Escolar Documentos
Profissional Documentos
Cultura Documentos
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fortune park hotels limited
(Appointment and Remuneration of Managerial Personnel) Rules, 2014, into any contract or arrangement with its related parties which is not on
are as detailed below: arm’s length basis.
Name Age Designation Gross Qualification Experience Date of Previous
14. CORPORATE SOCIAL RESPONSIBILITY (CSR)
Remuneration (Years) Joining Employment / The Annual Report on CSR activities of the Company in terms of Section
(`) Position held 135 of the Act read with the Companies (Corporate Social Responsibility
Suresh Kumar 58 Managing 64,33,114/- B.Sc. 37 02/02/2015 – Policy) Rules, 2014 is enclosed as Annexure 1 to this Report.
Director 15. SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS /
Your Company continues to attract and retain talent of the highest quality. COURTS / TRIBUNALS
Your Directors place on record their sincere appreciation of the efforts During the year under review, no significant or material orders were passed
made and the support rendered by the employees of the Company. The by the Regulators / Courts / Tribunals impacting the going concern status
Company provides a gender friendly workplace and no case of sexual of the Company and its future operations.
harassment was reported during the year. 16. EXTRACT OF ANNUAL RETURN
10. RISK MANAGEMENT The extract of Annual Return in the prescribed Form No. MGT-9 is enclosed
as Annexure 2 to this Report.
The Company’s risk management framework, designed to bring robustness
to the risk management processes in the Company, addresses risks intrinsic 17. AUDITORS
to operations, financials and compliances arising out of the overall strategy The Company’s Statutory Auditors, Messrs Price Waterhouse Chartered
of the Company. Accountants LLP (PWCA), Chartered Accountants were appointed with
Management of risks vests with the executive management which is your approval at the Nineteenth AGM to hold such office till the conclusion
responsible for the day-to-day conduct of the affairs of the Company. The of the Twenty Fourth AGM. Your Board, in terms of Section 139 of the Act,
Internal Audit Department of ITC Limited periodically carries out, at the has recommended for the ratification of the Members the appointment of
request of the Company, risk focused audits with the objective of identifying PWCA from the conclusion of the ensuing AGM till the conclusion of the
areas where risk management processes could be strengthened. As required Twenty-Second AGM. The Board, in terms of Section 142 of the Act, has
under the Risk Management Policy of the Company, a Risk Mitigation also recommended for the approval of the Members the remuneration of
Report back was prepared on half-yearly basis and reviewed by the Fortune PWCA for the financial year 2016-17. Appropriate resolution in respect of
Management Committee. Further, an annual update was provided to the the above is appearing in the Notice convening the ensuing AGM of the
Board on the effectiveness of the Company’s risk management systems and Company.
policies. The Board expressed satisfaction with the implementation of the 18. CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN
risk mitigation strategies adopted by the Company against various risks. EXCHANGE EARNINGS AND OUTGO
11. INTERNAL FINANCIAL CONTROLS Conservation of Energy:
There are adequate internal financial controls in your Company with Steps taken on conservation of energy and impact thereof: NIL
respect to the financial statements, commensurate with the size and scale
of the operations of the Company. The Board which provides guidance on Steps taken by the Company for utilizing alternate sources of energy: NIL
internal controls, also reviews internal audit findings and implementation Capital investment on energy conservation equipment: NIL
of internal audit recommendations. Technology Absorption:
During the year, the internal financial controls in the Company with Efforts, in brief, made towards technology absorption and benefits derived
respect to the financial statements were tested and no material weakness as a result of the above efforts, e.g. product improvement, cost reduction,
in the design or operation of such controls was observed. Nonetheless product development, import substitution, etc : NIL
your Company recognises that any internal financial control framework,
The Company neither imported any technology during the year nor
no matter how well designed, has inherent limitations and accordingly,
incurred any expenditure on research and development.
regular audit and review processes ensure that such systems are reinforced
on an ongoing basis. Foreign Exchange Earnings and Outgo:
12. PARTICULARS OF LOANS, GUARANTEES AND INVESTMENTS During the year there were no foreign exchange earnings (previous year –
Nil) but there was a foreign exchange outflow of `18 lakhs (previous year `
During the year ended 31st March, 2016, the Company has neither given
27 lakhs).
any loan or guarantee nor has made any investment under Section 186 of
the Act. On behalf of the Board
13. RELATED PARTY TRANSACTIONS Dated : 16th April, 2016 Jagdish Singh Director
During the year ended 31st March, 2016, the Company has not entered Place : New Delhi Suresh Kumar Managing Director
c) Manner in which the amount spent during the financial year is detailed below:
Sl. CSR Project or Sector in which the project is Projects or programs Amount outlay Amount spent on the projects Cumulative expenditure Amount spent:
No. activity identified covered (1) Local area or other (Budget) project or or programs upto the reporting Direct or through implementing
(2) Specify the State and district program wise Sub heads: period agency
where projects or programs 1. Direct expenditure on
were undertaken projects or programs
2. Overheads
1. Contribution to ITC Undertaking rural development N.A. `17,48,000 `17,48,000 `17,48,000 Implementing Agency - ITC
Rural Development projects [covered under Clause Rural Development Trust,
Trust (x) of Schedule VII to the Kolkata
Companies Act, 2013]
The CSR Committee of the Board has confirmed that the implementation and monitoring of the CSR Policy is in compliance with the CSR objectives and Policy of the Company.
Dated : 16th April, 2016 Nakul Anand Suresh Kumar Jagdish Singh
Place : New Delhi Chairman - CSR Committee Managing Director Director
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fortune park hotels limited
Sl. Name and Address of the CIN/GLN Holding/ Subsidiary/ Associate % of shares held in the Company Applicable Section
No. Company
1. ITC Limited L16005WB1910PLC001985 Holding company 100.00% 2(46)
Virginia House
37 Jawaharlal Nehru Road
Kolkata – 700 071
IV. SHAREHOLDING PATTERN (Equity Share Capital Breakup as percentage of Total Equity)
(i) Category-wise Shareholding:
% Change
No. of Shares held at the beginning of the year No. of Shares held at the end of the year during the
Category of Shareholders year
Demat Physical Total % of Total Demat Physical Total % of Total
Shares Shares
A. Promoters
(1) Indian
a) Individual/HUF – – – – – – – – N.A.
b) Central Govt. – – – – – – – – N.A.
c) State Govt.(s) – – – – – – – – N.A.
d) Bodies Corp. – 4,50,008 4,50,008 100.00 – 4,50,008 4,50,008 100.00 Nil
e) Banks / FI – – – – – – – – N.A.
f) Any Other – – – – – – – – N.A.
Sub-total (A)(1) – 4,50,008 4,50,008 100.00 – 4,50,008 4,50,008 100.00 Nil
(2) Foreign
a) NRIs - Individuals – – – – – – – – N.A.
b) Other – Individuals – – – – – – – – N.A.
c) Bodies Corp. – – – – – – – – N.A.
d) Banks / FI – – – – – – – – N.A.
e) Any Other – – – – – – – – N.A.
Sub-total (A)(2) – – – – – – – – N.A.
Total shareholding of Promoter (A) = (A)(1)+(A)(2) – 4,50,008 4,50,008 100.00 – 4,50,008 4,50,008 100.00 Nil
B. Public Shareholding
1. Institutions
a) Mutual Funds – – – – – – – – N.A.
b) Banks / FI – – – – – – – – N.A.
c) Central Govt. – – – – – – – – N.A.
d) State Govt.(s) – – – – – – – – N.A.
e) Venture Capital Funds – – – – – – – – N.A.
f) Insurance Companies – – – – – – – – N.A.
g) FIIs – – – – – – – – N.A.
h) Foreign Venture Capital Funds – – – – – – – – N.A.
i) Others (specify) – – – – – – – – N.A.
Sub-total (B)(1): – – – – – – – – N.A.
2. Non-Institutions –
a) Bodies Corp.
i) Indian – – – – – – – – N.A.
ii) Overseas – – – – – – – – N.A.
b) Individuals – – – – – – – – N.A.
i) Individual shareholders holding nominal N.A.
share capital upto ` 1 lakh
ii) Individual shareholders holding nominal
share capital in excess of ` 1 lakh
c) Others (specify) – – – – – – – –
Sub-total (B)(2) – – – – – – – – N.A.
Total Public Shareholding (B)=(B)(1)+ (B)(2) – – – – – – – – N.A.
C. Shares held by Custodian for GDRs & ADRs – – – – – – – – N.A.
Grand Total (A+B+C) – 4,50,008 4,50,008 100.00 – 4,50,008 4,50,008 100.00 Nil
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fortune park hotels limited
Shareholding at the beginning of the year Shareholding at the end of the year
Sl. Shareholding at the beginning of the year Cumulative Shareholding during the year
No.
No. of Shares % of total Shares of the No. of Shares % of total Shares of the
Company Company
(iv) Shareholding Pattern of top ten Shareholders (other than Directors, Promoters and Holders of GDRs and ADRs): NOT APPLICABLE
(v) Shareholding of Directors and Key Managerial Personnel: None of the Directors and Key Managerial Personnel hold any share in the Company in their individual capacity.
V. INDEBTEDNESS
Indebtedness of the Company including interest outstanding / accrued but not due for payment : NIL
VI. REMUNERATION OF DIRECTORS AND KEY MANAGERIAL PERSONNEL
A. Remuneration to Managing Director, Whole-time Directors and/or Manager: (Amount in `)
1. Gross salary
(a) Salary as per provisions contained in Section 17(1) of the Income-tax Act, 1961 51,89,362
(b) Value of perquisites under Section 17(2) of the Income-tax Act, 1961 9,06,924
(c) Profits in lieu of salary under Section 17(3) of the Income-tax Act, 1961 –
2. Stock Option –
3. Sweat Equity –
4. Commission –
- as % of profit
- others, specify
Note 1 : Mr. Suresh Kumar is on deputation from ITC Limited (ITC). Mr. Kumar has been granted Stock Options by ITC at ‘market price’ [within the meaning of the SEBI (Share
Based Employee Benefits) Regulations, 2014] under the ITC Employee Stock Option Schemes.
Note 2 : Ceiling as per Part II of Schedule V to the Companies Act, 2013 has been disclosed, considering that the profits of the Company for the financial year ended 31st March,
2016 are inadequate.
B. Remuneration to other Directors: (Amount in `)
J. Singh
Note: Ceiling as per Part II of Schedule V to the Companies Act, 2013 has been disclosed, considering that the profits of the Company for the financial year ended 31st March,
2016 are inadequate.
VI. PENALTIES / PUNISHMENT / COMPOUNDING OF OFFENCES against the Company, Directors and other Officers in Default under the Companies Act, 2013: None
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fortune park hotels limited
INDEPENDENT AUDITORS’ REPORT give the information required by the Act in the manner so required
TO THE MEMBERS OF FORTUNE PARK HOTELS LIMITED and give a true and fair view in conformity with the accounting
principles generally accepted in India, of the state of affairs of the
Report on the Financial Statements
Company as at March 31, 2016, and its profit and its cash flows for
1. We have audited the accompanying financial statements of Fortune the year ended on that date.
Park Hotels Limited (“the Company”), which comprise the Balance
Sheet as at March 31, 2016, the Statement of Profit and Loss, the Report on Other Legal and Regulatory Requirements
Cash Flow Statement for the year then ended, and a summary of the 9. As required by ‘the Companies (Auditors’ Report) Order, 2016’,
significant accounting policies and other explanatory information. issued by the Central Government of India in terms of sub-section
Management’s Responsibility for the Financial Statements (11) of section 143 of the Act (hereinafter referred to as the
“Order”), and on the basis of such checks of the books and records
2. The Company’s Board of Directors is responsible for the matters
of the Company as we considered appropriate and according to the
stated in Section 134(5) of the Companies Act, 2013 (“the Act”)
information and explanations given to us, we give in the Annexure
with respect to the preparation of these financial statements to give
a true and fair view of the financial position, financial performance B a statement on the matters specified in paragraphs 3 and 4 of the
and cash flows of the Company in accordance with the accounting Order.
principles generally accepted in India, including the Accounting 10 As required by Section 143 (3) of the Act, we report that:
Standards specified under Section 133 of the Act, read with Rule (a) We have sought and obtained all the information and
7 of the Companies (Accounts) Rules, 2014. This responsibility also explanations which to the best of our knowledge and belief
includes maintenance of adequate accounting records in accordance
were necessary for the purposes of our audit.
with the provisions of the Act for safeguarding of the assets of
the Company and for preventing and detecting frauds and other (b) In our opinion, proper books of account as required by law
irregularities; selection and application of appropriate accounting have been kept by the Company so far as it appears from our
policies; making judgments and estimates that are reasonable examination of those books.
and prudent; and design, implementation and maintenance of (c) The Balance Sheet, the Statement of Profit and Loss, and the
adequate internal financial controls, that were operating effectively Cash Flow Statement dealt with by this Report are in agreement
for ensuring the accuracy and completeness of the accounting with the books of account.
records, relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material (d) In our opinion, the aforesaid financial statements comply with
misstatement, whether due to fraud or error. the Accounting Standards specified under Section 133 of the
Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.
Auditors’ Responsibility
(e) On the basis of the written representations received from the
3. Our responsibility is to express an opinion on these financial
directors as on March 31, 2016 taken on record by the Board of
statements based on our audit.
Directors, none of the directors is disqualified as on March 31,
4. We have taken into account the provisions of the Act and the Rules 2016 from being appointed as a director in terms of Section 164
made thereunder including the accounting standards and matters (2) of the Act.
which are required to be included in the audit report.
(f) With respect to the adequacy of the internal financial controls
5. We conducted our audit in accordance with the Standards on Auditing
over financial reporting of the Company and the operating
specified under Section 143(10) of the Act and other applicable
effectiveness of such controls, refer to our separate Report in
authoritative pronouncements issued by the Institute of Chartered
Annexure A.
Accountants of India. Those Standards and pronouncements require
that we comply with ethical requirements and plan and perform the (g) With respect to the other matters to be included in the Auditors’
audit to obtain reasonable assurance about whether the financial Report in accordance with Rule 11 of the Companies (Audit and
statements are free from material misstatement. Auditors) Rules, 2014, in our opinion and to the best of our
6. An audit involves performing procedures to obtain audit evidence knowledge and belief and according to the information and
about the amounts and the disclosures in the financial statements. explanations given to us:
The procedures selected depend on the auditors’ judgment, i. The Company has disclosed the impact of pending
including the assessment of the risks of material misstatement of the litigations as at March 31, 2016 on its financial position in
financial statements, whether due to fraud or error. In making those its financial statements – Refer Note 19;
risk assessments, the auditor considers internal financial control
ii. The Company has long-term contracts but no derivative
relevant to the Company’s preparation of the financial statements
that give a true and fair view, in order to design audit procedures contracts as at March 31, 2016 for which there were no
that are appropriate in the circumstances. An audit also includes material foreseeable losses.
evaluating the appropriateness of the accounting policies used iii. There were no amounts which were required to be
and the reasonableness of the accounting estimates made by the transferred to the Investor Education and Protection Fund
Company’s Directors, as well as evaluating the overall presentation by the Company during the year ended March 31, 2016.
of the financial statements.
For Price Waterhouse Chartered Accountants LLP
7. We believe that the audit evidence we have obtained is sufficient
Firm Registration Number: 012754N/N500016
and appropriate to provide a basis for our audit opinion on the
financial statements. Chartered Accountants
Opinion Ashok Narayanaswamy
8. In our opinion and to the best of our information and according Place : Gurgaon Partner
to the explanations given to us, the aforesaid financial statements Date : April 16, 2016 Membership Number : 095665
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fortune park hotels limited
internal financial controls over financial reporting based on our assurance that transactions are recorded as necessary to permit
audit. We conducted our audit in accordance with the Guidance preparation of financial statements in accordance with generally
Note on Audit of Internal Financial Controls Over Financial Reporting accepted accounting principles, and that receipts and expenditures
(the“Guidance Note”) and the Standards on Auditing deemed of the company are being made only in accordance with
to be prescribed under section 143(10) of the Act to the extent authorisations of management and directors of the company; and
applicable to an audit of internal financial controls, both applicable (3) provide reasonable assurance regarding prevention or timely
to an audit of internal financial controls and both issued by the ICAI. detection of unauthorised acquisition, use, or disposition of the
Those Standards and the Guidance Note require that we comply company’s assets that could have a material effect on the financial
with ethical requirements and plan and perform the audit to obtain statements.
reasonable assurance about whether adequate internal financial Inherent Limitations of Internal Financial Controls Over Financial
controls over financial reporting was established and maintained Reporting
and if such controls operated effectively in all material respects. 7. Because of the inherent limitations of internal financial controls over
4. Our audit involves performing procedures to obtain audit evidence financial reporting, including the possibility of collusion or improper
about the adequacy of the internal financial controls system over management override of controls, material misstatements due to
financial reporting and their operating effectiveness. Our audit error or fraud may occur and not be detected. Also, projections
of internal financial controls over financial reporting included of any evaluation of the internal financial controls over financial
obtaining an understanding of internal financial controls over reporting to future periods are subject to the risk that the internal
financial reporting, assessing the risk that a material weakness exists, financial control over financial reporting may become inadequate
and testing and evaluating the design and operating effectiveness of because of changes in conditions, or that the degree of compliance
internal control based on the assessed risk. The procedures selected with the policies or procedures may deteriorate.
depend on the auditor’s judgement, including the assessment of the Opinion
risks of material misstatement of the financial statements, whether 8. In our opinion, the Company has, in all material respects, an
due to fraud or error. adequate internal financial controls system over financial reporting
5. We believe that the audit evidence we have obtained is sufficient and such internal financial controls over financial reporting were
and appropriate to provide a basis for our audit opinion on the operating effectively as at March 31, 2016, based on the internal
Company’s internal financial controls system over financial reporting. control over financial reporting criteria established by the Company
Meaning of Internal Financial Controls Over Financial Reporting considering the essential components of internal control stated in
the Guidance Note on Audit of Internal Financial Controls Over
6. A company’s internal financial control over financial reporting is a Financial Reporting issued by the Institute of Chartered Accountants
process designed to provide reasonable assurance regarding the of India.
reliability of financial reporting and the preparation of financial
For Price Waterhouse Chartered Accountants LLP
statements for external purposes in accordance with generally
accepted accounting principles. A company’s internal financial Firm Registration Number: 012754N/N500016
control over financial reporting includes those policies and Chartered Accountants
procedures that (1) pertain to the maintenance of records that, in Ashok Narayanaswamy
reasonable detail, accurately and fairly reflect the transactions and Place: Gurgaon Partner
dispositions of the assets of the company; (2) provide reasonable
Date: April 16, 2016 Membership Number 095665
Referred to in paragraph 9 of the Independent Auditors’ Report of even added tax and other material statutory dues, as applicable, with
date to the members of Fortune Park Hotels Limited on the financial the appropriate authorities.
statements as of and for the year ended March 31, 2016. (b) According to the information and explanations given to us and
i. (a) The Company is maintaining proper records showing full the records of the Company examined by us, there are no dues
particulars, including quantitative details and situation, of fixed of sales-tax, duty of customs, duty of excise or value added tax
assets. which have not been deposited on account of any dispute. The
(b) The fixed assets of the Company have been physically verified by particulars of dues of income tax and service tax as at March 31,
the Management during the year and no material discrepancies 2016 which have not been deposited on account of a dispute, are
have been noticed on such verification. In our opinion, the as follows:
frequency of verification is reasonable.
Name Nature of Amount Period to Forum where the
(c) The Company does not own any immovable properties as of the dues (`) which the dispute is pending
disclosed in Note 9 to the financial statements. Therefore, the statute amount
provisions of Clause 3(i)(c) of the said Order are not applicable to relates
the Company.
Finance Demand 4,570,992 2003-04 to Customs, Excise
ii. The Company is in the business of rendering services, and Act, 1994 under section 18-04-2006 and Service Tax
consequently, does not hold any inventory. Therefore, the 73(1)(a) of Appellate Tribunal
provisions of Clause 3(ii) of the said Order are not applicable to The Finance
the Company. Act, 1994
iii. The Company has not granted any loans, secured or unsecured,
Income Demand 1,729,041 Assessment Income Tax
to companies, firms, Limited Liability Partnerships or other parties
Tax Act, u/s 156 of Year Appellate Tribunal
covered in the register maintained under Section 189 of the Act.
1961 Income Tax 2001-02
Therefore, the provisions of Clause 3(iii), (iii)(a), (iii)(b) and (iii)(c)
Act, 1961
of the said Order are not applicable to the Company.
iv. The Company has not granted any loans or made any investments, Income Demand u/s 6,757,173 Assessment Commissioner
or provided any guarantees or security to the parties covered Tax Act, 143(3) of Year of Income Tax
under Section 185 and 186. Therefore, the provisions of Clause 1961 Income Tax 2012-13 (Appeals)
3(iv) of the said Order are not applicable to the Company. Act, 1961
v. The Company has not accepted any deposits from the public viii. As the Company does not have any loans or borrowings from any
within the meaning of Sections 73, 74, 75 and 76 of the Act and financial institution or bank or Government, nor has it issued any
the rules framed there under to the extent notified. debentures as at the balance sheet date, the provisions of Clause
vi. The Central Government of India has not specified the 3(viii) of the Order are not applicable to the Company.
maintenance of cost records under sub-section (1) of Section 148 ix. The Company has not raised any moneys by way of initial public
of the Act for any of the products of the Company. offer, further public offer (including debt instruments) and term
vii. (a) According to the information and explanations given to us and loans. Accordingly, the provisions of Clause 3(ix) of the Order are
the records of the Company examined by us, in our opinion, the not applicable to the Company.
Company is regular in depositing the undisputed statutory dues, x. During the course of our examination of the books and records
including provident fund, employees’ state insurance, income of the Company, carried out in accordance with the generally
tax, sales tax, service tax, duty of customs, duty of excise, value accepted auditing practices in India, and according to the
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fortune park hotels limited
information and explanations given to us, we have neither come Audit Committee under Section 177 of the Act, and accordingly,
across any instance of material fraud by the Company or on the to this extent, the provisions of Clause 3(xiii) of the Order are not
Company by its officers or employees, noticed or reported during applicable to the Company.
the year, nor have we been informed of any such case by the xiv. The Company has not made any preferential allotment or private
Management. placement of shares or fully or partly convertible debentures
xi. Except for managerial remuneration aggregating to ` 375,846, during the year under audit. Accordingly, the provisions of Clause
the managerial remuneration paid for by the Company is in 3(xiv) of the Order are not applicable to the Company.
accordance with the requisite approvals as mandated by the xv. The Company has not entered into any non-cash transactions
provisions of Section 197 read with Schedule V to the Act. The with its directors or persons connected with him. Accordingly,
Company intends to obtain approval from the shareholders by the provisions of Clause 3(xv) of the Order are not applicable to
special resolution in the ensuing Annual General Meeting of the the Company.
Company for the excess remuneration paid.
xvi. The Company is not required to be registered under Section
xii. As the Company is not a Nidhi Company and the Nidhi Rules, 45-IA of the Reserve Bank of India Act, 1934. Accordingly, the
2014 are not applicable to it, the provisions of Clause 3(xii) of the provisions of Clause 3(xvi) of the Order are not applicable to the
Order are not applicable to the Company. Company.
xiii. The Company has entered into transactions with related parties For Price Waterhouse Chartered Accountants LLP
in compliance with the provisions of Section 188 of the Act. The
Firm Registration Number: 012754N/N500016
details of such related party transactions have been disclosed in
the financial statements as required under Accounting Standard Chartered Accountants
(AS) 18, Related Party Disclosures specified under Section 133 Ashok Narayanaswamy
of the Act, read with Rule 7 of the Companies (Accounts) Rules, Place: Gurgaon Partner
2014. Further, the Company is not required to constitute an
Date: April 16, 2016 Membership Number 095665
BALANCE SHEET
(all amounts in rupees unless otherwise stated) As at As at
Note March 31, 2016 March 31, 2015
(`) (`) (`) (`)
Equity and Liabilities
Shareholders’ funds
Share capital 2 4,500,080 4,500,080
Reserves and surplus 3 262,792,627 267,292,707 321,287,830 325,787,910
Non - current liabilities
Other long - term liabilities 4 21,186,886 16,816,886
Long - term provisions 5 17,834,368 39,021,254 31,244,097 48,060,983
Current liabilities
Trade payables
A) Total outstanding dues of micro enterprises and
small scale enterprises 6 – –
B) Total outstanding dues of creditors other than
micro enterprises and small scale enterprises 6 11,654,985 7,538,138
Other current liabilities 7 33,993,005 19,638,537
Short - term provisions 8 7,313,431 52,961,421 17,325,698 44,502,373
Total 359,275,382 418,351,266
Assets
Non - current assets
Fixed assets
Tangible assets 9 3,460,878 2,987,239
Intangible assets 10 – 3,460,878 – 2,987,239
Deferred tax assets (net) 11 20,931,177 19,681,612
Long - term loans and advances 12 25,460,485 22,885,527
Other non - current assets 13 – 40,078,904
Current assets
Current investments 14 91,914,032 155,952,200
Trade receivables 15 112,313,082 102,619,990
Cash and bank balances 16 72,158,581 39,260,471
Short - term loans and advances 17 1,777,225 1,150,570
Other current assets 18 31,259,922 309,422,842 33,734,753 332,717,984
Total 359,275,382 418,351,266
Significant accounting policies 1
The accompanying notes are an integral part of these financial statements.
This is the Balance Sheet referred to in our report of even date.
For Price Waterhouse Chartered Accountants LLP On behalf of the Board of Directors
Registration No. : 012754N/N500016
Ashok Narayanaswamy Suresh Kumar Jagdish Singh
Partner Managing Director Director
Membership Number : 095665 DIN No. 02741371 DIN No. 0042258
Place : Gurgaon Place : New Delhi Place : New Delhi
Date : April 16, 2016 Date : April 16, 2016 Date : April 16, 2016
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Notes forming part of the financial statements for the year ended March 31, 2016
1. SIGNIFICANT ACCOUNTING POLICIES liability towards the gratuity retirement benefits of the employees
i) BASIS OF PREPARATION is made on the basis of certain assumptions with respect to the
variable elements affecting the computations including estimation
These financial statements have been prepared in accordance of interest rate of earnings on contributions to LIC.
with the generally accepted accounting principles in India
under the historical cost convention on accrual basis. Pursuant The actuarial valuation of the liability towards the loyalty plan
to Section 133 of the Companies Act, 2013 read with Rule 7 for the employees is made on the basis of certain assumptions
of the Companies (Accounts) Rules, 2014, till the standards of with respect to the variable elements affecting the computations
accounting or any addendum there to are prescribed by Central including performance ratings in the subsequent appraisal cycle.
Government in consultation and recommendation of the National To recognise the actuarial gains or losses in the Statement of Profit
Financial Reporting Authority, the existing Accounting Standards and Loss as income or expense in the period in which they occur.
notified under the Companies Act, 1956 shall continue to apply.
Consequently, these financial statements have been prepared viii) PROPOSED DIVIDEND
to comply in all material aspects with the accounting standards To provide for dividend (including income tax thereon) in the
notified under Section 211(3C) of the Companies Act, 1956 books of account as proposed by the directors, pending approval
[Companies (Accounting Standards) Rules, 2006, as amended] at the annual general meeting.
and other relevant provisions of the Companies Act, 2013.
ix) FOREIGN CURRENCY TRANSLATIONS
All assets and liabilities have been classified as current or
To account for transactions in foreign currency at the exchange
non – current as per the Company’s normal operating cycle
rate prevailing on the date of the transactions. Gains/Losses
and other criteria set out in the Schedule III to the Companies
Act, 2013. Based on the nature of services, the Company has arising out of fluctuations in the exchange rates are recognised in
ascertained its operating cycle as 12 months for the purpose of Statement of Profit and Loss in the period in which they arise.
current and non – current classification of assets and liabilities. To account for gains / losses in the Statement of Profit and Loss
ii) REVENUE on foreign exchange rate fluctuations relating to monetary items
at the year end.
To recognise revenue from operations, which has reasonable
certainty of collection, at the time of rendering of services after x) TAXES ON INCOME
deducting service tax from invoiced value. To provide current tax as the amount of tax payable in respect
iii) FIXED ASSETS of taxable income for the period, measured using applicable tax
rates and tax laws.
To state fixed assets at cost of acquisition inclusive of inward
freight, duties and taxes and incidental expenses related to To provide deferred tax on timing differences between taxable
acquisition, net of accumulated depreciation/amortisation and income and accounting income subject to consideration of
accumulated impairment losses, if any. prudence, measured using the tax rates and tax laws that have
been enacted or substantively enacted tax rates by the balance
To capitalise software where it is expected to provide future
sheet date.
enduring economic benefits. The costs are capitalised in the year
in which the relevant software is implemented for use. Not to recognise deferred tax assets on unabsorbed depreciation
To charge off as a revenue expenditure all upgradation/ and carry forward of losses unless there is virtual certainty that
enhancements unless they bring similar significant additional there will be sufficient future taxable income available to realise
benefits. such assets.
Losses arising from the retirement of, and gains or losses arising xi) IMPAIRMENT OF ASSETS
from disposal of fixed assets are recognised in the Statement of To provide for impairment loss, if any, to the extent, the carrying
Profit and Loss. amount of assets exceed their recoverable amount. Recoverable
iv) DEPRECIATION / AMORTISATION amount is higher of an asset’s net selling price and its value in use.
Value in use is the present value of estimated future cash flows
To calculate depreciation / amortisation on fixed assets, tangible expected to arise from the continuing use of an asset and from its
and intangible in a manner that amortises the cost of the assets disposal at the end of its useful life.
after commissioning, over their estimated useful lives as specified
in Schedule II of the Companies Act, 2013, by equal annual Impairment losses recognised in prior years are reversed when
instalments as summarized below: there is an indication that the impairment losses recognised no
longer exist or have decreased. Such reversals are recognised
Category of Tangible Assets Useful life as an increase in carrying amounts of assets to the extent that
it does not exceed the carrying amounts that would have
Office equipment 5 Years been determined (net of amortisation or depreciation) had no
impairment loss been recognised in previous years.
Computers end users devices 3 Years
xii) CLAIMS
Computer, network and servers 6 Years
To disclose claims against the Company not acknowledged as
Furniture and fixtures 10 Years debts after a careful evaluation of facts and legal aspects of the
matter involved.
Vehicle 8 Years
xiii) LEASES
To amortise capitalised computer software cost over a period of 5 Leases in which a significant portion of the risks and rewards of
years. ownership are retained by the lessor are classified as operating
lease. Operating lease charges are recognized as an expense in
v) INVESTMENT
the Statement of Profit and Loss on a straight line basis over the
Investments that are readily realisable and are intended to be lease term.
held for not more than one year from the date on which such
investments are made, are classified as current investments. xiv) FINANCIAL AND MANAGEMENT INFORMATION SYSTEMS
All other investments are classified as long term investments. To practice an accounting system which unifies financial records
Current investments at lower of cost and fair value; and long- and is designed to comply with the relevant provisions of the
term investments at cost. Where applicable, provision is made to Companies Act, 1956 and Companies Act, 2013 and provide
recognise a decline, other than temporary, in valuation of long financial information appropriate to the business and facilitate
term investments, such reduction being determined and made Internal Control.
for each investment individually. xv) CASH AND CASH EQUIVALENTS
vi) OTHER INCOME To disclose in the cash flow statement, cash and cash equivalents
To account for income from investments and bank deposits on which includes cash in hand, demand deposits with banks, other
an accrual basis, inclusive of related tax deducted at source. To short-term highly liquid investments with original maturities of
account for income from dividends when the right to receive such three months or less.
dividends is established. xvi) EARNINGS PER SHARE
vii) EMPLOYEE BENEFITS To disclose basic earnings per share computed by dividing the
To make regular contributions to the State administered provident net profit or loss for the period attributable to equity shareholders
fund which are charged against revenue. To provide for all long by the weighted average number of equity shares outstanding
term defined benefit schemes including gratuity, compensated during the period.
absences and loyalty on the basis of actuarial valuation on the For the purpose of calculating diluted earnings per share, the net
balance sheet date based on the projected unit credit method. profit or loss for the period attributable to equity shareholders
In respect of gratuity, the Company funds the benefits through and the weighted average number of shares outstanding during
annual contributions to Life Insurance Corporation of India (LIC) the period is adjusted for the effects of all dilutive potential equity
under its Group Gratuity Scheme. The actuarial valuation of the shares.
112
fortune park hotels limited
Notes forming part of the financial statements for the year ended March 31, 2016
(all amounts in rupees unless otherwise stated)
As at As at As at As at
March 31, 2016 March 31, 2015 March 31, 2016 March 31, 2015
(`) (`) (`) (`)
2 Share capital 4 Other long - term liabilities
Authorised
2,000,000 (March 31, 2015: 2,000,000) Advance from customers 12,729,855 11,079,855
equity shares of ` 10 each 20,000,000 20,000,000 Income received in advance 8,457,031 5,737,031
Issued, subscribed and paid up
450,008 (March 31, 2015: 450,008) 21,186,886 16,816,886
equity shares of ` 10 each 4,500,080 4,500,080
4,500,080 4,500,080 As at As at
March 31, 2016 March 31, 2015
(a) Reconciliation of number of equity shares (`) (`)
As at As at
March 31, 2016 March 31, 2015 5 Long - term provisions
(`) (`)
Provisions for employee benefits:
No of Amount in No of Amount in
Shares ` Shares ` Provision for leave encashment
Balance as at the (Refer note 25) 7,961,444 19,865,397
beginning of the year 450,008 4,500,080 450,008 4,500,080
Add: Shares issued Provision for loyalty bonus
during the year – – – – (Refer note 25) 9,872,924 11,378,700
Less: Shares bought back
during the year – – – – 17,834,368 31,244,097
Balance as at the end of the year 450,008 4,500,080 450,008 4,500,080
(b) Rights, preferences and restrictions attached to shares As at As at
The company has one class of equity shares having a par value of ` 10 March 31, 2016 March 31, 2015
per share. Each shareholder is eligible for one vote per share held. The (`) (`)
dividend proposed by the Board of Directors is subject to the approval of 6 Trade payables
the shareholders in the ensuing Annual General Meeting. In the event of
liquidation, the equity shareholders are eligible to receive the remaining Total outstanding dues of micro
assets of the Company after distribution of all preferential amounts, in
and small enterprises # – –
proportion to their shareholding.
(c) Shares held by holding company Total outstanding dues of trade
As at As at payables other than micro and
March 31, 2016 March 31, 2015
(`) (`) small enterprises 11,654,985 7,538,138
Equity Shares of ` 10 each 11,654,985 7,538,138
fully paid up held by:
ITC Limited, the holding company 450,002 450,002
Held by management personnel # The Company, based on the information available on the status of
as nominees of ITC Limited 6 6 the suppliers, does not have any dues to enterprises covered under
(d) Details of shares held by shareholders holding more than 5% of the Micro, Small and Medium Enterprises Development Act, 2006.
the aggregate shares in the Company
As at As at As at As at
March 31, 2016 March 31, 2015
(`) (`) March 31, 2016 March 31, 2015
(`) (`)
ITC Limited, the holding
company 450,002 99.98% 450,002 99.98% 7 Other current liabilities
Held by management Advance from customers 5,312,680 6,862,680
personnel as nominees
of ITC Limited 6 0.02% 6 0.02% Statutory dues including provident
3 Reserves and surplus fund and tax deducted at source 4,567,178 3,910,150
As at As at
March 31, 2016 March 31, 2015 Employee benefits payable 22,903,147 5,130,707
(`) (`) Income received in advance 1,210,000 3,735,000
Capital reserve
At the beginning and at 33,993,005 19,638,537
the end of the year 3,000,000 3,000,000
General reserve As at As at
Balance as at beginning of the year 33,747,999 28,273,021
Add : transferred from surplus in the March 31, 2016 March 31, 2015
Statement of Profit and Loss during the year – 5,740,787 (`) (`)
Less : adjustment made towards
revision in useful life of fixed assets 8 Short - term provisions
as per Schedule II of the Companies Provision for employee benefits:
Act, 2013 (net of tax) – 265,809
Balance as at end of the year 33,747,999 33,747,999 Provisions for leave encashment
Surplus in Statement of Profit and Loss (Refer note 25) 3,471,745 6,535,316
Balance as at beginning of the year 284,539,831 239,622,535
Profit for the year 62,285,846 57,407,865 Provision for loyalty bonus
Less : Appropriations
Interim dividend on equity (Refer note 25) 3,064,586 4,040,600
shares for the year* (100,351,784) – Provisions for short term
Proposed dividend on equity shares
for the year (Refer note 21) – (5,625,100) compensated absences 777,100 –
Dividend distribution tax on Interim Other provisions:
dividend on equity shares (20,429,265) –
Dividend distribution tax on Proposed Provision for proposed dividend
dividend on equity shares – (1,124,682)
Transfer to general reserve – (5,740,787) on equity shares – 5,625,100
Balance as at end of the year 226,044,628 284,539,831 Provision for dividend distribution
262,792,627 321,287,830 tax on proposed dividend on
* The Company has paid an Interim Dividend of ` 223 per share (on equity shares – 1,124,682
equity shares of `10 each) aggregating ` 100,351,784 during the year. 7,313,431 17,325,698
No interim dividend was paid during the year ended March 31, 2015.
113
fortune park hotels limited
Notes forming part of the financial statements for the year ended March 31, 2016
(all amounts in rupees unless otherwise stated)
9. Tangible assets (Own Assets)
Total 10,353,711 1,050,349 (41,150) 11,362,910 6,148,633 1,852,911 402,679 (28,552) 8,375,671 2,987,239
10. Intangible assets (Own Assets - Acquired)
Gross Block Amortisation Net Block
As at As at As at As at
March 31, 2016 March 31, 2015 March 31, 2016 March 31, 2015
(`) (`) (`) (`)
11 Deferred tax assets (net) (ii) Tax impact of expenses charged in the financial
Deferred tax asset : statements but allowable as deduction in future
On provision for doubtful debts 11,339,373 4,775,909 years under income tax. 1,287,019 5,533,071
On provision for employees benefits 9,674,664 14,271,733 Net deferred tax asset (i+ii) (Refer note below)
1,249,565 5,854,846
On other timing differences 242,667 922,043
Note : Includes ` Nil adjusted directly to opening General Reserve considering
21,256,704 19,969,685 transitional provision stated in Schedule II to the Companies Act, 2013. (Previous
Deferred tax liabilities : year : `136,870)
Depreciation / amortisation (325,527) (288,073) III. Closing deferred tax asset (I + II)
20,931,177 19,681,612
20,931,177 19,681,612 12 Long - term loans and advances
Break-up of deferred tax assets and liabilities into major components Unsecured, considered good
of the respective balances is as under : Advance income tax (net of provisions
` 113,862,229 ) (Previous year
I. Balance brought forward -
` 110,233,229) 25,460,485 22,885,527
deferred tax asset 19,681,612 13,826,766
25,460,485 22,885,527
II. For the year :
13 Other non - current assets
(i) Tax impact of difference between
Long term deposits with bank with
depreciation / amortisation of fixed maturity period more than 12 months – 40,000,000
assets in the financial statements Interest accrued on deposits – 78,904
and the income tax return (37,454) 321,775
– 40,078,904
114
fortune park hotels limited
Notes forming part of the financial statements for the year ended March 31, 2016
(all amounts in rupees unless otherwise stated)
As at As at As at As at
March 31, 2016 March 31, 2015 March 31, 2016 March 31, 2015
(`) (`) (`) (`)
14 Current investments 18 Other current assets
Unsecured, considered good :
At Cost or fair value whichever is less: Interest accrued on deposits 3,437,629 301,151
Mutual funds (quoted) Contractual reimbursable expenses 27,822,293 33,433,602
DHFL Pramerica Fixed Maturity Plan 31,259,922 33,734,753
Series 62 - Direct Plan - Growth (PY : Unsecured, considered doubtful :
DWS FMP Series 62 Direct Plan - Growth) Contractual reimbursable expenses 6,139,658 2,366,486
Less: provision for doubtful receivables (6,139,658) (2,366,486)
[916.15 units: Previous year (916.15 units)] 9,161 9,161 – –
Mutual funds (unquoted) 31,259,922 33,734,753
19 Contingent liabilities
ICICI Prudential Short Term - Claims against the Company
Direct Plan - Growth Option not acknowledged as debts
Service tax matter 4,570,992 4,570,992
[0 units: Previous year (349,296.17 units)] – 10,000,000 Income tax matters 9,382,331 9,382,331
ICICI Prudential Ultra Short Term -
Direct Plan - Growth a The Company has received demand for service tax amounting to ` 4,570,992
(inclusive of cess and penalty) dated March 10, 2010 from Additional
[0 units: Previous year (3,152,131.39 units)] – 45,000,000 Commissioner, Service Tax pertaining to service tax on reimbursement of
HDFC High Interest Fund - Direct Plan - salary received by the Company during the period from 2003 to 2006.
Short Term Plan - Growth Option The Company has filed its appeal before the Central Excise and Service Tax
Appellate Tribunal for the same.
[0 units: Previous year (363,553.08 units)] – 10,000,000 b Demands from income tax authorities under appeal:
Franklin India Ultra Short Bond Fund Super - ` 6,757,173 for assessment year 2012-13 ( March 31, 2015 : ` 6,757,173)
Institutional Plan - Direct - Growth Plan - ` 2,625,158 for assessment year 2011-12 (March 31, 2015 : `2,625,158)
[0 units: Previous year (810,223.95 units)] – 15,000,000 c It is not practicable for the company to estimate the timings or amount
of cash outflows, if any, in respect of the above pending resolution of the
HDFC Liquid Fund - Direct Plan - Growth Option respective proceedings.
[0 units: Previous year (1,088,005.11 units)] – 30,000,000 As at As at
TATA Money Market Fund Direct Plan - Growth March 31, 2016 March 31, 2015
[0 units: Previous year (13,616.13 units)] – 30,000,000 (`) (`)
20 Capital Commitments
IDFC Cash Fund - Growth - (Direct Plan) Estimated value of contracts in
[0 units: Previous year (4,530.84 units)] – 7,700,000 capital account remaining to be executed – 477,222
Kotak Floater Short Term - Direct Plan - Growth
21 Proposed dividend
[0 units: Previous year (4,302.619 units)] – 8,243,039 The dividend proposed for the year is as follows:
ICICI Prudential Money - Market Fund - On equity shares of `10 each:
Direct Plan - Growth Amount of dividend proposed – 5,625,100
[15645.896 units: Previous year (0 units)] 3,250,000 – Dividend per equity share – ` 12.50
UTI-Money Market Fund-Institutional 22 Revenue from operations (net)
Management consultancy and other services 266,814,273 247,233,526
Plan-Direct Plan-Growth
266,814,273 247,233,526
[22,804.416 units: Previous year (0 units)] 38,154,871 –
Reliance Liquid Fund - Treasury Plan - Details of management consultancy and other services :
Direct Growth Plan - Growth Option Operating and marketing fees 259,543,456 233,056,060
[8,132.163 units: Previous year (0 units)] 30,000,000 – Other fees 7,270,817 14,177,466
Reliance Liquidity Fund - Direct Growth 266,814,273 247,233,526
Plan - Growth Option 23 Other operating income
[8,985.95 units: Previous year (0 units)] 20,500,000 – Income on closure of alliances – 5,137,837
– 5,137,837
91,914,032 155,952,200 24 Other Income
Interest Income on bank deposits 6,043,799 384,397
Aggregate amount of quoted investments 9,161 9,161 Interest Income on income tax refund 1,057,813 –
Market value of quoted investments 10,866 9,998 Profit on sale / redemption of current investment 13,558,432 18,154,179
Aggregate amount of unquoted investments 91,904,871 155,943,039 Miscellaneous income 1,639,483 1,027,448
15 Trade receivables 22,299,527 19,566,024
25 Employee benefits expense
Unsecured, considered good Salaries, wages and bonus * 204,147,525 208,831,978
Outstanding for a period exceeding six months Reimbursement of remuneration
from the date they are due for payment 21,024,259 21,240,931 of deputed managers 31,120,751 29,466,287
Gratuity [Refer note (a) below] **
Others 91,288,823 81,379,059 (after adjusting for movement in value
112,313,082 102,619,990 of assets not recognised) 100,000 5,088,724
Contribution to provident and other funds
Unsecured, considered doubtful [Refer note (b) below] 9,315,654 9,003,696
Outstanding for a period exceeding six months Staff welfare expenses 12,564,289 13,090,961
from the date they are due for payment 22,142,307 11,684,437 257,248,219 265,481,646
Others 4,483,213 – Less : Recoveries *** (141,579,605) (136,891,070)
Less: provision for doubtful debts (26,625,520) (11,684,437) 115,668,614 128,590,576
– – * Net of ` 20,685,075 (P.Y. : ` Nil) being provision for leave encashment written
112,313,082 102,619,990 back during the year due to change in Company’s leave encashment policy.
16 Cash and bank balances ** Includes ` Nil (P. Y.: ` 5,309,184) being excess of fair value of plan assets as
Cash and cash equivalents compared to present value of defined benefit of obligation as at March 31, 2016
which has been charged off as the Company does have any control over future
Cash on hand 29,622 138,025 economic benefits.
Bank balances *** Recoveries of salary cost of deputed personnel from alliances.
- In current accounts 32,128,959 12,622,446 The Company has accounted for the defined benefit plan / other long term
32,158,581 12,760,471 employee benefit and contribution scheme as under:
(a) Defined benefit plan / other long term employee benefits:
Other Bank Balances Gratuity : The employees are entitled to gratuity that is computed as half-month’s
Term Deposits with maturity more salary, for every completed year of service and is payable on retirement/termination.
than 3 months but less than 12 months 40,000,000 26,500,000 The Company makes provision of such gratuity liability in the books of accounts on
72,158,581 39,260,471 the basis of actuarial valuation. The Company pays contribution to Life Insurance
Corporation to fund its plan through a trust.
17 Short - term loans and advances Other long term employee benefits:
Unsecured, considered good : i) The employees are entitled for leave for each year of service and part thereof and subject
Other loans and advances : to the limits specified, the unavailed portion of such leaves can be accumulated or
Prepaid expenses 545,322 488,441 encashed during/at the end of the service period. The plan is unfunded.
Balance with Government Authorities 612,384 14,982 ii) Loyalty Bonus Plan : This plan applies to those employees who have participated
Security deposits 401,100 603,000 in the appraisal process for a minimum of three years after confirmation. The
employees would be eligible to receive the amount as a lumpsum at the end of a
Advances to employees, vendors etc. 218,419 44,147 cycle of three successive years of being rated for his / her performance. An amount
1,777,225 1,150,570 of ` 2,805,410 (Previous year: ` 4,441,700) has been charged to the Statement of
Profit and Loss during the year.
115
fortune park hotels limited
Notes forming part of the financial statements for the year ended March 31, 2016
(all amounts in rupees unless otherwise stated)
The reconciliation of opening and closing balances of the present value of defined benefit obligations are as under:
(i) Present value of defined benefit obligation Gratuity Leave Encashment
As at As at As at As at
March 31, 2016 March 31, 2015 March 31, 2016 March 31, 2015
` ` ` `
Balance at the beginning of the year 8,569,001 7,175,338 26,400,713 19,960,999
Current service cost 3,065,992 2,799,480 1,273,939 3,537,821
Interest cost 621,361 528,585 1,908,938 1,349,747
Actuarial (gains) / losses (427,777) (1,224,625) 4,431,089 6,641,976
Benefits paid (568,364) (709,777) (1,896,415) (5,089,830)
Past service costs – – (20,685,075) –
Balance at the end of the year 11,260,213 8,569,001 11,433,189 26,400,713
(ii) Fair value of plan assets
Balance at the beginning of the year 13,878,185 10,813,425 – –
Expected return on plan assets 1,210,065 1,111,122 – –
Actuarial gains/ (losses) (1,607,734) 1,323,427 – –
Contribution by the company 100,000 1,339,988 – –
Benefits paid (568,364) (709,777) – –
Settlements – – – –
Balance at the end of the year 13,012,152 13,878,185 – –
Actual return on plan assets 397,669 2,434,550 – –
(iii) Assets and liabilities as at balance sheet date
(Refer Note 5 and 8)
Present value of defined benefit obligation 11,260,213 8,569,001 11,433,189 26,400,713
Less: fair value of plan assets (13,012,152) (13,878,185) – –
Less: unrecognised past service costs – – –
Liability / (Assets) as at balance sheet date *(1,751,939) *(5,309,184) 11,433,189 26,400,713
* Not recognised
(iv) Expense recognised in the Statement of Profit and Loss Gratuity Leave Encashment
As at As at As at As at
March 31, 2016 March 31, 2015 March 31, 2016 March 31, 2015
` ` ` `
116
fortune park hotels limited
Notes forming part of the financial statements for the year ended March 31, 2016
(all amounts in rupees unless otherwise stated)
Year ended Year ended Year ended Year ended
March 31, 2016 March 31, 2015 March 31, 2016 March 31, 2015
(`) (`) (`) (`)
27 Other expenses 28 Current tax
Power and fuel 596,839 378,862 Income tax for the year 31,150,000 35,340,000
Adjustments / (credits) related to
Rent [refer note 32] 6,687,622 5,447,206 previous years (Net) 57,684 –
Repairs - others 2,641,808 1,855,126
31,207,684 35,340,000
Insurance 219,502 169,409 29 Expenditure in foreign currency
Rates and taxes 28,641 35,580 Advertisement / sales promotion 1,758,804 2,695,864
Travelling and conveyance 14,920,079 15,081,939 1,758,804 2,695,864
Expenditure towards Corporate Social 30 Earnings per equity share
Responsibilty (CSR) activities 1,748,000 1,618,000 Profit after tax 62,285,846 57,407,865
Legal Consultancy / professional fees 6,668,863 5,380,109 Weighted average number of
Printing and stationery 492,250 455,142 shares outstanding 450,008 450,008
Basic and diluted earnings per share (in ` ) 138.41 127.57
Communication expenses 3,270,010 3,040,289 (Face value - ` 10/- per share)
Advertising / sales promotion 14,225,954 13,774,549
31 Related party disclosures under Accounting Standard 18
Provision for doubtful debts 18,714,255 1,350,000
Bad debts written off 813,194 – a) Names of related parties and nature of relationship:
i) Where control exists:
Information technology expenses 5,565,419 3,419,059 Holding Company ITC Limited
Bank charges 14,604 16,090 ii) Key Management Personnel: Nakul Anand (Director)
Loss on sale / write-off of fixed assets (net) 27,228 2,098 Suresh Kumar (Managing Director)
Payment to auditors (excluding service tax) Jagdish Singh (Additional
As auditor: Director w.e.f. March 21, 2016)
- Audit fee 350,000 250,000 Arun Pathak (Director) (Ceased to
- Tax audit fee 50,000 50,000 be Director w.e.f. March 21, 2016)
iii) Other related parties with whom
- Other services 875,000 200,000 transactions have taken place
- Reimbursement of expenses 68,006 161,263 during the year :
Miscellaneous expenses 1,840,931 1,548,700 Associate of Holding Company International Travel House Limited
79,818,205 54,233,421 Entity under control of the ITC Group ITC Rural Development Trust
ITC Sangeet Research Academy
117