| 1) Contingent Liabilties and Commitments (to the extent not provided
for)
(i) Contingent Liabilties
(a) Claims against the Company not
acknowledged as debt - -
(b) Guarantees 126,441,959.50 117,909,090.00
(c) other money for which the
company is contingently liable
-Disputed demands in respect
of income tax etc 6,495,838.00 3,431,492.00
(interest thereon not ascertainable
at present)
-amount of Letter of Credits for
which Bills are not accepted under LC 23,664,393.00 -
The Company donot expect any reimbursement in respect of the above
contingent liabilities.
The amount shown in (b) above represents bank guarantees given in the
normal course of the company operations and are not expected to result
in any loss to company on basis of beneficiary fulfilling its ordinary
commercial obligations.
The amount shown in (c) above represent the best possible estimates
arrived at on the basis of available information. Uncertainties and
possible reimbursements are dependent on the outcome of different legal
processes which have been invoked by the company or the claimants as
the case may be and therefore cannot be estimated accurately .The
company engages reputed professional advisor to protect its interests
and has been advised that it has strong legal positions against such
disputes.
2) the amount of dividends proposed to be distributed to Shareholders
for the period - -
-related amount per share - -
The Company do not have any preference shareholders
3) In the opinion of the Board, all of the assets other than fixed
assets and non-current investments have a value on realization in the
ordinary course of business at least equal to the amount at which they
are stated
4) Disclosures pursuant to Accounting Standard-15 - "Employee
Benefits"
a) The Company has recognised ' 45,04,229.00 (Previous year '
39,17,816.80) in the statement of profit and loss account on account of
Employers Contribution to Pension / Provident Fund under Defined
Contribution Plan
b) Details of Defined Benefit Plan
The provision for gratuity is made as per the Payment of Gratuity Act,
1972 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.
5) Disclosures pursuant to Accounting Standard (AS) - 17 "Segment
Reporting"
a) Primary Segment Reporting by Business Segment
Company's primary business segments are
(i) Manufacture in Textiles - The textile business incorporates the
product group namely Dyeing & Processing of Knitted Fabrics and
Processing / Knitting of Yarn and Manufacture of Knitted Fabric which
mainly have similar risks and returns.
(li) Manufacturer of Construction & Engineering Division - The
Construction & Engingeering Division (C&E) business incorporates the
product group namely: Pre Fabricated Steel Building in CKD Condition,
Tabular Steel Poles, Structure and Super Structure for mining, Drop
Rods, Angles, Shapes and Section, which mainly have similar risks and
returns.
b) Secondary Segment Reporting (By Geographical Segments)
6) Disclosures pursuant to Accounting Standard (AS) - 28 "Impairment
of Assets"
The company has reviewed the possibility of impairment of the fixed
assets of company in term of the accounting standard AS - 28
"Impairment of assets" as at balance sheet date and is of the
opinion that no such provision for impairment is required.
7) Disclosures pursuant to Accounting Standard (AS) - 19 "Leases"
The company has taken various premises under cancelable operating
lease. All the lease arrangements are for a period of less than or
equal to 11 months. These lease Agreements are normally renewed on
expiry of the terms. Lease rental expenses for 2014-15 in respect of
above operating leases are Rs.6,46,815.00 (Previous year Rs.56,50,466.00)
8) Insurance Claims
During the year, the company accounted Rs.17,89,758.00 (Previous year Rs.
10,37,283.00) as claims receivable from insurance company towards the
expenditure incurred (in excess of deductibles) on damage repairs up to
31st March 2014 to a company's assets
9) Rs.6,22,63,000.00 (Previous Year Nil) has been included in Gross
Revenue of 2014-15 for which material has been supplied to BSWC, for
which final bills are pending to be raised, but the collection for the
same has been realized.
10) Balances of Trade Receivable, Trade Payable & Advances are subject
to confirmation and consequential adjustment, if any.
11) The previous year's figures have been reworked, rearranged and
reclassified wherever necessary. Amounts and other disclosures for the
preceding year are included as an integral part of the current year
financial statements and are to be read in relation to the amounts and
other disclosures relating to the current year
12) Significant accounting policies and practices adopted by the
Company are disclosed in the statement annexed to these financial
statements as Annexure-1
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