(1) Figures of the previous year have been re-grouped/re-arranged
 whenever necessary to match with the figures of the year under audit.
 
 (2) Figures have been rounded of to the nearest rupee.
 
 (3) Transaction regarding debit and credit balance of loans and
 advances and current liabilities in the books of the company are
 subject to the confirmation by the parties concerned.
 
 (4) The following are the contingent liabilities (As certified by
 Directors)
 
 regarding guarantee outstanding                   Rs. 56116148/-
 
 regarding Letters of Credit                       Rs. NIL
 
 regarding Penal Interest & Liquidated             Rs. 4956277/-
 
 damages of IDBI (refer Note below)                Rs. 816797/-
 
 Note: Penal interest & Liquidated damages being charged by IDBI in term
 loan accounts has not provided since the matter is under negotiation.
 
 (5) OTHER INFORMATION REQUIRED AS PER COMPANIES ACT, 1956. (As
 Certified by Directors)
 
 (1) PRODUCTION INFORMATION:
 
 a) Licence capacity: Not applicable.
 
 b) Installed capacity: Not applicable,
 
 c) Actual Production: Equipment No.: 14 (38)
 
                                                  2001-2002    2000-2001
                                                 Amount Rs.   Amount Rs.
 
 (6) Expenditure in foreign currency                    NIL    Rs. 47456
 
 (a) Value of all imported Raw-material, Spare parts and components
 consumed during the financial year excluding custom duty of Rs. NIL (P.
 Y. Rs. 47456/-)
 
 (b) Payment towards Foreign Travelling                 NIL    Rs. 30900
 
 (7) Earning in foreign exchange classified under the following Heads
 namely (i) export of goods calculated on
 
 F. O. B. basis:                                        NIL          NIL
 
 (ii) royalty, knowhow, professional and consultation
 fees:                                                  NIL          NIL
 
 (iii) Interest and dividend                            NIL          NIL
 
 (iv) Other Income, indicating nature thereof           NIL          NIL
 
                                                  2001-2002    2000-2001
                                                 Amount Rs.   Amount Rs.
 
 (8) AUDITORS REMUNERATION:
 
 Audit fees                                           30000        30000
 
 In other Capacity Tax Audit Fees                      6000         6000
 
 Taxation Matters                                     15000        15000
 
 Sales Tax                                             4000         4000
 
 Total Rs.                                            55000        55000
 
 (9) MANAGERIAL REMUNERATION:                     2001-2002    2000-2001
                                                 Amount Rs.   Amount Rs.
 
 Salary and Perquisites                           Rs. 75000  Rs. 1828219
 
 Note: In the Current Financial Year there is no profit and the
 Managerial Remuneration paid as detailed above is well within the limit
 prescribed in schedule XIII of the Companies Act, 1956. in the event of
 absence of profit.
 
 (10) The Banker to the Company has issued Guarantee to the Various
 Parties of the Company in the ordinary course of the business against
 which the Company has given Counter Guarantee to the Bankers. The
 Company has kept margin money with bank in the form of Fixed Deposit.
 Such Fixed Deposit amounts to Rs. 7361919/- (P. Y. Rs. 7361919/-)
 
 (11) All the Investments of the Company are unquoted at cost.
 
 (12) The maximum balance outstanding at any time during the year with:
 
 Swaminarayan Co-Op. Bank Ltd. Rs. 11900/- (P. Y. Rs. 11900/-)
 
 The Baroda Peoples Co. Op. Bank Ltd. Rs. 2500/- (P. Y. Rs. 2500/-)
 (Deposit A/c)
 
 The Baroda Peoples Co-Op. Bank Ltd. Rs. 1193787/- (P. Y. Rs. 1193787/-)
 (Loan A/c.)
 
 The Managing Director of the Company is Director of Swaminarayan
 Co.-Op. Bank Ltd.
 
 (13) According to company there is unpaid over due amount on 31 st
 March, 2002 to Small Scale and/or Ancillary Industrial suppliers
 amounting to Rs. 436350/-. There is no Small Scale industrial
 undertaking to whom company owes a sum exceeding Rs. 1.00 Lakh
 outstanding as 31-03-2002.
 
 (14) The company was valuing the inventories of Raw materials and
 work-in-progress at cost. In order to comply with Accounting Standards
 (AS-2) issued by the Institute of Charted Accountants of India, the
 company has changed the method of valuation of these items of inventory
 from cost to Lower of cost or Net realisable value. However there
 is no impact on loss as a result of this change.