Particulars                      As At 31.03.2011    As at 31.03.2010
 
                                            Rupees              Rupees
 
 1(b) Contingent Liabilities:
 
 - Guarantees given by bank on
   behalf of the Company               8,09,30,000         7,70,32,800
 
 - Guarantees given to bank & 
   others by the Company              30,50,90,000        31,78,51,200
 
 - Disputed Tax Matters
   Income Tax                            40,96,403         2,51,31,306
 
   Service Tax                                 NIL           20,90,209
 
   Custom Duty                                 NIL                 NIL
 
 - Dividend on Cumulative 
   Preference Share*                   1,76,00,000         1,32,00,000
 
 ( Arrears pertaining to 2007-08,2008-09,2009-10 & 2010-11)
 
 c.  Deferred Tax Liability /(Assets)(Net)
 
 Net deferred tax charge/(credit) for the year of (Rs. 10,86,460)
 (Previous year Rs. 17,57,168) has been recognized in the Profitand
 Loss Account for the year.
 
 2.  The Company has classified various benefits provided to employees
 as under:
 
 A.  Defined Contribution Plans
 
 a.  Provident Fund
 
 b.  State Defined Contribution Plans
 
 i. Employers'' Contribution to Employees'' State Insurance
 
 B.  Defined Benefit Plans
 
 a.  Contribution to Gratuity Fund (Funded Scheme)
 
 - All the funds underthe plan assets are managed by insurer
 
 VI. Actual Return on Plan Assets
 
 The 100% Plan Assets of the Company as on balance sheet date are
 invested with Life Insurance Corporation through Group Gratuity Policy.
 
 The expected rate of return on plan assets is based on market
 expectations at the beginning of the period. The rate of return on
 long-term government bonds is taken as reference for this purpose.
 
 b.  Leave Encashment (Non Funded Scheme)
 
 Leave Encashment has been provided based on valuation , as at the
 balance sheet date, made by independent actuaries.
 
 3.  Sundry Creditors include overdue amounts (mainly unclaimed) of Rs.
 Nil (Previous Year Rs. Nil) including interest of Rs. Nil (Previous
 Year Rs. Nil) payable to Micro, Small & Medium enterprises. The company
 does not owe any amount to Micro, Small & Medium enterprises. These
 enterprises have been identified on the basis of information available
 to the Company.
 
 4.  Non Convertible Redeemable Cumulative Preference Share are
 redeemable at the end of seven years from the date of allotment i.e.
 31st Oct 2006 or before at the discretion of the Board.
 
 5.  Employee Stock Option Scheme:
 
 The Company has issued Employees'' Stock Option Scheme (VOL ESOP- 2006)
 to its employees (including certain employees of the Subsidiaries).
 
 Out of stock option granted, 20% stock option will vest at the end of
 one yearfrom the date of Grant, 30% stockoption at the end of the
 second year and balance 50% stock option at the end of third year The
 exercise period for the options is four year from the date of vesting.
 
 The excess of market price per share as on the date of grant of option,
 over the exercise price for the Stock Option granted to employees
 (including certain employees of the Subsidiaries), is amortized by the
 Company over the vesting period. The amortized value for the year
 pertaining to its employees (including certain employees of the
 Subsidiaries) amounting to Rs.  (4,24,325) [Last Year (Rs.141,131)] has
 been charged under Employee Cost.
 
 6.  Three subsidiaries of the company are having negative net worth.
 The company has exposure of Rs 4,003,319,864, Rs 1,131,641,158, Rs
 163,025,979. in these companies towards investments, loans and advance
 and sundry debtors respectively against which aggregate provision of Rs
 2,228,800,190 has been made in the accounts of earlier year. Out of
 this a provision of Rs 100,000,000 has been written back during the
 year towards loan. The management of the company does not foresee any
 further requirement of provision in respect of these subsidiaries.
 Since the investment in these subsidiaries are long term in nature and
 all of the subsidiaries are having substantial carrying business value.
 
 Further during the year on account of recoveries excess provision for
 doubtful debts amounting to Rs.188,966,964 has been appropriated
 againstthe investment held in subsidiary company.
 
 7.  Donation paid Rs.1,361,000 for which consent of shareholder under
 section 293(1)(e) of the Companies Act, 1956 is yet to be obtained.
 
 8.  Related Party Disclosures:
 
 A.  List of related parties with whom transactions have taken place and
 relationships:
 
 Subsidiaries (Direct and Step down)
 
 1. Jewel Gem USA Inc.; 2. STS Gems Japan Limited; 3. STS Gems Limited,
 Hong Kong; 4. STS Jewels Inc., USA; 5.  STS Creations Thai Limited,
 Thailand; 6. STS Gems Thai Limited, Thailand; 7. Indo Mexico Co. S. De
 R.L. De C.V., Mexico; 8. Genoa Jewelers Limited, BVI; 9. STS Jewels
 Canada INC.; 10. STS Gems USA Inc.; 11. The Jewellery Channel Ltd.,
 United Kingdom; 12. Genoa Jewelers STT (St. Thomas) Limited, USVI; 13.
 Genoa Jewelers (St. Kitts) Limited, West Indies; 14. Genoa Jewelers
 (SXM) N.V., St. Maarten. 15. Der Schmuckkanal Deutschland GmbH; Germany
 16. Liquidation Channel, Austin (formerly known as The Jewellery
 Channel Inc., USA).
 
 Enterprises in which Directors are interested :
 
 1. VGL Softech Limited; 2. Shivram Properties Private Limited. 3.
 Surawell Pacific Limited. 4. Emerald Creation Inc. 5 Brett Plastic Pvt.
 Limited
 
 Key Management Personnel (KMP)
 
 L Shri Rahimullah Managing Director;
 
 Relative of Key Management Personnel
 
 1.Mr.Asifullah;
 
 2.Mr.Arifullah
 
 9.  Segment Reporting:
 
 Due to change in organizational structure as well as business focus of
 company consequent upon acquisition/setting up of various Overseas
 Corporate Bodies, differential risk and rewards are, now, more
 identifiable and associated with the method of distribution of product
 and hence, Company has identified business segment with respect to
 method of distribution as Primary Segment for its Consolidated
 Operation. The Company, on standalone basis, operates in only one
 business segment Wholesale Business In view of this, no further
 disclosure is required as per Accounting Standard AS-17.
 
 10.  Previous year figures have been reworked, regrouped, rearranged
 and reclassified wherever considered necessary, to make them comparable
 to those of the current year.