Notes to Accounts of Sita Enterprises Ltd.

Mar 31, 2015

I. Previous period's figures have been regrouped/rearranged wherever necessary. Headings, sub-headings and information as per Schedule VI and Accounting Standards which are not applicable to the company are not stated in Balance Sheet and Statement of Profit and Loss. Figures in brackets are for previous year unless otherwise specified.

ii. Tax deducted at source on interest income - Rs. 1,61,845/- (Rs. 1,48,012/-) and on dividend Nil. Interest income includes an amount of Rs.4,83,400/- (Rs. 1,58,014/-) received during the year from a venture capital fund.

iii. Basic and Diluted earning per share has been calculated by dividing the net profit after tax i.e. Rs.3.99 Lacs for the year by the weighted average number of equity shares outstanding during the year i.e. 30 Lacs shares.

iv. The provision for deferred tax assets/liabilities as on 31-3-15 is Nil. As a measure of prudence, deferred tax assets for MAT credit for future tax liabilities has not been taken into account. Provision for bad and doubtful debts and for depreciation in investments - Nil. Gross non-performing assets - Nil. Net non-performing assets - Nil, Assets acquired in satisfaction of debts - Nil. Amount due to Micro, Small & Medium Enterprises as per MSMED Act, 2006 as on 31-03-2015 - Nil. The Company has not accepted any deposits from the public. As per guidelines issued by Reserve Bank of India an amount of Rs. 2.5 lacs has been provided as Contingent Provision against Standard Assets and has been shown as Contingent Provision in the balance sheet.

v. The Company is in the business of investment and finance and all its activities revolve around this business. As such, there are no separate reportable Segments. As provided in Accounting Standard 3 the Dividend income has been included in Operating Activities in Cash Flow Statement. In the Statement of Profit and Loss Dividend Income has been shown under Other Income as per requirement of Revised Schedule VI.

vi. The Company has only one class of shares referred to as equity shares having a par value ofRs.10 entitling the holder to one vote per share. There was no change in the number of shares outstanding at the beginning and at the end of the reporting period. Share holders holding more than 5% shares in the company and number of shares held: Bombay Mercantile & Leasing Co Ltd-1025398, Abhinandan Textiles & Traders Pvt. Ltd.-375000 and Ashok Tulsyan (HUF) 600000.

vii. Meeting fees paid to Independent Director - Mr. S. Rathi Rs.5000/-.

viii. Market value of all quoted investments-Rs.10,29,276/- (Rs.9,72,941/-). Provision for diminution in value of investments- Nil. Investments in Properties are partly paid to the extent of amount due and payable as per the terms of purchase and progress of construction and are shown as other non current investments as per requirement of Revised Schedule VI.

ix. Miscellaneous expenses grouped under the head of Other Expenses include Rs.11,236/- (Rs.11,236/-) for audit fees, Rs. 3,371/- (Rs.3,000) for internal audit, Rs.11,000/- (Rs. 7,303/-)for Secretarial Auditors fees and Rs.2,085/- (Rs.1,053/-) for Securities Transaction Tax.

x. Contingent liabilities and commitments (to the extent not provided for) - Uncalled liability on commitments for Investments in Properties under construction or development Rs.116 Lacs.

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Mar 31, 2014

I. Previous period''s figures have been regrouped/rearranged wherever necessary. Headings, sub-headings and information as per Schedule VI and Accounting Standards which are not applicable to the company are not stated in Balance Sheet and Profit and Loss Statement. Figures in brackets are for previous year unless otherwise specified.

ii. Tax deducted at source (in Rs) on interest income - Rs. 1,48,012/- (Rs. 1,71,075/-) and on dividend Nil. Interest income includes an amount of Rs. 1,58,014/- received during the year from a venture capital fund.

iii. Basic and Diluted earning per share has been calculated by dividing the net profit after tax i.e. Rs.3.25 Lacs for the year by the weighted average number of equity shares outstanding during the year i.e. 30 Lacs shares.

iv. The provision for deferred tax assets/liabilities as on 31-3-14 is Nil. As a measure of prudence deferred tax assets for MAT credit for future tax liabilities has not been taken into account. Provision for bad and doubtful debts and for depreciation in investments - Nil. Gross non-performing assets - Nil. Net non-performing assets - Nil, Assets acquired in satisfaction of debts - Nil. Amount due to Micro, Small & Medium Enterprises as per MSMED Act, 2006 as on 31-03-2014 - Nil. The Company has not accepted any deposits from the public. As per guidelines issued by Reserve Bank of India an amount of Rs. 2.5 lacs has been provided as Contingent Provision against Standard Assets and has been shown as Contingent Provision in the balance sheet.

v. The Company is in the business of investment and finance and its all activities revolve around this business. As such, there are no separate reportable Segments. As provided in Accounting Standard 3 the Dividend income has been included in Operating Activities in Cash Flow Statement. In the Profit and Loss Statement Dividend Income has been shown under Other Income as per requirement of Revised Schedule VI.

vi. The Company has only one class of shares referred to as equity shares having a par value ofRs.10 entitling the holder to one vote per share. There was no change in the number of shares outstanding at the beginning and at the end of the reporting period. Share holders holding more than 5% shares in the company and number of shares held: Bombay Mercantile & Leasing Co Ltd-1025398, Abhinandan Textiles & Traders Pvt. Ltd.-375000 and Ashok Tulsyan (HUF) 600000.

vii. Related Party Disclosures: Associates- Sita Capital Pvt Ltd. Details of Transactions with associates - (Rs. in Lacs) Balance as on 31-3-2013 Nil -, Advances Received 44.60, Advance Paid during the year 44.60 - Balance as on 31.3.14 - Nil. Meeting fees paid to Independent Director - Mr. S. Rathi Rs.5000/-.

viii. Market value of all quoted investments-Rs.9,72,941/- (Rs.16,83,982/-). Provision for diminution in value of investments - Nil. Investments in Properties under construction or development are partly paid to the extent of amount due and payable as per the terms of purchase and are shown as other non current investments as per requirement of Revised Schedule VI.

ix. Miscellaneous expenses grouped under other expenses include Rs.11,236/- (Rs.5,000) for audit fees, Rs. 3,000 (Rs.3,000) for internal audit and Rs.1,053/- (Rs.6,156) for Securities Transaction Tax.

x. Contingent liabilities and commitments (to the extent not provided for) - Uncalled liability on commitments for Investments in Properties under construction or development Rs.126.56 lacs and for Investment in Venture Capital Fund Rs. 40 Lacs.

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Mar 31, 2013

I. Previous period''s figures have been regrouped/rearranged wherever necessary. Headings, sub-headings and information as per Schedule VI and Accounting Standards which are not applicable to the company are not stated in Balance Sheet and Profit and Loss Statement. Figures in brackets are for previous year unless otherwise specified.

ii. Tax deducted at source (in Rs) on interest income - Rs. 171,075 (Rs. 138000/-) and on dividend Nil.

iii. Basic and Diluted earning per share has been calculated by dividing the net profit after tax i.e. Rs.7.53 Lacs for the year by the weighted average number of equity shares outstanding during the year i.e. 30 Lacs shares.

iv. The provision for deferred tax assets/liabilities as on 31-3-13 is Nil. As a measure of prudence deferred tax assets for MAT credit for future tax liabilities has not been taken into account. Provision for bad and doubtful debts and for depreciation in investments – Nil. Gross non-performing assets – Nil. Net non-performing assets – Nil, Assets acquired in satisfaction of debts – Nil. Amount due to Micro, Small & Medium Enterprises as per MSMED Act, 2006 as on 31-03-2013 - Nil. The Company has not accepted any deposits from the public. As per guidelines issued by Reserve Bank of India an amount of Rs. 2.5 lacs has been provided as Contingent Provision against Standard Assets and has been shown as Contingent Provision in the balance sheet.

v. The Company is in the business of investment and finance and its all activities revolve around this business. As such, there are no separate reportable Segments. As provided in Accounting Standard 3 the Dividend income has been included in Operating Activities in Cash Flow Statement. In the Profit and Loss Statement Dividend Income has been shown under Other Income as per requirement of Revised Schedule VI.

vi. The Company has only one class of shares referred to as equity shares having a par value ofRs.Rs.10 entitling the holder to one vote per share. There was no change in the number of shares outstanding at the beginning and at the end of the reporting period. Share holders holding more than 5% shares in the company and number of shares held: Bombay Mercantile & Leasing Co Ltd-1025398, Abhinandan Textiles & Traders Pvt. Ltd.-375000 and Ashok Tulsyan (HUF) 600000.

vii. Related Party Disclosures: Associates-Goyal Housing And Finance Ltd., Filmcity Finance Pvt Ltd., Sunshield Finvest Pvt. Ltd., Sita Capital Pvt Ltd. Details of Transactions with associates - (Rs. in Lacs) Advance Paid - Balance as on 31.3.13 – Nil (148.95). Meeting fees paid to Independent Director – Mr. S. Rathi Rs.5000/-.

viii. Market value of all quoted investments-Rs.16,83,982/- (Rs. 80,65,525/-). Provision for diminution in value of investments – Nil. Investments in Properties under construction or development are partly paid to the extent of amount due and payable as per the terms of purchase and are shown as other non current investments as per requirement of Revised Schedule VI.

ix. Miscellaneous expenses grouped under other expenses include Rs.5,000 (Rs.5,000) for audit fees, Rs. 3,000 (Rs.3,000) for internal audit and Rs.6,156/- (Rs.20,755) for Securities Transaction Tax.

x. Contingent liabilities and commitments (to the extent not provided for) – Uncalled liability on commitments for Investments in Properties under construction or development Rs.159 lacs and for Investment in Mutual Fund Rs. 60 Lacs.

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Mar 31, 2012

I. Previous period's figures have been regrouped/rearranged wherever necessary. Headings, sub-headings and information as per Schedule VI and Accounting Standards which are not applicable to the company are not stated in Balance Sheet and Profit and Loss Statement. Figures in brackets are for previous year unless otherwise specified.

ii. Tax deducted at source (in Rs) on interest income - Rs. 138,000 (Rs. 127,577/-) and on dividend Nil.

iii. Basic and Diluted earning per share has been calculated by dividing the net profit after tax i.e. Rs.8.86 Lacs for the year by the weighted average number of equity shares outstanding during the year i.e. 30 Lacs shares.

iv. Related Party Disclosures: Associates-Goyal Housing And Finance Ltd., Filmcity Finance Pvt Ltd., Sunshield Finvest Pvt. Ltd., Sita Capital Pvt Ltd. Details of Transactions with associates - (Rs. in Lacs) Balance as on 31.3.12 - Advances paid for allotment of securities -148.95 including 95.75 to private companies in which any director is a director or member.

v. The provision for deferred tax assets/liabilities as on 31-3-12 is Nil. As a measure of prudence deferred tax assets for MAT credit for future tax liabilities has not been taken into account. Provision for bad and doubtful debts and for depreciation in investments - Nil. Gross non-performing assets - Nil. Net non-performing assets - Nil, Assets acquired in satisfaction of debts - Nil. Amount due to Micro, Small & Medium Enterprises as per MSMED Act, 2006 as on 31-03-2012 - Nil. The Company has not accepted any deposits from the public. As per guidelines issued by Reserve Bank of India an amount of Rs. 2.5 lacs has been shown separately as Contingent Provision against Standard Assets in the balance sheet. This contingent and uncertain amount has been earmarked in the heading of reserves and surplus.

vi. The Company is in the business of investment and finance and its all activities revolve around this business. As such, there are no separate reportable Segments. As provided in Accounting Standard 3 the Dividend income has been included in Operating Activities in Cash Flow Statement. In the Profit and Loss Statement Dividend Income has been shown under Other Income as per requirement of Revised Schedule VI.

vii. The Company has only one class of shares referred to as equity shares having a par value of Rs.10 entitling the holder to one vote per share. There was no change in the number of shares outstanding at the beginning and at the end of the reporting period. Share holders holding more than 5% shares in the company and number of shares held: Bombay Mercantile & Leasing Co Ltd-1025398, Abhinandan Textiles & Traders Pvt. Ltd.-375000 and Ashok Tulsyan (HUF) 600000.

viii. Market value of all quoted investments-Rs.8,065,525 (Rs. 20,215,076). Provision for diminution in value of investments - Nil. Investments in Properties under construction or development are partly paid to the extent of amount due and payable as per the terms of purchase and are shown as other non current investments as per requirement of Revised Schedule VI. Such amounts were shown as advances in earlier periods.

ix. Miscellaneous expenses grouped under other expenses include Rs.5,000 (Rs.5,000) for audit fees, Rs. 3,000 (Rs.3,000) for internal audit and Rs.20,755 (Rs.79,971) for Securities Transaction Tax.

x. Contingent liabilities and commitments (to the extent not provided for) - Uncalled liability on commitments for Investments in Properties under construction or development Rs. 320 lacs and for Investment in Mutual Fund Rs. 60 Lacs.

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Mar 31, 2011

1 Previous period's figures have been regrouped/rearranged wherever necessary.

2 Tax deducted at source (in Rs) on interest income – 1, 27,577/- (92,400/-) and on dividend Nil.

3 Basic and Diluted earning per share has been calculated by dividing the net profit after tax i.e. Rs.52.15 Lacs for the year by the weighted average number of equity shares outstanding during the year i.e. 30 Lacs shares.

4 Related Party Disclosures: Associates-Goyal Housing And Finance Ltd., Sunshield Finvest pvt. Ltd. Details of Transactions with associates - (Rs. in Lacs) Balance as on 31.3.11 - Advances paid – 58.00.

5 The provision for deferred tax assets/liabilities as on 31-3-11 is Nil. As a measure of prudence deferred tax assets for MAT credit for future tax liabilities has not been taken into account. Provision for bad and doubtful debts and for depreciation in investments – Nil. Gross non-performing assets – Nil. Net non-performing assets – Nil, Assets acquired in satisfaction of debts – Nil. Amount due to SSI units as on 31-03-2011 - Nil.

6 The Company is in the business of investment and finance and its all activities revolve around this business. As such, there are no separate reportable Segments.

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Mar 31, 2010

1 Tax deducted at source (in Rs) on interest income - 92,400/- (1,36,981/-) and on dividend Nil.

2 Basic and Diluted earning per share has been calculated by dividing the net profit after tax i.e. Rs.72.13 Lacs for the year by the weighted average number of equity shares outstanding during the year i.e. 30 Lacs shares.

3 Related Party Disclosures: Associates-Goya Housing And Finance Ltd., Sita Capital Pvt. Ltd. And Sita Offers & Bourse Expertise Ltd. Details of Transactions with associates -(Rs. in Lacs) Balance as on 31.3.10 - Advances paid - 138.50.

4 The provision for deferred tax assets/liabilities as on 31-3-10 is Nil. As a measure of prudence deferred tax assets for MAT credit for future tax liabilities has not been taken into account. Provision for bad and doubtful debts and for depreciation in investments - Nil. Gross non-performing assets - Nil. Net non-performing assets - Nil, Assets acquired in satisfaction of debts-Nil. Amount due to SSI units as on 31-03-2010 -Nil.

5 Previous periods figures have been regrouped/rearranged wherever necessary.