th Annual Report 2015-16 NLC India Limited Navratna - Govt. of India Enterprise CHAIRMAN AND MANAGING DIRECTOR PRINCIPAL BANKERS Shri. Sarat Kumar Acharya State Bank of India DIRECTORS Canara Bank Shri. Rakesh Kumar AXIS Bank Shri. Subir Das HDFC Bank Shri. V. Thangapandian ICICI Bank Shri. P. Selvakumar TRUSTEES TO THE NEYVELI BONDS 2009 Shri. Chandra Prakash Singh Shri. Azad Singh Toor M/s. IDBI Trusteeship Services Ltd., Shri. K. Madhavan Nair Vishawastha Bhavan, 1st Floor, CHIEF FINANCIAL OFFICER 218, Pratapganj Peth, Satara - 415 002. Shri. Rakesh Kumar Telefax : 02162 - 280075. COMPANY SECRETARY REGISTERED OFFICE Shri. K. Viswanath First Floor, No.8, Mayor Sathyamurthy Road, STATUTORY AUDITORS FSD, Egmore Complex of Food Corporation of India, M/s. P.B. Vijayaraghavan & Co., Chetpet, Chartered Accountants, Chennai - 600 031. 14/27, Cathedral Garden Road, DEPOSITORY REGISTRAR & Nungambakkam, SHARE TRANSFER AGENT Chennai - 600 034. M/s. Integrated Enterprises (India) Ltd., M/s. Chandran & Raman, Chartered Accountants, II Floor, 'Kences Towers', Paragon No.2, Dr. Radhakrishnan Salai, No.1, Ramakrishna Street, 2nd Street, Mylapore, North Usman Road, T. Nagar, Chennai - 600 004. Chennai - 600 017. BRANCH AUDITOR M/s. Surender K Goyal & Co., CONTENTS Chartered Accountants, Performance Highlights 9 Nukul Niwas, Behind Roadways Depot, Sardar Shahar - 331 403. Directors' Report 11 COST AUDITOR C&AG's Comments 68 M/s. M. Krishnaswamy & Associates, Auditors' Report 69 Cost Accountants, Significant Accounting Policies 78 Flat 1K, Ramaniyam Ganga, Balance Sheet 84 Door No. 27-30, First Avenue, Ashok Nagar, Chennai - 600 083. Profit & Loss Statement 85 SECRETARIAL AUDITOR Cash Flow Statement 86 Shri. R. Balasubramaniam, Notes to the Financial Statement 88 Practising Company Secretary, Information on Subsidiary Companies 108 J Block, Second Street, "Newry Suprit", Consolidated Financial Statements 111 Door: 27, Flat A2, Anna Nagar East, Social Overhead 148 Chennai - 600 102. 1 th Annual Report 2015-16 NLC India Limited Navratna - Govt. of India Enterprise DIRECTORS’ PROFILE Shri. SARAT KUMAR ACHARYA, Chairman and Managing Director (DIN: 03357603) Shri. Sarat Kumar Acharya, aged 57 years, assumed office as the Chairman and Managing Director of the Company on 01.10.2015. Prior to assuming charge as CMD, Shri. Acharya was the Director (Human Resource) during the period from 16.12.2010 to 30.09.2015. Shri. Acharya, carries with him rich and varied professional experience of over 30 years in BHEL, NTPC and NTPC-SAIL Power Company. Shri. Acharya hails from Odisha and had studied at prestigious Institutions like Ravenshaw College and Utkal University. In his rich professional career, he made significant contributions in improving people processes and practices in the Companies he worked with and through his innovative management initiatives, strategic and operational interventions contributed to the enhancement of business results. A recipient of many national and international awards and honours, Shri. Acharya is one of the few inspirational corporate leaders, whose name finds place in the book 'Most Powerful HR Professionals of India' (4th Edition). Widely travelled and well trained in India and abroad, Shri. Acharya lends his services in academics as a visiting faculty to many premier Business Schools and Management Institutes. Shri. RAKESH KUMAR, Director (Finance) (DIN: 02865335) Shri. Rakesh Kumar, aged 53 years,is an MBA (Finance) and joined the Company on 23.05.2012. Prior to this, he was the Director (Finance) of Brahmaputra Cracker and Polymer Limited (BCPL) and had held various positions at GAIL (India) Limited. Shri. Rakesh Kumar has rich and varied experience of three decades in the sectors of Oil & Natural Gas, Coal, Power, Renewable Energy and Regulatory affairs. He has made significant contribution in the areas of financial management, treasury and risk management, cost and budgetary control, internal financial control and corporate governance. In addition, in order to optimize cost and bring efficiency, he has been nominated by GoI as the convener of the Energy Sector Task Force. Shri. Rakesh Kumar is the recipient of many prestigious awards and has travelled extensively abroad. Shri. SUBIR DAS, Director (Mines) (DIN: 06988287) Shri. Subir Das, aged 58 years, did his graduation in Mining from Indian School of Mines, Dhanbad and holds First Class Mine Managers Certificate. Shri. Subir Das started his career as an Executive Trainee with Eastern Coalfields Limited, a Subsidiary of Coal India Limited (CIL) in the year 1980 and during the last three and half decades, he had held various important positions in many of the Subsidiaries of CIL. Shri. Subir Das assumed charge as Director (Mines) w.e.f. 30.09.2014 and prior to his joining, he was holding the position of General Manager in Bharat Coaking Coal Limited, a Subsidiary of CIL. Shri. Subir Das has vast experience in underground coal mining and was involved in various projects of the Subsidiaries of CIL and was also instrumental in many of its achievements. 2 th Annual Report 2015-16 NLC India Limited Navratna - Govt. of India Enterprise Shri. V. THANGAPANDIAN, Director (Power) (DIN: 07255163) Shri. V. Thangapandian, aged 57 years, a Graduate in Mechanical Engineering. Shri. Thangapandian started his career as an Executive Trainee with NTPC in the year 1981 and during the last three and half decades, he had held several key positions in various projects of NTPC. Shri. Thangapandian assumed charge as Director (Power) w.e.f. 01.09.2015 and prior to his joining, he held the position of Head of Project at NTPC-Mouda (Nagpur). Shri. Thangapandian has vast experience in the areas of Planning, Erection, Commissioning and Operation & Maintenance of power plants and was also instrumental in many of the achievements in NTPC. Shri. P. SELVAKUMAR, Director (Planning & Projects) (DIN: 07347130) Shri. P. Selvakumar, aged 58 years, is a graduate in Mechanical Engineering and also in Mining Engineering. He holds a post graduate degree in Thermal Power Engineering and a Masters Degree in Business Administration in Finance. He holds First Class Mines Managers Certificate. Shri. Selvakumar had joined NLC in 1981 and has held various important positions in the Company, before assuming charge as Director (Planning & Projects) w.e.f. 01.01.2016. Shri. Selvakumar was instrumental in successfully implementing the Barsingsar Lignite Mine Project in Rajasthan from concept to completion stage without any time or cost overrun. Shri. Selvakumar has vast experience in the fields of Mine planning, Mine operation, Projects planning and implementation. He has visited various countries including Germany, Canada and United States to attend Technical Seminars and Industrial Exhibitions. Shri. CHANDRA PRAKASH SINGH, Non-official Part-time Director (Independent Director) (DIN: 00594463) Shri. Chandra Prakash Singh , aged 62 years, a Post Graduate in Political Science, was a Member of Indian Administrative Service and had held various positions in Government of Tamilnadu and also in Government of India. Shri. Chandra Prakash Singh retired as the Additional Chief Secretary to Government of Tamilnadu. Shri. Chandra Prakash Singh has assumed charge as Non-official Part-time Director (Independent Director) w.e.f. 17.11.2015. 3 th Annual Report 2015-16 NLC India Limited Navratna - Govt. of India Enterprise Shri. AZAD SINGH TOOR, Non-official Part-time Director (Independent Director) (DIN: 07358170) Shri. Azad Singh Toor, aged 64 years, a graduate in Economics, Political Science and English, was a Member of Indian Foreign Service. Shri. Azad Singh Toor had held various positions in the Government of India including the Ambassador and retired as a Diplomat. Shri. Azad Singh Toor has assumed charge as Non-official Part-time Director (Independent Director) w.e.f. 03.12.2015. Shri. K. MADHAVAN NAIR, Non-official Part-time Director (Independent Director) (DIN: 07366493) Shri. K. Madhavan Nair, aged 63 years, a Post Graduate in Economics, joined Indian Revenue Service in 1975 after a stint in teaching and working in the Income-tax Department and Enforcement Directorate. Functioned in the Investigation, Training and Field Assignments at various locations in India, Shri. Madhavan Nair retired as a Member, Central Board of Direct Taxes in the year 2012 after holding the portfolios of Investigation and Legislation which involved the preparation of Direct Taxes part of the Union Budget. Shri. Madhavan Nair was also Vice-Chairman of the Committee on black money set up by the Finance Minister and later functioned as Income-tax Ombudsman at Kochi, Kerala State. Shri. Madhavan Nair has assumed charge as Non-official Part-time Director (Independent Director) w.e.f. 11.12.2015. 4 th Annual Report 2015-16 NLC India Limited Navratna - Govt. of India Enterprise CHIEF VIGILANCE OFFICER Manoj Kumar SENIOR MANAGEMENT N. Muthu R. Mohan Syed Abdul Fateh Khalid S. Thirunavukkarasu Executive Director Executive Director Executive Director Executive Director (HR) (Commercial) (Mines) (CP&PM) V. Renganathan S. Sankaran S. Sridhar Executive Director Executive Director Executive Director (SME & Conveyor) (Thermal) (TA, PRO, CSR & Education) M. Maheswaran D. Ravindran V. Shanmuganathan CGM (HR) / Chennai CGM (Barsingsar) CGM (IE Wing) 5 th Annual Report 2015-16 NLC India Limited Navratna - Govt. of India Enterprise SENIOR MANAGEMENT N. Sankar V. Chandrasekaran M. Rajasekaran CGM (HR) / Indcoserve & Howsicos CGM (Chairman’s Secretariat) CGM (Mine-II)