| - These financial statements have been prepared in accordance with the
requirements of Schedule III the Companies Act 2013 as amended. As
required by the Act:
- balance is attempted to be maintained between providing excessive
detail that may not assist users of financial statements and not
providing important information as a result of too much aggregation o
the figures appearing in the Financial Statements have been rounded off
to the rupee
- Line items, sub-line items and subtotals have been presented as an
addition or substitution on the face of the Financial Statements when
such presentation is relevant to an understanding of the company's
financial position or performance or to cater to industry/ sector
specific disclosure requirements or when required for compliance with
the amendments to the Companies Act or under the Accounting Standards
- The company has complied with the prudential norms relating to income
recognition, accounting standards, asset classification and
provisioning for bad and doubtful debts as applicable to it in terms of
Non-Systemically Important Non-Banking Financial (Non-Deposit Accepting
or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2015
- The financial statements have been prepared in line with generally
accepted accounting principles in India under the historical cost
convention on accrual basis. These financial statements have been
prepared to comply in all material aspects with the Accounting
Standard(AS) notified form time to time and depending on the
applicability
- AS1 - Disclosure of Accounting Policies
- The company follows the fundamental accounting assumptions of Going
Concern, Consistency and Accrual o There are no change in the
accounting policies which has a material effect in the current period
or which is reasonably expected to have a material effect in later
periods should be disclosed
- Depreciation, depletion and amortization
- The company does not have any fixed assets
- Treatment of expenditure during construction
- The company is not into construction activity
- Conversion or translation of foreign currency items
- The company does not deal in any foreign currency transactions
- Valuation of inventories
- the company does not have any inventories
- Treatment of goodwill
- there is no goodwill accounted for in the books of the
company
- Recognition of profit on long-term contracts
- Not applicable on the company
- Valuation of fixed assets
- There are no fixed assets
- AS 1 - Revenue Recognition
- Revenues are recognized and expenses are accounted for on accrual
basis with necessary provisions for all known liabilities and losses.
Income from Non- Performing Assets is recognized only when it is
realized. Interest on deposits and loans is accounted for on the time
proportion basis after considering reasonable certainty that the
ultimate collection will be made. Dividend income is recognized when
right to receipts is established. Profit or loss on sale of securities
is accounted on settlement date basis.
- No revenue recognition has been postponed pending the resolution of
any uncertainties
- AS 2 -All investments in securities are current in nature in the
form of stock in trade. The carrying amount for current investments is
the lower of cost and market/ fair value. Investments are carried
individually at the lower of cost and fair value. Any reduction to fair
value and any reversals of such reductions are included in the profit
and loss statement.
- AS 3 - Accounting for Retirement Benefits - When any employee of the
Company is entitled to receive benefits under the provident fund/
Gratuity, the same is accounted for as and when paid.
- AS 4 - Segment Reporting - The Company has only one reportable
segment
- AS 5 on "Related Party Disclosures", the following details are
provided
1. No other elements of the related party transactions necessary for
an understanding of the financial statements
2. No amounts or appropriate proportions of outstanding items
pertaining to related parties at the balance sheet date and provisions
for doubtful debts due from such parties at that date
3. No amounts written off or written back in the period in respect of
debts due from or to related parties
- AS 6 Earnings Per Share - There are no potential equity shares.
Therefore the basic and diluted Earnings per share is the same
- AS 7 - Consolidated Financial Statements is not applicable since the
company is neither a holding company or a subsidiary company as on
31-Mar-2015
- AS 8 - Accounting for Taxes on Income - Income tax comprises the
current tax and net change in deferred tax assets, which are made in
accordance with the provisions as per the Income Tax Act, 1961.
Deferred Tax resulting from timing differences between accounting
income and taxable income for the period is accounted for using the tax
rates and laws that have been enacted or substantially enacted as at
the balance sheet date. The deferred tax asset is recognized and
carried forward only to the extent that there is reasonable certainty
that sufficient future taxable income will be available against which
such deferred tax asset can be realized.
- AS 9 - Impairment of Assets - The Company assesses at each balance
sheet date whether there is any indication that an assets may be
impaired. If any such indication exists, the Company estimates the
recoverable amount of the asset. If such recoverable amount of the
asset or recoverable amount of the cash generating unit to which the
assets belongs is less than the carrying amount, the carrying amount is
reduced to its recoverable amount. The reduction is treated as
impairment loss and is recognized in the profit and loss account. If at
the balance date there is an indication that if a previously assessed
impairment loss no longer exists, the recoverable amount is reassessed
and the assets is reflected at the recoverable amount.
- AS 10 - Provisions, Contingent Liabilities and Contingent Assets -
The Company recognizes a provision when there is a present obligation
as a result of a past event that probably requires an outflow of
resources and a reliable estimate can be made of the amount of the
obligation. A disclosure for a contingent liability is 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 that the likelihood of outflow of
resources is remote, no provision or disclosure is made. When any
employee of the Company is entitled to receive benefits under the
provident fund/ Gratuity, the same is accounted for as and when paid.
- The management has asked for confirmation from its suppliers
regarding their registration with competent authorities under Micro,
Small and Medium Enterprises Development Act, 2006 (MSMED). However, No
one has confirmed their registration under the Act. Accordingly no
further information is submitted in this regards. The Auditors have
relied on the said submission of the management. Details are therefore
Nil
- Preliminary expenses of Rs. 30.95 lakh have is being written off over
a period of five years from FY 2011-12 to FY 2015-16 at the rate of Rs.
6.19 lakh per year
|