1. [7] Contingent liabilities not provided for :
 
                                               Amount in INR''000
 
                                                  2010-11        2009-10
 
 a) i) Bank Guarantees given by the Com-        8,321,696      7,303,547
 pany 
 
 ii) Bank Guarantees given on behalf of           179,500        179,000
 subsidiaries and joint ventures
 
 b) Liquidated damages deducted by cus-         2,206,562      2,709,427
 tomers not accepted by the Company
 and pending final settlement.
 (Also refer notes 5, 6 and 12 below)*
 
 c) Corporate Guarantees given on behalf of    48,292,915     61,874,700
 subsidiaries, joint ventures and associates
 
 * excludes possible liquidated damages which can be levied by customers
 for delay in execution of projects. The management believes that there
 exist strong reasons why no liquidated damages shall be levied by these
 customers.
 
 d) Estimated future investments in joint venture & other companies in
 terms of respective shareholder agreements amount in aggregate to Rs.
 249,870 thousand (Previous year Rs. 289,919 thousand).
 
 e) (i) Sales tax demand of Rs. 298,408 thousand (Previous year Rs.
 285,948 thousand) on disallowance of deduction on labour and services
 of the works contracts pending with Sales Tax Authorities and High
 Court.*
 
 (ii) Sales tax demand of Rs. 66,969 thousand (Previous year Rs. 66,006
 thousand) for non submission of statutory forms.*
 
 (iii) Sales Tax liability of Rs. 86,086 thousand (Previous year Rs.
 84,946 thousand) for purchases against sales tax forms not accepted by
 department.*
 
 (iv) Entry Tax liability of Rs. 42,649 thousand (Previous year Rs.
 32,806 thousand) against entry of goods into the local area not
 accepted by department.*
 
 (v) Sales Tax liability of Rs. 720 thousand (Previous year Rs 720
 thousand) against the Central Sales Tax demand on sales in transit.*
 
 (vi) Demand for nonpayment of excise duty on coating of pipes Rs. 9,567
 thousand (Previous year Rs. Nil).*
 
 (vii) Sales tax demand of Rs. 27,710 thousand (Previous year Rs. Nil)
 for non-admissible of deduction of supply turnover.*
 
 (viii) Penalty for late deposit of Service Tax of Rs. 172,796 thousand
 (Previ- ous year Rs. 172,796 thousand) and Rs. 15,915 thousand
 (Previous year Rs. 15,915 thousand) as disallowance of deduction of
 supply turnover.*
 
 (ix) Sales tax demand in respect of erstwhile Internet Service Division
 re- garding taxability of internet services Rs. Nil (Previous year Rs.
 39,877 thousand).* * Based on favorable decisions in similar cases /
 legal opinions taken by the Company / consultations with solicitors,
 the management believes that the Company has good chances of success in
 above mentioned cases and hence, no provision there against is
 considered necessary.