Accounting Policies of IITL Projects Ltd. Company

Mar 31, 2025

2.1 Material Accounting Policies Information

These financial statements have been prepared in accordance with Indian Accounting Standards (Ind AS) notified under Section
133 of the Companies Act, 2013 (the Act), read with the Companies (Indian Accounting Standards) Rules, 2015 and other relevant
provisions of the Act.

The standalone financial statements are presented in Indian Rupees (Rs) which is the functional currency of the Company and all
values are rounded to the nearest thousand, except where otherwise indicated.

Entity specific disclosure of material accounting policies where Ind AS permits options is disclosed hereunder.

The Company has assessed the materiality of the accounting policy information which involves exercising judgements and
considering both qualitative and quantitative factors by taking into account not only the size and nature of the item or condition but
also the characteristics of the transactions, events or conditions that could make the information more likely to impact the decisions
of the users of the financial statements.

Entity''s conclusion that an accounting policy is immaterial does not affect the disclosures requirements set out in the accounting
standards.

The company adopted Ind AS from 1st April 2017. Accounting Policies have been consistently applied except where a newly-issued
Accounting Standard is initially adopted or a revision to an existing Accounting Standard requires a change in the Accounting
Policy hitherto adopted.

2.2 Basis of preparation and compliance

The financial statements are prepared in accordance with the historical cost convention except for certain items that are measured
at fair values at the end of each reporting period, as explained in the Accounting Policies set out below. The financial statements
are prepared on a ''going concern'' basis using accrual concept except for the cash flow information.

Historical cost is generally based on fair value of the consideration given in exchange for goods and services.

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market
participants at the measurement date, regardless of whether that price is directly observable or estimated using another valuation
technique. In estimating the fair value of an asset or a liability, the Company takes into account the characteristics of the asset or
liability that the market participants would take into account when pricing the asset or liability at the measurement date, assuming
the market participants act in their economic best interest. Fair value for measurement and/or disclosure purposes in these
financial statements is determined on such a basis and measurements that have some similarities to fair value but are not fair
value, such as net realisable value in Ind AS-2 - Inventories or Value in Use in Ind AS 36 - Impairment of Assets.

In addition, for financial reporting purposes, fair value measurements are categorised into Level 1, 2 or 3 based on the degree to
which the inputs to the fair value measurements are observable and the significance of the inputs to the fair value measurement
in its entirety, as described hereunder:

Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement
date.

Level 2 - Other than quoted prices included within Level 1, that are observable for the asset or liability, either directly or indirectly; and

Level 3 - Unobservable inputs for the asset or liability.

Transactions and balances with values below the rounding off norm adopted by the Company have been reflected as ''--'' in these
financial statements.

2.3 Current / Non-Current classification

An asset or liability is classified as Current if it satisfies any of the following conditions:

(i) the asset / liability is expected to be realised / settled in the Company''s normal operating cycle;

(ii) the asset is intended for sale or consumption

(iii) the asset / liability is held primarily for the purpose of trading;

(iv) the asset / liability is expected to be realised / settled within twelve months after the reporting period;

(v) the asset is cash or cash equivalent, unless it is restricted from being exchanged or used to settle a liability for at least
twelve months after the reporting period;

(vi) in the case of a liability, the Company does not have an unconditional right to defer settlement of the liability for at least
twelve months after the reporting period.

All other assets and liabilities are classified as Non-Current.

For the purpose of Current / Non-Current classification, the Company has reckoned its normal operating cycle as twelve months
based on the nature of products and the time between the acquisition of assets or inventories for processing and their realisation
in cash and cash equivalents.

Deferred Tax Assets and Liabilities are classified as Non-Current.

Advances given towards acquisition of fixed assets, outstanding at each Balance Sheet date, are disclosed as Other Non-Current
Assets.

2.4 Revenue

(a) Revenue from Operation

The Firm has aligned its policy of revenue recognition with Ind AS 115 “Revenue from Contracts with customers” which is
effective from April 1, 2018. Accordingly revenue in realty business is recognised on completion of performance obligation
as against recognition based on percentage of completion method hitherto in accordance with the guidance note issued by
ICAI which has since been withdrawn for entities preparing financials as per Indian Accounting Standards (Ind AS).

(b) Interest Income

Interest income from a financial asset is recognized when it is probable that the economic benefits will flow to the Company
and the amount of income can be measured reliably. Interest income is accrued on a time basis, by reference to the
principal outstanding and at the effective interest rate applicable, which is the rate that exactly discounts estimated future
cash receipts through the expected life of the financial asset to that asset''s net carrying amount on initial recognition.

(c ) Other Income

Other income is recognised on an accrual basis only when there is certainty of collection.

2.5 Inventories

Stock of units in completed project and construction work-in-progress are valued at lower of cost and net realisable value. Cost is
aggregate of land cost, premium for development rights, materials, contract works, direct expenses, provisions and apportioned
borrowing costs and is net of material scrap receipts, and in case of construction work-in-progress is after ascertaining the cost of
sales which is determined based on the total area sold as at the Balance Sheet date.

2.6 Property, Plant and Equipment

Items of property, plant and equipment stated at historical cost less accumulated depreciation. Historical cost includes expenditure
that is directly attributable to the acquisition of the items.

Subsequent costs are included in the asset''s carrying amount or recognised as a separate asset, as appropriate, only when it is
probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured
reliably. The carrying amount of any component accounted for as a separate asset is derecognized when replaced. All other
repairs and maintenance are charged to profit or loss during the reporting period in which they are incurred.

Depreciation on Property, Plant and Equipment has been provided on the written down value method at the rates determined
based on the useful life prescribed in Schedule II to the 2013 Act.

Depreciation on additions to Property, Plant and Equipment is provided for the full year irrespective of the date of addition. No
depreciation is provided in the year of deletions of Property, Plant and Equipment.

Intangible assets are amortised over their estimated useful life as follows:

Computer : 2-5 Years

The estimated useful life of the intangible assets and the amortisation period are reviewed at the end of each financial year and
the amortisation method is revised to reflect the changed pattern.

2.7 Employment Benefits

(a) Short Term Employee Benefits

Liabilities for wages and salaries, including non-monetary benefits that are expected to be settled wholly within 12 months
after the end of the period in which the employees render the related service are recognised at an undiscounted amount
in respect of employees'' service up to the end of the year and are measured at the amounts expected to be paid when the
liabilities are settled. The liabilities are presented as current employee benefit obligation in the balance sheet.

(b) Long Term Employee Benefits

1) Defined contribution plan

The eligible employees of the Company are entitled to receive post employment benefits in respect of provident
and family pension fund, in which both employees and the Company makes monthly contributions at a specified
percentage of the employees'' eligible salary (currently 12% of employees'' eligible salary). The contributions
are made to Employees Provident Fund Organisation. Provident Fund and Family Pension Fund are classified
as Defined Contribution Plans as the Company has no further obligation beyond making the contribution. The
Company''s contributions to Defined Contribution Plan are charged to Statement of Profit and Loss as incurred.

2) Defined benefit plans

i) Gratuity

The Company has an obligation towards gratuity, a defined benefit retirement plan covering eligible employees.
The plan provides a lump sum payment to vested employees at retirement, death while in employment or on
termination of employment of an amount equivalent to 15 days salary payable for each completed year of
service. Vesting occurs upon completion of five years of service. The Company makes contribution to a fund
managed by LIC of India based on management estimate made at the end of the year. Gains and losses are
recognised in the Statement of Profit and Loss.

ii) Compensated absences

The Company provides for the encashment of leave or leave with pay subject to certain rules. The Employees
are entitled to accumulate leave subject to certain limits for future encashment/availment. The Company
makes provision for compensated absences based on management estimate made at the end of the year.
Gains and losses are recognised in the Statement of Profit and Loss.

2.8 Taxation

Taxes on income comprise of Current Tax and Deferred Tax.
a. Current Tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from ''profit before tax'' as reported in
the Statement of Profit and Loss because of items of income or expense that are taxable or deductible in other years and
items that are never taxable or deductible. The Company''s current tax is calculated using tax rates that have been enacted
or substantively enacted by the end of the reporting period in the countries where the Company, its branches and jointly
controlled operations operate and generate taxable income. Management periodically evaluates positions taken in tax
returns with respect to situations in which applicable tax regulations is subject to interpretations. It establishes provisions,
where appropriate, on the basis of amounts expected to be paid to the tax authorities.

b. Deferred Tax

Deferred tax is recognised on temporary differences between the carrying amounts of assets and liabilities in the financial
statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally
recognised for all taxable temporary differences. Deferred tax assets are generally recognised for all deductible temporary
differences to the extent that it is probable that taxable profits will be available against which those deductible temporary
differences can be utilised. Such deferred tax assets and liabilities are not recognised if the temporary difference arises
from the initial recognition (other than in a business combination) of assets and liabilities in a transaction that affects neither
the taxable profit nor the accounting profit.

Deferred tax liabilities are recognised for taxable temporary differences associated with interests in joint operations except
where the Company is able to control the reversal of the temporary difference and it is probable that the temporary difference
will not reverse in the foreseeable future. Deferred tax assets arising from deductible temporary differences associated with
such interests are only recognised to the extent that it is probable that there will be sufficient taxable profits against which
to utilise the benefits of the temporary differences and they are expected to reverse in the foreseeable future.

The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that
it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Deferred tax liabilities and assets are measured at the tax rates that are expected to apply in the period in which the liability
is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the
end of the reporting period.

The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in
which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and
liabilities.

Deferred tax liabilities are not recognised for temporary differences between the carrying amount and tax bases of investments
in subsidiaries, associates and interest in joint arrangements where the Company is able to control the timing of the reversal of
the temporary differences and it is probable that the differences will not reverse in the foreseeable future.

Deferred tax assets are not recognised for temporary differences between the carrying amount and tax bases of investments
in subsidiaries, branches and associates and interest in joint arrangements where it is not probable that the differences will
reverse in the foreseeable future and taxable profit will not be available against which the temporary differences can be
utilised.

Deferred tax assets and liabilities are offset when there is legally enforceable right to offset current tax assets and liabilities
and when the deferred tax balances relate to the same taxation authority. Current tax assets and liabilities are offset when
entity has legally enforceable right to offset and intends either to settle on a net basis, or to realise the asset and settle the
liability simultaneously.

Minimum Alternate Tax (MAT) paid in a year is charged to the statement of profit and loss as current tax. The Company
recognises MAT credit available as an asset only to the extent that there is reasonable certainty that the Company will pay
normal income tax during the specified period, i.e., the period for which MAT credit is allowed to be carried forward. The
MAT credit to the extent there is reasonable certainty that the Company will utilise the credit is recognised in the statement
of profit and loss and corresponding debit is done to the deferred tax asset as unused tax credit.

2.9 Segment Reporting

Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision maker
(CODM) as defined by Ind AS- 108, “Operating segment”.

Company''s income and expenses including interest are considered as part of un-allocable income and expenses which are not
identifiable to any business segment. Company''s asset and liabilities are considered as part of un-allocable assets and liabilities
which are not identifiable to any business.

2.10 Fair Value Measurement

The Company measures financial instrument at fair value at each reporting date. Fair value is the price that would be received to
sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair
value measurement is based on the presumption that the transaction to sell the asset or transfer or transfer liability takes place
either: :

(a) In the principal market for the asset or liability ,or

(b) In the absence of a principal market, in the most advantageous market for the asset or liability.

The Principal or the most advantageous market must be accessible to the Company. The fair value of an asset or a liability is
measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market
participants act in their economic best interest. The company uses valuation techniques that are more appropriate in the
circumstances and for which sufficient data are available to measure fair value, maximising the use of relevant observable input
and minimizing the use of unobservable inputs.

Level 1 - Quoted (unadjusted) market prices in active markets for identical assets of liabilities

Level 2 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or
indirectly observable

Level 3 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable

For assets and liabilities that are recognised in the financial statements on a recurring basis, the Company determines whether
transfers have occurred between levels in the hierarchy by re-assessing categorisation (based on the lowest level input that is
significant to the fair value measurement as a whole) at the end of each reporting period.

For the purpose of fair value disclosures, the Company has determined classes of assets and liabilities on the basis of the nature,
characteristic and risks of the asset or liability and the level of the fair value hierarchy as explained above.

2.11 Financial instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of
another entity.

Financial assets and liabilities are recognized when the Company becomes a party to the contractual provisions of the
instrument.

Financial assets

a) Classification

The Company classifies its financial assets in the following measurement categories:

i) those to be measured subsequently at fair value (either through other comprehensive income, or through profit or
loss), and

ii) those measured at amortised cost.

The classification depends on the entity''s business model for managing the financial assets and the contractual terms of
the cash flows.

For assets measured at fair value, gains and losses will either be recorded in profit or loss or other comprehensive
income.

b) Measurement

Initial recognition:

At initial recognition, the Company measures a financial asset at its fair value plus, in the case of a financial asset not
at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset.
Transaction costs of financial assets carried at fair value through profit or loss are expensed in profit or loss.

Subsequent measurement :

After initial recognition, financial assets are measured at:

i) fair value (either through other comprehensive income or through profit or loss), or

ii) amortized cost

Debt instruments :

Debt instruments are subsequently measured at amortized cost, fair value through other comprehensive income (''FVOCI'') or fair
value through profit or loss (''FVTPL'') till de-recognition on the basis of (i) the entity''s business model for managing the financial
assets and (ii) the contractual cash flow characteristics of the financial asset.

The company classifies its debt instruments into three measurement categories:

i) Amortized Cost: Assets that are held for collection of contractual cash flows where those cash flows represent solely
payments of principal and interest are measured at amortized cost. A gain or loss on a debt investment that is subsequently
measured at amortized cost is recognized in the Statement of Profit and Loss when the asset is derecognized or impaired.
Interest income from these financial assets is included in other income using the effective interest rate method.

ii) Fair Value through Other Comprehensive Income (FVOCI): Assets that are held for collection of contractual cash flows
and for selling the financial assets, where the assets'' cash flows represent solely payments of principal and interest, are
measured at FVOCI. Movements in the carrying amount are taken through OCI, except for the recognition of impairment
gains or losses, interest revenue and foreign exchange gains and losses, which are recognized in the Statement of Profit
and Loss. When the financial asset is derecognized, the cumulative gain or loss previously recognized in OCI is reclassified
from equity to profit or loss and recognized in other gains/ (losses). Interest income from these financial assets is included
in other income using the effective interest rate method.

iii) Fair Value through Profit or Loss (FVTPL): Assets that do not meet the criteria for amortized cost or FVOCI are measured at
FVTPL. A gain or loss on a debt investment that is subsequently measured at fair value through profit or loss is recognized
in profit or loss in the period in which it arises. Interest income from these financial assets are recognized in the Statement
of profit and loss.

c) Impairment

The Company assesses on a forward looking basis the expected credit losses associated with its assets carried at amortised
cost. The impairment methodology applied depends on whether there has been a significant increase in credit risk.

For trade receivables only, the Company applies the simplified approach permitted by Ind AS 109 Financial Instruments,
which requires expected lifetime losses to be recognised from initial recognition of the receivables.

d) De-recognition

A financial asset is derecognised only when:

i) the rights to receive cash flows from the asset have expired, or

ii) the Company has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the
received cash flows to one or more recipient. or

iii) retains the contractual rights to receive the cash flows of the financial asset, but assumes a contractual obligation
to pay the cash flows to one or more recipients.

Where the entity has transferred an asset, the Company evaluates whether it has transferred substantially all risks and
rewards of ownership of the financial asset. In such cases, the financial asset is derecognised. Where the entity has not
transferred substantially all risks and rewards of ownership of the financial asset, the financial asset is not derecognised.

Where the entity has neither transferred a financial asset nor retains substantially all risks and rewards of ownership of the
financial asset, the financial asset is derecognised if the Company has not retained control of the financial asset. Where
the Company retains control of the financial asset, the asset is continued to be recognised to the extent of continuing
involvement in the financial asset.

Financial liabilities

a) Measurement

Initial recognition:

Financial liabilities are initially measured at its fair value plus or minus, in the case of a financial liability not at fair value
through profit or loss, transaction costs that are directly attributable to the issue/origination of the financial liability.

Subsequent Measurement :

Financial liabilities are classified as measured at amortized cost or FVTPL. A financial liability is classified as at FVTPL if it
is classified as held- for- trading, or it is a derivative or it is designated as such on initial recognition. Financial liabilities at
FVTPL are measured at fair value and net gains and losses, including any interest expense, are recognized in statement of
profit and loss. Other financial liabilities are subsequently measured at amortized cost using the effective interest method.
Interest expense and foreign exchange gains and losses are recognized in statement of profit and loss. Any gain or loss on
derecognition is also recognized in statement of profit and loss.

b) De-recognition

A financial liability is derecognized when the obligation specified in the contract is discharged, cancelled or expires.

2.12 Impairment of Assets

An asset is impaired when its carrying amount exceeds its recoverable amount. An entity should assess at the end of each
reporting period whether there exists any indication, the entity should estimate the recoverable amount of the asset. If there is an
indication that an asset may be impaired, then the remaining useful life, the amortisation method and the residual value needs to
be reviewed and adjusted even if no impairment loss is recognized for the asset.

2.13 Financial Risk Management Objectives and Policies

The Company''s principal financial liabilities comprise trade and other payables. The main purpose of these financial liabilities is to
finance the Company''s operations. The Company''s principal financial assets comprise trade and other receivables, and cash that
arrive directly from its operations.

The Company is exposed to commodity price risk, credit risk and liquidity risk.

The Company''s senior management oversees the management of these risks.

The Management Committee reviews and agrees policies for managing each of these risks which are summarized below:
Commodity Price Risk:

The Company is affected by the volatility of certain commodities. Its operating activities require the ongoing purchase of stock and
therefore require a continuous supply of the same.

Credit Risk:

The Company is exposed to credit risk from its operating activities (primarily for trade receivables) and from its financing activities,
including deposits with banks and financial institutions.

• Trade Receivables

Customer credit risk is managed by the Company''s established policy, procedures and control relating to customer credit risk
management. Credit quality of the customer is assessed and individual limits are defined in accordance with this assessment.
Outstanding customer receivables are regularly monitored.

• Cash Deposits

Risk from balances with banks are managed by maintaining the balances with highly reputed commercial banks only.

Liquidity Risk:

The Company monitors its risk to a shortage of funds on a regular basis through cash forecast.

B Key Accounting Estimates and Judgments

2.14 Use of Estimates

The preparation of financial statements in conformity with Ind AS requires Management to make judgments, estimates and
assumptions that affect the application of the accounting policies and the reported amounts of assets and liabilities, the disclosure
of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses
during the year. Actual results could differ from those estimates.

2.15 Key sources of estimation uncertainty

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised
in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods
if the revision affects both current and future periods.

Key assumption concerning the future, and other key sources of estimation uncertainty at the end of the reporting period that may
have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial
year is as given below.

a) Fair value measurement and valuation processes

Some of the Company''s assets and liabilities are measured at fair value for financial reporting purposes. In estimating the
fair value of an asset or a liability, the Company uses market-observable data to the extent it is available. Where Level 1
inputs are not available, the Company engages third party qualified valuers to perform the valuation. The Management works
closely with the qualified external valuers to establish the appropriate valuation techniques and inputs to the model.

b) Useful life of Property, Plant and Equipments

The Company reviews the estimated useful lives of Property, Plant and Equipment at the end of each reporting period.
During the current year, there has been no change in useful life considered for the assets.

c) Actuarial valuation

The determination of Company''s liability towards defined benefit obligation to employees is made through independent
actuarial valuation including determination of amounts to be recognised in the State of Profit and Loss and in Other
Comprehensive Income. Such valuation depend upon assumptions determined after taking into account inflation, seniority,
promotion and other relevant factors such as supply and demand factors in the employment market. Information about such
valuation is provided in notes to the financial statements.

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Mar 31, 2024

2.1 Material Accounting Policies Information

These financial statements have been prepared in accordance with Indian Accounting Standards (Ind AS) notified under Section
133 of the Companies Act, 2013 (the Act), read with the Companies (Indian Accounting Standards) Rules, 2015 and other relevant
provisions of the Act.

The standalone financial statements are presented in Indian Rupees (?) which is the functional currency of the Company and all
values are rounded to the nearest thousand, except where otherwise indicated.

Entity specific disclosure of material accounting policies where Ind AS permits options is disclosed hereunder.

The Company has assessed the materiality of the accounting policy information which involves exercising judgements and
considering both qualitative and quantitative factors by taking into account not only the size and nature of the item or condition but
also the characteristics of the transactions, events or conditions that could make the information more likely to impact the decisions
of the users of the financial statements.

Entity''s conclusion that an accounting policy is immaterial does not affect the disclosures requirements set out in the accounting
standards.

The company adopted Ind AS from 1st April 2017. Accounting Policies have been consistently applied except where a newly-issued
Accounting Standard is initially adopted or a revision to an existing Accounting Standard requires a change in the Accounting
Policy hitherto adopted.

2.2 Basis of preparation and compliance

The financial statements are prepared in accordance with the historical cost convention except for certain items that are measured
at fair values at the end of each reporting period, as explained in the Accounting Policies set out below. The financial statements
are prepared on a ''going concern'' basis using accrual concept except for the cash flow information.

Historical cost is generally based on fair value of the consideration given in exchange for goods and services.

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market
participants at the measurement date, regardless of whether that price is directly observable or estimated using another valuation
technique. In estimating the fair value of an asset or a liability, the Company takes into account the characteristics of the asset or
liability that the market participants would take into account when pricing the asset or liability at the measurement date, assuming
the market participants act in their economic best interest. Fair value for measurement and/or disclosure purposes in these
financial statements is determined on such a basis and measurements that have some similarities to fair value but are not fair
value, such as net realisable value in Ind AS-2 - Inventories or Value in Use in Ind AS 36 - Impairment of Assets.

In addition, for financial reporting purposes, fair value measurements are categorised into Level 1, 2 or 3 based on the degree to
which the inputs to the fair value measurements are observable and the significance of the inputs to the fair value measurement
in its entirety, as described hereunder:

Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement
date.

Level 2 - Other than quoted prices included within Level 1, that are observable for the asset or liability, either directly or indirectly; and
Level 3 - Unobservable inputs for the asset or liability.

Transactions and balances with values below the rounding off norm adopted by the Company have been reflected as ''--'' in these
financial statements.

2.3 Current / Non-Current classification

An asset or liability is classified as Current if it satisfies any of the following conditions:

(i) the asset / liability is expected to be realised / settled in the Company''s normal operating cycle;

(ii) the asset is intended for sale or consumption

(iii) the asset / liability is held primarily for the purpose of trading;

(iv) the asset / liability is expected to be realised / settled within twelve months after the reporting period;

(v) the asset is cash or cash equivalent, unless it is restricted from being exchanged or used to settle a liability for at least
twelve months after the reporting period;

(vi) in the case of a liability, the Company does not have an unconditional right to defer settlement of the liability for at least
twelve months after the reporting period.

All other assets and liabilities are classified as Non-Current.

For the purpose of Current / Non-Current classification, the Company has reckoned its normal operating cycle as twelve months
based on the nature of products and the time between the acquisition of assets or inventories for processing and their realisation
in cash and cash equivalents.

Deferred Tax Assets and Liabilities are classified as Non-Current.

Advances given towards acquisition of fixed assets, outstanding at each Balance Sheet date, are disclosed as Other Non-Current
Assets.

2.4 Revenue

(a) Revenue from Operation

The Firm has aligned its policy of revenue recognition with Ind AS 115 “Revenue from Contracts with customers” which is
effective from April 1, 2018. Accordingly revenue in realty business is recognised on completion of performance obligation
as against recognition based on percentage of completion method hitherto in accordance with the guidance note issued by
ICAI which has since been withdrawn for entities preparing financials as per Indian Accounting Standards (Ind AS).

(b) Interest Income

Interest income from a financial asset is recognized when it is probable that the economic benefits will flow to the Company
and the amount of income can be measured reliably. Interest income is accrued on a time basis, by reference to the
principal outstanding and at the effective interest rate applicable, which is the rate that exactly discounts estimated future
cash receipts through the expected life of the financial asset to that asset''s net carrying amount on initial recognition.

(c ) Other Income

Other income is recognised on an accrual basis only when there is certainty of collection.

2.5 Inventories

Stock of units in completed project and construction work-in-progress are valued at lower of cost and net realisable value. Cost is
aggregate of land cost, premium for development rights, materials, contract works, direct expenses, provisions and apportioned
borrowing costs and is net of material scrap receipts, and in case of construction work-in-progress is after ascertaining the cost of
sales which is determined based on the total area sold as at the Balance Sheet date.

2.6 Property, Plant and Equipment

Items of property, plant and equipment stated at historical cost less accumulated depreciation. Historical cost includes expenditure
that is directly attributable to the acquisition of the items.

Subsequent costs are included in the asset''s carrying amount or recognised as a separate asset, as appropriate, only when it is
probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured
reliably. The carrying amount of any component accounted for as a separate asset is derecognized when replaced. All other
repairs and maintenance are charged to profit or loss during the reporting period in which they are incurred.

Depreciation on Property, Plant and Equipment has been provided on the written down value method at the rates determined
based on the useful life prescribed in Schedule II to the 2013 Act.

Depreciation on additions to Property, Plant and Equipment is provided for the full year irrespective of the date of addition. No
depreciation is provided in the year of deletions of Property, Plant and Equipment.

Intangible assets are amortised over their estimated useful life as follows:

Computer : 2-5 Years

The estimated useful life of the intangible assets and the amortisation period are reviewed at the end of each financial year and
the amortisation method is revised to reflect the changed pattern.

2.7 Employment Benefits

(a) Short Term Employee Benefits

Liabilities for wages and salaries, including non-monetary benefits that are expected to be settled wholly within 12 months
after the end of the period in which the employees render the related service are recognised at an undiscounted amount
in respect of employees'' service up to the end of the year and are measured at the amounts expected to be paid when the
liabilities are settled. The liabilities are presented as current employee benefit obligation in the balance sheet.

(b) Long Term Employee Benefits

1) Defined contribution plan

The eligible employees of the Company are entitled to receive post employment benefits in respect of provident
and family pension fund, in which both employees and the Company makes monthly contributions at a specified
percentage of the employees'' eligible salary (currently 12% of employees'' eligible salary). The contributions
are made to Employees Provident Fund Organisation. Provident Fund and Family Pension Fund are classified
as Defined Contribution Plans as the Company has no further obligation beyond making the contribution. The
Company''s contributions to Defined Contribution Plan are charged to Statement of Profit and Loss as incurred.

2) Defined benefit plans

i) Gratuity

The Company has an obligation towards gratuity, a defined benefit retirement plan covering eligible employees.
The plan provides a lump sum payment to vested employees at retirement, death while in employment or on
termination of employment of an amount equivalent to 15 days salary payable for each completed year of
service. Vesting occurs upon completion of five years of service. The Company makes contribution to a fund
managed by LIC of India based on management estimate made at the end of the year. Gains and losses are
recognised in the Statement of Profit and Loss.

ii) Compensated absences

The Company provides for the encashment of leave or leave with pay subject to certain rules. The Employees
are entitled to accumulate leave subject to certain limits for future encashment/availment. The Company
makes provision for compensated absences based on management estimate made at the end of the year.
Gains and losses are recognised in the Statement of Profit and Loss.

2.8 Taxation

Taxes on income comprise of Current Tax and Deferred Tax.
a. Current Tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from ''profit before tax'' as reported in
the Statement of Profit and Loss because of items of income or expense that are taxable or deductible in other years and
items that are never taxable or deductible. The Company''s current tax is calculated using tax rates that have been enacted
or substantively enacted by the end of the reporting period in the countries where the Company, its branches and jointly
controlled operations operate and generate taxable income. Management periodically evaluates positions taken in tax
returns with respect to situations in which applicable tax regulations is subject to interpretations. It establishes provisions,
where appropriate, on the basis of amounts expected to be paid to the tax authorities.

b. Deferred Tax

Deferred tax is recognised on temporary differences between the carrying amounts of assets and liabilities in the financial
statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally
recognised for all taxable temporary differences. Deferred tax assets are generally recognised for all deductible temporary
differences to the extent that it is probable that taxable profits will be available against which those deductible temporary
differences can be utilised. Such deferred tax assets and liabilities are not recognised if the temporary difference arises
from the initial recognition (other than in a business combination) of assets and liabilities in a transaction that affects neither
the taxable profit nor the accounting profit.

Deferred tax liabilities are recognised for taxable temporary differences associated with interests in joint operations except
where the Company is able to control the reversal of the temporary difference and it is probable that the temporary difference
will not reverse in the foreseeable future. Deferred tax assets arising from deductible temporary differences associated with
such interests are only recognised to the extent that it is probable that there will be sufficient taxable profits against which
to utilise the benefits of the temporary differences and they are expected to reverse in the foreseeable future.

The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that
it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Deferred tax liabilities and assets are measured at the tax rates that are expected to apply in the period in which the liability
is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the
end of the reporting period.

The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in
which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and
liabilities.

Deferred tax liabilities are not recognised for temporary differences between the carrying amount and tax bases of
investments in subsidiaries, associates and interest in joint arrangements where the Company is able to control the timing
of the reversal of the temporary differences and it is probable that the differences will not reverse in the foreseeable future.

Deferred tax assets are not recognised for temporary differences between the carrying amount and tax bases of investments
in subsidiaries, branches and associates and interest in joint arrangements where it is not probable that the differences will
reverse in the foreseeable future and taxable profit will not be available against which the temporary differences can be
utilised.

Deferred tax assets and liabilities are offset when there is legally enforceable right to offset current tax assets and liabilities
and when the deferred tax balances relate to the same taxation authority. Current tax assets and liabilities are offset when
entity has legally enforceable right to offset and intends either to settle on a net basis, or to realise the asset and settle the
liability simultaneously.

Minimum Alternate Tax (MAT) paid in a year is charged to the statement of profit and loss as current tax. The Company
recognises MAT credit available as an asset only to the extent that there is reasonable certainty that the Company will pay
normal income tax during the specified period, i.e., the period for which MAT credit is allowed to be carried forward. The
MAT credit to the extent there is reasonable certainty that the Company will utilise the credit is recognised in the statement
of profit and loss and corresponding debit is done to the deferred tax asset as unused tax credit.

2.9 Segment Reporting

Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision maker
(CODM) as defined by Ind AS- 108, “Operating segment”.

Company''s income and expenses including interest are considered as part of un-allocable income and expenses which are not
identifiable to any business segment. Company''s asset and liabilities are considered as part of un-allocable assets and liabilities
which are not identifiable to any business.

2.10 Fair Value Measurement

The Company measures financial instrument at fair value at each reporting date. Fair value is the price that would be received to
sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair
value measurement is based on the presumption that the transaction to sell the asset or transfer or transfer liability takes place
either:

(a) In the principal market for the asset or liability ,or

(b) In the absence of a principal market, in the most advantageous market for the asset or liability.

The Principal or the most advantageous market must be accessible to the Company. The fair value of an asset or a liability is
measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market
participants act in their economic best interest. The company uses valuation techniques that are more appropriate in the
circumstances and for which sufficient data are available to measure fair value, maximising the use of relevant observable input
and minimizing the use of unobservable inputs.

Level 1 - Quoted (unadjusted) market prices in active markets for identical assets of liabilities

Level 2 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or
indirectly observable

Level 3 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable

For assets and liabilities that are recognised in the financial statements on a recurring basis, the Company determines whether
transfers have occurred between levels in the hierarchy by re-assessing categorisation (based on the lowest level input that is
significant to the fair value measurement as a whole) at the end of each reporting period.

For the purpose of fair value disclosures, the Company has determined classes of assets and liabilities on the basis of the nature,
characteristic and risks of the asset or liability and the level of the fair value hierarchy as explained above.

2.11 Financial instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of
another entity.

Financial assets and liabilities are recognized when the Company becomes a party to the contractual provisions of the
instrument.

Financial assets

a) Classification

The Company classifies its financial assets in the following measurement categories:

i) those to be measured subsequently at fair value (either through other comprehensive income, or through profit or
loss), and

ii) those measured at amortised cost.

The classification depends on the entity''s business model for managing the financial assets and the contractual terms of
the cash flows.

For assets measured at fair value, gains and losses will either be recorded in profit or loss or other comprehensive
income.

b) Measurement

Initial recognition:

At initial recognition, the Company measures a financial asset at its fair value plus, in the case of a financial asset not
at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset.
Transaction costs of financial assets carried at fair value through profit or loss are expensed in profit or loss.

Subsequent measurement :

After initial recognition, financial assets are measured at:

i) fair value (either through other comprehensive income or through profit or loss), or

ii) amortized cost

Debt instruments :

Debt instruments are subsequently measured at amortized cost, fair value through other comprehensive income (''FVOCI'') or fair
value through profit or loss (''FVTPL'') till de-recognition on the basis of (i) the entity''s business model for managing the financial
assets and (ii) the contractual cash flow characteristics of the financial asset.

The company classifies its debt instruments into three measurement categories:

i) Amortized Cost: Assets that are held for collection of contractual cash flows where those cash flows represent solely
payments of principal and interest are measured at amortized cost. A gain or loss on a debt investment that is subsequently
measured at amortized cost is recognized in the Statement of Profit and Loss when the asset is derecognized or impaired.
Interest income from these financial assets is included in other income using the effective interest rate method.

ii) Fair Value through Other Comprehensive Income (FVOCI): Assets that are held for collection of contractual cash flows
and for selling the financial assets, where the assets'' cash flows represent solely payments of principal and interest, are
measured at FVOCI. Movements in the carrying amount are taken through OCI, except for the recognition of impairment
gains or losses, interest revenue and foreign exchange gains and losses, which are recognized in the Statement of Profit
and Loss. When the financial asset is derecognized, the cumulative gain or loss previously recognized in OCI is reclassified
from equity to profit or loss and recognized in other gains/ (losses). Interest income from these financial assets is included
in other income using the effective interest rate method.

iii) Fair Value through Profit or Loss (FVTPL): Assets that do not meet the criteria for amortized cost or FVOCI are measured at
FVTPL. A gain or loss on a debt investment that is subsequently measured at fair value through profit or loss is recognized
in profit or loss in the period in which it arises. Interest income from these financial assets are recognized in the Statement
of profit and loss.

c) Impairment

The Company assesses on a forward looking basis the expected credit losses associated with its assets carried at amortised
cost. The impairment methodology applied depends on whether there has been a significant increase in credit risk.

For trade receivables only, the Company applies the simplified approach permitted by Ind AS 109 Financial Instruments,
which requires expected lifetime losses to be recognised from initial recognition of the receivables.

d) De-recognition

A financial asset is derecognised only when:

i) the rights to receive cash flows from the asset have expired, or

ii) the Company has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the
received cash flows to one or more recipient. or

iii) retains the contractual rights to receive the cash flows of the financial asset, but assumes a contractual obligation
to pay the cash flows to one or more recipients.

Where the entity has transferred an asset, the Company evaluates whether it has transferred substantially all risks and
rewards of ownership of the financial asset. In such cases, the financial asset is derecognised. Where the entity has not
transferred substantially all risks and rewards of ownership of the financial asset, the financial asset is not derecognised.

Where the entity has neither transferred a financial asset nor retains substantially all risks and rewards of ownership of the
financial asset, the financial asset is derecognised if the Company has not retained control of the financial asset. Where
the Company retains control of the financial asset, the asset is continued to be recognised to the extent of continuing
involvement in the financial asset.

Financial liabilities

a) Measurement

Initial recognition:

Financial liabilities are initially measured at its fair value plus or minus, in the case of a financial liability not at fair value
through profit or loss, transaction costs that are directly attributable to the issue/origination of the financial liability.

Subsequent Measurement :

Financial liabilities are classified as measured at amortized cost or FVTPL. A financial liability is classified as at FVTPL if it
is classified as held- for- trading, or it is a derivative or it is designated as such on initial recognition. Financial liabilities at
FVTPL are measured at fair value and net gains and losses, including any interest expense, are recognized in statement of
profit and loss. Other financial liabilities are subsequently measured at amortized cost using the effective interest method.
Interest expense and foreign exchange gains and losses are recognized in statement of profit and loss. Any gain or loss on
derecognition is also recognized in statement of profit and loss.

b) De-recognition

A financial liability is derecognized when the obligation specified in the contract is discharged, cancelled or expires.

2.12 Impairment of Assets

An asset is impaired when its carrying amount exceeds its recoverable amount. An entity should assess at the end of each
reporting period whether there exists any indication, the entity should estimate the recoverable amount of the asset. If there is an
indication that an asset may be impaired, then the remaining useful life, the amortisation method and the residual value needs to
be reviewed and adjusted even if no impairment loss is recognized for the asset.

2.13 Financial Risk Management Objectives and Policies

The Company''s principal financial liabilities comprise trade and other payables. The main purpose of these financial liabilities is to
finance the Company''s operations. The Company''s principal financial assets comprise trade and other receivables, and cash that
arrive directly from its operations.

The Company is exposed to commodity price risk, credit risk and liquidity risk.

The Company''s senior management oversees the management of these risks.

The Management Committee reviews and agrees policies for managing each of these risks which are summarized below:
Commodity Price Risk:

The Company is affected by the volatility of certain commodities. Its operating activities require the ongoing purchase of stock and
therefore require a continuous supply of the same.

Credit Risk:

The Company is exposed to credit risk from its operating activities (primarily for trade receivables) and from its financing activities,
including deposits with banks and financial institutions.

• Trade Receivables

Customer credit risk is managed by the Company''s established policy, procedures and control relating to customer credit risk
management. Credit quality of the customer is assessed and individual limits are defined in accordance with this assessment.
Outstanding customer receivables are regularly monitored.

• Cash Deposits

Risk from balances with banks are managed by maintaining the balances with highly reputed commercial banks only.

Liquidity Risk:

The Company monitors its risk to a shortage of funds on a regular basis through cash forecast.

B Key Accounting Estimates and Judgments

2.14 Use of Estimates

The preparation of financial statements in conformity with Ind AS requires Management to make judgments, estimates and
assumptions that affect the application of the accounting policies and the reported amounts of assets and liabilities, the disclosure
of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses
during the year. Actual results could differ from those estimates.

2.15 Key sources of estimation uncertainty

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised
in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods
if the revision affects both current and future periods.

Key assumption concerning the future, and other key sources of estimation uncertainty at the end of the reporting period that may
have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial
year is as given below.

a) Fair value measurement and valuation processes

Some of the Company''s assets and liabilities are measured at fair value for financial reporting purposes. In estimating the
fair value of an asset or a liability, the Company uses market-observable data to the extent it is available. Where Level 1
inputs are not available, the Company engages third party qualified valuers to perform the valuation. The Management works
closely with the qualified external valuers to establish the appropriate valuation techniques and inputs to the model.

b) Useful life of Property, Plant and Equipments

The Company reviews the estimated useful lives of Property, Plant and Equipment at the end of each reporting period.
During the current year, there has been no change in useful life considered for the assets.

c) Actuarial valuation

The determination of Company''s liability towards defined benefit obligation to employees is made through independent
actuarial valuation including determination of amounts to be recognised in the State of Profit and Loss and in Other
Comprehensive Income. Such valuation depend upon assumptions determined after taking into account inflation, seniority,
promotion and other relevant factors such as supply and demand factors in the employment market. Information about such
valuation is provided in notes to the financial statements.

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Mar 31, 2015

1 Basis of accounting and preparation of financial statements

The financial statements of the Company have been prepared in accordance with the Generally Accepted Accounting Principles in India (Indian GAAP) to comply with the Accounting Standards specified under section 133 of the Companies Act, 2013 read with rule 7 of the Companies (Accounts) Rules, 2014 and the relevant provisions of the Companies Act, 2013 (The Act). The financial statements have been prepared on accrual basis under the historical cost convention. The accounting policies adopted in the preparation of the financial statements are consistent with those followed in the previous year. Assets and liabilities are classified as current if it is expected to realise or settle within 12 months after balance sheet date.

2 Use of estimates

The preparation of the financial statements in conformity with Indian GAAP requires the Management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) as of the date of the financial statements and the reported income and expenses during the reporting period. Management believes that the estimates used in preparation of the financial statements are prudent and reasonable. Future results could differ from these estimates.

3 Revenue Recognition

(a) Revenue from real estate projects is recognized on the Percentage of Completion Method. Revenue is recognised in relation to the areas sold, on the basis of percentage of actual costs incurred as against the total estimated costs of the project under execution, subject to such actual costs being 25 percent or more of the total estimated costs. Land costs are not included for the purpose of computing the percentage of completion. When it is probable that total estimated costs will exceed total project revenues, the expected loss is recognised as an expense immediately. The estimates of saleable area and costs are revised periodically by the Management. The effect of such changes in estimates is recognised in the period in which such changes are determined.

(b) Fees are accounted as per the terms of contract with the customers.

(c) Interest on fixed deposits and loans is accounted on time proportion basis.

(d) Dividend income is accounted when the right to receive is established.

(e) Share of profit/loss from the partnership firms, in which the Company is a partner, is based on the audited financial statements of the partnership firms.

4 Fixed Assets

Fixed assets are stated at cost of acquisition less accumulated depreciation. Cost comprises of the purchase price and any other attributable cost of bringing the asset to its working condition for its intended use.

5 Depreciation and amortisation

(a) Depreciation on tangible fixed assets has been provided on the written down value method at the rates determined based on the useful life prescribed in Schedule II to the Companies Act, 2013.

(b) Depreciation on additions to fixed assets is provided for the full year irrespective of the date of addition. No depreciation is provided in the year of deletions of fixed assets.

(c) Intangible assets are amortised over their estimated useful life as follows.

Computer Software 2-5 years

The estimated useful life of the intangible assets and the amortisation period are reviewed at the end of each financial year and the amortisation method is revised to reflect the changed pattern.

6 Inventories

Inventories are valued at lower of cost and net realisable value. Construction material cost is determined on a First In First Out basis. Construction work in progress comprises premium for development rights and balance expenditure relating to construction after ascertaining the cost of sales which is determined based on the total area sold as at the Balance Sheet date.

7 Investments

Long Term Investments are valued at cost unless there is a diminution in value, other than temporary for which provision is made. Current investments are carried individually, at the lower of cost and fair value. Cost of investments include acquisition charges such as brokerage, fees and duties.

8 Cash and cash equivalents (for purposes of Cash Flow Statement)

Cash comprises cash on hand and demand deposits with banks. Cash equivalents are short-term balances (with an original maturity of three months or less from the date of acquisition), highly liquid investments that are readily convertible into known amounts of cash and which are subject to insignificant risk of changes in value.

9 Cash flow statement

Cash flows are reported using the indirect method, whereby profit / (loss) before extraordinary items and tax is adjusted for the effects of transactions of non-cash nature and any deferrals or accruals of past or future cash receipts or payments. The cash flows from operating, investing and financing activities of the Company are segregated based on the available information.

10 Provisions and contingencies

A provision is recognised when an enterprise has a present obligation as a result of past event and it is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions (excluding retirement benefits) are not discounted to their present values and are determined based on management estimate required to settle the obligation at the Balance Sheet date. These are reviewed at each Balance Sheet date and adjusted to reflect the current management estimates. Contingent liabilities are disclosed in the Notes. Contingent assets are not recognised nor disclosed in the financial statements.

11 Taxation

Tax expense comprises current and deferred tax. Current tax is measured at the amount expected to be paid to the tax authorities in accordance with the Income-tax Act, 1961. Deferred tax is recognised on timing differences, being the differences between the taxable income and the accounting income that originate in one period and are capable of reversal in one or more subsequent periods. Deferred tax is measured using the tax rates and tax laws enacted or substantially enacted by the Balance Sheet date.

Deferred tax liabilities are recognised for all timing differences. Deferred tax assets other than on carried forward losses and unabsorbed depreciation are recognised only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

Deferred tax assets on account of carried forward losses and unabsorbed depreciation are recognised only to the extent that there is virtual certainty supported by convincing evidence that sufficient future taxable income will be available against which such deferred tax assets can be realised.

Deferred tax assets are reviewed at each balance sheet date for their realisability.

12 Employee benefits

(a) Short term employee benefits:

The undiscounted amount of short-term employee benefits expected to be paid in exchange for the services rendered by employees are recognised during the year when the employees render the service. These benefits include performance incentive and compensated absences which are expected to occur within twelve months after the end of the period in which the employee renders the related service.

(b) Long term employee benefits:

1. Defined Contribution Plan:

The Company''s contribution to provident fund, superannuation fund and employee state insurance scheme are considered as defined contribution plans and are charged as an expense based on the amount of contribution required to be made and when services are rendered by the employees.

2. Defined Benefit Plan:

i) Gratuity

For defined benefit plan in the form of gratuity, the cost of providing benefits is determined using the Projected Unit Credit method, with actuarial valuations being carried out at each balance sheet date. Actuarial gains and losses are recognised in the Statement of Profit and Loss in the period in which they occur. Past service cost is recognised immediately to the extent that the benefits are already vested and otherwise is amortised on a straight-line basis over the average period until the benefits become vested. The retirement benefit obligation recognised in the Balance Sheet represents the present value of the defined benefit obligation as adjusted for unrecognised past service cost, as reduced by the fair value of plan assets. Any asset resulting from this calculation is limited to past service cost, plus the present value of available refunds and reductions in future contributions to the plan.

ii) Compensated absenses

Compensated absences which are not expected to occur within twelve months after the end of the period in which the employee renders the related service are recognised as a liability at the present value of the defined benefit obligation as at the balance sheet date less the fair value of the plan assets out of which the obligations are expected to be settled.

13 Borrowing Costs

Borrowing costs that are directly attributable to the acquisition or construction of qualifying assets are capitalised for the period until the asset is ready for its intended use. A qualifying asset is an asset that necessarily takes substantial period of time to get ready for its intended use. Other borrowing costs are recognised as an expense in the period in which they are incurred. Capitalisation of borrowing costs is suspended and charged to the Statement of Profit and Loss during extended periods when active development activity on the qualifying assets is interrupted.

14 Operating Lease

Leases where the lessor effectively retains substantially all the risks and benefits of ownership of the leased assets, are classified as operating leases. Operating lease payments are recognised as an expense in the Statement of Profit and Loss on a straight-line basis over the lease term.

15 Earnings per share

Basic earnings per share is computed by dividing the profit / (loss) after tax (including the post tax effect of extraordinary items, if any) by the weighted average number of equity shares outstanding during the year. Diluted earnings per share is computed by dividing the profit / (loss) after tax (including the post tax effect of extraordinary items, if any) as adjusted for dividend, interest and other charges to expense or income (net of any attributable taxes) relating to the dilutive potential equity shares, by the weighted average number of equity shares considered for deriving basic earnings per share and the weighted average number of equity shares which could have been issued on the conversion of all dilutive potential equity shares.

16 Impairment of assets

The carrying values of assets / cash generating units at each balance sheet date are reviewed for impairment. If any indication of impairment exists, the recoverable amount of such assets is estimated and impairment is recognised, if the carrying amount of these assets exceeds their recoverable amount. The recoverable amount is the greater of the net selling price and their value in use. Value in use is arrived at by discounting the future cash flows to their present value based on an appropriate discount factor. When there is indication that an impairment loss recognised for an asset in earlier accounting periods no longer exists or may have decreased, such reversal of impairment loss is recognised in the Statement of Profit and Loss, except in case of revalued assets.

17 Service tax input credit

Service tax input credit is accounted for in the books in the period in which the underlying service received is accounted and when there is no reasonable uncertainty in availing / utilising the credits.

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Mar 31, 2014

1.1 Basis of accounting and preparation of financial statements

The financial statements are prepared under historical cost convention, on an accrual basis and are in accordance with the Generally Accepted Accounting Principles in India (Indian GAAP) to comply with the Accounting Standards notified under Section 211(3C) of the Companies Act, 1956 ("the 1956 Act") (which continue to be applicable in respect of Section 133 of the Companies Act, 2013 ("the 2013 Act") in terms of General Circular 15/2013 dated 13 September, 2013 of the Ministry of Corporate Affairs) and the relevant provisions of the 1956 Act/2013 Companies Act, as applicable. The accounting policies adopted in the preparation of the financial statements are consistent with those followed in the previous year. Assets and liabilities are classified as current if it is expected to realise or settle within 12 months after balance sheet date.

2.2 Use of estimates

The preparation of the financial statements in conformity with Indian GAAP requires the Management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) as of the date of the financial statements and the reported income and expenses during the reporting period. Management believes that the estimates used in preparation of the financial statements are prudent and reasonable. Future results could differ from these estimates.

2.3 Revenue Recognition

(a) Revenue from real estate projects is recognized on the Percentage of Completion Method. Revenue is recognised in relation to the areas sold, on the basis of percentage of actual costs incurred as against the total estimated cost of the project under execution, subject to such actual costs being 25 percent or more of the total estimated cost. Land costs are not included for the purpose of computing the percentage of completion. The estimates of saleable area and costs are revised periodically by the Management. The effect of such changes in estimates is recognised in the period in which such changes are determined.

(b) Fees are accounted as per the terms of contract with the customers.

(c) Interest on fixed deposits and loans is accounted on time proportion basis.

(d) Dividend income is accounted when the right to receive is established.

(e) Share of profit/loss from the partnership firms, in which the Company is a partner, is based on the audited financial statements of the partnership firms.

2.4 Fixed Assets

Fixed assets are stated at cost of acquisition less accumulated depreciation. Cost comprises of the purchase price and any other attributable cost of bringing the asset to its working condition for its intended use.

2.5 Depreciation and amortisation

(a) Depreciation on fixed assets is provided on the written down value basis at the rates prescribed in Schedule XIV to the Companies Act, 1956.

(b) Depreciation on additions to fixed assets is provided for the full year irrespective of the date of addition. No depreciation is provided in the yearofdeletions offixed assets.

(c) Intangible assets are amortised over their estimated useful life as follows.

Computer Software 2-5 years

The estimated useful life of the intangible assets and the amortisation period are reviewed at the end of each financial year and the amortisation method is revised to reflect the changed pattern.

2 Significant Accounting Policies (Contd.)

2.6 Inventories

Inventories are valued at lower of cost and net realisable value. Construction material cost is determined on a First In First Out basis. Construction work in progress comprises premium for development rights and balance expenditure relating to construction after ascertaining the cost of sales which is determined based on the total area sold as at the Balance Sheet date.

2.7 Investments

Long Term Investments are valued at cost unless there is a diminution in value, other than temporary for which provision is made. Current investments are carried individually, at the lower of cost and fair value. Cost of investments include acquisition charges such as brokerage, fees and duties.

2.8 Cash and cash equivalents (for purposes of Cash Flow Statement)

Cash comprises cash on hand and demand deposits with banks. Cash equivalents are short-term balances (with an original maturity of three months or less from the date of acquisition), highly liquid investments that are readily convertible into known amounts of cash and which are subject to insignificant risk of changes in value.

2.9 Cash flow statement

Cash flows are reported using the indirect method, whereby profit / (loss) before extraordinary items and tax is adjusted for the effects of transactions of non-cash nature and any deferrals or accruals of past or future cash receipts or payments. The cash flows from operating, investing and financing activities of the Company are segregated based on the available information.

2.10 Provisions and contingencies

A provision is recognised when an enterprise has a present obligation as a result of past event and it is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions (excluding retirement benefits) are not discounted to their present values and are determined based on management estimate required to settle the obligation at the Balance Sheet date. These are reviewed at each Balance Sheet date and adjusted to reflect the current management estimates.Contingent liabilities are disclosed in the Notes. Contingent assets are not recognised nor disclosed in the financial statements.

2.11 Taxation

Tax expense comprises current and deferred tax. Current tax is measured at the amount expected to be paid to the tax authorities in accordance with the Income-tax Act, 1961. Deferred tax reflects the impact of current year timing differences between taxable income and accounting income for the year and reversal of timing differences of earlier years. Deferred tax is measured based on the tax rate and tax laws enacted or substantially enacted at the Balance Sheet date.

Deferred tax assets other than on carried forward losses and unabsorbed depreciation are recognised only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

Deferred tax assets on account of carried forward losses and unabsorbed depreciation are recognised only to the extent that there is virtual certainty supported by convincing evidence that sufficient future taxable income will be available against which such deferred tax assets can be realised.

Deferred tax assets are reviewed at each balance sheet date for their realisability.

2.12 Employee benefits

(a) Short term employee benefits:

The undiscounted amount of short-term employee benefits expected to be paid in exchange for the services rendered by employees are recognised during the year when the employees render the service. These benefits include performance incentive and compensated absences which are expected to occur within twelve months after the end of the period in which the employee renders the related service.

(b) Long term employee benefits:

1. Defined Contribution Plan:

The Company''s contribution to provident fund, superannuation fund and employee state insurance scheme are considered as defined contribution plans and are charged as an expense based on the amount of contribution required to be made and when services are rendered by the employees.

2.12 Employee benefits (Contd.)

(b) Long term employee benefits: (Contd.)

2. Defined Benefit Plan:

i) Gratuity

For defined benefit plans in the form of gratuity fund and post-employment medical benefits, the cost of providing benefits is determined using the Projected Unit Credit method, with actuarial valuations being carried out at each balance sheet date. Actuarial gains and losses are recognised in the Statement of Profit and Loss in the period in which they occur. Past service cost is recognised immediately to the extent that the benefits are already vested and otherwise is amortised on a straight-line basis over the average period until the benefits become vested. The retirement benefit obligation recognised in the Balance Sheet represents the present value of the defined benefit obligation as adjusted for unrecognised past service cost, as reduced by the fair value of scheme assets. Any asset resulting from this calculation is limited to past service cost, plus the present value of available refunds and reductions in future contributions to the schemes.

ii) Compensated absenses

Compensated absences which are not expected to occur within twelve months after the end of the period in which the employee renders the related service are recognised as a liability at the present value of the defined benefit obligation as at the balance sheet date less the fair value of the plan assets out of which the obligations are expected to be settled. Long Service Awards are recognised as a liability at the present value of the defined benefit obligation as at the balance sheet date.

2.13 Borrowing Costs

Borrowing costs that are directly attributable to the acquisition or construction of qualifying assets are capitalised for the period until the asset is ready for its intended use. A qualifying asset is an asset that necessarily takes substantial period of time to get ready for its intended use. Other borrowing costs are recognised as an expense in the period in which they are incurred. Capitalisation of borrowing costs is suspended and charged to the Statement of Profit and Loss during extended periods when active development activity on the qualifying assets is interrupted.

2.14 Operating Lease

Leases where the lessor effectively retains substantially all the risks and benefits of ownership of the leased assets, are classified as operating leases. Operating lease payments are recognised as an expense in the Statement of Profit and Loss on a straight-line basis over the lease term.

2.15 Earnings per share

Basic earnings per share is computed by dividing the profit / (loss) after tax (including the post tax effect of extraordinary items, if any) by the weighted average number of equity shares outstanding during the year. Diluted earnings per share is computed by dividing the profit / (loss) after tax (including the post tax effect of extraordinary items, if any) as adjusted for dividend, interest and other charges to expense or income (net of any attributable taxes) relating to the dilutive potential equity shares, by the weighted average number of equity shares considered for deriving basic earnings per share and the weighted average number of equity shares which could have been issued on the conversion of all dilutive potential equity shares.

2.16 Impairment of assets

The carrying values of assets / cash generating units at each balance sheet date are reviewed for impairment. If any indication of impairment exists, the recoverable amount of such assets is estimated and impairment is recognised, if the carrying amount of these assets exceeds their recoverable amount. The recoverable amount is the greater of the net selling price and their value in use. Value in use is arrived at by discounting the future cash flows to their present value based on an appropriate discount factor. When there is indication that an impairment loss recognised for an asset in earlier accounting periods no longer exists or may have decreased, such reversal of impairment loss is recognised in the Statement of Profit and Loss, except in case of revalued assets.

2.17 Service tax input credit

Service tax input credit is accounted for in the books in the period in which the underlying service received is accounted and when there is no reasonable uncertainty in availing / utilising the credits.

(a) Reconciliation of the number of shares and amount outstanding at the beginning and at the end of the reporting period:

(i) Equity Shares

There is no movement in the number of shares and amount outstanding of Equity shares in current as well as previous year.

(b) Rights, preferences and restrictions attached to equity shares

The Company has only one class of equity shares having a par value ofRs. 10 per share. Each holder of equity shares is entitled to one vote per share. The dividend, if any, proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after payment of all claims / liabilities.

(c) Rights, preferences and restrictions attached to Preference shares

The holder of the Preference Shares shall be entitled to receive cumulative dividend @12% per annum from the date of allotment till the date of redemption. The Preference Shares shall rank for capital and dividend (including all dividends undeclared upto the commencement of winding up) and for repayment of capital in a winding up pari pasu inter se and in priority to the Equity Shares of the Company, but shall not confer any further or other right to participate either in profits or assets. The Preference Shares shall be redeemable at the end of seventh year from the date of allotment at the rate of Rs. 85/- per share (including redemption premium ofRs. 75/- per share). The Company shall have the option to redeem, all or any part thereof, of the said Preference Shares, in one or more tranches, at the rate ofRs. 65/- per share (including redemption premium ofRs. 551- per share ) at the end of third year and/or at the rate ofRs. 75/- per share (including redemption premium ofRs. 65/- per share) at the end of fifth year. Every Preference shareholder of the Company has the right to vote only on resolution placed before the General Meeting which directly affect the rights attached to his Preference Shares.

Arrears of fixed cumulative dividends on preference shares as at 31 March, 2014Rs.10,389,156 (As at 31 March, 2013 Rs. 561,576)

(d) Shares held by the holding company Equity

Out of total 4,990,900 (previous year 4,990,900) Equity shares, 3,580,347 (previous year 3,580,347) Equity shares are held by the holding company, Industrial Investment Trust Limited.

12% Non Convertible Cumulative Redeemable Preference Shares

All 7,000,000 preference shares (previous year 7,000,000) are held by the holding company, Industrial Investment Trust Limited.

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Mar 31, 2013

1.1 Basis of accounting

The fnancial statements are prepared under historical cost convention, on an accrual basis and are in accordance with the requirements of the Companies Act, 1956 and comply with the Accounting Standards referred to in sub-section (3C) of section 211 of the said Act. The preparation of fnancial statements requires the Management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) as of the date of the fnancial statements and the reported income and expenses during the reporting period. Management believes that the estimates used in preparation of the fnancial statements are prudent and reasonable. Future results could differ from these estimates.

1.2 Revenue Recognition

(a) Revenue from real estate projects is recognized on the Percentage of Completion Method. Revenue is recognised in relation to the areas sold, on the basis of percentage of actual costs incurred as against the total estimated cost of the project under execution, subject to such actual costs being 25 percent or more of the total estimated cost. Land costs are not included for the purpose of computing the percentage of completion.

The estimates of saleable area and costs are revised periodically by the Management. The effect of such changes in estimates is recognised in the period such changes are determined.

(b) Fees are accounted as per the terms of contract with the customers.

(c) Interest on fxed deposits and loans is accounted on time proportionate basis.

(d) Dividend income is accounted when the right to receive is established.

(e) Share of proft/loss from the partnership frms, in which the Company is a partner, is based on the audited fnancial statements of the partnership frms.

1.3 Fixed Assets

Fixed assets are stated at cost of acquisition less accumulated depreciation. Cost comprises of the purchase price and any other attributable cost of bringing the asset to its working condition for its intended use.

1.4 Depreciation

(a) Depreciation on fxed assets is provided on the written down value basis at the rates prescribed in Schedule XIV to the Companies Act, 1956.

(b) Depreciation on additions to fxed assets is provided for the full year irrespective of the date of addition. No depreciation is provided on deletions to fxed assets in the year of sale.

1.5 Inventories

Inventories are valued at lower of cost and net realisable value. Construction material cost is determined on a First In First Out basis. Construction work in progress comprises premium for development rights and balance expenditure relating to construction after ascertaining the cost of sales based on percentage completion method.

1.6 Investments

Long Term Investments are valued at cost unless there is a diminution in value, other than temporary for which provision is made.

1.7 Provisions

A provision is recognised when the Company has a present obligation as a result of past events and it is probable that an outfow of resources will be required to settle the obligation in respect of which a reliable estimate can be made. Provisions (excluding retirement benefts) are not discounted to their present values and are determined based on the best estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to refect the current best estimates. Contingent liabilities are disclosed in the Notes. Contingent assets are not recognised in the fnancial statements.

NOTES TO THE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2013 (Contd.) 1 Signifcant Accounting Policies (Contd.)

1.8 Taxation

Tax expense comprises current and deferred tax. Current tax is measured at the amount expected to be paid to the tax authorities in accordance with the Income-tax Act, 1961. Deferred tax refects the impact of current year timing differences between taxable income and accounting income for the year and reversal of timing differences of earlier years. Deferred tax is measured based on the tax rate and tax laws enacted or substantially enacted at the Balance Sheet date.

Deferred tax assets other than on carried forward losses and unabsorbed depreciation are recognised only to the extent that there is reasonable certainty that suffcient future taxable income will be available against which such deferred tax assets can be realised.

Deferred tax assets on account of carried forward losses and unabsorbed depreciation are recognised only to the extent that there is virtual certainty supported by convincing evidence that suffcient future taxable income will be available against which such deferred tax assets can be realised.

1.9 Employee benefts

(a) Short term employee benefts:

Short term employee benefts are recognised as an expense at the undiscounted amount in the Statement of Proft and Loss of the year in which the related service is rendered.

(b) Long term employee benefts:

1. Defned Contribution Plan:

The eligible employees of the Company are entitled to receive post employment benefts in respect of provident and family pension fund, in which both employees and the Company makes monthly contributions at a specifed percentage of the employees'' eligible salary (currently 12% of employees'' eligible salary). The contributions are made to Employees Provident Fund Organisation. Provident Fund and Family Pension Fund are classifed as Defned Contribution Plans as the Company has no further obligation beyond making the contribution. The Company''s contributions to Defned Contribution Plan are charged to the Statement of Proft and Loss as incurred.

2. Defned Beneft Plan:

i. Gratuity

The Company has an obligation towards gratuity, a defned beneft retirement plan covering eligible employees. The plan provides a lump sum payment to vested employees at retirement, death while in employment or on termination of employment of an amount equivalent to 15 days salary payable for each completed year of service. Vesting occurs upon completion of fve years of service. The Company makes contribution to LIC of India based on an independent actuarial valuation made at the year-end. Actuarial gains and losses are recognised in the Statement of Proft and Loss.

ii. Compensated absences

The Company provides for the encashment of leave or leave with pay subject to certain rules. The Employees are entitled to accumulate leave subject to certain limits for future encashment/availment. The Company makes provision for compensated absences based on an actuarial valuation carried out at the end of the year. Actuarial gains and losses are recognised in the Statement of Proft and Loss.

1.10 Borrowing Costs

Borrowing costs that are directly attributable to the acquisition or construction of qualifying assets are capitalised for the period until the asset is ready for its intended use. A qualifying asset is an asset that necessarily takes substantial period of time to get ready for its intended use. Other borrowing costs are recognised as an expense in the period in which they are incurred.

1.11 Operating Lease

Leases where the lessor effectively retains substantially all the risks and benefts of ownership of the leased assets, are classifed as operating leases. Operating lease payments are recognised as an expense in the Statement of Proft and Loss on a straight-line basis over the lease term.

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Mar 31, 2012

1.1 Basis of accounting

The financial statements are prepared under historical cost convention, on an accrual basis and are in accordance with the requirements of the Companies Act, 1956 and comply with the Accounting Standards referred to in sub- section (3C) of section 211 of the said Act. The preparation of financial statements requires the Management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) as of the date of the financial statements and the reported income and expenses during the reporting period. Management believes that the estimates used in preparation of the financial statements are prudent and reasonable. Future results could differ from these estimates.

1.2 Revenue Recognition

(a) Revenue from real estate projects is recognized on the Percentage of Completion Method. Revenue is recognised in relation to the areas sold, on the basis of percentage of actual costs incurred as against the total estimated cost of the project under execution, subject to such actual costs being 25 percent or more of the total estimated cost. Land costs are not included for the purpose of computing the percentage of completion.

The estimates of saleable area and costs are revised periodically by the Management. The effect of such changes in estimates is recognised in the period such changes are determined.

(b) Fees are accounted as per the terms of contract with the customers.

(c) Interest on fixed deposits and loans is accounted on time proportionate basis.

(d) Dividend income is accounted when the right to receive is established.

(e) Share of profit from the partnership firms, in which the Company is a partner, is as per the financial statements of the partnership firms.

1.3 Fixed Assets

Fixed assets are stated at cost of acquisition less accumulated depreciation. Cost comprises of the purchase price and any other attributable cost of bringing the asset to its working condition for its intended use.

1.4 Depreciation

(a) Depreciation on fixed assets is provided on the written down value basis at the rates prescribed in Schedule XIV to the Companies Act, 1956.

(b) Depreciation on additions to fixed assets is provided for the full year irrespective of the date of addition. No depreciation is provided on deletions to fixed assets in the year of sale.

1.5 Inventories

Inventories are valued at lower of cost and net realisable value. Construction material cost is determined on a First In First Out basis. Construction work in progress comprises premium for development rights and expenditure relating to construction.

1.6 Investments

Long Term Investments are valued at cost unless there is a diminution in value, other than temporary for which provision is made.

1.7 Accounting for Joint Ventures

The Company's investments in jointly controlled entities is reflected as investment and accounted for in accordance with the Company's accounting policy of Investments (Refer Note 1.6 above).

1.8 Provisions

A provision is recognised when an enterprise has a present obligation as a result of past event and it is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions are not discounted to their present values and are determined based on management estimate required to settle the obligation at the Balance Sheet date. These are reviewed at each Balance Sheet date and adjusted to reflect the current management estimates.

1.9 Taxation

Tax expense comprises current and deferred tax. Current tax is measured at the amount expected to be paid to the tax authorities in accordance with the Income-tax Act, 1961. Deferred tax reflects the impact of current year timing differences between taxable income and accounting income for the year and reversal of timing differences of earlier years. Deferred tax is measured based on the tax rate and tax laws enacted or substantially enacted at the Balance Sheet date.

Deferred tax assets other than on carried forward losses and unabsorbed depreciation are recognised only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

Deferred tax assets on account of carried forward losses and unabsorbed depreciation are recognised only to the extent that there is virtual certainty supported by convincing evidence that sufficient future taxable income will be available against which such deferred tax assets can be realised.

1.10 Employee benefits

(a) Short term employee benefits:

Short term employee benefits are recognised as an expense at the undiscounted amount in the statement of profit and loss of the year in which the related service is rendered.

(b) Long term employee benefits:

1. Defined Contribution Plan:

The eligible employees of the Company are entitled to receive post employment benefits in respect of provident and family pension fund, in which both employees and the Company makes monthly contributions at a specified percentage of the employees' eligible salary (currently 12% of employees' eligible salary). The contributions are made to Employees Provident Fund Organisation. Provident Fund and Family Pension Fund are classified as Defined Contribution Plans as the Company has no further obligation beyond making the contribution. The Company's contributions to Defined Contribution Plan are charged to the statement of profit and loss as incurred.

2. Defined Benefit Plan:

i. Gratuity

The Company has an obligation towards gratuity, a defined benefit retirement plan covering eligible employees. The plan provides a lump sum payment to vested employees at retirement, death while in employment or on termination of employment of an amount equivalent to 15 days salary payable for each completed year of service. Vesting occurs upon completion of five years of service. The Company makes contribution to LIC of India based on an independent actuarial valuation made at the year-end. Actuarial gains and losses are recognised in the statement of profit and loss.

ii. Compensated absences

The Company provides for the encashment of leave or leave with pay subject to certain rules. The Employees are entitled to accumulate leave subject to certain limits for future encashment/ availment. The Company makes provision for compensated absences based on an actuarial valuation carried out at the end of the year. Actuarial gains and losses are recognised in the statement of profit and loss.

1.11 Borrowing Costs

Borrowing costs that are directly attributable to the acquisition or construction of qualifying assets are capitalised for the period until the asset is ready for its intended use. A qualifying asset is an asset that necessarily takes substantial period of time to get ready for its intended use. Other borrowing costs are recognised as an expense in the period in which they are incurred.

1.12 Operating Lease

Leases where the lessor effectively retains substantially all the risks and benefits of ownership of the leased assets, are classified as operating leases. Operating lease payments are recognised as an expense in the statement of profit and loss on a straight-line basis over the lease term.

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Mar 31, 2010

I. Basis of accounting

The financial statements are prepared under historical cost convention on an accrual basis and are in accordance with the requirements of the Companies Act, 1956 and comply with the Accounting Standards referred to in sub-section (3C) of section 211 of the said Act. The preparation of financial statements requires the Management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) as of the date of the financial statements and the reported income and expenses during the reporting period. Management believes that the estimates used in preparation of the financial statements are prudent and reasonable. Future results could differ from these estimates.

ii. Fixed assets

Fixed assets are stated at cost of acquisition less accumulated depreciation. Cost comprises of the purchase price and any other attributable cost of bringing the asset to its working condition for its intended use.

iii. Depreciation

a) Depreciation is provided on the written down value basis at the rates prescribed in Schedule XIV to the Companies Act, 1956.

b) Depreciation on additions to fixed assets is provided for the full year irrespective of the date of addition. No depreciation is provided on deletions to fixed assets in the year of sale.

iv. Revenue recognition

a) Fees are accounted as per the terms of contract with the customer.

b) Interest on fixed deposits and inter-corporate deposits is accounted on accrual basis.

c) Dividend income is accounted when the right to receive payment is established and known.

v. Inventories

Inventories are valued at lower of cost and net realisable value. Construction work in progress comprises premium for development rights and expenditure relating to construction.

vi. Investments

Long term investments are stated at cost. A provision for diminution is made to recognise a decline, other than temporary, in the value of long term investments.

Current investments are stated at lower of cost and fair value.

vii. Taxation

Tax expense comprises of current, deferred and fringe benefit tax. Current income tax and fringe benefit tax are measured at the amount expected to be paid to the tax authorities in accordance with the Income-tax Act, 1961. Deferred income taxes reflect the impact of current year timing differences between taxable income and accounting income for the year and reversal of timing differences of earlier years. Deferred tax is measured based on the tax rate and the tax laws enacted or substantially enacted at the balance sheet date.

Deferred tax assets other than on carried forward losses and unabsorbed depreciation are recognised only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

Deferred tax asset on account of carried forward losses and unabsorbed depreciation are recognised only to the extent that there is virtual certainty supported by convincing evidence that sufficient future taxable income will be available against which such deferred tax assets can be realised.

viii. Provision

A provision is recognised when an enterprise has a present obligation as a result of past event and it is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions are not discounted to their present values and are determined based on management estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to reflect the current management estimates.

ix. Employee Benefits

(a) Short term employee benefits:

Short term employee benefits are recognised as an expense at the undiscounted amount in the Profit and Loss Account of the year in which the related service is rendered.

(b) Long term employee benefits:

(i) Defined Contribution plan:

The eligible employees of the Company are entitled to receive post employment benefits in respect of provident fund and family pension fund, in which both employees and the Company make monthly contributions at a specified percentage of employees eligible salary (currently 12% of employees eligible salary). The contributions are made to Employees Provident Fund Organisation. Provident Fund and Family Pension Fund are classified as Defined Contribution Plans as the Company has no further obligation beyond making the contribution. The Companys contributions to Defined Contribution Plan are charged to Profit and Loss Account as incurred.

(ii) Defined benefit plan: 1. Gratuity

The Company has an obligation towards gratuity, a defined benefit retirement plan covering eligible employees. The plan provides a lump sum payment to vested employees at retirement, death while in employment or on termination of employment of an amount equivalent to 15 days salary payable for each completed year of service. Vesting occurs upon completion of five years of service. The Company makes provision for gratuity based on an actuarial valuation carried out at the end of the year. Actuarial gains and losses are recognised in the Profit and loss Account.

2. Compensated absences

The Company provides for the encashment of leave or leave with pay subject to certain rules. The Employees are entitled to accumulate leave subject to certain limits for future encashment/availment. The Company makes provision for compensated absences based on an actuarial valuation carried out at the end of the year. Actuarial gains and losses are recognised in the Profit and Loss Account.

x. Borrowing costs

Borrowing costs that are directly attributable to the acquisition or construction of qualifying assets are capitalised for the period until the asset is ready for its intended use. A qualifying asset is an asset that necessarily takes substantial period of time to get ready for its intended use. Other borrowing costs are recognised as an expense in the period in which they are incurred.

xi. Operating Lease

Leases where the lessor effectively retains substantially all the risks and benefits of ownership of the leased assets, are classified as operating leases. Operating lease payments are recognised as an expense in the Profit and Loss Account on a straight-line basis over the lease term.