అకౌంట్స్ గమనికలుMesco Pharmaceuticals Ltd.

Mar 31, 1997

1. Equity capital

i. Out of total issue of 67,90,000 Zero Percent Fully Convertible Debentures (FCDs) of Rs. 80/- each. Issuance of 24,700 FCD's were kept in abeyance as advised by U.P. Stock Exchange Association Limited, Kanpur and consequently both parts A & B of 24,700 FCD's are not issued and converted into the equity shares by the Company.

ii. 67,65,300 Equity Shares of Rs. 10/- each were allotted consequent to conversion of part B of 67,65,300 Zero Percent Fully Convertible Debentures on 19.08.1996.

2. Secured Loan i. a) Debentures referred in (a) are 16% Secured Redeemable Non Convertible Debentures of Rs. 100 each redeemable at a premium of 5% of the face value of Debentures between 4th, 5th & 6th year from the date subscription in equal instalments. Redemption will commence from March, 1999.

b) The Debentures will be secured by way of first charge, in favour of trustees for the debenfureholders, on all immovable properties of the Company, present and future, wherever situated. c) The Debentures are also to be secured by first charge on all movables (save and except book debts) including movable machinery, machinery spares tools and accessories, present and future, subject to prior charges created and/or to be created in favour of bankers on the stocks of raw materials, semi-finished, finished goods and consumable Stores for working capital.

d) Working capital loans from banks are secured against hypothecation of present and future stock of raw materials, stock in process, finished goods and book debts.

3. FOREIGN CURRENCY TRANSACTIONS Realised gains and looses on foreign exchange transactions are recognised in Profit & Loss Account.

4. Figures of Russian operations for the year ending 31-12-1996 have been duly consolidated in the Accounts at the rate of exchange as obtained and certified by the Management in the similar manner as in preceeding years.

5. Consequent to Income-tax search in the premises of the Company, the Income Tax Department has seized various books, documents and records therefore, it could not be possible to reconcile certain Accounts.

6. Previous year figures have been regrouped/recasted wherever necessary.

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Mar 31, 1996

Information not available

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Mar 31, 1995

SECURED LOANS :

1. a) Debentures referred in (a) are 16% Secured Redeemable Non Convertible Debentures of Rs.100 each redeemable at a premium of 5% of the face value of debentures between 4th, 5th & 6th year from the date of subscription in equal instalments. Redemption will commence from March, 1999.

b) The debentures will be secured by way of first charge in favour of trustees for the debentureholders on all the immovable properties of the Company, present and future, wherever situated.

c) Above debentures are also to be secured by first charge on all movables (save and except books debts) including movable machinery, machinery spares tools and accessories, present and future, subject to prior charges created and/or to be created in favour of bankers on the stocks of raw materials, semi-finished, finished goods and consumable stores for working capital.

d) The mortgage and charge at (a), (b) & (c) mentioned above shall rank pari-passu with mortgage and charge created/to be created in favour of debentureholders and other financial institutions and banks for their existing rupee loans, foreign currency loans, deferred payment guarantee and proposed NCDs.

2. Working capital loans from banks are secured against hypothecation of present and future stock of raw materials, stock in precess, finished goods, book debts.

3. Bridge loan is secured against rights issue proceeds.

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Mar 31, 1994

INFORMATION NOT AVAILABLE