1.1 Terms/Rights attached to equity shares

The company has issued only one class of equity shares having a par value of Rs. 1/- per share (Previous Year Rs. 1/- per Share). Each holder of equity shares is entitled to one vote per share.

During the year ended 31st March 2018 amount per share of dividend recognised as distributions to equity shareholders was Rs. Nil ( P.Y.Rs. Nil )

In the event of liquidation of the company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to the numbers of equity shares held by shareholders.

2.1 Trade Payable includes related party payable to Rajendra Kumar Choudhary Rs. Nil (P.Y.Rs.0.36 Lacs )

2.2 The Company has not received any intimation from the suppliers under the Micro, Small & Medium Enterprises Development Act 2006 & therefore disclosures, if any, relating to amounts unpaid as at the year end together with interest paid/payable as required under the said act have not been given.

3.1 Additional information

a Details of Security for Working Capital Loan and Working Capital Term Loan

The above facility is secured by Hypothecation of entire Stock and Current Assets of the Company present and future. The facility is further collaterally secured by extension of Equitable Mortgage charge on Land admeasuring 3 Acres and Building admeasuring 87175 sq.feet constructed thereon at Wada Manor Road,Village Kanchad,Taluka Wada(Dist.Thane) owned by the Company and extension of hypothecation charge on Plant & Machinery and all other movable Fixed Assets of the Company situated at Wada Manor Road,Village Kanchad,Taluka Wada(Dist.Thane). This facility is further collaterally secured by Pledge of 31000000 equity shares of Rs. 1/- each of Bil Energy Systems Limited also Negative lien on 156.30 lakh promoter equity shares of Rs. 1/- each of Bil Energy Systems Limited. The above facility is also secured by Corporate Guarantee of Bilpower Limited

b Details of Security for Corporate Loan

The above facility is secured by Equitable Mortgage charge on Land admeasuring 3 Acres and Building admeasuring 87175 sq.feet constructed thereon at Wada Manor Road,Village Kanchad,Taluka Wada (Dist.Thane) owned by the Company and hypothecation charge on Plant & Machinery and all other movable Fixed Assets of the Company situated at Wada Manor Road,Village Kanchad,Taluka Wada (Dist.Thane). The facility is further collaterally secured by extension of charge on entire current assets of the company. The above facility is secured by Corporate Guarantee of Bilpower Limited

3.2 The company has defaulted in repayment of dues including interest and principal to State Bank of India, on its various fund factilities availed, outstanding amounting to Rs. 79.69 Crores. The unpaid interest provided for in the books of accounts on the said loans amounts to Rs. 5.31 Crores. Entire loans have been recalled by State Bank Of India during the financial year 2013-2014

The Company has not provided for interest payable to State Bank of India amounting to Rs. 1484.13 Lacs for year ended 31st March, 2018. The company has also not made any provision for penal interest claimed by Bank. As a result the loss for the year ended 31st March, 2018 is understated by Rs. 1484.13 Lacs & Current liabilities as at 31st March,2018 are also understated by Rs. 1484.13 Lacs and also Reserves are overstated by Rs. 1484.13 Lacs.

The amount of penal interest cannot be quantified as the details have not been received from the bank. Also for the financial year 2016-17, 2015-16, 2014-15 the company has not provided for interest payable to State Bank of India amounting to Rs. 3546.23 lacs and as a result the accumulated losses in the Balance Sheet are understated by Rs. 5030.35 lacs upto 31st March, 2018.

4 The lender Bank of Bilpower Limited has pursuant to certain corporate guarantees given by the company demanded from the company their dues from Bilpower Limited amounting to Rs. 215.82 crores. No provision has been made in the accounts for the probable loss that may arise on account of above demand of Rs. 215.82 crores.

5 SEGMENT REPORTING

The company primarily deals in the business of Electrical Steel Products and Other Steel Products as single segment hence Segment Reporting as defined in Indian Accounting Standard 108 (Ind AS- 108) issued by The Institute of Chartered Accountants of India is not applicable to the company.

Disclosure in respect of Material Related Party Transactions During the year :

1 Purchase of Goods/Fixed Assets/Expenses includes Tarapur Transformers Limtied Rs. 96.55 Lacs (P.Y Rs.134.23 Lacs)

2 Sale of Goods includes TRC Power Rs. Nil (P.Y Rs.17.96 Lacs)

3 Receiving of Services -

A) Payment of Remuneration includes Rajendra Kumar Choudhary Rs. 12 Lacs (P.Y.Rs. 2.40Lacs)

Sueresh More Rs. 1.99 Lacs (P.Y. Rs. 1.95 Lacs)

4 Finance (Including Loans & Equity Contributions on Cash or Kind)

A) Loans & Advances Received includes Tarapur Transformers Limited Rs. Nil (P.Y. Rs.65.79 Lacs ),

B) Loans & Advances Given includes :- Tarapur Transformers Limited Rs. 374.08 Lacs (P.Y. Rs.0.11 Lacs),

Bilpower Limited Rs. 8.03 Lacs (P.Y. Rs. 3.00 Lacs), Rajendra Kumar Choudhary Rs. 7.29 Lacs (P.Y. Rs. 6.12 Lacs), Suresh More Rs. 0.50 Lacs (P.Y. Rs. 1.10 Lacs) Choudhary Global Limited Rs. Nil (P.Y. Rs. 3.94 Lacs)

5 Outstanding as at 31st March 2018

A) Trade Receivable :- TRC Power Rs.Nil (P.Y. Rs. 5.95 Lacs)

C) Loans & Advances Given :- Choudhary Global Limited Rs. Nil (P.Y Rs. 155.35 Lacs), Kiren Shrivastav Rs.0.50 Lacs (P.Y.Rs.0.50 Lacs) Suresh More Rs. 5.02 Lacs (P.Y. Rs. 4.58 Lacs), Tarapur Transformers Ltd.

Rs. Nil ( P.Y Rs. 30.48 Lacs)

Note (i): The Board of directors in its meeting held on November 14, 2017 had recomedmed issue of bonus shares in the ratio of one equity share of Re. 1 Each for one exsiting equity share of Re. 1/- each held. The issue of bonus share was approved by the shareholders on January 01, 2018 and accordingly tha company allotted 105708000 no of fully paid equity shares on January 15 , 2018. The earning per share (Both basic and Diluted) for the eyar ended March 31, 2018 have been restated to give effect th the aforesaid Bonus shares as per IND AS-33.

6 DISCLOSURE PURSUANT TO ADOPTION OF INDIAN ACCOUNTING STANDARD 19

Gratuity liability for the year is determined on actuarial valuation by The Life insurance company of India with whom the company has taken a policy for settlement of future gratuity liability.

7 In terms of the requirements of the Indian Accounting Standards-36 on “Impairment of Assets” issued by the Institute of Chartered Accountants of India, the amount recoverable against Fixed Assets has been estimated for the period by the management based on present value of estimated future cash flows expected to arise from the continuing use of such assets. The recoverable amount so assessed was found to be adequate to cover the carrying amount of the assets, therefore no provision for impairment in value thereof has been considered necessary, by the management.

8 As per the best estimate of the management, no provision is required to be made as per Indian Accounting Standard (AS) 37 “Provision, Contingent Liabilities & Contingent Assets” in respect of any present obligation as a result of a past event that could lead to a probable outflow of resources which would be required to settle the obligation.

9 Consumption of consumable stores is wholly indigenous in the current & previous year.

10 Balances of the Creditors / Debtors / Loans / Advances are subject to Confirmations and resultant reconciliation, if any.

11 Sundry Debtors as on the date of Balance sheet are net of amounts received after discounting of Letter of Credits.

12 Previous Year Figures have been regrouped / recast / rearranged wherever necessary.

Signature to the Balance Sheet, Statement of Profit and Loss and Notes which form an integral part of accounts.