Notes to Accounts of Aarnav Fashions Ltd.

Mar 31, 2014

1. Rights, preference and restriction attached to Equity Shares

(i) The company has only one class of equity shares having a face value of Rs 10/- per share. Each holder of equity shares is entitled to one vote per share. The company declares and pay dividends in Indian rupees. The proposed dividend recommended by the Board of Directors is subject to the approval of the Sharesholders.

(ii) ln the event of liquidation of the company, the holder 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 number of equity shares held by the shareholders.

There were no shares reserved at the year-end for issue under options and contracts / commitments for the sale of shares / disinvestment.

2. In the opinion of the Director, the Creditors are approximately of the value stated, if realised in the ordinary course of the business and there is no contingent liabilities. Provisions for all known liabilities are made & they are adequate. The Bank Balance and Loan & Advances are subject to confirmation and necessary adjustment, if any, will be made on its realisation. The amount of Income Tax is subject to reconciliation/adjustment.

3. Related Party Disclosures:

Related party disclosures as required under the Accounting Standard (AS) 18 on "Related Party Disclosures" notified in Companies (Accounting Standards) Rules, 2006 are given below:

Name of the Related Parties and Description of Nature of Relationship Relationship

Particulars of Associates

* Kayel Syntex Limited Associate Company

Director as at 31st March 2014 Designation

Name

* Rakesh L. Jain Director

* Rahul K. Jain Director

* Rajkumar L Jain Director

Particulars of Relatives of Directors

* Kantilal Loonchand Relative of director

4. Corresponding figures of the Previous years has been rearranged or regrouped wherever necessary.

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Mar 31, 2013

1. Rights, preference and restriction attached to Equity Shares

The company has only one class of equity shares having a face value of Rs 10/- per shares. Each holder of equity shares is entitled to one vote per share. The company declares and pay dividends in Indian rupees. The proposed dividend recommended by the Board of Directors is subject to the approval of the Sharesholders.

2. ln the event of liquidation of the company, the holder of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proporation to the number of equity shares held by the shareholders.

3. There were no shares reserved at the year-end for issue under options and contracts / commitments for the sale of shares / disinvestment.

4. Aggregate number of bonus Shares issued, shares issued for consideration oilier than Cash and Shares bought back during the Period of five Years immediately preceding the reporting date.

5. As per Information available on Company's records, no amount was due to Micro Small and Medium Enterprises as defined under the MSME Act,7006 and Hence disclosure Insure is not given.

6. In the opinion of the Director, the Creditors are approximately of the value stated, if realised in the ordinary course of the business and there is no contingent liabilities. Provisions for all known liabilities are made & they are adequate. The Bank Balance and loan & Advances are subject to confirmation and necessary adjustment, if any, will be made on its realisation. The amount of Income Tax is subject to reconciliation/adjustment.

7. Related party disclosures as required under the Accounting Standard (AS) -18 on "Related Party Disclosures" notified in Companies (Accounting Standards) Rules, 2006 are given below:

a Name of the Related Parties and Description of Nature of Relationship Relationship

Particulars of Associates

* Kayel Syntex Limited Associate Company

Director as at 31st March 2013 Designation

Name

* Rakesh L. Jain Director

* Rahul K. Jain Director

* Rajkumar L. Jain Director

Particulars of Relatives of Directors

* Kantiial Loonchand Relative of director

8. Corresponding figures of the Previous years has been rearranged or regrouped wherever necessary.