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CENTRALPHL

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CENTRALPHL 15-Nov-2021

(Continuation news of CENTRALPHL): As per the management, there were long cumulative outstanding amounts, untraceable medicine shops and medical officers, unadjusted returned expired products that were not accounted for in previous years which were taken into consideration in current year. However, no detailed calculation or supporting could be provided by the management on the balances written off. 5. In note no. 21 of the financial statements, amount of Tk. 3,152,249 (cont.9)

CENTRALPHL 15-Nov-2021

(Continuation news of CENTRALPHL): parties could be provided to us. The company does not have any policy regarding recoverability of these receivables. Hence, recovery of accounts receivable was doubtful and no provision for bad debts was accounted for in last year. As per our qualification last year, the management of the company has written off trade receivables of Tk. 583,386,646 during the year against which no supporting documents could be provided to us. (cont.8)

CENTRALPHL 15-Nov-2021

(Continuation news of CENTRALPHL): As existence or destruction of inventory was not justified by the company the actual value of inventory could not be determined or whether the loss incurred by them was correctly charged in cost of goods sold. 4. The balance of accounts receivable of Tk. 79,054,171 has increased from last year and is 53.3% of total sales reported during the year. No status report or confirmation certificate of lying balances with the concerned sales centers and (cont.7)

CENTRALPHL 15-Nov-2021

(Continuation news of CENTRALPHL): As per the management, they have destroyed the inventory but no evidence could be provided on destruction. Neither were we informed before any such destruction done by the company. The value of inventory destroyed was charged in the cost of goods sold. The company could not provide proper evidence or justification for charging the loss incurred on inventory destruction in cost of goods sold. (cont.6)

CENTRALPHL 15-Nov-2021

(Continuation news of CENTRALPHL): provided to us on the quantity, quality and value of inventories. Physical existence with good condition and saleable value of major portion of inventories was doubtful, as movements of inventory were not recorded properly by the company. As per our qualification last year, the management of the company had written off inventory of Tk. 482,218,612 last year against which no supporting documents could be provided to us. (cont.5)

CENTRALPHL 15-Nov-2021

(Continuation news of CENTRALPHL): 2021 but has made no provision for Turnover Tax on gross turnover of Tk. 148,151,797. Current tax provision should be Tk. 888,911 on turnover that was not provided for, due to which the current liabilities are understated by the same amount. 3. The volume of inventories was high in comparison to purchase, production capacity, cost of goods sold and turnover as a whole and is increased from last year of which no technical status report was (cont.4)

CENTRALPHL 15-Nov-2021

(Continuation news of CENTRALPHL): had been submitted on 22.10.2019 and tax assessment thereof have not been yet completed. Advance Tax Tk. 286,156,338 and Liabilities for Tax Tk. 279,867,383 remain unadjusted in the accounts. As a result, Assets and Liabilities have been overstated. No supporting documents as against payment of advance tax of Tk. 5,951,887 during the year 2019-2020 have been provided. The company has incurred loss for the year ended 30 June, (cont.3)

CENTRALPHL 15-Nov-2021

(Continuation news of CENTRALPHL): the company has been running through cash transactions. 2. No latest status on Tax assessment position of the company was provided. The Tax Authority has a Claimed for 488,160,889 taka vide their letter No. Tax liability/A-13/Circle-155/2017-2018 dated 04.04.2018 that for the assessment years from 2007-2008 to 2016-2017. It was also found that Income Tax returns of the company for the assessment years 2017-2018 and 2018-2019 (cont.2)

CENTRALPHL 15-Nov-2021

The auditor of the Central Pharmaceuticals Limited has given the "Qualified Opinion" paragraphs in the Auditor's Report for the year ended on 30 June, 2021. 1. Three Bank Accounts of the company with Janata Bank Ltd. Local office, Dhaka were frozen by the Tax Authority demanding Tax Liability amount of Tk. 93,082,463 vide their letter no.178456845965/Circle-155/2014-2015/232 dated 26.04.2015 and no subsequent development thereof was reported. Since then, (cont.1)

CENTRALPHL 09-Nov-2021

As per Regulation 16(1) of the Dhaka Stock Exchange (Listing) Regulations, 2015, the Company has informed that a meeting of the Board of Directors will be held on November 15, 2021 at 3:00 PM to consider, among others, un-audited financial statements of the Company for the First Quarter (Q1) period ended on September 30, 2021.

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