a) Term Loan from Indian Overseas Bank is secured by exclusive 1st charge on entire plant and machinery and other moveable fixed assets of the Company and equated mortgage of land and building of Nalagarh unit and 2nd pari passu charge on all the current assets of the Company both present & future and is repayable in 60 monthly installments of Rs. 11.70 lacs each starting from 30th June, 2011 (increased to Rs. 12.39 lacs from November, 2011) and 52 monthly installment of Rs.11.73 lacs each starting from February, 2012. The Interest rate ranges from 13.35% to 15.25% p.a.

b) Vehicle Loan is secured by hypothecation of vehicles and are repayable in 60 monthly installments of Rs 0.77 lac starting from April 2012 and 60 monthly installments of Rs 0.53 lac starting from May 2012. The interest rate is 10.75% p.a. on the said vehicle loan.

c) Current maturities of above loans have been shown under note 10

a) The development grant is for financial support from 'Department of Scientific & Industrial Research' (DSIR) for design and development of 'Biological Toilet System' (BTS) (Product) under TDDP release and to be utilized for equipments and other related parts for the said project. In terms of agreement with DSIR, the Company is required to pay annual royalty in lump sum @26% of the grant so received to National Research Development Corporation (NRDC) on behalf of DSIR for a period of five years from the start of commercial sale of the product. Accordingly Rs 70.74 lacs ( Previous Year : Rs nil) has been transferred during the year to other current liabilities.

b) In respect of demand for increase in rentals amounting to Rs. 228.97 lacs (Previous year Rs 228.97 lacs) on leasehold land from Kolkata Port Trust in the earlier years, consequent to Special Leave Petition before Hon'ble Supreme Court filed against the same, the matter has been referred back to the Hon'ble Calcutta High Court for a fresh decision on merit. Pending decision of the Court, even though total amount of the demand as on this date is presently not ascertainable, payments are being made as per the directions of the court and charged to the revenue. This along with the provision of Rs. 94.47 lacs made there against in earlier years has been considered adequate by the management. Adjustments required in this respect will be given effect to as finally determined.

a) Cash Credit from Banks are secured by way of Hypothecation of stocks and book debts and are further secured by way of a second charge on the moveable fixed assets at Kolkata unit of the Company on a pari passu basis.

a) Trade payables includes amounts due to related party Rs. 16.02 lacs (Previous year Rs. 10.47 lacs)

b) Necessary information from the suppliers in respect of Micro and Small Enterprise covered under Micro, Small and Medium Enterprise Development Act, 2006 were not available and as such the disclosures as required as per Section 22 of the said Act and of amount payable to these enterprises as required in terms of Schedule III to the Companies Act , 2013 could not be ascertained and given in these accounts.

a) Other liabilities include unbilled services, expenses etc

b) The Company has made full provision for dues to the ESI authorities arising out of the ESI Central - 2nd Amendment Rules, 1996 which has not been deposited with the ESI authorities because of a stay order issued by the Hon'ble Calcutta High Court on 25 April, 1997. Pending final decision and determination of liability in this respect, Rs 51.96 lacs has been provided and included under Other Liabilities.

a The Deed of Conveyance /Registration relating to building at Gopalpur, Orissa is in the process of being executed by the Company and the stamp duty payable in respect thereof will be accounted for on assessment. However , the said property is in the possession of the Company.

b Freehold land & building includes flat at New Delhi (Gross Value Rs 94.99, WDV as at 31-March-16 and 31-March-15: Rs 73.02 lacs and Rs. 74.75 lacs, respectively) in which the Company has one-third ownership share and is in the Company's joint possession.

c Furniture, fittings and Electrical installations includes computer & computer peripherals.

d Depreciation on Fixed Assets has been provided on straight line method from the date these are put to use at the rates specified as under:

* Items below Rs. 0.05 each have been depreciated @ 100%.

e Carrying value of Fixed Assets of the colour monitor unit at Kustia Road being affected due to obsolescence was considered for impairment as on 01-April-04 and Rs. 241 lacs equivalent to the entire book value of the fixed assets was considered as an impairment loss in the said financial year.

f Certain Plant & Machinery and Land & Building of the Company as on 31-January-01 and l-January-07 was revalued by the approved value on Net Replacement Cost basis and Fair Value basis respectively and increase in value by Rs . 4249.65 lacs arising there from was added to the Gross Block of the respective year.

g Depreciation has been provided at the rates (Para 4 above) and as per the policy (Note 1(d)) followed in this respect in the previous year. The Company is in the process of evaluating the useful life of the fixed assets and classification thereof as per Schedule II of the Companies Act, 2013. Impact in this respect will be ascertained and given effect to on completion of the process.

a) Net worth in respect of Stone Biotech (P) Ltd., a subsidiary of the Company, even though has become negative, considering long term involvement therein, no adjustments in the value of investment of the Company amounting to Rs.21 lacs in the said subsidiary has been considered necessary.

b) Particulars of investments as required in terms of Section 186(4) of the Companies Act, 2013 , have been disclosed as above.

a) Capital advance include Rs. 80.55 lacs being payment for technical Knowhow, pending implementation thereof and settlement with party and consequential adjustments arising in this respect.

b) Rs 208.14 lacs paid for technical knowhow, for "Rail Runner" project has also been shown as capital advance.

c) Advance to related parties include Rs.1006.99 lacs (Previous Year Rs. 1006.99 lacs) recoverable from Stone Intermodal Private Limited (SIPL) (a subsidiary) being administrative and other costs allocated and payment for knowhow etc. for "Rail Runner Project" which was under implementation by the said subsidiary and investment includes Rs 1.00 lac (Previous Year Rs 1.00 lac) in the said subsidiary. Considering the Company's long term involvement with SIPL and further course of action under consideration, the Company's exposure therein has been considered good and recoverable.

a) Work-in-Progress which relates to railway products is arrived at after conversion of stocks at various stages of completion to equivalent completed production hours and have been valued at normal labour hour rates and allocated overheads apart from the material cost.

b) The valuation of both finished stock and work-in-progress includes allocable production overheads. The production overhead has been allocated on actual/pro-rata basis based on Management estimates of their direct or indirect linkage with production. As conversion to equivalent completed production hours and allocation as above is based on management's technical estimates, the auditors have relied upon the same.

c) Reconciliation of inventories lying at different locations including with third parties amounting to Rs.285.81 lacs even though carried out to certain extent were yet to be completed at the year end. Rs 397.23 lacs out of the provision made in earlier years has been considered adequate and therefore continued in this year.

a) Due date of 30 days have been considered as the general term for all receivables.

b) Trade receivables outstanding for a period exceeding six months includes Rs 372 lacs which are lying unpaid due to various deductions and rejections by the customers. Pending outcome of the steps taken for recovery, has been considered good and recoverable.

a) During earlier years, the Company was liable to pay Minimum Alternate Tax (MAT) under Sec 115JB of the Income Tax Act, 1961 (the Act) and the amount paid as MAT is allowed to be carried forward for being set-off against the future tax liabilities to the extent credit will be available in terms of the relevant provisions of the Act. Accordingly, as advised in guidance note on "Accounting for credit available in respect of minimum alternate tax under the Income Tax Act, 1961" issued by the Institute of Chartered Accountants of India, Rs 86.47 lacs (Previous Year : Rs 86.47 lacs) being the credit available has been carried forward as MAT Credit Entitlement.

b) Other Loans and Advances include Rs104.36 lacs which are under investigation concerning defalcation of Company's fund. Pending completion of reconciliation and other proceedings and determination of amount recoverable there against, steps are being taken for recovery in this regard.

a) Remuneration paid/payable to Ex-managing Director amounting to Rs.231.19 lacs (including Rs. Nil for the year (Previous year Rs.44.44 lacs) and current Managing Director amounting to Rs 37.35 lacs (including Rs.17.68 lacs for the year (Previous year Rs.19.67)) are subject to approval from Central Government.

30) Certain debit and credit balances including accounts receivables, trade and other payables, deposits with banks and other deposits are subject to confirmation and reconciliation. Adjustments required with respect to these will be carried out on ascertainment of amounts thereof.

* including 6,800 shares on equivalent basis 32) Related Party Disclosures as per AS-18 (A) Name of the Related Parties

a) Subsidiary Companies Stone Intermodal Private Limited

Stone Biotech Private Limited

b) Associates Odyssey Travels Limited

Sewand Investments Pvt. Ltd Julex Commercial Co Ltd ISG Traders Limited Duncans Industries Limited

c) Key Management Personnel (KMP) Mr. Debhasis Chakravarty, Managing Director ( from 1-Dec-14)

Mr. Amitava Mondal, Managing Director (upto 22-Nov-14)

Notes:

i) In respect of above parties, there is no provision for doubtful debts as on 31st March 2016 and no amount has been written off or written back during the year in respect of debts due from/to them.

ii) The above Related Parties information is as identified by the Management and relied upon by the auditors.

iii) Figures given in bracket represents previous year figures

Additional Information :

The Company has disclosed Business Segment as the primary segment. Segments have been identified taking into account the nature of the products, the differing risks and returns, the organizational structure and internal reporting system. Types of products and Services in each business segment:

Railway product and services: comprising of manufacturing, selling and all other activities incidental thereto Biotoilets: comprising of manufacturing, servicing and maintenance thereof

b) Secondary Segment Information

The Company's operations are mainly confined within India and therefore the analysis of geographical segment is demarcated into its Indian and overseas operation as under:

1) Employee Benefits:

i) The disclosures required under Accounting Standard 15 "Employee Benefits" notified in the Companies (Accounting Standards) Rules, 2006, are given below :

a) Defined Contribution Scheme :

Contribution to Defined Contribution Plan , recognized for the year are as under :

Employer's Contribution to Provident Fund- Rs. 42.28 lacs (Previous Year Rs. 45.25 lacs)

Employer's Contribution to Pension Fund - Rs. 46.59 lacs ( Previous Year Rs. 35.65 lacs)

Employer's Contribution to Superannuation Fund- Rs. 5.12 lacs (Previous year Rs. 8.82 lacs)

Contribution towards Employees provident fund to company's own trust including shortfall with respect to interest on investments and that payable to employees, pending actuarial determination has fully been provided for in the accounts.

b) Defined Benefit Plan :

The employee's gratuity fund scheme is a defined benefit plan. The present value of obligation is determined based on actuarial valuation using the Projected Unit Credit Method, which recognizes each period of service as giving rise to additional unit of employee benefit entitlement and measures each unit separately to build up the final obligation. The obligation for Leave Encashment is recognized in the same manner as gratuity.

Other disclosures required under Accounting Standard 15 'Employee Benefits' notified under Company's (Accounting “Standards) Rules 2006 are given below

2) Other Input cost and Service comprising of custom duty , warehousing and other expenses are direct cost incurred in respect of metro rail project. Revenue against the said project has been recognized under proportionate completion method which being based on management estimate of the total cost and technical in nature , reliance has been placed by the auditors in this respect .The revenue so recognized in excess of invoices raised as per the terms of contract has been shown as unbilled revenue