

nt

of

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un

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or

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ye

ar

en

de

d o

n M

arc

h 3

1,

20

14

.T

he

fin

an

cia

l re

su

lts o

f yo

ur

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mp

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y f

or

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ar

en

de

d o

n M

arc

h 3

1,

20

14

are

as f

ollo

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rou

gh

t fo

rwa

rd(3

17

.77

)(3

14

.09

)A

ccu

mu

late

d L

oss

(32

1.5

6)

(31

7.7

7)

PE

RF

OR

MA

NC

E:T

he

pe

rfo

rma

nce

of

yo

ur

co

mp

an

y r

em

ain

ed

sta

gn

an

t d

uri

ng

th

e y

ea

r d

ue

to

pa

ucity o

f re

so

urc

es.

Eff

ort

s a

re b

ein

g m

ad

e t

o a

ug

me

nt

the

wo

rkin

g c

ap

ita

l o

f th

e C

om

pa

ny.

DIV

IDE

ND

Du

e to

in

ad

eq

ua

cy o

f p

rofits

, yo

ur

Dir

ecto

rs d

o n

ot re

co

mm

en

d p

aym

en

t o

f d

ivid

en

dfo

r th

e y

ea

r u

nd

er

rep

ort

.M

AN

AG

EM

EN

T D

ISC

US

SIO

N &

AN

ALY

SIS

RE

PO

RT

Ind

us

try

Tre

nd

s a

nd

Bu

sin

es

s A

na

lys

isA

lth

ou

gh

th

e g

lob

al

eco

no

mic

sce

na

rio

re

ma

ins

un

ce

rta

in,

ge

ne

ral e

lectio

ns h

ave

pro

vid

ed

a s

tab

le g

ove

rnm

en

t a

t th

e c

en

tre

. C

ap

ita

l M

ark

ets

are

like

ly to

sh

ow

po

sitiv

e m

ove

me

nts

, h

ow

eve

r, C

rud

e o

il p

rice

s r

em

ain

ele

va

ted

. H

igh

infla

tio

nco

ntin

ue

s t

o b

e a

ca

use

of

co

nce

rn a

nd

co

uld

po

se

a h

ind

ran

ce

in

re

du

ctio

n o

f in

tere

st

rate

s.

A c

ha

ng

e in

inve

stm

en

t se

ntim

en

t w

ill b

e th

e k

ey to

sp

urr

ing

gro

wth

. A fa

vo

ura

ble

mo

nso

on

will

act

as a

ca

taly

st

in p

rom

otin

g g

row

th.

OP

PO

RT

UN

ITIE

S A

ND

TH

RE

AT

SO

pp

ort

un

itie

s :

Th

e C

om

pa

ny h

op

es t

o c

ap

ita

lise

on

its

exp

eri

en

ce

an

d e

xpe

rtis

e a

nd

re

po

rta

be

tte

r p

erf

orm

an

ce

in

th

e c

om

ing

ye

ars

.T

hre

ats

:T

he

re i

s s

eve

re c

om

pe

titio

n i

n t

he

fin

an

cia

l se

rvic

es s

ecto

r. M

arg

ins h

ave

be

en

imp

acte

d w

ith

Pu

blic

Se

cto

r B

an

ks a

nd

la

rge

Pri

va

te S

ecto

r B

an

ks o

ffe

rin

g r

eta

il f

ina

ncia

lse

rvic

es.

Sm

all a

nd

mid

-siz

e N

BF

C’s

ha

ve

be

en

ma

rgin

alis

ed

.S

eg

me

nt

wis

e p

erf

orm

an

ce

: T

he

C

om

pa

ny i

s e

ng

ag

ed

pri

ma

rily

in

th

e b

usin

ess o

fIn

ve

stm

en

ts &

Fin

an

ce

an

d a

cco

rdin

gly

th

ere

are

no

se

pa

rate

re

po

rta

ble

as p

er

Acco

un

tin

gS

tan

da

rd 1

7.

Fu

ture

Pro

sp

ec

ts a

nd

Ou

tlo

ok

: W

ith

re

tail fin

an

cia

l se

rvic

es a

lmo

st h

avin

g b

ee

n m

on

op

olise

db

y P

ub

lic &

Pri

va

te S

ecto

rs B

an

ks, th

e C

om

pa

ny w

ill h

ave

to

de

ve

lop

nic

he

are

as f

or

itse

lf a

nd

exp

lore

me

an

s t

o s

ub

sta

ntia

lly in

cre

ase

its

in

ve

stib

le f

un

ds t

o p

art

icip

ate

in

th

e g

row

th o

f th

ee

co

no

my.

Th

e C

om

pa

ny is a

lso

lo

okin

g t

o p

rovid

ing

se

rvic

es t

o l

arg

e c

orp

ora

tes i

n I

nd

ia a

nd

abro

ad

.R

isk

s a

nd

Co

nc

ern

s: T

he

pe

rfo

rma

nce

of th

e C

om

pa

ny

is v

ery

clo

sely

linke

d w

ith

th

e c

on

ditio

ns

of

the

eco

no

my (

bo

th d

om

estic &

glo

ba

l) a

nd

is a

lso

ve

ry s

en

sitiv

e t

o t

he

flu

ctu

atio

ns i

n t

he

Ca

pita

l M

ark

ets

, in

tere

st

rate

s f

luctu

atio

ns,

infl

atio

n a

nd

cre

dit r

isks.

Inte

rna

l C

on

tro

l S

ys

tem

s a

nd

Th

eir

Ad

eq

ua

cy

: T

he

Co

mp

an

y h

as p

ut

in p

lace

an

ad

eq

ua

tesyste

m o

f in

tern

al

co

ntr

ols

wh

ich

are

mo

nito

red

on

a r

eg

ula

r b

asis

, co

mm

en

su

rate

with

th

en

atu

re o

f its b

usin

ess.

All

activitie

s a

re m

on

ito

red

to

pre

ve

nt

an

y u

na

uth

ori

se

d t

ran

sa

ctio

ns o

rm

isu

se

of

an

y a

sse

ts.

Th

e A

ud

it c

om

mitte

e o

f th

e B

oa

rd o

ve

rse

es a

nd

re

vie

ws t

he

ad

eq

ua

cy

of

inte

rna

l co

ntr

ols

at

reg

ula

r in

terv

als

. T

he

Co

mp

an

y h

as p

ut

in p

lace

a w

his

tle

blo

we

r p

olicy.

Fin

an

cia

l P

erf

orm

an

ce

: T

he

Co

mp

an

y r

ep

ort

ed

a l

oss o

f R

s.

3.8

0 L

acs d

uri

ng

th

e y

ea

ru

nd

er

revie

w a

s a

ga

inst a

lo

ss o

f R

s.

3.6

8 L

acs d

uri

ng

th

e p

revio

us y

ea

r. T

he

pa

id u

p c

ap

ita

l o

fth

e C

om

pa

ny s

too

d a

t R

s.

29

6.7

6 L

acs.

Th

e i

ssu

ed

an

d s

ub

scri

be

d c

ap

ita

l is

Rs.

30

0 L

acs.

Page 7: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

4

Allo

tme

nt

mo

ne

y d

ue

bu

t n

ot

rece

ive

d i

s R

s.

3.2

4 L

acs.

Hu

ma

n R

es

ou

rce

s:

Th

e m

an

ag

em

en

t o

f th

e C

om

pa

ny m

ain

tain

s c

ord

ial

rela

tio

ns w

ith

th

ee

mp

loye

es a

nd

co

nsid

ers

hu

ma

n c

ap

ita

l a

s o

ne

of

the

mo

st

va

lua

ble

re

so

urc

es.

DIR

EC

TO

RS

’ R

ES

PO

NS

IBIL

ITY

STA

TE

ME

NT

To

th

e b

est

of

the

ir k

no

wle

dg

e a

nd

be

lief

an

d a

cco

rdin

g t

o t

he

in

form

atio

n a

nd

exp

lan

atio

ns

ob

tain

ed

by th

em

, yo

ur

Dir

ecto

rs m

ake

th

e fo

llo

win

g s

tate

me

nt in

te

rms o

f S

ectio

n 2

17

(2A

A)

of

the

Co

mp

an

ies A

ct,

19

56

;i)

tha

t in

th

e p

rep

ara

tio

n o

f th

e a

nn

ua

l a

cco

un

ts,

the

ap

plic

ab

le a

cco

un

tin

g s

tan

da

rds h

ave

be

en

fo

llow

ed

;ii)

tha

t th

e d

ire

cto

rs h

ave

se

lecte

d s

uch

acco

un

tin

g p

olicie

s a

nd

ap

plie

d t

he

m c

on

sis

ten

tly

an

d m

ad

e ju

dg

em

en

ts a

nd

estim

ate

s t

ha

t w

ere

re

aso

na

ble

an

d p

rud

en

t so

as t

o g

ive

tru

ea

nd

fa

ir v

iew

of

the

sta

te o

f a

ffa

irs o

f th

e C

om

pa

ny a

t th

e e

nd

of

the

fin

an

cia

l ye

ar

an

d o

f th

elo

ss o

f th

e C

om

pa

ny f

or

the

ye

ar

un

de

r re

vie

w;

iii)

tha

t th

e d

ire

cto

rs h

ave

ta

ke

n p

rop

er

an

d s

uff

icie

nt

ca

re f

or

the

ma

inte

na

nce

of

ad

eq

ua

tea

cco

un

tin

g r

eco

rds in

acco

rda

nce

with

th

e p

rovis

ion

s o

f th

is A

ct fo

r sa

feg

ua

rdin

g th

e a

sse

tso

f th

e C

om

pa

ny a

nd

fo

r p

reve

ntin

g a

nd

de

tectin

g f

rau

d a

nd

oth

er

irre

gu

lari

tie

s;

iv)

tha

t th

e d

ire

cto

rs h

ave

pre

pa

red

th

e a

nn

ua

l a

cco

un

ts o

n g

oin

g c

on

ce

rn b

asis

.C

OR

PO

RA

TE

GO

VE

RN

AN

CE

A s

ep

ara

te s

ectio

n o

n C

orp

ora

te G

ove

rna

nce

fo

rmin

g p

art

of

the

Dir

ecto

r’s R

ep

ort

an

d t

he

ce

rtific

ate

fro

m t

he

Co

mp

an

y’s

Au

dito

rs c

on

firm

ing

th

e c

om

plia

nce

of

co

nd

itio

ns o

n C

orp

ora

teG

ove

rna

nce

as s

tip

ula

ted

in

Cla

use

49

of

the

Lis

tin

g A

gre

em

en

t is

in

clu

de

d i

n t

he

An

nu

al

Re

po

rt.

CO

NS

ER

VA

TIO

N O

F E

NE

RG

Y &

TE

CH

NO

LO

GY

AB

SO

RP

TIO

NA

s t

he

Co

mp

an

y is n

ot e

ng

ag

ed

in

ma

nu

factu

rin

g/p

roce

ssin

g,

it is n

ot in

a p

ositio

n t

o u

nd

ert

ake

an

y m

ea

su

re f

or

en

erg

y c

on

se

rva

tio

n o

r te

ch

no

log

y a

bso

rptio

n.

FO

RE

IGN

EX

CH

AN

GE

EA

RN

ING

S A

ND

OU

TG

OT

he

re w

as n

o in

co

me

or

exp

en

ditu

re in

Fo

reig

n E

xch

an

ge

du

rin

g t

his

pe

rio

d.

DE

PO

SIT

ST

he

Co

mp

an

y h

as n

o p

ub

lic d

ep

osits a

nd

ha

s n

eith

er

invite

d n

or

acce

pte

d a

ny

de

po

sit f

rom

th

e p

ub

lic d

uri

ng

th

is p

eri

od

.D

IRE

CT

OR

S M

rs.

Ju

hi

Sin

gh

, D

ire

cto

r re

tire

s b

y r

ota

tio

n a

nd

be

ing

elig

ible

, o

ffe

rs h

ers

elf f

or

rea

pp

oin

tme

nt.

Th

e B

oa

rd r

eco

mm

en

ds t

he

ap

po

intm

en

t o

f D

r. S

. M

. P

ath

ak a

nd

Mr.

Ha

rish

Ku

ma

r a

s N

on

Exe

cu

tive

, In

de

pe

nd

en

t D

ire

cto

rs t

o h

old

off

ice

fo

r 5

(five

) co

nse

cu

tive

ye

ars

. D

r.S

. M

. P

ath

ak a

nd

Mr.

Ha

rish

Ku

ma

r sh

all

no

t b

e l

iab

le t

o r

etire

by r

ota

tio

n.

LIS

TIN

G O

F E

QU

ITY

SH

AR

ES

Th

e E

qu

ity S

ha

res o

f yo

ur

co

mp

an

y a

re li

ste

d o

n D

elh

i, M

um

ba

ia

nd

Ch

en

na

i S

tock E

xch

an

ge

s.

Yo

ur

Co

mp

an

y h

as p

aid

th

e L

istin

g F

ee

up

to a

nd

in

clu

din

g t

he

fin

an

cia

l ye

ar

20

13

-14

to

BS

E L

imite

d.

Th

e p

en

din

g lis

tin

g f

ee

du

e t

o D

elh

i a

nd

Ch

en

na

i S

tock

Exc

ha

ng

es w

ill b

e p

aid

on

ce

th

e s

tatu

s o

f th

ese

sto

ck e

xch

an

ge

s i

s f

ina

lize

d.

EM

PL

OY

EE

S D

uri

ng

th

e y

ea

r, t

he

re w

as n

o e

mp

loye

e,

wh

ose

pa

rtic

ula

rs a

re r

eq

uir

ed

to

be

giv

en

un

de

r S

ectio

n 2

17

(2A

) o

f th

e C

om

pa

nie

s A

ct,

19

56

.A

UD

ITO

RS

In a

cco

rda

nce

with

th

e p

rovis

ion

s o

f C

om

pa

nie

s A

ct,

19

56

, M

/s. A

K G

& C

o.,

Ch

art

ere

d A

cco

un

tan

ts, sta

tuto

ry a

ud

ito

rs, re

tire

at th

e c

on

clu

sio

n o

f th

e A

nn

ua

l Ge

ne

ral M

ee

tin

ga

nd

be

ing

elig

ible

off

er

the

mse

lve

s f

or

re-a

pp

oin

tme

nt.

Th

e C

om

pa

ny h

as r

ece

ive

d c

ert

ific

ate

fro

m M

/s. A

K G

& C

o. to

th

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ffe

ct th

at th

eir

ap

po

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t, if

ma

de

, w

ou

ld b

e w

ith

in th

e p

rescri

be

dlim

it U

/s 2

24

(1-B

) o

f th

e C

om

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nie

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19

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NO

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ED

GM

EN

TS

Yo

ur

Dir

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rs t

ake

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g t

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ir g

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to

In

dia

n B

an

k,

Ha

uz K

ha

s,

Ne

w D

elh

i a

nd

all

asso

cia

tes f

or

the

co

op

era

tio

n a

nd

assis

tan

ce

ext

en

de

d t

o y

ou

r C

om

pa

ny.

BY

OR

DE

R O

F T

HE

BO

AR

D O

F D

IRE

CT

OR

SP

LA

CE

:

NE

W D

EL

HI

(DR

. N

IRA

J K

. S

ING

H)

DA

TE

D :

Ma

y 3

0,

20

14

Ch

air

ma

n &

Ma

na

gin

g D

ire

cto

r

Page 8: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

5

RE

PO

RT

ON

CO

RP

OR

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lin

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of

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t w

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xch

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low

is t

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tern

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AR

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IRE

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om

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en

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rin

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l year

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al

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etin

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nu

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mb

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. P

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ep

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o 1

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on

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Mr.

Ha

rish

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mar

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ep

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nt

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cu

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rin

g t

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Six

) B

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ollo

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te o

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etin

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en

gth

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. o

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gh

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elf

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en

t. T

he

Bo

ard

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mm

en

ds t

he a

pp

oin

tmen

t o

f D

r. S

. M

. P

ath

ak a

nd

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arish

Ku

mar

as N

on

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cu

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Ind

ep

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den

t D

irecto

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old

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five)

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ears

. D

r. S

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. P

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arish

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racts

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. P

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arish

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mar

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the

fo

rth

co

min

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GM

in

Sep

tem

ber

20

14

are

be

ing

mad

e.

Page 9: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

6

RE

MU

NE

RA

TIO

N C

OM

MIT

TE

ET

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om

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Page 10: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

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DU

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S L

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no

n-

receip

t o

f B

ala

nce S

he

et

etc

. O

ne C

om

pla

int

was r

ece

ive

d d

urin

g t

he y

ear

an

d t

he s

am

e h

as b

een

reso

lve

d.

No

sh

are

ho

lders

in

vesto

r g

rie

van

ce

is p

en

din

g a

ga

inst

the

Co

mp

an

y.C

om

plia

nce

Off

ice

rT

he B

oard

ha

s d

esig

nate

d M

r. V

ed

Pa

rka

sh

as t

he C

om

plia

nce

Offic

er.

AD

DR

ES

S F

OR

CO

RR

ES

PO

ND

EN

CE

All

qu

eries o

f in

vesto

rs m

ay

be s

en

t at

the

fo

llow

ing

ad

dre

ss:

20

4,

Au

rob

ind

o P

lace

, N

ew

De

lhi-11

00

16

or

M/s

Be

eta

l F

ina

nce

& C

om

pu

ter

Se

rvic

e P

vt.

Ltd

.,B

eeta

l H

ou

se

, 3

rd F

loo

r, 9

9,

Mad

an

gir,

New

Delh

i-11

00

62

Dis

clo

su

res

1.

Th

e C

om

pa

ny h

as c

om

plie

d w

ith

all

man

da

tory

re

qu

ire

me

nts

of

the

cla

use

an

d i

s g

rad

ually

mo

vin

g t

ow

ard

s c

om

pla

ince

of

no

n-m

an

da

tory

req

uire

me

nts

.2

. N

o p

en

alty

or

str

ictu

res h

ave

be

en

im

po

sed

on

th

e C

om

pan

y b

y S

tock E

xch

an

ges o

r S

EB

I d

urin

gth

e l

ast

thre

e y

ears

.4

. T

he

Co

mp

an

y m

ain

tain

s t

ran

sp

are

ncy in

its

op

era

tion

s a

nd

has a

wh

istle b

low

er

po

licy

in p

lace.

No

pers

on

has b

een

den

ied

acce

ss t

o t

he A

ud

it C

om

mitt

ee.

LIS

TIN

G O

N S

TO

CK

EX

CH

AN

GE

Bo

mb

ay,

Delh

i &

Mad

ras S

tock E

xch

an

ges

Th

e C

om

pa

ny

has n

ot

issu

ed

an

y G

DR

s/A

DR

s/W

arr

an

ts o

r an

y c

on

vert

ible

in

str

um

en

ts.

Page 11: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

8

SH

AR

EH

OL

DIN

G P

AT

TE

RN

OF

TH

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OM

PA

NY

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ON

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T M

AR

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, 2014

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o.

Ca

teg

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No

. of S

ha

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SH

AR

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RA

NS

FE

R S

YS

TE

MS

hare

tra

nsfe

rs i

n p

hys

ica

l fo

rm a

re r

eg

iste

red

by t

he

Co

mp

an

y a

nd

retu

rne

d t

o t

ran

sfe

rees w

ithin

a p

erio

d o

f fif

teen

da

ys,

pro

vid

ed

th

e d

ocu

men

ts l

od

ged

are

cle

ar

in a

ll re

sp

ects

.U

NC

LA

IME

D D

IVID

EN

DN

ot

Ap

plic

ab

leB

AN

K D

ETA

ILS

Sh

are

ho

lders

are

re

qu

este

d t

o n

otify

/sen

d t

he f

ollo

win

g t

o t

he C

om

pan

y t

o f

acili

tate

bett

er

se

rvic

e:

i)an

y ch

an

ge i

n t

heir a

dd

ress/b

an

k d

eta

ils,

an

dii)

pa

rtic

ula

rs o

f th

eir b

an

k a

cco

un

t, i

n c

ase t

he

sam

e h

ave

no

t b

een

sen

t ea

rlie

r.D

EP

OS

ITO

RY

SE

RV

ICE

ST

he C

om

pa

ny’s

se

cu

rities h

ave

no

t ye

t b

ee

n d

em

ate

rialis

ed

NO

MIN

AT

ION

FA

CIL

ITY

Sh

are

ho

lders

desiro

us o

f m

akin

g a

no

min

atio

n in

re

sp

ect

of

their s

hare

ho

ldin

g in

th

e C

om

pa

ny,

as

pe

rmitte

d u

nd

er

sectio

n 1

09

A o

f th

e C

om

pan

ies A

ct,

19

56

are

req

ueste

d t

o s

ub

mit t

he

sa

me t

o t

he

Co

mp

an

y in

th

e p

rescrib

ed

Fo

rm 2

B.

BY

OR

DE

R O

F T

HE

BO

AR

D O

F D

IRE

CT

OR

SS

d/-

Pla

ce

: N

ew

Delh

i(D

R. N

IRA

J K

. SIN

GH

)D

ate

d:

Ma

y 3

0, 2

01

4C

ha

irm

an

& M

an

ag

ing

Dir

ec

tor

Page 12: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

AU

DIT

OR

S C

ER

TIF

ICA

TE

To

th

e M

em

be

rs o

f S

ai

Ind

ustr

ies L

imited

We

ha

ve e

xam

ine

d t

he r

ep

ort

of

Co

rpo

rate

Go

vern

an

ce p

resen

ted

by

the B

oa

rd o

f D

ire

cto

rs o

f S

ai

Ind

ustr

ies L

imited

fo

r th

e y

ea

r e

nd

ed

31

st

Ma

rch

, 2

01

3 a

s s

tip

ula

ted

in

cla

use

41

of

the

Lis

tin

gA

gre

em

en

t o

f th

e s

aid

co

mp

an

y w

ith

Sto

ck E

xch

an

ge

s.

Th

e c

om

plia

nce o

f co

nd

itio

ns o

f co

rpo

rate

go

vern

an

ce is t

he r

esp

on

sib

ility

of

the

man

ag

em

en

t. O

ur

exam

inatio

n w

as l

imite

d t

o p

roced

ure

s a

nd

im

ple

me

nta

tio

n t

here

of,

ad

op

ted

by

the c

om

pa

ny f

or

en

su

rin

g t

he

co

mp

lian

ce

of

the

co

nd

itio

ns o

f th

e c

orp

ora

te g

ove

rnan

ce.

It is n

eith

er

an

au

dit

no

r an

exp

ressio

n o

f o

pin

ion

on

th

e F

ina

ncia

l S

tate

me

nts

of

the

Co

mp

an

y.In

ou

r o

pin

ion

an

d a

cco

rdin

g t

o t

he i

nfo

rmatio

n a

nd

exp

lan

atio

ns g

iven

to

us t

he

Co

mp

an

y h

as

taken

ste

p t

o c

om

ply

with

th

e c

on

diti

on

s o

f co

rpo

rate

go

vern

an

ce

, to

th

e e

xten

t a

pp

licab

le a

nd

as

stip

ula

ted

in

th

e a

fore

said

lis

tin

g a

gre

em

en

t.W

e s

tate

th

at

no

in

vesto

r g

rie

van

ce i

s p

en

din

g f

or

the p

erio

d e

xcee

din

g o

ne m

on

th a

gain

st

the

Co

mp

an

y as p

er

reco

rds m

ain

tain

ed

by t

he S

hare

ho

lde

r’s G

rieva

nce

Co

mm

itte

e.

We

fu

rth

er

sta

te t

hat

su

ch

co

mp

lian

ce is

ne

ithe

r a

ny

assu

ran

ce a

s t

o f

utu

re v

iab

ility

of

the C

om

pa

ny

no

r th

e e

ffic

ien

cy

or

eff

ectiven

ess w

ith

wh

ich

th

e m

an

ag

em

en

t h

as c

on

du

cte

d t

he a

ffa

irs o

f th

eco

mp

an

y.F

or A

KG

& C

om

pa

ny

Ch

art

ere

d A

cco

un

tan

tsS

d/-

Pla

ce:

New

Delh

iA

nil

K.

Go

el

Da

ted

: M

ay 3

0, 2

01

4P

art

ne

rC

EO

/CF

O C

ER

TIF

ICA

TIO

NI, D

r. N

iraj

Ku

mar

Sin

gh

, in

my

cap

acity

as C

hairm

an

& M

an

ag

ing

Directo

r d

o h

ere

by

co

nfirm

an

dce

rtify

tha

t:a

)I

have

re

vie

wed

th

e f

inan

cia

l sta

tem

en

ts a

nd

cash

th

e c

ash

flo

w s

tate

men

t fo

r th

eye

ar

an

d t

ha

t to

th

e b

est

of

my

kn

ow

led

ge a

nd

be

lief,

I s

tate

th

at:

i)T

hese s

tate

men

ts d

o n

ot

co

nta

in a

ny

mate

ria

lly u

ntr

ue

sta

tem

en

t o

r o

mit a

ny

mate

ria

l fa

ct

or

co

nta

in s

tate

me

nts

th

at

mig

ht

be m

isle

ad

ing

;ii)

Th

ese s

tate

men

ts t

og

eth

er

pre

sen

t a t

rue a

nd

fair v

iew

of

the C

om

pan

y’s

aff

air

s a

nd

are

in

co

mp

lian

ce w

ith

exis

tin

g a

cco

un

tin

g s

tan

da

rds,

ap

plic

ab

le l

aw

s a

nd

reg

ula

tio

ns.

b)

Th

ere

are

, to

th

e b

est o

f m

y kn

ow

led

ge a

nd

be

lief,

no

tra

nsactio

ns e

nte

red

into

by th

e C

om

pa

ny

du

rin

g t

he y

ear

wh

ich

are

fra

ud

len

t, i

lleg

al o

r vo

ilative

of

Co

mp

an

y’s

co

de o

f co

nd

uct.

c)

I acce

pt

resp

on

sib

ility

fo

r esta

blis

hin

g a

nd

ma

inta

inin

g i

nte

rnal

co

ntr

ols

fo

r fin

an

cia

lre

po

rtin

g a

nd

I h

ave e

valu

ate

d t

he e

ffe

ctin

ess o

f in

tern

al

co

ntr

ol

syste

ms o

f th

eC

om

pan

y p

ert

ain

ing

to

fin

an

cia

l re

po

rtin

g a

nd

I h

ave

dis

clo

sed

to

th

e A

ud

itors

an

dA

ud

it C

om

mitte

e,

de

ficie

ncie

s i

n t

he

desig

n o

r o

pe

ratio

n o

f su

ch

in

tern

al

co

ntr

ols

,if a

ny,

of

wh

ich

I a

m a

ware

an

d t

he s

tep

s I

have t

ake

n o

r p

rop

ose t

o t

ake t

ore

ctify

th

ese d

eficie

ncie

s.

d)

Du

rin

g t

he y

ear

un

der

refe

ren

ce:

i)T

here

were

no

sig

nific

an

t ch

an

ge

s i

n t

he i

nte

rnal

co

ntr

ol o

ver

fin

an

cia

l r

ep

ort

ing

;ii)

No

sig

nific

an

t ch

an

ges i

n a

cco

un

ting

po

licie

s w

ere

mad

e t

ha

t re

qu

ire

dis

clo

su

re i

n t

he n

ote

s t

o t

he

fin

an

cia

l sta

tem

en

ts;

an

diii)

No

in

sta

nces o

f sig

nific

an

t fr

au

d a

nd

th

e in

vo

lvem

en

t th

ere

in,

if a

ny,

of

the

Ma

nag

em

en

t o

r e

mp

loye

e h

avin

g a

sig

nifi

can

t ro

le i

n t

he C

om

pan

y’s

inte

rnal

co

ntr

ol

syste

m o

ver

finan

cia

l re

po

rtin

g h

as c

om

e t

o m

y kn

ow

led

ge.

s

d/-

Dr.

Nir

aj K

um

ar

Sin

gh

Ch

air

ma

n &

Ma

na

gin

g D

ire

cto

r

9

Page 13: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

10

Au

dit

or’

s R

ep

ort

TO

TH

E M

EM

BE

RS

SA

I IN

DU

ST

RIE

S L

IMIT

ED

Re

po

rt o

n th

e F

ina

nc

ial S

tate

me

nts

We h

ave a

ud

ite

d t

he a

cco

mp

an

yin

g F

ina

ncia

l S

tate

me

nts

of

SA

I IN

DU

ST

RIE

S L

IMIT

ED

wh

ich

co

mp

rise o

f th

e B

ala

nce S

heet as a

t 3

1st M

arc

h, 2

01

4, an

d th

e S

tate

me

nt o

f P

rofit an

d L

oss a

nd

th

e

Ca

sh

Flo

w S

tate

men

t fo

r th

e y

ear

en

ded

on

th

at

date

, a

nd

a s

um

ma

ry o

f sig

nific

an

t a

cco

un

tin

g

po

licie

s a

nd

No

tes t

o A

cco

un

ts a

nn

exe

d t

he

reto

.

Ma

na

ge

me

nt’

s R

es

po

ns

ibilit

y fo

r th

e F

ina

nc

ial S

tate

me

nts

Ma

nag

em

en

t is

resp

on

sib

le f

or

the p

rep

ara

tion

of

the

se f

inan

cia

l sta

tem

en

ts t

ha

t g

ive

a t

rue a

nd

fair v

iew

of th

e fin

an

cia

l po

sitio

n, fin

an

cia

l pe

rfo

rman

ce a

nd

cash

flo

ws o

f th

e C

om

pa

ny

in a

cco

rdan

ce

with

th

e A

cco

un

tin

g S

tan

da

rds r

efe

rred

to

in

su

b-s

ectio

n (

3C

) o

f sectio

n 2

11

of

the C

om

pa

nie

s A

ct,

19

56

(“t

he A

ct”

) re

ad

with

th

e G

en

era

l C

ircu

lar

15

/20

13

date

d 1

3th

Se

pte

mb

er,

20

13

of

the

Min

istr

y

of C

orp

ora

te A

ffairs in

re

sp

ect o

f S

ectio

n 1

33

of th

e C

om

pan

ies A

ct,

20

13

an

d in

acco

rda

nce

with

th

e

ac

co

un

tin

g p

rin

cip

les g

en

era

lly a

cc

ep

ted

in

In

dia

. T

his

re

sp

on

sib

ilit

y i

nc

lud

es t

he

de

sig

n,

imp

lem

en

tatio

n a

nd

main

ten

an

ce o

f in

tern

al co

ntr

ol re

levan

t to

th

e p

rep

ara

tio

n a

nd

pre

sen

tatio

n o

f

the

fin

an

cia

l sta

tem

en

ts t

ha

t g

ive a

tru

e a

nd

fair

vie

w a

nd

are

fre

e f

rom

mate

ria

l m

issta

tem

en

t,

wh

eth

er

du

e t

o f

rau

d o

r e

rro

r.

Au

dit

or’

s R

es

po

ns

ibilit

y

Ou

r re

sp

on

sib

ility

is t

o e

xpre

ss a

n o

pin

ion

on

th

ese f

inan

cia

l sta

tem

en

ts b

ased

on

ou

r au

dit.

We

co

nd

ucte

d o

ur au

dit in

acco

rdan

ce w

ith

th

e S

tan

da

rds o

n A

ud

itin

g is

su

ed

by

the In

stit

ute

of C

hart

ere

d

Acco

un

tan

ts o

f In

dia

. T

ho

se S

tan

dard

s r

eq

uire t

ha

t w

e c

om

ply

with

eth

ical

req

uirem

en

ts a

nd

pla

n

an

d p

erf

orm

th

e a

ud

it to

ob

tain

reaso

na

ble

assu

ran

ce a

bo

ut

wh

eth

er

the f

inan

cia

l sta

tem

en

ts a

re

free

fro

m m

ate

ria

l m

issta

tem

en

t.

An

au

dit

invo

lve

s p

erf

orm

ing

pro

ced

ure

s to

ob

tain

au

dit

evi

den

ce a

bo

ut th

e a

mo

un

ts a

nd

dis

clo

su

res

in t

he

fin

an

cia

l sta

tem

en

ts.

Th

e p

roced

ure

s s

ele

cte

d d

ep

en

d o

n t

he a

ud

itor’s j

ud

gm

en

t, i

nclu

din

g

the a

ssessm

en

t o

f th

e r

isks o

f m

ate

ria

l m

issta

tem

en

t o

f th

e f

inan

cia

l sta

tem

en

ts,

wh

eth

er

du

e t

o

frau

d o

r err

or. I

n m

akin

g t

ho

se r

isk a

ssessm

en

ts,

the

au

dito

r co

nsid

ers

in

tern

al

co

ntr

ol

rele

van

t to

the C

om

pa

ny’

s p

rep

ara

tio

n a

nd

fair p

rese

nta

tion

of

the f

inan

cia

l sta

tem

en

ts in

ord

er

to d

esig

n a

ud

it

pro

ce

du

res t

ha

t a

re a

pp

rop

riate

in

th

e c

ircu

msta

nce

s,

bu

t n

ot

for

the

pu

rpo

se

of

exp

ressin

g a

n

op

inio

n o

n t

he e

ffe

ctive

ne

ss o

f th

e C

om

pan

y’s

in

tern

al

co

ntr

ol. .

An

au

dit a

lso

in

clu

de

s e

valu

atin

g

the a

pp

rop

riate

ness o

f acco

un

ting

po

licie

s u

se

d a

nd

th

e r

ea

so

nab

len

ess o

f th

e a

cco

un

tin

g e

stim

ate

s

ma

de b

y m

an

ag

em

en

t, a

s w

ell

as e

valu

atin

g t

he o

vera

ll p

resen

tatio

n o

f th

e f

ina

ncia

l sta

tem

en

ts.

We

belie

ve t

hat

the

au

dit

evi

den

ce w

e h

ave

ob

tain

ed

is s

uffic

ien

t a

nd

ap

pro

priate

to

pro

vid

e a

basis

for

ou

r a

ud

it o

pin

ion

.

Op

inio

n

In o

ur

op

inio

n a

nd

to

th

e b

est

of

ou

r in

form

atio

n a

nd

acco

rdin

g t

o t

he

exp

lan

atio

ns g

ive

n t

o u

s,

the

sa

id F

ina

ncia

l S

tate

men

ts r

ead

to

geth

er

with

th

e S

ign

ific

an

t A

cco

un

ting

Po

licie

s a

nd

th

e N

ote

s o

n

Fin

an

cia

l S

tate

men

ts a

pp

ea

rin

g th

ere

on

, g

ive t

he in

form

atio

n r

eq

uired

by

the C

om

pan

ies A

ct,

19

56

,

in t

he

ma

nn

er

so

re

qu

ired

, an

d g

ive a

tru

e a

nd

fa

ir v

iew

in

co

nfo

rmity

with

th

e a

cco

un

ting

prin

cip

les

ge

nera

lly a

ccep

ted

in

In

dia

:

(i)

In s

o f

ar

as it

rela

tes t

o B

ala

nce

Sh

ee

t, o

f th

e s

tate

of

aff

air

s o

f th

e c

om

pa

ny a

s a

t 3

1st

Ma

rch

, 2

01

4

(ii)

In s

o f

ar

as it

rela

tes t

o t

he

Sta

tem

en

t o

f P

rofi

t a

nd

Lo

ss,

of

the

Pro

fit

for

the

ye

ar

en

de

d

on

th

at

da

te.

Page 14: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

11

(iii)

In s

o f

ar

as it

rela

tes t

o t

he

Ca

sh

Flo

w S

tate

me

nt,

of

the

Ca

sh

Flo

ws f

or

the

ye

ar

en

de

d o

n t

ha

t d

ate

.

Sp

ec

ial

Me

nti

on

Inve

stm

en

ts i

n e

qu

ity i

nve

stm

en

ts i

s n

ot

asce

rta

ina

ble

in

ab

se

nce

of

an

y r

elia

ble

da

ta /

info

rma

tio

n w

ith

re

sp

ect

to t

he

ma

rke

t p

rice

of

qu

ote

d e

qu

ity s

ha

res f

or

the

pu

rpo

se

of

imp

ari

me

nt

testin

g,

ho

we

ve

r, t

he

ma

na

ge

me

nt

is o

f th

e o

pin

ion

, th

e r

ele

asa

ble

va

lue

of

inve

stm

en

ts is a

t le

ast

eq

ua

l to

th

e b

oo

k v

alu

e, h

en

ce

no

fu

rth

er

pro

vis

ion

fo

r d

imin

ish

me

nt

in

va

lue

ha

s b

ee

n m

ad

e.

Re

po

rt o

n o

the

r L

eg

al

an

d R

eg

ula

tory

Re

qu

ire

me

nts

1.

As re

quir

ed b

y th

e C

om

pan

ies

(Aud

ito

r’s R

ep

ort

) O

rde

r 2

00

3 a

s a

me

nd

ed

by the

Com

pa

nie

s

(Au

dito

r’s R

epo

rt)

(Am

en

dm

en

t) O

rde

r, 2

00

4 (‘th

e o

rde

r’) is

su

ed

by

the

Ce

ntr

al G

ove

rnm

en

t

of

Ind

ia i

n t

erm

s o

f su

bse

ctio

n (

4A

) o

f S

ectio

n 2

27

of

the

Co

mp

an

ies A

ct,

19

56

, w

e

en

clo

se

in

th

e a

nn

exu

re h

ere

to a

sta

tem

en

t o

n t

he

ma

tte

rs s

pe

cif

ied

in

pa

rag

rap

hs 4

an

d

5 o

f th

e s

aid

Ord

er.

2.

As r

eq

uir

ed

by s

ectio

n 2

27

(3)

of

the

Act,

we

re

po

rt t

ha

t:

a)

We

ha

ve

ob

tain

ed

all th

e in

form

atio

n a

nd

exp

lan

atio

ns w

hic

h to

th

e b

est o

f o

ur kn

ow

led

ge

an

d b

elie

f w

ere

ne

ce

ssa

ry f

or

the

pu

rpo

se

of

ou

r a

ud

it;

b)

In o

ur o

pin

ion

, p

rop

er b

oo

ks o

f a

cco

un

t, a

s re

quir

ed b

y la

w, h

ave

bee

n k

ep

t by th

e C

om

pan

y,

so

fa

r a

s a

pp

ea

rs f

rom

ou

r e

xa

min

atio

n o

f th

ose

bo

oks;

c)

Th

e B

ala

nce

Sh

ee

t, t

he

Sta

tem

en

t o

f P

rofi

t a

nd

Lo

ss a

nd

th

e C

ash

Flo

w S

tate

me

nt d

ea

lt

with

by t

his

re

po

rt a

re i

n a

gre

em

en

t w

ith

th

e b

oo

ks o

f a

cco

un

t;

d)

In o

ur

op

inio

n t

he

Ba

lan

ce

Sh

ee

t, t

he

Sta

tem

en

t o

f P

rofit

& L

oss a

nd

th

e C

ash

Flo

w

Sta

tem

en

t d

ea

lt w

ith

by t

his

re

po

rt c

om

ply

with

th

e A

cco

un

tin

g S

tan

da

rds r

efe

rre

d i

n

su

b-s

ectio

n (

3C

) o

f se

ctio

n 2

11

of

the

Co

mp

an

ies A

ct

rea

d w

ith

th

e G

en

era

l C

ircu

lar

15

/

20

13

da

ted

13

th S

ep

tem

be

r, 2

01

3 o

f th

e M

inis

try o

f C

orp

ora

te A

ffa

irs in

re

sp

ect o

f S

ectio

n

13

3 o

f th

e C

om

pa

nie

s A

ct,

20

13

;

Fo

r A

KG

& C

o

Ch

art

ere

d A

cc

ou

nta

nts

(CA

. An

il K

. Go

el)

PA

RT

NE

R

PL

AC

E : N

EW

DE

LH

IM

. N

O. :

08

34

54

DA

TE

:

30

.05

.20

14

Fir

m’s

Re

gis

tra

tio

n N

o. :

00

49

24

N

Page 15: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

12

An

ne

xu

re to

th

e A

ud

ito

rs’ re

po

rt(i

)In

re

sp

ect

of

fixe

d a

ssets

;(a

)T

he

Co

mp

an

y h

as m

ain

tain

ed

pro

pe

r re

co

rds s

ho

win

g f

ull

pa

rtic

ula

rs i

nclu

din

g q

uan

tita

tive

de

tails

an

d s

itu

atio

n o

f fixe

d a

sse

ts o

n t

he

ba

sis

of

availa

ble

in

form

atio

n.

(b)

As e

xpla

ined

to

us,

the f

ixed

assets

in

clu

din

g e

qu

ipm

en

t o

n lea

se h

ave b

een

ph

ysic

ally

ve

rified

by t

he

Ma

na

ge

men

t d

urin

g t

he

yea

r in

a p

ha

se

d p

erio

dic

al

man

ner,

wh

ich

in

ou

r o

pin

ion

is

reaso

na

ble

, h

avin

g r

eg

ard

to

th

e s

ize

of

the C

om

pa

ny

an

d n

atu

re o

f its a

sse

ts.

No

mate

rial

dis

cre

pan

cie

s w

ere

no

tice

d o

n s

uch

ve

rific

atio

n.

(c)

In o

ur

op

inio

n,

the

Co

mp

an

y h

as n

ot

dis

po

se

d o

ff s

ub

sta

ntia

l p

art

of

fixe

d a

ssets

du

rin

g t

he

year,

wh

ich

may h

ave a

ffe

cte

d th

e g

oin

g c

on

ce

rn s

tatu

s o

f th

e c

om

pan

y , b

ut S

ub

sta

ntial

Valu

eo

f th

e F

ixed

Assets

Writte

n o

ff t

hro

ug

h

de

pre

cia

tion

by t

he c

om

pa

ny

du

rin

g t

he

yea

r.(i

i)In

resp

ect

of

inven

torie

s;

(a)

Th

e c

om

pa

ny

has n

o

inve

nto

ry d

urin

g t

he y

ear,

acco

rdin

gly

cla

use (

a)

of

the

pa

rag

rap

h 4

(ii) o

fth

e O

rder

is n

ot

ap

plic

ab

le.

(b)

Sin

ce t

he

Co

mp

an

y h

as n

o a

ny

inven

tory

, th

e c

lau

se (

b)

of

the p

ara

gra

ph

4(ii) is n

ot

ap

plic

ab

leto

th

e c

om

pan

y.(c

)S

ince t

he

Co

mp

an

y h

as n

o a

ny

inven

tory

, th

e c

lau

se (

c)

of

the p

ara

gra

ph

4(ii) is n

ot

ap

plic

ab

leto

th

e c

om

pan

y.(i

ii)

In resp

ect o

f lo

an

s, se

cu

red

or u

nse

cu

red

, g

ran

ted

or

taken

by

the C

om

pan

y to

/fro

m c

om

pan

ies,

firm

s o

r o

ther

part

ies c

overe

d in

th

e r

eg

iste

r m

ain

tain

ed

un

der

Se

ctio

n 3

01

of

the C

om

pan

ies

Act,

19

56

:(a

)T

he c

om

pa

ny

has n

ot

gra

nte

d a

ny

loan

s d

urin

g t

he y

ear

to th

e C

om

pa

nie

s, F

irm

s o

r o

ther

part

yco

vere

d i

n t

he r

eg

iste

r m

ain

tain

ed

un

der

Se

ctio

n 3

01

of

the C

om

pan

ies A

ct,

19

56

. T

he lo

an

ou

tsta

nd

ing

at

the y

ear

en

d w

as R

s.

26

,21

0/-

.(b

)In

ou

r o

pin

ion

an

d a

cco

rdin

g t

o th

e in

form

atio

n a

nd

exp

lan

atio

ns g

iven

to

us,

the r

ate

of in

tere

st,

wh

ere

ver

ap

plic

ab

le a

nd

oth

er

the

te

rms a

nd

co

nd

itio

ns a

re n

ot

prim

a-f

acie

pre

jud

icia

l to

th

ein

tere

st

of

the c

om

pan

y, a

s t

he c

om

pa

ny

has n

o i

nte

rest

bearin

g f

un

ds.

(c)

Th

e l

oan

s g

ran

ted

by

the c

om

pa

ny

is i

nte

rest

free a

nd

th

e p

rin

cip

al

am

ou

nt

is r

ep

aya

ble

on

de

ma

nd

.(d

)S

ince t

he

lo

an

s t

aken

an

d g

ran

ted

by t

he c

om

pa

ny

are

rep

aya

ble

on

dem

an

d,

no

qu

estio

n o

fo

verd

ue a

mo

un

ts a

rise

s.

(e)

Th

e c

om

pa

ny

has n

ot

taken

an

y lo

an

s d

urin

g t

he

ye

ar

fro

m t

he p

art

ies c

overe

d u

/s 3

01

of

the

Co

mp

an

ies A

ct,

19

56

. T

he

lo

an

ou

tsta

nd

ing

as a

t t

he

ye

ar

en

d a

fte

r a

dju

stin

g o

pe

nin

go

uts

tan

din

g a

nd

rep

aym

en

ts d

urin

g t

he y

ear

was R

s.

8.2

1 L

acs.

(f)

In o

ur

op

inio

n a

nd

acco

rdin

g t

o th

e in

form

atio

n a

nd

exp

lan

atio

ns g

iven

to

us,

the r

ate

of in

tere

st,

wh

ere

ve

r a

pp

lica

ble

an

d o

the

r te

rms a

nd

co

nd

itio

ns a

re n

ot

pri

ma

fa

cie

pre

jud

icia

l to

th

ein

tere

st

of

the

Co

mp

an

y.(g

)In

ou

r o

pin

ion

an

d a

cco

rdin

g t

o t

he in

form

atio

n a

nd

exp

lan

atio

ns g

ive

n to

us th

e lo

an

s ta

ken

by

the c

om

pa

ny

is r

ep

aya

ble

on

dem

an

d.

(iv)

In o

ur

op

inio

n a

nd

acco

rdin

g to

th

e in

form

atio

n a

nd

exp

lan

atio

ns g

iven

to

us, th

ere

are

ad

eq

ua

tein

tern

al

co

ntr

ol

pro

ce

du

res c

om

men

su

rate

with

th

e s

ize o

f th

e C

om

pan

y a

nd

th

e n

atu

re o

f its

bu

sin

ess f

or

the

pu

rch

ase o

f in

ven

tory

, fixe

d a

ssets

an

d a

lso

fo

r th

e s

ale

of

go

od

s.

Du

rin

g t

he

co

urs

e o

f o

ur

au

dit,

we h

ave

no

t o

bserv

ed

an

y m

ajo

r w

ea

kn

esses i

n in

tern

al

co

ntr

ols

.(v

)In

resp

ect

of

tran

sactio

ns c

overe

d u

nd

er

Se

ctio

n 3

01

of

the C

om

pan

ies A

ct,

19

56

:(a

)In

ou

r o

pin

ion

an

d a

cco

rdin

g t

o t

he in

form

atio

n a

nd

exp

lan

atio

ns g

iven

to

us,

the p

art

icu

lars

of

co

ntr

acts

or

arr

an

gem

en

ts,

that

nee

ded

to

be

en

tere

d i

nto

in

th

e r

eg

iste

r m

ain

tain

ed

un

der

Se

ctio

n 3

01

of

the C

om

pan

ies A

ct,

19

56

have

bee

n s

o e

nte

red

.(b

)In

ou

r o

pin

ion

an

d a

cco

rdin

g t

o t

he

in

form

atio

n a

nd

exp

lan

atio

ns g

ive

n t

o u

s,

the t

ran

sactio

ns

mad

e i

n p

urs

uan

ce o

f co

ntr

acts

or

arr

an

ge

me

nts

en

tere

d i

n t

he

re

gis

ter

main

tain

ed

un

de

rS

ectio

n 3

01

of th

e C

om

pan

ies A

ct,

19

56

ag

gre

ga

ting

du

rin

g t

he y

ear

to R

s.

5,0

0,0

00

/- (

Ru

pe

es

Fiv

e L

acs o

nly

) o

r m

ore

in r

esp

ect

of an

y p

art

y h

ave

been

ma

de a

t p

rices w

hic

h a

re r

easo

nab

leh

avi

ng

re

gard

to

pre

vaili

ng

mark

et

prices

at

the

re

levan

t tim

e.

(vi)

Th

e C

om

pa

ny

has n

ot

accep

ted

an

y d

ep

osits f

rom

th

e p

ub

lic.

(vii)

In o

ur

op

inio

n,

the

co

mp

an

y h

as a

n i

nte

rnal

au

dit

sys

tem

co

mm

en

su

rate

with

siz

e a

nd

natu

reo

f its b

usin

ess.

Page 16: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

13

(viii

)T

he

Ce

ntr

al

go

ve

rnm

en

t h

as n

ot

pre

scri

be

d m

ain

ten

an

ce

of

Co

st

Re

co

rds u

nd

er

se

ctio

n2

09

(1)(

d)

of

the

Co

mp

an

ies A

ct, 1

95

6 in

re

sp

ect

of

man

ufa

ctu

rin

g a

ctivi

ties o

f th

e C

om

pan

y.(ix)

In r

esp

ect

of

sta

tuto

ry d

ues :

(a)

Acco

rdin

g t

o th

e r

eco

rds o

f th

e C

om

pan

y, u

nd

isp

ute

d s

tatu

tory

du

es in

clu

din

g P

rovi

den

t F

un

d,

Inve

sto

r E

du

catio

n a

nd

Pro

tectio

n F

un

d,

Em

plo

yees’

Sta

te I

nsu

ran

ce,

Inco

me

-Tax,

Sale

s-t

ax,

We

alth

Ta

x, S

erv

ice

Ta

x, C

usto

ms D

uty

, E

xcis

e D

uty

, C

ess a

nd

oth

er

sta

tuto

ry d

ue

s,

wh

ich

ever

ap

plic

ab

le h

ave b

een

re

gu

larly

dep

osited

with

th

e a

pp

rop

riate

au

tho

rities.

Acco

rdin

g t

o t

he

info

rmatio

n a

nd

exp

lan

atio

ns g

ive

n t

o u

s,

no

un

dis

pu

ted

am

ou

nts

payab

le i

n r

esp

ect

of

the

afo

resaid

du

es w

ere

ou

tsta

nd

ing

as a

t 3

1st

Marc

h,

fo

r a

pe

rio

d o

f m

ore

th

an

six

mo

nth

s f

rom

the d

ate

of

beco

me

payab

le.

(b)

Th

e d

isp

ute

d s

tatu

tory

du

es a

gg

reg

atin

g t

o R

s.

12

.51

Lacs p

lus in

tere

st

du

e (

no

t ascert

ain

ed

yet)

th

at h

ave

no

t b

een

de

po

site

d o

n a

cco

un

t o

f m

atte

rs p

en

din

g b

efo

re th

e a

pp

rop

ria

te a

uth

ority

are

as u

nd

er:

-S

. No

.N

am

e o

f th

eN

atu

re o

fF

oru

m w

he

re d

isp

ute

is

Pe

rio

d t

o w

hic

h t

he

Sta

tute

du

es

pen

din

gam

ou

nt p

en

din

g1

I.T. A

ct, 1

96

1D

em

an

dP

etit

ion

reje

cte

d b

y th

e H

on

’ble

Su

pre

me C

ou

rt,

ho

weve

r, c

om

pan

y in

ten

ds t

o f

ile r

evie

w p

etit

ion

befo

re t

he

sa

me c

ou

rt.

AY

9

5-9

6(x

)A

ccu

mu

late

d lo

sses o

f th

e C

om

pan

y are

mo

re t

ha

n f

ifty

pe

rce

nt

of

its n

et

wo

rth

. T

he c

om

pa

ny

ha

s in

cu

rred

ca

sh

lo

sses d

urin

g t

he f

inan

cia

l ye

ar

co

vere

d b

y o

ur

au

dit,

as w

ell

as in

im

med

iate

pre

ced

ing

yea

r.(x

i)In

ou

r o

pin

ion

an

d a

cco

rdin

g t

o t

he in

form

atio

n a

nd

exp

lan

atio

ns g

iven

to

us,

the

co

mp

an

y h

as

de

fau

lted

in

re

paym

en

t o

f d

ue

s t

o f

ina

ncia

l in

stitu

tio

ns.

(xii)

In o

ur

op

inio

n a

nd

acco

rdin

g t

o t

he i

nfo

rma

tio

n a

nd

exp

lan

atio

n g

ive

n t

o u

s,

no

lo

an

s a

nd

ad

van

ce

s h

ave b

ee

n g

ran

ted

by

the

Co

mp

an

y o

n t

he

ba

sis

of

secu

rity

by w

ay

of

ple

dg

e o

fsh

are

s,

deb

en

ture

s a

nd

oth

er

se

cu

rities.

(xiii

)In

ou

r o

pin

ion

, th

e C

om

pan

y is

no

t a c

hit f

un

d o

r a n

idh

i/m

utu

al b

en

efit fu

nd

/so

cie

ty. T

here

fore

,cla

use 4

(xiii

) o

f th

e C

om

pan

ies (

Au

dito

r’s R

ep

ort

) O

rde

r 2

00

3 is n

ot

ap

plic

ab

le t

o th

e C

om

pa

ny

(xiv

)T

he c

om

pa

ny

has m

ain

tain

ed

pro

per

reco

rds o

f tr

an

sactio

ns a

nd

co

ntr

acts

in r

esp

ect o

f tr

ad

ing

in s

hare

s a

nd

tim

ely

en

trie

s h

ave

bee

n m

ad

e t

here

in.

Th

e i

nvestm

en

ts o

f th

e c

om

pan

y are

he

ld i

n i

ts o

wn

nam

e e

xcep

t to

th

e e

xten

t o

f th

e e

xem

ptio

n g

ran

ted

un

de

r sectio

n 4

9 o

f th

eC

om

pa

nie

s A

ct, 1

95

6.

(xv)

Acco

rdin

g t

o t

he

in

form

atio

n a

nd

exp

lan

atio

ns g

ive

n t

o u

s,

we

are

of

the

op

inio

n t

ha

t th

eco

mp

an

y h

as n

ot

giv

en

gu

ara

nte

es fo

r lo

an

s taken

by

oth

ers

fro

m b

an

ks o

r fin

an

cia

l in

stit

utio

ns

the te

rms a

nd

co

nd

itio

ns w

here

of

are

no

t p

rim

a facie

pre

jud

icia

l to

th

e in

tere

st

of

the

Co

mp

an

y.(x

vi)

Th

e C

om

pa

ny

has n

ot

rais

ed

an

y te

rm l

oa

ns d

urin

g t

he

yea

r u

nd

er

rep

ort

.(x

vii)

Acco

rdin

g t

o t

he in

form

atio

n a

nd

exp

lan

atio

ns g

iven

to

us a

nd

on

an

ove

rall

exa

min

atio

n o

f th

eB

ala

nce S

hee

t o

f th

e C

om

pa

ny,

we a

re o

f th

e o

pin

ion

th

at

the

Co

mp

an

y h

as n

ot

util

ise

d

an

yfu

nd

s r

ais

ed

fro

m s

ho

rt t

erm

so

urc

es t

ow

ard

s l

on

g t

erm

in

vestm

en

t o

r vi

ce-v

ers

a.

(xvi

ii) D

urin

g t

he

ye

ar,

th

e C

om

pan

y h

as n

ot

mad

e a

ny

pre

fere

ntial

allo

tmen

t o

f sh

are

s t

o p

art

ies

an

d c

om

pa

nie

s c

ove

red

in

th

e R

eg

iste

r m

ain

tain

ed

un

der

Sectio

n 3

01

of

the C

om

pa

nie

s A

ct,

19

56

.(x

ix)

Acco

rdin

g t

o t

he

info

rmatio

n a

nd

exp

lan

atio

ns g

iven

to

us,

no

deb

en

ture

s h

ave b

een

issu

ed

by

the c

om

pan

y.(x

x)A

cco

rdin

g t

o t

he i

nfo

rmatio

n a

nd

exp

lan

atio

ns g

iven

to

us,

the c

om

pan

y h

as n

ot

rais

ed

an

ym

on

ey

by

pu

blic

issu

es d

urin

g t

he

yea

r.(x

xi)

Acco

rdin

g t

o t

he

in

form

atio

n a

nd

exp

lan

atio

ns g

iven

to

us,

no

fra

ud

on

or

by t

he

co

mp

an

y h

as

be

en

no

ticed

o

r re

po

rted

du

rin

g t

he

yea

r.F

or A

KG

& C

oC

ha

rte

red

Ac

co

un

tan

ts(C

A. A

nil K

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el)

PA

RT

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CE

: N

EW

DE

LH

IM

. N

O. :

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DA

TE

:

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.05

.20

14

Fir

m’s

Re

gis

tra

tio

n N

o. :

00

49

24

N

Page 17: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

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14

BA

LA

NC

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HE

ET

AS

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31S

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Am

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Rs

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at

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I. E

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(1) S

ha

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old

ers

Fu

nd

s

a)

Sh

are

Cap

ital

12

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29

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Re

serv

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(2,1

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Term

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82

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912,5

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Sig

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No

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o t

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to

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fo

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Inte

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this

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Sh

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AU

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As p

er

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r A

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on

be

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ire

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om

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ny

CH

AR

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NTA

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N

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Page 18: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

15

NO

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NO

. — 1

SH

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Th

e c

om

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ng

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ss o

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hare

s r

efe

rre

d t

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per

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No

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or

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e u

nd

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ns a

nd

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ntr

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ts f

or

the

sa

le o

fsh

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s /

dis

inve

stm

en

t/ E

SO

P e

tc.

d)

Th

e c

om

pan

y h

as n

ot

decla

red

an

y d

ivid

en

d d

urin

g t

he y

ear

e)

Th

e c

om

pa

ny d

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s n

ot

ha

ve a

ny H

old

ing

co

mp

an

y i

n t

he

cu

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nt

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pre

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us p

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su

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f sh

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eld

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g a

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g c

om

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Sh

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t s

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e o

f S

ha

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er

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y S

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t 3

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f S

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he

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old

ing

% o

f H

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ing

Sa

i A

ge

ncie

s P

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te L

imited

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18

.37

18

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ess &

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nsu

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cy

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ms P

vt.

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,00

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31

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ai E

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rprises P

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h C

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n C

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.33

No

te 1

.cR

ec

on

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the

nu

mb

er

of

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are

s o

uts

tan

din

g a

nd

th

e a

mo

un

t o

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2

Page 19: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

No

te N

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3.a

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n r

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16

Page 20: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

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17

PR

OF

IT A

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14

Page 21: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

18

NO

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NO

. — 1

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Page 22: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

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19

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Page 23: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

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D

20

SCHEDULE OF FIXED ASSETS FOR THE YEAR ENDED 31.03.2014

Note - 6

GROSS BLOCK DEPRECIATION NET BLOCK

PARTICULARS Opening Addition Sale Closing Up to on sold For the Total Upto As at As At

Balance TFR Balance 31.3.13 Asset year 31.3.14 31.03.14 31.3.13

II) TANGIBLE

ASSETS

(Under Lease)

PLANT 5040750 0.00 0.00 5040750 5035750 0.00 0.00 5035750 5000 5000

& MACHINERY

Sub Total (I) 5040750 0.00 0.00 5040750 5035750 0.00 0.00 5035750 5000 5000

II) TANGIBLE

ASSETS

(Not Under Lease)

OFFICE 163600 0.00 0.00 163600 113654 0.00 7760 121414 42186 49946

EQUIPMENT

Sub Total (II) 163600 0.00 0.00 163600 113654 0.00 7760 121414 42186 49946

TOTAL (I+II) 5204350 0.00 0.00 5204350 5149404 0.00 7760 5157164 47186 54946

PREVIOUS 5300888 0.00 0.00 5300888 5234224 0.00 11718 5245942 54946 66664

YEAR FIGURES

Depreciation has been provided on Straight Line Method in accordance with the provisions of Section

205(2)(b) of the Companies Act, 1956 at the rates specified in Schedule XIV of the Companies Act, 1956 on

pro-rate basis.

No depreciation is charged on leased assets during the year as the substantial part of the block has already

been written off during previous years.

No asset has been re-valued or impaired during the year ended 31-03-2014 or previous year ended 31-03-

2013

Page 24: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

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NON CURRENT INVESTMENTSB. Details of Other InvestmentsSr.No. Particulars Subsidiary / No. of Quoted / Partly/ Extent of Amount Basis of

Associate / JV/ Shares / Units Unquoted Fully paid Holding (%) Valuation

Controlled

Special Purpose

Entity / Others

2014 2013 2014 2013 2014 2013(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12)a) Investment in Equity Instruments1 Equity Shares of Rs. 10/- each of

Aturia Continental Pumps & Motor Ltd. Others 1000 1000 Quoted Fully paid NA NA 59750 59750 At Cost

2 Equity Shares of Rs. 10/- each of

AVI Photochem Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

3 Equity Shares of Rs. 10/- each of

Amtex India Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost4 Equity Shares of Rs. 10/- each of

Avikem Resins Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

5 Equity Shares of Rs. 10/- each of

Asian Coffee Ltd. Others 12 12 Quoted Fully paid NA NA 1026 1026 At Cost

6 Equity Shares of Rs. 10/- each of

Armour Polymer Ltd. Others 100 100 Quoted Fully paid NA NA 3940 3940 At Cost

7 Equity Shares of Rs. 10/- each ofAravali Leasing & Securities Ltd. Others 50 50 Quoted Fully paid NA NA 1250 1250 At Cost

8 Equity Shares of Rs. 10/- each of

Banjara Cements Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

9 Equity Shares of Rs. 10/- each of

Belwal Spinning Mills Ltd. Others 3000 3000 Quoted Fully paid NA NA 15000 15000 At Cost

10 Equity Shares of Rs. 10/- each of

Chandra Synthetics Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost11 Equity Shares of Rs. 10/- each of

Compect Disc India Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

12 Equity Shares of Rs. 10/- each of

Dharmadeep Properse & Alloys Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

13 Equity Shares of Rs. 10/- each of

D. K. Chemo-Plast Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost14 Equity Shares of Rs. 10/- each of

Deep Special Steel Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

15 Equity Shares of Rs. 10/- each of

Denish-Knit Industries Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

16 Equity Shares of Rs. 10/- each of

Deora Polytex Ltd. Others 1000 1000 Quoted Fully paid NA NA 28165 28165 At Cost

17 Equity Shares of Rs. 10/- each ofElcaps Capacitors Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

18 Equity Shares of Rs. 10/- each of

Eastern Granites Ltd. Others 200 200 Quoted Fully paid NA NA 2000 2000 At Cost

19 Equity Shares of Rs. 10/- each of

Electric Control Gear (India) Ltd. Others 500 500 Quoted Fully paid NA NA 9256 9256 At Cost

20 Equity Shares of Rs. 10/- each of

Page 25: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

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EL Forge Ltd. Others 25 25 Quoted Fully paid NA NA 720 720 At Cost

21 Equity Shares of Rs. 10/- each ofFly-up Fashions Ltd. Others 100 100 Quoted Fully paid NA NA 1250 1250 At Cost

22 Equity Shares of Rs. 10/- each of

Gujarat Speciality Lubes Ltd. Others 49 49 Quoted Fully paid NA NA 490 490 At Cost

23 Equity Shares of Rs. 10/- each of

Gujrat Ambuja Proteins Ltd. Others 100 100 Quoted Fully paid NA NA 2500 2500 At Cost

24 Equity Shares of Rs. 10/- each of

Herdillia Unimers Ltd. Others 10 10 Quoted Fully paid NA NA 1000 1000 At Cost

25 Equity Shares of Rs. 10/- each ofHarsh Polymers (India) Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

26 Equity Shares of Rs. 10/- each of

Hissar Spinning Mills Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

27 Equity Shares of Rs. 10/- each of

Hindustan Agro Chemicals Ltd. Others 100 100 Quoted Fully paid NA NA 2000 2000 At Cost28 Equity Shares of Rs. 10/- each of

H B Portfolio Leasing Ltd. Others 100 100 Quoted Fully paid NA NA 6500 6500 At Cost

29 Equity Shares of Rs. 10/- each of

Hindustan Development Corporation Ltd. Others 100 100 Quoted Fully paid NA NA 6157 6157 At Cost

30 Equity Shares of Rs. 10/- each of

HB Leasing & Finance Ltd. Others 150 150 Quoted Fully paid NA NA 5000 5000 At Cost

31 Equity Shares of Rs. 10/- each of

Indian Polyfins Ltd. Others 100 100 Quoted Fully paid NA NA 1500 1500 At Cost32 Equity Shares of Rs. 10/- each of

Intec Securities Ltd. Others 700 700 Quoted Fully paid NA NA 7000 7000 At Cost

33 Equity Shares of Rs. 10/- each of

J. K Synthetics Ltd. Others 69 69 Quoted Fully paid NA NA 2565 2565 At Cost

34 Equity Shares of Rs. 10/- each ofJolly Tea Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

35 Equity Shares of Rs. 10/- each ofJanak Intermediates Ltd. Others 300 300 Quoted Fully paid NA NA 6500 6500 At Cost

36 Equity Shares of Rs. 10/- each of

Jayaswal Neco Ltd. Others 60 60 Quoted Fully paid NA NA 3000 3000 At Cost

37 Equity Shares of Rs. 10/- each of

Jay Bharat Fabric Mills Ltd. Others 200 200 Quoted Fully paid NA NA 50576 50576 At Cost

38 Equity Shares of Rs. 10/- each of

Khaitan Hostombe Spinels Ltd. Others 1500 1500 Quoted Fully paid NA NA 31800 31800 At Cost39 Equity Shares of Rs. 10/- each of

Kallan Spinning Mills Ltd. Others 200 200 Quoted Fully paid NA NA 1493 1493 At Cost

40 Equity Shares of Rs. 10/- each of

Kothari Fermentation & Bioichem Ltd. Others 211 211 Quoted Fully paid NA NA 6910 6910 At Cost41 Equity Shares of Rs. 10/- each of

Lohia Polyester Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost42 Equity Shares of Rs. 10/- each of

Lakshmi Auto Components Ltd. Others 100 100 Quoted Fully paid NA NA 2016 2016 At Cost

43 Equity Shares of Rs. 10/- each of

Modi Alkalies & Chemicals Ltd. Others 800 800 Quoted Fully paid NA NA 31925 31925 At Cost

44 Equity Shares of Rs. 10/- each of

Page 26: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

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Metal Box India Ltd. Others 1000 1000 Quoted Fully paid NA NA 53550 53550 At Cost

45 Equity Shares of Rs. 10/- each of

Magnus Rubber Industries Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost46 Equity Shares of Rs. 10/- each of

Mercard Ltd. Others 500 500 Quoted Fully paid NA NA 6725 6725 At Cost

47 Equity Shares of Rs. 10/- each of

Manali Petrochemical Ltd. Others 300 300 Quoted Fully paid NA NA 2445 2445 At Cost48 Equity Shares of Rs. 10/- each of

Nova Iron & Steel Ltd. Others 200 200 Quoted Fully paid NA NA 2000 2000 At Cost49 Equity Shares of Rs. 10/- each of

ORDE Industries Ltd. Others 100 100 Quoted Fully paid NA NA 1575 1575 At Cost

50 Equity Shares of Rs. 10/- each of

Osho Ceremics Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

51 Equity Shares of Rs. 10/- each of

Oberoi Associated Hotels Ltd. Others 66 66 Quoted Fully paid NA NA 3108 3108 At Cost

52 Equity Shares of Rs. 10/- each ofPunsumi India Ltd. Others 100 100 Quoted Fully paid NA NA 2000 2000 At Cost

53 Equity Shares of Rs. 10/- each of

Punjab Iron & Steel Company Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

54 Equity Shares of Rs. 10/- each ofPro Fin Capital Services Ltd. Others 5100 5100 Quoted Fully paid NA NA 90055 90055 At Cost

55 Equity Shares of Rs. 10/- each ofPace Elect Automation Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

56 Equity Shares of Rs. 10/- each of

Raam Drugs & Pharmaceuticals Ltd. Others 500 500 Quoted Fully paid NA NA 22250 22250 At Cost

57 Equity Shares of Rs. 10/- each of

Redex Protech Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

58 Equity Shares of Rs. 10/- each of

Real Value Appliances Ltd. Others 100 100 Quoted Fully paid NA NA 3000 3000 At Cost

59 Equity Shares of Rs. 10/- each ofRaghoji Cement Manufacturing Co. Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

60 Equity Shares of Rs. 10/- each of

Regency Hospital Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

61 Equity Shares of Rs. 10/- each ofR B Financial Consultants Ltd. Others 12000 12000 Quoted Fully paid NA NA 502750 502750 At Cost

62 Equity Shares of Rs. 10/- each ofSomkan Marine Food Ltd. Others 200 200 Quoted Fully paid NA NA 2000 2000 At Cost

63 Equity Shares of Rs. 10/- each of

Steelco Gujarat Ltd. Others 4480 4480 Quoted Fully paid NA NA 92512 92512 At Cost

64 Equity Shares of Rs. 10/- each of

Swaika Vanaspati Products Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

65 Equity Shares of Rs. 10/- each of

Sitapur Plywood Manufacturers Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost66 Equity Shares of Rs. 10/- each of

Sheel International Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

67 Equity Shares of Rs. 10/- each of

Sarla Gems Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost68 Equity Shares of Rs. 10/- each of

Page 27: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

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Sandeep Industries Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost69 Equity Shares of Rs. 10/- each of

Sriman Organic Chemicals Ltd. Others 200 200 Quoted Fully paid NA NA 8705 8705 At Cost

70 Equity Shares of Rs. 10/- each of

Silverline India Ltd. Others 150 150 Quoted Fully paid NA NA 11195 11195 At Cost

71 Equity Shares of Rs. 10/- each of

Southern Iron & Steel Co. Ltd. Others 201 201 Quoted Fully paid NA NA 3742 3742 At Cost

72 Equity Shares of Rs. 10/- each ofSudsun Housing Development India Ltd. Others 2700 2700 Quoted Fully paid NA NA 30141 30141 At Cost

73 Equity Shares of Rs. 10/- each of

Transasia Packaging Ltd. Others 1000 1000 Quoted Fully paid NA NA 10000 10000 At Cost

74 Equity Shares of Rs. 10/- each of

Thapar Exports Ltd. Others 200 200 Quoted Fully paid NA NA 2000 2000 At Cost

75 Equity Shares of Rs. 10/- each ofTVS Electronics Ltd. Others 100 100 Quoted Fully paid NA NA 5169 5169 At Cost

76 Equity Shares of Rs. 10/- each of

Trupti Twisters Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

77 Equity Shares of Rs. 10/- each of

Venus Sugar Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

78 Equity Shares of Rs. 10/- each of

VBC Industries Ltd. Others 100 100 Quoted Fully paid NA NA 2000 2000 At Cost79 Equity Shares of Rs. 10/- each of

Vinayak Industries Ltd. Others 100 100 Quoted Fully paid NA NA 1000 1000 At Cost

80 Equity Shares of Rs. 10/- each of

Willard India Ltd. Others 100 100 Quoted Fully paid NA NA 3000 3000 At Cost

81 Equity Shares of Rs. 10/- each of

Yenepoya Minerals & Granites Ltd. Others 300 300 Quoted Fully paid NA NA 3950 3950 At Cost

82 Equity Shares of Rs. 10/- each ofZenergy Ltd. Others 1600 1600 Quoted Fully paid NA NA 11488 11488 At Cost

83 Equity Shares of Rs. 10/- each of

Sai Capital Ltd. Associate 202500 202500 Quoted Fully paid NA NA 2060500 2060500 At Cost

84 Equity Shares of Rs. 10/- each of

Sai Capital Ltd. Associate 387600 387600 Quoted Partly paid NA NA 1217500 1217500 At Cost

85 Equity Shares of Rs. 10/- each of

Sai Business & ConsultancySystems Pvt. Ltd. Associate 41500 41500 Unquoted Fully paid NA NA 415000 415000 At Cost

Sub-Total 4889648 4889648Less : Provision for permanent diminution in value of investments. 4574748 4574748

Sub-Total (a) 314,900 314,900b) Investments in Debentures or Bonds1 Debentures of Rs. 10/- each of

Herdillia Unimers Ltd. Others 10 10 Quoted Fully paid NA NA 1000 1000 At Cost

Sub-Total (b) 1,000 1,000Total (a+b) 315,900 315,900

Note: All the quoted shares mentioned above are not being traded in any stock exchange, so the Market price as on 31st March, 2014

cannot be determined.

Page 28: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

25

SC

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DU

LE

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Page 29: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

26

B)

Tra

ns

ac

tio

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wit

h r

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-

Page 30: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

27

e)

Co

mm

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Page 31: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

28

Lo

ng

Te

rm In

ve

stm

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t-

Page 32: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

SA

I IN

DU

ST

RIE

S L

IMIT

ED

Re

gis

tere

d O

ffic

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20

4, A

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Pla

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Me

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Annu

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Pro

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Na

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Page 33: Twenty Third Annual Report 2013-2014 Sai Industries Limitedin electronic form. 7 The Securities and Exchange Board of India (SEBI) has made it mandatory for every participant in the

BO

OK

- P

OS

T

If u

nd

erd

eliv

ere

d p

lea

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LIM

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