1.  Business Activities
 
 The company is in the process of setting up the Thermal Power Project
 of 3* 660 MW i.e 1980MW capacities in Tamilnadu. As such the related
 expenses incurred during the current year as per details below are
 considered as pre operative expenses pending capitalization (included
 under Capital Work in Progress) and will be apportioned to the assets
 on completion of the project:
 
 2.  Contingent Liabilities not provided for       (Amount in Rs.)
 
 Sr. No.  Particulars                        2011      2009-10
 
 I Disputed dues of Income tax due to 
 non/late deposit of TDS for the assessment 
 years 2003-04 to 2006-07                   1,066,022     -
   
 3.  Capital Commitment
 
 Estimated amount of contracts remaining to be executed on capital
 account (net of advances)and not provided for in the accounts as at
 31.3.2011: Nil (Previous year: Nil).
 
 4.  In the opinion of the Board, the realizable value of Current
 Assets, Loans and Advances in the ordinary course of business would not
 be less than the amount at which they are stated in the Balance Sheet
 and provision for all known and determined liabilities are adequately
 made.
 
 5.  Segment Reporting :
 
 The Company is in the process of setting up Power Project, which in the
 context.of AS-17 on Segment Reporting, constitutes single operating
 segment.
 
 6.  Disclosure as required by Accounting Standard (AS) -19 are as
 follows:
 
 The company has taken office premises under leave and license agreement
 against refundable interest free deposit. These are generally
 cancellable and are renewable by mutual consent on mutually agreed
 terms. The obligation towards non-cancellable leases are as under:
 (Amount in)
 
 7.  Going Concern:
 
 Though the Companys net worth has been substantially eroded, earlier
 businesses have been discontinued and the Company has been incurring
 cash losses, the management is of the strong view that once the power
 project, which is being set up by the Company gets going, the Company
 would have a turnaround. Even otherwise, the Companys present assets
 are adequate to meets its liabilities.  The promoter is also committed
 to provide necessary funding to meet Companys Liabilities. Accordingly
 the accounts have been drawn under going concern assumption.-
 
 8.  During the year, the Company has acquired a wholly-owned
 subsidiary Company, SRM Energy Tamil Nadu Private Limited, which has
 not commenced its operating activities. The Management is evaluating
 the option of transferring its Cuddalore Power Division to this
 subsidiary after successful completion of the proposed Rights Issue.
 
 9.  Based on the information available with the company, both the
 balance due to Micro & Small Enterprises as defined under the MSMED
 Act, 2006 and interest paid / payable during the year under the terms
 of said act under the terms of MSMED Act are Nil (previous year Nil).
 
 16.  Previous year figures have been regrouped and rearranged wherever
 necessary.