During the year no remuneration has been paid to Non-Executive
 Directors except for the sitting fees of Rs 45,000/- (Previous 
 Year Rs 52,500/-).
 
 ii) In the opinion of the Board and to the best of its knowledge, the
 value of realization of current assets, loans and advances in the
 ordinary course of business would not be less than the amount at which
 they have been stated in the Balance Sheet.
 
 iii) The assessment of the Company in respect of Income Tax & Wealth
 Tax is completed up to Assessment Year 2007-2008.
 
 iv) The Company in the year 2003, entered into an agreement with
 Liberty Enterprises and Liberty Group Marketing Division for taking
 over their footwear business on franchise basis and with Liberty
 Footwear Co. for use of Liberty trademark on exclusive basis for an
 initial period of 7 years with automatic extension for further period
 of 3 years/with mutual consent of the parties respectively. The
 footwear business as defined in the agreement include Fixed Assets,
 intellectual Properties, Know-how and Distribution Network etc. of the
 two Partnership Firms. Under the terms of the agreements, no ownership
 of assets, tangible or intangible, has been transferred to the Company.
 During the year, in terms of the agreements and in conformity with the
 requisite approvals of the Central Govt, the Company has made the
 payments (including provisions) amounting to Rs 6,00,00,000/- (Previous
 year  Rs 6,00,00,000), Rs 7,00,00,000/- (Previous year Rs 7,00,00,000/-)
 and Rs 3,37,50,000/- (Previous year Rs 3,22,50,000/-) respectively. In
 terms of the respective agreements, the same have been renewed for the
 further period of 3 years.  Further while deciding on the dispute
 amongst the Partners of Liberty Enterprises as regards to the aforesaid
 franchise agreement, the learned arbitrator confirmed the Companys
 stand by holding that the arbitrational verdict will not be having any
 impact on the Company as regards to such arrangements being not a party
 to the dispute. Moreover Liberty Enterprises in addition to their
 confirmation to the agreement has also informed that on certain legal
 issues its affected partners are filing their objections before the
 appropriate authority and seeking order for setting aside of such
 award. Considering the same, the Company is also contemplating legal
 opinion for taking appropriate action, if required.
 
 v) Interest to others include, Rs 93,14,647/- (Previous year Rs
 1,01,22,198/-) against short term loan @ 12% p.a. from M/s Geofin
 Investments Pvt. Ltd.
 
 vi) During the year the Company has capitalized the borrowing cost of
 Rs Nil (Previous year Rs Nil) as part of the cost of the qualifying
 assets.
 
 vii) The Company has paid the excise duty amounting to Rs 5,44,61,762/-
 (Previous year Rs 7,08,28,579/-) against the sales executed during the
 year.
 
 Also the Company has made the provision of excise duty of Rs
 1,22,50,886/- (Previous Year Rs 1,02,48,087/-) against finished goods
 lying in stocks as on 31st March, 2010 and the difference
 
 of two has been recognised separately in the Profit & Loss Account.
 
 viii) Fixed Deposit receipts (including accrued interest) for value of
 Rs 3,07,37,476/- (Previous year Rs 4,03,82,573/-), appearing under head
 Cash & Bank Balances, are under lien with Banks/ respective
 authorities for issuance of bank guarantees/ letters of credits and as
 earnest money.
 
 ix) Under the Focus Product Scheme of Director General of Foreign
 Trade, Government of India, during the year, the Company has received
 an incentive of Rs 51,99,800/- (Previous year Rs 46,42,225/-) for
 foreign exchange realized against exports made during the financial
 years 2007-08, 2008-09 & 2009-10 and the profits of the Company for the
 year are higher to that extent.
 
 x) Till date the Company, out of the leasehold land comprising 42.29
 acres with validity till 12th December 2008, has purchased 31.36 acres
 of land at Libertypuram. Out of the purchased land, 27.02 acres of land
 have been got registered in the name of the Company and the Company is
 in process of getting the necessary compliances done for the balance.
 The validity of the lease deed for 0.75 acres of land, belonging to
 promoter, has been got extended for mutually agreed terms.
 
 xi) To further strengthen the organized retailing and to promote its
 own retail initiatives directly and through its Subsidiary Company M/s
 Liberty Retail Revolutions Ltd., during the year, the Company under its
 retail sales promotion policy has borne the cost of retail stores on
 account of rental and maintenance charges by suitably reducing the
 retailers margins against its sales. The same have been booked under
 the account head Sales Promotion Expenses.
 
 xii) The Company has not received any memorandum (as required to be
 filed by the suppliers with the notified authority under the Micro,
 Small & Medium Enterprise Development Act, 2006) claiming their status
 as on 31st March, 2010 as Micro, Small or Medium Enterprise.
 Consequently the amount paid/payable to these parties during the year
 is nil.
 
 xiii) Contingent Liabilities
 
 (Amount in Rs)
 
 Particulars                                   2009-10        2008-09
 
 I) Bank Guarantees issued on behalf of 
    the Company submitted with
    various                                2,31,68,160    1,96,86,114 
    institutional customers in terms of
    their orders.
 
 II) Excise Duty1 for the financial year 
     1994-95 &1995-96. CESTAT has
     decided this                          2,78,31,534    2,78,31,534 
     particular matter in favour of the
     Company but the department has 
     preferred
     their appeal with the Honble 
     Supreme Court.
 
 III) On account of disallowance of 
      legitimate credit of CENVAT 
      against Excise Duty/                 3,55,81,366    3,55,06,657 
      Education Cess for the period 
      from November 2004 to June 2005, 
      May 2006 to June 2006, Financial 
      year 2002-03 and 2004-05. CESTAT 
      while admitting Companys appeal 
      directed to deposit Rs 39.00 Lacs 
      under protest and has granted 
      stay.
 
 IV)  Service Tax for Financial year 
      2002-03 on service received from
      outside India prior to                  1,24,536              - 
      the applicability of the related 
      law.
 
 V)   Invoice Funding facility.            4,43,63,581              -
 
 VI)  Counter Guarantee given to banks 
      for securing working capital
      limits of retail                    10,88,00,000   14,80,00,000 
      subsidiary and joint venture
      Company2.
 
 VII) Income Tax on account of routine 
      assessment for the assessment
                                             35,03,426      55,68,874 
      years 1998-99,2003-04.
 
 VIII) Income Tax for the assessment 
       year 2002-03, 2003-04 and 2004-05
       on account of                         17,86,599      17,86,599 
       reduction in amount of 
       deduction u/s 80HHC in terms of 
       Taxation Law Amendment
       Bill, 2005.
 
 IX)   Value Added Tax3 for the 
       financial year 2005-06, 2006-07 
       and 2007-08 on account              2,96,02,499    2,96,02,499 
       of classification of goods
       at different rate of tax.
 
 X)    Service Tax4 penalty for non-
       payment of service tax on 
       commission paid against                       -       1,36,446 
       exports for the period for 
       which the Company was not 
       legally liable to pay under the 
       provisions of the applicable 
       law.
 
 XI)   Due to some administrative 
       compliance relating to EPCG 
       licenses for which                  4,42,00,783    4,42,00,783 
       the Company has fulfilled its 
       export obligation.
 
 On the basis of indemnifying clause under the agreement with the two
 Partnership Firms whose business has been available to the Company on
 franchise basis, the Company has given its undertaking to the Excise
 Department to pay the liabilities, if any arises, relating to the
 period prior to the date of the agreement.
 
 includes the corporate guarantee for Rs 5,88,00,000/- (Previous year
 Rs9,80,00,000/-) given on behalf of joint venture company. However, the
 Company is in process of getting the same vacated.
 
 3Including amount deposited under protest Rs60,90,487/- (Previous year
 Rs 55,90,487/-).
 
 Including amount deposited under protest Rs Nil (Previous year Rs
 1,36,446/-)
 
 xiv) Capital commitments not provided for are estimated at Rs Nil
 (Previous year Rs 50/- Lacs).
 
 xv) Provision for doubtful debts: During the year the Company has
 considered debts for Rs 3,15,58,132/- (Previous year Rs3,55,20,855/-)
 as doubtful debts and made the provision accordingly. Also during the
 year considering the un-recoverability of some of the doubtful debts,
 the Company has withdrawn Rs 3,03,37,030/- (Previous year Nil) out of
 the provisions made in the earlier years for the same and written off
 the bad debts (net) for Rs 2,96,31,364/-. Differential of the provision
 made and amount withdrawn during the year, detailed as under, has been
 charged to Profit & Loss Account for the year and the balance has been
 carried in the balance sheet:
 
 xvi) The Board of Directors of the Company considers and maintains
 Footwear as the only business segment of the Company.
 
 xviii) Related Party Transactions
 
 The Company has made the following transactions with related parties as
 defined under the provisions of Accounting Standard 18 issued by
 Institute of Chartered Accountants of India.  A) Transactions between
 the Company and related parties and the status of outstanding balances
 as at 31st March, 2010:
 
 xx) For the current year Deferred Tax asset and liability has been
 calculated after considering the timing differences of Rs 1,66,38,968/-
 (Previous year Rs1,66,36,198/-) and Rs Nil (Previous year Rs
 2,01,800/-) respectively on account of depreciation and expenses
 written off.
 
 xxi) There are no dues payable to the Investor Education and Protection
 Fund as at 31 st March, 2010.
 
 xxii) Previous year figures have been regrouped/ re-arranged wherever
 necessary. The current year and previous year figures have been rounded
 off to the nearest rupees.