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Notes to Accounts of Goa Carbons Ltd.

Mar 31, 2015

As at As at 1. Contingent Liabilities : 31 March 31 March (Claims against the Company not acknowledged as debts) 2015 2014

i) Disallowance of Cenvat Credit and Educational Cess on purchase of raw materials 90.19 90.19

ii) Income tax demands under appeal 1,954.55 1,954.55

iii) The Company''s appeal to the High Court of Bombay at Goa against the order of the Income Tax Appellate Tribunal which had confrmed the disallowance of the deduction under Section 80HHC of the Income Tax Act, 1961 for Assessment Years 1993-94 to 2004-05 was allowed by the High Court vide its order dated 21.10.2010. The disputed amount of tax and interest paid amounting to Rs. 963.68 lacs (after adjusting the refund ofRs. 454.66 lacs received) is included under Other Non Current Assets. The income tax department has fled a Special Leave petition before the Hon: Supreme Court praying for ex-parte stay of the aforementioned Order of the High Court. The petition is yet to be admitted before the Hon: Supreme Court.

The amounts mentioned against (i) and (ii) above are based on the notice of demand or the assessment orders issued by the relevant authorities, as the case may be. The Company is contesting these demands with the relevant appellate authorities. Outflows, if any, arising out of these demands would depend on the outcome of the decisions of the appellate authorities and the Company''s rights for future appeals before the Judiciary. However, the Company is hopeful of successful outcome in the appellate proceedings.

2. Excise duty on sales for the year has been disclosed as reduction from Revenue from operations. Excise duty relating to the difference between the closing stock and the opening stock of Finished goods has been included in Note - 25 "Other Expenses."

3. During the year, pursuant to the notifcation of Schedule II to the Companies Act, 2013 with effect from April 1, 2014, the Company revised the estimated useful life of its assets to align the useful life with those specified in Schedule II. Pursuant to the transition provisions prescribed in Schedule II to the Companies Act, 2013, the Company has fully depreciated the carrying value of assets aggreegating to Rs.32.92 lacs (net of deferred tax of Rs.16.95 lacs), where the remaining useful life of the asset was determined to be nil as on April 1, 2014, and has adjusted the said amount against the opening Surplus balance in the Statement of Profit and Loss. The depreciation expense in the Statement of Profit and Loss for the year is lower by Rs. 54.11 lacs consequent to the change in the useful life .

4. Dues to Micro and Small Enterprises have been determined to the extent such parties have been identifed on the basis of information collected by the Management. This has been relied upon by the auditors. Amount outstanding but not due as at the year end is Rs. Nil (Previous year Rs. 0.07 lacs)

5A As per the provisions of Sec 135 of the Companies Act 2013, the Company is required to spend Rs. 20.27 lacs towards CSR activities. The Company has not spent any amount during the year and intends to do so in coming financial years in line with the CSR Policy of the Company

iii) Actuarial valuation relating to interest rate guarantee on exempt provident fund has resulted in an additional charge for the year of Rs.6.51 lacs (Previous yearRs.11.42 lacs).

b) Defned contribution plans:

A sum of Rs.42.13 lacs (Previous year Rs.35.47 lacs) has been charged to the statement of profit and loss in respect of Company''s contribution to:

a) superannuation fund and

b) provident and pension fund for Paradeep and Bilaspur unit employees.

6. Segment reporting:

The Company is engaged in manufacture and sale (both domestic and export) of Calcined Petroleum Coke which constitutes single business segment. As per management''s perspective, the risks and returns from its sales do not materially vary geographically. Accordingly there are no other business / geographical segments to be reported under Accounting Standard (AS) 17.

6A As per the provisions of Sec 135 of the Companies Act 2013, the Company is required to spend Rs. 20.27 lacs towards CSR activities. The Company has not spent any amount during the year and intends to do so in coming financial years in line with the CSR Policy of the Company.

7. Disclosures in respect of Related Parties pursuant to Accounting Standard (AS) 18.

i) List of related parties:

Names of the related parties and nature of relationship a Holding Company:

V. S. Dempo Holdings Private Limited b Subsidiaries:

GCL Global Resources SGP Pte Ltd., Singapore

Goa Carbon (Cangzhou) Company Ltd., PRC c Fellow Subsidiaries (with whom transactions have taken place during the year):

Dempo Industries Pvt. Ltd.

Dempo Travels Pvt. Ltd.

Dempo Sports Club Pvt. Ltd d Individual who is able to exercise Significant infuence:

Mr. Shrinivas V. Dempo (Chairman) e Enterprises over which Mr. Shrinivas V. Dempo is able to exercise Significant infuence:

Motown Investments Pvt. Ltd.

Devashri Investments Pvt. Ltd.

Devashri Nirman LLP.

Dempo Charities Trust

Vasantrao Dempo Education and Research Foundation

Esmeralda International Exports LLP

Ratnaprabha Advisory Services LLP f Key Management Personnel:

Mr. Jagmohan J. Chhabra (Executive Director)

Mr. P. S. Mantri (Company Secretary)

Mr. K. Balaraman (Chief Financial officer)

8. There are no amounts due and payable to Investor Education and Protection Fund as on Balance Sheet date.

9. The Company''s wholly owned step down subsidiary company "Goa Carbon (Cangzhou) Company Limited" China (the China Company) had obtained a business licence to set up a plant in Cangzhou, Hebei Province, the People''s Republic of China, with an annual capacity to manufacture 3,00,000 MT of Calcined Petroleum Coke. The Company had invested USD 3.48 million (Rs. 1,938.62 lacs) in its wholly owned subsidiary "GCL Global Resources SGP Pte Limited" Singapore (the "Singapore Company") which is the holding company of the China Company. The Singapore Company has in turn invested this money in 3,329,983 Equity Shares of USD 1 each to the authorised capital of the China Company for the purpose of setting up of the plant in China.

Consequent to the decision taken by "Cangzhou Economic Development Zone, China" to cancel the land allotted to the subsidiary company "Goa Carbon (Cangzhou) Company Limited" China on the ground that the proposed plant falls under "high energy consuming industries", the Company has been compelled by circumstances beyond its control to withdraw the proposed project to be set up in China. Accordingly the Singapore Company has provided for the diminution in the value of its investments in the China Company and Company being the Ultimate Holding Company has also provided Rs. 1,002.81 lacs towards the diminution in the value of investment in the Singapore Company.

10. The State Pollution Control Board, Odisha (the "Board"), vide its letter dated 22.07.2014, had directed the Company to close the plant located at Paradeep until certain additional pollution control devices are installed to further strengthen the pollution control measures undertaken by the unit. As directed by the Board the Company shut down the plant from 22.07.2014 to 06.02.2015. The Company completed the installation of additional pollution control equipments, and the Board vide its order dated 03.02.2015 has kept in abeyance its closure order for a period of 3 months from the date of consent to operate the plant. The Regional officer, Pollution Control Board vide his letter dated 06.02.2015 gave consent to operate the Plant and Paradeep unit has recommenced its production from 06.02.2015.

11. Previous year''s figures have been regrouped wherever necessary, to conform with the current year''s disclosures.


Mar 31, 2014

1 Corporate information

the company is in the business of manufacture and sale of calcined petroleum coke in its manufacturing facilities at goa, paradeep and Bilaspur.

Rs. in lacs As at as at 2. Contingent Liabilities: 31 March 31 march (Claims against the Company not acknowledged as debts) 2014 2013 i) Disallowance of Cenvat Credit and Educational Cess on purchase of raw materials 90 19 90 19

ii) income tax demands under appeal 1,954.55 1,658.21

iii) the company''s appeal to the high court of Bombay at goa against the order of the Income Tax Appellate Tribunal which had confirmed the disallowance of the deduction under section 80hhc of the income tax act, 1961 for assessment years 1993-94 to 2004-05 was allowed by the High Court vide its order dated 21.10.2010. The disputed amount of tax and interest paid amounting to Rs.963.68 lacs (after adjusting the refund of Rs.454.66 lacs received) is included under Other Non-Current Assets.The income tax department has fled a Special Leave petition before the Supreme Court praying for ex-parte stay of the aforementioned order of the high court. the petition is yet to be admitted.

The above amounts are based on the notice of demand or the assessment orders or notification by the relevant authorities, as the case may be, and the Company is contesting these claims with the respective authorities. Outflows, if any, arising out of these claims would depend on the outcome of the decisions of the appellate authorities and the company''s rights for future appeals before the Judiciary. No reimbursements are expected.

3. Excise duty on sales for the year has been disclosed as reduction from Revenue from operations. Excise duty relating to the difference between the closing stock and the opening stock of finished goods has been included in Note - 25 "other expenses"

4. Dues to Micro and Small Enterprises have been determined to the extent such parties have been identified on the basis of information collected by the management. this has been relied upon by the auditors. amount outstanding but not due as at the year end Rs.0.07 lacs (Previous year Rs.Nil)

5. Derivative instruments:

The Company enters into forward contracts which are not intended for trading or speculative purposes, but for hedging.

6. Employee benefit plans

a) Defined benefit plans:

i) The following table sets out the status of the gratuity plan (included as part of "Contribution to provident and other funds" in Note 23 Employee benefit expenses) as required under AS-15 (Revised):

iii) Actuarial valuation relating to interest rate guarantee on exempt provident fund has resulted in an additional charge of ^11.41 lacs (Previous yearRs.2 lacs) during the year.

b) Defined contribution plans:

a sum of Rs.35.47 lacs (Previous year Rs.33.09 lacs) has been charged to the statement of profit and loss in respect of Company''s contribution to superannuation fund and provident and pension fund for Paradeep and Bilaspur unit employees.

7. Segment reporting:

the company is engaged in manufacture and sale (both domestic and export) of calcined petroleum coke which constitutes single business segment. As per management''s perspective, the risks and returns from its sales do not materially vary geographically. accordingly there are no other business / geographical segments to be reported under accounting standard (as) 17.

8. Disclosures in respect of Related Parties pursuant to Accounting Standard (AS) 18. i) List of related parties:

Names of the related parties and nature of relationship a holding company:

V. S. Dempo Holdings Private Limited b subsidiaries:

gcl global resources sgp pte ltd, singapore

goa carbon (cangzhou) company ltd, prc c Fellow Subsidiaries (with whom transactions have taken place during the year):

Aparant Iron & Steel Pvt. Ltd.

Dempo Sports Club Pvt. Ltd

Dempo Industries Pvt. Ltd.

Dempo Travels Pvt. Ltd.

Marmagoa Shipping & Stevedoring Co. Pvt. Ltd.

Motown Investments Pvt. Ltd. d Individual who is able to exercise significant influence:

Mr. Shrinivas V. Dempo (Chairman) e Enterprises over which Mr Shrinivas V. Dempo is able to exercise significant influence:

dempo cricket club

dempo charities trust

Devashri Nirman LLP.

Vasantrao dempo education and research foundation f Key management personnel:

Mr Jagmohan J. Chhabra (Executive Director)

9 There are no amounts due and payable to Investor Education and Protection Fund.

10 the company''s wholly owned step down subsidiary company "goa carbon (cangzhou) company limited" china (the "China Company'''') has obtained a business licence to set up a plant in Cangzhou, Hebei Province, the People''s Republic of China, with an annual capacity to manufacture 3,00,000 MT of Calcined Petroleum Coke. The Company has invested Usd 3.48 million (Rs.1,938.62 lacs) in its wholly owned subsidiary "gcl global resources sgp pte limited" singapore (the "Singapore Company") which is the holding company of the China Company and granted advances of Rs.190.86 lacs to the China Company. The Singapore Company has in turn invested this money in 3,329,983 Equity Shares of USD 1 each to the authorised capital of the china company which is being used for the purpose of setting up of the plant in china. the required approvals have been obtained for the project from the Chinese administration. The Company is now pursuing with their bankers and the Reserve Bank of India for further funding and appropriate approvals. The Company is hopeful of suc- cessful completion of the project within a year of obtaining the aforesaid approvals.

11 Previous year''s figures have been regrouped wherever necessary, to conform with the current year''s disclosures.


Mar 31, 2013

1 Corporate information

The Company is in the business of manufacture and sale of Calcined Petroleum Coke in its manufacturing facilities at Goa, Paradeep and Bilaspur.

i) The Company''s appeal to the High Court of Bombay at Goa against the order of the Income Tax Appellate Tribunal which had confirmed the disallowance of the deduction under section 80HHC of the Income Tax Act, 1961 for Assessment Years 1993-94 to 2004-05 was allowed by the High Court vide its order dated 21.10.2010. The disputed amount of tax and interest paid amounting to Rs.963.68 lacs (after adjusting the refund of Rs.454.66 lacs received) is included under Other Non Current Assets. The income tax department has filed a Special Leave petition before the Supreme Court praying for ex-parte stay of the aforementioned Order of the High Court. The petition is yet to be admitted.

The above amounts are based on the notice of demand or the assessment orders or notification by the relevant authorities, as the case may be, and the Company is contesting these claims with the respective authorities. Outflows, if any, arising out of these claims would depend on the outcome of the decisions of the appellate authorities and the Company''s rights for future appeals before the Judiciary. No reimbursements are expected.

2 Dues to Micro and Small Enterprises have been determined to the extent such parties have been identified on the basis of information collected by the Management. This has been relied upon by the auditoRs.

3 Derivative instruments:

The Company enters into forward contracts which are not intended for trading or speculative purposes, but for hedging.

Actuarial valuation relating to interest rate guarantee on exempt provident fund has resulted in an additional

iii) charge of <2.00 lacs during the year.

b) Defined contribution plans:

A sum of Rs.33.09 lacs (Previous year Rs.29.72 lacs) has been charged to the statement of profit and loss in respect of Company''s contribution to superannuation fund and provident and pension fund for Paradeep and Bilaspur unit employees.

4 Segment reporting:

The Company is engaged in manufacture and sale (both domestic and export) of Calcined Petroleum Coke which constitutes single business segment. As per management''s perspective, the risks and returns from its sales do not materially vary geographically. Accordingly there are no other business / geographical segments to be reported under Accounting Standard (AS) 17.

5 Disclosures in respect of Related Parties pursuant to Accounting Standard (AS) 18. i) List of related parties:

Names of the related parties and nature of relationship a Holding Company:

V. S. Dempo Holdings Pvt. Ltd b Subsidiaries:

GCL Global Resources SGP Pte Ltd, Singapore

Goa Carbon (Cangzhou) Company Ltd, PRC c Fellow Subsidiaries (with whom transactions have taken place during the year):

Aparant Iron & Steel Pvt. Ltd.

Dempo Sports Club Pvt. Ltd

Dempo Industries Pvt. Ltd.

Dempo Travels Pvt. Ltd.

Marmagoa Shipping & Stevedoring Co. Pvt. Ltd. d Individual who is able to exercise significant influence:

Mr. Shrinivas V. Dempo (Chairman) e Enterprises over which Mr Shrinivas V. Dempo is able to exercise significant influence:

Dempo Cricket Club

Dempo Charities Trust

Devashri Nirman

Motown Investments Pvt. Ltd.

Vasantrao Dempo Education and Research Foundation f Key Management Personnel:

Mr Jagmohan J. Chhabra (Executive Director)

6 Miscellaneous expenses include donation aggregating Rs. 2.50 lacs (Previous year Rs. Nil) made to Bharatiya Janata Party, being contribution to a Political Party.

7 There are no amounts due and payable to Investor Education and Protection Fund.

8 The Company''s wholly owned step down subsidiary company "Goa Carbon (Cangzhou) Company Limited" China (the "China Company") has obtained a business licence to set up a plant in Cangzhou, Hebei Province, the People''s Republic of China, with an annual capacity to manufacture 3,00,000 MT of Calcined Petroleum Coke. The Company has remitted USD 2.55 million (Rs.1,396.99 lacs) to its wholly owned subsidiary "GCL Global Resources SGP Pte Limited" Singapore (the "Singapore Company") which is the holding company of the China Company. The Singapore Company has correspondingly subscribed 1,999,953 Equity Shares of USD 1 each to the authorised capital of the China Company which will be used for the purpose of setting up of the plant in China.

9 Previous year''s figures have been regrouped wherever necessary, to conform with the current year''s disclosures.


Mar 31, 2012

1 Corporate information

The Company is in the business of manufacture and sale of Calcined Petroleum Coke in its manufacturing facilities at Goa, Paradeep and Bilaspur.

Rs.in lacs

As at As at 2 Contingent Liabilities : 31 March 31 March (Claims against the Company not acknowledged as debts) 2012 2011

i) Disallowance of Cenvat Credit and Educational Cess on purchase of 90.19 90.19 raw materials

ii) Income tax demands under appeal. 1,396.69 -

iii) The Company's appeal to the High Court of Bombay at Goa against the order of the Income Tax Appellate Tribunal which had confirmed the disallowance of the deduction under section 80HHC of the Income Tax Act, 1961 for Assessment Years 1993-94 to 2004-05 was allowed by the High Court vide its order dated 21.10.2010. The disputed amount of tax and interest paid amounting to Rs.1,303.71 lacs (after adjusting the refund of Rs.114.62 lacs received in respect of six years) is included under Other Current Assets. The income tax department has filed a Special Leave petition before the Supreme Court praying for ex-parte ; stay of the aforementioned Order of the High Court. The petition is yet to be admitted. The company has been legally advised that since the issue relates to a question of fact and not of law a favourable decision can be reasonably expected within the course of the year.

The above amounts are based on the notice of demand or the assessment orders or notification by the relevant authorities, as the case may be, and the Company is contesting these claims with the respective authorities.

Outflows, if any, arising out of these claims would depend on the outcome of the decisions of the appellate authorities and the Company's rights for future appeals before the Judiciary. No reimbursements are expected.

3 Excise duty on sales for the year has been disclosed as reduction from Revenue from operations. Excise duty relating to the difference between the closing stock and the opening stock of Finished goods has been included in Note - 26 "Other Expenses"

4 Dues to Micro and Small Enterprises have been determined to the extent such parties have been identified on the basis of information collected by the Management. This has been relied upon by the auditors.

Actuarial valuation relating to interest rate guarantee on exempt provident fund has resulted in an additional charge of Rs. 28.65 lacs during the year.

b) Defined contribution plans:

A sum of Rs. 46.31 lacs (Previous year Rs. 66.08 lacs) has been charged to the statement of profit and loss in respect of Company's contribution to superannuation fund and provident and pension fund for Paradeep and Bilaspur unit employees.

5 Segment reporting:

The Company is engaged in manufacture and sale (both domestic and export) of Calcined Petroleum Coke which constitutes single business segment. As per management's perspective, the risks and returns from its sales do not ; materially vary geographically. Accordingly there are no other business / geographical segments to be reported under Accounting Standard (AS) 17.

6 Disclosures in respect of Related Parties pursuant to Accounting Standard (AS) 18. i) List of related parties:

Names of the related parties and nature of relationship a Holding Company:

V. S. Dempo Holdings Pvt. Ltd b i Wholly Owned Subsidiary Company:

I GCL Global Resources SGP Pte Ltd, Singapore c Fellow Subsidiaries (with whom transactions have taken place during the year):

Dempo Industries Pvt. Ltd.

: Marmagoa Shipping & Stevedoring Co. Pvt. Ltd.

Dempo Travels Pvt. Ltd. i Aparant Iron & Steel Pvt. Ltd.

; Hindustan Foods Ltd Dempo Sports Club Pvt. Ltd : d Individual who is able to exercise significant influence:

Mr. Shrinivas V. Dempo (Chairman) e Enterprises over which Mr Shrinivas V. Dempo is able to exercise significant influence:

Motown Investments Pvt. Ltd.

Devashri Nirman ; Dempo Charities Trust

Vasantrao Dempo Education and Research Foundation f Key Management Personnel:

Mr. Jagmohan J. Chhabra (Executive Director)

7 The Company together with its wholly owned subsidiary "GCL Global Resources SGP Pte Ltd" Singapore has entered into a Joint Venture Agreement with Sinoway International Holdings Ltd, Hong Kong to form a Joint Venture Company (the "JV Company") in Hong Kong with the intention to set up a wholly owned subsidiary in the Peoples Republic of China for the manufacture of 2,80,000 MT per annum of Calcined Petroleum Coke. The Joint Venture Partners have mutually agreed to terminate the joint venture Agreement due to practical difficulties in complying with the regulatory requirements in China.

8 GCL Global Resources SGP Pte Limited became a subsidiary of the Company on 05.08.2009 with an investment of Rs. 0.05 lacs in 100 equity shares of USD 1 each. However the subsidiary has not commenced any operations.

9 ; These financial statements have been prepared in the format prescribed by the Revised Schedule VI to the ; Companies Act, 1956 as notified by the Government of India on 28th February 2011.This has significantly impacted the disclosure and presentation made in the financial statements. Previous year's figures have been recast and reclassified wherever necessary, to correspond with the current year's classification/disclosure.


Mar 31, 2011

Rs. in lacs

I. Contingent Liabilities : (Claims against the Company not acknowledged as debts) 31.3.2011 31.3.2010

i) Demurrage claim (under arbitration). - 81.64

ii) Disallowance of Cenvat Credit and Educational Cess on purchase of raw materials 90.19 90.19

iii) Demand of Central Excise Duty on loading and unloading charges reimbursed by the Customers. - 1.89

iv) Demand towards CST - 694.85

v) The Company's appeal to the High Court of Bombay at Goa against the order of the - 1,41834 Income Tax Appellate Tribunal which had confirmed the disallowance of the deduction under section 80HHC of the Income Tax Act, 1961 for Assessment Years 1993-94 to 2004-05 was allowed by the High Court vide its order dated 21.10.2010.The disputed amount of tax and Interest paid amounting to Rs. 1,412.20 lacs (after adjusting the refund of Rs. 6.15 lacs received during the year in respect of two years) is included under Loans and Advances.The Company will account for the interest as and when the orders are received.

The above amounts are based on the notice of demand or the assessment orders or notification by the relevant authorities, as the case may be & the Company is contesting these claims with the respective authorities. Outflows, if any, arising out of these claims would depend on the outcome of the decisions of the appellate authorities & the Company's rights for future appeals before the Judiciary. No reimbursements are expected.

2. Excise duty on sales for the year has been disclosed as reduction from the Turnover. Excise duty relating to the difference between the closing stock and the opening stock of Finished goods has been included in Schedule 14- "Manufaciuring and Other Expenses".

3. The useful life of computer equipments and mobile phones of the Company has been reviewed by the management and the original estimate of the usefull life of these assets has been revised to three years and one year respectively.The unamorised depreciable amount is charged over the revised remaining useful life of these assets, Consequently, depreciation for the year ended March 31,2011 is higher and the profit before tax for the period is lower by Rs. 6.29 lacs.

4. There have been no dues payable to Micro, Small and Medium Enterprises during the year or as at the year end requiring disclosures under Schedule VI of the Companies Act, 1956 and the Micro, Small and Medium Enterprises Development Act 2006 (MSMED Act 2006). This information has been compiled in respect of parties to the extent they could be identified as micro or small enterprises on the basis of intimation received from suppliers regarding their status under the MSMED Act 2006,

5. Employee benefit obligations

a) Defined Benefit Plans;

The Company offers its employees defined benefit plans in the form of gratuity scheme. Gratuity Scheme covers all employees as statutorily required under Payment of Gratuity Act 1972.The Company Contributes funds to Life Insurance Corporation of India and ICICI Prudential Life Insurance Company Ltd, Which is irrevocable. Commitments are actuarially determined at the year end.The actuarial valuation is done based on the "Projected Unit Credit' method.

The estimate of future salary increases considered in the actuarial valuation, take into account inflation, seniority, promotions, increments and other related factors such as supply and demand in the employment market.

The contributions expected to be made by the Company during the financial year 2011-12 are Rs. 44.82 lacs.

b) Defined Contribution Plans:

The Company offers its employees under defined contribution plans in the form of provident fund family pension fund and superannuation fund that covers substantially all regular employees.Contributions are paid during the year into separate funds under certain statutory/fiduciary type arrangements. While both the employees and the Company pay predetermined contributions into the provident fund and pension fund, the contribution to superannuation fund are made only by the company.The contributions are normally based an a certain portion of employee's Salary,

6. Segment reporting:

The Company is engaged in manufacture and sale (both domestic and export) of Calcined Petroleum Coke which constitutes single business segment. As per management's perspective, the risks and returns from its sales do not materially vary geographically. Accordingly there are no other business / geographical segments to be reported under Accounting Standard (AS) 17.

7. Disclosures in respect of Related Parties pursuant to Accounting Standard (AS) 18.

i) List of related parties:

Names of the related parties and nature of relationship

a Holding Company:

V. S. Dempo Holdings Pvt. Ltd (formerly Esmeralda investments Pvt. Ltd)

b Wholly Owned Subsidiary Company:

GCL Global 5GP Pte Ltd, Singapore

c Fellow Subsidiaries (with whom transactions have taken place during the year):

Dempo Industries Pvt. Ltd.

Marmagoa Shipping & Stevedoring Pvt. Ltd.

Dempo Travels Pvt. Ltd.

Aparant Iron & Steel Pvt Ltd.

Hindustan Foods Ltd

d Individual who is able to exercise significant influence:

Mr. Shrinivas V Dempo (Chairman)

e Enterprises over which Mr Shrinivas V. Dempo is able to exercise significant influence:

Motown Investments Pvt. Ltd.

Devashri Nirman (formerly Devashri Real Estate Developers)

Vasantrao Dempo Education and Research Foundation

Key Management Personnel:

Mr Jagmohan J.Chhabra (Executive Director)

8. The Company together which is wholly owned subsidiary "GCL Global Resources SGP PTE Ltd" Singapre has entered into a Joint Venture Agreement with Sinoway International Holdings Ltd. Hong Kong to term a Joint Venture Company ( the " JV Company" ) in Hong Kong.The JV Company will set up a wholly owned subsidiary in the Peoples Republic at China for the manufacture of 2,80,000 MT per annum of Calcined Petroleum Coke.

9. GCL Global Resources SGP PTE Limited become a subsidiary of the Company on 05.08.2009 with an investment oF Rs. 0.05 Lacs in 100 equity shares of USD I each. However the subsidiary has not commented any operations. Since the investment is insignificant and there have been no activities, consolidated financial Statements have not been prepared as per Accouting Standard 21.

10. Previous year figures have been regrouped wherever necessary to confirm to the classification of the year.




Mar 31, 2010

1. Contingent Liabilities: As at As at 31-3-2010 31-3-2009

i) Demurrage claim (under arbitration). 81.64

ii) Disallowance of Cenvat Credit and Educational Cess on purchase of raw 90.19 90.19 materials

iii) Demand of Central Excise Duty on loading and unloading charges 1.89 1.89 _reimbursed by the Customers

iv) Demand towards Entry Tax on purchases - 49.21

v) Demand towards Sales Tax on finished goods - 230.98

vi) Demand towards CST 694.85 745.27

vii) Disallowance of claim for deduction under Section 80HHC of the Income Tax 1,418.34 1,410.64

Act, 1961. The Company has been advised by its tax counsel that it has a fairly good case. The amount of Rs.1418.34 lacs (Previous Year Rs.1410.64 lacs) paid against the above claim is included under Loans and Advances

(Schedule9).

viii) Other Income tax demands - 114.96

The above amounts are based on the notice of demand or the assessment orders or notification by the relevant authorities, as the case may be, and the Company is contesting these claims with the respective authorities. Outflows, if any, arising out of these claims would depend on the outcome of the decisions of the appellate authorities and the Companys rights for future appeals before the Judiciary. No reimbursements are expected.

2. Excise duty on sales for the year has been disclosed as reduction from the Turnover. Excise duty relating to the difference between the closing stock and the opening stock of Finished goods has been included in Schedule 14 - "Manufacturing and Other Expenses".

3. Additional information pursuant to the provisions of paragraph 3, 4C, and 4D of Part II of Schedule VI to the Companies Act, 1956.

4. Segment Reporting:

The Company is engaged in manufacture and sale (both domestic and export) of Calcined Petroleum Coke which constitutes single business segment. As per managements perspective, the risks and returns from its sales do not materially vary geographically. Accordingly there are no other business / geographical segments to be reported under Accounting Standard (AS) 17.

 
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