Home  »  Company  »  Jetking Infotrain Lt  »  Quotes  »  Notes to Account
Enter the first few characters of Company and click 'Go'

Notes to Accounts of Jetking Infotrain Ltd.

Mar 31, 2017

b) Terms I rights attached to equity shares

The Company has only one class of equity shares having a par value of Rs.10 per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividend 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 of the liquidation of the Company, the holder of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

1. Contingent liabilities not provided for in respect of:

a) Claims against the Company not acknowledged as debts amounting to Rs. 19,445 (Previous year Rs. 384,495).

b) Disputed service tax demand (net of provision of Rs. 16,758,179, previous year Rs. 16,758,179) aggregating to Rs. 38,718,205 (Previous year Rs. 3,274,137) against which the Company has preferred an appeal. The Company has deposited up to 31 March 2017 Rs. 14,643,824 (Previous year Rs. 12,730,783) under protest.

c) Disputed Income Tax demand aggregating to Rs. 7,458,870 (Previous year Rs. 9,233,710) against which the Company has preferred Appeal / for rectification of mistakes u/s 154 of the Income Tax Act 1961. Based on the interpretation of the provisions of the Income Tax Act, 1961, the management is of the opinion that the demand is likely to be either deleted or substantially reduced and accordingly no provision has been made.

2. Commitments

a) Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advances) Rs. 2,157,802 (Previous year Rs. 13,131,186).

b) Uncalled capital commitment in respect of investment in Real Estate Funds Rs. 6,750,000 (Previous year Rs. 10,400,000).

3. Disclosure under (AS) -15 (Revised 2005):

The Company has provided gratuity based on actuarial valuation done as per Projected Unit Credit Method.

i) Retirement benefits in the form of provident fund are a defined contribution scheme and the contributions are charged to the Statement of Profit and Loss of the year when the contributions to the respective funds are due. There are no other obligations other than the contribution payable to the respective trusts.

ii) Gratuity liability is a defined benefit obligation and has been provided on the basis of an actuarial valuation made at the end of each financial year.

The Company has classified the various benefits provided to employees as under:

II. Defined benefit plan:

The Company makes annual contributions to the Employees’ Group Gratuity of the Life Insurance Corporation (LIC), a funded defined benefit plan for qualifying employees. Gratuity is payable to all eligible employees on superannuation, death or on separation/termination in terms of the provisions of the Payment of Gratuity Act or as per the Company’s policy whichever is beneficial to the employees.

The following table sets out the amounts recognized in the Company’s financial statements as at 31 March 2017.

The estimates of future salary increases, considered in actuarial valuation, take into account inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment market.

f) Amount recognized in current year and previous four years:-

The expected return on plan assets is determined considering several applicable factors mainly the composition of the plan assets held, assessed risks of asset management, historical results of the return on plan assets.

g) The expected contribution for Defined Benefit Plan for the next financial year will be in line with FY 2016-17.

4. Segment reporting:

The Company operates in a single primary business segment i.e. “IT Training in Hardware and Networking”. Hence, there are no reportable segments as per Accounting Standard (AS) -17 “Segment Reporting”. The secondary segment, i.e. ‘geographical segments by location of customers’ is given below:

Notes:

5. The related party relationships have been determined on the basis of the requirements of the Accounting Standard (AS) - 18 “Related Party Disclosures” and the same have been relied upon by the Auditors.

6. The relationships as mentioned above pertain to those related parties with whom transactions have taken place during the year, except where control exists.

Note: As the future liability for gratuity is provided on an actuarial basis for the Company as a whole, the amount pertaining to the key management personnel and their relatives is not ascertainable and, therefore, not included above.

# The Company has made the payment of remuneration to directors amounting to Rs. 20,709,534 (previous year Rs. 20,709,534). However, in the view of inadequacy of profits, the Company had made the payment of remuneration in accordance with the approval received from the Central Government.

7. Leases:

a. The Company has taken various office premises under operating lease that are renewable on a periodic basis at the option of both the lessor and lessee.

b. The future minimum lease payments as per the operating lease under non-cancellable lease terms are as follows:

The amount of minimum lease payments with respect to operating lease recognized in the statement of profit and loss for the year is Rs. 7,962,195 (previous year Rs. 11,678,295).

Above disclosure is for leases entered after 1 April 2001, as per Accounting Standard (AS) -19 ‘Leases’.

8. There is no impairment loss on fixed assets on the basis of review carried out by the management in accordance with Accounting Standard (AS) - 28 “Impairment of Assets”.

9. Foreign currency exposures that are not hedged by derivative instruments as at 31 March 2017 is as follows:

Figures in bracket are for the previous year.

10. Income and Expenditure in foreign currency:

a) Income in foreign currency: (On accrual basis)

11. a) In the opinion of management, current assets, loans and advances have a value on realization in the ordinary course of business at least equal to the amount at which they are stated in the balance sheet. The provision for depreciation and all known liabilities is adequate and not in excess of the amount reasonably stated.

b) Balances of certain trade receivables, trade payables and advances given are subject to confirmation / reconciliation, if any. The management does not expect any material difference affecting the financial statements on such reconciliation / adjustments.

12. DISCLSOURE ON SPECIFIED BANK NOTES (SBNs)

During the year, the Company had specified bank notes or other denomination note as defined in the MCA notification G.S.R. 308(E) dated March 31, 2017 on the details of Specified Bank Notes (SBN) held and transacted during the period from November 8, 2016 to December, 30 2016, the denomination wise SBNs and other notes as per the notification is given below:

* represents amounts received from the students as training fees at Company’s own centers, which are not permitted receipts.

For the purposes of this clause, the term ‘Specified Bank Notes’ shall have the same meaning provided in the notification of the Government of India, in the Ministry of Finance, Department of Economic Affairs number S.O. 3407(E), dated the 8th November, 2016.

13. During the previous year, the Company had filed an arbitration proceeding against a Broker/Sub-broker for an unauthorized trade taken place in NSE F&O segment for an aggregate amount of Rs. 3,677,269. The Company has preferred an appeal before the Hon’ble Arbitral Tribunal of the National Stock Exchange of India Limited (Mumbai Regional Centre) on 24 May 2016. The Order has been received in favour of the Company. Subsequent to the Order, the Broker/Sub-broker has filed an appeal in Hon’ble High Court against the Order of Arbitral Tribunal. The appeal has been admitted and the Hon’ble High Court has given the liberty to apply for final hearing after Diwali vacation 2017. Necessary adjustments will be made, if required in books of account based on outcome of High Court proceedings in the matter.

14. Previous year figures have been regrouped or rearranged, wherever considered necessary to conform with the current year’s presentation.


Mar 31, 2015

1) Terms / rights attached to Equity shares

The Company has only one class of equity shares having a par value of RS.10 per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividend 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.

During the year ended 31 March 2015, the amount of per share dividend recognised as distributions to equity shareholders is Re. 1 ; (Previous year Re.1).

In the event of the liquidation of the Company, the holder of equity shares will be entitled to received remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

2. Contingent liabilities not provided for in respect of:

a. Disputed service tax demand (net of provision of RS. 16,758,179, previous year RS. 16,758,179) aggregating to RS. 3,274,137 (As at March 31, 2014 RS. 3,274,137) against which the Company has preferred an appeal. The Company has deposited upto March 31,2015 RS. 11,116,486 (Upto March 31, 2014 RS. 11,116,486) under protest.

b. Disputed Income Tax demand aggregating to RS. 1,774,480 (As at March 31,2014 RS. 4,181,536) against which the Company has preferred an Appeal / for rectification of mistakes under Section 154 of the Income Tax Act, 1961. The Company has adjusted refund upto March 31,2015 RS. Nil (As at March 31, 2014 RS. 2,006,116). Based on the interpretation of the provisions of the Income Tax Act, 1961, the management is of the opinion that the demand is likely to be either deleted or substantially reduced and accordingly no provision has been made.

c. Disputed TDS demand aggregating to RS. Nil (As at March 31, 2014 RS. 145,020) against which the Company has preferred for filling a revised return. Based on the interpretation of the provisions of the Income Tax Act, 1961, the management is of the opinion that the demand is likely to be either deleted or substantially reduced and accordingly no provision has been made.

3. Commitments

a) Estimated amount of contracts remaining to be executed on capital account not provided for (net of advances) RS. 7,056,210 (Previous year RS. 9,207,578).

b) Uncalled capital commitment in respect of investment in IDFC Real Estate Yield fund RS. 7,350,000 (Previous year RS. 13,500,000)

c) Uncalled capital commitment in respect of investment in ASK Real Estate Special Opportunities Fund -II fund RS. 9,500,000 (Previous year RS. Nil)

4. Disclosure under (AS) -15 (Revised 2005):

The Company has provided gratuity based on actuarial valuation done as per Projected Unit Credit Method.

i) Retirement benefits in the form of Provident Fund are a defined contribution scheme and the contributions are charged to the Statement of Profit and Loss of the year when the contributions to the respective funds are due. There are no other obligations other than the contribution payable to the respective trusts.

ii) Gratuity liability is defined benefit obligation and is provided for on the basis of an actuarial valuation made at the end of each financial year.

5. Defined benefit plan:

The Company makes annual contributions to the Employees'' Group Gratuity of the Life Insurance Corporation (LIC), a funded defined benefit plan for qualifying employees. Gratuity is payable to all eligible employees on superannuation, death or on separation / termination in terms of the provisions of the Payment of Gratuity Act or as per the Company''s policy whichever is beneficial to the employees.

6. The Company has made the payment of remuneration to directors amounting to RS. 20,602,776. However, in the view of inadequacy of profits the Company has made the payment of remuneration amounting to RS. 18,616,930 from 1 April 2014 to 24 February 2015 in accordance with the approval received from the Central Government. Remuneration amounting to RS. 1,985,846 for the balance period i.e. 25 February 2015 to 31 March 2015 is paid, for which the Company is in process of making an application to Central Government for approval.

7. Leases:

a. The Company has taken various office premises under operating lease that are renewable on a periodic basis at the option of both the lessor and lessee.

8. There is no impairment loss on fixed assets on the basis of review carried out by the management in accordance with Accounting Standard (AS) - 28 "Impairment of Assets".

9. a. In the opinion of management, current assets, loans and advances have a value on realization in the ordinary course of business at least equal to the amount at which they are stated in the balance sheet. The provision for depreciation and all known liabilities is adequate and not in excess of the amount reasonably stated.

b. Balances of certain trade receivables, trade payables and advances given are subject to confirmation / reconciliation, if any. The management does not expect any material difference affecting the financial statements on such reconciliation / adjustments.

10. Previous year figures have been regrouped or rearranged, wherever considered necessary to conform with the current years presentation.


Mar 31, 2014

1. Contingent liabilities not provided for in respect of:

a. Disputed service tax demand (net of provision of Rs. 16,758,179, previous year Rs. 16,758,179) aggregating to Rs. Nil (As at March 31, 2013 Rs. Nil) against which the Company has preferred an appeal. The Company has deposited upto March 31, 2014 Rs. 12,730,783 (Upto March 31, 2013 Rs. 12,730,783) under protest.

b. Disputed Income Tax demand aggregating to Rs. 4,181,536 (As at March 31, 2013 Rs. Nil) against which the Company has preferred an Appeal / for rectification of mistakes under Section 154 of the Income Tax Act, 1961. The Company has adjusted refund upto March 31, 2014 Rs. 2,006,116 (As at March 31, 2013 Rs. Nil) Based on the interpretation of the provisions of the Income Tax Act, 1961, the management is of the opinion that the demand is likely to be either deleted or substantially reduced and accordingly no provision has been made.

c. Disputed TDS demand aggregating to Rs. 145,020 (As at March 31, 2013 Rs. Nil) against which the Company has preferred for filling a revised return. Based on the interpretation of the provisions of the Income Tax Act, 1961, the management is of the opinion that the demand is likely to be either deleted or substantially reduced and accordingly no provision has been made.

2. Commitments

a) Estimated amount of contracts remaining to be executed on capital account not provided for (net of advances) Rs. 9,207,578 (Previous year Rs. 12,894,139).

b) Uncalled capital commitment in respect of investment in IDFC Real Estate Yield fund Rs. 13,500,000 '' (Previous year Rs. Nil)

3. a. In the opinion of management, current assets, loans and advances have a value on realization in the ordinary course of business at least equal to the amount at which they are stated in the balance sheet. The provision for depreciation and all known liabilities is adequate and not in excess of the amount reasonably stated.

b. Balances of certain trade receivables, trade payables and advances given are subject to confirmation / reconciliation, if any. The management does not expect any material difference affecting the financial statements on such reconciliation /adjustments.

4. Disclosure under (AS) -15 (Revised 2005):

The Company has provided leave encashment and gratuity based on actuarial valuation done as per Projected Unit Credit Method.

i) Retirement benefits in the form of Provident Fund are a defined contribution scheme and the contributions are charged to the Statement of Profit and Loss of the year when the contributions to the respective funds are due. There are no other obligations other than the contribution payable to the respective trusts.

ii) Gratuity and leave encashment liability are defined benefit obligation and are provided for on the basis of an actuarial valuation made at the end of each financial year.

II. Defined benefit plan:

The Company makes annua contributions to the Employees'' Group Gratuity of the Life Insurance Corporation (LIC), a funded defined benefit plan for qualifying employees. Gratuity is payable to all eligible employees on superannuation, death or on separation/termination in terms of the provisions of the Payment of Gratuity Act or as per the Company''s policy whichever is beneficial to the employees.

The following table sets out the amounts recognized in the Company''s financial statements as at 31 March 2014.

The estimates of future salary increases, considered in actuarial valuation, take into account inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment market.

The expected return on plan assets is determined considering several applicable factors mainly the composition of the plan assets held, assessed risks of asset management, historical results of the return on plan assets.

5. Segment reporting:

The Company operates in a single primary business segment i.e. "IT Training in Hardware and Networking". Hence, there are no reportable segments as per Accounting Standard (AS) - 17 "Segment Reporting" notified by Companies (Accounting Standards) Rules, 2006. The Company does not have any reportable geographical segment.

6. In the view of inadequacy of profits during the year, remuneration paid/payable to directors, amounting to Rs. 19,253,534 is in accordance with the approval received from the Central Government.

7. Leases:

a. The Company has taken various office premises under operating lease that are renewable on a periodic basis at the option of both the lessor and lessee.

8. There is no impairment ions on fixed assets on the basis of review carried out by the management in accordance with Accounting Standard (AS) - 28 "Impairment of Assets" notified by Companies (Accounting Standards) Rules, 2006.


Mar 31, 2013

1. Contingent liabilities not provided for in respect of:

Disputed service tax demand (net ot provision of Rs. 16,758,179, previous year Rs. 23,259,590) aggregating to Rs. Nil (As at March 31, 2012 Rs. Nil) against which the Company has preferred an appeal. The Company has deposited upto March 31, 2013 Rs. 12,730,784 (Upto March 31, 2012 Rs. 12,730,784) under protest.

2. Commitments

a. Estimated amount of contracts remaining to be executed on capital account not provided for (net of advances) Rs. 12,894,139 (Previous year Rs. 11,259,050).

b. Other commitments Rs. NIL (Previous year Rs. 10,865,956) in respect of digitization work.

3. a. In the opinion of management, current assets, loans and advances have a value on realization in the ordinary course of business at least equal to the amount at which they are stated in the balance sheet. The provision for depreciation and all known liabilities is adequate and not in excess of the amount reasonably stated.

b. Balances of certain trade receivables, trade payables and advances given are subject to confirmation / reconciliation, if any. The management does not expect any material difference affecting the financial statements on such reconciliation / adjustments.

4. Disclosure under (AS) -15 (Revised 2005):

The Company has provided leave encashment and gratuity based on actuarial valuation done as per Projected Unit Credit Method.

i) Retirement benefits in the form of Provident Fund are a defined contribution scheme and the contributions are charged to the Statement of Profit and Loss of the year when the contributions to the respective funds are due. There are no other obligations other than the contribution payable to the respective trusts.

ii) Gratuity and leave encashment liability are defined benefit obligation and are provided for on the basis of an actuarial valuation made at the end of each financial year.

The Company has classified the various benefits provided to employees as under:

I. Defined contribution plans:

Contributions to defined contribution plans recognized as expense for the year are as under:

II. Defined benefit plan:

The Company makes annual contributions to the Employees'' Group Gratuity of the Life Insurance Corporation (LIC), a funded defined benefit plan for qualifying employees. Gratuity is payable to all eligible employees on superannuation, death or on separation/termination in terms of the provisions of the Payment of Gratuity Act or as per the Company''s policy whichever is beneficial to the employees.

5. Segment reporting:

The Company operates in a single primary business segment i.e. "IT Training in Hardware and Networking". Hence, there are no reportable segments as per Accounting Standard (AS) - 17 "Segment Reporting" notified by Companies (Accounting Standards) Rules, 2006. The Company does not have any reportable geographical segment.

6. In view of inadequacy of profits for the year 2012-13, remuneration paid/payable to directors, which is in excess by Rs. 13,627,245 of the limits prescribed under Section 198 read with Schedule XIII of the Companies Act, 1956 which is subject to the approval of the Central Government. Pending approval of the Central Government, an amount of Rs. 13,214,945 being excess remuneration paid in the year 2012-13 is being held in trust by the directors. Subsequent to the year end, the Company has made an application to the Central Government for the approval and approval is still awaited.

7. Leases:

a. The Company has taken various office premises under operating lease that are renewable on a periodic basis at the option of both the lessor and lessee.

b. The future minimum lease payments as per the operating lease under non-cancellable lease terms are as follows:

8. There is no impairment loss on fixed assets on the basis of review carried out by the management in accordance with Accounting Standard (AS) - 28 "Impairment of Assets" notified by Companies (Accounting Standards) Rules, 2006.

9. The Company is in the process of appointment of Company Secretary as required under Section 383A of The Companies Act, 1956.


Mar 31, 2012

1. Contingent liabilities not provided for in respect of:

a. Disputed service tax demand (net of provision of Rs. 23,259,590, previous year Rs. 16,758,179) aggregating to Rs. Nil (As at March 31,2011 Rs. 8,375,727) against which the Company has preferred an appeal. The Company has deposited upto March 31,2012 Rs. 12,730,784 (Upto March 31, 2011 Rs. 12,730,784) under protest and also paid Rs. 4,437,588 subsequent to the balance sheet date.

b. Uncalled Capital commitment in respect of investments in Reliance Alternative Investments Fund - Private Equity Scheme I, Rs. Nil (Previous year Rs. 6,500,000).

2. Commitments

a. Estimated amount of contracts remaining to be executed on capital account not provided for (net of advances) Rs. 11,259,050 (Previous year Rs. 67,226,300).

b. Other commitments Rs. 10,865,956 (Previous year Rs.15,000,000) in respect of digitization work.

3. a. In the opinion of management, current assets, loans and advances have a value on realization in the ordinary course

of business at least equal to the amount at which they are stated in the balance sheet. The provision for depreciation and all known liabilities is adequate and not in excess of the amount reasonably stated.

b. Balances of certain trade receivables, trade payables and advances given are subject to confirmation / reconciliation, if any. The management does not expect any material difference affecting the financial statements on such reconciliation / adjustments.

4. Disclosure under (AS) -15 (Revised 2005):

The Company has provided leave encashment and gratuity based on actuarial valuation done as per Projected Unit Credit Method.

i) Retirement benefits in the form of Provident Fund are a defined contribution scheme and the contributions are charged to the Statement of Profit and Loss of the year when the contributions to the respective funds are due. There are no other obligations other than the contribution payable to the respective trusts.

ii) Gratuity and leave encashment liability are defined benefit obligation and are provided for on the basis of an actuarial valuation made at the end of each financial year.

The Company has classified the various benefits provided to employees as under:

II. Defined benefit plan:

The Company makes annual contributions to the Employees' Group Gratuity of the Life Insurance Corporation (LIC), a funded defined benefit plan for qualifying employees. Gratuity is payable to all eligible employees on superannuation, death or on separation/termination in terms of the provisions of the Payment of Gratuity Act or as per the Company's policy whichever is beneficial to the employees.

The estimates of future salary increases, considered in actuarial valuation, take into account inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment market.

The expected return on plan assets is determined considering several applicable factors mainly the composition of the plan assets held, assessed risks of asset management, historical results of the return on plan assets.

5. Segment reporting:

The Company operates in a single primary business segment i.e. "IT Training in Hardware and Networking". Hence, there are no reportable segments as per Accounting Standard (AS) - 17 "Segment Reporting" notified by Companies (Accounting Standards) Rules, 2006. The Company does not have any reportable geographical segment.

Notes:

1. The related party relationships have been determined on the basis of the requirements of the Accounting Standard (AS) - 18 "Related Party Disclosures" notified by Companies (Accounting Standards) Rules, 2006 and the same have been relied upon by the Auditors.

2. The relationships as mentioned above pertain to those related parties with whom transactions have taken place during the year, except where control exists.

Note: As the future liability for gratuity is provided on an actuarial basis for the Company as a whole, the amount pertaining to the key management personnel and their relatives is not ascertainable and, therefore, not included above.

6. Leases:

a. The Company has taken various office premises under operating lease that are renewable on a periodic basis at the option of both the lessor and lessee.

7. There is no impairment loss on fixed assets on the basis of review carried out by the management in accordance with Accounting Standard (AS) - 28 "Impairment of Assets" notified by Companies (Accounting Standards) Rules, 2006.


Mar 31, 2011

1. Contingent liabilities not provided for in respect of:

a. The Company has been floating 100 % money back guarantee scheme to students over the years. During the year, the Company has given assurance to Nil (previous year 28) number of students for getting jobs on completion of the course. The Company estimates the possible liability in this regard to the tune of Rs. Nil (previous year Rs. 1,438,838).

b. Disputed service tax demand (net of provision of Rs.16,758,179) aggregating to Rs. 8,375,727 (As at March 31, 2010 Rs. 8,375,727) against which the Company has preferred an appeal. The Company has deposited upto March 31, 2011 Rs. 12,730,784 (Upto March 31, 2010 Rs. 10,792,718) under protest.

c. Disputed income tax demands Rs. Nil (As at 31 March 2010 Rs. 165,122)

d. Uncalled Capital commitment in respect of investments in Reliance Alternative Investments Fund - Private Equity Scheme I, Rs. 6,500,000 (previous year Rs. 8,500,000).

2. Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advances) Rs. 66,984,800 (previous year Rs. Nil).

3. Miscellaneous income includes Rs. 591,192 (previous year Rs. 2,121,373) being unspent liabilities, excess provision and unclaimed balances in respect of earlier years written back.

4. Deferred tax assets / liabilities (net):

Major component of deferred tax balance as at the year end accounted in accordance with the Accounting Standard (AS) – 22 “Accounting for Taxes on Income” notified by Companies (Accounting Standards) Rules, 2006.

5. a. In the opinion of management, current assets, loans and advances have a value on realization in the ordinary course of business at least equal to the amount at which they are stated in the balance sheet. The provision for depreciation and all known liabilities is adequate and not in excess of the amount reasonably stated.

b. Balances of certain debtors, creditors and advances given are subject to confirmation / reconciliation, if any. The management does not expect any material difference affecting the financial statements on such reconciliation / adjustments.

6. The Company is in the process of compiling relevant information from its suppliers about their coverage under the Micro, Small and Medium Enterprises Development Act, 2006. As the Company has not received any intimation from its suppliers as on date regarding their status under the above said Act, no disclosure has been made.

7. Advances recoverable in cash or in kind or for value to be received includes Rs. 2,422,962 given to one of the Director against salary. During the year, remuneration paid to Directors were based on the application made to the Central Government for approval. However, subsequently approval for one director was received for lesser amount. The Company has written a letter to the Central Government for the rectification in the approval letter. Thus, the difference between the amount paid and approval received from Central Government is shown as advance against salary.

8. Disclosure under (AS) -15 (Revised 2005):

The Company has provided leave encashment and gratuity based on actuarial valuation done as per Projected Unit Credit Method.

i) Retirement benefits in the form of Provident Fund are a defined contribution scheme and the contributions are charged to the Profit and Loss Account of the year when the contributions to the respective funds are due. There are no other obligations other than the contribution payable to the respective trusts.

ii) Gratuity and leave encashment liability are defined benefit obligation and are provided for on the basis of an actuarial valuation made at the end of each financial year.

The Company has classified the various benefits provided to employees as under:

II. Defined benefit plan:

The Company makes annual contributions to the Employees' Group Gratuity of the Life Insurance Corporation (LIC), a funded defined benefit plan for qualifying employees. Gratuity is payable to all eligible employees on superannuation, death or on separation/termination in terms of the provisions of the Payment of Gratuity Act or as per the Company's policy whichever is beneficial to the employees.

The estimates of future salary increases, considered in actuarial valuation, take into account inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment market.

The expected return on plan assets is determined considering several applicable factors mainly the composition of the plan assets held, assessed risks of asset management, historical results of the return on plan assets.

09. Segment reporting:

The Company operates in a single primary business segment i.e. “IT Training in Hardware and Networking”. Hence, there are no reportable segments as per Accounting Standard (AS) - 17 “Segment Reporting” notified by Companies (Accounting Standards) Rules, 2006. The Company does not have any reportable geographical segment.

10. Related party disclosures:

I) Related party relationship:

a) Key management personnel a) Mr. Suresh G. Bharwani

b) Mr. Nandu G. Bharwani

b) Relatives of key management a) Mr. Jitu G. Bharwani – Brother of personnel Suresh Bharwani and Nandu Bharwani

b) Anisha Bharwani – Wife of Suresh G. Bharwani

c) Harsh Bharwani – Son of Suresh G. Bharwani

d) Avinash Bharwani – Son of Suresh G. Bharwani

e) Siddarth Bharwani – Son of Suresh G. Bharwani

f) Dipti Bharwani – Wife of Nandu G. Bharwani

g) Urvashi Bharwani – Daughter of Nandu G. Bharwani

h) Ritika Bharwani - Daughter of Nandu G. Bharwani

c) Enterprises on which key Jetking Smartrain Academy Pvt. Ltd. management personnel or their relatives has significant influence

Notes:

1. The related party relationships have been determined on the basis of the requirements of the Accounting Standard (AS) – 18 “Related Party Disclosures” notified by Companies (Accounting Standards) Rules, 2006 and the same have been relied upon by the Auditors.

2. The relationships as mentioned above pertain to those related parties with whom transactions have taken place during the year, except where control exists.

11. Leases:

a. The Company has taken various office premises under operating lease that are renewable on a periodic basis at the option of both the lessor and lessee.

b. The amount of minimum lease payments with respect to the above lease recognized in the profit and loss account for the year is Rs. 6,351,331 (previous year Rs. 8,722,675).

Above disclosure is for leases entered after 1 April 2001, as per Accounting Standard (AS) - 19 'Leases' notified by Companies (Accounting Standards) Rules, 2006.

12. There is no impairment loss on fixed assets on the basis of review carried out by the management in accordance with Accounting Standard (AS) - 28 “Impairment of Assets” notified by Companies (Accounting Standards) Rules, 2006.

13. Additional information pursuant to Part II of Schedule VI to the Companies Act, 1956:

a) Quantitative details of education and training materials

Quantitative/ value information: (As certified by the management)

14. The Company is in the process of appointment of Company Secretary as required under Section 383A of The Companies Act, 1956.

15. Previous year's figures have been rearranged or regrouped, wherever considered to conform to the current year's presentation.


Mar 31, 2010

1. Contingent liabilities not provided for in respect of:

a. The Company has been floating 100 % money back guarantee scheme to students over the years. During the year, the Company has given assurance to 28 (previous year 79) number of students for getting jobs on completion of the course. The Company estimates the possible liability in this regard to the tune of Rs 1,438,838 (previous year Rs. 3,503,802).

b. Disputed service tax demand (net of provision of Rs.16,426,134) aggregating to Rs. 8,375,727 (As at March 31, 2009 Rs. 8,375,727) against which the Company has preferred an appeal. The Company has deposited upto March 31, 2010 Rs. 10,792,718 (Upto March 31, 2009 Rs. 10,792,718) under protest.

c. Disputed income tax demands aggregating to Rs. 165,122 (As at March 31,2009 Rs. 165,122) against which the Company has preferred an appeal. The Company has deposited upto March 31, 2010 Rs. 165,122 (Upto March 31, 2009 Rs. 165,122) under protest.

d. Uncalled Capital commitment in respect of investments in Reliance Alternative Investments Fund- Private Equity Scheme I, Rs.8,500,000 (previous year Rs. Nil).

2. Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advances) Rs. Nil (previous year Rs. 1,519,520).

3. Miscellaneous income includes Rs. 2,121,273 (previous year Rs 882,232) being unspent liabilities, excess provision and unclaimed balances in respect of earlier years written back.

4. Share / Compensation of franchisee fees represents the royalty, franchisee fees, etc. paid / payable to a franchisee pursuant to a consent terms issued by High Court of Gujarat at Ahmedabad District Vadodara dated 29 March 2010, and agreed between the Company and a Franchisee.

5. a. In the opinion of management, current assets, loans and advances have a value on realization in the ordinary course of business at least equal to the amount at which they are stated in the balance sheet. The provision for depreciation and all known liabilities is adequate and not in excess of the amount reasonably stated.

b. Balances of certain debtors, creditors and advances given are subject to confirmation / reconciliation, if any. The management does not expect any material difference affecting the financial statements on such reconciliation / adjustments.

6. The Company is in the process of compiling relevant information from its suppliers about their coverage under the Micro, Small and Medium Enterprises Development Act, 2006. As the Company has not received any intimation from its suppliers as on date regarding their status under the above said Act, no disclosure has been made.

7. Disclosure under (AS) -15 (Revised 2005):

The Company has provided leave encashment and gratuity based on actuarial valuation done as per Projected Unit Credit Method.

i) Retirement benefits in the form of Provident Fund are a defined contribution scheme and the contributions are charged to the Profit and Loss Account of the year when the contributions to the respective funds are due. There are no other obligations other than the contribution payable to the respective trusts.

ii) Gratuity and leave encashment liability are defined benefit obligation and are provided for on the basis of an actuarial valuation made at the end of each financial year.

II. Defined benefit plan:

The Company makes annual contributions to the Employees Group Gratuity of the Life Insurance Corporation (LIC), a funded defined benefit plan for qualifying employees. Gratuity is payable to all eligible employees on superannuation, death or on separation/termination in terms of the provisions of the Payment of Gratuity Act or as per the Companys policy whichever is beneficial to the employees.

The estimates of future salary increases, considered in actuarial valuation, take into account inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment market.

The expected return on plan assets is determined considering several applicable factors mainly the composition of the plan assets held, assessed risks of asset management, historical results of the return on plan assets.

8. Segment reporting:

The Company operates in a single primary business segment i.e. "IT Training in Hardware and Networking". Hence, there are no reportable segments as per Accounting Standard (AS) -17 "Segment Reporting" issued by The Institute of Chartered Accountants of India. The Company does not have any reportable geographical segment.

9. Related party disclosures:

I) Related party relationship:

a) Key management personnel

a) Mr. Suresh G. Bharwani

b) Mr. Nandu G. Bharwani

b) Relatives of key management personnel

a) Mr. Jitu G. Bharwani - Brother of Suresh Bharwani and Nandu Bharwani

b) Anisha Bharwani - Wife of Suresh G. Bharwani

c) Harsh Bharwani - Son of Suresh G. Bharwani

d) Avinash Bharwani - Son of Suresh G.Bharwani

e) Siddarth Bharwani - Son of Suresh G.Bharwani

f) Dipti Bharwani-Wife of Nandu G.Bharwani

g) Urvashi Bharwani - Daughter of Nandu G. Bharwani

h) Ritika Bharwani - Daughter of Nandu G. Bharwani

c) Enterprises on which key management Jetking Smartrain Academy Pvt. Ltd. personnel or their relatives has signiticant influence

10. Leases:

a. The Company has taken various office premises under operating lease that are renewable on a periodic basis at the option of both the lessor and lessee.

11. The Company is in the process of appointment of Company Secretary as required under Section 383A of The Companies Act, 1956.

12. Previous years figures have been rearranged or regrouped, wherever considered to conform to the current years presentation.

Find IFSC