Notes to Accounts of Rajsanket Realty Ltd.

Mar 31, 2014

1. Long Term borrowings and current maturities of long term borrowings include:

i. Term Loan from Bank to the extent of Rs. 29,57,558/- (Previous year Rs. 36,38,610/-) are secured by way if hypothecation of vehicles.

ii. Term Loan from other party to the extent of Rs. 18,24,80,176/- (Previous year Rs-NIL) are secured by way if mortgage of development rights of the project, hypothecation of receivables, personal guarantee of shareholders and their group companies.

2. Fixed deposits with banks include deposits of Rs.2,73,63,843/- (Previous year - Rs.1,25,000/- ) with maturity of more than twelve months.

3. Fixed deposits to the extent of Rs.2,73,63,843 (Previous year - Rs.2,73,63,843/-) held as margin money against the bank guarantees.

Fixed deposits to the extent of Rs.87,50,000/- (Previous year - NIL) earmarked as lien against Debt Service Reserve Account.

4. Segment Reporting

The Company has disclosed and reported Business Segment as the primary segment. Segments have been identified taking into account the nature of the products, the differing risks and returns, the organizational structure and the internal business reporting system. Accordingly, the company has identified two reportable segments viz. Finance & Investments and Real Estate Development as the main business segments as per the Accounting Standard on "Segment Reporting" (AS-17) issued by The Institute of Chartered Accountants of India. The company operates primarily in India and there is no other significant geographical segment.

Segment Revenue, Segment Results, Segment Assets and Segment Liabilities include the respective amounts identifiable to each of the segments as also amounts allocated on a reasonable basis. The income & expenses, which are not directly relatable to the business segment, are shown as unallocated corporate costs net of unallocable income. Similarly Assets and Liabilities that cannot be allocated between segments are shown as unallocated corporate assets and liabilities respectively.

5. Information on Related Party transactions as required by the Accounting Standard-18 "Related Party Disclosure" are given below :

1) Name of related parties and description of relationships :- a) Key Management Personnel

i) Haresh V Sutaria- Whole Time Director

ii) Jignesh Waghela - Director

2) Transactions during the year with related party and balance outstanding at the year end : Nil.

6. The previous year''s figures are grouped / regrouped or arranged / rearranged, wherever necessary, to make them comparable with the current year''s figures.

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Mar 31, 2013

1. Segment Reporting

The Company has disclosed and reported Business Segment as the primary segment. Segments have been identified taking into account the nature of the products, the differing risks and returns, the organizational structure and the internal business reporting system. Accordingly, the company has identified two reportable segments viz. Finance & Investments and Real Estate Development as the main business segments as per the Accounting Standard on "Segment Reporting" (AS-17) issued by The Institute of Chartered Accountants of India.

The company operates primarily in India and there is no other significant geographical segment.

Segment Revenue, Segment Results, Segment Assets and Segment Liabilities include the respective amounts identifiable to each of the segments as also amounts allocated on a reasonable basis. The income & expenses, which are not directly relatable to the business segment, are shown as unallocated corporate costs net of unallocable income. Similarly Assets and Liabilities that cannot be allocated between segments are shown as unallocated corporate assets and liabilities respectively.

2. Information on Related Party transactions as required by the Accounting Standard-18 "Related Party Disclosure" are given below :

1) Name of related parties and description of relationships :-

a) Key Management Personnel

i) Haresh V Sutaria- Whole Time Director ii) Jignesh Waghela - Director

2) Transactions during the year with related party and balance outstanding at the year end :

Nil.

3. The previous year''s figures are grouped / regrouped or arranged / rearranged, wherever necessary, to make them comparable with the current year''s figures.