1(a) Contingent Liabilities:
 
 The following are the details of Contingent Liabilities, the outflow of
 which is uncertain at this stage:
 
 i) Guarantees issued to sales tax authorities and others, outstanding
 at year-end Rs. 56,23 thousand (Previous year Rs. 37,38 thousand).
 
 ii) In respect of Income tax demands pending disposal of appeals Rs.
 13,03,70 thousand (Previous year Rs.10,15,31 thousand). Against this,
 the Company has deposited a sum of Rs. 4,10,00 thousand (Previous year
 Rs. 3,41,50 thousand) under protest and Rs. 6,80,66 thousand (Previous
 Year Rs. 5,93,12 thousand) has been adjusted by income tax authorities
 against refund. The Assessing Office has filed an appeal to Income Tax
 Appellate Tribunal, against the favorable orders of Commissioner of
 Income Tax (Appeal) for the Assessment Years 2002-03, 2003-04 and
 2004-05 and the resultant liability, if any, is not currently
 ascertainable.
 
 iii) In respect of transfer levy demanded by UPSIDC for allowing change
 of name of the Company in their records - Rs.71,86 thousand (Previous
 year - Rs.71,86 thousand), excluding interest, if any. The Company has
 obtained a stay order from the Hon''ble Allahabad High Court.
 
 iv) In respect of labour cases [excluding claims where amount is not
 ascertainable at this stage] - Rs.  40,00 thousand (Previous year
 Rs.40,00 thousand).
 
 v) In respect of allowability of cenvat credit of service tax paid on
 various input services and demand of service tax in respect of freight
 outward - Rs. 65,90 thousand (Previous year Rs. 21,53 thousand).
 
 vi) In respect of allowability of cenvat credit of Excise duty on
 certain items - Rs. 1,12,86 thousand (Previous year Rs. Nil). The
 Company has received unconditional stay from Central Excise & Service
 Tax Appellate Tribunal (CESTAT).
 
 vii) In respect of demand raised by Tehsildar, Dadri for reclamation of
 Tilpatta, Dadri land - Rs.3,75,00 thousand (Previous year Rs. 3,75,00
 thousand).  The Company has obtained a stay order from the Hon''ble
 Allahabad High Court.
 
 viii) In respect of demand raised by Tehsildar, Dadri for reclamation
 of Tilpatta, Dadri land for Parking - Rs. 7,00,00 thousand (Previous
 year Rs. Nil). The Hon''ble Allahabad High Court has put order passed by
 the authority in abeyance.
 
 2.  Cash credit facilities and Demand Loans from the banks, aggregating
 Rs. 69,65,93 thousand (Previous year Rs. 9,93,30 thousand) and bank
 guarantees aggregating Rs. 7,90 thousand (Previous year Rs.  37,38
 thousand) as at the year end, are secured by hypothecation on the
 stocks and book debts of the Company. (Previous year-secured by
 hypthecation of whole of tangible movable assets including in
 particular inventories which situated and/or in transit.)
 
 3.  Capital Commitments:
 
 Estimated amount of contracts remaining to be executed on capital
 account and not provided for [Net of capital advances of Rs. 4,52,59
 thousand (Previous year Rs.2,32,18 thousand)] Rs. 24,53,41 thousand
 (Previous year Rs. 21,08,84 thousand).