(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.