KSK Energy Ventures

1.  Contingent liabilities and capital commitments
 
 i.  Contingent liabilities
                                                 As at March 31
 Particulars           
                                                 2009      2008
 
 a. Bank_guarantee issued  by Bank of India   1,000.00  1,000.00
 
 b. Bank guarantee issued by Dena Bank        1,000.00  1,000.00
 
 C. bank guarantee issued by UCO  Bank          325.10    325.00
 
 d. Bank guarantee issued by Indian Bank      1,000.00  1,000.00
 
 Summary of actuarial assumptions
 
 Discount rate: The discount rate is based on the prevailing market
 yields of Indian government securities as at the Balance Sheet date for
 the estimated term of the obligations.
 
 Expected rate of return on plan assets: This is based on the
 expectation of the average long term rate of return expected on
 investments of the fund during the estimated term of the obligations.
 
 Salary escalation rate: The estimates of future salary increases
 considered takes into account the inflation, seniority, promotion and
 other relevant factors.
 
 2.  Related party disclosures
 
 a.  Parties where control exists
 
 Name                                      Relationship
 
 K&S Consulting Group 
 Private Limited                    Ultimate holding company      
 KSK Energy_Limited, Mauritius      Holding company
 
 KSK Electricity Financing 
 India Private Limited              Subsidiary company          
 
 JR Power Gen Private Limited       Subsidiary compan
 
 KSK  Dibbin Hydro Power 
 Private Limited                    Subsidiary company
 
 Kameng Dam Hydro Power 
 Private Limited                    Subsidiary company
 
 KSK Narmada Power Company 
 Private Limited                    Subsidiary company
 
 Bahur Power Company 
 Private Limited                    Subsidiary company   
 
 KSK Vidarbha Power 
 Company Private Limited            Subsidiary company
 (formely known as Lakpath 
 Power  Company Private Limited)
 
 Sai Maithili Power Company 
 Private Limited                    Subsidiary company
 
 KSK Technology Ventures 
 Private Limited                    Subsidiary company
 
 Sai Regency Power Corporation 
 Private Limited                    Step-down subsidiary
 
 VS Lignite Power Private Limited   Step-dqwn subsidiary   
 
 Wardha Power Company Limited       Step-down subsidiary
 
 (formerly Wardha Power 
 Company private Limited)      
 
 Arasmeta Captive Power 
 Company Private Limited            Step-down subsidiary
 
 b.  Parties where significant influence exists and where the
 transactions have taken place during the year
 
 Name                                Relationship
 
 Sitapuram Power Limited            Joint venture
 
 Marudhar Mining Private Limited    Fellow subsidiary
 
 KSK Mineral Resources Private 
 Limited                            Fellow subsidiary
 
 KSK Energy Resources 
 Private Limited                    Fellow subsidiary
 
 KSK EnergyCompany Priyate Limited  Fellow subsidiary
 
 KSK Investment Advisor 
 Private Limited                    Fellow subsidiary
 
 KSK Surya Photovaltaic 
 Venture Private Limited            Fellow subsidiary
 
 c.  Key Management Personnel as on March 31, 2009
 
 Name                                   Relationship
 
 Mr.S. Kishore                      Wholetime Director
 
 Mr. K.A. Sastry                    Wholetime Director
 
 Mr. Tanmay Das1                    Director
 Mr. K. B. Raju                     Wholetime Director
 
 Part of the year
 
 3.  The Company has only one geographical and business segment,
 Project development. Accordingly, pursuant to the clarification
 issued by the ICAI, no segment disclosure has been made in these
 financial statements.
 
 4.  During the year, the company has invested Rs.157.25 for acquiring
 2,700,000 Ordinary Shares of GBP 1 each of KSK Emerging India Energy
 Fund Limited. However, due to global recession and internal problems
 faced by shareholders of KSK Emerging India Energy Fund Limited, the
 members of fund decided to liquidate the fund. The resolution to wind
 up the fund was passed by shareholders, mainly hedge funds, at an
 extraordinary general meeting held in the Channel Islands on January
 22, 2009. As part of the liquidation of the fund, the Company received
 an amount of Rs.98.89 on March 19, 2009 towards the part settlement and
 the same has been disclosed under current liabilities.
 
 5.  The Company has reclassified the investments made in Gujarat
 Mineral Development Corporation Limited and Bank of India from current
 investments to long term investments from October 1, 2008.
 
 As per AS 13 - Accounting for Investments, where investments are
 reclassified from current to long-term, transfers are made at lower of
 cost and fair value at the date of transfer. On the date of
 re-classification the cost of the investments is lower than the fair
 value (price as per NSE) and therefore the investments are transferred
 at cost.
 
 6.  Previous years figures have been regrouped and reclassified
 wherever necessary to conform to the current years classification.