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Notes to Accounts of Sand Plast (India) Ltd.

Mar 31, 2014

1. Employee benefit plans

Defined contribuion plans

The Company makes Provident Fund contributions to defined contribution plans for qualifying employees under the schemes. the Company is required to contribute a species percentage of the payroll costs to fund (ha benefits. The Company recognised Rs. 613301/- (Year ended 31 March, 2013 Rs.. 619172/-) for Provide fund contriutions The contributions payable to these plans by the Company art at rates specified in foe rules of the schemes.

2. Related party transactions

Details of related Parties:

Description of relationship Names of related parties

Key Management personnel (KMP) Mr Rajesh Gupta



Description of relationship Nature of tremsactions

Key Management personnel (KMP) Director Remuneration Rs. 18,00,000/-

Note: Related partes haw been identified by the Management

3. Details of leasing arrangements

Assets acquired or finance lease mainly comprise land of DVB ash Pond. Adjacent to nagla machi CNG station. Opposlt inderaprastha Park. Ring Road, New Delhi -110059. The leases have a primary period, which is fixed and non-cancellable for a perios of 20 years on renewable basis The Aggrement entered between the company and Delhi Development Authority on 8/8/2000 Payment term of lease rent is set to annually after expiry of first 2 years

Current Years Due Towards Lease rent is Rs. 3350501/-

Previous Years Due Towards Lease Rent was Rs 5650453/-

4. (i) In vfew a! uncertainty evolved, reowtory pursuant to the rule if the court award (decree) by Delh; High Court ate sppoinimeni of Receiver uy German Court with respect to Anbitaration Award against ttie coliaboratiors M/s Dorstener shall he recognized In the accounts on receipt basis as per the provisions of accounting Standard 4, issued by the Institute of chartered Account arts of loan

(ii) Company has filed civil suits for recovery of principal amount ct Rs. lac and interest and other charges thereon.

5. Oeposfis Include Mattenflt Savings Certillcaies, Pwed deposit reoelpis are Intereai accrued mereon

6. Balances ysr^red under Sundry L>eWors. Sundry Cneditcts Current LiahiilieSy BanK BrVmce' & Loans and Advance ndudlng an Capita fwa'.l are subject to confirmation from respective parties & reconcliation

7. No provision has been made in. the accounts for retirement & other benefits available 10 employees as mentioned in AS-16.

8. to To the extent datermipabie ate certified by the- management, there were .no dues payable In Mere. Small £ Me&um Enterprises to tha extant such parties higve been identified on the bas s of infbrmsfim avgiabie witn "da mmpary.

9. The Rovssed Schedule VI nas become effective from 1 April, 2011 (at #» preparation ai financial statements. This tree significantly impacted the disclosure and presentation made in (he financial statements P'evfeoa year's figjras base baen regrouped / reciassifiert wbene'ver necessary to correspond with the ourrenl year's dassitiwltoo I disclosure

10. Pioviarors and comiojencies

Estimated valise of contracts remaining to be executed c-rr capjrni account and not provided tra (net at advanced) fts NIL (Previous Veer RsNlL)

11. snars appficatlon mflfwy patelivj aSiolmenl

as pe- order company aptji«j(f for In pnnctiai appioval for siwe alioDmaeut ate nterm oy the "vstetjennent that as per their mail! of BSE company cart direct go for listing. company as return RS 50000000 in 2011 ate now company rt in process to allot shares to Ratna commercial

12. Taxes On income

Provision for income Tax comprises of current ax and deferred tax charge or release. Deferred tax is recogiV2ea. subjedt to consideration of prudence being difference between taxable and accounting income / expentSfere Shat originate :r tjne period and are capable of reversel in one or more subsequent perios(s), Deferred tax assets are recognized as there iS ' Virtual Certainty that sufficient future taxable incokme wl|l be available against which such deferred tax assets will be realized No provision has been made towards income tax for as year in view of operational losses.

13. Leases

Assets acquired on finance lease mainly comprise land of DVB ash pond, Adjacent to nagla machi CNG Station opposit fe&araprasthjsi park ring Road, Haw Delhi 110O5S the leasess have a primary perios winch is feed and non-cancellable tor a period of 20 years un renewable basis The Aggreement entered between the company and Delhi Development Authority on 8/8/2000 Payment term of lease rent is set to annually alter expiry of first 2 years Since the possation was not handed over than a revised aggrement was entered on 4/10/2002 end it become affective on 7/01/2003 so the perios of lease starts form that 7/01/2003.

14. Ernings per share! please ceitulele in Ins profll and toss accouM and after thbt given me p:s;n prion of me EPS) Basic earnings per is computed by diving the profit I {loss) sher lax including the post lax effect of extraordinary llerris, if any} by the weighted average manSer ot equity shares outstanding during fee year. Diluted earning per share is coitwute J by dividing !ha profitl (loss) alter lax (including She post tax affect of e « Iramdnary ilerris. ii any) as adjustei! fss dividend interest and other charges io expense cr feceme pjiaring to fiie dilutive ptoteriial equity shares by the wsrgtoed average numtier of tsci^lty she: es considered fm cenvng basic earnings per share ana me weighted average number of equity snares which oould have been Issued On fee CooverejOn Of afl dilutive pOtehdai agility SStares. Powotd:' eijjity Shares are dt'«w
15. Segment Ibspcrimg

As miormed 5y fee manassmant, fee same Is not aopecatue to company, as. company has daaith with only on segment during lire yeSi.:' Previous Vtai - NIL fjOgmeffis!

16. Dirsoiors Travelling Expenses

Traveling expenses riclucie expeosa? on dlneckirs haveiirig Rs f,13s(>i- (Prs^tis Veer Ft* 357-^iSr') end foreign travelng oi Re. Hilf-,t Previous vear R*. NiU->

17. Non-current investments

As Informed hy Ihs management, neifeer sny bocSts nor any atfoiied acmuits of Sand 1 ime predgets [India) Ltd & SPIL maemnos ritoc.ufaciiqrers Ltd subsidiary of SAND PLAST irri^sA L10 svailable nen*? consdidatsoh coder aS-21 rot complied by us e
a) A tripartite agreement was errte«ed into between she company, pton*otera and co-promoters on 15th 0cSober'2GO7 wtiereby it was agreed So provide for interest @12% par arim*ri anroimling So Rs i ,99.29 £44/- for the period from Sep3ember'06 to 15tti Octcber'G? on the amount braught-in by co- prumotar* on varioLtfi tfaie& of Re 7.75 cnore However no ptovtsion has been made pending in She accounts as fcrparfite agreement become pari of reftaMtatoon scliente of BIFR. as per Honbfe BIFR order dated 1Z06.2G08 arid an opinion as to Hie applicability of section 5fiA of Hie companies Act'1956. as original agreement dated 10/09/05 ft further tripartite agreement dated l& 10/07 become pan of lefiabilitalion scheme- of BiFR said Modified Draft RehatiitBlson Schema, fifed on 27th April. 2010.

b) Tre Balance sheet cf She ccmpsny refied* arnoum P$, 109 50 He* {Piwclpuh payablee Ip Pnb (one of she secured crediiot of She ccmpany.i*s pc* Modlted Draft Scheme pied cn 2"ih A**i. 2Q1Q by the conpany ie Mon'ble Eifr and PNB a**ea At (tie company purposes so see* walw or infflamt irom PHB for Rs 315.451*«. no prevision e* mad* in lh* Ba^ne* sheas oi it* company for th* sa*d inlerasi th* unprovided miens! with respect so which com*mny propose to approach fhb lor waiver amoirt Rs 215 45 lac* Approval or Modaied Droll RahabHHaHon Scheme it r
c) The Balance sheet or lh® company roflecis amounl Rs 294 50 lacs to HftJDCQ (a home* seeded cvditaE of the company) as par Modified Drah Rahabililat ion Schen* lied on 27ih April, 2010 by lha company to Hon'hie BiFR and HUSXQ as 'wall. As she company proposes loseah waiver of :rT1eresl from HUDCO for Rs 3034 15 Ike, no prevision is mado ** the balance sh«l of She company Tor said mteresL The unprovided imerasS with respect to which company proposes to- abroach HUDCO for wawar am«ml Rs 3034.15 Approvals of Modified Dmft RehabiHSErbon Schama is rejected by BIFR"3 Orde* dated 02 09 2011 and appeal againsl Shis cade* Ie filed *n the AAlFR. The staflua of Apsifipaaion made in Hon' AAlFR vide appeal r*o i2/12 The: Status of Appeal is Fendmg tdfcAs mformed by the: managemejtf Shat the HuDGO/PNB has taken physical possesion of be-nsw land m December 2012 has sold dunng F.V 2012-14 bill no cofwiunlcatloh In Shis regard received by Hie company Srwn she lenders in respect of sale corrssderatson ft its Sreatinersi fence we have not considered iria same'while preparing above accounts.


Mar 31, 2013

1.1 Employee benefit plans

Defined contribution plans

The Company makes Provident Fund contributions to defined contribution plans for qualifying employees. Under the Schemes, the Company is required to contribute a specified percentage of the payroll costs to fund the benefits. The Company recognised Rs. 619172/- (Year ended 31 March, 2012 Rs. 634591/-) for Provident Fund contributions. The contributions payable to these plans by the Company are at rates specified in the rules of the schemes.

(i) Details of leasing arrangements .

Assets acquired on finance lease mainly comprise land of DVB ash Pond, Adjacent to nagla machi CNG station, Opposit inderaprastha Park, Ring Road, New Delhi -110059. The leases have a primary period which is fixed and non-cancellable for a period of 20 years on renewable basis. The Aggrement entered between the company and Delhi Development Authority on 8/8/2000. Payment term of lease rent is set b annualy after expiry of first 2 years.

Current Years Due Towards Lease rent is Rs. 5656453/- Previous Years Due Towards Lease Rent Was Rs. 2526204/-

1.2 (i) In view of uncertainty involved, recovery pursuant to the rule of the court award (decree) by Delhi High Court and appointment of Receiver by German Court with respect to Arbitration Award against the collaborators M/s Dorstener, shall be recognized in the accounts on receipt basis as per the provisions of Accounting Standard 4, issued by the Institute of Chartered Accountants of India.

(ii) Company has filed civil suits for recovery of principal amount of Rs. 106 Lac and interest and other charges thereon.

1.3 Deposits include National Savings Certificates, Fixed deposit receipts and interest accrued thereon.

1.4 Balances grouped under Sundiy Debtors, Sundry Creditors, Current Liabilities, Bank Balances & Loans and Advance including on Capital Account are subject to confirmation tirom respective parties & reconciliation.

1.5 No provision has been made in the accounts for retirement & other benefits available to employees as mentioned in AS-15.

1.6 To the extent determinable and certified by the management there were no dues payable to Micro; Small & Medium Enterprises to the extant such parties have been identified on the basis of information available with the company.

1.7 Previous year''s figures have been regrouped / reclassified wherever necessary to correspond with the current year''s classification / disclosure.

1.8 Provisions and contingencies

Estimated value of contracts remaining to be executed on capital account and not provided for (net of advances) Rs.NIL (Previous Year Rs. 2.33 lac) .

1.9 Share application money pending allotment

During the financial year 2008-09 Company has accepted Rs. 6.80 crone through an investor against allotment of equity shares as per direction by BIFR order dated 12.06.08. As BIFR has not passed any specific); order for allotment to M/s Ratna Commercial Enterprises against ther advance against equity, and the party has withdrawn from the contract in 2009. The amount is currently lying in other curent liabilites in the books. Amount as on 31 March 2012 is Rs. 6.30 crore.

1.10 Taxes on income

Provision for Income Tax comprises of current tax and deferred tax charge or release.Deferred tax is recognized, subject to consideration of prudence, being difference between taxable and accounting income / expenditure that originate in one period and are capable of reversal in one or more subsequent period (s). Deferred tax assets are recognized as there is ''virtual certainty'' that sufficient future taxable income will be available against which such deferred tax assets will be realized. No provision has been made towards income tax for the year in view of operational losses.

1.11 Leases

Assets acquired on finance lease mainly comprise land of DVB ash Pond, Adjacent to nagla machi CNG station, Opposit inderaprastha Park, Ring Road, New Delhi - 110059. The leases have a primary period, which is fixed and non-cancellable for a period of 20 years on renewable basis. The Aggrement entered between the company and Delhi Development Authority on 8/8/2000. Payment term of lease rent is set to annualy after expiry of first 2 years. Since the possation was not handed over then a revised aggrement was entered on 4/10/2002 and it became affective on 7/01/2003 so the period of lease starts form that 07/01/2003.

1.12 Earnings per share( please calculate in the profit and loss account and after that given the discription of the EPS)

Basic earnings per share is computed by dividing the profit / (loss) after tax (including the post tax effect of extraordinary items, if any) by the weighted average number of equity shares outstanding during the year. Diluted earnings per share is computed by dividing the profit / (loss) after tax (including the post tax effect of extraordinary items, if any) as adjusted for dividend, interest and other charges to expense or income relating to the dilutive potential equity shares, by the weighted average number of equity shares considered for deriving basic earnings per share and the weighted average number of equity shares which could have been issued on the conversion of all dilutive potential equity shares. Potential equity shares are deemed to be dilutive only if their conversion to equity shares would decrease the net profit per share from continuing ordinary operations. Potential dilutive equity shares are deemed to be converted as at the beginning of the period, unless they have been issued at a later date. The dilutive potential equity shares are adjusted for the proceeds receivable had the shares been actually issued at fair value (i.e. average market value of the outstanding shares). Dilutive potential equity shares are determined independently for each period presented. The number of equity shares and potentially dilutive equity shares are adjusted for share splits / reverse share splits and bonus shares, as appropriate.

1.13 Segment Reporting

As informed by the management, the same is not applicable to the company, as company has dealth with only on segment during the year.( Previous Year - NIL Segments)

1.14 Directors Traveling Expenses

Traveling expenses include expenses on directors traveling Rs. 357345/- (Previous Year Rs. 244348/-) and foreign traveling of Rs. Nil/-.( Previous Year Rs. NIL/-)


Mar 31, 2012

(i) Details of leasing arrangements

Assets acquired on finance lease mainly comprise land of DVB ash Pond, Adjacent to nagla machi CNG station, Opposite inderaprastha Park, Ring Road, New Delhi - 110059. The leases have a primary period, which is fixed and non-cancellable for a period of 20 years on renewable basis. The Agreement entered between the company and Delhi Development Authority on 8/8/2000. Payment term of lease tent is set to annually after expiry of first 2 years.

Current Years Due Towards Lease rent is Rs. 2526204/- Previous Years Due Towards Lease Rent Was Rs. 2429325/-

1.1 (i) In view of uncertainty involved, recovery pursuant to the rule of the court award (decree) by Delhi High Court and appointment of Receiver by German Court with respect to Arbitration Award against the collaborators M/s Dorstener, shall be recognized in the accounts on receipt basis as per the provisions of Accounting Standard 4, issued by the Institute of Chartered Accountants of India.

(ii) Company has filed civil suits for recovery of principal amount of Rs.106 Lac and interest and other charges thereon.

1.2 Deposits include National Savings Certificates, Fixed deposit receipts and interest accrued thereon.

1.3 Balances grouped under Sundry Debtors, Sundry Creditors, Current Liabilities, Bank Balances & Loans and Advance including on Capital Account are subject to confirmation from respective parties & reconciliation.

1.4 No provision has been made in the accounts for retirement & other benefits available to employees as mentioned in AS-15.

1.5 To the extent determinable and certified by the management, there were no dues payable to Micro; Small & Medium Enterprises to the extant such parties have been identified on the basis of information available with the company.

1.6 The Revised Schedule VI has become effective from 1 April, 2011 for the preparation of financial statements. This has significantly impacted th e disclosure and presentation made in the financial statements. Previous year's figures have been regrouped / reclassified wherever necessary to correspond with the current year's classification / disclosure.

1.7 Provisions and contingencies Estimated value of contracts remaining to be executed on capital account and not provided for (net of advances) Rs.NIL (Previous Year Rs. 2.33 lac)

1.8 Share application money pending allotment

During the financial year 2008-09 Company has accepted Rs. 6.80 crore through an investor against allotment of equity shares as per direction by BIFR order dated 12.06.08. As BIFR has not passed any specific order for allotment to M/s Ratna Commercial Enterprises against their advance against equity, and the party has withdrawn from the contract in 2009. The amount is currently lying in other current liabilities in the books. Amount as on 31 March 2012 is Rs. 6.30 crore.

1.9 Taxes on income

Provision for Income Tax comprises of current tax and deferred tax charge or release. Deferred tax is recognized, subject to consideration of prudence, being difference between taxable and accounting income / expenditure that originate in one period and are capable of reversal in one or more subsequent period (s). Deferred tax assets are recognized as there is virtual certainty' that sufficient future taxable income will be available against which such deferred tax assets will be realized. No provision has been made towards income tax for the year in view of operational losses.

1.10 Leases

Assets acquired on finance lease mainly comprise land of DVB ash Pond, Adjacent to nagla machi CNG station, Opposite inderaprastha Park, Ring Road, New Delhi -110059. The leases have a primary period, which is fixed and non-cancellable for a period of 20 years on renewable basis. The Agreement entered between the company and Delhi Development Authority on 8/8/2000. Payment term of lease rent is set to annually after expiry of first 2 years. Since the possation was not handed over then a revised agreement was entered on 4/10/2002 and it became effective on 7/01/2003 so the period of lease starts form that 07/01/2003.

1.11 Earnings per share( please calculate in the profit and loss account and after that given the description of the EPS)

Basic earnings per share is computed by dividing the profit / (loss) after tax (including the post-tax effect of extraordinary items, if any) by the weighted average number of equity shares outstanding during the year. Diluted earnings per share is computed by dividing the profit / (loss) after tax (including the post-tax effect of extraordinary items, if any) as adjusted for dividend, interest and other charges to expense or income relating to the dilutive potential equity shares, by the weighted average number of equity shares considered for deriving basic earnings per share and the weighted average number of equity shares which could have been issued on the conversion of all dilutive potential equity shares. Potential equity shares are deemed to be dilutive only if their conversion to equity shares would decrease the net profit per share from continuing ordinary operations. Potential dilutive equity shares are deemed to be converted as at the beginning of the period, unless they have been issued at a later date. The dilutive potential equity shares are adjusted for the proceeds receivable had the shares been actually issued at fair value (i.e. average market value of the outstanding shares). Dilutive potential equity shares are determined independently for each period presented. The number of equity shares and potentially dilutive equity shares are adjusted for share splits / reverse share splits and bonus shares, as appropriate.

1.12 Segment Reporting

As informed by the management, the same is not applicable to the company, as company has dealt with only on segment during the year. (Previous Year - NIL Segments)

1.13 Directors Traveling Expenses

Traveling expenses include expenses on directors traveling Rs. 244348/- (Previous Year Rs. 406557/-) and foreign traveling of Rs. Nil/-.(Previous Year Rs. NIL/-)

1.14 Capacity, Production, Sales and Closing Stock

(i) Licenced (Since De-lic enced, Not Applicable)

Terms of repayment and Security

Note: (i)

Term Loan from HUDCO And PNB are secured by the first mortgage and charge on all company's immovable and movable properties, both present and future ranking pari-passu and are also personally guaranteed by the previous Chairman & Managing Director, Mr. Ved Prakash.The company has got stay from DRAT ag ainst order of DRT dated 9th March, 2010.

Note: (ii)

(a) A tripartite agreement was entered into between the company, promoters and co-promoters on 15th October'2007 whereby it was agreed to provide for interest @12% per annum amounting to Rs.1,99,28,844/- for the period from September'05 to 15th October'07 on the amount brought-in by co-promoters on various dates of Rs.7.75 crore. However, no provision has been made pending in the accounts as tripartite agreement become part of rehabilitation scheme of BIFR, as per Hon'ble BIFR order dated 12.06.2008 and an opinion as to the applicability of section 58Aof the Companies Act'1956, as original agreement dated 10/03/05 & further tripartite agreement dated 15/10/07 become part of rehabilitation scheme of BIFR and Modified Draft Rehabilitation Scheme, filed on 27th April, 2010.

(b) The Balance sheet of the company reflects amount Rs. 109.50 lacs (Principal) payable to PNB (one of the secured creditor of the company) as per Modified Draft Rehabilitation Scheme filed on 27th April, 2010 by the company to Hon'ble BIFR and PNB as well. As the company proposes to seek waiver of interest from PNB for Rs. 315.45 lacs, no provision is made in the Balance sheet of the company for the said interest. The unprovided interest with respect to which company proposes to approach PNB for waiver amount Rs. 315.45 lacs. Approval of Modified Draft Rehabilitation Scheme is rejected by BIFR'S Order Dated 02.08.2011 and appeal against this order is filed in the AAIFR.

(c) The Balance sheet of the company reflects amount Rs. 394.50 lacs to HUDCO (another secured creditors of the company) as per Modified Draft Rehabilitation Scheme filed on 27th April, 2010 by the company to Hon'ble BIFR and HUDCO as well. As the company proposes to seek waiver of interest from HUDCO for Rs. 3034.15 lacs, no provision is made in the balance sheet of the company for said interest. The unprovided interest with respect to which company proposes to approach HUDCO for waiver amount Rs. 3034.15. Approval of Modified Draft Rehabilitation Scheme is rejected by BIFR'S Order dated 02.08.2011 and appeal against this order is filed in the AAIFR.


Mar 31, 2011

1.0 CONTINGENT LIABILITIES NOT PROVIDED FOR:

a) Estimated value of contracts remaining to be executed on capital account and not provided for (net of advances) Rs.2.33 lac (previous year Rs.3.71 lac).

b) A tripartite agreement was entered into between the company, promoters and co-promoters on 15th October'2007 whereby it was agreed to provide for interest @12% per annum amounting to Rs.1,99,28,844/- for the period from September'05 to 15th October'07 on the amount brought-in by co- promoters on various dates of Rs.7.75 crore. However, no provision has been made pending in the accounts as tripartite agreement become part of rehabilitation scheme of BIFR, as per Hon'ble BIFR order dated 12.06.2008 and an opinion as to the applicability of section 58A of the Companies Act'1956,as original agreement dated 10/03/05 & further tripartite agreement dated 15/10/07 become part of rehabilitation scheme of BIFR and Modified Draft Rehabilitation Scheme, filed on 27th April, 2010.

c) The Balance sheet of the company reflects amount Rs. 109.50 lacs (Principal) payable to PNB (one of the secured creditor of the company) as per Modified Draft Rehabilitation Scheme filed on 27th April, 2010 by the company to Hon'ble BIFR and PNB as well. As the company proposes to seek waiver of interest from PNB for Rs. 270.77 lacs, no provision is made in the Balance sheet of the company for the said interest. The unprovided interest with respect to which company proposes to approach PNB for waiver amount Rs. 270.77 lacs. Approval of Hon'ble BIFR & Secured creditors in respect of Modified Draft Rehabilitation Scheme is still pending.

d) The Balance sheet of the company reflects amount Rs. 394.50 lacs to HUDCO (another secured creditors of the company) as per Modified Draft Rehabilitation Scheme filed on 27th April, 2010 by the company to Hon'ble BIFR and HUDCO as well. As the company proposes to seek waiver of interest from HUDCO for Rs. 2673.64 lacs, no provision is made in the balance sheet of the company for said interest. The unprovided interest with respect to which company proposes to approach HUDCO for waiver amount Rs. 2673.04. Approval of Hon'ble BIFR & Secured creditors in respect of Modified Draft Rehabilitation Scheme is still pending.

2.0 During the financial year 2008-09 Company has accepted Rs.6.80 crore through an Investor against allotment of equity shares as per direction by BIFR order dated 12.06.08. The amount is lying in advance against equity (under current liabilities).

3.0 a) In view of uncertainty involved, recovery pursuant to the rule of the court award (decree) by Delhi High Court and appointment of Receiver by German Court with respect to Arbitration Award against the collaborators M/s Dorstener, shall be recognized in the accounts on receipt basis as per the provisions of Accounting Standard 4, issued by the Institute of Chartered Accountants of India.

b) Company has filed civil suits for recovery of principal amount of Rs.106 lac and interest and other charges thereon.

4.0 As required by the Accounting Standard 18, issued by the Institute of Chartered Accountants of India, effective from 1st April'2001, As per Management representation provide by the management that during the financial year there is no transaction made with the related party as per defined in the accounting standard.

5.0 Taxation: Provision for Income Tax comprises of current tax and deferred tax charge or release. Deferred tax is recognized, subject to consideration of prudence, being difference between taxable and accounting income / expenditure that originate in one period and are capable of reversal in one or more subsequent period (s). Deferred tax assets are recognized as there is 'virtual certainty' that sufficient future taxable income will be available against which such deferred tax assets will be realized. No provision has been made towards income tax for the year in view of operational losses.

6.0 Segment Reporting: As informed by the management, the same is not applicable to the company, as company has dealt with only one segment during the year. (Previous year - NIL segments).

7.0 Term loans from HUDCO and Punjab National Bank are secured by the first mortgage and charge on all company's immovable and movable properties, both present and future ranking pari-passu and are also personally guaranteed by the previous Chairman & Managing Director, Mr. Ved Prakash. The company has got stay from DRAT against order of DRT dated 9th March, 2010.

8.0 Deposits include National Savings Certificates, Fixed deposit receipts and interest accrued thereon.

9.0 Traveling expenses include expenses on Director's traveling Rs.4,06,557/- (previous year Rs. 7,23,330/-) and foreign traveling of Rs. NIL (previous year Rs.NIL).

10.0 Balances grouped under Sundry Debtors, Sundry Creditors, Current Liabilities, Bank Balances & Loans and Advance including on Capital Account are subject to confirmation from respective parties & reconciliation.

11.0 Investments are shown at cost.

12.0 No provision has been made in the accounts for retirement & other benefits available to employees as mentioned in AS-15.

13.0 To the extent determinable and certified by the management, there were no dues payable to Micro; Small & Medium Enterprises to the extant such parties have been identified on the basis of information available with the company.

14.0 Previous year figures have been regrouped / rearranged, wherever necessary to make them comparable.


Mar 31, 2010

1.0 CONTINGENT LIABILITIES NOT PROVIDED FOR:

a) Estimated value of contracts remaining to be executed on capital account and not provided for (net of advances) Rs.3.71 lac (previous year Rs.12.88 lac).

b) A tripartite agreement was entered into between the company, promoters and co-promoters on 15lh October2007 whereby it was agreed to provide for interest @12% per annum amounting to Rs.1,99,28,844/- for the period from September05 to 15th October07 on the amount brought-in by co- promoters on various dates of Rs.7.75 crore. However, no provision has been made pending in the accounts as tripartite agreement become part of rehabilitation scheme of BIFR, as per Honble BIFR order dated 12.06.2008 and an opinion as to the applicability of section 58A of the Companies Acf 1956, as original agreement dated 10/03/05 & further tripartite agreement dated 15/10/07 become pari of rehabilitation scheme of BIFR and Modified Draft Rehabilitation Scheme, filed on 27lh April, 2010;

c) The Balance sheet of the company reflects amount Rs. 109.50 lacs (Principal) payable to PNB (one of the secured creditor of the company) as per Modified Draft Rehabilitation Scheme filed on 27lh April, 2010 by the company to Honble BIFR and PNB as well. As the company proposes to seek waiver of interest from PNB for Rs. 230.79 lacs, no provision is made in the Balance sheet of the company for the said interest. The unprovided interest with respect to which company proposes to approach PNB for waiver amount Rs. 230.79 lacs. Approval of Honble BIFR & Secured creditors in respect of Modified Draft Rehabilitation Scheme is still pending.

d) The Balance sheet of the company reflects amount Rs. 394.50 lacs to HUDCO (another secured creditors of the company) as per Modified Draft Rehabilitation Scheme filed on 27,h April, 2010 by the company to Honble BIFR and HUDCO as well. As the company proposes to seek waiver of interest from HUDCO for Rs. 2351.04 lacs, no provision is made in the balance sheet of the company for said interest, The unprovided interest with respect to which company proposes to approach HUDCO for waiver amount Rs. 2351.04. Approval of Honble BIFR & Secured creditors in respect of Modified Draft Rehabilitation Scheme is still pending.

2.0 During the previous year 2008-09 Company has accepted Rs.6.80 crore through an Investor against allotment of equity shares as per direction by BIFR order dated 12.06.08. The amount is lying in advance against equity (under current liabilities) as pending approval of BIFR.

3.0 Amount payable of Rs. 13,131,595/- to various NBFCs/bodies corporate, which is lying in the books of the company from more than 10 years and on the basis of findings of the Internal Committee, constituted by Board of Directors, the management is of the view that such amount was not actually payable and accordingly, such liabilities are written back as per report of internal committee by Board resolution passed in the board meeting held on 19lh day April, 2010.

4.0 In respect of written back of Various liabilities amount of Rs. 69,64,7984/- of Promoters Mr. Ved Prakesh, their relatives, friends & associate concerns lying in the books for non submission of sufficient documentary evidences, as per tripartite agreement dated 15m October, 2007 as per the report of Internal Committee constituted by the Board of Director by Board resolution passed in the board meeting held on 19lh day April, 2010.

5.0 a) In view of uncertainty involved, recovery pursuant to the rule of the court award (decree) by Delhi High - Court and appointment of Receiver by German Court with respect to Arbitration Award against the collaborators M/s Dorstener, shall be recognized in the accounts on receipt basis as per the provisions of Accounting Standard 4, issued by the Institute of Chartered Accountants of India.

b) Company has filed civil suits for recovery of principal amount of Rs.106 lac and interest and other charges thereon.

6.0 As required by the Accounting Standard 18, issued by the Institute of Chartered Accountants of India, effective from 1sl April2001, As per Management representation provide by the management that during the financial year there is no transaction made with the related party as per defined in the accounting standard.

7.0 Taxation: Provision for Income Tax comprises of current tax and deferred tax charge or release. Deferred tax is recognized, subject to consideration of prudence, being difference between taxable and accounting income / expenditure that originate in one period and are capable of reversal in one or more subsequent period (s). Deferred tax assets are recognized as there is virtual certainty that sufficient future taxable income will be available against which such deferred tax assets will be realized. No provision has been made towards income tax for the year in view of operational losses.

8.0 Segment Reporting: As informed by the management, the same is not applicable to the company, as company has dealt with only one segment during the year. (Previous year- NIL segments).

9.0 Term loans from HUDCO and Punjab National Bank are secured by the first mortgage and charge on all companys immovable and movable properties, both present and future ranking pari-passu and are also personally guaranteed by the previous Chairman & Managing Director, Mr. Ved Prakash. The company has got stay from DRAT against order of DRT dated 9th March, 2010.

10.0 Deposits include National Savings Certificates, Fixed deposit receipts and interest accrued thereon.

11.0 Traveling expenses include expenses on Directors traveling Rs.7,23,330/- (previous year Rs. 9,05,891/-) and foreign traveling of Rs. NIL (previous year Rs.NIL).

12.0 Balances grouped under Sundry Debtors, Sundry Creditors, Current Liabilities, Bank Balances & Loans and Advance including on Capital Account are subject to confirmation from respective parties & reconciliation.

13.0 Investments are shown at cost.

14.0 No provision has been made in the accounts for retirement & other benefits available to employees as mentioned in AS-15..

15.0 To the extent determinable and certified by the management, there were no dues payable to Micro; Small & Medium Enterprises to the extant such parties have been identified on the basis of information available with the company.

16.0 Previous year figures have been regrouped / rearranged, wherever necessary to make them comparable.




Mar 31, 2000

1. Secured term loans include interest accrued and due.

2. Contingent liabilities not provided for :

- estimated value of contracts remaining to he executed oh capital account and not provided for (net of advances) Rs. 27.26 lac (previous year 27.26 lac).

- Gratuity will be accounted for as and when paid.

- Penal interest shall be accounted for on settlement.

- Interest on unsecured loans to the extent pending against settlemsnt/negotiations in process.

- Liquidated damages amounting to Rs.136.31 lacs (Previous Year 136.31)by certain parties,not accepted by the company.

3. (a) The companys claim against its collaborators on account

of their failure to meet their contractual obligations under foreign collaboration agreement referred to Arbitra- tion was decided in companys favour on 18th February, 1994 to the extent of Rs.3.5 crore apart from setting aside of counter claims of M/s Dorstener on the company. The award further entitled the company to receive cost of arbitration and also interest on the arbitration award. The company had filed a petition for execution of a decree against the German Party with the Germman Court.

The effect of the award shall be recognised and or accounted for on receipt of awarded amount.

(b) Company has filed civil suits against certain parties for the recovery of principal amount of Rs.95 lacs and the interest thereon.

4. Advances include Rs.35.34 lacs ( previous year Rs. 85.34 lacs) to Sand Lime Products (India) Limited and Rs.48.94 lacs (previous year Re.48.94 lacs) to SPIL Machine Manufacturers Ltd. and Rs.10.46 lacs (previous year Rs.l0.46) to Fly Ash Products (I) Ltd. earlier named as Spil Granites (India) Ltd.. towards pro- jects under implementation pending finalisation of arrangements in relation to investments.

5. Sundry debtors include Rs. 58.97 lacs (previous year Rs. 58.97 lacs) from Sand Lime Products (India) Limited,the company under the same management.

6. Remuneration to Managing Director including perquisites aggre- gates Rs.2,02,965/- ( previous year Rs. 2,06,468/-) included in salaries & wages and rent.

7. REMUNERATION TO AUDITORS :

- For statutory audit Rs.24,000/- (previous year Rs.24,000/-) .

- For taxation matters Rs.16,000/-(previous year Rs. 16,000/-),

- Reimbursement of expenses Rs. 34,273/-(previous year Rs.40952/-)

8. Term Loans from HUDCO and Punjab National Bank are secured by the first mortgage and charge on all the companys immovable and movable properties, both present and future ( subject to prior charge in favour of the Bankers for securing the borrowing for the Working capital) ranking pari-passu and are also personally guaranteed by the Chairman & Managing Director.

9. Cash credit borrowing is secured by way of a first charge over all inventories both present and future and are personally guaranteed by the Chairman & Managing Director.

10. Interest includes:

a) On Term Loan - Rs. 2,03,65,348/- ( Previous Year Rs.l,76,44,100/-)

b)On Cash Credit Account Rs. 54,848/-(Previous Year Rs. 45,641/-)

C)Others/unsecured loans - Rs. 49,826/-( Previous Year Rs.5,46,636/-)

11. Loans and advances include an amount of Rs. 3.49 lacs paid in an earlier year to Housing & Urban Development Corporation towards commitment charges which company has not accepted.

12. Sales and other income are net of returns and include sales of Bricks, Blocks, Precast Products & Tiles Rs. l574 lacs (previous year 1675 lac), and Miscellaneous income - Rs. 21 lacs (previous year 21 lac.

13. Travelling Expenses include expenses on Directors Travelling Rs.31,483/-( previous year Rs. 62,306/-).

14. Deposit include national Saving Certificates and Fixed deposit receipts for which credit against interest shall be taken on cash basis.

15. Balances grouped under Sundry Debtors,Sundry Creditors and Loans and Advances including on Capital Account are subject to confirmation from respective parties.

16. To the extent determinable, there were no dues payable to small scale industrial undertakings as at the end of the year.

17. Previous year figures have been regrouped wherever necessary to make them comparable.

18. CAPACITY, PRODUCTION, SALES & CLOSING STOCK

i ) Licensed Capacity : (Since delicensed not applicable)

ii) Installed Capacity : 180 million (C. Silicate - Bricks, Blocks & Tiles)

 
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