1.1 Basis of Accounting and Preparation of Financial Statements
 
 The financial statements of the Company have been prepared in
 accordance with the Generally Accepted Accounting Principles in India
 (GAAP) to comply with the Accounting Standards notified under the
 Companies (Accounting Standards) Rules, 2006 (as amended) and the
 relevant provisions of Companies Act, 1956. The financial statements
 have been prepared on accrual basis under historical convention. The
 accounting policies adopted in the preparation of the financial
 statements are consistent with those followed in the previous year.
 
 1.2 Use of Estimates
 
 The Preparation of financial statements in conformity with GAAP
 requires management to make estimates and assumptions considered in the
 reported amounts of assets and liabilities (including contingent
 liabilities) and the reported income and expenses during the year. The
 Management believes that the estimates used in preparation of financial
 statements are prudent and reasonable. Future results could differ due
 to these estimates and the difference between the actual results and
 the estimates are recognized in the periods in which the results are
 known / materialise.
 
 1.3 Fixed Assets
 
 Fixed assets are carried at cost of acquisition less accumulated
 depreciation and impairment losses, if any.
 
 1.4 Depreciation and Amortisation
 
 Depreciation on fixed assets has been provided on written down value
 method as per the rates and in the manner prescribed in Schedule XIV to
 the Companies Act, 1956.
 
 1.5 Borrowing Costs
 
 a) Borrowing costs specifically for the purpose of acquisition and
 construction of qualifying assets that are directly attributable to the
 qualifying asset, is capitalized as part of the cost of the asset.
 
 B) Borrowing costs not attributable to the acquisition of any
 qualifying asset are recognised as expense in the period in which they
 are incurred.
 
 1.6 Impairment of Assets
 
 The carrying value of assets, other than inventory, is reviewed at each
 balance sheet date for impairment. If any indication of impairment
 exists, the recoverable amount of such assets is estimated and
 impairment is recognised whenever the carrying amount of an asset
 exceeds its recoverable amount.
 
 1.7 Investments
 
 Long-term investments are carried individually at cost less provision
 for diminution, other than temporary, in the value of such investments.
 
 1.8 Inventories
 
 Inventories are valued at the lower of cost and the net realisable
 value after providing other losses, wherever considered necessary.
 Property and infrastructure development projects under development are
 valued at cost. Cost includes direct development expenditure, borrowing
 cost, appropriate overheads and all charges in bringing the inventory
 to the point of sale.
 
 1.9 Foreign Currency Transactions
 
 Foreign currency transactions are recorded using the exchange rates
 prevailing on the date of the respective transactions. Exchange
 difference arising on foreign currency transactions settled during the
 year is recognized in the profit and loss account.
 
 Monetary assets and liabilities denominated in foreign currencies as at
 the balance sheet date, not covered by forwarded exchange contracts are
 translated at year-end rates. The resultant exchange difference is
 recognized in the profit and loss account. Non-monetary assets are
 recorded at the rates prevailing on the date of the transaction.
 
 1.10 Revenue Recognition
 
 i.  On property and infrastructure development projects
 
 a) Recognized on the ''Percentage of Completion Method'' of accounting.
 Revenue comprises the aggregate amounts of sale price in terms of the
 agreements entered into and is recognized on the basis of percentage of
 actual costs incurred thereon, including proportionate land cost and
 total estimated cost of the projects under execution, subject to such
 actual costs being 30 percent or more of the total estimated cost.
 
 b) Where aggregate of the payment received provide insufficient
 evidence of buyers commitment to make the complete payment, revenue is
 recognized only to the extent of realization.
 
 c) The estimates of the saleable areas and costs are reviewed
 periodically by the management and any effect of changes in estimates
 is recognized in the period such changes are determined. However, when
 the total project cost is estimated to exceed total revenues from the
 project, the loss is recognized immediately.
 
 ii.  On construction contracts (undertaken as contractors) the Company
 follows percentage completion method for accounting of construction
 contracts undertaken.
 
 iii. Price escalation is carried out in the year of settlement of
 claims/bills
 
 iv.  Rent Receipts are recognized on accrual basis.
 
 v.  Interest on deployment of funds is recognised using the
 time-proportion method, based on interest rates implicit in the
 transaction.
 
 vi.  Property management services are recognised on rendering services
 and billing thereof.
 
 vii. Dividend income is accounted when the right to receive dividend is
 established.
 
 1.11 Revenue Receipts on Joint Venture Contracts
 
 In work sharing joint venture agreements revenues, expenses, assets and
 liabilities are accounted in the Company''s books to the extent work is
 executed by the Company.
 
 1.12 Income Tax
 
 a) Current tax is the amount of tax payable on the taxable income for
 the year as determined in accordance with the provisions of the Income
 Tax Act, 1961.
 
 b) Minium Alternate Tax (MAT) paid in accordance with the tax laws,
 which gives future economic benefits in the form of adjustment to
 future income tax liability, is considered as an asset if there is
 convincing evidence that the Company will pay normal income tax.
 Accordingly,
 
 MAT is recognized as an asset in the Balance sheet when it is probable
 that future economic benefit associated with it will flow to the
 Company.
 
 c) Deferred tax is recognized on timing differences being the
 differences between taxable income and accounting income that originate
 in one period and are capable of reversal in one or more subsequent
 periods. Deferred tax is measured using the tax rates and the tax laws
 enacted as at the reporting date. Deferred tax liabilities are
 recognized for all timing differences. Deferred tax assets in respect
 of unabsorbed depreciation and carry forward losses are recognized only
 if there is virtual certainity that there will be sufficient future
 taxable income available to realize such assets.
 
 1.13 Employee Benefits
 
 i.  Short Term Employee Benefits:
 
 All employees'' benefits payable wholly within twelve months of
 rendering the service are classified as short term employee benefits
 and they are recognized in the period in which the employee renders the
 related service.
 
 ii.  Long Term and Post-employment benefits:
 
 a) Defined Contribution Plans
 
 Defined contribution plans are post employment benefit plans under
 which the Company pays fixed contributions into separate entities
 (funds) or to financial institutions or state managed benefit schemes.
 The Company contributions to defined contribution plans are recognized
 in the Statement of Profit and Loss in the financial year to which they
 relate.  The Company makes specified monthly contributions towards
 Employee Provident Fund Scheme and Employee State Insurance Scheme.
 
 b) Defined Benefit Obligation
 
 Gratuity liability is defined obligation and is provided for on the
 basis of an actuarial valuation on Projected Unit Credit method made at
 the end of each financial year.
 
 1.14 Earning Per Share (EPS)
 
 In arriving at the EPS, the Company''s net profit after tax, computed in
 terms of the GAAP, is divided by the weighted average number of equity
 shares outstanding on the last day of the reporting period. The EPS
 thus arrived at is known as ''Basic EPS''. To arrive at the diluted EPS
 the net profit after tax, referred above, is divided by the weighted
 average number of equity shares, as computed above and the weighted
 average number of equity shares that could have been issued on
 conversion of shares having potential dilutive effect subject to the
 terms of issue of those potential shares. The date/s of issue of such
 potential shares determine the amount of the weighted average number
 potential equity shares.
 
 1.15 Prior Period Items
 
 Prior period items are included in the respective heads of account and
 material items are disclosed by way of notes to accounts.
 
 1.16 Provisions and contingent liabilities
 
 The Company creates a provision when there is a present obligation as a
 result of past event that probably requires an out flow of resources
 and a reliable estimate can be made of the amount of the obligation. A
 disclosure for a contingency liability as made when there is a possible
 obligation or a present obligation that may, but probability will not,
 require an outflow of resources. Where there is possible obligation or
 a present obligation in respect of which the likely hood of outflow of
 resources is remote, no provision or disclosure is made.
 
 Provision for onerous contracts, i.e. contracts where the expected
 unavoidable costs of meeting the obligation under the contact exceeds
 the economic benefits expected to be received under it, are recognized
 when it is probable that an outflow of resources embodying economic
 benefits will be required to settle a present obligation as a result of
 an obligating event, based on reliable estimate of such obligation.
 
 1.17 Leases
 
 Operating lease payments are recognized as an expense in the profit and
 loss account on the basis of lease agreement.
 
 1.18 Cash Flow Statement
 
 Cash flows are reported ausing the indirect method, whereby profit /
 (loss) before tax is adjusted for the effects of transactions of
 non-cash nature and any deferrals or accruals of past or future cash
 receipts or payments. The cash flows from operating, investing and
 financing activities of the Company are segregated based on available
 information.
 
 1.19 Service Tax Input Credit
 
 Service tax input credit is accounted for in the books in the period in
 which the underlying service received is accounted and when there is no
 uncertainty in availing / utilizing the credits.