(4) Other Financial Information
 
 (a) Capital - 88,31,600 Equity Shares of Rs.10 each were allotted
 during the year as fully paid up, to the promoters pursuant to the
 resolution passed at the annual general meeting held on 16th September
 2002.
 
 (b) Nature of security for secured loans - (i) Term loans from
 financial institutions are secured by a first mortgage of the Company's
 immovable properties, present and future, and first charge by way of
 hypothecation of movables (except stock and book debts) including
 movable machinery, machinery tools, spares and accessories, present and
 future, subject to the prior charges created in favour of the Company's
 bankers for the term loan and working capital facilities. (ii) Term
 loan from bank is secured by a first charge over certain specified
 machinery items and by a second charge over the fixed assets of the
 Company. (iii) Working capital loans from bank are secured by a first
 charge by way of pledge/hypothecation of raw materials,
 stock-in-process and finished goods (including goods in transit), book
 debts, advances and claims, present and future, and a second charge on
 immovable fixed assets of the Company. (iv) All the loans are
 additionally guaranteed by the Managing Director.
 
 (c) Unsecured Loans are from Director and erstwhile Director and are
 repayable within twelve months.
 
 (d) Fixed Assets - (i) Buildings include undivided interest in land
 forming part of the cost of the flat owned by the Company. (ii)
 Leasehold land Rs. 4.70 lakhs is pending execution / registration of
 lease deed.
 
 (e) Sundry Debtors - Debts outstanding for more than six months (i) are
 net of doubtful debts provided of Rs.56.44 Lakhs (2002 Rs. 41.28 Lakhs)
 (ii) include debts disputed Rs. 12.47 Lakhs.  (2002 Rs. 12.47 Lakhs)
 and (iii) includes Rs.4.39 Lakhs not confirmed by customer.
 
 (f) Cash and Bank balances - Balance with Scheduled Bank in Margin
 account for Guarantees and Letter of Credit is based on confirmation
 available from the said bank as at March 31,2002.
 
 (g) Other Current Assets - Deposits are net of provision for deposits
 doubtful of recovery Rs.7.97Lakhs (2002-Rs.7.97 Lakhs) and are subject
 to confirmation.
 
 (h) Loans and Advances - (i) Due from Officers (a) At year end Rs. Nil
 (2002 Rs. Nil) (b) Maximum amount due Rs. Nil (2002 Rs.Nil) (ii)
 Includes unsecured capital Advances not confirmed by party and
 outstanding over five years Rs.4.10 Lakhs (2002 Rs.4.10 Lakhs)
 
 (i) Liabilities - (i) Small Scale Industrial Undertakings (SSI) to whom
 dues are outstanding for more than thirty days are as follows:
 Japtech,, Suraksha Packers Private Limited, Wonder Packs. Care print,
 Chennai CNC Center, F.R.V. Associates, K.B. Hydraulic Engineering
 Works, Kool Tek Industries, Metal Forms, Packaging India Private
 Limited, Shree Pack, Sivaranjani Agencies, Swathi Packers Private
 Limited, Swathi Polymer Products, SG Polymers, (ii) Details about dues
 to SSI is based on information available with the company regarding
 their status. (iii) Other Liabilities include Share Application Money
 Rs.300.00 Lakhs (2002 Rs.l 183.16 Lakhs) of which Rs.300 Lakhs (2002-
 705.52 Lakhs) has been recalled. The amount of Rs.300 lakhs
 (representing US9,499.58) is noi repayable in foreign currency.
 
 (j) Miscellaneous Income includes Scrap sales of Rs.3.30 Lakhs (2002
 Rs.4.25 Lakhs). Sales are net of discount (other than usual trade
 discount) ofRs.0.10 Lakhs (2002 Rs. 4.37 Lakhs).
 
 (k) Materials - Cost of raw materials consumed is inclusive of carriage
 inward, duty, carrying cost, component conversion charges paid to
 outside agencies and contract wages.
 
 (l) Other Expenses - (i) Rent is inclusive of amortised premium in
 respect of leasehold land Rs. 0.19 Lakhs (2002 Rs. 0.19 Lakhs) (ii)
 Other Expenses include net foreign exchange gain/ (loss) Rs. 1.81 Lakhs
 (2002 Rs.(0.97) Lakhs)
 
 (m) Interest dues to financial institutions and bank for the year has
 been provided on an estimated basis and includes penal charges,
 additional interest and liquidated damages.
 
 (n) (i) The company had during the previous year, changed its method of
 accounting (a) to provide for liability towards employees retiral
 benefits of gratuity and leave encashment on an estimated basis and (b)
 to recognize the liability towards customs duty in respect of goods
 lying in bond at the end of the year
 
 (ii) The Company had been providing for simple interest on loan from
 financial institutions on the basis of its proposal-seeking waiver of
 penal charges, additional interest and liquidated damages.  During the
 previous year however, pending the revised restructuring proposals of
 the financial institutions, the company had estimated and recognized in
 its books the penal and additional interest and liquidated damages up
 to March 31, 2002 on the basis of the demands from financial
 institutions, bankers by a charge of Rs.284.09Lakhs to the profit and
 loss account.
 
 (iii) The company has in compliance with Accounting Standard-26
 Intangible Assets issued by The Institute of Chartered Accountants of
 India, changed its accounting policy to charge off in the year of
 incurrence, share issue expenses, corporate/image building/product
 advertisement expenses and all revenue expenses on research and
 development. Accordingly, the amount of share issue expenses of Rs5.22
 Lakhs remaining unamortised as at March 31, 2003 has been written off
 in Schedule 18 with consequent increase in loss for the year and the
 loss carried forward at the end of the year. There is no impact due to
 change in accounting policy with respect to the other expenditure.
 
 (iv) During the year, significant value of goods were returned amidst
 recurring complaints of barrel cracks, leakages and tight/jammed
 plungers. In August.2002, an internal assessment of the reasons of the
 recurring sales return from dealers/customers of syringes, was
 ascertained as mainly arising out of usage of old/expired stock of
 additives, erroneous mix of polyethylene in production of barrels and
 polypropylene in production of plungers which were not discernible
 immediately upon production.  Accordingly, the entire quantities of
 syringes in stock (including sales returns) produced with the said
 additives/erroneous mix was identified and scrapped. Abnormal Loss in
 inventory of Rs.170.74 Lakhs represents mainly, the estimated cost of
 production of syringes ultimately scrapped as explained above.
 
 (o) The company's principal business is in medical disposables and
 hence there is no separate reportable segment in terms of Accounting
 Standard 17 'Segment Reporting' issued by the Institute of Chartered
 Accountants of India (ICAI).
 
 (r) In terms of Accounting Standard - 22 (AS-22) Accounting for Taxes
 on Income issued by the Institute of Chartered Accountants of India,
 the company has
 
 (i) recognized deferred tax liability of Rs.313.09 Lakhs as at March
 31,2003
 
 (ii) reviewed the carrying amount of deferred tax asset aggregating
 Rs.293.07 Lakhs as at April 1, 2002 recognized in terms of para 18 of
 AS-22 in the earlier year and written it down to Rs.284.52 Lakhs as at
 March 31, 2003 representing tax effect of timing differences on account
 of depreciation which is likely to reverse in future.
 
 (iii) restricted the recognition of deferred tax asset of the current
 year on account of losses and provisions and the recognition has been
 restricted to the tax effect of the timing difference on account of
 depreciation for the year of Rs.28.57 Lakhs.
 
 (iv) offset the said deferred tax asset of Rs.313.09 Lakhs against
 equivalent deferred tax liability since they relate to taxes on income
 levied by the same governing taxation laws.
 
 The deferred tax asset of Rs.313.09 Lakhs recognized comprises tax
 effect of unabsorbed depreciation while the equivalent deferred tax
 liability comprises lax effect of timing differences on account of
 depreciation only.
 
 (s) The financial institutions have an option to convert their
 outstanding, subject to a limit of 20% of their loans, into fully paid
 equity shares at par on the happening of certain contingencies.
 
 (t) Contingent liabilities - (i) Claims against the Company from the
 following not acknowledged as debts: (a) Claim by suppliers Rs.52.89
 Lakhs (2002 Rs. Nil Lakhs) (b) Counter claims by customers Rs.3.00
 Lakhs (2002 Rs.3.00 Lakhs) (c) Demand from PF and ESI Authorities
 Rs.2.37 Lakhs (2002 Rs. Nil) (d) Others Rs.4.90 Lakhs (2002 Rs. 4.39
 Lakhs)
 
 (5) Figures for the previous year have been reclassified to make them
 comparable to the classifications adopted in the current year.