1. The Company has identified strategic investors, to induct funds
 into the Company, in order to meet its short term and long term
 obligations. Negotiations (which are at an advanced stage) are on with
 Strategic Investors and Lenders. However, such negotiations are
 dependent on conclusion of settlements with the Banks and Financial
 Institutions that include either a One Time Settlement (OTS) or
 re-scheduling of the existing credit facilities.
 
 Till date, the Company has been able to arrive at a OTS with Axis Bank
 (which entails waiver of loans, interest etc.  by the bank) and the
 Company optimistic of similar OTS with its other consortium bankers
 (i.e. Allahabad Bank and Bank of India).
 
 Based on the OTS with Axis Bank, the Company has not charged / provided
 any interest during the eighteen months ended 30th September, 2011 on
 the credit facilities provided by the consortium bankers (i.e.
 Allahabad Bank, Bank of India and Axis Bank).
 
 The Company believes that these measures will result in sustainable
 cash flows in turn will support the Company''s future growth plans.
 Accordingly, the Company''s financial statements have been prepared on a
 going concern basis.
 
 2.  The current Financial Statements has been prepared for Eighteen
 months ended 30th September, 2011, based on the permission granted
 under section 210(4) of the Companies Act, 1956 by the Registrar of
 Companies, West Bengal. Accordingly, the figures for the current period
 are not comparable with the figures of the previous year ended 31st
 March, 2010.
 
 3.  Depreciation is charged in the Profit and Loss Account on the
 revalued amount of the assets, where applicable.  The excess
 depreciation so charged in the Accounts over and above the depreciation
 calculated on original cost of assets as provided at the rates
 prescribed in Schedule XIV to the Companies Act, 1956 on straight line
 method for the period ended 30th September, 2011 amounts to Rs.1,62
 (2009-2010 Rs.54) and an amount equivalent to this excess charge has
 been transferred to Profit and Loss Account from Fixed Assets
 Revaluation Reserve.
 
 4. (a) Operating Lease Commitments :
 
 The Company has entered into cancellable operating lease transactions
 for office space, employee''s residential accommodations etc. Tenure of
 leases generally vary between one and three years. Terms of these
 leases include operating term for renewal, increase in rent for future
 periods, of cancellation etc.  Related lease rentals aggregating
 Rs.18,93 (2009-2010 Rs.13,29) have been debited to Profit and Loss
 Account for the period ( included in Rent-Schedule-4 ).
 
 5.  In terms of AS28 ''Impairment of Assets'', the management has
 carried out an impairment test during the period.  The carrying value
 of each Cash Generating Unit (CGU) is lower than their respective
 recoverable value, arrived at based on their ''Net Selling Price'' and
 hence, no impairment charge has been recognised in the Financial
 Statements. The ''Net Selling Price'' is computed based on the valuation
 reports submitted by Valuers appointed by the management for this
 purpose.
 
 6.  In view of the loss during Eighteen months ended 30th September,
 2011 no provision for current income tax has been considered necessary.
 However, the ultimate income tax liability, if any, for the assessment
 year 2012-13 will be determined based on the financial results for the
 year ending 31st March, 2012.
 
 7.  Employee Benefits
 
 8. Post Employment Defined Contribution Plans
 
 During the period an amount of Rs.73,12 (Previous Year Rs. 40,50) has
 been recognised as expenditure towards Defined Contribution Plans of
 the Company.
 
 9. Post Employment Defined Benefit Plans
 
 I.  Gratuity ( Funded)
 
 The Company provides for gratuity, a defined benefit retirement plan
 covering eligible employees. As per the scheme, the Gratuity Trust
 Fund, managed by the Life Insurance Corporation of India (LIC) and
 another insurance company makes payment to vested employees at
 retirement, death, incapacitation or termination of employment, of an
 amount equivalent to the respective employee''s eligible salary for
 fifteen days for each year of completed service subject to a maximum
 limit as laid down under the Payment of Gratuity Act,1972.  Vesting
 occurs upon completion of five years of service. Liabilities with
 regard to the Gratuity Plan are determined by actuarial valuation as
 set out in Note A(j) of Schedule 18 above, based upon which, the
 Company makes contributions to the Gratuity Fund.
 
 Notes:
 
 (i) The estimate of future salary increases take into account
 inflation, seniority, promotion and other relevant factors.
 
 (ii) The expected return on plan assets is determined after taking into
 consideration composition of the plan assets held, assessed risks of
 asset management, historical results of the return on plan assets, the
 Company''s policy for Plan asset management and other relevant factors.
 
 II.  Certain employees of the Company receive benefits from provident
 fund, which is a defined benefit plan and administered by the Trust set
 up by the Company. Aggregate contributions along with interest thereon
 are paid at retirement, death, incapacitation or termination of
 employment. Both the employees and the Company make monthly
 contributions at specified percentage of the employee''s salary to such
 Provident Fund Trust. The Company has an obligation to fund any
 shortfall in return on plan assets over the interest rates prescribed
 by the authorities from time to time. In keeping with the guidance on
 implementing Accounting Standards (AS) 15 on Employee Benefits issued
 by the Accounting Standards Board of the Institute of Chartered
 Accountants of India, a provident fund set up by the Company is treated
 as a defined benefit plan since the Company is obligated to meet
 interest shortfall, if any. However, as at period end, no shortfall
 remains unprovided for. The Actuary has opined that the fund will
 remain in a comfortable position to meet the interest liability in
 respect of service over the next five years and the fund may be treated
 as to have no interest liability as at 30th September, 2011.
 
 During the period, the Company has contributed Rs. 9,38 (Previous Year
 Rs. 7,27 ) to the said Provident Fund.  [ Included under line item 
 Contribution to Provident and Other Funds  on Schedule – 4 ].
 
 10.  The extent to which certain overdue Sundry Debtors amounting to
 Rs. 84,94 (including in Schedule 12 under Debts outstanding for a
 period exceeding six months - considered good), Loans and Advances
 amounting to Rs. 7,05,18 (including in Schedule 15 under Advance
 recoverable in cash or in kind or for value to be received)
 [appropriate actions in respect thereof having been initiated] may not
 be realised is not presently ascertainable and, accordingly, no
 provision has been made in this regard in these accounts.
 
 11.  The extent to which certain old Capital Work-in-Progress
 aggregating Rs. 1,58,79 (appropriate actions in respect thereof having
 been initiated) may not be realised/adjusted is not presently
 ascertainable and, accordingly, no provision has been made in this
 regard in these accounts.
 
 12.  Efforts are being made to utilise/dispose off certain slow
 moving/non moving inventories (Schedule 11) of Stores and spares, Loose
 Tools and Raw Materials aggregating Rs. 1,98,94 and General Merchandise
 aggregating Rs. 1,00,54 and no write down in value is considered
 necessary at this stage.
 
 13.  Previous year''s figures are regrouped/rearranged where necessary
 to make the same comparable with current period''s figures.