50
th
ANNUAL REPORT 2015-2016 THE GEM & JEWELLERY EXPORT PROMOTION COUNCIL
109
THE GEM & JEWELLERY EXPORT PROMOTION COUNCIL
(A COMPANY LIMITED BY GUARANTEE AND NOT HAVING SHARE CAPITAL)
NOTES TO THE STANDALONE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2016
(ii)
Defined Benefit Scheme:
The Employees’ Gratuity Fund Scheme
managed by the Life Insurance Corporation
of India (LIC) is a defined benefit plan. The
present value of the obligation is determined
by the LIC based on actuarial valuation.
The estimates of future salary increases,
considered in an actuarial valuation, takes
account of inflation, seniority, promotion and
other relevant factors such as supply and
demand in the employment market. This is in
accordance with
Accounting Standards – 15
(Revised), “Employee Benefits”.
Particulars
Gratuity (Funded)
31
st
March, 2016
Rupees
31
st
March,
2015
Rupees
Present Value of the
Obligation
1. Present Value of
obligation as at beginning
of year
13,817,918
1,34,99,718
2. Interest Value
1,105,433
10,79,977
3. Current Service Cost
698,971
7,30,836
4. Benefits Paid
(1,000,000)
(24,58,677)
5.Actuarial (gain)/loss on
Obligation
106,972
9,66,064
6. Present Value of
Obligation as at end of
year
14,729,294
1,38,17,918
Changes in the fair value
of plan assets
1. Fair Value of Plan
Assets at beginning of
year
18,560,902
1,94,38,383
2. Expected Return on
Plan assets
1,538,428
15,81,196
3. Contributions
4. Benefits Paid
(1,000,000)
(24,58,677)
5. Actuarial gain/(loss) on
Plan Assets
Nil
Nil
6. Fair Value of Plan
Assets as at end of year
19,099,330
1,85,60,902
Fair value of plan assets
1. Fair Value of Plan
Assets at beginning of
year
18,560,902
1,94,38,383
2. Actual Return on Plan
assets
1,538,428
15,81,196
3. Contributions
4. Benefits Paid
(1,000,000)
(24,58,677)
5. Fair Value of Plan
Assets as at end of year
19,099,330
1,85,60,902
6. Funded Status
4,370,036
47,42,984
Excess of Actual over
estimated return on plan
assets
Nil
Nil
(Actual Rate of Return –
Estimated rate of return as
ARD falls on 31
st
March)
Actuarial Gain/Loss
Recognized
Actuarial (Gain)/Loss on
obligations
106,972
9,66,064
Actuarial (Gain)/Loss for
the year – plan assets
Nil
Nil
Actuarial (Gain)/Loss on
obligations
106,972
9,66,064
Actuarial (Gain)/Loss
recognized in the year
106,972
9,66,064
Present Value of
obligations as at the end
of year
14,729,294
1,38,17,918
Fair Value of plan assets
as at the end of the year
19,099,330
1,85,60,902
Fund Status
4,370,036
47,42,984
Net Asset/(Liability)
recognized in Balance
Sheet
4,370,036
47,42,984
1. Current Service Cost
698,971
7,30,836
2. Interest Cost
1,105,433
10,79,977
3. Expected Return on
Plan Assets
(1,538,428)
(15,81,196)
4. Net Actuarial (gain) loss
recognized in the year
106,972
9,66,064
5. Expenses Recognized
in the statement of Income
& Expenditure
372,948
11,95,681
1. Discount Rate
8%
8%
2. Expected Rate of Salary
Increase
10%
10%
(iii) The Employees’ Leave Encashment Fund Scheme
managed by the Life Insurance Corporation of India
(LIC) is a defined benefit plan. The present value of the
obligation is determined by the LIC based on actuarial
valuation.
Particulars Leave
Encashment (Funded)
31
st
March, 2016
Rupees
31
st
March,
2015
Rupees
Changes in the present
value of obligation
1.
Present
Value
of obligation as at
beginning of year
4,811,070
66,59,781
2. Interest Valuew
384,885
5,32,782
3. Current Service Cost
739,316
8,86,649
