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Notes to Accounts of MEP Infrastructure Developers Ltd.

Mar 31, 2016

(b) Rights, preferences and restrictions attached to equity shares

The Company has a single class of equity shares. Accordingly, all equity shares rank equally with regard to dividends and share in the Company''s residual assets. The equity shareholders are entitled to receive dividend as declared from time to time. The voting rights of an equity shareholder on a poll (not on show of hands) are in proportion to its share of the paid-up equity capital of the Company. Voting rights cannot be exercised in respect of shares on which any call or other sums presently payable have not been paid. Failure to pay any amount called up on shares may lead to forfeiture of the shares.

On winding up of the Company, the holders of equity shares will be entitled to receive the residual assets of the Company, remaining after distribution of all preferential amounts in proportion to the number of equity shares held.

Note : Pursuant to an Initial Public Offering in May 2015, the shareholding of Ideal Toll & Infrastructure Private Limited (ITIPL) has reduced from 53.76% to 36.87% therefore ITIPL is no longer the holding company as at 31 March 2016.

I) Term loans

A) Term loan includes loan from a bank amounting to '' Nil (previous year : Rs, 3,749.34 lakhs) which is secured by way of first charge of hypothecation / assignment / security interest on escrow account of the projects financed and also, by pledge of 500,000 equity shares and negative lien on 250,000 equity shares of IRB Infrastructure Developers Limited held by the promoters of the Company.

Further, the term loan is also secured by corporate guarantee given by Ideal Toll & Infrastructure Private Limited and personal guarantee given by Mr. J.D. Mhaiskar & Mr. D.P. Mhaiskar, Directors of the Company. The term loan carries an interest rate calculated on base rate of the bank plus a spread of 300 basis points. The term loan is repayable in two equal installments of Rs, 3,750.00 lakhs from 1 March 2014.

B) Term loan includes loan from a bank amounting to Rs, 15,869.97 lakhs (previous year : Rs, 16,975.00 lakhs) which is secured by a first and exclusive charge as under:

a) first exclusive charge on escrow account specifically maintained for maintenance income/receivables from the maintenance contract with MEP Infrastructure Private Limited, a subsidiary;

b) first mortgage and charge on all immovable and movable properties of the Company, (including movable plant and machinery, machinery, spares, tools and accessories, furniture, fixtures, vehicles, inventories and all other movable properties); except as specifically charged;

c) exclusive charge on specific account opened to route the proceeds from the loan and interest thereon extended to the Ideal Toll & Infrastructure Private Limited by MEP Infrastructure Private Limited, subsidiary company;

d) pledge of 15 lakhs shares of IRB Infrastructure Developers Limited, held by the promoters of the company;

e) pledge of 49% of the issued, paid up and voting equity share capital of Ideal Toll & Infrastructure Private Limited;

f) first charge over the all bank accounts including but not limited to escrow account opened by MEP Highway Solutions Private Limited, subsidiary company;

g) corporate guarantees jointly given by Ideal Toll & Infrastructure Private Limited; and personal guarantee given by Mr. J.D. Mhaiskar, Director of the Company

The term loan carries an interest rate calculated on base rate of the bank plus a spread of 275 basis points. The term loan is repayable in 127 unequal monthly installments commencing from 1 September 2014.

C) Term loan includes a loan from a bank amounting to Rs, 240.00 lakhs (previous year : Rs, 610.00 lakhs) which is secured by way of assignment/ hypothecation of receivables to be generated from the Toll collection account of the projects financed.

Further, the term loan is also secured by corporate guarantee given by Ideal Toll & Infrastructure Private Limited and personal guarantee given by Mr. J.D. Mhaiskar, Director of the Company. The term loan carries an interest rate of 13% p.a. The term loan is repayable in 35 unequal monthly installments commencing after one month from the date of first disbursement.

D) Term loan includes a loan from a bank amounting to Rs, 275.42 lakhs (previous year : Nil) which is secured as under :

a) hypothecation / assignment of receivables to be generated from the Toll collection account & refund of performance security from authority of the projects financed;

b) equitable mortgage(second charge) on the residential property situated at Mumbai owned by promoters of the Company;

c) personal guarantee of Promoter Mr. Jayant Mhaiskar.

The term loan carries an interest rate calculated on base rate of 13.00% p.a.(floating at monthly rest) The loan is repayable in 10 monthly installments from the date of disbursement & last installment in lumsum on or before 31st January 2017.

E) Term loan includes a loan from a bank amounting to Rs, 1,483.71 lakhs (previous year : Nil) which is secured as under :

a) exclusive charge by way of equitable/registered mortgage on the commercial properties situated at Boomerang building, Chandivali farm road, Andheri East;

b) pledge of 200% of demat shares of the Company (amount equivalent to remaining portion of term loan after considering the amount against the mortgage commercial properties of the Company);

c) Personal guarantee of Promoter Mr. Jayant Mhaiskar;

d) DSRA equivalent to 3 months EMI in form of undisbursed overdraft as sublimit of term loan.

The term loan carries an interest rate calculated on base rate of 11.25 % p.a. i.e. Base rate plus 0.65% (annual reset) The loan is repayable in 72 monthly installments from the date of disbursement.

F) Term loan includes a loan from a financial institution amounting to Rs, 5,000.00 lakhs (previous year : Nil) which is secured as under :

a) First pari -passu charge on approximately 21 acres of leasehold land of 99 years located at Baramati, District Pune, Maharashtra giving a security cover of 1.50 times over the loan facility;

b) DSRA equivalent to 3 months interest servicing in form of FD with scheduled commercial bank lien marked;

c) Subservient charge on all revenues & receivable of the Company;

d) Pledge of such number of shares of the Company by the promoters by way of Non-Disposal Undertaking (NDU) mechanism along with Power of Attorney (POA) so as to give cover of 1.00 times on the loan amount;

e) Personal guarantee of Promoter Mr. Jayant Mhaiskar;

f) Corporate guarantee of Baramati Tollways private Limited (Land mortgagor).

The term loan carries an interest rate calculated on base rate of 11.70 % p.a. plus spread of 1.80%. The loan is repayable in 36 equal monthly installments beginning from 25th month from the date of disbursement.

II) Vehicle loans

A) Vehicle loans from banks of Rs, 374.88 lakhs (previous year : Rs, 314.74 lakhs) carry interest rates ranging from 9.76% - 12.38% p.a. The loans are repayable in 36 monthly installments along with interest. The loans are secured by way of hypothecation of the respective vehicles.

B) Vehicle loans from various financial institutions of Rs, 60.05 lakhs (previous year : Rs, 28.31 lakhs) carry interest rate ranging from 9.75% - 12.34% p.a. The loans are repayable in 35 - 60 monthly installments along with interest. The loans are secured by way of hypothecation of the respective vehicles.

*Mobilisation Advance from MEP Infrastructure Private Limited (subsidiary company) Rs,17,041.22 lakhs (previous year; Rs, 12,756.00 lakhs) pursuant to a contract for maintenance of structures, flyovers etc at five Mumbai Entry Points.

**Margin money aggregating Rs, 594.00 lakhs (previous year; Rs, 594.00 lakhs) received from MEP Chennai Bypass Toll Road Private Limited (subsidiary company) for the purpose of issuing Bank guarantee to the authority.

I) Term loans

A) Term Loans from bank amounting to Rs, Rs, 5,000.13 lakhs (previous year : Rs, 5,000.00 lakhs) is secured as below :

(a) First and pari passu charge on entire fixed/current assets of the Company which are not exclusively charged to other Banks/ Lenders;

(b) First charge / hypothecation / assignment of security interest on Escrow account of the projects financed;

(c) First charge by way of hypothecation of all the movable assets, present and future, of the projects financed;

(d) Debt Service Reserve Account (DSRA) to be maintained for an amount equivalent to the next 3 months of interest servicing;

(e) Corporate guarantee given by Ideal Toll and Infrastructure Private Limited;

(f) Personal Guarantee given by Mr. J.D. Mhaiskar director of the Company;

The term loan carries an interest rate calculated on base rate of the bank plus a spread of 2.30% p.a. The loan is repayable in bullet upon release of Bid/Performance Security by the Authority of the project financed.

B) Term Loans from bank amounting to Rs, Nil (previous year : Rs, 1,028.36 lakhs) is secured as below :

(a) Hypothecation / assignment of receivables to be generated from the Toll collection account of the projects financed;

(b) Hypothecation of other movable assets, like toll equipment and performance security deposit receivable;

(c) Corporate guarantee given by Ideal Toll and Infrastructure Private Limited, (Holding Company);

(d) Personal Guarantee given by Mr. J.D. Mhaiskar, Director of the Company;

The term loan carries an interest rate calculated on base rate of 13.% p.a. (floating) at monthly rest. The loan is repayable in 4 equal weekly installments during 12th and last month from the date of first disbursement.

C) Term Loans from bank amounting to Rs, 495.00 lakhs (previous year : Nil) is secured as below :

(a) Hypothecation / assignment of receivables to be generated from the Toll collection account of the projects financed;

(b) Hypothecation of other movable assets, like toll equipment and performance security deposit receivable;

(c) Personal Guarantee given by Mr. J.D. Mhaiskar, Director of the Company;

The term loan carries an interest rate calculated on base rate of 12.50 % p.a. (floating) at monthly rest. The loan is repayable in 4 equal weekly installments during 12th and last month from the date of first disbursement.

D) Term Loans from bank amounting to Rs, 705.00 lakhs (previous year : Nil) is secured as below :

(a) Hypothecation / assignment of receivables to be generated from the Toll collection account of the projects financed;

(b) Hypothecation of other movable assets, like toll equipment and performance security deposit receivable;

(c) Personal Guarantee given by Mr. J.D. Mhaiskar, Director of the Company;

The term loan carries an interest rate calculated on base rate of 12.50 % p.a. (floating) at monthly rest. The loan is repayable in 4 equal weekly installments during 12th and last month from the date of first disbursement.

E) Term Loans from bank amounting to Rs, 617.25 lakhs (previous year : Nil) is secured as below :

(a) Hypothecation / assignment of receivables to be generated from the Toll collection account of the projects financed;

(b) Hypothecation of other movable assets, like toll equipment and performance security deposit receivable;

(c) Personal Guarantee given by Mr. J.D. Mhaiskar, Director of the Company;

The term loan carries an interest rate calculated on base rate of 12.50 % p.a. (floating) at monthly rest. The loan is repayable in 4 equal weekly installments during 12th and last month from the date of first disbursement.

F) Term Loans from bank amounting to Rs, 1799.25 lakhs (previous year : Nil) is secured as below :

(a) Hypothecation / assignment of receivables to be generated from the Toll collection account of the projects financed;

(b) Pari passu charge on the project cash flows of toll collection project with the BG issuing bank and Exclusive charge over the performance security deposit with Authority and its subsidiaries for any project funded by the bank;

(c) Personal Guarantee given by Mr. J.D. Mhaiskar and Mrs. Anuya J. Mhaiskar, Director of the Company;

The term loan carries an interest rate calculated on base rate of 12.50 % p.a. (floating) i.e. 3.25% below PLR. The loan is repayable in 12 unequal monthly installments from the date of first disbursement.

II) Loans repayable on demand

A) Loans repayable on demand include an overdraft facility from a bank amounting to Rs, 4,999.07 lakhs (previous year : Rs, 4,998.27 lakhs) which is secured as below:

(a) First charge / hypothecation / assignment of security interest on Escrow account;

(b) Personal guarantee given by Mr. J.D. Mhaiskar & Mr. D.P. Mhaiskar, directors of the Company;

(c) Corporate guarantee given by Ideal Toll and Infrastructure Private Limited;

Loan carries an interest rate calculated on the base rate of the bank plus a spread of 3% p.a.

B) Loans repayable on demand include an overdraft facility from a bank amounting to Rs, 7,496.65 lakhs (previous year : Rs, 6,717.22 lakhs) which is secured as below:

(a) First charge / hypothecation / assignment of security interest on Escrow account;

(b) First charge by way of hypothecation of all the movable assets, present and future, of the projects financed.

(c) First charge on receivable of the projects financed.

(d) Personal Guarantee given by Mr. J.D. Mhaiskar, director of the Company;

(e) Corporate guarantee given by Ideal Toll and Infrastructure Private Limited;

(f) Loan carries an interest rate calculated on the base rate of the bank plus a spread of 2.50% p.a.

III) Unsecured loans

A) Interest free unsecured loan from Mr. J.D. Mhaiskar, director of the Company of Rs, 25.82 lakhs (previous year : Rs, 100.00 lakhs) is repayable on demand.

* Office premises are under mortgage with a bank.

During the previous year ended 31 March 2015, the Management has reassessed the useful lives of fixed assets prescribed under Schedule II of the Companies Act, 2013. As a result of the change, the depreciation charge for the previous year is higher by Rs, 284.23 lakhs with a corresponding decrease in the written down value of fixed assets and profit before tax for the previous year ended 31 March 2015.

Notes

*Other bank balances includes fixed deposits with Banks of Rs, 1,879.42 lakhs (previous year : Rs, 1,703.61 lakhs) which are provided as a lien for maintenance of Debt Service Reserve Account. Bank deposits of Rs, 375.00 lakhs (previous year : Rs, 375.00 lakhs) with a bank is provided as cash margin for bank overdraft. Bank deposits of Rs, 2,708.52 lakhs (previous year : Rs, 2,199.96 lakhs) with various banks are provided as a lien for bank guarantees given to authorities.

1. SEGMENT REPORTiNG

The segment information has been disclosed in the consolidated financial statements of the Company in accordance with paragraph 4 of AS

17 ''Segment reporting'' as specified under Section 133 of the Companies Act, 2013 read with Rule 7 of the Companies (Accounts) Rules, 2014.

2. DUE TO MiCRO AND SMALL SUPPLiERS

Under the Micro, Small and Medium Enterprises Development Act, 2006, (MSMED) which came into force from 2 October 2006, certain disclosures are required to be made relating to Micro, Small and Medium enterprises. On the basis of the information and records available with the Management, outstanding dues to the Micro, Small and Medium enterprises as defined in the Micro, Small and Medium Enterprises Development Act, 2006 are set out in following disclosure: (n irrency- Indian niPees in

3. EMPLOYEE BENEFiTS

The disclosures as required as per the revised Accounting Standard 15 are as under:

I) Defined contribution plan

i) Contribution to Provident Fund

ii) Contribution to Employees State Insurance Corporation

iii) Contribution to Maharashtra Labour Welfare Fund

*Included in Contribution to provident fund and other funds (refer note 23 - Employee benefits)

II) Defined Benefit plan Gratuity

The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of service gets a gratuity on death or resignation or retirement 15 days salary (last drawn salary) for each completed year of service. The company during the period provided Rs, 55.19 lakhs (Previous year : Rs, 57.95 lakhs) towards gratuity in the Statement of Profit and Loss.

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

* Based on unaudited financial statements

The Company''s interest in this Jointly Controlled Entities is reported as Non-current investment (refer note 12) and is stated at cost (net of provision for other than temporary diminution in value). The Company''s share of each of the assets, liabilities, income, expenses (each without elimination of the effect of transactions between the Company and the Jointly Controlled Entities) related to its interest in this jointly controlled

4. CORPORATE SOCIAL RESPONSIBILITY (CSR) ACTIVITIES

The Company has spent Rs, 5.00 lakhs (previous year : Nil) towards various schemes of Corporate Social Responsibility as prescribed under section 135 of the Companies Act, 2013. The details are:

I. Gross amount required to be spent by the Company during the year: Rs, 38.59 lakhs (previous year: Rs, 41.71 lakhs)

5. The Company has a receivable from a jointly controlled entity aggregating to Rs, 709.27 lakhs as at 31 March 2016. The management is confident of recovering the same and hence no provision has been made for the same.

6. UTILIZATION OF PROCEEDS FROM INITIAL PUBLIC OFFER

During the Financial Year 2015-16, funds were raised pursuant to an Initial Public Offering (IPO) For:

(i) Repayment/Pre-payment in full or part of certain loans availed by the Company''s Subsidiary viz. MEP Infrastructure Private Limited (MIPL), and

(ii) General Corporate Purposes.

7. RELATED PARTY DISCLOSURES

In accordance with the requirements of Accounting Standard 18 ''Related Party Transactions'' as specified under Section 133 of the Companies Act, 2013 read with Rule 7 of the Companies (Accounts) Rules, 2014, following are the names of related parties and their relationships, details of the transaction during the year and balances as at the yearend :

A. (i) Names of related parties where control exists

MEP Infrastructure Private Limited Subsidiary

Raima Ventures Private Limited Subsidiary

Rideema Toll Private Limited Subsidiary

MEP Nagzari Toll Road Private Limited Subsidiary

MEP IRDP Solapur Toll Road Private Limited Subsidiary

MEP Highway Solutions Private Limited Subsidiary

Rideema Toll Bridge Private Limited Subsidiary

Raima Toll Road Private Limited Subsidiary

MEP Hyderabad Bangalore Toll Road Private Limited Subsidiary

MEP Chennai Bypass Toll Road Private Limited Subsidiary

MEP RGSL Toll Bridge Private Limited Subsidiary

MEP Tormato Private Limited Subsidiary

Raima Toll and Infrastructure Private Limited Subsidiary Baramati Toll ways Private Limited (a subsidiary of Rideema Toll Private Limited) Fellow Subsidiary

MEP Infraprojects Private Limited Subsidiary

MEP Toll & Infrastructure Private Limited Subsidiary

MEP Infra Constructions Private Limited Subsidiary

Mhaiskar Toll Road Private Limited Subsidiary

MEP Roads & Bridges Private Limited Subsidiary

MEP Una Bus Terminal Private Limited Fellow Subsidiary

MEP Hamirpur Bus Terminal Private Limited Fellow Subsidiary

A J Tolls Private Limited Fellow Subsidiary

Ideal Toll & Infrastructure Private Limited Associate Concern

KVM Technology Solutions Private Limited Jointly controlled entity

SMYR Consortium LLP Jointly controlled entity

IEPL Power Trading Company Private Limited Ideal Energy Projects Limited MEP Toll Gates Private Limited

VCR Toll Services Private Limited Enterprises over which significant influence is exercised by key

MEP Infracon Private Limited managerial personnel

Rideema Enterprises.

Jan Transport

D S Enterprises J \

Mr. Jayant.Mhaiskar Key Management Person - Managing Director & Vice Chairman

Mr. Murzash Manekshana Key Management Person - Whole time Director

8. DOMESTIC TRANSFER PRICING

The Indian Finance Bill, 2012 had sought to bring in certain class of domestic transactions in the ambit of the transfer pricing regulations with effect from 1 April 2012. The Company''s management is of the opinion that its domestic transaction are at arm''s length so that appropriate legislation will not have an impact on financial statements, particularly on the amount of tax expense and that of provision for taxation. The Company does not have any international transactions with related parties during the year.

9. PRIOR PERIOD EXPENSE

Prior period expense (net) in the Statement of Profit and Loss for the year ended 31 March 2015 comprises charge towards maintenance cost paid to Authority of Rs, 50.88 lakhs, professional fees of Rs, 14.78 lakhs, ESIC of Rs,1.50 lakhs, membership fees of Rs, 2.97 lakhs and prior period income of Rs, 40.89 lakhs towards reversal of share issue expenses charged in previous year.

10. OTHER MATTERS

Information with regards to other matters specified in Schedule III to the Act, is either nil or not applicable to the Company for the period.


Mar 31, 2015

1. (Rs. in Lakhs) Particulars 31 March 2015 31 March 2014

Contingent liabilities / other commitments

Interest on late payments to Maharashtra State Road Development Corporation Limited - 68.04

Claims made against the Company not acknowledged as debts 8,171.18 8,171.18

Bank guarantees 22,086.18 16,494.34

Corporate guarantees given on behalf of subsidiaries 346,289.50 354,203.00

376,546.86 378,936.56

2. Due to micro and small supplier

Under the Micro, Small and Medium Enterprises Development Act, 2006, (MSMED) which came into force from 2 October 2006, certain disclosures are required to be made relating to Micro, Small and Medium enterprises. On the basis of the information and records available with the Management, outstanding dues to the Micro, Small and Medium enterprises as defined in the Micro, Small and Medium Enterprises Development Act, 2006 as set out in following disclosure:

3. Related party disclosures

In accordance with the requirements of Accounting Standard 18 'Related Party Transactions' as specified under Section 133 of the Companies Act, 2013 read with Rule 7 of the Companies (Accounts) Rule, 2014, following are the names of related parties and their relationships, details of the transaction during the year and balances as at the year end :

A. Name of related parties and the nature of relationship

Name of related party Nature of relationship

Ideal Toll & Infrastructure Private Limited Holding Company

MEP Infrastructure Private Limited Subsidiary

Raima Ventures Private Limited Subsidiary

Rideema Toll Private Limited Subsidiary

MEP Nagzari Toll Road Private Limited Subsidiary

MEP IRDP Solapur Toll Road Private Limited Subsidiary

MEP Highway Solutions Private Limited Subsidiary

Rideema Toll Bridge Private Limited Subsidiary

Raima Toll Road Private Limited Subsidiary

MEP Hyderabad Bangalore Toll Road Private Limited Subsidiary

MEP Chennai Bypass Toll Road Private Limited Subsidiary

MEP RGSL Toll Bridge Private Limited Subsidiary

MEP Tormato Private Limited Subsidiary

Raima Toll and Infrastructure Private Limited Subsidiary

Baramati Tollways Private Limited Subsidiary

MEP Infraprojects Private Limited Subsidiary

MEP Toll & Infrastructure Private Limited Subsidiary

MEP Infra Constructions Private Limited Subsidiary

Mhaiskar Toll Road Private Limited Subsidiary

MEP Roads & Bridges Private Limited Subsidiary

MEP Una Bus Terminal Private Limited Fellow Subsidiary

MEP Hamirpur Bus Terminal Private Limited Fellow Subsidiary

A J Tolls Private Limited Fellow Subsidiary

4. Domestic transfer pricing

The Indian Finance Bill, 2012 had sought to bring in certain class of domestic transactions in the ambit of the transfer pricing regulations with effect from 1 April 2012. The Company's management is of the opinion that its domestic transaction are at arm's length so that appropriate legislation will not have an impact on financial statements, particularly on the amount of tax expense and that of provision for taxation. The Company does not have any international transactions during the year.

5. Prior period expense (net)

Prior period expense (net) in the Statement of Profit and Loss is a net result of prior period charge towards maintenance cost paid to Authority of Rs. 50.88 lakhs, professional fees of Rs. 14.78 lakhs, ESIC of Rs. 1.50 lakhs, membership fees of Rs. 2.97 lakhs and prior period income of Rs. 40.89 lakhs towards reversal of share issue expenses charged in previous year. Prior period expense (net) in the Statement of Profit and Loss for the year ended 31 March 2014 is a net result of prior period charge towards concession fees paid to Authority Rs. 89.39 lakhs, ESIC ofRs. 1.87 lakhs and Toll Collection ofRs. 7.50 lakhs.

6. Other matters

Information with regards to other matters specified in Schedule III to the Act, is either nil or not applicable to the Company for the period.

7. Previous year comparatives

Previous year's figures have been reclassified wherever considered necessary to conform to the current year's presentation, details of the same are as follows:


Mar 31, 2014

1 Company overview

MEP Infrastructure Developers Private Limited ('MEPIDPL' or 'the Company') was incorporated on 8 August 2002 under Companies Act, 1956 ('the Act'). The Company is into the business of collection of toll as per the contract entered with various authorities and also in the providing road, repair and maintenance service to its subsidiary. "

The Company has undertaken following contracts for toll collection:

Rajasthan State Road Development & Construction Corporation Limited. 'RSRDC at Gazipur & Phulwada.

Maharashtra State Road Development Corporation Limited , 'MSRDC at:

a) Rajiv Gandhi Sea Link (for Bandra Worli Sea Link Project) along with maintenance.

b) Ratai-Gove

Road infrastructure Development Company of Rajasthan Limited, 'RIDCOR* at:

a) Afwar - Bhlwadi

b) Lalsot - Rota

National Highways Authority of India. 'NHAI' at:

(b) Rights, preferences and restrictions attached to equity shares

The company has a single class of equity shares. Accordingly, all equity shares rank equally with regard to dividends and share in the Company's residual assets. The equity shareholders are entitled to receive dividend as declared from time to time subject to payment of dividend to preference shareholders. The voting rights of an equity shareholder on a poll (not on show of hands) are in proportion to its share of the paid-up equity capital of the Company. Voting rights cannot be exercised in respect of shares on which any call or other sums presently payable have not been paid. Failure to pay any amount called up on shares may lead to forfeiture of the shares.

On winding up of the Company, the holders of equity shares will be entitled to receive the residual assets of the Company, remaining after distribution of all preferential amounts in proportion to the number of equity shares held.

I) Term loans

A) Term loan includes loan from a bank amounting to Rs Nil (previous year : Rs 8,895.94 lakhs) which is secured by way ot first charge of hypothecation / assignment / security interest on the escrow account of the projects financed.

Further, the term loan is also secured by corporate guarantee from Ideal Toll & Infrastructure Private Limited, the holding company and personal guarantee given by Mr. J.D. Mhaiskar, Managing Director of the Company. The term loan carries an interest rate calculated on the base rate of the bank plus a spread ranging from 3% - 3.25% p.a. The term loan is repayable at the end of 24 months from the date of first drawdown or on the receipt of the earnest money deposit or performance security from the authority whichever is earlier.

B) Term loan includes loan from a bank amounting to Rs 7,495.42 lakhs (previous year: Rs 7,500 lakhs) which is secured by way of first charge of hypothecation / assignment / security interest on escrow account of the projects financed and also, by pledge of 500,000 equity shares and negative lien on 250,000 equity shares from IRB Infrastructure Developers Private Limited held by the promoters of the Company.

Further, the term loan is also secured by corporate guarantee given by Ideal Toll & infrastructure Private Limited, the holding company and personal guarantee given by Mr. J.D. Mhaiskar & Mr. D.P. Mhaiskar, Directors of the Company. The term loan carries an interest rate calculated on base rate of the bank plus a spread of 350 basis points. The term loan is repayable in two equal installments of Rs 3,750.00 lakhs from 1 March 2014.

C) Term loan includes a loan from a bank amounting to Rs 850.00 lakhs (previous year : Nil ) which is secured by way of assignment / hypothecation of receivables to be generated from the Toll collection account of the projects financed.

Further, the term loan is also secured by corporate guarantee given by Ideal foil & Infrastructure Private Limited, the holding company and personal guarantee given by Mr. J.D. Mhaiskar, Director of the Company. The term loan carries an interest rate ot 13% p.a. The term loan is repayable in 35 unequal monthly installments commencing from the date of first disbursement. ^55=^5^

II) Vehicle loans

A) Vehicle loans from banks of Rs 383.72 lakhs (previous year : Rs 25.36 lakhs) carrying interest rates ranging from 9.89% - 12.38% p.a. The loans are repayable in 36 monthly installments along with interest. The loans are secured by way of hypothecation of the respective vehicles.

B) Vehicle loans include loan from various financial institutions of Rs 13.58 lakhs (previous year : Rs 123.62 lakhs) carrying an interest rate ranging from 10.83% - 12.34% p.a. The loans are repayable in 35 monthly installments along with interest. The loans are secured by way of hypothecation of the respective vehicles.

III) Unsecured loans from related parties

A) Unsecured loan from Raima Ventures Private Limited asubsidiary, of Rs 461.32 lakhs (previous year : Nil) was taken on 31 October 2013 and is repayable in three equal installments at the end of the 8th, 9th and 10th years from the date of disbursement. The loan carries an interest rate of 12.5% p.a.

B) Unsecured loan from MEP RGSL Toll Bridge Private Limited a subsidiary, of Rs 2,244.78 lakhs (previous year: Nil) was taken on 24 March 2014 and is repayable in three equal installments at the end of the 8th, 9th and 10th years from the date of disbursement. The loan carries an interest rate of 9.5% p.a.

C) Interest free unsecured loan from MEP 1RDP Solapur Toll Road Private Limited, a subsidiary, of Rs 11.23 lakhs (previous year ; Nil) was taken on 2 June 2013 and is repayable in three equal installments at the end of the 8 th, 9th and 10th years from the date of disbursement.

I) Term loan

Term Loans from bank amounting to Rs 236.75 lakhs (previous year: Nil) is secured as below :

(a) assignment / hypothecation of receivables to be generated from the Toll collection account of the projects financed;

(b) Personnel Guarantee given by Mr. J.D. Mhaiskar & Mr. D.P. Mhaiskar, directors of the Company;

(c) Corporate guarantee given by Ideal Toll and Infrastructure Private Limited, (Holding Company);

(d) The term loan carries an interest rate of 2.35% p.a. below the Bank's Prime Lending Rate subject to minimum of 13% p.a.

(e) The loan is repayable in 12 equal monthly installments from the date of first drawdown.

II) Loans repayable on demand

A) Loans repayable on demand include an overdraft facility from a bank amounting to Rs 5,000.00 lakhs (previous year: Nil) which is secured as below:

(a) First charge / hypothecation / assignment of security interest on Escrow account;

(b) Personnel guarantee given by Mr. J.D. Mhaiskar & Mr. D.P. Mhaiskar, directors of the Company;

(c) Corporate guarantee given by Ideal Toll and Infrastructure Private Limited, (Holding Company);

(d) Loan carries an interest rate calculated on the base rate of the bank plus a spread of 3% p.a.

B) Loans repayable on demand include an overdraft facility from a bank amounting to Rs 4,994.60 lakhs (previous year: Nil) which is secured as below:

(a) First charge / hypothecation / assignment of security interest on Escrow account;

(b) First charge by way of hypothecation of all the movable assets, present and future, of the projects financed.

(c) First charge on receivable of the projects financed.

(d) Personnel Guarantee given by Mr. J.D. Mhaiskar, director of the Company;

(e) Corporate guarantee given by Ideal Toll and Infrastructure Private Limited, (Holding Company);

(f) Loan carries an interest rate calculated on the base rate of the bank plus a spread of 2.25% p.a.

Ill) Unsecured loans

Interest free unsecured loan from Ideal Toll & Infrastructure Private Limited (Holding Company) of Rs 406.46 lakhs (previous year : Rs 219.00 lakhs) is repayable on demand.

Particulars 31st March 2014 31st March 2013

Inteiesi on late payments to Maharashtra State Road Development Corporation Limited 68.04 68.04

Claims made against the Company not acknowledged as debts by the Company 8,171.18 -

Bank guarantees 16,494.34 20,063.58

Corporate guarantees given 354,203.00 316,629.12

370,765.38 336.760.74

2. Due to micro and small suppliers

Under the Micro, Small and Medium Enterprises Development Act, 2006, (MSMED) which came into force from 2 October 2006, certain disclosures are required to be made relating to Micro, Small and Medium enterprises. On the basis of the information and records available with the Management, there are no outstanding dues to the Micro, Small and Medium enterprises as defined In the Micro, Small and Medium Enterprises Development Act, 2006 as set out in following disclosure:

3. Employee benefits

The disclosures as required as per the revised Accounting Standard 15 are as under: 1) Defined contribution plan

i) Contribution to Provident Fund

ii) Contribution to Employees State Insurance Corporation

iii) Contribution to Maharashtra Labour Welfare Fund

II) Defined Benefit plan Gratuity

The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of service gets a gratuity on death or resignation or retirement 15 days salary (last drawn salary) for each completed year of service. The company during the year provided Rs 30.90 lakhs (Previous year : Rs. 34.04 lakhs) towards gratuity in the Statement of Profit and Loss.

The Company is primarily engaged in the business of toil collection, which is the primary business segment, of the. Company. The Company does not have any separate geographical segment since all its operations are carried out in India. Hence, there.are: no separate reportable segments, as required by 'Accounting Standard 17' on 'Segment reporting' as prescribed by the Companies (Account!jig Standards) Rules,.2006 issued by the

Central Government, m consultation with the National Advisory Committee on Accounting Standards.

In accordance with the requirements of Accounting Standard 18 'Related Party Transactions' as prescribed under the Companies (Accounting Standards) Rules, 2006, following are the names of related parties and their relationships, details of the transaction during the year and balances as at the year end :

3.1 Dom eslic transfer pricing

The Indian Finance Bill, 2012 had sought to bring in certain class of domestic transactions in the ambit of the transfer pricing regulations with effect of I April 20P The Company's management is of the opinion that its domestic transaction are at arm's length so that appropriate legislation will not have an impact on financial statements, particularly on the amount of tax expense and that of provision for taxation. The Company does not have any international transactions during the year.

3.2 Other matters

Information with regards to other matters specified in Revised Schedule VI to the Act, is either nil or not applicable to the Company for the year.

3.3 Previous year comparatives

Previous year's figures have been reclassified wherever necessary to conform to the current year's presentation.