1. 2011-2012 2010-2011
Rs.in Lacs Rs.in Lacs
Contingent Liabilities not
provided for :
i) For guarantee & counter-
guarantees to the Bank against
Bank''s guarantee to the Government
of India and other authorities 32.02 2.62
(ii) Excise Duty demand disputed 47.42 35.32
(iii) Income tax/Fringe Benefit
Tax demand contested in appeal 131.53 98.37
(iv) Property tax demand
contested in appeal - 36.19
(v) Sales tax demand disputed 24.91 18.40
(vi) Claims against the Company
not acknowledged as debt 76.69 70.37
2. Estimated amount of contracts
remaining to be executed on
capital account and not provided for 5634.52 7141.72
3. The Company has opted for accounting the exchange differences
gain/loss arising on long term foreign currency monetary item in line
with Companies (Accounting Standards) Amendment Rules 2009 on
Accounting Standard (AS) 11'' notified by Government of India on
Accordingly the exchange difference loss '' 318.69 lacs arising on
deferred payment credits so far as it relates to depreciable asset is
adjusted by addition to the cost of the assets including capital work
in progress, resulting into higher profits for the year (net of
depreciation '' 15.45 lacs) by '' 303.24 lacs.
4. Excise duty deducted from turnover represents excise duty collected
on sale of goods. Excise duty shown under expenditure'' represents
the aggregate of excise duty borne by the Company and difference
between excise duty on opening and closing stocks of finished goods.
5. An Application is made to the Central Government in respect of Mr.
S. M. Patel, as Executive Chairman and remuneration fixed in pursuance
to the resolution passed at the last Annual General Meeting held on
29th July, 2011 and further that in absence of profits or inadequate
profits the remuneration so paid be considered as minimum remuneration.
The remuneration provided in terms of aforesaid resolution is subject
to the approval of central Government which is awaited. Meanwhile, Mr.
S. M. Patel is paid remuneration with reference to net profits of the
Company for the financial year subject to overall ceiling as prescribed
in Section 198 and 309 of the companies Act, 1956.
6. As on 31-03-2012, the Company owes a sum of '' 355.09 lacs (Previous
Year '' 326.69 Lacs) to Micro, Small and Medium Enterprises. The
information has been given in respect of such vendors to the extent
they could be identified as Micro, Small and Medium enterprises
on the basis of information available with the Company.
7. The Company''s business activity falls within a single primary
segment viz., manufacture of Bearings. As such there are no separate
reportable segments as envisaged under Accounting Standard - 17.
8. Figures for the previous year have been regrouped/rearranged
wherever necessary for comparison and to confirm to the classification
of the current period.