FRAUDULENT STATEMENTS IN THE DIRECTORS REPORT FOR THE

FINANCIAL YEAR 2015-16 Avery India Ltd.

On Tuesday, September 20, 2016 I wrote a letter on behalf of two SMALL
INVESTORS both shareholders of AVERY INDIA LTD.
The letter was addressed to:
Sri. Basant Kumar Sandooja,
Managing Director &.
Sri. Rohit Gupta, Director.
Avery India Ltd.,
Plot Nos. 50-59, Sector 25,
Ballabgarh. 121004.
Dear Sirs,
This notice is issued on behalf of Vasu Murti, holding 280 shares
(IN30163740611706) and Lalita Narayanmurti holding 70 shares
(IN30163740435054) in Avery India Ltd.
In the Company Balance-sheet, signed by you and, received yesterday, the
Directors Report at page 2 contains in para 4, Dividend, the following statement:
In order to conserve resources for the business of the Company, your Directors
do not recommend payment of dividend for the financial year ended 31st March,
2016. Identical statemets concerning denial of dividends are seen made in the
Directors Reports for the earlier years also. Also, your expenditure on Research
& Development is only less than 1% of sales, suggesting that no efforts are made
at innovation and updating of business-profile. You have also refused to transfer
any amount to reserves.
Your business has been steadily coming down, you are unable to employ the
profits/surplus funds in business for many years, instead, you are keeping these
surplus funds in Bank FDs (almost Rs.110 Crores) and earning interest income of
Rs.7.3 Crores of rupees. This suggests that, instead employing the company
resources for development of its business, you are into the investment business,
not allowed under the Memorandum and Articles of Association. Obviously, you
are deliberately acting against the interests of the minority shareholders and at
the behest of the overseas majority shareholders. To escape the attention of the
Stock Exchanges and the trading of minority shares, the holding companies have
dematted only a part of their holding, retaining the bulk in physical form. This
amounts to Oppression and mismanagement, an offence under Sec.397 and
other provisions of the Companies Act, 1956.

I demand, on behalf of my clients, your explanation in the matter and steps you
propose to correct the situation. Should there be no proper response, appropriate
action will be taken to bring the lapses to the notice of the regulatory authorities
and the appropriate legal forum.
K.V.Narayanmurti, B.A., B.L., FICA
Advocate,
Visalakshy,
New Kalpathy
PALGHAT. 678003
Phone: 0491 2576652.
Legal Action Against Avery India Limited is being initiated.
Please see the arrogant, disrespectful response received to a small investor:
Forwarded Message
From: Gambhir, Kanchan <kgambhir@awtxglobal.com>
To: kvnarayanmurti@yahoo.com
Cc: Khanna ,Sadhna <SadhnaKhanna@awtxglobal.com>
Sent: Thursday, October 20, 2016 5:05 PM
Subject: FW: Fw: FRAUDULENT STATEMENTS IN THE DIRECTORS REPORT
FOR THE FINANCIAL YEAR1915-16.
Dear Sir/ Madam
Thank you for your email. We would like to submit that your contentions do not
tantamount to Oppression and Mismanagement as your Company is
professionally managed and does not distinguish between its shareholders. Also,
the surplus funds of your Company have been deposited in secured short term
time deposits to deploy it in the most suitable projects as per the decision of the
management and in the best interests of the shareholders. As and when your
Company management proposes a suitable project the same shall be dealt with
in accordance with applicable legal provisions.
We assure you that your Company is diligently driven by ethics, policies and
believes in strict compliance of all laws of the land.
Regards,
Kanchan Gambhir
Company Secretary- Avery India Ltd.
Phone: +91-129-4094400
Service Hotline No: +91-8800394041
Email: Kgambhir@awtxglobal.com
http://www.averyweigh-tronix.com

Registered and Head Office: Avery India Limited, Plot Nos. 50-59, Sector 25,
Ballabgarh 121004, Haryana, India.