1.  Amalgamation
 
 The scheme of amalgamation of Balaji Tirupati Buildcon Ltd.
 (Amalgamated Company) with MVL Ltd. was approved by the Hon''ble High
 Court of Delhi on 8th October 2010. However the effective date of the
 said scheme is 12th January 2011. Assets and Liabilities of the
 amalgamated company were line-wise merged during the year, as a result
 of which: -
 
 a) Authorized capital of the company increased from 70,00,00,000 to
 73,00,00,000 equity share of Rs. 1/- each.
 
 b) Issued, subscribed and paid up capital increased from 53,42,43,200
 to 60,12,43,200 equity shares of Rs. 1/- each - representing
 6,70,00,000 equity shares of Rs. 1 each issued to the existing
 shareholders of the amalgamated company.
 
 c) Net debit balance of Rs. 6,03,18,042/- on account of amalgamation
 adjustments in respect of reserves and surplus, debit balance of profit
 and loss account, goodwill and deferred tax assets taken over was
 adjusted out of reserves and surplus of the amalgamated company.
 
 d) Other assets and liabilities of the amalgamated company were merged
 with the assets and liabilities of the amalgamating company.
 
 2.  Previous year figures have been regrouped and rearranged, wherever
 necessary.
 
 3.  Some of the Debit and credit balances of Sundry Debtors,
 Creditors, Loans, advances & deposits are subject to confirmation and
 consequent adjustment if any arising from reconciliation. The
 Management however is of the view that there will be no material
 adjustments in this regard.
 
 4.  Determination of Revenues under ''Percentage of Completion
 Method'' necessarily involves making estimates by management for
 percentage of completion, cost to completion, revenues expected from
 projects, and foreseeable losses. These estimates being of technical
 nature have been relied upon by the auditors as per management
 representations.
 
 5.  In the opinion of Directors, the current assets, loans and
 advances have value on realization in the ordinary course of business
 at least equal to the value at which they are stated in the forgoing
 Balance Sheet.
 
 6.  There are no micro and small enterprises, to whom the company owes
 sums, which are outstanding for more than 45 days as at 31st December
 2011. This information as required to be disclosed under the Micro,
 Small and Medium Enterprises Development Act. 2006 has been determined
 (to the extent such parties have been identified) on the basis of
 information available with the company, further no interest during the
 year has been paid or is payable under the terms of the Act.
 
 7.  Segment Reporting
 
 Segments are being indentified on the basis of dominant source and
 nature of risks and returns. Industry segments of the company w.e.f.
 July 2011, are primarily Real Estate & Hospitality Sector.
 
 Operations of Hospitality Sector commenced from July 2011, there is no
 revenue for the year. Expenses directly related to the said sector
 during the year are capitalized as work in progress. All other income,
 direct expenses, fixed and other assets and liabilities in relation
 each segment are categorized based on items that are individually
 identifiable to that segment.  Unallocated item, if any, is grouped as
 Unallocated.
 
 8.  As per the best estimate of the Management, no provision is
 required to be made in terms of Accounting Standard (AS)- 29, in
 respect of any present obligation as a result of past event that could
 lead to a probable outflow of resource which would be required to
 settle the obligation.
 
 9.  Liability for labour cess payable for projects in the States of
 Rajasthan and Haryana could not be ascertained in the absence of
 clarification and legal opinion sought in respect of applicable date
 and applicability on completed projects. Meanwhile the company has paid
 Rs. 32,63,216/- towards labour cess during the year as per its own
 estimate of amount due.