Mar 31, 2014
(a) Use of estimates
the preparation of financial statement in conformity with Indian GAAP
requires the management to make judgment, estimates and assumptions
that affect the reported amounts of revenues, expenses, assets and
liabilities and the disclosure of contingent liabilities, at the end of
the reporting period. Although these estimates are based on the
management''s best knowledge of current events and actions, uncertainty
about these assumptions and estimates could result in the outcomes
requiring a material adjustment to the carrying amount of assets or
liabilities in future periods.
(b) Investments
Investment, which are readily realizable and intended to be held for
not more than one year from the date on which such investments are
made, are classified as current investments. All other investments are
classified as long-term investments.
on initial recognition, all investments are measured at cost. the cost
comprises purchase price and directly attributable acquisition charges
such as brokerage, fees and duties.
Long term Investments are carried at cost. However, provision for
diminution in value is made to recognize a decline other than temporary
in the value of the investments.
(c) Revenue Recognition
Revenue is recognized to the extent that it is probable that the
economic benefits will fow to the company and the revenue can be
reliably measured. the following Specific recognition criteria must also
be met before revenue is recognized:
i. Income from services
Revenues from contracts priced on a time and material basis are
recognized when services are rendered and related costs are incurred.
Revenues from turnkey contracts, which are generally time bound fixed
price contracts, are recognized over the life of the contract using the
proportionate completion method, with contract costs determining the
degree of completion. Foreseeable losses on such contracts are
recognized when probable. Revenues from maintenance contracts are
recognized pro-rata over the period of the contract.
ii. Interest
Revenue is recognized on a time proportion basis taking into account
the amount outstanding and the rate applicable.
iii. Dividend
Revenue is recognized when the shareholders'' right to receive payment
is established by the balance sheet date.
(d) Income taxes
Current tax is the amount of tax payable on the taxable income for the
year as determined in accordance with the provisions of the Income tax
Act, 1961.
Minimum Alternate tax (mAt) paid in accordance with the tax laws, which
gives future economic benefits in the form of adjustment to future
income tax liability, is considered as an asset if there is convincing
vidence that the Company will pay normal income tax. Accordingly, mAt
is recognized as an asset in the Balance sheet when it is probable that
future economic benefit associated with it will fow to the company.
Deferred tax is recognized on timing differences, being the differences
between the taxable income and the accounting income that originate in
one period and are capable of reversal in one or more subsequent
periods. Deferred tax is measured using the tax rates and the tax laws
enacted or substantially enacted as at the reporting date. Deferred tax
liabilities are recognized for all timing differences. Deferred tax
assets in respect of unabsorbed depreciation and carry forward of
losses are recognized only if there is virtual certainty that there
will be suffcient future taxable income available to realize such
assets. Deferred tax assets are recognized for timing differences of
other items only to the extent that reasonable certainty exists that
suffcient future taxable income will be available against which these
can be realized. Deferred tax assets and liabilities are offset if such
items relate to taxes on income levied by the same governing tax laws
and the Company has a legally enforceable right for such set off.
Deferred tax assets are reviewed at each Balance sheet date for their
reliability.
(e) Earning Per Share
Basic earnings per share are calculated by dividing the net profit or
loss for the period attributable to equity shareholders by the weighted
average number of equity shares outstanding during the period. Partly
paid equity shares are treated as a fraction of an equity share to the
extent that they are entitled to participate in dividends relative to a
fully paid equity share during the reporting period. the weighted
average number of equity shares outstanding during the period is
adjusted for events such as bonus issue, bonus element in a right
issue, share split, and reverse share split (consolidation of shares)
that have changed the number of equity shares outstanding, without a
corresponding change in resources.
For the purpose of calculating diluted earning per share, the net profit
or loss for the period attributable to equity shareholders and the
weighted average number of shares outstanding during the period are
adjusted for the effects of all dilutive potential equity shares.
(f) Provisions
A provision is recognized when the company has a present obligation as
a result of past event, it is probable that an outflow of resources
embodying economic benefits will be required to settle the obligation
and a reliable estimate can be made of the amount of the obligation.
Provisions are not discounted to their present value and are determined
based on the best estimate required to settle the obligation at the
reporting date. these estimates are reviewed at each reporting date and
adjusted to refect the current best estimates.
Where the company expects some or all of a provision to be reimbursed,
the reimbursement is recognized as a separate asset but only when the
reimbursement is virtually certain. the expense relating to any
provision is presented in the statement of profit and loss net of any
reimbursement.
(g) Contingent Liabilities
A contingent liability is a possible obligation that arises form past
events whose existence will be confirmed by the occurrence or
non-occurrence of one or more uncertain future events beyond the
control of the company or a present obligation that is not recognized
because it is not probable than an outflow of resources will be required
to settle the obligation. A Contingent liability also arises in
extremely rare cases where there is a liability that can not be
recognized because it cannot be measured reliably. the company does not
have any contingent liability.
(h) Cash and cash equivalents
Cash and cash equivalents in the cash fow statement comprise cash at
bank and in hand and short term investment with an original maturity of
three months or less.
(i) 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 fnancing activities of the company are segregated based
on the available information.
(b) Terms/ rights attached to equity shares
the Company has only one class of equity shares having par value of
Rs.10 per share. each holder of equity shares is entitled to one vote
per share.
the Company declares and pays dividends in Indian rupees. the dividend
proposed by the Board of Directors is subject to the approval of the
shareholders in the ensuing Annual General meeting. During the year
ended 31 march 2014, the amount of per share dividend recognized as
distributions to equity shareholders was nil (31 march 2013: nil).
In the event of liquidation of the Company, the holders of equity
shares will be entitled to receive remaining assets of the Company,
after distribution of all preferential amounts. the distribution will
be in proportion to the number of equity shares held by the
shareholders.
As per records of the Company, including its register of shareholders/
members and other declarations received from shareholders regarding
beneficial interest, the above shareholding represents both legal and
beneficial ownerships of shares.
Mar 31, 2013
(a) Use of estimates
The preparation of financial statement in conformily with Indian GAAP
requires the management to make judgment, estimates and assumptions
that affect the reported amounts of revenues, expenses, assets and
liabilities and the disclosure of contingent liabilities, at the end of
the reporting period. Although these estimates are based on the
management''s best knowledge of current events and actions, uncertainty
about these assumptions and estimates could result in the outcomes
requiring a material adjustment to the carrying amount of assets or
liabilities in future periods.
(b) Investments
Investment, which are readily realizable and intended to be held for
not more than one year from the date on which such investments are
made, are classified as current investments. Ail other investments are
classified as long-term investments.
On initial recognition, all investments are measured at cost. The cost
comprises purchase price and directly attributable acquisition charges
such as brokerage, fees and duties. Long Term Investments are carried
at cost. However, provision for diminution in value is made to
recognize a decline other than temporary in the value of the
investments.
(c) Revenue Recognition
Revenue is recognized to the extent that il is probable that the
cconomie benefits will flow to the company and the revenue can be
reliably measured. The following specific recognition criteria must
also be met before revenue is recognized:
i. Income from services
Revenues from contracts priced on a time and material basis are
recognized when services are rendered and related costs are incurred.
Revenues from turnkey contracts, which are generally time bound fixed
price contracts, are recognized over the life of the contract using the
proportionate completion method, with contract costs determining the
degree of completion. Foreseeable losses on such contracts are
recognized when probable. Revenues from maintenance contracts are
recognized pro-rata over the period of the contract.
ii. Interest
Revenue is recognized on a time proportion basis taking into account
the amount outstanding and the rate applicable.
iii. Dividend
Revenue is recognized when the shareholders'' right to receive payment
is established by the Balance sheet date.
(d) Income taxes
Current tax is the amount of tax payable on the taxable income for the
year as determined in accordance with the provisions of the Income Tax
Act, 1961.
Minimum Alternate Tax (MAT) paid in accordance with the tax iaws; which
gives future economic benefits in the form of adjustment to future
income tax liability, is considered as an asset if there is convincing
evidence that the Company will pay normal income tax. Accordingly, MAT
is recognized as an asset in the Balance Sheet when it is probable that
future economic benefit associated with it will flow to the company.
Deferred tax is recognized on timing differences, being the differences
between the taxable income and the accounting income thai originate in
one period and are capable of reversal in one or more subsequent
periods. Deferred tax is measured using the tax rates and the tax laws
enacted or substantially enacted as at the reporting date. Deferred tax
liabilities are recognized for all timing differences. Deferred tax
assets in respect of unabsorbed depreciation and carry forward of
losses are recognized only if there is virtual certainty that there
will be sufficient future taxable income available to realize such
assets. Deferred tax assets are recognized for timing differences of
other items only to the extent that reasonable certainty exists that
sufficient future taxable income will be available against which these
can be realized. Deferred tax assets and liabilities are offset if such
items relate to taxes on income levied by the same governing tax laws
and the Company has a legally enforceable right for such set off.
Deferred tax assets are reviewed at each Balance Sheet date for their
reliability
(e) Earning Per Share
Basic earnings per share are calculated by dividing the net profit or
loss for the period attributable to equity shareholders by the weighted
average number of equity shares outstanding during the period. Partly
paid equity shares are treated as a fraction of an equity share to the
extent that they are entitled to participate in dividends relative to a
fully paid equity share during the reporting period. The weighted
average number of equity shares outstanding during the period is
adjusted for events such as bonus issue, bonus element in a right
issue, share split, and reverse share split (consolidation of shares)
that have changed the number of equity shares outstanding, without a
corresponding change in resources.
For the purpose of calculating diluted earning per share, the net
profit or loss for the period attributable to equity shareholders and
the weighted average number of shares outstanding during the period are
adjusted for the effects of all dilutive potential equity shares.
(f) Provisions
A provision is recognized when the company has a present obligation as
a result of past event, it is probable that an outflow of resources
embodying economic benefits will be required to settle the obligation
and a reliable estimate can be made of the amount of the obligation.
Provisions are not discounted to their present value and are determined
based on the best estimate required to settle the obligation at the
reporting date. These estimates are reviewed at each reporting date and
adjusted to reflect the current best estimates.
¦ Where the company expects some or all of a provision to be
reimbursed, the reimbursement is recognized as a separate asset but
only when the reimbursement is virtually certain. The expense relating
to any provision is presented in the statement of profit and loss net
of any reimbursement.
(g) Contingent Liabilities
A contingent liability is a possible obligation that arises form past
events whose existence will be confirmed by the occurrence or
non-occurrence of one or more uncertain future events beyond the
control of the company or a present obligation that is not recognized
because it is not probable than an outflow of resources will be
required to settle the obligation. A Contingent liability also arises
in extremely rare cases where there is a liability that can not be
recognized because it cannot be measured re1iat>iy. The company does
not have any contingent liability.
(h) Cash and cash equivalents
Cash and cash equivalents in the cash flow statement comprise cash at
bank and in hand and short term investment with an original maturity of
three months or less.
(i) Cash Flow statement
Cash Hows 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.
Mar 31, 2012
(a) Change in accounting policies
Presentation and disclosure of financial statements
During the year ended 31st March 2012, the revised Schedule VI notified
under the Companies Act 1956, has become applicable to the company for
preparation and presentation of its financial statements. The adoption
of revised Schedule VI does not impact recognition and measurement
principles followed for preparation of financial statements. However,
it has significant impact on, presentation and disclosures made in the
financial statement. The company has also reclassified the previous
year figures in accordance with the requirements applicable in the
current year.
(b) Use of estimates
The preparation of financial statement in conformity with Indian GAAP
requires the management to make judgment, estimates and assumptions
that affect the reported amounts of revenues, expenses, assets and
liabilities and the disclosure of contingent liabilities, at the end of
the reporting period. Although, these estimates are based on the
management's best knowledge of current events and actions, uncertainty
about these assumptions and estimates could result in the outcomes
requiring a material adjustment to the carrying amount of assets or
liabilities in future periods.
(e) Investments
Investment, which are readily realizable and intended to be held for
not more than one year from the date on which such investments are
made, are classified as current investments. All other investments are
classified as long-term investments.
On initial recognition, all investments are measured at cost. The cost,
comprises purchase price and directly attributable acquisition
charges such as brokerage, fees and duties.
Long Term Investments are carried at cost. However, provision for
diminution in value is made to recognize a decline other than temporary
in the value of the investments.
(d) Revenue Recognition
Revenue is recognized to the extent that it is probable that the
economic benefits will flow to the company and the revenue can be
reliably measured. The following specific recognition criteria must
also be met before revenue is recognized:
i. Income from services Revenues from contracts priced on a time and
material basis are recognized when, services are rendered and related
costs are incurred. Revenues from turnkey contracts, which are
generally time bound fixed price contracts, are recognized over the
life of the contract using the proportionate completion method. With
contract costs determining the degree of completion. Foreseeable losses
on such contracts are recognized when probable. Revenues from
maintenance contracts are recognized pro-rata over the period of the
contract.
ii. Interest
Revenue is recognized on a time proportion basis taking into account
the amount outstanding and the rate applicable.
iii. Dividend
Revenue is recognized when the shareholders right to receive payment is
established by the balance sheet date.
(c) Income taxes
Current tax us the amount of tax payable on the taxable income for the
year as determined in accordance with the provisions of the Income Tax
Act, 1961.
Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which
gives future economic benefits in the form of adjustment to future
income tax liability, is considered as an asset if there is convincing
evidence that the Company will pay normal income tax. Accordingly, MAT
is recognized as an asset in. the Balance Sheet when it is probable
that future economic benefit associated with it will flow to the
company.
Deferred tax is recognized on timing differences, being the differences
between the taxable income and the accounting income that originate in
one period and are capable of reversal in one or more subsequent
periods. Deferred tax is measured using the tax rates and the tax laws
enacted or substantially enacted as at the reporting date. Deferred tax
liabilities are recognized for all timing differences. Deferred tax
assets in respect of unabsorbed depreciation and carry forward of
losses are recognized only if there is virtual certainty that there
will be sufficient future taxable income available to realize such
assets. Deferred tax assets are recognized for timing differences of
other items only to the extent that reasonable certainty exists that
sufficient future taxable income will be available against which these
can be realized. Deferred tax assets and liabilities are offset if such
items relate to taxes on income levied by the same governing tax laws
and the Company has a legally enforceable right for such set off.
Deferred tax assets are reviewed at each Balance Sheet date for their
reliability.
(f) Earning Per Stare
Basic earnings per share are calculated by dividing the net profit or
less for the period attributable to equity shareholders by the weighted
average number of equity shares outstanding during the period. Partly
paid equity shares are treated as a fraction of an equity share to the
extent that they are entitled to participate in dividends relative to a
fully paid equity share during the reporting period. The weighted
average number of equity shares outstanding during the period is
adjusted for events such as bonus issue, bonus element in a right
issue, share split, and reverse share split (consolidation of shares)
that have changed the number of equity shares outstanding, without a
corresponding change in resources.
For the purpose of calculating diluted earnings per share, the net
profit or loss for the period attributable to equity shareholders and
the weighted average number of shares outstanding during the period are
adjusted for the effects of all dilutive potential equity shares.
(g) Provisions
A provision is recognized when the company has a present obligation as
a result of past event, it is probable that an outflow of resources
embodying economic benefits will be required to settle the obligation
and a reliable estimate can be made of the amount of the obligation.
Provisions are not discounted to their present value and are
determined, based on the best estimate required to settle the
obligation at the reporting date. These estimates are reviewed at each
reporting date and adjusted to reflect the current best estimates.
Where the company expects some or all of a provision to be reimbursed,
the reimbursement is recognized as a separate asset but only when the
reimbursement is virtually certain. The expense relating to any
provision, is presented in the statement of profit and loss net of any
reimbursement.
(h) Contingent Liabilities
A contingent liability is a possible obligation that arises from past
events whose existence will be confirmed, by the occurrence or
non-occurance of one or more uncertain future events beyond the control
of the company or a present obligation that is not recognized because
it is not probable than an outflow of resources will be required to
settle the obligation. A Contingent liability also arises in extremely
rare cases where there is a liability that cannot be recognized
because it cannot be measured reliably. The company does not have any
contingent liability.
(i) Cash and cash equivalents
Cash, and cash, equivalents in the cash flow statement comprise cash at
bank and in hand and short term-investment with an original maturity
of three months or less.
(j) 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.
Mar 31, 2010
1 System of Accounting
The Financial Statements are prepared under the historical cost
convention on the accrual basis of accounting and in accordance with
Generally Accepted Accounting Principles.
2 Investments
Long Term Investments are valued at cost. Provision for diminution in
the value of long-term investments is made only if such a decline is
other then temporary in the opinion of the management.
3 Earning Per Share
Basic earnings per share are calculated by dividing the net profit or
net loss for the period attributable to the Equity shareholders by the
number of equity shares outstanding during the period.
4 Contingent Liabilities
Contingent Liabilities are not provided for in the accounts but are
shown separately in the notes to accounts.