To'' The Members of KOHINOOR TECHNO ENGINEERS LIMITED
 
 The Directors’ present the 20TH Annual report on the business and
 operations of your Company for the year 2011-2012.
 
 - FINANCIAL RESULTS AND OPERATIONAL REVIEW:
 
 During the year under review the total income from operations was Rs.
 9''17''21''239 as compared to Rs.  8''30''93''434 of that of the previous
 Year. The Company has provided Rs. 26''261 for depreciation. The Company
 has planned future operations for which it has set up an R & D
 Department which has been the focus and strength of the company. This
 effort has helped the industry by many innovative products and
 technologies. The consulting staff of the Company has been involved in
 the design'' erection'' start-up'' and management of all phases of
 manufacturing operations. This practical experience is accompanied by
 access to meaningful information that represents the real performance
 and capability of these operations.  Examples of these important
 databases include production cost'' labor content'' process
 specification'' quality'' and process control information gathered from
 diamond units.
 
 The Company''s Operations fall under two segments namely Making of
 Machineries relating to Diamonds Business and related service and
 Trading in Diamonds.
 
 - DIRECTORS:
 
 Mr. Aswad Pothiawala Aminbhai'' Mrs. Dharniben Sanjivbhai Bhatt and Mr.
 Rajiv Kiritbhai Bhatt Directors of the Company are liable to retire by
 rotation at the ensuing Annual General Meeting and being eligible''
 offer themselves for re-appointment and terms and condition for
 appointment of Mr. Kiritbhai Bhatt is changed with effect from 23rd
 June'' 2012.
 
 - RESPONSIBILITY STATEMENT:
 
 As required u/s 217(2AA) of the Companies Act'' 1956 your Director
 confirms that in the preparation of the annual accounts:
 
 The applicable accounting standards have been followed along with
 proper explanation relating to material departures.
 
 Such accounting policies have been selected and applied consistently
 and reasonable and prudent judgments and estimates made'' so as to give
 a true and fair view of the state of affairs of the company at the end
 of the financial Year and the profit/loss of the company for that
 period.
 
 Proper and sufficient care has been taken for the maintenance of the
 adequate accounting records in accordance with provisions of this act
 for safeguarding the assets of the company and for preventing and
 detecting fraud and other irregularities.
 
 The annual accounts have been prepared on a going concern basis.
 
 - CONSERVATION OF ENERGY'' TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE:
 
 A. Conservation of Energy:
 
 Information in accordance with the provisions of Section 217(1)(e) of
 the Companies Act'' 1956 read with Companies (Disclosures of Particulars
 in the Report of Board of Directors) Rules'' 1988 regarding conservation
 of energy and technology absorption is applicable to company.
 
 B. Research and Development:
 
 R & D forms the basis of Kohinoor''s efforts in making processes
 simpler'' smoother and faster for the diamond industry. R & D is a
 highly structured activity at Kohinoor and stringent quality control
 measures have lead to technologically superior products. There is a
 total concentration on up gradation of technology and standardization
 of components. Our engineering & manufacturing personnel have a broad
 range of experience in designing & producing quality machinery &
 inspection equipment.
 
 C. Foreign Exchange Earnings and Outgo:
 
 Foreign Exchange Earning is NIL Foreign Exchange Outgo is NIL
 
 - APPOINTMENT OF AUDITORS:
 
 M/S. Bharat & Company.'' Chartered Accountants'' Surat'' Auditors of the
 Company'' hold office until the conclusion of the ensuing Annual General
 Meeting. The Company has received letters from them to the effect that
 their appointment'' if made'' would be within the prescribed limits under
 Section 224(1-B) of the Companies Act'' 1956.
 
 - PUBLIC DEPOSITS
 
 During the year under review the Company has not accepted any deposits
 to which the provisions of section 58A of the Companies Act'' 1956 read
 with Acceptance of Deposits Rules'' 1975 as amended are applicable.
 
 - PARTICULARS OF EMPLOYEES:
 
 There is no employee having remuneration with the provisions of section
 217(2A) of the companies Act 1956 read with the Companies (Particulars
 of employee) Rules'' 1975 as amended.
 
 - MANAGEMENT DISCUSSION AND ANALYSIS:
 
 Management discussion and analysis Report'' pursuant to Clause 49 of the
 Stock Exchange Listing agreement'' forms part of this Report and the
 same is annexed hereto.
 
 - REPORT ON CORPORATE GOVERNANCE:
 
 A separate Report on Corporate Governance along with Certificate from
 Auditors on its compliance as annexed hereto.
 
 - SEGMENT:
 
 The Company''s Operations fall under two segments namely Making of
 Machineries relating to Diamond Business and related service and
 Trading in Diamonds.
 
 - ACKNOWLEDGEMENT:
 
 The management is grateful to the government authorities'' Bankers''
 Vendors for their continued assistance and co-operation. The directors
 also wish to place on record the confidence of members in the company.
 
                          For & on behalf of the Board of Director
                          of the Company 
 
 Date: 28th June'' 2012    Place: Surat
 
                       (Kiritbhai Bhatt) (Rajiv Bhatt) (Sanjivbhai Bhatt)
                         Managing
                         Director           Director        Director
 
 Regd. Office:
 
 Kohinoor House''
 
 Plot No.1'' Gajera''
 
 Industrial Estate''
 
 Opp. I. C. Gandhi Mill'' A. K. Road''
 
 Surat- 395006