(Rs. Million)
 
                                                  As at            As at
                                         31st Dec, 2010 30th Sept., 2009 
 
 1.  Contingent Liabilities 
 not provided for in respect of:
 
 a) Letters of Guarantees                         27.67            23.32
 
 b) Letters of Credit opened                     146.18           135.27
 
 c) Excise Duty demands under dispute              2.29             3.41
 
 (Amount paid under protest Rs. 1.00
 million, Previous year Rs. 1.00
 million)
 
 d) Custom Duty demands under dispute             12.38             7.40 
 (Amount paid under
 protest Rs. 2.59 million, Previous 
 year Rs. 1.50 million)
 
 e) Service Tax demands under dispute              1.00             1.00
     
 f) Sales Tax demands under dispute               86.18           120.55
 (Amount paid under
 protest Rs. 27.93 million, 
 Previous year Rs. 26.06 million)
 
 g) The Company is a Co-guarantor in respect of borrowings of group
 companies. The aggregate amount of said guarantees, extended along with
 8 other Co- guarantors are Rs. 9,056.00 million (Previous year Rs.
 9,694.00 million). The said guarantees are extended on the basis of
 support in the form of undertaking provided by certain other group
 companies to the extent of the amount of the guarantees. Further, the
 Company is a Co-guarantor along with 14 other Co- guarantors in respect
 of borrowings of group companies amounting to Rs. 3,500.00 million
 (Previous year Nil).
 
 2.  Secured Loans:
 
 a) The Non-Convertible Debentures are secured by first mortgage and
 charge on immovable and movable properties, both present and future,
 subject to prior charge on specified movables created/to be created in
 favour of Companys Bankers for securing borrowings for working capital
 requirements and excluding equipments charged to Financial Institutions
 for their equipment finance, ranking pari passu with the charge created
 and/or to be created in favour of Financial Institutions/ Banks in
 respect of their existing and future financial assistance.
 
 The Debentures referred above are redeemable at par in one or more
 installments on various dates with the earliest redemption being on 1st
 April, 2011 and last date being 1st April, 2012. The debentures are
 redeemable as follows: Rs. 21.83 million in financial year 2011 and Rs.
 5.21 million in financial year 2012.
 
 b) Rupee Term Loans from Banks and Financial Institutions are secured
 by mortgage and charge on the immovable and movable properties, both
 present and future (subject to the charges created and/or to be created
 in favour of bankers on specified movables/current assets for securing
 borrowings for working capital requirements), ranking pari passu with
 the charges created and/or to be created in favour of other lenders and
 guaranteed by Mr. Venugopal N. Dhoot and Mr.  Pradipkumar N. Dhoot.
 
 c) External Commercial Borrowings are secured by a first charge ranking
 pari passu on the movable and immovable fixed assets. The loan is
 further secured by corporate guarantee given by Videocon Industries
 Limited.
 
 d) The Working Capital Loans from Banks are secured by hypothecation of
 inventories, book-debts and other receivables, both present and future.
 
 3.  Unsecured Loan from Bank is guaranteed by Mr. Venugopal N. Dhoot,
 the director of the Company.
 
 4.  The gross block of the Fixed Assets includes Rs. 1,232.14 million
 (Previous year Rs. 1,232.14 million) on account of revaluation of Plant
 and Machinery made as at 1st April, 1998. The additional depreciation
 of Rs. 8.75 million (Previous year Rs. 13.74 million) consequent to the
 said revaluation has been withdrawn from Revaluation Reserves and
 credited to the Profit and Loss Account.
 
 5.  Estimated amount of contract remaining to be executed on capital
 account and not provided for (net of advances) Rs. 5.07 million
 (Previous Year Nil).
 
 6.  Capital Work in Progress includes advances for capital assets of
 Rs. 12.54 million (Previous year Nil), Interest and Finance Charges
 capitalised during the period Rs. Nil (Previous year Rs. 7.68 million).
 
 7.  As per the accounting policy followed by the Company, the Grant
 received from Ozone Projects Trust Fund for financing the machinery
 under the project has been treated as deferred income to be
 recognised in Profit and Loss Account over the useful life of the
 assets under the project. Accordingly, an amount of Rs. 5.22 million
 (Previous year Rs. 5.22 million) has been allocated to income and
 credited to miscellaneous income, in proportion to the depreciation
 charged on those assets for the period. The balance deferred income has
 been carried to Balance Sheet as Grant from Ozone Projects Trust Fund.
 
 8.  The Company has made a provision of Rs. 43.90 million (Previous
 year Rs. 12.45 million) towards current income tax, after taking into
 consideration, the benefits admissible under the provisions of the
 Income Tax Act, 1961 and the same is, in the opinion of the Management,
 adequate.
 
 9.  The Minimum Alternate Tax (MAT) paid by the Company is entitled to
 be carried forward and utilised in subsequent years. In the opinion of
 Management, on the basis of projections and the estimates of future
 taxable income, the Company would have normal tax liability within the
 specified period to avail such MAT credit.  Consequently, the Company
 has recognized the MAT credit entitlement of Rs. 4.94 million in
 respect of current period.
 
 10.  The Company is primarily engaged in manufacturing of Electrical
 and Electronic Appliances and there is no other reportable segment as
 defined in Accounting Standard 17 Segment Reporting.
 
 11.  Related Party Disclosures:
 
 a) Key Management Personnel
 
 - Mr. Manjunath P. Bhosale (General Manager) upto 31st March, 2010
 
 - Mr. Sanjay R. Patil (Asst. General Manager) w.e.f. 1st April, 2010
 
 12.  Employee Benefits:
 
 i) Defined Contribution Plans:
 
 Amount of Rs. 14.05 million (Previous year Rs. 11.70 million) is
 recognised as an expense and shown under the head Salary, Wages and
 Employees Benefts (Schedule-11) n the Profit and Loss Account
 
 13.  a) The Financial Institutions have a right to convert at their
 option the whole outstanding amount of term loans or a part not
 exceeding 20% of defaulted amount of loan, whichever is lower, into
 fully paid up Equity Shares of the Company at par on default in
 payments/repayments of three consecutive installments of principle
 and/or interest thereon or on mismanagement to the affairs of the
 Company.
 
 b) The Financial Institutions have a right to convert at their option,
 the whole or a part of outstanding amount of Preference Shares, into
 fully paid up Equity Shares of the Company as per SEBI guidelines, on
 default in payment of dividend or a default in redemption of Preference
 Shares or any combination thereof.
 
 14.  The outstanding balances of certain Debtors, Creditors, Deposits
 and Advances are subject to confirmation.
 
 15.  In the opinion of the Board, the value on realisation of Current
 Assets, Loans and Advances in the Ordinary course of the business would
 not be less than the amount at which they are stated in the Balance
 Sheet and the Provision for all known and determined liabilities is
 adequate and not in excess of the amount reasonably required.
 
 16.  There are no amounts due and outstanding, to be credited to
 Investor Education and Protection Fund.
 
 17.  The figures for the current period are for a period of 15 months
 as against 12 months in previous period and hence, are not comparable.
 Figures in respect of previous year have been regrouped, reclassified
 and recasted wherever necessary to make them comparable with those of
 current period.