The Directors have pleasure in presenting the Nineteenth Annual Report
 of the Company along with the Audited Statement of accounts for the
 year ended 31st March 2010.The Report also includes Management
 Discussion and Analysis Report in accordance with the guidelines on
 Corporate Governance.
 
                                               (Rs in Cr)
 
 Particulars        Year ended           Year
                                         ended 
                    31st March 2010      31st March 2009
 
 Income from
 operations           409.86               725.12
 
 Other
 income                 0.20                 9.75
 
 Total
 Revenue              410.06               734.87
 
 Total expenditure 
 before Interest & 
                      351.23               620.54
 Depreciation
 
 Operating profit 
 / Loss
 PBIDT                 58.83               114.33
 
 IntereTst             54.09                34.90 
 
 Depreciation /
 Amortization           2.11                 2.23
 
 Profit before
 tax                    2.63                77.20
 
 Provision for
 tax                    0.40                 8.09
 
 Profit after tax
 (PAT)                  2.23                69.11
 
 Surplus brought
 forward              484.85               415.74
 
 Balance carried to 
 Balance sheet        487.08               484.85
 
 Lines of Business:
 
 1.  Educational Solutions: Teledata Informatics Ltd has transformed
 itself into an Education and Training Company by offering a wide range
 of solutions for the on-line education market such as:-
 
 - Tuition Edge
 
 - Teachers Aide
 
 - Development
 
 - Preparatory Courses for Professional Exams
 
 - Coaching for Competitive Exams
 
 - Distance Education for Universities -
 
 2.  IT Infrastructure & ICT Solutions: Teledata has successfully worked
 with states such as Tripura, West Bengal, Nagaland and Arunachal
 Pradesh in providing ICT Solutions.
 
 Teledata has also implemented e-governance and other Infrastructure
 projects in Utkal University, Bharatiyar University.
 
 3.  Product Offerings:
 
 - Educational Software: Teledata offers a variety of products and
 software solutions like Monitor SIS, WebEIM, Monitor and TIM
 
 - Energy and Utility: The Company focuses on providing value added
 technology solutions in Energy Loss Computation, Preventing Energy
 Thefts and phased implementation coupled with the hardware and software
 technology. Billing Solutions and Power Plant Manager are the
 components of this sector.
 
 - Security Solutions: Teledata has started providing a virtual
 reception concept by name MAYA which virtually eliminates the need of
 human intervention and handles visitors through facial and biometric
 recognition. MAYA can be effectively used in corporate offices/
 Commercial / Apartment Buildings, Banks, Places of Worship etc. Remote
 Monitoring is another aspect in security solutions. Teledata offers
 surveillance software to detect theft and manage crowd. The software
 can be installed anywhere where security is of prime importance.
 
 Directors Responsibility Statement
 
 In accordance with the provisions of Section 217(2AA) of the Companies
 Act, 1956, your Directors confirm that:
 
 Ÿ in the preparation of the annual accounts, the applicable accounting
 standards had been followed along with proper explanation relating to
 material departures; Ÿ they had selected such accounting policies and
 applied them consistently and made judgments and estimates that are
 reasonable and prudent, so as to give a true and fair view of the state
 of affairs of the Company at the end of the financial year and of the
 profit of the Company for that period; 
 
 Ÿ they had taken proper and
 sufficient care for the maintenance of adequate accounting records, in
 accordance with the provisions of this Act, for safeguarding the assets
 of the company and for preventing and detecting fraud and other
 irregularities, and Ÿ they had prepared the annual accounts on a going
 concern basis.
 
 Corporate Governance
 
 The disclosure requirements on corporate governance prescribed under
 clause 49 of the listing agreement is annexed herewith as part of the
 report.
 
 Directors
 
 Mr.N. Sakthivel, Director is retiring by rotation and has conveyed his
 acceptance to continue as a Director of the company.
 
 CEO Certification
 
 The Managing Director has submitted a Certificate to the Board Meeting
 regarding the Financial Statements and other matters as required and
 Clause 49 (V) of the Listing Agreement.
 
 Fixed Deposits
 
 The Company has not accepted fixed deposits and as such, no amount of
 principal or interest was outstanding as at the Balance Sheet date.
 
 Particulars of Employees
 
 None of the employees of the company are falling under the information
 to be furnished as per section 217 (2A) of the Companies Act 1956.
 
 Auditors
 
 M/S N.R.Krishnamoorthy and Company Chartered Accountants, retire at the
 ensuing Annual General Meeting and have confirmed their eligibility and
 willingness to accept Office as Statutory Auditors if re-appointed.
 
 Subsidiaries
 
 The financial statements of the subsidiaries of your Company are drawn
 up in accordance with the applicable Accounting Standards and forms
 part of the Consolidated Financial Statements in the Annual Report.
 Your Company believes that the consolidated accounts present a full and
 fair view of state of affairs and financial conditions. The financial
 information relating to the subsidiary companies are appended to this
 report
 
 Conservation of Energy, Technology Absorption, Foreign Exchange
 Earnings and Outgo
 
 The particulars prescribed under Section 217(1)(e) of the Companies
 Act, 1956 read with the Companies (Disclosure of Particulars in the
 Report of Board of Directors) Rules, 1988 are set out separately, which
 forms a part of this report.
 
 Acknowledgements
 
 Your directors extend their gratitude to customers, alliance partners
 and employees for their continued valuable support. The unrelenting
 contribution made by our employees to ensure customer care deserves a
 special acknowledgement. Your directors place on record their
 appreciation for the excellent continued co-operation from Bankers,
 vendors and various Government and Non-Government Agencies including
 SEBI, Stock Exchanges, Registrar of Companies, STPI, RBI, VSNL & others
 and look forward to their continued support in the future.
 
                     For and on behalf of the Board of Directors
 
 Sd/-                                   Sd/-
 
 Gp. Capt. Balasubramanian 
 IAF (Retd.)                            K.Padmanabhan
 
 Chairman                               Managing Director
 
 Place: Chennai 
 Date : 30/08/2010