The Directors have pleasure in presenting herewith their Twenty
 Seventh Annual Report on the activities of your Company during the year
 ended 31 March 2011.
 
 FINANCIAL RESULTS
 
                                    2010-2011           2009-2010
                                   (Rs. Lacs)          (Rs. Lacs)
 
 Net Revenue                         2,839.81            8,283.84
 
 Profit/(Loss) before 
 Depreciation                      (1,283.72)               97.98
 
 Depreciation                          269.81              277.30
 
 Profit/ (Loss) before 
 Taxation                          (1,553.53)            (179.32)
 
 Provision for Taxation               (45.88)                3.02 
 (on account of deferred tax 
 and Wealth Tax)
 
 Profit/(Loss) after 
 Taxation                          (1,507.65)            (182.34)
 
 Prior period income                   219.15               19.71 
 
 Surplus in Profit & Loss 
 account brought forward 
 from previous years                 1,326.58            1,737.09
 
 Balance for appropriations             38.08            1,574.46
 
 APPROPRIATIONS
 
 To General Reserve                       Nil               30.00 
 
 To Dividend - Nil
 (previous year-20%)                      Nil              186.85
 
 To Dividend Tax on 
 Dividend                                 Nil               31.03
 
 Surplus in Profit 
 and Loss Account                       38.08            1,326.58
 
 PERFORMANCE
 
 During the year under review,
 
 - in order to augment the inherent strength, also in terms of financial
 valuation, the Company launched its own cost-effective products, to
 substitute products of other suppliers;
 
 - the unblemished reputation garnered in the past with the Customers,
 more particularly in terms of meeting quality standards, delivery
 efficiency and support systems, provided the requisite impetus and
 platform for implementing the above;
 
 - the gestation period for obtaining requisite technical / statutory
 approvals and completion of field-trials for these new products took a
 longer period than expected;
 
 - the shadow of global economic recession continued to haunt the market
 during the initial period of the year;
 
 - all these led to considerable reduction in revenues and consequent
 losses.
 
 DIVIDEND
 
 In the scenario detailed above, in order to conserve the much- needed
 financial resources, no dividend has been recommended by your Directors
 for the year under review.  Your Directo are confident of receiving
 your whole-hearted support for this proposal.
 
 PROSPECTS & OUTLOOK
 
 - Continuing its business activities in the space of Communication and
 Networking, which has immense potential within and outside the Country,
 your Company is hopeful that the reduction in revenue and consequent
 losses will only be a temporary phenomenon, and looks forward to
 achieving increased revenue and profits in the coming years.
 
 - Your Company is confident that such an action of promoting its own
 products shall, in the long-run, add immense value to the shareholders
 at large, in terms of enhanced visibility, expanded market potential
 and enlarge inherent strength, also in terms of financial valuation.
 
 - With the market presently showing clear and positive signs of
 picking-up, more with implementation of innovative technology, advent
 of 3G and National Broadband Policy, the business during the coming
 years is expected to increase.
 
 FINANCE
 
 During the year under review,
 
 - Despite loss as reflected in these accounts, your company continued
 to retain its debt-free status;
 
 - a portion of cash reserves in the form of Fixed Deposits had to be
 utilized to meet the operational needs;
 
 - your Management continues to implement austerity measures, wherever
 possible, to reduce overhead expenditure;
 
 - your Directors place on record their sincere appreciation of the
 assistance, guidance, co-operation and whole- hearted support received
 from your companys employees and bankers.
 
 JOINT VENTURE
 
 As reported in prior year/s, the activities in the JV Company viz.,
 RAD-MRO Manufacturing Private Limited, Bangalore, were suspended from
 November 2007. The Company now awaits procedural completion of
 requisite legal formalities, such as Income Tax Assessments for prior
 year/s, soon after which, further actions for (members voluntary)
 winding-up of this JV company will be initiated. Every step is being
 taken to expedite the same.
 
 HUMAN RESOURCES & INDUSTRIAL RELATIONS
 
 Your company continues its endeavor to attract the best available
 talents in the industry, recognize, register and retain the
 most-valuable human power.
 
 During the year under review, There were no employees in the Company
 drawing a remuneration in excess of Rs 5 lacs per month or Rs 60 lacs
 per annum, as stipulated under section 217(2A) of the Companies Act,
 1956, read with the Companies (Particulars of Employees) Rules, 1975,
 as recently amended.
 
 INTERNAL CONTROL SYSTEMS & THEIR ADEQUACY
 
 Your company remains committed to maintain, high standards of internal
 control designed to provide adequate assurance on the efficiency of
 operations and security of
 
 its assets. The adequacy and effectiveness of the internal control
 across various activities, as well as compliance with laid-down systems
 and policies are comprehensively and frequently monitored by your
 Companys management at all levels of the organization. The Audit
 Committee, which meets at-least four times a year, actively reviews
 internal control systems as well as financial disclosures.
 
 CONSERVATION OF ENERGY
 
 Your Company is duly certified under ISO 14001:2004 (Environment
 Management System) and is committed to go green revolution. Every
 possible effort is made/ introduced to conserve and avoid wastage of
 energy.
 
 Adequate facilities have been installed, for rain water harvesting,
 recycling of used water, solar-powered energy and maximum usage of
 natural lighting and ventilation, thus implementing GO GREEN POLICY in
 its total spirit.
 
 RESEARCH & DEVELOPMENT
 
 During the year, the efforts of in-house R&D division was successful in
 securing a Patent, to one of its in-house developed products Power
 over Ethernet Switch. Efforts continue to develop more cost effective,
 new technology niche products.
 
 During the year an amount of Rs.2.87 lacs (Prev. year- Rs. 1.03 lacs)
 was incurred towards Capital Expenditure.  On revenue account, an
 amount of Rs.344.50 lacs (Prev.  year- Rs. 349.43 lacs) has been
 expended and absorbed in these accounts, in accordance with the
 attending accounting standards.
 
 TECHNOLOGY ABSORPTION
 
 The in-house technical and commercial teams consistently engage
 themselves in their endeavor to indigenize technology and components,
 as well as implementation of value-engineering and cost-saving methods.
 
 FOREIGN EXCHANGE EARNINGS AND OUTGO
 
 Development of overseas market for the products of your Company, as
 also development of products required for the overseas market, is
 progressing satisfactorily. Efforts also continue to minimize foreign
 exchange outflow by the process of indigenization.
 
 Full details of foreign exchange earnings and expenditure are furnished
 under note no. 19 and 20 of Notes on Accounts.
 
 CORPORATE GOVERNANCE
 
 A detailed compliance note on Corporate Governance, as required under
 the provisions in the listing agreement with the Stock Exchanges,
 together with the certificate of Statutory Auditors thereon, is
 attached to this report.
 
 MANAGEMENT DISCUSSION AND ANALYSIS
 
 As requisite and appropriate Management Discussion & Analysis is
 covered under this Report itself, a separate note on the same is not
 being furnished.
 
 DIRECTORS
 
 R Rajagopalan and A Mohan Rao, Directors, retire by rotation at this
 meeting, and being eligible, offers themselves for re-appointment.
 
 AUDITORS
 
 M/s. Narayanan, Patil & Ramesh, Chartered Accountants, Bangalore,
 retire as Statutory Auditors at the conclusion of this Annual General
 Meeting. Being eligible for re- appointment, your Directors recommend
 the same for your consideration.
 
 ACKNOWLEDGEMENTS
 
 Your Directors place on record their sincere gratitude to the steadfast
 patronage of the valued Customers and Vendors. Your Directors also
 place on record, their sincere appreciation of the dedication and
 commitment of the employees at all levels, who have together stood
 firmly with your Company during this challenging time.
 
 Your Directors wish to register their acknowledgement and appreciation
 for the timely support and co-operation being extended by the Banks and
 all their officials.
 
 DIRECTORS RESPONSIBILITY STATEMENT
 
 As required under Section 217(2AA) of Companies Act, 1956, your
 Directors hereby confirm that
 
 - in the preparation of these annual accounts, the applicable
 accounting standards have been followed and no material departures have
 been made from the same;
 
 - they have selected such accounting policies and applied them
 consistently and made judgements and estimates that are reasonable and
 prudent 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 of the loss for that
 period;
 
 - they have taken proper and sufficient care for the maintenance of
 adequate accounting records in accordance with the provisions of the
 Companies Act, 1956 for safeguarding the assets of the Company and, for
 preventing and detecting fraud and other irregularities;
 
 - they have prepared annual accounts on a going concern basis.
 
                            for & on behalf of the Board of Directors
 
                                                         S. Narayanan
 
                                         Chairman & Managing Director
 
 Place : Bangalore 
 
 Date : 18 May 2011