1 (i) Contingent liabilities :
(a) Income Tax matters disputed by the Company which are pending in
appeal amount to Rs. 49.45 Lakhs (1999 - Rs. 49.45 Lakhs).
(b) Others amounting to Rs. 25.39 Lakhs (1999 - Rs. 110.31 Lakhs).
(ii) Estimated amount of contracts remaining to be executed on capital
account and not provided for (net of advances) Rs. 24.39 Lakhs (1999 -
Rs. 82.03 Lakhs).
2. The Company has overdraft, bank guarantee and letter of credit
arrangements with banks aggregating to Rs. 2360.00 Lakhs (1999 - Rs.
2360.00 Lakhs) against hypothecation of book debts and inventories
aggregating to Rs. 2556.50 Lakhs (1999 - Rs. 2556.50 Lakhs). The
overdraft bank accounts, however, have debit balances at the year end.
3. (i) Rs. 144.44 Lakhs (1999 - Rs. 144.44 Lakhs) received from
Beckman Instruments International S.A on account of disputed, alleged
additional commission continues to be included under Sundry Creditors
and Income taxes paid thereon aggregating to Rs. 64.77 Lakhs (1999 -
Rs. 64.77 Lakhs) have been included under loans and advances. The
Company is contesting the matter with the concerned authorities.
(ii) Refund of surtax Rs. 96.81 Lakhs (1999 - Rs. 96.81 Lakhs) and
interest thereon amounting to Rs. 48.52 Lakhs (1999 - Rs. 48.52 Lakhs)
received during 1994 have not been adjusted against the book provision
and recognised as income respectively, since the tax department has
filed a `reference application' against the Tribunal's Order which is
pending before the High Court.
4. (i) The tax year for the Company being the year ending March 31,
2001, the provision for taxation for the year is the aggregate of the
provision made for the period from January 1, 2000 to March 31, 2000
[Rs. 125.00 Lakhs (1999 - Rs. 185.00 Lakhs)] including for earlier
years Rs. Nil (1999 - Rs. 34.45 Lakhs) and the provision based on the
figures for the remaining 9 months period upto December 31, 2000 [Rs.
1210.00 Lakhs (1999 - Rs. 700.00 Lakhs). The ultimate liability
(including for Wealth Tax) for the assessment year 2001-2002, however
will be determined based on the results of the Company for the year
ending March 31, 2001.
(ii) The provision for tax is based on assessable profits of the
Company as determined under the Income Tax Act, 1961. The Company also
provides for such disallowances made on completion of assessments
pending appeal, as considered appropriate depending on the merits of
5. Names of Small Scale Industrial Undertakings to whom the Company
owes a sum exceeding Rs. 1,00,000 which is outstanding for more than
thirty days :
6. The Company has received representation from Mr. P. Murari, a
Director of the Company appointed with effect from 27.04.2000 that he
is a Director of a Company, prima facie, not complying with the
requirement under section 274(1)(g)(B) of the Companies Act, 1956.
In terms of a legal opinion obtained, such non compliance does not
result in disqualification if he resigns his directorship before the
expiry of the period of twelve months during which the failure
7. Figures for the previous year have been rearranged/regrouped