Basis of preparation
The financial statements of the Company are prepared under the
historical cost conven- tion on accrual basis of accounting in all
material respects in accordance with the appli- cable accounting
standards and the provisions of the Companies Act, 1956. The account-
ing policies have been consistently applied by the Company during the
1. Balance with scheduled bank include Rs. 38 lakhs (March 31,2011: Rs
38 lakhs) represents margin money for bank guarantees issued by bank.
2. Unclaimed dividend for a period of 7 years will be transferred to
IEPF as per provision of sectioi 205 of the Companies Act 1956.
3. Fixed Deposits with bank having a maturity period of more than 12
months Rs. 635.47 lakhi (March 31, 2011: Rs. 171.61 lakhs)
4. Balance in Sundry Debtors, Creditors and other advances are
subject to confirmation.
5. Sundry Debtors include an amount of Rs. 119.08 (Previous Year Rs.
80.80) due from companies in which some of the Directors are common.
6. The estimated amount of contracts remaining to be executed on
Capital Account not provided for Rs. 109.07 (Previous Year 184.63)
7. Contingent Liabilities:
a) Claims against the company not acknowledged as debt: NIL (Previous
b) Other monies for which the Company is contingently liable:
Current Year Previous Year
(Rs in lakhs) (Rs in lakhs)
(i) Disputed Expenditure
Tax Liability 676.88 676.88
(ii) Bank Guarantee 113.53 113.53
(iii) Income Tax 5.04 0.00
8. The Company has not recognized any loss on impairment in respect
of assets of th Company as required in terms of Accounting Standard 28
on Impairment of assets1 since in the opinion of the management the
reduction in value of any assets, to the exter required, has already
been provided for in the books.
9. The company has made application for compounding of offence under
section 621A read with section 297(1) of the Companies Act, 1956 in
respect of service contract entered into with a private limited company
for the period of 1st April to 30'' June 2010, for which prior approval
of the Central Government was not obtained.
10. Previous year''s figures have been re-grouped and re-arranged
wherever necessary to conform to the current year''s figures.