2) Contingent Liabilities not provided for :

a. Documentary bills submitted to banks for discounting / advances amounting to Rs. 1,97,53,178/- (P.Y. Rs. 1,97,53,178/-)

b. Liabilities against labour cases filed against the Company is meager and therefore, not ascertainable.

c. Company does not have any contingent liability towards Income tax dues (P.Y. NIL ). However we are informed that income tax department has gone in appeals in High Court against the order from ITAT in favor of the company.

d. Custom Duty appeals against demand of Rs.64.24 lacs on various imports are going on with Custom Authorities.

3) Share Capital:

Share Capital includes:

a) 18,00,000 equity shares of Rs. 10/- each fully paid up issued as Bonus Equity Shares by capitalization of the General Reserve.

b) 35,50,000 equity shares of Rs. 10/- each fully paid up issued as Bonus Equity Shares by capitalization of the Share Premium; and

c) 52,00,000 equity shares of Rs. 10/- each fully paid up issued on preferential basis during the year 2000-01 at premium of Rs. 20/- per share.

d) 19,00,000 equity shares of Rs. 10/- each fully paid up issued on preferential basis during the year 2004-2005 at a premium of Rs. 70/- per share.

e) 8,50,000 equity shares of Rs. 10/- each fully paid up allotted during the year 2005-06 on conversion of Fully Convertible Debentures into equity shares.

f) 1,00,000 equity shares of Rs. 10/- each fully paid up allotted during the year 2005-06 on conversion of Share Warrants into equity shares.

g) 5,00,000 equity shares of Rs. 10/- each fully paid up were issued during the year 2008-09 at a premium of Rs. 30/ - per share as a purchase consideration for aquisition of Mimansa Jerwellery Private Ltd. as its 100% subsidiary.

4) Interest paid is net of interest received/accrued but not due of Rs. NIL (P.Y. NIL) on margin money kept with banks. Tax deducted at source Rs. NIL (P.Y. Rs. . NIL)

5) Sundry Debtors are net of Exchange Bill Re-Discount (EBRD) of Rs. 1,97,53,178/- (P.Y. Rs. 1,97,53,178/-)

6) Balances of sundry debtors, sundry creditors and loans and advances are subject to confirmation, reconciliation and consequential adjustment, if any.

7) The Company has sent letters to suppliers to confirm that whether they are covered under Micro, Small and Medium Enterprises Act, 2006 as well as they have filed required memorandum with the prescribed authorities. No confirmation has received till the date of finalization of the Balance Sheet and the same has been relied upon by the auditors. Hence disclosures, if any, relating to amounts unpaid as at the year end together with the interest paid / payable as required under the said Act has not been given.

8) The Company does not possess information as to which of its suppliers are Ancillary Industrial Undertakings / Small Scale Industrial Undertaking holding permanent registration certificate issued by the Directorate of Industries of a state or Union Territory:

a) The liability, if any, of interest which would be payable under the interest on delayed payments to Small Scale & Ancillary Industrial Undertaking Act, 1933 cannot be ascertained. However the company has not received any claim in respect of interest.

b) The outstanding to Small Scale Industrial Undertaking cannot be ascertained

c) The name of Small Scale Industrial Undertaking to whom the Company owes a sum exceeding Rs. 1 lacs which is outstanding for more than 30 days cannot be ascertained.

9) EMPLOYEE BENEFITS

The Company has during the year adopted Accounting Standard 15(revised 2005) "Employee Benefits". The Company has classified various employee benefits as under:

(A) Defined contribution plans

a. Provident fund

b. State defined contribution plans

-Employers' Contribution to Employees' State Insurance -Employers' Contribution to Maharashtra Labour Welfare Fund

The provident fund and the employees state insurance are operated by the Regional Provident Fund Commissioner and Maharashtra Labour Welfare Fund is operated by Commissioner of Maharashtra Labour Welfare Board. Under the schemes, the Company is required to contribute a specified percentage of payroll cost to the retirement benefit schemes to fund the benefits. These funds are recognized by the Income tax authorities.

10) SEGMENT REPORTING:

The Company is in the business of manufacturing and export of gem studded jewellery. In view of the management, and based on the internal reporting format, the Companyƒ_Ts primary and only format for reporting segment information is geographical segment, that are based on the location of customers.

11) RELATED PARTY DISCLOSURES:

1. List of Related Parties with whom transactions have taken place during the year:

a) Key Management Personnel:

Surendra Kumar Sethi - Chairman and Joint Managing Director

Varij Sethi           - Managing Director

Shrance Sethi         - Director

Jyoti Sethi           - Wife of Varij Sethi

Ritu Sethi            - Daughter of S. K. Sethi

Nalin Sethi           - Brother of S. K. Sethi

Kala Shah             - Mother In Law of Varij Sethi

c) Subsidiaries: d) Promoter :

S B & T Holding Limited S.B. & T Gems Import Inc.

S B & T Designs Limited Mimanssa Jewellery (P) Ltd.

e) Others:

Sethi Mercantile Private Limited   Company in which directors are
                                   interested

Arup Builders Developers (P) Ltd.  Company in which directors are
                                   interested

Swel Jewels                        Company in which relative of 
                                   directors are partners

13) Schedule of information and particulars as required by the paragraphs 3, 4C and 4D of Part II of Schedule VI to the Companies Act, 1956 as certified by the Directors and annexed to the Profit and Loss Account for the year ended 31st March, 2014 (Figures in the brackets indicate previous year figures)

14) Figures of the previous year have been regrouped, rearranged and recast and shown to the nearest rupee to make them comparable with figures of this year.