Dear Members, 
 
 The Directors present herein the Twenty-Fourth Annual Report on the
 operations of your Company and the Audited Statement of accounts for
 the year ended 31st March 2011.
 
 Financial Results                                 (Rs. in Lakhs)
                                               Year          Year 
 Particulars                                  Ended         Ended
                                         31.03.2011    31.03.2010 
 
 Gross Sales                               85883.64      59667.62 
 
 Profit befor Interest 
 Depreciation and Tax                       8161.20      12192.39 
 
 Interest and Finance Charges               5817.10       3326.96 
 
 Depreciation                               2146.05       1398.00 
 
 Profit/(less) before Tax                    198.05       7467.43 
 
 Amortization of USAID Grant                  11.25         11.25 
 
 Income Tax /(MAT) Credit                  (102.30)         62.31 
 
 Deferred Tax Asset/(Liability)              251.81     (2978.09) 
 
 Profit/(Loss) After Tax                     358.81       4562.90 
 
 Dividend                                         -        380.85 
 
 Dividend Tax                                     -         63.25 
 
 Transfer to General Reserve                      -        500.00 
 
 Carried forward from last year             4461.20        842.40 
 
 Balance carried forward                    4820.01       4461.20 
 to Balance Steet
 
 
 Product-wise performance
 
 Sugar: During the year under review, the company has crushed 13.29 lakh
 tonnes of cane as against 12.23 lakh tonnes of cane in the previous
 year. The increase in cane crushing is mainly due to Sankarapuram unit
 crushing for the full year. During the year, the Company has processed
 90685 Tonnes of Raw Sugar as against 116215 Tonnes of Raw Sugar in the
 previous year.  The total sugar production was 20.10 lakh qtls as
 against 21.30 lakh qtls in the previous year. The sugar recovery from
 the cane was 8.93 % as against 8.49% in the previous year. The company
 has sold 26.14 lakh qtls as against 18.83 lakh qtls in the previous
 year. During the year the company has exported 8.90 lakh qtls of sugar.
 The average realization for the year 2010-11 was Rs. 2801/qtl as
 against Rs. 2678/qtl in the Previous year.
 
 Power: 
 
 During this period, the total power generation was 2146.29 lakh units
 as against 1214.29 lakh units in the previous year. The export to the
 TNEB grid was 1535.04 lakh units as against 765.37 lakh units in the
 previous year.  Accordingly, the total value of the power exported to
 the grid has increased to Rs.6992.18 lakhs as against Rs 3062.53 lakhs
 in the previous year.  
 
 Industrial Alcohol: 
 
 The production of industrial Alcohol was 125.76 lakh litres as against
 150.59 lakh litres in the previous year. The decrease in the production
 was mainly on account of not operating the Sugar Plant for longer
 duration from where steam for the distillery unit is supplied. The
 Alcohol sale was 119.11 lakh litres as against 142.29 lakh litres in
 the previous year. Consequent to this, the Alcohol sales has come down
 to Rs.3435.54 lakhs as against Rs.4248.10 lakhs in the previous year.
 The average realization was Rs.  28.81/ Itre as against Rs.29.80/ltre
 in the previous year.
 
 Financial Performance: 
 
 During the year, the company has achieved a record turnover of
 Rs.858.84 crores as against Rs 596.67 crores in the previous year.
 However, the Gross operating profit decreased to Rs.  81.61 crores from
 Rs. 121.92 crores in the previous year. The reduction in the GOP was
 mainly on account of reduced margin in 2010-11 as compared to the
 previous year. After adjusting interest and depreciation, the
 operations resulted in a net profit of Rs. 2.09 crores, as against the
 profit of Rs. 74.79 crores in the previous year.  Taking into account
 the Deferred Tax Asset of Rs.2.51 crores and Tax of Rs.1.02 crores, the
 net profit comes to Rs. 3.59 crores as against the profit of Rs. 45.63
 crores in the previous year.
 
 Dividend 
 
 Due to inadequate profit in the current year, the Board of Directors is
 unable to recommend any dividend for the year 2010-11.  
 
 Reserves 
 
 No amount is being transferred to Reserves due to inadequate profit
 during the year2010-11.  
 
 Fixed Deposits 
 
 A sum of Rs. 99.46 lakhs was collected as deposits during the year
 2010-2011. Your Company has complied with the provisions of Section 58
 (A) and 58 (AA) of the Companies Act, 1956 and the rules prescribed
 there under. Your Company has no unpaid deposits which were due or
 repayable as on 31st March 2011. Your Company has not defaulted in
 repayment of the deposits on the due dates. As on the date of this
 report, there are no unclaimed deposits.
 
 Auditors 
 
 The Auditors of the Company M/s Srinivasan and Shankar, Chartered
 Accountants, Chennai retire at the close of the ensuing Annual General
 Meeting and are eligible for reappointment. They have conveyed their
 consent for reappointment and have furnished the required declaration
 under Sec224 of the Companies Act.  
 
 Cost Audit 
 
 The Company has received the approval of the Central Government for
 appointment of Mr. V Srinivasan, as Cost Auditor to carry out the Cost
 AuditfortheFinancialYear2010-11.
 
 Share Capital Audit Report 
 
 As part of the guidelines issued by Government of India for voluntary
 adoption by all Companies, your Company appointed Mr M Damodaran,
 Practicing Company Secretary, to conduct Share Capital Audit of the
 Company. The Share Capital Audit Report for the financial year ended
 31st March 2011, addressed to the Board of Directors of the Company, is
 attached to the Annual Report.  The Share Capital Audit Report confirms
 that the Company has complied with all the applicable provisions of the
 Companies Act,1956, Depositories Act, 1996, Listing Agreement with the
 Stock Exchanges, Securities Contracts (Regulations) Act, 1956 and all
 the Regulations of SEBI as applicable to the Company, including the
 Securities and Exchange Board of India ( Substantial Acquisition of
 Shares and Takeovers) Regulations, 1997 and the Securities and Exchange
 Board of India (Prohibition of Insider Trading) Regulations, 1992.  
 
 Directors 
 
 Shri P S Gopalakrishnan is retiring by rotation at the ensuing Annual
 General Meeting and is eligible for reappointment.  
 
 Directors'' Responsibility Statement 
  
 In terms of Section 217 (2AA) of the Companies Act, 1956 your Directors
 confirm as follows.
 
 (i) That in the preparation of the annual accounts, the applicable
 accounting standards have been followed along with proper explanation
 relating to material departures.
 
 (ii) That the directors have selected such accounting policies and
 applied them consistently and made judgments and estimates that are
 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 that period.  
 
 (iii) That the directors have taken proper and sufficient care for the
 maintenance of adequate accounting records in accordance with the
 provisions of this Act for safeguarding the assets of the company and
 for preventing and detecting fraud and other irregularities.
 
 (iv) That the directors have prepared the annual accounts on a going
 concern basis.  
 
 Corporate Governance 
 
 A report on Corporate Governance and a management discussion and
 analysis report, in line with SEBI prescribed format incorporated in
 the Listing Agreement, are attached herewith. A certificate from the
 Statutory Auditors on compliance of conditions of Corporate Governance
 has been obtained and copy enclosed to this report.  
 
 Particulars of Employees 
 
 Under the provisions of Section 217 2(A)(a) of the Company''s Act 1956
 read with Companies (particulars of employees) Rules, 1975 as amended,
 the names and other particulars of employees are set out below: 
 
 (A) Employed throughout the year ended 31 March, 2011 and was in
 receipt of remuneration aggregating not less than Rs.60,00,000 
 
 Name/Age        Designation       Remuneration   Qualification
                 the Employee/                    Experience
                 Nature of Duties  (Rs.)          (Years) 
 
 Dr. Palani G    Executive         65.15 lakhs    MA., MA., 
 Periasamy       Chairman                         Ph.D (USA) 
 (73 years)                                       (24 Years) 
 
 
 Name/Age        Date of           Previous 
                 commencement      Employment 
                 of Employment 
 
 Dr, Palani G    04 06 1987        Professor of 
 Periasamy                         Economics, USA.  
 
                                   Financial 
                                   Consultants 
                                   Industrialist 
 
 (B) Employed for part of the year ended 31 March, 2011 and was in
 receipt of remuneration aggregating not less than Rs. 5,00,000 per
 month - NIL
 
 1.  The nature of employment of all employees above is contractual. The
 appointment is for a period of 5 years from 25.06.2009 to 24.06.2014 
 
 2.  Remuneration as shown above includes salary, allowances, leave
 travel assistance, plus commission @3%ofthe net profit.  
 
 3.  Remuneration as shown above does not include amount attributable to
 compensated absences as actuarial valuation is done for the company as
 a whole only.
 
 4.  He is not related to any Director of the Company.  
 
 Energy, Technology and Foreign Exchange 
 
 Information relating to the conservation of energy, technology
 absorption and foreign exchange earnings and outgo as required to be
 furnished under the provisions of Section 217 (1) (e) of the Companies
 Act, 1956, read with Companies (Disclosure of Particulars in the Report
 of Board of Directors) Rules 1988 is given as Annexure I to this
 report.
 
 Acknowledgments 
 
 The Board of Directors places on record its appreciation of the
 support, assistance and co-operation received from the Central
 Government, Government of Tamil Nadu, various governmental agencies,
 ICICI Bank Limited, IREDA, the Company''s bankers, Indian Bank, State
 Bank of India, The South Indian Bank Limited, Bank of India, Central
 Bank of India, The Federal Bank Limited, Union Bank of India, IDBI Bank
 Ltd and Indian Overseas Bank.
 
 The Board of Directors also wishes to place on record its appreciation
 for the cane growers, without whose help and support it could not have
 achieved the progress that has been made so far. With our encouragement
 and their initiative, we hope for improved cane availability for the
 ensuing years.
 
 Your Directors are thankful to the employees of the Company for their
 wholehearted co-operation and unstinted dedication to duty leading to
 cordial industrial relations during the year under review.  
 
 The Board is thankful and grateful for the continuing co-operation to
 the management from the shareholders family since inception and is
 confident that this partnership will sustain forever.
 
                          for and on behalf of the Board of Directors 
 
 
                                                DR PALANI G PERIASAMY
                                                   Executive Chairman 
 Place: Chennai-34 
 Date: 24th May 2011