Your Directors have great pleasure in presenting Annual Report together
 with the Audited accounts for the year ended March 31, 2005.
 
 FINANCIAL RESULTS:                            Year ended     Year ended
                                               31.03.2005     31.03.2004
                                              Rs. In Lacs    Rs. in Lacs
 
 Sales & Other Income                             2446.87        6836.53
 
 Net Profit after depreciation & taxation      [-] 140.54     [-] 168.13
 
 Balance Brought Forward                      [-] 2699.94    [-] 2531 81
 
 Balance Carried Forward                      [-] 2840.47    [-] 2699.94
 
 OPERATIONS:
 
 The Company has suffered loses in the current year mainly due to
 depreciation.
 
 The Company has leased out its Kareli and Chhindwara Plants and the
 same are being are operated by the lessee. The Company is making
 payments to the bank/institutions out of the lease rent income.
 
 The company has submitted a proposal for One-Time-Settlement of the
 dues with State Bank of India.
 
 DIVIDEND:
 
 Due to carry forward losses, your Board do not propose any Dividend for
 the year ended March 31, 2005.
 
 FIXED DEPOSITS:
 
 Your Company has not accepted any deposit within the meaning of section
 58A of the Companies Act, 1956 from Public and the rules made
 thereunder.
 
 BOARD OF DIRECTORS:
 
 As per the Provisions of the Companies Act, 1956 and in terms of the
 Articles of Association of the Company, Mr. Rajesh Jain, Director of
 the Company retire by rotation and being eligible, offer himself for
 re-appointment.
 
 AUDITORS OBSERVATIONS:
 
 The observations of the auditors contained in their Report are Self
 explanatory and further have been adequately dealt with in the Notes to
 the Accounts given in Schedule M which are self explanatory and
 further the Board hereby explains:
 
 PARTICULARS REGARDING CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND
 FOREIGN EXCHANGE EARNING AND OUTGO:
 
 The information pursuant to section 217 (I) (e) of the Companies Act,
 1956 read with the Companies ( Disclosure of particulars in the Report
 of Board of Directors ) Rules 1988 are not applicable to Company as the
 Company has not done any manufacturing activities during the year.
 
 PARTICULARS OF EMPLOYEES:
 
 None of the employees of the Company came within the purview of the
 information required u/s 217 (2A) of the Companies Act, 1956 read with
 the Companies (particulars of Employees) Rules, 1975 as amended.
 
 SAFETY, ENVIRONMENTAL CONTROL AND PROTECTION:
 
 The Company has taken all the necessary steps for safety and
 environmental control and protection at the plant.
 
 ACKNOWLEDGMENT:
 
 The Directors wish to convey their appreciation to the Companys
 shareholders, customers, suppliers, bankers and distributors for the
 support they have given to the Company and the confidence, which they
 have reposed in its management and the employees for the commitment and
 dedication shown by them.
 
 Registered Office:                         For & on behalf of the Board
 C/o. Capco Exports,               For PRIME SOLVENT EXTRACTIONS LIMITED
 Jeevan Sahakar Building,
 5, Homji Street, Fort,
 Mumbai 400001.
 August 31, 2005.                                               DIRECTOR