Mahavir Spg to pay 40 pc
LUDHIANA, May 14 — The Board of Directors of Mahavir Spinning Mills Limited have approved the audited annual accounts of the company for the year 1998-99.

Dabur net up 11.2 pc

BIFR declares Punjab Meats sick

NEW DELHI, May 14 (UNI) — The Board for Industrial and Financial Reconstruction (BIFR) today declared buffalo meat processing company — Punjab Meats Limited (PML) — as sick on the ground that its entire net worth has been wiped off by its accumulated losses.

The Board noted the company’s accumulated losses were Rs 21.29 crore while its net worth stood at only Rs 18.51 crore and declared it sick under Section 3 (1) (0) of the Sick Industries Company (Special Provisions) Act.

The 100 per cent export orient unit’s Dera Bassi( near Chandigarh) plant has been in a thick of controversy over its productline. The plant which was set up in the joint sector in collaboration with Punjab Agro Industries Corporation and the Union Ministry of Food Processing faced trouble right from day one.

Several religious groups including Jain Munis, the Vishwa Hindu Parishad and Bajrang Dal protested against the production of frozen buffalo meat, bone meal and meat meal.

Succumbing to the pressure, Punjab Chief Minister Beant Singh had closed the plant. However, the company had received a stay from Punjab and Haryana High Court for the continuation of the production. The buffalo meat processing plant was considered one of the best in the world and would have earned a lot of foreign exchange, Ms Gurleen Kaur of Stanchart Finstreet Limited who are the company’s representative in BIFR, told UNI.

The plant with nearly 400 workers was supposed to process only surplus buffaloes, which are to the tune of seven to eight lakh per annum in Punjab, and were being sent for slaughter to neighbouring states.

Today, the BIFR appointed the IDBI as the operating agency and asked PML to submit a revival proposal to the OA by June 30, 1999.

The company submitted that following the closure of the plant in September 1994, the State Bank of Hyderabad that was supposed to provide working capital, withdrew support. Moreover, the Punjab Agro Industries Corporation, a major share-holder in the company, withdrew its 26 per cent stake.

This left the company in a financial mess and was not in a position to repay its foreign loans. The PML had got $ 5.9 million loan from Australia-based Export Finance and Insurance Corporation and Manila-based Asian Finance and Investment Corporation.

The bank guarantors to the foreign loan were IDBI (for $ 3 million) ICICI (for $ 3 million) and SBH (for $ 2.9 million).

Maruti not to hike prices

NEW DELHI, May 14 (UNI) — Maruti Udyog Limited (MUL) has ruled out any hike in prices of its cars which would be Euro-I compliant from June 1, 1999, in compliance of the Supreme Court order today.

MUL Managing Director R.S.S.L.N. Bhaskarudu stated that the company has already prepared contingency plans to immediately upgrade to Euro-I norms while preparing for full transition to Euro-II norms by April 1, 2000.

“There is an economic cost for complying with Euro-I norms, which in the case of Maruti Udyog Limited works out to be around Rs 5,000-10,000 per vehicle, depending on the model. Keeping in view the interests of our customers and the large number of pending bookings, we have decided to absorb the entire cost ourselves,’’ Mr Bhaskarudu said in a statement issued here.

As per the Supreme Court directive today, car manufacturers can sell and register Euro-I compliant vehicles in the NCR without any restriction from June 1, 1999.

Maruti, Mr Bhaskarudu said, is fully equipped with both the technology and the components required to comply with the Euro-I emission norms. While the Esteem and Zen Diesel were always Euro-I compliant, the Maruti 800 and the Zen petrol will be compliant from June 1, 1999 “and we are simultaneously working on Omni and Gypsy’’.

Drive against TDS defaulters soon
Tribune News Service

NEW DELHI, May 14 — As many as 73 foreign companies and nine domestic companies had defaulted in tax deduction at source payment in 1998-99 and the amount to be realised from them is over Rs 500 crore.

Central Board of Direct Taxes (CBDT) Chairman Ravi Kant said Income Tax Department would soon launch a massive drive against corporate houses and multinationals defaulting in TDS (tax deduction at source) payments running into hundreds of crores every year.

“There are major defaults in TDS payment and we are going to intensify monitoring and investigation in this regard,” Mr Kant told reporters on the sidelines of a function here to launch a website by the Income Tax Department of Delhi.

Asked if the Department proposed to initiate action for allegedly defaulting in TDS payment, he said he would not like to go into individual cases adding investigations into TDS default would be on case-by-case basis.

He said personal tax assessees have shot up to 1.5 crore and it was expected to cross two crore this financial year. In the last few years 25 per cent new assessees were being added to the list.

Telco not to export Indica immediately

NEW DELHI, May 14 (UNI) — Tata Engineering and Locomotive Company Limited (Telco) does not intend to immediately address the export market with its small car Indica.

The foray into the export markets with the Indica would commence only after meeting the initial requirements of the domestic market, company sources told UNI here today.

“We do propose to export the Indica, but we will wait to satisfy domestic demand first,’’ the sources added.

However, the company would commence development of the export model, work on homologation and ensure that the car meets all the norms of the markets abroad.

Telco had booked close to 1.15 lakh orders for the Indica, of which 60,000 have been retained for supply till March 31, 2000. The company had targeted production levels of 5,000 units per month to meet the demand. But it has been able to achieve only 3,000-4,000 units per month as yet.

Meanwhile, Telco has estimated around Rs 50,000 surge in production cost per vehicle for the modifications required to make its passenger cars, particularly Indica, conform to Euro-ii emission norms.

ZED career academy opens in Chandigarh
Tribune News Service

CHANDIGARH, May 14 — Zee Education today announced the setting up of Internet and E-commerce training facility in Chandigarh. At a press conference organised to launch the ZED Career Academy at Sector 8-C in the city, Zee Education, the educational arm of the Zee TV group outlined its plans for training 5,000 students in Punjab and Haryana in Internet related areas.

Ms Uma Ganes, CEO, said, “Internet and E-commerce have created exciting new opportunities to build rewarding careers. Realising that $ 300 billion business will be transacted by 2001 on the Internet. Zee Education has designed a training programme, NetSmart, which will prepare students in various dimensions of Internet programming tools, web designing and publishing and E-commerce”.

According to Mr Pankaj Setia, Centre Manager of ZED Career Academy here “The career academy will cater to 600 students in this year. The advantage for the students is Zee Education’s collaboration with universities of the country namely SNDT University, GGU University, and NMIMS, which will enable them to acquire recognised diplomas in BBA and BCA.

Mr Manoj Manocha, Regional Manager, North, Zee Education, said “Zee Education has set up career academies Chandigarh, Amritsar, Jalandhar Hisar, Panipat, Ambala, Yamunanagar, Samana, Pathankot, Jammu, Srinagar and Udhampur where the NetSmart program will be offered this year and 25 more centres are planned to be set up in Punjab, Haryana, Himachal Pradesh and Jammu & Kashmir by December 1999.

Mahavir Spg to pay 40 pc
Tribune News Service

LUDHIANA, May 14 — The Board of Directors of Mahavir Spinning Mills Limited have approved the audited annual accounts of the company for the year 1998-99. The company has achieved a turnover of Rs 661.46 crore against Rs 619.04 core during 1997-98, showing an increase of 6.85 per cent. The exports of the company have risen to Rs 210.56 crore in the current year as against last year exports of Rs 163.05 crore showing an increase of 29.40 per cent. The gross profit before depreciation and tax are Rs 88.95 crore as against Rs 89.04 crore in the previous year showing a marginal decrease. The net profit of the company is Rs 49.71 crore as against Rs 54.01 crore in the previous year showing a decrease of 7.96 per cent.

The initial quality results of its products are encouraging. The other subsidiary, VMT Spinning Company Limited, which is also a joint venture company is showing better profitability during the year. The sales revenue of the company for the year 1998-99 is Rs 53.94 crore against Rs 51.37 crore in the last year, thereby, showing an increase of 5 per cent. The net profit of the company is Rs 4.59 crore for the year 1998-99 against last year Rs 3.68 crore, showing an increase of 25.62 per cent. The company has taken appropriate steps to overcome the Y2K problem. The system upgradation is in progress and the company is expected to be Y2K compliant by September, 1999. Looking at the future prospects the board has recommended a dividend of 40 per cent on the paid up equity capital of the company.

Vardhman Polytex

The Board of Directors of Vardhman Polytex Limited approved the audited annual accounts of the company for the year 1998-99. The company has achieved a turnover of Rs 226.61 crore as compared to Rs 190.95 crore during the previous year, showing an increase of 18.68 per cent. The exports of the company increased from Rs 20.39 crore to Rs 54.22 crore, showing an increase of 165.9 per cent. The gross profit before depreciation and tax are Rs 25.69 crore as compared to Rs 36.65 crore in the previous year, and the net profits declined from Rs 24.63 crore in 1997-98 to Rs 12.53 crore in 1998-99.

The Board of Directors have recommended to maintain the dividend as that of last year at 40 per cent in spite of the adversely affected profitability.

Vardhman Spinning

The Board of directors approved the audited annual results of the company for the financial year 1998-99. The turnover of the company has increased form Rs 405.20 crore during 1997-98 to Rs 427.91 crore during the year under review, showing increase of 5.60 per cent. The exports have increased from Rs 88.50 crore to Rs 101.40 crore during the year under review showing an increase of 14.57 per cent. The company has shown gross profit before depreciation and tax of Rs 62.08 crore during the year under review as against Rs 60.70 crore in the previous year. The net profit has marginally decreased from Rs 31.01 crore to Rs 30.81 crore.

The Board of Directors have recommended to maintain the dividend as last year at 40 per cent.

Dabur net up 11.2 pc

NEW DELHI, May 14 (UNI) — The Board of Directors of Dabur India Limited today recommended a 30 per cent final dividend for 1998-99 as its net profit jumped 11.2 per cent to touch Rs 50.10 crore. The company’s net profit in 1997-98 was Rs 45.04 crore. Net sales in 1998-99 were at Rs 915 crore, up 12.8 per cent from Rs 811 crore a year ago.

The RBI reference rate was Rs 42.76.

Silver zooms up
NEW DELHI, May 14 (PTI) — Silver zoomed up on the bullion market today on brisk buying by stockists along with market players and closed significantly higher. The quotations: Silver .999 (ready) 8160, delivery 8163, coins buyers 10.600 and seller 10.800. Standard gold 4280, ornaments 4130 and sovereign 3725.

Bharti Internet
Tribune News Service
NEW DELHI, May 14 — Mr R.P. Bahl has been appointed as the head of Customer Care of Bharti Internet Private Limited (RBIL), a joint venture company between Bharti Enterprises and BT.

Cummins India
Tribune News Service
CHANDIGARH, May 15 — Cummins India Limited (CIL), has opened a full-fledged service centre in Jaipur. The Jaipur facility is the third service centre. The other two are in Pune and Asansol. Recently Cummins India Limited unveiled the “B” series gensets, ranging from 50 kva to 82.5 kva which meet Euro emission norms

Tata Sons
MUMBAI, May 14 (UNI) — Crisil has assigned “AAA” rating to the Rs 400 crore non-convertible debenture programme of Tata Sons Limited. Meanwhile, the “FAAA” rating assigned to the Rs 360 crore non-convertible debenture programme of Tata Sons has been reaffirmed.

OCM
Tribune News Service
AMRITSAR, May 14 — As many as 15 Industrialists and Traders associations have urged the Chief Minister, Mr Parkash Singh Badal, to provide adequate security to the management and higher officials of OCM mills. In a communication to Mr Badal the representatives of the associations have alleged that the OCM officials were “under threat”. On the other hand, the Trade and Workers Union have alleged that the management of OCM was not ready to concede the “genuine demands” of the workers who had been on strike for more than three months. They sought immediate intervention of the Chief Minister in the this regards.