Notes to Accounts of Rajlaxmi Industries Ltd.

Mar 31, 2015

1.Terms / Rights attached to Equity Shares :

All Equity Shares issued by the Company including those issued during the year on preferential basis rank equal in all rights and privileges including dividend.

2. Corporate information :

Rajlaxmi Industries Limited is a public limited company domiciled in India and incorporated under the provisions of the Companies Act, 1956. Its shares are listed on Bombay Stock Exchange. As per the Memorandum of Association, the Company is engaged in the business of trading of cloth and Fabrics.

3. Basis of Preparation :

The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in India (Indian GAAP). The Company has prepared these financial statements to comply in all material aspects with the accounting standards notified under the Companies (Accounting Standards) Rules, 2006, (as amended) and the relevant provisions of the Companies Act, 1956. The financial statements have been prepared on an accrual basis and under the historical cost convention. The accounting policies adopted in the preparation of the financial statements are consistent with those of previous year.

4.Segment Reporting :

The company is primarily engaged in the business of trading of fabric, which, in the context of Accounting Standard (AS 17) on "Segment Reporting" constitutes a single reportable segment.

5. Deferred tax assets on unabsorbed depreciation and losses available for set-off under Income tax have not been considered on prudent basis due to the uncertainty regarding generation of sufficient future taxable profits.

6. The Company has not received intimations from vendors regarding their status under the Micro, Small and Medium enterprises development Act, 2006, and hence disclosure relating to amount unpaid at the year end together with interest paid/payable under this act could not be given.

7. The balances of all personal accounts, viz. creditors, loans, advances and deposits are subject to confirmations and reconciliation, if any.

8. Contingent liabilities : Nil ( Previous Yr : Nil)

9. The Company is in search of suitable candidate to be appointed as whole-time secretary in order to comply with See. 203 of the Companies Act, 2013.

10. Previous year's figures have been regrouped / reclassified, wherever necessary to correspond with the current year's classification / diselosur.

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Mar 31, 2014

Corporate information :

Rajlaxmi Industries Limited is a public limited company domiciled in India and incorporated under the provisions of the Companies Act, 1956. Its shares are listed on Bombay Stock Exchange. As per the Memorandum of Association, the Company is engaged in the business of trading of cloth and Fabrics.

i. Segment Reporting :

The company is primarily engaged in the business of trading of fabric, which, in the context of Accounting Standard (AS 17) on "Segment Reporting" constitutes a single reportable segment.

ii. Deferred tax assets on unabsorbed depreciation and losses available for set-off under Income tax have not been considered on prudent basis due to the uncertainity regarding generation of sufficient future taxable profits.

iii. The Company has not received intimations from vendors regarding their status under the Micro, Small and Medium enterprises development Act, 2006, and hence disclosure relating to amount unpaid at the year end together with interest paid/payable under this act could not be given.

iv. The balances of all personal accounts, viz. creditors, loans, advances and deposits are subject to confirmations and reconciliation, if any.

v. Contingent liabilities : Nil ( Previous Yr : Nil )

vi. The Company is in search of suitable candidate to be appointed as whole-time secretary in order to comply with Sec. 383A of the Companies Act, 1956.

vii. The Board of Directors of the Company has, on 14th Aug, 2013, approved a Scheme of arrangement under sections 391 to 394 of the Companies Act, 1956, for the merger of two Companies, viz. "Hirise Infracon Limited" and "Starwings Fashion Trading Limited" with the Company. An application was made under the clause 24(f) of the Listing Agreement to the BSE Limited. The Company has not received "No Objection" from the BSE Limited. Under the circumstances, the Company has not till date filed the scheme with the jurisdictional Hon''ble High Court and a decision in this respect is pending. All expenses incurred in respect of the scheme have been charged off during the year under review in terms of the scheme and in accordance with the generally accepted accounting principles.

viii. Previous year''s figures have been regrouped / reclassified, wherever necessary to correspond with the current year''s classification / disclosur.

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Mar 31, 2013

1. Corporate information :

Rajlaxmi Industries Limited is a public limited company domiciled in India and incorporated under the provisions of the Companies Act, 1956. Its shares are listed on Bombay Stock Exchange. As per the Memorandum of Association, the Company is engaged in the business of trading of cloth and Fabrics.

2. Basis of Preparation :

The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in India (Indian GAAP). The Company has prepared these financial statements to comply in all material aspects with the accounting standards notified under the Companies (Accounting Standards) Rules, 2006, (as amended) and the relevant provisions of the Companies Act, 1956. The financial statements have been prepared on an accrual basis and under the historical cost convention. The accounting policies adopted in the preparation of the financial statements are consistent with those of previous year.

3. Segment Reporting :

The Company is engaged only in one activity viz. trading of cloth & fabrics, hence in our opinion the financial statements are disclosing the information as required by Accounting standards 17. However during the year there is no business activity and hence Segment Reporting is not applicable.

4. Deferred tax assets on unabsorbed depreciation and losses available for set-off under Income tax have not been considered on prudent basis due to the uncertainty regarding generation of sufficient future taxable profits.

5. The Company has not received intimations from vendors regarding their status under the Micro, Small and Medium enterprises development Act, 2006, and hence disclosure relating to amount unpaid at the year end together with interest paid/payable under this act could not be given.

6. The balances of all personal accounts, viz. creditors, loans, advances and deposits are subject to confirmations and reconciliation, if any.

7. Contingent liabilities : Nil ( Previous Yr : Nil )

8. The Company is in search of suitable candidate to be appointed as whole-time secretary in order to comply with sec. 383A of the Companies Act, 1956.

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

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Mar 31, 2012

1 Corporate information :

Rajlaxmi Industries Limited is a public limited company domiciled in India and incorporated under the provisions of the Companies Act, 1956. Its shares are listed on Bombay Stock Exchange. The Company is engaged in the business of trading of cloth and Fabrics.

2 Basis of Preparation :

The Financial statements of the Company have been prepared in accordance with generally accepted accounting principles in India (Indian GAAP). The Company has prepared these financial statements to comply in all material aspects with the accounting standards notified under the Companies (Accounting Standards) Rules, 2006, (as amended) and the relevant provisions of the Companies Act, 1956. The financial statements have been prepared on an accrual basis and under the historical cost convention. The accounting policies adopted in the preparation of the financial statements are consistent with those of previous year.

a Terms/Rights attached to equity shares

The Company has only one class of equity shares having par value of Rs 10/- each. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividend 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.

In the event of liquidation of the Company, the holders of the 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.

3 Segment Reporting :

The Company is engaged only in one activity viz. trading of cloth & fabrics, hence in our opinion the financial statements are disclosing the information as required by Accounting standards 17.

4 Provision for deferred taxation as per Accounting standard 22, Rs Nil(Previous year NIL)

5 The Company has not received intimations from vendors regarding their status under the Micro, Small and Medium enterprises development Act, 2006, and hence disclosure relating to amount unpaid at the year end together with interest paid/payable under this act could not be given.

6 The balances of all personal accounts, viz. debtors, creditors, loans, advances and deposits are subject to confirmations and reconciliation, if any.

7 Contingent liabilities:

(i) Liability in respect of disputed Central Excise duty amounting to Rs. Nil (Previous year: Rs.18,18,606/-)

(ii) Liabilities in respect of dispute of Sales tax demand amounting to Rs.Nil (Previous year: Rs.1,39,04,344/-)

(iii) Liabilities in respect of dispute raised by Directors of Industries in respect of demand against special capital incentive & sales tax exemption scheme having amounted Rs. Nil (Previous year: Rs.1,60,39,400/-)

8 The Revised Schedule VI has become effective from 1st April, 2011 for the preparation of the financial statements. This has significantly impacted the 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.

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Mar 31, 2010

1) Contingent Liabilities :

a) Liability in respect of disputed C. Excise duty amounting to Rs.1818606/-- (previous Year Rs 1818606/-)

2) The balances on all personal accounts viz. debtors, creditors, loans, advances and deposits are subject to confirmations and reconciliation, if any

3) Provisions for Taxation –Rs. 36,000/- (Previous Year Rs. 25,00,000/-)

4) Provision for deferred Taxation as per Accounting Standard 22 Rs. Nil. (Previous year Nil)

5) The Company has not received intimations from vendors regarding their status under the Micro, Small and Medium enterprises development Act, 2006. and hence disclosure relating to amount unpaid at the year end together with interest paid /payable under this act could not be given.

6) Quantitative information in respect of Opening Stock, Closing Stock, Purchases, Sales and Consumption of Raw Material, (As certified by the Management.)

7) SEGMENT REPORTING (AS 17)

During the year the Company is engaged only in one activity viz. trading of cloth, hence in our opinion the financial statements are disclosing the information as required by Accounting Standards 17.

8) Previous years figures have been re-grouped, re-arranged, wherever necessary to make it comparable with those of the previous year.

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Mar 31, 2009

1) Contingent Liabilities :

a) Liability in respect of disputed. Excise duty amounting to Rs. 1818606/— (previous Year Rs 1818606/-)

b) Liability in respect of claim not acknowledged as debt Rs. Nil- (Previous Year Rs. 799700/-)

2) The balances on all personal accounts viz. debtors, creditors, loans, advances and deposits are subject to confirmations and reconciliation, if any

3) Provisions for Taxation -Rs. 25,00,000/- (Previous Year Rs. Nil-)

4) Provision for deferred Taxation as per Accounting Standard 22 Rs. Nil.

5) The Company has not received intimations from vendors regarding their status under the Micro, Small and Medium enterprises development Act, 2006. and hence disclosure relating to amount unpaid at the year end together with interest paid /payable under this act could not be given.

6) Quantitative information in respect of Opening Stock, Closing Stock, Purchases, Sales and Consumption of Raw Material, (As certified by the Management.)

7) During the year the Company is engaged only in one activity viz. trading of cloth, hence in our opinion the financial statements are disclosing the information as required by Accounting Standards 17.

8. Previous years figures have been re-grouped, re-arranged, wherever necessary to make it comparable with those of the previous year.