a) Accrued liability on account of Gratuity payable to the employees of
the Company on retirement at future dates as per actuarial valuation as
at 31st March, 2013 amounts to Rs. 2,30,97,562/- (2012 Rs.
2,19,47,713/-). A total sum of Rs. 5,13,38,560/- (including Rs.
34,32,000/- during the current year) has been charged in the Financial
Statements and paid to LICI by way of premium under Group Gratuity
Scheme for its employees to cover current as well as past liability.
b) Warranty costs are accrued at the time the products are sold. Based
on past experience, the provision is discharged over the contractual
warranty period from the date of sale. During the year, Rs.
1,18,16,421/- have been incurred against earlier provisions, and Rs.
91,25,000/- have been provided.
c) Research and Development Expenses
Research and Deveopement Expenses relating to revenue nature
aggregating to Rs. 74.32 lacs (2012 - Rs. 66.97 lacs) have been charged
to respective heads of accounts in the Statement of Profit and Loss,
and relating to capital nature aggregating to Rs. 3.78 lacs (2012 - Rs.
Nil) have been capitalised under different heads in Fixed Assets in the
d) Disclosure on Joint Venture Entity :
a) Details of Joint Venture :
Name of Joint Venture Entity : Clyde Pump India Private Limited
Country of Incorporation : India
Proportion of Ownership Interest : 40%
e) Related Party Transactions :
Related party disclosures as required under Accounting Standard - 18 on
Related Party Disclosures issued by the Institute of Chartered
Accountants of India, as certified by the management, are given below :
i) Joint Venture Clyde Pump India Private Limited (Clyde)
ii) Subsidiaries Sterling Pumps Pty Limited - Australia (Sterling)
WPIL International Ltd. - Singapore (WPIL-Sing.) Mody Industries
(F.C.) Private Limited (Mody)
iii) Stepdown Subsidiaries Mathers Foundry Limited, Manchester, U.K.
WPIL SA Holding Pty Limited
APE Pumps Pty Limited
Mather & Platt (SA) Pty Limited
PSV Services Pty Limited
PSV Properties 2 Pty Limited
PSV Zambia Limited (Zambia)
Global Pumps Services (FZE)
iv) Key Management Personnel and their relatives
Mr. P. Agarwal : Managing Director
Mr. V. N. Agarwal : Director, Father of Mr. P. Agarwal
Mr. K. K. Ganeriwala : Executive Director
v) Companies over which key management personnel or relatives are able
to exercise control/significant influence control/significant influence
Bengal Steel Industries Limited (Bengal Steel)
Hindusthan Udyog Limited (HUL)
WPIL (Thailand) Company Ltd. (WPIL-Thy.)