Sri P. K.

Misra,
DY. GENERAL MANAGER

Ref: No: OFDC - 68 (Pt) /_____ Dated: .11. 2005

To:

THE CHAIRMAN,
All Members of Board of Directors,
The Orissa Film Development Corporation Ltd.

Sub: Minutes of the 77th Meeting of the Board of Directors

of “the Orissa Film Development Corporation Ltd.”,
held on 24.09.2005 (Saturday) at 6.00 PM in the Office
Chamber of Commissioner-cum-Secretary to Govt. of
Orissa, Industries Department, Bhubaneswar.

Dear Sir,

We send here with the minutes of the 77th Meeting of the

Board of Directors of “the Orissa Film Development Corporation Ltd.”,
Cuttack held on 24th September 2005 (Saturday) at 6.00 PM in the
Office Chamber of Commissioner-cum-Secretary to Govt. of Orissa,
Industries Department, Bhubaneswar for your kind perusal.

Thanking you,
Yours faithfully,

Encl : As above. DY. GENERAL MANAGER

Memo No: OFDC - 68(Pt) /_______ Dt: .11.2005

Copy along with the Agenda & Proceedings of the 77 th

Meeting forwarded to the A.G. (C.W & R.A.), Orissa, Bhubaneswar for
information and necessary action.

Encl : As above. DY. GENERAL MANAGER

PROCEEDINGS OF THE 77TH MEETING OF THE BOARD OF DIRECTORS
OF ORISSA FILM DEVELOPMENT CORPORATION LTD. HELD ON
24.09.2005 (SATURDAY) AT 6.00 PM IN THE OFFICE CHAMBER OF
COMMISSIONER-CUM-SECRETARY TO GOVT. OF ORISSA, INDUSTRIES
DEPARTMENT, BHUBANESWAR.
*******

MEMBERS PRESENT:

1, Sri G. C. Pati, IAS, … Chairman

Principal Secretary to Govt.
Industries Department.
2. Sri N. B. Dhal, IAS … Mg. Director.
DI, Orissa, Cuttack.
3. Sri S. N. Misra, OAS(I) … Director.
Dy. Secretary to Govt.,
Industries Department.
4. Sri Krushna Chandra Mohanty … Director.
Director, Culture.
5. Sri Surendra Sahoo … Director.
Principal, BPFTIO.

Leave of absence was granted to the absentee members.

Item No.1. Confirmation of the proceedings of the 76th meeting of

the Board of Directors held on 23.06.2005.

The Board after careful consideration confirmed the

minutes of the 76th Meeting of the Board of Directors held on 23.06.2005
which was placed at Annexure-‘A’.

Item No.2. Compliance to the decision taken in the 76 th meeting of

the Board of Directors held on 23.06.2005.

The Action Taken Report on the decisions taken in the 76 th

meeting of the Board of Directors held on 23.06.2005 placed at Annexure-‘B’
was perused by the Board.

Item No.3. OTS of M/s. Mayur Films.

In the matter of OTS relating to Mrs. Anjana Pati, Producer

of M/s. Mayur Films, Baripada the Board made a careful study of the request
for further rebate on interest component beyond 50% already offered to her.
Also the Board noted the outstanding position on OTS account of
Rs.10,46,681.20 after deposit of Rs.1,12,000/- which is inclusive of
application money. In considering her appeal for enhancement of rebate in
the interest component, the Board proposed to acquire firsthand information
about the present financial status of Mrs. Pati. The Board also desired to
assess the value of her assets offered as collateral security against the loan.
Board suggested Managing Director to contact the Collector & District
Magistrate, Mayurbhanj District with a request to make a complete
evaluation of the assets and economic status of the producer and assess the
present valuation of the properties for consideration of the above proposal.

The Board also took note of the developments in case of

M/s Baba Amareswar Films and M/s Balaji Talkies where 75% rebate on
interest was earlier approved by the Board.

Item No.4. OTS of M/s. R. S. Production.

In the case of M/s. R. S. Production, the party had sought

for further time extension for repayment of balance OTS amount. The Board
after careful consideration permitted time up till 31.03.2006 for final
settlement of the loan subject to the condition that the interest will be levied
@ 12% per annum in the form of reducing balance w.e.f. 31.03.2005 till
entire amount is squared up.

Item No.5. OTS of M/s. Cinema House, Astaranga.

The Board after careful study noted that the party has
failed to deposit the OTS amount within the schedule time and prayed for six
months time extension for such settlement. On consideration of the request
of the party, the Board has been pleased to permit the same up till
31.03.2006 for clearing up of the dues. In this case also interest @ 12% per
annum will be charged to the party on the reducing balance levied w.e.f.
31.03.2005 till entire dues are liquidated.

Item No.6. Consideration for sanction of subsidy in favour of M/s.

Shree Ganesh Production.

The Board after careful study of the above subsidy proposal

of the producer decided to sanction subsidy of Rs.3.50 lakhs in favour of the
producer as a special case due to the following reasons considering the fact
that subsidy is not sanctioned due to pending bills of Kalinga Studio.
i. A portion of long outstanding dues of Kalinga Studios Ltd.
pending against the producer can be adjusted out of it and
balance shortfall may be met from the resources as and
when available. This would avoid legal expenses to be
incurred by OFDC for recovery of the dues and the studio
can reduce their loan obligation with OFDC Ltd.
ii. Finally, the unspent balance available in subsidy account
can be appropriately utilized as per the provision
incorporated in GO. No.XVIII-HI-7/03-4421 dt:11.03.2004
of Industries Department while releasing subsidy to the
corporation.
Further the Board authorised the Managing Director to give
effect of such sanction looking into the provisions in the subsidy rule.
Item No.7. Repair & Maintenance of Office Building.
 The Board ratified the action taken by the Managing
Director for repair and maintenance of the office building and authorised him
to take up the maintenance work observing required formalities.

Item No.8. Purchase of a 2nd Computer for office.

The Board after careful consideration decided to purchase

the 2nd computer with a financial involvement up to Rs.50,000/- only.
Managing Director is authorised to arrange for procurement observing
required formalities.

Item No.9. Modification of the decision of the Board regarding re-

designating both the Managers as Deputy General
Managers – position of other promotion cases for
review.

The Board took note of the decisions taken by the previous

Board of Directors in promoting some employees, regularizing some
employees etc. in violation of rules / guidelines. The Board advised the
Managing Director to submit a detail report to the Govt. in this regard. It
may be legally examined whether these orders can be reversed and placed in
next Board.

Item No.10. Proposal for Joint Venture of Kalinga Studios Ltd. -

Inter-Ministerial Review Meeting held on 14.09.2005 at
3.30 PM on the performance of State PSUs.

The Board perused the proposal for Joint Venture of

Kalinga Studios Ltd. and the decision of the Inter Ministerial Review Meeting
held on 14.09.2005 and noted the same. Also the Board deliberated on the
proposal of M/s. Prasad Productions (P) Ltd., Madras offering join as Joint
Venture partner vide their letter dt:13.09.2005 retaining 51% shares with
them and OFDC will retain 49% shares inclusive of the terms and conditions
suggested by them. After a detailed deliberation, the Board has suggested
that Managing Director may examine the details of the financial aspects
involved and put forth a comprehensive proposal in the next meeting of the
Board of Director for consideration.

Item No.11. Any other item with the permission of the Chair –
Pending cases of OTS 2003.

The Board had taken a decision during October 2003 to

introduce OTS for the loan dues of the corporation. The crystallized OTS
dues were to be cleared by 31.03.2004. The then Managing Director took a
decision to extend the due date of payment till 30.06.2004. Interest was
calculated up to the end of the month in which the application was received.
Subsequently the Board reopened the OTS during January 2005, stipulating
31.01.2005 as the last date of receipt of application and 31.03.2005 as the
due date by which the OTS dues is to be paid. All applications received after
the cut off date of OTS 2003 were also considered. Interest was calculated up
to 31.01.05 to arrive at the crystallized amount.
 Subsequently the Board decided to extend the due date of
payment of OTS dues till 31.08.2005. A number of requests are being
received to allow more time to the loanees to clear the OTS dues. After due
deliberation, the Board decided as follows.

“Loanees who had applied to avail OTS, but failed to repay

the OTS amount fully by 31.08.2005, in spite of two extensions will be
required to pay interest @ 12% on the reducing balance of the crystallized
amount after 31.03.2005 till the OTS dues are fully repaid. If the entire dues
along with interest are not fully repaid by 31.03.2006, the OTS offer stands
automatically cancelled.

All applicants whose OTS applications have been

considered earlier will be informed accordingly”.

The Board further decided to reopen the OTS till

31.12.2005 i.e. last date of receipt of application will be 31.12.2005 and
interest will be calculated up to that date. The applicants will be required to
repay the crystallized OTS dues by 31.03.2006 failing which the offer stands
automatically cancelled.

The Board also decided to come out with a policy to

rephase the loan portfolios.

The meeting ended with a vote of thanks to the Chair.

Sd/-
29.10.2005
( G. C. Pati )
CHAIRMAN


 OTS Policy 2003 came into force w.e.f. 01.10.2003 till 31.03.2004.
Which was published in Dharitri on dt:10.10.2003 with approval of
Board of Director in their 73rd Meeting held on 20.09.2003.

 OTS offer was extended from 01.04.2004 to 30.06.2004 vide order of

the Managing Director in File No.2366 (OTS file) at P-29/N and was
published in the Samaj dt:08.06.2004.

 The Board in the 75th meeting held on 31.12.2004 reopened the OTS
scheme for one month i.e. up to 31.01.2005 and allowed the applicants
to settle their dues as per the existing guidelines. Such settlement can
be made in one installment on or before 31.03.2005.

 In all OTS cases, the calculation of interest will be made up to the end
of the month in which the application is received by the corporation
along with the required application fees – vide order of Managing
Director at P-26/N in file No.2366
Item No.11. Any other items with the permission of the Chair.

Chairman suggested that the OTS proposal may again be

reopened henceforth and will be in force up to 31.03.2006. any producer who
is eligible for OTS under the OTS Policy 2003 can apply to the Managing
Director to settle their dues on OTS basis and this may be treated as a last
opportunity for OTS and no settlement shall be allowed thereafter. Managing
Director is authorised to finalise the modalities for submission of OTS
application and cut of date etc. there in.

The meeting ended with a vote of thanks to the Chair.

( G. C. Pati )
CHAIRMAN


NOTES ON AGENDA FOR THE 78 TH MEETING OF THE BOARD OF
DIRECTORS OF ORISSA FILM DEVELOPMENT CORPORATION LTD. TO
BE HELD ON 29.12.2005 (THURSDAY) AT 5.30 PM AT STATE COUNCIL
OF TECHNICAL EDUCATION, ORISSA, BHUBANESWAR.
*******

Item No.1. Confirmation of the proceedings of the 77th meeting of

the Board of Directors held on 24.09.2005.

The minutes of the 77th meeting of the Board of Directors is

placed at Annexure-’A’, which was circulated among the members may
please be perused and confirmed.

Item No.2. Compliance to the decision taken in the 77 th meeting of

the Board of Directors held on 24.09.2005.

The Action Taken Report on the decisions taken in the 77 th

meeting of the Board of Directors held on 24.09.2005 placed at Annexure-‘B’
may kindly be perused.

Item No.3. Appointment of Managing Director, OFDC.

The State Govt. in General Administration Department vide

Notification No.AIS/IV-01/2005(Pt.IV)-31340/AIS.I., dated: the 28th
November 2005 has appointed Sri R. N. Dash, IAS, Commissioner-cum-
Director, Technical Education, Orissa, Cuttack as the Managing Director of
this corporation. Sri Dash has assumed the additional charge of the office of
the Managing Director, the Orissa Film Development Corporation Ltd. on
02.12.2005 (forenoon) in addition to his present post.

The Board may kindly note.

Item No.4. Appointment of Managing Director, Kalinga Studios

Ltd.

In pursuance to General Administration Department vide

Notification No.AIS/IV-01/2005(Pt.IV)-31340/AIS.I., dated: the 28th
November 2005, Sri R. N. Dash, IAS, Commissioner-cum-Director, Technical
Education, Orissa, Cuttack has assumed the charge of the office of the
Managing Director, the Kalinga Studios Ltd. along with the OFDC Ltd. on
02.12.2005 (forenoon) as per practice.

The Board may kindly note.

Item No.5. Approval of the Accounts - Confirmation of resolution

by circulation regarding approval of accounts of the
corporation for the year 2002-2003.
 The corporation maintains its accounts on mercantile
system and follows the accounting standards relating to disclosure of
accounts and accounting policy as per the notification of the Central
Government under the provisions of the Companies Act, 1956. With a view to
expedite the audit, the accounts of the corporation for the year 2002-2003
were circulated amongst the Board Members. The accounts were approved by
the majority of Directors through circulation. The said accounts have also
been discussed in the meeting of the Audit Committee on 07.12.2005. A copy
of the said resolution is annexed at Annexure-‘C’.

The Board may kindly confirm the resolution by

circulation.

Item No.6. Fixation of remuneration for the Statutory Auditors.

M/s. Chand & Co. Chartered Accountants, Bhubaneswar

have been appointed as the Statutory Auditors for the year 2000-01 to 2003-
04 by the CAG of India. M/s. A. K. Tripathy & Co. Chartered Accountants,
Bhubaneswar have been appointed as the Statutory Auditors of the
corporation for the year 2004-05. The audit fees have been fixed at
Rs.6,000/- apart from the TA & DA as per actual (reasonable) in case of
outstation auditors.

The Audit Committee in its first meeting held on

07.12.2005 looking into the rise in cost of living and the time spent by the
auditors have recommended to enhance the audit fees to Rs.10,000/- w.e.f.
the financial year 2003-04.

The Board may kindly consider.

Item No.7. Minutes of the Audit Committee - provision for

bad/doubtful debts.

In the first meeting of the Audit Committee, Sri Aurobinda

Rath, ACA, M/s. Chand & Co., Chartered Accountant, Statutory Auditors of
the corporation pointed out that the corporation has maintained its accounts
on mercantile basis and as such incomes are accounted for on accrual basis.
As a result, inflated profit is being arrived at. The committee after a detailed
deliberation, decided to explore the possibilities of providing a portion of
income receivable as doubtful debt to arrive at a realistic picture without
affecting the legal proceedings against the entrepreneurs.

It was further decided to create an interest suspense

account during the year 2004-05 to transfer all interest incomes that are not
received during the year to get a realistic picture of the corporation’s
profitability. The minutes of the meeting of the Audit Committee is at
Annexure-‘D’.
 The Board may kindly consider.

Item No.8. OTS proposals of the corporation.

The corporation has devised an OTS Policy in the year

2003 w.e.f. 01.10.2003. The said policy has been extended from time to time
and the currency of the policy is valid up to 31.12.2005 for submission and
31.03.2006 for settlement

In the said policy the loanees sanctioned loans prior to

01.04.1999 have been eligible for settlement subject to fulfillment of other
criterias. These loanees have been given ample opportunities under the
policy as the said policy has been extended time to time from dt:31.03.2004
till 31.03.2006. There are around 8 nos. of cases now who have been
deprived of OTS under the said policy since they were sanctioned with the
loan after 1999. In view of the same, it is proposed to extend the policy to the
entrepreneurs who have been sanctioned loan on or after 01.04.1999 to
31.12.2002.

It has been observed that the OTS policy and the process of
settlement equally applicable to the entrepreneurs without considering the
ability for repayment, solvency, status, marketability of the securities and the
financial position of the loanees and the guarantors. As a result the willful
defaulters take the advantage of the policy where as the genuine defaulters
suffer. In view of the above, it is therefore proposed that all the OTS
proposals pending as well as new shall be considered on case to case basis by
a committee involving the concerned Collectors/his representative.

Item No.9. Proposal for Joint Venture of Kalinga Studios Ltd.

The summary record of the meeting of the Public &

Cooperative Restructuring Committee (PCERC) held on 02.11.2005 on
privatization of Kalinga Studios Ltd. may kindly be seen at P-128/C.

The Industries Department had recommended for

conversion of Kalinga Studios Ltd. to a Joint Venture. However, the PCERC
has decided first to record the land now in possession of Kalinga Studios Ltd.
in its name before taking any action on the recommendation of IDCG.
Accordingly, the Industries Department vide its letter at P-130/C has moved
the GA Department to record the land in possession of Kalinga Studios Ltd.
in its name.

In this connection it may be informed that the land of 25

Acres given possession to Kalinga Studios Ltd. was earlier identified as forest
land initially, but later it has been converted to a non-forest land in the
revenue record as evident from the minutes of the discussion held on
24.10.2002 under the Chairmanship of Principal Secretary to Govt.,
Industries Department where the Director, Estates, the Dy. Secretary to
Govt., Revenue Department and the ADM, Khurda were present.

In the meantime, as per the agreement executed between

the OFDC and Prasad Productions Ltd. for establishment of a colour
processing laboratory, an area of AC 3.000 Dec. of land has been given to the
possession in the year 1989 to M/s. Prasad Kalinga Film Laboratories Ltd.
which is joint venture project of OFDC Ltd.

It is therefore proposed that we may request the GA

Department to record the land as follows:

Kalinga Studios Ltd.

MOUZA KHATA PLOT KISAM AREA REMARKS

NO.
Jokalandi 12 54(P) Kochilabana AC 7.450 Out of
Anabadi AC 62.640

Ghatikia 448 12(P) Chhota- AC 14.300 Out of

Forest jungle AC 30.590
Deptt.
13(P) Chhota- AC 00.250 Out of
jungle AC 17.445
TOTAL AC 22.000

P. K. F. L.

MOUZA KHATA PLOT KISAM AREA REMARKS

NO.
Jokalandi 12 54(P) Kochilabana AC 3.000 Out of
Anabadi AC 62.640
TOTAL AC 3.000

The Board may kindly consider.

Item No.10. Abolition of post of Driver in the scale of pay of Rs.950-

1500/- consequent upon retirement of one incumbent
of Sri P. Podh under VRS.

Sri P. Podh, Driver has taken retirement under the V.R.

Scheme as per the decision of the Board of Directors in their meeting held on
23.06.2005. He is relieved from his duties i.e. from 31.08.2005 (afternoon).
The P.E. Department in their circular (Model Voluntary Retirement Scheme)
No.1743/PE dated:06.06.1998 vide clause No.4.1 has prescribed that the
vacancy by voluntary retirement will be abolished automatically from the date
of relief of the incumbent.

The Board may kindly consider.

Item No.11. Non-return of stock assets/materials of the corporation
by the Ex. Chairman / Ex. Officials.

The stock of assets of the corporation for the financial year

2003-04 was conducted and it was found that some of the assets are issued
to the Ex. Chairman and Ex. Officials of the corporation during their
incumbency. Despite our several correspondences the articles are not
returned yet. The details of the articles issued to the senior executives are at
Annexure-‘E’. The A.G. Audit during their audit have pointed out such
discrepancies and pressing hard for stringent measures to get back such
articles.

This is submitted for favour of kind information and to

decide future course of action in this regard.

Item No.12. Transfer of Shares.

The share capital of the corporation are presently held in

the names as follows.

Sl. Shares presently hold No. of

No. Shares
1. HE, Governor of Orissa, 539000
Represented by the Secretary to Govt.,
Industries Department.
2. Director of Industries,Orissa, 850
Cuttack.
3. Sri G.C. Pati, IAS, 25
Secretary to Govt., Industries
Department-cum- Chairman, OFDC Ltd.
4. Sri S. N. Misra, 25
Dy. Secretary to Govt.,
Industries Department.
5. Managing Director, 25
OFDC Ltd., Cuttack.
6. Sri S. N. Khuntia, 25
Surya Vihar, Link Road,Cuttack.
7. Sri Lalatendu Badu, 25
Tarachand Patna, New Colony, Cuttack.
8. Ms. Rita Bishal, 25
Sivashree House, Kalhu,
Mohantypara, Cuttack.
9. Sri P. K. Misra, 25
Mathasahi, Tulasipur, Cuttack.
10. Sri Sitakanta Misra, 25
Mathasahi, Tulasipur, Cuttack.
TOTAL 540050

The Board of Directors of OFDC in the 73rd meeting held

on 20.09.2003 approved the said shareholding pattern. In the meantime, the
non-official members holding the shares have been seized to be the Directors
of the corporation w.e.f. 15.05.2004.It is therefore proposed to transfer the
shares to the names of the present Directors and officers as follows.

Sl. Shares presently hold No. of To be transferred

No. Shares

1. Sri S. N. Khuntia, 25 Sri S. K. Sahoo,

 Surya Vihar, Link Road,Cuttack. Principal, BPFTIO,
Cuttack.

2. Sri Lalatendu Badu, 25 Dy. Secretary to Govt., PE

Tarachand Patna, New Colony, Department.
Cuttack. Bhubaneswar.

3. Ms. Rita Bishal, 25 Sri K.S. Ramachandran,

Sivashree House, Kalhu, Laboratory Chief,
Mohantypara, Cuttack. PKFL Ltd., Bhubaneswar.

4. Sri P. K. Misra, 25 Chief Accounts Officer,

Mathasahi, Tulasipur, DI, Orissa, Cuttack.
Cuttack.

5. Sri Sitakanta Misra, 25 FA-Cum-Jt. Secy. to Govt.

Mathasahi, Tulasipur, Industries Department,
Cuttack. Bhubaneswar.

The Board may kindly consider.

Item No.13. Any other item with the permission of the Chair.


 ANNEXURE – ‘B’

ACTION TAKEN ON THE DECISIONS TAKEN IN 77 TH MEETING OF THE

BOARD OF DIRECTORS OF ORISSA FILM DEVELOPMENT
CORPORATION LTD. HELD ON 24.09.2005 (SATURDAY) AT 6.00 PM.
*******

Item No.1. Confirmation of the proceedings of the 77th meeting of

the Board of Directors held on 24.09.2005.

Needs no compliance.

Item No.2. Compliance to the decision taken in the 77 th meeting of

the Board of Directors held on 24.09.2005.

Needs no compliance.

Item No.3. OTS of M/s. Mayur Films.

As per the decision of the Board the Collector & District

Magistrate, Mayurbhanj District has been requested vide letter No.OFDC-
2231/1227 dt:09.12.2005 to assess the value of the assets offered for the
loan as security and solvency of the loanee and the guarantor. A D.O.
reminder has been sent to Sri V.K.Pandian IAS, Collector, Mayurbhanj vide
letter no. DO L. No. OFDC-2231/1264 dt: 23. 12. 2005.

Item No.4. OTS of M/s. R. S. Production.

Time has been allowed up to 31.03.2006 for final

settlement with the condition that the interest will be levied @ 12% per
annum in the form of reducing balance w.e.f. 01.04.2005 till the entire
amount is squared up. The loanee has been intimated individually vide letter
No.OFDC-2143/1136 dt:28.11.2005 for immediate necessary action. Also
demiofficially reminder has been sent to Shri K. K.

Item No.5. OTS of M/s. Cinema House, Astaranga.

Time has been allowed up to 31.03.2006 for final

settlement with the condition that the interest will be levied @ 12% per
annum in the form of reducing balance w.e.f. 01.04.2005 till the entire
amount is squared up. The loanee has been intimated individually vide letter
No.OFDC-994/1135 dt:28.11.2005 for immediate necessary action.

Item No.6. Consideration for sanction of subsidy in favour of M/s.

Shree Ganesh Production.
 The amount has been adjusted against Kalinga Studio
dues vide intimation No.OFDC/2473/1288 dt: 26.12.2005 issued to Kalinga
Studios Ltd. with copy to producer.

Item No.7. Repair & Maintenance of Office Building.

An estimate is being prepared for the work looking to the

requirement and the financial position of the corporation. The OSIC were
requested to prepare estimate, but they want service charge at 1.5% of
estimated cost vide their letter no 7669 dt: 25.11.2005. The Board may take
a view.

Item No.8. Purchase of a 2nd Computer for office.

Action is being taken for procurement of a computer

looking into the need of the corporation and according to the procedure. ISL
has been requested to quote their rates for supply of a computer with
peripherals.

Item No.9. Modification of the decision of the Board regarding re-

designating both the Managers as Deputy General
Managers – position of other promotion cases for
review.
Government have been reminded demi officially a post of
DGM in lieu of a post of Manager as proposed vide letter no. OFDC/2023/59
dt: 16.7.2002. Existing post will remain vacant till creation of the second
post.

A detailed report has been submitted to the Govt. vide

letter No.OFDC/2023/1255 dt: 21.12.2005 in respect of
promotions/regularizations of some of the employees etc. in violation of the
rules/guidelines.
The views of the Legal Retainer have been sought. On
receipt of his views, a report will be placed before the Board in the next
meeting.

The views of the Legal Retainer has not been obtained as

regards to whether these orders can be reversed. A detail report will be
placed in the next meeting.

Item No.10. Proposal for Joint Venture of Kalinga Studios Ltd. -

Inter-Ministerial Review Meeting held on 14.09.2005 at
3.30 PM on the performance of State PSUs.

A separate agenda is being placed for consideration.

Item No.11. Any other item with the permission of the Chair –
Pending cases of OTS 2003.
 (I) One Time Settlement Scheme.

As per the decision of the Board as regards to extension of

time up to 31.12.2005 for submission of application and 31.03.2006 for
settlement an advertisement has been released in the Oriya daily “The Samaj”
dt:24.11.2005. So far only one entrepreneur has applied for OTS which is
under process.
 ANNEXURE ‘C’

THE ORISSA FILM DEVELOPMENT CORPORATION LTD.

RESOLUTION BY CIRCULATION OF THE BOARD OF DIRECTORS
*****
Item No. 1. Approval of the accounts for the year ended on 31.03.2003

The corporation maintains its accounts on mercantile system and follows the
accounting standard relating to disclosure of accounting policy as per the notification of the
Central Government under the provisions of the Companies Act, 1956. With a view to clear
the backlog in accounts, the A.G. (CW&RA), Orissa have suggested to authenticate the
accounts by the Board through circulation as and when necessary. A copy of the Balance
Sheet and Profit & Loss Account of the corporation for 2002-2003 with its schedules
confirming to the particulars of accounts is placed at Annexure-‘A’ for kind perusal of the
members. The Board may kindly consider and pass the following resolutions.

“RESOLVED that the Balance Sheet and Profit & Loss Account of the
corporation for the year ended on 31st March 2003 now placed before the Board
are hereby approved and the same be authenticated under the signatures of Sri
R. N. Dash, IAS, Managing Director and Sri S. N. Misra, OAS(I), Director on
behalf of the Board and submitted to the Statutory Auditors for audit”.

Name of Directors Approved/not Approved

Signature .

1. Shri G. C. Pati, I.A.S, Approved

Principal Secretary to Govt.
of Orissa, Industries Department,
& Chairman, OFDC

2. Shri R. N. Dash, I.A.S, Approved

Commissioner-cum-DTE & T,
& Managing Director, OFDC

3. Shri G. K. Das, IAS, Approved

Director, Culture, Orissa,

4. Shri S. N. Misra, OAS (I), Approved

DeputySecretary to Govt. of Orissa,
Industries Department.

5. Sri D.P. Ray, OAS(I), Approved

Dy. Secretary to Govt. of Orissa
P. E. Department.

6. Shri P. Satyanarayan
Director (F), NFDC

7. Shri A.Ramesh Prasad

C.M.D., Prasad Kalinga Film Lab.

8. Sri S. K. Sahoo, Approved

Principal, BPFTIO
 ANNEXURE ‘D’
MINUTES OF THE MEETING OF THE AUDIT COMMITTEE OF THE ORISSA FILM
DEVELOPMENT CORPORATION LTD. CUTTACK HELD ON
07.12.2005(WEDNESDAY) AT 5.00 PM IN THE OFFICE CHAMBER OF THE
PRINCIPAL SECRETARY TO GOVT., INDUSTRIES DEPARTMENT, BHUBANESWAR.

MEMBERS PRESENT:

1. Sri G.C.Pati, IAS,

Chairman, OFDC Ltd.

2. Sri R. N. Das, IAS,

Managing Director, OFDC Ltd.

3. Sri K. K. Tripathy, OFS(I),

FA-Cum-Jt. Secy., Ind. Deptt.

4. Sri S. N. Misra, OAS(I),

Dy. Secy., Ind. Deptt.

5. Sri Aurobinda Rath, ACA,

M/s. Chand & Co.,
Statutory Auditors.

Sri G. C. Pati, IAS, Principal Secretary to Govt., Industries Department

and Chairman OFDC Ltd. presided over the meeting.

At the outset, Managing Director explained the statutory requirement

and scope of the meeting. Then the meeting proceeded as per the agenda.

Item No.1. To review the scope and results of the annual audit and its cost
effectiveness and the independences and objectives of the
auditors.

Sri Aurobinda Rath, ACA, M/s. Chand & Co., Chartered Accountants,
Bhubaneswar, Statutory Auditor indicated that they have completed the audit of
2002-03 anticipating the approval of the same by the Board. The committee advised
them to expedite the work of 2003-04 so that the arrear in accounts can be cleared
up.

Item No.2. To consider the appointment of the external auditors and the
audit fees.

M/s. Chand & Co. Chartered Accountants, Bhubaneswar have been

appointed as the Statutory Auditors for the year 2000-01 to 2003-04 by the CAG of
India. M/s. A. K. Tripathy & Co. Chartered Accountants, Bhubaneswar have been
appointed as the Statutory Auditors of the corporation for the year 2004-05. The
audit fees have been fixed at Rs.6,000/- apart from the TA & DA as per actual
(reasonable) in case of outstation firms.

After careful consideration the committee looking into the rise in cost of
living and the time spent by the auditors recommended to enhance the audit fees to
Rs.10,000/- w.e.f. the financial year 2003-04.

Item No.3. To discuss with the external auditors about the nature and scope
of the audit and other relevant matters.

Sri Rath representative of the Auditors pointed out that the corporation
has maintained its accounts on mercantile basis and as such incomes are accounted
for on accrual basis. As a result, the profit is being arrived at. The committee after
a detailed deliberation, decided to explore the possibilities of providing a portion of
income receivable as doubtful debt to arrive at a realistic picture without affecting
the legal proceedings against the entrepreneurs. It was decided to create an interest
suspense account during the year 2004-05 to transfer all interest incomes that are
not received during the year to get a realistic picture of the corporation’s profitability.

Item No.4. To review the annual financial statements before submission to

the Board.

The committee perused the accounts for the year 2002-03 and
observed that a major expenses of the corporation is on account of payment and
provision for the employees. The corporation has tried to limit its expenses as far as
possible. The committee suggested to authenticate the accounts through a
circulatory resolution so that the auditors can certify the accounts and take up the
audit of 2003-04.

Item No.5. To discuss problems and reservations arising from the audit and
any matters the auditor may wish to discuss.

The committee noted that the auditors have not submitted any
problems or reservations arising from the audit to discuss.

Item No.6. To review the effectiveness of the corporation’s system of internal

control.

The committee and the auditors noted that the corporation has
adequate internal control system commensurating its size and volume of
transactions.

Item No.7. To review any internal audit programme and ensure that it is
adequately resourced.

The committee noted that M/s. Bajoria & Co., Chartered Accountants
who were appointed as internal auditors have not taken up any work of internal
audit or compilation of accounts work. As such no expenses have also been
incurred on the said account.

The committee further authorised the Managing Director to negotiate

with M/s. Chand & Co. for appointment as internal auditors for the year 2004-05
with suitable remuneration after the statutory audit of 2003-04 is over.

The meeting ended with a vote of thanks to the Chair.

( G. C. Pati )
CHAIRMAN
Sri P. K. Misra,
DY. GENERAL MANAGER.

Ref: No: OFDC: 2984 / _______ Dt: .12.2005

To:
Sri R. N. Dash, IAS,
Managing Director, OFDC Ltd. and
Commissioner-cum-Director of
Technical Education & Training,
Orissa, Cuttack.

Sub: The Audit Committee meeting of the Orissa Film

Development Corporation Ltd., Cuttack.

Dear Sir,
The first meeting of the Audit Committee will be held on
07.12.2005 at 12.15 PM in the office chamber of the Principal Secretary
to Govt., Industries Department.

You are therefore requested to kindly make it convenient to

attend the aforesaid meeting as per the above scheduled.

The agenda for discussion in the meeting will be placed on

the table.

Thanking you,
Yours faithfully,

DY. GENERAL MANAGER

Sri P. K. Misra,
DY. GENERAL MANAGER.

Ref: No: OFDC: 2984 / _______ Dt: .12.2005

To:
Sri G. C. Pati, IAS,
Chairman, OFDC Ltd. and
Principal Secretary to Govt. of Orissa,
Industries Department,
Bhubaneswar.

Sub: The Audit Committee meeting of the Orissa Film

Development Corporation Ltd., Cuttack.

Dear Sir,
The first meeting of the Audit Committee will be held on
07.12.2005 at 12.15 PM in the office chamber of the Principal Secretary
to Govt., Industries Department.

You are therefore requested to kindly make it convenient to

attend the aforesaid meeting as per the above scheduled.

The agenda for discussion in the meeting will be placed on

the table.

Thanking you,
Yours faithfully,

DY. GENERAL MANAGER

Sri P. K. Misra,
DY. GENERAL MANAGER.

Ref: No: OFDC: 2984 / _______ Dt: .12.2005

To:
Sri K. N. Tripathy, OFS,
FA-cum-Jt. Secretary to Govt.,
Industries Department,
Govt. of Orissa, Bhubaneswar.

Sub: Meeting of the Audit Committee.

Dear Sir,
The first meeting of the Audit Committee of the corporation
will be held on 07.12.2005 at 12.15 PM in the office chamber of the
Principal Secretary to Govt., Industries Department.

The Board of Directors of the corporation in the meeting

held on 23.06.2005 have decided to co-opt Industries Department as a
member of the Committee.

You are therefore requested to kindly make it convenient to

attend the meeting as a Special Invitee as per the above scheduled.

The agenda for discussion in the meeting will be placed on

the table.

Thanking you,
Yours faithfully,

DY. GENERAL MANAGER

 ANNEXURE ‘D’

NOTES ON AGENDA FOR THE MEETING OF THE AUDIT COMMITTEE OF

THE ORISSA FILM DEVELOPMENT CORPORATION LTD., CUTTACK TO
BE HELD ON 07.12.2005 (WEDNESDAY) at 12.15 pM IN THE OFFICE
CHAMBER OF THE PRINCIPAL SECRETARY TO GOVT., INDUSTRIES
DEPARTMENT, BHUBANESWAR.
*******

Item No.1. To review the scope and results of the annual audit and
its cost effectiveness and the independence and
objectivity of the auditors

M/s. Chand & Co. Chartered Accountants, Bhubaneswar

are the Statutory Auditors of the corporation since 2000-01. The auditors are
taking up the audit work as per the guidelines issued by the Controller &
Auditor General of India, the Company Law Board and the Institute of
Chartered Accountants of India.

The remuneration for the auditors have been fixed at

Rs.6,000/-. Besides audit fees, the auditors being stationed at Bhubaneswar
are entitled for TA & DA during the audit period. The TA, DA and audit
expenses in respect of the statutory auditors for the last three years are given
below:

2000-01 2001-02 2002-03

Audit Fees Rs.6,000.00 Rs.6,000.00 Not paid
TA & DA & Rs.2,500.00 Rs.4,000.00 Not paid
Out of pocket Rs. 480.00 Rs. 912.00 Not paid
expenses

Item No.2 To consider the appointment of the external auditor

and the audit fees.

M/s. Chand & Co., Chartered Accountants, Bhubaneswar

have been appointed as the Statutory Auditors for the year 2000-01 to 2003-
04 by the CAG of India. M/s. A. K. Tripathy & Co. Chartered Accountants,
Bhubaneswar have been appointed as Statutory Auditor of the corporation for
the year 2004-05. The audit fees have been fixed at Rs.6,000/-.

The present auditors M/s. Chand & Co. have time and
again requested to enhance their audit fees, which may be considered. The
audit fee was last enhanced on 24.06.1996 to Rs.6,000/- w.e.f. the year
1994-95.

Item No.3 To discuss with the external auditors about the

nature and scope of the audit and other relevant matters.

The members may like to discuss with the Auditor who is

present in the meeting.

Item No.4 To review the annual financial statements

before submission to the board.

The accounts for the year 2002-03 have already been ready
for authentication before submission to the Auditors. With a view to expedite
the authentication it has been proposed to circulate the same among the
Board members. The auditors have informally gone through the accounts as
per the directives of the Accountant General, Orissa to save delay.

Item No.5 To discuss problems and reservations

arising from the audit, and any matters the auditor may wish to discuss.

The auditors have not submitted any problems or

reservations arising from the audit to discuss.

Item No.6 To review the effectiveness of the

corporation’s systems of internal control.

The corporation have adequate internal control system

commensurating its size and volume of transitions.

Item No.7 To review any internal audit programme and ensure

that it is adequately resourced.

M/s. K. K. Bajoria & Co., Chartered Accountants have been

appointed as the internal auditors of the corporation from 2002-03. However,
they have not taken up the work so far.

Sri P. K. Misra,
DY. GENERAL MANAGER
Ref: No:OFDC-68 (22) /_____ Dated: the th
Dec’ 2005

To:
THE CHAIRMAN
Members of the Board of Directors
The Orissa Film Development Corporation Ltd.

Sub: 78th Meeting of the Board of Directors of “The Orissa

Film Development Corporation Ltd.”, Cuttack.

Dear Sir,
The 78th meeting of the Board of Directors of the Orissa
Film Development Corporation Ltd. will be held on 29th December
2005 (Thursday) at 12.30 P.M. in the office the Orissa Film
Development Corporation Ltd. at Chalachitra Bhawan, Buxi Bazar,
Cuttack - 753001.

You are therefore requested to kindly make it convenient to

attend the aforesaid meeting as per the above schedule.

The Agenda items are being circulated separately.

Thanking you,
Yours faithfully,

DY.GENERAL MANAGER
 Ref: No:OFDC-68 (V-
21)/_____ Dated: the th
Sept’ 2005

To:
THE CHAIRMAN
Members of the Board of Directors
Special Invitees
The Orissa Film Development Corporation Ltd.

Sub: 76th Meeting of the Board of Directors of “The Orissa

Film Development Corporation Ltd.”, Cuttack to be
held on 23rd June 2005 at 3.30 PM in the Facilitation
Cell of Industries Department,Bhubaneswar.

Dear Sir,

We forward herewith the Agenda Notes of the 76 th Meeting

of the Board of Directors of the Orissa Film Development Corporation
Ltd., Cuttack for discussion in the meeting to be held on 23 rd June’ 05
(Thursday) at 3.30 PM in aforesaid venue.

Thanking you,
Yours faithfully,

Encl : As above. DY. GENERAL MANAGER

Sri P.K.Misra,
DY.GENERAL MANAGER

Ref. No.FDC/68(22)/ Dated 24.12.2005

To
The Chairman
Members of the Board of Directors
The Orissa Film Development Corporation Ltd
Cuttack.

Sub: 78th Meeting of the Board of Directors of “The Orissa

Film Development Corporation Ltd” Cuttack.

Dear Sir

In continuation if this office letter No.OFDC/68(22)/1240(8) dated

17.12.2005 on the subject cited above, we are to inform you that the revised
schedule of the meeting will be as follows.

Earlier Schedule Revised Schedule

Date 29.12.2005 29.12.2005

Time 12.30 P.M 5.30 P.M

Venue The Orissa Film Dev The State Council of Technical

Corporation Ltd. Education & Training, Orissa
Buxi Bazar, Cuttack Near Raj Bhawan,Bhubaneswar

You are requested to kindly make it convenient to attend the

Meeting.

The inconvenience caused is regretted.

Thanking You,

Yours faithfully,

DY.GENERAL MANAGER