a.  Basis for preparation of financial statements
 
 The accompanying financial statements have been prepared under the
 historical cost convention and comply in all material aspects with the
 provisions of the Companies Act, 1956 and applicable accounting
 standards and pronouncements issued by the Institute of Chartered
 Accountants of India (ICAI).
 
 b.  Use of estimates
 
 The presentation of financial statements in conformity with generally
 accepted accounting principles requires estimates and assumptions to be
 made, that affect the reported amount of assets and liabilities and
 disclosure of contingent liabilities on the date of the financial
 statements and the reported amount of the revenues and expenses during
 the reporting period. Actual results could differ from those estimates
 and differences between actual results and estimates are recognized in
 the periods in which they arise.
 
 c.  Fixed assets and depreciation
 
 Fixed assets are stated at their original cost of acquisition or
 construction less accumulated depreciation.  Costs include all costs
 incurred to bring the assets to their present condition and location.
 
 d.  Intangible Assets
 
 The Company accounts for costs incurred in making of film as
 Intangible Asset representing self generated Film Rights. Costs
 comprise of all expenditure directly attributable for creating,
 producing and making of the Film, but exclude all selling and
 distribution costs. Such costs are amortized over the economic life
 which is based on economic benefits flowing to the Company by way of
 realized/expected revenues on exploitation of various rights. The value
 of rights is re-assessed periodically to determine whether there is any
 impairment and consequent write down in the value of intangible.
 
 e.  Investments
 
 Investments are classified as current or long term in accordance with
 Accounting Standard 13 on Accounting for Investments issued by the
 ICAI. Current investments are stated at lower of cost and market value.
 Any reduction in the carrying amount of investments and any reversals
 of such reductions are charged or credited to the profit and loss
 account. Long term investments are stated at cost. Provision is made to
 recognize a decline, other than temporary, in the value of long term
 investments.
 
 f.  Inventories
 
 Inventories representing restaurant supplies, consumables and
 redemption items are valued at cost determined on weighted average
 basis or market value whichever is lower.
 
 g.  Revenue recognition
 
 The Company''s revenues from leisure and entertainment services
 primarily include income from bowling, pool and video games, restaurant
 services and sponsorship contracts. Revenues are recognized when the
 services are rendered and when no significant uncertainty as to
 measurement or collectibles exists.
 
 Customers visiting the Company''s leisure and entertainment centre and
 restaurants avail the facilities against payment in cash or by credit
 card. The Company also enables corporate entities to host private
 parties at its centre, for a negotiated price, which is billed to
 customers on completion of the event.
 
 Sponsorship income is recognized over the period of the sponsorship
 contracts.
 
 Dividend income is accounted for when the right to receive dividend is
 established.
 
 Interest income is recognized on time proportion basis taking into
 account the amount outstanding and applicable rate.
 
 h.  Retirement and other employee benefits
 
 Retirement benefits to employees comprise of provident fund
 contributions, gratuity and leave encashment entitlements. Contribution
 to provident fund is made in accordance with the statute and provided
 on accrual basis. Gratuity and leave encashment liabilities are
 provided for, according to the rules of these benefit schemes, on the
 basis of actuarial valuation at year-end made by independent actuaries.
 
 i.  Taxes on income
 
 Provision for tax is made for both current and deferred tax. Provision
 for current tax is made, at the current rate of tax, based on
 assessable income. Deferred tax resulting from timing differences
 between taxable incomes and accounting income is accounted for, using
 the tax rates and the tax laws enacted or substantially enacted as on
 the balance sheet date. Deferred tax assets on unabsorbed tax
 depreciation and unabsorbed tax losses are recognized only to the
 extent that there is virtual certainty of their realization supported
 by convincing evidence.
 
 j.  Foreign Currency Transactions
 
 Transactions in foreign currencies are recognized at the prevailing
 exchange rates on the transaction dates.  Monetary foreign currency
 assets and liabilities outstanding at the year end are translated at
 the year end exchange rates. Resultant gains and losses on
 settlement/restatement of foreign currency transactions are recognized
 in the profit and loss account.
 
 Premium or discount on forward exchange contracts is amortized and
 recognized in profit and loss account over the period of the contract.
 
 k.  Leases
 
 Finance leases, which effectively transfer to the Company substantially
 all the risks and benefits incidental to ownership of the leased item,
 are capitalized at the lower of the fair value and present value of the
 minimum lease payments at the inception of the lease term and disclosed
 as leased assets. Lease payments are apportioned between the finance
 charges and reduction of the lease liability based on the implicit rate
 of return. Finance charges are charged directly against income. Lease
 management fees, legal charges and other initial direct costs are
 capitalised.
 
 If there is no reasonable certainty that the Company will obtain the
 ownership by the end of the lease term, capitalized leased assets are
 depreciated over the shorter of the estimated useful life of the asset
 or the lease term.
 
 Leases where the lessor effectively retains substantially all the risks
 and benefits of ownership of the leased item, are classified as
 operating leases. Operating lease payments are recognized as an expense
 in the Profit and Loss account on a straight-line basis over the lease
 term.
 
 I.  Earnings Per Share
 
 Basic earnings per share are calculated by dividing the net profit or
 loss for the period attributable to equity shareholders (after
 deducting preference dividends and attributable taxes) by the weighted
 average number of equity shares outstanding during the period. Partly
 paid equity shares are treated as a fraction of an equity share to the
 extent that they were entitled to participate in dividends relative to
 a fully paid equity share during the reporting period. The weighted
 average number of equity shares outstanding during the period are
 adjusted for events of bonus issue; bonus element in a rights issue to
 existing shareholders; share split and reverse share split
 (consolidation of shares).
 
 For the purpose of calculating diluted earnings per share, the net
 profit or loss for the period attributable to equity shareholders and
 the weighted average number of shares outstanding during the period are
 adjusted for the effects of all dilutive potential equity shares.
 
 m.  Cash and Cash equivalents
 
 Cash and cash equivalents for the purposes of cash flow statement
 comprise cash at bank and in hand and short-term investments with an
 original maturity of three months or less.
 
 n.  Provisions
 
 A provision is recognised when an enterprise has a present obligation
 as a result of past event; it is probable that an outflow of resources
 will be required to settle the obligation, in respect of which a
 reliable estimate can be made. Provisions are not discounted to its
 present value and are determined based on best estimate required to
 settle the obligation at the balance sheet date. These are reviewed at
 each balance sheet date and adjusted to reflect the current best
 estimates.
 
 p.  Borrowing Power
 
 The Board of Directors has exceeded the limit of borrowing set out
 under Section293(l) (d) during the year.  The Board will take the
 consent of the Company in the ensuing Annual General Meeting.
 Accordingly, the Board will ratify its decision relating to above
 mentioned violation of Section 293 (1) (d).
 
 q.  Going Concern:
 
 The Company is incurring losses for last few years, its accumulated
 losses at the last date of the financial year exceed fifty percent of
 the net worth of the Company and its networth has been substantially
 eroded.  The Company has restructured its business in the last 1 year
 and is also considering viable expansion plans.  The Company has
 neither the intention nor the necessity of the liquidation or of
 curtailing materially the scale of the operations. Therefore, these
 accounts have been prepared on the going concern basis.