1) Buildings and Leasehold Land which were revalued are shown at Book 
 Value .Other Fixed Assets appear at COST 
 
 2) Buildings include :
 
 a ) Staff quarters of the value of Rs.259200 purchased by the Company
 from Gujarat Industrial Development Corporation under hire - purchase
 scheme for which title documents in favour of the Company are yet to be
 executed, b) Documents for go down premises purchased during the earlier
 year for a value of Rs. 6800758 have been lodged for registration with
 concerned authorities
 
 3) Execution of conveyance and other documents in respect of Office
 Premises purchased for Rs.9100000 in an earlier year are yet pending.
 
 The relevant expenses pertaining to the same will be accounted in the
 year of execution. Amount not ascertainable
 
 4) Documents for Registration of Trade Marks of the value of Rs.27200
 acquired in an earlier year have been submitted to concerned
 authorities for registering in Company''s name
 
 5) Execution of conveyance and other documents in respect of Training
 Centre premises at Goregaon purchased for Rs.10635000 in earlier year
 are yet pending. The relevant expenses pertaining to the same will be
 accounted in the year of execution. Amount not ascertainable
 
                                                      (Rs. in Lacs)
 
 Contingent liabilities and commitments          As At         As At
 
 (to the extent not provided for)           31st March,   31st March,
 
                                                  2012          2011
 
 1 Contingent Liabilities 
 
 (a)  Claims against the company not 
 acknowledged as debt    
 
 (i)  The Ministry of Chemicals & 
 Fertilizers government of India has 
 raised demand under Drug Price 
 Control Order,1979 for difference
 in actual price and price of respective 
 bulk drug allowed while fixing
 the prices of certain life saving 
 Formulations which are disputed by 
 the Company.   
 The Company has preferred Appeals 
 before Hon''ble High Courts 
 of Gujarat and Bombay in respect of 
 Bulk Drug Rifampicin and 
 
 Ethambuto! respectively, for grant of 
 ad interim stay. 
 
 While allowing the stay, The Hon''ble 
 High Court Gujarat directed
 the Company to deposit Principal
 Liability of Rs. 34.80 Lacs out
 
 of the total liability of Rs.126.08 
 Lacs as worked out by the
 Department of Chemicals & Fertlizers,Govt. 
 of India. The
 Company has already complied with the 
 directions of the H''norable
 Court. In respect of Liability for Bulk 
 Drug Ethambutol, the H''norable
 Bombay High Court had directed the 
 Company to submit Bank
 Guarantee of Principle amount with 
 Court & stayed the matter.
 
 The Company has complied with the 
 direction of the Honourable ;
 
 High Court.                                    333.33        333.33
 
 (ii) Others                                      0.87          0.87
 
 (b)  Bank Guarantees                           205.64        181.14
 
 (c)  Other money for which the company 
 is contingently liable   
 
 (i)  In respect of Letter of Credit             26.38        660.87
 
 (ii) Disputed Income Tax and Sales Tax as 
 matters are in appeal                           61.58         65.76
 
 (iii) Customs duty payable on raw materials 
 imported under duty exemption scheme in case 
 of non-fulfillment of export obligation.       231.81        556.38
 
 Total (I)                                      859.61      1,798.35
 
 2    Commitments
 
 (a)  Estimated amount of contracts 
 remaining to be executed on
 
 capital account and not provided for                         101.98
 
 (b)  Uncalled liability on shares and 
 other investments partly paid                     NiL           NIL
 
 (c)  Other commitments (specify nature)
 
 (i)  Liability on account of Custom duty 
 on goods in bonded
 warehouse or in transit is ,as per the 
 Company''s practice
 charged to Profit & Loss Account only 
 in the year in which the
 goods are cleared from the Custom. 
 This accounting policy
 
 has no effect on the Loss for the year.         22.25         36.16
 
 (ii) Liability on account of Excise duty 
 in respect of goods manufactured
 and liable to payment of Excise duty when 
 cleared from the
 factory premises, is accounted at the time 
 of removal of the
 
 goods from the place of manufacture for sale 
 or for captive use. .
 
 This accounting policy has no effect on the 
 Loss for the year.                              2.98          16.85
 
 TotaT (II)                                     25.23         154.99
 
 Total (l   ll)                                884.84       1,953.34
 
 3
 
 i) In respect of Dr. Dinesh S. Patel MD and CEO, applications are made
 to the Central Govt, for approval of remuneration paid / payable to him
 in view of Loss in the year 2008-09 & consequently remuneration
 exceeded the limits prescribed under Schedule XIII. In view of carried
 forward Losses to 2009-10, the remuneration for the year exceeded
 limits as prescribed U/s.198 read with the applicable sections of
 Companies Act 1956 and hence apllications for Managing Director and
 Whole time Directors are made to Central Government for waiver of
 excess remuneration paid.
 
 ii) Consequent to inadequacy of profits in the current year,
 remuneration paid to Managing Director and Whole-time Directors, is in
 excess of the limits specified in Section 198 read with Schedule XIII
 of the Companies Act, 1956. The excess remuneration drawn by the
 Directors amount to Rs.. 15.89 lacs. The Company is making an
 application to the Central Govt, for the waiver of the excess
 remuneration paid.
 
 4 Revenue expenditure on Research & Development incurred & Charged out
 during the year through the natural heads of expenses amount to
 Rs.201.64 Lacs (Previous year Rs.283.92 Lacs) Capital expenditure
 incurred during the year thereof amounts to Rs.1.99 Lacs has been
 included in Fixed Assets. (Previous year Rs. 31.31 Lacs).
 
 5 The Company has only one segment namely pharmaceuticals, hence no
 separate disclosure of segment wise information has been made,as
 required by Accounting Standard 17 on Segment Reporting
 
 6 Interest on borrowings attributed to new projects is Capitalised and
 included in the cost of Fixed Assets/ Capital Work in Progress, as
 appropriate.Current year Rs. 153.23 lacs (Previous year Rs.184.58
 Lacs).
 
 7 Deferred tax liability is provided by implementing Accounting
 Standard-22 Accounting for Taxes on Income issued by Companies
 (Accounting Standards) Rules, 2006. The Deferred Tax Asset Rs.16.57
 lacs (Cr) is recognized in Profit & Loss Account during the current
 year (Previous year Rs.15.05 lacs Cr.); comprising Rs 1.53 lacs (Cr)
 towards Current Years leave encashment (Previous Year Asset Rs.7.50
 lacs (Cr) ) and Rs.4.08 lacs (Cr.) towards Bonus (Previous Year Rs
 18.88 lacs (Cr), Rs 7.38 lacs (Cr.) towards provision of Gratuity
 (Previous Year assets Rs. 11.47 lacs (Cr) and Rs. 3.58 lacs (Cr)
 depreciation (Previous Year Rs. 22.80 lacs (Dr.).
 
 The above information regarding Micro and Small enterprises has been
 determined to the extent such parties have been identified on the basis
 of information available with the Company. This has been relied upon by
 the Auditors.
 
 8 The Accounting Standard (AS-11) The effects of changes in Foreign
 Exchange Rates prescribed by Companies (Accounting Standards) Rules,
 2006 was amended on 31st March, 2009, vide a notification dated 31st
 March 2009, by the Ministry of Corporate Affairs. The said amendment
 offered an option to Companies to recognise Foreign Exchange Gains and
 Losses arising on translation of all long term monetary assets and
 liabilities acquired upto 31st March 2009, retrospectively from
 accounting periods commencing after 7th December, 2006 (i.e. from 1st
 April, 2007 for the Company) upto 31st March, 2011 as capital cost of
 acquisition of assets where they relate to acquisition of assets or to
 a Translation Reserve viz. Foreign Currency Monetary Item Translation
 Difference Account (FCMITDA). In other cases the amount so recognised
 as capital cost of acquisition of assets is to be depreciated over the
 balance life of the relevant assets and in case of the amount
 recognised in the FCMITDA is to be amortised over the balance term of
 the monetary assets or liability but not beyond 31st March, 2011.
 
 The said notification has been further amended by notification dated
 29th Dec. 2011 allowing to recognise the Foreign Exchange Gains and
 Loses arising on translation of all long term monetary assets and
 liabilities, as capital cost of acquisition of asset upto 31st March,
 2020. The Company had chosen to exercise this option in preparation of
 its financial statements for the year ended 31st March, 2009.
 Accordingly, Foreign Exchange differences for Rs. 232.73 lacs has been
 adjusted against the cost of assets/ CWIR
 
 9 Disclosures as required by Accounting Standard 19, Leases  are
 given below:
 
 i) The Company has taken various residential, office and go down
 premises under operating lease or leave and licence agreements. These
 are generally not non-cancellable and ranging between 11 months and 3
 years period under leave and licence, or for longer period in respect of
 other leases and are renewable by mutual consent on agreeable
 terms. Also the Company has given refundable interest free security
 Deposits under certain agreements.
 
 ii) Lease payments are recognised in the profit and Loss Account under
 Rent in Schedule.
 
 iii) The future minimum lease payments under non-cancellable operating
 Lease NIL
 
 10 The financial statements for the year ended 31 March 2011 had been
 prepared as per the then applicable, pre-revised Schedule VI to the
 Act. Consequent to the notification of Revised Schedule VI under the
 Act, the financial statements for the year ended 31 March 2012 are
 prepared as per Revised Schedule VI.  Accordingly, the previous year
 figures have also been reclassified to conform to this year''s period''s
 classification. The adoption of Revised Schedule VI for previous year
 figures does not impact recognition and measurement principles followed
 for preparation of financial statements.