| 1. There are no Micro, Small and Medium Enterprises, as defined in the
Micro, Small and Medium Enterprises Development Act, 2006 to whom the
company owes dues on account of principal amount together with interest
and accordingly no additional disclosures have been made.
The above information regarding Micro, Small and Medium Enterprises has
been determined to the extent such parties have been identified on the
basis of information available with the company. This has been relied
upon by the auditors.
2. In the opinion of the Board, current assets, loans and advances
shall have a value on realization in the ordinary course of business at
least equal to the amount at which they are stated in the balance sheet
and provision for all known liabilities have been made and contingent
liabilities disclosed properly. Balances of sundry debtors, sundry
creditors, loans and advances and other personal accounts are subject
to confirmation and reconciliation. Consequential impact, if any, will
be considered as and when determined.
3. Loans & Advances includes non-interest bearing unsecured loan of
Rs.2250332515/- given to Chromatic International FZE, the subsidiary of
the company for overseas Business Development. The subsidiary did not
do any business during the year.
4. The Company had made investments in erstwhile subsidiary namely
Arcoiris SA with a view to have establishment abroad to penetrate into
foreign market. Net worth of Arco iris SA is fully eroded and the
company has been liquidated during the year 2011-12. However, no
provision is made for investment made by the company in Arcoiris S.A.
amounting to Rs.26.23 lacs and advances and interest receivable
amounting to Rs. 109.81 lacs, which are doubtful of recovery. The
amount has been shown as Long Term Loans & Advances.
5. The company has made Advances for capital work in progress amounting
to Rs. 105.72 Crores during previous accounting years for setting up pf
power plant. The procurement has not been done for pending clearances
from the Govt. These advances are subject to confirmation and
reconciliation.
6. No events or transactions have occurred since the date of Balance
Sheet or are pending that would have a material effect on the financial
statements at the date or for the period then ended, other than those
reflected or fully disclosed in the books of account.
7. Pursuant to the enactment of Companies Act 2013, the company has
applied the estimated useful lives as specified in Schedule II, except
in respect of certain assets as disclosed in Accounting Policy on
Depreciation, Amortization and Depletion. Accordingly the unamortized
carrying value is being depreciated / amortized over the
revised/remaining useful lives. The written down value of Fixed Assets
whose lives have expired as at 1st April 2014 have been adjusted net of
tax, in the opening balance of Profit and Loss Account amounting to Rs
7.74 lacs. In the absence of complete details of additions in the case
of buildings, revised estimated remaining life has been considered as
certified by the management. The WDV as on 31.03.2014 has been
depreciated in the remaining estimated life of the asset as such. In
the case of Factory Building remaining life has been estimated at 10
years and in case of office and store building, the life has been
estimated at 35 years. Lease hold land has been depreciated over the
lease period as per the policy of the company.
8. Provision for Gratuity payable to employees has been covered by the
Group Gratuity Policy taken by the company with LIC of India and
premium of the policy has been duly accounted for. However, no
provision has been made for leave encashment as required by AS-15
(Revised 2005) employee Benefits notified by Companies (Accounting
Standard) Rules 2006, has been made and the same shall be accounted for
as and when paid.
9. Pursuant to Accounting Standard (AS)-28 on "Impairment of Asset"
issued by The Institute of Chartered Accountants of India, the company
assessed its fixed assets for impairment as at 31st March 2015, and
concluded that there have been no significant impaired fixed assets
that need to be recognized in the books of accounts.
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