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TITASGAS

All Eps Dividend Board Agm Q1 Q2 Q3

TITASGAS 19-Oct-2021

(Continuation news of TITASGAS): Further, such share money deposit shall be considered in calculation of Earnings per share. However, the outstanding amount of such share money deposit stands at Tk. 205.79 crore as at 30 June 2021. But the Company has not converted this Share Money Deposit into the share capital of the Company as per the Instruction given by FRC. (end)

TITASGAS 19-Oct-2021

(Continuation news of TITASGAS): and recognized it as share money deposit. As per Gazette Notification No. 146/FRC/Adm./SRO/2020/01 dated 02 March 2020 by Financial Reporting Council (FRC), the capital received as share money deposit or whatever the name which is included in the Equity part of any company that cannot be refunded and the said amount shall be converted into share capital within 06 (six) months from the date of such receipt. (cont.11)

TITASGAS 19-Oct-2021

(Continuation news of TITASGAS): quantities of dead and obsolete items which could not be quantified thereof due to lack of information. Thus the carrying amount of inventories of the Company as on 30 June 2021 appears to be overstated. f) As per subsidiary loan agreement (SLA) between the Government of the Republic of Bangladesh and Titas Gas Transmission and Distribution Company Limited (TGTDCL), the Company has received Tk. 27.29 crore as equity (cont.10)

TITASGAS 19-Oct-2021

(Continuation news of TITASGAS): Tk. 10.44 crore and obsolete stock worth Tk. 3.33 crore by the inventory committee at that time. But the Company did not make any adjustment in the accounts for the said items. Further, the Company conducted physical verification of inventories as on 30 June 2020. It Identified huge quantities of dead and obsolete Items but could not determine the value of such inventories. As a result, the value of inventories as on 30 June 2021 may Include huge (cont.9)

TITASGAS 19-Oct-2021

(Continuation news of TITASGAS): in Fixed Deposit Receipt (FDR) with Padma Bank Limited (formerly known as "The Farmers Bank Limited"). Because of weak credit worthiness of the said banks there is a substantial doubt as regards realization of the said investment which require full provision in the accounts. But necessary provision in this regard has not been made in the accounts. e) Physical verification of Inventories done at 30 June 2013 identified dead stock worth (cont.8)

TITASGAS 19-Oct-2021

(Continuation news of TITASGAS): the said customers are not interested to pay such penal interest as well as meter rent, demand charges and high heating value which remain unrealized for long. As a result, there is a substantial doubt as regards realization of the said penal interest, meter rent and high heating value receivable which require full provision in the accounts. d) Receivable from Encashment of FDR for Tk. 58.61 crore as disclosed in Note #14 represents investment (cont.7)

TITASGAS 19-Oct-2021

(Continuation news of TITASGAS): PDB for Tk. 134.60 crore up to the year 2020-21. Further, the Company accounted for another income of Higher Heating Value (HHV) from its Private Power customers amounting to Tk. 39.52 crore up to the year 2020-2021. The Company has been recognizing these income and receivables since the year 2002. Out of the said aggregated amount of more than Tk. 230.01 crore, there is no realization till date. On a query we came to know that (cont.6)

TITASGAS 19-Oct-2021

(Continuation news of TITASGAS): C) Due to delay in payment of bills by the bulk customers (Power- PDB) the Company calculates and charges penal interest on the bill amounts of the respective customers. As such a total amount of Tk. 55.89 crore has been recognized as interest income up to 30 June 2021 and included in Trade Receivables shown in Note #11. On the other hand, the Company accounted for meter rent and demand charges on its customer namely, (cont.5)

TITASGAS 19-Oct-2021

(Continuation news of TITASGAS): of valuation. Option: 2- Tk. 300.00 crore immediately and paying Tk. 14.80 crore per month to repair the maintaining deficit in 5 years from the date of valuation. Option:3- Tk. 400.00 crore immediately and paying Tk. 12.70 crore per month to repair the maintaining deficit in 5 years from the date of valuation. In Our opinion 50% of required provision Tk. 500 crore may be transferred from retained earnings to the fund. (cont.4)

TITASGAS 19-Oct-2021

(Continuation news of TITASGAS): as per actuarial valuation done by M/s. AIR CONSULTING. As on the said date the Company's assets for the pension fund was only Tk. 92.00 crore resulting in a shortfall of provision of Tk. 1,000.60 crore for the said fund. The actuary firm, M/S. AIR CONSULTING recommended to make an annual provision of; Option:1- Tk. 200.00 crore immediately and paying Tk. 16.92 crore per month to repair the maintaining deficit in 5 years from the date (cont.3)

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