1) Contingent liabilities not provided for in respect of:
 
 2.1) (a) Guarantees and counter guarantees given by the Company to
 Banks/Financial Institutions / Others in respect of loans / guarantees
 to / for other companies (excluding in respect of Excise Duty referred
 to in Note no.(c) below) Rs. 10,55,73,000 plus interest, if any
 (Previous Year Rs. 10,55,73,000 plus interest, if any).
 
 (b) Guarantees given by the Bankers on behalf of the Company (excluding
 in respect of Excise Duty referred to in Note no.(c) below)
 Rs.3,54,51,041 (Previous Year Rs. 2,99,21,519).
 
 (c) Disputed Excise claims/demands, of Rs.69,46,15,026 (Previous Year
 Rs. 69,13,68,285) excluding interest liability, if any, against and /
 or relating to the Company and counter claims by the Company are
 pending or otherwise being contested before the various Excise
 Authorities/ Courts against which the Company has paid Rs.29,07,295
 (Previous Year Rs.30,41,610) (in eluded in Loans &Advances) under
 protest. In the opinion of the management, appropriate provisions have
 been made in the books of account in respect of Excise claims/ demands
 that may become payable based on the legal advice/ present status of
 various matters. Further, various show cause notices/ show
 cause-cum-demand notices have been received from Excise Authorities by
 the Company and/ or in relation to the Company. Since, these notices
 are in the nature of explanations required the Company does not
 consider them to constitute any liability. All these notices hate been
 replied/ attended to and are pending at different stages.
 
 (d) Excluding the claims/demands against the Company not acknowledged
 as debts as mentioned in (c) above :
 
 (i) Income Tax in respect of earlier years under dispute for which
 appeals/ rectification petitions have been / are being preferred by the
 Company and / or pending final assessments: Rs.7,67,76,44,439 (Previous
 Year Rs. 7,67,67,17,449) including interest up to the date of
 respective demands and excluding further interest liability if any and
 penalty of Rs.4,88,75,07,440 (Previous Year Rs.4,89,12,56,796 )
 
 (ii) Other Income Tax proceedings in respect of earlier years decided
 in the Company''s favour by the Appellate Authorities against which the
 Department is in further appeals excluding further interest liability,
 if any : Rs.100,16,18,582 (Previous Year Rs. 100,16,18,582).
 
 (e) (i) Pursuant to BIFR Order dated 16m December, 2002, the Company
 has made applications to Excise / Income Tax Departments to waive the
 interest and penalties included in the demand as referred in Para (c)
 and (d) above and those as may arise during the scheme period. Further
 interest on delayed payment as per BIFR order, the amount whereof is
 not ascertainable presently.
 
 (ii) BIFR Scheme period for revival of the Company got over in March''
 2011. Application for extention beyond the aforesaid period was not
 considered favourably by BIFR inspite of continuously operating losses
 as also loss of time due to certain coercive measures initiated by the
 Income Tax and Excise Departments. The Company''s appeal before
 Appellate Authority for Industrial and Financial Reconstruction (AAIFR)
 against the aforesaid BIFR Order is pending. However, as an interim
 relief, Hon''ble AAIFR has ordered to maintain status quo.
 
 (f) The Company expects to succeed in all the pending disputes, as per
 the expert opinions obtained by the management.
 
 3) Estimated amount of contracts remaining to be executed on Capital
 account and not provided for Rs.2,97,38,896 (Previous Year
 Rs.2,89,81,552) (Net of advances of Rs. 3,84,83,046 (Previous Year of
 Rs.1,71,88,636)
 
 4) Land & Buildings and Plant & Machinery were revalued as on 30th
 June, 1980, 30th June, 1984, 30th June, 1986 (only Land and Buildings),
 30th June, 1988 and 31 sj March,1993. The total increase as a result of
 these revaluations were transferred to Revaluation Reserve in the
 respective years. All the above stated revaluations were carried out by
 an external approved valuer on the basis of market/replacement value of
 similar assets, using standard indices and after considering the
 obsolescence and age of individual assets. The revalued amounts, net of
 withdrawals, of Rs. 14,66,98,190 for Land & Buildings and Rs
 65,62,11,633 for Plant & Machinery (Previous Year Rs.16,72,14,822 and
 Rs.66,76,63,587, respectively) remain substituted for the historical
 costs in the gross block of Fixed Assets (Schedule ''E'').
 
 5) There is a substantial diminution in the carrying value of certain
 long term quoted investment as compared to its market value which in
 the opinion of the management is temporary and therefore, no provision
 is considered necessary at this stage as the same are long term and
 strategic in nature.
 
 6) The Company has provided excise duty/customs duty of Rs.5,03,01,293
 (Previous year Rs.3,17,55,444) on the goods lying in bonded premises as
 on the Balance Sheet date and included the same in the inventory value.
 
 7) (i) No provision has been considered necessary in respect of certain
 overdue sundry debtors and loans and advances aggregating to Rs.
 4,93,09,336 (Previous Year Rs. 3,09,91,797) since the management has
 taken suitable measures to recover the said dues and is hopeful of
 recovery in due course of time.
 
 (ii) No provision has been considered necessary in respect of certain
 old inventory aggregating to Rs. 1,04,94,596 since tlje management is
 confident of using the same in due course of time and also that it
 would realize at least equal to the amolnt being carried.
 
 8) Advances recoverable in cash or in kind or for value to be
 received-considered good include :
 
 (a) Capital advances of Rs.3,84,83,046 (Previous Year Rs. 1,71,88,636)
 towards purchase of fixed assets.
 
 (b) receivable from subsidiary companies Rs.1,85,52,85,189 (Previous
 Year Rs. 1,10,90,98,172).
 
 9) (a) The Accounts of certain Debtors, Creditors, Non-operative Banks
 / Lenders and Loans & Advances are subject to confirmations,
 reconciliations, and adjustments, if any, having consequential impact
 on the loss for the year, assets and liabilities, the amounts whereof
 are presently not ascertainable. However, the management does not
 expect any material difference affecting the current year''s financial
 statements.
 
 (b) In the opinion of the Board, the current assets, loans and advances
 are approximately of the value stated, if realised in the ordinary
 course of business unless otherwise stated. Provision for depreciation
 and all known liabilities is adequate and not in excess of the amount
 reasonable necessary.
 
 10) Nature of security in respect of Secured Loans and terms of
 redemption of Debentures :
 
 11) 12% Secured Redeemable Non-Convertible Debentures privately placed
 with IFCI Limited:
 
 (a) Secured by a First Mortgage of land situated at village Dhanot in
 the State of Gujarat and a first charge by way of hypothecation of the
 Company''s movable properties subject to prior charge on specified
 movables in favour of the Company''s Bankers for Working Capital
 facilities and is further secured by equitable mortgage of the
 Company''s immovable properties at Baroda, Gujarat ranking pari passu
 with the Bankers who have given working capital term loan.
 
 (b) Redemption terms of Debentures :
 
 These Debentures were due for redemption in March, 2011 as per the
 scheme sanctioned by the BIFR Order. Reference is invited to Note no.
 2.1 (e) (ii) above.
 
 II) Loan from Scheduled Banks :
 
 (a) Working capital facilities and non fund based limits of Rs.1000
 Lacs (Previous Year Rs.1000 Lacs) are secured by hypothecation of
 inventories and book debts and further secured by mortgage by way of
 third charge on immovable properties at Baroda.
 
 (b) Working Capital Term Loan is secured by first charge by way of
 mortgage of property at Baroda ranking pari passu with lender mentioned
 above in I (a).
 
 (c) Funded Interest Term Loans are secured by second charge by way of
 mortgage of property at Baroda.
 
 (d) Guarantees given by the Company''s Bankers are secured/ to be
 secured by hypothecation of stocks, book debts, fixed deposits with
 banks and certain machineries, equitable mortgage of certain immovable
 properties at Baroda subject to prior charge in favour of Trustees for
 the debenture holders and/ or pledge of fixed deposit receipts.
 
 (e) Term loan availed from a Bank is secured by way of deposit of title
 deeds of property situated at Palghar, Dist- Thane, Maharashtra
 
 III) Loan from Bodies Corporate :
 
 (a) of Rs.75,59,67,903 (Previous Year Rs.13,11,32,236) is secured byway
 mortgage of immovable property situated at Marol, Mumbai.  *
 
 (b) of Rs.28,72,20,173 (previous year Rs.30,75,93,219) is secured by
 way of charge of property to be constructed at Hyderabad.
 
 11) a) No provision has been made in the accounts in respect of
 estimated total liability for future payment of gratuity of Rs.
 5,76,46,424 (Previous Year Rs.11,21,23,631) determined on the basis of
 actuarial valuation, as the Company''s practice is to account for the
 same as and when due for payment.
 
 (b) The Company has given an advance of Rs 10,14,86,007 (Previous Year
 Rs. 11,22,95,185) to and made an investment of Rs. 2,31,20,000
 (Previous Year Rs.2,31,20,000) in Western Express Industries Limited
 (WEIL), a wholly owned subsidiary Company, which has accumulated losses
 far in excess of its paid up capital and reserves & surplus. However,
 the management is hopeful of recovering / realising the same in due
 course of time in view of expected revival of activities / developments
 in the said subsidiary.
 
 Further, as a nominee of the Company, WEIL had acquired 100% ownership
 of Raigadh Papers Limited (RPL) for a consideration of Rs.1,20,00,000
 in the year 2007. RPL is having extensive land at Raigadh, whose value,
 based on an independent valuer''s opinion exceeds the aggregate amount
 of advance given/investment made. The acquisition of ownership of RPL
 has strengthened the asset base of WEIL significantly and has provided
 adequate financial coverage to the aforesaid advance and investment by
 the Company in WEIL. In view of what is stated above, no provisioning
 has been considered necessary.
 
 12) (a) Other Liabilities includes :
 
 (i) Rs.31,32,285 (Previous Year Rs.31,45,585) payable to Subsidiary
 Companies and
 
 (ii) Rs. 3,07,90,749 (Previous Year Rs.3,07,90,749) on account of
 income tax refund received pertaining to earlier years as the disputed
 matters are yet to be decided.
 
 (b) (i) There are no Micro, Small and Medium Enterprises as defined in
 the Micro, Small, Medium Enterprises Development Act, 2006 to whom the
 Company owes dues on account of principal amount together with interest
 and accordingly, no additional disclosures have been made.
 
 (ii) The above information regarding Micro, Small and Medium
 Enterprises has been determined to the extent such parties have been
 identified on the basis of information available with the Company. This
 has been relied upon by the auditors.
 
 14) The Company as a part of development activities of Realty Division
 :-
 
 (a) (i) During the year, certain Flats situated at Mumbai, hitherto
 held as fixed assets having book value of Rs. 2,02,888, were converted
 into Stock-in-Trade at an amount of Rs.2,70,00,000 being the fair
 market value on the dates of conversion i.e. 30th June,2010.  The fair
 market value was determined based on the relevant reckoner maintained
 by the Stamp Authorities. Consequent to conversion of flat at fair
 market value, the surplus of Rs.2,67,97,112 being the difference
 between the fair market value and book value arising on this account is
 transferred to Profit & Loss account and shown under the head Other
 Income.
 
 (ii) Also some of the Land & Building situated at Andhra Pradesh,
 hitherto held as fixed assets having book value of Rs. 1,33,427, were
 converted into Stock-in-Trade at an amount of Rs.10,25,00,000 being
 the fair market value on the dates of conversion i.e. 16lh Feb,2011.
 The fair market value was determined based on the relevant card rates
 maintained by the Stamp Authorities. Consequent to conversion at fair
 market value, the surplus of Rs.10,23,66,573 being the difference
 between the fair market value and book value arising on this account is
 transferred to Profit & Loss account and shown under the head Other
 Income.
 
 (b) The Company had entered into a Memorandum Of Understanding (MOU) in
 the year 2009-2010, with reputed developers to jointly develop its Vile
 Parle property (subject to necessary approvals/clearances/permissions)
 and partly received Rs.1,32,00,00,000 (Previous year Rs. 75,00,00,000).
 
 (c) In September, 2007, the Company transferred its land of the cost of
 Rs.39,480 at Hyderabad to stock in trade and entered into agreement
 with a builder for joint development of commercial complex and as per
 Supplemental Agreement dated October 31, 2008 to be completed in 37
 months effective from June 25, 2008.As per the agreement, the Company
 would be entitled to receive around 50% of the constructed saleable
 area as consideration. However, development work is yet to commence.
 
 (d) Miscellaneous Income under the head Other Income includes Rs.
 5,00,00,000 (Previous Year Rs.Nil) being the advance amount received in
 the year 2009-2010 and forfeited due to non fulfillment of substantial
 terms and conditions of the relevant Memorandum Of Understanding (MOU)
 by the buyer of the certain property of the Company. Matter for
 termination of this MOU is however, pending with the Hon''ble Mumbai
 High Court, hence the aforesaid amount has been included in Contingent
 Liabilities (Refer note no. 2.2 (vi) above).
 
 (e) Reference is however, invited to note no. 2.1(e)(ii) in respect of
 interim relief granted by Hon''ble AAIFR.
 
 (f) The Company has given advances aggregating to Rs. 1,72,55,00,000
 (Previous Year Rs. 96,25,00,000) to Golden Realty & Infrastructure Ltd.
 a subsidiary of the company to acquire certain development rights in
 the land situated in Delhi for joint development.
 
 15) Related Party Disclosures : 
 
 Related party disclosures as required by AS - 18 Related Party
 Disclosures are given below:
 
 I.  List of related parties :
 
 1.  Parties where Control Exists - Subsidiary Companies :
 
 Western Express Industries Limited
 
 Golden Investment (Sikkim) Private Limited.
 Golden Realty & Infrastructure Limited
 GTC Inc B.V, Netherland
 Raigadh Papers Limited -Fellow Subsidiary
 
 2.  Associates/Joint Ventures :
 
 GHCL Limited
 
 M/s Ashoka Developers & Builders Ltd
 
 3.  Other Parties with whom the Company has entered into transactions
 during the year:
 
 (i)    Key Management Personnel
 
 Mr. J. P. Khetan - Managing Director
 
 Mr. Viney Mehra - Whole Time Director (up to 31/05/2010)
 
 Mr. A. K. Joshi - Whole Time Director
 
 (ii) Relatives of Key Management Personnel
 
 Mrs. Madhu Khetan - Wife of Managing Director
 Mr. Amit Joshi    - Son of Whole Time Director
 Mr. Ashwin Joshi - Son of Whole Time Director
 
 17) Disclosure in respect of Operating Leases : Assets taken on lease :
 
 (a) The Company has taken various residential / commercial premises
 under cancelable Operating Leases. The Lease Agreements are usually
 renewable by mutual consent on mutually agreeable terms.
 
 (b) The rental expense in respect of Operating Leases are charged as
 rent under Schedule ''O''.
 
 (c) The rental income in respect of Operating Leases is included in
 Miscellaneous Income amounting to Rs. 10,99,397 (Previous Year Rs.
 24,47,649 ) shown under Schedule''M''.
 
 19) (a) Personnel Expenses include Rs.18,01,38,843 (Previous Year
 Rs.1,50,17,242) paid on account of Voluntary Retirement Scheme.
 
 (b) Miscellaneous Expenses include Rs. 1,44,23,000 (Previous Year Rs.
 Nil) shifting expenses from Mumbai to Vadodara Plant.
 
 25) Fixed Deposit include deposits of Rs. 1,43,23,883 (Previous Year
 Rs. 1,41,03,070) pledged with Banks against Guarantees and Credit
 facilities and with Government authorities for VAT/Entry Tax
 registration.
 
 27) ''Interest and Commitment charges'' includes Rs.13,77,94,930
 (Previous year Rs. 8,61,97,199) being interest and commitment charges
 on fixed loans and debenture.
 
 28) The amount of exchange difference (net) debited to the Profit and
 Loss Account: Rs. 70,836 [Previous Year (net) debited Rs. 59,92,595]
 
 31) As per Accounting Standards (AS) 17 Segment Reporting, segment
 information has been provided in the notes to Consolidated Financial
 Statements.
 
 32) The Previous Year''s figures have been rearranged, reinstated and/or
 regrouped wherever necessary to conform to the Current Year''s
 presentation.