1. CONTINGENT LIABILITIES
 
 a.  Estimated amount of liability on capital contracts as on 31st March
 2011 is Rs. 3.06 Crores (Previous year Rs. 6.99 Crores)
 
 b.  Corporate Guarantees given to Banks in respect of loans taken by
 other Companies : Rs. 2277.16 Crores (Previous year Rs. 2017.10 Crores)
 
 c.  Corporate Guarantees given to Banks in respect of performance bank
 guarantees issued by them: Rs. 126.56 Crores (Previous year Rs. 60.65
 Crores)
 
 d.  The company has imported capital goods at concessional rate of
 customs duty under the Export Promotion Credit Guarantee (EPCG) scheme
 against submission of bank guarantees. In terms of the scheme, the
 company is obliged to export goods/services of certain FOB value as
 specified in the said scheme. As at the year end, the company has the
 following unfulfilled export obligations under the scheme:
 
                                                (Rs. in crores)
  
            As at               As at          Due date of Obligation
 
        31st Mar 2011        31st Mar 2010
 
 Duty saved      Export 
              obligation  Duty saved    Export 
                                      obligation
 
 0.14            1.14         0.14      1.14          17-Feb-12
 
 0.12            0.95         0.12      0.95           3-Jan-15
 
 0.14            1.11         0.14      1.11          27-Feb-15
 
 1.73           13.83          Nil       Nil          20-May-18
 
 0.31            2.47          Nil       Nil          20-May-18
 
 e.  Claims not acknowledged as debts by the Company: Rs. 1.02 Crores
 (Previous year Rs. 0.04 crore)
 
 f.  Income Tax Demand
 
 Tax on Income
 
                            Details of Demand (Rs.)
 
                            Amount Paid under Protest
 
 Assessment    Demand 
               Raised By     Till 31st 
                            March 2010    During 
                                         2010-11    Total   Forum Where
                                                            Dispute is
 Year            Dept.                                      Pending
 
 2001-02      16,785,003    16,879,719       -   16,879,719 Madras High 
                                                            Court
 
 2002 - 03     8,926,848     9,659,367       -    9,659,367    CIT
 
 2007-08       13,40,625     13,40,625       -    13,40,625 ITAT, Chennai
 
 2008-09       52,76,990             - 52,76,990  52,76,990 CIT(Appeal)
 
 Tax Deducted at Source
 
                            Details of Demand (Rs.)
 
                           Amount Paid under Protest
 
 Assessment       Demand 
               Raised By   Till 31st 
                          March 2010    During 
                                       2010-11       Total  Forum Where
                                                            Dispute is
  Year             Dept.                                    Pending
 
 1996 - 97      21,503         4,931        -        4,931   ITO - TDS
 
 1997 - 98   2,368,619     2,317,682        -    2,317,682   ITO - TDS
 
 1998 - 99   1,628,830       842,934        -      842,934   ITO - TDS
 
 1999 - 00   1,857,640       581,282        -      581,282   ITO - TDS
 
 2000 - 01     442,820        65,440        -       65,440   ITO - TDS
 
 2. DEFERRED TAX LIABILITY
 
 As per the Accounting Standard (AS-22) laid down by the Institute of
 Chartered Accountants of India, the Company is required to make a
 provision for deferred tax liability.
 
 3. The Company has not received information from vendors regarding
 their status under the Micro, Small and Medium Enterprises Development
 Act, 2006 and hence disclosures relating to amounts unpaid as at the
 year end together with interest paid / payable under this Act have not
 been given.
 
 4.  In the opinion of the Management, Current Assets, Loans & Advances
 have a value on realization equal to the amount at which they are
 stated in the Balance Sheet and provision for all known liabilities has
 been made.
 
 5. SEGMENT REPORTING
 
 As per Accounting Standard (AS) 17 on Segment Reporting, segment
 information has been provided under the Notes to Consolidated Financial
 Statements.
 
 6. RELATED PARTY DISCLOSURES
 
 A.  List of related parties, where control exists is given vide
 Annexure A
 
 B. Associates:
 
 The Company holds 39% shares in Rajakamanglam Thurai Fishing Harbour
 Private Limited.
 
 C.  Key Management Personnel (KMP)
 
 G R K Reddy-Chairman & Managing Director (CMD)
 
 D.  Relative of Key Management Personnel
 
 V P Rajini Reddy-Director and wife of the CMD
 
 G Raghava Reddy-Director and father of the CMD
 
 E.  Entities over which KMP and/or their relatives exercise control:
 
 i) Avinash Constructions Private Limited
 
 ii) Noble Habitat Private Limited
 
 iii) Jeevan Habitat Private Limited
 
 iv) Akshya Infrastructure Private Limited
 
 v) MARG Foundation
 
 vi) Swarnabhoomi Academic Institutions
 
 F.  Entities over which KMP and/or their relatives exercise significant
 influence:
 
 i) Exemplarr Worldwide Limited
 
 ii) MARG Digital Infrastructure Private Limited
 
 iii) MARG Realities Limited
 
 7.  NON CASH TRANSACTIONS
 
 During the year loan of Rs. 48.13 crore given to subsidiaries of the
 company was converted into Share application money.
 
 8.  QUALIFIED INSTITUTIONAL PLACEMENT (QIP) AND PREFERENTIAL ISSUE OF
 WARRANTS:
 
 - Consequent to Qualified Institutional Placement (QIP), the Company
 issued and allotted 56,31,648 Equity Shares of Rs. 10 each at a premium
 of Rs. 179.88 per share on 3rd May 2010 to Qualified Institutional
 Buyers (QIB) under Chapter VIII of SEBI''s Issue of Capital & Disclosure
 Regulations, 2009. The entire proceeds of Rs. 106.93 crores received
 under the QIP issue was utilized in 2010-11.
 
 - During 2009-10 the Company issued 67, 71, 619 warrants convertible
 into equity shares at the option of the holders, on preferential basis.
 Out of the above, the Company upon conversion of 15,62,100 warrants
 allotted equal number of 15,62,100 equity shares in 2009-10 and balance
 of 52,09,519 warrants were converted into equal number of 52,09,519
 equity shares in 2010-11 and the issue price of warrants convertible
 into equity shares was at ^10 each at a premium of Rs. 51 per share.
 This includes 49,00,000 equity shares allotted to the promoters. Out of
 the total Preferential warrant proceeds of Rs. 23.48 crores received
 during the year, the company utilized Rs. 23.83 crores in the year,
 including the balance carried forward from last year.
 
 c) During the year 69,390 equity shares were allotted to the employees
 who exercised the option.
 
 9. Operating Leases
 
 Cancelable Lease:
 
 Total rental charges under cancelable operating lease wasRs. 1.24crore
 and Rs.3.83 for the quarter and year ended 31 March 2011 respectively.
 (Previous year Rs. 0.42 crore and Rs. 1.98 crores)
 
 10.  In terms of approval granted by Ministry of Company Affairs,
 Government of India under Section 212(8) of the Companies Act, 1956, a
 copy of Balance Sheet, Profit & Loss Account, Report of Board of
 Directors and the Report of the Auditors of the Subsidiary Companies
 have not been attached with Annual Report of the Company. The Company
 will make available these documents and the related details upon
 request by any investor of the Company and its Subsidiary. These
 documents will also be available for inspection by any investor at the
 Registered Office of the Company at Marg Axis, 4/318, Rajiv Gandhi
 Salai, Kottivakkam, Chennai - 600 041.
 
 11.  Disclosure as required by clause 32 of listing agreement with
 stock exchanges for loans & advances given by the Company are given in
 Annexure A.
 
 12.  The activities of the company are not capable of being expressed
 in any generic unit and hence, it is not possible to give the
 quantitative details required under Paragraphs 3, 4C and 4D of Part II
 of Schedule VI of the Companies Act 1956.
 
 13.  Foreign Currency Exposures
 
 The Company does not use any derivative instruments to hedge its
 foreign currency exposures.
 
 14. Previous year''s figures have been regrouped / reclassified /
 rearranged wherever necessary to bring them in conformity with the
 current year figures.