Dear Shareholders,
The Board of Directors hereby submits the report of the business and operations of D. P. Abhushan Limited (“the Company”), along with the audited financial statements, for the financial year ended March 31, 2023.
FINANCIAL HIGHLIGHTS ( In Lakhs)
STANDALONE
*During the financial year 2021-22, the Company had made disinvestment in its wholly owned subsidiary - D.P.Jewelline Limited (Formerly known as Gatha Trendz Limited) w.e.f January 25, 2022 and sold entire stake of D.P.Jewelline Limited (Formerly known as Gatha Trendz Limited) to related parties and hence requirement for providing Consolidated results for FY 2022-23 is not applicable to the Company.
D. P. Abhushan Limited is engaged in the business of manufacturing, sale and trading of Gold Jewellery, Diamond Jewellery, Platinum Jewellery, Silver Jewellery and other precious Metals.
D.P. Abhushan Limited was originally formed as a Partnership Firm in the name and style of “M/s D.P. Jewellers”. The name of the partnership firm “M/s D.P. Jewellers” was changed to “M/s D.P. Abhushan” vide partnership deed dated February 14, 2017. “M/s D. P. Abhushan” was converted from partnership firm to Public Limited Company with the name of “D. P. Abhushan Limited” on May 02, 2017 vide CIN No. L74999MP2017PLC043234 under the Part I of chapter XXI read with section 366 of the Companies Act 2013.
Under the registration of the company under chapter XXI of the Companies Act, 2013 the business and assets and liabilities of M/s. D. P. Abhushan (Partnership Firm) have become the property of the company and have been taken at their book-value (i.e. Total assets less total liabilities) on and from the date of incorporation of the company. Accordingly, the company shall undertake, pay, observe, satisfy, perform and fulfil the agreements, arrangements and liabilities of the said firm entered into in the name of the said firm and in relation to said business and assets brought in as aforesaid, and indemnify the erstwhile partners, their executors, estates, and effects from and against all actions, proceedings, claims.
FINANCIAL PERFORMANCE
On Standalone Basis
The standalone revenue for financial year 2022-23 stood at 1,97,512.02 Lakh as compared to 1,73,137.99 Lakh in previous financial year 2021-22. The standalone net profit after tax for the financial year 2022-23 stood at
4,531.69Lakh as compared to 4,043.54 Lakh for the previous financial year 2021-22.
The Company has reported record growth of 12.07% in standalone net profit after tax and 14.08% in revenue for the full financial year 2022-23 as compared to the previous financial year 2021-22.
On Consolidated Basis
The consolidated revenue for financial year 2021-22 stood at 1,73,137.99 Lakh. The consolidated net profit after tax for the financial year 2021-22 stood at
4,053.44Lakh.
DIVIDEND
Your Directors recommended a final dividend of 1.00/- per equity share on the Company's 22254850 equity shares of 10.00 each (10%) for the financial year 2022-23, in its meeting held on August 11, 2023.
The final dividend on the equity shares, if declared as above, would entail a total outflow of 222.5485 lakh. The dividend payment is subject to approval of members at the ensuing Annual General Meeting. The dividend payout is in accordance with the Dividend Distribution Policy of the Company. The Dividend Distribution Policy of t h e C o m p a n y c a n b e a c c e s s e d a t h t t p s : / / w w w. d p j e w e l l e r s . c o m / l a -assets/dp/pdf/Dividend%20Distribution%20Policy.pdf.
Dividend of 1.00/- per equity share on the Company's 22254850 equity shares of 10.00 each (10%) for the financial year 2021-22, had been declared by the Board in its meeting held on May 24, 2022 and subsequently approved by the Shareholders in their meeting held on 30/09/2022.
The dividend payout is in accordance with the Dividend Distribution Policy of the Company.
The details of total amount lying in the unclaimed and unpaid Dividend accounts of the Company as on March 31, 2023 are given below; ( In Lakhs)
The Details of Shareholders whose Dividend is unpaid or unclaimed are uploaded on the Website of the Company at www.dpjewellers.com.
Members who have not yet encashed their dividend warrant(s) for the above financial years, are requested to make their claims before relevant due dates without any delay to the Company or Registrar and Transfer Agents (RTA), Bigshare Services Private Limited. Shareholders are also informed that pursuant to the provisions of Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016 (“the Rules”) the final dividend declared for the financial year 2021-22, which remained unclaimed for a period of seven years will be credited to the IEPF on or before November 27, 2029. The corresponding shares on which dividend remains unclaimed for seven consecutive years will also be transferred as per the procedure set out in the Rules.
Accordingly, Shareholders are requested to claim the final dividend declared for the financial year 2021-22 before the same is transferred to the IEPF.
TRANSFER TO GENERAL RESERVE
Your Directors do not propose transfer of any amount to the General Reserves. Full amount of net profit are carried to reserve & Surplus account of the Company.
CHANGE IN NATURE OF BUSINESS
During the year, your Company has not changed its business or object and continues to be in the same line of business as per main object of the Company.
SHARE CAPITAL
During the year under review, there was no change in the authorized and paid-up share capital of the Company:
AUTHORIZED CAPITAL
The Authorized Capital of the Company, as at closure of financial year 2022-23, was 2,285.00 Lakh divided into 22850000 Equity Shares of 10/- each.
ISSUED, SUBSCRIBED & PAID-UP CAPITAL
Issued, Subscribed & Paid-up Capital of the Company, as at closure of financial year 2022-23,was 2,225.485 divided into 22254850 Equity Shares of 10/- each.
The entire Paid-up Equity share Capital of the Company is listed at National Stock Exchange of India Limited.
BOARD OF DIRECTORS AND KEY MANAGERIAL PERSONNEL
Constitution of Board
The Board of the Company comprises seven directors out of which two are Promoter Executive Directors and one is Promoter Non-Executive Director and four are Non-Promoter Non-Executive Independent Directors. The Constitution of the Board of Directors and other disclosures related to the Board of Directors are given in the Report on Corporate Governance.
Disclosure by Directors
The Directors on the Board have submitted notice of interest under Section 184(1) i.e. in Form MBP 1, intimation under Section 164(2) i.e. in Form DIR 8 and declaration as to compliance with the Code of Conduct of the Company. None of the Directors of the Company is disqualified for being appointed as Director as specified in Section 164 (2) of the Companies Act, 2013.
Board Meeting
Regular meetings of the Board are held, inter-alia, to review the financial results of the Company. Additional Board meetings are convened, as and when required, to discuss and decide on various business policies, strategies and other businesses. The Board meetings are generally held at registered office of the Company.
During the year under review, Board of Directors of the Company met 9 (Nine) times, viz April 18, 2022; May 24, 2022; June22, 2022; June 28, 2022; August7, 2022; September 7, 2022;November 7, 2022; January 27, 2023 and March 23, 2023.
The details of attendance of each Director at the Board Meetings and Annual General Meeting are given in the Report on Corporate Governance.
INDEPENDENT DIRECTORS
In terms of Section 149 of the Companies Act, 2013 and rules made there under and Listing Regulations, the Company has four Non-Promoter Non-Executive Independent Directors amongst which one is woman independent director. In the opinion of the Board of Directors, all the four Independent Directors of the Company meet all the criteria mandated by Section 149 of the Companies Act, 2013 and rules made there under and Listing Regulations and they are Independent of Management.
A separate meeting of Independent Directors was held on March 23, 2023 to review the performance of Non-Independent Directors and Board as whole and performance of Chairperson of the Company including assessment of quality, quantity and timeliness of flow of information between Company management and Board that is necessary for the board of directors to effectively and reasonably perform their duties. The meeting was attended by all the Independent Directors of the Company. Vide Special resolution passed by the Members at the Extra Ordinary General Meeting of the Company on May13, 2022, Mr. Mukesh Kumar Jain (DIN: 00653837) has been re-appointed as Non-Executive Independent Director of the Company to hold office for a second term of 5 (five) consecutive years, that is, up to July14, 2027 and Ms. Apurva Chordia (DIN: 09575780) was appointed as Woman Non-Executive Independent Director of the Company to hold office for a term of 5 (five) consecutive years with effect from April 19, 2022 till April 18, 2027. Vide Special resolution passed by the Members through postal ballot on July14, 2023, Mr. Sanskar Kothari (DIN: 06779404) has been re-appointed as Non-Executive Independent Director of the Company to hold office for a second term of 5 (five) consecutive years, that is, up to July15, 2028.
The terms and conditions of appointment of Independent Directors and Code for Independent Director are incorporated on the website of the Company at https://www.dpjewellers.com/la-assets/dp/pdf/company_policy/Term%20&%20Conditions%20of%20Appointment%20of%20Independent%20Di rectors.pdf The Company has received a declaration from the Independent Directors of the Company under Section 149(7) of Companies Act, 2013 and 16(1)(b) of Listing Regulations confirming that they meet criteria of Independence as per relevant provisions of Companies Act, 2013 for financial year 2023-24. The Board of Directors of the Company has taken on record the said declarations and confirmation as submitted by the Independent Directors after undertaking due assessment of the veracity of the same. In the opinion of the Board, they fulfill the conditions for Independent Directors and are independent of the Management. All the Independent Directors have confirmed that they are in compliance with Rules 6(1) and 6(2) of the Companies (Appointment and Qualification of Directors) Rules, 2014, with respect to registration with the data bank of Independent Directors maintained by the Indian Institute of Corporate Affairs.
None of Independent Directors have resigned during the year.
INFORMATION ON OTHER DIRECTORATE
In accordance with the provisions of the Articles of Association and Section 152 of the Companies Act, 2013, Mr. Santosh Kataria Chairman and Managing Director of the Company retires by rotation at the ensuing annual general meeting. He, being eligible, has offered himself for re-appointment as such and seeks re-appointment. The Board of Directors recommends his appointment on the Board. The relevant details, as required under Regulation 36 (3) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“SEBI Listing Regulations”) and Secretarial Standards-II issued by ICSI, of the person seeking re-appointment as Directors are annexed to the Notice convening the sixth annual general meeting.
KEY MANAGERIAL PERSONNEL
During the year 2022-23, the Company had Mr. Santosh Kataria, Chairman and Managing Director, Mr. Anil Kataria, Whole Time Director, Ms. Aashi Neema as Company Secretary and Compliance Officer and Mr. Vijesh Kumar Kasera was serving as Chief Financial Officer who were acting as Key Managerial Personnel at different positions.
The Board placed its appreciation to all Key Managerial Personnel for serving the Company during their tenure.
PERFORMANCE EVALUATION
The Board of Directors has carried out an annual evaluation of its own performance, board committees and individual directors pursuant to the provisions of the Companies Act, 2013 in the following manners;
? The performance of the board was evaluated by the board, after seeking inputs from all the directors, on the basis of the criteria such as the board composition and structure, effectiveness of board processes, information and functioning etc.
? The performance of the committees was evaluated by the board after seeking inputs from the committee members on the basis of the criteria such as the composition of committees, effectiveness of committee meetings, etc.
? The board and the nomination and remuneration committee reviewed the performance of the individual directors on the basis of the criteria such as the contribution of the individual director to the board and committee meetings like preparedness on the issues to be discussed, meaningful and constructive contribution and inputs in meetings, etc. .
? In addition, the chairman was also evaluated on the key aspects of his role.
Separate meeting of independent directors was held to evaluate the performance of non-independent directors, performance of the board as a whole and performance of the chairman, taking into account the views of executive directors and non-executive directors. Performance evaluation of independent directors was done by the entire board, excluding the independent director being evaluated.
DIRECTORS' RESPONSIBILITY STATEMENT
Pursuant to section 134(5) of the Companies Act, 2013, the board of directors, to the best of their knowledge and ability, confirm that: a) In preparation of annual accounts for the year ended March 31, 2023, the applicable accounting standards have been followed and that no material departures have been made from the same; b) The Directors had selected such accounting policies and applied them consistently and made judgments and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the Company at the end of the financial year and of the profit or loss of the Company for that year; c) The Directors had taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 2013, for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities; d) The Directors had prepared the annual accounts for the year ended March 31, 2023 on going concern basis. e) The Directors had laid down the internal financial controls to be followed by the Company and that such Internal Financial Controls are adequate and were operating effectively; and f) The Directors had devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.
COMMITTEES OF BOARD
The Board of Directors, in line with the requirement of the act, has formed various committees, details of which are given hereunder.
The composition of Audit Committee, Nomination and Remuneration Committee, Stakeholders Relationship Committee and Risk Management Committee, their respective role and responsibility are detailed in the Report on Corporate Governance annexed to this Report.
AUDIT COMMITTEE
The Company has formed Audit Committee in line with the provisions Section 177 of the Companies Act, 2013 and Regulation 18 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.
As at March 31, 2023, the Audit Committee comprised Mr. Sanskar Kothari (Non-Executive Independent Director) as Chairperson and Mr. Mukesh Kumar Jain (Non-Executive Independent Director), Mr. Deepak Gadia (Non-Executive Independent Director) and Mr. Santosh Kataria (Chairman and Managing Director) as Members.
Recommendations of Audit Committee, wherever/whenever given, have been accepted by the Board of Directors.
CORPORATE SOCIAL RESPONSIBILITY COMMITTEE
Pursuant to Section 135 of Companies Act, 2013, the Company has constituted Corporate Social Responsibility Committee (“the CSR Committee”) with object to recommend the Board a Policy on Corporate Social Responsibility and amount to be spent towards Corporate Social Responsibility.
As at March 31, 2023, the CSR Committee comprised Mr. Sanskar Kothari (Non-Executive Independent Director) as Chairman and Mr. Mukesh Jain (Non-Executive Independent Director) and Mr. Santosh Kataria (Chairman and Managing Director) as Members of the Committee.
The CSR Committee is responsible for indicating the activities to be undertaken by the Company, monitoring the implementation of the framework of the CSR Policy and recommending the amount to be spent on CSR activities. During the year under review, CSR Committee Meetings were held onMay 24, 2022; August7, 2022 and March 23, 2023 in which requisite quorum were present. The meetings were held to review and approve the expenditure incurred by the Company towards CSR activities.
The CSR Policy may be accessed at the web link https://www.dpjewellers.com/la-assets/dp/pdf/CSR_Policy.pdf. The Annual Report on CSR activities in prescribed format is annexed as an
Annexure A.
VIGIL MECHANISM
The Company has a Vigil Mechanism wherein the directors/ employees/ associates can approach the Management of the Company (Audit Committee in case where the concern involves the Senior Management) and make protective disclosures to the Management about unethical behavior, actual or suspected fraud or violation of the Company's Code of Conduct, suspected leak of Unpublished Price Sensitive Information. The Vigil Mechanism requires every employee to promptly report to the Management any actual or possible violation of the Code or an event he/she becomes aware of that could affect the business or reputation of the Company. The disclosure reported are addressed in the manner and within the time frames prescribed in the policy. A mechanism is in place whereby any employee of the Company has access to the Chairman of the Audit Committee to report any concerns.
No person has been denied access to the Audit Committee of the Board. The Policy on Vigil Mechanism is available on the website of the Company at https://www.dpjewellers.com/la-assets/dp/pdf/Vigil_Mechanism.pdf.
NOMINATION AND REMUNERATION POLICY
Nomination and Remuneration Policy in the Company is designed to create a high performance culture. It enables the Company to attract motivated and retained manpower in competitive market, and to harmonize the aspirations of human resources consistent with the goals of the Company. The Company pays remuneration by way of salary to its Executive Directors and Key Managerial Personnel. Annual increments are decided by the Nomination and Remuneration Committee within the salary scale approved by the members and are effective from April 1, of each year.
The Nomination and Remuneration Policy, as adopted by the Board of Directors, is placed on the website of the Company at https://www.dpjewellers.com/la-assets/dp/pdf/Nomination_Remuneration_Policy.pdf.
REMUNERATION OF DIRECTORS
The details of remuneration/sitting fees paid during the financial year 2022-23 to Executive Directors/Directors of the Company is provided in Report on Corporate Governance which is the part of this report.
PUBLIC DEPOSIT
The Company has not accepted any deposits from Shareholders and Public falling within the ambit of Section 73 of the Companies Act, 2013 and rules made there under. Hence, the directives issued by the Reserve Bank of India & the Provision of Section 73 to 76 of the Company Act, 2013 or any other relevant provisions of the Act and the Rules there under are not applicable.
PARTICULARS OF LOANS, GUARANTEES, INVESTMENTS & SECURITY
Details of Loans, Guarantees, Investments and Security covered under the provisions of Section 186 of the Companies Act, 2013 are given in the notes to the Financial Statement.
WEB LINK OF ANNUAL RETURN
The link to access the Annual Return is https://www.dpjewellers.com/la-assets/dp/pdf/Annual_Report/Annual%20return%20F.Y.%202022-23.pdf
RELATED PARTIES TRANSACTION
There are no materially significant Related Party Transactions made by the Company with Promoters, Directors, Key Managerial Personnel which may have a potential conflict with the interests of the Company at large. All Related Party Transactions are placed before the Audit Committee and the Board for approval, if required. Prior omnibus approval of the Audit Committee is obtained for the transactions which are of a foreseen and repetitive in nature.
The Company has developed an Internal Guide on Related Party Transactions Manual and prescribed Standard Operating Procedures for the purpose of identification and monitoring of such transactions. The Policy on Related Party Transactions as approved by the Board is uploaded on the Company's website at https://www.dpjewellers.com/la-assets/dp/pdf/Policy_on_related_party_transaction.pdf.
Particulars of contracts or arrangements with related parties referred to in Section 188(1) of the Companies Act, 2013, in the prescribed Form AOC-2 is annexed to this Report as Annexure B.
There was no contracts, arrangements or transactions which was executed not in ordinary course of business and/or at arm's length basis.
MAINTENANCE OF COST RECORDS
In terms of Section 148 of the Companies Act, 2013 read with Companies (Cost records and audits) Rules, 2014, the Company is not required to maintain the cost records.
PARTICULAR OF EMPLOYEES
The ratio of the remuneration of each executive director to the median of employees' remuneration as per Section 197(12) of the Companies Act, 2013, read with Rule 5(1) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 is annexed to this Report as Annexure C.
The statement containing names of top ten employees in terms of remuneration drawn and the particulars of employees as required under Section 197(12) of the Act read with Rule 5(2) and 5(3) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, is provided in a separate annexure forming part of this report. Further, the report and the accounts are being sent to the Members excluding the aforesaid annexure. In terms of Section 136 of the Act, the said annexure is open for inspection in electronic form. Any Member interested in obtaining a copy of the same may write to the Company Secretary.
MATERIAL CHANGES AND COMMITMENT
There have been no material changes and commitments for the likely impact affecting financial position between end of the financial year and the date of the report.
SIGNIFICANT AND MATERIAL ORDERS
There are no significant and material orders passed by the regulators or courts or tribunals impacting the going concern status and Company's operations in future.
SUBSIDIARIES/ JOINT VENTURE/ ASSOCIATE COMPANY
The Company does not have any subsidiaries / joint venture / associate company.
SEXUAL HARASSMENT OF WOMEN AT WORKPLACE
To foster a positive workplace environment, free from harassment of any nature, we have institutionalized the Anti-Sexual Harassment Initiative (ASHI) framework, through which we address complaints of sexual harassment at the all workplaces of the Company. Our policy assures discretion and guarantees non-retaliation to complainants. We follow a gender-neutral approach in handling complaints of sexual harassment and we are compliant with the law of the land where we operate. The Company has setup an Internal Complaints Committee (ICC) for redressal of Complaints.
During the financial year 2022-23, the Company has received Nil complaints on sexual harassment, out of which Nil complaints have been disposed off and Nil complaints remained pending as of March 31, 2023.
ENERGY CONSERVATION, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS AND OUTGO
A. Conservation of energy i.) The steps taken or impact on conservation of energy:
No major steps have been taken by the Company. However, the Company continues its endeavor to improve energy conservation and utilization. ii.) The steps taken by the Company for utilizing alternate sources of energy:
The Company has continued its focus on energy conservation efforts through up-gradation of process with new technology. The technology installed by the Company has provided better results in quality and production and also reducing the overall cost of production and maintenance which effect production scheduling and various energy saving initiatives in all areas of production. However, the Company has not installed any alternate source of energy running on renewable energy source. iii.) The capital investment on energy conservation equipment: Nil
B. Technology absorption i.) The effort made towards technology absorption
Your Company has been very thoughtful in installing new technology to reduce the production cost, improve yield, enhance product endurance and strengthen finish. However, no new technology has been installed by the Company during the year and all existing technology has been fully absorbed. ii.) The benefit derived like product improvement, cost reduction, product development or import substitution
The Company had installed such technology that improve productivity, quality and reduction in manual intervention and to enhance the quality and productivity. Improvement in manufacturing process helped the Company in managing production scheduling; & better & faster servicing of product for domestic as well as global market. iii.) in case of imported technology (imported during the last three years reckoned from the beginning of the financial year) a. The details of technology imported: Not Applicable. b. The year of import: Not Applicable c. Whether the technology has been fully absorbed: Not Applicable iv.) If not fully absorbed, areas where absorption has not taken place, and the reasons thereof: Not Applicable v.) The expenditure incurred on Research and Development: Nil C. Foreign Exchange Earnings & Expenditure -i.) Details of Foreign Exchange Earnings: NIL ii.) Details of Foreign Exchange Expenditure: NIL
RISK MANAGEMENT
A well-defined risk management mechanism covering the risk mapping and trend analysis, risk exposure, potential impact and risk mitigation process is in place. The objective of the mechanism is to minimize the impact of risks identified and taking advance actions to mitigate it. The mechanism works on the principles of probability of occurrence and impact, if triggered. A detailed exercise is being carried out to identify, evaluate, monitor and manage both business and non-business risks.
INTERNAL FINANCIAL CONTROL SYSTEMS AND THEIR ADEQUACY
The Company, during the year has reviewed its Internal Financial Control systems and has continually contributed to establishment of more robust and effective internal financial control framework, prescribed under the ambit of Section 134(5) of the Act. The preparation and presentation of the financial statements is pursuant to the control criteria defined considering the essential components of Internal Control - as stated in the “Guidance Note on Audit of Internal Financial Controls Over Financial Reporting” issued by the Institute of Chartered Accountants of India. The control criteria ensures the orderly and efficient conduct of the Company's business, including adherence to its policies, safeguarding of its assets, prevention and detection of frauds and errors, accuracy and completeness of the accounting records and the timely preparation of reliable financial information. Based on the assessment carried out by the Management and the evaluation of the results of the assessment, the Board of Directors are of the opinion that the Company has adequate Internal Financial Controls system that is operating effectively as at March 31, 2023. There were no instances of fraud which necessitates reporting of material misstatement to the Company's operations. There has been no communication from regulatory agencies concerning non-compliance with or deficiencies in financial reporting practices.
CORPORATE GOVERNANCE
Your Company strives to incorporate the appropriate standards for corporate governance. As stipulated in Schedule V of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Report on Corporate Governance and Certificate of the Practicing Company Secretary with regards to compliance with the conditions of Corporate Governance is annexed to the Board's Report as Annexure D.
BUSINESS RESPONSIBILITY AND SUSTAINABILITY REPORT
The Business Responsibility and Sustainability Report as required by Regulation 34(2)(f) of the
Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, for the year under review is annexed to the Board's Report as Annexure E and forms an integral part of this report.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT
In terms of Regulation 34, and Schedule V of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 a review of the performance of the Company, for the year under review, Management Discussion and Analysis Report, is presented in a separate section forming part of this Annual Report.
STATUTORY AUDITOR AND THEIR REPORT
M/s. Jeevan Jagetiya & Co., Chartered Accountants, Ahmedabad (FRN: 121335W) were appointed as Statutory Auditors of the Company at the first Annual General Meeting held on September 21, 2018, for a term of five consecutive years. The present term is expiring at the sixth annual general meeting of the Company.
The Notes to the financial statements referred in the Auditors Report are self-explanatory and therefore do not call for any comments under Section 134 of the Companies Act, 2013. The Auditors' Report does not contain any qualification, reservation or adverse remark. The Auditors' Report is enclosed with the financial statements in this Annual Report.
In terms of provision of Section 139(2) of the Companies Act, 2013, M/s. Jeevan Jagetiya& Co., Chartered Accountants, Ahmedabad (FRN: 121335W) may be re-appointed for further period of 4 (fOUR) years i.e. from the conclusion of 6th Annual General Meeting of the Company till 10th Annual General Meeting of the Company and hence Board of Directors of the Company recommends resolution for re-appointment of M/s. Jeevan Jagetiya& Co., Chartered Accountants, Ahmedabad (FRN: 121335W) as statutory auditor of the Company.
SECRETARIAL AUDITOR AND
THEIR REPORT
The Company has appointed Mr. Anand Lavingia, Practicing Company Secretary, to conduct the secretarial audit of the Company for the financial year 2022-23, as required under Section 204 of the Companies Act, 2013 and Rules thereunder. The Secretarial Audit Report for the financial year 2022-23 is annexed to this report as an
Annexure F-1.
The Annual Secretarial Compliance Report for the financial year ended March 31, 2023 issued by Mr. Anand Lavingia, in relation to compliance of all applicable SEBI Regulations/ Circulars/Guidelines issued thereunder, pursuant to requirement of Regulation 24A of the Listing Regulations read with Circular no. CIR/CFD/CMD1/27/2019 dated 8th February, 2019 (including any statutory modification(s) or re-enactment(s) thereof for the time being in force) is annexed to this report as an Annexure F-2. The above reports contain remark regarding 1)Late submission of video recordings of Investor Meet held on Tuesday, May 24, 2022. The Company had submitted Video Recording on May 27, 2022 and 2) Late submission of video recordings of Investor Meet held on Monday, August 8, 2022. The Company had submitted Video Recording on August 9, 2022 at evening.
Your Directors submit that the Company takes all measures to timely comply with the entire requirement. However, the delay occurred purely due to oversight and Company ensures to make timely compliance in future.
REPORTING OF FRAUD
The Auditors of the Company have not reported any fraud as specified under Section 143(12) of the Companies Act, 2013.
INSURANCE
The assets of your Company have been adequately insured.
PROCEEDINGS INITIATED/PENDING AGAINST YOUR COMPANY UNDER THE INSOLVENCY AND BANKRUPTCY CODE, 2016
There are no proceedings initiated/pending against your Company under the Insolvency and Bankruptcy Code, 2016 which materially impact the Business of the Company.
WEBSITE
As per Regulation 46 of SEBI (LODR) Regulations, 2015, the Company has maintained a functional website namely “www.dpjewellers.com” containing basic information about the Company. The website of the Company is also containing information like Policies, Shareholding Pattern, Financial Results and information of the designated officials of the Company who are responsible for assisting and handling investor grievances for the benefit of all stakeholders of the Company, etc.
ADOPTION OF IND-AS
The company has prepared the opening balance sheet as per Ind AS as of 1 April 2019 (the transition date) by recognizing all assets and liabilities whose recognition is required by Ind AS, not recognizing items of assets or liabilities which are not permitted by Ind AS, by reclassifying items from previous GAAP to Ind AS as required under Ind AS, and applying Ind AS in measurement of recognized assets and liabilities.
There were no significant reconciliation items between cash flows prepared under previous GAAP and those prepared under Ind AS.
COMPLIANCE WITH THE PROVISIONS OF SECRETARIAL STANDARD 1 AND SECRETARIAL STANDARD 2
The applicable Secretarial Standards, i.e. SS-1 and SS-2, relating to ‘Meetings of the Board of Directors' and ‘General Meetings', respectively, have been duly complied by your Company.
GENERAL DISCLOSURE
Your Directors state that the Company has made disclosures in this report for the items prescribed in section 134 (3) of the Act and Rule 8 of The Companies (Accounts) Rules, 2014 and other applicable provisions of the act and listing regulations, to the extent the transactions took place on those items during the year.
APPRECIATIONS AND ACKNOWLEDGMENT
Your Directors wish to place on record their sincere appreciation for significant contributions made by the employees at all levels through their dedication, hard work and commitment, enabling the Company to achieve good performance during the year under review.
Your Directors also take this opportunity to place on record the valuable co-operation and support extended by the banks, government, business associates and the shareholders for their continued confidence reposed in the Company and look forward to having the same support in all future endeavors.