Notes to Accounts of Primuss Pipes & Tubes Ltd.

Mar 31, 2014

1. SHARE CAPITAL

There has been no movement in the Share Capital during the year.

The Company has only one class of equity shares having a par value of Rs. 10/- per share. Each holder of equity share is entitled to one vote per share. ln the event of liquidation, the shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts. In proportion to their shareholding.

2. SHORT TERM BORROWINGS

* Working capital borrowing from Bank is secured by way of first equitable mortgage of Factory Land & Building by deposit of the title deeds and first change on all existing and future current assets/movable fixed assets and personal guarantees of all the Directors. There has been no continuing default as on the balance sheet date in repayment of any of the above borrowings & interest thereon.

3. FIXED ASSETS

Note : Gross Depreciation of Rs. 61,32,922.00 Includes Rs. 15,71,858.00 amount added on Revaluation.

4. NON-CURRENT INVESTMENTS

(Shares in Gujarat Steel Tubes Ltd. and BST Manufacturing Ltd. valuing Rs. 4355/- has been written off, during the year.)

5. (a) Contingent Liabilities not provided for:

Damages and interest under the Employees State Insurance Act, 1948 - Rs. 135617.00 (Previous Year Rs. 135617.00) being disputed and appeal there against pending for final disposal.

(b) Segment Information

(a) Primary Segment

The Company operations only in one business segment viz. iron and steel (Black & G.I) Tubes and PVC Pipes.

(b) Secondary Segment

The Company caters mainly to the needs of Indian Market. Export turnover during the year being NIL of the total turnover of the Company, there are no reportable geographical segment.

(c) Related Party Disclosure

(A) Name of Related parties and description of relationship

(A) Key Management Personal and their Relatives:

(a) Shri Ajay Kumar Jain

(b) Shri Vinay Kumar Jain

(c) Shri Amit Kumar Jain

(d) Smt. Ragini Jain

(B) Associate Companies/Firms

(a) M/s Premier Power & Steels (P) Ltd.

(b) M/s Premier Alloys Ltd.

(c) M/s Premier Ispat Ltd.

(d) M/s Premier Metcast (P) Ltd.

(e) M/s Mahabir Securities (P) Ltd.

(d) In the opinion of the Board, the current assets, Loans and Advances have a value on realisation in the ordinary course of business atleast equal to the amounts at which they are stated in the Balance Sheet.

(e) The accounts of certain Debtors, Creditors and Advances are subject to confirmation/reconciliation, if any.

(f) There are no dues to Micro, Small & Medium Enterprises(MSME)as at the Balance Sheet date and no interest has been paid to any such parties. This is based on the information on such parties having been identified on the basis of information available with the Company and relied upon by the Auditors. Hence "Trade payables-other than acceptances" in Note 7 represent payable to creditors other than MSME.

(g) Previous Year''s figures have been regrouped wherever necessary to make them comparable.

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Mar 31, 2013

(a) Contingent Liabilities not provided for :

Damages and interest under the Employees State Insurance Act, 1948 - Rs. 135617.00 (Previous Year Rs. 135617.00) being disputed and appeal thereagainst pending for final disposal.

(i) Segment Information

(a) Primary Segment

The Company operations only in one business segment viz. iron and steel (Black & G.I) Tubes, Pipes and Poles.

(b) Secondary Segment

The Company caters mainly to the needs of Indian Market. Export turnover during the year being NIL of the total turnover of the Company, there are no reportable geographical segment. (j) Related Party Disclosure :-

(A) Name of Related parties and description of relationship (A) Key Management Personal and their Relatives :

(a) ShriAjay Kumar Jain

(b) ShriVinay Kumar Jain

(c) ShriAmit Kumar Jain

(d) Smt. Ragini Jain

(B) Associate Companies/Firms

(a) M/s Premier Power & Steels (P) Ltd.

(b) M/s Premier Alloys Ltd.

(c) M/s Premier Bars (P) Ltd.

(d) M/s Premier Ispat Ltd.

(e) M/s Premier Metcast (P) Ltd.

(c) In the opinion of the Board, the current assets, Loans and Advances have a value on realisation in the ordinary course of business atleast equal to the amounts at which they are stated in the Balance Sheet.

(d) The accounts of certain Debtors, Creditors and Advances are subject to confirmation/reconciliation, if any.

(e) There are no dues to Micro, Small & Medium Enterprises (MSME) as at the Balance Sheet date and no interest has been paid to any such parties. This is based on the information on such parties having been identified on the basis of information available with the Company and relied upon by the Auditors. Hence "Trade payables-other than acceptances" in Note 7 represent payable to creditors other than MSME.

(f) Current year accounts have been prepared in accordance with the Revised Schedule VI and previous year''s figure have been regrouped/reclassified accordingly.

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Mar 31, 2012

(a) Contingent Liabilities not provided for:

Damages and interest under the Employees State Insurance Act, 1948 - Rs. 135617.00 (Previous Year Rs. 135617.00) being disputed and appeal thereagainst pending for final disposal.

(i) Segment Information

(a) Primary Segment

The Company operations only inone business segment viz. iron and steel (Black & G.I) Tubes, Pipes and Poles.

(b) Secondary Segment

The Company caters mainly to the needs of Indian Market. Export turnover during the year being NIL of the total turnover of the Company, there are no reportabJe geographical segment. (j) Related Party Disclosure :-

(A) Name of Related parties and description of relationship (A) Key Management Personal and their Relatives :

(a) Shri Ajay Kumar Jain

(b) Shri Vinay Kumar Jain

(c) Shri Amit Kumar Jain

(d) Smt. Ragini Jain

(B) Associate Companies / Firms

(a) M/s Premier Power & Steels (P) Ltd.

(b) M/s Premier Alloys Ltd.

(c) M/s Premier Bars (P) Ltd.

(d) M/s Premier Ispat Ltd.

(e) M/s Premier Metcast (P) Ltd.

(B) In the opinion of the Board, the current assets, Loans and Advances have a value on realisation in the ordinary course of business atleast equal to the amounts at which they are stated in the Balance Sheet.

(C) The accounts of certain Debtors, Creditors and Advances are subject to confirmation/reconciliation, if any.

(D) There are no dues to Micro, Small & Medium Enterprises (MSME) as at the Balance Sheet date and no interest has been paid to any such parties. This is based on the information on such parties having been identified on the basis of information available with the Company and relied upon by the Auditors. Hence "Trade payables-other than acceptances" in Note 7 represent payable to creditors other than MSME.

(E) Current year accounts have been prepared in accordance with the Revised Schedule VI and previous year's figure have been regrouped/reclassified accordingly.

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Mar 31, 2011

1. Contingent Liabilities not provided for:

(a) Damages and interest under the Employees State Insurance Act 1948-Rs. 135617.00 (Previous Year Rs. 135617.00) being disputed and appeal thereagainst pending forfinal disposal.

2. In the opinion of the Board, the current assets, Loans and Advances have a value on realisation in the ordinary course of business atleast equal to the amounts at which they are stated in the Balance Sheet.

3. The accounts of certain Debtors, Creditors and Advances are subject to confirmation / reconciliation, if any.

4. The Company has initiated the process of obtaining confirmation from suppliers regarding the registration under the Micro, Small and Medium Enterprises Development Act, 2006. The suppliers are not registered wherever confirmations are received and in other cases, the Company is not aware of their registration status and hence information relating to outstanding balance or interest due is not disclosed as it is not determinable.

5. Related Party Disclosure in accordance with the Accounting Standards (AS-18) 'Related Party Disclosure', issued by the Institute of Chartered Accountants of India are as under :-

(i) Name of Related parties and description of relationship

(A) Kev Management Personal and their Relatives:

(a) Shri Ajay Kumar Jain

(b) Shri Vinay Kumar Jain

(c) Shri Amit Kumar Jain

(d) Smt. Deepali Jain

(e) Smt. Ragini Jain

B) Associate Companies/Firms

(a) M/s Premier Power & Steels(P)Ltd.

(b) M/s Premier Alloys Ltd.

(c) M/s Premier Bars (P) Ltd.

(d) M/s Premier Ispat Ltd.

(e) M/s Premier Metcast (P) Ltd.

6. Previous year's figures have been regrouped/recast wherever necessary to make them comparable.

7. Schedule 1 to 17 form an integral part of the accounts and have been duly authenticated.

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Mar 31, 2010

1.Contingent Liabilities not provided for :

(A) Damages and interest under the Employees State Insurance Act 1948 - Rs. 135617.00 (Previous Year Rs. 135617.00) being disputed and appeal thereagainst pending for final disposal.

2. The accounts of the Company have been prepared on a going concern basis inspite of the losses having exceeded its entire net worth as on 31.03.2002. Reference had earlier been filed with the Board for Industrial & Financial Reconstruction (BIFR). The BIFR has declared the Company is a sick Industrial Company as per the provisions of Section 3(1)(u) of the Sick Industrial Companies (Special provisions) Act, 1985. The Punjab National Bank has been appointed as Operating Agency for rehabilitation.

3. In the opinion of the Board, the current assets, Loans and Advances have a value on realisation in the ordinary course of business at least equal to the amounts at which they are stated in the Balance Sheet.

4. The accounts of certain Debtors, Creditors and Advances are subject to confirmation/reconciliation, if any.

5. Auditors Remuneration

CURRENT YEAR PREVIOUS YEAR

(a) AuditFee 40,000 20,000

(b) TaxAuditFee 10,000 5,000

(c) Taxation Matters 10,000 10,000

Rs. 60,000 Rs. 35,000

6. Managing Directors/Wholetime Directors Remuneration Salaries Contribution to Provident Fund Value of Perquisites

7. The Company has initiated the process of obtaining confirmation from suppliers regarding the registration under the Micro, Small and Medium Enterprises Development Act, 2006. The suppliers are not registered wherever confirmations are received and in other cases, the Company is not aware of their registration status and hence information relating to outstanding balance or interest due is not disclosed as it is not determinable.

8. Related Party Disclosure in accordance with the Accounting Standards (AS-18) Related Party Disclosure issued by the Institute of Chartered Accountants of India are as under :- (i) Name of Related parties and description of relationship

(A) Key Management Personal and their Relatives:

(a) ShriAjay Kumar Jain

(b) ShriVinay Kumar Jain

(c) ShriAmit Kumar Jain

(d) Smt. Deepali Jain

(e) Smt. Ragini Jain

(B) Associate Companies / Firms

(a) M/s PremierPower&Steels(P)Ltd.

(b) M/s Premier Alloys Ltd.

(c) M/s Premier Bars (P) Ltd.

(d) M/s Premier Ispat Ltd.

(e) M/s Premier Metcast (P) Ltd.

(f) M/s Classic Polytubes (P) Ltd.

9. Previous years figures have been regrouped/recast wherever necessary to make them comparable.

10. Schedule 1 to 18 form an integral part of the accounts and have been duly authenticated.

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Mar 31, 2009

1. Contingent Liabilities not provided for :

(a) Income Tax - Rs. 5414603.00 (Previous Year Rs. 5414603.00) being disputed and appeal there against pending for final disposal.

(b) Damages and interest under the Employees State Insurance Act, 1948 - Rs. 135617.00 (Previous Year Rs. 135617.00) being disputed and appeal there against pending for final disposal.

2. The Company has not accounted for interest amounting to Rs. 103920910.00 of Bank of Baroda on the debt of the said bank, after the account was categorised asNPAby the above Bank on 31.05.2002. A One Time Settlement with Bank of Baroda has been entered into and the Company is paying instalments as stipulated.

3. The accounts of the Company have been prepared on a going concern basis inspite of the losses having exceeded its entire net worth as on 31.03.2002. Reference earlier filed with the Board for Industrial & Financial Reconstruction (BIFR). The BIFR has declared the Company is a Sick Industrial Company as per the provisions of Section 3(1) (o) of the Sick Industrial Companies (Special Provisions) Act, 1985. The Punjab National Bank has been appointed as Operating Agency for rehabilitation.

3. In the opinion of the Board, the current assets, Loans and Advances have a value on realisation in the ordinary course of business atleast equal to the amounts at which they are stated in the Balance Sheet.

4. The accounts of certain Debtors, Creditors and Advances are subject to confirmation / reconciliation, if any. The management does not expect any material difference affecting the current years financial statements on such reconciliation/adjustments.

5. Previous years figures have been regrouped/recast wherever necessary to make them comparable.

6. Schedule 1 to 18 form an integral part of the accounts and have been duly authenticated.