Notes to Accounts of Kamanwala Housing Construction Ltd.

Mar 31, 2025

1.14 Provisions

A provision is recognized when the company has a present obligation as a result of past
event and it is probable that an outflow of resources embodying economic benefit will be
required to settle the obligation and a reliable estimate can be made of the amount of
the obligation. Provisions are not discounted to their present value and are determined
based on the best estimate.

1.15 Contingent liabilities and Assets

Contingent liability is a possible obligation that arises from past events whose
existence will be confirmed by the occurrence or non-occurrence of one or more
uncertain future events beyond the control of the Company or a present obligation that is
not recognized because it is not probable that an outflow of resources will be required
to settle the obligation. A contingent liability also arises in extremely rare cases where
there is a liability that cannot be recognized because it cannot be measured reliably. The
company does not recognize a contingent liability but discloses its existence in the
financial statement.

Contingent assets are neither recognized nor disclosed in the Financial Statements.

1.16 Segment information for primary segment reporting (by Business segments)

The primary segment of the Company is business segment, which involved in business of
Real Estate. As the company operates in a single primary business segment, no segment
information thereof is given.

NOTE 35_

Previous year''s figures have been regrouped and/or reclassified necessary to make them comparable with
current year figures.

NOTE 36

Balances in various accounts included in trade receivable, trade payable, advances recoverable,
deposits/advances from/to customers/suppliers, Loans & Advances given, interest on loans and Joint Venture
contributions are subject to confirmation.

NOTE 37

In the opinion of the Management, the aggregate value of current assets (including stock) and loans and
advances on realization in the ordinary course of business will not be less than the amount at which these are
stated in the Financial Statements.

NOTE 38

All lands/development rights/premises are purchased on agreement basis and conveyance in respect of the
same will be executed directly in favor of Co-operative Societies whenever they are formed.

Contingent Liability exists in respect of following disputed demands against which appeals are pending before
Appellate Authorities:

a) Against assessment demands for A.Y. 2013-14 Rs. 539.45 Lakhs and for A.Y. 2014-15 Rs. 171.15 Lakhs,
company won appeal before CIT(A) and consequently demand is reduced to NIL. Subsequently on an appeal by
I-Tax department ITAT, Mumbai has set aside order of CIT(A) for reconsider and the same is pending.
Meanwhile company has filed appeal against ITAT''s order before Bombay High Court.

b) For assessment year (financial year) 2011-12 as per assessment of Sales Tax (VAT) demand of Rs. 74.56
Lakhs was raised by the Assessing Authority. For the assessment years 2006-07, 2007-08, 2008-09, 2009-10
and 2010-11 demand of Rs. 63.80 Lakhs was raised by Assessing Authority. For the assessment years 2014-15
& 2015-16 demands of Rs. 16.32 Lakhs and Rs 31.08 Lakhs respectively are raised by the Assessing Authority.
The Company has filed first appeal to the relevant Appellate Authority of Sales Tax (VAT). The management
expects substantial relief for all these as assessment years.

NOTE 40_

The Company is in the process of identification of suppliers registered, if any, under the Micro, Small and
Medium Enterprises Development Act,2006, as micro and small enterprise. Information has been collated only to
the extent of information available with the company based on invoices of the parties & oral enquiry and
accordingly no amount is disclosed. Moreover, there being no project in hand and also due to corona pandemic
the activity of the company is at its low and the amount due to suppliers is minimal. Therefore, accordingly based
on information available no amount is disclosed.

NOTE 41

The Company has entered into the following Deeds of Partnership for which Liabilities are unlimited and amount
not ascertained:

a) Kamanwala Lakshchandi Todays Constructions.

b) Kamanwala Lakshchandi Todays Developers.

Note 42.1 - Risk Management Framework

The Company''s Board of Directors has overall responsibility for the establishment and oversight of the
Company''s Risk Management Framework.The Company''s risk management policies are established to identify
and analyze the risk faced by the Company, to set appropriate risk limits and controls and to monitor risks and
adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in market
conditions and the Company''s activities.The Audit Committee oversees how management monitors compliance
with the Company''s Risk management policies and procedures, and reviews the adequacy of the risk
management framework in relation to the risks faced by the Company. The Audit Committee is assisted in its
oversight role by internal audit.

Note 42.2 - Credit Risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails
to meet its contractual obligations, and arises principally from the Company''s receivables from customers,
investments,debt securities, loans given to related parties and project deposits.Credit risk encompasses of both,
the direct risk of default and the risk ofdeterioration of creditworthiness as well as concentration of risks. Credit
risk is controlled by analyzing creditlimits and creditworthiness of customers on a continuous basis to whom the
credit has been granted afterobtaining necessary approvals for credit.

Financial instruments that are subject to concentrations of credit risk principally consist of trade receivables,
unbilled revenue, investments, cash and cash equivalents, bank deposits andother financial assets. None of the
financial instruments of the Company result in material concentration of credit risk. The carrying amount of
financial assets represents the maximum credit exposure.

Trade Receivables_

Customer credit risk is managed by requiring customers to pay advances through progress billings before
transfer of ownership, therefore, substantially eliminating the credit risk in this respect.

The credit risk with regard to trade receivable has a high degree of risk diversification, due to the projects of
varying sizes and types with numerous different customer categories in a large number of geographical markets.
Based on prior experience and an assessment of the current economic environment, management believes there

Note 42.3 - Liquidity risk management_

Liquidity risk refers to the risk of financial distress or extraordinary high financing costs arising due to shortage of
liquid funds in a situation where business conditions unexpectedly deteriorate and requiring financing. The
Company requires funds both for short term operational needs as well as for long term capital expenditure growth
projects. The Company generates sufficient cash flow for operations, which together with the available cash and
cash equivalents and short-term investments provide liquidity in the short-term and long-term. The Company has
established an appropriate liquidity risk management framework for the management of the Company''s short,
medium and long-term funding and liquidity management requirements. The Company manages liquidity risk by
maintaining adequate reserves, banking facilities and reserve borrowing facilities, by continuously monitoring
forecast and actual cash flows, and by matching the maturity profiles of financial assets and liabilities.

NOTE 43: Capital Management_

Equity share capital and other equity are considered for the purpose of Company''s capital management. The
Company manages its capital so as to safeguard its ability to continue as a going concern and to optimize returns
to shareholders. The capital structure of the Company is based on management''s judgement of its strategic and
day-to-day needs with a focus on total equity so as to maintain investors, creditors and market confidence.

NOTE 44: Relationship with Struck off Companies_

The Company did not have any transaction with Struck off Companies.

NOTE 45: ADDITIONAL REGULATORY INFORMATION REQUIRED BY SCHEDULE III TO THE
COMPANIES ACT, 2013

(i) The Company does not have any benami property held in its name. No proceedings have been initiated on or
are pending against the Company for holding benami property under the Benami 1988) and Rules made there
under.

(ii) The Company has not been declared wilful defaulter by any bank or financial institution or other lender or

government or any government authority._

The Company has complied with the requirement with respect to number of layers as prescribed under section
2(87)of the Companies Act, 2013 read with the Companies (Restriction on number of layers) Rules, 2017.

Utilization of borrowed funds and share premium.._

I) The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including

foreign entities (Intermediaries) with the understanding that the Intermediary shall:_

(a) Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by oron

behalf of the Company (Ultimate Beneficiaries) or_

(b) Provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries_

II) The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding
Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on
behalf of the Funding Party (Ultimate Beneficiaries) or

(b) provide any guarantee, security, or the like on behalf of the ultimate beneficiaries_

(c) There is no income surrendered or disclosed as income during the year in tax assessments under the Income
Tax Act, 1961 (such as search or survey), that has not been recorded in the books of account.

(d) The Company has not traded or invested in crypto currency or virtual currency during the year._

(e) The Company has repaid the entire amount of loan along with interest, but the Company has not satisfied the
charges on the same with Registrar of Companies beyond the statutory year.

Note 48 : Financial Instruments Valuation

All financial instruments are initially recognized and subsequently re-measured at fair value as described
below:

The fair value of financial assets and liabilities are included at the amount at which the instrument could be
exchanged in a current transaction between the willing parties, other than in a forced or liquidation sale.

The financial instruments are categorized into two levels based on the inputs used to arrive at fair value
measurements as described below:

Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities;

Level2:Inputs other than the quoted prices included within Level 1 that are observable for the asset or liability,
either directly or indirectly; and

Level3:Valuation techniques for which the lowest level input that is significant to the fair value measurement is
unobservable

As Per our report of even date attached herewith

For Vinod Kumar Jain & Co Kamanwala Housing Construction Limited

Chartered Accountants
Registration No. 111513W

Vinod Kumar Jain

Proprietor Divya Agarwal Atul Jain Amit Jain Tarun Jain

^Mem^ber^{ship N}°. ⁰³⁶³⁷³ Company Secretary Managing Director Director CFO

PAN-BUIPA1461Q DIN : 00052966 DIN: 00053168 PAN-AAAPJ7554Q

Mumbai

Dated : 30th May, 2025

---

Mar 31, 2024

1.14 Provisions

A provision is recognized when the company has a present obligation as a result of past
event and it is probable that an outflow of resources embodying economic benefit will be
required to settle the obligation and a reliable estimate can be made of the amount of
the obligation. Provisions are not discounted to their present value and are determined
based on the best estimate.

1.15 Contingent liabilities and Assets

Contingent liability is a possible obligation that arises from past events whose
existence will be confirmed by the occurrence or non-occurrence of one or more
uncertain future events beyond the control of the Company or a present obligation that is
not recognized because it is not probable that an outflow of resources will be required
to settle the obligation. A contingent liability also arises in extremely rare cases where
there is a liability that cannot be recognized because it cannot be measured reliably. The
company does not recognize a contingent liability but discloses its existence in the
financial statement.

Contingent assets are neither recognized nor disclosed in the Financial Statements.

1.16 Segment information for primary segment reporting (by Business segments)

The primary segment of the Company is business segment, which involved in business of
Real Estate. As the company operates in a single primary business segment, no segment
information thereof is given.

Securities premium reserve

"Securities premium reserve" is used to denote the Share premium received on issue of shares. The
reserve can be utilised only for limited purposes such as issuance of bonus shares in accordance with the
provisions ofthe Companies Act, 2013._

General Reserve:

Under the erstwhile Companies Act 1956, general reserve was created through an annual transfer of net
income at a specified percentage in accordance with applicable regulations. The purpose of these
transfers was to ensure that if a dividend distribution in a given year is more than 10% of the paid-up
capital of the Company for that year, then the total dividend distribution is less than the total distributable
results for that year. Consequent to introduction of Companies Act 2013, the requirement to mandatorily
transfer a specified percentage of the net profit to general reserve has been withdrawn. However, the
amount previously transferred to the general reserve can be utilised only in accordance with the specific
requirements of Companies Act, 2013.

Previous year''s figures have been regrouped and/or reclassified necessary to make them comparable with
current year figures.

NOTE 36

Balances in various accounts included in trade receivable, trade payable, advances recoverable,
deposits/advances from/to customers/suppliers, Loans & Advances given, interest on loans and Joint Venture
contributions are subjectto confirmation.

NOTE 37

In the opinion of the Management, the aggregate value of current assets (including stock) and loans and
advances on realization in the ordinary course of business will not be less than the amount at which these are
stated in the Financial Statements.

NOTE 38

All lands/development rights/premises are purchased on agreement basis and conveyance in respect of the
same will be executed directly in favor of Co-operative Societies whenever they are formed.

Contingent Liability exists in respect of following disputed demands against which appeals are pending before
Appellate Authorities:

a) For Assessment Year (A.Y.) 2011-12 as per the order giving effect to ITAT appeal order, received in earlier
financial year a demand of Rs. 404.68 Lakhs is pending. Further relief is expected considering certain matters
restored to Assessing Officer and also for certain issues appeal before CIT (A) is pending.

b) For assessment for Assessment Year (A.Y.) 2015-16 as per order by Assessing Officer demand of
Rs.345.60 Lakhs is pending. The company has filed appeal with the CIT (A) and expects major relief.

c) The Company’s appeal with The Income Tax Appellate Tribunal pertaining to (A.Y.) 2013-14 and (A.Y.)
2014-15 the demand of Rs. 539.45 Lakhs and Rs. 171.15 Lakhs respectively was rejected. However as
advised the Company has made appeal with The High Court at Judicature at Mumbai and expects major relief.

d) For assessment for Assessment Year (A.Y.) 2022-23 as per order by Assessing Officer demand of Rs.38.29
Lakhs is pending. The company has filed appeal with the CIT (A) and expects major relief.

e) For assessment period (financial year) 2011-12 as per assessment of Sales Tax (VAT) demand of Rs. 74.56
Lakhs was raised by the Assessing Authority. For the assessment periods 2006-07, 2007-08, 2008-09, 2009¬
10 and 2010-11 demand of Rs. 63.80 Lakhs was raised by Assessing Authority. For the assessment periods
2014-15 & 2015-16 demands of Rs. 16.32 Lakhs and Rs 31.08 Lakhs respectively are raised by the Assessing
Authority. The Company has filed first appeal to the relevant Appellate Authority of Sales Tax (VAT). The
management expects substantial relief for all these as assessment periods.

The Company is in the process of identification of suppliers registered, if any, under the Micro, Small and
Medium Enterprises Development Act,2006, as micro and small enterprise. Information has been collated only
to the extent of information available with the company based on invoices of the parties & oral enquiry and
accordingly no amount is disclosed. Moreover, there being no project in hand and also due to corona
pandemic the activity of the company is at its low and the amount due to suppliers is minimal. Therefore,
accordingly based on information available no amount is disclosed.

NOTE 41

The Company has entered into the following Deeds of Partnership for which Liabilities are unlimited and
amount not ascertained:

a) Kamanwala Lakshchandi Todays Constructions.

b) Kamanwala Lakshchandi Todays Developers.

Note 42.1 - Risk Management Framework

The Company’s Board of Directors has overall responsibility for the establishment and oversight of the
Company’s Risk Management Framework.The Company’s risk management policies are established to identify
and analyze the risk faced by the Company, to set appropriate risk limits and controls and to monitor risks and
adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in
market conditions and the Company’s activities.The Audit Committee oversees how management monitors
compliance with the Company’s Risk management policies and procedures, and reviews the adequacy of the
risk management framework in relation to the risks faced by the Company. The Audit Committee is assisted in
its oversight role by internal audit._

Note 42.2 - Credit Risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument
fails to meet its contractual obligations, and arises principally from the Company’s receivables from customers,
investments.debt securities, loans given to related parties and project deposits.Credit risk encompasses of
both, the direct risk of default and the risk ofdeterioration of creditworthiness as well as concentration of risks.
Credit risk is controlled by analyzing creditlimits and creditworthiness of customers on a continuous basis to
whom the credit has been granted afterobtaining necessary approvals for credit.

Financial instruments that are subject to concentrations of credit risk principally consist of trade receivables,
unbilled revenue, investments, cash and cash equivalents, bank deposits andother financial assets. None of
the financial instruments of the Company result in material concentration of credit risk. The carrying amount of
financial assets represents the maximum credit exposure.

Note 42.3 - Liquidity risk management

Liquidity risk refers to the risk of financial distress or extraordinary high financing costs arising due to shortage
of liquid funds in a situation where business conditions unexpectedly deteriorate and requiring financing. The
Company requires funds both for short term operational needs as well as for long term capital expenditure
growth projects. The Company generates sufficient cash flow for operations, which together with the available
cash and cash equivalents and short-term investments provide liquidity in the short-term and long-term. The
Company has established an appropriate liquidity risk management framework for the management of the
Company’s short, medium and long-term funding and liquidity management requirements. The Company
manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities, by
continuously monitoring forecast and actual cash flows, and by matching the maturity profiles of financial
assets and liabilities.

NOTE 43: Capital Management

Equity share capital and other equity are considered for the purpose of Company’s capital management. The
Company manages its capital so as to safeguard its ability to continue as a going concern and to optimize
returns to shareholders. The capital structure of the Company is based on management’s judgement of its
strategic and day-to-day needs with a focus on total equity so as to maintain investors, creditors and market
confidence.

NOTE 44: Relationship with Struck off Companies

The Company did not have any transaction with Struck off Companies.

NOTE 45: ADDITIONAL REGULATORY INFORMATION REQUIRED BY SCHEDULE III TO THE
COMPANIES ACT, 2013

(i) The Company does not have any benami property held in its name. No proceedings have been initiated on
or are pending against the Company for holding benami property under the Benami 1988) and Rules made
there under.

(ii) The Company has not been declared wilful defaulter by any bank or financial institution or other lender or

government or any government authority._

The Company has complied with the requirement with respect to number of layers as prescribed under section
2(87)ofthe Companies Act, 2013 read with the Companies (Restriction on number of layers) Rules, 2017.

Utilization of borrowed funds and share premium..

I) The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including

foreign entities (Intermediaries) with the understanding that the Intermediary shall:_

(a) Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by oron
behalf ofthe Company (Ultimate Beneficiaries) or

(b) Provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries

II) The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding
Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on
behalfofthe Funding Party (Ultimate Beneficiaries)or

(b) provide any guarantee, security, orthe like on behalfofthe ultimate beneficiaries

(c) There is no income surrendered or disclosed as income during the year in tax assessments under the
Income Tax Act, 1961 (such as search or survey), that has not been recorded in the books of account.

(d) The Company has nottraded or invested in crypto currency or virtual currency during the year.

(e) The Company has repaid the entire amount of loan along with interest, but the Company has not satisfied
the charges on the same with Registrar of Companies beyond the statutory period.

Note 48 : Financial Instruments Valuation

All financial instruments are initially recognized and subsequently re-measured at fair value as described
below:

The fair value of financial assets and liabilities are included at the amount at which the instrument could be
exchanged in a current transaction between the willing parties, other than in a forced or liquidation sale.

The financial instruments are categorized into two levels based on the inputs used to arrive at fair value
measurements as described below:

Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities;

Level2:lnputs other than the quoted prices included within Level 1 that are observable for the asset or liability,
either directly or indirectly; and

Level3:Valuation techniques for which the lowest level input that is significant to the fair value measurement is
unobservable

As Per our report of even date attached herewith

For Vinod Kumar Jain & Co. For Kamanwala Housing Construction Limited

Chartered Accountants
Registration No. 111513W

Vinod Kumar Jain

Proprietor DivyaAgarwal AtulJain Amit Jain TarunJain

Membership No. 036373 Company Secretary ManagingDirector Director CFO

PAN-BUIPA1461Q DIN:00052966 DIN:0005316£PAN-AAAPJ7554Q

Mumbai

Dated :30th May, 2024

---

Mar 31, 2015

Additional Information to Long Term Borrowings:

The long term portion of term loan is shown under long term borrowings and current maturities of the long term borrowings are shown under the current maturities as per the disclosure requirements of the Revised Schedule III.

- Details of Securities and Terms of Repayments: I. Secured Loan

(a) (i) Allahabad Bank (A/c No. 50138526820), Worli, Mumbai

Term Loan of Rs. 1.50 Crores sanctioned by the Bank for the purpose of working capital and the said Loan against property which was to be repaid in 84 equal monthly installments, at interest @ 16% (base rate 5.5%). was fully repaid on 18.12.2014. The details of the poperties mortgaged with the Bank were under:

(1) Office no. B-4C, B-Wing at New Udyog Mandir-2, Mogul Lane, Mahim (West), Mumbai-400016 which belongs to the Company.

(2) Office No 403 along with 13 nos car parking on Second Floor at Savoy Chambers, Santacruz (West), Mumbai which belongs to M/s Classy Investments Pvt. Ltd.

(b) (i) Kotak Mahindra Pvt.Ltd (Loan A/c No.6962494) - NBFC

Secured by First charge by way of hypothecation of Car No. MH 01 AX 5600 as per loan sanctioned as on 8th September,2011

The loan is repayable in 35 equal monthly installments of Rs. 28,047/- each, interest @ 6.50% p.a. is payable on the said loan

However, it is fully repaid on 02.05.2014. (ii) ICICI Bank Ltd(Loan A/c. No. LAMUM00026715824)

Secured by First charge by way of hypothecation of Car No. MH 43 AL 9825 as per loan sanctioned as on 1st February, 2013.

The loan is repayable in 60 equal monthly installments ofRs. 19,818/- each, interest @ 11.99% p.a. is payable on the said loan.

The year of maturity with reference to Balance Sheet is 2.9 years. (iii) Volkswagen Finance Pvt. Ltd. (Loan A/c No. 20121018744)

Secured by First charge by way of hypothecation of Car No. MH 43 AL 9466 as per loan sanctioned as on 28th December,2012.

The loan is repayable in 60 equal monthly installments of Rs. 68409/- each, interest @ 11.65% p.a. is payable on the said loan.

The year of maturity with reference to Balance Sheet is 2.8 years. (iv) Volkswagen Finance Pvt. Ltd. (Loan A/c No. 20121019363)

Secured by First charge by way of hypothecation of Car No. MH 43 AL 9772 as per loan sanctioned as on 28th December,2012.

The loan is repayable in 60 equal monthly installments of Rs. 68409/- each, interest @ 11.65% p.a. is payable on the said loan.

The year of maturity with reference to Balance Sheet is 2.8 years.

(b) CAPITAL FIRST LTD -NBFC

(i) Secured by way of first exclusive charge on Manavsthal Project CTS No. 2841(pt), Tal. Borivali Properties together with land and all the present & Future superstructures, receivable, escrow accounts etc. and also on unsold stock of Pinnacle Corporate Park Project CTS No. 4207(pt), Tal. Andheri, as per loan sanctioned as on 11th November, 2013. The loan is repayable in 24 equal monthly installments. However, it is fully repaid on 08.04.2015 hence, it is shown in Current Maturities. The said Term Loan is for the purpose of working capital and general corporate expenses of the Company and the balance for construction expenses of project Manavsthal at Malad, Mumbai.

I. Unsecured Loan

(a) (i) ICICI Bank Ltd(Loan A/c.No.1890626)

The said loan taken by the Company jointly with Directors and for which Director has given his personal assets as securities. The said loan was sanctioned to the Company on 25th October, 2011 interest @ 12.75% floating. Repayable in 120 EMIs w.e.f. December, 2011. The year of maturity with reference to Balance Sheet is 6.8 years.

(i) During the year, the Company has provided for the following based on Unaudited Financial Statements of M/s Kamanwala

Lakshachandi Todays Construction : -

- Interest on Partners Capital amounting to Rs. 73,58,920/- - Share in Profit of Rs. 80,93,325/- (ii) During the year, the Company has provided for the following based on Unaudited Financial Statements of M/s Kamanwala Lakshachandi

Todays Developers : -

- Share of Loss of Rs. 46,185/-

(i) Aspen Properties Pvt. Ltd

The Company has made the payment towards joint venture contribution to M/s Aspen Properties Pvt Ltd for the project at Filimistan Studio, Goregaon (West).

The Company has taken concrete steps to commence the project, Company had sent a notice through Legal Advisor to the Co- Venturer and also made the provison for compensation receivable which is shown seperately in Current Assets.

(ii) Khar Property

The Company has made payment of Rs. 25,50,000/-for development of property at E/828, 4th & 5th Road, Khar (West), Mumbai.

NOTE : 1

During the year, Company has recognized interest income of Rs. 1,06,44,000/- from M/s. Prajay Kamanwala Developers and Rs. 4,20,000/- from M/s. Aspen Properties Pvt. Ltd. on amount of investment made in Partnership and Joint Venture respectively for which projects are yet to commence. Company has taken the other parties into confidence and is confident of its recovery.

NOTE : 2

During the year, Company has considered the interest income Rs. 2,17,00,963/- on amount receivable from M/s Housing Development and Infrastructure Limited, who has agreed to refund the amount along with interest.

NOTE : 3

In the absence of information with the Company regarding the status of the suppliers as defined under Micro, Small and Medium Enterprises Development Act, 2006, the details if any, the provision or payment of interest and related disclosure under the said Act has not been disclosed.

NOTE 4: CONTINGENT LIABILITIES

1. No provision is made for Contingent Liability which may arise for delay in execution of project Pinnacle Corporate Park, BKC Bandra (East), Mumbai. As per the terms of Agreements executed with Purchasers, the Company has committed to give the possession of the office premises in the year 2008. However, due to certain compliance and pending clearance of S.R.A., the project has been delayed for six years.

2. The Company has given a guarantee of Rs. 3 Lacs to Maharashtra Pollution Control Board on account of specific compliances for Malad Project.

3. The Company has entered into the following Deeds of Partnership for which liabilities are unlimited and amount not ascertained:

(a) M/s. Kamanwala Lakshachandi Todays Construction

(b) M/s. Prajay Kamanwala Developers

4. The Income Tax Department has raised the demand of Rs. 3.78 Crores for Assessment Year 2011-12, and Rs. 82.27 Lacs for Assessment Year 2012-13, contending the same the Company has filed an Appeal with Commissioner of Income Tax (Appeal).

---

Mar 31, 2014

1.(a) Terms/rights attached to Shares

The Company has only one class of Equity Share having a par value of Rs. 10/- per Share. Each holder of Equity Share is entitled to one vote per Share.

(b) Additional Information to Long Term Borrowings

The long term portion of term loan is shown under long term borrowings and current maturities of the long term borrowings are shown under the current maturities as per the disclosure requirements of the Revised Schedule VI.

(c) Details of Securities and Terms of Repayments

I. Secured Loan:

(i) Allahabad Bank (A/c. No. 50138526820), Worli, Mumbai:

Term Loan of Rs. 1.50 Crores sanctioned by the Bank for the purpose of working capital and the said Loan against property which will be repaid in 84 equal monthly installment, ''rate of interest @ 16% (base rate 5.5%). The details of the property mortgaged with the bank are as under:

(1) Office No. B-4C, B-Wing at New Udyog Mandir-2, Mogul Lane, Mahim (West), Mumbai 400016 which belongs to the Company.

(2) Office No. 403 along with 13 nos. car parking on second floor at Savoy Chambers, Santacruz (West), Mumbai which belongs to M/s. Classy Investments Pvt. Ltd.

(i) Kotak Mahindra Pvt. Ltd. (Loan A/c. No. 6962494) - NBFC:

Secured by First charge by way of hypothecation of Car No. MH 01 AX 5600 as per loan sanctioned executed as on 8th June, 2011. The loan is repayable in 35 equal monthly installment of Rs. 28,047/- interest @ 6.50% p.a. is applicable on the said loan. The year of maturity with reference to Balance Sheet is 2 months.

(ii) ICICI Bank Ltd. (Loan A/c. No. LAMUM00026715824):

Secured by First charge by way of hypothecation of Car No. MH 43 AL 9825 as per loan sanctioned as on 1st February, 2013. The loan is repayable in 60 equal monthly installment of Rs. 19,818/-. interest @ 11.99% p.a. is applicable on the said loan. The year of maturity with reference to Balance Sheet is 3.9 years.

(iii) Volkswagen Finance Pvt. Ltd. (Loan A/c. No. 20121018744):

Secured by First charge by way of hypothecation of Car No. MH 43 AL 9466 as per loan sanctioned as on 28th December, 2012. The loan is repayable in 60 equal monthly installment of Rs. 68,409/-, interest @ 11.65% p.a. is applicable on the said loan. The year of maturity with reference to Balance Sheet is 3.8 years.

(iv) Volkswagen Finance Pvt. Ltd. (Loan A/c. No. 20121019363):

Secured by First charge by way of hypothecation of Car No. MH 43 AL 9772 as per loan sanctioned as on 28th December, 2012. The loan is repayable in 60 equal monthly installment of Rs. 68,409/-, interest @ 11.65% p.a. is applicable on the said loan. The year of maturity with reference to Balance Sheet is 3.8 years.

2. Capital First Ltd. (Formerly known as Future Capital Holdings Ltd.) NBFC:

Secured by way of first exclusive charge on Pinnacle Corporate Park Project, CTS No. 4207(pt), Taluka Andheri, Manavsthal project CTS No. 2841(pt), Taluka Borivali Properties together with land and all the present and future superstructures, receivable, escrow accounts etc. as per loan sanctioned as on 14th December, 2011. The loan is repayable in 24 equal monthly installment. Repayment is started from 30th April, 2012 to 31st March, 2014. During the year Company has made repayment of the said Term Loan before due date.

Secured by way of first exclusive charge on Manavsthal project CTS No. 2841(pt), Taluka Borivali Properties together with land and all the present and future superstructures, receivable, escrow accounts etc. and also on unsold stock of Pinnaacle Corporate Park Project CTS No. 4207(pt) Taluka Andheri, as per loan sanctioned as on 11th November, 2013. The loan is repayable in 24 equal monthly installment. The year of maturity with ''reference to Balance Sheet is 1 year. Accordingly, the due amount of Term Loan is shown in Current Maturities. The said Term Loan is for the purpose of working capital and general corporate expenses of the Company and the balance for construction expenses of Manavsthal Project at Malad, Mumbai.

II. Unsecured Loan:

(i) ICICI Bank Ltd. (Loan A/c. No. 1890626)

The said loan taken by the Company jointly with Directors and for which director has given his personal assets as securities. The said loan was sanctioned to the Company on 25th October, 2011 interest @ 12.75% floating. Repayable in 120 EMIs w.e.f. December 2011. The year of maturity with reference to Balance Sheet is 7.8 years.

* The Company has not made default in repayment of dues (Principal and interest) during the year ended 31st March, 2014 except for one installment of Term Loan of Allahabad Bank for March, 2014 installments amounting to Rs. 2.98 lakhs per month which was due on 31.03.2014 and is paid on 03.04.2014..

(ii) M/s. Prajay Kamanwala Developers as on 8th May, 2006 of which the Company has not provided Profit and Loss Account & Balance Sheet for last 8 years since inception. As such there is no development work started so the financial statement has not been prepared.

(iii) There is no profitability made by the M/s. Kamanwala Lakshachandi Todays Developers, so that no profit or loss has been determined.

(iv) During the year provision for interest on capital investment made for Rs. 73,47,166/- M/s. Kamanwala Lakshachandi Todays Construction has been received booking of 4 flats during the year and recorded the sale of 90% as the work completed and as per Provisional Financial Statements of the Firm profit is arrived at Rs. 79,04,458/-.

(v) Aspen Properties Pvt. Ltd.

The Company has made the payment towards joint venture contribution to M/s. Aspen Properties Pvt. Ltd. for the project at Filimistan Studio, Goregaon (West) and the said amount is confirmed by M/s. Aspen Properties Pvt. Ltd. in their Balance Sheet for assessment year 2011-2012 and to take the concrete steps to commence the project, Company had sent the notice through Legal Advisor to the Co-venturer and also made the provison for compensation receivable which is shown separately in Current Assets.

(vi) Khar Property

The Company has made payment of Rs. 18,00,000/- for development of property at E/828, 4th & 5th Road, Khar (west), Mumbai.

NOTE 3:

The Company has inadvertently capitalised Commitment Charges of Rs. 6,11,28,193/- to the unsold stock in the first three quarters. However, following consistency of charging these expenses to revenue, the Company has reversed the same in the fourth quarter.

NOTE 4:

During the year, the Company has recognized interest income of Rs. 1,06,44,000/- from Prajay Kamanwala Developers and Rs. 4,20,000/- from Aspen Properties Pvt. Ltd. on amount of investment made in Partnership and Joint Venture respectively in which projects are yet to commence. The Company has taken the other parties into confidence and is confident of its recovery.

NOTE 5:

During the Quarter ended March, 2014, the Company has considered the Interest income Rs. 6,07,62,694/- for the period of 14.06.2011 to 31.03.2014 on amount receivable from M/s Housing Development and Infrastructure Limited, who had agreed to refund the amount along with interest and whose confirmation in writing is awaited.

NOTE 6:

In the absence of information with the Company regarding the status of the suppliers as defined under Micro, Small and Medium Enterprises Development Act, 2006, the details, if any, the provision or payment of interest and related disclosure under the said Act has not been disclosed.

NOTE 7: CONTINGENT LIABILITIES

1. Provision not made for Contingent liability which may arise for delay in execution of project Pinnacle Corporate Park, BKC Bandra (East), Mumbai. As per the terms of Agreements executed with Purchasers, the Company has committed to give the possession of the office premises in the year 2008. However, due to certain compliance of S.R.A. the project has been delayed for five years.

2. The Company has given the guarantee for amounting to Rs. 3 lacs to Maharashtra Pollution Control Board on account of specific compli- ances of the Pollution Control for Malad Project,

3. The Company has entered into the following Deeds of Partnership for which liabilities are unlimited and amount not ascertained:

(a) M/s. Kamanwala Lakshachandi Todays Construction

(b) M/s. Prajay Kamanwala Developers

4. The Income Tax Department has raised the demand of Rs. 3,77,72,630/- for Assessment Year 2011-12, contending the same the Company has filed an Appeal with Commissioner of Income Tax (Appeal).

5. According to records of the Income Tax Department, CPC, Bengaluru the outstanding demand for Assessment Year 2006-07 is Rs. 1,64,435/-, for Assessment Year 2007-08 is Rs. 56,001/- and for Assessment Year 2012-13 is Rs. 9,07,700/-.

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Mar 31, 2013

1. Provision not made for Contingent Liability which may arise for delay in execution of project Pinnacle Corporate Park, BKC Bandra (East), Mumbai. As per the terms of Agreements executed with Purchasers, the Company has committed to give the possession of the offce premises in the year 2008. However, due to certain compliance of S.R.A. the project has been delayed for four years.

2. Corporate Guarantee given by the Company for Term Loan of Rs. 17 Crores availed by M/s Kamanwala Lakshachandi Todays Construction from Allahabad Bank, Worli, Mumbai in which the Company is 50% partner.

3. The Company has given the guarantee for amounting to Rs. 3 lacs to Maharashtra Pollution Control Board on account of specifc compliances of the Pollution Control Board for the Malad Project.

4. Letter of Credit opened with Allahabad Bank in favour of Su Zhou Schindler Elevator Co. Ltd., China for import of lifts 10 nos for Malad Project for the value US$ 2,86,705 for which the Company''s contingent liability as on 31st March, 2013 is Rs. 1.56 Crores.

5. The Company has entered into the following Deeds of Partnership for which liabilities are unlimited and amount not ascertained:

(a) M/s. Kamanwala Lakshachandi Todays Construction

(b) M/s. Prajay Kamanwala Developers

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Mar 31, 2012

(a) Terms/rights attached to Shares

The Company has only one class of Equity Share having a par value of Rs 10/- per Share. Each holder of Equity Share is entitled to one vote per Share.

(a) Additional Information to Long Term Borrowings

The Long term portion of term loan are shown under long term borrowings and current maturities of the Long term borrowings are shown under the current maturities as per the disclosure requirements of the Revised Schedule VI.

(b) Details of Securities and Terms of Repayments

I. Secured Loan

(i) ICICI Bank Ltd. (Loan A/c. No. 1877927)

The said loan sanctioned on 19th July, 2011 @ 12.75% floating interest rate p.a. which is to be repaid in 120 EMI w.e.f. 19th July, 2011. However, it is fully repaid on 23-05-2012 hence, it is shown in current maturities under current liabilities. The said loan is secured by Exclusive First charge on CompanyRss property located at Premises No. 102, 1st Floor, Savoy Chambers, Santacruz (w) alongwith 13 car parkings.

(ii) ICICI Bank Ltd. (Loan A/c. No. 20368331)

Secured by First charge by way of hypothecation of Car No. MH 04 AR 3751 as per loan sanctioned as on 30th April, 2010. The loan is repayable in 35 equal monthly installment of Rs 55,230/-, Floating interest rate @ 7.97% p.a. is applicable on the said loan. The period of maturity with reference to Balance Sheet is 1 year.

(iii) ICICI Bank Ltd. (Loan A/c. No. 23856229)

Secured by First charge by way of hypothecation of Car No. MH 01 AX 3205 as per loan sanctioned as on 28th April, 2011. The loan is repayable in 36 equal monthly installment of Rs 77,777/-. Floating interest rate @ 1.26% p.a. is applicable on the said loan. The period of maturity with reference to Balance Sheet is 2 years.

(iv) Kotak Mahindra P. Ltd. (Loan A/c. No. 6962494) - NBFC

Secured by First charge by way of hypothecation of Car No. MH 01 AX 5600 as per loan sanctioned executed as on 8th June, 2011. The loan is repayable in 35 equal monthly installment of Rs 28,047/- Floating interest rate @ 6.50% p.a. is applicable on the said loan. The period of maturity with reference to Balance Sheet is 2.2 years.

(v) ICICI Bank Ltd. (Loan A/c. No. 17265079)

Secured by First charge by way of hypothecation of Car No. MH 04 DY 2409 in the name of director as per loan sanctioned as on 12th June, 2009. The loan is repayable in 35 equal monthly installment of Rs 22,670/-. Floating interest @ 15.51% p.a. is applicable on the said loan. The period of maturity with reference to Balance Sheet is 2 months.

(vi) Magma Fincorp Ltd. (Swift DRszire) - NBFC

Secured by First charge by way of hypothecation of Car No. MH 43 8300 as per loan sanctioned as on 10th June, 2009. The loan is repayable in 36 equal monthly installment of Rs 17,267/-. Floating interest @ 12.0091% p.a. is applicable on the said loan. The period of Maturity with reference to Balance Sheet is 1.2 months.

(b) Future Capital Holdings Ltd. - (NBFC)

Secured by way of first exclusive charge on Pinnacle Corporate park project CTS No. 4207(pt), Tal Andheri, Manavsthal project CTS No. 2841(pt), Tal Borivali properties together with land and all the present and future superstructures, receivable, escrow accounts etc. as per loan sanctioned as on 14th september, 2011. The loan is repayable in 24 equal monthly installment. Repayment has started from 30th April, 2012 to 31st March, 2014. The period of maturity with reference to Balance Sheet is 2 years.

II. Unsecured Loan

(i) ICICI Bank Ltd. (Loan A/c. No. 1890626)

The said loan taken by the Company jointly with Directors and for which Director has provided his personal assets as securities. The said loan has been sanctioned to the Company on 25th October, 2011 interest @ 12.75% floating. Repayable in 120 EMI w.e.f. December 2011. The period of maturity with reference to Balance Sheet is 9.8 years.

(c) The Company has not made default in repayment of dues (principal and interest) during the period ended March, 2012.

I. (a) Indian overseas Bank, Santacruz (W), Mumbai

(i) Additional Corporate Loan

(ii) Term Loan

(iii) Corporate Loan for Working Capital

The above loans from Indian Overseas Bank, Santacruz (West), Mumbai were secured by Mortgage of BKC. Kole Kalyan Project Land and Construction thereon including stock and receivables of the projects and construction of office premises thereon.

(b) oriental Bank of Commerce, Fort, Mumbai

(i) Demand Loan-I

(ii) Term Loan-II

The above loans were secured by Equitable Mortgage over the leasehold rights on plot of land of village Malwani, Malad and construction of flats to be erected thereon and Hypothecation of Building Materials and Debtors.

II. Other loans and advances are taken from various prospective buyers against properties and flats.

* M/s. Prajay Kamanwala Developers as on 8th May, 2006 of which the Company has not provided Profit and Loss Account and Balance Sheet for last 6 years since inception, As such there is no development work started so the financial statement has not been prepared. ** During the year the said firm is completed their Commercial Project namely "Savoy Chambers" at Santacruz, (West), Mumbai and recorded the sales of the project in current year and the Company has received its share of Profit Rs 38.69 lacs which has been shown as Other Income and there is no any liability in the Partnership Firm.

As agreed by Partners of the Firm interest will be provided on capital invested by the Partners only after the completion of project and accordingly sale recorded.

The Company has accrued total interest for the period 01-10-2008 to 30-06-2011 of Rs 3,96,00,445/- which include prior period interest amount of Rs 3,31,96,661/-.

1. Investment in Joint Venture at cost

(i) Aspen Properties Pvt. Ltd.

The Company has made the payment towards joint venture contribution to M/s Aspen Properties Pvt. Ltd. for the project at Filimistan Studio, Goregaon (west) and the said amount is confirmed by M/s Aspen Properties Pvt. Ltd. in their Balance Sheet for assessment year 2011-2012.

(ii) Anand Infoedge Pvt. Ltd.

During the year, Company has made the aforasaid payment to M/s Anand Infoedge Pvt. Ltd on account of joint venture contribution for development of IT Park on property at NOIDA which is in the name of the said company. Our share in profit/loss is 10% and profit and loss statement is not provided for current year.

NOTE 2: CONTINGENT LIABILITIES

1. Provision not made for contingent liability which may arise for delay in execution of project Pinnacle Corporate Park, BKC, Bandra (East), Mumbai.

As per the terms of Agreements executed with the Purchasers, the Company has committed to give the possession of the office premises in the year 2008. However, due to certain compliance of S.R.A. the project has been delayed for four years.

2. Contingent liabilities not provided for in respect of Stamp Duty of Rs 3,48,750/- on purchase of Flat at Hermitage Villa.

3. The Company has entered into the following Deeds of Partnership for which liabilities are unlimited and amount not ascertained:

(a) M/s. Kamanwala Lakshachandi Todays Construction.

(b) M/s. Prajay Kamanwala Developers.

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Mar 31, 2011

1. (i) Contingent liabilities not provided for in respect of :

Stamp duty of Rs. 3,48,750/- on purchase of flat at hermitage villa.

(ii) the Company has entered into the following deeds of Partnership for which liabilities are unlimited and amount not ascertained:

(a) M/s. Kamanwala lakshachandi todays Construction

(b) M/s. Kamanwala lakshachandi todays developers

(c) M/s. Prajay Kamanwala developers

2. Additional information required under Schedule vi to the Companies act, 1956 (to the extent applicable):

ii. (a) Cost of materials Consumed (indigenous):

(b) the value of consumption of construction materials have been arrived at on the basis of reconciliation of opening stock plus purchases less closing stock. the consumption, therefore, includes adjustments for shortages/excesses.

(c) in view of a large number and types of materials involved, it has not been considered necessary to furnish separately the respective quantitative information for other materials.

iv. Transactions in foreign Currency:

Foreign exchange expenses Rs. - NIl - (Rs. NIL) foreign exchange earned Rs. - NIL - (Rs. NIL)

3. RELATED PARTIES DISCLOSURES:

(a) list of related Parties:

Associates: Joint Venture: key Management personnel:

M/s attar Construction M/s Kamanwala laksha Mr. M.L. Gupta Co. Pvt. Lt. Chandi Mr. Jaipal Jain M/s. Ritika Steel & Today developers Mr. Atul Jain Scraps Pvt. Ltd. M/S Kamanwala laksha Mr. Tarun Jain M/s A.S. Jain & Sons Today Construction Mr. Amit Jain (Prop. Concern of M/s Prajay Kamanwala Mrs.Pushpa Jain Jaipal Jain) Developers M/s Hatimi Steels (Prop. Concern of Amit Jain)

Other Directors: Relatives of Key Management Personnel

Mr. B.R. Maheshwari Shri Atul Jain (HUF) Mr. Bhanwarlal D. Jogani Shri Tarun Jain (HUF) Mr. Ramesh J. Patel Shri Murarilal Ramswarup Mrs. Shobha Jain Khandelwal (HUF) Mr. Sorabh Gupta Mrs. Sudha Gupta Mr. S.V. Shanbhag Mrs.Neena Jain till dt. 21.12.2010 Mrs. Rashmi Jain Mr. Pankaj R. Majithia Mr. Vaibhav Jain w.e.f. dt. 12.05.2011 Mrs. Tulika Gupta Mrs. Saroj Jain Mrs. Shikha Jain Mr. Vijendrapal Jain M/s GSP International (Prop. Arun Jain) Mrs. Nita Jain Mrs. Sarita Jain

4. balances in various accounts included in Sundry debtors, Sundry Creditors, advances recoverable, deposits/advances from Customers and Joint venture accounts are subject to confirmation.

5. in the opinion of the board, the aggregate value of current assets (including stock) and loans and advances on realisation in the ordinary course of business will not be less than the amount at which these are stated in the balance Sheet.

6. all lands/development rights/premises are purchased on agreement basis and conveyance in respect of the same will be executed directly in favour of Co-operative Societies whenever they are formed.

7 the Company has decided to write off its investments of Rs. 87.50 lacs in joint venture with Kamani tubes ltd. due to rejection of its claim by BIFR.

8. the Company has no information as to whether any of its suppliers constitute small-scale undertakings and therefore, the amount due to such suppliers has not been separately identified.

9. the Company has taken the advances from various parties against the ongoing projects at BKC, malad and Turbhe. basically to promote the sale of the Company they can get minimum compensation or they can also apply the option to buy the Property at prevailing market rate. meanwhile the Company is regularly paying commitment charges to the parties on amount paid by them.

10. Previous year's figures have been regrouped wherever necessary to conform to this year’s classification.

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Mar 31, 2010

1. Contingent liabilities not provided for in respect of:

Stamp Duty of Rs. 3,48,750/- (Rs. 3,48,750/-) on purchase of office premises at Hermitage Villa.

2. Balances in various accounts included in Sundry Debtors, Sundry Creditors, Advances Recoverable, Deposits/Advances from Customers and Joint Venture Accounts are subject to confirmation.

3. In the opinion of the Board, the aggregate value of current assets (including stock) and loans and advances on realisation in the ordinary course of business will not be less than the amount at which these are stated in the Balance Sheet.

4. All lands/development rights/premises are purchased on agreement basis and conveyance in respect of the same will be executed directly in favour of Co-operative Societies whenever they are formed.

5. Previous years figures have been regrouped wherever necessary to conform to this years classification.

6. As dispute between the Company and M/s. Kamani Tubes Ltd. in connection with carrying out the terms and conditions of KTL-Kamanwala Joint Venture Agreement dated 22nd April, 1995 for development and upliftment of Kamani Chambers, situated at Ballard Estate, Mumbai is still pending with the Arbitrators and the award for the same is awaited. With a view to safeguard the interest of the Company, the Company has also filed a petition before the Board for Industrial and Financial Reconstruction (BIFR). But the BIFR has directed that amount of deposit lying with Company is to be treated as unsecured creditors and Arbitration proceeding may continue. So Company is waiting for Arbitration award. The Company has incurred the total expenses of Rs. 87.50 lacs for the project which includes the deposit money paid to the M/s Kamani Tubes Ltd.

7. The Company has no information as to whether any of its suppliers constitute small-scale undertakings and therefore, the amount due to such suppliers has not been separately identified.