Note on the business activity i operations of the Company:- Manufacturing of chemical processing equipments like heat exchangers, air drying plants etc. and its Registered place of business is aurus Chambers, B Wing, Plat No. 701, S.S. Amrutwar Margh, Worli, Mumbai-400013.

Contingent liabilities are disclosed in the Notes.

Provisions and contingencies

Contingent Liabilities not provided in respect of:

a) Claim against the company not acknowledged as debt Rs.3,18,811/- towards Bombay Sales Tax. Central Sales Tax Assessment dues.

b) No Provision has been made for the present liabilities for future payment of gratuity. Valuation of gratuity not done for the current financial year, the same will be accounted as and when paid

c) Arrears of dividend on 9.5% Redeemable Cumulative Preference Shares of Rs. 100/- each. Rs. 15,20,000/- has neither been paid nor provided.

d) Balance due to/ due from various parties are subject to confirmation.

e) interest on unsecured loan has not been provided as Directors are pursuing with unsecured loan creditors to waive the interest

f) The company do not have any information with regard to creditors whether they possesses any S.S.I. units

g) As per the term and conditions, the company was to redeem the Redeemable Preference shares at par after 12 years, that is in the year 1985-86 subject to three month notice, but not later than 15 years from the date of allotment that is 27.09.1973 but the company has not redeemed the same so far. As the maturity period of same shares is over, the company is liable to pay dividend on these shares @9.5% p.a., that is Rs.95,000/-p.a. and aggregating to Rs.23,50,000/- liable to be paid to the shareholders of those shares, however,Rs.23,50,000/- has not been provided in the balance sheet. Hence the debit balance of profit & loss account as appearing in the balance sheet would have been higher to the extent of Rs.23,50,000/-and the loss for the current year would have been higher to the same extent.