1) Contingent liabilities:
 
 (A) Claims against the company/disputed liabilities not acknowledged as
 debts Rs in Lacs Rs in Lacs 2010-2011 2009-2010 a) Central Excise &
 Service Tax 279.97 281.97 b) Income Tax 359.07 20.90 d) Sales Tax &
 Central Sales Tax 366.53 366.53 Total 1,005.57 669.40
 
 (B) Estimated amount of contracts remaining to be executed on capital
 account and not provided for Rs.42.74 Lacs (Previous year Rs.328.55
 Lacs) net of advances.
 
 2) The company was subjected to search by the Directorate General of
 Central Excise Intelligence (DGCEI), New Delhi during the financial
 year ended 31.03.2009 and deposed a sum of Rs.100 Lacs under protest
 which has been shown as Excise Duty Deposed under Protest in Loans &
 Advances. Subsequently, the company has received a show cause notice
 dated 09.05.2011 from the DGCEI, New Delhi for imposing excise duty
 aggregating amount of Rs.4492 Lacs. The Company is in the process of
 filing suitable reply of the alleged imposition of Excise duty and due
 to pending adjudication of the show cause notice, liability on this
 account has neither been considered nor disclosed in the accounts.
 
 3) Some of the balances of sundry debtors, creditors, advances and
 unsecured loans as on 31.03.2011 are subject to confirmation. Sundry
 Debtors, outstanding for more than six months includes Rs.191.67 Lacs
 on which legal cases have been initiated for recovery by the company.
 The management of the company is hopeful of favourable decision on such
 legal cases, hence no provision for bad and doubtful debts have been
 considered.
 
 4) In the opinion of the management, currents assets, loans & advances
 have a value on realisation in the ordinary course of business at least
 equal to the amount at which they are stated in the Balance Sheet.
 
 5) The Company has already initiated the process of obtaining copies of
 memorandum filed with the concerned authority by entities falling under
 the MSMED Act 2006. The Company has not received copies of the said
 memorandum as on date from any such entity. In the absence of
 information, the company is unable to identify units and as well as
 furnish details required under the said Act.
 
 6) The company does not have any fund for gratuity and leave encashment
 liability and same is accounted for as provision.
 
 7) Remuneration paid/payable to Managing/whole time directors during
 the year was Rs.148.68 Lacs (Previous Year Rs.148.68 Lacs).
 
 8) During the year, in terms of memorandum of settlement/arrangement
 dated 14.03.2011 arrived at before the Hon''ble Delhi High Court,
 Mediation & Conciliation Centre, The company has agreed to assign trade
 mark of Kamdhenu Cement, cement bricks, cement tiles and cement sheets
 only falling under Class-19 of the Trade Mark Rules,2002 for a total
 sum of Rs.140 Lacs in favour of Kamdhenu Cement Limited. The said
 revenue net of tax has been included in the Royalty, Trademarks &
 Others of Schedule-13.
 
 9) Royalty,Trademarks & Others comprises royalty of Rs. 1406.79 Lacs
 (Previous Year Rs.1473.98 Lacs), Sale of Trademark of Rs.133.33 Lacs
 (Previous Year NIL), Income from derivatives of Rs.79.09 Lacs (Previous
 Year 105.03 Lacs) and priority dealership charges of Rs.1.16 Lacs
 (Previous Year 21.46 Lacs).
 
 10) During the year, the Company has undertaken modernisation program
 at its Steel Plant with capital investment of Rs.545.20 Lacs in Plant &
 Machinery which have since become operational from 25.03.2011.
 
 11) Balance with Schedule Bank in Current Accounts includes Unpaid
 Divident amount of Rs.2.33 Lacs and IPO Refund amount of Rs.2.62 Lacs
 (Previous Year of Rs. 2.38 Lacs & Rs.2.62 Lacs respectively).
 
 12) The Cash flow Statement has been prepared in accordance with the
 requirements of Accounting Standard-3 Cash Flow Statement issued by
 ICAI.
 
 13) As per Accounting Standard-17  Segment Reporting issue business
 segments viz. Steel, Power & Paints and following policies have been
 adopted for the segment reporting.
 
 a) Revenue and Expenses have been identified to a segment on the basis
 of relationship to operating activities of the segment. Revenue and
 Expenses which could not be allocable to a specific segment are being
 disclosed separately as un-allocable.
 
 b) Segment Assets and Segment Liabilities represent assets and
 liabilities in respective segment. Investments, tax related assets,
 other assets and liabilities that cannot be allocated to a segment on a
 reasonable basis have been disclosed as Un-allocable.
 
 14) As per Account Standard-28 Impairment of Assets issued by ICAI,
 there are no indication of overall
 
 15) Additional information pursuant to provisions of paragraph 3 & 4 of
 part II of Schedule VI of the Companies Act ,1956.
 
 16) Value of Import on CIF basis in respect of Traded goods Rs.14.85
 Lacs (Previous Year NIL).
 
 17) Expenditure in Foreign Currency on Import of Traded goods Rs.13.55
 Lacs (Previous Year NIL).
 
 18) The previous year''s figures have been reworked, regrouped,
 rearranged and reclassified wherever necessary. Accordingly, amounts
 and other disclosure for the preceding year are included as an integral
 part of the current year financial statements and are to be read in
 relation to the amounts and other disclosures relating to the current
 year