1.  A.  Equity Share Capital:
 
 The company has bought back 5,26,614 Equity shares of the face value of
 Rs.2/- each for total consideration of Rs.135.17 lacs during the year
 in accordance with the Scheme of Buy-back of equity shares approved by
 the competent authorities, the company has closed the scheme on
 17.05.2010 as it has fulfilled all the requirements. Total number of
 shares bought back under the scheme are 61,00,000 for a total
 consideration of Rs.1616.82 lacs. Equity share capital of the company
 after the buy-back stands at 684 lacs shares of the face value of Rs.
 2-each.
 
 2.  Secured Loans:
 
 - Cash Credit and Medium term loans from Banks are secured by
 hypothecation of stocks, Debtors and first charge on pari-passu basis
 on specific fixed assets of the company respectively and personal
 guarantee of the Managing Directors.
 
 3.  Unsecured Loans - Foreign Currency Convertible Bonds:
 
 - During the year 2006-07, the company issued at par, 5 years Zero
 Coupon US $ denominated Foreign Currency Convertible Bonds (FCCB)
 aggregating to US $ 15 millions comprising of 150 bonds of US $
 1,00,000 each to finance capital expenditure. Out of the issued bonds,
 the company bought back 50 bonds of US $ 1,00,000 each during the year
 2009-10.
 
 - The remaining bond-holders have an option of converting these bonds
 into equity shares at the conversion price of Rs 44 per share (Face
 value Rs 2 each) and the bond-holders are entitled to get 104.45 lacs
 shares at any time prior to close of business on 17th October, 2011
 unless redeemed.
 
 - The company has a commitment towards the remaining FCCB bondholders
 to pay 8% half yearly compounded yield-to-maturity (YTM), in case the
 option of conversion is not exercised by them, within 5 years from the
 date of issue of the Bonds. The YTM accrues to the Bond-holders only at
 the time of repayment. Contingent liability on account of YTM is Rs
 2063.63 lacs as on 31.03.2011 including withholding Tax @ 10%. This
 will undergo a change in accordance to the currency conversion rates
 and Income tax rates prevailing on the date of repayment if it is made
 on non- conversion.
 
 - In compliance with the Companies (Accounting Standards) Rules,2009
 issued the Ministry of Cor- porate Affairs, the notional exchange gain
 of Rs 40 lacs during the year due to appreciation in Rupee rate
 vis-à-vis US$ amounting to Rs 0.40 per US$ has been considered as
 income in the Profit & Loss Account
 
 - Liability on account of Foreign Currency Convertible Bonds as on
 31.03.2011 is valued at the exchange rate of that date which was Rs
 44.65 = 1 US $ as against exchange rate of 31.03.2010 which was Rs
 45.05 = 1 US$
 
 - The company is obliged to pay dividend even to those FCCB Holders who
 convert their bonds into equity after adoption of the financial
 statements and up to the book closure date for dividend purposes.
 Incremental dividend payable, if any, will be paid out of the balance
 available in the Profit & Loss Account. No provision for dividend
 payable to the FCCB bondholders has been made in the books of accounts.
 
 4.  Contingent Liability not provided for (As certified by the
 management):
  
                                          31-03-2011    31-03-2010
                                          Rs.in lakhs   Rs. In lakhs
 
 a) Counter guarantees given to the Banks 
 against Guarantee Issued by them           364.31        723.69
 
 b) Letters of Credit opened by Banks/
    Buyers'' credit                          326.02        124.91
 
 c) YTM payable to the FCCB bond-holders   2063.63       1551.17
 
 d) Custom duty/Excise duty matters 
    under dispute                           228.59        265.21
 
 5.  Fixed Assets - Impairment:
 
 The management has carried out a detailed internal review of the assets
 with respect value in use, recoverable amount and carrying cost in
 books and is of the firm opinion that there is no impairment in the
 value of assets of the company.Hence no provision as required under
 AS-27,Impairment of Asset is made.
 
 6.  Minimum Aleternate Tax - MAT (Non-Current Asset)
 
 The Management after a detailed review of future business growth
 prospect of the company, the provisions of applicable accounting
 standards to the company and the Guidance Note issued by Institute of
 Chartered Accountants of India on Accounting and Disclosure of MAT
 Credit, is of the opinion that the MAT credit would be reversed by way
 of adjustment to Income Tax Payable in the forthcoming years.
 
 In the previous year this amount has been treated as Deferred Tax Asset
 now this has been reclassified as such in the Schedule of Loans and
 Advances.
 
 7.  Sundry Debtors & other balances:
 
 - In case of balances in Sundry Debtors, Loans and Advances, other
 current assets and Sundry Creditors, letters seeking confirmation of
 year-end balances are sent to the concerned parties.  The Balances are
 subject to confirmation and reconciliation.
 
 - Sundry creditors include Rs 661.95 lacs secured by way of Letter of
 Credit/ Buyers'' credit.  Further, the Company does not owe any sum to
 Micro & small enterprises as at the end of the accounting year on
 account of principal and interest under the Micro, Small and Medium
 Enterprises Development Act, 2006 as per the information and records
 available with the company about their industrial status which has been
 relied upon by the auditors.
 
 8.  Loss of Material in Transit
 
 - During the year 2009-10, the company paid an advance of Rs 214.22
 lacs to M/s United Interna- tional Shipping Agent (T) Ltd, Tanzania,
 towards part payment for cost of Copper cathode which is principal raw
 material for the copper manufacturing units. The payment thus made was
 disclosed as Advances to Suppliers under Schedule-11 of Loans &
 Advances. However, Copper was stolen and replaced with worthless
 material on the sea-way.
 
 - The Company lodged claims with Insurance Company and the shipping
 agent. The Insurance Com- pany has rejected the claim during the year
 in the month of October 2010.
 
 - On the basis of legal opinion received and on the recommendations of
 the Board of Directors the amount is written off as irrecoverable
 business loss..
 
 9.  Interest on Loans, Deposits and others as appearing in Schedule-17
 - Other Income is net of irrecov- erable interest amounting to Rs
 148.68 lacs
 
 10.  Retirement and other Employees Benefits:
 
 - The Company''s employee benefits primarily cover provident fund,
 gratuity and leave encashment.
 
 - Provident fund is a defined contribution scheme and the company has
 no further obligation beyond the contribution made to the fund.
 Contributions are charged to the Profit & Loss Account in the year in
 which they accrue.
 
 - Gratuity liability is a defined benefit obligation and is based on
 the actuarial valuation done by the Life Insurance Corporation. The
 gratuity liability and the net periodic gratuity cost is actually
 determined after considering discount rates, expected long-term return
 on plan assets and increase in compensation level. All actuarial
 gain/Losses are immediately charged to the Profit & Loss Account and
 are not deferred.
 
 - The company has provided for leave encashment liability at year end
 on account of unavailed earned leave as per the actuarial valuation
 done by Life Insurance Corporation of India.
 
 - The following Table summaries the components of Net Benefit expenses
 recognized in the Profit & Loss Account and amount recognized in the
 Balance Sheet for the respective Plans
 
 11.  No Commission is paid to managerial personnel or provided for in
 the accounts for the year ended 31- 03-11 and hence the calculation for
 the same under section 349 of the company''s act is not given.
 
 12.  Previous years figures have been regrouped/ rearranged wherever
 necessary.