a multi dimensional jewellery solutions company · Common Wealth Games Village Delhi 110092 NOTES: 1. Explanatory Statement pursuant to Section 102 of the Companies Act, 2013, in

a multi dimensional jewellery solutions company

23rd Annual General Meeting

2016 - 2017

www.orosil.comCIN : L74899DL1994PLC059341

Tuesday,25TH July,2017,(11.00A.M.)

YWCAOFDELHI,ASHOKAROAD,NEWDELHI-110001

CONTENTS

CORPORATEINFORMATION

NOTICE

OFAGM

DIRECTORS’

REPORT

EXTRACTOFANNUALRETURN

SECRETARIALAUDITREPORT

MANAGEMENTDISCUSSIONANDANALYSIS

CORPORATEGOVERNANCEREPORT

AUDITOR’SREPORT

BALANCESHEET

STATEMENTOFPROFIT&LOSS

CASHFLOWSTATEMENT

NOTESFORMINGPARTOFTHEACCOUNTS

PROXYFORM

ATTENDANCESLIP

ROUTEMAP

23RD

ANNUAL REPORT

1

2-9

10-14

11-15

27

16-26

28-35

36-41

43

42

44

45-57

58

59

60

BOARDOFDIRECTORS:

Mr.BhushanKumar

Narula

ManagingDirectorMrs.RitaNarula

WholeTimeDirectorMs.BhavanaSampathKumar

NonExecutiveIndependentDirectorMr.VineetAggarwal

NonExecutiveIndependentDirectorMr.KaranSuri

NonExecutiveDirector

KEYMANAGERIALPERSONNEL:

Mr.BhushanKumarNarula

ManagingDirector

Mr.SanjayBana

ChiefFinancialOf�icer(CFO)

Ms.KanchanGupta

CompanySecretary(CS)

AUDITORS:

M/sPNG&Co.

CharteredAccountants,

FirmRegistrationNo.021910N

1207,NewDelhiHouse,27,BarakhambaRoad,NewDelhi-110001

REGISTEREDOFFICE:

620,HemkuntChambers,89,NehruPlace,NewDelhi-110019.

CORPORATEOFFICE:

A-89,Sector-2,Noida-201301.

LISTEDWITHSTOCKEXCHANGE:

BombayStockExchangeLimited

CorporationRelationshipDepartment

1st Floor,NewTradingWing

RotundaBuilding,PJTowers,

DalalStreet,FortMumbai400001

BANKER:

HDFCBankLimited

BankofBaroda

CanaraBank

REGISTRAR&SHARETRANSFERAGENT

M/sSkylineFinancialServicesPrivateLimited

D-153A,OkhlaIndustrialArea,

Phase-I,NewDelhi–

110020

1

CIN:L74899DL1994PLC059341

RegisteredOf�ice:HemkuntChambers,

Flat. 620,89,NehruPlace,Delhi-110019

Website:www.orosil.com

Email:[email protected],P:0120-4125476

NOTICE IS HEREBY GIVEN THAT THE

23rd

ANNUAL GENERALMEETING OF THEMEMBERS OF M/S OROSILSMITHSINDIALIMITEDWILL

BEHELDON

TUESDAY,THE25TH

DAYOFJULY,2017,

AT11.00A.MATYWCAOFDELHI,ASHOKAROAD,NEWDELHI-110001TOTRANSACTTHEFOLLOWINGBUSINESS :

ORDINARYBUSINESS:

1.ADOPTIONOFAUDITEDFINANCIALSTATEMENTSFORTHEFINANCIALYEARENDEDON31 ST MARCH,2017

Toreceive,considerandadoptthe�inancialst atementsoftheCompanyforthe�inancialyearended31st March,2017 togetherwiththeReportsofBoardofDirector’sandAuditor’sthereon.

2.RE- APPOINTMENTOFMS.RITANARULA

ASADIRECTORLIABLETORETIREBYROTATION

Toappoint adirectorinplaceofMs.RitaNarula

(holdingDIN:

00006096),whoretiresbyrotationandbeing

eligible,offers herselfforre-appointment.

3. APPOINTMENT OF M/S PNG & CO., CHARTERED ACCOUNTANT AS STATUTORY AUDITOR TO FILL

CASUALVACANCY

ToConsiderandifthought�it,topasswithorwithoutmodi�ication(s)thefollowingresolutionasanOrdinary

Resolution

“RESOLVEDTHAT

pursuanttoSection139(8)

andotherapplicableprovisionsifany,oftheCompaniesAct,

2013andtherulesframedthere

under,

asamended

fromtimetotime

and

oranyotherlawforthetimebeing

in force (including any statutorymodi�ication or amendment thereto or re-enactment thereof for the time

beingin force),M/sPNG

&Co.,CharteredAccountants(FirmRegistrationNo. 021910N)beandarehereby

appointed as statutory auditor of the company to �ill the casual vacancy caused by the resignation of

KumarAggarwal&Associates,CharteredAccountants

toholdtheof�icefromtheconclusionofthismeeting

tilltheconclusionofensuingAnnualGeneralMeetingoftheCompany

atsuchremunerationasmay be�ixed

bytheBoardofDirectorsoftheCompanyinconsultationwiththeStatutoryAuditors.”

SPECIALBUSINESS:

4.REGULARIZATIONOFADDITIONALDIRECTOR- MR.KARANSURI

ToConsiderandifthought�it,topasswithorwithoutmodi�ication(s)thefollowingresolutionasanOrdinary

Resolution

“RESOLVEDTHAT pursuanttotheprovisionsofSection152,andotherapplicableprovisions,ifany,ofthe

CompaniesAct,2013andtheRulesframedthereunder,asamendedfromtimetotime,Mr.KaranSuri,

was appointed as an Additional Director in Board Meeting held on November 09, 2016 and whose term

expiresatensuingAnnualGeneralMeeting,andinrespectofwhomanoticehasbeenreceivedfromamember

in writing, under Section 160 of the Companies Act, 2013 along with requisite deposit, proposing his

candidaturefortheof�iceofaDirector,beandisherebyappointedasadirectorofthecompany.”

5. APPROVALFORSUB-DIVISIONOFONEEQUITYSHAREOF5/- EACHINTO5EQUITYSHARESOFRS.1/-

EACH:

ToConsiderandifthought�it,topasswithorwithoutmodi�ication(s)thefollowingresolutionasan OrdinaryResolution.

“RESOLVEDTHAT pursuant to theprovisionsofsection61

andallotherapplicableprovisions, ifany ofthecompanies Act, 2013 and the rules framed thereunder as amended time to time (including any statutorymodi�icationoramendmenttheretoorre-enactmentthereofforthetimebeinginforce)

andtheprovisionsoftheMemorandumofAssociation andArticlesofAssociationof theCompanyandsubject to such approvals,consents, permissions and sanctions as may be necessary from the concerned statutory

and regulatoryauthoritiesorbodies,

theconsentofmembersbeandisherebyaccordedforSub-Divisionof1(one)fullypaid-up equityshareofthecompanyofnominalFaceValueof Rs.5/-(Rupees�ive)

eachinto5

(�ive) fullypaid-upequity sharesofnominalFaceValue

ofRs.1/-

(RupeeOne)eachonsuchdateasmaybe�ixedbytheBoardofDirectors(hereinaftercalled“theBoard”,whichtermshallbedeemedtoinclude

anyotherCommitteeoftheBoard, which the Board may have constituted or

hereinafter constitute for the time being, to exercise itspowers including the

powers conferred on the Board of Directors by this resolution, or any person(s)authorisedbytheBoardoritsCommitteeforsuchpurposes)forthis

purpose(‘RecordDate’).

RESOLVEDFURTHERTHAT

pursuant to the sub-divisionof equity shares of the Company, the authorized,

issued, subscribedandpaid-upequity

sharecapitalof nominalvalueof Rs.5/-

each, shall stand sub-divided

into5 (�ive)equitysharesofnominalvalueofRs.1/-(Rupeeone)eachfromthe

recorddateandshallrankpari

passu in all respectswith and carry the same rights as to the existing fully paid-up Equity share of Rs.5/-

(Rupees�ive)eachoftheCompany.

RESOLVEDFURTHERTHAT forthepurposeofgivingeffecttothisResolution,theBoard ofDirectorbeandareherebyjointlyandseverallyauthorizedtoacceptandmakeanyalteration(s),modi�ication(s)tothe termsand conditions as theymay deem necessary, concerning any aspect of the Sub-division of equity shares, inaccordancewiththestatutory

requirementsaswellastogivesuchdirectionsasmaybenecessaryordesirable

and generally, to do all acts, deeds, matters and things as they may, in their absolute discretion de emednecessary, expedient, usual or proper in relation to or

in connection with or for matters in relation /consequentialtotheSub-divisionofsharesincludingexecution&�ilingofalltherelevantdocumentswiththeStockExchanges,Depositoriesandotherappropriateauthorities,induecomplianceoftheapplicablerulesandregulations, without seeking any further

consent or approval of themembers or otherwise to the end andintent that they shall be deemed to have given their approval thereto expressly by the

authority of thisresolution.”

6.APPROVALFORALTERATIONOFTHECAPITALCLAUSEINTHEMEMORANDUMOFASSOCIATIONOFTHE

COMPANY

ToConsider and if thought �it, topasswithorwithoutmodi�ication(s) the following resolution as an SpecialResolution:-

“RESOLVEDTHAT

pursuanttoSection13and61andanyotherapplicableprovisionsofCompaniesAct,2013andrulesframedthereunder(includinganystatutorymodi�ication(s),anyamendments,anyre-

enactmentthereofforthe time being in force)

consent of members

be and is hereby accorded for alteration of memorandum ofassociationofthecompanytogiveeffecttothesub-divisionofsharesintosharesofsmalleramountthanis�ixedbymemorandum.

RESOLVEDFURTHERTHAT thepresentClauseVofmemorandumofAssociationbeandisherebyalteredandsubstitutedbyfollowing.

VTheAuthorizedShareCapitaloftheCompanyisRs.55,000,000/- (RupeesFiveCroreFiftyLacs)dividedinto4,41,16,000(FourCroresFortyOneLacsSixteenThousand)equity sharesofRs.1/- (Rupeesone)eachand1,088,400(TenLacsEightyEightThousandFourHundred)PreferenceShareofRs.10/ -(RupeesTen)each.

3

RESOLVEDFURTHERTHATMr.B.K.Narula,orMs.RitaNarulaDirectorsofthecompanyjointlyorseverallybeandareherebyauthorizedtodoallsuchacts,deeds,mattersandthingsasmaybedeemednecessaryand

incidentalforthepurposeofgivingeffecttothisresolution.”ByOrderoftheBoard

ForOrosilSmithsIndiaLimitedDate:May30,2017Place:NewDelhi

__________________________B.K.Narula

ManagingDirectorDIN:00003629

ApartmentNo.501,Tower -22,CommonWealthGames

VillageDelhi110092NOTES:

1. ExplanatoryStatementpursuanttoSection102oftheCompaniesAct,2013,inrespectofthespecialbusinesssetoutaboveisannexedhereto.

2. AMEMBERENTITLEDTOATTENDANDVOTEATTHEMEETINGISENTITLEDTOAPPOINTAPROXYTOATTENDANDVOTE INSTEADOF HIMSELF/HERSELFANDTHEPROXYNEEDNOTBEAMEMBEROFTHECOMPANY .

ApersoncanactasProxyonbehalfofmembersnotexceeding�ifty(50)andholdingintheaggregatenotmorethan10%ofthetotalsharecapitaloftheCompany. Membersholdingmorethan10%ofthetotalsharecapitaloftheCompanymayappointsinglepersonasproxywhoshallnotactasproxyforanyothermember.

TheinstrumentofProxyinordertobeeffective,shouldbedepositedattheRegisteredOf�iceoftheCompany,dulycompleted and signed, not later than forty-eight hours before the commencement of the meeting. Proxiessubmittedonbehalfof companies, societies, etc.must besupportedbyanappropriate resolution/authority,asapplicable. AProxyForm(FormNo.MGT-11)isannexedtothisreport.

3. Members/proxies/authorizedrepresentativeshouldbringduly�iledattendanceslipsenclosedherewithtoattend

themeeting.

4. RoutemapofvenueofAnnualGeneralMeetingisattachedhereforyourreference.

5. Corporatemembersareintendingtosendtheirauthorizedrepresentativestoattendthemeetingarerequestedto

sendcerti�iedcopyoftheboardresolutiontothecompany,authorizingtheirrepresentativetoattendandvoteon

theirbehalfatthemeeting.

6. TheRegisterofDirectorsandKeymanagerialpersonnelandtheirshareholdingmaintainedundersection170(1)

ofCompaniesAct,2013willbeavailableforinspectionbythememberattheAGM.

7. The Register of contracts or arrangements in which directors are interestedmaintained under section 189 of

CompaniesAct,2013willbeavailableforinspectionbythemembersattheAGM.

8. TheRegister ofMembers andShareTransferBooksof theCompany shall remain closed from 18th July

2017 to25th

July,2017

(bothdaysinclusive).

9. The members are requested to send the transfers, change of address, bank mandates and other related

correspondencetotheRegistrarsandShareTransferAgents,M/s.SkylineFinancialServicesPvt.Limited,D-153

A,OkhlaIndustrialArea,Phase-I,NewDelhi– 110020.

10. Electronic copy of the Annual Report and Notice of 23rd Annual General Meeting of the company along withAttendance Slip, Proxy form and instruction of E-voting is being sent to all thememberswhose email IDs areregisteredwiththeCompany/Depositoriesunlessanymemberhasrequested forahardcopyof thesame.Formemberswhohavenotregistered theiremailaddress,physicalcopiesoftheAnnualReportisbeingsentinthepermittedmode.

4

11. Topromotegreen initiative,membersarerequestedtobring theircopiesof theAnnualReport to themeeting.Members may also note that the Annual Report for FY 2016-17 will also be available on company’s website“www.orosil.com” fortheirdownload.

12. Withaviewtousingnaturalresourcesresponsibility,werequest toshareholders toupdatetheire-mailaddress

withtheirdepositoryparticipantstoenablethecompanysendcommunicationelectronically.

13. Members seeking any clari�ication/information relating to Annual Accounts are requested to write at the

RegisteredOf�iceoftheCompanyat-leastoneweekbeforedateofmeeting.

14. Incaseofjointshareholdersattendingthemeeting,thememberswhosenameappearsasthe�irstholderinorder

ofnamesasperregisterofmembersofthecompanywillbeentitledtovote.

15.PursuanttoprovisionsofSection108oftheCompaniesAct,2013andRule20oftheCompanies(Managementand

Administration) Rules, 2014, as amended by the Companies (Management and Administration) Amendment

Rules,2015andRegulation44ofSEBI(ListingobligationandDisclosuresRequirements)Regulation,2015 the

Company ispleased toprovidemembers facility to exercise their right tovoteat theAnnualGeneralMeeting

(AGM)byelectronicmeansandthebusinessmaybetransactedthroughe-VotingServices.Thefacilityofcasting

thevotesbythemembersusinganelectronicvotingsystemfromaplaceotherthanvenueoftheAGM(“remote

e-voting”)willbeprovidedbyNationalSecuritiesDepositoryLimited(NSDL).

16.Facility forvotingthroughballotpaper

shallalsobemadeavailableat themeetingandmembersattending the

meeting who have not already cast their vote by remote e-voting shall be able to exercise their right at the

meeting

throughballotpaper.

17.Thememberswhohavecasttheirvotebyremotee-votingpriortotheAGMmayalsoattendtheAGMbutshallnot

beentitledtocasttheirvoteagain.

18. Thee-votingperiodcommencesonSaturday,July 22,2017 (9:00am)andendsonMonday,July 24,2017(5:00

pm). Duringthisperiodmembers’oftheCompany,holdingshareseither inphysical formorindematerialized

form,asonthecut-offdateofJuly19,2017,maycasttheirvotebyremotee-voting.Theremotee-votingmodule

shallbedisabledbyNSDLforvotingthereafter.Oncethevoteonaresolutioniscastbythemember,themember

shallnotbeallowedtochangeitsubsequently

Thecut-offdateofe-votingisJuly19,2017.

19. Instructionsfore-votingareasunder:

ITheprocessandmannerofremoteE-voting

areasunder

A. IncaseaMemberreceivesanemailfromNSDL[formemberswhoseemailIDsareregisteredwiththe

Company/DepositoryParticipants(s)]:

(i)

OpenemailandopenPDF�ileviz;“remotee-voting.pdf”withyourClientIDorFolioNo.as

password.ThesaidPDF�ilecontainsyouruserIDandpassword/PINforremotee-voting.

Pleasenotethatthepasswordisaninitialpassword.

NOTE:ShareholdersalreadyregisteredwithNSDLfore-votingwillnotreceivethePDF�ile“remotee-

voting.pdf”.

(ii)

LaunchinternetbrowserbytypingthefollowingURL:https://www.evoting.nsdl.com/

(iii)

ClickonShareholder-

Login

(iv) PutuserIDandpassword.ClickLogin.

(v) Passwordchangemenuappears.Changethepassword/PINwith newpasswordofyourchoicewithminimum 8 digits/characters or combination thereof. Note new password. It is stronglyrecommendednottoshareyourpasswordwithanyotherpersonandtakeutmostcaretokeepyourpasswordcon�idential.

(vi) Homepageofremotee-votingopens.Clickonremotee-voting:ActiveVotingCycles.(vii) Select(E-VotingEventNumber)of“OrosilSmithsIndiaLimited(viii) Nowyouarereadyforremotee-votingasCastVotepageopens.

(ix) Cast your vote by selecting appropriate option and click on “Submit” and also “Con�irm” whenprompted.

(x) Uponcon�irmation,themessage“Votecastsuccessfully”willbedisplayed.

(xi)

Onceyouhavevotedontheresolution,youwillnotbeallowedtomodifyyourvote.

(xii)

Institutional shareholders (i.e. other than individuals,HUF,NRI etc.) are required to send scannedcopy(PDF/JPGFormat)oftherelevantBoardResolution/Authorityletteretc.togetherwithattestedspecimen signature of the duly authorized signatory(ies) who are authorized to vote, to [email protected]

[email protected]

B. IncaseaMemberreceivesphysicalcopyoftheNoticeofAGM[formemberswhoseemailIDsarenot

registeredwiththeCompany/DepositoryParticipants(s)orrequestingphysicalcopy]:

(i) InitialpasswordisprovidedatthebottomoftheAttendanceSlipforthe

AGM:

EVEN(Remotee-votingEventNumber)

USERID

PASSWORD/PIN

(ii) PleasefollowallstepsfromSl.No.(ii)toSl.No.(xii)above,tocastvote.

II.Incaseofanyqueries,youmayrefertheFrequentlyAskedQuestions(FAQs)forMembersandremotee-votingusermanualforMembersavailableatthedownloadssectionof

www.evoting.nsdl.com

orcallontollfreeno.:

1800-222-990.

III. If you are already registered with NSDL for remote e-voting then you can use your existing user ID andpassword/PINforcastingyourvote.

NOTE:ShareholderswhoforgottheUserDetails/Passwordcanuse“ForgotUserDetails/Password?”or“PhysicalUserResetPassword?”optionavailableonwww.evoting.nsdl.com.

IncaseShareholdersareholdingsharesindematmode,USER-IDisthecombinationof(DPID+ClientID).IncaseShareholdersareholdingsharesinphysical

mode,USER-IDisthecombinationof(EvenNo+FolioNo).

IV.Youcanalsoupdateyourmobilenumberande -mailidintheuserpro�iledetailsofthefoliowhichmaybeusedforsendingfuturecommunication(s)

.

V. ThevotingrightsofmembersshallbeinproportiontotheirsharesofthepaidupequitysharecapitaloftheCompanyasonthecut-offdateof

Wednesday,July

19,2017.

VI.Anyperson,whoacquiressharesoftheCompanyandbecomememberoftheCompanyafterdispatchofthe

notice and holding shares as of the cut-off date

i.e. 19.07.2017,may obtain the login ID and password [email protected]

[email protected].

However,ifyouarealreadyregisteredwithNSDLforremotee-votingthenyoucanuseyourexistinguserIDand password for casting your vote. If you forgot your password, you can reset your password by using“ForgotUserDetails/Password?”or“PhysicalUserResetPassword?”

optionavailableonwww.evoting.nsdl.comorcontactNSDLatthefollowingtollfreeno.:1800-222-990.

VI.AmembermayparticipateintheAGMevenafterexercisinghisrighttovotethroughremotee -votingbutshallnotbeallowedtovoteagainattheAGM.

VII. A person, whose name is recorded in the register of members or in the register of bene�icial ownersmaintainedbythedepositoriesasonthecut-offdatei.e.July19,2017only shallbeentitledtoavailthefacilityofremotee-votingaswellasvotingattheAGMthrough ballotpapers.

VIII. The Company has appointed Ms. Navneet Kaur, proprietor of M/s N. K. Chandok & Associates, PracticingCompany Secretary (COP No.: 12930) as Scrutinizer to scrutinize and conduct the voting and e-votingprocessinfairandtransparentmanner.

IXTheChairmanshall,attheAGM,attheendofdiscussionontheresolutionsonwhichvotingistobeheld,allowvotingwiththeassistanceofscrutinizer,byuseof“BallotPaper”forallthosememberswhoarepresentattheAGMbuthavenotcasttheirvotesbyavailingtheremotee-votingfacility.

X.TheScrutinizer

shallaftertheconclusionofvotingatthegeneralmeeting,will�irstcountthevotescastattheAnnualGeneralMeetingandthereafterunblockthevotescast throughremotee-votingin thepresenceofatleast twowitnessesnot in theemploymentof theCompanyandshallmake,not later than

threedaysof theconclusionoftheAGM,aconsolidatedscrutinizer’s

reportofthetotalvotescastin favor

oragainst,ifany,totheChairmanorapersonauthorizedbyhiminwriting,whoshallcountersignthesameanddeclaretheresultofthevoting

forthwith.

VI. TheresultsdeclaredbyChairmanalongwiththeScrutiniser’sReportshallbeplaced

onCompany’swebsite atwww.orosil.com

andonthewebsiteofNSDL

immediatelyaftertheresultisdeclaredbythe

chairmanandthesamewillbecommunicatedtotheBombayStockExchange(BSE)wherethesharesoftheCompanyarelisted.

ByOrderoftheBoardForOrosilSmithsIndiaLimited

Date:May30,2017

Place:NewDelhi

___________________________B.K.Narula



VillageDelhi110092

STATEMENTPURSUANTTOSECTION102OFTHECOMPANIESACT,2013 ItemNo.4TheBoardofdirectorsat theirmeetingheldonNovember09,2016

appointedMr.KaranSuri asadditional

director of the company in accordancewith theprovisionsof section161of CompaniesAct, 2013upto theconclusion of ensuingAnnual GeneralMeeting. In this regard the Company has received request inwritingfrom a member of the company proposingMr. Karan Suri

candidature for appointment as Director of theCompany in accordance with the provisions of Section 160 and all other applicable provisions of theCompaniesAct,2013.TheBoardfeelsthatpresenceofMr.KaranSuri

ontheBoardisdesirableandwouldbebene�icialtothecompanyandhencerecommendresolutionNo.4

foradoption.

Themembersarefurtherinformedthatpursuantto152oranyotherapplicableprovisionsofcompaniesAct,2013readwithTheCompanies(AppointmentandQuali�icationofDirectors)Rules,2014approvalofmembersisrequiredbywayofOrdinaryResolution.

Accordingly your board recommends the resolution set out in item no. 4 of the accompanying notice forapprovalofmembersofthecompanybywayofOrdinaryResolution.

None of the Director, Manager, Key Managerial Personnel and their relatives is concerned �inancially orotherwise.

ItemNo.5

TheEquitySharesofyourCompanyarelistedandactivelytradedontheBombayStockExchange.WithaviewtoencouragetheparticipationofsmallinvestorsbymakingEquitySharesoftheCompanyaffordableandto improvetheliquidityofthecompany’sequitysharesinthestockmarket. theBoardofDirectorsatitsMeetingheldon16th

May, 2017consideredandapprovedthesub-divisionofoneEquityShareoftheCompanyhavingafacevalueofRs.5/- (Rupees�ive)eachinto5(�ive)EquitySharesoffacevalueofRs.1/- (Rupeeone)eachsubjecttoapprovaloftheMembersandanyotherstatutoryandregulatoryapprovals asapplicable.TheRecordDatefortheaforesaidsub-divisionoftheEquityShareswillbe�ixedinaccordancewithregulation42oflistingregulation.

Presently, the authorised Share Capital of your Company is 5,50,00,000 divided into 8823200 Equity SharesRs.5/- eachand1088400 PreferencesharesofRs.10/- eachandthepaid-upshare capitaloftheCompanyisRs.5,22,00,000dividedinto8263200 Equity SharesRs.5/- eachand1088400PreferencesharesofRs.10/- each.

Therewill notbeany change in theamountof authorizedandpaid-up share capital,but thenumberof equityshareswillchangeto44116000

and41316000

equitySharesintheauthorisedandpaid-upsharecapitaloftheCompanyrespectively,theapprovalofshareholdersisrequiredbywayofordinaryresolutionforsub-divisionofequity shares of the company

in pursuanceof the provisionsof theCompaniesAct, 2013 andother

applicablerules,regulationsandlaws.

Accordingly your board recommends the resolution set out in item no. 5

of the accompanying notice forapprovalofmembersofthecompanybywayofOrdinaryResolution.

None of the Directors, KeyManagerial Personnel of the company or their relative is in anyway concerned orinterestedintheproposedresolutions.

ItemNo.6

The sub-division as aforesaid would require consequential amendments to the existing Clause V of theMemorandumofAssociationoftheCompanyon

thetermssetoutinItemNo.6

oftheNoticetore�lectthechangeinfacevalueofeachEquityShareoftheCompanyfromexistingRs5/-

(Rupees�ive)each

toproposedRs.1(Rupeeone) each. As per the provision of the section 13 and 61 of the Companies Act, 2013, any alteration in theMemorandumof

AssociationoftheCompanyshallbeeffectedonlyaftertheapprovaloftheMembersbypassinganSpecialResolution.

Accordingly,theapprovalofshareholdersisrequiredbywayofspecialresolutionconsequential amendmenttothe capital clause of the Memorandum of Association of the Company in pursuance of the provisions of theCompaniesAct,2013andother

applicablerules,regulationsandlaws.

None of the Directors, KeyManagerial Personnel of the company or their relative is in anyway concerned orinterestedintheproposedresolutions.

Accordingly theBoard recommends the resolutions set out at ItemNos.6 accompanyingnotice for approval ofmembersofthecompanybywayofSpecialResolution.


Date:May30,2017

Place:NewDelhi

_______________________

B.K.NarulaManagingDirector

DIN:00003629ApartmentNo.501,Tower -22,

CommonWealthGamesVillageDelhi110092

8

Additional InformationofDirectoronRe-appointmentunderRegulation36(3)ofSEBI(ListingObligationsAndDisclosureRequirements)Regulations,2015

1.Ms.RITANARULA (WHOLETIME DIRECTOR)

BriefResume:

Ms. Rita Narula w/o of Mr. Bhushan Kumar Narula is a Jewellary Designer having a vastexperience of 27 years in manufacturing and designing of jewellaries and enriching ofknowledge of gems and Stones. She is also involved in Divya Chaya Trust as a convener ofschoolwhichisbeingrunforlast10years,andcontinuously

contributingtothecompanysinceincorporation.

Natureofexpertiseinspeci�icfunctionalArea:

DesigningofJewellery

andgemsandstones

Disclosureofrelationshipbetweendirectorsinterse:-

No relationshipwith any other directors except withMr. Bhushan Kumar Narula, ManagingDirectorofthecompanyashusband.

Names of Listed Entities

(other than Orosil)

in which Ms. Rita Narula holds thedirectorshipandthe

committee

membership

Nil

ShareholdingintheCompany

1251347shares

comprising15.14%

LastDrwanRemuneration:-

Rs.5,40,000p.a.

DateofAppointment:-

01.06.1994

DateofBirthandAge:- 16.07.1958and59years

2.MR. KARANSURI

BriefResume:Mr.KaranSuribornon04 th

December1977,havingR/oC224GreaterKailash -

INewDelhi-

110048isadirectorofClampShoesPrivatelimitedforlast15yearsengagedinthebusinessofmanufacturingoffootwearandfootwearcomponentsfordomesticaswellasexportfurtherhehasdoneMBAfromSymbiosis,Pune.

Natureofexpertiseinspeci�icfunctionalArea

BusinessManagementandFootwearbusiness

Disclosureofrelationshipbetweendirectorsinterse:-

NorelationshipwithanyotherdirectorsexceptwithMr.BhushanKumarNarula

andMrs.RitaNarulaManagingDirectorandwholetimedirectorrespectivelyofthecompanyasSoninLaw.

Names of Listed Entities (other than Orosil) in which Mr. Karan Suri

holds thedirectorshipandthecommitteemembership

Nil

Shareholdinginthecompany;-

NilLastDrwanRemuneration:-

Nil.

DateofAppointment:- 09.11.2016asadditionaldirector

DateofBirthandAge:-04.12.1977,39Years

9

To,

Themembers

OrosilSmithsIndiaLimited

YourDirectorshave pleasure inpresenting 23rd AnnualReport togetherwith theAudited Financial Statements

alongwiththeReportofAuditorsforthe�inancialyearendedMarch

31st,2017.

FINANCIALHIGHLIGHTS

Amount(Rs.

InLacs)

Particulars

Financial year endedMarch31,2017

Financial year endedMarch31,2016

IncomefromOperations

171.21

319.17

OtherIncome

8.90

4.08

TotalIncome

180.11

323.25

Total expenditure excludingDepreciation

185.46

318.67

Depreciation

22.67

29.99

Totalexpenditure

208.13

348.66

Net Loss Before Tax & ExceptionalItem

(28.02)

(25.41)

ExceptionalItem

0

0

NetLossBeforeTax

(28.02)

(25.41)

TaxExpenses:

CurrentTax 0 0

DeferredTax 0 0

PreviousYearAdjustment 0 0

Pro�it/(Loss)afterTax (28.02) (25.41)BalancecarriedtoBalanceSheet

(28.02)

(25.41)

SHARECAPITALDuringtheyeartherehasbeennochangeintheAuthorized,SubscribedandpaidupsharecapitaloftheCompany.

Thepaidupsharecapitalofthecompany

ason31st

March2017

wasRs.52,200,000/-

dividedinto8263200EquitySharesofRs.5/-

each

aggregatingtoRs.4,13,16,000

and1088400PreferenceSharesofRs.10/-

each

aggregatingtoRs.1,08,84,000.

Howevertheboardhasapprovedsub-divisionofequitysharesofthecompanyintheboardmeetingheldon16th

May,2017subjecttotheapprovalof

membersinthisAGMitself.

DIVIDEND

DuetolossesincurredbyCompany,yourDirectorshaveconsideredit �inanciallyprudent

to

not

to

declare anydividend.Therefore,nodividendhasbeenrecommendedfortheyearendedMarch31 st,2017

TRANSFEROFRESERVES

TheCompanyhasnottransferredanyamounttoreservesandsurplus.

STATEOFCOMPANY’SAFFAIRSANDFUTUREOUTLOOK

OrosilSmiths IndiaLimited is a company incorporated on01st June1994primarilyengaged in thebusinessofManufacturing,fabrication,Sale,Purchase,Traders/DealersofallkindsofGold,Silver,SilverOrnaments/UtensilsandallotheritemsofGold,Silverandalliedbusiness.Duringtheyearunderreview,the IncomefromoperationsisRs.171.21 Lacs(PreviousYear:Rs.317.32Lacs).

10

DIRECTORSREPORT.

Pro�itafterTax(PAT)hasbeenalossofRs.28.02 Lacsascomparedtoa lossofRs.25.41 Lacsinpreviousyear.Thedirectorsaremakingeffortstoenhancethebusinessactivities andarehopefulforgoodresultsinthecomingyear.

CHANGEINNATUREOFBUSINESS,IFANY

Therehasbeennochangeinnatureofbusinessofyourcompanyduringtheyearunderreview.

DETAILSOFSUBSIDIARIES/JOINTVENTUREANDASSOCIATESCOMPANY

TheCompanydoesnothaveany

Subsidiary,JointVentureandAssociatesCompany.Duringtheyearunderreviewnocompanyhas

becomeorceasedtobeitssubsidiary,jointventureorassociateCompany.

DIRECTORS

PursuanttoSection152(6)

oftheCompaniesAct,2013,Mrs.Rita

NarulawillretireattheensuingAnnualGeneralMeetingandbeingeligible,seekhimselfforre-appointment.

DuringtheyearMr.KaranSuri

wasappointedas

additionaldirectorbytheboardofdirectorson

09th

November,2016 uptotheconclusionofensuingAGMandthesameisrequiredtoberegularizedinthisAGMitself.

KEYMANAGERIALPERSONNEL

DuringtheyearunderreviewpursuanttoSection203ofCompaniesAct,2013Ms.RakhiManchandahasresignedas a Company Secretary of the Company w.e.f.

27.04.2016, the board places on record deep appreciation andvaluable guidance provided by her during her tenure

and Ms. Kanchan Gupta

was appointed

as a CompanySecretary (KMP) by the Board of Directors w.e.f. August

10, 2016.in order to comply with Section 203 ofCompaniesAct,2013.

NUMBEROFBOARDMEETINGSANDATTENDENCEBYEACHDIRECTOR

TheBoardofDirectors of the companymet four

(4) timeson 23.04.2016, 10.08.2016, 09.11.2016, 10.02.2017during the �inancial Year 2016-2017. The details of Attendance is given in Corporate Governance report.Maximumintervalbetweenanytwomeetingsdidnotexceed120daysasprescribedinCompaniesAct,2013 and1meetingwasheldineverycalendarQuarter inthe�inancialyear2016-2017

DIRECTOR’SRESPONSIBILITYSTATEMENTAsrequiredunderSection134(3)(c)

and134(5)

oftheCompaniesAct,2013,

yourDirectorsherebystate

that:

i. in the preparation of Annual Accounts for the �inancial year ended 31st March, 2016,

the applicableAccountingStandardshavebeenfollowed

alongwithproperexplanationrelatingtomaterialdepartures.;

ii. theDirectorshad

selectedsuchaccountingpoliciesandapplied themconsistentlyandmadejudgmentsandestimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of theCompanyattheendofthe�inancialyearandofthepro�itorlossoftheCompanyfortheyearunderreview;

iii. theDirectors had

taken proper and suf�icient care for themaintenance of adequate accounting records inaccordancewiththeprovisionsofthisActforsafeguardingtheassetsoftheCompanyandforpreventinganddetectingfraudandotherirregularities;

iv. theDirectorshadpreparedtheAnnualAccountsfortheyearended31st

March,2016

onagoingconcernbasis.

v. theDirectorshadlaiddowninternal�inancialcontrolstobefollowedbytheCompanyandthatsuchinternal�inancialcontrolsareadequateandwereoperatingeffectively;

vi. theDirectorshad devisedpropersystemstoensurecompliancewiththeprovisionsofallapplicablelawsandthatsuchsystemswereadequateandoperatingeffectively.

DECLARATIONBYINDEPENDENTDIRECTOR(S)

Thecompanyhasreceivednecessarydeclarationfrom IndependentDirectorsofthecompany thathe/she meetsthecriteriaofindependenceaslaiddownunderSection149(6)oftheCompaniesAct,2013.

11

BOARDEVALUATION

Pursuant to theprovisions of theCompaniesAct, 2013 andRegulation17 of the SEBI (ListingObligationsandDisclosureRequirements)Regulations,2015,readwithcircular,SEBI/HO/CFD/CMD/CIR/P/2017/004dated05th

January,2017 theBoardhascarriedoutanevaluationofitsownperformance,thedirectorsindividuallyaswellasthe evaluation of the working of its Committees. The Board has framed a performance evaluation policy forevaluating its own performance and its Committees, Executive Director, Non -executive Directors includingIndependentDirectors.

BasedonthePerformanceEvaluationcarriedoutbytheBoardoftheCompany,theperformanceoftheBoardand

itsCommitteesandindividualDirectoroftheCompanywasfoundsatisfactory .

Theevaluationof the IndependentDirectorswascarriedoutbytheentireBoardandthatof theChairmanandNon-IndependentDirectorswascarriedoutbytheIndependentDirectors.

The board is evaluated under various criteria such as structure of the board, experience of directors, Mix ofQuali�ication, Diversity in Board under various parameters, appointment of the Board, Regularity of meetings,frequency ofmeetings, Agenda, Discussions and dissent, Recording ofminutes, Dissemination of informations,strategy and performance evaluation, governance and compliance, evaluation of risks, Grievance redressal forinvestors,con�lictofinterestandsoon.IndependentDirectorswereevaluatedonthefollowingparameterssuchasAttendanceandparticipationsintheMeetingsandtimelyinputsontheminutesofthemeetings,adherencetoethicalstandards&codeofconductofCompanyanddisclosureofnon-independence,asandwhenitexistsanddisclosure of interest, Interpersonal relations with other directors and management, Understanding of theCompanyandtheexternalenvironmentinwhichitoperatesandcontributiontostrategicdirection,Safeguardinginterestofwhistle-blowersundervigilmechanismandSafeguardofcon�identialinformation.

TheDirectorsweresatis�iedwiththeevaluationresults,whichre�lectedtheoverallengagementoftheBoardanditsCommitteeswiththeCompany.

EXTRACTOFANNUALRETURN

ThedetailsformingpartoftheextractoftheAnnualReturninFormMGT-9,asrequiredunderSection92oftheCompaniesAct,2013,areannexedherewithas“Annexure-A”.

RELATEDPARTYTRANSACTIONS

Allrelatedpartytransactionsmadeduringthe�inancialyear2016-2017wereonarm'slengthbasisandwereintheordinarycourseofbusiness.DetailsofrelatedpartytransactionisinAOC-2asprescribedundersection188ofcompaniesAct,2013isannexedherewithas“Annexure–B”

All Related Party Transactions are placed before the Audit Committee and also the Board for approval onquarterlybasis,specifyingthenature,valueandterms&conditionsoftransactions.

AUDITORS

M/sKumarAggarwal&Associates,CharteredAccountant(FirmregistrationNo.028231N)

hasresignedfromthepositionofStatutoryAuditorofthecompanydated12.04.2017astheywerenotsatis�iedwiththeworkingsand�inancialtransactionsofcompanyandthesamehasintimatedtostockexchange.

Due to casual vacancy caused by

resignation of statutory auditor, the management has looked for statutoryauditorandM/sPNG&Co.,CharteredAccountantshavingFRN021910NhasbeenappointedasstatutoryAuditorofthecompanyvideresolutionbycirculationpassedbytheboardon10th

May,2017

undercasualvacancyu/s139(8)ofCompaniesAct,2013subjecttotheapprovalofmembersin90daysofrecommendationbytheboard.ApprovalofmembersisrequiredinthisAGMitself.

Pursuant to the provisions of Section 139(8) of the Act and the rules framed there under, M/s PNG & Co.,charteredaccountant,isherebyaccordedtoappointasstatutoryauditorofthecompanyfromtheconclusionofthisannualGeneralMeetingtilltheconclusionofensuingAnnualgeneralmeeting.onsuchremunerationasmaybemutuallyagreedbetweentheBoardandtheAuditor.

12

SECRETARIALAUDITOR

TheBoardhadappointedMs.NavneetKaur,PracticingCompanySecretary,ofM/s.N.K.Chandok&Associates(COPNo.12930)toconductSecretarialAuditforthe�inancial year2016-2017.TheSecretarialAuditReportforthe�inancialyearendedMarch31,2017 isannexedherewithmarkedasAnnexureC tothisReport.

COMMENTSONAUDITORSREPORT

Therearenoquali�ication,reservationoradverseremarkordisclaimermade

i.bytheauditorinhisreport;and

ii.bythecompanysecretaryinpracticeinher

secretarialauditreport.

INTERNALAUDITOR

DuringtheyearunderreviewM/sDNA&Co.,CharteredAccountantresignedfromthepositionofinternalauditor,beinghis�irmisnotpeerreviewedbyICAIandtheBoardhadappointedM/sDuaManral&Associated,CharteredAccountantforthe�inancialyear2015-2016,2016-2017and2017-2018toconductinternalauditoftherecordsofthecompanypursuanttosection138oftheCompaniesAct,2103.

COSTAUDITOR

TheCompanywasnotrequiredtoappointcostauditorforthe�inancialyear2016-2017

pursuanttosection148ofCompaniesAct,2013

NOMINATION&REMUNERATIONCOMMITTEE

The Board has, on the recommendation of the Nomination & Remuneration Committee, framed a policy forselection and appointment of Directors, SeniorManagement and their remuneration. The policy is working inaccordance with the size and composition of Board/management of company.

During the year under review

NominationandRemunerationcommitteehasreconstitutedasfollows;-

i. Ms.BhavanaS.Kumar NonExecutiveIndependentdirector

ii. Mr.VineetAgarwal NonExecutiveIndependentdirector iii. Mr.KaranSuri NonExecutivedirector iv. Ms.B.K.Narula Managingdirector

CORPORATESOCIALRESPONSIBILITYCOMMITTEE

TheCompanywasnotrequiredtoconstitutecorporatesocialresponsibilitycommitteepursuanttosection135oftheCompaniesAct,2013duringthe�inancial

year2016-2017

DEPOSITS

TheCompanyhasnotaccepted/receivedanyDepositswithin themeaningof Section73of theCompaniesAct,2013,duringthe�inancialyearended31stMarch2017.TherewasnooutstandingpublicdepositasatMarch31,2017 andtherewerenounclaimeddepositsasatMarch31,2017.

PARTICULARSOFLOANS,GUARANTEESORINVESTMENTS

The details of the loans, guarantees or investments given or made by the Company as covered under t he

provisionsofSection186oftheCompaniesAct,2013aregiveninthenotestothe�inancialstatements.

POLICIESOFCOMPANY

Yourcompanyhaspostedthefollowingdocumentsonitswebsitewww.orosil.com

1.CodeofConductandEthics

2.WhistleBlowerPolicy

3.CodeofInternalProceduresandConductforRegulating,MonitoringandReportingofTradingbyInsiders.

4.ArchivalPolicy

5.Policyoncriteriafordeterminingmaterialityofevents.

6.RiskManagementpolicy

7.FamiliarizationProgrammeforIndependentDirectors.

8.CodeofFairdisclosures.

COMPOSITIONOFAUDITCOMMITTEE

The Detailed composition of Audit Committee constituted under section 177 of Companies Act, 2013 is givenunderCorporateGovernanceReportformingpartofthisAnnualReport.

SIGNIFICANTANDMATERIALORDERSPASSEDBYTHEREGULATORSORCOURTS

Therearenosigni�icantmaterialorderspassedbytheRegulators/CourtswhichwouldimpactthegoingconcernstatusoftheCompanyanditsfutureoperations.

RISKMANAGEMENTPOLICY

IncompliancewiththerequirementofthecompaniesAct,2013thecompanyhasputinplaceriskminimizationand assessment procedures. In order to effectively and ef�iciently manage risk and address challenges. ThecompanyhasformulatedRiskmanagementpolicy.

TheobjectiveofRiskManagementatOrosilSmiths IndiaLimited is to createandprotect shareholdervaluebyminimizingthreatsorlosses,andidentifyingandmaximizingopportunities.Anenterprisewideriskmanagementframeworkisappliedsothateffectivemanagementofrisksisanintegralpartofeveryemployee’sjob .

CONSERVATIONOFENERGY,TECHNOLOGYABSORPTIONANDFOREIGNEXCHANGEEARNINGSANDOUTGO

Thereare noparticularsasrequiredundersection134oftheCompaniesAct,2013readwithRule8(3)readwithCompanies (Accounts) Rules,

2014

relating to conservation of energy, research & dev elopment, technologyabsorptionduringtheyearunderreview.

However the

total

foreign

exchange

usedand

the

totalforeign

exchange

earnedduringtheyearascomparedtothe

previous�inancialyear

hasbeenprovidedhereunder:

ForeignExchangeEarnings&Outgo

CurrentYear

(2016-2017) PreviousYear(2015-16)

In�low - - Out�low - -

SWEATEQUITYSHARESANDEMPLOYEEOPTIONSCHEME

TheCompanyhasnotissuedanysweatequitysharesandemployeeoptionschemeduringtheyearunderreview.

VIGILMECHANISM

YourCompanyhasestablishedaVigilMechanism(WhistleBlowerPolicy)aspertherequirementsofSection177of the Companies Act, 2013 and Regulation 22 of the SEBI (Listing Obligations and Disclosure Requirements)Regulations,2015.ThevigilmechanismisachannelthroughwhichtheDirectorsandEmployeesoftheCompanyhaveasecuremechanismtoreportgenuineconcernsincludinganyunethicalbehavior,actualorsuspectedfraudstakingplaceintheCompanyforappropriateactionorreporting.

Thevigil mechanism(WhistleBlowerPolicy)maybeaccessedontheCompany’swebsite“www.orosil.com.”

PARTICULARSOFEMPLOYEES

In accordance with Section 197(12) of the Companies Act, 2013 read with rule 5(2) of the Companies(Appointment and Remuneration of Managerial Personnel) Rules, 2014, there are no employees in receipt ofremunerationexceedingthelimitsprescribedtherein.

i. Mr. B.K. Narula, Managing Director of Company is receiving rupee one as a monthly salary with no other

allowance.

ii.Mrs.RitaNarula,WholeTimeDirectorofCompanyisreceivingrupeesforty�ivethousandpermonthwithno

otherallowance& bene�its.

iii.Ms KanchanGupta,CompanySecretaryisreceivingrupeestwentythousandpermonthwithnootherbene�its

iv.Mr.SanjayBana,Chief�inancialof�icerisreceivingrupeesthirtytwothousandtwohundred�iftyrupees with

nootherbene�its..

MATERIAL CHANGES AND COMMITMENTS, IF ANY, AFFECTING THE FINANCIAL POSITION OF THECOMPANY

Nomaterialchangesandcommitmentsaffectingthe�inancialpositionoftheCompanyoccurred betweentheendofthe�inancialyeartowhichthis�inancialstatementsrelateandthedateofthis report exceptthat inordertoachieveminimumpublicshareholdingspeci�iedinRule19AofSecuritiesContracts(Regulation)Rules,1957readwith Regulation 38 of SEBI Listing regulation,M/s Sukarma Finance Limited andM/s Xtrems Retails Limited,promoters of the Company had proposed to sell 53200 equity shares and 17000 equity shares respectivelyaggregatingto70200equitysharesofthefacevalueofRs.5/-

eachrepresentingto0.85%ofequitysharecapitalof the company on 23rd November, 2016 by Offer for Sale through a

separate window provided by BSEmechanism.

InconsequentofofferForSalethepublicshareholdingofthecompanyhasincreasedfrom24.17%to25.02%,therebypromoterandpromoterGroupshareholdinghasreducedfrom75.83%to74.98%throughtwotrenchesofofferforSaleon23rd

November,2016and22nd

December,2016incomplianceof

aforesaidprovisions.

LISTINGOFSHARES

TheEquitySharesoftheCompanyarelistedattheBombayStockExchangeLimited.TheAnnualListingFeeforthe�inancialyear2016-17

hasbeenpaidtotheStockExchangewheretheSharesoftheCompanyarelisted.

DISCLOSUREUNDERTHESEXUALHARASSMENTOFWOMENATWORKPLACE(PREVENTION,

PROHIBITIONANDREDRESSAL)ACT,2013

The Company always endeavours to create and provide an environment that is free from discrimination andharassmentincludingsexualharassment.TheCompanyhasinplaceanAntiSexualHarassmentPolicyinlinewiththerequirementsoftheSexualHarassment

ofWomenattheWorkplace(Prevention,Prohibition&Redressal)Act,2013.InternalComplaintsCommittee(ICC)hasbeensetuptoredresscomplaintsreceivedregardingsexualharassment.Allemployees(permanent,contractual,temporary,trainees)arecoveredunderthispolicy.

During the year under review, no complaints were received pursuant to the Sexual Harassment of Women atWorkplace(Prevention,Prohibition&Redressal)Act,2013.

ACKNOWLEDGEMENT

WeplaceonrecordoursincereappreciationtotheemployeesoftheCompanyatalllevelsfortheirco-operationanddedicatedservices.Wealsothankallourcustomersandsupplierswhoarealwaysco-operative.

Wealso expressoursincere thanks toBankers, Financial Institutionsand theShareholders for their continuedsupport.

ByOrderoftheBoard

ForOrosilSmithsIndiaLimited

Sd/- Sd/ -

RitaNarula

B.K.Narula

WholeTimeDirector

Chairman&ManagingDirector

DIN:00006096

DIN:00003629

ApartmentNo.501,Tower -22,

ApartmentNo.501,Tower-22,

CommonWealthGames

CommonWealthGames

VillageNewDelhi110092

VillageNewDelhi110092

Date:June21,2017Place:NewDelhi

15

ANNEXURE- A

Form No. MGT-9

EXTRACT OF ANNUAL RETURN

As on the financial year ended on March 31, 2017

[Pursuant to section 92(3) of the Companies Act, 2013 and rule 12(1) of the Companies

(Management and

Administration) Rules, 2014]

(i) CIN :

L74899DL1994PLC059341

(ii) RegistrationDate

:

01/06/1994

(iii) NameoftheCompany

:

OROSILSMITHSINDIALIMITED

(iv) Category/Sub-CategoryoftheCompany

:

PublicCompanyLimitedbyShares

(v) AddressoftheRegisteredof�ice

:

620,HemkuntChambers,89,NehruPlace,andcontactdetails

NewDelhi-110019

Tel:0120-2540571-72-73,Fax:+91-120-2540578

Email-

[email protected],W-www.orosil.com

(vi) Whetherlistedcompany(Yes/No)

:

Yes

(vii) Name,AddressandContactdetailsof

:

M/s.SkylineFinancialServicesPvt.Ltd

RegistrarandTransferAgent,ifany

D-153A,FirstFloor,OkhlaIndustrialAreaPhase-1,NewDelhi-110020

Tel:+91-11-26812682,26812683,64732681-88

E-mail:[email protected] Website:www.skylinerta.com

II. PRINCIPALBUSINESSACTIVITIESOFTHECOMPANY

Allthebusinessactivitiescontributing10%ormoreofthetotalturnoverofthecompanyshallbestated:

Name andDescriptionofmainproducts/services

NICCodeofthe

%tototalturnoverof

Product/service

thecompany

GemsandJewelry

321

96.66

III. PARTICULARSOFHOLDING,SUBSIDIARYANDASSOCIATECOMPANIES

Sr. NAMEAND

CIN/GLN

Holding/

%ofshares

ApplicableNo. ADDRESSOFTHE Subsidiary/ held Section

COMPANY Associate

NIL

IV. SHAREHOLDING PATTERN (Equity Share Capital Breakup as percentage of Total Equity)

i) Category-wise Share Holding

Sr Category of Shareholder No. of shares held at the beginning of the year

(As on April 1, 2016) FV= Rs. 5/-No. of shares held at the closing of the year

(As on March 31, 2017) FV= Rs. 5/-%

Nochange

Physical

Demat

Total

% of

Physical

Demat

Total

% ofduring

Total

Total

the year

shares

shares

(A) Promoter

(1) Indian

(a) Individuals/H.U.F

0

4760754

4760754

57.61

0

4760754

4760754

57.61 0

(b) Cental/State Government(s)

0

0

0

0

0

0

0

0 0

(c) Bodies Corporate

0

1505185

1505185

18.22

0

1434985

1434985

17.37 (0.85)

(d) Financial Institutions/Banks

0

0

0

0

0

0

0

0 0

(e) Any Other (specify)

0

0

0

0

0

0

0

0 0

Sub-Total (A)(1)

0

6265939

6265939

75.83

0

6195739

6195739

74.98 (0.85)

(2) Foreign

(a) Non Resident Individuals/

Foreign Nationals

0

0

0

0.00

0

0

0

0.00 0

(b) Bodies Corporate

0

0

0

0.00

0

0

0

0.00 0

(c) Institutions

0

0

0

0.00

0

0

0

0.00 0

(d) Qualified Foreign Investor

0

0

0

0.00

0

0

0

0.00 0

(e) Any Other (specify)

0

0

0

0.00

0

0

0

0.00 0

Sub-Total (A)(2)

0

0

0

0.00

0

0

0

0.00 0

Total holding of Promoter and

Promoter Group (A)=(A)(1)+(A)(2) 0 6265939 6265939 75.83 0 6195739 6195739 74.98 (0.85)

17

Category-wise Share Holding (contd.)

S.No

Category of Shareholder

No. of shares held at the beginning of the year (As on April 1, 2016)

FV= Rs. 5/-

No. of shares held at the closingof the year (As on March 31, 2017) FV= Rs. 5/-

% change during the year

Physical Demat Total % of total shares

Physical Demat Total % of total shares

(B) Public Shareholding

1. Institution

a) Mutual fund

0

0

0

0

0

0

0

0 0

b) Banks / FI

0

0

0

0

0

0

0

0 0

c) Central Govt

0

0

0

0

0

0

0

0 0

d) State Govt(s)

0

0

0

0

0

0

0

0 0

e) Venture Capital Funds

0

0

0

0

0

0

0

0 0

f) Insurance Companies

0

0

0

0

0

0

0

0 0

g) FIIs0

0

0

0

0

0

0

0 0

h) Foreign Venture Capital Funds

0

0

0

0

0

0

0

0 0

i) Others (specify

0

0

0

0

0

0

0

0 0

Sub-total (B)(1) 0

0

0

0

0

0 0

0 0

2. Non Institiution

a) Bodies Corporate 22400 836849 859249 10.40 22400 1202798 1225198 14.83 4.43

b) Individuals

(i) Individual shareholders holding nominal share capital upto Rs. 1 lakh

155846

486501

642347

7.77

113846

385063

498909

6.04 (1.73)

(ii) Individual shareholders holding nominal share capital in excess of Rs 1 lakh

0

332684

332684

4.02

40000

137972

177972

2.15 (1.87)

c) N.R.I. (Rep & Non Rep.)

0

2976

2976

0.04

0

2076

2076

0.03 (0.01)

d) Any Other (Specify)

i) Hindu Undivided Family

0

160005

160005

1.94

0

163010

163010

1.97 0.03

ii) Clearing Members/ House

0

0

0

0

0

296

296

0 0

Sub Total (B)(2)

178246

1819015

1997261

24.17

176246

1891215

2067461

25.02 (0.85)

Total Public Shareholding (B)=B(1)+B(2)

178246

1819015

1997261

24.17

176246

1891215

2067461

25.02 (0.85)

Total (A)+(B)

178246

8084954

8263200

100

176246

8086954

8263200

100 0

(C). Shares held by Custodian for GDRs & ADRs

1. Promoter and Promoter Group

0 0 0 0 0 0 0 0 0

2. Public0 0 0 0 0 0 0 0 0

GRAND TOTAL (A)+(B)+(C)178246 8084954 8263200 100 176246 8086954 8263200 100 0

18

ii) Shareholdingof Promoters

Sr. Shareholder’sName Shareholdingatthebeginningoftheyear01st April, 2016

FV=Rs.5/-

Shareholdingatthebeginningoftheyear31st

March2017,FV=Rs.5/-No. %

changein

No.of

Shares

%oftotalSharesof

thecompany

%ofShares

Pledged/encumbered

tototalshares

No.of

Shares

%oftotalSharesof

thecompany

%ofSharesPledged/encumberedtototalshares

shareholdingduringtheyear

1 B.K.Narula

1408000

17.04

0.00

1408000

17.04

0.00

0

2 RitaNarula

1251347

15.14

0.00

1251347

15.14

0.00

0

3 B.K.Narula(HUF)

963693

11.66

0.00

963693

11.66

0.00

0

4 SidhiNarula

595414

7.21

0.00

595414

7.21

0.00

0

5 RidhiSuri

542300

6.56

0.00

542300

6.56

0.00

0

6 SukarmaFinanceLimited

1131635

13.69

0.00

1078435

13.05

0.00

0.64

7 XtremsRetailsPrivateLimited

260000

3.15

0.00

243000

2.94

0.00

0.21

8 SridhiInfraPvt.Ltd

113550

1.37

0.00

113550

1.37

0.00

0

iii) ChangeinPromoters’Shareholding(pleasespecify,ifthereisnochange)

SN.

NameofPromoters

Shareholdingatthebeginningoftheyear

CumulativeShareholdingduringtheyear

No.ofshares %oftotal sharesofthe

company

No.ofshares

%oftotalsharesofthecompany

1 SukarmaFinanceLimited

Atthebeginningoftheyear

1131635

13.69

1131635

13.69

Equity shares sold

to public

through offer forSale by BSE mechanism on 25th

November,2016

(35120)

(0.43)

1096515

13.27

Equity shares sold to public through offer forSalebyBSEmechanismon23rd

December,2016

(18080)

(0.21)

1078435

13.05

Attheendoftheyear

1078435

13.05

2 XtremsRetailsPrivateLimited


260000

3.15

260000

3.15

Equity shares sold to public through offer forSale by BSE mechanism on 25th November,2016

(17000) (0.21) 243000 2.94

Attheendoftheyear 243000 2.94

19

SN.

NameoftheShareholder Shareholdingatthebeginningoftheyear

CumulativeShareholdingduringtheyear

No.ofshares %oftotalsharesofthecompany

No.ofshares


1. OJSecuritiesPvtLtd

Atthebeginningoftheyear 0 0 0 0Equitysharespurchasedason23.12.2016

1582

0.02

1582

0.02Equitysharespurchasedason31.03.2017

324330

3.92

325912

3.94

Attheendoftheyear

325912

3.94

2 ReligareFinvestLtd


183000

2.21

183000

2.21

Equitysharestransactedduringtheyear

0

0

0

0

Attheendoftheyear

183000

2.21

3 PradeepKumarJain


127874

1.55

127874

1.55

Equitysharessold

ason01/04/2016

100

0

127774

1.55

Equitysharespurchasedas

on15/07/2016

1350

0.01

129124

1.56

Equitysharespurchasedason02/12/2016

2643

0.03

131767

1.59

Attheendoftheyear

131767

1.59

4. LakhanSecuritiesPrivateLtd


101129

1.23

101129

1.23


200

0

101329

1.23


1100

0.01

102429

1.24


1001

0.01

1034301.25

Equitysharespurchasedason20/05/2016 50 0 103480 1.25Equitysharespurchasedason03/06/2016 250 0.01 103730 1.26Equitysharespurchasedason10/06/2016

300

0

104030

1.26


3756

0.04

107786

1.3Equitysharespurchasedason24/06/2016

4011

0.05

111797


2175

0.03

113972


50

0

114022


276

0

114298


50

0

114348


200

0.01

114548


1100

0.01

115648


50

0

115698


1000

0.01

116698


493

0.02

117191


350

0

117541


950

0.01

118491 1.43Equitysharespurchasedason04/11/2016 600 0.01 119091 1.44Equitysharespurchasedason18/11/2016 1426 0.02 120517 1.46Equitysharespurchasedason25/11/2016 200 0 120717 1.46Equitysharespurchasedason30/12/2016 1000 0.01 121717 1.47Equitysharespurchasedason13/01/2017 300 0.01 122017 1.48

iv. ShareholdingPatternof top ten Shareholders (other thanDirectors, Promoters andHolders of

Thedetailsofshareholdingpositionoftoptenshareholdersareasfollows:-

GDRsandADRs):

20

Equitysharespurchasedason20/01/2017 100 0 122117 1.48Equitysharessoldason10/03/2017 (100) 0 122017 1.48Equitysharessoldason17/03/2017 (100) 0 121917 1.48Equitysharessoldason31/03/2017 (250) (0.01) 121667 1.47Attheendoftheyear 121667 1.47

5 GlobalJindalFinInvestLtd


100000

1.21

100000

1.21

Equitysharestransacted(Purchase/sold)duringtheyearonvariousdates

0

0

100000

1.21

Attheendoftheyear

100000

1.21

6 Nishu Finlease Private Ltd


88000

1.06

88000

1.06


0

0

88000

1.06

Attheendoftheyear

88000

1.06

7 A L Jain Overseas Private Limited

At the beginning of the year

101964

1.23

101964

1.23Equity shares sold during the year

(20000)

0.24

81964

0.99

At the end of the year

81964

0.99

8 Capital Finvest Limited


50000

0.61

50000

0.61


0

0

50000

0.61

Attheendoftheyear

50000

0.61

9 SamratJain

Atthebeginningoftheyear 47684 0.58 47684 0.58

Equitysharestransactedduringtheyear 0 0 47684 0.58

Attheendoftheyear

47684

0.58

10 RajatCorporateManagementPvt.Ltd


40000

0.48

40000

0.48


40000

0.48

Attheendoftheyear

40000

0.48

v. Shareholding

ofDirectorsandKeyManagerialPersonnel:

KeyManagerialPersonneldonothaveanyshareholdinginthecompany

andshareholdingofDirectorsofthecompanyismentionedinthetablebelow.

S.No

ShareholdingofeachDirectors

Shareholdingatthebeginningoftheyear,i.e.01.04.2016

ChangeinShareholdingduringtheyear

Shareholding attheend

oftheyear,i.e.31.03.2017

No.ofshares

%oftotal

sharesofthecompany

No.ofshares

%oftotal

sharesofthecompany

No.ofshares


1 BhushanKumarNarula 1408000 17.04 - - 1408000 17.04

2 RitaNarula 1251347 15.14 - - 1251347 15.14

21

V. IndebtednessoftheCompanyincludinginterestoutstanding/accruedbutnotdueforpayment

(`inLacs)

Sr.No. Particulars SecuredLoan UnsecuredLoan

DepositsTotal

Indebtedness

Indebtednessatthebeginningofthe�inancialyear

1 PrincipalAmount

32.38

-

-

32.38

2 Interestduebutnotpaid

-

-

-

-

3 Interestaccruedbutnotdue

-

-

-

-

Total(1+2+3)

32.38

-

-

32.38

ChangeinIndebtednessduringthe�inancialyear

1 Addition

1.19

-

-

1.19

2 Reduction

(11.95)

-

-

(11.95)

3 NetChange

(10.76)

-

-

(10.76)

Indebtednessattheendofthe�inancialyear(forlongterm

loan)

1 PrincipalAmount

21.62

-

-

21.62

2 Interestduebutnotpaid

-

-

-

-

3 Interestaccruedbutnotdue

-

-

-

-

Total(1+2+3)

21.62

-

-

21.62

VI.REMUNERATION

OFDIRECTORSANDKEYMANAGERIALPERSONNEL

A. RemunerationtoManagingDirector,Whole-timeDirectorsand/orManager SN. ParticularsofRemuneration

NameofDirectorsandDesignation

TotalAmount

BhushanKumarNarula(ManagingDirector)

RitaNarula(WholeTimeDirector)

1 Grosssalary

Rs.12.00

-

-

-

-

-

-

-

-

12.00

Rs.540000.

-

-

-

-

-

-

-

-

5,40,000

5,40,012(a)Salaryasperprovisionscontainedinsection17(1)oftheIncome-taxAct,1961

-

(b)Valueofperquisitesu/s17(2)Income-taxAct,1961

-

(c)Pro�itsinlieuofsalaryundersection17(3)Income-

taxAct,1961

-

2 StockOption

-

3 SweatEquity

-

4 Commission

- as%ofpro�it

- others,specify…

-

5 Others,pleasespecify

Total(A) 5,40,012

CeilingaspertheAct

22

B. RemunerationtootherDirectors

SN. ParticularsofRemuneration NameofDirectors TotalAmount(inRs.)1 IndependentDirectors BhavanaS.Kumar VineetAggarwal -

Feeforattendingboardcommitteemeetings

5000/-

-

-

5000/-

-

-

-

-

-

5000/-

-

--

-

-

-

-

-

-

-

-

-

-

5000

Commission -Others,pleasespecify

(conveyanceallowance)

-

Total(1)

5000

2 OtherNon-ExecutiveDirectors

Feeforattendingboardcommitteemeetings

-

Commission

-

Others,pleasespecify

-

Total(2)

-

Total(B)=(1+2)

5000

TotalManagerial

Remuneration

-

-

-

OverallCeilingaspertheAct

-

-

-

-

-

C. RemunerationtoKeyManagerialPersonnelotherthanMD/Manager/WTD

SN ParticularsofRemuneration

KeyManagerialPersonnel

CEO

CS

CFO

Total

1 Grosssalary

(a)Salaryasperprovisionscontainedinsection17(1)oftheIncome-tax Act,1961

- 185995 387000 572995

(b)Valueofperquisitesu/s17(2)Income-taxAct,1961

- - - -

(c)Pro�itsinlieuofsalaryundersection17(3)Income-taxAct,1961

-

-

-

-

2 StockOption

-

-

-

-3 SweatEquity

-

-

-

-4 Commission

-

-

-

-- as%ofpro�it

-

-

-

-others,specify…

-

-

-

-5 Others,pleasespecify

-

-

-

-

Total

-

185995

387000

572995

VII.PENALTIES/PUNISHMENT/COMPOUNDINGOFOFFENCES

NoPenalty/PunishmenthavebeenimposedontheCompanyduringtheFY2016-2017underreview.

23

ANNEXURE- BFormNo.AOC-2

(Pursuanttoclause(h)ofsub-section(3)ofsection134oftheActandRule8(2)oftheCompanies(Accounts)Rules,2014)

Disclosureofparticularsof contracts/arrangementsenteredintobythecompanywithrelatedpartiesreferredtoin sub-section (1) of section188of theCompaniesAct, 2013 including certainarms length transactionsunderthirdprovisothereto

1. Detailsofcontractsorarrangementsortransactionsnotatarm’slengthbasis-

Nil

2. Detailsofcontractsorarrangementsortransactionsatarm’slengthbasis

Thedetailsofmaterialcontractsorarrangementortransactionsatarm'slengthbasisfortheyearended

March31,2017

areasfollows

(1) (2)

(4)

(5)

S.No

Name(s)oftherelatedpartyandnatureof

relationship

Natureofcontracts/arrangements/transactions

Durationofthecontracts/

arrangements/transactions

Amountpaidasadvances,ifany:

1 M/sSukarmaFinanceLimited,underthesamemanagementcompany,

RentReceivedamountingtoRs.66,000/-

PurchaseofgoldandSilver(goods)amountingtoRs.2,39,983/-

Saleofsilver(goods)amountingtoRs.85128

AspertermsandconditionsofAgreementandcontract

Nil

2 M/sRitaNarula,WholeTimeDirector

RentPaidtoRs.1,20,000/- Saleofsilver(goods)amountingtoRs.7,25,809/-

AspertermsandconditionsofAgreementandcontract

Nil

3. M/sSridhiInfraPrivateLimited

PurchaseofgoldandSilver(goods)amountingtoRs.2180207/-

Saleofgold(goods)amountingtoRs.675948/-

Nil

4. B.K.NarulaHUF

PurchaseofSilver(goods)amountingtoRs.420685/-

Saleofgold(goods)amountingtoRs.789439/-

Nil

5. XtremsRetailsLimited

Saleofgold

(goods)amountingtoRs.192960/-

Nil

Sd/-B.K.NarulaManagingDirectorDIN 00003629

24

ANNEXURE C

SECRETARIAL AUDIT REPORTFOR THE FINANCIAL YEAR ENDED ON MARCH 31, 2017

(Pursuant to Section 204(1) of the Companies Act, 2013 and Rule No. 9 of the Companies (Appointment and

Remuneration of Managerial Personnel) Rules, 2014)

To,TheMembers,

OrosilSmithsIndiaLimited,Delhi

Ihaveconductedthesecretarialauditofthecomplianceofapplicablestatutoryprovisionsandtheadherenceto goodcorporate practicesby Orosil Smiths India Limited

(hereinafter called “theCompany”). SecretarialAudit was conducted in a manner that provided me a reasonable basis for evaluating the corporateconducts/statutorycompliancesandexpressingmyopinionthereon.

Basedonmyveri�icationof theCompany'sbooks,papers,minutebooks, formsandreturns �iledandother

recordsmaintainedbytheCompanyandalsotheinformationprovidedbytheCompany,itsof�icers,agents

andauthorizedrepresentativesduringtheconductofsecretarialaudit,Iherebyreportthatinmyopinion,the

Companyhas,duringtheauditperiodcoveringtheFinancialYearendedonMarch31,

2017

compliedwith

the statutory provisions listed hereunder and also that the Company has proper Board

processes and

compliance

mechanisminplacetotheextent,inthemannerandsubjecttothereportingmadehereinafter:

Ihaveexaminedthebooks,papers,minutebooks,formsandreturns�iledandotherrecordsmaintainedby

theCompanyforthe�inancialyearendedonMarch31,2017 accordingtotheprovisionsof:

(i) TheCompaniesAct,2013(theAct)andtherulesmadethereunder; (ii) TheSecuritiesContracts(Regulation)Act,1956(‘SCRA')andtherulesmadethereunder; (iii) TheDepositoriesAct,1996andtheRegulationsandBye-lawsframedthereunder; (iv) ForeignExchangeManagementAct,1999and therules/regulationsmade thereunder to the extentof

ForeignDirectInvestment,OverseasDirectInvestment&ExternalCommercialBorrowings:(v) ThefollowingRegulationsandGuidelinesprescribedundertheSecuritiesandExchange Boardof India

Act,1992(‘SEBIAct'):

(a) The Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers)

Regulations,2011;

(b) TheSecuritiesandExchangeBoardofIndia(ProhibitionofInsiderTrading)Regulations,1992;

(c) TheSecuritiesandExchangeBoardofIndia(IssueofCapitalandDisclosureRequirements)Regulations,

2009;

(d) The Securities and Exchange Board of India (Employee Stock Option Scheme and Employee Stock

PurchaseScheme)Guidelines,1999(Not

applicabletotheCompanyduringAuditPeriod);

(e) The Securities andExchangeBoard of India (Issue and Listing ofDebt Securities)Regulations, 2008;

(NotapplicabletotheCompanyduringAuditPeriod)

(f) TheSecuritiesandExchangeBoardofIndia(RegistrarstoIssueandShareTransferAgents)Regulations,

1993regardingtheCompaniesActanddealingwithclient;

(g) The Securities and Exchange Board of India (Delisting of Equity Shares) Regulations, 2009 (Not

applicabletotheCompanyduringAuditPeriod);and

(h) TheSecuritiesandExchangeBoardofIndia(BuybackofSecurities)Regulations,1998(Notapplicableto

theCompanyduringAuditPeriod).

25

(i) SecretarialStandardsissuedbyTheInstituteofCompanySecretariesofIndia;

(ii) TheListingAgreementas enteredintobytheCompanywithBombayStockExchange(BSE) Limited;

I furtherreportthat,basedon

theinformationprovidedandthe representationmade

by

theCompanyand

clari�icationsmade,theCompanyhascompliedwiththeprovisionsoftheAct,Rules,Regulations,Guidelines,

etc.mentionedabove.

Ifurtherreportthat,thecompliancebythe

Companyofapplicable�inanciallawslikedirectandindirecttax

lawsandmaintenanceof�inancialrecordsandbooksofaccountshasnotbeenreviewedinthisAuditsince

thesamehavebeensubjecttoreviewbystatutory�inancialauditandotherdesignatedprofessionals.

IfurtherreportthatbalanceofDirectors

isdulyconstitutedwithproperbalanceofExecutiveDirectors , Non-

ExecutiveDirectorsandIndependentDirectors.ThechangesinthecompositionoftheBoardofDirectorsthat

tookplaceduringtheperiodunderreviewwerecarriedoutincompliancewiththeprovisionoftheAct.

Adequatenoticeis

giventoallDirectors

toscheduletheBoardMeetings,agendaanddetailednotesonagenda

weresent

atleastsevendaysinadvancetoallDirectors

andasystemexistsforseekingandobtainingfurther

informationandclari�icationsontheagendaitemsbeforethemeetingandformeaningfulparticipationatthe

meeting.

AspertheminutesofthemeetingsdulyrecordedandsignedbytheChairmanthedecisionsoftheBoardwere

unanimousandnodissentingviewshavebeenrecorded.

IfurtherreportthatthereareadequatesystemsandprocessesintheCompanycommensuratewiththesize

andoperationsof theCompany tomonitor and ensure compliancewith applicable laws, rules, regulations

andguidelines.

Ireport furtherthat,duringtheauditperiod therewerenospeci�icevents/actionsexcept offerforSaleof

70200 equity shares of the face value of Rs.5/- by Sukarma Finance Limited and Xtrems retails Limited,

promotersofthecompany

soldtheirshares

throughaseparatewindowprovidedbyBSEmechanisminterms

of SEBI circular CIR/MRD/DP/05/2012 dated February 01,2012to achieveminimumpublic shareholding

speci�ied in Rule 19A of Securities Contracts (Regulation) Rules, 1957 in two trenches dated on 23rd

November,2016

and22nd

December,2016. Inbetween two trenchesof offer for Sale, thenotice received

fromSEBIdated13th

December,2016

asking

themannerinwhichCompany’spublicshareholdingfellbelow

thresholdlimitof25%,dateonwhichthesaidthresholdlimitwasbreachedandStepstakenbythecompany

tocomplywithRule19AofSecuritiesContracts(Regulation)Rules,1957

andthereplytotheaforesaidnotice

hasbeen�iledtoSEBIdated15th

December,2016and further intimationhasbeen�iledtoSEBIregarding

increase in public shareholdingmore than 25% in compliance of 19A of Securities Contracts (Regulation)

Rules, 1957 read with Regulation 38 of Listing Regulations dated 28th

December, 2016

, further in

consequent of both offer for Sale Segment total public shareholding has been increased from 24.17% to

25.02% having amajor bearing on the Company’s

affairs in pursuance of the above referred laws, rules,

regulations,guidelines,standardsetc

For N.K.Chandok&Associates

Sd/-

NavneetKaur

Proprietor

(COPNo.12930)

20th June,2017

Delhi

Ihavealsoexaminedcompliancewiththeapplicableclausesofthefollowing:

26

A. INDUSTRYSTRUCTUREANDDEVELOPMENT

YourCompany isengaged inthemanufacturingandsaleofsilver jewelry,gold jewelryaswellasplainandtradingofSilverArticles.TheCompanylaunchedtwobrandsbythename“Kuhjoul”and“Sincere”forsemi-preciousandpreciousstonesstuddedingoldandsilver.

ThemanagementisplanningtomoveforwardinthisbusinessofGold,silverandjewellaryandothervariousstepstotakeforwardthebusinessofthecompanyatgreaterheights.

B. OPPORTUNITYANDTHREATS

Your Company is looking forward for the

great opportunity in this line of business of online providing

platformofsellinggoldandSilverJewellary.Itcanbeagreatboosttothe�inancialsofthecompanyandinthe

samewaytheexportmarketsaswellasthedomesticmarketaregainingmomentum.Theeffortsputinbythe

management by introducing the affordable silver & gold jewelry specially targeted to the working class

womenmayreapbene�itsinthelongrun.

C. SEGMENT–WISEORPRODUCTWISEPERFORMANCE

Yourcompany

hasnoSegmentwiseorproducttodiscusss.Yourcompanyisoperatingintwobrandsbythename“Kuhjoul”and“Sincere”forsemi-preciousandpreciousstonesstuddedingoldandsilver

D. OUTLOOK

Your Company is looking forward to the new opportunities in the Gem& Jewellery Sector to expand anddiversifythebusinessintonewareasandlookingforabrightfutureofthecompany.

E. RISKANDCONCERN

ThepricesofthepreciousmetalsistheonlymatterofconcernfortheCompanyotherwisethereisnootherriskastheglobalmarketispickingupandjewelryisalwaysavalueaddition.

F. INTERNAL

CONTROLSYSTEMSANDTHEIRADEQUACY

YourCompanyhasmaintainedaproperandadequatesystemofinternalcontrols.ThisensuresthatallAssetsaresafeguardedandprotectedagainstlossfromunauthorizeduseordisposition.TheAuditCommitteeandIndependent Internal Auditors regularly review the operating systems and procedures for ef�iciency andeffectiveness.

Your company’s internal control systems do commensurate with the nature and size of its businessoperations.

G. DISCUSSIONONFINANCIALPERFORMANCEWITHRESPECTTOOPERATIONALPERFORMANCE

DuringtheyearunderreviewFinancialperformanceofyourCompany

involves

theIncomefromoperationsisRs.177.12

Lacs(PreviousYear:Rs.319.17

Lacs).

Pro�itafterTax(PAT)hasbeenalossofRs. 28.00

Lacsascomparedtoaloss

ofRs.25.41Lacsinpreviousyear.Thedirectors aremaking efforts to enhance the businessactivities and are

hopeful for good results in thecomingyear.

H. MATERIALDEVELOPMENTINHUMANRESOURCES

YourCompanyiscontinuouslytryingtoretaintheCompetenciesofOrganizationaltalent,contributingtowardstheenhancementofbusinessactivitiesandsuccessoftheCompanydeemingthehumanresourceareverymuchimportantforthesuccessofthecompany.

27

YourCompanyhascompliedinallrespectswiththeapplicableCorporateGovernanceCodeasper SEBI(ListingobligationandDisclosuresrequirements),Regulation2015hereinaftercalledasListingregulationwiththeStockExchanges.AReportonCorporateGovernancecomplianceisfurnishedbelow:

COMPANY’SCORPORATEGOVERNANCEPHILOSOPHY

Corporate Governance is creation and enhancing long term sustainable value for the stakeholders throughethically driven business process. At Orosil Smiths India Limited it is

imperative that our company affairs aremanagedinafairandtransparentmanner.

GoodCorporateGovernanceisachievedthroughincreasedawarenessfor responsibility, transparency and professionalism and focus for effective control and management of theorganization.

TheBoard ofDirectors of theCompany is committed to the consistent adherence to the corporate governancecodeandconstantreviewoftheBoardprocesses,practicesandthemanagementsystems tomaintainagreaterdegree of responsibility and accountability

and ensure that we evolve and follow the Corporate Governanceguidelines and best practices. We consider it our inherent responsibility to disclose timely and accurateinformationregardingour�inancialsandperformanceaswellasleadershipandgovernanceofthecompany. .

BOARDOFDIRECTORS

YourCompanyhasanoptimumcombinationofexecutiveandnon-executiveDirectors

includingwomendirectortoprovidestrategicguidancetotheCompany,effectiveover -seeing

ofthemanagement,de�iningresponsibilitiesoftheseniormanagementandensuringaccountability.

ThecompositionoftheBoardofDirectorsason31st

March,

2017

isasunder:-

NameofDirector

Designation

DIN

DateofAppointment

Mr.B.K.Narula ChairmanandManagingDirector

00003629

01.06.1994

Mrs.RitaNarula WholeTimeDirector

00006096

01.06.1994

Ms.BhavanaSampathKumar

NonExecutiveIndependentDirector

05260084

28.05.2012

Mr.VineetAggarwal NonExecutiveIndependentDirector 00539344 30.04.2015

Mr.KaranSuri* NonExecutiveDirector 01193500 09.11.2016

*Mr.KaranSuri wasappointedintheboardmeetingheldon09th November,2016asadditionaldirectoruptotheensuingAnnualgeneralMeetingasperprovisionsofsection161ofCompaniesAct,2013andfurtherrequiredtoberegularizedinthis Annualgeneralmeetingitself.

BoardMeetingsheldduringtheyear2016-2017

DuringtheYear2016-2017total4 (four)BoardMeetingsweredulyheldon23.04.2016,10.08.2016,09.11.2016,10.02.2017 intermsofsection 173oftheCompaniesAct,2013,SecretarialStandards,Listing regulation.

AttendanceoftheDirectorsat theBoardMeetingsandatthelastAnnualGeneralMeeting, includingnumberofotherDirectorsorcommitteesinwhichadirectorisamemberorchairperson areasunder:

28

S.No

NameofDirectors

No.ofBoardMeetingHeldduringthe

year/eligibletoattend

No.ofBoardMeetingsAttended

AttendanceatlastAGM heldon09.09.2016

NoofOutsideDirectorshipsHeld*

1. Mr.B.KNarula** 4 4 Present 5

2. Mrs.RitaNarula** 4 4 Present 4

3. Ms. Bhavana

SampathKumar

4

3

Present

-

4. Mr.VineetAggarwal

4

4

-

-

5. Mr.KaranSuri

1

1

N.A.

2

*Directorships in companies registered under the Companies act 1956 & 2013

excluding the Directorships ofSection-25Companiesandalternatedirectorships.

**thereisnointerserelationshipbetweenboardmembersexceptMr.B.K.NarulaandMs.RitaNarulaasHusbandandwifeandMr.KaranSuriisSon-in-law

ofMr.B.K.NarulaandMs.RitaNarula.

Notes:-

No shares or any convertible instruments held byMs. Bhavana Sampath Kumar,Mr. Vineet Aggarwal andMr.Karansuri nonexecutivedirectorsofthecompanyduringthe�inancialyearunderreview.

FamilirisationProgrammeforIndependentDirectors

TheCompanythroughitsExecutiveDirector/KeyManagerialPersonnelconductsprogrammes/presentationsperiodicallytofamiliarizetheIndependentDirectorswiththestrategy,operationsandfunctionsoftheCompan y.

Themain objective of this programme are to provide insights into the Company and enable the IndependentDirectors to understand the Company’s business in depth that would facilitate their active participation inmanagingtheCompany.

The details of Company’s Familirisation Programme for the Independent Directors can be accessed athttp://www.kuhjohl.com/pdf/sebi-policies/famili-prog-for-indep-director.pdf

AUDITCOMMITTEE

TheAuditCommitteehasbeenconstitutedinlinewiththeprovisionsofSection177oftheCompaniesAct,2013readwithTheCompanies(MeetingsofBoardanditsPowers)Rules,2014.TheroleandtermsofreferenceoftheAuditCommitteecoversthemattersspeci�iedforAuditCommitteeunderCompaniesAct,2013which,inter-alia,includefollowingsmatters

1.therecommendationforappointment,remunerationandtermsofappointmentofauditorsofthecompany

2.reviewandmonitortheauditor’sindependenceandperformanceandeffectivenessofauditprocess.

3.Examinationof�inancialstatementsandtheauditor’sreportthereon.

4.approvaloranysubsequentmodi�icationoftransactionsofthecompanywithrelatedparty

5.scrutinyofintercorporateloans andinvestments

6.valuationofundertakingsorassetsofthecompany,wherevernecessary

7.evaluationofinternal�inancialcontrolsandriskmanagementsystems.

8.performanceofInternalandStatutoryAuditors,adequacyofInternalAuditfunction,discussionswithInternalandStatutoryAuditors.

CompositionofAuditCommittee

(i) ThecompositionoftheAuditCommitteeandotherrelevantdetailsaregivenbelow

S.No.

Name

Designation

Category

No.ofAuditCommittee

meetingsheldduringtheyear

No.ofAuditCommitteemeetingsAttended


Chairman

Non-executiveIndependentDirector

4

4

2. Ms. Bhavana S.Kumar

Member


4

3

3. Mr.B.K.Narula

Member

ManagingDirector

4

4

(ii) During the year 2016-2017, total 4 (four) Audit Committee Meetings were held on 23.04.2016,10.08.2016,09.11.2016and10.02.2017

(iii) TheAuditCommitteeinter-aliaperformsthefunctionsofapprovingAnnualinternalAuditPlan,reviewof�inancial reporting system, internal control system, discussion on quarterly, half -yearly and annual�inancial results, interactionwith statutory and InternalAuditors, recommendation for appointment ofStatutory Auditors & their

remuneration, recommendation for

the appointment and remuneration ofInternal Auditors, review of Business Risk Management Plan, Management Discussions and Analysis,ReviewofInternalAuditReports,approvalandreviewofrelatedpartytransactions.Inful�illingtheaboverole Audit committee has powers to investigate any activity within its terms of reference, to seekinformationfromemployeesandtoobtainoutsidelegalandprofessionaladvice.

NOMINATIONANDREMUNERATIONCOMMITTEE:

(i) ThebroadtermsofreferenceoftheNominationandRemunerationCommitteeare: - To formulate the criteria for determining quali�ications, positive attributes and independence of a

Director and recommend to the Board a policy, relating to the remuneration o f the Directors, Key

ManagerialPersonnelandotheremployees;

- ToformulatethecriteriaforevaluationofalltheDirectorsontheBoard;

- TodeviseapolicyonBoarddiversity;and

- To identify persons who are quali�ied to become directors and who may be appointed in senior

managementinaccordancewiththecriterialaiddown,andrecommendtotheBoardtheirappointment

andremoval.

CompositionofNominationandRemunerationCommittee

i) ThecompositionoftheNominationandremunerationCommitteeandotherrelevantdetailsaregivenbelow

S.No.

Name

Designation

Category

No.ofNominationandRemuneration

Committeemeetingsheld

duringtheyear/eligibletoattend

No.ofNominationandRemunerationCommitteemeetings

Attended

1. Ms. Bhavana S.Kumar

Chairman


4

3


Member


4

3

3 Mr.KaranSuri Member Non-ExecutiveDirector 1 1

4. Mr.B.K.Narula Member ManagingDirector 4 4

ii) Duringtheyear2016-2017,total4(four)NominationandRemunerationCommittee Meetingswereheldon23.04.2016,10.08.2016,09.11.2016and10.02.2017

30

iii) TheCommitteeoversees theannualself evaluationof the Performance of theBoard, committeesandofindividualdirectors.andtheboardasawholealso evaluatestheperformance forindependentdirectorsbasedonthecriteriasuchaspersonaltraits,ParticipationandcontributionbyaDirector;Commitment,includingguidanceprovidedtotheSeniorManagementoutsideofBoard/CommitteeMeetings,Effectivedeployment of knowledge and expertise, Independence of behavior and judgment, Maintenance ofcon�identialityofcriticalissues.

INDEPENDENTDIRECTORSMEETING

Theindependentdirectorsmeton09th

November,2016

withoutthepresenceofNon-

Independentdirectorsandmembersof themanagement.At the IndependentDirectors interaliaevaluatedandreviewtheperformanceofNonindependentdirectorsandboardasawhole,reviewtheperformanceofchairpersonofthecompany

andtoreviewtheQuality,Quantityandtimelinessof�lowofinformationbetweenthecompany,themanagementandtheBoard.

REMUNERATIONOFDIRECTORS

Thecompanymakepaymentto thenonexecutivedirectorsaspersitting fees .DuringtheFinancialyear2016-2017thecompanyhaspaidRs.5000/-

tothedirectorsassittingfees.

RemunerationPolicy:

The Company's Remuneration policy considers human resources as its invaluable assets, to pay equitable

remuneration to all Directors,

key managerial personnel and employees of the company, to harmonize the

aspirationsofhumanresourcesconsistentwiththegoalsofthecompany.

The Remuneration policy for all the employees are designed in a way to attract talented executives and

remuneratethemfairlyandresponsibly,thisbeingacontinuousongoingexerciseateachlevelintheorganization.

GENERALBODYMEETINGS

Date, TimeandVenueofthelastthreeAnnualGeneralMeetingsaregiveninthebelowtable:

SpecialResolutionspassedduringpreviousthreeAGM’s

NoSpecialResolutionwaspassedlastyearthroughpostalballot ,andnospecialresolutionisproposedtobeconductedthroughpostalballot,

otherdetailsofspecialresolutionpassedinlastthreeyearsisasfollows:-

September27,2014

None

September28,2015

i) Re-

appointment of Mr. Bhushan Kumar Narula, Managing Director of company for aperiodof5years

ii)Re-

appointmentofMs.RitaNarula,WholeTimeDirectorofcompanyforaperiodof5years

September09,2016

Sale,or leasewholeorsubstantially thewholeofpropertyundersection180(1)(a)ofCA,2013

MEANSOFCOMMUNICATION

a) QuarterlyResultsThequarterly results for the �irst, secondquarterwerepublished in "TheFinancialExpress” inEnglish

Language”and"VeerArjun" inHindi languageandresultsforthe thirdquartersandtheauditedyearly

results werepublishedin"TheFinancialExpress”inEnglishLanguage”and"Jansatta" inHindilanguage.

FinancialYear(ended)

Date

Time

Venue

March31,2014

September27,2014

11.00am

YWCA of Delhi, Ashoka Road, NewDelhi-110001.

March31,2015

September28,2015

11.00am

YWCA of Delhi, Ashoka Road, NewDelhi-110001.

March31,2016

September09,2016

11.00am

YWCA of Delhi,

Ashoka Road, NewDelhi-110001

31

These results and of�icial news releases are also available on the website of the Company

(www.orosil.com). NopresentationsweremadetoInstitutionalInvestorsortoAnalysts.

b) Newspaperwhereinresultsnormallypublished

NormallyTheQuarterly,halfyearlyandauditedannuallyresultspublished inthenewspapernamedas

"The Financial Express” in English Language” and "Veer Arjun/ Jansatta" in Hindi language. From

February2017onwardsresultsarebeingpublishedinthenewspapernamedas"TheFinancialExpress”

inEnglishLanguage”and“Jansatta"inHindilanguage

Compliancewithothermandatoryrequirements

(a) ManagementDiscussionandAnalysis

AManagementDiscussionAndAnalysisReport formspartof theAnnualReportand includesdiscussiononvariousmattersspeci�iedunderscheduleVoftheListing

Regulation.

(b)SecretarialAuditforreconciliationofsharecapital

A quali�ied Practicing Company Secretary has carried out reconciliation of share capital audit for everyquartertoreconcilethetotaladmittedcapitalwithboththedepositories;viz.NationalSecuritiesDepositoryLimited (NSDL) and Central Depository Services (India) Limited (CDSL). The audit con�irms that the totalissued/paid up capital is in agreementwith the aggregate total number of shares in physical form, sharesallotted&advisedfordematcreditbutpendingexecutionandthetotalnumberofdematerializedsharesheldwithNSDL and CDSL. The Company had submitted

the reconciliation of share capital audit

report to BSE

within30daysfromtheendofeachquarterinaccordancewiththeSEBIrequirements.

(c) CodeforpreventionofInsiderTradingPursuanttoSEBIcircularNo.CIR/ISD/01/2015,regulation8andregulation9ofSEBI(ProhibitionofInsiderTrading)Regulations,2015TheCompanyhas

formulatedCodeofpracticesandproceduresforfairDisclosure

ofUnpublished

PriceSensitiveInformationandthesamebemadeavailableonthewebsiteofthecompany,www.Orosil.com.

(D) CEO/CFOCerti�ication

Acerti�icatefromChairman&ManagingDirectorandChief�inancialof�icer

wasplacedbeforetheBoard.

(e) RiskManagement

TheCompanyhaslaiddownprocedurestoinformthemembersoftheBoardabouttheriskassessmentandminimizationprocedures.TheCompanyhasframedtheriskassessmentandminimizationprocedurewhichisperiodicallyreviewedbytheBoard.

GENERALSHAREHOLDERINFORMATION

I. AnnualGeneralMeeting

Date: 25th

dayofJuly,2017

Time: 11.00AM

Venue:

YWCAofDelhi,AshokaRoad,NewDelhi-110001

II. FinancialYear

:

1stApril

2016

to31st

March

2017

III.BookClosureDate

:

18th

day of July, 2017

to

25th

day of July, 2017 (bothdaysinclusive)

IV.DividendPaymentDate

:

NotApplicable.

V.ListingonStockExchanges

:

BombayStockExchange,Mumbai

PhirozeJeejeebhoyTowers,

DalalStreet,Mumbai-

400001

The Company has paid Annual Listing Fees for theFinancial Year 2017-2018 to the above StockExchange.

VI.STOCK CODE : 531626

DEMATISINNUMBER : INE628B01026

32

MarketPriceData(BSE)

MONTH April2016

May June July Aug. Sept. Oct. Nov. Dec. Jan.2017

Feb.2017

Mar.2017

HIGH 31.10 30.00 30.55 35.30 35.00 35.00 33.60 35.00 31.60 31.60 31.30 32.00LOW 29.50

27.50

27.50

32.05

35.00

29.45

27.85

31.00

30.05

28.40

28.50

28.50

VII.Registrar

andShareTransferAgent

:

SkylineFinancialServicesPrivateLimited

D-153A,OkhlaIndustrialArea,Phase-I,

NewDelhi–

110020

VIII.ShareTransferSystem

Thesharetransfers,whicharereceivedinphysicalform,areprocessedandtheshare certi�icatesreturnedwithinaperiodof15daysfromthedateofreceipt,subjecttothedocumentsbeingvalidandcompleteinallrespects.Thecompanyhas,asperSEBIGuidelinesdated18thFebruary2000,offeredthefacilityoftransfercumdemats.Underthesaidsystem,afterthesharetransferisaffected,anOptionLetterissenttothetransfereeindicatingthedetailsof the transferred shares and requestinghim in case hewishes todemat the shares, toapproach aDepositoryParticipant(DP)withtheOptionLetter.TheDP,basedontheOptionletter,generatesadematrequestandsendsthe same to the Company along with the Option Letter issued by the Company. On receipt of the same, theCompany dematerializes the shares. In case the transferee does

notwish to dematerialize shares, he need notexercisetheoptionandtheCompanywilldispatchthesharecerti�icatesafter15daysfromthedateofsuchOptionLetter.

IX. ShareholdingPatternason31st

March,2017:

NameoftheCompany

:


ScripCode

:

531626

Quarterended

:

31st March,2017

Category NumberofShares % Promoters- Individual/HinduUndividedFamily 4760754 57.61

BodiesCorporate

1434985

17.37

Public 2067461

25.02

TOTAL 8263200

100.00

DistributionofShareholdingason31stMarch,

2017

(FaceValueofoneShareisRs.5/-)

X. DematerializationofShares:

Over 8086954

i.e., 97.87% of the Company’s Paid - up Equity Share Capital has been dematerialized up toMarch 31, 2017. Trading in Equity Shares of the Company is permitted only in dematerialized form as pernoti�icationissuedbySecuritiesandExchangeBoardofIndia(SEBI).

XI. OutstandingADRs/GDRs/ : NotApplicableWarrantsoranyconvertibleInstrumentsconversiondateAndlikelyimpactonequity

Shareholding

NominalValue

(Rs.)

Numberofshareholders

%tototalNumbers

ShareholdingAmount(Rs.)

Percentageto

totalamount

UpTo5,000

710

82.94

681910

1.65

5001To10,000

54

6.31

443645

1.07

10001To20,000

25

2.92

410335

0.99

20001To30,000

18

2.1

443440

1.07

30001To40,000

5

0.58

169620

0.41

40001To50,000

5

0.58

235480

0.57

50001To1,00,000

13

1.52

838160

2.03

1,00,000andAbove

26

3.04

38093410

92.2

Total

856

100

41316000

100

33

XII. Plant : A-89,Sector-2, Noida-201301

XIII. AddressforInvestorCorrespondence : SkylineFinancialServicesPvt.Ltd.D-153A,OkhlaIndustrialArea,Phase-I,NewDelhi– 110020

XIV. E-Mail ID forInvestors : [email protected]

XV.CIN&Registered Of�ice : L74899DL1994PLC059341FlatNo.620,HemkuntChambers,89, NehruPlace,NewDelhi-110019

Disclosures

a. Disclosures on materially signi�icant related party transactions that may have potential con�lict with the

interestsofcompanyatlarge.Therehavebeennomateriallysigni�icantRelatedPartyTransactionsthatmay

havepotentialcon�lictwiththeinterestsoftheCompanyatlarge.

b. Therewasnonon-compliancebytheCompanyandnopenaltiesorstrictureswereimposedontheCompany

by theStockExchangesorSecuritiesandExchangeBoardof India(SEBI),orany statutoryauthorityonany

matter related to the capital markets during the last three years except that

stock exchange has imposed

penalty of Rs.2247/-

for non submission of Corporate GovernanceReport for the Quarter endedDecember

2013and SEBIhadbyitsorderdated13th

May,2015giventhe

directiontothepromotersofthecompanyto

makeapublicannouncementtoacquiresharesofthetargetcompanyinaccordancewiththeprovisionsofthe

TakeoverRegulations,1997,orTakeoverCode2011withinaperiodof45daysfromthedateoftheorde r.

ConsequentofthisordertheB.K.NarulaHUF,RitaNarula,SukarmaFinanceLimited,andSridhiinfraPrivate

Limited, promoters of the company has completed Takeover Open offer and public announcement on 28th

December,2015.

c.Thecompanyhasestablishedvigilmechanismfordirectorsandemployeestoreportgenuineconcernagainstvictimizationofpersonsandrelevantwhistleblowerpolicywaspreparedintheregard.Thepolicyisalsomadeavailableatthewebsiteofcompany.Moreovernopersonnelhasbeendeniedaccesstotheauditcommittee.

d. Thecompanyhascompliedwithallthemandatoryrequirements

oftheSEBI(ListingobligationandDisclosureRequirements) Regulations, 2015. The company may also take up the non-mandatory requirements of thelistingRegulations,2015induecourseoftime.

e. The details regarding Policy for determining material subsidiaries

and related party transactions can beaccessedat http://www.orosil.com/policies-under-sebi-act-1611

.

DECLARATIONBYMANAGINGDIRECTORREGARDINGCONFIRMATIONOFCOMPLIANCEOFCODEOFBUSINESSCONDUCTANDETHICS

To,

TheMembersofOrosilSmithsIndiaLimited

This is to declare that to the best of my knowledge and belief all the Members of the Board and SeniorManagementPersonneloftheCompanyhaveaf�irmed

theirrespectiveCompliancewith theCompany’sCodeofConductandEthicsfortheyearendedMarch31,2017


Date:June21,2017Place: NewDelhi

Sd/-B.K.Narula



VillageDelhi110092

AUDITOR’S CERTIFICATE ON CORPORATE GOVERNANCE

To the Members of OROSIL SMITHS INDIA LIMITED

We have examined the compliance of conditions of Corporate Governance by OROSIL SMITHS INDIA LIMITED (‘the Company’), for the year ended March 31, 2017, as stipulated in Regulation 15(2) of SEBI (Listing Obligations and Disclosure Requirements) Regulation, 2015 (‘Listing Regulation’).

The compliance of conditions of Corporate Governance is the responsibility of the Company’s management. Our examination was limited to procedures and implementation thereof, adopted by the Company, for ensuring the compliance of the conditions of Corporate Governance. It is neither an audit nor an expression of opinion 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, we certify that with reference to Regulation 15(2) of Listing Regulation the Company has paid up capital (Equity + preference) of Rs.5,22,00,000/-

and net worth as on 31st

March 2017

of Rs.3,82,63,428/-

i.e. below the limit of Rs.10 Crore and Rs.25 crore as prescribed in the regulation.

Therefore the company in terms of aforesaid regulation is not under obligation to comply with the Corporate Governance requirement.

We further state that such compliance is neither an assurance as to the future viability of the Company nor the efficiency or effectiveness with which the management has conducted the affairs of the Company.

For PNG & Co.

Chartered Accountants Firm Reg. No. 021910N

_______________

Prabhat Kumar

Partner

M. No. 087257

Place :- DelhiDated :- 08.06.2017

35

IndependentAuditor’sReport

TotheMembersof


(FORMERLYKNOWNASSILVERSMITHINDIALIMITED)

ReportontheFinancialStatements

We have audited the accompanying standalone �inancial statements of OROSIL SMITHS INDIALIMITED(FORMERLY KNOWN AS SILVER SMITH INDIA LIMITED) (“the Company”)which comprise theBalanceSheetasatMarch31,2017, theStatementofPro�itandLoss,CashFlowStatement fortheyearthenended,andasummaryofsigni�icantaccountingpoliciesandotherexplanatoryinformation.

Management’sResponsibilityforthestandalone

FinancialStatements

TheCompany’sBoardofDirectorsisresponsibleforthemattersstatedinSection134(5)oftheCompaniesAct,2013(“theAct”)withrespecttothepreparationofthesestandalone

�inancialstatementsthatgiveatrueandfairviewofthe�inancialposition,�inancialperformanceandcash�lowsoftheCompanyinaccordancewiththeaccountingprinciplesgenerallyacceptedinIndia,includingtheAccountingStandardsspeci�iedunderSection133 of theAct, readwithRule 7 of the Companies (Accounts)Rules, 2014. This responsibility also includesmaintenanceofadequateaccountingrecordsinaccordancewiththeprovisionsoftheActforsafeguardingtheassets of the Company and for preventing and detecting frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgments and

estimates that are reasonable and

prudent; and design, implementation and maintenance of adequate internal �inancial controls, that wereoperating effectively for ensuring the accuracy and completeness of the accounting records, relevant to thepreparation and presentation of the �inancial statements that give a true and fair view and are free frommaterialmisstatement,whetherduetofraudorerror.

Auditor’sResponsibility

Ourresponsibilityistoexpressanopiniononthesestandalone

�inancialstatementsbasedonouraudit.

WehavetakenintoaccounttheprovisionsoftheAct,theaccountingandauditingstandardsandmatterswhicharerequiredtobeincludedintheauditreportundertheprovisionsoftheActandtheRulesmadethereunder.WeconductedourauditinaccordancewiththeStandardsonAuditingspeci�iedunderSection143(10)oftheAct. Those Standards require that we comply with ethical requirements and plan and perform the audit toobtainreasonableassuranceaboutwhetherthe�inancialstatementsarefreefrommaterialmisstatement.

Anauditinvolvesperformingprocedurestoobtainauditevidenceabouttheamountsandthedisclosuresinthe�inancialstatements.Theproceduresselecteddependon theauditor’s judgment, includingthe

assessmentoftherisksofmaterialmisstatementofthe�inancialstatements,whetherduetofraudorerror. Inmakingthoseriskassessments,theauditorconsidersinternal�inancialcontrolrelevanttotheCompany’spreparationofthe�inancial statements that give a true and fair view in order to design audit procedures that areappropriatein thecircumstances,butnotforthepurposeofexpressinganopiniononwhethertheCompanyhas in place an adequate internal �inancial controls system over �inancial reporting and the operatingeffectivenessofsuchcontrols.Anauditalsoincludesevaluatingtheappropriatenessoftheaccountingpoliciesused and the reasonableness of the accounting estimates made by the Company’s Directors, as well asevaluatingtheoverallpresentationofthe�inancialstatements.

Webelievethattheauditevidencewehaveobtainedissuf�icientandappropriatetoprovideabasisforourauditopiniononthestandalone�inancialstatements.

Opinion

Inouropinionandtothebestofourinformationandaccordingtotheexplanationsgiventous,theaforesaidstandalone�inancialstatementsgivetheinformationrequiredbytheActinthemannersorequiredandgiveatrueandfairviewinconformitywiththeaccountingprinciplesgenerallyacceptedinIndia,ofthestateofaffairsoftheCompanyasatMarch31,2017,anditsLossanditsCashFlowfortheyearendedonthatdate.

36

ReportonOtherLegalandRegulatoryRequirements

1. As required by the Companies (Auditor’s Report)Order, 2016 (“the Order”), as amended, issued by the

Central Government of India in terms of sub-section (11) of section 143 of the Act, we give in the

“AnnexureA”astatementonthemattersspeci�iedinparagraphs3and4oftheOrder.

2. Asrequiredbysection143(3)oftheAct,wereportthat:

a. wehavesoughtandobtainedalltheinformationandexplanationswhichtothebestofourknowledge

andbeliefwerenecessaryforthepurposeofouraudit;

b. inouropinionproperbooksofaccountasrequiredbylawhavebeenkeptbytheCompanysofarasit

appearsfromourexaminationofthosebooks;

c. theBalance Sheet, the Statement ofPro�it andLoss and theCashFlowStatement dealtwith by this

Reportare

inagreementwiththebooksofaccount

d. In

ouropinion, theaforesaidStandalone �inancial statementscomplywith theAccounting Standards

speci�iedundersection133oftheAct,readwithRule7oftheCompanies(Accounts)Rules,2014.

e. On the basis ofwritten representations received from the directors as onMarch 31, 2016 taken on

recordbytheBoardofDirectors,noneofthedirectorsisdisquali�iedasonMarch31,2017frombeing

appointedasadirectorintermsofSection164(2)oftheAct.

f. Withrespecttotheadequacyoftheinternal�inancialcontrolsover�inancialreportingoftheCompany

andtheoperatingeffectivenessofsuchcontrols,refertoourseparateReportin“AnnexureB”.

g. WithrespecttotheothermatterstobeincludedintheAuditor’sReportinaccordancewithRule11of

theCompanies(AuditandAuditors)Rules,2014,inouropinionandtothebestofourinformationand

accordingtotheexplanationsgiventous:

i.

TheCompanydoesnothaveanypendinglitigationswhichwouldimpactits�inancialposition.

ii.

TheCompanydidnothaveanylong-termcontractsincludingderivativecontractsforwhichthere

wereanymaterialforeseeablelosses.

iii.

Therewere no amountswhichwere required to be transferred to the Investor Education and

ProtectionFundbytheCompany.

iv.

TheCompanyhasprovidedrequisitedisclosuresinthe�inancialstatementsastoholdingaswell

asdealingsinSpeci�iedBankNotesduringtheperiodfrom8th

November,2016to30thDecember,

2016, on the basis of informationavailablewith theCompany.Basedonaudit procedures, and

relyingonmanagement’s representation,we report thatdisclosuresare inaccordancewith the

booksofaccountsmaintainedbytheCompanyandasproducedtousbytheManagement.

ForPNG&Co.

CharteredAccountants


PrabhatKumar

Partner

MembershipNo.087257

Place:- NoidaDated:-May30,2017 37

“AnnexureA”totheIndependentAuditors’Report

Referred to inparagraph1undertheheading ‘ReportonOtherLegal&RegulatoryRequirement’ofourreportofevendatetothe�inancialstatementsoftheCompanyfortheyearendedMarch31,2017:

1) (a)TheCompanyhasmaintainedproperrecordsshowingfullparticulars,includingquantitativedetailsandsituationof�ixedassets;

(b)

TheFixedAssetshavebeenphysicallyveri�iedby themanagement inaphasedmanner,designed tocoveralltheitemsoveraperiodofthreeyears,whichinouropinion,isreasonablehavingregardtothesizeofthecompany

andnatureofitsbusiness.Pursuanttotheprogram,aportionofthe�ixedassethas been physically veri�ied by the management during the year and no material discrepanciesbetweenthebooksrecordsandthephysical�ixedassetshavebeennoticed.

(c)

Thetitledeedsofimmovablepropertiesareheldinthenameofthecompany.

2) (a)Themanagementhasconductedthephysicalveri�icationofinventoryatreasonableintervals.

b)Thediscrepanciesnoticedonphysicalveri�icationoftheinventoryascomparedt obooksrecordswhichhasbeenproperlydealtwithinthebooksofaccountwerenotmaterial.

3) The Company has not granted any loans, secured or unsecured to companies, �irms, Limited LiabilitypartnershipsorotherpartiescoveredintheRegistermaintainedundersection189oftheAct.Accordingly,the provisions of clause 3 (iii) (a) to (C) of the Order are not applicable to the Company and hence notcommentedupon.

4) Inouropinionandaccordingto the informationandexplanationsgiventous, thecompanyhascompliedwith the provisions of section 185 and I86 of the CompaniesAct, 2013 In respect of loans, investments,guarantees,andsecurity.

5) TheCompanyhasnotacceptedanydepositsfromthepublicandhencethedirectivesissuedbytheReserveBankof IndiaandtheprovisionsofSections73 to76oranyotherrelevantprovisionsof theActandtheCompanies(AcceptanceofDeposit)Rules,2015withregardtothedepositsacceptedfromthepublicarenotapplicable.

6) Asinformedtous,themaintenanceofCostRecordshasnotbeenspeci�iedbytheCentralGovernmentunder

sub-section(1)ofSection148oftheAct,inrespectoftheactivitiescarriedonbythecompany.

7) (a)Accordingtoinformationandexplanationsgiventousandonthebasisofourexaminationofthebooksofaccount,andrecords,theCompanyhasbeengenerallyregularindepositingundisputedstatutoryduesincludingProvidentFund,EmployeesStateInsurance,Income-Tax,Salestax,ServiceTax,Dutyo fCustoms,Duty of Excise, Value added Tax, Cess and any other statutory dues with the appropriate authorities.Accordingtotheinformationandexplanationsgiventous,noundisputedamountspayableinrespectoftheabovewereinarrearsasatMarch31,

2017foraperiodofmorethansixmonthsfromthedateonwhentheybecomepayable.

b)According to the information and explanation given tous, there are noduesof income tax, sales tax,servicetax,dutyofcustoms,dutyofexcise,valueaddedtaxoutstandingonaccountofanydispute.

8) In our opinion and according to the information and explanations given to us, the Company has notdefaulted in the repayment of dues to banks. The Company has not taken any loan either from �inancialinstitutionsorfromthegovernmentandhasnotissuedanydebentures.

9) Based upon the audit procedures performed and the information and explanations given by the

management, the company has not raised moneys by way of initial public offer or further public offer

includingdebtinstrumentsandtermLoans.Accordingly,theprovisionsofclause3(ix)oftheOrderarenot

applicabletotheCompanyandhencenotcommentedupon.

38

10) Based upon the audit procedures performed and the information and explanations given by themanagement,wereportthatnofraudbytheCompanyoronthecompanybyitsof�icersoremployeeshasbeennoticedorreportedduringtheyear.

11) Based upon the audit procedures performed and the information and explanations given by themanagement, themanagerial remuneration has been paid or provided in accordance with the requisiteapprovalsmandatedbytheprovisionsofsection197readwithScheduleVtotheCompaniesAct;

12) Inouropinion,theCompanyisnotaNidhiCompany.Therefore,theprovisionsofclause4(xii)oftheOrderarenotapplicabletotheCompany.

13) Inouropinion,alltransactionswiththerelatedpartiesareincompliancewithsection

177and188ofCompaniesAct,2013and thedetailshavebeendisclosed in theFinancial Statementsasrequiredbytheapplicableaccountingstandards.

14) Based upon the audit procedures performed and the information and explanations given by themanagement,thecompanyhasnotmadeanypreferentialallotmentorprivateplacementofsharesorfullyorpartlyconvertibledebenturesduringtheyearunderreview.Accordingly,theprovisionsofclause3(xiv)oftheOrderarenotapplicabletotheCompanyandhencenotcommentedupon.

15) Based upon the audit procedures performed and the information and explanations given by themanagement, the company has not entered into any non-cash transactions with directors or personsconnectedwith him. Accordingly, the provisions of clause 3 (xv) of the Order are not applicable to theCompanyandhencenotcommentedupon.

16) Inour opinion, the company is not required tobe registeredundersection45 IAof theReserveBankofIndia Act, 1934 and accordingly, the provisions of clause 3 (xvi) of the Order are not applicable to theCompanyandhencenotcommentedupon.

ForPNG&Co.



PrabhatKumar

Partner

MembershipNo.087257

Place:- NoidaDated:-May30,2017

39

“Annexure B” to the Independent Auditor’s Report of even date on the Standalone Financial Statements ofOROSILSMITHSINDIALIMITED(FORMERLYKNOWNASSILVERSMITHINDIALIMITED)

ReportontheInternalFinancialControlsunderClause(i)ofSub-section3ofSection143oftheCompaniesAct,2013(“theAct”)

We have audited the internal �inancial controls over �inancial reporting of OROSIL SMITHS INDIA LIMITED(FORMERLYKNOWNASSILVERSMITHINDIALIMITED) (“theCompany”)asofMarch31,2017 in conjunctionwithourauditofthestandalone�inancialstatementsoftheCompanyfortheyearendedonthatdate.

Management’sResponsibilityforInternalFinancialControls

TheCompany’smanagement is responsible forestablishingandmaintaining internal �inancialcontrols based on“the internal control over �inancial reporting criteria established

by the Company considering the essentialcomponentsof internalcontrolstated intheGuidanceNoteonAuditofInternalFinancialsControlsoverFinancialReportingissuedbytheInstituteofCharteredAccountantsofIndia”.Theseresponsibilities

includethedesign,implementationandmaintenanceofadequateinternal�inancialcontrolsthatwereoperatingeffectivelyforensuringtheorderlyandef�icientconductofitsbusiness,includingadherencetocompany’spolicies,thesafeguardingofitsassets,thepreventionanddetectionoffraudsanderrors,theaccuracyandcompletenessoftheaccountingrecords,andthetimelypreparationofreliable�inancialinformation,asrequiredundertheCompaniesAct,2013.

Auditors’Responsibility

Our responsibility is to express an opinion on the Company's internal �inancial controls over �inancial reportingbasedonouraudit.Weconductedouraudit inaccordancewith theGuidanceNoteonAuditof InternalFinancialControlsOverFinancialReporting(the“GuidanceNote”)andtheStandardsonAuditing,issuedbyICAIanddeemedtobeprescribedundersection143(10)oftheCompaniesAct,2013,totheextentapplicabletoanauditofinternal�inancial controls, both applicable to an audit of Internal Financial Controls and, both issued by the Institute ofChartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal�inancialcontrolsover�inancialreportingwasestablishedandmaintainedandifsuchcontrolsoperatedeffectivelyinallmaterialrespects.

Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal �inancialcontrolssystemover �inancial reportingand their operating effectiveness.Ourauditof internal �inancial controlsover�inancialreportingincludedobtaininganunderstandingofinternal�inancialcontrolsover�inancialreporting,assessingtheriskthatamaterialweaknessexists,andtestingandevaluatingthedesignandoperatingeffectivenessofinternalcontrolbasedontheassessedrisk.Theproceduresselecteddependontheauditor’sjudgment,includingtheassessmentoftherisksofmaterialmisstatementofthe�inancialstatements,whetherduetofraudorerror.

Webelievethat theauditevidencewehaveobtainedissuf�icientandappropriatetoprovideabasis forourauditopinionontheCompany’sinternal�inancialcontrolssystemover�inancialreporting.

MeaningofInternalFinancialControlsoverFinancialReporting

A company's internal �inancial control over �inancial reporting is a process designed to provide reasonableassurance regarding the reliability of �inancial reporting and the preparation of �inancial statements for externalpurposesinaccordancewithgenerallyacceptedaccountingprinciples.Acompany'sinternal�inancialcontrolover�inancial reporting includes those policies andprocedures that (1) pertain to themaintenanceof records that, inreasonabledetail, accuratelyand fairly re�lect the transactionsanddispositionsof theassetsof the company; (2)provide reasonable assurance that transactions are recorded as necessary to permit preparation of �inancialstatementsinaccordancewithgenerallyacceptedaccountingprinciples,andthatreceiptsandexpendituresofthecompanyarebeingmadeonlyinaccordancewithauthorisationsofmanagementanddirectorsofthecompany;and(3) provide reasonable assurance regarding prevention or timely detection of unauthorised acquisition, use, ordispositionofthecompany'sassetsthatcouldhaveamaterialeffectonthe�inancialstatements.

InherentLimitationsofInternalFinancialControlsoverFinancialReporting

Becauseoftheinherentlimitationsofinternal�inancialcontrolsover�inancialreporting,includingthepossibilityofcollusionor impropermanagementoverrideofcontrols,materialmisstatementsdue toerroror fraudmayoccur

40

andnotbedetected.Also,projectionsofanyevaluationoftheinternal�inancialcontrolsover�inancialreportingtofuture periods are subject to the risk that the internal �inancial control over �inancial reporting may becomeinadequatebecauseofchangesinconditions,orthatthedegreeofcompliancewiththepoliciesorproceduresmaydeteriorate.

Opinion

In our opinion, the Company has, in all material respects, an adequate internal �inancial controls system over�inancial reporting and such internal �inancial controls over �inancial reporting were operating effectively as atMarch 31, 2017, based on “the internal control over �inancial reporting criteria established by the CompanyconsideringtheessentialcomponentsofinternalcontrolstatedintheGuidanceNoteonAuditofInternalFinancialControlsOverFinancialReportingissuedbytheInstituteofCharteredAccountantsofIndia.

ForPNG&Co.



PrabhatKumar

Partner

MembershipNo.087257

Place:- Noida

Dated:-May30,2017

41

Notes As at As at March 31, 2017 March 31, 2016(Amount in Rs) (Amount in Rs)

EQUITY AND LIABILITIES

Shareholders' Funds

(a) Share Capital 1 52,200,000 52,200,000

(b) Reserves and Surplus 2 (13,936,572) (11,136,372)

38,263,428 41,063,628

Share application money pending allotment -

Non-current liabilities

(a) Long-Term Borrowings 3 967,411 2,162,119

(b) Long-Term Provisions 4 274,676 255,055

1,242,087 2,417,174

Current liabilities

(a) Trade Payables 5 2,582,045 225,799

(b) Other Current Liabilities 6 321,524 478,281

(c) Short-Term Provisions 4 5,219 4,393

(d) Short-Term Borrowings 3 1,194,708 1,076,013

4,103,496 1,784,486

Total 43,609,011 45,265,288

ASSETS

Non-current assets

(a) Fixed Assets 12

(i) Tangible assets 18,178,094 20,384,995

(ii) Intangible assets 25,107 41,846

18,203,201 20,426,841

(b) Non-current investments 11 3,374,850 3,774,850

(c) Long-term loans and advances 7 153,736 153,736

3,528,586 3,928,586

Current assets

(a) Inventories 9 18,225,396 15,286,036

(b) Trade Receivables 8 650,002 648,518

(c) Cash and Bank Balances 10 463,670 1,431,538

(d) Short-Term Loans and Advances 7 2,538,156 3,543,770

21,877,224 20,909,861

Total 43,609,011 45,265,288

OROSIL SMITHS INDIA LIMITED(FORMERLY KNOWN AS SILVER SMITH INDIA LIMITED)CIN L74899DL1994PLC059341

BALANCE SHEET AS AT March 31, 2017

Significant Accounting Policies 0Notes on Financial Statements 1 to 36The accompanying notes form an integral part of the financial statements

For & on behalf of the Board of Directors

B. K. Narula

Director

DIN 00003629

Karan Suri

DirectorDIN 01193500

Prabhat Kumar

Partner

M. No. 527070

Director

Rita Narula

DIN 00006096 Company Secretary

Kanchan Gupta

PAN BJYPG3604E

Sanjay Bana

CFO

PAN ALMPB8242N

Place : Noida

Dated : May 30, 2017

sd/-

As per our Report of even date

For & on behalf of

PNG & Co.

Chartered Accountants

(Firm Reg No. 021910N)

sd/- sd/- sd/-

sd/-sd/-

42


STATEMENT OF PROFIT & LOSS FOR THE YEAR ENDED March 31, 2017

Notes For the year ended For the year endedMarch 31, 2017 March 31, 2016 (Amount in Rs) (Amount in Rs)

INCOME

Income from Operations 13 17,712,664

31,917,394

Other Income 14 298,358

407,945

Total Revenue 18,011,022

32,325,339

EXPENDITURE

Cost of Materials Consumed 15 4,459,169

1,554,572

Purchase of Traded Goods 13,830,371

24,824,296

Changes in Inventories of Finished Goods and Stock-In-trade 16 (3,558,981)

1,298,352

Employee Benefits Expense 17 1,038,151

1,161,801

Financial Expenses 18 310,696

427,831

Depreciation 12 2,266,640

2,999,381

Other Expenses 19 2,465,176

2,600,075

Total Expenses 20,811,222

34,866,307

Profit/(Loss) Before Taxation (2,800,200)

(2,540,968)

Tax Expenses

Less : Deferred tax (Refer Note 33) -

-

Less : Current tax -

-

Profit/(Loss) After Taxation (2,800,200) (2,540,968)

Less : Prior Period adjustments - -

Profit/(Loss) For The Year (2,800,200) (2,540,968)

Earning / (Loss) per Share (Refer Note 25)

Basic (0.34)

(0.31) Diluted (0.34)

(0.31)

Significant Accounting Policies

Notes on Financial Statements 1 to 36

The accompanying notes form an integral part of the financial statements


B. K. Narula

Director

DIN 00003629

Karan Suri


Prabhat Kumar

Partner

M. No. 527070

Director

Rita Narula


Kanchan Gupta

PAN BJYPG3604E

Sanjay Bana

CFO

PAN ALMPB8242N

Place : Noida


sd/-


For & on behalf of

PNG & Co.



sd/- sd/- sd/-

sd/-sd/-

43


CASH FLOW STATEMENT FOR THE YEAR ENDED March 31, 2017

For the year ended For the year endedMarch 31, 2017 March 31, 2016 (Amount in Rs) (Amount in Rs)

A. CASH FLOW FROM OPERATING ACTIVITIES

Net profit/(Loss) before tax and extraordinary items (2,800,200)

(2,540,968)

Adjustments for :

Depreciation 2,266,640

2,999,381

Interest earned (17,702)

(22,030)

Profit on Sale of Investments 40,000

50,000

Interest Expenses 287,850

412,903

Operating profit before Working Capital changes (223,412)

899,286

Adjustments for :

Trade & Other Receivables 1,004,130

1,166,195

Inventories (2,939,360)

(945,394)

Provision 20,447

Trade & other Payables 2,199,489

124,985

Cash flow from operating activities 61,293

1,245,072

Less : Income Tax Paid -

-

Net Cash flow from Operating activities 61,293

1,245,072

B. CASH FLOW FROM INVESTING ACTIVITIES

Addition to of Fixed Assets (43,000)

-

Sale of Investments 360,000

450,000

Sale of Fixed Assets -

-

Interest Received 17,702 22,030

Net Cash from /(Used) in Investing Activities 334,702 472,030

C. CASH FLOW FROM FINANCING ACTIVITIES

Proceeds from borrowings (1,076,013) (969,066)

Interest Paid (287,850) (412,903)

Net Cash from/(Used) in Financing Activities (1,363,863) (1,381,969)

Net Increase / (decrease) in Cash and Cash Equivalents (967,868) 335,133

Opening Cash and Cash Equivalents 1,431,538 1,538,006 Closing Cash and Cash Equivalents 463,670 1,431,538

Net Increase / (Decrease) as per Books (967,868) (106,468)

Note:

2. Cash and Cash equivalents consist of Cash and Bank Balances.

3. Previous Year figures have been regourped/rearranged wherever considered necessary.

The accompanying significant accounting policies and other notes to the accountsform an integral part of the financial statements 1 to 36

1 The above Cash Flow Statement has been prepared under the 'Indirect Method' as set out in Accounting Standard-3 on 'Cash Flow Statement'


B. K. Narula

Director

DIN 00003629

Karan Suri


Prabhat Kumar

Partner

M. No. 527070

Director

Rita Narula


Kanchan Gupta

PAN BJYPG3604E

Sanjay Bana

CFO

PAN ALMPB8242N

Place : Noida


sd/-


For & on behalf of

PNG & Co.



sd/- sd/- sd/-

sd/-sd/-

44

OROSIL SMITHS INDIA LIMITED(FORMERLY KNOWN AS SILVER SMITH INDIA LIMITED)NOTES FORMING PART OF THE ACCOUNTS

As at As atMarch 31, 2017 March 31, 2016(Amount in Rs) (Amount in Rs)

1

Equity Share Capital44,116,000 44,116,000

Preference Share Capital10,884,000 10,884,000

55,000,000 55,000,000

41,316,000 41,316,000

10,884,000 10,884,000

52,200,000 52,200,000

a.

No. (Amount in Rs) No. (Amount in Rs)At the beginning of the period 8,263,200 41,316,000 8,263,200 41,316,000Issued during the period - - - - Addition due to Stock Split * - - - -

Outstanding at the end of the period 8,263,200 41,316,000 8,263,200 41,316,000

*

No. (Amount in Rs) No. (Amount in Rs)At the beginning of the period 1,088,400 21,768,000 1,088,400 21,768,000 Issued during the period - - - -

Outstanding at the end of the period 1,088,400 21,768,000 1,088,400 21,768,000

b. Terms and rights attached to shares

Equity Shares

Preference Shares

c

No. % holding No. % holdingFully paid up equity shares held by: *B. K. Narula 1,408,000 17.04% 1,408,000 17.04%B.K. Narula (HUF) 963,693 11.66% 963,693 11.66%Rita Narula 1,251,347 15.14% 1,251,347 15.14%Sidhi Narula 595,414 7.21% 595,414 7.21%Ridhi Narula 542,300 6.56% 542,300 6.56%Sukarma Finance Ltd. 1,078,435 13.05% 1,131,635 13.69%

2 Reserves and Surplus

(i) Surplus/ (deficit) in the Statement of Profit and Loss

Capital Reserves (A)Balance as per last financial statements 4,317,600

4,317,600

Closing balance 4,317,600

4,317,600

Securities premium account (B) 10,884,000 10,884,000

Closing balance 10,884,000 10,884,000

Reserves and Surplus (C )Balance as per last financial statements (26,337,972) (23,797,004)Add: Profit for the year (2,800,200) (2,540,968)

Net surplus / (deficit) (29,138,172) (26,337,972)

Total Reserves and Surplus (A+B+C) (13,936,572) (11,136,372)

Share Capital

Authorised shares

Total Authorised Share Capital

8,263,200 (previous year 8,263,200 of Rs. 10/ each) Equity Shares of Rs. 5/-

each fully paid up*

Issued, subscribed and fully paid-up shares

8823200(Previous year 88,23,200) Equity Share of Rs 5/-each

10,88,400(Previous year 10,88,400) Preference Share of Rs 10/- each

1,084,000, 3.5% Optionally Cumulative Preference shares of Face Value Rs. 10/- each at a premium of Rs.

10/- each fully paid up

Details of shareholders holding more than 5% shares in the Company

31-Mar-17 31-Mar-16

The Company has only one class of equity shares having a par value of Rs. 10 per share. Each holder of equity shares is entitled to one vote per share.

During the previous year, the Company in its General Board Meeting held on May 09, 2014 approved to Split / Sub-Division of its 41,31,600 Equity Shares from

Face Value of Rs. 10/ per share to Rs. 5/- per Share.

Preference shares

31-Mar-17 31-Mar-16

The Company has issued during the previous year 1,088,400, 3.50% Optional Convertible Cumulative Preference Shares (‘‘OCCPS”) of face value Rs.10/- each at a

premium of Rs. 10/- each, convertible after 5 years from the date of issue. However, OCCPS holders does not have an option to convert into equity share at an

earlier date. The OCCPS Share holders have a right to receive dividend, prior to the Equity Shareholders. The dividend proposed by the Board of Directors if any

on the OCCPS is subject to the approval of the shareholders at the Annual General Meeting, except in case of interim dividend. In the event of liquidation, the

Preference Shareholders are eligible to receive the remaining assets of the Company before distribution to the Equity Shareholders, in proportion to their shareholding.

Total issued, subscribed and fully paid-up share capital

Reconciliation of the shares outstanding at the beginning and at the end of the reporting period

Equity shares31-Mar-17

1,088,400 (previous year 1,088,400) 3.5% Optionally Cumulative Preference shares of Face Value Rs. 10/-

each at a premium of Rs. 10/- each fully paid up

31-Mar-16

45


As at As at As at As at

March 31, 2017 March 31, 2016 March 31, 2017 March 31, 2016

(Amount in Rs) (Amount in Rs) (Amount in Rs) (Amount in Rs)

3 Long Term Borrowings

Secured Loans

Vehicle Loan From Banks (Secured against Hypothecation of Vehicles) 967,411 2,162,119 1,194,708 1,076,013

967,411 2,162,119 1,194,708 1,076,013

Note:

Terms of Repayment for secured borrowing:

Borrowing Terms of Repayment

Vehicle Loan Repayable in 5 Years @ 10.50 % per annum

4 Provisions

Provision for employee benefits (Refer Note 28) 274,676 255,055 5,219 4,393 (includes Gratuity and Leave encashment)

274,676

255,055

5,219

4,393

As at As at As at As at

March 31, 2017 March 31, 2016 March 31, 2017 March 31, 2016

(Amount in Rs) (Amount in Rs) (Amount in Rs) (Amount in Rs)

5 Trade Payables

Trade Payables (Refer Note 26 for Disclosure under Micro, Small and Medium

Act, 2006)

-

-

2,582,045

225,799

-

-

2,582,045

225,799

6 Other Liabilities

Advances from customers -

-

-

11,236

Duties & Taxes -

-

19,204

13,465

Other Liabilities -

-

302,321

453,580

-

-

321,524

478,281

Short termLong term

CurrentNon Current

As at As at As at As at March 31, 2017 March 31, 2016 March 31, 2017 March 31, 2016(Amount in Rs) (Amount in Rs) (Amount in Rs) (Amount in Rs)

7 Loans and Advances(Unsecured, considered good unless otherwise stated)

Security Deposits 153,736 153,736 - -

Advance Income Tax (Net of Provision for Tax) - 326,993 329,530

Advances recoverable in cash or in kind or for value to be received - 1,086,389 2,100,298

Prepaid Expenses - 76,918 66,086

Assets held for Sale (Refer Note 30) - 1,047,856 1,047,856

153,736 153,736 2,538,156 3,543,770

Short termLong term

As at As at As at As at March 31, 2017 March 31, 2016 March 31, 2017 March 31, 2016(Amount in Rs) (Amount in Rs) (Amount in Rs) (Amount in Rs)

8 Trade Receivables(Unsecured, considered good unless otherwise stated)

Outstanding for a period exceeding six months from the date they

are due for payment

Considered Good 650,002 648,518 Considered Doubtful - -

- - 650,002 648,518 Less : Provision for doubtful debt - - - -

- - 650,002 648,518

Others receivables - - - -

Total - - 650,002 648,518

CurrentNon Current

46

OROSIL SMITHS INDIA LIMITED(FORMERLY KNOWN AS SILVER SMITH INDIA LIMITED)

NOTES FORMING PART OF THE ACCOUNTS

9 Inventories (At cost or NRV)Raw Materials - - 3,354,760 3,877,851 Finished Goods - - 14,870,636 11,311,655 Packing Materials - - - - Consumables - - - 88,362 Printing & Stationary - - - 8,168

-

-

18,225,396

15,286,036

10 Cash and Cash Equivalents

Cash in hand - - 139,834 801,021 Bank balances - In current account - - 72,856 391,094 - In Deposit account* - - 250,980 239,423

*Pledged with Sales Tax Authority for Rs.250,980

(previous year Rs.239,423)

-

-

463,670

1,431,538

11 Non Current Investments

Particulars

Face Value Nos. Value (Rs) Face Value Nos. Value (Rs) Trade Investments

(unquoted)

Sridhi Infra Pvt. Ltd. 1/- 3,200,000

3,200,000

1/- 3,600,000

3,600,000

Electrolux Kelvinator Ltd. 10/- 2,850

154,850

10/- 2,850

154,850

Citizen Co-Operative Bank Ltd. 25/- 800

20,000

25/- 800

20,000

Total 3,374,850

3,774,850

As at

March 31, 2017

(Amount in Rs)

As at

March 31, 2016

(Amount in Rs)

47

No

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31.0

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3.2

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Inta

ng

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Assets

Web P

ort

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3,7

01,1

40

-

-

3,7

01,1

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3,6

65,3

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14,3

32

-

3,6

79,6

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21,4

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35,8

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are

s1,5

24,8

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24,8

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1,5

18,8

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2,4

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1,5

21,2

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3,6

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17

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4,1

52,0

41

-

-

4,1

52,0

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-

-

-

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4,1

52,0

41

4,1

52,0

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Build

ing

22,6

07,4

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-

-

22,6

07,4

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14,6

61,3

45

794,6

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-

15,4

55,9

61

7,1

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46,1

53

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Hold

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1,1

41,2

37

-

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1,1

41,2

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1,1

41,2

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-

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-

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13,4

84,8

75

43,0

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13,5

27,8

75

10,1

78,3

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20,3

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3,3

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55

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68,5

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6,8

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6,8

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812,5

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48


For the Year ended For the Year endedMarch 31, 2017 March 31, 2016(Amount in Rs) (Amount in Rs)

13 Revenue from operations

Sales of Products 17,120,577 31,732,394

Service Income 592,087 185,000

Total 17,712,664 31,917,394

14 Other Income

Interest Income 17,702 22,030

Interest on income tax refund 172 - Rental Income 66,000 66,000 Liabilities written back 202,116 178,750 Profit on sale of fixed assets - -

Miscellaneous Income 12,368 141,165

Total 298,358 407,945

15 Cost of Materials Consumed

Opening Stock :Raw Materials 3,877,851 3,509,866 Packing Materials - 1,880 Consumables 88,362 94,592 Printing & Stationary 8,168 15,085

Total (A) 3,974,381 3,621,423

Add : PurchaseRaw Materials 3,831,569 1,897,224 Packing Materials - - Consumables - - Printing & Stationary 7,979 10,306

Total (B) 3,839,548 1,907,530

Less : Closing StockRaw Materials 3,354,760 3,877,851 Packing Materials - - Consumables - 88,362 Printing & Stationary - 8,168

Total ( C ) 3,354,760 3,974,381

Cost of Materials Consumed (A+B-C) 4,459,169 1,554,572

16 Changes in inventories of finished goods, work-in-progress

and stock-in-trade

Inventories at the end of the year:Finished Goods 14,870,636 11,311,655

Total (A)14,870,636

11,311,655

Inventories at the beginning of the year:Finished Goods 11,311,655 12,610,007

Total (B) 11,311,655

12,610,007

Net (Increase) / Decrease (3,558,981)

1,298,352

49

17 Employee benefit expense

Salaries and Wages 991,335 1,102,747 Contribution to provident and other funds (Refer Note 28) - - Staff Welfare 46,816 59,054

Total 1,038,151 1,161,801

18 Finance Cost

Interest on Borrowings 287,850 412,903 Bank Charges 22,846 14,928

Total 310,696 427,831

19 Other Expenses

Audit Fee- Tax Audit 15,000 15,000 - Statutory Audit 41,500 43,000 Loss on Sale of Investments 40,000 50,000 Communication Expenses 102,177 111,482 Directors' Remuneration 540,012 540,012 Electricity & Water Charges 306,185 362,642 Freight & Forwarding Expenses 800 160 Insurance Expenses 95,264 119,577 Job Worker Expenses 19,285 51,590 Legal & Professional Charges 64,558 78,876 Miscellaneous Expenses 389,007 416,461 Other Interest 192 - Office Maintenance Expenses 30,979 45,978 Provision for Gratuity & Leave encashment 20,447 Repairs and maintenance-Others 53,524 4,287 Rent (Refer Note 29) 120,000 120,000 Lease Rent 94,716 - Sales Promotion & Marketing Expense 127,490 168,625 Security Expenses 253,484 238,500 Travelling and Conveyance Expenses 150,555 233,884

Total 2,465,176 2,600,075

50

OROSILSMITHSINDIALIMITED(FORMERLYKNOWNASSILVERSMITHINDIALIMITED)

Note20:Signi�icantAccountingPoliciesandNotestoaccounts(AllamountsinRupees,unlessotherwisespeci�ied)

20. BACKGROUND

Orosil Smiths India Limited was incorporated in June 01, 1994 as per Companies Act, 1956, The CompanyoperatinginGemsandJewellerysector.

OperationalOutlook

DuringtheFinancialyearendedMarch31,2017theCompanyhada total incomeofRs18,011,022(March31,2016Rs32,325,339)alongwithLossafterTaxof2,800,200(March31,2016Rs2,540,968).AsatMarch31,2017theCompany’saccumulatedlossesisRs13,936,572.

ShareHolders

havingmorethan5%sharesoftheCompanyhascommittedtoprovidecontinuedoperationaland�inancialsupporttotheCompany.Accordingly,theaccompanying�inancialstatementshavebeenpreparedonagoingconcernbasis.

21. SIGNIFICANTACCOUNTINGPOLICIES

21.1 Basisofpreparationof�inancialstatements

These�inancialstatementshavebeenpreparedinaccordancewiththeGenerallyAcceptedAccountingPrinciplesinIndia(GAAP)underthehistoricalcostconventiononaccrualbasis,exceptforcertaintangibleassetswhicharebeing carried at revalued amounts. These �inancial statements have been prepared to comply in all materialaspectswith theaccounting standards speci�iedunder Section133of theCompaniesAct, 2013 (theAct), readwithRule7oftheCompanies(Accounts)Rules,2014.

Allassetsand liabilitieshavebeenclassi�iedascurrentornon-currentasper theCompany’snormaloperatingcycleandothercriteriasetoutintheCompaniesAct,2013.

Theaccountingpoliciesadoptedinthepreparationofthese�inancialstatementsareconsistentwiththoseappliedinpreviousyear.

21.2 TangibleAssets

Tangibleassetsarestatedatcost(orrevaluedamounts,asthecasemaybe),netofaccumulateddepreciationandaccumulatedimpairmentlosses,ifany.Costcomprisespurchasepriceandanyotherattributablecostofbringingtheassettoitsworkingconditionforitsintendeduse.

Thecostof�ixedassetsnotreadyfortheirintendeduseisrecordedascapitalwork-in-progressbeforesuchdate.Costofconstructionthatrelatedirectlytospeci�ic�ixedassetsandthatareattributabletoconstructionactivityingeneralandcanbeallocatedtospeci�ic�ixedassetsareincludedincapitalwork-in-progress.

Subsequentexpendituresrelatedtoan itemof �ixedassetareaddedto itsbookvalueonly if they increasethefuturebene�itsfromtheexistingassetbeyonditspreviouslyassessedstandardofperformance.

Gainsorlossesarisingfromdisposalofassetsare

measuredasthedifferencesbetweenthenetdisposalproceedsandthecarryingamountoftheassetsandarerecognizedinthestatementofpro�itandlosswhentheassetisdisposedoff.

Depreciationisprovidedonapro-ratabasisonWrittenDownValueMethod(WDV)usingtheratesarrivedbasedontheusefullivesofassetsspeci�iedinPartCofScheduleIItheretooftheCompaniesAct,2013

21.3 LeasesWheretheCompanyisthelessee

51

Leases in which a signi�icant portion of the risks and rewards of ownership are retained by the lessor areclassi�iedasoperatingleases.PaymentsmadeunderoperatingleasesarechargedtotheStatementofPro�itandLossonastraight-linebasisovertheperiodofthelease.

21.4RevenueRecognitionRevenueisrecognizedtotheextentthatit isprobablethattheeconomicbene�itswill�lowtotheCompanyandtherevenuecanbereliablymeasured.

Revenuesfromservicesarerecognizedasperthecontractualarrangement.

21.5OtherIncome

InterestIncome:

InterestIncomeisrecognizedontimeproportionbasistakingintoaccounttheamountoutstandingandtherateapplicable.

21.6Employeebene�its

ProvidentFund:Contributiontowardsprovidentfundforcertainemployeesismadetotheregulatoryau thorities,wheretheCompanyhasno furtherobligations.Suchbene�itsareclassi�iedasDe�inedContributionSchemesastheCompanydoesnotcarryanyfurther

obligations,apartfromthecontributionsmadeonamonthlybasis.

Gratuityliabilityisade�inedbene�itobligationandisprovidedonthebasisofanactuarialvaluationonprojectedunitcreditmethod.TheCompanyrecognizestheactuarialgainsandlossesintheStatementofpro�it&lossintheperiodinwhichtheyarise.

Liabilityforleaveencashmentisprovidedonthebasisofanactuarialvaluationonprojectedunitcreditmethod.TheCompanyrecognizestheactuarialgainsand losses in theStatementofpro�it& loss in theperiod inwhichtheyarise.

21.7Currentanddeferredtaxes

Taxexpensefortheperiod,comprisingcurrenttaxanddeferredtax, areincludedinthedeterminationofthenetpro�it for the period. Current tax is measured at the amount expected to be paid to the tax authorities inaccordancewiththetaxationlawsprevailingintherespectivejurisdictions.Deferredtaxisrecognisedforallthetimingdifferences,subjecttotheconsiderationofprudenceinrespectofdeferredtaxassets.Deferredtaxassetsarerecognisedandcarried forwardonly to theextent that there isa reasonablecertainty thatsuf�icient futuretaxableincomewillbeavailableagainstwhichsuchdeferredtaxassetscanberealized.

Deferred tax assets and liabilities are measured using the tax rates and tax laws that have been enacted orsubstantively enacted by the Balance Sheet date. At each Balance Sheet date, the Company re-assessesunrecognizeddeferredtaxassets,ifany.

Currenttaxassetsandcurrenttaxliabilitiesareoffsetwhenthereisalegallyenforceablerighttosetofftherecognisedamountsandthereisanintentiontosettletheassetandtheliabilityonanetbasis.Deferredtaxassetsanddeferredtaxliabilitiesareoffsetwhenthereisalegallyenforceablerighttosetoffassetsagainstliabilitiesrepresentingcurrent

taxandwherethedeferredtaxassetsandthedeferredtaxliabilitiesrelatetotaxesonincomeleviedbythesamegoverningtaxationlaws

Minimum Alternative Tax credit is recognized as an asset only when and to the extent there is convincingevidencethatthecompanywillpaynormalincometaxduringthespeci�iedperiod.SuchassetisreviewedateachBalanceSheetdateand the carryingamountof theMATcreditasset iswrittendown to the extent there is nolonger a convincing evidence to the effect that the Companywill pay normal income tax during the speci�iedperiod.

21.8Provisionsandcontingencies

Provisions:Provisionsarerecognizedwhenthereisapresentobligationasaresultofapastevent,itisprobablethatanout�lowofresourcesembodyingeconomicbene�itswillberequiredtosettletheobligationandthereisareliableestimateoftheamountoftheobligation.ProvisionsaremeasuredatthebestestimateoftheexpenditurerequiredtosettlethepresentobligationattheBalance sheetdateandarenotdiscountedtoitspresentvalue.

52

21.9EarningsPerShare

IndeterminingtheEarningsPerShare(EPS),theCompanyconsidersthenetpro�itaftertaxandincludestheposttaxeffectofanyextraordinary/exceptionalitem.Inabsenceofanydilutiveeffectof

Contingent Liabilities: Contingent liabilitiesaredisclosedwhen there is apossible obligation arising frompastevents, the existence of which will be con�irmed only by the occurrence or non occurrence of one or moreuncertainfutureeventsnotwhollywithinthecontrolofthecompanyorapresentobligationthatarisesfrompasteventswhereitiseithernotprobablethatanout�lowofresourceswillberequiredtosettleorareliableestimateoftheamountcannotbemade.

equityshares,thebasicanddilutedEPSarecalculatedonthesamebasis.Thenumberofsharesusedincomputingbasicanddilutedearningspershares,theweightedaveragenumberofequitysharesoutstandingduringtheyearisused.

21.10SegmentInformation

The Company operates under single reportable segment and hence requirement of Accounting Standard-17“SegmentReporting”speci�iedunderSection211(3C)oftheActisnotapplicable.

22. RELATEDPARTYDISCLOSURES

(A)ListofRelatedPartiesandRelationship

Associates

SukarmaFinanceLtd

PriyCorporateandFiscalAdvisorslimited(FormerlyKnownasCorporateResearch&IntelligenceServicesLtd.)

KeyManagementPersonnel

Mr.B.K.Narula,Director

Mrs.RitaNarula,Director

Mrs. BhavanaSampathKumar,Director

Mr.VineetAggarwal,Director

Mr.KaranSuri

MrsKanchanGupta,CompanySecretary

Mrs.RakhiAhuja,CompanySecretary(Resignedon27.04.2017)

Mr.SanjayBana,CFO

RelativesofKeyManagementPersonnel

Mr.CLNarula

Ms.SidhiNarula

EntitiesoverwhichKeyManagementPersonnelareabletoexercisesigni�icantin�luence

B.K.Narula(HUF)

XtremsRetailsLtd.

BKNEducationalSocietySridhiInfraPvt.Ltd.VeritasMedicalPrivateLimited

53

iii)EntitiesOverwhichKeyManagementPersonnelareabletoexercisesigni�icantin�luence.

LoansRepaid

149052

450000

LoanReceived

149052

Nil

TradingPurchase

2600892

Nil

TradingSales

1658347

Nil

AmountpayableoutstandingfortheyearendingMarch31,2017Rs.150000/- (BKNarulaHUF)Therearenoamountpayable/receivableoutstandingfortheyearendingMarch31,2016

b)Thefollowingtransactionswerecarriedoutwithrelatedpartyintheordinarycourseofbusiness

Particulars Asat31-3-2017

Asat31-3-2016

i)Associates(SukarmaFinanceLimited)

RentReceived

66,000

66,000LoanReceived

191797

NilLoansRepaid

125000

NilReimbursementofExpenses

327,982

327,982

Sale 85128

Nil

Purchase 239983

Nil

ii)Associates(CorporateResearch&IntelligenceServicesLimited)

Reimbursementof

Expenses

iii)KeyManagementPersonnel&theirRelatives

Nil

400

RemunerationtoDirectors

5,40,012

5,40,012

DirectorsSittingFees

500013,500

TradingSale

725809 NilLoanReceived

100000 Nil

LoansRepaid

100000

Nil

RentalPayment

120,000

120,000SaleofInvestment

360000

Nil

RemunerationtoCompanySecretary

185995

213,579

RemunerationtoCFO

387,000

387,000

54

23. ContingentLiabilities

TheCompanyhasgivenBankGuaranteetoSalesTaxauthoritiesamountingtoRs.250,980asatMarch31,2017(PreviousyearRs.2,39,423).

24. CAPITALANDOTHERCOMMITMENTS

TherearenoCapitalandothercommitmentsoutstandingasatMarch31,2017.

25. EARNINGSPERSHARE

Particulars

Fortheyearended

March31,2017

FortheyearendedMarch31,2016

Numberofshares

outstandingduringtheyear

8,263,200

8,263,200Netpro�itaftertaxavailableforequityShareholders(Rupees)

(2,800,200)

(2,540,968)

Basic/Dilutedearningsperequityshare(inRupees)

(0.34)

(0.31)

26. Basedontheinformationavailablewiththemanagement,therearenooutstandingduestoMicro,SmallandMedium Enterprises as per Micro, Small and Medium Enterprise Development Act, 2006 as at year end(previousyear–

Nil).

27. SUPPLEMENTARYSTATUTORYINFORMATION

S.No. Particulars


(AmountsinRs.)


(AmountsinRs.)1. ExpenditureinForeignCurrency

(a) MarketingExpenses Nil Nil

Total

Nil

Nil

2. EarningsinForeignCurrency SaleofProduct

Nil

Nil

Total

Nil

Nil

28. GratuityandPostEmploymentBene�itPlans

TheCompanyhasade�inedbene�itgratuityplan.Everyemployeewhohascompleted�iveyearsormoreof

servicegetsagratuityondepartureat15dayssalary(lastdrawnsalary)foreachcompletedyearofservice.

Theschemeisunfunded.

Thefollowingtablessummarizethecomponentsofnetbene�itexpenserecognizedintheStatementofpro�it&lossandamountsrecognizedinthebalancesheetfortherespectiveplans:

StatementofPro�it&Loss

Netemployeebene�itexpense(recognizedinEmployeeCost)fortheyearendedMarch31,2017

2016-17(AmountsinRs.)


Currentservicecost 35,707 36,761Interestcostonbene�itobligation 12,873 19,610Expectedreturnonplanassets - -Netactuarial(gain)/lossrecognizedintheyear (2,026) (48,337)Pastservicecost

-

-Netbene�itexpense

46,554

8,034

55



De�inedbene�itobligation 234,475 187,921Fairvalueofplanassets

-

-Less:Unrecognizedpastservicecost

-

-Plan(asset)/liability

234,475

187,921

Changes in the present value of the de�ined bene�it obligation for the year endedMarch 31, 2017 are asfollows:

2016-17

(AmountsinRs.) 2015-16

(AmountsinRs.)

Openingde�inedbene�itobligation

187,921

183,134Interestcost 12,873 14,284Currentservicecost 35,707 28,186Bene�itspaid - -Actuarial(gains)/lossesonobligation (2,026) (37,683)Closingde�inedbene�itobligation 234,475 187,921

Theprincipalassumptionsusedindetermininggratuityandleavebene�itobligationsfortheCompany’splansareshownbelow:

2016-17

2015-16

Discountrate

6.85%

7.80%

Expectedrateofreturnonassets

N.A.

N.A.

Employeeturnover

7.00%

13.5%

Theestimatesoffuturesalaryincreases,consideredinactuarialvaluation,takeaccountofin�lation,seniority,

promotionandotherrelevantfactors,suchassupplyanddemand

intheemploymentmarket.

Inrespectofde�inedcontributionplan,theCompanyhasrecognizedthefollowingamountsinthestatementofpro�it&Loss:

Particulars

FortheyearendedMarch31,2017(AmountsinRs.)

FortheyearendedMarch31,2016(AmountsinRs.)

Employer’sContributiontoProvidentFundincludingFamilyPensionFund*

Nil Nil

*IncludedintheheadContributiontoProvidentandOtherFunds

Notes:

Information relating to experience adjustment in the actual valuation of gratuity as required by Para 120(n)(ii)oftheAccountingStandard15(Revised)onEmployeeBene�itsisnotavailablewiththeCompany.

29. LEASECOMMITMENTS

TheCompanyhasenteredintooperatingleasetransactionforrentingofOf�iceandresidentialpremises.Theterms of leases includes terms of renewal, increase of rent of premises in future period and terms ofcancellation etc. The leases are cancellable in nature.

The Company has made payment of Rs.120,000(previousyearRs.120,000)recognizedas

anexpenseintheStatementofPro�it&LossfortheyearendedMarch31,2017.

30. TheCompanyhasidenti�iedFixedAssetsamountingRs.10.47LacsasheldforsaleandthereforeithasbeendiscardedfromFixedAssetsatitsbookvalueornetrealizablevalue,whicheverislower.

56

Balancesheet

DetailsofProvisionforgratuityasatMarch31,2017

31. TheCompanydoesnothaveanyexposureinrespectofforeigncurrencydenominatedassetsandliabilities(nothedgedbyderivativeinstruments)asat31March2017.

32. Balance of Trade Receivables, Trade Payables and Loans and Advances are subject toindependentcon�irmationsandreconciliation.

33. DeferredTaxes

Keepinginviewtheprudenceandabsenceofvirtualcertaintyoffuturetaxableincome,thedeferredtaxassetsonunabsorbedbusinesslossesanddepreciationhasnotbeencreatedasonthereportingdate.

34. Previousyear�igureshavebeentakenfrom�inancialstatementsauditedandopinedbypreviousstatutoryauditors.

35. PREVIOUSYEARCOMPARATIVES

Previousyear�igureshavebeenreclassi�iedwherevernecessarytoconformtothisyear’sclassi�ication.

36. DisclosureonSpeci�iedBankNotes(SBNs)

Therequired disclosure for speci�ied bank notes or other denomination held and transacted during theperiodfrom8th

November2016to30th

December2016asrequiredin theMCAnotificationG.S.R.308(E)dated30th

March2017isasunder.

Particulars

SBNs*

OtherDenomination

TotalClosingcashinhandason08.11.2016

5,501,500

413,084

5,914,584(+) Permitted receipts (Sale from 9.11.2016 to30.12.2016)Rs.2000/-,Rs500/-

(New)&

BelowRs.500/-

NIL

223,749

223,749

(+) Permitted receipts (Withdrawn from bank)newcurrency

NIL

73,000

73,000

(-) Permitted payments (cash expenses from9.11.2016to30.122016)

NIL (14618) (14,618)

(-)Amountdepositedinbanks (5,501,500) NIL (5,501,500)Closingcashinhandason30.12.2016 NIL 695215 695,215

*Forthepurposeofthisclausetheterm‘Speci�iedBankNotes’shallhavethesamemeaningprovidedintheno ti�ication ��GovernmentofIndia,intheMinistryofFinance,DepartmentofEconomicsAffairsnumberS.O.3 407(E),datedthe8

November,2016.


B. K. Narula

Director

DIN 00003629

Karan Suri


Prabhat Kumar

Partner

M. No. 527070

Director

Rita Narula


Kanchan Gupta

PAN BJYPG3604E

Sanjay Bana

CFO

PAN ALMPB8242N

Place : Noida


sd/-

As per our Report of even dateFor & on behalf of

PNG & Co.


(ICAI Reg No. 021910N)

sd/- sd/- sd/-

sd/-sd/-

57

OROSIL SMITHS INDIA LIMITEDCIN: L74899DL1994PLC059341

Registered office: Flat No.620, Hemkunt Chambers, 89, Nehru Place, New Delhi-110019

Tel: +91-120-2540571, Fax: +91-120-2540578, E-mail: [email protected], W: www.orosil.com

PROXYFORM(FormNo.MGT-11)

[Pursuanttosection105(6)oftheCompaniesAct,2013andRule19(3)oftheCompanies(ManagementandAdministration)Rules,2014]

CIN :L74899DL1994PLC059341NameofCompany :OROSILSMITHSINDIALIMITED

RegisteredOf�ice :FlatNo.620,HemkuntChambers,89,NehruPlace,NewDelhi-110019Nameofthemember(s)

:

RegisteredAddress

:

FolioNo./ClientID

:

DPID

:

EmailID

:

I/We,beingthemember(s)of…………………………….SharesoftheabovenamedCompany,herebyappoint:

1. Name :……………………………………………………………………..E-mailID:………………………………………………………

Address :………………………………………

………………………………………………………………………………………………..

Signature :……………………………………………………………………………………………………………………..orfailinghim/her

2. Name :……………………………………………………………………..E-mailID:………………………………………………………

Address :………………………………………………………………………………………………………………………………………..


3. Name :……………………………………………………………………..E-mailID:………………………………………………………

Address :………………………………………………………………………………………………………………………………………..


asmy/ourproxytoattendandvote(onapoll)forme/usandonmy/ourbehalfatthe23rd AnnualGeneralMeetingoftheCompanytobeheldonTuesday, the25th dayofJuly,2017 at11AMatYWCAofDelhi,AshokaRoad,NewDelhi– 110001oranyadjournmentthereofinrespectofsuch

resolutionsasareindicatedbelow:

Signedonthis…………………………….dayof………………………………2016.

SignatureofShareholder………………………..SignatureofProxyholder(s)………………………………………

Notes:1)ThisformofproxyinordertobeeffectiveshouldbedulycompletedanddepositedattheRegisteredOf�iceoftheCompanynotlessthan48

hoursbeforethecommencementoftheMeeting.

2)Apersoncanactasproxyonbehalfofmembersnotexceeding�ifty(50)and holdingintheaggregatenotmorethan10%ofthetotalsharecapitaloftheCompany.Amemberholdingmorethan10%ofthetotalsharecapitaloftheCompanycarryingvotingrightsmayappointasinglepersonasaproxy.However,suchpersonshallnotactasproxyforanyothershareholders.

ResolutionNumber

DescriptionofResolutions

Assent

Dissent

OrdinaryBusiness:

1. AdoptionOfAuditedFinancialStatements

ForTheFinancialYearEndedOn31st

March,2017

2. Re-

appointmentofMs.RitaNarulaasadirectorliabletoretirebyrotation.

3. AppointmentofM/sPNG&Co.,charteredAccountantasstatutoryauditorto�illcasualvacancy

SpecialBusiness:

4 RegularizationofAdditionalDirector-

Mr.KaranSuri

5 ApprovalForsub-divisionofOneEquityShareof

5/-

EachInto5EquitySharesofRs.1/-

Each

6 Approvalforalterationofthecapitalclauseinthememorandumofassociationofthe

company

Af�ixOne

Rupee

Revenue

Stamp

OROSIL SMITHS INDIA LIMITED

CIN: L74899DL1994PLC059341

Registered office: Flat No.620, Hemkunt Chambers, 89, Nehru Place, New Delhi -110019

Tel: +91-120-2540571, Fax: +91-120-2540578, E-mail: [email protected], W: www.orosil.com

ATTENDANCE SLIP

23RD ANNUAL GENERAL MEETING ON TUESDAY, 25TH JULY, 2017 at 11 A.M

Mr./Mrs./Miss…………………………………………………………………………………………………....…………………

…………………………………………………………………………………………….…………………………………….….

Address………………………………………………………………………………………………………………......…………

Folio No. (Physical holding)…………………

……DP ID (Demat holding)……………….…..Client ID…....…………………

No. of Shares held ……………………………………………………………………………………………………...………….

I/We certify that I am/we are registered Shareholder/Proxy for the registered shareholder of the Company.

I/We hereby record

my/our presence at the 23rd

Annual General Meeting of the Company on

Tuesday, the 25th day of July,

2017 at 11 a.m. at YWCA of Delhi, Ashoka Road, New Delhi -

110001.

[Signature of Shareholders/Proxy(s)]………………………………………………………………………….

Notes: 1) Please fill in this attendance slip and hand it over at the entrance of the Meeting Hall.

2) Member’s Signature should be in accordance with the specimen signature registered with the Company.

3) Please bring your copy of the Annual Report for reference at the Meeting.

60

RouteM

apfro

mPatelChowkM

etroStation

If Undelivered, please return it to :

OROSIL SMITHS INDIA LTD.

Flat No. 620, Hemkunt Chambers,

89, Nehru Place, New Delhi-110019

CIN : L74899DL1994PLC059341

Website : www.orosil.com, Email : [email protected]

OROSIL SMITHS INDIA LTD.

SPEED-POST

ANNUAL REPORT 2016- 2017

Documents

a multi dimensional jewellery solutions company · Common Wealth Games Village Delhi 110092 NOTES: 1. Explanatory Statement pursuant to Section 102 of the Companies Act, 2013, in