Accounting Policies & Notes to Accounts

1.Significant Accounting Policies:

Basis of brparation of Financial Statements:

i)These accounts have been brpared under the historical cost convention and on the basis of going concern. All expenses and income to the extent considered payable and receivable respectively, unless stated otherwise, have been accounted for on mercantile basis.

ii)Fixed Assets:

Fixed Assets are stated at cost less accumulated debrciation. The cost of acquisition comprises purchase price inclusive of duties (Net of Cenvat), taxes, incidental expenses, erection/ commissioning etc. upto the date the assets are put to use.

Land & Buildings & Electric Installation on Tenanted property were not in use since 01.02.2013 but in the opinion of the Management the debrciation value as on 31.3.13 was realizable from Landlord. However , now on the basis of correspondence with the landlord it seems the amount is non recoverable hence, has been written off in the books of accounts.

iii)Debrciation:

(a)Debrciation on Fixed Assets is provided on straight line method at rates as specified in Schedule XIV to the Companies Act, 1956.

(b)Debrciation on Fixed Assets added/disposed off during the period is provided on prorata basis with reference to the date of addition/ disposal.

iv)Inventories:

Finished goods are valued at cost or net realizable value whichever is lower.

v)Taxes on Income:

Deferred Taxes: The Company has unabsorbed carry forward losses/ debrciation available for set-off under the Income Tax Act, 1961. However, in view of brsent un-certainty regarding generation of sufficient future income, net deferred tax assets at the year end including related credits / charge for the year have not been recognized in these accounts on prudent basis.

vi)Revenue recognition:

Revenue is recognized of the extent it is probable that the economic benefits will flow to the Company & the revenue can be reliably measured. Interest Income is recognized on a time proportionate basis taking into account the amount outstanding & the rate applicable.

2.We have recorded all known liabilities in the financial statements. The company has not received any intimation from 'suppliers' regarding their status under the Micro Small and Medium Enterprises Development Act, 2006 and hence disclosures, if any, relating to amounts unpaid as at the year end together with interest paid / payable as required under this Act have not been given.

3.The Income Tax Assessments of the Company have been completed up to Assessment year 2011-12. The assessed tax liability exceeds the provision made, by Rs. 24 Lakhs (Approx.) as on 31st March, 2015. The Company has been legally advised that the additional demand raised is likely to be either deleted or substantially reduced and accordingly no provision is considered necessary.

Figures of the Previous year have been regrouped / rearranged wherever necessary. All amounts have been rounded off to nearest rupees. In term of our report of even date annexed herewith.

For MALOO & COMPANY

Chartered Accountants

J.L.M aloo

(Partner) Membership No. 300/17649

For & on behalf of the Board

J. Tiwari (DIN 00228352) (Director)

D. K. Kalwani (DIN 03363450) (Whole Time Director)

Neha Jain(Chief Financial Officer)  

Dated : 30th day of May, 2015

Place : Kolkata