20th".,

ANNUAL REPORT! ; 2011-12I 1

I

PRETTO LEATHER .INDUSTRIES LIMITED

Regd. Office of the Company :149, Civil Lines, Opp ADM Compound,Bareilly(U.P)-243001

~c_.~;~~~ .-t~l' r, r:' 1r: I ~ l~Y::)L. or PR n LEATHER INDIiSTRIES LTD.:7 .

Pramod Kumar Saxena (ManagingNamita Saxena, (Director)Dinesh Malik (DirectorOminder Kumar, (Director)Vinod Kumar Dhama (Director)

CORPORATE INFORMATIONBOARD OF DIRECTORS1.2.3.4.5.

AUDITORSIP. PASRICHA & co.(CHARTERED ACCOUNTANTS)243, SATY AM TOWER,COMMERCIAL COMPLEX, PASCHIM VIHARNEW DELHI-110063

REGISTERED OFFICE149, CIVIL LINES, OPP. ADM COMPOUND,BAREILL Y (U.P.) -243001PH No. 08882740943Email Addinfo@prettoleather.com

ADMINISTRATIVE OFFICEWZ-139C/3, BHANU COMPLEX,NEW MAHAVIR NAGAR,NEW DELHI-110018 (INDIA)

BANKER OF THE COMPANY: 1. State Bank Of India,Sector-63, Noida (U.P)-201301

2 ICICI BankSector-63, Noida (U.P)-201301

REGISTRAR AND TRANSFER AGENTSAlankit Assignment LimitedAlankit House2E/21, Jhandewalan Extn. New Delhi-110055Ph.: 08860611607Fax: 91-11-42541100Email: rta@alankit.com

CONTENTS PAGE NO.1. NOTICE 3-82. EXPLANATORY STATEMENT 9-10(Pursuant to Section 173(2) of the Companies Act, 1956)3. DIRECTORS REPORT 11-134. CORPORATE -GOVERNANCE REPORT 14-215. MANAGEMENT DISCUSSION & ANALYSIS REPORT 226. CEO & CFO CERTIFICATION 237. DECLARATION - COMPLIANCE WITH THE CODE OF CONDUCT-248. AUDITORS REPORT 25-309. BALANCE SHEET / PROFIT & LOSS / NOTES 31-3810. CASH FLOW STATEMENT 39 Fer F

:;:or PRETTO LEATHER INDUSTRIES LTD../

t«?:t-=9-N,,_J1Director

PRETTO LEATHER INDUSTRIES ·LIMITED.Regd. Office ofthe Company :149, Civil Lines, Opp ADM Compound, Bareilly(U.P)-243001

NOTICE

Notice is hereby given that the 20th Annual General Meeting of the members of the Companywill be held on Saturday, the 29th Sta'tember, 2012 at 9.00 am at A-149, Civil Lines, Opp.ADM Compound, Bareilly (U.P,)- 243001 to transact the following business :-

ORDINARY BUSINESS

1. To receive, consider and adopt the Audited Balance Sheet as at 31st March 2012andthe Profit and Loss Account for the period on that date and the Report of the Directorsand Audits thereon.

2. To Appoint a Director in place of Shri Ominder Kumar who retires by rotation and iseligible for re-appointment.

3. To Appoint a Director in place of Shri Dinesh Malik who retires by rotation and iseligible for re-appointment.

4. To re-appoint J.P. PASRICHA & CO., Chartered Accountants as Auditors of theCompany to hold office from the conclusion of this Annual General Meeting up to theconclusion of next Annual General Meeting and to fix their remuneration.

SPECIAL BUSINESS

5. To Concider & if through fit to pass With or Without modification (s) the followingresolution as on ordinary Resolution:

"Resolved that in accordance with the provision of the section 198, 269, 309 andschedule-xiii and other applicable provisions if any of the companies act 1956 thecompany hereby approves the appointment of Rajeev Kumar Saxena as ManagingDirectors of the Company for a period of 1 (one) year w.e.f. 29/09/2012 and thepayment of remuneration as follows

Basic SalaryHRACar FacilityMedical Remuneration

Rs. 150000/- P.M.Rs. 20000/- P.M.Rs. 15000/- P.M. or Actual (whichever is higher)Rs. 15000/- P.M.

RESOLVED FURTHER THAT the Board of the Company be and is herebyauthorized to increase, vary or amend the terms and conditions of the and/orremigration from time to time as deemed expedient and necessary and with in the

For PRETTO LEAn:"--For PRETIO LEATHER INDUSTRIES LTr:!

~ ....,..t'-.~

Director

prescrived limit or sailing as provided in schedule XIII'ofthe Companies Act. }'lCf56.iS

existing or as amended thereof as the Board may deemed fit. ~

6. To Concider & if through fit to pass With or Without modification (s) the followingresolution as on ordinary Resolution:

"RESOLVED THAT....Mr. Dinesh Malik Director of the Company be and is herep:authorised to mM application as per Clause 21 of the Companies Act. 1956 !~yseeking availability of name "SAIPRUS FRESH MART & RET AIL LIMITED" orsuch other names as he may deems fit in case the above stated name is not availabk.to the Registrar of Companies, NCT of Delhi & Haryana as a first step towardsproposed change of name by the company subject to the approval granted to suchchange of name by the Central Government and the shareholders of the Company.

RESOLVED FURTHER THAT Mr. Dinesh Malik, Director of the Company be and ishereby authorised to all acts, deeds and things as may deem necessary in this regard."

7. To Concider & if through fit to pass With or Without modification (s) the follo\\ingresolution as on ordinary Resolution:

"RESOLVED THAT the Equity of the company will be changed from 100 market lotlisted in stock exchanges to 1 equity Lot.

RESOLVED FURTHER THAT Mr. Pramod kumar Saxena, Director of the compan:be and is hereby authorized to sign and execute all the necessary documents in thisregard."

8. To Concider & if through fit to pass With or Without modification (s) the followingresolution as on ordinary Resolution:

"RESOL VED THAT pursuant to the provision of section 17 and other applicableprovision ,if any, of the Companies Act 1956, clause 1 to all Memorandum ofAssociation of the company be and is hereby altered by substituting the existing subclause with the following :-

1. To carry on the business of food products. Rice, grocery item, Goat food.wheat, sugar cane, grains, carbonated drinks, fruits juice, jams. jelly.sauce, food colour, green vegetable, trader of all kinds of dairy products.import and Export of all products herbal Cosmetics and HouseholdGoods, buyers, sellers, traders, importers, exporters, distributors, carryingand forwarding agent, commission agents, brokers, factory stockistsagents and dealers of vegetable products, processed and foods andpacked foods.

c

~2. To carryon the business of manufacturers, fabricators, processors, producers,

makers, importer, exporters, buyers, sellers, suppliers, stockists, agents, merchants,distributer of all kind of letters items including, shoes, boots and pickers, footwearof all kinds, leather clothings, bags, purses

RESOLVED FURTHER THAT Mr. Dinesh Malik, Director of the Company be and ishereby authorised to all acts, deeds and things as may deem necessary in this regard.".•.

/"

9. To consider and, if thought fit, to pass with or without modification the followingresolution .~

As a Ordinary Resolution/Special Resolution

"RESOLVED THAT subject to the approval of shareholders at a General Meeting, theauthorised share capital of the company be increased form Rs.8,00,000,00.00 (RupeesEight Crore) divided into 8000000 equity shares of Rs.10/- (Rupees Ten) each toRs. 35,000,00,00.00 (Rupees Thirty Five Crore) divided into 35000000 equity shares ofRs.1 0/- (Rupees ten) each ranking pari passu with the existing equity shares in theCompany and that in clause V of the Memorandum of Association of the Company for thewords and figures

"The Authorised Share Capital of the Company is RS.8,00,000,00.00 (Rupees EightCrore) divided into 8000000 equity shares ofRs.1 0/- (Rupees Ten) each.

The following shall be substituted:

"The Authorised Share Capital of the Company is Rs. 35,000,00,00.00 (Rupees ThirtyFive Crore) divided into 35000000 equity shares ofRs.10/- (Rupees ten) each."

BY ORDER OF THE BOARD OF DIRECTORS

PRAMOD KUMAR SAXENACHAIRMAN

Place: BAREILLY (U.P.)Date: 03/09/2012

~ OTES:.1. A MEMBER ENTITLED TO ATTEND AND VOTE AT THE MEETING IS

ENTITLED TO APPOINT A PROXY TO ATTEND AND VOTE INSTEAD OFHIMSELF AND THE PROXY NEED NOT BE A MEMBER OF THE COMPANY.PROXIES IN ORDER TO BE EFFECTIVE MUST BE RECEIVED BY THE

COMPANY NOT LESS THAN 48 HOURS BEFORE THE MEETING. A BLANKPROXY FORM IS APPENDED.

2. The Register of Shareholder and Share Transfer Books of the Company will remain closedfrom September 23, 2012 to September 28,2012 (both days inclusive).

3. Shareholders who hold shares in dematerialised form are requested to bring their client ID andDP ID numbers for easy identificetion of attendance at the meeting.

4. All documents referred to i~ tRe accompanying Notice are open for inspection at theRegistered Office of the cb"mpany during office hours on all working days, except Saturday/Sunday and other holidays, between 1:00 p.m. and 3:00 p.m. up to th~ date of Annual GeneralMeeting.

5. Corporate shareholders/ Trusts/ Societies intending to send their authorised representative toattend the AGM are requested to send a duly certified copy of the Board! ManagingCommittee Resolution authorising their representative to attend and vote at the Meeting.

6. In case of joint holders attending the meeting, only such joint holder who is higher in the orderof names will be entitled to vote.

7. Shareholders desiring any information as regards the Accounts are requested to write to theCompany in advance so as to enable the Management to keep the information ready at theAnnual General Meeting.

8. Members/Proxies should bring the enclosed attendance slip duly filled in, for attending themeeting alongwith Annual Report.

9. Resume of director proposed to be appointed at the ensuing Annual General Meeting isprovided separately.

10. Members are requested to notify the change in their address, if any.

11. As part of the Green Initiative in Corporate Governance, the Ministry of Corporate Affairs(MCA), Government of India, through its Circular Nos. 17/2011 and 18/2011, dated April 21and 29,2011 respectively, has allowed companies to send official documents totheirshareholders electronically.

~otes:It is a welcome move for the society at large, as this will reduce paper consumption to a great extentand will allow shareholders to contribute towards a Greener Environment. Further, it will ensureinstant and definite receipt of the all notices/documents by you.

Recognizing the spirit of the circular issued by MCA, we propose to send documents like the Noticeconvening the general meetings, Financial Statements, Directors' Report, Auditors' Report etc. inelectronic form, to the email address provided by you and made available to us by the Depositories.

Following the government directive, the full text of these reports will also be made available in aneasily navigable format on the website of the Company, www.prettoleather.com. We will notify the

date of the AGM and the availability of documents on the website in the prominent newspaper bothEnglish and vernacular. As before, physical copies of the Annual Report will be a\1ailable at ourregistered office for inspection during office hours.

All Shareholders are requested to be a part of this green initiative of Government of India byregistering their e-mail address for enabling the Company to send the communication includingAnnual Report to shareholders bye-mail.

Shareholders holding shares in physical form are requested to provide the requisite informationas performat given below by post or e-tniffl tc>:

Alankit Assignment Limited

Email:E-COMMUNICATION REGISTRATION FORM(Pursuant to Circular nos. 17/2011 dated 21.04.11 and. 18/2011 dated29.04.11 issued by the Ministry of Corporate Affairs)

Folio No.1 DP lD & Client lD :Name of First Registered Shareholder:Name(s) of Joint Shareholder(s) :Registered Address:E-mail address (to be registered) :

l/we, shareholders(s) of Pretto Leather Industries Limited agree to receive all communication fromthe Company in electronic mode. Please register the above mentioned e-mail address in your recordsfor sending communication through electronic mode.

Dated: Signature of First Holder

Notes:a. The format given above is also available at the website of the Company at\\\v\v. Prettoleather.com

b. Shareholders holding shares in dematerialized form are requested to register their emailaddresses with their Depository Participant, if not done so far.c. Please note that as a member of the Company you are entitled to receive allcommunications in physical form upon making specific request in this regard.

d. Shareholder(s) are requested to keep the Company/Depository Participants informedas and when there is any change in their registered e-mail address.

BRIEF RESUME OF THE DIRECTOR PROPOSED FOR RE~PPOINTME~TIAPPOINTMENT AT THE 24TH ANNUAL GENERAL MEETING VIDE ITEMS ~O.2 OF THE NOTICE

'QUALIFICATION IEXPERIENCE

01/06/1969 GRADUATE 18 YEARS

28/08/1975 iGRADUATE/11 YRS~,

NESH KUMARK SIO SHRI

PAL SINGH

INAMEANDIFATHER'S-tNAME

Membership of CommitteesAudit CommitteeRemuneration CommitteeShareholder's Grievances (Pretto Leather Industries Limited)Committee (Pretto Leather Industries Limited.)

VILLAGE-JAWLI"POST OFFICE-LONI,GHAZIABAD, 201001,Uttar Pradesh, INDIA

16, PRIYALOKCOLONY, SEWLAKALAN, DEHRADUN,246001, UUarakhand,INDIA

Present residentialaddress

EXPLANATORY STATEMENT(Pursuant to Section 173(2) of the Companies Act, 1956)

Item No.5

Mr. Rajeev Kumar Saxena was appointeJ as Managing Director of the Company for a Period of oneyear w.e.f. 29/09/2012 on payment ot.remuneration as given in the resolution.

/'

\t1r. Rajeev Kumar Saxena has vast experience in different areas of management or about 15 years.The board considers that the Company would be greatly benefit from his experience.

The Directors recommended the passing this resolution. Mr. Rajeev Kumar Saxena is interested orconcerned in the resolution as its relates to its appointment and remuneration to him.

Except Mr. Rajeev Kumar Saxena, no other Director is interested or concerned in the said resolution.

Item No.6

To Change in the name ofthe Company. The Company will be benifited by change of name.

The Directors recommended the passing this resolution. NO.other directors is interested or concernedin the resolution as its relates to its appointment and remuneration to him.

Item No.7

The Equity of the company will be changed from 100 market lot listed in stock exchanges toi equity Lot.

rhe Directors recommended the passing this resolution. Mr. Rajeev Kumar Saxena is interested or.::oncerned in the resolution as its relates to its appointment and remuneration to him.

Item No.8

h" Change in the object of the Company. The Company will be benifited by change of object.

Directors recommended the passing this resolution. NO.other directors is interested or concerned:: the resolution as its relates to its appointment and remuneration to him.

Item No.9

J::e approval of shareholders at a General Meeting, the authorised share capital of the company be-:.;:reased form Rs.8,00,000,00.00 (Rupees Eight Crore) divided into 8000000 equity shares of RS.I 0/-Rupees Ten) each to Rs. 35,000,00,00.00 (Rupees Thirty Five Crare) divided into 35000000

.:~~ity shares of RS.l 0/- (Rupees ten) each ranking pari passu with the existing equity shares in the!~ .,"mpany and that in clause V of the Memorandum of Association of the Company for the words and-~=,;i!"es For PRETTOL:::r' '~'"l'~!n~'STRIESLTD,/

"K.'«.C.~yt-''i

"The Authorised Share Capital of the Company is Rs.8,00,000,00.00 (Rupees Eight Crore) di\ ideainto 8000000 equity shares ofRs.10/- (Rupees Ten) each.

The Directors recommended the passing this resolution. NO.other directors is interested or concernedin the resolution as its relates to its appointment and remuneration to him.

BY ORDER OF THE BOARD OF DIRECTORS

PRAMOD KUMAR SAXENACHAIRMAN

Place: BAREILLY (U.P.)Date: 03/09/2012

For PRETTO I E' .ATHER 1~lnl fC''T".p,r-• •..SIT

. D.. .{-yo-IY

~~

PRETTO LETHER INDUSTRIES LIMITED

DIRECTOR'S REPORT

Your Directors have Pleasure in Presenting the Annual Report together with audited statement ofaccounts for the year ended 3151 March, 2012.

"WORKIING RESULTSParticularsTotal IncomeDepreciationProfit(Loss) before TaxProvision for Tax-FBTProfit (loss) after Tax

31-3-201215496689

268380(3384667)

-7475(3377192)

(Amount in Rs)31-03-201115081413

21431374306

66722307584

OPERATIONS AND FUTURE PLANSThe operations for the year under review show a loss (after Tax) ofRs. 3377192-

rhe Company has not been active for the past seven years due to a severe financial crisis, for the pastthree years the Company was in the process of gradually liquidating all debts with various Banks and?inancial institutions. Your Directors are glad to report that during the year under review the Companyras closed all loans and is a debt free company from this year. The entire amounts required for closing:~e debts was bought in by the directors and is reflected as unsecured loans in the Balance Sheet. The='hectors feel that having addressed the issue of clearing the debts, it is appropriate time to start:'lanning for the future. It is sincere intention of the Directors to bring value to the Shareholders. But':1e current economic environment being what it is we will have to choose our path with care and_2.11tion.

'j.;:lur Directors are pleased to report that a study for the revival of the business is already-,:;mmissioned and is underway. The assignment has been entrusted to a reputed consultancy

:";?anizationwho will examine the feasibility including the strategy.

":,u'r Directors are also looking and examining other business options including acquisition of running"'.lsinesses as well as other good viable opportunities where some value and synergies can be:'d.ceived. It is our Objective that we commence activities in manufacturing of shoes and consolidate:-:.:-clients again. We would like to see that Company is en route to generating a healthy top line and..,·~ttomline.

DIYIDEND:

"":,..:e the Company could not generates any profits, management does not propose any dividend for"c ~ear 2012.

DIRECTORS

Sl1ri Ominder Kumar, Director retire at the ensuring Annual General Meeting, and being eligible\c'!Tersthemselves for reappointment.

\1r. Dinesh Kumar Malik, Director retire at the ensuring Annual General Meeting, and being eligible~)tTersthemselves for reappointment. \

DIRECTORS' RESPONSIBILIJX"STATEMENT

Your Directors State:

i) that in the preparation of the annual accounts, the applicable accounting standards hadbeen followed along with proper explanations relating to material departure;

ii) that the Directors had selected such accounting policies and applied them consistently andmade judgements and estimates that ate reasonable and prudent, so as to give a true andfair view of the state of affairs of the Company at the end of the financial year and the lossof the Company for the period;

iii) That the Directors had taken proper and sufficient care for the maintenance of adequateaccounting records in accordance with the provisions of the Companies Act, 1956 forsafeguarding the assets of the Company and for preventing and detecting fraud and otherirregularities.

iv) That the Directors had prepared the annual accounts on going concern basis.

FIXED DEPOSITS

··~"ur company has neither invited nor accepted any Fixed Deposits from the public during the--:~JJlcialyear under review.

CORPORATE GOVERNANCE ABD COMPLIANCE CERTIFICATE:

"'",ra-ratenotes on Corporate Governance and Management Discussion and Analysis Report are set out~\nnexure "A" and "B" respectively. A Certificate from the Auditor of the Company certifying

. Jpliance conditions of Corporate Governance as stipulated under Clause 49 of the Listing~;=-vement is attached to this report.

USTI"SG AGREEMENTS REQUIREMENTS:

-;: securities of your company are listed at Bombay Stock Exchange.

BlY-BACK OF SHARES

-;;jci: was no buy-back of shares during the year under review.

.\.CK~OWLDGEMENTS

At:DITORS

FOREIGN EXCHANGE EARNINGS AND OUTGO:

Director

For Pretto Leather Industries Limited..:":~:Bareilly (U.P.). .::.:e: 03.09.2012

. ',n directors sincerely thank all members for supporting us during the difficult days. We look· '"";,\ardto your continued support and reiterate that we are determined to ensure that the plans are· _2zessfully implemented.

::.: Board of Directors wish to place on record their appreciation for the co-operation and support of· -;: Company's Bankers, its valued customers, employees and all other intermediaries concerned with"';0 company's business .

The Company has no foreign exchange earnings and outgo during the Financial Year ended on 3151

\larch 2012 .

CO~SERVATION OF ENERGY AND TECHNOLOGY ABSORPTION

\ls J.P. PASRICHA & CO., A~t6fs of the Company retire at the ensuing Annual General Meeting.They have expressed their willingness for reappointment.

Juring the year under review, there were no activities, which required heavy consumption of energy.However adequate measures have been taken to make sure that there is no wastage of energy. Since:he requisite information with regard to the conservation of energy, technology absorptionDisclosures of Particulars in the report of Board of Directors) Rules is irrelevant/not appl icable to the

_,'mpany during the year under review, the same are not reported.

PARTICULARS OF THE EMPLOYEES:

'\one of the employees employed during the year was in receipt of remuneration in excess of thePrescribed limit specified in section 217 (2A) of the Companies Act, 1956 Hence, furnishing ofparticulars under the Companies ( Particulars of Employees) 1975 does not arise.

PRETTO LETHER INDUSTRIES LIMITED

CORPORATE GOVERNANCE:

CO\fPANY'S PHILSOPHY ON CODE OF GOVERNANCE:

Annexure - A

:::-.::n,"lI Leather Industries Limited aims jlt ensuring high ethical standards in all areas of its business:-.:rations to enhance its stake holdet's value

- accordance with Clause 49 of the Listing agreement with the Stock Exchanges, the details of::-~,emance including compliances by the Pretto Leather Industries Limited with the provisions of

-"'"j."e 49 are as under:

~. BOARD OF DIRECTORS:

A. COMPOSITION OF THE BOARD AS ON 31ST MARCH 2012

The business of the Company is managed by the Board of Directors. The information as:--equiredunder Clause 49 of the Listing Agreement is being made available to the Board in their:--espective meeting. The Board of Directors comprises an optimum combination of executive,[ion executive Directors and independent Directors presenting the judicious mix of;:,rofessionalism, knowledge, performance review, monitoring of plans and procedures. The:ndependent Directors do not have any pecuniary relationship or transactions with the Company,:J'romoters and management, which may affect the independence or judgement of the directors in.m~ manner. The following is the composition of the Board of Directors of the Company as on.:: 5t March 2012 which is in conformity with the provisions of Section 49 of the Listing\greement:

',.::....-:-.:~of Category Number of Number of Number of- :-.:~tm Directors hip in committee committee

other Public Ltd. position positionCompanies in other public in other public ltd.as on 31 st March ltd. companies compames2012 as on 31st as on 31st March

March 2012 2012-

Chairman Member Chairman Member- .-:, --- •.. -..;: Managing Nil Nil Nil Nil", - --; ... Director',,~,~,~~.l .

,.- --".::.er Non-executive Nil Nil Nil Nil

'--:- Director- :..: ~umar Non-executive Nil Nil Nil Nil

_. w- .:.--~ Director.- Non-executive Nil Nil Nil Nil-

". _-- ::.:-\lalik Director,'." . Non-executive Nil Nil Nil INil""'",', .; :;- - Director--

pecuniarypaid for

s and SeniorAgreement.

ector

ctors vis a

or and three

ing dates: --d January

bination ofhe Board ofan executiveors.

- .._ .... --!

~

As "on 31 sl March 2012, the Company's Board consisted of One Promoter Directnon-executive/independent directors, who have rich experience in their fields.

A. The Board of Directors of the company shall have an optimum comexecutive and non-exe2utive directors with not less than fifty per cent of tDirectors comprising of non executive directors. In case the company haschairman, at leasfhalf of the Board should comprise of independent direct

The details of the Directors on the Board of your Company are given below;

a. PROMOTER DIRECTOR

I Name I Date of Appointment I DesignationI Pramod Kumar Saxena 1 30.12.1996 I Managing Dir

b. NON-EXECUTIVE DIRECTORS

Name Date of Appointment DesignationNmaita Saxena 09.04.2011 DirectorOminder Kumar 16.05.2003 Director

, Rajeev Kumar Singh 09.04.2011 DirectorDinesh Kumar Malik 09.04.2011 Director

c. INDEPENDENT NON EXECUTIVE DIRECTORS

Name Date of Appointment DesignationNmaita Saxena 09.07.2011 DirectorOminder Kumar 16.05.2003 DirectorRajeev Kumar Singh 09.07.2011 Director

B. All pecuniary relationship or transactions of the non executive dire. vis, the company should be disclosed in the Annual Report .

None of the non-executive directors of the Company have anyrelationship or transactions with the Company other than feesprofessional services rendered by them.

The Board ofthe Company met 5 times during the last financial year on the followApril 2, 2011, July 292011, September 1 2011, October 29 2011 an28,2012.

Code of conduct:

The Company has already implemented a Code of Conduct for all Board Member"\1anagements of the company in compliance with Clause 49 (1) of the Listing

••

But. since the operations of the Company were not much, the application of the ~a.ieconduct was limited to that extent

The constitution ofthe Board (as on 31.03.2012) and the attendance ofthe Directors are gi\enbelow:'\ame ofthe Category of No. of other No. of Board Attendance atDirector the Director Diretorship (*) meetings Last AGM

" AttendedPramod Kumar Managing. NIL 5 NOSaxena DirectdfNamita Saxena Director NIL 3 YESOminder Kumar Director NIL 4 YESRajeev Kumar Director NIL 3 YESSingh

• Excludes Directorship in Indian Private Limited Companies, Foreign Companies, Companiesus 25 of the Companies act, 1956.

• The Director(s) are neither Chairman nor members of any other committee(s) other that Auditc.vmmittee, grievance committee, remuneration committee of Pretto Leather Industrieslimited as mentioned in this report.

• "'\0 Leave of absence was given to any Directors for those meetings which he could not attend.

=·;;::.1i1ed Agenda is circulated/ sent to the members of the Board in advance. The Board discuss/.:;::'berate and decides on all the topics/ matters including those suggested in the Listing~"==:"eement,as and when the requirement arises.

Risk :\-'Iitigation Plan: The Company has already adopted a risk mitigation plan, suitable to the- -:-?any. During the year there were no activities that required the assessment of risk.

1.. \.LDIT COMMITTEE:

'- - :.::.J strength of the Audit Committee is three. The said committee was constituted to exercise. ~-'. J.rrddischarge function as stipulated in Clause 49 of the Listing Agreement, and other relevant;£ _~-:. and regulatory provisions. The Chairman of the audit committee is an independent/non- ~-,-:", e director, and of the other two members one is executive director and the other is non--;;;"- -- e independent director.

"-- - ==:i:e relevant financial year, three Audit Committee Meetings were held on April 5, 2011,-_ .• LE 2011 and March 28, 2012 .

The constitution of the Committee (as on 31.03.2012) and the attendance of each memb~r ofthet ommittee is given below

'\ame of the Member Category No. of Meetings Attendance (No)

Namita Saxena Director 3 3Ominder Kumar Director .. 3 3Rajeev Kumar Director

>

3 3Singh ...,.

2. SHARE HOLDERS GRIEV ANCE/ SHARE TRANSFER COMMITTEE:

Share Holder's Grievance Committee

Share Holders Grievance Committee consists of two independent Directors, and onecompliance officer who have met on 31 st May 2011, 28th September 2011, 2Sth December2011 and 2Sth March 2012. As on 31 sl March 2012, Company was unable to redress all thecomplaints/ grievances within one month of the receipt of such grievances. But action is takento make sure all the grievances are redressed.

The data for the year is as follows: No of Complaints received from share holders/ Exchangeduring the year NIL unresolved complaints (including pertaining to the previous year(s): NILMajority of these complaints pertain to listing mattes which the Company is addressing.

During the year company had affected transfers involving NIL equity shares.

The constitution of the Committee as on today is as under:

'\ame of the Member Cate 0

::::31eevKumar DirectorS" h

No. of Meetin s3

Attendance4

\3mita Saxena Director 3 4

\t present, Mr. Samanjay Kumar, Legal Officer is the Compliance officer of the Company. He·"••as appointed in 2Sth June 200S. Mr. Samanjay Kumar, who is Compliance officer, had attendedall the meetings held during the year.

Share Transfer Committee

The same members of Share Holders Grievance Committee are the members of this committeealso. The Committee has met four times on 31 st May 2011, 28th September 2011, 2Sth

December 2011 and 2Sth March 2012.

:.. R£MUNERA TION COMMITTEE

The Directors have decided that till the financial crisis is sorted / solved, they will not drawany remuneration from the Company. So remuneration committee was not set up during the~ear under review.

-I.. OTHER DETAILSIINFORMATIONS

T:Je details of Annual General Meeting held in last 3 years are as under:

Year Ended Venue Date Time

.31"-.\larch 2009 K-l, Persa Khera, Industrial 30th Sept 2009 11.00 a.m.Estate, BflTeilly, U.P.-243001.

.3~~ .\1arch 2010 A-l~ Civil Lines, Bareilly, 30th Sept 2010 11.00 a.m.U.P.-243001 "

3 F: \llarch 2011 Shankar Place, Near Inter 30th Sept 2011 11.00 a.m.College, Loni, Ghaziabad, U.P.-201301

~:Je Company has neither used Postal Ballot nor passed any special resolutions during these,':..:ring the relevant period.

• Means of communication:

The Company has started filings since 2004 (date) the entire quarterly / half yearly / annualresults of the company with the Stock Exchanges and press release are made in English"'\ews Paper as stipulated in the Listing Agreement. The company does not have a web site.It also has not displayed in official news release and no presentations were made toinstitutional investors or to the analysts. We do not send half yearly financial reports to theshare holders. The management Discussion and Analysis is a part of the Annual Report

• Compliance oflnsider Trading Norms:

Company has adopted the code of internal procedures and thus complies with theinsider trading norms.

• General Shareholder's information

~.·.:J.\Ldate, time, and venue

- - --. C3\il Lines, Bareilly, V.P.

Date

29th Sept 2012

Time

9.00 a.m.

:::-;.::.n.::ialyear ending 31 st March 2012.3-:·:k dosure date 23rd September 2012 to 29th September 2012, (both the days inclusive)_ stIng on stock exchanges.

1<: -.;;:.:,:::rre listed in Bombay Stock Exchange, Mumbai.

-,: : _.:" regarding the Listing Fee have been paid

::: ,-::-ibution schedule as on 31.03.2012

_.:.tegory Number of % (percentage) Number of I % (Percentage)Shareholders Shares Held

::,to- 1000 12348 99.89% 1872000 24%11)1 - 2000 NIL NIL NIL NIL

:'11.11 - 3000 NIL NIL NIL NIL: \1..11 - 4000 NIL NIL NIL NIL-101 - 5000 NIL NIL NIL NIL;--il) I - I0000 NIL NIL NIL NIL""~IOO I and above 20 /- 0.11% 5928000 76%Total 12368 100% 7800000 ? 100%

f) Share price movements:

--~re was no trading of the scripts at the Stock Exchange(s) during the year. The data regarding the:-·~.:emovements are not available, and the management is unable to provide the statement showing-~ monthly high and low price of the script of the Company as required in the Listing Agreement.

g) SHARE HOLDING PATTERN AS ON 31.03.2012

:::~!l!orv:. 30ter Group. ;:~:jent Body Corporate- .:-;'5 Fl/FIIIMF /Trust'. '~I OCB

No. of shares57,72,000

1,56,000NILNIL

% of equity74%

2%NILNIL

'Share holdings ofIndependent Directors (name)

"\amita Saxena

• I! Additional information:

No. of Shares

312000

.::." Directors retiring by rotation / reappointment: Shri Ominder Kumar

The ISIN for the dematerialized share of the company is INE384MOI 015. The Companydematerializing the share through NSDL.

Share transfer system: Internal Share transfer system has been adopted .

.: i The Company has not proposed / declared any dividend during the year.

•.. Financial Year: 1st Apri12010 to 31st March 2012.

For the current financial year, following is the calendar (tentative and subject to change)

Financial reporting for 31 st March 2012:

• 1st Quarter 30th June 2011.

..---~------- ---------

• 2nd Quarter - 30th September 2011.• 3rd Quarter - 31 st December 2011 .• Financial year closing: 31st March 2012• 4th Quarter - 31 st March 2012

Plant Location: Yet to be finalization.

Address for correspondence/'

• Regd Office: A-149, Civil Lines, Opp. ADM Compoynd ,Bareilly, U.P-243001.

• E-mail idoftheCompany:rksaxena69@gmail.com• E-mail idoftheComplianceofficer:sekhafsanajrf@gmail.com• Telephone No: 0120-4245610-14, 09810252631• Fax: 0120-4245615

"-::.-;: Transfer Agents: Alankit Assignment Limited

-" Stock Code - 526691 (Bombay Stock Exchange)Dematerialization of shares & liquidity: Bulk ofthe shares are in physical mode, as givenbelow:

•• 'l,..."", Particulars No. of share No. of shares Percentageholders

Physical Shares 11387 7664360 98.26%Electronic Shares 981 135640 .74%Total 12368 7800000 100%

Outstanding GDRs/ADRs/Warrants or any Convertible instruments, Conversion date andli1.ely impact on equity is not applicable.

Conversion date and likely impact on Equity Shares: NIL

TI'1e details of related parties' viz.; Promoters. Directors or the Management, their Subsidiaries~', relatives conflicting with Company's interest: NIL

?;:nalties or structures have been imposed on the Company by Stock Exchange or SEBI or any•.:l!utory authority on any matter related to capital markets during the period under review:"\Il

:Jt:rtimnance in comparison to broad-based indices such as BSE Sensex, CRISIL index etc. -\

.·.-:~tle Blower Policy: None

- -::.:,,:]ng of Board Members: None.

\.f.::-.:.::anismfor evaluating non-executive Board Members: None

AUDITORS CERTIFICARTE ON CORPORATE GOVERNANCE

To.The MembersPretto Leather Industries LimitedA-149, Civil Lines, Opp. ADM Com~und,Bareilly, U.P.-243001 "'"

/"

We have examined the compliance of the conditions of Corporate GovePlance by Pretto LeatherIndustries Limited for the year ended on 31 st March 2012as stipulated in clause 49 of the ListingAgreement with the Stock Exchanges.

The Compliance of the conditions of Corporate Governance is the responsibility of the company'smanagement. Our examination was limited to procedures and implementation thereof, adopted bythe Company for ensuring the Compliance of the conditions of Corporate Governance. It is neitheran audit nor an expression on the financial statements of the Company.

In our opinion and to the best of our information, and according to the explanations given to us,~,\ecertify, that the Company has partly complied with the conditions ofthe Corporate Governance3S stipulated in the above mentioned listing agreement.

We state that majority of the investor grievances were attended within one month as per'::Caintainedby the company.

We further state that such compliance is neither as assurance as to the future viability of the'..0mpany nor the efficiency or effectiveness with which the management has conducted the affairs-:--theCompany.

?Jaee: Bareilly (U.P.)"Jate: 3rd September 2012

For l.P. PASRICHA & CO.(Chartered Accountants)

Firm No. 086281

(RISHI KUMAR GUPTA)FCA-PartnerMembership No. 086281

31-03-201115081413

21431374306

66722307584

31-3-201215496689

268380(3384667)

-7475(3377192)

..'IIt::l""=;."a[ "':'~',r:rn .-0 :,o;:;--zreTax.,,,' 1- ~: ,- -=- ~ .••.-FBT","" I' -- .:.~;;:- Tax

;Odll1l...;l.l :-=-:-:rmance with respect to operational performance RESULTS,••••••• Rsi~1""11 ,J:l-,

( .11IIIO'14

-'l;"":'~~~ 10 take all effective steps for development of business activities ofthe Company.

_. r-t'btions

']'1: ,- :;~-::5 looking quality of personal and employees to manage the affairs of the Company

Iii l!lt:: .: -;:":':-,5 have very good human relation in the industries.

1i1i:: 1-:;~-~. has lot of contact in the domestic and international market, which would be beneficial::;1 'r"~"1;: _ ''-~.l;T]\' ..

'~.-::. ',::.ie\\. industry Structure and Developments:

1'11: ,- :2:~has not done any business, due to scarcity of funds and personnel.

'I><; ,- :.::.:-_~ bas various opportumtIes in the present market, but due to threat of Government! 'I".,;~ ..:.-.:.:narket threats, the Company has not achieved its goal.

il •••• n:lll11ities and Threat

11; ~- :'2:~bas not been active for the past seven years due to a severe financial crisis, for the pastIn-=:;;. ;:~-c~:he Company was in the process of gradually liquidating all debts with various Banks and

II' J;, ."_":' "mitutions. Your Directors are glad to report that during the year under review the CompanyII"" .~':.ilJ [cans and is a debt free company from this year. The entire amounts required for closing:111; ':l;;-'~".;.JS bought in by the directors 1tnd is reflected as unsecured loans in the Balance Sheet. The"I'-~'~-"'-"~I that having addresseq, the issue of clearing the debts, it is appropriate time to start

""I~.tIll· -..,. -:,!he future. It is sincde intention of the Directors to bring value to the Shareholders. ButI:lk _.l~-:e>::onomic environment being what it is we will have to choos,e our path with care and_a~r:'Ii ,-

~ent Discussion And Analysis

CEO & CFO CERTIFICATION

--,;; B:'ard of Directors:-;:::, Leather Industries Limited~,- _c... Ci" il Lines, Opp. ADM Compound,::~~-;:~ _L.P.-243001 "

• ;;:-~~Jncial Statements for tRe'~ar ended on 31 sl March 2012 - Certification

"•• ;' '.Jmita Saxena, Chairman and Director and Mr Ominder Kumar, Director, on the basis of the-: ;:.;' >J\f the financial statements and the cash flow statements for the Financial year ending 31 sl

"I,'.:.-~- :012 and to the best of our knowledge and belief, thereby certify that:-

. -.se statements do not contain any materially untrue statements or omit any material fact or- . ",TIlinsstatements that might be misleading.

·'-.se statements together present a true and fair view of the Company's affairs and are in- , -rrpliance with existing accounting standards, applicable laws and regulations.

·'·,;re are to the best of our knowledge and belief, no transaction entered into by the company,: .:"::1g the year ended 31sl March 2012 which are fraudulent, illegal or violative of the_ . ::npany's code of conduct.

", =' accept responsibility for establishing and maintaining internal controls for financial-;:::,•.:rting, we have evaluated the effectiveness of the internal control systems of the Company:o;;--..1iningto financial reporting and we have disclosed to the auditors and the Audit- "':1mitteethose deficiencies, of which we are aware, in the design or operation of the internal- '"'etrulsystems and that we have taken the required steps to rectify these deficiencies .

•, ;; further certify that:

-. '::Te have been no significant changes in the international control over financial reporting,:_-::lg this year.

- -·.:re have been no significant changes in accounting policies during this year and that the~:::e have been disclosed in the noted to the financial statements.

- -. ;:re have been no instances of significant fraud of which we have become aware and the-.zlvement therein, of management or an employee having significant role in the Company's-:;:rnal control systems over financial reporting. .

"",.1I.-t3 Saxena)I";' ---:In & Director

liilll&.::. ::.;.:;; ill} (U. P .)IlmlllB::. - '.::ntember 2012

(Ominder Kumar)Director

[lECLARATION - COMPLIANCE WITH THE CODE OF CONDUCT

··~.::.:ordance with clause 49 of the Listing Agreement with the Stock Exchanges, ~amita Saxena-~:rman & Director of the Com~any, hereby declare that the Board Members and senior

',' .:.~,agementPersonnel have affirIl}.edcompliance with the said Code of Conduct, as mentioned in this.~-.~rt. for the year ended 31 st ~rch 2012.

For Pretto Leather Industries Limited~'.;;-Bareilly (U.P.)

:~I"~ • September, 2012

Chairman & Director

r

17for PRETIa LEATHER INDUSTRIES LIMITED

I. Equity and Liabilities(1) Shareholders' Funds

(a) Share Capital "-(b) Reserves and Surplus(c) Money received against share warrants

(2) Share application money pending allotment

(3) Non-current liabilities(a) Long - term borrowings(b) Deferred tax liabilities (Net)(c) Other Loans - term liabilities(d) Long - term provisions

(4) Current liabilities(a) Short - term borrowings(b) Trade payables(c) Other current liabilities(d) Short term provisions

Total

II. Assets(1) Non-Current ssets

(a) Fixed assets(i) Tangible assets(ii) Intangible assets(iii) Capital work-in-progress(iv) Intangible assets under development

(b) Non-current investments(c) Deferred tax-assets (net)(d) Long - term loans and advances(e) Other non-current assets

(2) Current assets(a) Current Investments(b) Inventories(c) Trade receivables(d) Cash and cash equivalents(e) Short-term loans and advances(D Other current assets

TotalSee accompanying notes to the financial statementsfor I P PASRICHA & CO

Chartered Accountants

100000241056

51891971807183

162168576764469

76241004

45922242

11000-27278

1130000

78000000-3859193

(Rupees [11:::5

••Figures as at theend of previous

porting period

4

2688100-34753

1170000

10000030476832716562

220676185477876764469

77855122

46457945

78000000-7236385

6 2608900 2000007 321760 6399758 337500 525009 94000

77855122 762410044

45

3

111213141516

12

10

FORM OF BALANCE SHEETPRETIa LEATHER INDUSTRIES LIMITED31st March 2012

ParticUlars

Name of the Company

Balance Sheet as at

,f

j

I

(CA Rishi Kumar Gupta)

FCA - PartnerPlace: New DelhiDate: 03rd September 2012

(Pramod Kumar Saxena(Director)

Dinesh Malik)Director)

•Figures as at tt'send of previousreporting period

, (Rupees Ilf :s

80000000 80000000

78000000 78000000

78000000 78000000

Rs. 10 10

78000000 78000000

78000000 78000000

% No. of Shares No. of SharesShare

9.00% 702000 7020009.00% 702000 7020009.00% 702000 7020005.15% 402000 4020008.85% 690000 6900009.08% 708000 708000

3906000 3906000

NOTES ACCOMPANYING THE FINANCIAL STATEMENTSPRETTO LEATHER INDUSTRIES LIMITED31st March 2012

Par Value of Share

Total Shares above 5% Holding

No. of Shares held by each shareholder holding more than 5% of shares specifying number of Shares1 Pramod Kumar Saxena2 Dipali Saxena3 P K Saxena HUF4 Dipali Saxena HUF5 Gain More Leasing Pvt. Ltd6 Rajeev Kumar

Number of Equity Shares at opening of Financial Year

Add Allotment during the yearNumber of Equity Shares at the end on Financial Year

Total

NOTE 1 SHARE CAPITALAuthorized Share Capital80,00,000 Equity Shares of Rs. 101- each

Issued, subscribed & fully paid up EqUity Shares78,00,000 Equity shares of Rs. 101- ~ch fully paid up

"

Name of the Companyas at the end of

NOTE 2 RESERVES & SURPLUSa) Securities Premium Reserve Account

Balance at the beginning of financial yearAddition & Utilization during the yearBalance as at the end of the financial year

b) Surplus: Statement of Profit & LossBalance at the beginning of financial yearProfit 1 (loss) during the yearAppropriations during the yearBalance as at the end of the financial year

Total Reserves & Surplus (a+b)

-3859193-3377192

-7236385

·7236385

-4166777307584

-3859193

-3859193

for PRETTO LEATHER INDUSTRIES LIMITED

(Pramod Kumar Saxena

(Director)

Dinesh Malik)Director)

,,)1

for PRETIO LEATHER INDUSTRIES LIMITED

9400094000

1100011000

52500

27278-27278

2500027500

200000200000

5540057600

113000

639975639975

1130000

1130000

Dinesh Malik)Director)

(Rupees in 'as)

Figures as at theendof previousreportingperiod

5940057600

117000

113000040000

1170000

-272787475

-34753

162710010610002688100

133100012779002608900

(Pramod Kumar Saxena(Director)

NOTES ACCOMPANYING THE FINANCIAL STATEMENTSPRETTO LEATHER INDUSTRIES LIMITED31st March 2012

Share Application Money Pending AllotmentShare Application Money -OpeningReceived during the yearTotalTotal Number of Shares Appli~ forPramod Kumar SaxenaNavneet Kumar Saxenl¥' ."Total Shares applied for

Shares application money for 113000 shares was received in the year2010-2011 and for 4000 shares received in the financiai year 2011-2012.Pending due to management decision to allot the shares.

NOTE 7 TRADE PAYABLESCreditors 321760Total 321760

NOTE 8 OTHER CURRENT LIABILITIESAccounting Charges Payable 14000Duties & Taxes Payable 121208Audit Fees Payable 25000Wages & Salaries Payable 81000TDS Payable 2292Income Tax Payable 94000Total Other Current liabilities 337500

NOTE 9 SHORT·TERM PROVISIONSProvision for TaxationTotal

NOTE 5 DEFERRED TAX LIABILITIES (NET)Deferred Tax Liability B/fLess Deferred Tax AssetTotal

NOTE 4 LONG TERM BORROWINGSSecured Loans- DebenturesUnsecured Loans

Total

Note 3

NOTE 6 SHORT TERM BORROWINGSAdvance from CustomersTrade/Security Deposits ReceivedTotal

Name of the Companyas at the end of

NOTES ACCOMPANYING THE FINANCIAL STATEMENTS (~ntd ..)Name of the Company PRETIO LEATHER INDUSTRIES LIMITEDas at the end of 31st March 2012

Figures ~ a: 7-eend of prev~llsreporting perio(J

NOTE 11 CURRENT INVESTMENTSInvestments in sharesTotal

100000100000

100000100000

NOTE 12 INVENTORIES.",

Stock In Trade 3047683 241056

Total 3047683 241056

21920

1785263

5189197

5189197

Qln'l,h M~llk)191f_~~r)

110594

110082

2716562

2716562

(P~ait'(td~UI'!W8~~tll'(R!~.~r)

Total

NOTE 14 CASH & CASH EQUIVALENTSCash on HandBalances with Banks

in current accounts

NOTE 13 TRADE RECEIVABLESTrade Receivables less than 6 monthsSecured, considered goodDoubtful Bad DebtsTrade Receivables more than 6 monthsSecured, considered good

CI-..JenwC2I-en:JcZ

0::W:z:l-e:(W..J

ol-I-W0::£l.

N.•...oNMo,.•...C"1

c:otiltoc:,9ro'(3(1)a.(1)o

oestilQ)tiltil«"0(1)

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c 0 <D ~ •..... N <D 00 0 '<t •..... (J) N (') ~.~ 0 <0 N r-: C'i 0 ;;;In 0 (') et) et)'0 Ql et) •..... (') '<t (') '<t~ E •..... N ~ (') et) N0- ro 0 In toQl (5 N NQl0 u.. >-

0 ~ to 0 0 0 0~ 0 et) <D 0 In ~ 0

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a. ~:J (')

0 0 0 0 0 0 00 0 0 0 0 0 00 C'i C'i 0 0 <0 C'iet) (J) et) 0 0 In •.....~ •.....

<Det) In •..... to•..... (J) to •..... •..... (')

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C ro •..... (') et) 0'0 '§ (') (') et) ~-0 Ql« -0 >-0 0 0 0 0 0 00 0 0 0 0 0 00 C'i 0 0 0 C'i 0~ et) (J) 0 0 •..... et)

0 '<t •..... ~ 0 <D ~N •..... (J) to 0 (') •.....

c "'"N ~ ~ In '<t NIn (') 0> In0 0 In In In

rJl ~ ~ ~ ~« 0

"<F- "<F- "<F- "<F- "<F-0 0 0 0 0

'<t ~ ~ ~'0 <Xi <Xi~ ~~ 0-

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rJl ~:>Cl iii

-0)(C 0 ro'0 J£ ii c 0 u:::ro Cl Qlc '5 ro 1'! rJl O/S >-0 rJl Ua rJl [0 (/J 2 "iii Ql

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0 u::: ...J () iIi u.. C) [l.

N ,-.•...£0(1)NOcri ~~ (1)C"1z0,, "

~ (1)_ U

to to00::

o13(1)

'-(5ClI---l(/)

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....

(Rupees C" :5

!i¥lasat theendof pre~lO.;5ng peno,D

15081413

15496689 15081413

1923035 118532115041367 12829875-2806627 -2410561250572 212838463870 3305268380 21431

2740759 69539318881356 14707107-3384667 374306

-3384667 374306

-3384667 374306

94000-7475 -7475 -27278 66722

-3377192 307584

0 0-3377192 307584

-0.43 0.04

for PRETTO LEATHER INDUSTRIES LIMITED

(Pramod Kumar Saxena Dinesh Malik)(Director) Director)

STATEMENT OF PROFIT & LOSSPRETTO LEATHER INDUSTRIES LIMITED31st March 2012

for I P PASRICHA & COChartered Accountants

(CA Rishi Kumar Gupta)FCA - Partner

Place: New DelhiDate: 03rd September 2012

XI. Profit (Loss) for the period from continuingXII. Profit / (Loss) from discontinuing operationsXIII. Tax expense of discontinuing operationsXIV. Profit / (Loss) from Discontinuing operationsXV. Profit / (Loss) for the period (XI + XIV)XVI. Earnings per equity Share

(1) Basic2 Diluted

I. Revenue from operationsII. Other IncomeIII. Total Revenue (1+11)IV. Expenses

Cost of Materials consumed 19Purchases of Stock in Trade 20Changes in inventories of finished goods, 2'1Employee benefits expense 22Financial costs /" 23Depreciation and amortisation expenseOther expenses 24Total Expenses

V. Profit before exceptional and extraordinaryVI. Exceptional itemsVII. Profit before extraordinary items and tax (V -VIII. Extraordinary itemsIX. Profit before tax (VII - VIII)X. Tax expenses

(1) Current Tax(2) Deferred Tax

Name of the CompanyStatement of Profit & Loss for the year ending onS. No.

fer

1508141315081413

(R..P::E - ==Fig~res as at the end of ;:re. :_=

reporting period

1549668915496689

NOTES ACCOMPANYING THE FINANCIAL STATEMENTSPRETIO LEATHER INDUSTRIES LIMITED31st March 2012

NOTE 18REVENUE FROM OPERATIONSTotal Sales 0

Total Receipts

Name of the CompanyStatement of Profit & Loss for the year ending ons. No. Particulars

NOTE 19COST OF MATERIALS CONSUMEDCartage InwardFinishing Expenses ..,,-Packing ExpensesPolishing ExpensesSampling ExpensesShoe BoxesTotal

442120677685261054109876176552255748

29574552385015859057625957265378553

NOTE 20PURCHASE OF STOCK IN TRADETotal PurchasesTotal

1504136715041367

1282987512829875

NOTE 21CHANGES IN INVENTORIESOpening Stock in HandLess Closing Stock in HandTotal

2410563047683

·2806627241056

·241056

NOTE 22EMPLOYEE BENEFIT EXPENSESAccounting ChargesSalaries & WagesStaff WelfareTotal

454201187495

176575

1350018850010838

NOTE 23FINANCIAL EXPENSESBank Charges & CommissionToUli

463870463870

33053305

for PRETIO LEATHER INDUSTRIES LIMITED

(Pramod Kumar Saxena(Director)

Dinesh Malik)Director)

250GCl365003241213519

o11400

5358663519

2182177983500

o4058

FigWes as at the emj:f ::':;.:_~reporting perioo

2500024845173846011

12060529040

108089188239854818520021523394542070520000

14177504800

30725329194160

638543520

NOTES ACCOMPANYING THE FINANCIAL STATEMENTSPRETTO LEATHER INDUSTRIES LIMITED31st March 2012

NOTE 24OTHER EXPENSESPayment to Auditors as Audit FeesAdvertisement ChargesBusiness Promotion Exp.Conveyance chargesFreight ChargesRentBad DebtsCommunication ExpensesTravelling ExpensesPrint & Sationery ExpensesLegal & Professional ChargesMiscellaneous ExpensesRepair & Maintenance (P&M)Courier ExpensesAGM ExpensesBombay Stock Exchange ExpensesBooks & PerodicalsVehicle Running & Maintenance ExpensesConsultancy ChargesDigital Signature ExpensesElectricity ExpensesWater Charges

Name of the CompanyStatement of Profit & Loss for the year ending onS. No.

Total 2740759 695393

for PRETTO LEATHER INDUSTRIES LIMITED

(Pramod Kumar Saxena(Director)

Dinesh Malik)Director)

. OL.:

PRETTO LEATHER INDUSTRIES LIMITED.Regd. Office :- 149, Civil Lines, Opp ADM Compound, Bareilly(U.P)-243 00 1

ATTENDENCE SLIP

Folio No./"

I hereby record my presence at the Annual General Meeting of the Company held onSaturday, the 29th day of September, 2012 at 9.00 A.M. Place of the meeting at 149, CivilLines, Opp ADM Compound, Bareilly(U.P)-243001

Member's IProxy's name in block letters Memberls/Proxy's Signature

NOTE: Please fill in this attendance slip and hand it over at the Enterance of Meeting Place.

PRETTO LEATHER INDUSTRIES LIMITED.Regd. Office :- 149, Civil Lines, Opp ADM Compound, Bareilly(U.P)-243001

ATTENDENCE SLIP

F0Ii0 No. . .1 hereby record my presence at the Annual General Meeting of the Company held onSaturday, the 29th day of September, 2012 at 9.00 A.M. Place of the meeting at 149, CivilLines, Opp ADM Compound, Bareilly(U.P)-243001

Member's IProxy's name in block letters Memberls/Proxy's Signature

NOTE: Please fill in this attendance slip and hand it over at the Enterance of Meeting Place.

PRETTO LEATHER INDUSTRIES· LIMITED.Proxy to vote

Regd. Office :- 149, Civil Lines, Opp ADM Compound, Bareilly(U.P)-243001

PROXY FORM

Folio No. .•................... ~: .

1~1C resi£lellt of --------------------------

----------------------------------------------------------------------beiIlg a member/members of theabove Ilame£l CompaIlY hereby appoillt MrlMs .

Ft/() -------------------------------------------------------------------------------------------------------asmy/our Proxy to vote for me/us on my/our behalf at the annual General Meeting oftheCompany to be held on Saturday, the 29th day of September, 2012 at 9.00 A.M. Place of themeeting at 149, Civil Lines, Opp ADM Compound, Bareilly(U.P)-243001

Affix

RS.5/-

Revanue

Stamp

Signed day of 2012.

Member's /Proxy's name in block letters

NOTE:

A proxy need not to be a Member of the Company.

Member/s/Proxy's Signature

This form in order to be effective should be duly stamped and signed and must be deposited atthe Registered Office of the Company not less than 48 hours before the meeting.

Amount (Rs.)

PRETIO LEATHER INDUSTRIES LIMITEDCash Flow Statement

For the Year Ending 31st March, 2012Particulars

Cash at Beginning of YearOperatinsNet Profit Before Taxation "'-Adjustment of Non-cash and Non -operating income/expenses

'""

Operationg Profit Before Working Cap~l ChangesAdd:Decrease in Debtors/Bills ReceivableIncrease in Creditors/Bills PayablesIncrease in Other liabilitiesCash Generated From OperationLess: Income Tax PaidNet Cash flow from Operations

Investing ActivitiesCash receipts fromSale of Property and equipmentCollection of principal on loansSale of investment securities

Cash paid forPurchase of property and equipmentMaking loans to other entitiesPurchase of investment securities

Net Cash flow from Investing Activities

Financing ActivitiesCash receipt fromIssue of StockBorrowing

Cash paid for .Repurchase of StockRepayments of loansDividends

Net Cash flow from Financing Activities

Net Increase in CashCash at End of Year

1,648,447:00{2,131,685.00}

535,702.00

40,000.002,777,100.00

Amour: =~

(3,384,667.:;'::

(3,384,667.00)

(483,238.00)(3,867,905.00)

(3,867,905.00)

535,702.00(535,702.00)

2,817,100.00

2,817,100.00

(1,586,507.00)220,676.00

f ,.

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