Mar 31, 2014
1.1 Basis of preparation of financial statements :-
These financial statements are prepared in accordance with Indian
Generally Accepted Accounting Principles (GAAP] under the historical
cost convention on the Accrual basis except for certain financial
instruments which are measured at fair values. GAAP comprises mandatory
accounting standards as prescribed by Companies (Accounting Standards]
Rules, 2006, the provisions of the Companies Act, 2013 (to the extent
notified] and Companies Act, 1956 (to the extent applicable] and
guidelines issued by the Securities and Exchange Board of India (SEBI].
Accounting Policies have been consistently applied except where a newly
issued accounting standard is initially adopted or a revision to an
existing accounting standard requires a change in the accounting policy
hitherto in use.
1.2 Use of estimates:-
The preparation of the financial statements are in conformity with GAAP
requires management to make estimates and assumptions that affect the
reported balances of assets and liabilities disclosures relating to
contingent liability as at the date of financial statements and
reported amounts of income and expenses during the period.
Accounting estimates could change from period to period. Actual results
could differ from those estimates. Appropriate changes in estimates are
made as the Management becomes aware of the changes in circumstances
surrounding the estimates. Changes in estimates are reflected in the
financial statements in the period in which changes are made and, if
material, their effects are disclosed in notes to the financial
statement.
1.3 Revenue Recognition :-
In appropriate circumstances, revenue is recognized when the
significant risks and rewards of ownership of the goods are transferred
to the customers and no significant uncertainty as to determination or
realization exists. Expenses and Income considered payable and
receivable respectively are accounting for on accrual basis except
retirement benefits which cannot be determined with certainty during
the year.
Revenue in case of jewellery business is derived from sale of Gems and
Jewellery items and Revenue in case of Real Estate Business in derived
from Sale of Bunglow. Further the sale is booked only when the
member/buyer will deposit the total sale value of apartment as per
terms of allotment/ booking and when possession is handed over and sale
deed is executed.
1.4 Fixed Assets :-
Fixed assets are stated at their original cost of acquisition including
taxes freight and other incidental expenses related to acquisition and
installation of the concerned assets less depreciation till date and
impairment if any.
1.5 Depreciation :-
Depreciation on Fixed Assets has been provided on written down value
method till the end of financial year, on the wdv of Fixed Assets as
per the rates mentioned below, as determined appropriate by the
management and are in accordance with provisions of Schedule XIV of the
Companies Act, 1956 except for the assets of daman site no depreciation
has been charged as no manufacturing has been undertaken during the
year. Further, in case of addition, depreciation has been provided on
pro-rata basis commencing from the date on which the asset is
commissioned.
Particulars Rates of Depreciation Rates specified in
Charged schedule XIV
Office Building 6% 5%
Air conditioner 14% 13.91%
1.6 Investments :-
Investments are either classified as current or long term investments
based on Management''s intension at the time of purchase. Long term
Investments are stated at their cost. Current investments are carried
at the lower of cost and fair value of each investment individually.
1.7 Inventories :-
Inventories are valued as under:-
Polished Diamonds : Valued at cost or realizable value whichever is
less.
Gold : Valued at cost or realizable value whichever is less.
1.8 Provision for Current and deferred Tax:-
Provision for current tax is made on the basis of estimated taxable
income for the current accounting year in accordance with the Income
Tax Act, 1961.
The deferred tax for timing differences between the book and tax
profits for the year is accounted for, using the tax rates and laws
that have been substantively enacted as of the balance sheet date.
Deferred tax assets arising from timing differences are recognized to
the extent there is reasonable certainty that these would be realized
in future. Deferred tax asset arising from carried forward business
loss and unabsorbed depreciation is recognized only when there is
virtual certainty supporting by convincing evidence that this will be
realized in future. Deferred tax assets are reviewed for the
appropriateness of their respective carrying values at each reporting
date.
1.9 Foreign Currency Transactions:-
Foreign currency transactions are accounted on the rates prevailing on
the date of transactions. Balances in the form of current assets and
current liabilities in Foreign Currency, outstanding on the date of
balance sheet are accounted at the rates of exchange prevailing on the
date of balance sheet. The gain or losses resulting from such
translations are included in the statement of profit and loss.
1.10 Retirement Benefits :-
No liabilities towards retirement benefits are accounted in accordance
with AS -15.
1.11 Impairment of Assets:-
An asset is impaired when the carrying cost of assets exceeds its
recoverable value. An impairment loss is charged to the statement of
profit and loss in the year in which an asset is determined as
impaired. The impairment loss recognized in prior accounting period is
reversed if there has been a change in the estimate of recoverable
amount. However, the management has not assessed the impairment loss on
the assets of the company.
1.12 Provisions. Contingent Liabilities and Contingent Assets:-
A provision is recognized if, as a result of a past event, the Company
has a present legal obligation that can be estimated reliably, and it
is probable that an outflow of economic benefits will be required to
settle the obligation. Provisions are determined by the best estimate
of the outflow of economic benefits required to settle the obligation
at the reporting date. Where no reliable estimate can be made, a
disclosure is made as contingent liability. A disclosure for a
contingent liability is also 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 in respect of which the likelihood of outflow of resources
is remote, no provision or disclosure is made.
1.13 Earnings per share:-
Earnings per ordinary share have been calculated by dividing the
profit/ (loss] for the year attributable to equity shareholders of the
parent company by the weighted average number of ordinary shares in
issue during the year.
Diluted earnings per share have been calculated by dividing the net
profit/ (loss] attributable to ordinary equity shareholders by the
diluted weighted average number of ordinary shares outstanding during
the year.
1.14 Cash Flow Statement:-
Cash flows are reported using the indirect method, whereby profit /
(loss] before extraordinary items and tax is adjusted for the effects
of transactions of non-cash nature and any deferrals or accruals of
past or future cash receipts or payments. The cash flows from
operating, investing and financing activities of the Company are
segregated based on the available information.
The company has only one class of shares referred to as equity shares
having a par value of Rs. 10/- each. Each holder of equity shares is
entitled to one vote per share.
Board of Directors of the company has not proposed any dividend for the
current reporting period.
Mar 31, 2013
1.1 Basis of preparation of financial statements :-
These financial statements are prepared in accordance with Indian
Generally Accepted Ac- counting Principles (GAAP) under the historical
cost convention on the Accrual basis. Ac- counting Policies not
specifically referred to otherwise be consistent and in consonance with
generally accepted accounting principles.
1.2 Use of estimates:-
The preparation of the financial statements are in conformity with GAAP
requires manage- ment to make estimates and assumptions that affect the
reported balances of assets and liabilities disclosures relating to
contingent liability as at the date of financial statements and
reported amounts of income and expenses during the period.
Accounting estimates could change from period to period. Actual results
could differ from those estimates. Appropriate changes in estimates are
made as the Management becomes aware of the changes in circumstances
surrounding the estimates. Changes in estimates are reflected in the
financial statements in the period in which changes are made and, if
material, their effects are disclosed in notes to the financial
statement.
1.3 Revenue Recognition :-
Revenue is primarily derived from sale of Gems and Jewellery items. In
appropriate cir- cumstances, revenue is recognized when the significant
risks and rewards of ownership of the goods are transferred to the
customers and no significant uncertainty as to determina- tion or
realization exists. Expenses and Income considered payable and
receivable respec- tively are accounting for on accrual basis except
retirement benefits which cannot be de- termined with certainty during
the year.
1.4 Fixed Assets :-
Fixed assets are stated at their original cost of acquisition including
taxes freight and other incidental expenses related to acquisition and
installation of the concerned assets less de- preciation till date and
impairment if any.
Depreciation on Fixed Assets has been provided on written down value
method till the end of financial year, on the wdv of Fixed Assets as
per the rates mentioned below, as deter- mined appropriate by the
management and are in accordance with provisions of Schedule XIV of the
Companies Act, 1956 except for the assets of daman site no depreciation
has been charged as no manufacturing has been undertaken during the
year. Further, in case of addition, depreciation has been provided on
pro-rata basis commencing from the date on which the asset is
commissioned.
1.6 Investments:-
Investments are either classified as current or long term investments
based on Manage- ment''s intension at the time of purchase. Long term
Investments are stated at their cost. Current investments are carried
at the lower of cost and fair value of each investment indi- vidually.
1.7 Inventories:-
Inventories are valued as under- Polished Diamonds : Valued at cost or
realizable value whichever is less. Gold : Valued at cost or
realizable value whichever is less.
1.8 Provision for Current and deferred Tax:-
Provision for current tax is made on the basis of estimated taxable
income for the current accounting year in accordance with the Income
Tax Act, 1961.
The deferred tax for timing differences between the book and tax
profits for the year is ac- counted for, using the tax rates and laws
that have been substantively enacted as of the balance sheet date.
Deferred tax assets arising from timing differences are recognized to
the extent there is reasonable certainty that these would be realized
in future. Deferred tax asset arising from carried forward business
loss and unabsorbed depreciation is recog- nized only when there is
virtual certainty supporting by convincing evidence that this will be
realized in future. Deferred tax assets are reviewed for the
appropriateness of their respec- tive carrying values at each reporting
date.
In the Current Year Differed Tax Asset balance is reversed by Rs.
10,753,600/- due to wrong creation of Differed Tax Assets in the
earlier years. Calculation of the same is given herewith under-
1.9 Foreign Currency Transactions:-
Foreign currency transactions are accounted on the rates prevailing on
the date of transac- tions. Balances in the form of current assets and
current liabilities in Foreign Currency, out- standing on the date of
balance sheet are accounted at the rates of exchange prevailing on the
date of balance sheet. The gain or losses resulting from such
translations are included in the statement of profit and loss.
1.10 Retirement Benefits:-
No liabilities towards retirement benefits are accounted in accordance
with AS -15.
1.11 Impairment of Assets:-
An asset is impaired when the carrying cost of assets exceeds its
recoverable value. An im- pairment loss is charged to the statement of
profit and loss in the year in which an asset is determined as
impaired. The impairment loss recognized in prior accounting period is
re- versed if there has been a change in the estimate of recoverable
amount. However, the management has not assessed the impairment loss on
the assets of the company.
1.12 Provisions. Contingent Liabilities and Contingent Assets:-
A provision is recognized if, as a result of a past event, the Company
has a present legal obligation that can be estimated reliably, and it
is probable that an outflow of economic benefits will be required to
settle the obligation. Provisions are determined by the best es- timate
of the outflow of economic benefits required to settle the obligation
at the reporting date. Where no reliable estimate can be made, a
disclosure is made as contingent liability. A disclosure for a
contingent liability is also 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 in respect of which the likelihood of outflow of resources
is remote, no provision or disclosure is made.
1.13 Earnings per share:-
Eamings per ordinary share have been calculated by dividing the profit/
(loss) for the year attributable to equity shareholders of the parent
company by the weighted average number of ordinary shares in issue
during the year.
Diluted earnings per share have been calculated by dividing the net
profit/ (loss) attributa- ble to ordinary equity shareholders by the
diluted weighted average number of ordinary shares outstanding during
the year.
1.14 Cash Flow Statement:-
Cash flows are reported using the indirect method, whereby profit /
(loss) before extraordi- nary items and tax is adjusted for the effects
of transactions of non-cash nature and any deferrals or accruals of
past or future cash receipts or payments. The cash flows from op-
erating, investing and financing activities of the Company are
segregated based on the available information.
Mar 31, 2011
1. Basis of Accounting
The financial statement are prepared under the historical cost
convention on accrual basis.
2. Fixed Assets
All fixed assets are valued at cost less depreciation.
3. Depreciation
Depreciation on fixed assets is provided in written down value method
in accordance with the schedule XIV of the Companies Act 1956.
4. Inventories
(i) Polished Diamonds : Valued at Cost or realizable value
(ii) Gold Valued at Cost or realizable value
5. Revenue Recognition
In appropriate circumstance, revenue is recognised when no significant
uncertainty as to determination or realization exists.
6. IMPAIRMENT OF ASSETS:
An assets is impaired when the carrying cost of assets exceeds its
recoverable value. An impairment loss is charged to the Profit & Loss
Account in the year in which an Assets is defined as impaired. The
impairment loss recognized in prior accounting Period is reversed if
there has been a change in the estimate of recoverable amount.
Mar 31, 2010
1. Basis of Accounting
The financial statement are prepared under the historical cost
convention on accrual basis.
2. Fixed Assets
All fixed assets are valued at cost less depreciation.
3. Depreciation
Depreciation on fixed assets is provided in written down value method
in accordance with the schedule XIV of the Companies Act 1956.
4. Inventories
(i) Polished Diamonds : Valued at Cost or realizable value
(ii) Gold : Valued at Cost or realizable value
5. Revenue Recognition
In appropriate circumstance, revenue is recognised when no significant
uncertainty as to determination or realization exists.
6. IMPAIRMENT OF ASSETS;
An assets is impaired when the carrying cost of assets exceeds its
recoverable value. An impairment loss is charged to the Profit & Loss
Account in the year in which an Assets is defined as impaired. The
impairment loss recognized in prior accounting Period is reversed if
there has been a change in the estimate of recoverable amount.
The Accounting Policies not referred to otherwise are consistent with
accepted accounting principles
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