Jagran Prakashan

1.  Contingent Liabilities:
 
                                             As at           As at
 Particulars                         March 31,2009     March 31, 2008
                                     (Rs.in Lakhs)     ( Rs. in Lakhs)
 
 Bank Guarantees given                   112.26            22.38
 
 In respect of various pending labour 
 and defamation cases                    Amount not          Amount not
 (In view of large number of cases,
 it is impracticable to disclose        ascertainable      ascertainable
 the details of each case).
 
 
 2.  (a) Pending final disposal of various litigations initiated since
 June 2007 by a common group of shareholders hereinafter referred to as
 Other Group against the Company in case of two associate companies
 namely Jagran Publications Private Limited and Jagran Prakashan (MPC)
 Private Limited and the Companys petition filed in case of former
 against the Other Group (which is in management) alleging mismanagement
 and oppression and seeking the directive against them to sell their
 shareholding to the Company at fair price or alternatively to vest the
 management rights with it, the management, on the basis of legal advice
 received and on evaluation of various developments including the
 decision of Company Law Board in its favour in one of the crucial
 petitions filed by Other Group and decrease in exposure by Rs.141.38
 lakhs during the financial year 2008-09, considers its entire exposure,
 in both the companies, of Rs.3084.30 lakhs including equity investment
 of Rs.10.50 lakhs as fully realizable. The Company, being extremely
 conservative, recognises interest on the loans granted to these
 companies as income only when interest is realised and accordingly no
 interest income has been recognised for the period from 1st October
 2007 to 31st March 2009.
 
 (b) The shares held in associate companies namely Jagran Publications
 Private Limited and Jagran Prakashan (MPC) Private Limited are not
 transferable to a third party (i.e. persons and bodies corporate not
 belonging to U.P. group, defined to be lineal descendants of late Mr.
 P.C.Gupta and Company in which not less than 51% shareholding is owned
 and controlled by their family members) without complying with certain
 conditions as contained in the Articles of Association of these two
 companies.
 
 d) The Company has created certain provision,without prejudice to its
 legal rights, on the receivables under litigation though it is fully
 confident of realizing its dues.
 
 4.  Title deeds of land at Mohali of Rs. 72.23 Lakhs (Previous Year Rs.
 72.23 Lakhs) included in land is yet to be executed.
 
 5.  Accounting Standard 26 - Intangible Assets prescribed by the
 Companies (Accounting Standards) Rules, 2006, and the relevant
 provisions of the Companies Act, 1956, requires amortisation of
 intangible assets over their estimated useful life.
 
 The Council of the Institute of Chartered Accountants of India in its
 meeting held on July 18-20, 2007 has, in-principle accepted the
 recommendations contained in the Concept Paper on Convergence with the
 IFRSs, including the adoption of the IFRSs by the listed entities from
 the accounting periods beginning on or after April 1, 2011.
 
 Considering the fact that post migration to IFRS, the Company will no
 longer be required to amortise the Title but will test the same for
 impairment, should there arise a triggering event, the Company has not
 amortised the value of Title of Rs. 1,700 lakhs in these financial
 statements.
 
 6.  i) Based on the information available with the Company as at March
 31, 2009, there are no dues to micro and small
 
 enterprises as defined in the Micro, Small and Medium Enterprises
 Development Act, 2006 as at March 31, 2009.
 
 ii) Based on the information available with the Company as at March 31,
 2009, there was neither any interest payable nor paid to any supplier
 under the aforesaid Act and similarly there is no such amount remaining
 unpaid as at March 31, 2009.
 
 7. Related Parties Disclosure as Required by Accounting Standard 18
 prescribed by the Companies (Accountini Standards) Rules, 2006 are as
 Follows:
 
 A.  Related Parties and their Relationship:
 
 1.1 Enterprise over which Promoters, Key Management Personnel and/or
 their relatives have Significant Influenc and/or in which they have
 substantial interest:
 
 a) Jagmini Micro Knit Private Limited
 b) Classic Hosiery Private Limited
 c) Shakumbhari Sugar and Allied Industries Limited (Ceased to be
 related with effect from December 15, 2007).
 d) Lakshmi Consultants Private Limited
 e) P.C. Overseas Private Limited (name since changed to Jagran Media
 Network Private Limited)
 f) Shri Puran Multimedia Limited
 g) Kanchan Properties Limited
 h) Jagran Subscriptions Private Limited
 i) Om Multimedia Private Limited
 j) Jagran TV Private Limited (Ceased to be related with effect from
 January 10, 2009)
 k) SPFL Securities Limited
 I) Rave Entertainment Private Limited (Ceased to be related with effect
 from May 31, 2007)
 m) Rave Moti Entertainment Private Limited
 n) Rave Real Estate Private Limited
 o) Leet E-Sport Private Limited (name since changed to Leet OOH Media
 Private Limited)
 p) Jagran Investment Co.
 q) Chetna Apparels Private Limited
 r) MMI Online Limited
 s) Jagran Prakashan Limited Employees Group Gratuity Scheme Fund Trust
 
 1.2 Enterprises having substantial interest in the company:
 
 a) Independent News & Media PLC, Ireland
 b) Independent News & Media Investments Limited, Ireland 2.  Associates
 & Joint Ventures:
 
 a) Jagran 18 Publications Limited Joint Venture
 b) Jagran Limited Associate
 c) Jagran Infotech Limited Associate
 d) Jagran Publications Private Limited Associate
 e) Jagran Prakashan (MPC) Private Limited Associate
 
 3.  Key Management Personnel:
 
 a) Mr. Mahendra Mohan Gupta Chairman and Managing Director
 b) Mr. Sanjay Gupta Whole time Director and Chief Executive Officer
 c) Mr. Dhirendra Mohan Gupta Whole time Director
 d) Mr. Sunil Gupta Whole time Director
 e) Mr. Shailesh Gupta Whole time Director
 
 4.  Key Management Personnels Relatives:
 
 a) Mr. Yogendra Mohan Gupta Brother of Managing Director
 b) Mr. Devendra Mohan Gupta Brother of Managing Director
 c) Mr. Shailendra Mohan Gupta Brother of Managing Director
 d) Mr. Sandeep Gupta Brother of Whole time Director
 e) Mr. Sameer Gupta Brother of Whole time Director
 f) Mr. Devesh Gupta Son of Whole time Director
 g) Mr. Tarun Gupta Son of Whole time Director
 h) Mrs. Saroja Gupta Mother of Whole time Director
 i) Mrs. Vijaya Gupta Mother of Whole time Director
 j) Mrs. Pramila Gupta Wife of Managing Director
 k) Mrs. Madhu Gupta Wife of Whole time Director
 I) Mrs. Pragati Gupta Wife of Whole time Director
 m) Mrs. Ruchi Gupta Wife of Whole time Director
 n) Mrs. Ritu Gupta Wife of Whole time Director
 
 5.  Hindu Undivided Families in which Key Management Personnel and/or
 their relatives have substantial Interest:
 
 a) Narendra Mohan Gupta HUF
 b) Sanjay Gupta HUF
 c) Sandeep Gupta HUF
 d) Mahendra Mohan.Gupta HUF
 e) Shailesh Gupta HUF
 f) Yogendra Mohan Gupta HUF
 g) Sunil Gupta HUF
 h) Sameer Gupta HUF
 i) Shailendra Mohan Gupta HUF
 j) Devendra Mohan Gupta HUF
 k) Dhirendra Mohan Gupta HUF
 I) Devesh Gupta HUF
 m) Tarun Gupta