Mar 31, 2016
References:
1 The company has secured the said NCDs by first charge by way of registered mortgage on the land along with present and future construction thereon situated at village Fursungi, Taluka Haveli, Dist Pune as provided in Schedule III of debenture trust cum mortgage deed dated 5th Sept 2014.
2 Right to reissue: Subject to the provision of the Companies Act, 2013 where the company has fully redeemed any NCDs, the Company shall have, & shall be deemed always to have had, the right to keep such NCDs in effect without extinguishment thereof, for the purpose of resale or re-issue & in exercising such right, the company shall have, & shall be deemed always to have had, the power to re-sell or re-issue such NCDs either by reselling or re-issuing the same NCDs or by issuing other NCDs, in accordance with the applicable rules & regulations.
3 Interest on NCD Option I is payable quarterly @ 12.50% p.a. In the case of NCD holders who are women, senior citizens, shareholders, servicemen, ex-servicemen or DSK Group employees & who are the original allottees of the NCDs, the rate of interest will be increased by 0.25%. Such additional rate of interest will cease in the event of transfer of the NCDs. The NCDs will be redeemed on 06/09/2017.
4 Interest on NCD Option II is NIL. The NCDs will be redeemed on 06/03/2020.
5 Interest on NCD Option III is payable yearly @ 12.65% p.a. In the case of NCD holders who are women, senior citizens, shareholders, servicemen, ex-servicemen or DSK Group employees & who are the original allottees of the NCDs, the rate of interest will be increased by 0.25%. Such additional rate of interest will cease in the event of transfer of the NCDs. Under this option payment of principal together with interest accrued on the residual face value will be paid as under:
6 Interest on NCD Option IV is payable monthly @ 12.75% p.a. In the case of NCD holders who are women, senior citizens, shareholders, servicemen, ex-servicemen or DSK Group employees & who are the original allottees of the NCDs, the rate of interest will be increased by 0.25%. Such additional rate of interest will cease in the event of transfer of the NCDs. The NCDs will be redeemed on 06/09/2021.
7 The primary security for ICICI Bank project loan is registered mortgage of specified project land along with present and future structures thereon. The collateral security is registered mortgage of specified land along with present & future structures thereon and a charge on the receivables of specified projects. In addition, the project loan is secured by the personal guarantee of Mr. D.S.Kulkarni & Mr. Shirish Kulkarni.
8 The primary security for the ICICI HFC Ltd. project loan is registered mortgage of specified Project land along with present and future structures thereon. The collateral security is registered mortgage of specified land along with present & future structure there on and hypothecation of project receivables. In addition, the project loan is secured by the personal guarantee of Mr. D. S. Kulkarni, Mr. Shirish Kulkarni & Mrs. H. D. Kulkarni. DSK Global Education and Research Limited is co guarantor to the tune of receivables from the project in lieu of consideration for relinquishing of development rights of part of project land.
9 The primary security for State Bank of India project loan is pari pasu 1st charges by way of registered mortgage of specified project land along with present and future structures thereon with other project term lenders (Consortium Banking). The collateral security is pari pasu 1st charges by way of registered mortgage of specified land In addition, the project loan is secured by the personal guarantee of Mr. D.S.Kulkarni & Mr. Shirish Kulkarni.
10 The primary security for the Syndicate Bank project loan is registered mortgage of specified Project land along with present and future structures thereon In addition, the project loan is secured by the personal guarantee of Mr. D.S.Kulkarni & Mr. Shirish Kulkarni.
The primary security for Syndicate Bank project loan is pari pasu 1st charges by way of registered mortgage of specified project land along with present and future structures thereonwith other project term lenders (Consortium Banking). The collateral security is pari pasu 1 st charges by way of registered mortgage of specified land In addition, the project loan is secured by the personal guarantee of Mr. D.S.Kulkarni & Mr. Shirish Kulkarni.
11 The primary security for Union Bank of India project loan is pari pasu 1st charges by way of registered mortgage of specified project land along with present and future structures thereonwith other project term lenders (Consortium Banking). The collateral security is pari pasu 1st charges by way of registered mortgage of specified land In addition, the project loan is secured by the personal guarantee of Mr. D.S.Kulkarni & Mr. Shirish Kulkarni.
12 The primary security for Bank of Maharashtra project loan is pari pasu 1st charges by way of registered mortgage of specified project land along with present and future structures thereon with other project term lenders (Consortium Banking). The collateral security is pari pasu 1st charges by way of registered mortgage of specified land In addition, the project loan is secured by the personal guarantee of Mr. D.S.Kulkarni & Mr. Shirish Kulkarni.
13 The primary security for the several equipment term loans from Srei Equipment Finance Pvt. Ltd. is hypothecation of various construction equipments. The collateral security is registered mortgage of various immovable properties. In addition, these loans are secured by the personal guarantee of Mr. Shirish Kulkarni.
14 The primary security for the several equipment term loans from Reliance Capital Ltd. is hypothecation of various construction equipments. In addition, these loans are secured by the personal guarantee of Mr. D.S.Kulkarni
15 There is no primary security for the corporate loan from Sangli Urban Cooperative Bank Ltd. The collateral security is registered mortgage of specified present immovable properties. In addition, this loan is secured by the corporate guarantee of Growrich Agro Forestry Pvt. Ltd. & DSK Motowheels Private Limited & personal guarantee of Mr. Shirish Kulkarni.
16 The primary security for the corporate loan from Kotak Mahindra Bank Ltd. is registered mortgage of specified project land along with present and future structures thereon and on receivables of specified projects. The collateral security is registered mortgage of specified present immovable properties. In addition, this loan is secured by the guarantee of M/S D. S. Kulkarni & Associates and the personal guarantee of Mr. D.S.Kulkarni, Mr. Shirish Kulkarni & Mrs. H.D.Kulkarni
17 The primary security for the corporate loan from Tata Capital Housing Finance Ltd. is registered mortgage of specified project land along with present and future structures thereon. The collateral security is registered mortgage of specified present immovable properties and a charge on receivables of specified projects. In addition, being owner of property/ guarantor for loan other co-applicants for this loan are M/s D. S. Kulkarni & Co.. DSK Worldman Projects Ltd., Mr. D. S. Kulkarni, Ms. V. J. Mudgal & Mrs. H. D. Kulkarni.
18 There is no primary security for the corporate loan from Kalyan Janata Sahakari Bank. Collateral Security is registered mortgage of specified immovable assets In addition, being a property owner guarantor & co-applicants for this loan are M/s D. S. Kulkarni & Co.& D. S. Kulkarni & Associates. Personal Guarantee of Shri. D. S. Kulkarni and Mr. Shirish Kulkarni.
19 The corporate loan from Bajaj Finance Ltd. is secured by equitable mortgage of 3 Flats at DSK Nupuri, Mumbai, owned by Mrs. H. D. Kulkarni & Mr. Shirish Kulkarni. In addition, loan is secured by personal guarantee of Mr. D. S. Kulkarni & Mr. Shirish Kulkarni.
20 The primary security for the Project loan from India Bulls Housing Finance Ltd is registered mortgage of specified project land along with present & future structure thereon and a charge on receivables of the specified project. The collateral security is registered mortgage of plot along with present & future structure thereon.
21 The vehicle term loan from Toyota Financial Services is secured by hypothecation of specific vehicles.
22 The vehicle term loan from HDFC Bank is secured by hypothecation of specific vehicles.
23 The vehicle term loan from Kotak Mahindra Prime Ltd. is secured by hypothecation of specific vehicles.
24 The loan from SKS Fincap Pvt. Ltd. is secured by pledge of 10,00,000 (P. Y. 10,00,000) Equity shares of the Company held by the Company''s promoters.
25 The loan from Streamline Shipping Co.Pvt. Ltd. is secured by pledge of Nil (P. Y. 2,20,000) Equity shares of the Company held by the Company''s promoters.
26 The loan from Ruia Knowledge & Research Institute Private Limited is secured by pledge of 1,50,000 (P. Y. 1,50,000) Equity shares of the Company held by the Company''s promoters.
27 The loan from Pune Safety Vault LPP is secured by pledge of 2,10,000 (P. Y. 2,10,000) Equity shares of the Company held by the Company''s promoters.
28 The primary security for the Bank of Maharashtra cash credit limit is hypothecation of stock and debtors of encumbrance free projects. The collateral security is by way of equitable mortgage of specified present immovable properties. In addition, this cash credit limit is secured by the personal guarantee of Mr. D. S. Kulkarni & Mrs. H. D. Kulkarni.
29 There is no primary security for the Mortgage Overdraft limit from Kalyan Janata Sahakari Bank Ltd. The collateral security is registered mortgage of certain immovable properties. In addition, being a property owner guarantor & co-applicants for this loan are M/s D S Kulkarni & Co.& D. S. Kulkarni & Associates. Personal Guarantee of Shri. D. S. Kulkarni and Mr. Shirish Kulkarni.
30 The overdraft from Bank of Maharashtra is secured by pledge of term deposit receipts.
31 The overdraft from Syndicate Bank is secured by pledge of term deposit receipts.
32 The overdraft from Punjab National Bank is secured by pledge of term deposit receipts.
33 The primary security for the State Bank of India project specific cash credit limit for development & construction is registered mortgage of land along with present & future structure thereon . In addition, this loan is secured by the personal guarantee of Mr. D. S. Kulkarni & Mr. Shirish Kulkarni.
Mar 31, 2015
1. Related party disclosures
A. Names of related parties and related party relationship
1. Related parties where control exists
Subsidiaries 1. DSK Developers Corporation
2. DSK Township Projects Private Ltd.
3. DSK Southern Projects Pvt. Ltd.
Step-down subsidiaries 1. DSK Woods LLC
Key management personnel 1. Mr. D. S. Kulkarni  Managing Director
2. Mr. Shirish Kulkarni  Executive Director
Relatives of key management personnel
1. Mrs. H. D. Kulkarni
2. Mr. Amit Deepak Kulkarni
3. Mrs. Ashwini Sanjay Deshpande
4. Mrs. Bhagyashree Amit Kulkarni
Enterprises owned or significantly influenced by key management
personnel or their relatives
1 Ambiance Ventures Estates & Developments Pvt. Ltd.
2 Amit & Company
3 Ascent Promoters & Developers Pvt. Ltd.
4 Chandradeep Promoters & Developers Pvt. Ltd.
5 D. S. Kulkarni Constructions Pvt. Ltd.
6 D.S.Kulkarni & Associates
7 D.S.Kulkarni & Brothers
8 D.S.Kulkarni & Company
9 D.S.Kulkarni & Sons
10 DSK & Asso
11 DSK & Co.
12 DSK Constructions
13 DSK & Sons
14 DSK Digital Technologies Pvt. Ltd.
15 DSK Entertainment LLC
16 DSK Global Education and Research Ltd.
17 DSK Infotech Pvt. Ltd.
18 DSK Milkotronics Pvt. Ltd.
19 DSK Motors Ltd.
20 DSK Mototrucks Pvt. Ltd.
21 DSK Motowheels Pvt. Ltd.
22 DSK Prabhu Granite LLP
23 DSK Sales & Services
24 DSK Shivajians Football Club Pvt. Ltd.
25 DSK Studios Pvt. Ltd.
26 DSK World Education Council
27 DSK Worldman Projects Ltd.
28 Fairyland Promoters & Developers Pvt. Ltd.
29 Forever Solar Projects Pvt. Ltd.
30 Gharkul
31 Greengold Farms & Forests Pvt. Ltd
32 Growrich Agroforestry Pvt. Ltd.
33 Hexagon Capital Advisors Pvt. Ltd.
34 Holyland Agroforestry Pvt. Ltd.
35 Rasa Group
36 Sapphire Promoters & Developers Pvt. Ltd.
37 Shri Saptashrung Oil Mills Pvt. Ltd.
38 Talisman Hospitality Services Pvt. Ltd.
39 Telesmell
40 Tricone Infracon Ltd.
2. Disclosure for assets taken on lease as per AS 19:
The Company has entered into operating lease arrangements for office
space at Pune and Mumbai. There are no future minimum lease payments
under non-cancellable operating leases as all the lease arrangements
are cancellable at the option of lessee. Details of such leases are as
follows:
Mar 31, 2013
1. Corporate Information:
D. S. Kulkarni Developers Ltd. is a public limited company domiciled in
India and incorporated under the provisions of the Companies Act, 1956
("the Act"). The Company is engaged in the business of real estate
development in India. The Company is not a Small and Medium Sized
Company (SMC) as defined in the General Instructions in respect of
Accounting Standards notified under the Act, inasmuch as
a) its turnover (excluding other income) did exceed Rs. 50 crores in the
immediately preceding accounting year and in the year under review, and
b) it did have borrowings (including public deposits) in excess of Rs. 10
crores at any time during the immediately preceding accounting year and
in the year under review
c) its equity shares are listed on the Mumbai & National Stock
Exchanges although
d) it is not the holding or subsidiary company of a company which is
not a SMC
e) it is not a bank, financial institution or an insurance company.
2. Basis of Preparation of Financial Statements
These financial statements comply in all material respects with the
relevant provisions of the Act, the Generally Accepted Accounting
Principles in India, and the Accounting Standards issued by the
Institute of Chartered Accountants of India which are prescribed in the
Companies (Accounting Standards) Rules 2006 notified by the Central
Government u/s 211(3C) read with Sections 210A(1) and 642(1)(a) of the
said Act. As required by AS 1 issued by the Institute of Chartered
Accountants of India, the accounting policies followed in the
preparation of these financial statements are disclosed below.
2.2 Fixed Assets
2.2.1 Tangible Fixed Assets: In accordance with AS 10 issued by the
Institute of Chartered Accountants of India,
i) Tangible Fixed Assets are stated at cost of acquisition or
construction net of accumulated depreciation and accumulated impairment
losses, if any.
ii) The cost comprises purchase price, borrowing costs if
capitalization criteria are met and directly attributable incidental
expenses related to acquisition and installation and other
pre-operative expenses of bringing the asset to its working condition
for the intended use. Any trade discounts and rebates are deducted in
arriving at the purchase price.
iii) Subsequent expenditure related to an item of fixed asset is added
to its book value only if it increases the future benefits from the
existing asset beyond its previously assessed standard of performance.
All other expenses on existing fixed assets, including day-to-day
repair and maintenance expenditure and cost of replacing parts, are
changed to the statement of profit and loss for the period during which
such expenses are incurred.
iv) From accounting periods commencing on or after 7th December, 2006,
the Company adjusts exchange differences arising on
translation/settlement of long-term foreign currency monetary items
pertaining to the acquisition of a depreciable asset to the cost of the
asset and depreciates the same over the remaining life of the asset.
v) Gains or losses arising from derecognition of fixed assets are
measured as the difference between the net disposal proceeds and the
carrying amount of the asset and are recognized in the statement of
profit and loss when the asset is derecognized.
2.2.2 Depreciation on Tangible Fixed Assets: In accordance with AS 6
issued by the Institute of Chartered Accountants of India,
i) Depreciation on Tangible Fixed Assets is provided as per the
straight line method at the rates prescribed in Schedule XIV to the
Companies Act, 1956, for the period for which the asset is put to use.
ii) Leasehold land is amortized on a straight line basis over the
period of the lease
2.2.3 Intangible Fixed Assets: In accordance with AS 26 issued by the
Institute of Chartered Accountants of India,
i) Intangible assets acquired separately are measured on initial
recognition at cost. The cost of intangible assets acquired in an
amalgamation in the nature of purchase is their fair value as at the
date of amalgamation. Following initial recognition, intangible assets
are carried at cost less accumulated amortization and accumulated
impairment losses, if any. Internally generated intangible assets,
excluding capitalized development costs, are not capitalized and
expenditure is reflected in the statement of profit and loss in the
year in which the expenditure is incurred.
ii) Intangible assets are amortized on a straight line basis over the
estimated useful economic life. The Company uses a rebuttable
presumption that the useful life of an intangible asset will not exceed
ten years from the date when the asset is available for use. If the
persuasive evidence exists to the effect that useful life of an
intangible asset exceeds ten years, the company amortizes the
intangible asset over the best estimate of its useful life.
iii) Such intangible assets and intangible assets not yet available for
use are tested for impairment annually, either individually or at the
cash-generating unit level. All other intangible assets are assessed
for impairment whenever there is an indication that the intangible
asset may be impaired.
iv) The amortization period and the amortization method are reviewed at
least at each financial year end. If the expected useful life of the
asset is significantly different from previous estimates, the
amortization period is changed accordingly. If there has been a
significant change in the expected pattern of economic benefits from
the asset, the amortization method is changed to reflect the changed
pattern. Such changes are accounted for in accordance with AS 5 Net
Profit or Loss for the Period, Prior Period Items and Changes in
Accounting Policies.
v) Gains or losses arising from derecognition of an intangible asset
are measured as the difference between the net disposal proceeds and
the carrying amount of the asset and are recognized in the statement of
profit and loss when the asset is derecognized.
2.2.4 Borrowing Costs: In accordance with Accounting Standard 16 issued
by the Institute of Chartered Accountants of India,
i) Borrowing cost includes interest, amortization of ancillary costs
incurred in connection with the arrangement of borrowings and exchange
differences arising from foreign currency borrowings to the extent they
are regarded as an adjustment to the interest cost.
ii) A qualifying asset is an asset that necessarily requires a
substantial period of time to get ready for its intended use or sale.
iii) Borrowing costs that are attributable to the acquisition,
construction or production of qualifying assets are capitalized as part
of the cost of such assets. All other borrowing costs are recognized as
an expense in the period in which those are incurred.
2.2.5 Impairment of tangible and intangible assets: In accordance with
AS 28 issued by the Institute of Chartered Accountants of India,
i) The Company assesses at each reporting date whether there is an
indication that an asset may be impaired. If any indication exists, or
when annual impairment testing for an asset is required, the company
estimates the recoverable amount of the asset. Such recoverable amount
is the higher of an asset''s or cash-generating unit''s (CGU) net selling
price and its value in use. The 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.
Where 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 pre-tax
discount rate that reflects current market assessments of the time
value of money and the risks specific to the asset. In determining net
selling price, recent market transactions are taken into account, if
available. If no such transactions can be identified, an appropriate
valuation model is used.
ii) The Company bases its impairment calculation on detailed budgets
and forecast calculations which are prepared separately for each of the
Company''s cash-generating units to which the individual assets are
allocated. These budgets and forecast calculations are generally
covering a period of five years. For longer periods, a long term growth
rate is calculated and applied to project future cash flows after the
fifth year.
iii) Impairment losses of continuing operations, including write-down
of inventories, are recognized in the statement of profit and loss,
except for previously revalued tangible fixed assets, where the
revaluation was taken to revaluation reserve. In this case, the
impairment is also recognized in the revaluation reserve up to the
amount of any previous revaluation.
iv) After impairment, depreciation is provided on the revised carrying
amount of the asset over its remaining useful life.
v) An assessment is made at each reporting date as to whether there is
any indication that previously recognized impairment losses may no
longer exist or may have decreased. If such indication exists, the
company estimates the asset''s or cash-generating unit''s recoverable
amount. A previously recognized impairment loss is reversed only if
there has been a change in the assumptions used to determine the
asset''s recoverable amount since the last impairment loss was
recognized. The reversal is limited so that the carrying amount of the
asset does not exceed its recoverable amount, nor exceed the carrying
amount that would have been determined, net of depreciation, had no
impairment loss been recognized for the asset in prior years. Such
reversal is recognized in the statement of profit and loss unless the
asset is carried at a revalued amount, in which case the reversal is
treated as a revaluation increase.
2.2.6 Research and development costs: In accordance with AS 26 issued
by the Institute of Chartered Accountants of India,
i) Research costs are expensed as incurred. Development expenditure
incurred on an individual project is recognized as an intangible asset
when the Company can demonstrate all the following:
a) The technical feasibility of completing the intangible asset so that
it will be available for use or sale.
b) Its intention to complete the asset.
c) Its ability to use or sell the asset.
d) How the asset will generate future economic benefits.
e) The availability of adequate resources to complete the development
and to use or sell the asset.
f) The ability to measure reliably the expenditure attributable to the
intangible asset during development.
ii) Following the initial recognition of the development expenditure as
an asset, the cost model is applied requiring the asset to be carried
at cost less any accumulated amortization and accumulated impairment
losses. Amortization of the asset begins when development is complete
and the asset is available for use. It is amortized on a straight line
basis over the period of expected future benefit from the related
project. Amortization is recognized in the statement of profit and
loss. During the period of development, the asset is tested for
impairment annually.
2.2.7 Leases: In accordance with Accounting Standard 19, issued by the
Institute of Chartered Accountants of India,
A. Where the Company is lessee
i) Finance leases, which effectively transfer to the Company
substantially all the risks and benefits incidental to ownership of the
leased item, are capitalized at the inception of the lease term at the
lower of the fair value of the leased property and present value of
minimum lease payments. Lease payments are apportioned between the
finance charges and reduction of the lease liability so as to achieve a
constant rate of interest on the remaining balance of the liability.
Finance charges are recognized as finance costs in the statement of
profit and loss. Lease management fees, legal charges and other initial
direct costs of lease are capitalized.
ii) A leased asset is depreciated on a straight-line basis over the
useful life of the asset or the useful life envisaged in Schedule XIV
to the Companies Act, 1956, whichever is lower. However, if there is no
reasonable certainty that the company will obtain the ownership by the
end of the lease term, the capitalized asset is depreciated on a
straight-line basis over the shorter of the estimated useful life of
the asset, the lease term or the useful life envisaged in Schedule XIV
to the Companies Act, 1956.
iii) Leases, where the lessor effectively retains substantially all the
risks and benefits of ownership of the leased item, are classified as
operating leases. Operating lease payments are recognized as an expense
in the statement of profit and loss on a straight-line basis over the
lease term.
B. Where the Company is the lessor
i) Leases in which the Company transfers substantially all the risks
and benefits of ownership of the asset are classified as finance
leases. Assets given under finance lease are recognized as a receivable
at an amount equal to the net investment in the lease. After initial
recognition, the company apportions lease rentals between the principal
repayment and interest income so as to achieve a constant periodic rate
of return on the net investment outstanding in respect of the finance
lease. The interest income is recognized in the statement of profit and
loss. Initial direct costs such as legal costs, brokerage costs, etc.
are recognized immediately in the statement of profit and loss.
ii) Leases in which the Company does not transfer substantially all the
risks and benefits of ownership of the asset are classified as
operating leases. Assets subject to operating leases are included in
fixed assets. Lease income on an operating lease is recognized in the
statement of profit and loss on a straight-line basis over the lease
term. Costs, including depreciation, are recognized as an expense in
the statement of profit and loss. Initial direct costs such as legal
costs, brokerage costs, etc. are recognized immediately in the
statement of profit and loss.
2.3 Investments: In accordance with AS 13 issued by the Institute of
Chartered Accountants of India,
i) Investments, which are readily realizable and intended to be held
for not more than one year from the date on which such investments are
made, are classified as current investments. All other investments are
classified as long-term investments.
ii) On initial recognition, all investments are measured at cost. The
cost comprises purchase price and directly attributable acquisition
charges such as brokerage, fees and duties. If an investment is
acquired, or partly acquired, by the issue of shares or other
securities, the acquisition cost is the fair value of the securities
issued. If an investment is acquired in exchange for another asset, the
acquisition is determined by reference to the fair value of the asset
given up or by reference to the fair value of the investment acquired,
whichever is more clearly evident.
iii) Current investments are carried in the financial statements at
lower of cost and fair value determined on an individual investment
basis. Long-term investments are carried at cost. However, provision
for diminution in value is made to recognize a decline other than
temporary in the value of the investments.
iv) On disposal of an investment, the difference between its carrying
amount and net disposal proceeds is charged or credited to the
statement of profit and loss.
v) An investment in land or buildings, which is not intended to be
occupied substantially for use by, or in the operations of, the
Company, is classified as investment property. Investment properties
are stated at cost, net of accumulated depreciation and accumulated
impairment losses, if any.
vi) The cost comprises purchase price, borrowing costs if
capitalization criteria are met and directly attributable cost of
bringing the investment property to its working condition for the
intended use. Any trade discounts and rebates are deducted in arriving
at the purchase price.
vii) Depreciation on building component of investment property is
calculated on a straight-line basis using the rate arrived at based on
the useful life estimated by the management, or that prescribed under
the Schedule XIV to the Companies Act, 1956, whichever is higher.
viii) On disposal of an investment, the difference between its carrying
amount and net disposal proceeds is charged or credited to the
statement of profit and loss.
2.4 Inventories: In accordance with Accounting Standards 2 & 9 issued
by the Institute of Chartered Accountants of India,
i) Construction materials, components, stores and spares are valued at
the lower of cost and net realizable value (as certified by the
management) after providing for the cost of obsolescence. However,
materials and other items held for use in the production of inventories
are not written down below cost if the finished products in which they
will be incorporated are expected to be sold at or above its cost of
acquisition. Cost of raw materials, components and stores and spares is
determined on FIFO basis.
ii) Inventories of work-in-progress are valued, in accordance with the
Percentage of Completion Method. Profit on incomplete projects is not
recognized unless 20% expenditure has been incurred in respect of the
project. Based on projections and estimates by the Company of the
expected revenues and costs to completion, provision for losses to
completion and/or write off of costs carried to inventories is made on
projects where the expected revenues are lower than the estimated costs
to completion. In the opinion of the management, the net realisable
value of the work in progress as at the balance sheet date will not be
lower than the costs so included therein.
iii) Inventories of finished tenements are valued at the carrying value
or estimated net realizable value, (as certified by the management)
whichever is the less.
Net realizable value is the estimated selling price in the ordinary
course of business, less estimated costs of completion and estimated
costs necessary to make the sale.
2.5 Revenue Recognition: In accordance with AS 9 issued by the
Institute of Chartered Accountants of India, Revenue is recognized to
the extent that it is probable that the economic benefits will flow to
the company. The following specific recognition criteria must also be
met before revenue is recognized.
i) Income from real estate sales is recognized on the transfer of all
significant risks and rewards of ownership to the buyer and it is not
unreasonable to expect ultimate collection and no significant
uncertainty exists regarding the amount of consideration.
ii) However, if, at the time of transfer, substantial acts are yet to
be performed, revenue is recognized on proportionate basis as the acts
are performed, that is, on the percentage of completion basis.
Determination of revenues under the percentage of completion method
necessarily involves making estimates by the Company, some of which are
of technical nature, concerning, where relevant, the percentages of
completion, costs to completion, the expected revenues from the project
and the foreseeable losses to completion. As the construction projects
necessarily extend beyond one year, revision in estimates of costs and
revenues during the year under review are reflected in the accounts of
the year.
iii) Revenue from sale of goods is recognized when all the significant
risks and rewards of ownership of the goods have been passed to the
buyer, usually on delivery of the goods. The company collects value
added taxes (VAT) and service tax on behalf of the government and,
therefore, these are not economic benefits flowing to the Company.
Hence, they are excluded from revenue.
iv) Revenues from maintenance contracts are recognized pro-rata over
the period of the contract as and when services are rendered. The
Company collects service tax on behalf of the government and,
therefore, it is not an economic benefit flowing to the Company. Hence,
it is excluded from revenue.
v) Interest income is recognized on a time proportion basis taking into
account the amount outstanding and the applicable interest rate.
Interest income is included under the head "other income" in the
statement of profit and loss.
vi) Dividend income is recognized when the Company''s right to receive
dividend is established by the reporting date.
2.6 Expense Recognition: Project-specific revenue Expenses such as
development and construction expenses, interest on borrowings
attributable to specific projects etc. are included in the valuation of
inventories of work-in-progress. Indirect costs are treated as period
costs and are charged to the Profit and Loss Account in the year
incurred. Expenses incurred on repairs & maintenance of completed
projects are charged to Profit and Loss Account.
2.7 Foreign currency transactions and balances: In accordance with AS
11 issued by the Institute of Chartered Accountants of India,
i) Initial recognition: Foreign currency transactions are recorded in
the reporting currency, by applying to the foreign currency amount the
exchange rate between the reporting currency and the foreign currency
at the date of the transaction.
ii) Conversion: Foreign currency monetary items are retranslated using
the exchange rate prevailing at the reporting date. Non-monetary items,
which are measured in terms of historical cost denominated in a foreign
currency, are reported using the exchange rate at the date of the
transaction. Non-monetary items, which are measured at fair value or
other similar valuation denominated in a foreign currency, are
translated using the exchange rate at the date when such value was
determined.
iii) Exchange differences: From accounting periods commencing on or
after 7 December 2006, the Company accounts for exchange differences
arising on translation/settlement of foreign currency monetary items as
below:
a) Exchange differences arising on a monetary item that, in substance,
forms part of the Company''s net investment in a non-integral foreign
operation is accumulated in the foreign currency translation reserve
until the disposal of the net investment. On the disposal of such net
investment, the cumulative amount of the exchange differences which
have been deferred and which relate to that investment is recognized as
income or as expenses in the same period in which the gain or loss on
disposal is recognized.
b) Exchange differences arising on long-term foreign currency monetary
items related to acquisition of a fixed asset are capitalized and
depreciated over the remaining useful life of the asset in accordance
with the Ministry of Corporate Affairs Notification dated 31st March,
2009. For this purpose, the Company treats a foreign monetary item as
"long- term foreign currency monetary item", if it has a term of 12
months or more at the date of its origination.
c) Exchange differences arising on other long-term foreign currency
monetary items are accumulated in the "Foreign Currency Monetary Item
Translation Difference Account" and amortized over the remaining life
of the concerned monetary item.
d) All other exchange differences are recognized as income or as
expenses in the period in which they arise.
iv) Translation of integral and non-integral foreign operation: The
Company classifies all its foreign operations as either "integral
foreign operations" or "non-integral foreign operations." The financial
statements of an integral foreign operation are translated as if the
transactions of the foreign operation have been those of the Company
itself. The assets and liabilities of a non-integral foreign operation
are translated into the reporting currency at the exchange rate
prevailing at the reporting date and their statement of profit and loss
are translated at annual average exchange rates. The exchange
differences arising on translation are accumulated in the foreign
currency translation reserve. On disposal of a non-integral foreign
operation, the accumulated foreign currency translation reserve
relating to that foreign operation is recognized in the statement of
profit and loss. When there is a change in the classification of a
foreign operation, the translation procedures applicable to the revised
classification are applied from the date of the change in the
classification.
2.8 Retirement and other employee benefits: In accordance with
Accounting Standard 15 issued by the Institute of Chartered Accountants
of India,
i) Retirement benefit in the form of provident fund is a defined
contribution scheme. The contributions to the provident fund are
charged to the statement of profit and loss for the year when the
contributions are due. The Company has no obligation, other than the
contribution payable to the provident fund.
ii) The Company operates one defined benefit plan for its employees,
viz., gratuity. The cost of providing benefits under this plan are
determined on the basis of actuarial valuation at each year- end using
the projected unit credit method. The Company has obtained a policy
from the Life Insurance Corporation of India in respect of the gratuity
obligation and the annual contribution paid by the Company to LIC is
charged to the profit and loss statement. The actuarial gains and
losses for the defined benefit plan are not recognized in the period in
which they occur in the statement of profit and loss.
2.9 Tax Expense: In accordance with Accounting Standard 22 issued by
the Institute of Chartered Accountants of India,
i) Tax expense comprises current and deferred tax.
ii) Current income-tax is measured at the amount expected to be paid to
the tax authorities in accordance with the Income-tax Act, 1961 enacted
in India and tax laws prevailing in the respective tax jurisdictions
where the Company operates. The tax rates and tax laws used to compute
the amount are those that are enacted or substantively enacted, at the
reporting date. Current income tax relating to items recognized
directly in equity is recognized in equity and not in the statement of
profit and loss.
iii) Deferred tax assets and liabilities are recognized for future tax
consequences attributable to the timing differences between taxable
income and accounting income that are capable of reversal in one or
more subsequent periods and are measured using tax rates enacted or
substantively enacted as at the balance sheet date. Deferred income tax
relating to items recognized directly in equity is recognized in equity
and not in the statement of profit and loss.
iv) Deferred tax liabilities are recognized for all taxable timing
differences. Deferred tax assets are recognized for deductible timing
differences only to the extent that there is reasonable certainty that
sufficient future taxable income will be available against which such
deferred tax assets can be realized. In situations where the Company
has unabsorbed depreciation or carry forward tax losses, all deferred
tax assets are recognized only if there is virtual certainty supported
by convincing evidence that they can be realized against future taxable
profits.
v) In the situations where the Company is entitled to a tax holiday
under the Income-tax Act, 1961 enacted in India or tax laws prevailing
in the respective tax jurisdictions where it operates, no deferred tax
(asset or liability) is recognized in respect of timing differences
which reverse during the tax holiday period, to the extent the
Company''s gross total income is subject to the deduction during the tax
holiday period. Deferred tax in respect of timing differences which
reverse after the tax holiday period is recognized in the year in which
the timing differences originate. However, the company restricts
recognition of deferred tax assets to the extent that it has become
reasonably certain or virtually certain, as the case may be, that
sufficient future taxable income will be available against which such
deferred tax assets can be realized. For recognition of deferred taxes,
the timing differences which originate first are considered to reverse
first.
vi) At each reporting date, the Company re-assesses unrecognized
deferred tax assets. It recognizes unrecognized deferred tax asset to
the extent that it has become reasonably certain or virtually certain,
as the case may be, that sufficient future taxable income will be
available against which such deferred tax assets can be realized.
vii) The carrying amount of deferred tax assets are reviewed at each
reporting date. The Company writes-down the carrying amount of deferred
tax asset to the extent that it is no longer reasonably certain or
virtually certain, as the case may be, that sufficient future taxable
income will be available against which deferred tax asset can be
realized. Any such write-down is reversed to the extent that it becomes
reasonably certain or virtually certain, as the case may be, that
sufficient future taxable income will be available
viii) Deferred tax assets and deferred tax liabilities are offset, if a
legally enforceable right exists to set-off current tax assets against
current tax liabilities and the deferred tax assets and deferred taxes
relate to the same taxable entity and the same taxation authority.
ix) Minimum alternate tax (MAT) paid in a year is charged to the
statement of profit and loss as current tax. The Company recognizes MAT
credit available for a particular assessment year as an asset only
after the assessment for that year is complete and such credit is
finally quantified and only to the extent that there is convincing
evidence that the Company will pay normal income tax during the
specified period, i.e., the period for which MAT credit is allowed to
be carried forward. In the year in which the Company recognizes MAT
credit as an asset in accordance with the Guidance Note on Accounting
for Credit Available in respect of Minimum Alternative Tax under the
Income- tax Act, 1961, the said asset is created by way of credit to
the statement of profit and loss and shown as "MAT Credit Entitlement"
under the head "Current Assets". The Company reviews the "MAT credit
entitlement" asset at each reporting date and writes down its carrying
amount to the extent such credit is set-off u/s 115JAA or to the extent
the company does not have convincing evidence that it will pay normal
tax during the specified period.
2.10 Consolidated Financial Statements: In accordance with AS 21 and AS
27 issued by the Institute of Chartered Accountants of India, separate
consolidated financial statements of the Company and its Subsidiaries
have been prepared by combining on a line-to-line basis by adding
together the book values of like items of assets, liabilities, incomes
and expenses after fully eliminating intra-group balances, intra-group
transactions and unrealised profits and losses.
2.11 Earnings Per Share: In accordance with Accounting Standard 20,
issued by the Institute of Chartered Accountants of India.
i) Basic earnings per share are calculated by dividing the net profit
or loss for the period attributable to equity shareholders (after
deducting preference dividends and attributable taxes) by the weighted
average number of equity shares outstanding during the period. Partly
paid equity shares are treated as a fraction of an equity share to the
extent that they are entitled to participate in dividends relative to a
fully paid equity share during the reporting period. The weighted
average number of equity shares outstanding during the period is
adjusted for events such as bonus issue, bonus element in a rights
issue, share split, and reverse share split (consolidation of shares)
that have changed the number of equity shares outstanding, without a
corresponding change in resources.
ii) For the purpose of calculating diluted earnings per share, the net
profit or loss for the period attributable to equity shareholders and
the weighted average number of shares outstanding during the period are
adjusted for the effects of all dilutive potential equity shares,
except where the results are anti-dilutive.
2.12 Provisions: In accordance with Accounting Standard 29 issued by
the Institute of Chartered Accountants of India,
i) A provision is recognized when the Company has a present obligation
as a result of past event, it is probable that an outflow of resources
embodying economic benefits 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 required to settle the obligation at the
reporting date. These estimates are reviewed at each reporting date and
adjusted to reflect the current best estimates. Where the Company
expects some or all of a provision to be reimbursed, for example under
an insurance contract, the reimbursement is recognized as a separate
asset but only when the reimbursement is virtually certain. The expense
relating to any provision is presented in the statement of profit and
loss net of any reimbursement.
ii) Warranty provisions: Provisions for warranty-related costs are
recognized when the product is sold or service provided. Provision is
based on historical experience. The estimate of such warranty-related
costs is revised annually.
2.13 Contingent Liabilities and Contingent Assets: In accordance with
Accounting Standard 29 issued by the Institute of Chartered Accountants
of India,
i) A 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 statements.
ii) Contingent assets are not recognized.
2.14 Measurement of EBITDA
i) As permitted by the Guidance Note on the Revised Schedule VI to the
Companies Act, 1956, the Company has elected to present earnings before
interest, tax, depreciation and amortization (EBITDA) as a separate
line item on the face of the statement of profit and loss. The Company
measures EBITDA on the basis of profit/ (loss) from continuing
operations. In its measurement, the Company does not include
depreciation and amortization expense, finance costs and tax expense.
2.15 Accounting Standards not applicable to the Company during the year
under review:
i) Construction Contracts: AS 7 is not applicable since the Company is
not engaged in execution of construction contracts.
ii) Accounting for Government Grants: AS 12 is not applicable since the
Company has not received any Government Grants.
iii) Accounting for Amalgamations: AS 14 is not applicable since the
Company has not so far entered into any amalgamation.
iv) Segment reporting: AS 17 is not applicable since the Company
operates only in one segment, to wit, real estate development.
v) Accounting for Investments in Associates in Consolidated Financial
statements: AS 23 is not applicable since the Company is not required
to consolidate its financial statements.
vi) Discontinuing Operations: AS 24 is not applicable since the Company
has not so far discontinued operations.
vii) Interim Financial Reporting: AS 25 is not applicable to the
financial statements under review.
viii) Financial Reporting of Interests in Joint Ventures: AS 27 is not
applicable since the Company has no joint ventures.
3. Related party disclosures
A. Names of related parties and related party relationship
1. Related parties where control exists
Subsidiaries 1 DSK Developers Corporation
2 DSK Township Projects Private Ltd. (Formerly known as DSK SEZ
Projects (Pune) Private Ltd.)
3 DSK Southern Projects Pvt. Ltd.
Step-down subsidiaries 1 DSK Woods LLC
Key management personnel 1 Mr. D. S. Kulkarni  Managing Director
2 Mr. S. D. Kulkarni  Executive Director
Relatives of key management personnel 1 Mrs. Hemanti D. Kulkarni
Enterprises owned or significantly influenced by key management
personnel or their relatives
1 Ambiance Ventures Estates & Developments Pvt. Ltd.
2 Amit & Company
3 Ascent Promoters & Developers Private Limited
4 Crystal Promoters & Developers Private Limited
5 Chandradeep Promoters & Developers Private Limited
6 D.S. Kulkarni & Associates
7 D.S. Kulkarni & Company
8 D. S. Kulkarni Constructions Pvt. Ltd.
9 DSK Digital Technologies Private Limited
10 DSK Global Education and Research Pvt. Ltd.
11 DSK Infotech Private Limited
12 DSK Milkotronics Private Limited
13 DSK Motors Limited
14 DSK Mototrucks Private Limited
15 DSK Motowheels Private Limited
16 DSK Prabhu Granite LLP
17 DSK Sales & Services
18 DSK Tricone Infrastructure and Construction Ltd.
19 DSK Worldman Projects Pvt. Ltd. (Formerly known as DSK Worldman
Computers Pvt. Ltd.)
20 Fairyland Promoters & Developers Private Limited
21 Gharkul
22 Greengold Farms & Forests Pvt. Ltd.
23 Growrich Agroforestry Private Limited
24 Hexagon Capital Services Private Limited
25 Holyland Agroforestry Private Limited
26 Mangesh Agencies
27 Mangesh Enterprises
28 Mangesh Sales Corporation
29 Sapphire Promoters & Developers Private Limited
30 Shri Saptashrungi Oil Mills Pvt. Ltd.
31 Telesmell
4. Investments in subsidiaries: In the opinion of the management, no
loss is expected to arise in respect of investments in subsidiaries for
which an additional provision is required.
5. Amounts due to Investor Education & Protection Fund: As at the
balance sheet date, there are no amounts due and outstanding to this
Fund.
Mar 31, 2012
Notes to the Balance
Sheet as at 31-Mar-12 31-Mar-12 31-Mar-11 31-Mar-11
Rs. Rs. Rs. Rs.
1. Contingent
Liabilities not
provided for:
1) Guarantee in
respect
of secured loans 1,000,000,000 1,088,400,000
obtained by
subsidiary
Balance of secured
loans as at end of
year 1,022,394,000 1,012,427,000
2) Tax Matters
under appeal" 42,513,000 44,663,000
3) Cases filed against
the Company 72,015,000 72,106,000
4) Bills discounted
by the Company's
suppliers - 50,000,000
Balance as at end of year - 49,790,000
Total at the end of the
reporting period 1,136,922,000 1,178,986,000
** Income tax demands comprise demand from the Indian tax authorities
for payment of additional tax upon completion of their tax review for
the financial years 2004-05, 2005-06, 2006-07, 2007-08, 2008-09 and
2009-10. The tax demands are mainly on account of disallowance of a
portion of the tax holiday claimed by the Company under the Income-tax
Act. The matter is pending before the Commissioner of Income tax
(Appeals)/income Tax Appellate Tribunal. The Company is contesting the
demands and the management, including its tax advisors, believe that
its position will likely be upheld in the appellate process. No tax
expense has been accrued in the financial statements for the tax demand
raised. The management believes that the ultimate outcome of this
proceeding will not have a material adverse effect on the Company's
financial position and results of operations.
2. Investments in subsidiaries: In the opinion of the management, no
loss is expected to arise in respect of investments in subsidiaries for
which an additional provision is required
3. Amounts due to Investor Education & Protection Fund: As at the
balance sheet date, there are no amounts due and outstanding to this
Fund
Mar 31, 2011
1 Security for Term Loans from Banks / Institutions / Others :
1.1 All the Term Loans / Corporate Loans for construction projects are
secured by equitable / registered mortgage of specific immovable
properties and are also secured by a hypothecation charge on the
Company's movables at the respective sites
1.2 The term loans for acquisition of vehicles are secured by
hypothecation of the respective vehicles.
1.3 The charges securing the term loans obtained from Bank of
Maharashtra, Central Bank of India, Indian Overseas Bank and Kalyan
Janata Sahakari Bank include a collateral pari passu charge on a
specific immovable property.
1.4 Repayment of all the term loans and payment of interest thereon is
personally guaranteed by the Company's Chairman & Managing Director and
in certain cases, other specified individuals.
1.5 The cash credit limit from Bank of Maharashtra is secured by
personal guarantee of the Company's Chairman & Managing Director and
other specified individuals. The said limit is also collaterally
secured by mortgage of some immoveable properties.
1.6 The Promoters have pledged 63,05,210 (P.Y. 38,75,805) equity shares
held by them in order to secure loans advanced to Company by certain
lenders for the purposes of the Company's business
4 Investments in Subsidiary: In the opinion of the management, no loss
is expected to arise in respect of investments for which an additional
provision is required
5 Current assets, loans and advances: In the opinion of the management
the current assets, loans and advances are stated at the value which
will be realized if they are sold in the ordinary course of the
Company's business.
8 Amounts due to Investor Education & Protection Fund: As at the
balance sheet date, there are no amounts due and outstanding to this
Fund.
9 Contingent Liabilities not provided for: Rs. Lacs
2010-11 2009-10
a) Claims against the Company not
acknowledged as debts - -
b) Guarantees - -
c) Guarantee is respect of secured loans
obtained by subsidiary 10,884.00 10,884.00
Balance of secured loans as at 31/03/2011 10,124.47 8,510.06
d) Tax Matters under appeal 958.27 748.83
e) Cases filed against the Company 721.06 796.64
Estimated amount of contracts remaining to be
f) executed on capital account - -
g) Bills discounted by the Company's suppliers 500.00 500.00
Balance on 31/03/2011 497.90 497.96
13,063.33 12,929.47
19 Disclosure for assets taken on lease as per AS 19:
The Company has entered into operating lease arrangements for office
space at Pune, Mumbai, Chennai and Bangalore.There are no future
minimum lease payments under non-cancellable operating leases as all
the lease arrangements are cancellable at the option of lessee.
ii) General description of the lessee's significant leasing
arrangements:
Certain lease arrangements provide a clause for price escalation.
20 Disclosure for assets given on lease as per AS 19:
The company has given its land on operating lease to its subsidiary,
DSK Global Education & Research Pvt Ltd for a period of 99 years.
21 The company has not so far entered into any finance lease as at the
balance sheet date.
22 Related Party Disclosures:
(I) The Company has identified following related parties:
A Subsidiaries:
(i) DSK Developers Corporation
(ii) DSK Woods LLC
(iii) DSK SEZ Projects (Pune) Private Ltd.
(iv) DSK Global Education and Research Pvt. Ltd.
(v) DSK Southern Projects Pvt. Ltd.
B Jointly Controlled Entities
i) DSK Tricone Infrastructure and Construction Ltd.
C Key Management Personnel
(i) Mr. D. S. Kulkarni Managing Director
(ii) Mrs. J. D. Kulkarni Whole-time Director
(iii) Mr. S. D. Kulkarni Executive Director
D Relatives of Key Management Personnel having control or significant
control over the Company by reason of voting power.
None
E Companies / Other Organisations under the control of KMP / relatives
where transactions are entered into and / or outstanding balance exists
as at the Balance sheet date:
(i) Amit & Company
(ii) Calcutta Boarding House
(iii) D. S. Kulkarni Constructions Pvt. Ltd.
(iv) DSK Developers Corporation
(v) DSK Digital Technologies Private Limited
(vi) DSK Global Education & Research Pvt Ltd
(vii) DSK Infotech Private Limited
(viii) DSK Motors Limited
(ix) DSK Sales & Services
(x) DSK SEZ Project ( Pune ) Pvt Ltd
(xi) DSK Southern Projects Pvt. Ltd.
(xii) DSK Tricone Infrastructure and Construction Ltd.
(xiii) DSK Worldman Computers Private Limited
(xiv) Hexagon Capital Services Private Limited
(xv) Mangesh Agencies
(xvi) Sanjeevani Developers
(xvii) Shri Saptashrungi Oil Mills Pvt. Ltd.
F Companies / Other Organisations under the control of KMP / relatives
where no transactions are entered into and / or no outstanding balance
exists as at the Balance sheet date.
(i) Ambiance Ventures Estates & Development Pvt. Ltd.
(ii) Ascent Promoters & Developers Private Limited
(iii) DSK Woods LLC
(iv) Gharkul
(v) Greengold Farms & Forests Pvt. Ltd
(vi) Growrich Agroforestry Private Limited
(vii) Holyland Agroforestry Private Limited
(viii) Sapphire Promoters & Developers Private Limited
(ix) Telesmell
Mar 31, 2010
1 Previous Year Figures : The figures for the previous year have been
rearranged to facilitate comparison.
B Additional Information:
1 Security for Term Loans from Banks / Institutions / Others :
1.1 All the Term Loans / Corporate Loans for construction projects are
secured by equitable / registered mortgage of specific immovable
properties and are also secured by a hypothecation charge on the
CompanyÃs movables at the respective sites.
1.2 The term loans for acquisition of vehicles are secured by
hypothecation of the respective vehicles.
1.3 The charges securing the term loans obtained from Bank of
Maharashtra, Central Bank of India, Indian Overseas Bank and Kalyan
Janata Sahakari Bank include a collateral pari passu charge on a
specific immovable property.
1.4 Repayment of all the term loans and payment of interest thereon is
personally guaranteed by the CompanyÃs Chairman & Managing Director and
in certain cases, other specified individuals.
1.5 The cash credit limit from Bank of Maharashtra is secured by
personal guarantee of the CompanyÃs Chairman & Managing Director and
other specified individuals. The said limit is also collaterally
secured by mortgage of some immoveable properties.
1.6 The Promoters have pledged 38,75,805 equity shares held by them in
order to secure loans advanced to Company by certain lenders for the
purposes of the Companys business.
2 Investments in Subsidiary: In the opinion of the management, no loss
is expected to arise in respect of investments for which an additional
provision is required to be made in the accounts.
3 Current assets, loans and advances: In the opinion of the management
the current assets, loans and advances are stated at the value which
will be realized if they are sold in the ordinary course of the
CompanyÃs business.
4 Amounts due to Investor Education & Protection Fund: As at the
balance sheet date, there are no amounts due and outstanding to this
Fund.
5 Contingent Liabilities not provided for: Rs Lacs
2009-10 2008-09
a) Claims against the Company not
acknowledged as debts - -
b) Guarantees - -
c) Guarantee is respect of secured
loans obtained by subsidiary 10,884.00 10,884.00
Balance of secured loans as at
31/03/2010 8,510.06 6,425.16
d) Tax Matters under appeal 748.83 330.03
e) Cases filed against the Company 796.64 921.50
f) Estimated amount of contracts
remaining to be executed
on capital account - -
g) Bills discounted by the Companys
suppliers 500.00 500.00
Balance on 31/03/2010 Rs
(P.Y. Rs 399.82 lacs) 497.96 399.82
12,929.47 12,635.53
6 The company has not so far entered into any finance lease as at the
balance sheet date.
7 Estimates : The preparation of financial statements in confirmity
with GAAP requires that the management of the Company makes estimates
and assumptions that affect the reported amounts of income and expenses
of the period, the reported balances of the assets and liabilities and
the disclosures relating to contingent liabilities as of the date of
the financial statements. Actual results could differ from these
estimates.
8 Related Party Disclosures: (I) The Company has identified following
related parties:
A Subsidiaries:
(i) DSK Developers Corporation
(ii) DSK Woods LLC
(iii) DSK SEZ Projects (Pune) Pvt. Ltd.
(iv) DSK Global Education and Research Pvt. Ltd.
B Jointly Controlled Entities
(i) DSK Southern Projects Pvt. Ltd.
(ii) DSK Tricone Infrastructure and Construction Ltd.
C Key Management Personnel
(i) Mr. D. S. Kulkarni Managing Director
(ii) Mrs. J. D. Kulkarni Whole-time Director
(iii) Mr. Kedar Vanjape Executive Director upto 18/08/2009
(iv) Mr. S. D. Kulkarni Executive Director w.e.f.27/07/2009
D Relatives of Key Management Personnel having control or significant
control over the Company by reason of voting power.
None
E Companies / Other Organisations under the control of KMP / relatives
where transactions are entered into and / or outstanding balance exists
as at the Balance sheet date:
(i) Amit & Company
(ii) Calcutta Boarding House
(iii) Chandradeep Promoters & Developers Pvt. Ltd.
(iv) DSK Developers Corporation
(v) DSK Global Education & Research Pvt. Ltd
(vi) DSK Motors Limited
(vii) DSK Sales & Services
(viii) DSK SEZ Project ( Pune ) Pvt. Ltd
(ix) DSK Southern Projects Pvt. Ltd.
(x) DSK Tricone Infrastructure and Construction Ltd.
(xi) DSK Woods LLC
(xii) Holyland Agroforestry Pvt. Ltd.
(xiii) Mangesh Agencies
(xiv) Sanjeevani Developers
(xv) Skylap Marketing Pvt. Ltd.
(xvi) Vastushilp Promoters & Developers Pvt. Ltd
(xvii) Vastuvisharad Promoters & Developers Pvt. Ltd.
F Companies / Other Organisations under the control of KMP / relatives
where no transactions are entered into and / or no outstanding balance
exists as at the Balance sheet date.
(i) Ambiance Ventures Estates & Development Pvt. Ltd.
(ii) Ascent Promoters & Developers Pvt. Ltd.
(iii) Chandrasha Tours & Travels Pvt. Ltd.
(iv) Crystal Promoters & Developers Pvt. Ltd.
(v) D. S. Kulkarni Constructions Pvt. Ltd.
(vi) DSK Chemicals Pvt. Ltd.
(vii) DSK Durgamaya Developers Pvt. Ltd.
(viii) Fairyland Promoters & Developers Pvt. Ltd.
(ix) Gharkul
(x) Growrich Agroforestry Pvt. Ltd.
(xi) Hamlet Technology Valves & Fittings Pvt. Ltd.
(xii) Mula Valley Agroforestry Pvt. Ltd.
(xiii) Sampada Leasing & Finance Company Pvt. Ltd.
(xiv) Sapphire Promoters & Developers Pvt. Ltd.
(xv) Shri Saptashrungi Oil Mills Pvt. Ltd.
(xvi) Subhastu Promoters & Developers Pvt. Ltd.
(xvii) Swagelok Technology Valves & Fittings Pvt. Ltd.
(xviii) Telesmell
(xviii) Vastusankalp Promoters & Developers Pvt. Ltd.