Chairmans Message

Dear Shareholders,

My colleagues on the Board and I have great pleasure to welcome you on 22nd  Annual General Meeting of the Company and produce before you financial documents for the year ended 31st March 2014, along with Balance Sheet and the statement of profit and loss account.

 Performance

 In spite of high competitive environment and tough market conditions we are glad to report that the Company has increased its sales by 36% as compared to the last year sales position, however the Company has not been able to bring profit due to following reasons:

a.     Increase in cost of US dollar : US dollar rate has increased by almost 20% due to that raw material prices gone up.  

Higher finance cost
Adverse Government policy, where Government has allowed import of cards at 0% custom duty due to this policy competition from finished cards imports has increased in local market. The Company has to pay duty on raw material import, which has increased cost of manufacturing.

Order Book

Your Company is glad to inform you that the Company has bagged following new orders of supply of smart card Driving Licenses at various locations as stipulated by respective state Governments, which is the millstone in improving customer base of the Company across the India:-

Chandigarh Driving License Project
Andaman R C book  Project

 Your Company has successfully implemented driving license projects for Uttar Pradesh, Rajasthan and holding purchase order of value around 200 Crores.

 Company has also bagged one of the leading projects from banking sector for supply of banking Smart cards for Bank of Maharashtra.

 Your Company is expecting positive outlook in future since many good opportunities are expected.

 Human Resource Development & Quality Culture

Your Company has given continuous training to employees for improving quality standards of working and ultimately developing the Company, we always believe  Human assets are the main asset of the Company & always focus to do continuous improvement

Intellectual Property

Your Company has been continuously doing R & D in its products & has been continuously providing customized solutions to its customers as particularly mentioned in the Directors Report.

Your Company has successfully completed VISA and Master card certification for EMV Banking Cards and the Company is expecting to complete ISO 27000 certification very soon.

Green Initiatives

Around 10% of our electricity consumption was met by the Power generated by non conventional sources i.e. through the windmill of the Company.

Your Company continuously focuses on conservation of energy and to adopt suitable measures to reduce utilization of papers in the day to day affairs of the Company. Your Company has successfully implemented Paperless HR and MIS management and will take more initiatives towards development of paperless applications and target to become paperless industry in near future.

Acknowledgments

I would like to place on record our grateful appreciation of the facilities and services offered by State Bank of India, & Vishweshwar Sahakari Bank Limited and their officers & staff. I would like to place on record the appreciation for the enthusiastic co-operation, hard work and dedication of all employees and the invaluable support extended to the Company by the Shareholders, Vendors, Suppliers, Customers, Consultants and other stakeholders. I would also like to place on record the appreciation of Can bank Venture Capital Fund Ltd. & Associated Capsules Pvt. Ltd.

Thanking you,

Vijay M. Gandhi,
Chairman & Managing Director 

Date: 05.09.2014