(Rs. in Lakh)
As at 30th As at 30th
June, 2010 June, 2009
1. Estimated amount of contracts
remaining to be executed on Capital
Account 278.63 1,371.16
(net of advances) and not provided for
2. Contingent Liabilities not provided
for in respect of :-
(a) Demands / Claims by various
Government Authorities and others
not acknowledged as debts:
(i) Excise Duty & Service Tax 2,035.65 705.71
(ii) Sales & Entry Tax 110.96 156.41
(iii) Duty under State Acts 155.05 230.18
(iv) Others 124.26 56.41
Total 2,425.92 1148.71
(b) (i) Guarantees given to a bank
against loans to cane growers 5,000.00 4,000.00
(ii) Against the above, the loan
facilities actually availed as on
the Balance Sheet date 4,773.95 3,047.93
(c) Unredeemed bank guarantees 0.96 0.96
(d) Bills discounted with banks
[since realized Rs. Nil
(Rs. 81.00 Lakh)] 92.91 176.00
3. Excise Duty & Cess on sales has been reduced from sales in Profit
& Loss account and Excise Duty & Cess on increase / decrease in stocks
has been considered as income / expenses in Profit & Loss Account.
4. Pending disposal of writs/appeals by the court with regard to levy
sugar prices for some years, Rs. 79.41 Lakh (net) received as excess
levy sugar price, against which bank guarantees furnished by the
Company for Rs. 83.79 Lakh, are in force in terms of the Court Orders,
is included under the head Current Liabilities. Necessary adjustment
for the above amount together with interest, if any, in this regard
will be made in the accounts as and when the matter will be finally
settled.
5. Pending decisions of various courts on writ petitions filed by /
against the Company, no credit has been taken in the Profit and Loss
Account in respect of certain realizations aggregating to Rs. 52.05
Lakh in earlier years, which continue to be shown under the head
Liabilities for other Finance in Schedule – 12. Against the above, fi
-xed deposit receipts / bank guarantees for similar amount have been
furnished by the Company.
6. In view of the interim order dated 8th September 2008 of the Honble
Supreme Court, the Company for its Hargaon and Rosa Sugar units in
Uttar Pradesh has continued the provision towards Sugarcane purchases
made during the year 2007-08 @ Rs. 110 per quintal as against the State
Advised Price (SAP) of Rs. 125 per quintal. Pending fi nal decision by
the Honble Supreme Court in this matter, the differential price of Rs.
2422.74 Lakh between SAP and the amount already provided, as stated
above, has not been accounted for.
Although, there is carried forward unabsorbed depreciation and business
loss as on the Balance Sheet date, yet in view of the future profi
tability projections, the Company is virtually certain that there would
be suffi cient taxable income in future, to claim the above Tax credit.
(b) Minimum Alternative Tax (MAT) Credit Entitlement of Rs. 836.59 Lakh
carried forward from earlier years in books of accounts have been
reversed in the current year in terms of Accounting Policy No. 1 (xiii)
stated above.
7. a) Pending execution of the conveyance deed, no adjustment has been
made in respect of 0.75 acre of land sold by the Company in earlier
years.
b) An application filed by the Company for exemption of 3785.19 sq.
mtrs. of land at Bamrauli under the Urban Land (Ceiling and Regulation)
Act, 1976, is pending with the concerned authority.
8. A civil suit is pending against the Companys sugar unit at Dhadha
Bujurg (Hata), which is already in operation. The Company has been
legally advised that the said civil suit is not tenable as per law.
9. The Company has a defi ned benefit gratuity plan. Every employee
who has completed fi ve years or more of service is entitled to
Gratuity on terms as per provisions of The Payment of Gratuity Act,
1972. The Company has got an approved gratuity fund which has taken an
insurance policy with Life Insurance Corporation of India (LIC) to
cover the gratuity liabilities.
10. The company has raised Rs.1704.45 Lakh (including securities
premium Rs. 1304.62 Lakh) by allotment of 39,98,240 equity shares of
Rs. 10 each on conversion of detachable warrants issued in term of
Letter of Offer dated 17th July, 2008 at a premium of Rs. 32.63 per
equity share during the year and has utilised the proceeds of the issue
for repayment of a part of the working capital borrowings.
11. (a) Salaries and Wages relating to various repairs have not been
charged separately to the repairs, as the amount thereof has not been
demarcated.
(b) Consumption of raw materials, stores, spare parts and packing
materials includes profit/loss on sale thereof.
12. Salary & Wages includes Rs. 53.92 Lakh in respect of earlier year
on account of increase in wages with retrospective effect from 1st
October,2008 in terms of wage Board award / order received during the
year.
13. Previous years figures including those given in brackets have
been regrouped and / or rearranged, wherever necessary. |