The Directors' have pleasure in presenting the Twenty Fourth Annual
 Report together with the Audited Accounts of the Company for the period
 ended 31st March, 1998.
 
 FINANCIAL RESULTS :
 
                                      Year Ended              Year Ended
                                31st March, 1998        31st March, 1997
                                        (Rupees)                (Rupees)
 
 Gross Profit/(Loss) before
 Interest & Depreciation     7,95,432               4,74,110
 
 (Add)/Less : Interest       1,47,945                      -
              Depreciation   2,61,606               2,75,910
 
                                        4,09,551                2,75,910
 
 Net Surplus/(Deficit)                  3,85,881                1,98,200
 
 Surplus/(Deficit)
 brought forward                   (3,79,68,487)           (3,81,66,687)
 
                                   (3,75,82,606)           (3,79,68,487)
 
 Add : Prior Year Expenses                     -                       -
 
 Less : Balance in General
        Reserve                               -                       -
 
                                   (3,75,82,606)           (3,79,68,487)
 
 The auditors in their report have referred to the Notes forming part of
 the accounts.
 
 The notes are self explanatory and need no further clarifications.
 
 OPERATIONS :
 
 The Company has earned marginally higher profits of Rs. 3,85,881/- as
 against the profits of Rs. 1,98,200/- during the last financial year.
 The Company has also succeeded in curtailing its expenditure to a
 certain extent.  The sales during the year has shown an increase of Rs.
 6,44,100/- as compared to the last year.
 
 PUBLIC DEPOSITS :
 
 During the year under review, the Company has neither invited nor
 accepted any deposits from the public.
 
 CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE
 EARNING AND OUTGO :
 
 Information in accordance with the provisions of Section 217(1)(e) of
 the Companies Act, 1956 read with Companies (Disclosure of Particulars
 in the Report of Directors) Rules, 1988 regarding conservation of
 Energy, Technology Absorption and Foreign Exchange Earnings and Outgo
 has not been given as there was no production during the year since the
 plant remained closed throughout the year.
 
 PERSONNEL :
 
 There are no employees covered under Section 217(2A) of the Companies
 Act, 1956 read with the Companies (Particulars of Employees) Rules,
 1975.
 
 AUDITORS :
 
 M/s. K.S. Mehta & Associates, Chartered Accountants, Mumbai hold office
 until the conclusion of the ensuing Annual General Meeting.  The Company has received letter from them to
the effect that their appointment if made would be within the prescribed limits of Section 224(1B) of the
Companies Act, 1956.  Accordingly the said Auditors will be eligible for appointment as Auditors of the
Company.  The notes to the accounts referred to in the Auditors' Report are self explanatory and therefore do
not call for any further comments.
 
 DIRECTORS :
 
 Ms. Vandana B. Bhatia was appointed as an Additional Director on the
 Board with effect from 25th March, 1998.  As an Additional Director, she holds office until the ensuing
Annual General Meeting under Section 260 of the Companies Act, 1956 and is eligible for re-appointment.  The
Company has received a notice in writing under Section 257 of the Companies Act, 1956 from a member
signifying his intention to propose
 Ms. Vandana B. Bhatia as a candidate for the office of Directors.  The
 Directors recommend her appointment on the Board.
 
 The Directors Mr. Ashish Karyekar and Mr. Roomi Palsetia have resigned
 as directors of Company with effect from 29th December, 1997 and 25th
 March, 1998 respectively.
 
 The Board places on record the services rendered by them during their
 tenure as Directors of the Company.
 
 Mr. Pranay Goradia and Mr. B.M. Patel, Directors, retire by rotation
 and being eligible, offer themselves for re-appointment.
 
 SUBSIDIARY AND ASSOCIATE COMPANIES :
 
 As required by the Companies Act, 1956, accounts of the subsidiaries
 are annexed to the Balance Sheet and Profit and Loss Account.  Further
 statement pursuant to Section 212(3) of the Companies Act, 1956 is also
 annexed hereto.