Dear Members,
 
 The Directors are pleased to present the Twentieth Annual Report on
 the operations of your Company together with the Audited Statement of
 Accounts for the year ended 31st March 2011. The report covers all
 major events till the date of this report.
 
 A.  Performance of the Company
 
 The healthcare segment in the US is compelled to shift from
 conventional Medical Transcription to Electronic Medical Records (EMR).
 Though the reforms open up tremendous opportunities for growth, the
 above mentioned transition has temporarily affected the productivity.
 However,the Company is carrying out the operational activities of the
 Company in a better manner. The financial highlights of the Company are
 given below:
 
 Financial Results (Stand Alone)
 
 Particulars                      For the year        For the year
                                   ended                ended
                                  31.03.2011          31.03.2010
 
 Total Income                    1,085,478,878       940,908,699
 
 Less: Total Expenditure           868,224,495       678,194,958
 
 Profit Before Tax &
 Exceptional items                 217,254,383       262,713,741
 
 Less: Exceptional Items            (1,741,129)         (428,534)
 
 Profit before Tax                 215,513,254       262,285,207
 
 Less: Provision of tax             28,126,955        63,746,504
 
 Profit after Tax                  187,386,299       198,538,703
 
 Financial Results (Consolidated)
 
 Particulars                      For the year        For the year
                                   ended                ended
                                   31.03.2011         31.03.2010
 
 Total Income                    3,312,366,535     2,657,159,488
 
 Less: Total Expenditure         2,459,237,919     1,777,622,050
 
 Profit Before Tax &
 Exceptional items                 853,128,616       879,537,438
 
 Less: Exceptional Items           (1,741,129)         (428,534)
 
 Profit before Tax                 851,387,487      879,108,904
 
 Less: Provision of tax             97,890,072      153,778,522
 
 Profit after Tax                  753,497,415      725,330,382
 
 B.  Dividend
 
 In view of the need to conserve funds for plough back, the Directors
 feel it is desirable not to recommend any dividend on equity shares for
 the financial year.
 
 C.  Share Capital
 
 As on date of this report the Authorized capital of the Company is Rs.
 20,00,00,000/-(Rupees Twenty Crore only) divided into 2,00,00,000
 equity shares of Rs. 10/ - each. The total issued, subscribed and paid
 up capital of the Company as on the date of the report is Rs.
 14,63,09,960,(Rupees Fourteen Crores Sixty Three Lacs Nine Thousand
 Nine Hundred and Sixty only) divided into 1,46,30,996 equity shares of
 Rs.10/- each.
 
 D.  Constitution of the Board
 
 The Board of the Directors of the Company is duly constituted and the
 present structure is as follows:
 
 Name of Directors               Designation           Date of
                                                       Appointment
 
 1 S. M. Parande                 Chairman,             28/07/2006
 Independent
 Director
 
 2 Pradeep                       Managing              28/03/2006
 Viswambharan                    Director & CEO
 
 3 Sooraj C. K.                  Whole Time            22/03/2006
                                 Director
 
 4 Ravi Sankar                   Executive             26/04/2010
                                 Director
 
 5 G. K. Misra                   Independent           28/07/2006
                                 Director
 
 6 Kabir Kewalramani             Nominee               19/10/2007
                                 Director
 
 7 Kezer Abbas                   Independent           12/11/2010
   Kharawala                     Director
 
 During the financial year, none of the Directors have resigned from the
 Board of the Company. Mr. Kezer Abbas Kharawala has joined the Board of
 Directors of the Company as an Additional Director of the Company with
 effect from 12th November, 2010 and holds office up to ensuing annual
 general meeting of the Company. The Company has received notice from a
 member pursuant to Section 257 of the Companies Act, 1956, signifying
 his intention to propose the candidature of Mr. Kezer Abbas Kharawala
 for the office of Director.
 
 At the ensuing Annual General Meeting, the following Directors are
 liable to retire by rotation as per provisions of Section 255 of the
 Companies Act, 1956 and clause No 145 of the articles of association of
 the Company and being eligible offers themselves for reappointment:
 
 (i) Mr. Ghanshyam Krishna Misra (ii) Mr. Ravi Sankar
 
 E.  Directors'' Responsibility Statement
 
 Pursuant to the requirement under Section 217(2AA) of the Companies
 Act, 1956 with respect to Directors'' Responsibility Statement, it is
 hereby declared that:
 
 i. in the preparation of the annual accounts for the financial year
 ended 31st March 2011 the applicable accounting standards have been
 followed along with proper explanation relating to material departures;
 
 ii. the Directors had selected such accounting policies and applied
 them consistently and made judgments and estimates that were reasonable
 and prudent so as to give a true and fair view of the state of affairs
 of the Company at the end of the financial year and of the profit or
 loss of the Company for the year under review;
 
 iii. the Directors had taken proper and sufficient care for the
 maintenance of adequate accounting records in accordance with the
 provisions of the Companies Act, 1956, for safeguarding the assets of
 the Company and for preventing and detecting fraud and other
 irregularities;
 
 iv. the Directors had prepared the annual accounts on a going concern
 basis.
 
 F.  Corporate Governance
 
 Your Directors affirm their commitments to the Corporate Governance
 standards prescribed by the Securities and Exchange Board of India
 (SEBI). A report on the Corporate Governance with Management
 Discussions and Analysis as required under Clause 49 of the Listing
 Agreement forms part of this report.
 
 G.  Auditors
 
 M/s. DMKH & Co, Chartered Accountants, Mumbai, the Statutory Auditors
 of the Company retires at the conclusion of the ensuing Annual General
 Meeting and is eligible for re- appointment. The Company has received
 confirmation from the Auditors that their re-appointment will be within
 the limits prescribed under section 224(1 B) of the Companies Act,
 1956. The necessary resolution is being placed before the shareholders
 for approval.
 
 H.  Auditor''s Report
 
 The report of the Auditors of the Company and notes to the accounts are
 self explanatory and therefore do not call for any further comments and
 may be treated as adequate compliance of Section 217(3) of the
 Companies Act, 1956.
 
 I.  Fixed Deposits
 
 Your Company has not accepted any public deposit within the meaning of
 provisions of section 58A of the Companies Act, 1956 read with the
 Companies
 
 (Acceptance of Deposit) Rules, 1975 and as such no amount of principal
 or interest are outstanding as on the balance sheet date.
 
 J. Particulars of Employees
 
 During the period under review, no employee of the Company has received
 remuneration at a rate, which, in the aggregate was more than Rs.
 5,00,000/- or more per month or Rs.60,00,000/- or more per annum and
 hence there was no requirement of a statement under sub section (2A) of
 the Section 217 of the Companies Act, 1956 read with Companies
 (Particulars of Employees) Rules, 1975.
 
 K. Conservation of Energy
 
 Your Company''s operations do not involve large scale use of energy. The
 disclosure of particulars under this head is not applicable as your
 Company operates in the Service sector. Although your Company is not a
 large- scale energy user, it acknowledges the concept of conservation
 of energy.
 
 L. Foreign Exchange Earnings & Outgo
 
 The foreign exchange earnings of the Company for the year is Rs.
 1,069,026,524/- as against Rs.927,621,875/- of the previous year and
 the foreign exchange outgo of the Company for the year is Rs.
 77,261,143/- as against Rs. 89,430,474/- of the previous year. Also
 note that there is a difference in the previous year forex outflow of
 the Company in the P&L for the current year from that of the Previous
 year''s P&L Account.
 
 M. Subsidiaries Companies
 
 In terms of the general exemption given by the Ministry of Corporate
 Affairs, Government of India (MCA) through General Circular No. 2/2011
 and Press Note 3/2011, the Board of Directors has accorded their
 consent to the Company not to attach the specified particulars of its
 Subsidiary Companies with the balance sheet of the Holding Company.
 
 N. Acknowledgement
 
 Your Directors place on record their gratitude to the Central and State
 Government, the Company''s Bankers for their assistance, co-operation
 and encouragement they have extended to the Company. Your Directors
 also wish to place on record their sincere thanks and appreciation for
 the continuing support and unstinting efforts of investors, customer,
 vendors and employees in ensuing an excellent all around operational
 performance.
 
                         By and on behalf of the Board
 
                          Accentia Technologies Limited
 
 Pradeep Viswambharan                            Sooraj C. K.
 
 Managing Director &                                 Director
 Chief Executive Officer
 
 Mumbai
 November 26, 2011