1.  Freehold Land, Leasehold Land and Buildings have been revalued as
 per the Scheme of Arrangement and additional depreciation arising on
 account of revaluation of such assets amounting to Rs. 150.34 Lacs (Rs.
 130.30 Lacs) for the year has been withdrawn from General Reserve and
 credited to Profit and Loss Account in term of the Said Scheme of
 Arrangement.
 
 2.  Estimated amount of contracts to be executed on Capital Account and
 not provided for is Rs. 513.91 Lacs (Rs. 373.74 Lacs).
 
 3.  CONTINGENT LIABILITIES:
 
 Contingent Liabilities in respect of    Rs. in Lacs        Rs. in Lacs
 
 a.  Income Tax matter under appeal, 
 approx (See Note Below)                      105.92           (105.92)
 
 b.  Sales Tax matter under appeal            465.23           (328.52)
 
 c.  Excise Duty in dispute                   405.78           (405.78)
 
 d.  Octroi Duty in dispute (High 
     court Order received in                  335.74           (335.74)
 Company''s favour but the case is in 
 appeal before Supreme Court hence shown 
 in Contingent Liability.)
 
 e.  ESIC liability in dispute                  1.26             (1.26)
 
 f.  Municipal Property Tax in dispute        223.22           (204.96)
 
 g.  Service Tax in dispute                    65.02            (65.02)
 
 h.  Labour Cases                              13.06            (16.84)
 
 i.  Custom Duty                                6.82             (6.82)
 
 j.  General Surety Bond executed in 
 favour of Excise Dept for                    300.00           (300.00)
 JHS Taigene Electrical Co. Pvt. Ltd.
 
 Note : Income Tax matter under appeal, Rs.105.92 Lacs (Previous period
 Rs. 105.92 Lacs) is excluding Rs. 821.15 Lacs (Rs. 821.15 Lacs) in
 respect of which favourable decision has been given by the Income Tax
 Appellate Tribunal, Pune on similar grounds in an earlier assessment
 year.
 
 4.  Company has purchased six bills of exchange and paid Rs. 206.65
 Lacs (Rs. 206.65 Lacs) for the same. These bills have matured but have
 not been honoured.  Company has filed suits in the High Court of
 Judicature at Bombay.
 
 5.  Net Gain / (Loss) on exchange difference recognised in the Books of
 Accounts is Gain Rs. 23.11 Lacs (Loss Rs. 29.83 Lacs)
 
 6.  Issue of 4550 (4550) Bonus Shares and 480 (480) Rights shares have
 been kept in abeyance as per the provisions of Section 206A of the
 Companies Act, 1956.
 
 7.  Borrowing cost directly attributable to the acquisition,
 construction or production of qualifying assets and capitalised as part
 of cost of asset is Rs. Nil ( Rs. Nil).
 
 8.  Earning Per Share :
 
 a) The amount used as the numerator in calculating basic and diluted
 earning per share is the Profit after tax disclosed in the Profit and
 Loss Account after adjusting dividend on cumulative preference shares
 of Rs. 220.07 Lacs (Rs. 164.04 Lacs)
 
 b) The weighted average number of equity shares used as the denominator
 in calculating basic and diluted earnings per share is 1,03,71,968
 (Previous year 98,49,436).
 
 9.  Foreign Currency Convertible Bonds ( FCCB)
 
 FCCBs equal to US $ 18 million Optionally Convertible @ Rs 156 per
 share at a fixed exchange rate of Rs 39.26 per dollar were issued vide
 loan agreement dated 14-02-2008. These have been approved by RBI to be
 utilised for Rupee Capital Expenditure needs of the company.The FCCBs
 have been listed on Singapore Exchange Securities Trading
 Limited,Singapore.The FCCB holders are entitled to an interest @ 2 %
 p.a. till conversion / redemption. The FCCBs, if not converted are
 redemeable on 15-02-2013. Premium payable on redemption is 19.85%.
 
 10.  In terms of the Notification dated 31st March 2009 by The Ministry
 of Corporate Affairs amending AS-11 The Effects of Changes in Foreign
 Exchange Rates, the company has exercised the option to recognize the
 exchange difference on long term monetary items retrospectively from
 the accounting period 2007-08. Such exchange differences relating to
 the acquisition of capital assets are adjusted to the cost of capital
 and would be depreciated over the balance life of the asset. Exchange
 difference amounting to Rs. 599.60 Lacs (Rs. 723.29 Lacs) has been
 carried in the Fixed Assets and Capital work in progress as on
 31.03.2011. Had this option not been exercised by the company Loss for
 the year would have been lowered by Rs. 97.72 Lacs (Profit would have
 been more by Rs. 166.81 Lacs).
 
 11.  As per the information available with the company till date,none
 of the suppliers have informed the company about their having
 registered themselves under the ''Micro, Small and Medium Enterprises
 Development Act, 2006''. As such, information as required under this
 Act, cannot be compiled and therefore not disclosed for the year.
 
 12.  The company had entered into a MOU with MAIPL for sale of land and
 building at Takwe for a consideration of Rs. 5.83 Crs., which has been
 received from MAIPL. The said transaction is subject to approval from
 the appropriate authorities and as such it is not effected in the books
 of account of the company.
 
 13.  Having regard to financial and business restructuring plans under
 progress, infusion of substantial funds by way of issue of equity and
 preference shares, warrants, focus on auto component business which is
 expected to have positive impact on operations, the accounts have been
 prepared on a ''going concern'' basis.
 
 14 a) In accordance with Accounting Standard 22 Accounting for Taxes
 on Income the Company has written off Deferred Tax Asset of Rs. NIL
 (Rs. NIL) for the period ended 31st March, 2011 which was recognised
 earlier.
 
 15.  Employee Benefits:
 
 A) Defined Contribution Plans
 
 a) Providend Fund
 
 b) State Defined Contribution Plans- Employer''s Contribution to
 Employee''s Pension Scheme 1995.
 
 c) Superannuation- Yearly contribution at the rate 15% of eligible
 salary is made.
 
 B) Defined Benefit Plans
 
 The company makes annual contributions to a funded defined benefit plan
 for qualifying employees. The plan is administered with Reliance Life
 Insurance Company Limited. The scheme provides for lumpsum payment of
 vested employees at retirement, death while in employment or on
 termination of employment of an amount equivalent to 15 days salary
 payable for each completed year of service or part thereof in excess of
 six months.  Vesting occurs only upon completion of five years of
 service, except in case of death or permanent disability. The present
 value of the defined obligation and the related current service cost
 are measured using the projected unit credit method with actuarial
 valuation being carried out at the Balance sheet date.
 
 16.  Related Parties Transactions: As per Accounting Standard - 18
 
 A) Names of Related Parties :
 
 Kinetic Motor Company Ltd., Athena Financial Services Ltd., Jaya Hind
 Sciaky Ltd., Kinetic Communications Ltd., Kinetic Marketing & Services
 Ltd., Ajinkya Holdings Pvt. Ltd., Micro Age Instruments Pvt. Ltd.,
 Ajinkya Auto Fab Ltd., Kinetic Hundai Elevator & Movement Technologies
 Pvt. Ltd., Chrysalis Castings Pvt. Ltd., Chrysalis Financial Services
 Pvt. Ltd., Ravindra Software Pvt. Ltd., JHS Taigene Electrical Co. Pvt.
 Ltd., Ducati Energia Pvt. Ltd.
 
 Disclosure in respect of material related party transactions during the
 year:
 
 a Purchases from Ducati Energia India Private Limited Rs. 41.50 Lacs
 (Previous Year Rs. 46.77 Lacs) and JHS Taigene Electrical Company
 Private Limited Rs. 10.96 Lacs (Previous Year Rs. NIL).
 
 b Sales include to Ducati Energia India Private Limited Rs. 45.16 Lacs
 (Previous Year Rs. 16.24 Lacs) and Ajinkya Auto Fab Limited Rs. 21.54
 Lacs (Previous Year Rs. 0.48 Lac).
 
 c Royalty received from Jaya Hind Sciaky Limited ( Formerly Kaygee Auto
 Product Pvt. Ltd) Rs. 0.98 Lac (Previous Year Rs. 1.32 Lacs).
 
 d Income from Rendering of services include to Jaya Hind Sciaky Limited
 (Formerly Kaygee Auto Product Pvt. Ltd) Rs. 12.50 Lacs (Previous Year
 Rs. 20.24 Lacs), Micro Age Instruments Private Limited Rs. NIL
 (Previous Year Rs.  3.89 Lacs) and JHS Taigene Electrical Company
 Private Limited Rs. NIL (Previous Year Rs. 0.36 Lac).
 
 e Expenses for receiving of other services paid to Kinetic
 Communication Limited Rs. 77.76 Lacs (Previous Year Rs. 65.54 Lacs).
 
 f Other receipts from JHS Taigene Electrical Company Private Limited
 Rs. NIL (Previous Year Rs. 13.19 Lacs), Jaya Hind Sciaky Limited
 (Formerly Kaygee Auto Product Pvt. Ltd.) Rs. NIL (Previous Year Rs.
 2.94 Lacs) and Chrysalis Casting Private Limited Rs. NIL (Previous Year
 Rs. 5.52 Lacs).
 
 g Rent Received from JHS Taigene Electrical Company Private Limited Rs.
 27.47 Lacs (Previous Year Rs. 15.41 Lacs) and Chrysalis Casting Private
 Limited Rs. 12.00 Lacs (Previous Year Rs. NIL).
 
 h Rent paid to Micro Age Instruments Private Limited Rs. 39.47 Lacs
 (Previous Year Rs. NIL).
 
 i Purchase of assets include Jaya Hind Sciaky Limited (Formerly Kaygee
 Auto Product Pvt. Ltd.) Rs. 51.83 (Previous Year Rs. NIL).
 
 j Sale of assets include Micro Age Instruments Private Limited Rs. NIL
 (Previous Year Rs. 4407.00 Lacs).
 
 k Issue of shares include Micro Age Instruments Private Limited Rs. NIL
 (Previous Year Rs. 497.46 Lacs).
 
 I ICD received include Jaya Hind Sciaky Limited (Formerly Kaygee Auto
 Product Pvt. Ltd.) Rs. 50.00 Lacs (Previous Year Rs. NIL), Ajinkya
 Holdings Private Limited Rs. 83.00 Lacs (Previous Year Rs. NIL) and
 Micro Age Instruments Private Limited Rs. 10.00 Lacs.
 
 m ICD repaid include Micro Age Instruments Private Limited Rs. 10.00
 Lacs (Previous Year Rs. 261.75 Lacs) and Ajinkya Holdings Private
 Limited Rs. 83.00 Lacs (Previous Year Rs. NIL).
 
 n Investment in Preference Shares include Micro Age Instruments Private
 Limited Rs. 539.60 Lacs (Previous Year Rs. NIL).
 
 o Sale of Shares held as Investment include Micro Age Instruments
 Private Limited Rs. 539.60 Lacs (Previous Year Rs. NIL).
 
 p Amounts Written back during the period in respect of loan from the
 related party include to Micro Age Instruments Private Limited Rs.
 119.81 Lacs (Previous Year Rs. NIL).
 
 q Remuneration to key managerial personnel include to Mr. A.H. Firodia
 Rs. 25.96 Lacs (Previous Year Rs. 19.32 Lacs) and Mr. Ajinkya Firodia
 Rs. 33.76 Lacs (Previous Year Rs. 21.79 Lacs).
 
 r Fees for professional services paid to Mr. S. C. Shah Rs. 0.40 Lac
 (Previous Year Rs. 0.53 Lac).
 
 17.  Previous year figures are for nine months as against current
 year''s figures for twelve months and as such they are not comparable.
 Previous year''s figures have been regrouped wherever necessary.
 
 18.  Additional information relating to Balance Sheet Abstract and
 Company''s General Business Profile as per Part IV of Schedule VI to the
 Companies Act, 1956 - Annexed.