1.  Basis of preparation of financial statements:
 
 The financial statements are prepared under the historical cost
 convention on an accrual basis and in accordance with applicable
 Accounting Standards prescribed in the Companies (Accounting Standards)
 Rules, 2006 notified by the Central Government of India, to the extent
 applicable and in accordance with the relevant provisions of the
 Companies Act, 1956.
 
 2.  Use of estimates:
 
 The preparation of financial statements in conformity with generally
 accepted accounting principles (GAAP) requires management to make
 estimates and assumptions that affects the reported amounts of assets
 and liabilities and the disclosures of contingent liabilities on the
 date of financial statements and reported amounts of revenue and
 expenses for that year. Although these estimates are based upon
 management''s best knowledge of current events and actions, actual
 results could differ from these estimates.
 
 3.  Fixed assets:
 
 Fixed Assets are stated at cost less accumulated depreciation. Cost
 includes original cost of acquisition, including incidental expenses
 related to such acquisition and installation.
 
 4.  Depreciation / amortisation:
 
 Depreciation on fixed assets has been provided on straight-line method
 on pro-rata basis in the manner and at the rates specified in Schedule
 XIV to the Companies Act, 1956.
 
 Software is amortised over a period of 3 years.
 
 Leasehold improvements are amortised over the lease period.
 
 5.  Investments:
 
 a) Long-term investments are valued at cost. Provision is made for
 diminution in the values when the decline is other than temporary.
 
 b) Current investments are valued at lower of cost or market value
 determined on an individual investment basis.
 
 6.  Revenue recognition:
 
 Revenue from service charges, fees and commission is recognised when
 the contract has been completed.
 
 Investment Income is recognised on the date of sale of securities.
 
 Interest income is recognised on accrual basis.
 
 Dividend income from investments is recognised when the shareholders''
 rights to receive payment have been established.
 
 Rent income is recognised on accrual basis.
 
 7.  Transaction in foreign currencies:
 
 Foreign currency transactions are recorded at the exchange rates
 prevailing on the date of such transactions. Monetary assets and
 liabilities as at the Balance Sheet date are translated at the rates of
 exchange prevailing at the date of the Balance Sheet. Gains and losses
 arising on account of differences in foreign exchange rates on
 settlement/translation of monetary assets and liabilities are
 recognized in the profit and loss account. Non-monetary foreign
 currency items are carried at cost.
 
 8.  Retirement benefits:
 
 a) Defined contribution plans
 
 The Company contributes to Employee''s Provident Fund (a defined
 contribution plan) towards post employment benefits, which is
 administered by the respective Government authorities and the Company
 has no further obligation beyond making its contribution.
 
 b) Defined benefit plans
 
 The Company has a defined benefit plan namely gratuity for all its
 employees. The liability for the defined benefit plan of gratuity is
 determined on the basis of an actuarial valuation by an independent
 actuary at the year end, which is calculated using projected unit
 credit method.
 
 Actuarial gains and losses are recognized immediately in the profit and
 loss account.
 
 c) Employee leave entitlement
 
 The employees of the Company are entitled to leave as per the leave
 policy of the Company. The liability in respect of unutilized leave
 balances is provided as at the year end and charged to the profit and
 loss account.
 
 9.  Accounting for taxes on income:
 
 a) Provision for income tax is made on the basis of the estimated
 taxable income for the accounting year in accordance with the
 Income-tax Act, 1961.
 
 b) The deferred tax for timing differences between the book profits and
 tax profits for the year is accounted for using the tax rates and laws
 that have been enacted or substantively enacted as of the balance sheet
 date. Deferred tax assets arising from timing differences are
 recognised to the extent there is a virtual / reasonable certainty that
 these would be realised in future and are reviewed for the
 appropriateness of their respective carrying values at each balance
 sheet date.
 
 10.  Lease:
 
 Leases where the lessor effectively retains substantially all the risks
 and benefits of ownership of the leased assets, are classified as
 operating leases. Operating lease payments are recognised as an expense
 in the profit and loss account on straight-line basis over the lease
 term.
 
 11.  Borrowing costs:
 
 Borrowing costs attributable to the acquisition and construction of
 qualifying assets upto the date of such acquisition or construction are
 capitalised as part of the cost of respective assets. Other borrowing
 costs are charged to profit and loss account in the period in which
 they are incurred.
 
 12.  Impairment of assets:
 
 The Company assesses at each balance sheet date whether there is any
 indication that an asset may be impaired. If any such indication
 exists, the management estimates the recoverable amount of the asset.
 If such recoverable amount of the asset is less than its carrying
 amount, the carrying amount is reduced to its recoverable amount. The
 reduction is treated as an impairment loss and is recognized in the
 profit and loss account. If at the balance sheet date there is an
 indication that if a previously assessed impairment loss no longer
 exists, the recoverable amount is reassessed and the asset is reflected
 at the recoverable amount subject to a maximum of depreciated
 historical cost.
 
 13.  Provisions and contingent liabilities:
 
 The Company creates a provision when there is a present obligation as
 result of a past event that probably requires an outflow of resources
 and a reliable estimate can be made of the amount of the obligation. A
 disclosure for a contingent liability is made when there is a possible
 obligation or a present obligation that may, but probably will not,
 requires an outflow of resources. Where there is a possible obligation
 or a present obligation in respect of which the likelihood of outflow
 of resources is remote, no provision or disclosure is made.