| InterAsia Leasing Company Limited |
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| Annual
Report 1998 |
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| CONTENTS |
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| Corporate
Information |
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| Financial
Highlights |
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| Directors'
Report |
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| Auditor's
Report |
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| Balance
Sheet |
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| Profit
and Loss Account |
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| Cash
Flow Statement |
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| Notes
to the Accounts |
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| Pattern
of shareholding |
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| Notice
of Meeting |
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| CORPORATE
INFORMATION |
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| Board
of Directors |
Mr. Inam-ul- Haq |
Chairman |
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|
Mr. Haroon Sharif |
Chief Executive Officer |
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|
Mr. Rauf Baksh Kadri |
Director |
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Mr. Naveed Ahmed Khan |
Director |
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Mr. Ashfaq Yousaf Tola |
Director |
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Mr. Najeeb Samie |
Director |
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|
Ms. Parveen Malik |
(Nominee of Saudi Pak
Industrial & |
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|
Agricultural Investment
Co. (Pvt) Ltd,) |
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| Company
Secretary |
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Mr. Salman Rashid, (ACMA) |
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| Bankers |
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Gulf Commercial Bank Ltd. |
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Crescent Investment Bank
Ltd, |
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Bank of Khyber |
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First Women Bank Ltd. |
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Trust Investment Bank
Ltd, |
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| Legal
Advisors |
Ahmer Bilal Soofi,
Advocates & Solicitors |
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| Auditors |
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Khalid Majid Husain
Rahman, Chartered Accountants, |
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| Registrar
and Share |
Universal Management
Services (Ptv) Ltd. |
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| Transfer
Office |
1st Floor, Finance and
Trade Centre |
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Shahra-e- Faisal,
Karachi, Pakistan |
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Tel: (92 21) 5675311-3 |
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| Registered
Office/ |
107-West, Fazle Haq Road,
Blue Area |
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| Head Office |
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Islamabad- 44000,
Pakistan. |
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Tel: (92 51) 275591-94 |
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Fax: (92 51) 275599 |
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| Liaison
Office Lahore |
State Life Building,
Ground Floor |
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Sir Agha Khan Road,
Lahore, |
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Tel: (92 42) 6303059 |
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Fax: (92 42) 6303069 |
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| FINANCIAL
HIGHLIGHTS |
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|
(Rs. In millions) |
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|
1998 |
1997 |
1996 |
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| Financial
Position |
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|
|
| Total Assets |
|
|
439.90 |
403.04 |
302.38 |
|
| Leased
Assets |
|
|
333.90 |
313.76 |
231.36 |
|
| Current
Liabilities |
|
|
173.22 |
141.24 |
14,498 |
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| Long
Term Debts |
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|
123.00 |
132.23 |
2,962 |
|
| Shareholder's
Equity |
|
|
133.70 |
129.58 |
127.79 |
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|
|
|
|
| Earning
Information |
|
|
|
| Operating
Revenues |
|
60.77 |
60.70 |
38.38 |
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| Net
Income after tax |
|
14.22 |
14.29 |
10.21 |
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| *
Return on Equity |
|
10.97% |
11.18% |
8.68% |
|
| a)
Return on Assets |
|
3.37% |
4.05% |
3.85% |
|
|
| *
Calculated on Opening balance of equity |
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| a)
Calculated on average assets for a year |
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|
| DIRECTORS'
REPORT AND REVIEW BY THE CHAIRMAN |
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| The
directors of InterAsia Leasing Company Limited are pleased to present the
sixth Annual Report alongwith the |
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| Audited
Accounts of the company for the year ended June 30, 1998. During this period,
your company has shown |
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| consistent
growth in all areas of business reflecting management's prime focus to
maintain a healthy investment |
|
| portfolio
for the company. |
|
|
| Financial
Results |
|
|
| Lease
Investments: |
|
|
Rs. 333,989,222 |
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| Expenditure: |
|
|
|
Rs. 45,775,197 |
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| Profit
for the year: |
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|
Rs. 14,219,508 |
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| Net Worth: |
|
|
|
Rs. 133,797,465 |
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| Dividend |
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| The
Board of Directors has recommended a cash dividend @ 10% for the year ended
June 30, 1998. |
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|
| Performance
Review |
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| With
the lack of general confidence in Pakistan's economy, the business activities
are at their all time low. This |
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| situation
has resulted into a slow down in all sectors of the economy, and has hampered
the growth of several |
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| leasing
companies as well as other financial institutions. The management of
InterAsia Leasing has adopted a |
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| conservative
and prudent approach to maintain company's growth pattern by putting maximum
emphasis on |
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| recoveries
and by making selective lease investments in performing sectors of the
industry. |
|
|
| During
the year under review, the net investment in leases grew by 11.2% while total
asset size grew by 8.93%. The |
|
| company
has earned a net profit of Rs. 14.3 million. The total revenue for the period
was Rs. 60.77 million. The |
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| company
exercised maximum care in the credit evaluation process. The lease size was
kept smaller and the lease |
|
| portfolio
diversified, in order to spread exposure risk and to minimize the risk of
default. |
|
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| Since
last year InterAsia Leasing has shifted its marketing focus towards small and
medium enterprises (SMEs). The |
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| SMEs
include business houses belonging to relatively unorganized sector with an
average capital base of upto Rs. |
|
| 5.0
million. Based on comprehensive research and in-depth analysis, the
management believes that SMEs with |
|
| reasonable
business history are better credit risk than providing lease financing to
greenfield projects or other larger |
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| sectors
of the industry. |
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|
| Management
Audit |
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| Sensing
the need for improved quality of systems and procedures, the management
appointed independent |
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| consultants
to conduct a comprehensive internal audit. Based on the findings of the audit
report, a number of |
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| changes
have been incorporated in the credit and operational manuals. |
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|
| The Economy |
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| Pakistan's
economy suffered major set-backs in 1997-98. With the imposition of
sanctions, impact of Asian crisis, |
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| and
lack of confidence in the economy, the government is finding it extremely
difficult to arrange required financial |
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| assistance.
All these factors have led to a dangerously high budgetary deficit leading to
a severe liquidity crunch. |
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| Due
to the negative developments at macro level, private sector has also come
under tremendous pressures as its |
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| ability
to raise resources is marred by the low confidence of both local as well as
foreign investors. |
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| However,
there is always a positive side to a crisis situation. The long recession has
moved the market forces to put |
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| pressure
on the government to take mandatory steps towards revival of the economy.
With the possible lifting of |
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| sanctions
and approval of IMF package, the industrial sector is expected to take an
upward shift in the coming year, |
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| The
Leasing Sector |
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| It
has been an extremely difficult year for the financial sector as a whole and
leasing sector in particular. The |
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| leasing
companies suffered a direct set back due to severe liquidity crunch in the
market coupled with an all time |
|
| low
industrial growth. The scarcity of long-term funds is a major impediment for
the growth of the leasing industry.. |
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| Most
of the leasing companies depend upon international credit agencies for
support and funds, but this avenue |
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| has
as also come under pressure due to sanctions and dawn grading of Pakistan's
credit rating. |
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| Recovery
of lease finance and loans is a major problem, not only for the leasing
companies but also for the entire |
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| financial
sector. Low rate of recovery is affecting the financial position of the
leasing companies, The Government of |
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| Pakistan
is using all its efforts to formulate stringent laws of the recovery of
overdues and defaults, Due to these |
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| steps,
it is hoped that recovery of bad debts will improve in future, In general,
leasing sector is passing through a |
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| transitionary
phase of consolidation where companies are required to take several steps
towards structural changes |
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| for
an effective and profitable business, |
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| Future
Direction |
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| The
management of InterAsia Leasing Company is consciously exploring several
possibilities to restructure the |
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| company
as a leading financial institution of the country, It is hoped that line of
credit approved by the Netherland |
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| Development
Finance Company (FMO) will be utilized in the coming year. Apart from
improved internal systems for |
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| operations
and recoveries, the management wishes to enhance equity base of your company
in future, |
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| In
the end, the directors would like to acknowledge commitment and hard work of
the employees and support from |
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| other
LTV group companies which contributed towards smooth operations of the
company. We are also grateful to |
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| our
shareholders for their confidence, regulatory agencies for their support, and
to our clients for their trust in our |
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| services. |
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For and on behalf of |
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|
the Board of Directors |
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| Islamabad |
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|
-Sd- |
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| December 08, 1998 |
|
Inam-ul-Haq |
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|
Chairman |
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| AUDITOR'S
REPORT TO THE MEMBERS |
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| We
have audited the annexed balance sheet of InterAsia Leasing Company Limited
as at June 30, 1998 and the |
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| related
profit and loss account and cash flow statement together with the notes
forming part thereof, for the period |
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| then
ended and we state that we have obtained all the information and explanations
which to the best of our |
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| knowledge
and belief were necessary for the purposes of our audit and, after due
verification thereof, we report that: |
|
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| a)
in our opinion, proper books of accounts have been kept by the Company as
required by the Companies |
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| Ordinance,
1984; |
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| b)
in our opinion: |
|
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| (i)
The balance sheet and profit and loss account and cash flow statement
together with the notes thereon |
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| have
been drawn up in conformity with the Companies Ordinance, 1984, and are in
agreement with the |
|
| books
of account and are further in accordance with accounting policies
consistently applied: |
|
|
|
| (ii)
The expenditure incurred during the period was for the purposes of the
Company's business; and |
|
|
| (iii)
The business conducted, investments made and the expenditure incurred during
the period were in |
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| accordance
with the objects of the Company; |
|
|
| c)
in our opinion and to the best of our information and according to the
explanations given to us, the balance |
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| sheet,
profit and loss account and cash flow statement, together with the notes
forming part thereof, give the |
|
| information
required by the Companies Ordinance, 1984 in the manner so required and
respectively give a true |
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| and
fair view of the state of the Company's affairs as at June 30, 1998 and of
the profit and the cash flow |
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| statement
for the period then ended and |
|
|
| d)
In our opinion Zakat deductible at source under Zakat and Ushr Ordinance,
1980 was deducted by the company |
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| and
deposited in central Zakat fund establishment under section 7 of the
ordinance. |
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|
KHALID MAJID HUSAIN RAHMAN |
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| Islamabad |
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|
Chartered Accountants |
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| December
08, 1998 |
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|
| BALANCE
SHEET AS AT JUNE 30, 1998 |
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|
June 30, |
June 30, |
|
|
|
1998 |
1997 |
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|
Note |
Rupees |
Rupees |
|
|
|
|
| SHARE
CAPITAL AND RESERVES |
|
|
|
|
|
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| Authorised
Capital |
|
|
|
| 20,000,000
ordinary |
|
|
|
| shares
of Rs. 10/- each |
|
|
200,000,000 |
200,000,000 |
|
|
|
|
|
========== |
========== |
|
|
|
|
|
|
| Issued,
subscribed and paid up capital |
|
| 10,000,000
ordinary shares of |
|
|
| Rs.
10/- each fully paid in cash |
|
|
100,000,000 |
100,000,000 |
|
| Revenue
reserves |
|
|
| Statutory |
|
|
13,759,493 |
10,915,591 |
|
| General |
|
|
10,000,000 |
10,000,000 |
|
| Contingencies |
|
3 |
3,339,892 |
3,137,650 |
|
| Un-appropriated
profit |
|
|
6,698,080 |
5,524,716 |
|
|
|
|
---------- |
---------- |
|
|
|
133,797,465 |
129,577,957 |
|
| LONG
TERM DEPOSITS |
|
4 |
42,655,868 |
45,285,274 |
|
| LONG
TERM CERTIFICATES |
|
|
|
|
| OF
INVESTMENT |
|
5 |
62,510,000 |
62,230,001 |
|
|
|
|
|
|
| LONG
TERM FINANCES |
|
6 |
17,728,401 |
24,708,401 |
|
| CURRENT
LIABILITIES |
|
|
|
|
| Current
portion of long term deposits |
|
15,937,645 |
8,622,913 |
|
| Current
portion of Certificates of Investment |
|
14,266,800 |
14,504,635 |
|
| Current
maturity of long term finances |
|
14,546,000 |
9,240,000 |
|
| Finances
under mark-up arrangements |
7 |
85,481,336 |
58,913,378 |
|
| Accrued
and other liabilities |
|
8 |
41,984,042 |
37,301,995 |
|
| Dividend
payable |
|
|
11,010,229 |
12,658,966 |
|
|
|
|
---------- |
---------- |
|
|
|
|
|
183,226,052 |
141,241,887 |
|
|
|
|
---------- |
---------- |
|
|
|
|
439,917,786 |
403,043,520 |
|
|
|
|
========== |
========== |
|
|
| OPERATING
FIXED ASSETS |
|
|
|
| -TANGIBLE |
|
9 |
3,645,171 |
3,227,299 |
|
| NET
INVESTMENT IN LEASES |
|
|
|
|
|
| Minimum
lease payment receivables |
|
|
417,147,817 |
364,295,489 |
|
| Add:
Residual value of leased assets |
|
58,593,513 |
53,908,187 |
|
|
|
|
---------- |
---------- |
|
|
|
|
475,741,330 |
418,203,676 |
|
| Less:
Unearned lease income |
|
|
(141,752,108) |
(104,438,631 |
|
|
|
|
---------- |
---------- |
|
| Net
investment in leases |
|
333,989,222 |
313,765,045 |
|
| Less:
Current portion of net |
|
|
| investment
in leases |
|
|
(85,204,774) |
(81,077,932) |
|
|
|
|
---------- |
---------- |
|
|
|
|
248,784,448 |
232,687,113 |
|
|
|
|
|
|
| LONG
TERM INVESTMENTS |
|
10 |
40,353,608 |
42,503,528 |
|
| LONG
TERM DEPOSITS |
|
|
188,070 |
188,070 |
|
| DEFERRED
COSTS |
|
11 |
2,078,198 |
3,619,044 |
|
|
|
|
|
|
|
| CURRENT
ASSETS |
|
|
|
|
| Current
portion of net investment in leases |
12 |
85,204,774 |
81,077,932 |
|
| Advances,
prepayments and other |
|
|
|
| receivables |
|
13 |
54,729,992 |
34,635,284 |
|
| Cash
and bank balances |
|
14 |
4,933,525 |
5,105,250 |
|
|
|
|
---------- |
---------- |
|
|
|
|
|
144,868,291 |
120,818,466 |
|
|
|
|
|
---------- |
---------- |
|
|
|
|
|
439,917,786 |
403,043,520 |
|
|
|
|
========== |
========== |
|
| The
annexed notes form an integral part of these financial statements. |
|
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|
|
|
-Sd- |
|
|
-Sd- |
|
|
Chief Executive |
|
|
Director |
|
|
|
| PROFIT
AND LOSS ACCOUNT FOR THE PERIOD ENDED JUNE 30, 1998 |
|
|
|
|
|
June 30, |
June 30, |
|
|
|
|
1998 |
1997 |
|
|
Note |
Rupees |
Rupees |
|
|
|
|
| REVENUES |
|
|
|
| Income
from leasing operations |
|
15 |
62,078,422 |
55,280,694 |
|
| Income/(Loss)
from investments |
|
16 |
(1,998,770) |
3,042,128 |
|
| Other
Income/(charges) |
|
|
17 |
692,382 |
2,373,464 |
|
|
|
|
|
---------- |
---------- |
|
|
|
|
|
60,772,034 |
60,696,286 |
|
| EXPENSES |
|
|
|
|
| Administrative
and operating expenses |
18 |
11,141,898 |
12,004,606 |
|
| Financial
charges |
|
|
19 |
34,633,299 |
32,071,965 |
|
|
|
|
---------- |
---------- |
|
|
|
|
45,775,197 |
44,076,571 |
|
|
|
|
---------- |
---------- |
|
| Profit
before provisions |
|
|
14,996,837 |
16,619,715 |
|
|
|
|
|
| Provision
for contingencies related to Investments |
- |
1,453,497 |
|
| Provision
for potential lease losses |
|
463,881 |
599,517 |
|
|
|
|
---------- |
---------- |
|
| Profit/(Loss)
before taxation |
|
|
14,532,956 |
14,566,701 |
|
| Provision
for taxation |
|
|
| Current Year |
|
22 |
313,448 |
277,202 |
|
|
|
|
---------- |
---------- |
|
|
|
14,219,508 |
14,289,499 |
|
| Un-appropriated
profit |
|
|
| brought
forward |
|
5,524,716 |
7,338,166 |
|
|
|
|
---------- |
---------- |
|
|
|
|
|
19,744,224 |
21 627,665 |
|
| Appropriations: |
|
|
|
|
|
|
| Transfer
to statutory reserve |
|
2,843,902 |
2,778,899 |
|
| Transfer
to contingencies reserve |
|
202,242 |
824,050 |
|
| Transfer
to general reserve |
|
- |
- |
|
| Proposed
dividends |
|
10,000,000 |
12,500,000 |
|
|
|
|
---------- |
---------- |
|
|
|
|
13,046,144 |
16,102,949 |
|
|
|
|
---------- |
---------- |
|
| Un-appropriated
profit carried to balance sheet |
|
6,698,080 |
5,524,716 |
|
|
|
|
========== |
========== |
|
|
|
-Sd- |
|
|
-Sd- |
|
|
Chief Executive |
|
|
Director |
|
|
|
| CASH
FLOW STATEMENT FOR THE PERIOD FROM JULY 01, 1997 TO JUNE 30, 1998 |
|
|
|
|
|
|
|
|
1998 |
1997 |
|
|
|
|
|
Rupees |
Rupees |
|
| CASH
FLOWS FROM OPERATING ACTIVITIES |
|
|
|
|
|
| Net
profit after taxation |
|
14,219,508 |
14,289,499 |
|
| Adjustments
for: |
|
|
|
| Depreciation |
|
1,024,163 |
750,923 |
|
| Deferred
costs amortized |
|
1,675,846 |
2,266,578 |
|
| (Income)/loss
from Investments |
|
1,998,770 |
(3,042,128) |
|
| (Gain)/loss
on sale of fixed assets |
|
32,439 |
(293,774) |
|
| Provision
for diminution in value of investments |
- |
1,453,497 |
|
|
|
---------- |
---------- |
|
| Operating
profit before working capital changes |
|
18,950,726 |
15,424,595 |
|
|
|
|
| Increase
in advances, prepayments and |
|
|
| other
receivables |
|
(20,094,708) |
(13,823,456) |
|
| Increase
in investment in leases |
|
(108,051,028) |
(138,915,351) |
|
| Recoveries
from investment in leases |
|
87,826,851 |
56,510,310 |
|
| Increase
in long term deposits received |
|
4,727,490 |
66,735,562 |
|
| Increased(decrease)
in accrued & other liabilities |
4,682,047 |
25,454,196 |
|
| Increase
in long term deposits |
|
- |
(26,920) |
|
|
|
---------- |
---------- |
|
| Cash
generated from operations |
|
(30,909,348) |
(4,065,659) |
|
|
|
---------- |
---------- |
|
| Net
cash generated/(used)in operating activities |
(11,958,622) |
11,358,936 |
|
|
|
|
|
| CASH
FLOWS FROM INVESTING ACTIVITIES |
|
|
|
|
|
| Increase
in deferred cost |
|
(135,000) |
(2,950,000) |
|
| Purchase
of fixed assets |
|
(2,440,631) |
(1,768,333) |
|
| Proceeds
from sale of fixed assets |
|
966,157 |
1,112,000 |
|
| (Increase)/Decrease
in long term investments |
|
2,149,920 |
(2,605,257) |
|
| Income/(loss)
from investments |
|
(1,998,770) |
3,042,128 |
|
| Dividend
paid |
|
(11,648,737) |
(1,699) |
|
|
|
---------- |
---------- |
|
| Net
cash generated/(used) in investing activities |
(13,107,061) |
(3,171,161) |
|
|
|
|
|
| CASH
FLOWS FROM FINANCING ACTIVITIES |
|
|
|
|
|
| Finances
under mark-up arrangements |
|
24,893,958 |
(5,820,060) |
|
|
|
|
|
---------- |
---------- |
|
| NET
(DECREASE)/INCREASE IN CASH AND |
|
|
| CASH
EQUIVALENTS |
|
(171,725) |
2,367,715 |
|
|
|
|
|
| CASH
AND CASH EQUIVALENTS AT JULY 01 |
|
5,105,250 |
2,737,535 |
|
| CASH
AND CASH EQUIVALENTS AT JUNE 30,1998 |
|
---------- |
---------- |
|
| AND
JUNE 30, 1997 RESPECTIVELY |
|
4,933,525 |
5,105,250 |
|
|
|
========== |
========== |
|
|
|
-Sd- |
|
-Sd- |
|
|
Chief Executive |
|
Director |
|
|
|
| NOTES
TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30, 1998 |
|
|
| 1.
THE COMPANY AND ITS OPERATIONS |
|
|
| The
Company was incorporated in Pakistan on November 30, 1992, as a public
limited company and is |
|
| listed
on the Karachi and Islamabad Stock Exchanges, The licence to carry on leasing
business was |
|
| granted
on April 26, 1993 and the certificate of commencement of business was
obtained on May 2, 1993 |
|
| The
main business activity of the Company is leasing. |
|
|
| 2.
SIGNIFICANT ACCOUNTING POLICIES |
|
|
| 2.1
Overall valuation policy |
|
|
| These
financial statements have been prepared under the historical cost convention. |
|
|
| 2.2
Revenue recognition |
|
|
| 2.2.1 Lease |
|
|
|
| The
Company follows "financial method" in accounting for recognition of
lease income |
|
| Accordingly
unearned lease income is taken over the term of the lease, starting with the |
|
| period
in which the lease is executed, so as to produce a constant return on the net |
|
| investment
in the lease. |
|
|
|
| Front
end fee, commitment fee and other commissions are taken to income when |
|
| realised. |
|
|
|
|
| 2.2.2
Investments |
|
|
| Dividend
income is recognised when the right to receive payment is established. |
|
| Gain/profit
on trading of investments are taken to income when it is realised. |
|
|
| 2.2.3 Other |
|
|
|
| Other
income is recognised when earned. |
|
|
| 2.3
Operating fixed assets- tangible and depreciation |
|
| Operating
assets are stated at cost less accumulated depreciation. Depreciation is
charged to |
|
| income
applying the straight line method. In respect of additions and deletions of
assets during the |
|
| year,
depreciation is charged proportionately from/to the month of acquisition and
deletion |
|
| respectively. |
|
|
|
|
| Major
extensions, renewals and improvements are capitalised. |
|
|
|
|
| Maintenance
and minor improvements are charged to income as and when incurred. Gains and |
|
| losses
on disposal of fixed assets are included in current income. |
|
|
| 2.4
Investments |
|
| 2.4.1
Long term investments are carried at cost. Provision is made for permanent
diminution in |
|
| value
of investments, if any. |
|
|
|
| 2.4.2
Short term investments are valued at the lower of average cost and market
value |
|
| determined
on an aggregate portfolio basis in total, using Karachi Stock Exchange |
|
| quotations. |
|
|
|
| 2.5 Taxation |
|
|
| 2.5.1
Current |
|
| Provision
is made on taxable income at the prevailing rates of taxation after taking
into |
|
| account
tax credits available, if any. |
|
|
| 2.5.2
Deferred |
|
| The
Company accounts for deferred taxation using the liability method on timing |
|
| differences
likely to reverse in the foreseeable future. Net deferred tax debits are not |
|
| accounted
for. |
|
|
| 2.6
Deferred costs |
|
| Deferred
costs are amortised during the period not exceeding five years from the year
of |
|
| incurrence
thereof. |
|
|
|
| 2.7
Employees' retirement benefits |
|
| The
Company operates a contributory provident fund under a separate trust for all
its permanent |
|
| employees
and contributions are recorded monthly in accordance with the fund rules. |
|
|
| 3.
CONTINGENCIES RESERVE |
|
| This
is a reserve created at 1% of Minimum Lease Payment Receivable as of balance
sheet date to meet |
|
| any
contingencies that may arise on lease rentals receivable. |
|
|
|
|
|
|
June 30, |
June 30, |
|
|
|
|
|
1998 |
1997 |
|
|
|
|
|
Rupees |
Rupees |
|
| 4.
LONG TERM DEPOSITS |
|
|
|
| Security
deposits (note 4.1) |
|
|
58,593,513 |
53,908,187 |
|
| Less:
Current portion |
|
|
|
(15,937,645) |
(8,622,913) |
|
|
|
|
|
---------- |
---------- |
|
|
|
|
|
42,655,868 |
45,285,274 |
|
|
|
|
|
========== |
========== |
|
|
| 4.1
These represent interest free security deposits received from lessees under
lease contracts and |
|
| are
repayable/adjustable at the expiry of the respective lease period. |
|
|
|
|
|
June 30, |
June 30, |
|
|
|
|
1998 |
1997 |
|
|
|
|
Rupees |
Rupees |
|
|
|
|
| 5.
LONG TERM CERTIFICATES |
|
|
|
| INVESTMENTS |
|
|
|
|
| Certificates
of investments (note 5.1) |
|
76,776,800 |
76,734,636 |
|
| Less:
Current portion |
|
|
|
(14,266,800) |
(14,504,635) |
|
|
|
|
|
---------- |
---------- |
|
|
|
|
|
62,510,000 |
62,230,001 |
|
|
|
========== |
========== |
|
|
| 5.1
These are registered PLS certificates of investments, issued for the periods
from three months to |
|
| three
years with the facility of pre-mature encashment beyond minimum three months,
The mark- |
|
| up
rate range, from 16% to 22% per annum depending upon the period of maturity. |
|
|
|
|
| 6.
LONG TERM FINANCES |
|
|
|
|
|
|
| Crescent
Investment Bank |
|
(6.1) |
10,000,000 |
19,000,000 |
|
| Bankers
Equity Ltd. |
|
(6.2) |
13,108,401 |
14,948,401 |
|
| Gulf
Commercial Bank Ltd. |
|
(6.3) |
9,166,000 |
- |
|
| (Formerly
Schon Bank Ltd.) |
|
|
|
|
|
|
|
|
|
|
32,274,401 |
33,948,401 |
|
| Less:
Current maturity of long term finances |
|
(14,546,000) |
(9,240,000) |
|
|
|
|
---------- |
---------- |
|
|
|
|
|
17,728,401 |
24,708,401 |
|
|
|
|
========== |
========== |
|
|
| 6.1
This facility carries mark-up at the rate of 21% per annum payable quarterly
and is secured by way |
|
| of
hypothecation of specific movable leased assets and related specific book
debts amounting to |
|
| Rs.29,225,000.
This facility will mature on August 27, 1999. |
|
|
| 6.2
This represents two lines of credit amounting to Rs. 11,186,154 and Rs.
1,922,247 from an |
|
| investment
bank and carries mark-up at the rate of 21.5% and 23.5% respectively. This
facility is |
|
| secured
against endorsement of promissory notes and first charge on leased assets in
favour of |
|
| the
bank. These facilities will mature on October 06, 2001 and January 11, 2002
respectively. |
|
|
| 6.3
This facility represents a term finance facility for a period of three years
and carries mark-up at the |
|
| rate
of 21.5% per annum payable quarterly. The facility is secured by way of
hypothecation charge |
|
| of
specific leased assets amounting to Rs. 14 million. This facility will mature
on December 30, 2000. |
|
|
|
|
|
|
|
June 30, |
June 30, |
|
|
|
1998 |
1997 |
|
|
|
Rupees |
Rupees |
|
| 7.
FINANCE UNDER MARK-UP |
|
|
| ARRANGEMENT |
|
|
|
|
|
|
| Running
Finance |
(Note 7.1) |
|
19,200,945 |
17,913,378 |
|
| Cash Finance |
|
(Note 7.2) |
|
|
| Bank
of Khyber |
|
(7.2.1) |
5,000,000 |
10,000,000 |
|
| Saudi
Pak Industrial & |
|
|
|
| Agricultural
Company (Pvt.) Ltd |
|
(7.2.2) |
5,000,000 |
10,000,000 |
|
| Fidelity
Investment Bank Ltd. |
|
(7,2.3) |
10,000,000 |
- |
|
| Pak
Libya Holding Company (Pvt.) Ltd. |
(7,2.4) |
9,000,000 |
- |
|
| English
Leasing Company Ltd. |
|
(7.2.5) |
10,000,000 |
- |
|
| First
International Investment Bank Ltd. |
|
- |
19,000,000 |
|
| Morabaha
Financing |
|
|
|
| AI-Towfeek
Investment Bank Ltd. |
|
|
- |
2,000,000 |
|
| Musharika
Financing (Note 7.3) |
|
|
| First
Ibrahim Modaraba. |
|
(7.3.1) |
5,000,000 |
- |
|
| Trust
Investment Bank Ltd. |
|
(7.3.2) |
20,280,391 |
- |
|
| Others |
|
(7.3.3) |
2,000,000 |
- |
|
|
|
|
---------- |
---------- |
|
|
|
|
85,481,336 |
58,913,378 |
|
|
|
|
========== |
========== |
|
|
|
| 7.1
The Company has obtained a running finance facility from Gulf Commercial Bank
Ltd. (Formerly |
|
| Schon
Bank Ltd.) of Rs. 20.00 million under mark-up arrangement and is secured by
first |
|
| hypothecation
charge of Rs. 26.7 million over specific lease assets of the company and
related |
|
| receivables.
This facility carries mark-up at the rate of 21.50% per annum payable
quarterly. The |
|
| total
finance and mark-up is repayable by December 31, 1998. |
|
|
| 7.2
Cash finance |
|
|
| 7.2.1
This represent demand finance facility and carries mark-up at the rate of 20%
per annum |
|
| payable
quarterly, and is secured by way of hypothecation of leased assets valuing
Rs. |
|
| 6.7
million. This facility matured on June 1998 and the company is negotiating
for further |
|
| rollover. |
|
|
|
|
| 7.2.2
This represents discounting facility and carries mark-up at the rate of 20%
per annum |
|
| payable
quarterly. This facility is secured by way of pari passu charge to the extent
of Rs. |
|
| 10
million on entire assets of the company and assignment of lease rentals. This
facility |
|
| is
repayable in two equal installments on December 27, 1998 and June 27, 1999. |
|
|
| 7.2.3
This represents two pronote discounting facilities obtained by discounting
promissory |
|
| notes
at discounting rate of 20% per annum payable quarterly and is secured by way
of |
|
| pledge
of Federal Investment Bonds of Rs. 4 million and hypothecation charge of
specific |
|
| leased
assets amounting to Rs. 14.6 million. These facilities will mature on May 14
1999. |
|
|
| 7.2.4
This facility represents placement of funds by the Investment Company and
carries mark- |
|
| up
at the rate of 21% per annum payable monthly and will mature on March 04,
1999. |
|
|
| 7.2.5
This represents a shod-term facility for a period of three months and carries
mark-up at |
|
| the
rate of 21.25% per annum payable on maturity. This facility will mature on
August 20, 1998. |
|
|
| 7.3
Musharika financing |
|
|
| 7.3.1
This represents Musharika Investment Agreement carrying profit at the rate of
20% per |
|
| annum.
This facility is repayable on July 14, 1998. It is secured by way of
hypothecation |
|
| of
rental receivables amounting to Rs. 6.7 million and demand promissory note |
|
| amounting
to Rs. 5.6 million, |
|
|
|
| 7.3.2
This represents Musharika Investment Agreement carrying profit at the rate of
21% per |
|
| annum
payable half yearly. The facility will mature on July 1998. |
|
|
| 7.3.3
This represents Musharika Investment Agreement for a period of six months
entered into |
|
| with
an individual carrying profit at the rate of 18.5% per annum. The profit and
the |
|
| principal
is payable on maturity. |
|
|
|
|
|
|
|
June 30, |
June 30, |
|
|
|
|
|
1998 |
1997 |
|
|
|
|
|
Rupees |
Rupees |
|
| 8.
ACCRUED AND OTHER LIABILITIES |
|
|
|
|
|
|
| Accrued
liabilities |
|
|
|
112,948 |
169,362 |
|
| Accrued
financial charges-secured finances |
|
9,461,291 |
7,688,316 |
|
| Advance
front-end fee and commission |
|
939,299 |
800,436 |
|
| Provision
for taxation |
|
|
|
985,654 |
672,206 |
|
| Tax
Payable-deducted at source |
|
|
477,793 |
1,253,894 |
|
| Payable
to lessee's |
|
|
|
3,217,271 |
23,147,541 |
|
| Other
Payables |
|
|
|
2,928,780 |
3,570,240 |
|
| Payable
to associated undertakings |
|
|
23,861,006 |
- |
|
|
|
|
|
---------- |
---------- |
|
|
|
|
|
41,984,042 |
37,301,995 |
|
|
|
|
|
========== |
========== |
|
|
|
| 9.
OPERATING FIXED ASSETS-TANGIBLE |
|
|
(Amount in Rupees) |
|
|
COST |
|
RATE |
|
DEPRECIATION |
|
| ----------------------------------------------------------------------------------------------------------------------------------------------------- |
|
As at |
|
As at |
% |
As at |
|
As at |
W>D>V |
|
| Particulars |
|
July 01 |
|
June 30, |
|
July 01 |
For the |
June 30 |
As at June |
|
|
|
|
1997 |
Additions |
Deletions |
1998 |
|
1997 |
Period |
1998 |
30, 1998 |
|
| ----------------------------------------------------------------------------------------------------------------------------------------------------- |
| Leasing
hold improvements |
347,519 |
219,045 |
- |
566,564 |
10 |
126,146 |
52,803 |
178,949 |
387,615 |
|
| Electric
Fittings |
|
80,936 |
1,100 |
3,920 |
78,116 |
10 |
25,762 |
8,214 |
33,356 |
44,760 |
|
| Equipment |
|
1,746,588 |
565,026 |
274,883 |
2,036,731 |
20 |
780,939 |
389,421 |
987,907 |
1,048,824 |
|
| Furniture
& Fixture |
|
641,497 |
35,610 |
1,200 |
675,907 |
10 |
165,793 |
66,779 |
231,372 |
444,535 |
|
| Vehicles |
|
2,075,869 |
1,619,850 |
1,143,722 |
2,551,997 |
20 |
566,470 |
506,946 |
832,560 |
1,719,437 |
|
|
------------------------------------------------------------------------------------------------------------- |
|
| 1998 |
|
4,892,409 |
2,440,631 |
1,423,725 |
5,909,315 |
|
1,665,110 |
1,024,163 |
2,264,144 |
3,645,171 |
|
|
|
============================================================================================================= |
|
| 1997 |
|
4,252,421 |
1,768,333 |
1,128,345 |
4,892,409 |
|
1,224,306 |
750,923 |
1,665,110 |
3,227,299 |
|
|
|
============================================================================================================= |
|
|
| 9.1
Deletions |
|
|
| The
following assets were sold during the year: |
|
|
(Amount in Rupees) |
|
|
| Description |
|
Cost |
Accumulated |
Book |
Sale |
Gain/ |
Sold to |
|
Mode |
|
|
|
|
depreciation |
value |
proceeds |
(Loss) |
|
|
| Vehicles |
|
|
|
| Honda Citi |
|
726,722 |
157,456 |
569,266 |
500,000 |
(69,266) |
Bankers Equity Ltd |
Negotiation |
|
| Suzuki
Khyber |
417,000 |
83,400 |
333.60 |
325,000 |
(8,600) |
EFU |
|
Claim |
|
|
|
|
|
|
|
|
|
| Office
Equipment |
|
|
|
| Computer
& Accessories |
|
|
|
| Computer 386 |
|
20,850 |
18.07 |
2,780 |
5,500 |
2,720 |
P.C. Source |
|
Negotiation |
|
| Computer 386 |
|
69,900 |
46,690 |
23,210 |
27,900 |
4,690 |
Straight Line &
Circles |
-do- |
|
| Monitor |
|
6.00 |
4.00 |
2,000 |
2,000 |
- |
Fazal Ahmed |
|
-do- |
|
| Photocopier |
|
60,000 |
37.00 |
23,000 |
60,000 |
37,000 |
Mansha Brothers |
-do- |
|
| Generator |
|
54,620 |
42,696 |
11,924 |
8,000 |
(3,924) |
LTVCM |
|
-do- |
|
| Air
conditioner |
17,000 |
8,783 |
8,217 |
12,000 |
3,783 |
Majid Zaman |
|
-do- |
|
| -do- |
|
22,563 |
18,428 |
4,135 |
11,257 |
7,122 |
Karat Jewellers |
-do- |
|
| -do- |
|
23,950 |
6,786 |
17,164 |
12,000 |
(5,164) |
Karat Jewellers |
-do- |
|
| Electric
Fittings |
3,920 |
620 |
3,300 |
1,100 |
(2,200) |
Ghulam Abbas |
-do- |
|
| Furniture
& Fixture |
1,200 |
1,200 |
0 |
1,400 |
1,400 |
Karat Jewellers |
-do- |
|
|
|
------------------------------------------------------------- |
|
|
| 1998 |
|
1,423,725 |
425,129 |
998,596 |
966,157 |
(32,439) |
|
|
|
|
============================================================= |
|
| 1997 |
|
1,128,345 |
310,119 |
818,226 |
1,112,000 |
293,774 |
|
|
============================================================= |
|
|
|
|
|
June 30, |
June 30, |
|
|
|
1998 |
1997 |
|
|
|
Rupees |
Rupees |
|
| 10.
LONG TERM INVESTMENTS |
|
|
|
|
|
|
| Number of |
|
|
|
| Shares/Certi- |
|
|
|
| ficates |
Listed modarabas: |
|
|
|
|
-Associated undertaking |
|
|
| 99,940 |
First Interfund Modaraba |
|
1,830,751 |
1,830,751 |
|
|
(Managed by Universal
Management |
|
|
|
Services (Pvt) Ltd.) |
|
|
|
|
Certificates of Rupees
10/- each |
|
|
|
|
|
| 445,237 |
Long Term Venture Capital
Modaraba |
|
|
|
(Managed by National
Technology |
|
|
|
Development Corporation
Ltd.) |
|
|
|
Certificates of Rupees
5/- each |
|
5,068,395 |
5,068,395 |
|
|
|
|
| 59,984 |
Long Term Venture Capital
Modaraba |
|
|
|
(Redeemable Capital
Certificates) |
|
2,399,360 |
2,699,280 |
|
|
|
---------- |
---------- |
|
|
|
(note 10.1) |
|
9,298,506 |
9,598,426 |
|
|
Listed Companies: |
|
|
|
|
- Associate undertaking |
|
|
|
|
|
| 810,810 |
Bankers Equity Limited |
|
15,152,602 |
15,152,602 |
|
|
Shares of Rupees 10/-
each |
|
|
|
|
|
|
-Other |
|
|
|
| 117,562 |
Medi Glass Company
Limited |
|
|
|
Shares of Rupees 10/-
each (at cost) |
752,397 |
752,397 |
|
|
|
---------- |
---------- |
|
|
|
(note 10.2) |
|
15,904,999 |
15,904,999 |
|
|
Unlisted: |
|
|
|
|
- Associated undertaking |
|
|
|
|
|
| 1,250,000 |
LTV Housing Finance Ltd. |
|
|
|
ordinary shares of |
|
|
|
|
Rupees 10/- each |
(note 10.3) |
|
12,500,000 |
12,500,000 |
|
|
- Other |
|
|
|
|
|
|
|
|
|
| 59,536 |
Federal Investment Bonds |
|
|
|
Return @ 14% per annum |
|
|
|
payable on half yearly
basis (note 10.4) |
4,103,600 |
5,953,600 |
|
|
|
---------- |
---------- |
|
|
|
|
41,807,105 |
43,957,025 |
|
| Less: |
|
|
|
| Provision
for diminution in value of Investments: |
(1,453,497) |
(1,453,497) |
|
|
|
---------- |
---------- |
|
|
|
|
40,353,608 |
42,503,528 |
|
|
|
========== |
========== |
|
|
| 10.1
The aggregate market value of listed modaraba certificates at the end of the
financial year |
|
| amounted
to Rupees 3,228,018. |
|
|
| 10.2
The aggregate market rate of listed shares at the end of June 30, 1998 is Rs.
2,903,707. |
|
|
|
| 10.3
The aggregate break-up value of the investments at the end of June 30, 1998
is Rupees 11,088,506 |
|
| based
on the un-audited accounts. |
|
|
| 10.4
These Federal Investment Bonds have been pledged in favour of Fidelity
Investment Bank to obtain |
|
| short-term
finance facility amounting to Rs. 10 million. |
|
|
| 10.5
Provision has been made in the annual accounts against diminution in value of
long term investment in |
|
| shares.
The provision has been made against the certificates of First Interfund
Modaraba and shares |
|
| of
Medi Glass Ltd. |
|
|
|
|
| Management
feels that provision for shares of Long Term Venture Capital Modaraba and
Bankers |
|
| Equity
Ltd. is not required as permanent diminution in the value has not taken place
keeping in view |
|
| the
movement in the investees assets and cash flows during the year. |
|
|
|
|
|
|
June 30, |
June 30, |
|
|
|
1998 |
1997 |
|
|
|
Rupees |
Rupees |
|
| 11.
DEFERRED COSTS |
|
|
|
|
|
|
| Preliminary
expenses |
|
136,921 |
301,225 |
|
| Expenses
on issue of shares |
|
|
| (including
brokerage, bankers' |
|
|
| and underwriters'
commission) |
286,150 |
629,534 |
|
| Others |
|
3,330,973 |
4,954,863 |
|
|
|
---------- |
---------- |
|
|
|
3,754,044 |
5,885,622 |
|
| Less:
Amortized during the period |
|
1,675,846 |
2,266,578 |
|
|
|
---------- |
---------- |
|
|
|
2,078,198 |
3,619,044 |
|
|
|
|
|
========== |
========== |
|
|
|
|
|
| 12.
CURRENT PORTION OF NET |
|
|
| INVESTMENT
IN LEASES. |
|
|
|
|
|
|
| Total
Lease rental receivable during the year amounts to Rs. 137,872,942, out of
which |
|
| Rs.
85,204,774 represents current maturity of principal portion. The balance
amount represents |
|
| the
financial income receivable by the company against its lease investments
during 1998-99. |
|
|
|
|
| 13.
ADVANCES, PREPAYMENTS & OTHER RECEIVABLES |
|
|
| Advances-
considered good |
|
|
|
| to
chief executive (note 13.1) |
|
735,276 |
66,213 |
|
| to staff |
|
|
1,652,953 |
51,671 |
|
| Taxation |
|
|
|
| Prepayments |
|
1,759,159 |
1,021,372 |
|
|
|
14,988 |
315,194 |
|
| Receivables
against sale of investments |
|
6,396,115 |
9,884,191 |
|
| Accrued
return on investments |
|
2,336,460 |
2,632,963 |
|
| Others |
|
2,221,332 |
2,713,460 |
|
|
|
---------- |
---------- |
|
| Rental
receivables (note 13.2) |
|
40,077,590 |
18,549,737 |
|
| Less: |
|
|
|
|
| Provision
for potential lease losses |
|
(463,881) |
(599,519) |
|
|
|
|
|
---------- |
---------- |
|
|
|
|
|
39,613,709 |
17,950,220 |
|
|
|
---------- |
---------- |
|
|
|
|
|
54,729,992 |
34,635,284 |
|
|
|
========== |
========== |
|
|
|
| 13.1
Maximum amount due from Chief Executive at the end of any month during the
period was |
|
| Rupees
0,735 million. This relates to house rent advance to the CEO during the
period. (1997: |
|
| 0.141
million). |
|
|
|
|
|
|
| 13.2
These represent rental receivable against leases disbursed and are considered
good. The |
|
| company
up to December 07, 1998 has duly received an amount of Rs. 10,727,304 against |
|
| the above. |
|
|
|
|
|
|
|
|
|
June 30, |
June 30, |
|
|
|
|
1998 |
1997 |
|
|
|
|
Rupees |
Rupees |
|
|
|
|
| 14.
CASH AND BANK BALANCES |
|
|
|
|
|
|
| Cash in hand |
|
|
1,911 |
528 |
|
| Cash
with banks- Current accounts |
|
4,775,544 |
5,046,611 |
|
|
- PLS accounts |
|
156,070 |
58,111 |
|
|
|
---------- |
---------- |
|
|
|
4,933,525 |
5,105,250 |
|
|
|
|
========== |
========== |
|
|
|
|
| 15.
INCOME FROM LEASING OPERATIONS |
|
|
|
|
|
|
| Income
on lease contracts |
|
|
60,971,544 |
53,946,324 |
|
| Front-end
fee and documentation charges |
|
1,106,878 |
1,334,370 |
|
|
|
|
|
---------- |
---------- |
|
|
|
|
|
62,078,422 |
55,280,694 |
|
|
|
========== |
========== |
|
|
|
|
| 16.
(LOSS)/INCOME FROM INVESTMENTS |
|
|
|
| Net
gain/(loss) on sale of listed securities |
|
(1,998,770) |
3,042,128 |
|
|
|
---------- |
---------- |
|
|
|
(1,998,770) |
3,042,128 |
|
|
|
|
========== |
========== |
|
|
|
|
| 17.
OTHER INCOME |
|
|
|
|
|
|
|
|
| Return
on Government Securities |
|
613,356 |
697,183 |
|
| Dividend
Income |
|
- |
1,216,215 |
|
| Gain
on disposal of fixed assets |
|
(32,439) |
293,774 |
|
| Profit
on bank accounts |
|
9,405 |
6,600 |
|
| Others |
|
102,060 |
159,692 |
|
|
|
---------- |
---------- |
|
|
|
692,382 |
2,373,464 |
|
|
|
========== |
========== |
|
|
|
|
|
|
|
June 30, |
June 30, |
|
|
|
1998 |
1997 |
|
|
|
Rupees |
Rupees |
|
| 18.
ADMINISTRATIVE AND OPERATING EXPENSES |
|
|
| Salaries,
allowances and benefits |
|
|
5,589,611 |
5,465,222 |
|
| Conveyance
and travelling |
|
|
230,704 |
398,164 |
|
| Directors'
fee |
|
|
|
- |
2,000 |
|
| Rent,
rates and taxes |
|
|
|
458,400 |
380,606 |
|
| Electricity,
gas and water |
|
|
131,114 |
153,684 |
|
| Advertisements |
|
|
|
53,800 |
63,859 |
|
| Printing.
stationary and supplies |
|
|
203,313 |
234,986 |
|
| Postage
and courier |
|
|
|
90,641 |
69,023 |
|
| Fax
and Telephone |
|
|
|
186,334 |
662,327 |
|
| Newspapers,
books and magazines |
|
|
17,676 |
19,678 |
|
| Fees
and Subscription |
|
|
|
832,292 |
525,247 |
|
| Entertainment |
|
|
|
38,308 |
94,510 |
|
| Insurance |
|
|
|
135,654 |
110,027 |
|
| Repairs
and up-keeps |
|
|
|
335,979 |
448,435 |
|
| Legal |
|
|
|
13,350 |
195,000 |
|
| Auditors'
remuneration: |
|
|
|
| Audit
fee - statutory |
|
|
40,000 |
40,000 |
|
|
- others |
|
|
0 |
62,693 |
|
| Out
of pocket reimbursements |
|
|
15,748 |
13,550 |
|
|
|
|
|
---------- |
---------- |
|
|
|
55,748 |
116,243 |
|
| Deferred
costs amortized |
|
|
1,675,846 |
2,266,578 |
|
| Depreciation |
|
|
|
1,024,163 |
750,923 |
|
| Misc.
Expenses |
|
|
|
68,965 |
48,094 |
|
|
|
|
|
---------- |
---------- |
|
|
|
11,141,898 |
12,004,606 |
|
|
|
========== |
========== |
|
|
|
|
| 19.
FINANCIAL CHARGES |
|
|
|
| Financial
expenses |
|
34,405,104 |
31,780,298 |
|
| Bank charges |
|
228,195 |
291,667 |
|
|
|
---------- |
---------- |
|
|
|
34,633,299 |
32,071,965 |
|
|
|
|
|
========== |
========== |
|
|
|
|
|
|
| 20.
TRANSACTIONS WITH ASSOCIATED |
|
|
|
| UNDERTAKINGS |
|
|
|
|
|
|
|
|
| Expenses
sharing charged to |
|
228,769 |
199,565 |
|
|
|
========== |
========== |
|
| Expenses
sharing charged by |
|
549,802 |
277,741 |
|
|
|
========== |
========== |
|
| Purchase
of services |
|
|
- |
- |
|
|
|
========== |
========== |
|
| Fixed
assets transferred to |
|
569,266 |
- |
|
|
|
========== |
========== |
|
| Fixed
assets transferred from |
|
275,613 |
- |
|
|
|
========== |
========== |
|
| Leases
transferred to |
|
|
- |
- |
|
|
|
========== |
========== |
|
| Others |
|
|
|
19,251,225 |
17,572,543 |
|
|
|
========== |
========== |
|
|
|
|
| 21.
REMUNERATION OF CHIEF EXECUTIVE |
DIRECTOR AND EXECUTIVES |
|
|
|
For the period from July
01, |
|
For the period from July
01, |
|
|
1997 to June 30, 1998 |
|
1996 to June 30, 1997 |
|
|
------------------------------------------------------------------------------------------------- |
|
|
Chief |
|
Chief |
|
|
|
Executive |
Director |
Executives |
Total |
Executive |
Director |
Executives |
Total |
|
|
------------------------------------------------------------------------------------------------- |
|
| Managerial
remuneration |
|
372,540 |
- |
670,513 |
1,043,053 |
380,004 |
- |
939,924 |
1,319,928 |
|
| Leave
passage |
|
229,900 |
- |
113,400 |
343,300 |
25,000 |
264,832 |
111,833 |
401,665 |
|
| Perquisites
and benefits |
592,297 |
- |
804,360 |
1,396,657 |
501,996 |
- |
650,441 |
1,152,437 |
|
| Provident
fund |
|
37248 |
- |
66,252 |
103,500 |
38,004 |
- |
93,992 |
131,996 |
|
|
|
------------------------------------------------------------------------------------------------- |
|
| Rupees |
|
1,231,985 |
- |
1,654,525 |
2,886,510 |
945,004 |
264,832 |
1,796,190 |
3,006,026 |
|
|
|
================================================================================================= |
|
| Number |
|
1 |
0 |
4 |
5 |
1 |
1 |
7 |
9 |
|
|
|
================================================================================================= |
|
|
| 21.1
The chief executive and executives are also provided with free use of Company
maintained cars. |
|
|
| 22. TAXATION |
|
|
|
| 22.1
Provision for minimum tax at 0.5% of the turnover under section 80D of the
Income Tax Ordinance, 1979 |
|
| has
been made in these financial statements, while no provision for current tax
has been made due to |
|
| assessed
tax carry forward losses upto assessment year 1995-96 and appeals file
against assessment |
|
| orders
for the year 1996-1997 and 1997-1998. |
|
|
| 22.2
At June 30,1998 deferred tax debits not accounted for is Rupees 22.68 million |
|
| (1997:
Rupees 17.27 million). |
|
|
| 23. GENERAL |
|
|
|
|
|
|
|
| 23.1
All figures have been rounded off to the nearest rupee. |
|
|
|
|
| 23.2
Figures have been rearranged wherever necessary to facilitate comparison. |
|
|
|
|
-Sd- |
|
-Sd- |
|
|
Chief Executive |
|
Director |
|
|
|
| PATTERN
OF SHAREHOLDING AS JUNE 30, 1998 |
|
|
|
| Number of |
Share Holdings |
Total Shares |
|
|
|
| Share-holders |
From |
To |
Held |
|
|
|
| 182 |
1 |
500 |
82,400 |
|
| 117 |
501 |
1,000 |
115,500 |
|
| 58 |
1,001 |
2,000 |
113,000 |
|
| 16 |
2,001 |
3,000 |
43,700 |
|
| 17 |
3,001 |
4,000 |
64,900 |
|
| 22 |
4,001 |
5,000 |
109,000 |
|
| 35 |
5,001 |
10,000 |
304,700 |
|
| 17 |
10,001 |
20,000 |
280,900 |
|
| 4 |
20,001 |
30,000 |
111,000 |
|
| 1 |
30,001 |
40,000 |
40,000 |
|
| 5 |
40,001 |
50,000 |
240,500 |
|
| 6 |
50,001 |
100,000 |
529,000 |
|
| 3 |
100,001 |
150,000 |
367,900 |
|
| 3 |
150,001 |
200,000 |
593,100 |
|
| 1 |
200,001 |
250,000 |
250,000 |
|
| 1 |
250,001 |
300,000 |
292,500 |
|
| 2 |
450,001 |
500,000 |
980,000 |
|
| 4 |
550,001 |
Above |
5,481,900 |
|
| ---------- |
|
---------- |
|
| 494 |
Total |
|
10,000,000 |
|
| ========== |
|
========== |
|
|
|
| Category of |
|
|
Number of |
|
|
| Share-holders |
|
Share-holders |
Shares held |
percentage |
|
|
|
|
|
| 1.
Individuals |
|
460 |
2,247,400 |
22.47 |
|
| 2. Banks |
|
|
2 |
252,000 |
2.52 |
|
| 3.
Financial Institutions |
12 |
4,273,500 |
42.74 |
|
| 4.
Insurance Companies |
|
3 |
59,500 |
0.60 |
|
| 5.
Modarabas Companies |
|
7 |
2,821,300 |
28.21 |
|
| 6.
Private Ltd. Companies |
5 |
95,500 |
0.96 |
|
| 7.
Investment Companies |
|
3 |
246,800 |
2.46 |
|
| 8.
Joint Stock Companies |
2 |
4,000 |
0.04 |
|
|
---------- |
---------- |
---------- |
|
|
494 |
10,000,000 |
100.00 |
|
|
========== |
========== |
========== |
|
|
|
| NOTICE
OF THE MEETING |
|
|
| Notice
is hereby given that Sixth Annual General Meeting of INTERASIA LEASING
COMPANY LIMITED will be held |
|
| at
the registered office of the Company, 107-West, Fazle Haq Road, Blue Area,
Islamabad, on Thursday December |
|
| 31,
1998 at 11.00 a.m. to transact the following business, |
|
|
| ORDINARY
BUSINESS |
|
| 1.
To confirm the Minutes of the Fifth Annual General Meeting held on December
08, 1997. |
|
|
| 2.
To receive, consider and adopt the audited accounts of the Company for the
period ended June 30, 1998 |
|
| together
with the Directors' and auditors' report thereon. |
|
|
| 3.
To approve, as recommended by the Directors, payment of cash dividends at the
rate of 10% of the paid up |
|
| capital. |
|
|
| 4.
To appoint Auditors for the year 1998-99 and fix their remuneration. The
present auditors, M/s. Khalid Majid |
|
| Husain
Rehman, Chartered Accountants retire and being eligible, offer themselves for
reappointment. |
|
|
| SPECIAL
BUSINESS: |
|
|
| 5.
To consider and if thought fit to pass with or without modification the
following as Special Resolution to revise |
|
| fee
paid to Directors for attending the Board Meeting: |
|
|
| "Resolved
that in article 85 of the Article of Association of the Company, the figure
"Rs. 500/-" be substituted by |
|
| the
figure "Rs. 2,500/-". |
|
|
| ORDINARY
BUSINESS |
|
|
| 6.
To transact any other business with the permission of the Chair. |
|
| By
order of the Board |
|
|
| Islamabad |
|
|
SALMAN RASHID |
|
| December
8, 1998. |
|
Company Secretary |
|
|
| NOTES: |
|
|
| 1.
The Register of Members of the Company will remain closed from December 21,
1998 to December 28, 1998. |
|
| (both
days inclusive) |
|
|
| 2.
A member entitled to attend and vote at the meeting is entitled to appoint a
proxy to attend and vote for him/her. |
|
| A
proxy need not to be a member of the Company. |
|
|
| 3.
An instrument of proxy and the Power of Attorney or other authority (if any)
under which it is signed, or a |
|
| notarially
certified copy of such power of attorney, in order to be valid must be
deposited at the registered office |
|
| of
the Company not less than 48 hours before the time of the meeting. |
|
|
| 4.
Members are advised to lodge shares for transfer at the office of our
Registrar, Universal Management Services |
|
| (Pvt)
Ltd, 1st Floor, Finance and Trade Centre, Shahra-e-Faisal, Karachi. Tel. No.
5675381-5. |
|
|
| 5.
Members are requested to notify any change in addresses immediately. |
|
|
| STATEMENT
UNDER SECTION 160 OF |
|
| THE
COMPANIES ORDINANCE. 1984. |
|
|
| Fee
payable to a Director for attending Board Meeting was fixed at Rs. 500/- in
1992. Since 6 years have passed, |
|
| Directors
have desired revision of fee to some reasonable level. Therefore, members
approval is sought for revising |
|
| the
fee payable to Directors for attending Board Meetings from Rs. 500/- to Rs
2,500/- and amending the concerned |
|
| Articles
of Association. The Directors will be interested in the business to the
extent of revision |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
