2) They are also entitled to dividend if proposed by the Board of Directors and approved by the shareholders in the ensuing Annual General Meeting except in case of interim dividend.

3) In the event of liquidation, the equity shareholders are entitled to receive the remaining assets of the Company after distribution of all preferential amount, in proportion to their share holding.

Note :1 Security deposit of Rs. 16,00,000 at the end of F.Y.2012-13 was received against the Daman property which given on lease , as pe the agreement, lessor received interest free deposit and repay to the lessee at the time of handling over the peaceful possession of the property. As per the Initial agreement, lease period is upto 14th May 2015 but during the QY.2013-14 the same was returned.

Note :2 Security deposit of Rs. 5,00,000 ( P.Y. Rs. 5,00,000) received against the Daman property which given on lease , as pe the agreement, lessor received interest free deposit and repay to the lessee at the time of handling over the peaceful possession of the property. The Initial agreement is mentioned , lease period is upto 2nd April 2027. Refer to Note No. 30

Note :3 Security deposit of 40,00,000 ( P.Y. Rs. 40,00,000) received against the Daman property which given on lease from body corporate in which directors / shareholders of the company is interested , as pe the agreement, lessor received interest free deposit and repay to the lessee at the time of handling over the peaceful possession of the property. The Initial agreement is mentioned , lease period is upto 31st March 2014. Refer to Note No. 30

a ) Working Capital Loan and Demand Promissory note ( DPN) is from Bank and secured against Hypothecation of /stock of Raw Material, Stock in process, store and spares, all book debts , receivable etc , whether present or future and equitable mortagage of factory land, building and plant & Machinery and guaranteed by a director, and.further personal property of director / Shareholders is provided as collateral security.The rate of interest on working capital is BPLR 1.75% and taxes and other lavies as applicable

b) Bank letter dated : 10th January 2011 having reference no. CR/312/36/2011 NRS , bank is classified working Capital loan and Demand promissory note bank a/c as Non-Performing assets w.e.f 30th July 2010 and the company has received proposal from the bank vide letter (Ref No. CR/312/459/2013) for One Time Settlement of account by payment of Rs. 1615.00 lakhs originally on or before 26.04.2014 and subsequently extending the date to on or before 25.11.2014 vide letter Ref.No.CR/312/0084/2014-15 dtd.1.06.2014 .The company has accepted the proposal and requested the bank for the waiver of interest of Rs. 87.95 (P.Y. Rs. 459.66 lakhs) which is under dispute. The Company has made payment of 50 Lakhs (P.Y. 250 Lakhs ) during the year under OTS offer by Bank & the same has been netted off with the Loan From bank on A/c of DPN.Further negotiation between the Company and the Bank is going on for settlement of balance outstanding amount

Note : Advaces paid to Supplier include , advances given of Rs. 4,15,00,737/- (Previous Year : Rs. 4,55,75,480/-) to Body corporate in which Company Directors, Shareholders ar interested.

4. Note : Advances to Supplier include business advance given to the related party : Samyak Commercial Pvt Ltd , and Spring Merchandisers Pvt Ltd, for company business purpos

5. Note : Other Advances receivable in cash or kinds include Rs. 87,94,692/-(P.Y. 4,59,66,076/- )as interest receivable from bank as disputed bank interest for the year . refer note no. 20 & 25

6. As per the Bank letter (Ref No. CR/312/459/2013) for One Time Settlement of account by payment of Rs. 1615.00 lakhs on or before 26.04.2014 and subsequent Letter (Ref. CR/312/0084/2014-15 dated 10.06.2014 further extension of date for payment on or before 25.11.2014 .The company has accepted the proposal and requested the bank for the waiver of interest of 87.95 (P.Y. Rs. 459.66 lakhs) which is under dispute. Accordingly the Company has reversed the excess provision made earlier for Interest Payable for 66.65 lakhs and booked as income for the year.

7. List of Related Parties and Relationship

Nature of Relationship                      Party

Category A:                                 Bhagyodaya Sales Ltd

Enterprises under common control and        Spring MerchandisersPvt Ltd
Enterprises in whichKey Management
Personnel and their relatives are           Matsun Castings Pvt Ltd
able to  exercise significant influence     Samyak Commercial Pvt Ltd
(Other Related Parties)
                                            Ace Merchandisers Pvt Ltd
                                            Bandra Merchandisers Pvt Ltd
                                            N D Relators &Builders
                                            Garg Industries

Ajay Kumar Garg

Harsh Rekha Garg Raj Kumar Pathak

Category C: Relatives of Key Management Personnel

Gaurav Garg

Anirudh Garg

Category D : Proprietory Concern/Firm/Company in which Individuals referred to in Category B and Category C is Pronrietor/Partner/Director

Ajay Kumar Garg HUE Wind Industries

Note : 8 Deferred Tax Assets / Liability :

As per paragraph 17 of Accounting Standard(AS ) 22,'Accounting for Taxes on Income', Company carring unabsorbed depreciation and carried forward losses under tax laws ,deferred tax assets should be recognised only to the extent company having virtual certainity supported by convencing evidence that sufficient future taxable income will be available against which such deffered tax assets realised, hence during the financial year considering prudence principle .company does not recognised any deffered tax assets.

Note : 9 Segment Reporting :

The Company has segement of activities namely Trading & Manufacturing of Non- ferious metal and majority of the capital of the company employed in the Trading & Manufacturing activity. However, Company has deployed it temperory funds in the various investment for earning rent and sharing of profit. Hence income of such investment has not been considering as separate segement for reporting purpose.

Note : 10 In respect of Old outstanding the necessary approval has been sought from the authorised dealers.

Note : 11 In the Opinion of the management the Current assets, Loan and Advances are of the same value as stated in the Balance Sheet if realized in the normal course of business.