a) a present obligation arising from a past event, when it is not probable that an outflow of resources will be required to settle the obligation.

b) a possible obligation, unless the probability of outflow of resources is remote. Contingent Assets are neither recognized nor disclosed.

Amount Disclosed under the head Current maturities of long term borrowings & Hire 4,704,515 3,044,759 Purchase Loans.

Note 1.- Loan from Canara Bank for Plant and Machinery and Stock yard (Shed) carries interest @12.25% .The Loans are repayable in 60 monthly installments.

Note 2. - Loan from Tata Capital Financial Services Limited for Vehicle carries interest @ 7.71% .The Loans are repayable in 24 monthly installments. All the above Loans are Secured by hypothecation of respective assets.

Note 3.- Loan from Canara Bank for Purchase of vehicle carries interest @10.70% .The Loans are repayable in 36 monthly installments. Note 5.4- All the above loans have been personally guaranteed by the directors of the company.

Note 4. Working Capital Borrowing from canara bank is secured by hypothecation of inventory i.e. Raw Materials, Stock in Process, Finished Goods, Stores & Spares and Book Debts (both present and future) and second charge on title documents of the land and building & hypothecation of plant & machinery situated at factory (udaipur) "including uncalled capital etc. both present and future personally guaranteed by the Directors of the company. The same is repayable on demand and carries interest @ 11.45%.

Note :5. The Above Sundry Creditor for Expenses includes amount of Rs.15.45 Lacs/- and for Material includes Rs. 55.61 Lacs from Related Parties.

Note: - 6. Related Party disclosures as required under AS-18 are given below:

Name of the Related Parties & there relationship with the Company is given hereunder: -

Sr. No. I Name of the Related Party I Relationship A KEY MANAGEMENT PERSON

1 Shri Sanjay Jain Whole Time Director

2 Shri Sidharth Jain Managing Director

3 Sandeep Porwal Chief Financial Officer

4 Rajendra Sand Company Secretary

B RELATIVES OF KEY MANAGEMENT PERSON

1 Shri Sandeep Jain Director's Brother

2 Smt. Neetu Jain Wife of Director's Brother

C ENTERPRISE OVER WHICH KMP OR THEIR RELATIVE EXERCISE

CONTROL

1 Bhikshu Minerals Pvt. Ltd Director of the company is Director

2 Perfect Marbles Pvt. Ltd Director of the company is Director

3 S.C. Jain & Brothers Proprietor of the firm is father of Director

4 Siddhartha Marble & Gr. Pvt. Ltd. Director's Cousin Brother

5 Jain Marbles Director's Father is Partner

6 Omega stones Proprietor of the firm is Director's brother

7 Omega Marmo Stones Pvt. Ltd. Director of the company is Director

8 Jain Marble Exports \ Director of the Company is Partner

9 Souverign Mine & Minerals Pvt. Ltd. Director' Brother is Director

10 Tanisq Marble & Minerals Pvt. Ltd. \ Director of the company is Director

11 LCJ Finance Pvt Ltd Director' Brother is Director

Note 35 In line with the notification dated 31st March, 2009 issued by The Ministry of Corporate Affairs, amending Accounting Standard AS11 -' Effects of Changes in Foreign Exchange Rates', the Company has chosen to exercise the option under paragraph 46 inserted in the standard by the notification. Accordingly, the company has adjusted the foreign currency exchange differences on amounts outstanding for acquisition of fixed assets, to the carrying cost of fixed assets.

Note 7. Debit& Credit Balances appearing under Sundry Debtors, Advance Receivables in Cash or in Kind , Unsecured Loans, Sundry Creditors are subject to confirmation & reconciliation. Adjustment, if any, in these accounts will be made as & when finally reconciled & confirmed. Trade Receivables & Trade Payables have been taken at their Book Value after making necessary adjustment on account of foreign exchange fluctuation except in cases of some old balances lying in account.

NOTE 8. Contingent Liabilities & Commitments NIL

NOTE 9. The Government of India has promulgated The Micro, Small & Medium Enterprises Development Act- 2006 which came into force w.e .f. October 2, 2006. The Company is required to identify the Micro & Small Enterprises & pay them interest on overdue beyond the specified period irrespective of the terms agreed with the enterprises. The Company has initiated the process of identification of such suppliers. In view of no. of suppliers & no. receipt of critical inputs & response from several such potential parties, the liability of interest can neither be reliably estimated nor any required disclosure can be made. Accounting in this regard will be carried out after process is complete and reliable estimate can be made in this regard. Since the Company is regular in making payments to all suppliers, the management does not anticipate any significant interest liability.

NOTE 10. Previous year figures have been rearranged / regrouped wherever considered necessary.

NOTE 11. Figures are rounded off to the nearest rupee.