1.  Accounting Convention
 
 The Financial Statements are prepared under historical cost convention
 on an accrual basis and in compliance with all material aspects of the
 Notified Accounting Standard by Companies Accounting Standard Rules,
 2006 and the relevant provisions of the Companies Act, 1956. The
 accounting policies have been consistently applied by the company and
 are consistent with those used in the previous year.
 
 2.  Use of estimates
 
 The preparation of financial statements in conformity with generally
 accepted accounting principles requires management to make estimates
 and assumptions that affect the reported amounts of assets and
 liabilities and disclosure of contingent liabilities at the date of the
 financial statements and the results of operations during the reporting
 period. Although these estimates are based upon management''s best
 knowledge of current events and actions, actual results could differ
 from these estimates.
 
 3.  Revenue Recognition
 
 Dividend income on investments is accounted for when the right to
 receive the payment is established. Rent Income on property is
 recognized on accrual basis. Profit on sale of Investment is recognized
 at the time of redemption/sale.
 
 4.  Fixed Assets
 
 Fixed Assets are stated at cost, less accumulated depreciation and
 impairment loss if any. Cost comprises the purchase price and any
 attributable cost of bringing the asset to its working condition for
 its intended use.
 
 5.  Depreciation/ Amortization
 
 Depreciation on fixed assets is provided on written down value method
 at the rate specified under Schedule XIV to the Companies Act, 1956
 except mobile phone, which is fully depreciated in the year of
 purchase. Depreciation on assets added/ disposed during the year has
 been provided with reference to the date of addition/ disposal.
 
 6.  impairment of Assets
 
 The Carrying amount of assets is reviewed at eaph Balance Sheet date if
 there is any indication of impairment based on internal/ external
 factors. An asset is treated as impaired when the carrying cost of
 assets exceeds its recoverable value. An impairment loss if any is
 charged to Profit and loss Account in the year in which an asset is
 identified as impairment. Reversal of impairment losses recognized in
 prior years is recorded when there is an indication that the impairment
 losses recognized for the assets no longer exists or has decreased.
 
 7.  Investments
 
 Long term Investments are stated at cost after deducting provision, if
 any, made for diminution, other than temporary, in the values.
 
 Current Investments are stated at lower of cost and market/fair value.
 
 8.  Taxation
 
 Provision for current tax is made on the basis of Estimated Taxable
 Income for the current accounting year in accordance with the Income
 Tax Act, 1961.
 
 The deferred tax for timing differences between the book and tax
 profits for the year is accounted for, using the tax rates and laws
 that have been substantively enacted as of the balance sheet date.
 
 Deferred tax assets arising from timing differences are recognized to
 the extent there is reasonable certainty that these would be realized
 in future.
 
 Deferred tax assets are recognized on unabsorbed losses only if there
 is virtual certainty that such deferred tax assets can be realized
 against future taxable profit.
 
 9.  Cash and Cash equivalents:
 
 Cash and cash equivalents for the purposes of cash flow statement
 comprise cash at bank and in hand and short-term investments with an
 original maturity of three months or less.
 
 10.  Contingent Liabilities:
 
 Contingent Liabilities as defined in AS 29 on Provision, Contingent
 Liabilities and Contingent Assets are disclosed by way of notes to
 accounts. Provision is made if it becomes probable that an outflow of
 future economic benefits will be required for an item previously dealt
 with as contingent liability. Contingent assets are neither recognized
 nor disclosed in the financial statements.