అకౌంట్స్ గమనికలుSangam Health Care Products Ltd.

Mar 31, 2024

Provisions are recognized in the balance sheet when the company has a
present obligation (legal or constructive) as a result of a past event,
which is expected to result in an outflow of resources embodying
economic benefits which can be reliably estimated. Each provision is
based on the best estimate of the expenditure required to settle the
present obligation at the balance sheet. Where the time value of money is
material, provisions are made on a discounted basis.

Disclosure for Contingent liabilities is made when there is a possible
obligation or present obligation arising from past events, the existence of
which will be confirmed only by the occurrence or non-occurrence of one
or more uncertain future events not wholly within the control of the
company or a present obligation that arises from the past events where it
is either not probable that an outflow of resources embodying in
economic benefits will be required to settle or a reliable estimate of
amount cannot be made.

Disclosure for Contingent assets are made when there is possible asset
that arises from past events and whose existence will be confirmed only
by the occurrence or non-occurrence of one or more uncertain future
events not wholly within the control of the entity. However Contingent
assets are neither recognized nor disclosed in the financial statements.

2.21 Prior Period and Extraordinary and Exceptional Items:

(i) All Identifiable items of Income and Expenditure pertaining to prior
period are accounted through ‘’Prior Period Items’’.

(ii) Extraordinary items are income or expenses that arise from events
or transactions that are clearly distinct from the ordinary activities
of the enterprise and, therefore, are not expected to recur frequently
or regularly. The nature and the amount of each extraordinary item
be separately disclosed in the statement of profit and loss in a
manner that its impact on current profit or loss can be perceived.

(iii) Exceptional items are generally non-recurring items of income and
expenses within profit or loss from ordinary activities, which are of
such, nature or incidence.

2.22 Financial Instruments (Ind AS 107 Financial Instruments:
(Disclosures)

I. Financial assets:

A. Initial recognition and measurement

All financial assets and liabilities are initially recognized at fair value.
Transaction costs that are directly attributable to the acquisition or issue
of financial assets and financial liabilities, which are not at fair value
through profit or loss, are adjusted to the fair value on initial recognition.

B. Subsequent Measurement

a) Financial assets measured at amortized cost (AC)

A financial asset is measured at amortized cost if it is held within a
business model whose objective is to hold the asset in order to collect
contractual cash flows and the contractual terms of the financial asset
give rise on specified dates to cash flows that are solely payments of
principal and interest on the principal amount outstanding.

b) Financial assets at fair value through other comprehensive
income (FVTOCI)

A financial asset is measured at FVTOCI if it is held within a business model
whose Objective is achieved by both collecting contractual cash flows and
selling financial assets and the contractual terms of the financial asset give rise
on specified dates to cash flows that are solely payments of principal and
interest on the principal amount outstanding.

d) Financial assets measured at fair value through profit or loss (FVTPL)

A Financial asset which is not classified in any of above categories are
measured at FVTPL e.g. investments in mutual funds. Financial assets are
reclassified subsequent to their recognition, if the Company changes its
business model for managing those financial assets. Changes in business model
are made and applied prospectively from the reclassification date which is the
first day of immediately next reporting period following the changes in business
model in accordance with principles laid down under Ind AS 109 -Financial
Instruments.

II. Financial Liabilities

A. Initial recognition

All financial liabilities are recognized at fair value and in case of borrowings, net
of directly attributable cost. Fees of recurring nature are directly recognized in
the Statement of Profit and Loss as finance cost.

B. Subsequent measurement

Financial liabilities are carried at amortized cost using the effective interest
method. For trade and other payables maturing within one year from the
balance sheet date, the carrying amounts approximate fair value due to the
short maturity of these instruments

Operating segment is a component of an entity:

a. That engages in business activities from which it may earn revenues and incur
expenses (including revenues and expenses relating to transactions with other
components of the same entity).

b. Whose operating results are regularly reviewed by the entity’s chief operating
decision maker to make decision about resources to be allocated to the
segments and assess its performance, and

c. For which discrete financial information is available.

The Company is engaged in engaged manufacturing and trading of medical
products. As there are no separate reportable segments, Segment Reporting as
per Ind AS -108, “Operating Segments” is not applicable.

2.25 Events After the Reporting Period (Ind AS 10)

Events after the reporting period are those events, favorable and
unfavorable, that occur between the end of the reporting and the date
when the financial statements are approved by the Board of Directors in
case of a company, and, by the corresponding approving authority in case
of any other entity for issue. Two types of events can be identified:

Those that provide evidence of conditions that existed at the end of
reporting period (adjusting events after the reporting period);

Those that are indicative of conditions that arose after the reporting period (
non-adjusting events after the reporting period).

An entity shall adjust the amounts recognized in its financial statements to reflect
adjusting events after the reporting period.

As per the information provided and Books of Accounts no such events are
identified during the reporting period. Hence Ind AS 10 Events After the
Reporting Period is not applicable.

2.26 Construction Contracts (Ind AS 11)

Construction contract is a contract specifically negotiated for the construction
of an asset or a combination of assets that are closely interrelated or
interdependent in terms of their design, technology, and function or their
ultimate purpose or use.

The company is engaged manufacturing and trading of medical products,
hence Ind AS 11 “Construction Contract” is not applicable.

2.27 Income Taxes (Ind AS 12)

The Tax Expense for the period comprises of current and deferred tax.

• Current Tax:

Current Tax Assets and Liabilities are measured at the amount expected to
be recovered from or paid to the Income tax authorities, based on tax rates
and laws that are enacted at the Balance Sheet date.

• Deferred Tax:

Deferred tax liabilities are recognized for all timing differences. Deferred tax
assets are recognized for deductible timing differences only to the extent
that there is reasonable certainty that sufficient future taxable income will
be available against which such deferred tax assets can be realized. In
situations where the Company has unabsorbed depreciation or carry
forward tax losses, all deferred tax assets are recognized only if there is
virtual certainty supported by convincing evidence that they can be realized
against future taxable profits.

At each reporting date, the Company re-assesses unrecognized deferred tax
assets. It recognizes unrecognized deferred tax asset to the extent that it
has become reasonably certain or virtually certain, as the case may be, that
sufficient future taxable income will be available against which such
deferred tax assets can be realized.

The carrying amount of deferred tax assets are reviewed at each reporting
date. The Company writes-down the carrying amount of deferred tax asset
to the extent that it is no longer reasonably certain or virtually certain, as
the case may be, that sufficient future taxable income will be available
against which deferred tax asset can be realized. Any such write¬
down is reversed to the extent that it becomes reasonably certain or

2.28 Amendment to Ind AS 116: COVID -19 Related Rent

Concessions:

The amendments provide relief to lessees from applying Ind AS 116
guidance on lease modification accounting for rent concessions arising
as a direct consequence of Covid-19 pandemic. As a practical
expedient, a lessee may elect not to access whether a Covid-19 related
rent concession from a lessor is lease modification. A lessee that makes
this election accounts for any change in lease payments resulting from
COVID-19 related rent concession the same way it would account for
the changes under Ind AS 116, if changes were not lease modifications.
This Amendment had no impact on the standalone financial statements
of the Company.

2.29 Amendment to Ind AS 1 and Ind AS 8: Definition of material:

The Amendments provide a new definition of material that states
“information is material if omitting, misstating or obscuring it is reasonably be
expected to influence decisions that the primary uses of general purpose
financial statements make on the basis of those financial statements, which
provide financial information about specific reporting entity”. The
amendments clarify that materiality will depend on the nature of magnitude of
information, either individually or in combination with other information, in
the context of the financial year statements. A misstatement of information is
material if it could reasonably be expected to influence decisions made by the
primary users. These amendments had no impact on standalone financial
statements of the company.

2.30 Amendment to Ind AS 107 and Ind AS 109: Interest Rate
Benchmark Reform:

The amendments to Ind AS 109 Financial Instruments: Recognition
and Measurements provide number of reliefs, which apply to all
hedging relationships that are directly affected interest rate benchmark
reform. A hedging relationship is affected if the reform gives raise to
uncertainty about the timing and/or amount of bench mark -based
cash flow of hedging items or hedging instrument. These amendments
have no impact on the standalone financial statements of the company
as it does not have any interest rate hedge relation.

The amendment to Ind AS 107 prescribe the disclosure which entities
are required to make for hedging relationship to which the reliefs as per
the amendments in Ind AS 109 are apply. This amendment had no
impact on the standalone financial statement of the company.

23. Consolidated and Separate Financial Statement (Ind AS 27):

The company has no subsidiary companies for the current reporting period.
Hence consolidate and separate financial statement are not applicable.

24. Investments in Associates (Ind AS 28):

The company has not made any investments in any of its associates during the
reporting period. This accounting standard has no financial impact on the
financial statements for the current reporting period.

25. Interest in Joint Ventures (Ind AS 31)

The company has no interest in any Joint ventures. This accounting standard
has no financial impact on the financial statements for the current reporting
period.

26. Earnings Per Share (Ind AS 33):

a) Basic Earnings Per Share for (continued operations) there are no
discontinued operations hence, EPS is presented for continued operations
only.

29.Confirmation of Balances:

Confirmation letters have been issued by the company to Trade Receivables,
Trade Payables, Advances to suppliers and others advances requesting that the
confirming party responds to the company only if the confirming party disagrees
with the balances provided in the request and however the company has not
received any letters on disagreements.

The information has been given in respect of such vendors to the extent
they could be identified as micro and small enterprises on the basis of
information available with company.

As per the information provided / submitted by the Company, there are
no dues to Micro, Small and Medium Enterprises covered under
(‘MSMED’ Act, 2006).

37. Financial Risk Management

In course of its business, the company is exposed to certain financial risk
such as market risk (Including currency risk and other price risks),
credit risk and liquidity risk that could have significant influence on the
company’s business and operational/financial performance. The Board of
directors reviews and approves risk management framework and policies
for managing these risks and monitor suitable mitigating actions taken
by the management to minimize potential adverse effects and achieve
greater predictability to earnings.

38. Credit Risk

Credit risk refers to the risk that the counterparty will default on its
contractual obligations resulting in financial loss to the company. The
company has adopted a policy of only dealing with creditworthy
counterparties and obtaining sufficient collateral, where appropriate, a
means of mitigating the risk of financial loss from defaults.

The company makes an allowance for doubtful debts/advances using
expected credit loss model.

39. Liquidity risk

Liquidity risk refers to the risk that the company cannot meet its
financial obligations. The objective of liquidity risk management is to
maintain sufficient liquidity and ensure that funds are available for use
as pre requirements. The Company’s exposure to liquidity risk is minimal
as the promoters of the company is infusing the funds based on the
requirements.

40. Amounts have been rounded off to nearest Rupee.

41. Schedules 2 to 40 form part of Balance Sheet and have been
authenticated.

As per our report of even date For and on behalf of the Board of

For M M REDDY & CO., SANGAM HEALTH CARE PRODUCTS

Chartered Accountants LIMITED

Firm Reg. No. 010371S

M. Madhusudhana Reddy A. Balagopal Padma Ghanakota

Partner Managing Director Director

Membership No. 213077 DIN: 01712903 DIN: 07078176

UDIN: 24213077BKBHGI3924

Place: Hyderabad
Date: 17-07-2024

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Mar 31, 2013

1 There is no Change in the Shares outstanding at the beginning and at the end of the reporting date and Immediately proceeding reporting date.

2 State Bank of Hyderabad, Himmatnagar Branch, Secunderabad has provided the Company with Working Capital facilities, which are secured by first charge on the current assets of the Company (both present and future). Term Loans for Syringe project have been sanctioned by a consortium of State Bank of Hyderabad and State Bank of Mysore

Loans from Banks are secured by:

i) First charge over Fixed Assets of the Company for both present and future to the extent of Bank finance by respective banks.

ii) Extension of first charge on all the current assets of the Company to SBH and extension of second charge to SBM.

iii) Extension of charge on all the collateral securities offered to working capital limits.

iv) Extension of equitable mortgage of Flat No.202, Krishna Apartments, Road No:4, Banjara Hills, Hyderabad, standing in the name of M/s. Pagita Leasing and Finance Company Limited.

v) Extension of Equitable mortgage of Flat No. 104, Amarchand Sharma Complex, Secunderabad standing in the name of M/s. Pagita Leasing and Finance Company limited.

vi) Extension of Equitable mortgage of Factory Land admeasunng9 acres and 12guntas m survey nos. 182/b, 175/c at Yellampet village, Medchal Mandal, Ranga Reddy District standing in the name of Company.

vii) Corporate Guarantee ofM/s Rayalaseema Concrete Sleepers Private Ltd and M/s Pagita Leasing and Finance Company Limited.

viii) And further guaranteed by promoter directors of the Company in their personal capacity.

ix) Extention of Equitable mortgage of Flat No. 207, Amarchand Shanna Complex, Secunderabad standing in the name of Shri L.S. Patil.

9.1 Out of the said amounts Rs.NIL(Previous Year Rs.NIL) pertains to Micro, Small and Medium enterprises as defined under Micro,Small and Medium enterprises Development Act, 2006 based on the information available with the company.

3. Related Patty disclosures

A. Relationship

Key Management Personnel

J.M.NarsingRao

4. During the year ended 31st March 2013, the revised Schedule VI notified under the Companies Act 1956, has become applicable to the company, for preparation and presentation of its financial statements. The adoption of revised scheduled does not impact the recognition and measurement principles followed for prepara tion of financial statements. However, it has significant impact on presentation and disclosure made in the financial statements. The Company has made relevant disclosures which are applicable as per revised schedule VI and the figures for the previous year are reclassified / regrouped and rearranged wherever necessary.

5. Remuneration to Directors.

Remuneration: Rs.13.79 Lacs ( Previous Year 13.00 Lacs)

6. Balances of certain debtors, creditors, loans and advances, unsecured loans, receivables and payables are subject to confirmation and reconciliation and consequential adjustment in the accounts.

7. The details of micro and small enterprises units to whom the company owes a sum exceeding rupees one lac which is outstanding for more than 30 days as on the date of Balance Sheet. -NIL-

8. Company''s sales and profitability were badly affected during the Financial Year 2012-13.

The drug control authorities have stopped production from 19th May, 2012 due to regulatory issues and seized some stocks and they are under their jurisdiction. The Company has complied the conditions and restarted production from 5th October 2012 onwards.

9. As a result the Company has written off stocks in process which can not be utilized due to closure of factory for a long time and have also written off finished goods stocks lying with C & A which are seized by drug department at various places which are not saleable.

10. Previous year figures have been regrouped/rearranged wherever necessary to conform to the current year''s grouping/classification.

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Mar 31, 2012

1. Remuneration to Auditors

A. Relationship

Key Management Personnel J.M. Narsing Rao

B. The following transactions are carried out with the realted parties in the course of Business

2. During the year ended 31st March 2012,the revised Schedule VI notified under the Companies Act 1956,has become applicable to the company .for preparation and presentation of its financial statements. The adoption of revised Schedule VI does not Impact the recognition and measurement principles followed for preparation of financial statement s.However,it has significant impact on presentation and disclosures made in the financial statements. The Company has made relevant disclosures which are applicable as per revised schedule VI and the figures for the previous year are reclassified / regrouped and rearranged wherever necessary.

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Mar 31, 2011

1. Taxation:

A. No provision for Income tax is made in the current year in view of computation of income resulting in loss as per the provisions of Income Tax Act. The Company is tinder the obligation to pay Minimum Alternate Tax (MAT), which is provided in the Books of Account.

B. Deferred Tax: In view of die unabsorbed depreciation and carried forward losses available for set off under the Income Tax Act, Deferred tax for the year is not recognised in the accounts on prudent basis.

2. State Bank of Hyderabad, Himmatnagar Branch, Secunderabad has provided the Company with Working Capital facilities, which are secured by first charge on the current assets of the Company (both present and future). Term Loans for Syringe project have been sanctioned by a consortium of State Bank of Hyderabad and State Bank of Mysore.

3. Loans from Banks are secured by :

i) First charge over Fixed Assets of the Company for both present and future to the extent of Bank finance by respective banks.

ii) Extension of first charge on all the current assets of the Company to SBH and extension of second charge to SBM.

iii) Extension of charge on all the collateral securities offered to working capital limits.

iv) Extension of equitable mortgage of Flat No.202, Krishna Apartments, Road No:4, Banjara Hills, Hyderabad, standing in the name of M/s. Pagita Leasing and Finance Company Limited.

v) Extension of Equitable mortgage of Flat No. 104, Amarchand Sharma Complex, Secunderabad standing in the name of M/s. Pagita Leasing and Finance Company Limited.

vi) Extension of Equitable mortgage of Factory Land admeasuring 9 acres and 12 guntas in survey nos.l82/b, 175/c at Yellampet village, Medchal Mandal, Ranga Reddy District standing in die name of Company.

vii) Corporate Guarantee of M/s Rayalaseema Concrete Sleepers Private Ltd and M/s Pagita Leasing and Finance Company Limited.

viii) And further guaranteed by promoter directors of the Company in their personal capacity.

4. No asset is impaired during the year as the assets are having recoverable value, which is more than the carrying amount.

5. Remuneration to Directors.

Remuneration : Rs. 11.95 Lacs ( Previous Year: 10.85 Lacs )

6. Balances of certain debtors, creditors, loans and advances, unsecured loans, receivables and payables are subject to confirmation and reconciliation and consequential adjustment in the accounts.

7. The details of micro and small enterprises units to whom the company owes a sum exceeding rupees one lac which is outstanding for more than 30 days as on the date of Balance Sheet. - NIL -

8. Previous year figures have been regrouped / rearranged wherever necessary to conform to the current year''s grouping / classification.

9. Schedules ''A to N'' annexed to the Balance Sheet and Profit and Loss Account form part of accounts.

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Mar 31, 2010

1. Contingent Liabilities: (Rs. in lacs)

As on As on 31.03.10 31.03.09

Bank Guarantees 8.75 NIL

Amount in respect of Provident Fund as interest & penalty 5.10 5.10

2. GIF value of imports: (Rs. in lacs)

a. Raw Materials & Consumables 177.75 290.86

b. Capital Goods - 273.33

3. FOB value of exports (Rs. in lacs) NIL NIL

4. Expenditure on Foreign Travel in foreign Currency (Rs. in lacs) NIL NIL

5. Related Partv Disclosures:

A. List of Related Parties

Mr. J.M. Narsinga Rao, Managing Director Mrs. Padmaja Patil, Whole-time Director Mr. L.S. Patil, Director

6. No asset is impaired during the year as the assets are having recoverable value, which is more than the carrying amount.

7. Remuneration to Directors.

Remuneration : Rs. 10.85 Lacs ( Previous Year: 9.10 Lacs )

8. Balances of certain debtors, creditors, loans and advances, unsecured loans, receivables and payables are subject to confirmation and reconciliation and consequential adjustment in the accounts.

9. The details of micro and small enterprises units to whom the company owes a sum exceeding rupees one lac which is outstanding for more than 30 days as on the date of Balance Sheet. - NIL -

10. Previous year figures have been regrouped / rearranged wherever necessary to conform to the current years grouping / classification.

11. Schedules A to N annexed to the Balance Sheet and Profit and Loss Account form part of accounts.

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Mar 31, 2009

1. Taxation:

A. No provision for Income tax is made in the current year in view of computation of income resulting in loss as per the provisions of Income Tax Act. The Company is under obligation to pay Minimum Alternate Tax (MAT), which is provided in the Books of Account.

B. Deferred Tax: In view of the unabsorbed depreciation and carried forward losses available for set off under Income Tax Act, Deferred tax for the year is not recogni2ed in the accounts on prudent basis.

2. State Bank of Hyderabad, Himmatnagar Branch, Secunderabad has provided the Company with Working Capital facilities, which are secured by first charge on the current assets of the Company (both present and future). Term loans for Syringe project have been sanctioned by a consortium of State Bank of Hyderabad and State Bank of Mysore.

3. Loans from Banks are secured by :

i) First charge over Fixed Assets of the Company for both present and future to the extent of Bank finance by respective banks.

ii) Extension of first charge on all the current assets of the Company to SBH and extension of second charge to SBM.

iii) Extension of charge on all the collateral securities offered to working capital limits.

iv) Extension of equitable mortgage of Flat No.202, Krishna Apartments, Road No:4, Banjara Hills, Hyderabad, standing in the name of M/s. Pagita Leasing and Finance Company Limited.

v) Extension of Equitable mortgage of Flat No.104, Amarchand Sharma Com- plex, Secunderabad standing in the name of M/s. Pagita Leasing and Finance Company Limited.

vi) Extension of Equitable mortgage of Factory Land admeasuring 9 acres and 12 guntas in survey nos.l82/b, 175/c at YeUampet village, Medchal Mandal, Ranga Reddy District standing in the name of Company.

vii) Corporate Guarantee of M/s Rayalaseema Concrete Sleepers Private Ltd and M/s. Pagita Leasing and Finance Company Limited.

viii) And further guaranteed by promoter directors of the Company in their per- sonal capacity.

4. Related Party Disclosures:

A. List of Related Parties

Mr. J. Narasing Rao, Managing Director Mrs. Padmaja L Patil, Director Mr. L.S. Patil, Executive Director

5. No asset is impaired during the year as the assets are having recoverable value, which is more than the carrying amount.

6. Remuneration to Directors.

Remuneration : Rs. 9.10 Lacs ( Previous Year: 14.10 Lacs )

7. Balances of certain debtors, creditors, loans and advances, unsecured loans, receivables and payables are subject to confirmation and reconciliation and consequential adjustment in the accounts.

8. The details of micro and small enterpriser units to whom the company owes a sum exceeding rupees one lac which is outstanding for more than 30 days as on the date of Balance Sheet. — NIL —

9. Previous year figures have been regrouped / rearranged wherever necessary to conform to the current years grouping / classification.

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Mar 31, 2008

1. State Bank of Hyderabad, Himmatnagar Branch, Secunderabad has provided the Company with Working Capital facilities, which are secured by first charge on the current assets of the Company (both present and future), Term Loan for Syringe project have been sanctioned with a consortium of State Bank of Hyderabad and State Bank of Mysore.

2. Term Loan from Banks is secured by

i) First charges on Fixed Assets of the Company for both present and future to the extent of Bank finance by respective banks.

ii) Extension of first charges on all the current assets of the Company to SBH and extention of 2nd charge to SBM.

iii) Extension of charges on all the collateral securities offered to working capital.

iv) Extension of equitable mortgage of Flat No.202, Krishna Apartments, Road No:4, Banjara Hills, Hyderabad, standing in the name of M/s. Pagita Leasing Private Limited.

v) Extension of Equitable mortgage of Flat No. 104, Amarchand Sharma Complex, Secunderabad standing in the name of M/s. Pagita Leasing Private Limited.

vi) Extension of Equitable mortgage of Factory Land admeasuring 9 acres and 12 guntas in survey nos.l82/b, 175/c at yellampet village, Medchal Mandal, Ranga Reddy District stading in the name of Company.

vii) Corporate Guarantee of M/s. Rayalaseema concrete Sleepers private ltd: and M/s. Pagita Leasing & Finance Co. Ltd

viii) And further guaranteed by promoter directors of the Company in their personal capac- ity.

3. Both the above facilities are further secured by the personal guarantees of the Promoter Directors.

4. Contingent Liabilities: (Rs. in lacs)

As on As on 31.03.08 31.03.07

Bank Guarantees 13.68 6.12

Others 10.19 10.19

5. No asset is impaired during the year as the assets are having recoverable value, which is more than the carrying amount.

6. Remuneration to Directors.

Remuneration : Rs. 14.10 Lacs (Previous Year: 16.80 Lacs)

7. Certain balances representing Sundry Debtors, Sundry Creditors, Loans and Advances receiv- able or payable are subject to reconciliation and receipt of confirmations from parties.

8. Previous year figures have been regrouped / rearranged wherever necessary to conform to the current years grouping / classification.

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Mar 31, 2007

1. Taxation:

A. Income tax is made in the current year in view of computation of income resulting in loss as per the provisions of Income Tax Act. The Company is under obligation to pay Minimum Alternate Tax (MAT), which is provided in the Accounts.

B. Deferred Tax: In view of the unabsorbed depreciation and carried forward losses available for set off under Income Tax Act. Deferred tax for the year is not recognized in the accounts on prudent basis.

2. State Bank of Hyderabad, Himmatnagar Branch, Secunderabad has provided the Company with Working Capital facilities, which are secured by first charge on the current assets of the Company (both present and future).

3. Short Term Loan has been sanctioned by State Bank of Hyderabad is secured by first charge on Fixed Assets of the Company and first charge on Current Assets of the Company.

4. Both the above facilities are further secured by the personal guarantees of the Promoter Directors.

5. Contingent Liabilities: (Rs. in lacs) As on As on 31.03.07 31.03.06

Bank Guarantees 6.12 7.13 Others 10.19 -

6. No asset is impaired during the year as the assets are having recoverable value, which is more than the carrying amount.

7. Remuneration to Directors.

Remuneration Rs. 16.80 Lacs (Previous Year: 13.34 Lacs)

8. Certain balances representing Sundry Debtors, Sundry Creditors, Loans and Advances receivable or payable are subject to reconciliation and receipt of confirmations from parties.

9. During the year the Land has been revalued at its current replacement value on the basis of a valuation made by G.P. Sankaram & Associates, Chartered Engineers and Approved Valuers amounting to Rs.7.70 Crores is shown as addition to Land in the Fixed Assets and shown as revaluation reserve under reserves and surplus

10. Previous year figures have been regrouped / rearranged wherever necessary to conform to the current years grouping / classification.

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Mar 31, 2006

1. State Bank of Hyderabad, Himmatnagar Branch, Secunderabad has provided the Company with Working Capital facilities, which are secured by first charge on the current assets of the Company (both present and future).

2. Term loans are sanctioned by Industrial Development Bank of India and are secured by an equitable mortgage and a first charge on all the fixed assets of the Company.

3. Both the above facilities are further secured by the personal guarantees of the Promoter Directors.

4. Annual Capacities:

(As certified by the Management) (Nos. in Millions) as at 31.03.06 as at 31.03.05

IV Sets 30 30

Needles 135 135

5. Remuneration to Auditors For the year For the Year ending 31.03.06 ending 31.03.05 (Rs.) (Rs.)

As Auditors 50,000 50,000

For Taxation matters 15,000 15,000

Certification fee 10,000 10,000

Total 75,000 75,000

6. Contingent Liabilities: (Rs. in lacs) As on As on 31.03.06 31.03.05

Bank Guarantees 7.13 64.49

7. CIF value of imports: (Rs. in lacs)

a. Raw Materials & Consumables 124.09 74.75

b. Capital Goods - -

8. F O B value of exports (Rs. in lacs) NIL 4.86

9. Expenditure on Foreign Travel in foreign Currency (Rs. in lacs) NIL NIL

10. No asset is impaired during the year as the assets are having recoverable value which is more than the carrying amount.

11. Remuneration to Directors.

Remuneration Rs. 13.34 Lacs (Previous Year: 9.10 Lacs)

12. Certain balances representing Sundry Debtors, Sundry Creditors, Loans and Advances receivable or payable are subject to reconciliation and receipt of confirmations from parties.

13. The details of SSI units to whom the Company owes a sum exceeding Rupees one lac which is outstanding for more than 30 days as on the date of Balance sheet are as under-

Name of the Party Amount Rs

AVON POLY PLAST 6,76,628

VIVALA CARTONS 3,22,777

A.H.R.INDUSTRIES 7,99,708

WELL PRINT 3,93,229

RAGAVENDRA CARTONS & CONTAINERS 1,25,737

14. Previous year figures have been regrouped/rearranged wherever necessary to conform to the current years grouping/classification.

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Mar 31, 2005

1. State Bank of Hyderabad, Himmatnagar Branch, Secunderabad has provided the Company with Working Capital facilities, which are secured by first charge on the current assets of the Company (both present and future).

2. Term loans are sanctioned by Industrial Development Bank of India and are secured by an equitable mortgage and a first charge on all the fixed assets of the Company.

3. Both the above facilities are further secured by the personal guarantees of the Promoter Directors.

4. Annual Capacities:

(as certified by the Management) (Nos. in Millions) as at 31.03.05 as at 31.03.04

IV Sets 30 30

Needles 135 135

5. Details of raw materials consumed (including customs duty)

Sl. Description Unit 31.03.05 31.03.04 No. Qty. Value Qty. Value (Rs. In lacs) (Rs. In lacs)

1 Cannulae Mtrs. 5098458 73.64 4500000 70.70

2 PVC Resin Kgs 252427.07 123.97 223555 110.21

3 ABS Kgs 99675.97 81.05 88213 68.85

4 DOP Kgs 118462 70.22 105415 59.74

5 Latex Bulbs Nos 19894889 78.13 21023333 77.91

6 Polypropylene Kgs 117142.43 66.62 130718 68.53

7 Others Kgs - 96.51 - 11.37

Total 590.14 467.31

6. Remuneration to Auditors For the year For the Year ending 31.03.05 ending 31.03.04 (Rs.) (Rs.)

As Auditors 50,000 50,000

For Taxation matters 15,000 15,000

Certification fee 10,000 10,000

Total 75,000 75,000

7. Contingent Liabilities: (Rs. in lacs) As on As on 31.03.05 31.03.04

Bank Guarantees 64.49 44.39

8. GIF value of imports: (Rs. in lacs)

a. Raw Materials & Consumables 74.75 43.51

b. Capital Goods

9. FOB value of exports (Rs. in lacs) 4.86 15.65

10. Expenditure on Foreign Travel in foreign

Currency (Rs. in lacs) -Nil- -Nil-

11. There are no related party transactions during the year.

Salary paid to Mr. K.J. Park, Managing Director Rs. 9,10,000/-

12. Remuneration to Directors.

Remuneration Rs. 9.10 Lacs (Previous Year: 8.40 Lacs)

13. The company had approached Industrial Development Bank of India (IDBI) for compromise settlement of its loans outstanding to them and Industrial Development Bank of India has approved the companys proposal. Based on the approval the company has credited an amount of RS. 7.92 Crores to the Profit and Loss Account representing waiver of interest which is shown under "Extra Ordinary Items".

Further, as per the terms of settlement no interest to be paid on the settlement amount. Hence, no interest has been provided.

14. Certain balances representing Sundry Debtors, Sundry Creditors, Loans and Advances receivable or payable are subject to reconciliation and receipt of confirmations from parties.

15. The details of SSI units to whom the Company owes a sum exceeding Rupees one lac which is outstanding for more than 30 days as on the date of Balance sheet are as under -

Name of the Party Amount Rs.

A. V.M ENTERPRISES 1,12,878

AVON POLY PLAST 3,23,963

VIVALA CARTONS 3,62,330

A.H.R.INDUSTRIES 5,24,891

R.S.K. ENTERPRISES 1,19,880

WELL PRINT 2,02,749

RAGAVENDRA CARTONS & 2,37,727 CONTAINERS

16. Previous year figures have been regrouped/rearranged wherever necessary to conform to the current years grouping/classification.

17. Schedules A to M annexed to the Balance Sheet and Profit and Loss Account form part of accounts.

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Mar 31, 2001

1. State Bank of Hyderabad, Himmatnagar Branch, Secunderabad has provided the Company with Working Capital facilities, which are secured by first charge on the current assets of the Company (both present and future), second charge on Fixed assets of the Company.

2. Term loans from sanctioned by Industrial Development Bank of India and are secured by an equitable mortgage and a first charge on all the Fixed assets of the Company. 4 Both the above facilities are further secured by the personal guarantees of some of the Directors.

3. Contingent Liabilities:

As on 31.03.01 As on 30.06.00 Bank Guarantees 44.39 44.39 Letters of Credit 22.63 54.68

4. CIF value of imports:

a. Raw Materials 37.38 48.95 b. Capital Goods -

5. F.O.B value of exports 91.18 255.45

6. Expenditure on Foreign Travel in foreign Currency 00.29 -

7. Advances with Government departments 6.55 -

8. Previous year figures have been regrouped, wherever considered necessary.

9. Prior period expenses charged to Profit & Loss account include interest on IDBI term loan of Rs. 1.69 crores and administration expenses of Rs. 14.88 lacs

10. Balances of debtors & creditors as at 31.03.2001 are subject to confirmation from parties.

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Jun 30, 2000

1. Term loans from Industrial Development Bank of India are secured by an equitable mortgage and charge on all the immovable and movable assets, present and future of the Company subject to first charge created in favour of banks on stocks of raw materials, stores & spares, work-in-progress finished goods and book debts for working capital limits sanctioned by banks.

2. Working capital facilities are secured by hypothecation of current assets (both present and future) and second charge on Fixed assets of the Company. These are further secured by the personal guarantees of Directors of the Company.

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Mar 31, 1998

1. Term Loans from Industrial Development Bank of India are secured by an equitable mortgage and charge on all the immovable and movable assets, present and future of the Company subject to first charge created in favour of banks on stocks of raw materials, stores & Spares, work-in-process, finished goods and book debts for working capital limits sanctioned by banks.

2. Working capital facilities are secured by hypothecation of current assets (both present and future) and second charge on fixed assets of the Company. These are further secured by the personal guarantees of Directors of the Company.

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Mar 31, 1997

1. Term loans from Industrial Development Bank of India are secured by an equitable mortgage and charge on all the immoveable and movable assets, present and future of the Company subject to first charge created in favour of banks on stocks of raw materials, stores & spares, work-in-process, finished goods and book debts for working capital limits sanctioned by banks.

2. Working capital facilities are secured by hypothecation of current assets (both present and future) and secured by charge on all immovable properties (both present and future). These loans are further secured by the personnel Guarantees of two Directors of the Company.

3. Balances under Sundry Debtors, Sundry Creditors. Loans and Advances payable or receivable are subject to confirmation from the parties.

4. Previous year figures have not been given in the Profit and Loss account because the Company commenced its operations during the current period under review.