Notes to Accounts of Continental Petroleums Ltd.

Mar 31, 2015

1. CONTINGENT LIABILITIES NOT PROVIDED FOR

(i) Disputed demand of Rajasthan Sales Tax for the amount of Rs.7,89,699/- raised by Commercial Taxes Department, Jaipur, for the assessment year 1994-95. Against above order the Company had filed an appeal before Dy. Commissioner (Appeals) Jaipur which has been decided in favour of the company. Thereafter the department had filed an appeal before Rajasthan Tax Board, Ajmer against above Dy. Commissioner's order.

(ii) (a) Disputed demand of Rs. 21,21,408/- raised by Asst. Commissioner, Rajasthan Sales Tax Jaipur pertaining to the assessment year 2001-02

(b) Disputed demand of Rs. 6,94,412/-raised by Asst. Commissioner, Rajasthan Sales Tax Jaipur pertaining to the year 2002-2003.

The Company had filed appeals against both the above demands (a) & (b) before Dy. Commissioner (Appeals), and the same were decided on 27.01.2009 against the Company. Thereafter, the Company had filed appeals before Rajasthan Tax Board, Ajmer against the above Dy. Commissioner's orders and the same are under pending for decision.

2. Other income includes Rs. 2,80,88,906/- (Previous year Rs. 2,62,46,947/-) received from operations carried out by the company on Hazardous Waste Management.

3. The Company has issued in previous years 3,15,000 convertible warrants to promoter on preferential basis at Rs. 23.00 per warrant out of which all 3,15,000 warrants are converted in to equal number of equity shares. This issue is subject to listing permission by Bombay Stock Exchange which is still awaited.

4. Depreciation has been provided on SLM basis at the rates prescribed in Schedule XIV of the Companies Act 2013 as amended by Notification No. GSR 756 (E) dated 16.12.1993 and where there is an addition, the same has been provided on pro-rata basis.

5. Provision for liabilities of Gratuity payable has not been made, as the same shall be accounted for as and when it will be paid.

6. Payment of Managing Director's Remuneration of Rs. 11,75,000/- is as per sanction of Shareholders at 29-09-2014 the General Meeting of Company held on 29th September, 2014.

7. Information pursuant to Para 3,4c and 4-d of the part II of Schedule-VI of the Companies Act, 2013. Out go of foreign currency was for Rs. 3,34,46,293.00 on account of lubricants imported and the income was Rs.5,24,104.00

8. Segment Reporting: Company is engaged in sole activity of manufacturing and marketing of Lubricants, Greases and fuel oils. There is nothing to disclose with respect to Accounting Standard dealing with "Segment Reporting" (AS-17), issued by the Institute of Chartered Accountants of India.

9. Previous yearfigures have been regrouped or re-arranged where considered necessary.

10. Following disclosure has been made as per the requirements of Accounting Standard 18 on "Related Party Disclosures" (As 18), issued by the Institute of Chartered Accountants of India-

(a) There are no other entities where the control exists as defined in AS-18.

(b) No amount has been written off against any related party.

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Mar 31, 2014

1) CONTINGENT LIABILITIES NOT PROVIDED FOR

(i) Disputed demand of Rajasthan Sales Tax for the amount of Rs.7,89,699/- raised by Commercial Taxes Department, Jaipur, for the assessment year 1994-95. Against above order the Company had filed an appeal before Dy. Commissioner (Appeals) Jaipur which has been decided in favour of the company. Thereafter the department had filed an appeal before Rajasthan Tax Board, Ajmer against above Dy. Commissioner''s order.

(ii) (a) Disputed demand of Rs. 21,21,408/- raised by Asst. Commissioner, Rajasthan Sales Tax Jaipur per- taining to the assessment year 2001-02

(b) Disputed demand of Rs. 6,94,412/-raised by Asst. Commissioner, Rajasthan Sales Tax Jaipur per- taining to the year 2002-2003.

The Company had filed appeals against both the above demands (a) & (b) before Dy. Commissioner (Appeals), and the same were decided on 27.01.2009 against the Company. Thereafter, the Company had filed appeals before Rajasthan Tax Board, Ajmer against the above Dy. Commissioner''s orders and the same are under pending for decision.

2) Other income includes Rs. 2,62,46,947/- (Previous year Rs. 3,30,06,787/-) received from operations carried out by the company on Hazardous Waste Management.

3) The Company has issued in previous years 3,15,000 convertible warrants to promoter on preferential basis at Rs. 23.00 per warrant out of which all 3,15,000 warrants are converted in to equal number of equity shares. This issue is subject to listing permission by Bombay Stock Exchange which is still awaited.

4) Depreciation has been provided on SLM basis at the rates prescribed in Schedule XIV of the Companies Act 1956 as amended by Notification No. GSR 756 (E) dated 16.12.1993 and where there is an addition, the same has been provided on pro-rata basis.

5) Provision for liabilities of Gratuity payable has not been made, as the same shall be accounted for as and when it will be paid.

6) Payment of Managing Director''s Remuneration of Rs. 9,00,000/- is as per sanction of Shareholders at the Extraordinaory General Meeting of Company held on 30th March, 2010.

7) Particulars of employees who were in receipt of remuneration not less than Rs. 60,00,000/- per year, if employed throughout the year and Rs. 5,00,000/- per month, if employed for a part of the year. (Previous year Rs. 60,00,000/- per annum or Rs. 5,00,000/- per month).

Employed Full Year Employed for part of the year

No. of Employees Nil Nil

(Previous Year - Nil) (Previous Year - Nil)

8) Information pursuant to Para 3,4c and 4-d of the part II of Schedule-VI of the Companies Act, 1956. Out go of foregin currency was for Rs. 1,33,10,769/- on account of lubricants improted.

9) Information related to licensed and installed capacity, production etc.

10) Segment Reporting: Company is engaged in sole activity of manufacturing and marketing of Lubricants, Greases and fuel oils. There is nothing to disclose with respect to Accounting Standard dealing with "Segment Reporting" (AS-17), issued by the Institute of Chartered Accountants of India.

11) Previous year figures have been regrouped or re-arranged where considered necessary.

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Mar 31, 2013

1) CONTINGENT LIABILITIES NOT PROVIDED FOR

(i) Disputed demand of Rajasthan Sales Tax for the amount of Rs.7,89,699/- raised by Commercial Taxes Department, Jaipur, for the assessment year 1994-95. Against above order the Company had filed an appeal before Dy. Commissioner (Appeals) Jaipur which has been decided in favour of the company. Thereafter the department had filed an appeal before Rajasthan Tax Board, Ajmer against above Dy. Commissioner''s order.

(ii) (a) Disputed demand of Rs. 21,21,408/- raised by Asst. Commissioner, Rajasthan Sales Tax Jaipur pertaining to the assessment year 2001-02

(b) Disputed demand of Rs. 6,94,412/-raised by Asst. Commissioner, Rajasthan Sales Tax Jaipur pertaining to the year 2002-2003.

The Company had filed appeals against both the above demands (a) & (b) before Dy. Commissioner (Appeals), and the same were decided on 27.01.2009 against the Company. Thereafter, the Company had filed appeals before Rajasthan Tax Board, Ajmer against the above Dy. Commissioner''s orders and the same are under pending for decision.

2) Other income includes interlaid Rs. 3,29,46,173/- (Previous year Rs. 4,34,94,231/-) received from operations carried out by the company on Hazardous Waste Management.

3) The Company has issued 315000 convertible warrants to promoter on preferential basis at Rs. 23.00 per warrant out of which all 3,15,000 warrants are converted in to equal number of equity shares. This issue is subject to listing permission by Bombay Stock Exchange which is still awaited.

4) Depreciation has been provided on SLM basis at the rates prescribed in Schedule XIV of the Companies Act 1956 as amended by Notification No. GSR 756 (E) dated 16.12.1993 and where there is an addition, the same has been provided on pro-rata basis.

5) Provision for liabilities of Gratuity payable has not been made, as the same shall be accounted for as and when it will be paid.

6) Payment of Managing Director''s Remuneration of Rs. 9,00,000/- is as per sanction of Shareholders at the Extraordinary General Meeting of Company held on 30th March, 2010.

7) Information pursuant to Para 3,4c and 4-d of the part II of Schedule-VI of the Companies Act, 1956. Lubricants for Rs. 5,42,24,171/- Lacs were imported/High-Sea basis during the year and imported directly lubricant for Rs. 5,40,118 Expenditure in foreign currency during the year was nil

8) Information related to licensed and installed capacity, production etc.

9) Segment Reporting: Company is engaged in sole activity of manufacturing and marketing of Lubricants, Greases and fuel oils. There is nothing to disclose with respect to Accounting Standard dealing with "Segment Reporting" (AS-17), issued by the Institute of Chartered Accountants of India.

10) Previous year figures have been regrouped or re-arranged where considered necessary.

(a) There are no other entities where the control exists as defined in AS-18.

(b) No amount has been written off against any related party.