DRIVIN G ROWTH - Dr. Reddy's

schedule to the balance sheet and profit and loss account
d) The Company has the following amounts due from / to related parties:
(Rs. thousand)
Particulars For the year ended
March 31, 2002
i) Due from related parties (included in loans and advances and sundry debtors):
Subsidiaries 2,568,606
Significant interest entities
ii) Due to related parties (included in current liabilities):
274
Subsidiaries 57,388
Significant interest entities 1,935
Enterprise owned by relative of a director 175
e) Details of remuneration paid to the whole-time and non-whole-time directors are given in Note 8 of schedule 20.
f) Equity contributions in subsidiaries and an affiliate have been disclosed under “Investments”. Share application money paid to
the affiliate by the Company for which shares are yet to be allotted has been disclosed under “Loans and Advances”.
g) The Company undertakes research and development through the Research Foundation, an entity incorporated under section
25 of the Companies Act, 1956. The Research Foundation currently conducts research and development activities primarily for
the Company. The Company funds the operations of the Research Foundation.
7. TRANSFER PRICING
The Company is in the process of reviewing its system of maintenance of information and documents as introduced by the newly
introduced transfer pricing legislation under sections 92-92 F of the Income Tax Act, 1961 which require existence of these records
latest by October 2002. The management is of the opinion that its international transactions are at arm’s length so that the
aforesaid legislation will not have any impact on the financial statements, particularly on the amount of tax expense and that of
provision on taxation.
8. PARTICULARS OF MANAGERIAL REMUNERATION
The remuneration paid to managerial personnel during the year aggregates:
(Rs. thousand)
Chairman Executive Vice-Chairman Managing Director Executive /
& CEO & COO Independent Directors
For the year ended For the year ended For the year ended For the year ended
March 31, March 31, March 31, March 31,
2002 2001 2002 2001 2002 2001 2002 2001
Salaries 1,200 1,200 1,080 600 1,080 720 – 300
Commission 96,399 31,818 48,199 15,808 48,199 15,692 6,800 –
Other perquisites 944 949 304 576 278 572 – 186
Total 98,543 33,967 49,583 16,984 49,557 16,984 6,800 486
DR. REDDY’S LABORATORIES LTD. | FINANCIALS | ANNUAL REPORT 2001-2002
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