Mar 31, 2023
Provisions, contingent assets and contingent liabilities
A provision is recognized when:
⢠the Company has a present obligation as a
result of a past event;
⢠it is probable that an outflow of resources
embodying economic benefits will be
required to settle the obligation; and
⢠a reliable estimate can be made of the
amount of the obligation.
A disclosure for a contingent liability is made
when there is a possible obligation or a present
obligation that may, but probably will not,
require an outflow of resources. Where there is
a possible obligation or a present obligation that
the likelihood of outflow of resources is remote,
no provision or disclosure is made.
Basic earnings per share are calculated by
dividing the net profit for the year attributable to
equity shareholders by the weighted average
number of equity shares outstanding during the
year.
For the purpose of calculating diluted earnings
per share, the net profit for the year
attributable to equity shareholders and the
weighted average number of shares outstanding
during the year are adjusted for the effects of all
dilutive potential equity shares.
(xiv) Leases
The company follows INDAS 116. In accordance
with INDAS 116, the company recognises right
of use assets representing its right to use the
underlying asset for the lease term at the lease
commencement date. The cost of right of use
asset measured at inception shall comprise of
the amount of the initial measurement of the
lease liability adjusted for any lease payments
made at or before commencement date less any
lease incentive received plus any initial direct cost
incurred and an estimate of cost to be incurred
by lessee in dismantling and removing underlying
asset or restoring the underlying asset or site
on which it is located. The right of use asset is
subsequently measured at cost less accumulated
depreciation, accumulated impairment losses,
if any, and adjusted for any re-measurement
of lease liability. The right of use assets is
depreciated using the Straight Line Method
from the commencement date over the charter
of lease term or useful life of right of use asset.
The estimated useful life of right of use assets
are determined on the same basis as those of
Property, Plant and Equipment. Right of use
asset are tested for impairment whenever there
is any indication that their carrying amounts may
not be recoverable. Impairment loss, if any, is
recognised in Statement of Profit and Loss.
The company measures the lease liability at the
present value of the lease payments that are not
paid at the commencement date of lease. The
lease payments are discounted using the interest
rate implicit in the lease, if that rate can be
readily determined. If that rate cannot be readily
determined, the company uses incremental
borrowing rate.
The lease liability is subsequently re-measured
by increasing the carrying amount to reflect
interest on lease liability, reducing the carrying
amount to reflect the lease payments made and
re-measuring the carrying amount to reflect any
reassessment or lease modification or to reflect
revised-in-substance fixed lease payments. The
company recognises amount of re-measurement
of lease liability due to modification as an
adjustment to write off use asset and statement
of profit and loss depending upon the nature
of modification. Where the carrying amount of
right of use assets is reduced to zero and there
is further reduction in measurement of lease
liability, the company recognises any remaining
amount of the re-measurement in Statement of
Profit and Loss.
The company has elected not to apply the
requirements of INDAS 116 to short term leases
of all assets that have a lease term of 12 months
or less unless renewable on long term basis and
leases for which the underlying asset is of low
value. The lease payments associated with these
leases are recognised as an expense over lease
term.
Company as a lessor leases in which the Company
does not transfer substantially all the risks and
rewards of ownership of an asset are classified as
operating leases. Rental income from operating
lease is recognised on a straight-line basis over
the term of the relevant lease. Initial direct
costs incurred in negotiating and arranging an
operating lease are added to the carrying amount
of the leased asset and recognised over the
lease term on the same basis as rental income.
Contingent rents are recognised as revenue in the
period in which they are earned. Fit- out rental
income is recognised in the statement of profit
and loss on accrual basis.
Leases are classified as finance leases when
substantially all of the risks and rewards
of ownership transfer from the Company to
the lessee. Amounts due from lessees under
finance leases are recorded as receivables at the
Company''s net investment in the leases. Finance
lease income is allocated to accounting periods
so as to reflect a constant periodic rate of return
on the net investment outstanding in respect of
the lease.
(xv) Income Taxes
i. Provision for current tax is made based
on the tax payable under the Income Tax
Act, 1961. Current income tax relating to
items recognised outside profit and loss is
recognised outside profit and loss (either in
other comprehensive income or in equity).
ii. Deferred tax is recognised on temporary
differences between the carrying amounts
of assets and liabilities in the financial
statements and the corresponding tax
bases used in the computation of taxable
profit.
Deferred tax liabilities and assets are
measured at the tax rates that are expected
to apply in the period in which the liability
is settled or the asset realised, based on
tax rates (and tax laws) that have been
enacted or substantively enacted by the
end of the reporting period. The carrying
amount of deferred tax liabilities and assets
are reviewed at the end of each reporting
period.
(xvi) Cash and Cash Equivalent
Cash and Cash equivalent in the balance sheet
comprises cash at bank and cash on hand,
demand deposits and short term deposits which
are subject to an insignificant change in value.
The amendment to INDAS-7 requires entities
to provide disclosure of change in the liabilities
arising from financing activities, including both
changes arising from cash flows and non cash
changes (such as foreign exchange gain or loss).
The Company has provided information for both
current and comparative period in cash flow
statement.
(xvii) Significant management judgement in applying
accounting policies and estimation of
uncertainty
(a) significant management judgements
When preparing the financial statements,
management undertakes a number of
judgements, estimates and assumptions
about the recognition and measurement of
assets, liabilities, income and expenses.
(b) Recognition of deferred tax assets
The extent to which deferred tax assets can
be recognized is based on an assessment
of the probability of the Company''s future
taxable income against which the deferred
tax assets can be utilized.
(c) Recoverability of advances/receivables
At each balance sheet date, based on
historical default rates observed over
expected life, the management assesses
the expected credit loss on outstanding
receivables and advances.
(d) Defined benefit obligation (DBo)
Management''s estimate of the DBO is
based on a number of critical underlying
assumptions such as standard rates of
inflation, medical cost trends, mortality,
discount rate and anticipation of future
salary increases. Variation in these
assumptions may significantly impact the
DBO amount and the annual defined benefit
expenses.
At each balance sheet date based on
management judgment, changes in facts
and legal aspects, the Company assesses
the requirement of provisions against the
outstanding warranties and guarantees.
However the actual future outcome may be
different from this judgement.
Inventory is stated at the lower of cost or
net realisable value (NRV).
NRV for completed inventory is assessed
including but not limited to market
conditions and prices existing at the
reporting date and is determined by the
Company based on net amount that it
expects to realise from the sale of inventory
in the ordinary course of business.
NRV in respect of inventories under
construction is assessed with reference
to market prices (by referring to expected
or recent selling price) at the reporting
date less estimated costs to complete the
construction, and estimated cost necessary
to make the sale. The costs to complete the
construction are estimated by management.
(g) Revenue from contracts with customers
The Company has appli ed judg ements
that significantly affect the determination
of the amount and timing of revenue from
contracts with customers.
The Company evaluates if an arrangement
qualifies to be a lease as per the
requirements of INDAS 116. Identification
of a lease requires significant judgement.
The company uses significant judgement
in assessing the lease term (including
anticipated renewals) and the applicable
discount rate.
The company determines the lease term
as the non-cancellable period of lease,
together with both periods covered by an
option to extend the lease if the company
is reasonably certain to exercise that
option and periods covered by an option
to terminate the lease if the company is
reasonably certain not to exercise that
option. In exercise whether the company is
reasonably certain to exercise an option to
extend a lease or to exercise an option to
terminate the lease, it considers all relevant
facts and circumstances that create an
economic incentive for the company to
exercise the option to extend the lease or to
exercise the option to terminate the lease.
The company revises lease term, if there is
change in non-cancellable period of lease.
The discount rate used is generally based
on incremental borrowing rate.
Management applies valuation techniques
to determine the fair value of financial
instruments (where active market quotes
are not available) and non-financial assets.
This involves developing estimates and
assumptions consistent with how market
participants would price the instrument /
assets. Management bases its assumptions
on observable date as far as possible but
this may not always be available. In that
case Management uses the best relevant
information available. Estimated fair values
may vary from the actual prices that would
be achieved in an arm''s length transaction
at the reporting date.
(j) classification of assets and liabilities into
current and non-current
The Management classifies assets and
liabilities into current and non-current
categories based on its operating cycle.
Mar 31, 2021
Balances of trade receivable, trade payable, loan/ advances given and other financial and non-financial assets and liabilities are subject to reconciliation and confirmation from respective parties. The balance of said trade receivable, trade payable, loan/ advances given and other financial and non-financial assets and liabilities are taken as shown by the books of accounts. The ultimate outcome of such reconciliation and confirmation cannot presently be determined, therefore, no provision for any liability that may result out of such reconciliation and confirmation has been made in the financial statement, the financial impact of which is unascertainable due to the reasons as above stated.
The Income Tax Department has filed writ petition before Hon''ble Supreme Court against the order of Income tax settlement commission in earlier years for assessment year 2000-01 to 2006-07, which is pending for hearing. Pending final outcome of such petition filed, no provision of any potential liability has been made in the books of accounts, the amount of which cannot presently be ascertained.
The income tax department has raised a demand of Rs. 109.35 crore against the company after giving effect to orders of CIT(A) / ITAT for A.Y 2007-08 to A.Y 2011-12, mainly on account of disallowance u/s 80IB. The company has filed further appeals/ application before the higher authorities/ prescribed authority against the impugned orders of the CIT (A) / ITAT An amount of Rs. 125.17 crore has been deposited by the company against this demand under dispute. Further the Income Tax Department has also filed necessary appeals/writ petitions/ SLP with appropriate authority against the relief given of Rs. 141.84 crore by various appellate authorities to the Company. A demand of Rs. 1.20 cr had been raised on account of penalty u/s 271C in previous years, which has been deleted by CIT(A), which is subject matter of appeal before appropriate higher authorities. A further demand of Rs. 23.81 crore has been raised against the company for A.Ys 2009-10 to 2016-17 either mainly on account of disallowance u/s 80IB or penalty u/s 271(1)(c) and the company has filed appeals before the CIT(A) against this demand. An amount of Rs. 17.99 crore has been deposited by the company against this demand under dispute. Provision against disputed tax demands amounting to Rs. 63.47 crore has been made in financial statement and is appearing in long term provisions in note no. 7 A. Based on the decision of various appellate authorities and the interpretations of relevant provisions of Income Tax Act, 1961, the Company has been advised by the experts that the claim of the company under Section 80IB is sustainable; accordingly the Company is hopeful that the demand so raised is likely to be deleted.
During the year ended 31st March, 2021, Income Tax Department has revised the assessment order for Financial Year 2016-17 (Assessment Year 2017-18) under section 263 of Income Tax Act, 1961 whereby among other matters, unabsorbed losses determined by the Company till Financial Year 2016-17 arising out of implementation of IND AS, to be adjusted against future taxable profits amounting to Rs. 532.76 crore in subsequent financial years and allowed by assessing officer during regular assessment was set aside by the PCIT New Delhi vide order dated 31st March, 2021. The Company have filed necessary appeals before the ITAT, New Delhi Bench against the impugned order of PCIT New Delhi on 22nd June, 2021. Since the appeal against order under section 263 of Income Tax Act, 1961 have been filed by the Company, pending final conclusion tax liability adjusted against such unabsorbed losses amounting to Rs. 133.89 crore during Financial Year 2017-18 to 2019-20 have been shown as Contingent Liability. The Company has also created deferred tax assets on these losses and since the appeal has already been filed, the Company is certain of getting relief
and future tax on profits will be adjusted against losses, therefore no adjustment in deferred tax asset has been done in Financial Statement.
1 The Ministry of Corporate Affairs ( MCA ) through Companies ( Indian Accounting Standard) Amendment Rules 2019 and Companies ( Indian Accounting Standard) Second Amendment Rules has notified INDAS 116 âleases'' which replaces existing lease standard, INDAS 17 Leases and other Interpretation. INDAS 116 sets out the principles for recognition, measurement, presentation and disclosure of leases for both lessees and lessors. It introduces a single on balance sheet lease accounting model for lessees.
On application of INDAS 116, the nature of expense has changed from lease rent in previous periods to depreciation cost for right of use asset and finance cost for interest accrued on lease liability.
Depreciation on right of use asset is Rs. 51.97 crore (Rs. 60.18 Crore previous year) and interest on lease liability for year ended 31st March 2021 is Rs. 20.95 crore (PY-Rs. 32.16 crore).
Lease Contracts entered by the company majorly pertains to building taken on lease to conduct the business activities in ordinary course.
The leases that the company has entered with lessors towards properties used as corporate office/office are long term in nature and no changes in terms of those leases are expected due to COVID-19.
Post-Employment Obligations - Gratuity
The Company provides gratuity for employees in India as per the Payment of Gratuity Act, 1972. Employees who are in continuous service for a period of 5 years are eligible for gratuity. The amount of gratuity payable on retirement/ termination is the employees'' last drawn basic salary per month computed proportionately for 15 days salary multiplied by the number of years of service. For the funded plan the Company makes contributions to recognised funds in India. The Company does not fully fund the liability and maintains a target level of funding to be maintained over a period of time based on estimations of expected gratuity payments.
o. Description of Risk Exposures:
Valuations are based on certain assumptions, which are dynamic in nature and vary over time. As such company is exposed to various risks as follow-
A. Salary Increases- Actual salary increases will increase the Plan''s liability. Increase in salary increase rate assumption in future valuations will also increase the liability.
B. Investment Risk - If Plan is funded then assets liabilities mismatch & actual investment return on assets lower than the discount rate assumed at the last valuation date can impact the liability.
C. Discount Rate: Reduction in discount rate in subsequent valuations can increase the plan''s liability.
D. Mortality & disability - Actual deaths & disability cases proving lower or higher than assumed in the valuation can impact the liabilities.
E. Withdrawals - Actual withdrawals proving higher or lower than assumed withdrawals and change of withdrawal rates at subsequent valuations can impact Plan''s liability.
Provision for leave encashment in respect of un-availed leaves standing to the credit of employees is made on actuarial basis. The Company does not maintain any fund to pay for leave encashment
The Company also has defined contribution plan i.e. contributions to provident fund in India for employees. The Company makes contribution to statutory fund in accordance with Employees Provident Fund and Misc. Provision Act, 1952. This is post-employment benefit and is in the nature of defined contribution plan. The contributions are made to registered provident fund administered by the government. The provident fund contribution charged to statement of profit & loss for the year ended 31 March, 2021 amount to Rs. 0.76 Crore (PY Rs. 1.08 Crore).
âThe Company''s activities expose it to market risk, liquidity risk and credit risk. The management has the overall responsibility for the establishment and oversight of the Company''s risk management framework. This note explains the sources of risk which the entity is exposed to and how the entity manages the risk and the related impact in the financial statements.
Credit risk
Credit risk is the risk that counterparty fails to discharge its obligation to the Company. The Company''s exposure to credit risk is influenced mainly by cash and cash equivalents, trade receivables and financial assets measured at amortised cost. The Company continuously monitors defaults of customers and other counterparties and incorporates this information into its credit risk controls.
Credit risk rating
The Company assesses and manages credit risk of financial assets based on following categories arrived on the basis of assumptions, inputs and factors specific to the class of financial assets.
Based on business environment in which the Company operates, a default on a financial asset is considered when the counter party fails to make payments within the agreed time period as per contract. Loss rates reflecting defaults are based on actual credit loss experience and considering differences between current and historical economic conditions.
Assets are written off when there is no reasonable expectation of recovery, such as a debtor declaring bankruptcy or a litigation decided against the Company. The Company continues to engage with parties whose balances are written off and attempts to enforce repayment. Recoveries made are recognised in the statement of profit and loss.
The Company considers provision for lifetime expected credit loss for trade receivables, loans and advances given. Given the nature of business operations, the Company''s receivables from real estate business has little history of losses as transfer of legal title of properties sold is generally passed on to the customer, once the Company receives the entire consideration. Advances are given for purchase of land and for other goods and services. Therefore trade receivables and advances given have been considered as moderate credit risk financial assets.
Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company''s approach to managing liquidity is to ensure as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due.
Management monitors rolling forecasts of the liquidity position and cash and cash equivalents on the basis of expected cash flows. The Company takes into account the liquidity of the market in which the entity operates.
The Company''s capital management objectives are to ensure the Company''s ability to continue as a going concern as well as to provide an adequate return to shareholders by pricing products and services commensurately with the level of risk.
âThe Company monitors capital on the basis of the carrying amount of equity plus its subordinated loan, less cash and cash equivalents as presented on the face of the statement of financial position and cash flow hedges recognised in other comprehensive income.
âThe Company manages its capital structure and makes adjustments to it in the light of changes in economic conditions and the risk characteristics of the underlying assets. In order to maintain or adjust the capital structure, the Company may adjust the amount of dividends paid to shareholders, return capital to shareholders or issue new shares. The amounts managed as capital by the Company are summarised as follows:
Note 49: The outbreak of Coronavirus (COVID-19) pandemic globally and in India is causing significant disturbance and slowdown of economic activity. The management of the Company have made its own assessment of impact of the outbreak of COVID-19 on business operations of the Company and have concluded that no adjustments are required to be made in the financial statement as it does not impact current financial year. However, the situation with COVID-19 is still evolving. Also the various preventive measures taken by Government of India are still in force leading to highly uncertain economic environment. Due to these circumstances, the management''s assessment of the impact on the subsequent period is dependent upon the circumstances as they evolve. The Company continues to monitor the impact of COVID-19 on its business including its impact on customer, associates, contractors, vendors etc.
Note 51: STANDARDS ISSUED BUT NOT YET EFFECTIVE
The Ministry of Corporate Affairs (MCA) notifies new Indian Accounting Standard or amendment there to. There is no such notification which would have been made applicable from 01.04.2021.
Note 52: The Previous year figures have been regrouped/ reclassified, wherever necessary, to make them comparable with current year figures.
The notes referred to above form an integral part of standalone financial statements.
As per our audit report of even date attached
Mar 31, 2018
1 Determination of revenues under âPercentage of Completion method'' necessarily involves making estimates by management for percentage of completion, cost to completion, revenues expected from projects, projected profits and losses. These estimates being of a technical nature have been relied upon by the auditors.
2 Balances of trade receivable, trade payable, loan/ advances given and other financial and non-financial assets and liabilities are subject to reconciliation and confirmation from respective parties. The balance of said trade receivable, trade payable, loan/ advances given and other financial and non-financial assets and liabilities are taken as shown by the books of accounts. The ultimate outcome of such reconciliation and confirmation cannot presently be determined, therefore, no provision for any liability that may result out of such reconciliation and confirmation has been made in the financial statement, the financial impact of which is unascertainable due to the reasons as above stated.
3 The Income Tax Department has filed writ petition before Hon''ble Supreme Court against the order of Income tax settlement commission in earlier years for assessment year 2000-01 to 2006-07, which is pending for hearing. Pending final outcome of such petition filed, no provision of any potential liability has been made in the books of accounts, the amount of which cannot presently be ascertained. In earlier year, the company was subjected to search as per the provisions of income Tax Act, 1961, the proceedings of which are underway, the tax liability if any on account of this would be accounted in the year of occurrence.
The income tax department has raised a demand of Rs. 1,093.51 mn against the company after giving effect to orders of CIT(A) / ITAT for A.Y 2007-08 to A.Y 2010-11, mainly on account of disallowance u/s 80IB. The company has filed further appeals before the higher authorities against the impugned orders of the CIT (A) / ITAT An amount of Rs. 1,052.30 mn has been deposited by the company against this demand under dispute. Further the Income Tax Department has also filed necessary appeals/writ petitions/ SLP with appropriate authority against the relief given of Rs. 1,317.51 mn by various appellate authorities to the Company. A further demand of Rs. 289.57 mn has been raised against the company for A.Ys 2007-08, 2009-10 to 2013-14 either mainly on account of disallowance u/s 80IB or penalty u/s 271(1)(c) and the company has filed appeals before the CIT(A) against this demand. An amount of Rs. 147.25 mn has been deposited by the company against this demand under dispute. Provision against disputed tax demands amounting to Rs. 643.66 mn has been made in financial statement and is appearing in long term provisions in note no. 7 A.
Based on the decision of various appellate authorities and the interpretations of relevant provisions of Income Tax Act, 1961, the Company has been advised by the experts that the claim of the company under Section 80IB is sustainable; accordingly the Company is hopeful that the demand so raised is likely to be deleted.
4 The Company had in earlier year advanced a sum of Rs. 745.05 mn ( PY Rs. 745.05 mn) to one of its wholly owned subsidiary company namely Eden Buildcon Limited (hereinafter referred to as âSubsidiary Companyâ) for acquiring land from Hyderabad Metropolitan Development Authority (HMDA) for real estate projects. The said subsidiary company participated in bid in respect of auction by HMDA and paid initial deposit of Rs. 750.63 mn against total value of Rs. 3,002.50 mn. During the process of post auction verification of title to the auctioned land, the subsidiary company on scrutiny of documents found that the auctioned land is the subject matter of pending litigations before Hon''ble Andhra Pradesh High Court. Thereafter, the subsidiary company requested HMDA to obtain necessary orders from the court empowering HMDA to alienate the auction land and also expressed its earnest intention to pay the balance cost of land. HMDA asserted that there is no legal impediment for transferring the title of the land and directed the subsidiary company to remit the balance sales consideration. The subsidiary company applied to HMDA for refund of the initial booking amount. The request for such refund was not considered by HMDA and HMDA demanded balance amount of Rs. 2,251.87 mn failing which the entire booking amount was liable to be forfeited. On writ petition filed by the company for refund of the amount deposited which was tagged along with other similar petitions, single bench of Hon''ble Andhra Pradesh High Court allowed the appeal in favour of the subsidiary company. Appeal against the order of the single bench was filed by HMDA before division bench, which was allowed in favour of HMDA. The subsidiary company has filed special leave petition (SLP) before Hon''ble Supreme Court of India and stay order has been granted. The matter is sub-judice and is pending before Hon''ble Supreme Court of India at advanced stage of hearing. Pending final outcome of such petition filed, the amount advanced by the company to subsidiary company is considered good and classified as current.
5 The amount of expenditure for the year ended 31st March, 2018, which the Company was required to incur related to
Corporate Social Responsibility as per section 135 of Companies Act, 2013 worked out to be Rs. 19.32 mn (PY 16.53 mn).
During the year ended 31st March, 2018, the Company has incurred a sum of Rs. 6.38 mn (PY 2.46 mn) on this account.
Note 42: EMPLOYEE BENEFIT OBLIGATIONS 1) Post-Employment Obligations - Gratuity
The Company provides gratuity for employees in India as per the Payment of Gratuity Act, 1972. Employees who are in continuous service for a period of 5 years are eligible for gratuity. The amount of gratuity payable on retirement/ termination is the employees'' last drawn basic salary per month computed proportionately for 15 days salary multiplied by the number of years of service. For the funded plan the Company makes contributions to recognized funds in India. The Company does not fully fund the liability and maintains a target level of funding to be maintained over a period of time based on estimations of expected gratuity payments.
o. Description of Risk Exposures:
Valuations are based on certain assumptions, which are dynamic in nature and vary over time. As such company is
exposed to various risks as follow-
A. Salary Increases- Actual salary increases will increase the Plan''s liability. Increase in salary increase rate assumption in future valuations will also increase the liability.
B. Investment Risk - If Plan is funded then assets liabilities mismatch & actual investment return on assets lower than the discount rate assumed at the last valuation date can impact the liability.
C. Discount Rate: Reduction in discount rate in subsequent valuations can increase the plan''s liability.
D. Mortality & disability - Actual deaths & disability cases proving lower or higher than assumed in the valuation can impact the liabilities.
E. Withdrawals - Actual withdrawals proving higher or lower than assumed withdrawals and change of withdrawal rates at subsequent valuations can impact Plan''s liability.
2) Leave Encashment
Provision for leave encashment in respect of un-availed leaves standing to the credit of employees is made on actuarial
basis. The Company does not maintain any fund to pay for leave encashment
The Company also has defined contribution plan i.e. contributions to provident fund in India for employees. The Company makes contribution to statutory fund in accordance with Employees Provident Fund and Misc. Provision Act, 1952. This is post-employment benefit and is in the nature of defined contribution plan. The contributions are made to registered provident fund administered by the government. The provident fund contribution charged to statement of profit & loss for the year ended 31 March, 2018 amount to Rs. 7.12 mn (PY Rs. 5.83 mn).
b. The lease agreements provide for an option to the Company to renew the lease period at the end of the non-cancellation period. There are no exceptional / restrictive covenants in the lease agreement.
c. Lease rent expenses in respect of operating lease debited to statement of profit and loss Rs. 42.68 mn (PY Rs. 46.49 mn).
Note 46: SEGMENT INFORMATION
In line with the provisions of Ind AS 108 - Operating Segments and on the basis of review of operations being done by the management of the Company, the operations of the Company falls under real estate business, which is considered to be the only reportable segment by management.
Investment in subsidiaries and associates are measured at cost as per Ind AS 27, âSeparate financial statements''.
(ii) Fair Value Hierarchy
This section explains the judgments and estimates made in determining the fair values of the financial instruments that are recognized and measured at fair value. To provide an indication about the reliability of the inputs used in determining fair value, the group has classified its financial instruments into the three levels prescribed under the Indian Accounting Standard. An explanation of each level follows underneath the table.
For short term financial assets and liabilities carried at amortized cost. The carrying value is reasonable approximation of fair value.
Note 48: RISK MANAGEMENT
âThe Company''s activities expose it to market risk, liquidity risk and credit risk. The management has the overall responsibility for the establishment and oversight of the Company''s risk management framework. This note explains the sources of risk which the entity is exposed to and how the entity manages the risk and the related impact in the financial statements.
Credit risk
Credit risk is the risk that a counterparty fails to discharge its obligation to the Company. The Company''s exposure to credit risk is influenced mainly by cash and cash equivalents, trade receivables and financial assets measured at amortized cost. The Company continuously monitors defaults of customers and other counterparties and incorporates this information into its credit risk controls.
Credit risk management
Credit risk rating
The Company assesses and manages credit risk of financial assets based on following categories arrived on the basis of assumptions, inputs and factors specific to the class of financial assets.
A: Low credit risk on financial reporting date B: Moderate credit risk C: High credit risk
Based on business environment in which the Company operates, a default on a financial asset is considered when the counter party fails to make payments within the agreed time period as per contract. Loss rates reflecting defaults are based on actual credit loss experience and considering differences between current and historical economic conditions.
Assets are written off when there is no reasonable expectation of recovery, such as a debtor declaring bankruptcy or a litigation decided against the Company. The Company continues to engage with parties whose balances are written off and attempts to enforce repayment. Recoveries made are recognized in the statement of profit and loss.
Concentration of trade receivables
Trade receivables consist of a large number of customers spread across various states in India with no significant concentration of credit risk.
Credit risk exposure
Provision for expected credit losses
The Company provides for 12 month expected credit losses for following financial assets -
The Company considers provision for lifetime expected credit loss for trade receivables, loans and advances given. Given the nature of business operations, the Company''s receivables from real estate business has little history of losses as transfer of legal title of properties sold is generally passed on to the customer, once the Company receives the entire consideration. Advances are given for purchase of land and for other goods and services. Therefore trade receivables and advances given have been considered as moderate credit risk financial assets.
Liquidity risk
Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company''s approach to managing liquidity is to ensure as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due.
Management monitors rolling forecasts of the liquidity position and cash and cash equivalents on the basis of expected cash flows. The Company takes into account the liquidity of the market in which the entity operates.
Maturities of financial liabilities
The tables below analyses the financial liabilities into relevant maturity pattern based on their contractual maturities.
Market risk Interest Rate risk
The Company''s policy is to minimize interest rate cash flow risk exposures on long-term financing. As At 31st March the Company is exposed to changes in market interest rates through bank borrowings at variable interest rates. Other borrowings are at fixed interest rates.
The following table illustrates the sensitivity of profit and equity to a possible change in interest rates of /- 1% (31 March 2018: /- 1% ; 31 March 2017: /- 1%). These changes are considered to be reasonably possible based on observation of current market conditions. The calculations are based on a change in the average market interest rate for each period, and the financial instruments held at each reporting date that are sensitive to changes in interest rates. All other variables are held constant.
Note 49: CAPITAL MANAGEMENT POLICIES (a) Capital Management
The Company''s capital management objectives are to ensure the Company''s ability to continue as a going concern as well as to provide an adequate return to shareholders by pricing products and services commensurately with the level of risk.
âThe Company monitors capital on the basis of the carrying amount of equity plus its subordinated loan, less cash and cash equivalents as presented on the face of the statement of financial position and cash flow hedges recognized in other comprehensive income.
âThe Company manages its capital structure and makes adjustments to it in the light of changes in economic conditions and the risk characteristics of the underlying assets. In order to maintain or adjust the capital structure, the Company
In addition to the above dividends, since year end the directors have recommended the payment of a final dividend of INR 0.70 per fully paid equity share (31 March 2017 - INR 0.70) only to public shareholders and 0.1% on preference shares. This proposed dividend is subject to the approval of shareholders in the ensuing annual general meeting.
Note 50: Related parties disclosure 23 Navratan Techbuild Private Limited
A. Related parties are classified as: 24 Oasis Township Private Limited
S.N. Name °f Company 25 Omaxe Buildhome Limited
I H°ldmg Company 26 Omaxe Buildwell Limited
I Guild Builders Private Urnrited 27 Omaxe Chandigarh Extension Developers Private
II Fellow Subsidiary companies Limited
1 Dream Home Developers Private Limited 28 Omaxe Connaught Place Mall Limited
2 Hansa Properties Private Limited 29 Omaxe Entertainment Limited
III Wholly owned Subsidiary companies 30 Omaxe Forest Spa and Hills Developers Limited
1 Anjaniputra Builders Private Limited 31 Omaxe Hitech Infrastructure Company Private Limited
2 Ansh Builders Private Limited 32 Omaxe Housing and Developers Limited
3 Arman Builders Private Limited 33 Omaxe Housing And Infrastructure Limited
4 Atulah Contractors and Constructions Private Limited 34 Omaxe Infotech City Developers Limited
5 Eden Buildcon Limited 35 Omaxe Infrastructure Limited
6 Ekansh Buildtech Private Limited 36 Omaxe International Bazaar Private Limited
7 Garv Buildtech Private Limited 37 Omaxe Power Private Limited
8 Golden Glades Builders Private Limited 38 Omaxe Rajasthan SEZ Developers Limited
9 Green Planet Colonisers Private Limited 39 Omtech Infrastructure and Construction Limited
10 Hamara Ghar Constructions and Developers Private 40 Pam Developers (India) Private Limited Umited 41 Pancham Realcon Private Limited
11 Jagdamba Contractors and Builders Limited 42 Panchi Developers Private Limited
12 JKB C°nstructi°ns Private Umited 43 Primordial Buildcon Private Limited
13 JRS Projects Private Umited 44 Rohtas Holdings (Gulf) Limited
14 Kamini Builders And Promoters Private Limited 45 Shamba Developers Private Limited
15 Kashish Buildtech Private Umited 46 Shikhar Landcon Private Limited
16 Kavya Buildtech Private Umited 47 Zodiac Housing and Infrastructure Private Limited
17 Landlord Developers Private Limited IV Other Subsidiary Companies
18 Link Infrastructure and Developers Private Limited 1 pp Devcon Private Limited
19 Mehboob Builders Private Limited 2 Rivaj Infratech Private Limited
20 Mehtab Infratech Private Limited 3 Robust Buildwell Private Limited
21 IVtonarch VWas Pirate Umited 4 Sri Balaji Green Heights Private Limited
22 National Affordable Housing and Infrastructure Limited 5 Giant Dragon Mart Private Limited
V Step Subsidiary Companies 8 Agasthya Properties Private Limited
1 Aadhira Developers Private Limited 9 Alpesh Builders Private Limited
2 Aarzoo Technobuild Private Limited 10 Amber Infrabuild Private Limited
3 Aashna Realcon Private Limited 11 Amit Jain Builders Private Limited
4 Abhas Realcon Private Limited 12 Amod Builders Private Limited
5 Abheek Builders Private Limited 13 Ananddeep Realtors Private Limited
6 Adesh Realcon Private Limited 14 Anant Realcon Private Limited
7 Aditya Realtech Private Limited 15 Aneesh Buildtech Private Limited
8 Anveshan Builders Private Limited 16 Apoorva Infrabuild Private Limited
9 Aradhya Real Estate Private Limited 17 Arhant Infrabuild Private Limited
10 Ashok Infrabuild Private Limited 18 Aric Infrabuild Private Limited
11 Ashray Infrabuild Private Limited 19 Arjit Builders Private Limited
12 Aviral Colonizers Private Limited 20 Art Balcony Private Limited
13 Ayush Landcon Private Limited 21 Avindra Estate Developers Private Limited
14 Bhanu Infrabuild Private Limited 22 Avval Builders Private Limited
15 Caspian Realtors Private Limited 23 Balesh Technobuild Private Limited
16 Chapal Buildhome Private Limited 24 Bali Buildtech Private Limited
17 Daman Builders Private Limited 25 Bandhu Buildtech Private Limited
18 Damodar Infratech Private Limited 26 Beautiful Landbase Private Limited
19 Davesh Technobuild Private Limited 27 Bhargav Builders Private Limited
20 Dhanu Real Estate Private Limited 28 Bhavesh Buildcon Private Limited
21 Dinkar Realcon Private Limited 29 Chaitanya Realcon Private Limited
22 Ekapad Developers Private Limited 30 Chetan Infrabuild Private Limited
23 Glacier Agro Foods Products Private Limited 31 Chirag Buildhome Private Limited
24 Hemang Buildcon private Limited 32 Cress Propbuild Private Limited
25 Hiresh Builders Private Limited 33 Daksh Township Private Limited
26 Manit Developers Private Limited 34 Darsh Buildtech Private Limited
27 Marine Sands Limited 35 Deejit Developers Private Limited
28 Navadip Developers Private Limited 36 Deepaalay Realtors Private Limited
29 Nri City Developers Private Limited (w.e.f. 15.06.2017) 37 Deepal Township Private Limited
30 Oasis Suncity Realtors Private Limited 38 Deepsing Realtors Private Limited
31 Omaxe India Trade Centre Private Limited 39 Desire Housing and Construction Private Limited
32 Radiance Housing and Properties Private Limited 40 Devgar Estate Developers Private Limited
33 Reliable Manpower Solutions Limited 41 Distinctive Infrastructure And Construction Private
34 RPS Suncity Promoters and Developers Private Limited Umited
35 Rupesh Infratech private Limited 42 Dream Techno BuNcl Pirate Umited
36 S N Realtors Private Limited 43 Dream Towers Private Limited
37 Sanvim Developers Private Limited 44 DVM Realtors Private Umited
38 Sarthak Landcon Private Limited 45 Excellent Apartmente Wrate Umited
39 Sarva Buildtech Private Limited 46 Fast Track Buildcon Wrate Umited
40 Satkar Colonisers Private Limited 47 Fragrance Housing And Properties Private Limited
41 Satvik Hitech Builders Private Limited 48 Giaam^ Bator''s Wrate Umited
42 Shubh Bhumi Developers Private Limited 49 Garg and Goel Estate Developers Private Limited
43 Silver Peak Township Private Limited 50 Garg Realtors Private Umited
44 Tejpal Infra Developers Private Limited 51 Garvish Realtors Pirate Umited
45 Utkrisht Real Estate and Associates Private Limited 52 Gaurang Buildcon Pirate Umited
VI Associates Company 53 Geet Buildhome Private Limited
1 Parkash Omaxe Amusement Park Private Limited 54 Girish BuNdweN Pirate Umited
2 Capital Redevelopment Private Limited 55 Goel Isha Colonisers Pirate Umited
VII Other Entities under significant control 56 Green Earth Promoters Pirate Umited
1 Aanchal Infrabuild Private Limited 57 Gurmeet BuNders Pirate Umited
2 Abhay Technobuild Private Limited 58 Hina TechnobuNd Rwate Umited
3 Abhiman Buildtech Private Limited 59 ^rasan Developers Wrate Umited
4 Absolute Infrastructure Private Limited 60 !nesh Developers Private Umited
5 Adil Developers Private Limited 61 Istuti Realcon Private Umited
6 Advaita Properties Private Limited 62 Jagat Buildtech Private Umited
7 Advay Properties Private Limited 63 Jai Dev Colonisers Private Limited
64 Jayant Buildhome Private Limited 121 Shardul Builders Private Limited
65 Jishnu Buildcon Private Limited 122 Shashank Buildhome Private Limited
66 Jitenjay Realtors Private Limited 123 Shivkripa Buildhome Private Limited
67 Jivish Colonisers Private Limited 124 Shivshakti Realbuild Private Limited
68 JSM Enterprises Private Limited 125 Shreyas Buildhome Private Limited
69 Kalp Buildtech Private Limited 126 Singdeep Estate Developers Private Limited
70 Kanak Buildhome Private Limited 127 Smart Buildhome Private Limited
71 Kartik Buildhome Private Limited 128 Snehal Buildcon Private Limited
72 KBM Constructions Private Limited 129 SNJ Builders Private Limited
73 Keshto Buildcon Private Limited 130 Source Developers Private Limited
74 Kishordeep Realtors Private Limited 131 Spike Developers Private Limited
75 Krishan Kripa Buildcon Private Limited 132 Starex Projects Private Limited
76 Laldeep Realtors Private Limited 133 OH-Max Entertainment Private Limited
77 Lavanya Builders Private Limited 134 Stepping Stone Buildhome Private Limited
78 Lifestyle Township Private Limited 135 Stronghold Properties Private Limited
79 Lohith Developers Private Limited 136 Subodh Buildwell Private Limited
80 Luxury Township Private Limited 137 Sumedha Builders Private Limited
81 M I J Infrastructure Private Limited 138 Sunrise Township Private Limited
82 Mangal Bhumi Properties Private Limited 139 Sunview Township Private Limited
83 Mangla Villas Private Limited 140 Swapan Sunder Township Developers Private Limited
84 Manik Buildcon Private Limited 141 Swapnil Buildhome Private Limited
85 Mankish Colonisers Private Limited 142 Swarg Sukh Buildhome Private Limited
86 Manwal Colonisers Private Limited 143 Taru Buildcon Private Limited
87 Meghmala Builders Private Limited 144 True Dreams Developers Private Limited
88 Mihir Buildwell Private Limited 145 True Estate Build Developers Private Limited
89 Milestone Township Private Limited 146 True Gem Tech Developers Private Limited
90 Motto Developers Private Limited 147 Tushar Landcon Private Limited
91 Nakul Technobuild Private Limited 148 Udal Properties Private Limited
92 Naptune Technobuild Projects Private Limited 149 Umang Buildcon Private Limited
93 Natraj Colonisers Private Limited 150 Vaibhav Technobuild Private Limited
94 Naveenraj Realtors Private Limited 151 Vaman Buildhome Private Limited
95 Neegar Developers Private Limited 152 Veenish Realtors Private Limited
96 New Horizons Township Developers Private Limited 153 VGSG Realtors Private Limited
97 Omaxe Affordable Homes Private Limited 154 Vimsan Realtors Private Limited
98 Omaxe Hotels Limited 155 Vineera Colonisers Private Limited
99 Omaxe Realtors Limited VIII Entities over which key managerial personnel or their
100 P N Buildcon Private Limited relatives exercises significant influence
101 Parjit Realtors Private Limited 1 Adhar Buildtech Rwate Umited
102 Prabal Developers Private Limited 2 Affordable Home Loan Advisors Private Limited
103 Praveen Buildcon Private Limited 3 Aftab Developers Rwate Umited
104 Praveen Mehta Builders Private Limited 4 Amani Realcon Private Umited
105 PSJ Developers Private Limited 5 Annay Realtors Private Limited
106 Puru Builders Private Limited 6 Arhan Builders Rwate Umited
107 Ramniya Estate Developers Private Limited 7 ^an Fast Food Services Rwate Umited
108 Raveendeep Colonisers Private Limited 8 Aviral Buildtech Rwate Umited
109 Rocky Valley Resorts Private Limited 9 Axeom Advertising Solutions Limited
110 Rockyard Properties Private Limited 10 B D Agarwa! Securities Private Umited
111 Sandeep Landcon Private Limited 11 Badal Developers Private Umited
112 Sandeep Township Private Limited 12 Badal lmpex Rwate Umited
113 Sangupt Developers Private Limited 13 Banke BuNders Private Umited
114 Sanjit Realtors Private Limited 14 Bhanu RetaN Rwate Umited
115 Sankalp Realtors Private Limited 15 ^a^toh^rrn TownsNp Umited
116 Sanya Realtors Private Limited 16 Bhuvan BuNdtech Rwate Umited
117 Savim Realtors Private Limited 17 Blossom BuNdhome Rwate Umited
118 Sentinent Properties Private Limited 18 BuNdweN BuNders Rwate Umited
119 Shalin Buildwell Private Limited 19 Caleen Hotels Rwate Umited
120 Shantiniwas Developers Private Limited 20 Daksh Airport Developers Private Limited
21 Damini Infratech Private Limited 75 Sapphire Township and Developers Private Limited
22 Darpan Consultancy & Retail Services Private Limited 76 Shining Home Infrastructure Private Limited (formarly known as Darpan Buildtech Private Limited) 77 Starshine Realtors Pvt. Ltd.
23 Deepsan Realtors Private Umited 78 Sukhversa Properties Private Limited
24 Derwal Realtors Private Limited 79 Sunlife Properties Private Limited
25 Devang Builders Private Limited 80 Supplified Technologies Private Limited
26 Divya Buildhome Private Limited 81 Swarn Bhumi Buildhome Private Limited
27 Dwarkadish Land and Farms Private Limited 82 Tariq Infrabuild Private Limited
28 Examo Estete IVIanag^rt Private Limited 83 The International Omaxe Construction Limited
29 Forever Housing and Properties Private Limited 84 Veer Buildhome Private Limited
30 Fragrance Information And Communication Technologies 85 Vingar Developers Private Limited
Private Limited 86 Vishishth Buildhome Private Limited
31 Gagan Realcon Private Limited
a 87 VSG Builders Private Limited
32 Glamour Hotels Private Limited
88 Affordable India Housing Finance Limited
33 Havish Buildcon Private Limited
89 Swarndhara Housing LLP (up to 01.06.2017)
34 Hitech Hotels Private Limited
90 Magppie Living Private Limited
35 Hriday Hitech Builders Private Limited
1 91 M/s J.B. Goel & Family ( HUF)
36 Inesh Buildcon Private Limited
92 M/s Rohtas Goel (HUF)
37 ^aJab Builders Private Limited 93 m/s Sunil Goel ( HUF)
38 Interactive Buildtech Private Umited IX Key managerial personnel
39 Jai Bhoomi Projects Limited 1 Mr. Rohtas Goel
40 Jalesh Builders And Developers private Limited 2 Mr. Sunil Goel (upto 27* September, 2017)
41 Kanha Logistics Private Limited
a 3 Mr. Jai Bhagwan Goel
42 Kirti Hotels Private Limited
4 Mr. Mohit Goel
43 LB Circle India Private Limited
5 Mr. Sudhangshu Shekhar Biswal
44 Maa Omwati Education Trust
6 Mr. Vimal Gupta
45 Manprav Developers Private Limited 7 ms Shubha Singh
46 Megh Airways Private Limited 8 Ms Vijayalaxmi
47 Miniature Township and Properties Private Limited 9 Mr Sudip Bandyopadhyay
48 Mohak Tours and Travels Private Limited
10 Mr. Srinivas Kanakagiri (w.e.f. 29.07.2017)
49 NAFHIL Gujrat Homes Limited
1 11 Ms. Shruti Dvivedi Sodhi (w.e.f. 29.05.2017)
50 Nikunj Infrabuild Private Limited
1 12 Ms. Seema Prasad Avasarala (w.e.f. 27.09.2017)
51 NJS Developers Private Limited
r 13 Mr. Prem Singh Rana (upto 23.10.2017)
52 Obalesh Buildcon Private Limited
14 Lt. Gen (Retd) Bhopinder Singh (up to 12.07.2017)
53 Omaxe Lake City Private Limited 15 Ms. Padmaja Ruparel (Upto 29.05.2017)
54 Omaxe Foundation (Regd ) X Relatives of key managerial personnel
55 Omaxe Global Trading Corporation Private Limited 1 Mrs Siishma Goel
56 Omaxe Housing And Commercial Projects Limited 2 Mr Sunil Goel
57 Omaxe Infrastructure Development Private Limited
r 3 Mrs. Seema Goel
58 Omaxe Madhya Pradesh Affordable Housing Private 4 Mr Jatin Goel Limited ''
5 Mrs. Rekha Goel
59 Omaxe Orissa Developers Limited
6 Mr. Nakul Goel
60 Omaxe Pragati Maidan Exhibition Limited
61 Omaxe Punjab Affordable Housing Private Limited
62 Omaxe Rajasthan Affordable Housing Private Limited
63 Omaxe Retail Limited
64 Omaxe Uttar Pradesh Affordable Housing Private Limited
65 Paradise On Earth Properties Private Limited
66 Radhika Buildwell Private Limited
67 Rahi Transport Private Limited
68 Ramneesh Builders Private Limited
69 Renown Estate Developers Private Limited
70 Rishit Buildcon Private Limited
71 Rohak Builders Private Limited
72 Ryhme Propbuild Private Limited
73 Saamit Realtors Private Limited
74 Sakal Agrotech Private Limited
Note 51: Previous year figures were audited by M/s Doogar & Associates, Chartered Accountants.
Note 52: STANDARDS ISSUED BUT NOT YET EFFECTIVE
The amendments to standards that are issued, but not yet effective, up to the date of issuance of the Company''s financial statements are disclosed below. The Company intends to adopt these standards, if applicable, when they become effective.
The Ministry of Corporate Affairs (MCA) has issued the Companies (Indian Accounting Standards) Amendment Rules, 2017 and Companies (India Accounting Standards) Amendments Rules, 2018 amending the following standards:
Ind AS 115 Revenue from Contracts with Customer
Ind AS 115 was issued on 29 March 2018 and establishes a five-step model to account for revenue arising from contracts with customers. Under Ind AS 115, revenue is recognized at an amount that reflects that consideration to which an entity expects to be entitled in exchange for transferring goods or service to a customer.
The new revenue standard will supersede all current revenue recognition requirements under Ind AS and the guidance note or real estate issued by ICAI. Ind AS 115 is applicable to the Company for annual periods beginning on or after 1st April, 2018.
The management of the Company believes that the contract satisfies the conditions of Ind AS 115 for recognition of revenue over time. Hence the effect of applying Ind AS 115 on the financial statements will be immaterial.
Note 53: The Previous year figures have been regrouped/ reclassified, wherever necessary, to make them comparable with current year figures.
Mar 31, 2017
Note- 1
During the year, the Company had specified bank notes or other denomination note as defined in the MCA notification G.S.R. 308E 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:
Note - 2
Terms/rights attached to shares Equity
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 board of directors is subject to the approval of the shareholders in the ensuing Annual General Meeting. In the event of liquidation of the company, the holders 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. During the year ended March 31, 2017 the amount of dividend proposed as distribution to equity share holders is Rs. 0.70 per share (PY Rs. 0.70 per share).
Note - 3
During the year ended March 31, 2014, the Company allotted 9,333,540 equity shares of Rs. 10/- each as bonus shares to the existing shareholders of the Company to the exception of promoter/promoter group out of securities premium account, thereby, the paid up equity share capital of the Company had increased by Rs. 93.34 mn. The Company has not allotted any other fully paid shares except as above pursuant to contract(s) without payment being received in cash and has neither allotted any fully paid up shares by way of bonus shares nor has bought back any class of shares during the period of five years immediately preceding the balance sheet date.
4 Determination of revenues under âPercentage of Completion method'' necessarily involves making estimates by management for percentage of completion, cost to completion, revenues expected from projects, projected profits and losses. These estimates being of a technical nature have been relied upon by the auditors
5 Balances of trade receivable, trade payable, loan/ advances given and other financial and non financial assets and liabilities are subject to reconciliation and confirmation from respective parties. The balance of said trade receivable, trade payable, loan/ advances given and other financial and non financial assets and liabilities are taken as shown by the books of accounts. The ultimate outcome of such reconciliation and confirmation cannot presently be determined, therefore, no provision for any liability that may result out of such reconciliation and confirmation has been made in the financial statement, the financial impact of which is unascertainable due to the reasons as above stated.
6 The Income Tax Department has filed writ petition before Hon''ble Delhi High Court against the order of Income tax settlement commission in earlier years for assessment year 2000-01 to 2006-07, which is pending for hearing. Pending final outcome of such petition filed, no provision of any potential liability has been made in the books of accounts, the amount of which cannot presently be ascertained.
The income tax department has raised a demand of Rs. 1093.51 mn against the company after giving effect to orders of CIT(A) / ITAT for A.Y 2007-08 to A.Y 2010-11, mainly on account of disallowance u/s 80IB. The company has filed further appeals before the higher authorities against the impugned orders of the CIT (A) / ITAT An amount of Rs. 1,020.03 mn has been deposited by the company against this demand under dispute. Further the Income Tax Department has also filed necessary appeals/writ petitions/ SLP with appropriate authority against the relief given by various appellate authorities to the Company. A further demand of Rs. 304.05 mn has been raised against the company for A.Ys 2007-08, 2009-10 to 2013-14 either mainly on account of disallowance u/s 80IB or penalty u/s 271(1)(c) and the company has filed appeals before the CIT(A) against this demand. An amount of Rs. 98.92 mn has been deposited by the company against this demand under dispute.
Based on the decision of various appellate authorities and the interpretations of relevant provisions of Income Tax Act, 1961, the Company has been advised by the experts that the claim of the company under Section 80IB is sustainable; accordingly the Company is hopeful that the demand so raised is likely to be deleted.
7 The Company has advanced a sum of Rs. 745.05 mn to one of its wholly owned subsidiary company namely Eden Buildcon Limited (hereinafter referred to as âSubsidiary Companyâ) for acquiring land from Hyderabad Metropolitan Development Authority (HMDA) for real estate projects. The said subsidiary company participated in bid in respect of auction by HMDA and paid initial deposit of Rs. 750.63 mn against total value of Rs. 3,002.50 mio. During the process of post auction verification of title to the auctioned land, the subsidiary company on scrutiny of documents found that the auctioned land is the subject matter of pending litigations before Hon''ble Andhra Pradesh High Court. Thereafter, the subsidiary company requested HMDA to obtain necessary orders from the court empowering HMDA to alienate the auction land and also expressed its earnest intention to pay the balance cost of land. HMDA asserted that there is no legal impediment for transferring the title of the land and directed the subsidiary company to remit the balance sales consideration. The subsidiary company applied to HMDA for refund of the initial booking amount. The request for such refund was not considered by HMDA and HMDA demanded balance amount of Rs. 2,251.87 mn failing which the entire booking amount was liable to be forfeited. On writ petition filed by the company for refund of the amount deposited which was tagged along with other similar petitions, single bench of Hon''ble Andhra Pradesh High Court allowed the appeal in favour of the subsidiary company. Appeal against the order of the single bench was filed by HMDA before division bench, which was allowed in favour of HMDA. The subsidiary company has filed special leave petition (SLP) before Hon''ble Supreme Court of India and stay order has been granted. The matter is sub-judice and is pending before Hon''ble Supreme Court of India. Pending final outcome of such petition filed, the amount advanced by the company to subsidiary company is considered good and classified as non-current.
8. The amount of expenditure for the year ended 31st March, 2017, which the Company was required to incur related to Corporate Social Responsibility as per section 135 of Companies Act, 2013 worked out to be Rs. 16.53 mn (PY 14.67 mn). During the year ended 31st March, 2017, the Company has incurred a sum of Rs. 2.46 mn (PY 0.84 mn) on this account.
Note 42 : EMPLOYEE BENEFIT OBLIGATIONS 1) Post-Employment Obligations - Gratuity
The Company provides gratuity for employees in India as per the Payment of Gratuity Act, 1972. Employees who are in continuous service for a period of 5 years are eligible for gratuity. The amount of gratuity payable on retirement/ termination is the employees'' last drawn basic salary per month computed proportionately for 15 days salary multiplied by the number of years of service. For the funded plan the Company makes contributions to recognized funds in India. The Company does not fully fund the liability and maintains a target level of funding to be maintained over a period of time based on estimations of expected gratuity payments.
9) Leave Encashment
Provision for leave encashment in respect of unavailed leaves standing to the credit of employees is made on actuarial basis. The Company does not maintain any fund to pay for leave encashment
10) Defined Contribution Plans
The Company also has defined contribution plan i.e. contributions to provident fund in India for employees. The Company makes contribution to statutory fund in accordance with Employees Provident Fund and Misc. Provision Act, 1952. This is post employment benefit and is in the nature of defined contribution plan. The contributions are made to registered provident fund administered by the government.
b. The lease agreements provide for an option to the Company to renew the lease period at the end of the non-cancellation period. There are no exceptional / restrictive covenants in the lease agreement.
c. Lease rent expenses in respect of operating lease debited to statement of profit and loss Rs. 46.49 mn (PY Rs. 47.65 mn).
Note 11 : SEGMENT INFORMATION
In line with the provisions of Ind AS 108 - Operating Segments and on the basis of review of operations being done by the management of the Company, the operations of the Company falls under real estate business, which is considered to be the only reportable segment by management.
Investment in subsidiaries and associates are measured at cost as per Ind AS 27, âSeparate financial statements''.
(ii) Fair Value Hierarchy
This section explains the judgements and estimates made in determining the fair values of the financial instruments that are recognized and measured at fair value. To provide an indication about the reliability of the inputs used in determining fair value, the group has classified its financial instruments into the three levels prescribed under the Indian Accounting Standard. An explanation of each level follows underneath the table.
For short term financial assets and liabilities carried at amortized cost. the carrying value is reasonable approximation of fair value.
Note 12 : RISK MANAGEMENT
The Company''s activities expose it to market risk, liquidity risk and credit risk. The management has the overall responsibility for the establishment and oversight of the Company''s risk management framework. This note explains the sources of risk which the entity is exposed to and how the entity manages the risk and the related impact in the financial statements.
Credit risk
Credit risk is the risk that a counterparty fails to discharge its obligation to the Company. The Company''s exposure to credit risk is influenced mainly by cash and cash equivalents, trade receivables and financial assets measured at amortized cost. The Company continuously monitors defaults of customers and other counterparties and incorporates this information into its credit risk controls.
Credit risk management
Credit risk rating
The Company assesses and manages credit risk of financial assets based on following categories arrived on the basis of assumptions, inputs and factors specific to the class of financial assets.
A: Low credit risk on financial reporting date B: Moderate credit risk C: High credit risk
Based on business environment in which the Company operates, a default on a financial asset is considered when the counter party fails to make payments within the agreed time period as per contract. Loss rates reflecting defaults are based on actual credit loss experience and considering differences between current and historical economic conditions.
Concentration of trade receivables
Trade receivables consist of a large number of customers spread across various states in India with no significant concentration of credit risk.
Credit risk exposure
Provision for expected credit losses
The Company provides for 12 month expected credit losses for following financial assets -
The Company considers provision for lifetime expected credit loss for trade receivables. Given the nature of business operations, the Company''s receivables from real estate business has little history of losses as transfer of legal title of properties sold is generally passed on to the customer, once the Company receives the entire consideration. Therefore trade receivables have been considered as moderate credit risk financial assets. Further, during the periods presented, the Company has made no write-offs of receivables.
Liquidity risk
Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company''s approach to managing liquidity is to ensure as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due.
Management monitors rolling forecasts of the liquidity position and cash and cash equivalents on the basis of expected cash flows. The Company takes into account the liquidity of the market in which the entity operates.
Maturities of financial liabilities
The tables below analyze the financial liabilities into relevant maturity pattern based on their contractual maturities.
Market risk Interest Rate risk
The Company''s policy is to minimize interest rate cash flow risk exposures on long-term financing. At 31 March the Company is exposed to changes in market interest rates through bank borrowings at variable interest rates. Other borrowings are at fixed interest rates.
The following table illustrates the sensitivity of profit and equity to a possible change in interest rates of /- 1% (31 March 2017: /- 1%; 31 March 2016: /-1%;). These changes are considered to be reasonably possible based on observation of current market conditions. The calculations are based on a change in the average market interest rate for each period, and the financial instruments held at each reporting date that are sensitive to changes in interest rates. All other variables are held constant.
Note 13. : Related parties disclosures A. Related parties are classified as :
(a) Holding company
1 Guild Builders Private Limited
(b) Fellow Subsidiary companies
1 Dream Home Developers Private Limited
2 Hansa Properties Private Limited
(c) Wholly owned subsidiary companies
1 Anjaniputra Builders Private Limited
2 Ansh Builders Private Limited
3 Arman Builders Private Limited
4 Atulah Contractors and Constructions Private Limited
5 Champion Realtors Private Limited (up to 22.02.2017)
6 Eden Buildcon Limited
7 Ekansh Buildtech Private Limited
8 Garv Buildtech Private Limited
9 Golden Glades Builders Private Limited
10 Green Planet Colonisers Private Limited
11 Hamara Ghar Constructions and Developers Private Limited
12 Jagdamba Contractors and Builders Limited
13 Jewel Projects Private Limited (Up to 09.02.2017)
14 JKB Constructions Private Limited
15 JRS Projects Private Limited
16 Kamini Builders And Promoters Private Limited
17 Kashish Buildtech Private Limited
18 Kavya Buildtech Private Limited
19 Landlord Developers Private Limited
20 Link Infrastructure and Developers Private Limited
21 Mehboob Builders Private Limited
22 Mehtab Infratech Private Limited
23 Monarch Villas Private Limited
24 National Affordable Housing and Infrastructure Limited
25 Navratan Techbuild Private Limited
26 Oasis Township Private Limited
27 Omaxe Buildhome Limited
28 Omaxe Buildtech Limited (upto 03.01.2017)
29 Omaxe Buildwell Limited
30 Omaxe Chandigarh Extension Developers Private Limited
31 Omaxe Connaught Place Mall Limited
32 Omaxe Entertainment Limited
33 Omaxe Forest Spa and Hills Developers Limited
34 Omaxe Hitech Infrastructure Company Private Limited
35 Omaxe Housing and Developers Limited
36 Omaxe Housing And Infrastructure Limited
37 Omaxe Infotech City Developers Limited
38 Omaxe Infrastructure Limited
39 Omaxe International Bazaar Private Limited (w.e.f.
08.03.2017)
40 Omaxe Power Private Limited
41 Omaxe Rajasthan SEZ Developers Limited
42 Omtech Infrastructure and Construction Limited
43 Pam Developers (India) Private Limited
44 Pancham Realcon Private Limited
45 Panchi Developers Private Limited
46 Primordial Buildcon Private Limited
47 Rohtas Holdings (Gulf) Limited
48 Shamba Developers Private Limited
49 Shikhar Landcon Private Limited
50 Zodiac Housing and Infrastructure Private Limited
(d) Other Subsidiary Companies
1 Capital Redevelopment Private Limited (upto
22.08.2016)
2 PP Devcon Private Limited
3 Rivaj Infratech Private Limited
4 Robust Buildwell Private Limited
5 Sri Balaji Green Heights Private Limited
6 Giant Dragon Mart Private Limited
(e) Step Subsidiary Companies
1 Aadhira Developers Private Limited
2 Aarzoo Technobuild Private Limited
3 Aashna Realcon Private Limited
4 Abhas Realcon Private Limited
5 Abheek Builders Private Limited
6 Adesh Realcon Private Limited
7 Aditya Realtech Private Limited
8 Anveshan Builders Private Limited
9 Aradhya Real Estate Private Limited
10 Ashok Infrabuild Private Limited
11 Ashray Infrabuild Private Limited
12 Aviral Colonizers Private Limited
13 Ayush Landcon Private Limited
14 Bhanu Infrabuild Private Limited
15 Caspian Realtors Private Limited
16 Chapal Buildhome Private Limited
17 Daman Builders Private Limited
18 Damodar Infratech Private Limited
19 Davesh Technobuild Private Limited
20 Dhanu Real Estate Private Limited
21 Dinkar Realcon Private Limited
22 Ekapad Developers Private Limited
23 Glacier Agro Foods Products Private Limited
24 Hemang Buildcon private Limited
25 Hiresh Builders Private Limited
26 Manit Developers Private Limited
27 Marine Sands Limited
28 Navadip Developers Private Limited
29 Oasis Suncity Realtors Private Limited
30 Omaxe India Trade Centre Private Limited
31 Radiance Housing and Properties Private Limited
32 Reliable Manpower Solutions Limited
33 RPS Suncity Promoters and Developers Private Limited
34 Rupesh Infratech private Limited
35 S N Realtors Private Limited
36 Sanvim Developers Private Limited
37 Sarthak Landcon Private Limited
38 Sarva Buildtech Private Limited
39 Satkar Colonisers Private Limited
40 Satvik Hitech Builders Private Limited
41 Shubh Bhumi Developers Private Limited
42 Silver Peak Township Private Limited
43 Tejpal Infra Developers Private Limited
44 Utkrisht Real Estate and Associates Private Limited
(f) Associates Companies
1 Parkash Omaxe Amusement Park Private Limited
2 Capital Redevelopment Private Limited (w.e.f.
23.08.2016)
(g) Other Entities under significant control
1 Aanchal Infrabuild Private Limited
2 Abhay Technobuild Private Limited
3 Abhiman Buildtech Private Limited
4 Absolute Infrastructure Private Limited
5 Adil Developers Private Limited
6 Advaita Properties Private Limited
7 Advay Properties Private Limited
8 Agasthya Properties Private Limited
9 Alpesh Builders Private Limited
10 Amber Infrabuild Private Limited
11 Amit Jain Builders Private Limited
12 Amod Builders Private Limited
13 Ananddeep Realtors Private Limited
14 Anant Realcon Private Limited
15 Aneesh Buildtech Private Limited
16 Apoorva Infrabuild Private Limited
17 Arhant Infrabuild Private Limited
18 Aric Infrabuild Private Limited
19 Arjit Builders Private Limited
20 Art Balcony Private Limited
21 Avindra Estate Developers Private Limited
22 Avval Builders Private Limited
23 Balesh Technobuild Private Limited
24 Bali Buildtech Private Limited
25 Bandhu Buildtech Private Limited
26 Beautiful Landbase Private Limited
27 Bhargav Builders Private Limited
28 Bhavesh Buildcon Private Limited
29 Chaitanya Realcon Private Limited
30 Chetan Infrabuild Private Limited
31 Chirag Buildhome Private Limited
32 Cress Propbuild Private Limited
33 Daksh Township Private Limited
34 Darsh Buildtech Private Limited
35 Deejit Developers Private Limited
36 Deepaalay Realtors Private Limited
37 Deepal Township Private Limited
38 Deepsing Realtors Private Limited
39 Desire Housing and Construction Private Limited
40 Devgar Estate Developers Private Limited
41 Distinctive Infrastructure And Construction Private Limited
42 Dream Techno Build Private Limited
43 Dream Towers Private Limited
44 DVM Realtors Private Limited
45 Excellent Apartments Private Limited
46 Fast Track Buildcon Private Limited
47 Fragrance Housing And Properties Private Limited
48 Gaamit Realtors Private Limited
49 Garg and Goel Estate Developers Private Limited
50 Garg Realtors Private Limited
51 Garvish Realtors Private Limited
52 Gaurang Buildcon Private Limited
53 Geet Buildhome Private Limited
54 Girish Buildwell Private Limited
55 Goel Isha Colonisers Private Limited
56 Green Earth Promoters Private Limited
57 Gurmeet Builders Private Limited
58 Hina Technobuild Private Limited
59 Indrasan Developers Private Limited
60 Inesh Developers Private Limited
61 Istuti Realcon Private Limited
62 Jagat Buildtech Private Limited
63 Jai Dev Colonisers Private Limited
64 Jayant Buildhome Private Limited
65 Jishnu Buildcon Private Limited
66 Jitenjay Realtors Private Limited
67 Jivish Colonisers Private Limited
68 JSM Enterprises Private Limited
69 Kalp Buildtech Private Limited
70 Kanak Buildhome Private Limited
71 Kartik Buildhome Private Limited
72 KBM Constructions Private Limited
73 Keshto Buildcon Private Limited
74 Kishordeep Realtors Private Limited
75 Krishan Kripa Buildcon Private Limited
76 Laldeep Realtors Private Limited
77 Lavanya Builders Private Limited
78 Lifestyle Township Private Limited
79 Lohith Developers Private Limited
80 Luxury Township Private Limited
81 M I J Infrastructure Private Limited
82 Mangal Bhumi Properties Private Limited
83 Mangla Villas Private Limited
84 Manik Buildcon Private Limited
85 Mankish Colonisers Private Limited
86 Manwal Colonisers Private Limited
87 Meghmala Builders Private Limited
88 Mihir Buildwell Private Limited
89 Milestone Township Private Limited
90 Motto Developers Private Limited
91 Nakul Technobuild Private Limited
92 Naptune Technobuild Projects Private Limited
93 Natraj Colonisers Private Limited
94 Naveenraj Realtors Private Limited
95 Neegar Developers Private Limited
96 New Horizons Township Developers Private Limited
97 Omaxe Affordable Homes Private Limited
98 Omaxe Hotels Limited
99 Omaxe Realtors Limited
100 P N Buildcon Private Limited
101 Parjit Realtors Private Limited
102 Prabal Developers Private Limited
103 Praveen Buildcon Private Limited
104 Praveen Mehta Builders Private Limited
105 PSJ Developers Private Limited
106 Puru Builders Private Limited
107 Ramniya Estate Developers Private Limited
108 Raveendeep Colonisers Private Limited
109 Rocky Valley Resorts Private Limited
110 Rockyard Properties Private Limited
111 Sandeep Landcon Private Limited
112 Sandeep Township Private Limited
113 Sangupt Developers Private Limited
114 Sanjit Realtors Private Limited
115 Sankalp Realtors Private Limited
116 Sanya Realtors Private Limited
117 Savin Realtors Private Limited
118 Sentinent Properties Private Limited
119 Shalin Buildwell Private Limited
120 Shantiniwas Developers Private Limited
121 Shardul Builders Private Limited
122 Shashank Buildhome Private Limited
123 Shivkripa Buildhome Private Limited
124 Shivshakti Realbuild Private Limited (w.e.f.
13.07.2016)
125 Shreyas Buildhome Private Limited
126 Singdeep Estate Developers Private Limited
127 Smart Buildhome Private Limited
128 Snehal Buildcon Private Limited
129 SNJ Builders Private Limited
130 Source Developers Private Limited
131 Spike Developers Private Limited
132 Starex Projects Private Limited
133 OH-Max Entertainment Private Limited (Formerly known as Starshine Realtors Private Limited)
134 Stepping Stone Buildhome Private Limited
135 Stronghold Properties Private Limited
136 Subodh Buildwell Private Limited
137 Sumedha Builders Private Limited
138 Sunrise Township Private Limited
139 Sunshine Buildtech Private Limited (upto
09.02.2017)
140 Sunview Township Private Limited
141 Swapan Sunder Township Developers Private Limited
142 Swapnil Buildhome Private Limited
143 Swarg Sukh Buildhome Private Limited
144 Taru Buildcon Private Limited
145 True Dreams Developers Private Limited
146 True Estate Build Developers Private Limited
147 True Gem Tech Developers Private Limited
148 Tushar Landcon Private Limited
149 Udal Properties Private Limited
150 Umang Buildcon Private Limited
151 Vaibhav Technobuild Private Limited
152 Vaman Buildhome Private Limited
153 Veenish Realtors Private Limited
154 Versatile Buildhome Private Limited (upto
28.08.2016)
155 VGSG Realtors Private Limited
156 Vimsan Realtors Private Limited
157 Vineera Colonisers Private Limited
(h) Entities over which key managerial personnel or their relatives exercises significant influence
1 Adhar Buildtech Private Limited
2 Affordable Home Loan Advisors Private Limited
3 Aftab Developers Private Limited
4 Amani Realcon Private Limited
5 Annay Realtors Private Limited
6 Arhan Builders Private Limited
7 Asian Fast Food Services Private Limited
8 Aviral Buildtech Private Limited
9 Axeom Advertising Solutions Limited
10 B D Agarwal Securities Private Limited
11 Badal Developers Private Limited
12 Badal Impex Private Limited
13 Banke Builders Private Limited
14 Bhanu Retail Private Limited
15 Bharatbhoomi Township Limited
16 Bhuvan Buildtech Private Limited
17 Blossom Buildhome Private Limited
18 Buildwell Builders Private Limited
19 Caleen Hotels Private Limited
20 Daksh Airport Developers Private Limited
21 Damini Infratech Private Limited
22 Darpan Buildtech Private Limited
23 Deepsan Realtors Private Limited
24 Derwal Realtors Private Limited
25 Devang Builders Private Limited
26 Divya Buildhome Private Limited
27 Dwarkadish Land and Farms Private Limited
28 Examo Estate Management Private Limited
29 Forever Housing and Properties Private Limited
30 Fragrance Information And Communication Technologies Private Limited
31 Gagan Realcon Private Limited
32 Glamour Hotels Private Limited
33 Havish Buildcon Private Limited
34 Hitech Hotels Private Limited
35 Hriday Hitech Builders Private Limited
36 Inesh Buildcon Private Limited
37 Inqalab Builders Private Limited
38 Interactive Buildtech Private Limited
39 Jai Bhoomi Projects Limited
40 Jalesh Builders And Developers Private Limited
41 Kanha Logistics Private Limited
42 Kirti Hotels Private Limited
43 LB Circle India Private Limited
44 Maa Omwati Education Trust
45 Manprav Developers Private Limited
46 Megh Airways Private Limited
47 Miniature Township and Properties Private Limited
48 Mohak Tours and Travels Private Limited
49 NAFHIL Gujrat Homes Limited
50 Nikunj Infrabuild Private Limited
51 NJS Developers Private Limited
52 Obalesh Buildcon Private Limited
53 Omaxe Lake City Private Limited
54 Omaxe Foundation (Regd.)
55 Omaxe Global Trading Corporation Private Limited
56 Omaxe Housing And Commercial Projects Limited
57 Omaxe Infrastructure Development Private Limited
58 Omaxe Madhya Pradesh Affordable Housing Private Limited
59 Omaxe Orissa Developers Limited
60 Omaxe Pragati Maidan Exhibition Limited
61 Omaxe Punjab Affordable Housing Private Limited
62 Omaxe Rajasthan Affordable Housing Private Limited
63 Omaxe Retail Limited
64 Omaxe Uttar Pradesh Affordable Housing Private Limited
65 Paradise On Earth Properties Private Limited
66 Radhika Buildwell Private Limited
67 Rahi Transport Private Limited
68 Ramneesh Builders Private Limited
69 Renown Estate Developers Private Limited
70 Rishit Buildcon Private Limited
71 Rohak Builders Private Limited
72 Ryhme Propbuild Private Limited
73 Saamit Realtors Private Limited
74 Sakal Agrotech Private Limited
75 Sapphire Township and Developers Private Limited
76 Shining Home Infrastructure Private Limited
77 Starshine Hotels Private Limited
78 Sukhversa Properties Private Limited
79 Sunlife Properties Private Limited
80 Supplified Technologies Private Limited
81 Swarn Bhumi Buildhome Private Limited
82 Tariq Infrabuild Private Limited
83 The International Omaxe Construction Limited
84 Veer Buildhome Private Limited
85 Vingar Developers Private Limited
86 Vishishth Buildhome Private Limited
87 VSG Builders Private Limited
88 Swarndhara Housing LLP (w.e.f. 06.02.2017)
89 Affordable India Housing Finance Limited (w.e.f.
06.10.2016)
90 Magppie Living Private Limited
91 M/s J.B. Goel & Family ( HUF)
92 M/s Rohtas Goel (HUF)
93 M/s Sunil Goel ( HUF)
(i) Key managerial personnel
1 Mr. Rohtas Goel
2 Mr. Sunil Goel
3 Mr. Jai Bhagwan Goel
4 Mr. Mohit Goel
5 Mr. Sudhangshu Shekhar Biswal
6 Mr. Vimal Gupta
7 Ms. Shubha Singh
8 Ms. Vijayalaxmi
(j) Relatives of key managerial personnel
1 Mrs. Sushma Goel
2 Mrs. Seema Goel
3 Mrs. Rekha Goel
4 Mr. Nakul Goel
Note 14 : CAPITAL MANAGEMENT POLICIES (a) Capital Management
The Company''s capital management objectives are to ensure the Company''s ability to continue as a going concern as well as to provide an adequate return to shareholders by pricing products and services commensurately with the level of risk.
The Company monitors capital on the basis of the carrying amount of equity plus its subordinated loan, less cash and cash equivalents as presented on the face of the statement of financial position and cash flow hedges recognized in other comprehensive income.
Note 15.: FIRST TIME ADOPTION OF IND AS Transition to Ind AS
These are the Company''s first financial statements prepared in accordance with Ind AS.
The accounting policies set out in note âA'' have been applied in preparing the financial statements for the year ended 31 March 2017, the comparative information presented in these financial statements for the year ended 31 March 2016 and in the preparation of an opening Ind AS Statement of Financial Position at 1 April 2015 (the Company''s date of transition). In preparing its opening Ind AS Statement of Financial Position, the company has adjusted the amounts reported previously in financial statements prepared in accordance with the accounting standards notified under Companies (Accounting Standards) Rules, 2006 (as amended) and other relevant provisions of the Act (previous GAAP or Indian GAAP). An explanation of how the transition from previous GAAP to Ind AS has affected the company''s financial position, financial performance and cash flows is set out in the following tables and notes.
A. Exemptions and exceptions availed
The Company has applied the following optional exemptions in the financial statements:
Ind AS optional exemptions
a. Property, plant and equipment and intangible assets were carried in the Balance Sheet prepared in accordance with previous GAAP on 31st March, 2015.
Ind AS 101 permits a first time adopter to measure items of PPE at deemed cost at the date of transition to Ind AS. Deemed cost is to be derived on basis of following two methods:
(i) Fair value/revaluation as deemed cost
(ii) Previous GAAP carrying value as deemed cost
The company has elected to regard previous GAAP carrying values as deemed cost at the date of transition for all assets except in case of land within Property, plant and equipment which are measured at fair value as deemed cost.
b. Under previous GAAP investment in subsidiaries and associates were stated at cost and provisions made to recognize the decline, other than temporary. On transition to Ind AS, the Company has considered their previous GAAP carrying amount as their deemed cost.
Ind AS mandatory exceptions
The Company has applied the following mandatory exceptions to retrospective application in the financial statements:
a. An entity''s estimates in accordance with Ind AS at the date of transition to Ind AS shall be consistent with estimates made for the same date in accordance with previous GAAP (after adjustments to reflect any difference in accounting policies), unless there is objective evidence that those estimates were in error.
Ind AS estimates as at 1 April 2015 are consistent with the estimates as at the same date made in conformity with previous GAAP The company has made estimates in application of fair value of sale consideration received or receivable, in accordance with Ind AS at the date of transition as these were not required under previous GAAP
b. Classification and measurement of financial assets
Investment in equity instruments (other than subsidiary and associates) carried at fair value through profit or loss (FVPL) or fair value through other comprehensive income (FVOCI)
c. Impairment of financial assets based on expected credit loss model.
B: Reconciliations between previous GAAP and Ind AS
Ind AS 101 requires an entity to reconcile equity, total comprehensive income and cash flows for prior periods. The following tables represent the reconciliations from previous GAAP to Ind AS.
Note 16: Fair valuation of Land
On transition to Ind AS the company has elected to measure land carried within property, plant and equipment at fair value and use that fair value as its deemed cost as at the date of transition in accordance with stipulations of Ind AS - 101 with the resultant impact being accounted for in the opening reserves.
Note 17: Fair valuation of Equity Instruments
Under the previous GAAP investments in equity instruments were classified as long-term investments based on the intended holding period and reliability. Long-term investments were carried at cost less provision for other than temporary decline in the value of such investments. Under Ind AS, the Company has valued the said investments (other than Investment in subsidiaries, associate and joint ventures which are accounted at cost), at fair value. Impact of fair value changes as on the date of transition, is recognized in opening reserves and changes thereafter are recognized in Statement of Profit and Loss or Other Comprehensive Income, as the case may be.
Note 18: Interest Free Loans, Advances and Security Deposits
Under the previous GAAP interest free lease security deposits and interest free advances that are refundable in cash on completion of the lease term or the advance period, are recorded at their transaction value. Under Ind AS, all financial assets are required to be recognized at fair value.
Accordingly, the company has fair valued these security deposits and advances and the impact between the fair value and transaction value has been recognized as under:
- in case of security deposits, the impact is treated as prepaid rent; and
- in case of advances given to third parties against goods and services and are refundable, the impact is recognized in opening reserves;
- in case of advances given to subsidiary companies, the impact is recognized as deemed capital investment in respective subsidiary.
In subsequent years, the impact of unwinding is recognized in statement of profit and loss according to the nature of respective deposit and advance.
Note 19: Adjustment in respect of Development Income
Under previous GAAP revenue from real estate development was recognized in accordance with Guidance Note on Accounting for Real Estate Transactions [GN(A)23 (Revised 2012)] issued by Institute of Chartered Accountants of India (ICAI). Revenue in respect of projects commenced before that date was recognized in accordance with Guidance note on Recognition of Revenue by Real Estate Developers [GN(A) 23 (Issued 2006)] issued by ICAI. The 2012 guidance note required project revenue to be measured at âconsideration received or receivable â whereas the 2006 Guidance Note only provided guidance on timing of revenue recognition. Under Ind AS, revenue is measured at âFair value of consideration received or receivableâ, in accordance with Guidance Note on Accounting for Real Estate transactions (for entities to whom Ind AS is applicable). This requires management to make certain judgments and estimates based on facts and circumstances of each project along with trends of past information related thereto.
The impact on account of above from contracted consideration received or receivable to fair value of contracted consideration received or receivable is recognized in opening reserves on the date of transition and changes thereafter are recognized in Statement of Profit and Loss.
It has corresponding impact on inventories, trade receivables, other financial assets, other financial liabilities and other current liabilities.
Note 20: Compound financial instruments
Under IND AS 109, a financial instrument should be classified by the issuer upon initial recognition as a financial liability or an equity instrument according to the substance of the contractual arrangement rather than its actual form. Therefore on transition to Ind AS cumulative redeemable preference shares with nominal rate of preference dividend and premium on redemption has been considered as compound financial instrument, which has been bifurcated into liability and equity components. In subsequent years, the notional interest on liability part using effective interest rate is charged to statement of profit and loss.
Note 21: Term loans, debentures and Public Deposits Accepted
Ind AS 109 requires transaction costs incurred towards origination of borrowings to be deducted from the carrying amount of borrowings on initial recognition. Under previous GAAP, these transaction costs were charged to profit or loss or inventorised as and when incurred. Under IND AS, these costs are recognized in the profit or loss/inventorised over the tenure of the borrowing as part of the interest expense by applying the effective interest rate method and unamortized portion is netted off with carrying amount of the respective borrowing.
Note 22: Interest Free Maintenance and Lease Deposits received
Under the previous GAAP, interest free lease & maintenance security deposits are recorded at their transaction value. Under Ind AS, all financial liabilities are required to be recognized at fair value and measured at amortized cost. Accordingly, the company has fair valued these deposits accepted under Ind AS. Difference between the fair value and transaction value of the deposits has been recognized as deferred income in the balance sheet and is released to profit and loss according to the nature and extent of the underlying transaction.
Note 23: Deferred Tax
The impact of transition adjustments together with Ind AS mandate of using balance sheet approach (against profit and loss approach in the previous
GAAP) for computation of deferred taxes has resulted in charge to the Reserves, on the date of transition, with consequential impact to the Statement of Profit and Loss for the subsequent periods.
Note 24: Retained Earnings
Retained earnings as at April 1, 2015 has been adjusted consequent to the above Ind AS transition adjustments.
Note 25: Proposed Dividend
Under the previous GAAP dividends proposed by the board of directors after the balance sheet date but before the approval of the financial statements were considered as adjusting events. Accordingly, provision for proposed dividend was recognized as a liability. Under Ind AS, such dividends are recognized when the same is approved by the shareholders in the general meeting.
Note 26: Remeasurements of Post-Employment Benefit Obligations
Under the previous GAAP, actuarial gains or losses arising on both defined benefit plans and other long term employee benefits are recognized in the statement of profit and loss. However, under Ind AS - 19, actuarial gains or losses arising on defined benefit plan should be recognized in other comprehensive income instead of profit or loss.
The notes referred to above form an integral part of financial statements.
Mar 31, 2016
1. Terms / rights attached to shares Equity
The company has only one class of equity shares having a par value of '' 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 board of directors is subject to the approval of the shareholders in the ensuing Annual General Meeting. In the event of liquidation of the company, the holders 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. During the year ended March 31, 2016 the amount of proposed dividend recognized as distribution to equity share holders is Rs. 0.70 per share (PY Rs. 0.50 per share).
Preference
The Company has one class of preference shares and having a par value of Rs. 10 per share. The preference shares carry a right to preferential dividend of 0.1 % per annum in relation to capital paid on them and are redeemable upon 20 years from the date of allotment with call and put option for redemption after 10 years from the date of allotment. The redemption of preference share shall be at a premium of 6% per annum from the date of allotment over and above the total issue price per preference share and premium will be prorate/proportionate to the period of holding of these shares. The preference share holders shall have a right to attend annual general meeting and vote on resolution affecting their interest and on all resolution at every meeting where payment of dividend are in arrears for specified period. The preference shares cannot be redeemed unless they are fully paid or otherwise as permitted by law from time to time. The premium payable on redemption of preference shares shall be provided out of the profit of the company or out of securities premium account before the preference shares are redeemed. The company has chosen to pay premium on such redemption out of securities premium account, therefore, no appropriation out of profit have been made. The terms and conditions may be modified/ varied/ amended with due approval.
2. During the year ended March 31, 2014, the Company allotted 9,333,540 equity shares of Rs. 10/- each as bonus shares to the existing shareholders of the Company to the exception of promoter/promoter group out of securities premium account, thereby, the paid up equity share capital of the Company had increased by Rs. 93.34 mio. The Company has not allotted any other fully paid shares except as above pursuant to contract(s) without payment being received in cash and has neither allotted any fully paid up shares by way of bonus shares nor has bought back any class of shares during the period of five years immediately preceding the balance sheet date.
3. During the year ended March 31, 2016, the Company has changed its accounting policy related to accounting of interest due on delayed payments by customers on accrual basis as against on receipts basis to bring the said accounting policy in line with Income Computation and Disclosure Standards (ICDS) issued by Central Board of Direct Taxes. Had the earlier accounting policy on interest income recognition being followed by the Company, the revenue of the Company would have been lower by Rs. 7.34 mio and correspondingly profit of the Company would have been lower by Rs. 7.34 mio.
4. Determination of revenues under âPercentage of Completion method'' necessarily involves making estimates by management for percentage of completion, cost to completion, revenues expected from projects, projected profits and losses. These estimates being of a technical nature have been relied upon by the auditors.
5. Balances of trade receivables, trade payables, current / non-current advances given/ received are subject to reconciliation and confirmation from respective parties. The balance of said trade receivables, trade payables, current / non-current advances given/ received are taken as shown by the books of accounts. The ultimate outcome of such reconciliation and confirmation cannot presently be determined, therefore, no provision for any liability that may result out of such reconciliation and confirmation has been made in the financial statement, the financial impact of which is unascertainable due to the reasons as above stated.
6. Inventories, loans & advances, trade receivables and other current / non-current assets are in the opinion of the management do not have a value on realization in the ordinary course of business, less than the amount at which they are stated in the balance sheet.
7. The Income Tax Department has filed writ petition before Hon''ble Delhi High Court against the order of Income tax settlement commission in earlier years for assessment year 2000-01 to 2006-07, which is pending for hearing. Pending final outcome of such petition filed, no provision of any potential liability has been made in the books of accounts, the amount of which cannot presently be ascertained.
The income tax department has raised a demand of Rs. 1093.51 mio against the company after giving effect to orders of CIT(A) / ITAT for A.Y 2007-08 to A.Y 2010-11, mainly on account of disallowance u/s 80IB. The company has filed further appeals before the higher authorities against the impugned orders of the CIT (A) / ITAT An amount of Rs. 980.03 mio has been deposited by the company against this demand under dispute. Further the Income Tax Department has also filed necessary appeals/writ petitions/ SLP with appropriate authority against the relief given by various appellate authorities to the Company. A further demand of Rs. 199.63 mio has been raised against the company for A.Ys 2007-08, 2011-12 and 2012-13 mainly on account of disallowance u/s 80IB and penalty u/s 271(1)(c) and the company has filed appeals/ is in the process of filing appeal before the CIT(A) against this demand. An amount of Rs. 68.92 mio has been deposited by the company against this demand under dispute
Based on the decision of various appellate authorities and the interpretations of relevant provisions of Income Tax Act, 1961, the Company has been advised by the experts that the claim of the company under Section 80IB is sustainable; accordingly the Company is hopeful that the demand so raised is likely to be deleted.
8. The Company has advanced a sum of Rs. 745.05 mio to one of its wholly owned subsidiary company namely Eden Buildcon Limited (hereinafter referred to as âSubsidiary Companyâ) for acquiring land from Hyderabad Metropolitan Development Authority (HMDA) for real estate projects. The said subsidiary company participated in bid in respect of auction by HMDA and paid initial deposit of Rs. 750.63 mio against total value of Rs. 3,002.50 mio. During the process of post auction verification of title to the auctioned land, the subsidiary company on scrutiny of documents found that the auctioned land is the subject matter of pending litigations before Hon''ble Andhra Pradesh High Court. Thereafter, the subsidiary company requested HMDA to obtain necessary orders from the court empowering HMDA to alienate the auction land and also expressed its earnest intention to pay the balance cost of land. HMDA asserted that there is no legal impediment for transferring the title of the land and directed the subsidiary company to remit the balance sales consideration. The subsidiary company applied to HMDA for refund of the initial booking amount. The request for such refund was not considered by HMDA and HMDA demanded balance amount of Rs. 2,251.87 mio failing which the entire booking amount was liable to be forfeited. On writ petition filed by the company for refund of the amount deposited which was tagged along with other similar petitions, single bench of Hon''ble Andhra Pradesh High Court allowed the appeal in favour of the subsidiary company. Appeal against the order of the single bench was filed by HMDA before division bench, which was allowed in favour of HMDA. The subsidiary company has filed special leave petition (SLP) before Hon''ble Supreme Court of India and stay order has been granted. The matter is sub-judice and is pending before Hon''ble Supreme Court of India. Pending final outcome of such petition filed, the amount advanced by the company to subsidiary company is considered good and classified as non-current.
9. The amount of expenditure for the year ended 31st March, 2016, which the Company was required to incur related to Corporate Social Responsibility as per section 135 of Companies Act, 2013 worked out to be Rs.14.67 mio (PY15.20 mio). During the year ended 31st March, 2016, the Company has incurred a sum of Rs. 0.84 mio (PY Nil) on this account.
10. Employee Benefits
A. Gratuity
The Company is having group gratuity scheme with LIC of India.
B. Leave Encashment
Provision for leave encashment in respect of unveiled leaves standing to the credit of employees is made on actuarial basis. The Company does not maintain any fund to pay for leave encashment.
11. Lease
a. The Company has taken certain premises on non-cancellation operating lease. The future minimum lease payments in respect of which as at March 31, 2016 are as follows:-
b. The lease agreements provide for an option to the Company to renew the lease period at the end of the non-cancellation period. There are no exceptional / restrictive covenants in the lease agreement.
c. Lease rent expenses in respect of operating lease debited to cost of material consumed, construction and other related project cost Rs. 496.57 mio (PY Rs. 327.45 mio) and debited to statement of profit and loss Rs. 38.61 mio (PY Rs. 38.99 mio).
40. Segment information
Business segments
Based on similarity of activities/products, risk and reward structure, organization structure and internal reporting system, the Company has structured its operations into the following segments:
Real estate
Promotion, construction, development and sale of townships, residential, commercial property, developed plots etc. Construction
Construction of property on behalf of clients.
12. The company has regrouped / reclassified previous year figures where necessary to conform to with current yearâs classification. The note no. 1-42 referred to above form an integral part of financial statements.
Mar 31, 2015
1. CONTINGENT LIABILITIES & COMMITMENTS
(Rs,in mio)
As at As at
Particulars March 31, 2015 March 31, 2014
Claims by customers/vendors
against the Company not
acknowledged as 479.79 452.52
debts (to the extent
quantifiable) Bank guarantees
- In respect of the Company 1,223.91 810.04
- In respect of subsidiaries 371.02 218.01
- In respect of erstwhile
subsidiary company and others 35.31 35.31
Counter guarantees 61.38 61.38
Corporate guarantees
- In respect of wholly owned
subsidiary companies 431.05 391.33
- In respect of erstwhile
subsidiary company - 32.63
Letters of Credit
- In respect of wholly owned
subsidiary companies 104.16 180.86
Disputed tax amounts
- Sales tax 54.41 68.84
- Service tax 29.17 29.17
- Income tax 1,682.59 1,759.92
Capital Commitments 0.43 2.53
Write Petition fled by Income
tax department against order
of Settlement Amount Amount
Commission before Delhi High
Court unascertainable unascertainable
The Company may be contingently
liable to pay damages /
interest in the Amount Amount
process of execution of real
estate projects and for specific
non-performance unascertainable unascertainable
of certain agreements, the
amount of which cannot
presently be ascertained
Certain civil cases preferred
against the Company in respect
of labour laws, Not quantifable Not quantifable
specific performance of certain
land agreements, etc. and
disputed by the Company
2. During the year, effective from 01.04.2014, the company has
revised depreciation rates on fixed assets as per the useful life as
specified in Schedule II of the Companies Act, 2013. Based on current
estimates, depreciation of Rs. 6.21 mio (net of deferred tax asset of Rs.
3.28 mio ) on account of assets whose useful life has already been
exhausted as on 01.04.2014, has been adjusted with opening balance of
Reserves and Surplus. Had there not been any changes in useful life of
the assets, depreciation for the year ended 31.03.2015 would have been
lower by Rs. 4.68 mio (net of Rs. 1.17 mio allocated to the projects).
3. Determination of revenues under ''Percentage of Completion method''
necessarily involves making estimates by management for percentage of
completion, cost to completion, revenues expected from projects,
projected Profit s and losses. These estimates being of a technical
nature have been relied upon by the auditors.
4. Balances of trade receivables, trade payables, current /
non-current advances given/ received are subject to reconciliation and
confirmation from respective parties. The balance of said trade
receivables, trade payables, current / non-current advances given/
received are taken as shown by the books of accounts. The ultimate
outcome of such reconciliation and confirmation cannot presently be
determined, therefore, no provision for any liability that may result
out of such reconciliation and confirmation has been made in the
financial statement, the financial impact of which is unascertainable due
to the reasons as above stated.
5. Inventories, loans & advances, trade receivables and other current
/ non-current assets are in the opinion of the management do not have a
value on realization in the ordinary course of business, less than the
amount at which they are stated in the balance sheet.
6. The Income Tax Department has fled writ petition before Hon''ble
Delhi High Court against the order of Income tax settlement commission
in earlier years for assessment year 2000-01 to 2006-07, which is
pending for hearing. Pending fnal outcome of such petition fled, no
provision of any potential liability has been made in the books of
accounts, the amount of which cannot presently be ascertained.
The income tax department has raised a demand of Rs. 903.97 mio against
the company after giving effect to orders of CIT(A) for A.Y. 2007-08
and 2008-09 on account of disallowance u/s 80IB. The company has fled
appeals before the appropriate authorities against the impugned orders
of the CIT (A). An amount of Rs. 789.52 mio has been deposited by the
company against this demand under dispute. Further the Income Tax
Department has also fled necessary appeals/ writ petitions/ SLP with
appropriate authority against the relief given by various appellate
authorities to the Company. A further demand of Rs. 777.60 mio has been
raised against the company during the year for A.Y.s 2008-09 to 2011-12
mainly on account of disallowance u/s 80IB and demand u/s 271(1)(c) and
the company has fled appeals before the CIT(A) against this demand. An
amount of Rs. 80.0 mio has been deposited by the company against this
demand under dispute
Based on the decision of various appellate authorities and the
interpretations of relevant provisions of Income Tax Act, 1961, the
Company has been advised by the experts that the claim of the company
under Section 80 (IB) is sustainable, accordingly the Company is
hopeful that the demand so raised is likely to be deleted.
7. The Company has advanced a sum of Rs. 745.05 mio to one of its
wholly owned subsidiary company namely Eden Buildcon Limited
(hereinafter referred to as "Subsidiary Company") for acquiring land
from Hyderabad Metropolitan Development Authority (HMDA) for real
estate projects. The said subsidiary company participated in bid in
respect of auction by HMDA and paid initial deposit of Rs. 750.63 mio
against total value of Rs. 3,002.50 mio. During the process of post
auction verification of title to the auctioned land, the subsidiary
company on scrutiny of documents found that the auctioned land is the
subject matter of pending litigations before Hon''ble Andhra Pradesh
High Court. Thereafter, the subsidiary company requested HMDA to obtain
necessary orders from the court empowering HMDA to alienate the auction
land and also expressed its earnest intention to pay the balance cost
of land. HMDA asserted that there is no legal impediment for
transferring the title of the land and directed the subsidiary company
to remit the balance sales consideration. The subsidiary company
applied to HMDA for refund of the initial booking amount. The request
for such refund was not considered by HMDA and HMDA demanded balance
amount of Rs. 2,251.87 mio failing which the entire booking amount was
liable to be forfeited. On writ petition fled by the company for refund
of the amount deposited which was tagged along with other similar
petitions, single bench of Hon''ble Andhra Pradesh High Court allowed
the appeal in favour of the subsidiary company. Appeal against the
order of the single bench was fled by HMDA before division bench, which
was allowed in favour of HMDA. The subsidiary company has fled special
leave petition (SLP) before Hon''ble Supreme Court of India and stay
order has been granted. The matter is sub-judice and is pending before
Hon''ble Supreme Court of India. Pending final outcome of such petition
fled, the amount advanced by the company to subsidiary company is
considered good and classified as non-current.
8. The amount of expenditure for the year ended 31st March, 2015,
which the Company was required to incur related to Corporate Social
Responsibility as per section 135 of Companies Act, 2013 worked out to
be Rs. 15.20 mio. During the year ended 31st March, 2015, the Company has
not made any expenditure on this account.
9. Segment information
Business segments
Based on similarity of activities/products, risk and reward structure,
organization structure and internal reporting system, the Company has
structured its operations into the following segments:
Real estate
Promotion, construction, development and sale of townships,
residential, commercial property, developed plots etc.
Construction
Construction of property on behalf of clients.
The trading business which was not reportable segment during the year
have been grouped under the "Others" segment.
Geographic segment
Operations of the Company do not qualify, for reporting as geographic
segments, under the criteria set out under Accounting Standard 17 on
''Segment reporting''.
Mar 31, 2014
1. CONTINGENT LIABILITIES & COMMITMENTS
(Rs. in mio)
Particulars As at As at
March 31, 2014 March 31, 2013
Claims by customers/vendors against
the Company not 452.52 487.72
acknowledged as debts (to the extent
quantifiable)
Bank guarantees
- In respect of the Company 810.04 862.08
- In respect of subsidiaries 218.01 179.59
- In respect of erstwhile subsidiary
company and others 35.31 103.90
Counter guarantees 61.38 112.06
Corporate guarantees
- In respect of wholly owned subsidiary
companies 391.33 96.50
- In respect of erstwhile subsidiary
company 32.63 700.00
Letters of Credit
- In respect of wholly owned subsidiary
companies 180.86 -
Disputed tax amounts
- Sales tax 68.84 85.43
- Service tax 29.17 29.17
- Income tax 1,759.92 1,758.91
Capital Commitments 2.53 -
Writ Petition filed by Income tax department against order of
Settlement Commission Amount Amount before Delhi High Court
unascertainable unascertainable
The Company may be contingently liable to pay damages / interest in the
process Amount Amount of execution of real estate projects and for
specific non-performance of certain unascertainable unascertainable
agreements, the amount of which cannot presently be ascertained
Certain civil cases preferred against the Company in respect of labour
laws, specific Not Not performance of certain land agreements, etc. and disputed by the Company quantifiable quantifiable
2. As on 31st March, 2014, a sum of Rs. 3.16 mio (P.Y. Rs. 3.16 mio) is
outstanding to be refunded to the applicants who were not/partly
allotted the shares in initial public offer. Such amount aggregating to
Rs. 3.16 mio (P.Y. Rs. 3.16 mio) is lying in the separate bank account of
the company. The said amount has also been shown as "Unclaimed share
application money" in note no 8. This does not include any amount, due
and outstanding, to be credited to the Investor Education and
Protection Fund as per the provisions of the Companies Act, 1956.
3. Determination of revenues under ''Percentage of Completion method''
necessarily involves making estimates by management for percentage of
completion, cost to completion, revenues expected from projects,
projected profits and losses. These estimates being of a technical
nature have been relied upon by the auditors.
4. The Company had in earlier years granted interest free loan of Rs.
527.98 mio to one of its wholly owned subsidiary company incorporated
outside India namely Rohtas Holding (Gulf) Ltd (RHGL), which in turn
had given such loan amount to SPV''s incorporated outside India. The
amount outstanding to be received from RHGL as on 31st March, 2014 is Rs.
260.62 mio. The management of the company is taking requisite steps for
recovery of amount advanced, hence, considered as good.
5. Balances of trade receivables, trade payables, current / non-
current advances given/ received are subject to reconciliation and
confirmation from respective parties. The balance of said trade
receivables, trade payables, current / non-current advances given/
received are taken as shown by the books of accounts. The ultimate
outcome of such reconciliation and confirmation cannot presently be
determined, therefore, no provision for any liability that may result
out of such reconciliation and confirmation has been made in the
financial statement, the financial impact of which is unascertainable
due to the reasons as above stated.
6. Inventories, loans & advances, trade receivables and other current
/ non-current assets are in the opinion of the management do not have a
value on realization in the ordinary course of business, less than the
amount at which they are stated in the balance sheet. The
classification of assets and liabilities between current and
non-current have been made based on management perception as to its
recoverability / settlement and other criteria as set out in the
revised schedule VI to the Companies Act, 1956.
7. Demand of Rs. 296.34 mio for assessment year 2006-07 raised by the
Income Tax Department in earlier year on the company under section 148
on account of disallowances under section 80IB(10) of the Income Tax
Act, 1961, had been quashed by the Hon''ble Delhi High Court on writ
petition filed by the company. The Income Tax Department has filed a
special leave petition ("SLP") before Hon''ble Supreme Court of India
against the order of Hon''ble Delhi High Court and the matter is
sub-judice.In respect of demand of Rs. 854.78 mio for assessment year
2007-08 raised by the Income Tax Department in earlier year on the
company mainly on account of disallowance made u/s 80IB of Income tax
Act, 1961, company has received the order of CIT (Appeals) who has
decided the appeal partly in favour of company and has given
significant relief. However the amount of relief cannot be ascertained
accurately pending the receipt of appeal effect order. The company has
decided to file necessary appeal before the appropriate authorities in
respect of matter for which relief has not been granted by the CIT
(Appeals). In respect of demand for assessment year 2008-09 for Rs.
904.13 mio, partial relief of Rs. 416.93 mio on account of disallowances
made u/s 80IB of Income tax Act, 1961 has been given to the company on
appeal made with CIT(Appeals). The company has filed necessary appeals
before the appropriate authorities in respect of matter for which
relief has not been granted by the CIT (Appeals). Further The Income
Tax Department has also filed necessary appeal with appropriate
authority against the relief given by CIT (Appeals) to the Company.
Based on the decision of various appellate authorities and the
interpretations of relevant provisions of Income Tax Act, 1961, the
Company has been advised by the experts that the claim under Section 80
(IB) is sustainable, accordingly the Company is hopeful that the demand
so raised is likely to be deleted, hence, no provision on account of
such income tax demand has been made in the accounts. The income tax
department has filed writ petition before Hon''ble Delhi High Court
against the order of Income tax settlement commission in earlier years
for assessment year 2000-01 to 2006-07, which is pending for hearing.
Pending final outcome of such petition filed, no provision of any
potential liability has been made in the books of accounts, the amount
of which cannot presently be ascertained.
8. The Company has advanced a sum of Rs. 745.05 mio to one of its
wholly owned subsidiary company namely Eden Buildcon Limited
(hereinafter referred to as "Subsidiary Company") for acquiring land
from Hyderabad Metropolitan Development Authority (HMDA) for real
estate projects. The said subsidiary company participated in bid in
respect of auction by HMDA and paid initial deposit of Rs. 750.63 mio
against total value of Rs. 3,002.50 mio. During the process of post
auction verification of title to the auctioned land, the subsidiary
company on scrutiny of documents found that the auctioned land is the
subject matter of pending litigations before Hon''ble Andhra Pradesh
High Court. Thereafter, the subsidiary company requested HMDA to obtain
necessary orders from the court empowering HMDA to alienate the auction
land and also expressed its earnest intention to pay the balance cost
of land. HMDA asserted that there is no legal impediment for
transferring the title of the land and directed the subsidiary company
to remit the balance sales consideration. The subsidiary company
applied to HMDA for refund of the initial booking amount. The request
for such refund was not considered by HMDA and HMDA demanded balance
amount of Rs. 2,251.87 mio failing which the entire booking amount was
liable to be forfeited. On writ petition filed by the company for
refund of the amount deposited which was tagged along with other
similar petitions, single bench of Hon''ble Andhra Pradesh High Court
allowed the appeal in favour of the subsidiary company. Appeal against
the order of the single bench was filed by HMDA before division bench,
which was allowed in favour of HMDA. The subsidiary company has filed
special leave petition (SLP) before Hon''ble Supreme Court of India and
stay order has been granted. The matter is sub-judice and is pending
before Hon''ble Supreme Court of India. Pending final outcome of such
petition filed, the amount advanced by the company to subsidiary
company is considered good and classified as non-current.
9. During previous financial year ended March 31, 2013, 10,000,000
number of equity shares representing 100% shareholding held by the
company in wholly owned Indian subsidiary company namely Omaxe
Infrastructure and Construction Limited were sold on "as is where is
basis by way of transfer of shares by executing all required documents
at an aggregate consideration of Rs. 350.00 mio, out of which, Rs. 135.00
mio (P.Y Rs. 300.00 mio) is outstanding as on 31st March, 2014.
10. Employee Benefits A. Gratuity
The Company is having group gratuity scheme with LIC of India.
B. Leave Encashment
Provision for leave encashment in respect of unavailed leaves standing
to the credit of employees is made on actuarial basis. The Company does
not maintain any fund to pay for leave encashment.
C. Provident Fund
The Company makes contribution to statutory provident fund in
accordance with Employees Provident Fund and Misc. Provision Act,
1952. This is post-employment benefit and is in the nature of defined
contribution plan.
11. Segment information
Business segments
Based on similarity of activities/products, risk and reward structure,
organization structure and internal reporting system, the Company has
structured its operations into the following segments:
Real estate
Promotion, construction, development and sale of townships,
residential, commercial property, developed plots etc.
Construction
Construction of property on behalf of clients.
The trading business which was not reportable segment during the year
have been grouped under the "Others" segment.
Geographic segment
Operations of the Company do not qualify, for reporting as geographic
segments, under the criteria set out under Accounting Standard 17 on
''Segment reporting''.
12. Related parties disclosures Related parties are classified as:
A. Related parties are classified as:
I Holding Company
1 Guild Builders Private Limited
II Fellow Subsidiary companies
1 Dream Home Developers Private Limited
2 Hansa Properties Private Limited
III Wholly owned Subsidiary companies
1 Ansh Builders Private Limited
2 Arman Builders Private Limited
3 Champion Realtors Private Limited
4 Eden Buildcon Limited
5 Ekansh Buildtech Private Limited
6 Finishing Touch Properties & Developers Limited
7 Omaxe Hitech Infrastructure Company Private Limited
8 Garv Buildtech Private Limited
9 Golden Glades Builders Private Limited
10 Green Planet Colonisers Private Limited
11 JKB Constructions Private Limited
12 JRS Projects Private Limited
13 Kavya Buildtech Private Limited
14 Landlord Developers Private Limited
15 Mehboob Builders Private Limited
16 Mehtab Infratech Private Limited
17 Monarch Villas Private Limited
18 Oasis Township Private Limited
19 Jagdamba Contractors and Builders Limited
20 Omaxe Buildhome Limited
21 Omaxe Buildwell Limited
22 Omaxe Chandigarh Extension Developers Private Limited
23 Omaxe Connaught Place Mall Limited
24 Omaxe Housing and Developers Limited
25 Omaxe Housing & Infrastructure Limited
26 Omaxe Buildtech Limited
27 Omaxe Infotechcity Developers Limited
28 Omaxe Infrastructure Limited
29 Omaxe Power Private Limited
30 Omaxe Rajasthan SEZ Developers Limited
31 Pancham Realcon Private Limited
32 Panchi Developers Private Limited
33 Primordial Buildcon Private Limited
34 Rohtas Holdings (Gulf) Limited
35 Satvik Hitech Builders Private Limited
36 Shamba Developers Private Limited
37 Volvo Properties Private Limited
38 Omaxe Forest Spa and Hills Developers Limited (formerly known as
Omaxe Azorim Developers Private Limited)
39 Pam Developers (India) Private Limited
IV Other Subsidiary Companies
1 Anjaniputra Builders Private Limited
2 Hamara Ghar Constructions & Developers Private Limited
3 Jewel Projects Private Limited
4 Link Infrastructure & Developers Private Limited
5 Navratan Techbuild Private Limited
6 Omaxe Entertainment Limited
7 Omtech Infrastructure & Construction Limited
8 Reliable Manpower Solutions Limited
9 Rivaj Infratech Private Limited
10 Zodiac Housing & Infrastructure Private Limited
11 Robust Buildwell Private Limited
12 Sri Balaji Green Heights Private Limited
13 P P Devcon Private Limited (w.e.f. 31.01.2014)
V Step Subsidiary Companies
1 Aadhira Developers Private Limited
2 Aarzoo Technobuild Private Limited
3 Aashna Realcon Private Limited
4 Abheek Builders Private Limited
5 Aditya Realtech Private Limited
6 Aradhya Real Estate Private Limited
7 Ashok Infrabuild Private Limited
8 Ashray Infrabuild Private Limited
9 Aviral Colonizers Private Limited
10 Ayush Landcon Private Limited
11 Bhanu Infrabuild Private Limited
12 Caspian Realtors Private Limited
13 Daman Builders Private Limited
14 Damodar Infratech Private Limited
15 Davesh Technobuild Private Limited
16 Dhanu Real Estate Private Limited
17 Dinkar Realcon Private Limited
18 Ekapad Developers Private Limited
19 Glacier Agro Food Products Private Limited
20 Hemang Buildcon Private Limited
21 Hiresh Builders Private Limited
22 Manit Developers Private Limited
23 Oasis Suncity Realtors Private Limited
24 Radiance Housing & Properties Private Limited
25 RPS Suncity Promoters and Developers Private Limited
26 Rupesh Infratech private Limited
27 Sanvim Developers Private Limited
28 Sarthak Landcon Private Limited
29 Sarva Buildtech Private Limited
30 Satkar Colonisers Private Limited
31 Shubh Bhumi Developers Private Limited
32 Silver Peak Township Private Limited
33 Tejpal Infra Developers Private Limited
34 Utkrisht Real Estate and Associates Private Limited
35 Chapal Buildhome Private Limited
36 Anveshan Builders Private Limited
37 Adesh Realcon Private Limited
38 Navadip Developers Private Limited
39 Abhas Realcon Private Limited
40 Golden Crescent Red and General Trading Limited (up to 22.05.2013)
41 S N Realtors Private Limited
42 Marine Sands Limited
43 Omaxe India Trade Centre Private Limited
VI Entities over which key managerial personnel or their relatives
exercises significant influence
1 Aanchal Infrabuild Private Limited
2 Abhay Technobuild Private Limited
3 Abhiman Buildtech Private Limited
4 Absolute Infrastructure Private Limited
5 Adhar Buildtech Private Limited
6 Adil Developers Private Limited
7 Advaita Properties Private Limited
8 Advay Properties Private Limited
9 Affordable Home Loan Advisors Private Limited
10 Aftab Developers Private Limited
11 Agasthya Properties Private Limited
12 Alpesh Builders Private Limited
13 Amani Realcon Private Limited
14 Amber Infrabuild Private Limited
15 Amit Jain Builders Private Limited
16 Amod Builders Private Limited
17 Amshul Developers Private Limited (up to 03.06.2013)
18 Ananddeep Realtors Private Limited
19 Anant Realcon Private Limited
20 Aneesh Buildtech Private Limited
21 Annay Realtors Private Limited
22 Apoorva Infrabuild Private Limited
23 Arhan Builders Private Limited
24 Arhant Infrabuild Private Limited
25 Aric Infrabuild Private Limited
26 Arjit Builders Private Limited
27 Ashtam Builders Private Limited
28 Avindra Estate Developers Private Limited
29 Aviral Buildtech Private Limited
30 Avtar Infrabuild Private Limited
31 Avval Builders Private Limited
32 Axeom Advertising Solutions Limited
33 B D Agarwal Securities Private Limited
34 Badal Developers Private Limited
35 Badal Impex Private Limited
36 Balesh Technobuild Private Limited
37 Bali Buildtech Private Limited
38 Bandhu Buildtech Private Limited
39 Banke Builders Private Limited
40 Basant Infrabuild Private Limited
41 Beautiful Landbase Private Limited
42 Bhanu Retail Private Limited
43 Bharatbhoomi Township Limited
44 Bhargav Builders Private Limited
45 Bhavesh Buildcon Private Limited
46 Bhuvan Buildtech Private Limited
47 Blossom Buildhome Private Limited
48 Buildwell Builders Private Limited
49 Caleen Hotels Private Limited
50 Chaitanya Realcon Private Limited
51 Chetan Infrabuild Private Limited
52 Chirag Buildhome Private Limited
53 Cress Propbuild Private Limited
54 Daksh Airport Developers Private Limited
55 Daksh Township Private Limited
56 Damini Infratech Private Limited
57 Darpan Buildtech Private Limited
58 Darsh Buildtech Private Limited
59 Deejit Developers Private Limited
60 Deepaalay Realtors Private Limited
61 Deepal Township Private Limited
62 Deepsan Realtors Private Limited
63 Deepsing Realtors Private Limited
64 Derwal Realtors Private Limited
65 Desire Housing & Construction Private Limited
66 Devang Builders Private Limited
67 Devgar Estate Developers Private Limited
68 Distinctive Infrastructure And Construction Private Limited
69 Divya Buildhome Private Limited
70 Dream Technobuild Private Limited
71 Dream Towers Private Limited
72 DVM Realtors Private Limited
73 Dwarkadish Land & Farms Private Limited
74 Examo Estate Management Private Limited
75 Excellent Apartments Private Limited
76 Fast Track Buildcon Private Limited
77 Forever Housing and Properties Private Limited
78 Fragrance Housing And Properties Private Limited
79 Fragrance Information And Communication Technologies Private Limited
80 Gaamit Realtors Private Limited
81 Gagan Realcon Private Limited
82 Garg & Goel Estate Developers Private Limited
83 Garg Realtors Private Limited
84 Garvish Realtors Private Limited
85 Gaurang Buildcon Private Limited
86 Geet Buildhome Private Limited
87 Girish Buildwell Private Limited
88 Glamour Hotels Private Limited
89 Goel Isha Colonisers Private Limited
90 Green Earth Promoters Private Limited
91 Gurmeet Builders Private Limited
92 Havish Buildcon Private Limited
93 Hina Technobuild Private Limited
94 Hitech Hotels Private Limited
95 Hriday Hitech Builders Private Limited
96 Indrasan Developers Private Limited
97 Inesh Buildcon Private Limited
98 Inesh Developers Private Limited
99 Inqalab Builders Private Limited
100 Interactive Buildtech Private Limited
101 Istuti Realcon Private Limited
102 Jagat Buildtech Private Limited
103 Jai Bhoomi Projects Limited
104 Jaidev Colonisers Private Limited
105 Jalesh Builders And Developers Private Limited
106 Jayant Buildhome Private Limited
107 Jishnu Buildcon Private Limited
108 Jitenjay Realtors Private Limited
109 Jivish Colonisers Private Limited
110 JSM Enterprises Private Limited
111 Kalp Buildtech Private Limited
112 Kamini Builders And Promoters Private Limited
113 Kanak Buildhome Private Limited
114 Kanha Logistics Private Limited
115 Kartik Buildhome Private Limited
116 Kashish Buildtech Private Limited
117 KBM Constructions Private Limited
118 Keshto Buildcon Private Limited
119 Kirti Hotels Private Limited
120 Kishordeep Realtors Private Limited
121 Krishan Kripa Buildcon Private Limited
122 Laldeep Realtors Private Limited
123 Lavanya Builders Private Limited
124 Lifestyle Township Private Limited
125 Lohith Developers Private Limited
126 Luxury Township Private Limited
127 M I J Infrastructure Private Limited
128 Maa Omwati Education Trust
129 Mangal Bhumi Properties Private Limited
130 Mangla Villas Private Limited
131 Manik Buildcon Private Limited
132 Mankish Colonisers Private Limited
133 Manprav Developers Private Limited
134 Manwal Colonisers Private Limited
135 Megh Airways Private Limited
136 Meghmala Builders Private Limited
137 Mihir Buildwell Private Limited
138 Milestone Township Private Limited
139 Miniature Township and Properties Private Limited
140 Mohak Tours and Travels Private Limited
141 Motto Developers Private Limited
142 NAFHIL Gujrat Homes Limited
143 Nakul Technobuild Private Limited
144 Naptune Technobuild Projects Private Limited
145 National Affordable Housing & Infrastructure Limited
146 Natraj Colonisers Private Limited
147 Naveenraj Realtors Private Limited
148 Neegar Developers Private Limited
149 New Horizons Township Developers Private Limited
150 Nikunj Infrabuild Private Limited
151 NJS Developers Private Limited
152 Obalesh Buildcon Private Limited
153 Omaxe Affordable Homes Private Limited
154 Omaxe Bihar Affordable Housing Private Limited
155 Omaxe Chhattisgarh Affordable Housing Private Limited
156 Omaxe Foundation (Regd.)
157 Omaxe Global Trading Corporation Private Limited
158 Omaxe Hotels Limited
159 Omaxe Housing And Commercial Projects Limited
160 Omaxe Infrastructure Development Private Limited
161 Omaxe Madhya Pradesh Affordable Housing Private Limited
162 Omaxe Orissa Developers Limited
163 Omaxe Pragati Maidan Exhibition Limited
164 Omaxe Punjab Affordable Housing Private Limited
165 Omaxe Rajasthan Affordable Housing Private Limited
166 Omaxe Realtors Private Limited
167 Omaxe Retail Limited
168 Omaxe Uttar Pradesh Affordable Housing Private Limited
169 P N Buildcon Private Limited
170 Paradise On Earth Properties Private Limited
171 Parjit Realtors Private Limited
172 Pearl Peak Landbase Private Limited (up to 03.06.2013)
173 Prabal Developers Private Limited
174 Praveen Buildcon Private Limited
175 Praveen Mehta Builders Private Limited
176 PSJ Developers Private Limited
177 Puru Builders Private Limited
178 Radhika Buildwell Private Limited
179 Rahi Transport Private Limited
180 Ramneesh Builders Private Limited
181 Ramniya Estate Developers Private Limited
182 Raveendeep Colonisers Private Limited
183 Renown Estate Developers Private Limited
184 Rishit Buildcon Private Limited
185 Rocky Valley Resorts Private Limited
186 Rockyard Properties Private Limited
187 Rohak Builders Private Limited
188 Ryhme Propbuild Private Limited
189 Saamit Realtors Private Limited
190 Sakal Agrotech Private Limited
191 Sandeep Landcon Private Limited
192 Sandeep Township Private Limited
193 Sangupt Developers Private Limited
194 Sanjit Realtors Private Limited
195 Sankalp Realtors Private Limited
196 Sanya Realtors Private Limited
197 Sapphire Township and Developers Private Limited
198 Savin Realtors Private Limited
199 Sentinent Properties Private Limited
200 Shalin Buildwell Private Limited
201 Shantiniwas Developers Private Limited
202 Shardul Builders Private Limited
203 Shashank Buildhome Private Limited
204 Shikhar Landcon Private Limited
205 Shining Home Infrastructure Private Limited
206 Shivkripa Buildhome Private Limited
207 Shrey Technobuild Private Limited
208 Shreyas Buildhome Private Limited
209 Singdeep Estate Developers Private Limited
210 Smart Buildhome Private Limited
211 Snehal Buildcon Private Limited
212 SNJ Builders Private Limited
213 Source Developers Private Limited
214 Spike Developers Private Limited
215 Starex Projects Private Limited
216 Starshine Hotels Private Limited
217 Starshine Realtors Private Limited
218 Stepping Stone Buildhome Private Limited
219 Stronghold Properties Private Limited
220 Subodh Buildwell Private Limited
221 Sukhversa Properties Private Limited
222 Sumedha Builders Private Limited
223 Sunlife Properties Private Limited
224 Sunrise Township Private Limited
225 Sunshine Buildtech Private Limited
226 Sunview Township Private Limited
227 Superior Landbase Private Limited (up to 03.06.2013)
228 Swapan Sunder Township Developers Private Limited
229 Swapnil Buildhome Private Limited
230 Swarg Sukh Buildhome Private Limited
231 Swarn Bhumi Buildhome Private Limited
232 Tariq Infrabuild Private Limited
233 Taru Buildcon Private Limited
234 The International Omaxe Construction Limited
235 True Dreams Developers Private Limited
236 True Estate Build Developers Private Limited
237 True Gem Tech Developers Private Limited
238 Tushar Landcon Private Limited
239 Udal Properties Private Limited
240 Umang Buildcon Private Limited
241 Uppal Resorts Private Limited (up to 03.06.2013)
242 Vaibhav Technobuild Private Limited
243 Vaman Buildhome Private Limited
244 Veenish Realtors Private Limited
245 Veer Buildhome Private Limited
246 Versatile Buildhome Private Limited
247 VGSG Realtors Private Limited
248 Vimsan Realtors Private Limited
249 Vineera Colonisers Private Limited
250 Vingar Developers Private Limited
251 Vishishth Buildhome Private Limited
252 VSG Builders Private Limited
253 M/s J.B. Goel & Family (HUF)
254 M/s Rohtas Goel (HUF)
255 M/s Sunil Goel (HUF)
VII Key managerial personnel
1 Mr. Rohtas Goel
2 Mr. Sunil Goel
3 Mr. Jai Bhagwan Goel
4 Mr. Mohit Goel
VIII Relatives of key managerial personnel
1 Mrs. Sushma Goel
2 Mr. Nakul Goel
13. The company has regrouped / reclassified previous year figures
where necessary to conform to with current year''s classification. The
note no. 1-43 referred to above form an integral part of financial
statements.
Mar 31, 2013
1. As on 31st March, 2013, a sum of Rs.3.16 mio (P.Y. Rs.3.21 mio) is
outstanding to be refunded to the applicants who were not/partly
allotted the shares in initial public offer. Such amount aggregating to
Rs.3.16 mio (P.Y. Rs.3.21 mio) is lying in the separate bank account of the
company. The said amount has also been shown as "Unclaimed share
application money" in note no 8. This does not include any amount, due
and outstanding, to be credited to the Investor Education and
Protection Fund as per the provisions of the Companies Act, 1956.
2. Determination of revenues under ''Percentage of Completion method''
necessarily involves making estimates by management for percentage of
completion, cost to completion, revenues expected from projects,
projected profits and losses. These estimates being of a technical
nature have been relied upon by the auditors.
3. The Company had in earlier years granted interest free loan of
Rs.527.98 mio to one of its wholly owned subsidiary company incorporated
outside India namely Rohtas Holding (Gulf) Ltd (RHGL), which in turn
had given such loan amount to two SPV''s incorporated outside India
namely Marine Sands Ltd (MSL) and Golden Crescent Red and General
Trading Limited (GCRGTL) for carrying out real estate projects outside
India. As GCRGTL has exited from proposed real estate project and has
also been deregistered as offshore company, RHGL has repaid a sum of
Rs.342.39 mio to the Company. The amount outstanding to be received from
RHGL as on 31st March, 2013 is Rs.233.54 mio. The management of the
company is of the opinion that the amount outstanding is good for
recovery.
4. Balances of trade receivables, trade payables, current/
non-current advances given/ received are subject to reconciliation and
confirmation from respective parties. The balance of said trade
receivables, trade payables, current / non-current advances given/
received are taken as shown by the books of accounts. The ultimate
outcome of such reconciliation and confirmation cannot presently be
determined, therefore, no provision for any liability that may result
out of such reconciliation and confirmation has been made in the
financial statement, the financial impact of which is unascertainable
due to the reasons as above stated.
5. Inventories, loans & advances, trade receivables and other current
/ non-current assets are in the opinion of the management do not have a
value on realization in the ordinary course of business, less than the
amount at which they are stated in the balance sheet. The
classification of assets and liabilities between current and
non-current have been made based on management perception as to its
recoverability / settlement and other criteria as set out in the
revised schedule VI to the Companies Act, 1956.
6. During the year, the Income tax department has raised a demand of
Rs.854.78 mio on the company for assessment year 2007-08, against which
company has filed appeal before CIT (A) and the same is pending for
hearing/order.
Demand of Rs.296.34 mio for assessment year 2006-07 raised by the Income
Tax Department in earlier year on the company under section 148 on
account of disallowances under section 80IB(10) of the Income Tax Act,
1961, has been quashed by the Hon''ble Delhi High Court on writ petition
filed by the company. The Income Tax Department has filed a special
leave petition ("SLP") before Hon''ble Supreme Court of India against
the order of Hon''ble Delhi High Court and the matter is sub-judice.
In respect of demand for assessment year 2008-09 for Rs.904.13 mio,
partial relief on account of disallowance made u/s 80IB of Income tax
Act, 1961 has been given to the company on appeal made with
CIT(Appeal), however, the amount of relief cannot presently be
ascertained as appeal effect order is still awaited. The company is in
process of filing necessary appeals before the appropriate authorities
in respect of matter for which relief has not been granted by the CIT
(Appeal).
Based on the decision of various appellate authorities and the
interpretations of relevant provisions of Income Tax Act, 1961, the
Company has been advised by the experts that the claim under Section 80
(IB) is sustainable, accordingly the Company is hopeful that the demand
so raised is likely to be deleted, hence, no provision on account of
such income tax demand has been made in the accounts.
The income tax department has filed writ petition before Hon''ble Delhi
High Court against the order of Income tax settlement commission in
earlier years for assessment year 2000-01 to 2006-07, which is pending
for hearing. Further Company has filed writ petition before Hon''ble
Delhi High Court against the proceedings initiated by Income Tax
Department under section 153C for assessment year 2004- 05 to 2006-07
and stay has been granted in favour of the company. Pending final
outcome of such petitions filed, no provision of any potential
liability has been made in the books of accounts, the amount of which
cannot presently be ascertained.
7. The Company has advanced a sum of Rs.745.05 mio to one of its wholly
owned subsidiary company namely Eden Buildcon Private Limited
(hereinafter referred to as "Subsidiary Company") for acquiring land
from Hyderabad Metropolitan Development Authority (HMDA) for real
estate projects. The said subsidiary company participated in bid in
respect of auction by HMDA and paid initial deposit of Rs.750.63 mio
against total value of Rs.3,002.50 mio. During the process of post
auction verification of title to the auctioned land, the subsidiary
company on scrutiny of documents found that the auctioned land is the
subject matter of pending litigations before Hon''ble Andhra Pradesh
High Court. Thereafter, the subsidiary company requested HMDA to obtain
necessary orders from the court empowering HMDA to alienate the auction
land and also expressed its earnest intention to pay the balance cost
of land. HMDA asserted that there is no legal impediment for
transferring the title of the land and directed the subsidiary company
to remit the balance sales consideration. The subsidiary company
applied to HMDA for refund of the initial booking amount. The request
for such refund was not considered by HMDA and HMDA demanded balance
amount of Rs.2,251.87 mio failing which the entire booking amount was
liable to be forfeited. On writ petition filed by the company for
refund of the amount deposited which was tagged along with other
similar petitions, single bench of Hon''ble Andhra Pradesh High Court
allowed the appeal in favour of the subsidiary company. Appeal against
the order of the single bench was filed by HMDA before division bench,
which was allowed in favour of HMDA. The subsidiary company has filed
special leave petition (SLP) before Hon''ble Supreme Court of India and
stay order has been granted. The matter is sub-judice and is pending
before Hon''ble Supreme Court of India. Pending final outcome of such
petition filed, the amount advanced by the company to subsidiary
company is considered good and classified as non-current.
8. During the year 10,000,000 number of equity shares representing
100% shareholding held by the company in wholly owned Indian Subsidiary
Company namely Omaxe Infrastructure and Construction Limited (the said
subsidiary company) were sold on "as is where is basis" as of 6th
February, 2013 by way of transfer of shares by executing all required
documents at an aggregate consideration of Rs.350.00 mio vide term sheet
dated 06th February, 2013 and share purchase agreement dated 28th
March, 2013. The profit on disposal of such investment amounting to
Rs.250.00 mio have been taken to statement of profit and loss as an
exceptional item and disclosed accordingly. Out of the aforesaid sale
consideration, Rs.300.00 mio is outstanding as on 31st March, 2013 and
has been disclosed as "Receivable against sale of investment from
others" in note no 16 against which Rs.160.00 mio have subsequently been
received till the date of this balance sheet.
9. The construction on one of the real estate project of the Company
has been suspended due to stay given on construction on this project by
Hon''ble High Court on the basis of civil petition. The company was
claiming deduction under section 80 (IB) of Income Tax Act, 1961 (the
Act) on this project. The relevant section of the Act requires, as a
condition precedent, that completion certificate must be obtained in
respect of qualifying projects within five years which expired on 31st
March, 2012. In view of supervening impossibility created as a result
of order passed by the Hon''ble High Court staying further construction
on the project, the company could not comply with the said conditions.
The company has been advised by legal consultants that the time limit
for completion of the project i.e. 31st March, 2012 should be extended
for the period with the stay operating, accordingly, the management of
the company is of the opinion that there are fair chances that the
company would succeed in claim of deduction under section of 80 (IB)
(10) of the Act, therefore, tax benefits earlier claimed have not been
reversed/provided for in the books of account. The management of the
company is of the opinion that stay on construction of aforesaid
project shall be vacated in due course of time, therefore, on the basis
of going concern assumption, no adjustment in respect of revenue /
profits already booked before such stay and customers advances related
to this project have been made in the books of accounts.
10. The company was having 50:50 joint venture in Omaxe Azorim
Developers Private Limited ("OADPL") along with Azorim International
Holdings Limited ("JV Partner"). The company by way of settlement
agreement dated 27th June, 2012 as amended on 11th January, 2013, has
purchased 1,000,000 equity shares (including 500,000 superior equity
shares) of Rs.10 each and 8,910 different classes of equity shares of
Rs.100,000/- each representing 100% shareholding held by such JV partner,
accordingly OADPL has become wholly owned subsidiary of the company
w.e.f. 11th January, 2013.
The Company''s share of assets, liabilities, income and expenses, etc.
(each after elimination of the effect of transactions between the
Company and erstwhile Joint venture company) related to its interest in
erstwhile joint Venture company till 10th January 2013 as certified by
the management of such company are as below
11. SEGMENT INFORMATION
Business segments
Based on similarity of activities/products, risk and reward structure,
organization structure and internal reporting system, the Company has
structured its operations into the following segments:
Real estate
Promotion, construction, development and sale of townships,
residential, commercial property, developed plots etc.
Construction
Construction of property on behalf of clients.
12. Related parties disclosures
Related parties are classified as:
A. Related parties are classified as:
I Wholly owned Subsidiary companies
1 Ansh Builders Private Limited
2 Arman Builders Private Limited
3 Champion Realtors Private Limited
4 Eden Buildcon Private Limited
5 Ekansh Buildtech Private Limited
6 Finishing Touch Properties and Developers Private Limited
7 Omaxe Hitech Infrastructure Company Private Limited
8 Garv Buildtech Private Limited
9 Golden Glades Builders Private Limited
10 Green Planet Colonisers Private Limited
11 JKB Constructions Private Limited
12 JRS Projects Private Limited
13 Kavya Buildtech Private Limited
14 Landlord Developers Private Limited
15 Mehboob Builders Private Limited
16 Mehtab Infratech Private Limited
17 Monarch Villas Private Limited
18 Oasis Township Private Limited
19 Jagdamba Contractors and Builders Limited
20 Omaxe Buildhome Private Limited
21 Omaxe Buildwell Private Limited
22 Omaxe Chandigarh Extension Developers Private Limited
23 Omaxe Connaught Place Mall Limited
24 Omaxe Housing and Developers Limited
25 Omaxe Housing And Infrastructure Limited
26 Omaxe Buildtech Limited
27 Omaxe Infotech City Developers Limited
28 Omaxe Infrastructure and Construction Limited (upto 29.03.2013)
29 Omaxe Infrastructure Limited
30 Omaxe Power Private Limited
31 Omaxe Rajasthan SEZ Developers Limited
32 Pancham Realcon Private Limited
33 Panchi Developers Private Limited
34 Primordial Buildcon Private Limited
35 Rohtas Holdings (Gulf) Limited
36 S. N. Realtors Private Limited (upto 10.02.2013)
37 Satvik Hitech Builders Private Limited
38 Shamba Developers Private Limited
39 Volvo Properties Private Limited
40 Omaxe Azorim Developers Private Limited (w.e.f. 11.01.2013)
41 Pam Developers (India) Private Limited (w.e.f. 10.08.2012)
II Other Subsidiary Companies
1 Anjaniputra Builders Private Limited
2 Hamara Ghar Constructions and Developers Private Limited
3 Jewel Projects Private Limited
4 Link Infrastructure and Developers Private Limited
5 Navratan Tech build Private Limited
6 Omaxe Entertainment Limited
7 Omtech Infrastructure and Construction Limited
8 Reliable Manpower Solutions Limited
9 Rivaj Infratech Private Limited
10 Zodiac Housing and Infrastructure Private Limited
11 Robust Buildwell Private Limited
12 Sri Balaji Green Heights Private Limited (w.e.f. 23.04.2012)
III Step Subsidiary Companies
1 Aadhira Developers Private Limited
2 Aarzoo Technobuild Private Limited
3 Aashna Realcon Private Limited
4 Abheek Builders Private Limited
5 Aditya Realtech Private Limited
6 Aradhya Real Estate Private Limited
7 Ashok Infrabuild Private Limited
8 Ashray Infrabuild Private Limited
9 Aviral Colonizers Private Limited
10 Ayush Landcon Private Limited
11 Bhanu Infrabuild Private Limited
12 Caspian Realtors Private Limited
13 Daman Builders Private Limited
14 Damodar Infratech Private Limited
15 Davesh Technobuild Private Limited
16 Dhanu Real Estate Private Limited
17 Dinkar Realcon Private Limited
18 Ekapad Developers Private Limited
19 Glacier Agro Foods Products Private Limited
20 Hemang Buildcon Private Limited
21 Hiresh Builders Private Limited
22 Manit Developers Private Limited
23 Oasis Suncity Realtors Private Limited
24 Radiance Housing and Properties Private Limited
25 RPS Suncity Promoters and Developers Private Limited
26 Rupesh Infratech Private Limited
27 Sanvim Developers Private Limited
28 Sarthak Landcon Private Limited
29 Sarva Buildtech Private Limited
30 Satkar Colonisers Private Limited
31 Shubh Bhumi Developers Private Limited
32 Silver Peak Township Private Limited
33 Sri Balaji Green Heights Private Limited (upto 22.04.2012)
34 Tejpal Infra Developers Private Limited
35 Utkrisht Real Estate and Associates Private Limited
36 Chapal Buildhome Private Limited
37 Anveshan Builders Private Limited
38 Adesh Realcon Private Limited
39 Navadip Developers Private Limited
40 Abhas Realcon Private Limited
41 Golden Crescent Red and General Trading Limited
42 S. N. Realtors Private Limited (w.e.f. 11.02.2013)
43 Marine Sands Limited (w.e.f. 24.01.2013)
44 Omaxe India Trade Centre Private Limited (w.e.f. 10.08.2012)
IV Joint Venture
1 Omaxe Azorim Developers Private Limited (upto 10.01.2013)
V Entities over which key managerial personnel or their relatives
exercises significant influence
1 Aanchal Infrabuild Private Limited
2 Abhay Technobuild Private Limited
3 Abhiman Buildtech Private Limited
4 Absolute Infrastructure Private Limited
5 Adhar Buildtech Private Limited
6 Adil Developers Private Limited
7 Advaita Properties Private Limited
8 Advay Properties Private Limited
9 Affordable Home Loan Advisors Private Limited
10 Aftab Developers Private Limited
11 Agasthya Properties Private Limited
12 Alpesh Builders Private Limited
13 Amani Realcon Private Limited
14 Amber Infrabuild Private Limited
15 Amit Jain Builders Private Limited
16 Amod Builders Private Limited
17 Amshul Developers Private Limited
18 Ananddeep Realtors Private Limited
19 Anant Realcon Private Limited
20 Aneesh Buildtech Private Limited
21 Annay Realtors Private Limited
22 Apoorva Infrabuild Private Limited
23 Arhan Builders Private Limited
24 Arhant Infrabuild Private Limited
25 Aric Infrabuild Private Limited
26 Arjit Builders Private Limited
27 Ashtam Builders Private Limited
28 Avindra Estate Developers Private Limited
29 Aviral Buildtech Private Limited
30 Avtar Infrabuild Private Limited
31 Avval Builders Private Limited
32 Axeom Advertising Solutions Limited
33 B D Agarwal Securities Private Limited
34 Badal Developers Private Limited
35 Badal Impex Private Limited
36 Balesh Technobuild Private Limited
37 Bali Buildtech Private Limited
38 Bandhu Buildtech Private Limited
39 Banke Builders Private Limited
40 Basant Infrabuild Private Limited
41 Beautiful Landbase Private Limited
42 Bhanu Retail Private Limited
43 Bharatbhoomi Township Limited
44 Bhargav Builders Private Limited
45 Bhavesh Buildcon Private Limited
46 Bhuvan Buildtech Private Limited
47 Blossom Buildhome Private Limited
48 Buildwell Builders Private Limited
49 Caleen Hotels Private Limited
50 Chaitanya Realcon Private Limited
51 Chetan Infrabuild Private Limited
52 Chirag Buildhome Private Limited
53 Constellation Capital Limited
54 Cress Propbuild Private Limited
55 Daksh Airport Developers Private Limited
56 Daksh Township Private Limited
57 Damini Infratech Private Limited
58 Darpan Buildtech Private Limited
59 Darsh Buildtech Private Limited
60 Deejit Developers Private Limited
61 Deepaalay Realtors Private Limited
62 Deepal Township Private Limited
63 Deepsan Realtors Private Limited
64 Deepsing Realtors Private Limited
65 Derwal Realtors Private Limited
66 Desire Housing and Construction Private Limited
67 Devang Builders Private Limited
68 Devgar Estate Developers Private Limited
69 Distinctive Infrastructure And Construction Private Limited
70 Divya Buildhome Private Limited
71 Dream Home Developers Private Limited
72 Dream Techno Build Private Limited
73 Dream Towers Private Limited
74 DVM Realtors Private Limited
75 Dwarkadish Land and Farms Private Limited
76 Examo Estate Management Private Limited
77 Excellent Apartments Private Limited
78 Fast Track Buildcon Private Limited
79 Forever Housing and Properties Private Limited
80 Fragrance Housing And Properties Private Limited
81 Fragrance Information And Communication Technologies Private Limited
82 Gaamit Realtors Private Limited
83 Gagan Realcon Private Limited
84 Garg and Goel Estate Developers Private Limited
85 Garg Realtors Private Limited
86 Garvish Realtors Private Limited
87 Gaurang Buildcon Private Limited
88 Geet Buildhome Private Limited
89 Girish Buildwell Private Limited
90 Glamour Hotels Private Limited
91 Goel Isha Colonisers Private Limited
92 Green Earth Promoters Private Limited
93 Green Tech Tower Builders Private Limited
94 Guild Builders Private Limited
95 Gurmeet Builders Private Limited
96 Hansa Properties Private Limited
97 Havish Buildcon Private Limited
98 Hina Technobuild Private Limited
99 Hitech Hotels Private Limited
100 Hriday Hitech Builders Private Limited
101 Indrasan Developers Private Limited
102 Inesh Buildcon Private Limited
103 Inesh Developers Private Limited
104 Inqalab Builders Private Limited
105 Interactive Buildtech Private Limited
106 Istuti Realcon Private Limited
107 J. B. Realcon Private Limited
108 Jagat Buildtech Private Limited
109 Jai Bhoomi Projects Limited
110 Jai Dev Colonisers Private Limited
111 Jalesh Builders And Developers Private Limited
112 Jayant Buildhome Private Limited
113 Jishnu Buildcon Private Limited
114 Jitenjay Realtors Private Limited
115 Jivish Colonisers Private Limited
116 JSM Enterprises Private Limited
117 Kalp Buildtech Private Limited
118 Kamini Builders And Promoters Private Limited
119 Kanak Buildhome Private Limited
120 Kanha Logistics Private Limited
121 Kartik Buildhome Private Limited
122 Kashish Buildtech Private Limited
123 Kautilya Monetary Services Private Limited
124 KBM Constructions Private Limited
125 Keshto Buildcon Private Limited
126 Kirti Hotels Private Limited
127 Kishordeep Realtors Private Limited
128 Krishan Kripa Buildcon Private Limited
129 Laldeep Realtors Private Limited
130 Lavanya Builders Private Limited
131 Lifestyle Township Private Limited
132 Lohith Developers Private Limited
133 Luxury Township Private Limited
134 M I J Infrastructure Private Limited
135 Maa Omwati Education Trust
136 Mangal Bhumi Properties Private Limited
137 Mangla Villas Private Limited
138 Manik Buildcon Private Limited
139 Mankish Colonisers Private Limited
140 Manprav Developers Private Limited
141 Manwal Colonisers Private Limited
142 Marine Sands Limited (up to 23.01.2013)
143 Megh Airways Private Limited
144 Meghmala Builders Private Limited
145 Mihir Buildwell Private Limited
146 Milestone Township Private Limited
147 Miniature Township and Properties Private Limited
148 Mohak Tours and Travels Private Limited
149 Motto Developers Private Limited
150 NAFHIL Gujrat Homes Limited
151 NAJ Builders Private Limited
152 Nakul Technobuild Private Limited
153 Naptune Technobuild Projects Private Limited
154 National Affordable Housing and Infrastructure Limited
155 Natraj Colonisers Private Limited
156 Naveenraj Realtors Private Limited
157 Neegar Developers Private Limited
158 New Horizons Township Developers Private Limited
159 Nikunj Infrabuild Private Limited
160 NJS Developers Private Limited
161 Obalesh Buildcon Private Limited
162 Omaxe Affordable Homes Private Limited
163 Omaxe Bihar Affordable Housing Private Limited
164 Omaxe Chhattisgarh Affordable Housing Private Limited
165 Omaxe Foundation (Regd.)
166 Omaxe Global Trading Corporation Private Limited
167 Omaxe Hotels Limited
168 Omaxe Housing And Commercial Projects Limited
169 Omaxe Infrastructure Development Private Limited
170 Omaxe Madhya Pradesh Affordable Housing Private Limited
171 Omaxe Orissa Developers Limited
172 Omaxe Pragati Maidan Exhibition Limited
173 Omaxe Punjab Affordable Housing Private Limited
174 Omaxe Rajasthan Affordable Housing Private Limited
175 Omaxe Realtors Private Limited
176 Omaxe Retail Limited
177 Omaxe Uttar Pradesh Affordable Housing Private Limited
178 P N Buildcon Private Limited
179 Paradise On Earth Properties Private Limited
180 Parjit Realtors Private Limited
181 Pearl Peak Landbase Private Limited
182 Prabal Developers Private Limited
183 Praveen Buildcon Private Limited
184 Praveen Mehta Builders Private Limited
185 PSJ Developers Private Limited
186 Puru Builders Private Limited
187 Radhika Buildwell Private Limited
188 Rahi Transport Private Limited
189 Ramneesh Builders Private Limited
190 Ramniya Estate Developers Private Limited
191 Raveendeep Colonisers Private Limited
192 Renown Estate Developers Private Limited
193 Rishit Buildcon Private Limited
194 Rocky Valley Resorts Private Limited
195 Rockyard Properties Private Limited
196 Rohak Builders Private Limited
197 Ryhme Propbuild Private Limited
198 S. A. Finvest Limited
199 Saamit Realtors Private Limited
200 Sakal Agrotech Private Limited
201 Sandeep Landcon Private Limited
202 Sandeep Township Private Limited
203 Sangupt Developers Private Limited
204 Sanjit Realtors Private Limited
205 Sankalp Realtors Private Limited
206 Sanya Realtors Private Limited
207 Sapphire Township and Developers Private Limited
208 Savin Realtors Private Limited
209 Sentinent Properties Private Limited
210 Shalin Buildwell Private Limited
211 Shantiniwas Developers Private Limited
212 Shardul Builders Private Limited
213 Shashank Buildhome Private Limited
214 Shikhar Landcon Private Limited
215 Shining Home Infrastructure Private Limited
216 Shivkripa Buildhome Private Limited
217 Shrey Technobuild Private Limited
218 Shreyas Buildhome Private Limited
219 Singdeep Estate Developers Private Limited
220 Smart Buildhome Private Limited
221 Snehal Buildcon Private Limited
222 SNJ Builders Private Limited
223 Source Developers Private Limited
224 Spike Developers Private Limited
225 Starex Projects Private Limited
226 Starshine Hotels Private Limited
227 Starshine Realtors Private Limited
228 Stepping Stone Buildhome Private Limited
229 Stronghold Properties Private Limited
230 Subodh Buildwell Private Limited
231 Sukhversa Properties Private Limited
232 Sumedha Builders Private Limited
233 Sunlife Properties Private Limited
234 Sunrise Township Private Limited
235 Sunshine Buildtech Private Limited
236 Sunview Township Private Limited
237 Superior Landbase Private Limited
238 Swapan Sunder Township Developers Private Limited
239 Swapnil Buildhome Private Limited
240 Swarg Sukh Buildhome Private Limited
241 Swarn Bhumi Buildhome Private Limited
242 Tariq Infrabuild Private Limited
243 Taru Buildcon Private Limited
244 The International Omaxe Construction Limited
245 True Dreams Developers Private Limited
246 True Estate Build Developers Private Limited
247 True Gem Tech Developers Private Limited
248 True Villas Developers Private Limited (upto 06.08.2012)
249 Tushar Landcon Private Limited
250 Udal Properties Private Limited
251 Umang Buildcon Private Limited
252 Uppal Resorts Private Limited
253 Vaibhav Technobuild Private Limited
254 Vaman Buildhome Private Limited
255 Veenish Realtors Private Limited
256 Veer Buildhome Private Limited
257 Versatile Buildhome Private Limited
258 VGSG Realtors Private Limited
259 Vimsan Realtors Private Limited
260 Vineera Colonisers Private Limited
261 Vingar Developers Private Limited
262 Vishishth Buildhome Private Limited
263 VSG Builders Private Limited
264 M/s J.B. Goel & Family ( HUF)
265 M/s Rohtas Goel (HUF)
266 M/s Sunil Goel ( HUF)
VI Key managerial personnel
1 Mr. Rohtas Goel
2 Mr. Sunil Goel
3 Mr. Jai Bhagwan Goel
4 Mr. Mohit Goel
VII Relatives of key managerial personnel
1 Mrs. Sushma Goel
13. The company has regrouped / reclassified previous year figures
where necessary to conform to with current year''s classification.
Mar 31, 2012
1. CONTINGENT LIABILITIES & COMMITMENTS
(- in mio)
Particulars Year ended Year ended
March 31,2012 March 31, 2011
(i) Claims by Customers against the
company not acknowledged as
debts (to the 186.95 115.73
extent quantifiable)
(ii) Bank guarantees
In respect of the Company 1,174.60 1,114.31
In respect of subsidiaries 311.51 588.26
In respect of joint venture company 43.74 43.74
In respect of others 0.25 0.25
(iii) Counter guarantees 45.00 45.00
(iv) Corporate guarantees in respect of
wholly owned subsidiary companies 3671.60 3,611.60
(v) Disputed tax amounts:
Sales tax 86.73 82.70
Service tax Nil 29.10
Income tax (net of excess provision
made earlier) 1146.80 864.96
Writ Petition filed by Income tax
department against order of settlement
commission Amount unas- Amount unas-
before Delhi High Court certainable certainable
Certain civil cases preferred against
the Company in respect of labour
laws, specific Not quantifiable Not quantifiable
performance of certain land
agreements, etc. and disputed by the
Company
2. As on 31st March, 2012, a sum of Rs.3.21 mio (P.Y. Rs.3.21 mio) is
outstanding to be refunded to the applicants who were not/partly
allotted the shares in initial public offer. Such amount aggregating
to Rs.3.21 mio (P.Y. Rs.3.21 mio) is lying in the separate bank account of
the company. The said amount has also been shown as "Unclaimed share
application money" in note no 8. This does not include any amount, due
and outstanding, to be credited to the Investor Education and
Protection Fund as per the provisions of the Companies Act, 1956.
3. Determination of revenues under 'Percentage of Completion method'
necessarily involves making estimates by management for percentage of
completion, cost to completion, revenues expected from projects,
projected Profits and losses. These estimates being of a technical
nature have been relied upon by the auditors.
4. The Company had in earlier years granted interest free loan of
Rs.527.98 mio to one of its wholly owned subsidiary company incorporated
outside India namely Rohtas Holding (Gulf) Ltd (RHGL), which in turn
had given such loan amount to two SPV's incorporated outside India
namely Marine Sands Ltd (MSL) and Golden Crescent Red and General
Trading Limited (GCRGTL) for carrying out real estate projects outside
India. GCRGTL has since exited from proposed real estate project.
Accordingly RHGL has repaid a sum of Rs.342.39 mio to the Company. In
the opinion of management of the Company, the amount advanced to Marine
Sands Ltd through RHGL is good, as there are fair chances of revival of
real estate project in MSL.
5. Balances of trade receivables, trade payables, current /
non-current advances given/ received are subject to reconciliation and
confirmation from respective parties. The balance of said trade
receivables, trade payables, current / non-current advances given/
received are taken as shown by the books of accounts. The ultimate
outcome of such reconciliation and confirmation cannot presently be
determined, therefore, no provision for any liability that may result
out of such reconciliation and confirmation has been made in the
financial statement, the financial impact of which is unascertainable due
to the reasons as above stated.
6. Inventories, loans & advances, trade receivables and other current
/ non-current assets are in the opinion of the management do not have a
value on realization in the ordinary course of business, less than the
amount at which they are stated in the balance sheet. The classification
of assets and liabilities between current and non-current have been
made based on management perception as to its recoverability /
settlement and other criteria as set out in the revised schedule VI to
the Companies Act,1956.
7. During the year, the Income tax department has raised a demand of
Rs.296.34 mio on the company for assessment year 2006-07 on account of
disallowances under section 80(IB) of Income Tax Act, 1961. The company
has fled writ petition before Hon'ble High Court against the impunged
order of Assessing Officer. The earlier Income tax demand of Rs.904.13 mio
for assessment year 2008- 09 is also subject matter of appeal before
CIT(A) and is still pending for final decision. Based on the decision of
various appellate authorities and the interpretations of relevant
provisions of Income Tax Act, 1961, the Company has been advised by the
experts that the claim under Section 80 (IB) is sustainable,
accordingly the Company is quite hopeful that the demand so raised is
likely to be deleted, hence, no provision on account of such income tax
demand has been made in the accounts.
8. The Company has advanced a sum of Rs.745.05 mio to one of its wholly
owned subsidiary company namely Eden Buildcon Private Limited
(hereinafter referred to as "Subsidiary Company") for acquiring land
from Hyderabad Metropolitan Development Authority (HMDA) for real
estate projects. The said subsidiary company participated in bid in
respect of auction by HMDA and paid initial deposit of Rs.750.63 mio
against total value of Rs.3,002.50 mio. During the process of verifying
the title to the auction land post auction, the subsidiary company on
scrutiny of documents found that the auction land is the subject matter
of pending litigations before Hon'ble Andhra Pradesh High Court.
Thereafter, the subsidiary company requested HMDA to obtain necessary
orders from the court empowering HMDA to alienate the auction land and
also expressed its honest intention to pay the balance cost of land.
HMDA asserted that there is no legal impediment for transferring the
title of the land and directed the subsidiary company to remit the
balance sales consideration. The subsidiary company applied to HMDA for
refund of the initial booking amount. The request for such refund was
not considered by HMDA and HMDA demanded balance amount of Rs.2,251.87
mio failing which the entire booking amount was liable to be forfeited.
The subsidiary company has fled a writ petition before Hon'ble Andhra
Pradesh High Court against letter of HMDA giving final notice to remit
balance consideration or forfeiture of the booking amount. The
subsidiary company has since obtained an interim order in the said writ
petition wherein Hon'ble High Court of Andhra Pradesh has ordered for
interim suspension of the operation of the aforesaid letter. The writ
petition of the Subsidiary Company is ordered to be tagged with the
Writ Appeals of other companies having similar grievance for refund of
their money from HMDA. Since the matter is sub-judice, amount advanced
by the company to subsidiary company is considered good and classified
as non-current.
9. The construction on one of the real estate projects of the Company
have temporarily been suspended due to stay given on construction on
this project by Hon'ble High Court on the basis of special leave
petition. The company was claiming deduction under section 80 (IB) of
Income tax Act, 1961 (the Act) on this project. The relevant section of
the Act requires, as a condition precedent, that completion Certificate
must be obtained in respect of qualifying projects within five years
which expired on 31st March, 2012. In view of supervening impossibility
created as a result of order passed by the Hon'ble High Court staying
further construction on the project, the company could not comply with
the said conditions. The company has been advised by legal consultants
that the time limit for completion of the project i.e.31st March, 2012
should be extended for the period with the stay operating, accordingly,
the management of the company is of the opinion that there are fair
chances that the company would succeed in claim of deduction under
section of 80 (IB) (10) of the Act, therefore, tax benefits earlier
claimed has not been reversed/provided for in the books of account. The
management of the company is of the opinion that stay on construction
of aforesaid project shall be vacated in due course of time, therefore,
on the basis of going concern assumption, no adjustment in respect of
revenue / Profits already booked before such stay and customers advances
related to this project have been made in the books of accounts.
10. The company is having 50: 50 Joint Venture in Omaxe Azorim
Developers Private Limited ("Joint venture company"). The company and
another shareholder of such joint venture company has fled petition and
cross petition before Hon'ble Company Law Board under section 397 and
398 of the Companies Act, 1956. The Hon'ble Company Law Board have vide
its various interim order(s) directed the parties to work towards
reconciliatory solution in operation of the Company and both the
parties are in process of settlement. The petitions are posted for
completion of pleadings on 18th July, 2012. Pending the final outcome of
the petition(s), their outcome and related impact, if any, on the
financial statements to the extent of company's interest in such joint
venture company are not ascertainable.
11. Interest in Joint Ventures
The Company entered into a 50:50 Joint Venture in Omaxe Azorim
Developers Private Ltd (incorporated in India) with M/s Azorim
International Holdings Limited (Azorim) for development of the Real
Estate Project in India. The company's share in Profit and loss item is
considered @ 50:50 (previous year 50:50). However, for the purposes of
Company's share in assets and liabilities, proportionate consolidation
method has been adopted.
The Company's interest in the Joint Venture Company is reported as Long
term Investment (refer note No. 10) and stated at cost. The Company's
share of each of the assets, liabilities, income and expenses, etc.
(each after elimination of, the effect of transactions between the
Company and the joint venture related to its interests in joint venture
company based on financial results are given here under:
12 Employee benefit A. Gratuity
The Company is having group gratuity scheme with LIC of India.
13. LEASE
a. The Company has taken certain premises on non-cancellation
operating lease.
b. The lease agreements provide for an option to the Company to renew
the lease period at the end of the non-cancellation period. There are
no exceptional / restrictive covenants in the lease agreement.
c. Lease rent expenses in respect of operating lease debited to
statement of Profit and loss account -66.21 mio (P.Y -31.60 mio).
14. Segment information
Business segments
Based on similarity of activities/products, risk and reward structure,
organization structure and internal reporting system, the Company has
structured its operations into the following segments:
Real estate
Promotion, construction, development and sale of townships,
residential, commercial property, developed plots etc.
15. RELATED PARTIES DISCLOSURES
Related parties are classified as:
A. Related parties are classified as:
I Wholly owned Subsidiary companies
1 Ansh Builders Private Limited
2 Arman Builders Private Limited
3 Champion Realtors Private Limited
4 Eden Buildcon Private Limited
5 Ekansh Buildtech Private Limited
6 Finishing Touch Properties and Developers Private Limited
7 Omaxe Hitech Infrastructure Company Private Limited (Formerly First
Promoters & Developers Private Lim- ited)
8 Garv Buildtech Private Limited
9 Golden Glades Builders Private Limited
10 Green Planet Colonisers Private Limited
11 JKB Constructions Private Limited
12 JRS Projects Private Limited
13 Kavya Buildtech Private Limited
14 Landlord Developers Private Limited
15 Mehboob Builders Private Limited
16 Mehtab Infratech Private Limited
17 Monarch Villas Private Limited
18 Oasis Township Private Limited
19 Jagdamba Contractors and Builders Limited (Formerly Omaxe Buildcon
Limited)
20 Omaxe Buildhome Private Limited
21 Omaxe Buildwell Private Limited
22 Omaxe Chandigarh Extension Developers Private Limited
23 Omaxe Connaught Place Mall Limited
24 Omaxe Housing and Developers Limited
25 Omaxe Housing And Infrastructure Limited
26 Omaxe Buildtech Limited (Formerly Omaxe Housing Finance Limited)
27 Omaxe Infotech City Developers Limited
28 Omaxe Infrastructure And Construction Limited
29 Omaxe Infrastructure Limited
30 Omaxe Power Private Limited
31 Omaxe Rajasthan SEZ Developers Limited
32 Pancham Realcon Private Limited
33 Panchi Developers Private Limited
34 Primordial Buildcon Private Limited
35 Rohtas Holdings (Gulf) Limited
36 S N Realtors Private Limited
37 Satvik Hitech Builders Private Limited
38 Shamba Developers Private Limited
39 Volvo Properties Private Limited
40 Max Gulf Limited (upto 04.04.2011)
II Other Subsidiary Companies
1 Anjaniputra Builders Private Limited
2 Hamara Ghar Constructions and Developers Private Limited
3 Jewel Projects Private Limited
4 Link Infrastructure and Developers Private Limited
5 Navratan Techbuild Private Limited
6 Omaxe Entertainment Limited
7 Omtech Infrastructure and Construction Limited
8 Reliable Manpower Solutions Limited
9 Rivaj Infratech Private Limited
10 Zodiac Housing and Infrastructure Private Limited
11 Robust Buildwell Private Limited
III Step Subsidiary Companies
1 Aadhira Developers Private Limited
2 Aarzoo Technobuild Private Limited
3 Aashna Realcon Private Limited
4 Abheek Builders Private Limited
5 Aditya Realtech Private Limited
6 Aradhya Real Estate Private Limited
7 Ashok Infrabuild Private Limited
8 Ashray Infrabuild Private Limited
9 Aviral Colonisers Private Limited
10 Ayush Landcon Private Limited
11 Bhanu Infrabuild Private Limited
12 Caspian Realtors Private Limited
13 Daman Builders Private Limited
14 Damodar Infratech Private Limited
15 Davesh Technobuild Private Limited
16 Dhanu Real Estate Private Limited
17 Dinkar Realcon Private Limited
18 Ekapad Developers Private Limited
19 Glacier Agro Foods Private Limited
20 Hemang Buildcon private Limited
21 Hiresh Builders Private Limited
22 Manit Developers Private Limited
23 Oasis Suncity Realtors Private Limited
24 Radiance Housing and Properties Private Limited
25 RPS Suncity Promoters and Developers Private Limited
26 Rupesh Infratech private Limited
27 Sanvim Developers Private Limited
28 Sarthak Landcon Private Limited
29 Sarva Buildtech Private Limited
30 Satkar Colonisers Private Limited
31 Shubh Bhumi Developers Private Limited
32 Silver Peak Township Private Limited
33 Sri Balaji Green Heights Private Limited
34 Tejpal Infra Developers Private Limited
35 Utkrisht Real Estate and Associates Private Limited
36 Chapal Buildhome Private Limited (w.e.f. 05.05.2011)
37 Anveshan Builders Private Limited
38 Adesh Realcon Private Limited
39 Navdip Developers Private Limited
40 Abhas Realcon Private Limited
41 Golden Crescent Red & General Trading Limited (w.e.f. 11.03.2012)
IV Joint Venture
1 Omaxe Azorim Developers Private Limited
V Entities over which key managerial personnel or their relatives
exercises significant infuence
1 Aanchal Infrabuild Private Limited
2 Abhay Technobuild Private Limited
3 Abhiman Buildtech Private Limited
4 Absolute Infrastructure Private Limited
5 Adhar Buildtech Private Limited
6 Adil Developers Private Limited
7 Advaita Properties Private Limited
8 Advay Properties Private Limited
9 Affordable Home Loan Advisors Private Limited
10 Aftab Developers Private Limited
11 Agasthya Properties Private Limited
12 Alpesh Builders Private Limited
13 Amani Realcon Private Limited
14 Amber Infrabuild Private Limited
15 Amit Jain Builders Private Limited
16 Amit Landcon Private Limited (upto 02.06.2011)
17 Amod Builders Private Limited
18 Amshul Developers Private Limited
19 Ananddeep Realtors Private Limited
20 Anant Realcon Private Limited
21 Aneesh Buildtech Private Limited
22 Annay Realtors Private Limited
23 Apoorva Infrabuild Private Limited
24 Arhan Builders Private Limited
25 Arhant Infrabuild Private Limited
26 Aric Infrabuild Private Limited
27 Arjit Builders Private Limited
28 Ashtam Builders Private Limited
29 Avindra Estate Developers Private Limited
30 Aviral Buildtech Private Limited
31 Avtar Infrabuild Private Limited
32 Avval Builders Private Limited
33 Axeom Advertising Solutions Limited
34 B D Agarwal Securities Private Limited
35 Badal Developers Private Limited
36 Badal Impex Private Limited
37 Balesh Technobuild Private Limited
38 Bali Buildtech Private Limited
39 Bandhu Buildtech Private Limited
40 Banke Builders Private Limited
41 Basant Infrabuild Private Limited
42 Beautiful Landbase Private Limited
43 Bhanu Retail Private Limited
44 Bharatbhoomi Township Limited
45 Bhargav Builders Private Limited
46 Bhavesh Buildcon Private Limited
47 Bhuvan Buildtech Private Limited
48 Blossom Buildhome Private Limited
49 Buildwell Builders Private Limited
50 Caleen Hotels Private Limited
51 Chaitanya Realcon Private Limited
52 Chapal Buildhome Private Limited (upto 04.05.2011)
53 Chetan Infrabuild Private Limited
54 Chirag Buildhome Private Limited
55 Constellation Capital Limited
56 Cress Propbuild Private Limited
57 Daksh Airport Developers Private Limited
58 Daksh Township Private Limited
59 Damini Infratech Private Limited
60 Darpan Buildtech Private Limited
61 Darsh Buildtech Private Limited
62 Deejit Developers Private Limited
63 Deepaalay Realtors Private Limited
64 Deepal Township Private Limited
65 Deepsan Realtors Private Limited
66 Deepsing Realtors Private Limited
67 Derwal Realtors Private Limited
68 Desire Housing and Construction Private Limited
69 Devang Builders Private Limited
70 Devgar Estate Developers Private Limited
71 Distinctive Infrastructure And Construction Private Limited
72 Divya Buildhome Private Limited
73 Dream Home Developers Private Limited
74 Dream Techno Build Private Limited
75 Dream Towers Private Limited
76 DVM Realtors Private Limited
77 Dwarkadhish Land and Farms Private Limited
78 Examo Estate Management Private Limited
79 Excellent Apartments Private Limited
80 Fast Track Buildcon Private Limited
81 Forever Housing and Properties Private Limited
82 Fragrance Housing And Properties Private Limited
83 Fragrance Information And Communication Technolo- gies Private
Limited
84 Gaamit Realtors Private Limited
85 Gagan Realcon Private Limited
86 Garg and Goel Estate Developers Private Limited
87 Garg Realtors Private Limited
88 Garvish Realtors Private Limited
89 Gaurang Buildcon Private Limited
90 Geet Buildhome Private Limited
91 Girish Buildwell Private Limited
92 Glamour Hotels Private Limited
93 Goel Isha Colonisers Private Limited
94 Golden Crescent Red & General Trading Limited (upto 10.03.2012)
95 Green Earth Promoters Private Limited
96 Green Tech Tower Builders Private Limited
97 Guild Builders Private Limited
98 Gurmeet Builders Private Limited
99 Hansa Properties Private Limited
100 Havish Buildcon Private Limited
101 Hina Technobuild Private Limited
102 Hitech Hotels Private Limited
103 Hriday Hitech Builders Private Limited
104 Indrasan Developers Private Limited
105 Inesh Buildcon Private Limited
106 Inesh Developers Private Limited
107 Inqalab Builders Private Limited
108 Interactive Buildtech Private Limited
109 Istuti Realcon Private Limited
II 0 J. B. Realcon Private Limited
III Jagat Buildtech Private Limited 112 Jai Bhoomi Projects Limited
11 3 Jai Dev Colonisers Private Limited
114 Jalesh Builders And Developers Private Limited
115 Jayant Buildhome Private Limited
116 Jishnu Buildcon Private Limited
117 Jitenjay Realtors Private Limited
118 Jivish Colonisers Private Limited
119 JSM Enterprises Private Limited
120 Kalp Buildtech Private Limited
121 Kamini Builders And Promoters Private Limited
122 Kanak Buildhome Private Limited
123 Kanha Logistics Private Limited
124 Kartik Buildhome Private Limited
125 Kashish Buildtech Private Limited
126 Kautilya Monetary Services Private Limited
127 KBM Constructions Private Limited
128 Keshto Buildcon Private Limited
129 Kirti Hotels Private Limited
130 Kishordeep Realtors Private Limited
131 Krishan Kripa Buildcon Private Limited
132 Laldeep Realtors Private Limited
133 Lavanya Builders Private Limited
134 Lifestyle Township Private Limited
135 Lohith Developers Private Limited
136 Luxury Township Private Limited
137 M I J Infrastructure Private Limited
138 Maa Omwati Education Trust
139 Mangal Bhumi Properties Private Limited
140 Mangla Villas Private Limited
141 Manik Buildcon Private Limited
142 Mankish Colonisers Private Limited
143 Manprav Developers Private Limited
144 Manwal Colonisers Private Limited
145 Marine Sands Limited
146 Megh Airways Private Limited
147 Meghmala Builders Private Limited
148 Mihir Buildwell Private Limited
149 Milestone Township Private Limited
150 Miniature Township And Properties Private Limited
151 Mohak Tours And Travels Private Limited
152 Motto Developers Private Limited
153 NAFHIL Gujrat Homes Limited
154 NAJ Builders Private Limited
155 Nakul Technobuild Private Limited
156 Naptune Technobuild Projects Private Limited
157 National Affordable Housing and Infrastructure Limited
158 Natraj Colonisers Private Limited
159 Naveenraj Realtors Private Limited
160 Neegar Developers Private Limited
161 New Horizons Township Developers Private Limited
162 Nikunj Infrabuild Private Limited
163 NJS Developers Private Limited
164 Obalesh Buildcon Private Limited
165 Omaxe Affordable Homes Private Limited
166 Omaxe Bihar Affordable Housing Private Limited
167 Omaxe Chhattisgarh Affordable Housing Private
Limited
168 Omaxe Foundation ( Regd.)
169 Omaxe Global Trading Corporation Private Limited
170 Omaxe Hotels Limited
171 Omaxe Housing And Commercial Projects Limited
172 Omaxe Infrastructure Development Private Limited
173 Omaxe Madhya Pradesh Affordable Housing Private
Limited
174 Omaxe Orissa Developers Limited
175 Omaxe Pragati Maidan Exhibition Limited
176 Omaxe Punjab Affordable Housing Private Limited
177 Omaxe Rajasthan Affordable Housing Private Limited
178 Omaxe Realtors Private Limited
179 Omaxe Retail Limited
180 Omaxe Uttar Pradesh Affordable Housing Private
Limited
181 P N Buildcon Private Limited
182 Paradise On Earth Properties Private Limited
183 Parjit Realtors Private Limited
184 Pearl Peak Landbase Private Limited
185 Prabal Developers Private Limited
186 Praveen Buildcon Private Limited
187 Praveen Mehta Builders Private Limited
188 PSJ Developers Private Limited
189 Puru Builders Private Limited
190 Radhika Buildwell Private Limited
191 Rahi Transport Private Limited
192 Ramneesh Builders Private Limited
193 Ramniya Estate Developers Private Limited
194 Raveendeep Colonisers Private Limited
195 Renown Estate Developers Private Limited
196 Rishit Buildcon Private Limited
197 Rocky Valley Resorts Private Limited
198 Rockyard Properties Private Limited
199 Rohak Builders Private Limited
200 Ryhme Propbuild Private Limited
201 S A Finvest Limited
202 Saamit Realtors Private Limited
203 Sakal Agrotech Private Limited
204 Sandeep Landcon Private Limited
205 Sandeep Township Private Limited
206 Sangupt Developers Private Limited
207 Sanjit Realtors Private Limited
208 Sankalp Realtors Private Limited
209 Sanya Realtors Private Limited
210 Sapphire Township and Developers Private Limited
211 Savin Realtors Private Limited
212 Sentinent Properties Private Limited
213 Shalin Buildwell Private Limited
214 Shantiniwas Developers Private Limited
215 Shardul Builders Private Limited
216 Shashank Buildhome Private Limited
217 Shikhar Landcon Private Limited
218 Shining Home Infrastructure Private Limited
219 Shiv Kripa Build Home Private Limited
220 Shrey Technobuild Private Limited
221 Shreyas Buildhome Private Limited
222 Singdeep Estate Developers Private Limited
223 Smart Buildhome Private Limited
224 Snehal Buildcon Private Limited
225 SNJ Builders Private Limited
226 Source Developers Private Limited
227 Spike Developers Private Limited
228 Starex Projects Private Limited
229 Starshine Hotels Private Limited
230 Starshine Realtors Private Limited
231 Stepping Stone Buildhome Private Limited
232 Stronghold Properties Private Limited
233 Subodh Buildwell Private Limited
234 Sukhversa Properties Private Limited
235 Sumedha Builders Private Limited
236 Sunlife Properties Private Limited
237 Sunrise Township Private Limited
238 Sunshine Buildtech Private Limited
239 Sunview Township Private Limited
240 Superior Landbase Private Limited
241 Swapan Sunder Township Developers Private Limited
242 Swapnil Buildhome Private Limited
243 Swarg Sukh Buildhome Private Limited
244 Swarn Bhumi Buildhome Private Limited
245 Tariq Infrabuild Private Limited
246 Taru Buildcon Private Limited
247 The International Omaxe Construction Limited
248 True Dreams Developers Private Limited
249 True Estate Build Developers Private Limited
250 True Gem Tech Developers Private Limited
251 True Villas Developers Private Limited
252 Tushar Landcon Private Limited
253 Udal Properties Private Limited
254 Umang Buildcon Private Limited
255 Uppal Resorts Private Limited
256 Vaibhav Technobuild Private Limited
257 Vaman Buildhome Private Limited
258 Veenish Realtors Private Limited
259 Veer Buildhome Private Limited
260 Versatile Buildhome Private Limited
261 VGSG Realtors Private Limited
262 Vimsan Realtors Private Limited
263 Vineera Colonisers Private Limited
264 Vingar Developers Private Limited
265 Vishishth Buildhome Private Limited
266 VSG Builders Private Limited
267 M/s J.B. Goel & Family (HUF)
268 M/s Rohtas Goel (HUF)
269 M/s Sunil Goel (HUF)
VI Key managerial personnel
1 Mr. Rohtas Goel
2 Mr. Sunil Goel
3 Mr. Jai Bhagwan Goel
VII Relatives of key managerial personnel
1 Mrs. Sushma Goel
2 Mr. Mohit Goel
18. Till the year ended March 31, 2011, the company was using
pre-revised Schedule VI to the Companies Act 1956, for preparation and
presentation of its financial statements. During the year ended March
31, 2012, the revised Schedule VI notified under the Companies Act 1956,
has become applicable to the company. The company has regrouped /
reclassified previous year figures where necessary to conform to with
current year's classification.
The note no. 1-45 referred to above forms an integral part of financial
statements.
Mar 31, 2011
1. Contingent liabilities not provided for in respect of:
(Rs. in mio)
Year ended
March Year ended
March
31,2011 31,2010
Claims against the Company not acknowledged
as debts 115.73 81.28
Bank guarantees
In respect of the Company 1,125.23 1139.13
In respect of subsidiaries 577.34 655.29
In respect of joint venture company 43.74 78.89
In respect of others 0.25 0.15
Counter guarantees 45.00 45.00
Corporate guarantees in respect of wholly
owned subsidiary companies 3,611.60 2,561.60
Disputed tax amounts:
Sales tax 82.70 68.45
Service tax 29.10 29.10
Income tax (net of excess provision made
earlier) 864.96 Nil
Writ Petition filed by Income Tax Department
against order of settlement Amount Amount
commission before Delhi High Court unascert
-ainable unascert
-ainable
Disputed differential Interest Liability Nil 7.20
Certain civil cases preferred against the
Company in respect of Not
quantifiable Not
quantifiable
labour laws, specific performance of
certain land agreements, etc. and
disputed by the Company
2. Ason31!t March, 2011,asumof Rs.3.21 mio (Rs.3.22 mio) is
outstanding to be refunded to the applicants who were not/partly
allotted the shares in initial public offer. Such amount aggregating to
Rs.3.21 mio (Rs.3.22 mio) is lying in the separate bank account of the
company. The said amount has also been shown as "Unclaimed share
application money" in Schedule No. 13. This does not include any
amount, due and outstanding, to be credited to the Investor Education
and Protection Fund as per the provisions of the Companies Act, 1956.
3. Determination of revenues under 'Percentage of Completion method'
necessarily involves making estimates by management for percentage of
completion, cost to completion, revenues expected from projects,
projected profits and losses. These estimates being of a technical
nature have been relied upon by the auditors.
4. The Company had in earlier years granted interest free loan of
Rs.527.98 mio to one of its wholly owned subsidiary Company
incorporated outside India namely Rohtas Holding (Gulf) Ltd (RHGL),
which in turn had given such loan amount to two SPV's incorporated
outside India namely Marine Sands Ltd (MSL) and Golden Crescent Red and
General Trading Limited (GCRGTL) for carrying out real estate projects
outside India. GCRGTL has since exited from proposed real estate
project. Accordingly RHGL has repaid a sum of Rs.342.39 mio to the
Company. The exchange fluctuation gain on such realisation of Rs.1 7.72
mio has been taken to other income. In the opinion of management of the
Company, the amount advanced to Marine Sands Ltd through RHGL is good,
as there are fair chances of revival of real estate project in MSL.
5. Balances of sundry debtors, sundry creditors, advances given,
advances received are subject to reconciliation and confirmation from
respective parties. The balance of said sundry debtors, sundry
creditors, and advances given and received are taken as shown by the
books of accounts. The ultimate outcome of such reconciliation and
confirmation cannot presently be determined, therefore, no provision
for any liability that may result out of such reconciliation and
confirmation has been made in the financial statement, the financial
impact of which is unascertainable due to the reasons as above stated.
6. Current assets, loans and advances have a value on realization
which in the ordinary course of the business would not be less than the
amount at which they are stated in the balance sheet and the provisions
for all known and determined liabilities are adequate and not in excess
of the amount reasonably required.
7. During the year 2005-06 the Company was subjected to search under
section 132 of Income Tax Act, 1961 ("The Act"). Subsequently, pending
completion of block assessment proceedings, the Company filed an
application with Income tax settlement commission on 31st May, 2007 for
settlement of cases under section 245 C (i) of the Act relating to the
financial year 1 999-2000 to 2005-06 and offered an aggregate income of
Rs.278.60 mio relating to the accounting year 1999-2000 to 2005-06. The
Income Tax Settlement Commission vide its order dated 27.03.2008 had
accepted the aforesaid income so offered amounting to Rs.278.60 mio and
allowed the Company to capitalize a sum of Rs.235.00 mio towards land
and development cost of various projects, accordingly, treatment was
effected in books of account for the year ended 31st March, 2008.
Subsequently, Income Tax Department has filed writ petition against the
order of settlement commission before Hon'ble High Court of Delhi and
is pending before it. As the matter is sub-judice, the income tax
liability, if any, on this account shall be provided for in the year in
which final decision is made by such Hon'ble court.
8. The Income tax assessment of the Company for the assessment year
2008-09 was completed during the year. The Income tax department has
raised additional demand of Rs.904.13 mio on the Company for assessment
year 2008-09 on account of disallowance under Section 80(IB) of Income
Tax Act, 1 961. The Company has filed an appeal before Commissioner of
Income Tax (Appeals), New Delhi against the impugned order of the
assessing officer. Based on the decision of various appellate
authorities and the interpretations of relevant provisions of Income
Tax Act, 1 961, the Company has been advised by the experts that the
claim under Section 80(IB) is legally sustainable, accordingly the
Company is quite hopeful that the demand so raised is likely to be
either deleted or substantially reduced, hence, no provision on account
of such income tax demand has been made in the accounts.
9. As per terms of the licenses of certain group housing and/or
township projects executed by the Company in the state of Haryana, the
Company is required to construct residential units/develop plots for
Economically Weaker Sections (EWS) on specified area of land. The Sale
price of each unit/plot which was to be fixed by the Haryana Government
was fixed during the Financial year 2009-1 0 and has been protested by
the Company being on lower side. There has been no outcome/response on
the said protest of Rate fixation. Pending final outcome wherever the
Company has launched projects for EWS category, the projections of
revenues, profits and cost to completion of the group housing
project/development plot made by the management are after considering
the effect of profits/losses on such units/plots. Accordingly,
wherever the Company has not launched EWS projects, pending final
outcome of the said protest, the projection of revenue, profits and
cost to completion are subject to adjustment which would either be
adjusted on disposal of representation so made by the Company or on
launch of respective EWS projects.
10. The Company has advanced a sum of Rs.744.92 mio to one of its
wholly owned subsidiary company namely Eden Buildcon Private Limited
(hereinafter referred to as "Subsidiary Company") for acquiring land
from Hyderabad Metropolitan Development Authority (HMDA)for real estate
projects. The said subsidiary company participated in bid in respect of
auction by HMDA and paid initial deposit of Rs.750.63 mio against total
value of Rs.3,002.50 mio. During the process of verifying the title to
the auction land post auction, the subsidiary company on scrutiny of
documents found that the auction land is the subject matter of pending
litigations before Hon'ble Andhra Pradesh High Court. Thereafter, the
subsidiary company requested HMDA to obtain necessary orders from the
court empowering HMDA to alienate the auction land and also expressed
its honest intention to pay the balance cost of land. HMDA asserted
that there is no legal impediment for transferring the title of the
land and directed the subsidiary company to remit the balance sales
consideration. The subsidiary company applied to HMDA for refund of the
initial booking amount. The request for such refund was not considered
by HMDA and HMDA demanded balance amount of Rs.2,251.87 mio failing
which the entire booking amount was liable to be forfeited. The
subsidiary company has filed a writ petition before Hon'ble Andhra
Pradesh High Court against letter of HMDA giving final notice to remit
balance consideration or forfeiture of the booking amount. The
subsidiary company has since obtained an interim order in the said writ
petition wherein Hon'ble High Court of Andhra Pradesh has ordered for
interim suspension of the operation of the aforesaid letter. The Writ
Petition of the Subsidiary Company is ordered to be tagged with the
Writ Appeals of other Companies having similar grievance for refund of
their money from HMDA. Since the matter is sub-judice, amount advanced
by the company to subsidiary company is considered good.
1 2. (i) Advances include advances against collaboration amounting to
Rs.5,703.46 mio (Rs.6,848.1 7 mio) paid to certain parties (including
subsidiaries/associates/related parties) for acquiring land for
development of real estate projects, either on collaboration basis or
self-development basis.
(ii) Advances recoverable in cash or in kind includes, due from private
companies in which director(s) is a director or member Rs.1 9.46 mio
(Rs.23.1 9 mio).
13. Stock options schemes
OMAXE ESOP PLAN BETA
The Company has adopted Omaxe ESOP Plan Beta in the Annual General
Meeting held on September 27, 2007. The total number of options
available in the plan is 3% of the total paid up equity capital of the
Company.
16. Micro, Small Scale Business Entities
The Company has not received information from vendors regarding their
status under the Micro, Small and Medium Enterprises Development Act,
2006 and, hence, disclosures relating to amounts unpaid as at the year
end together with interest paid / payable underthis Act have not been
given.
17. Interest in Joint Ventures
The Company entered into a 50:50 Joint Venture in Omaxe Azorim
Developers Private Ltd (incorporated in India) with M/s Azorim
International Holdings Limited (Azorim) for development of the Real
Estate Project in India. In terms of the Subscription & Shareholder
Agreement & Amendment thereof, Company holds 1,000,000 Ordinary Equity
Shares & Azorim holds 500,000 Ordinary Equity Shares having pari -
passu rights in all respects including Voting Rights. Further, Azorim
also holds 500,000 Superior Equity Shares having pari- passu right in
every respect with the Ordinary Equity Shares excepting the Superior
dividend right and preferential right to distribution on liquidation.
Apart from the above Azorim has also been issued Differential Equity
constituting 2410 Equity Class A Shares, 6311 Equity Class B Shares and
189 Equity Class C Shares having pari - passu right in all respect
except nil voting rights and nil rights towards Dividend and 2,220
Class C Preference shares (out of which 1,300 preference shares
redeemed during the year). Accordingly, share in profit and loss item
is considered @ 50:50 (previous year 50:50). However, for the purposes
of Company's share in assets and liabilities, proportionate
consolidation method has been adopted.
During the year, the Company has entered into 63% joint venture in M/s
Robust Buildwell Private Limited.
18. Employee Benefit
A. Gratuity
The Company is having group gratuity scheme with LIC
of India.
B. Leave Encashment
Provision for leave encashment in respect of unavailed
leaves standing to the credit of employees is made on
actuarial basis. The Company does not maintain any fund
to pay for leave encashment.
C. Provident Fund
The Company makes contribution to statutory provident
fund in accordance with Employees Provident Fund and
Misc. Provision Act, 1 952. This is post employment benefit
and is in the nature of defined contribution plan.
26. Lease
a. The Company has taken certain premises on non-cancellation
operating lease.
b. The lease agreements provide for an option to the Company to renew
the lease period at the end of the non-cancellation period. There are
no exceptional / restrictive covenants in the lease agreement.
c. Lease rent expenses in respect of operating lease debited to profit
and loss account Rs.31.60 mio (Rs.43.11 mio). 27. Segment information
Business segments
Based on similarity of activities/products, risk and reward structure,
organization structure and internal reporting system, the Company has
structured its operations into the following segments:
Real estate
Promotion, construction, development and sale of townships,
residential, commercial property, developed plots etc.
Construction
Construction of property on behalf of clients.
Geographic segment
Operations of the Company do not qualify, for reporting as geographic
segments, under the criteria set out under Accounting Standard 1 7 on
'Segment reporting'.
28. Related parties disclosures
Related parties are classified as:
A. Related parties are classified as:
I Wholly owned Subsidiary companies
1 Kavya Buildtech Private Limited
2 Champion Realtors Private Limited
3 Ekansh Buildtech Private Limited
4 Omaxe Infrastructure Limited
5 Omaxe Housing and Developers Limited
6 JRS Projects Private Limited
7 Monarch Villas Private Limited
8 JKB Constructions Private Limited
9 Green Planet Colonisers Private Limited
10 Omaxe Connaught Place Mall Limited
11 Primordial Buildcon Private Limited
12 Omaxe Infotech City Developers Limited
13 Satvik Hitech Builders Private Limited
14 Omaxe Infrastructure And Construction Limited
15 Landlord Developers Private Limited
16 Omaxe Power Private Limited
17 S N Realtors Private Limited
18 Finishing Touch Properties and Developers Private Limited
19 Omaxe Rajasthan SEZ Developers Limited
20 Eden Buildcon Private Limited
21 Omaxe Buildcon Limited (Formerly Omaxe Infrabuild Ltd.)
22 AnshBuilders Private Li m ited
23 Arman Builders Private Limited
24 Omaxe Housing Finance Limited
25 Golden Glades Builders Private Limited
26 Rohtas Holdings (Gulf) Limited
27 Max Gulf Limited
28 Omaxe Chandigarh Extension Developers Private Limited
29 Oasis Township Private Limited
30 Omaxe Buildwell Private Limited
31 Omaxe Housing And Infrastructure Limited
32 Omaxe Buildhome Private Limited
33 Shamba Developers Private Limited (w.e.f. 27.05.2010)
34 Panchi Developers Private Limited (w.e.f. 27.05.2010)
35 Pancham Realcon Private Limited (w.e.f. 27.05.2010)
36 Volvo Properties Private Limited (w.e.f. 24.02.2011)
37 First Promoters & Developers Private Limited (w.e.f. 11.03.2011)
38 Mehboob Builders Private Limited (w.e.f. 16.03.2011)
39 Mehtab Infratech Private Limited (w.e.f. 16.03.2011)
40 Garv Buildtech Private Limited (w.e.f. 16.03.2011)
41 Vimvin Realtors Private Limited (Upto 02.05.2010)
II Other Subsidiary Companies
1 Omaxe Entertainment Limited
2 Omtech Infrastructure and Construction Limited
3 Navratan Techbuild Private Limited
4 Link Infrastructure and Developers Private Limited
5 Anjaniputra Builders Private Limited
6 Zodiac Housing and Infrastructure Private Limited
7 Hamara Ghar Constructions and Developers Private Limited
8 Jewel Projects Private Limited
9 Reliable Manpower Solutions Limited
10 Rivaj Infratech Private Limited
11 Pancham Realcon Private Limited (Upto 26.05.2010)
12 Garv Buildtech Private Limited (Upto 1 5.03.2011)
111 Fellow Subsidiary Companies
1 Sri Balaji Green Heights Private Limited
2 Oasis Suncity Realtors Private Limited
3 Silver Peak Township Private Limited
4 Radiance Housing and Properties Private Limited
5 Ashray Infrabuild Private Limited
6 Aarzoo Technobuild Private Limited
7 Hiresh Builders Private Limited
8 Bhanu Infrabuild Private Limited
9 Abheek Builders Private Limited
10 Aadhira Developers Private Limited
II Shubh Bhumi Developers Private Limited
12 Sanvim Developers Private Limited
13 RPS Suncity Promoters and Developers Private Limited
14 Ashok Infrabuild Private Limited (w.e.f. 28.07.2010)
15 Glacier Agro Foods Private Limited (w.e.f. 1 5.1 0.201 0)
16 Aviral Colonisers Private Limited (w.e.f. 1 5.1 0.201 0)
17 Dinkar Realcon Private Limited (w.e.f. 29.11.201 0)
18 Davesh Technobuild Private Limited (w.e.f. 29.11.201 0)
19 Sarva Buildtech Private Limited (w.e.f. 29.11.201 0)
20 Hemang Buildcon private Limited (w.e.f. 29.11.201 0)
21 Sarthak landcon Private Limited (w.e.f. 29.11.201 0)
22 Satkar Colonisers Private Limited (w.e.f. 01.02.2011)
23 Volvo Properties Private Limited (upto 23.02.2011)
24 Utkrissht Real Estate and Associates Private Limited (w.e.f.
01.02.2011)
25 Manit Developers Private Limited (w.e.f. 08.03.2011)
26 First Promoters & Developers Private Limited (upto 10.03.2011)
27 Dhanu Real Estate Private Limited (w.e.f. 10.03.2011)
28 Ekapad Developers Private Limited (w.e.f. 11.03.2011)
29 Damodar Infratech Private Limited (w.e.f. 11.03.2011)
30 Caspian Realtors Private Limited (w.e.f. 16.03.2011)
31 Aashna Realcon Private Limited (w.e.f. 16.03.2011)
32 Rupesh Infratech private Limited (w.e.f. 16.03.2011)
33 Daman Builders Private Limited (w.e.f. 16.03.2011)
34 Aradhya Real Estate Private Limited (w.e.f. 1 6.03.2011)
35 Ayush Landcon Private Limited (w.e.f. 1 7.03.2011)
36 Tejpal Infra Developers Private Limited (w.e.f. 17.03.2011)
37 Aditya Realtech Private Limited
IV Joint Venture
1 Omaxe Azorim Developers Private Limited
2 Robust Buildwell Private Limited(w.e.f. 08.11.201 0)
V Subsidiaries of joint venture company (M/s Robust Buildwell Private
Limited)
1 Anveshan Builders Private Limited (w.e.f. 1 0.11.201 0)
2 Adesh Realcon Private Limited (w.e.f. 1 0.11.201 0)
3 Navdip Developers Private Limited (w.e.f. 1 0.11.201 0)
4 Abhas Realcon Private Limited (w.e.f. 1 0.11.201 0)
VI Associate Companies
1 Sunshine Buildtech Private Limited (upto 26.03.2011)
2 Omaxe Realtors Private Limited (upto 26.03.2011)
3 Omaxe Infrastructure Development Private Limited (upto 26.03.2011)
VII Entities over which key managerial personnel or their relatives
exercise significant influence
1 Guild Builders Private Limited
2 Buildwell Builders Private Limited
3 Examo Estate Management Private Limited
4 Axeom Advertising Solutions Limited
5 Uppal Resorts Private Limited
6 Constellation Capital Limited
7 S A Fin vest Limited
8 Kautilya Monetary Services Private Limited
9 B D Agarwal Securities Private Limited
10 Goel Isha Colonisers Private Limited
II Dream Home Developers Private Limited 1 2 Hansa Properties Private
Limited
13 Rocky Valley Resorts Private Limited
14 P N Buildcon Private Limited
15 NAI Builders Private Limited
16 Ramniya Estate Developers Private Limited
17 Neegar Developers Private Limited
18 Green Earth Promoters Private Limited
19 M I J Infrastructure Private Limited
20 Sumedha Builders Private Limited
21 NJS Developers Private Limited
22 SNJ Builders Private Limited
23 VSG Builders Private Limited
24 Mangla Villas Private Limited
25 Vimsan Realtors Private Limited
26 PSJ Developers Private Limited
27 DVM Realtors Private Limited
28 True Dreams Developers Private Limited
29 Dream Techno Build Private Limited
30 True Villas Developers Private Limited
31 Starex Projects Private Limited
32 True Gem Tech Developers Private Limited
33 Green Tech Tower Builders Private Limited
34 Naptune Technobuild Projects Private Limited
35 True Estate Build Developers Private Limited
36 Dream Towers Private Limited
37 Ananddeep Realtors Private Limited
38 Vineera Colonisers Private Limited
39 Deepaalay Realtors Private Limited
40 Deepsan Realtors Private Limited
41 Naveenraj Realtors Private Limited
42 Jivish Colonisers Private Limited
43 Sangupt Developers Private Limited
44 Veenish Realtors Private Limited
45 Singdeep Estate Developers Private Limited
46 Annay Realtors Private Limited
47 Deepsing Realtors Private Limited
48 Deejit Developers Private Limited
49 Parjit Realtors Private Limited
50 Garg and Goel Estate Developers Private Limited
51 VGSG Realtors Private Limited
52 Vingar Developers Private Limited
53 Garg Realtors Private Limited
54 Manprav Developers Private Limited
55 Raveendeep Colonisers Private Limited
56 Devgar Estate Developers Private Limited
57 Jitenjay Realtors Private Limited
58 Derwal Realtors Private Limited
59 Manwal Colonisers Private Limited
60 Saamit Realtors Private Limited
61 Savin Realtors Private Limited
62 Monkish Colonisers Private Limited
63 Gaamit Realtors Private Limited
64 Jai Dev Colonisers Private Limited
65 Sanya Realtors Private Limited
66 Kishordeep Realtors Private Limited
67 Indrasan Developers Private Limited
68 Avindra Estate Developers Private Limited
69 Garvish Realtors Private Limited
70 Laldeep Realtors Private Limited
71 Sanjit Realtors Private Limited
72 Sankalp Realtors Private Limited
73 Source Developers Private Limited
74 Sandeep Township Private Limited
75 Sandeep Landcon Private Limited
76 Amit Landcon Private Limited
77 Praveen Mehta Builders Private Limited
78 Amit Jain Builders Private Limited
79 Shiv Kripa Build Home Private Limited
80 Krishan Kripa Buildcon Private Limited
81 Praveen Buildcon Private Limited
82 Motto Developers Private Limited
83 New Horizons Township Developers Private Limited
84 Spike Developers Private Limited
85 Shantiniwas Developers Private Limited
86 Starshine Realtors Private Limited
87 Deepal Township Private Limited
88 Sunview Township Private Limited
89 Swapan Sunder Township Developers Private Limited
90 Bharatbhoomi Township Limited
91 Jai Bhoomi Projects Limited
92 J. B. Realcon Private Limited
93 Omaxe Hotels Limited
94 Mangal Bhumi Properties Private Limited
95 Renown Estate Developers Private Limited
96 Milestone Township Private Limited
97 Luxury Township Private Limited
98 Udal Properties Private Limited
99 Omaxe Housing And Commercial Projects Limited
100 Lavanya Builders Private Limited
101 Amod Builders Private Limited
102 Advay Properties Private Limited
103 Agasthya Properties Private Limited
104 Advaita Properties Private Limited
105 Amshul Developers Private Limited
106 Alpesh Builders Private Limited
107 Daksh Township Private Limited
108 Pearl Peak Landbase Private Limited
109 Superior Landbase Private Limited
110 Sentinent Properties Private Limited
111 Fragrance Housing And Properties Private Limited
112 Beautiful Landbase Private Limited
113 Paradise On Earth Properties Private Limited
114 Forever Housing and Properties Private Limited
115 Sapphire Township and Developers Private Limited
116 Shining Home Infrastructure Private Limited
117 Sunlife Properties Private Limited
118 Interactive Buildtech Private Limited
119 Rockyard Properties Private Limited
120 Stronghold Properties Private Limited
121 Sunrise Township Private Limited
122 Absolute Infrastructure Private Limited
123 Distinctive Infrastructure And Construction Private Limited
124 Miniature Township And Properties Private Limited
125 JSM Enterprises Private Limited
126 Lifestyle Township Private Limited
127 Omaxe Pragati Maidan Exhibition Limited
128 Desire Housing and Construction Private Limited
129 Stepping Stone Buildhome Private Limited
130 Smart Buildhome Private Limited
131 Swarn Bhumi Buildhome Private Limited
132 Versatile Buildhome Private Limited
133 Swarg Sukh Buildhome Private Limited
134 Fast Track Buildcon Private Limited
135 Blossom Buildhome Private Limited
136 KBM Constructions Private Limited
137 The International Omaxe Construction Limited
138 Omaxe Orissa Developers Limited
139 Glamour Hotels Private Limited
140 Starshine Hotels Private Limited
141 Hitech Hotels Private Limited
142 Puru Builders Private Limited
143 Hriday Hitech Builders Private Limited
144 Prabal Developers Private Limited
145 VaibhavTechnobuild Private Limited
146 Nikunj Infrabuild Private Limited
147 Aanchal Infrabuild Private Limited
148 Fragrance Information And Communication Technologies Private
Limited
149 Omaxe Affordable Homes Private Limited 1 50 Bhargav Builders
Private Limited
151 Arhant Infrabuild Private Limited
152 Bandhu Buildtech Private Limited
153 Basant Infrabuild Private Limited
154 Bhuvan Buildtech Private Limited
155 Avtar Infrabuild Private Limited
156 Badal Developers Private Limited
157 Banke Builders Private Limited
158 Aviral Buildtech Private Limited
159 Arjit Builders Private Limited
160 Omaxe Punjab Affordable Housing Private Limited
161 Omaxe Uttar Pradesh Affordable Housing Private Limited
162 Omaxe Rajasthan Affordable Housing Private Limited
163 Omaxe Bihar Affordable Housing Private Limited
164 Omaxe Madhya Pradesh Affordable Housing Private Limited
165 Daksh Airport Developers Private Limited
166 Megh Airways Private Limited
167 Mohak Tours And Travels Private Limited
168 Rahi Transport Private Limited
169 Caleen Hotels Private Limited
170 Omaxe Chhattisgarh Affordable Housing Private Limited
171 Manik Buildcon Private Limited
172 Kartik Buildhome Private Limited
173 Lohith Developers Private Limited
174 Jishnu Buildcon Private Limited
175 Bhavesh Buildcon Private Limited
176 Aric Infrabuild Private Limited
177 Apoorva Infrabuild Private Limited
178 Kanak Buildhome Private Limited
179 Jayant Buildhome Private Limited
180 Abhay Technobuild Private Limited
181 Chirag Buildhome Private Limited
182 Gaurang Buildcon Private Limited
183 Girish Buildwell Private Limited
184 Gurmeet Builders Private Limited
185 Inesh Buildcon Private Limited
186 Anant Realcon Private Limited
187 Geet Buildhome Private Limited
188 Mihir Buildwell Private Limited
189 Sakal Agrotech Private Limited
190 Chetan Infrabuild Private Limited
191 Shashank Buildhome Private Limited
192 Shardul Builders Private Limited
193 Devang Builders Private Limited
194 Rohak Builders Private Limited
195 Amber Infrabuild Private Limited
196 Adil Developers Private Limited
197 Kanha Logistics Private Limited
198 Kirti Hotels Private Limited
199 Umang Buildcon Private Limited
200 Tushar Landcon Private Limited
201 Taru Buildcon Private Limited
202 Swapnil Buildhome Private Limited
203 Snehal Buildcon Private Limited
204 Shreyas Buildhome Private Limited
205 Nakul Technobuild Private Limited
206 Shalin Buildwell Private Limited
207 Subodh Buildwell Private Limited
208 Shikhar Landcon Private Limited
209 Vaman Buildhome Private Limited
210 Veer Buildhome Private Limited
211 Amani Realcon Private Limited
212 Ashtam Builders Private Limited
213 Awal Builders Private Limited
214 Balesh Technobuild Private Limited
215 Bali Buildtech Private Limited
216 Chaitanya Realcon Private Limited
217 Hina Technobuild Private Limited
218 Chapal Buildhome Private Limited
219 Istuti Realcon Private Limited
220 Damini Infratech Private Limited
221 Inqalab Builders Private Limited
222 Darpan Buildtech Private Limited
223 Jagat Buildtech Private Limited
224 Darsh Buildtech Private Limited
225 Kalp Buildtech Private Limited
226 Kashish Buildtech Private Limited
227 Gagan Realcon Private Limited
228 Abhiman Buildtech Private Limited
229 Adhar Buildtech Private Limited
230 Aftab Developers Private Limited
231 Aneesh Buildtech Private Limited
232 Meghmala Builders Private Limited
233 Tariq Infrabuild Private Limited
234 Vishishth Buildhome Private Limited
235 Arhan Builders Private Limited
236 Bhanu Retail Private Limited
237 Kamini Builders And Promoters Private Limited
238 Havish Buildcon Private Limited
239 Inesh Developers Private Limited
240 Obalesh Buildcon Private Limited
241 Jalesh Builders And Developers Private Limited
242 Keshto Buildcon Private Limited
243 Badal Impex Private Limited
244 Omaxe Retail Limited
245 Rishit Buildcon Private Limited
246 Excellent Apartments Private Limited
247 Natraj Colonisers Private Limited
248 NAFHIL Gujrat Homes Limited
249 Affordable Home Loan Advisors Private Limited
250 National Affordable Housing and Infrastructure Limited
251 ShreyTechnobuild Private Limited
252 Radhika Buildwell Private Limited
253 Ramneesh Builders Private Limited
254 Divya Buildhome Private Limited
255 Dwarkadhish Land and Farms Private Limited
256 Cress Propbuild Private Limited
257 Ryhme Propbuild Private Limited
258 Marine Sands Limited
259 Golden Crescent Red & General Trading Limited
260 Sukhversa Properties Private Limited (w.e.f. 25.10.2010)
261 Omaxe Global Trading Corporation P Ltd. (w.e.f. 27.10.2010)
262 Sunshine Buildtech Private Limited (w.e.f. 27.03.2011)
263 Omaxe Realtors Private Limited (w.e.f. 27.03.2011)
264 Omaxe Infrastructure Development Private Limited (w.e.f.
27.03.2011)
265 Shamba Developers Private Limited (Upto 26.05.201 0)
266 Panchi Developers Private Limited (Upto 26.05.201 0)
267 Abhas Realcon Private Limited (Upto 9.11.201 0)
268 Adesh Realcon Private Limited (Upto 9.11.201 0)
269 Anveshan Builders Private Limited (Upto 9.11.201 0)
270 Navadip Developers Private Limited (Upto 9.11.201 0)
271 Hemang Buildcon Private Limited (Upto 28.11.201 0)
272 Dinkar Realcon Private Limited(Upto 28.11.201 0)
273 Davesh Technobuild Private Limited (Upto 28.11.201 0)
274 Sarva Buildtech Private Limited (Upto 28.11.201 0)
275 Sarthak Landcon Private Limited(Upto 28.11.201 0)
276 Manit Developers Private Limited (Upto 07.03.2011)
277 Dhanu Real Estate Private Limited (Upto 09.03.2011)
278 Ekapad Developers Private Limited. (Upto 10.03.2011)
279 Damodar Infratech Private Limited (Upto 10.03.2011)
280 Caspian Realtors Private Limited (Upto 15.03.2011)
281 Aashna Realcon Private Limited (Upto 15.03.2011)
282 Mehboob Builders Private Limited (Upto 15.03.2011)
283 Mehtab Infratech Private Limited (Upto 15.03.2011)
284 Aradhya Real Estate Private Limited (Upto 15.03.2011)
285 Daman Builders Private Limited (Upto 15.03.2011)
286 Rupesh Infratech Private Limited(Upto 15.03.2011)
287 Ayush Landcon Private Limited (Upto 16.03.2011)
288 Maa Omwati Education Trust
289 Omaxe Foundation (Regd.)
290 M/s Rohtas Goel (HUF)
291 M/s Sunil Goel ( HUF)
292 M/s J.B.Goel & Family ( HUF)
V Key managerial personnel
1 Mr. Rohtas Goel
2 Mr. Sunil Goel
3 Mr. Jai Bhagwan Goel
VI Relatives of Key managerial personnel
1 Mr. Mohit Goel
30. Figures in brackets are in respect of the previousyear, which have
been regrouped/reclassified where necessaryto conform with
currentyear's classification.
Mar 31, 2010
1. Contingent liabilities not provided for in respect of:
(Rupees in mio)
Year ended March Year ended March
31, 2010 31, 2009
Claims against the 81.28 55.57
Company not acknowledged
as debts
Bank guarantees
- In respect of the Company 995.89 953.03
- In respect of subsidiaries 755.93 613.61
- In respect of others 182.06 153.44
Corporate guarantees in respect 2,561.60 2,161.60
of wholly owned subsidiary
companies
Disputed tax amounts
- Sales tax 68.45 100.36
- Service tax 29.10 29.10
- Income tax Nil 8.64
Writ Petition filed by Income
Tax Department against order of Amount Amount
settlement commission before
Delhi High Court. unascert unascert
ainable ainable
Disputed differential
Interest Liability. 7.20 15.96
Certain civil cases preferred
against the Company in
respect of labour laws, specific Not quanti Not quanti
performance of certain fiable fiable
land agreements, etc.
and disputed by the Company
2. As on 31st March, 2010, a sum of Rs. 3.22 mio (3.49 mio) is
outstanding to be refunded to the applicants who were not/ partly
allotted the shares in initial public offer. Such amount aggregating to
Rs. 3.22 mio (3.49 mio) is lying in the separate bank account of the
company. The said amount has also been shown as "Unclaimed share
application money" in Schedule No. 13. This does not include any
amount, due and outstanding, to be credited to the Investor Education
and Protection Fund as per the provisions of the Companies Act, 1956.
3. Determination of revenues under Percentage of Completion method
necessarily involves making estimates by management for percentage of
completion, cost to completion, revenues expected from projects,
projected profits and losses. These estimates being of a technical
nature have been relied upon by the auditors.
4. The Company had granted an interest free loan of Rs. 527.98 mio to
one of its wholly owned Subsidiary Company incorporated outside India
namely Rohtas Holdings (Gulf) Limited (RHGL) which has been considered
as net investment in foreign operations, accordingly, exchange
difference being the difference between exchange rate as on date on
which such loan was granted and the exchange rate on Balance Sheet date
as at 31.03.2010 amounting to Rs. 21.43 mio (Rs. 91.75 mio) has been
considered and accumulated as "Foreign Currency Translation Reserve".
Further, the wholly owned subsidiary company (RHGL), under the
memorandum of understanding, has in turn given such loan amount to two
companies (SPVs) incorporated outside India namely Marine Sands Ltd.
and Golden Crescent Red & General Trading Ltd., in which company is
having substantial influence/ control for carrying out real estate
projects outside India. The transfer of holding in these two SPVs has
still to be acquired/ effected by the Company / wholly owned subsidiary
company with the approval of concerned authority/agency which is
awaited. The Management of the company / wholly owned subsidiary
company/SPV has applied to concerned authority/agency for in principle
approval for transfer of controlling interest in such SPV in its
favour. Pending approval as aforesaid and looking to general global
recession in real estate sector particularly in Gulf Region, further
installments to such concerned authority/agency which has been demanded
are yet to be paid. The management of the Company is quite hopeful of
revival in Gulf markets and shall initiate further suitable action in
the matter.
5. The Company is developing a real estate project in the name of NRI
City on land allotted by Greater Noida Industrial Development
Authority ("The Authority") on deferred payment liability basis. The
Company has applied to the Authority for deferment in payment schedule
under notification dated 06.01.2009 as amended by notification dated
25.10.2009 of the Authority. Pending approval, no impact on account of
concession/waivers under the said notification has been given in the
accounts.
6. As per Marketing Service Agreement entered into between the Company
and Omaxe Azorim Developers Private Limited (Joint Venture Company),
marketing costs incurred by the Company are to be reimbursed by such
Joint venture Company. Till 31.03.2010, the total marketing cost
incurred by the Company under such marketing service agreement amounts
to Rs. 88.04 mio. The Company has not yet raised debit note on such
Joint Venture Company accordingly, Project-in-Progress as at 31.03.2010
is higher by Rs. 88.04 mio. Similarly, as per the Subscription and
Shareholding Agreement entered into between the Company and Azorim
International Holding Ltd. (JV Partner) and Joint Venture Company,
construction, administrative and other related costs incurred by the
Company on the project undertaken by such Joint Venture Company will be
reimbursed by Joint Venture Company to the Company. The Company till
31.03.2010 has incurred a sum of Rs. 372.03 mio on construction,
administrative and other related cost which was to be reimbursed from
such Joint Venture Company, out of which invoice worth Rs. 112.08 mio
has only been raised. This has resulted in showing Project-in-Progress
and current liabilities higher by Rs. 259.95 mio.
7. Balances of some of the sundry debtors, sundry creditors, advances
given, advances received are subject to reconciliation and confirmation
from respective parties. The balance of said sundry debtors, sundry
creditors, and advances given and received are taken as shown by the
books of accounts. The ultimate outcome of such reconciliation and
confirmation cannot presently be determined, therefore, no provision
for any liability that may result out of such reconciliation and
confirmation has been made in the financial statement, the financial
impact of which is unascertainable due to the reasons as above stated.
8. Current assets, loans and advances have a value on realization
which in the ordinary course of the business would not be less than the
amount at which they are stated in the balance sheet and the provisions
for all known and determined liabilities are adequate and not in excess
of the amount reasonably required.
9. During the year 2005-06 the Company was subjected to search under
section 132 of Income Tax Act, 1961 ("The Act"). Subsequently, pending
completion of block assessment proceedings, the Company filed an
application with Income tax settlement commission on 31st May, 2007 for
settlement of cases under section 245 C (i) of the Act relating to the
financial year 1999-2000 to 2005-06 and offered an aggregate income of
Rs. 278.60 mio relating to the accounting year 1999-2000 to 2005-06.
The Income Tax Settlement Commission vide its order dated 27.03.2008
had accepted the aforesaid income so offered amounting to Rs.278.60 mio
and allowed the Company to capitalize a sum of Rs. 235.00 mio towards
land and development cost of various projects, accordingly, treatment
was effected in books of account for the year ended 31st March, 2008.
Subsequently, Income Tax Department has filed writ petition against the
order of settlement commission before Honble High Court of Delhi and
is pending before it. As the matter is sub-judice, the income tax
liability, if any, on this account shall be provided for in the year in
which final decision is made by such Honble court.
10. The Income Tax Assessment of the Company has been completed up to
Financial Year 2006-07 (Assessment Year 2007-08). The ultimate effect
of Advance tax and Provision for tax up to Assessment Year 2007-08 has
been given impact in the accounts, accordingly excess provision for tax
made in earlier years amounting to Rs. 222.81 mio has been written
back.
11. As per terms of the licenses of certain group housing and/or
township projects executed by the Company in the state of Haryana, the
Company is required to construct residential units/ develop plots for
economically weaker sections on specified area of land. The sale price
of such units/plots which was to be fixed by the government authorities
has since been fixed during the year under review, which has been
protested by the Company. Pending final outcome, projection of
revenues, profits and cost to completion of the group housing projects
/ development has not been revised based on sales price so fixed.
Accordingly, the projections of revenues, profits and cost to
completion are subject to adjustments, which would be adjusted on
disposal of representation so made by the Company.
11. Inventories include cost of land of Rs. 1,646.62 mio (Rs. 1,403.42
mio) and projects in progress include cost of land of Rs. 6,452.43 mio
(Rs. 5,629.78 mio) being consideration paid for Companys share of
land, which is in its possession for development of real estate
projects in terms of the collaboration arrangements with subsidiaries/
associate companies/ related parties/third parties.
12. Secured loans
a) Term loans from banks aggregating to Rs. 2,169.00 mio (Rs. 2,211.30
mio) is secured by equitable mortgage of project properties and all
present and future construction and development work thereon as
applicable.
[Amount repayable within one year Rs. 522.33 mio (Rs. 42.30 mio)]
Term loans from banks are further secured by personal guarantee of two
directors of the Company.
b) Term loans from banks aggregating to Rs. 332.60 mio (Rs. 332.60 mio)
is secured by equitable mortgage of project properties of subsidiary,
associate and other company.
[Amount repayable within one year Rs. 332.60 (Rs. Nil)]
Term loans from banks are further secured by personal guarantee of two
directors of the Company.
c) Term loans from banks aggregating to Rs. 3,337.36 mio (Rs. 2,662.91
mio) is secured by equitable mortgage of project properties referred in
note 12 above and corporate guarantees provided by such group companies
and wholly owned subsidiary company as applicable.
[Amount repayable within one year Rs. 1,886.95 mio (Rs. 75.60 mio)]
Term loans from banks are further secured by personal guarantee of one
director of the Company.
d) Term loans from Financial Institutions aggregating to Rs. 2,208.00
mio (Rs. 2,400.00 mio) is secured by equitable mortgage of project land
of wholly owned subsidiary company, associate and other company.
[Amount repayable within one year Rs. 192.00 mio (Rs. 192.00)]
Term loans from financial institutions are further secured by personal
guarantee of one director of the Company.
e) Term loan from Financial Institution aggregating to Rs. 1,000.00 mio
(Rs. Nil) is secured by equitable mortgage of project land of wholly
owned subsidiary company, associate and other company.
[Amount repayable within one year Rs. Nil (Rs. Nil)]
Term loan from financial institution are further secured by personal
guarantee of two director of the Company.
f) Term loan from banks aggregating to Rs. 196.40 mio (Rs. 223.90 mio)
is secured by equitable mortgage of project properties owned by
collaborator.
[Amount repayable within one year Rs. 110.00 mio (Rs. 27.50 mio)]
g) Working capital loans of Rs. 1,582.79 mio (Rs. 1,625.56 mio) is
secured by first charge on current assets of the Company including
stock at site, receivables, plant and machinery and mortgage of certain
land of the Company.
Above term loans and working capital loans are further secured by
personal guarantee of two directors of the Company.
h) Vehicle loans aggregating to Rs. 8.11 mio (Rs. 24.67 mio) are
secured by hypothecation of the vehicles purchased there against.
[Amount repayable within one year Rs. 5.54 mio (Rs. 17.43 mio)]
i) Term loans from Non Banking Financial Company aggregating to Rs.
664.09 mio (Rs. 2,001.00 mio) is secured by equitable mortgage of
project properties & charge over cash flow and are further secured by
personal guarantee of two directors of the Company. [Amount repayable
within one year Rs. 604.83 mio (Rs. 496.57 mio)]
j) Term loans from housing finance companies aggregating to Rs. 739.21
mio (Rs. 845.00 mio) is secured by equitable mortgage of project land
of the subsidiary and associate company. [Amount repayable within one
year Rs. 422.33 mio (Rs. 138.13 mio)]
Term loans from housing finance companies are further secured by
personal guarantee of two directors of the Company.
k) Non convertible redeemable debentures
I i) Series G: Rs. 300 mio (Rs. 300 mio) Non convertible redeemable
debentures of Rs.10 mio each carrying a interest rate of 13.95%,
payable on monthly basis on 1st of every month. These debentures are
issued to a mutual fund.
ii) Series G: Rs. 400 mio (Rs. 400 mio) Non convertible redeemable
debentures of Rs.10 mio each carrying a interest rate of 13.95%,
payable on monthly basis on 1st of every month. These debentures are
issued to a mutual Fund.
iii) Series J: Rs. 350 mio (Rs. 600 mio) Non convertible redeemable
debentures of Rs.10 mio each carrying a interest rate of 14.00%,
payable on monthly basis on 1st of every month. These debentures are
issued to a mutual fund.
[Amount repayable within one year Rs. 650 mio (Rs. 500 mio)]
The said debentures are secured by equitable mortgage of land situated
at Gujarat and further secured by personal guarantee of a director of
the Company.
II Series F: Rs. Nil (Rs. 250 mio) Non convertible redeemable
debentures of Rs.10 mio each were carrying a interest rate of 14.75%
payable on monthly basis. These debentures were issued to a Bank.
The said debentures were secured by first mortgage and charge of
pari-passu basis on entire project assets of Omaxe Citadel and other
property of the company so as to maintain a minimum FACR of 1.50 times
throughout the currency of the debenture and were further secured by
personal guarantee of two directors of the Company and corporate
guarantees of promoter companies.
The said debentures were listed on the Bombay Stock Exchange. [Amount
repayable within one year Rs. Nil mio (Rs. 250 mio)]
III. Series K: Rs. Nil (Rs. 180 mio) Non convertible redeemable
debentures of Rs.10 mio each were carrying a interest rate of 13.00%.
These debentures were issued to a mutual fund.
The said debentures were secured by equitable mortgage of land situated
at Gujarat. [Amount repayable within one year Rs. Nil (Rs. 180 mio)]
IV. Series L: Rs. 1000.00 mio (Rs. 1000.00 mio) Non convertible
redeemable debentures of Rs.10 mio each carrying a interest rate of
12%. These debentures were issued to a mutual fund and later on
transferred to LIC of India. As per revised terms these debentures are
redeemable in twelve installments commencing from 30th April, 2011.
The said debentures are secured by equitable mortgage of land situated
at Gujarat and further secured by personal guarantee of a director of
the Company.
[Amount repayable within one year Rs. Nil (Rs. 1,000 mio)]
l) Deferred payment credit of Rs. 364.19 mio (Rs. 364.19 mio)
represents cost of project land acquired from government development
authorities on installment payment basis and is secured by mortgage of
the related project land. [Amount repayable within one year Rs. 364.19
mio (Rs. 364.19 mio)]
13. Unsecured loan
a) Fixed deposit from public
[Amount repayable within one year Rs. Nil (Rs. 55.97 mio).
b) Short term inter corporate loan aggregating to Rs. 100.00 (Rs. 80.00
mio) [Amount repayable within one year Rs. 100.00 mio (Rs. 80.00 mio)]
Short term inter corporate loan are secured by shares of the company
held by promoter.
c) Loan from subsidiary company of Rs. Nil mio (Rs. 122.46 mio).
[Amount repayable within one year: Repayable on demand]
d) Inter corporate loans of Rs. 555.27 mio (Rs. 500 mio) from promoter
companies. [Amount repayable within one year: Repayable on demand]
14. Micro, Small Scale Business Entities
The Company has not received information from vendors regarding their
status under the Micro, Small and Medium Enterprises Development Act,
2006 and, hence, disclosures relating to amounts unpaid as at the year
end together with interest paid / payable under this Act has not been
given.
15. Interest in Joint Venture
The Company entered into a 50 : 50 Joint Venture in Omaxe Azorim
Developers Private Ltd (incorporated in India) with M/ s Azorim
International Holdings Limited (Azorim) for development of the Real
Estate Project in India. In terms of the Subscription & Shareholder
Agreement & Amendment thereof, Company holds 10,00,000 Ordinary Equity
Shares & Azorim holds 500,000 Ordinary Equity Shares having pari -
passu rights in all respects including Voting Rights. Further, Azorim
also holds 500,000 Superior Equity Shares having pari - passu right in
every respect with the Ordinary Equity Shares excepting the Superior
dividend right and preferential right to distribution on liquidation.
Apart from the above Azorim has also been issued Differential Equity
constituting 2410 Equity Class A Shares, 6311 Equity Class B Shares and
189 Equity Class C Shares having pari - passu right in all respect
except nil voting rights and nil rights towards Dividend and 2,220
Class C Preference shares. Accordingly, share in profit and loss item
is considered @ 50:50 (previous year 50:50). However, for the purposes
of Companys share in assets and liabilities, proportionate
consolidation method has been adopted. Since company share in assets
and liabilities in such Joint Venture Company has reduced to zero, no
such consolidation of assets and liabilities has been made in Company
Financial Statement.
The Companys interest in the Joint Venture is reported as Long term
Investment (Schedule 6) and stated at cost. No provision for diminution
in value of investment in Joint Venture Company has been made, as such
diminution is of temporary in nature. However, the Companys share of
each of the assets, liabilities, income and expenses, etc. (each after
elimination of, the effect of transactions between the Company and the
joint venture) related to its interests in this joint venture based on
un-audited results are given here under:
B. Leave Encashment
Provision for leave encashment in respect of unavailed leaves standing
to the credit of employees is made on actuarial basis. The Company
does not maintain any fund to pay for leave encashment.
i) Amount recognized in Profit & Loss account is as under:-
C. Provident Fund
The Company makes contribution to statutory provident fund in
accordance with Employees Provident Fund and Misc. Provision Act,
1952. This is post employment benefit and is in the nature of defined
contribution plan.
16. Lease
a. The Company has taken on non-cancellation operating lease certain
premises. The future minimum lease payments in respect of which as at
March 31, 2010 are as follows:-
b. The lease agreements provide for an option to the Company to renew
the lease period at the end of the non-cancellation period. There are
no exceptional / restrictive covenants in the lease agreement.
c. Lease rent expenses in respect of operating lease debited to profit
and loss account Rs. 43.11 mio (Rs 47.47 mio).
17. Segment information
Business segments
Based on similarity of activities/products, risk and reward structure,
organization structure and internal reporting system, the Company has
structured its operations into the following segments:
Real estate
Promotion, construction, development and sale of townships,
residential, commercial property, developed plots etc.
Construction
Construction of property on behalf of clients.
The trading business which was not reportable segment during the year
have been grouped under the "Others" segment.
Segment Reporting for the previous year has not been given as the
segment namely construction activity does not qualify the threshold
limit as per AS-17- Accounting standard for Segment Reporting.
Geographic segment
Operations of the Company do not qualify, for reporting as geographic
segments, under the criteria set out under Accounting Standard 17 on
Segment reporting issued by The Institute of Chartered Accountants of
India.
18. Related parties disclosures
Related parties are classified as:
S.No. Name of Company
I Wholly Owned subsidiary companies
1 Omaxe Infrastructure Limited
2 Omaxe Housing and Developers Limited
3 JRS Projects Private Limited
4 Monarch Villas Private Limited
5 JKB Constructions Private Limited
6 Green Planet Colonisers Private Limited
7 Omaxe Connaught Place Mall Limited
8 Omaxe Buildhome Private Limited
9 Primordial Buildcon Private Limited
10 Omaxe Infotech City Developers Limited
11 Satvik Hitech Builders Private Limited
12 Omaxe Infrastructure And Construction Limited (Formerly Omaxe
Infrastructure And Construction Private Limited)
13 Landlord Developers Private Limited
14 Omaxe Power Private Limited
15 S N Realtors Private Limited
16 Finishing Touch Properties and Developers Private Limited
17 Omaxe Rajasthan SEZ Developers Limited
18 Eden Buildcon Private Limited
19 Omaxe Infrabuild Limited (Formerly Ecstasy Construction and
Developers Private Limited)
20 Ansh Builders Private Limited
21 Arman Builders Private Limited
22 Omaxe Housing Finance Limited
23 Golden Glades Builders Private Limited
24 Champion Realtors Private Limited
25 Rohtas Holdings (Gulf) Limited
26 Max Gulf Limited
27 Omaxe Chandigarh Extension Developers Private Limited (Formerly
Golden Peak Township Private Limited)
28 Ekansh Buildtech Private Limited
29 Kavya Buildtech Private Limited
30 Oasis Township Private Limited
31 Omaxe Buildwell Private Limited
32 Vimvin Realtors Private Limited (From 01.09.2009)
33 Omaxe Housing And Infrastructure Limited (From 01.02.2010)
II Other subsidiary companies
1 Omaxe Entertainment Limited
2 Omtech Infrastructure and Construction Limited
3 Navratan Techbuild Private Limited
4 Link Infrastructure and Developers Private Limited
5 Anjaniputra Builders Private Limited
6 Zodiac Housing and Infrastructure Private Limited
7 Hamara Ghar Constructions and Developers Private Limited
8 Jewel Projects Private Limited
9 Reliable Manpower Solutions Limited
10 Rivaj Infratech Private Limited
11 Pancham Realcon Private Limited
12 Garv Buildtech Private Limited
III Fellow subsidiary companies
1 Oasis Suncity Realtors Private Limited
2 First Promoters and Developers Private Limited
3 RPS Suncity Promoters and Developers Private Limited
4 Volvo Properties Private Limited
5 Sri Balaji Green Heights Private Limited
6 Silver Peak Township Private Limited
7 Radiance Housing and Properties Private Limited
8 Ashray Infrabuild Private Limited
9 Aarzoo Technobuild Private Limited
10 Hiresh Builders Private Limited
11 Bhanu Infrabuild Private Limited
12 Abheek Builders Private Limited
13 Aadhira Developers Private Limited (From 01.09.2009)
14 Shubh Bhumi Developers Private Limited (From 01.09.2009)
15 Sanvim Developers Private Limited (From 01.09.2009)
16 Aditya Realtech Private Limited
17 Omaxe Housing And Infrastructure Limited (From 01.02.2010 to
01.02.2010)
IV Joint venture companies
1 Omaxe Azorim Developers Private Limited
V Associates companies
1 Sunshine Buildtech Private Limited
2 Omaxe Realtors Private Limited
3 Omaxe Infrastructure Development Private Limited
VI Entities over which key managerial personnel or their relatives
exercises significant influence
1 Guild Builders Private Limited
2 Buildwell Builders Private Limited
3 Examo Estate Management Private Limited
4 Axeom Advertising Solutions Limited
5 Uppal Resorts Private Limited
6 Constellation Capital Limited
7 S A Finvest Limited
8 Kautilya Monetary Services Private Limited
9 B D Agarwal Securities Private Limited
10 Goel Isha Colonisers Private Limited
11 Dream Home Developers Private Limited
12 Hansa Properties Private Limited
13 Rocky Valley Resorts Private Limited
14 P N Buildcon Private Limited
15 NAJ Builders Private Limited
16 Ramniya Estate Developers Private Limited
17 Neegar Developers Private Limited
18 Green Earth Promoters Private Limited
19 M I J Infrastructure Private Limited
20 Sumedha Builders Private Limited
21 NJS Developers Private Limited
22 SNJ Builders Private Limited
23 VSG Builders Private Limited
24 Mangla Villas Private Limited
25 Vimsan Realtors Private Limited
26 PSJ Developers Private Limited
27 DVM Realtors Private Limited
28 True Dreams Developers Private Limited
29 Dream Techno Build Private Limited
30 True Villas Developers Private Limited
31 Starex Projects Private Limited
32 True Gem Tech Developers Private Limited
33 Green Tech Tower Builders Private Limited
34 Naptune Technobuild Projects Private Limited
35 True Estate Build Developers Private Limited
36 Dream Towers Private Limited
37 Ananddeep Realtors Private Limited
38 Vineera Colonisers Private Limited
39 Deepaalay Realtors Private Limited
40 Deepsan Realtors Private Limited
41 Naveenraj Realtors Private Limited
42 Jivish Colonisers Private Limited
43 Sangupt Developers Private Limited
44 Veenish Realtors Private Limited
45 Singdeep Estate Developers Private Limited
46 Annay Realtors Private Limited
47 Deepsing Realtors Private Limited
48 Deejit Developers Private Limited
49 Parjit Realtors Private Limited
50 Garg and Goel Estate Developers Private Limited
51 VGSG Realtors Private Limited
52 Vingar Developers Private Limited
53 Garg Realtors Private Limited
54 Manprav Developers Private Limited
55 Raveendeep Colonisers Private Limited
56 Devgar Estate Developers Private Limited
57 Jitenjay Realtors Private Limited
58 Derwal Realtors Private Limited
59 Manwal Colonisers Private Limited
60 Saamit Realtors Private Limited
61 Savin Realtors Private Limited
62 Mankish Colonisers Private Limited
63 Gaamit Realtors Private Limited
64 Jai Dev Colonisers Private Limited
65 Sanya Realtors Private Limited
66 Kishordeep Realtors Private Limited
67 Indrasan Developers Private Limited
68 Avindra Estate Developers Private Limited
69 Garvish Realtors Private Limited
70 Laldeep Realtors Private Limited
71 Sanjit Realtors Private Limited
72 Sankalp Realtors Private Limited
73 Source Developers Private Limited
74 Sandeep Township Private Limited
75 Sandeep Landcon Private Limited
76 Amit Landcon Private Limited
77 Praveen Mehta Builders Private Limited
78 Amit Jain Builders Private Limited
79 Shiv Kripa Build Home Private Limited
80 Krishan Kripa Buildcon Private Limited
81 Praveen Buildcon Private Limited
82 Motto Developers Private Limited
83 New Horizons Township Developers Private Limited
84 Spike Developers Private Limited
85 Shantiniwas Developers Private Limited
86 Starshine Realtors Private Limited
87 Deepal Township Private Limited
88 Sunview Township Private Limited
89 Swapan Sunder Township Developers Private Limited
90 Bharatbhoomi Township Limited
91 Jai Bhoomi Projects Limited
92 J. B. Realcon Private Limited
93 Omaxe Hotels Limited
94 Mangal Bhumi Properties Private Limited
95 Renown Estate Developers Private Limited
96 Milestone Township Private Limited
97 Luxury Township Private Limited
98 Udal Properties Private Limited
99 Omaxe Housing And Commercial Projects Limited (Formerly Omaxe
Township Ltd.)
100 Lavanya Builders Private Limited
101 Amod Builders Private Limited
102 Advay Properties Private Limited
103 Agasthya Properties Private Limited
104 Advaita Properties Private Limited
105 Amshul Developers Private Limited
106 Alpesh Builders Private Limited
107 Daksh Township Private Limited
108 Pearl Peak Landbase Private Limited
109 Superior Landbase Private Limited
110 Sentinent Properties Private Limited
111 Fragrance Housing And Properties Private Limited
112 Beautiful Landbase Private Limited
113 Paradise On Earth Properties Private Limited
114 Forever Housing and Properties Private Limited
115 Sapphire Township and Developers Private Limited
116 Shining Home Infrastructure Private Limited
117 Sunlife Properties Private Limited
118 Interactive Buildtech Private Limited
119 Rockyard Properties Private Limited
120 Stronghold Properties Private Limited
121 Sunrise Township Private Limited
122 Absolute Infrastructure Private Limited
123 Distinctive Infrastructure And Construction Private Limited
124 Miniature Township And Properties Private Limited
125 JSM Enterprises Private Limited
126 Lifestyle Township Private Limited
127 Omaxe Pragati Maidan Exhibition Limited
128 Desire Housing and Construction Private Limited
129 Stepping Stone Buildhome Private Limited
130 Smart Buildhome Private Limited
131 Swarn Bhumi Buildhome Private Limited
132 Versatile Buildhome Private Limited
133 Swarg Sukh Buildhome Private Limited
134 Fast Track Buildcon Private Limited
135 Blossom Buildhome Private Limited
136 KBM Constructions Private Limited
137 The International Omaxe Construction Limited
138 Omaxe Orissa Developers Limited
139 Glamour Hotels Private Limited
140 Starshine Hotels Private Limited
141 Hitech Hotels Private Limited
142 Puru Builders Private Limited
143 Hriday Hitech Builders Private Limited
144 Prabal Developers Private Limited
145 Navadip Developers Private Limited
146 Vaibhav Technobuild Private Limited
147 Nikunj Infrabuild Private Limited
148 Aanchal Infrabuild Private Limited
149 Fragrance Information And Communication Technologies Private
Limited
150 Omaxe Affordable Homes Private Limited
151 Bhargav Builders Private Limited
152 Arhant Infrabuild Private Limited
153 Bandhu Buildtech Private Limited
154 Basant Infrabuild Private Limited
155 Bhuvan Buildtech Private Limited
156 Avtar Infrabuild Private Limited
157 Badal Developers Private Limited
158 Banke Builders Private Limited
159 Aviral Buildtech Private Limited
160 Arjit Builders Private Limited
161 Omaxe Punjab Affordable Housing Private Limited
162 Omaxe Uttar Pradesh Affordable Housing Private Limited
163 Omaxe Rajasthan Affordable Housing Private Limited
164 Omaxe Bihar Affordable Housing Private Limited
165 Omaxe Madhya Pradesh Affordable Housing Private Limited
166 Daksh Airport Developers Private Limited
167 Megh Airways Private Limited
168 Mohak Tours And Travels Private Limited
169 Rahi Transport Private Limited
170 Caleen Hotels Private Limited
171 Omaxe Chhattisgarh Affordable Housing Private Limited
172 Manik Buildcon Private Limited
173 Kartik Buildhome Private Limited
174 Lohith Developers Private Limited
175 Jishnu Buildcon Private Limited
176 Bhavesh Buildcon Private Limited
177 Aric Infrabuild Private Limited
178 Apoorva Infrabuild Private Limited
179 Kanak Buildhome Private Limited
180 Jayant Buildhome Private Limited
181 Abhay Technobuild Private Limited
182 Chirag Buildhome Private Limited
183 Gaurang Buildcon Private Limited
184 Girish Buildwell Private Limited
185 Gurmeet Builders Private Limited
186 Hemang Buildcon Private Limited
187 Inesh Buildcon Private Limited
188 Anant Realcon Private Limited
189 Geet Buildhome Private Limited
190 Mihir Buildwell Private Limited
191 Sakal Agrotech Private Limited
192 Dinkar Realcon Private Limited
193 Davesh Technobuild Private Limited
194 Sarva Buildtech Private Limited
195 Caspian Realtors Private Limited
196 Aashna Realcon Private Limited
197 Chetan Infrabuild Private Limited
198 Shashank Buildhome Private Limited
199 Shardul Builders Private Limited
200 Devang Builders Private Limited
201 Manit Developers Private Limited
202 Rohak Builders Private Limited
203 Amber Infrabuild Private Limited
204 Adil Developers Private Limited
205 Kanha Logistics Private Limited
206 Kirti Hotels Private Limited
207 Umang Buildcon Private Limited
208 Tushar Landcon Private Limited
209 Taru Buildcon Private Limited
210 Swapnil Buildhome Private Limited
211 Snehal Buildcon Private Limited
212 Shreyas Buildhome Private Limited
213 Nakul Technobuild Private Limited
214 Shalin Buildwell Private Limited
215 Subodh Buildwell Private Limited
216 Shikhar Landcon Private Limited
217 Vaman Buildhome Private Limited
218 Veer Buildhome Private Limited
219 Amani Realcon Private Limited
220 Ashtam Builders Private Limited
221 Avval Builders Private Limited
222 Balesh Technobuild Private Limited
223 Bali Buildtech Private Limited
224 Chaitanya Realcon Private Limited
225 Hina Technobuild Private Limited
226 Chapal Buildhome Private Limited
227 Istuti Realcon Private Limited
228 Damini Infratech Private Limited
229 Inqalab Builders Private Limited
230 Darpan Buildtech Private Limited
231 Jagat Buildtech Private Limited
232 Darsh Buildtech Private Limited
233 Kalp Buildtech Private Limited
234 Kashish Buildtech Private Limited
235 Gagan Realcon Private Limited
236 Mehboob Builders Private Limited
237 Mehtab Infratech Private Limited
238 Panchi Developers Private Limited
239 Abhiman Buildtech Private Limited
240 Adhar Buildtech Private Limited
241 Abhas Realcon Private Limited
242 Adesh Realcon Private Limited
243 Aftab Developers Private Limited
244 Anveshan Builders Private Limited
245 Aneesh Buildtech Private Limited
246 Meghmala Builders Private Limited
247 Shamba Developers Private Limited
248 Tariq Infrabuild Private Limited
249 Vishishth Buildhome Private Limited
250 Aradhya Real Estate Private Limited
251 Arhan Builders Private Limited
252 Daman Builders Private Limited
253 Dhanu Real Estate Private Limited
254 Ekapad Developers Private Limited.
255 Bhanu Retail Private Limited
256 Kamini Builders And Promoters Private Limited
257 Havish Buildcon Private Limited
258 Inesh Developers Private Limited
259 Obalesh Buildcon Private Limited
260 Jalesh Builders And Developers Private Limited
261 Keshto Buildcon Private Limited
262 Badal Impex Private Limited
263 Omaxe Retail Limited
264 Rupesh Infratech Private Limited
265 Damodar Infratech Private Limited
266 Sarthak Landcon Private Limited
267 Ayush Landcon Private Limited
268 Rishit Buildcon Private Limited
269 Excellent Apartments Private Limited
270 Natraj Colonisers Private Limited
271 NAFHIL Gujrat Homes Limited
272 Affordable Home Loan Advisors Private Limited
273 National Affordable Housing and Infrastructure Limited
274 Shrey Technobuild Private Limited
275 Radhika Buildwell Private Limited
276 Ramneesh Builders Private Limited
277 Divya Buildhome Private Limited
278 Dwarkadhish Land and Farms Private Limited
279 Cress Propbuild Private Limited
280 Ryhme Propbuild Private Limited
281 Eesan Estate Developers Private Limited (Upto 09.04.2009)
282 Vimvin Realtors Private Limited (Upto 01.09.2009)
283 Omaxe Housing And Infrastructure Limited (Upto 01.02.2010)
284 Aadhira Developers Private Limited (Upto 01.09.2009)
285 Shubh Bhumi Developers Private Limited (Upto 01.09.2009)
286 Sanvim Developers Private Limited (Upto 01.09.2009)
287 Marine Sands Ltd.
288 Golden Crescent Red & General Trading Ltd.
289 Maa Omwati Education Trust
290 Omaxe Foundation (Regd.)
291 M/s Rohtas Goel (HUF)
292 M/s Sunil Goel (HUF)
293 M/s J.B. Goel & Family (HUF)
VII Key managerial personnel
1 Mr. Rohtas Goel
2 Mr. Sunil Goel
3 Mr. Jai Bhagwan Goel
VIII Relatives of key managerial personnel
1 Mrs. Sushma Goel
2 Mrs. Seema Goel
3 Mrs. Rekha Goel
19. Based on the legal opinion obtained by the management, the
provisions of clause 3(ii) of part II to schedule VI of the Companies
Act, 1956 is not applicable to the Company, in respect of real estate
operation and construction activities, consequently the said details
have not been given. Particulars regarding Trading Goods (Construction
related material are as under:
20. Provision for Tax has been computed under section 115JB of Income
Tax Act, 1961. Tax Credit available as per section 115JAA of Income Tax
act, 1961, amounting to Rs. 44.57 mio (Rs. 41.87) has been included
under MAT Credit Entitlement under Loans and advances.
21. During the year Company has redeemed debentures of Rs. 680.00 mio.
Accordingly a sum of Rs. 231.38 mio has been withdrawn from debenture
redemption reserve earlier created.
22. Previous year figures have been regrouped/reclassified where
necessary to conform with current years classification
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