Kutch Salt & All Chairman Speech

1. THE KUTCH SALT & ALLIED INDUSTRIES LIMITEDS PHILOSOPHY ON CODE OF

GOVERNANCE;



The securities and Exchange Board of India had introduced a Code of

Corporate Governance for implementation by companies listed with Stock

Exchanges from the year 2001-2002. The Board of Directors of your

Company strongly supports the principles of corporate governance.

Further the Board lays emphasis on transparency, accountability and

integrity in all its operations and dealings with outsiders. The

following are the detailed practices on Corporate Governance in your

company.



2. BOARD OF DIRECTORS:



(a) Composition of the Board : (for the financial year 2007-2008)



Director No. of No. of

Shares meetings

held in attended

KSAIL



MR. BABULAL A. SINGHVI -- 4



MR. ASHOK A.SINGHVI -- 5



MR. MUKESH B. SINGHVI -- 5



MR. JITENDRA S. SINGHVI -- 4



MR. SANDEEPT. SINGHVI -- 5



MR.LEKHRAJ P. KANUNGO -- 4



Dr. SEEMA SHRIMAL -- 4



*No. of Total No. of memberships /

outside chairmanship of

Directorship Committees across all

held companies

Member Chairman



2 _ 1



1 - -



2 - -



1 1 1



1 2 -



- - 1



- 2 -



* ( Excluding alternate directorship and directorship in private

limited companies, Foreign Companies and section 25 Companies.)



Mr. Babulal Singhvi is a Executive Chairman, Mr. Ashok A. Singhvi.Mr.

Mukesh B. Singhvi are the executive director.



Mr. Lekhraj P. Kanungo, Dr. Seema Shrimal, Mr. Jitendra S. Singhvi 8s

Mr. Sandeep T. Singhvi are the independent directors.



All the Directors attended the last Annual General meeting held on 28th

September, 2007.



8 Board Meetings were held during the financial year 2007-2008, as

against the minimum requirement of 4 meetings. The dates on which

meetings were held are given below: 11.04.2007, 29.05.2007, 21.08.2007,

28.11.2007, 04.01.2008, 20.02.2008, 27.02.2008, 10.03.2008.



3. AUDIT COMMITTEE



The company has an audit committee with scope of activities as set out

in clause 49 of the Listing Agreement with the stock exchange read with

Section 292A of the Companies Act, 1956. the broad terms of reference

of the audit committee are as under:



The primary objective of this committee is to monitor and provide

effective supervision of the financial control and reporting process.

The terms of reference of the Audit Committee are in tandem with those

laid down by stock exchange regulations and provisions of the Companies

Act. In particular the Committee would review the financial reporting

process, internal audit process, adequacy of internal control system,

risk management policies and management audit process. The committee

would also adopt matters such as auditors report, appointment of

statutory auditors and their remuneration before consideration by the

Board of Directors.



The audit committee presently consists of four non-executive directors

viz Mr. Lekhraj P.Kanungo, as Chairman and Mr. Sandeep T. Singhvi,

Jitendra S. Singhvi and Dr. Seema Shrimal as members.



The committee met 6 times during the year on 26-07-07, 25-09-07,

27-11-07 and 11-12- 07, 06.02.08 & 28.03.08 . The attendance of the

members at the meetings is stated below.



Members Committee meetings attended



Sri. Lekhraj P.Kanungo 6



Sri. Sandeep T. Singhvi 4



Dr. Seema Shrimal 6



Sri. Jitendra S. Singhvia 5



The Chairman of the committee Mr. Lekhraj P. Kanungo was present at the

Annual General Meeting held on 28th Sep 2007.



4. REMUNERATION COMMITTEE



The Policy of the company is not to make payment of remuneration to any

director of the company hence no remuneration committee is constituted

for that matter.



5. SHAREHOLDERS / INVESTORS GRIEVANCE AND SHARE TRANSFER COMMITTEE:



The Sahreholders / Investors Grievance and Share Transfer Committee

consists of 3 non- executive Directors viz.,



1. Mr. Jitendra S. Singhvi Chairman of the committee

2. Mr. Sandeep T. Singhvi Director

3. Dr. Seema Shrimal Director



The committee met 3 times during the year



During the year, no complaints were received from the shareholders.



6. GENEERAL BODY MEETINGS



Location and time for last three Annual General Meeting were :



Year AGM



2004-2005 AGM



2005-2006 AGM



2006-2007 AGM



Location Date Time



48, Prospect 30th Sep. 05 5 P.M.

Chambers Annexe,

5th Floor, 317,



Dr.Dadabhoy Naoroji

Road,Fort,

Mumbai-400 001



Same as above 30th Sep 06 5 P.M.



Same as above 28th Sep 07 5 P.M.



All special resolutions moved at the last Annual General Meeting were

passed, by show of hands unanimously by all members present at the

meeting. No postal ballots were used / invited for voting at these

meetings.



7. DISCLOSURES;



There were no materially significant related party transactions with

Directors / Promoters / Management, which has potential conflicts with

the interests of the Company at large.



Details of related party transactions are furnished in Note No. 5 of

Schedule No. 10 under Notes on Accounts.



There have been no instances of non-compliance by the Company on any

matters related to the capital markets, nor have any penalty /

strictures been imposed on the Company by the Stock Exchange or SEBI or

any other statutory authority on such matters.



8. MEANS OF COMMUNICATIONS:



Half yearly report sent to each household of share holders No



Quarterly & half yearly results Are published in "The Free

Press Journal" & "Nav

Shakti"



Any website, where displayed, whether it also displays No

Official news releases, and the presentation to institutions

investors or to the analysts

Whether MD & A is a part of Annual Report or not No



9. GENERAL SHARE HOLDERS INFORMATION



9.1 Annual general Meeting



Date and time : 25th September 2008, at 5 P.M.



Venue : 48, Prospect Chambers Annexe,

5th Floor, 317, Dr.Dadabhoy Naoroji Road,

Fort, Mumbai-400 001



9.2 Tentative Financial Calendar:



Results for quarter ending 30th June, 2008 Last week

of July 08



Results for quarter ending 30th Sep, 2008 Last week

of Oct 08



Results for quarter ending 31st Dec, 2008 Last week

of Jan 09



Results for quarter ending 31st Mar, 2009 Last week

of April 09



9.3 Book closure date : 5th September,2008 to 11th September,2008



9.4 Dividend payment date : The Directors have not recommended any

dividend on equity shares for the financial year 2007 - 2008



9.5 Listing of equity shares



on Stock Exchange at : The Bombay Stock Exchange Ltd. Mumbai



9.6 Stock Code : 506540



9.7 Stock market data : Since the shares are not actively traded hence

no details is given.



9.8 Registrar and Share Transfer Work of the company is done in house.



9.9 Share transfer system :



The Board has constituted a share transfer committee for physical

transfer of shares. Shares lodged for transfer are normally processed

within 15 days from the date of lodgment, if the documents are clear in

all respects.



9.10 Dematerialisation of shares



No Dematerialisation of the quity shares of the company has been

carried out.



9.11 Outstanding GDR / Warrants and convertible Bonds, conversion date

and likely impact on equity : None



9.12 Plant Location



(a) Kandla: ZERA PORT, New Kandla, 370 210



(b) Jakhau: Jakhau : Kutch, Taluka: Abadasa, 370 640



9.13 Investors correspondence :



Registered Office of the Company :



48, Prospect Chambers Annexe

5th Floor, 317, Dr. Dadabhoy Naoroji Road,

Fort, Mumbai-400 001