Notes to Accounts of Jayavant Products Ltd.

Mar 31, 2012

Note "1": The management is proposing to make applications to the appropriate authorities for condonation of loans & advances given by the Company, to the extent of Rs. 5,14, 28,795.34 in contraventions of Section 372A of the Act.

Note"2": Based on the information available with the company in response to the enquiries from all existing suppliers with whom the company deals, there are no suppliers who are registered as micro, small or medium enterprises under The Micro, Small and Medium Enterprises Development Act,2006' as at 31.03.2012.

Note"3": An accident of fire took place in August 1997 in one of the godowns where major raw materials of the company were stored and the grass was burnt, the total loss due to fire was very high and the company has put a claim of * 2, 27, 00,000 with the insurance company and the claim if any will be accounted for in the year in which it is settled by the insurance company.

Note"4": Related Party Disclosure:

(a) Enterprises owned by the directors of the company:

(i) S. J. Impex (Proprietary concern of Shri Jitendra Mehta): (ii) Ami Impex (Proprietary concern of Shri Deven Mehta);

(b) Transactions with related parties:

Note "5":Deferred taxation:

In accordance with the Accounting Standard 22 'Accounting for taxes on Income' the Company has decided not to recognize the deferred tax assets, considering uncertainty of generation future taxable income to set off the accumulated losses, during the year.

Note"6": The reqular Income-Tax assessments of the company have been completed uoto Assessment Year 2008-2009.

Note"7": The segment reporting as per Accounting Standard 17 'Segment Reporting' is not applicable to the Company as the Company's operations are predominantly comprises of only one business segment- Services.

Note"8": Contingent liabilities not provided for:

a) Disputed Income Tax demands of Rs. Nil (Previous Year Rs. Nil) for certain disallowances made by the Income Tax Authorities for Assessment Year 1998-99 against which the company has preferred an appeal with the Appellate Authorities.

b) Disputed Income Tax demands of * Nil (Previous Year Rs. Nil) for certain disallowances made by the Income Tax Authorities for Assessment Year 2002-03 aaainst which the comoanv has preferred an appeal with the Appellate Authorities.

c) Disputed Income Tax demands of Rs. 2,492/- (Previous Year Rs. 2,492/-) for block assessment of Assessment Years 1996-97 to 2002-03 against which the company has preferred an appeal with the Appellate Authorities. However the company has paid

Note"9": The market value of Quoted investments are based on the quotations of the Stock Exchange, Mumbai as on 31.03.2012 wherever applicable or the nearest date to the close of the year.

Note"10": During the year ended 31st March, 2012 the Revised Schedule VI notified under the Companies Act 1956 has become applicable to the Company. The Company has reclassified previous year figures to conform to this year classification.

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Mar 31, 2010

1. In the opinion of the Board, the current assets, loans and advances are approximately of the value stated if realized in the ordinary course of business. The provision for all the known liabilities is adequate.

2. Figures for the previous year have been regrouped, rearranged and recasted wherever necessary to make them comparable with the figures of the current year and in the financial statements; any discrepancies in any total and sum of the amounts listed are due to rounding off.

3. No managerial remuneration has been paid to any of its director, hence, no computation of managerial remuneration u/s. 349 of the Companies Act. 1956 is given.

4. Based on the information available with the company in response to the enquiries from all existing suppliers with whom company deals, there are no suppliers who are registered as micro, small or medium enterprises under The Micro, Small and Medium Enterprises Development Act,2006, as at 31.03.2010.

5. An accident of fire took place in August 1997 in one of the godowns where major raw materials of the Company were stored and the grass was burnt, the total loss due to fire was very high and the Company has put a claim of Rs. 227 lacs with the insurance company and the claim if any will be accounted for in the year in which it is settled by the insurance company.

6. Deferred taxation:

In accordance with the Accounting Standard 22 Accounting for taxes on Income the Company has decided not to recognize the deferred tax assets, considering uncertainty of generation future taxable income to set off the accumulated losses, during the year.

7. Related Party Disclosure:

(a) The control of the Company exists, by virtue of having sub^tamial interest (acquired through letter of offer), with Jyoti Bright Bar , which has been promoted by the persons acting in

(b) Enterprises owned by the directors of the company:

(i) S. J. Impex (Proprietary concern of Shri Jitendra Mehta); (ii) Ami Impex (Proprietary concern of Shri Deven Mehta); (iii) Jyoti Bright Bar Private Limited (as per (a) above); and

8. The regular Income-Tax assessments of the company have been completed upto Assessment Year 2007-2008.

9. The segment reporting as per Accounting Standard 17 Segment Reporting is not applicable to the Company as the Companys operations are predominantly comprises of only one business segment- Services.

10. Contingent liabilities not provided for:

a) Disputed Income Tax demands of Rs. Nil (Previous Year Rs. Nil) for certain disallowances raised by the Income Tax Authorities for Assessment Year 1998-99 against which the Company has preferred an appeal with the Appellate Authorities.

b) Disputed Income Tax demands of Rs. Nil (Previous Year Rs. Nil) for certain disallowances raised by the Income Tax Authorities for Assessment Year 2002-03 against which the Company has preferred an appeal with the Appellate Authorities.

c) Disputed Income Tax demands of Rs. 2,492/- (Previous Year Rs. 2,492/-) for block assessment of Assessment Years 1996-97 to ^002-03 against which the Company has preferred an appeal with the AppelteteTSLuiJaprities.

However the Company has paid Rs.2492/-.

V. Generic names of principal products of Company (as per monetary terms)

1. Scented supari

2. Hill grass brooms

3. Brokerage and commission

SIGNATURES TO SCHEDULES 1 TO 12 The Schedules referred to above form an integral part of the financial statements