Notes to Accounts of KBS India Ltd.

Mar 31, 2024

xii. PROVISION FOR GRATUITY:

As per IND AS 19, the company is require to provide for Gratuity payable to the employees. The liability for the Gratuity as per actuarial valuation is Rs. 3,56,678/- The management is of the opinion that Gratuity will be debited to profit and loss account when it is actually paid in respective year.

xiii. EARNING PER SHARE:

As required by Ind As 33 "Earning Per Share", (EPS) is calculated by dividing the profit attributable to the equity shareholders by the average number of equities shares outstanding during the year and is ascertained as follows: For the purpose of calculating diluted earnings per share, the net profit or loss for the period attributable to equity shareholder and weighted average number of equity share outstanding during the period is adjusted for the effects of all dilutive potential equity shares.

XiV. CONTINGENT LIABILITY NOT ASCERTAINED:

In the opinion of management there are no contingent liabilities for the year. Since Company has not entered in any transactions pertaining to Provisions, Contingent liability and contingent assets Hence there is no contingent liability/assets as on 31^st March 2024.

xv. OTHER MANAGEMENT OPINION:

In the opinion of the management, Current Assets, Deposits, Loans and advances have fair value equal to the amounts shown in the Balance Sheet. The provision for depreciation and all the liabilities is not in excess of the amount reasonably necessary.

Long term loans and advances receivable amounting to Rs.16,65,40,533/- is considered as disputed and doubtful but the management of the company is expecting to settle the claim in near future. Hence provision for doubtful debt is not done.

xvi. FOREIGN EXCHANGE RATE:

In the opinion of the management the foreign currency rate fluctuation for outstanding loans receivable is not provided as on 31/03/2024 because the said loan in the opinion of management is consider as doubtful of recovery. Hence effect has neither credited nor debited to the Profit & Loss Account in accordance with Ind AS 21 regarding the Effects of Changes in Foreign Exchange Rates.

xvii. INTEREST:

During the year the company have earned interest accrued from Non-Convertible Debentures, Fixed deposits and with NSE deposit.

xviii. RELATED PARTIES:

As per Accounting Standard (AS) 18, ''Related Party Disclosures'' prescribed under the Accounting Standard Rules, the disclosures of the details of the related parties and the transactions entered with them are given below:

I - List of Related Parties

II - List of Transactions entered with them

xix. SEGMENT REPORTING:

As per Ind AS 108 on Segment reporting the Company is engaged in two business segments, one is to provide brokerage services to its clients in the capital markets within India from which gross revenue is Rs. 1,80,25,196/- and other is trading of shares from which resulted in loss of Rs. 8,19,118/- Further as the company is business within with in single geographical location i.e., India the disclosure of secondary segment in not given separately.

xx. CASH AND CASH EQUIVALENTS:

Cash and cash equivalents include cash in hand and balance in current accounts, term deposits with banks and other short-term highly liquid investments with original maturities of three months or less Cash on hand as on 31st March 2024 are physically verified by the management and certificate in respect of such verification has been duly furnished to the auditor.

xxi. FINANCIAL INSTRUMENT: a) Financial Assets:

Initial recognition and measurement

All financial assets are recognized initially at fair value plus, in case of financial asset not recorded at fair value through profit or loss, transaction cost that are attributable to the acquisition of the financial asset.

Financial assets are classified, at initial recognition, as financial assets measured at fair value or as financial asset measured at amortized cost.

Subsequent measurement

For purposes of subsequent measurement financial assets are classified into two broad categories:

• Financial asset at fair value

• Financial asset at amortized cost

Where assets are measured at fair value, gains and losses are either recognized entirely in the statement of profit or loss (i.e. fair value through profit or loss), or recognized in other comprehensive income (i.e. fair value through other comprehensive income)

A financial asset that meet the following two conditions is measured at amortized cost (net of any written down for impairment) unless the asset is designated at fair value through profit or loss under the fair value option.

Business model test: the objective of the Company''s model is to hold the financial asset to collect the contractual cash flows (rather than to sell the instrument prior to its contractual maturity to realize its fair value changes)

Cash flow characteristics test: The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payment of principal and interest on the principal amount outstanding.

A financial asset that meet the following two conditions is measured at fair value through other comprehensive income unless the asset is designated at fair value through profit or loss under the fair value option.

Business model test: the financial asset is held within a business model whose objective is achieved both by collecting contractual cash flows and selling the financial assets

Cash flow characteristics test: The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payment of principal and interest on the principal amount outstanding.

Debt Instruments included within the fair value through profit or loss (FVTPL) category are measured at fair value with all changes recognized in the statement of profit or loss.

Equity Instruments: All equity instruments within scope of Ind AS 109 are measured at fair value. Equity instruments which are classified as held for trading are measured at FVTPL. For all other equity instruments, the company decides to measure the same either at fair value through other comprehensive income (FVTOCI) or (FVTPL). The Company makes such selection on an instrument-byinstrument basis. The classification is made on initial recognition and is irrevocable.

For equity instruments measured at FVTOCI, all fair value changes on the instrument, excluding dividends, are recognized in Other Comprehensive Income (OCI). There is no recycling of the amounts from OCI to Statement of profit or loss, even on sale of such instruments.

The Investments are measured at Fair Market Value. The diminution in the market value of investments is not considered unless such diminution is considered permanent and accordingly provision for diminution is made in books of accounts.

All other financial asset is measured at fair value through profit or loss. b) Financial Liability:

Financial Liabilities are classified at initial recognition as:

• Financial liabilities at fair value through profit or loss,

• Loans and borrowings, payables, net of directly attributable transaction costs or

• Derivatives designed as hedging instruments in an effective hedge, as appropriate.

The company''s financial liabilities include trade and other payables, loans and borrowings including derivative financial instruments.

xxii. PRELIMINARY EXPENSES:

During the year company have written off 20% preliminary expenses and transferred to profit/loss account.

xxiii. IMPAIRMENT OF NON-FINANCIAL ASSETS:

At each balance sheet date, an assessment is made of whether there is any indication of impairment.

If any indication exists, or when annual impairment testing for an asset is required, the Company estimates the asset''s recoverable amount. An asset''s recoverable amount is the higher of an asset''s or cash-generating unit''s (CGU) fair value less costs of disposal and its value in use. Recoverable amount is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or groups of assets.

When the carrying amount of an asset or CGU exceeds its recoverable amount, the asset is considered impaired and is written down to its recoverable amount.

In assessing value in use, the estimated future cash flows are discounted to their present value using a pretax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. In determining fair value less costs of disposal, recent market transactions are taken into account. If no such transactions can be identified, an appropriate valuation model is used.

The Company bases its impairment calculation on detailed budgets and forecast calculations, which are prepared separately for each of the Company''s CGUs to which the individual assets are allocated.

xxiv. MICRO, SMALL AND MEDIUM ENTERPRISES:

Based on the information available with the Company, an amount of Rs. 7709/- is payable to a supplier (for a period not exceeding 45 days) and Rs. NIL (for a period exceeding 45 days) who is registered as micro, small or medium enterprises under ''The Micro Small and Medium Enterprise Development Act, 2006'' as at 31 March 2024.

xxvii. CSR EXPENSES:

The Provision of CSR is not applicable to the company as per the provisions of section 135 of the companies act 2013, hence no disclosure is required.

xxviii. DIVIDEND:

Management has proposed no dividend during the current financial year on account to conserve the available resources.

xxix. PROVISIONS:

A provision is recognized when an enterprise has a present obligation as a result of past event; 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 its present value and are determined based on best 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 best estimates.

xxxi. ADDITIONAL DISCLOSURES:

Tittle Deeds of Immovable properties- There are no Immovable properties held in the name of the Company.

Revaluation of Property, Plant and Equipment''s (PPE): The Company has not revalued its PPE, accordingly the disclosure of information related to this point is not applicable.

Capital-work-in-progress (CWIP) : The company does not have CWIP.

Loan and advances granted to promoters, directors, KMPs and the related parties: The Company has not granted loans and advances in the nature of loan to promoters, directors, KMPs and the related parties (as defined under the Act), accordingly the disclosure of information related to this point is not applicable.

Intangible Assets under development: - The Company does not have any Intangible Assets under development as on the Balance Sheet date therefore this disclosure requirement is not applicable.

Details of Benami Property Held: In opinion of the management, neither the Company hold any benami property nor any proceedings have been initiated or pending against the Company for holding any benami property under the "Benami Transactions /prohibition) Act. 1988 and Rules made thereunder.

Willful Defaulter: On the basis of information available with the management, the Company is not a willful defaulter.

Undisclosed Income: During the year. the Company has not surrendered or disclosed any undisclosed income in the tax assessment under the applicable provisions of the Income Tax Act. 1961.

Details of Crypto Currency or Virtual Currency: During the year, the Company has neither traded nor invested in crypto currency or virtual currency.

Relationship with Struck off Companies: In opinion of the management, the Company has not undertaken any transactions with companies struck off under Section 248 of The Act or Section 560 of Companies Act 1956.

Registration of Charges or Satisfaction with Registrar of Companies: During the year, the Company has not availed any credit facility accordingly there is no requirement to file form for creation, modification and satisfaction of charges.

The Company does not have any contract in the nature of derivative or hedging for current as well as previous year.

The other additional disclosures and information''s (not specifically disclosed) as required by Schedule III are either nil or not applicable.

Previous year figures have been regrouped/reclassified/restated to correspond with the figures of the current year.

The notes referred to above form an integral part of the Balance Sheet.

As per our Audit Report of Even Date

FOR R.R.SHAH & CO. FOR KBS INDIA LIMITED

CHARTERED ACCOUNTANTS Firm Registration No.109760W

CA RAJESH SHAH TUSHAR SHAH NAMITA SHAH CHANDRAKANT MURALI SARDA

LODAYA

(PARTNER) DIRECTOR DIRECTOR CFO Company

Secretary

Membership No.033613 DIN: 01729641 DIN: 02870178

UDIN:

Place: Mumbai Place: Mumbai

Date: 30^th May, 2024 Date:30^th May, 2024

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Mar 31, 2023

5. CONTINGENT LIABILITY NOT ASCERTAINED:

In the opinion of management there are no contingent liabilities for the year. Since Company has not entered in any transactions pertaining to Provisions, Contingent liability and contingent assets Hence there is no contingent liability/assets as on 31st March 2023.

6. OTHERS

In the opinion of the management, Current Assets, Deposits, Loans and advances have fair value equal to the amounts shown in the Balance Sheet. The provision for depreciation and all the liabilities is not in excess of the amount reasonably necessary.

7. FOREIGN EXCHANGE RATE

In the opinion of the management the foreign currency rate fluctuation for outstanding loans receivable is not provided as on 31/03/2023 because the said loan in the opinion of management is consider as doubtful of recovery. Hence effect has neither credited nor debited to the Profit & Loss Account in accordance with Ind AS 21 regarding the Effects of Changes in Foreign Exchange Rates.

8. INTEREST

During the year the company have earned interest accrued from Non-Convertible Debentures, Fixed deposits and with NSE deposit.

9. RELATED PARTIES

As per Accounting Standard (AS) 18, ''Related Party Disclosures'' prescribed under the Accounting Standard Rules, the disclosures of the details of the related parties and the transactions entered with them are given below:

10. SEGMENT REPORTING:

As per Ind AS 108 on Segment reporting the Company is engaged in two business segments, one is to provide brokerage services to its clients in the capital markets within India from which gross revenue is Rs. 1,61,65,002/- and other is trading of shares from which profit is Rs. 29/- Further as the company is business within with in single geographical location i.e., India the disclosure of secondary segment in not given separately.

11. CASH AND CASH EQUIVALENTS:

Cash and cash equivalents include cash in hand and balance in current accounts, term deposits with banks and other short-term highly liquid investments with original maturities of three months or less Cash on hand as on 31^st March 2023 are physically verified by the management and certificate in respect of such verification has been duly furnished to the auditor.

12. PRELIMINARY EXPENSES:

During the year company have written off 20% preliminary expenses and transferred to profit/loss account.

13. MICRO, SMALL AND MEDIUM ENTERPRISES:

Based on the information available with the Company, an amount of Rs. 3,25,817/- is payable to a supplier (for a period not exceeding 45 days) and Rs. NIL (for a period exceeding 45 days) who is registered as micro, small or medium enterprises under ''The Micro Small and Medium Enterprise Development Act, 2006'' as at 31 March 2023.

14. The Provision of CSR is not applicable to the company as per the provisions of section 135 of the companies act 2013, hence no disclosure is required.

15. Management has proposed no dividend during the current financial year on account to conserve the available resources.

16. A provision is recognized when an enterprise has a present obligation as a result of past event; 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 its present value and are determined based on best 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 best estimates.

As per our Audit Report of Even Date

FOR R.R.SHAH & CO. FOR KBS INDIA LIMITED

CHARTERED ACCOUNTANTS CIN L51900MH1985PLC035718

Firm Registration No.109760W

CA RAJESH SHAH TUSHAR SHAH NAMITA SHAH

(PARTNER) DIRECTOR DIRECTOR

Membership No.033613 DIN 01729641 DIN 02870178

UDIN:23033613BGXSBD4501

Place :- Mumbai Place:- Mumbai

Date:- 27th May, 2023 Date:- 27th May,2023

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Mar 31, 2015

1. CONTINGENT LIABILITY NOT ASCERTAINED:

In the opinion of management there are no contingent liabilities for the year.

2. In the opinion of the management, Current Assets, Deposits, Loans and advances have value equal to the amounts shown in the Balance Sheet. The provision for depreciation and all the liabilities is not in excess of the amount reasonably necessary.

3. The foreign currency rate fluctuation balance as on 31/03/2015 of Rs. 53,56,593/- is credited to the Profit & Loss Account is in accordance with AS 11(Revised) The Effects of Changes in Foreign Exchange Rates.

4. During the year The Company has debited to Profit and Loss A/c. as Bad debts of Rs. 1,07,00,000/-.

5. During the year, the company has made payments of ESIC for the period April – June 2014.

6. Service tax liability for the year is still partly unpaid.

7. Rate of Interest on ICD given to Supama Financial Services, RSM Exim and Oasis Heights Developers LLP is charged @ 12% P.A.

8. As per Accounting Standard (AS) 18, 'Related Party Disclosures' prescribed under the Accounting Standard Rules, the disclosures of the details of the related parties and the transactions entered with them are given below:

I - List of Related Parties

Sr No. Nature Name of the person

1 Key Management Personnel Tushar Suresh Shah

2 Key Management Personnel Ketan Babulal Shah

3 Relatives of KMP Namita T Shah

4 Relatives of KMP Tanay T Shah

5 Relatives of KMP Rajeshri Ketan shah

6 Relatives of KMP Ketan Babulal Shah HUF

7 Relatives of KMP Tushar Suresh Shah HUF

8 Relatives of KMP Madhu Suresh Shah

9 Others (Independent Director) Mr VinodKumar G Bapna

10 Others (Independent Director) Mr Nilesh Dharia

9. Segment Reporting

The Company is engaged in two business segments, one is to provide brokerage services to its clients in the capital markets within India from which revenue is Rs. 89,76,550/- and other is trading of shares from which loss is Rs. (1,09,774/-)

10. Principal of Consolidation:

a) The consolidated financial statements relate to KBS India Limited, the holding company and its foreign subsidiary. The consolidation of accounts of the company with its subsidiary has been prepared in accordance with the Accounting Standard (AS) 21 'Consolidated financial Statements' taking into considerations the stipulations mentioned in Accounting Standard (AS) 11 'The Effects of Changes in Foreign Exchange Rates'. The financial statements of the parent and its Foreign Subsidiary are combined on a line by line basis and intra group balances, intra group transactions and unrealized profits or losses are fully eliminated.

b) Foreign Currency Translation Gain of Rs. 53,56,593/- is been added to the Profit & Loss Account.

c) As it is a 100% Foreign Subsidiary the Minority Interest is NIL

11. Previous year's figures have been regrouped wherever necessary to confirm the classification adopted in the current year.

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Mar 31, 2014

1. CONTINGENT LIABILITY NOT ASCERTAINED:

In tlie opinion of management there are no contingent liabilities for the year.

2 In the opinion of the management. Current Assets, Deposits. Loans and advances have value equal to the amounts shown in the Balance Sheet The provision for depreciation and all the liabilities is not in excess of the amount reasonably necessary

3. The foreign currency rate fluctuation on balance as on 31.03/2014 of US S 21.02,105.38 - is Rs. 12.654.674 credited to the Profit & Loss Account is in accordance with AS 11 (Revised) The Effects of Changes in Foreign Exchange Rates

4. During the year The Company has debited to Profit and Loss Ac. as Bad debts of Rs. 1,42,57,465.44-.

5. During the year, the company has made payments of ESIC for the periods May-13 and June-13..

6. The company has not filed the TDS return for the last quarter.

7. Service tax liability for the year is still partly unpaid. IS Profession Tax for the month of March 14 is unpaid

8. Rate of Interest on ICD given to Supama Financial Services. RSM Exim arid Oasis Heights Developers LLP is charged @ 9%PA.

9. Loan given by PJ Mewawala and Divya Finance and Investment are no longer payable and hence has been written back amounting to Rs.650 000

10, Segment Reporting

The Company is engaged in two business segment",, one is to provide brokerage services to its clients in the capital markets within India from which revenue is Rs. 6.549.19 - and other is trading of shares from which lossrsRs. (407.299''-)

11. Principal of Consolidation:

a) The consolidated financial statements relate to KBS India Limited, the holding company and its foreign subsidiary7 The consolidation of accounts of the company with its subsidiary has been prepared m accordance with the Accounting Standard (AS) 21 "Consolidated financial Statements'' taking into considerations the stipulations mentioned in Accounting Standard (AS) 11 ''The Effects of Changes in Foreign Exchange Rates''. The financial statements of the parent and its Foreign Subsidiary are combined on a luie by line basis and intra group balances, intra group transactions and unrealized profits or losses are fully elumnated.

b) Foreign Currency Translation Gain of Rs 12.654.674 - is been added to the Profit & Loss Account.

c) As it is a 100% Foreign Subsidiary the Minority Interest is NIL

12. Previous year''s figures have been regrouped wherever necessary to confirm the classification adopted in the current year.

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Mar 31, 2013

1. Balances of Sundry Debtors, Sundry Creditors and payables, deposits, loans & advances given or taken from the parties, are subject to confirmation.

2. As Company being share and stock broking and Investment Company additional information as required under part II of Schedule – VI of Companies Act, 1956, is irrelevant and not applicable.

3. Number of Employees of the Company in respect of or entitled to receive Emolument in the aggregate of Rs. 12, 00,000/- or more per annum or Rs. 1, 00,000/- or more per month employed for part of the year: ONE (Previous year: Nil)

4. As there is no remuneration paid in excess of the minimum limit as specified under section 349 of the Companies Act, 1956 to the Managerial Persons, calculation of net profit under the said section 349 is not required.

5. DEFERRED TAX LIABILITY/(ASSETS):

As per AS 22 ''Accounting for Taxes on Income" issued by the Institute of Chartered Accountants of India, the net deferred tax liability/asset provided in the books of account as under:

As on 31st March, 2013, the Depreciation as per Companies Act, 1956 Rs. 4,50,519/-

As on 31st March, 2013, the Depreciation as per Income Tax Act, 1961 Rs. 3,34,257/-

Current year Timing Difference Rs. 1,16,262/-

Deferred Tax Asset not recognized @30.90% on Rs. 1,16,262/- Rs. 35,925/-

6. As required by AS 20 ''Earning Per Share", issued by the Institute of Chartered Accountants of India, the Earning Per

Share (EPS) is calculated by dividing the profit attributable to the equity share holders by the average number of equity shares outstanding during the year and is ascertained as follows:

7. CONTINGENT LIABILITY NOT ASCERTAINED:

In the opinion of management there are no contingent liabilities for the year.

8. In the opinion of the management, Current Assets, Deposits, Loans and Advances have value equal to the amounts shown in the Balance Sheet. The provision for depreciation and all the liabilities is not in excess of the amount reasonably necessary.

9. The foreign currency rate fluctuation on balance as on 31st March, 2013 of US $ 20,54,091 is Rs. 69,22,287/-, credited to the Statement of Profit & Loss is in accordance with AS 11(Revised) ''The Effects of Changes in Foreign Exchange Rates''.

10. During the year the Company has debited to Statement of Profit and Loss as Bed debts of Rs. 37,23,744/-.

11. Rate of Interest on Inter Corporate Deposit given to Supama Financial Services is charged @ 6 % p.a.

12. Segment Reporting

The Company is engaged in two business segments, one is to provide brokerage services to its clients in the capital markets within India from which revenue is Rs. 36,66,302/- and other is trading of shares from which Profit is Rs. 99,856/-.

13. Previous year''s figures have been regrouped wherever necessary to confirm the classification adopted in the current year.

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Mar 31, 2011

1. Balances of Sundry Debtors, Sundry Creditors and payables, deposits, loans & advances given or taken from the parties, are subject to confirmation.

2. As Company being share and stock broking and Investment Company additional information as required under part II of Schedule VI of Companies Act, 1956, is irrelevant and not applicable.

3. Number of Employees of the Company in respect of or entitled to receive Emolument in the aggregate of Rs.12,00,000/- or more per annum or Rs. 1, 00,000/- or more per month employed for part of the year: ONE (Previous year: Nil)

4. As there is no remuneration paid in excess of the minimum limit as specified under section 349 of the Companies Act, 1956 to the Managerial Persons, calculation of net profit under the said section 349 is not required.

5. CONTINGENT LIABILITY NOT ASCERTAINED:

In the opinion of management there are no contingent liabilities for the year.

6. in the opinion of the management, Current Assets, Deposits, Loans and advances have value equal to the amounts shown in the Balance Sheet. The provision for depreciation and all the liabilities is not in excess of the amount reasonably necessary.

7. The Company has loaned an amount equivalent of US $23, 52,202 (Rs 10, 70, 01, 703/-) as on 19/05/2010 to its 100% subsidiary KBS Capital Management (Singapore) PTE. The foreign currency rate fluctuation on the above as on 31/03/2011 is Rs.19, 75,848, debited to the Profit & Loss Account is in accordance with AS 11 (Revised). The Effects of Changes in Foreign Exchange Rates.

8. In the opinion of the management , the following Debtors shown in the Balance sheet are consider more than six months:

9. The Company has issued 12,50,000 GDRs @ Rs.88.7056 each GDRs equivalent to 2 Equity Shares of Rs.10 each. An amount of Rs.34.3528 per share is credited to the Share Premium Account. As on 31/03/2011 1,00,000 GDRs equivalent to 2,00,000 Equity Shares have been converted.

10. The name of the company was changed from KBS Capital Management Limited to KBS India Limited w.e.f. 11/01 /2011.

11. Previous year's figures have been regrouped wherever necessary to confirm the classification adopted in the current year.

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Mar 31, 2010

1. Balances of Sundry Debtors, Sundry Creditors and payables, deposits, loans & advances given or taken from the parties, are subjectto confirmation.

2. The estimated amount of contract remaining to be executed on Capital Account and not provided for: Nil Previous year Rs: Nil

3. As Company being share and stock broking and Investment Company additional information as required under part II of Schedule VI of Companies Act, 1956, is irrelevant and not applicable.

4. (a) Earning in foreign Currency: Rs. Nil (Previous year Rs.: Nil) (b) Expenditure in foreign currency: Rs. Nil (Previous year Rs.: Nil)

5. Number of Employees of the Company in respect of or entitled to receive emolument in the aggregate of Rs. 12,00,000/- or more per annum or Rs. 1,00,000/- or more per month employed for part of the year: Nil. (Previous year: Nil)

6. As there is no remuneration paid in excess of the minimum limit as specified under section 349 of the Companies Act, 1956 to the Managerial Persons, calculation of net profit underthe said section 349 is not required.

7. Deferred Tax Liability/(Assets):

The concept of Deferred Revenue Expenditure was recognized by the Companies Act, 1956. However, this concept was not recognized by the Income Tax Act, 1961, hence same was disallowable in the tax computation. As per AS 22 " Accounting for Taxes on Income" issued by the Institute of Chartered Accountants of India, the net deferred tax liability/asset provided in the books of accounts as under:

As on 31st March 2010, the Depreciation as per Companies Act, 1956 Rs. 6,65,203/-

As on 31st,March 2010, the Depreciation as per lncome Tax Act,1961 Rs. 3,65,474/-

Current yearp ermanent differential Rs 2,99,729/-

Deferred TaxAsset not recognized ©33.9966% on Rs. 2,99,729/- Rs. 1,01,898/-

8. As required by Accounting Standard AS 20 "Earning Per Share", issued by the Institute of Chartered Accountants of India, the Earning Per Share (EPS) is calculated by dividing the profit attributable to the equity share holders by the average numberof equity shares outstanding during the year and is ascertained asfollows:

9. Contingent liability not ascertained:

In the opinion of management there are no contingent liabilities forthe year.

10. In the opinion of the management, Current Assets, Deposits, Loans and advances have value equal to the amounts shown in the Balance Sheet. The provision for depreciation and all the liabilities is not in excess of the amount reasonably necessary.

11. Events after Balance Sheet Date:

The company has issued and allotted 12.50 Lakhs Global Depository Receipts (GDRs) underlying 25 Lakhs equity shares of Rs.10/- each on 19th May 2010 and is of the opinion that although the requirement for filing e-form 5 with the Registrar of Companies, Maharashtra, Mumbai with in a period of 30 days of passing resolution i.e. by or up to 30th January 2010 is not complied with, the issue and allotment of GDRs is regular and not violating the provision of the Companies Act 1956.

12. Previous years figures have been regrouped wherever necessary to confirm the classification adopted in the current year.