ACCOMPANYING NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31st MARCH, 2015  

Note 1 : Significant Accounting Policies

A Basis of Preparation of Financial Statements :

The Financial Statements have been brpared in accordance with Indian Generally Accepted Accounting Principles (GAAP) under the historical cost convention on the accrual basis and in compliance with all the mandatory accounting standards as brscribed under Section 133 of the Act read with rule 7 of the Companies (Accounts) Rules, 2014

Company follows mercantile system of accounting and recognizes Income & Expenditure on accrual basis to the extent measurable and where there is certainty of ultimate realization in respect of incomes.

B Use of Estimates:

The brparation of financial statements are in conformity with generally accepted accounting principles which requires estimates and assumptions to be made that affect the reported amount of assets and liabilities on the date of the financial statements and reported amounts of revenues and expenses during the reporting period. Differences between actual and estimated results are recognized in the period in which the results are materialized.

C Revenue Recognition

i) Profit or Loss from dealing in shares and securities are recognized on settlement dates.

ii) Interest is recognised on a time proportion basis taking in to account the amount outstanding and the rate applicable.

ii) Dividend on shares is being considered when the right to receive payment is established.

iii) In respect of other heads of income, the Company follows the practice of accounting on accrual basis.

D Fixed Assets:

Fixed Assets are stated at cost of acquisition less accumulated debrciation. The cost of acquisition comprises the purchase price and any other attributable cost of bringing the asset to its working condition for its intended use.

E Debrciation:

i) Debrciation on Fixed Assets is provided on 'Straight Line Method' considering their useful lives and residual value as provided in Schedule II of the Act.

ii) Debrciation on revalued assets to the extent of revaluation is charged from Revaluation Reserve.

F Impairment of Fixed Assets:

At the end of each year, the Company determines whether a provision should be made for impairment loss on fixed assets by considering the indication that an impairment loss may have occurred in accordance with Accounting Standard 28 on "Impairment of Assets". Where the recoverable amount of any fixed assets is lower than its carrying amount, a provision for impairment loss on fixed assets is made for the difference.

ACCOMPANYING NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31st MARCH, 2015  

G Investments:

Investments that are intended to be held for more than a year, from the date of acquisition, are classified as long term investment and are carried at cost less any provision for permanent diminution in value. Investments other than long term investments being current investments are valued at cost or fair value whichever is lower.

H Accounting for Taxes of Income: Current Taxes

Provision for current income-tax is recognized in accordance with the provisions of Indian Income-tax Act, 1961 and is made annually based on the tax liability after taking credit for tax allowances and exemptions.

Deferred Taxes

Deferred tax assets and liabilities are recognized for the future tax consequences attributable to timing differences that result between the profits offered for income taxes and the profits as per the financial statements. Deferred tax assets and liabilities are measured using the tax rates and the tax laws that have been enacted or substantially enacted at the balance sheet date. Deferred tax Assets are recognized only to the extent there is reasonable certainty that the assets can be realized in the future. Deferred Tax Assets are reviewed as at each Balance Sheet date.

I Provisions and Contingent Liabilities:

i) Contingent Liabilities in respect of show cause notices received are considered only when they are converted into demands. Payments in respect of such demands, if any, are shown as advances.

ii) Contingent Liabilities under various fiscal laws includes those in respect of which the Company/department is in appeal.

iii) Contingent Liabilities if any, are disclosed by way of notes.

J Prior Period Items:

Material amount of Income and Expenditure pertaining to prior years are disclosed separately.

K Employee Benefits:

Retirement benefits in the form of Gratuity are considered as defined benefit obligations and are provided on the basis of the actuarial valuation, using the projected unit credit method as at the date of the Balance Sheet.

L Inventories:

Stock of shares and securities is valued at lower of cost or market value.

H) Company has transferred an amount of Rs. 34,99,350/- (P.Y. Rs. 46,96,002/-) equivalent to 20% of the Profits after Tax of the Company to a Special Reserve Account in compliance with Section 45IC of  the Reserve Bank of India Act.

I) Effective from 1st April, 2014, the Company has charged debrciation on its assets base on their useful life as stipulated under Schedule II of the Companies Act,2013. Due to this, the debrciation for the year ended on 31st March, 2015 is higher by Rs. 51,154 as compared to the debrciation computed under provisions of the Companies Act, 1956.

J) The brvious year's figures have been re-grouped / re-classified to conform to this year's classification.

In terms of our Report of even date

For Khurdia Jain & Co.

Chartered Accountants

Sampat Khurdia

Partner

Mem. No. 33615

For and on behalf of the Board of Directors

Sunil Goyal

Managing Director DIN:00503570

Manoj Singrodia

Director

DIN: 01501529

Sanket Limbachiya

Company Secretary Mem. No. A38424

Place : Mumbai

Date : 29th May, 2015