Corporate Governance

CORPORATE GOVERNANCE REPORT FOR THE YEAR 2010-2011

(As required under Clause 49 of the listing agreement entered into with the Stock Exchange)

Your Directors have pleasure in presenting the Thirty First Annual Report of the Company together with the Audited Accounts for the year ended March 31, 2010.
1. A BRIEF STATEMENT OF COMPANY'S PHILOSOPHY ON CODE OF GOVERNANCE :

Corporate Governance is a set of systems and practices to ensure that the affairs of the Company are being managed in a way which ensure accountability, transparency, fairness in all its transactions in the widest sense and meet its stakeholders aspirations and societal expectations. 

The company firmly believes in good Corporate Governance. The Company, while conducting its business has been upholding the core values of T.T.’s i.e. transparency, integrity, honesty, accountability and compliance of laws. The company continuously endeavour to improve on these aspects on an ongoing basis.

2. BOARD OF DIRECTORS :

The Board of Directors comprises Chairman & Managing Director, 2 Executive Director and 3 non-Executive Directors. During the year 5 Board Meetings were held. The composition of Board of Directors and their attendance at the meeting during the year and at the last Annual General Meeting as also number of other Directorships/Memberships of Committees are as follows:

Name of Director Category of Directorships No. of Board Meetings Attended Attendance Last AGM No. of other Directorship Committee Membership
Member Chairmen
Dr. Rikhab C. Jain Chairman

5

Yes

1

1

-

Shri V.R Mehta Non-Executive

5

Yes

3

2

-

Shri Navratan Dugar Non-Executive

5

Yes

Nil

1

1

Shri Sanjay Kumar Jain Managing Director

5

Yes

1

1

-

Smt. Jyoti Jain Jt. Managing Dorector

5

Yes

Nil

-

-

Dr. (Prof) V.K Kothari Non-Executive

4

Yes

Nil

1

2

 

3. AUDIT COMMITTEE :
The audit committee are well versed in finance, accounts and company law matters and general business practices.
The composition of the audit committee is as under :
A. Shri Navratan Dugar - Committee Chairman     B. Dr.(Prof) V.K. Kothari
C. Shri V.K. Mehta                                              D. Shri Sanjay Kumar Jain
 

The Primary function of the Audit Committee is to assist the Board of Directors in fulfilling its responsibilities by reviewing the financial reports and other financial information provided by the Company to any Govt. body or to the investors or the public; the Company’s system of Internal controls regarding finance, accounting and legal compliances that Management and the Board have established.

The terms of a reference of the Audit Committee include:
a) To review financial statements and pre publication announcements before submission to the Board.
b)To Ensure Compliance of Internal Control System and action taken on internal audit reports.
c) To apprise the Board on the impact of accounting policies, accounting standard and legislation.
d) To hold periodical discussions with statutory auditors on the scope and content of the audit.
e) To review the company's financial and risk management policies.
During the financial year 2009-2010 four Audit Committee Meetings were held on 30.06.2009, 31.07.2009,30.10.2009 and 29.01.2010.
 
4. REMUNERATION OF DIRECTORS:
The remuneration of Executive Directors is decided by the Board of Directors as per the remuneration policy of the company within the ceiling fixed by the shareholders. The company has no pecuniary relationship or transaction with its non-executive Directors other than payment of sitting fee to them for attending Board and Committee meetings. Given below are the details of actual payments made to the Directors for the period 1.04.2010 to 31.03.2011.
 
Name of Director Category of Directorships Remuneration paid / payable
from 1.04.2005 to 31.03.2006
Sitting Fee Salary & Perks Total
Dr. Rikhab C. Jain Chairman

--

3870511

3870511

Shri V.R Mehta Non-Executive

45000

--

45000

Shri Navratan Dugar Non-Executive

45000

--

45000

Shri Sanjay Kumar Jain Managing Director

--

5160000

5160000

Smt. Joyti Jain Jt. Managing Director

--

3096000

3096000

Dr. (Prof) V.K Kothari Non-Executive

35000

--

35000

 
5. SHAREHOLDER'S / INVESTER'S GRIEVANCE COMMITTEE :
The Shareholder's/Investor's Grievance Committee consists of three Directors. Dr. (Prof.) V.K. Kothari, Director heads this Committee. The Committee meets at frequent intervals to consider, interalia, share transfer, shareholder's complaints etc. Shri Sunil Mahnot, Vice President(Finance) & Company Secretary is the compliance officer.
 
6. GENERAL BODY MEETINGS :
Location and time where last three Annual General Meetings were held are given below :
FINANCIAL YEAR DATE TIME VENUE

2007 - 2008

24.09.2008

11 A.M.

Siri Fort Auditorium, New Delhi

2008 - 2009

30.09.2009

11 A.M.

Siri Fort Auditorium, New Delhi

2009 - 2010

01.09.2009

11 A.M.

Siri Fort Auditorium, New Delhi

 

During the year Company has taken approval from Shareholders through Postal Ballot for disposal of its Ginning Factory and Oil Mill located at Gondal and Rajula (Gujarat). Resolution was approved by Shareholders with 99.95% votes in favour of the resolution.

No special resolutions on matter requiring postal ballot are placed for shareholder’s approval at this meeting.

7. DISCLOSURES :
There are no material significant related party transactions which may have potential conflict with the interest of the company at large. However, attention is drawn to point No.13 of Schedule 14B to accounts.
 
8. MEANS OF COMMUNICATION :
The quarterly, half yearly and full year results are published in national newspapers and the company is also providing regular information to the Stock Exchanges as per the requirements of the Listing Agreements. SEBI / Stock Exchanges has never imposed any penalty on the company for violation of any law / agreement.

 

9. LEGAL COMPLIANCE & REPORTING:

As required under Clause 49 of the Listing Agreement, the Board periodically reviews compliances of various laws applicable to the Company.

 

10.        GENERAL SHAREHOLDER INFORMATION 

 

A          ANNUAL GENERAL MEETING 

            Date and Time            :        28th September, 2011 at 11 A.M.

            Venue                        :        Talkatora Indoor Stadium, New Delhi.

 

B          FINANCIAL CALENDAR 

The Company follows April-March as its financial year. The results for every quarter beginning from April is declared in the month following the quarter except for the last quarter for which the results were declared in May as permitted under the listing agreement. 

 

C          DATE OF BOOK CLOSURE 

23rd September, 2011 to 28th September, 2011 (both days inclusive)

 

D          LISTING ON STOCK EXCHANGES

 The Company’s shares are listed on The National Stock Exchange of India Ltd (NSE) and Bombay Stock Exchange Ltd (BSE).

 Stock code at the NSE is TTL and BSE is 514142. 

Demat ISIN Number in NSDL & CDSL is – INE 592B01016

 

E          MARKET PRICE DATA

 The monthly high and low quotations of shares traded on the Bombay  Stock Exchange Limited, Mumbai is as follows:

MONTH

BSE

SENSEX

 

High (Rs.)

Low (Rs)

High

Low

April 2010

17.90

13.45

18.047.86

17276.80

May 2010

19.80

15.55

17536.86

15960.15

June 2010

24.60

16.70

17919.62

16318.39

July 2010

33.00

23.60

18237.56

17395.58

August 2010

43.50

31.85

18475.27

17819.99

September 2010

41.65

35.00

20267.98

18027.12

October 2010

45.20

36.20

20854.55

19768.96

November 2010

46.50

35.65

21108.64

18954.82

December 2010

39.40

26.60

20552.03

19074.57

January 2011

40.05

33.00

20664.80

18038.48

February 2011

36.60

29.00

18690.97

17295.62

March 2011

33.45

28.00

19575.16

17792.17

 

F          REGISTRAR AND SHARE TRANSFER AGENT 

M/S BEETAL FINANCIAL &

COMPUTER SERVICES PVT LIMITED

99, MADANGIR,

BEHIND LOCAL SHOPPING CENTRE,

NEW DELHI – 110062.

Telephone no(s) 011-29961281

Fax : 011-29961284

E-mail  beetal@beetalfinancial.com

 

Applications for transfer of shares held in physical form are received at the Regd. Office of the Company as well at the office of the Registrar and Share Transfer Agents of the Company. All valid transfers are processed and effected within 15 days from the date of receipt.

Shares held in the dematerialised form are electronically traded by Depository Participants and the Registrar and Share Transfer Agents of the Company periodically receive from the Depository Participants the beneficially holdings so as to enable them to update their records and to send all corporate communications.

 

G. Distribution of share holding (as on 31st March, 2011)

Numbers of Equity Shares Held

Shareholders

Share Amount

 

Numbers

% age to Total

Rs.

% age

1 to 500

22563

89.53

36983060

17.2030

501 to 1000

1480

5.87

11969220

5.5676

1001 to 2000

613

2.43

9404620

4.3746

2001 to 3000

195

0.77

4998080

2.3249

3001 to 4000

76

0.30

2730420

1.2701

4001 to 5000

72

0.29

3464750

1.6117

5001 to 10000

125

0.50

9292590

4.3225

10000 & Above

77

0.31

136137760

63.3256

TOTAL

25201

100

214980500

100

 

H          DEMATERIALISATION OF SHARES AND LIQUIDITY 

About 86.57% of the shares have been dematerialized as on 31st March 2011 representing             18610409 shares and balance shares are held in physical form.

 

I           SECRETARIAL AUDIT 

A qualified practicing Company Secretary carried out a Secretarial Audit on quarterly basis to reconcile the total Share Capital with National Securities Depository Limited (NSDL), Central Depository Services Limited (CDSL) and the total issued and listed capital. The audit confirms that the total issued/paid-up capital is in agreement with total number of shares in physical forms and total number of dematerialized shares held with NSDL & CDSL.

 

J          PLANT LOCATIONS:

Company’s Plants are located at Gajroula (U.P.), Avinashi Distt. Tirupur (T.N.), Dharampura Dist. Tirupur (T.N.), Gondal (Gujarat) and Rajula (Gujarat).

 

K          ADDRESS FOR CORRESPONDENCE:

For any assistance regarding dematerialistion of shares, shares transfer, transmissions, change of address or any other query relating to shares, please write to:

T T LIMITED 879, Master Prithvi Nath Marg, Karol Bagh New Delhi – 110005. Ph.: 4506078           Fax: 45060741 E-mail: investors@tttextiles.com

OR

M/S Beetal Financial & Computer Services Pvt Limited, 99, Madangir, Behind Local Shopping Centre, New Delhi – 110062., Telephone No(S) 011-29961281, Fax : 011-29961284, E-Mail : Beetal@Beetalfinancial.Com