Notes to Accounts of Esaar (India) Ltd.

Mar 31, 2015

1. Employee benefits

Provision for retirement benefits to employees was not provided on accrual basis, which is not in conformity with Accounting Standard-15 issued by ICAI and the amount has not been quantified because actuarial valuation report is not available. However, in the opinion of the management the amount involved is negligible and has no material impact on the Profit & Loss Account.

* The demand was raised by the jurisdictional assessing officer of the Income Tax Authorities u/s

143(3) of the Income Tax Act, 1961 of Rs 13,660 & Rs. 2,53,815 for the Assessment Year 2008-09 & 2009-10 respectively. The management feels that demand raised is likely to be either deleted or substantially reduced; hence the management is of the opinion that no provision is required.

2. PRUDENTIAL NORMS OF NBFC:

i. Majority of the loans given are demand loans, therefore in some cases the terms of repayment including interest and loan agreement including KYC documents etc are not available. Demand and other loans given are governed by the Board policies. Considering the close monitoring of Board no appraisal, renewal, Policies, Procedure, Committee or documents have been prescribed and executed.

ii. In view of the management all the loans outstanding are considered good and therefore provision on Non- Performing Assets not provided.

iii. Pre and post sanction generally accepted procedures are not in place.

iv. Provision on standard assets @ 0.25% is yet to be provided.

3. As per information available with the Company, none of the creditors has confirmed that they are registered under the Micro, Small and Medium enterprises Development Act, 2006.

4. Trade payables, Trade receivables, Short Term Borrowings and Short term loans and advances balances are subject to confirmation and reconciliation.

5. Segment Information: The Company is engaged in single segment and there are no separate reportable segments as defined in AS-17

6. Previous year's figures have been regrouped, rearranged and reclassified wherever necessary to conform to the current's classification/ presentation.

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Mar 31, 2014

1. EMPLOYEE BENEFITS

Provision for retirement benefits to employees was not provided on accrual basis, which is not in conformity with Accounting Standard-15 issued by ICAI and the amount has not been quantified because actuarial valuation report is not available. However, in the opinion of the management the amount involved is negligible and has no material impact on the Profit & Loss Account.

2. CONTINGENT LIABILITY:

2013-2014 2012-2013 Amount in Rs. Amount in Rs.

Contingent Liabilities not provided for NIL NIL

3. Income in Foreign Currency NIL

4. Expenditure in Foreign Currency NIL

5. As per information available with the Company, none of the creditors has confirmed that they are registered under the Micro, Small and Medium enterprises Development Act, 2006.

6. Trade payables, Trade receivables, Short Term Borrowings and Short term loans and advances balances are subject to confirmation and reconciliation.

7. Segment Information: The Company is engaged in single segment and there are no separate reportable segments as defined in AS-17.

8. Previous year''s figures have been regrouped, rearranged and reclassified wherever necessary to conform to the current''s classification/ presentation.

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Mar 31, 2013

1. EMPLOYEE BENEFITS

Provision for retirement benefits to employees was not provided on accrual basis, which is not in conformity with Accounting Standard-15 issued by ICAI and the amount has not been quantified because actuarial valuation report is not available. However, in the opinion of the management the amount involved is negligible and has no material impact on the Profit & Loss Account.

2. CONTINGENT LIABILITY:

2012-2013 2011-2012 Amount in Rs. Amount in Rs.

Contingent Liabilities not provided for NIL NIL

3. Income in Foreign Currency NIL

4. Expenditure in Foreign Currency NIL

5. As per information available with the Company, none of the creditors has confmned that they are registered under the Micro, Small and Medium enterprises Development Act, 2006.

6. Trade payables, Trade receivables, Short Term Borrowings and Short term loans and advances balances are subject to confirmation and reconciliation.

7. Segment Information: The Company is engaged in single segment and there are no separate reportable segments as defined in AS-17.

8. Previous year''s figures have been regrouped, rearranged and reclassified wherever necessary to conform to the current''s classification/ presentation.

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Mar 31, 2012

A. Terms/rights attached to equity shares

The Company has only one class of Equity Shares having par value of Rs. 1. Each holder of equity shares is entitled to one vote per share. The company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.

In the event ofl liquidation of the Company' the holder of equity shares will being entitled to receive any of the remaining assets of the company' after distribution of all preferential amount. The distribution will be in proportion to the number of equity shares held by the shareholders.

1. CONTINGENT LIABILITY:

2011-2012 2010-2011 Amount in Amount in Rs. Rs.

Contingent Liabilities not provided for

2. Income in Foreign Currency NIL

3. Expenditure in Foreign Currency NIL

4. As per information available with the Company' none of the creditors has confirmed that they are registered under the Micro' Small and Medium enterprises Development Act' 2006.

5. Debtors' Creditors' loan and advances balances are subject to confirmation and reconciliation.

6. Segment Information: The Company is engaged in single segment and there are no separate reportable segments as defined in AS-17.

7. Previous year's figures have been regrouped' rearranged and reclassified wherever necessary to conform to the current's classification/ presentation.

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Mar 31, 2011

1. Contingent Liabilities not provided for:

2010-2011 2009-2010

(Rs.) (Rs.)

Claims against the company not acknowledged as debts NIL NIL

Others Nil nil

2. Balances of Loans and Advances, Sundry Creditors are subject to confirmation and reconciliation and consequential adjustments, if any.

3. In the opinion of the Board & to the best of their knowledge & belief the value of realisation of current assets, loans & advances in the ordinary course of business would not be less than the amount at which they are stated in the Balance Sheet & the provisions for all the loans & determined liabilities is adequate and not in excess of the amount.

4. Related Party Transaction :

Key Management Person :

Dheeraj Shah Vijay Poddar

5. Balance Sheet Abstract & Company's general business profiles as required by part IV of Schedule VI to the Companies Act, 1956 is enclosed in ANNEXURE "B".

6. As per information available with the Company, none of the creditors has confirmed that they are registered under the Micro, Small and Medium enterprises Development Act, 2006.

7. Segment Information: The Company is engaged in single segment and there are no separate reportable segments as defined in AS-17.

8. Previous year's figures have been regrouped, rearranged and reclassified wherever necessary to conform to the current's classification/ presentation.

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Mar 31, 2010

1. LICENSED & INSTALLED CAPACITY :

Licensed & Installed Capacities are not applicable.

Contingent Liability : No provison for Interest on Loan from ICICI Home Finance Co. Ltd. has been provided in the books. The Company has shown the amount outstanding in its Books at an amount of Rs. 958000/- but the amount as per the lenders is Rs. 1384380.26/-

In the opinion of the Board of directors, the aggregate value of Current assets, Loans & Advances on realisation in the ordinary course of Business will not be less than the amount at which they are stated in the Balance Sheet. Prudential Norms of the Reserve Bank of India :

In respect of Loans Advances to parties, interest in some cases has been past due for six months. No provisions against such loans have been made treating them as NPAs. The management is, however, of the opinion that the above loans are fully recoverable and hence the management does not treat it as NPA and no provision has been made for the above.

Since the company has not accepted any Public Deposit, Prudential Norms as regards requirements as to Capital Adequacy and Concentration of Credit / Investments are not applicable to it. Hence no observations as regards these has been made.

Retirement benefits (Accounting standards -15 issued by The Institute of Chartered Accounts of India)

The company has not made any provisions for Gratuity as the provisions of the Act are not applicable to the Company, Further, Since the Company does not have any permanent employees, the Company is not liable to pay any Post Employment Benefits to its Employees, the provisions of AS-15 "Accounting for Retirement benefits in financial statement of Employer" are also not applicable.

2. Earning per Share

The Company calculated basic and diluted earning per equity share in accordance with AS-20 Earning per share. Earning per equity share on been computed by dividing net profit after tax by the weighted average number of share outstanding during the period. Diluted earning per equity share has been computed under the weighted average number of equity share outstanding during the period.

3. Impairment of Assets

As stipulated in Accounting Standard on Impairment of Assets (AS 28) the Management has carried out review of the remaining useful live its fixed assets and its value in use. As the recoverable amount as per projections exceeds the carrying amount, no impairment has be provided for in the accounts.

4. The inventories valuation have been certified by the management but were not verified physically.

5. Previous years figure have been regrouped / rearranged wherever necessary.