Notes to Accounts of Asian Vegpro Industries Ltd.

Mar 31, 2014

Note 2 DEFERRED TAX ASSET (NET)

The Company has accounted for taxes on income in accordance with AS-22-Accounting for Taxes on Income issued by the Ministry of Corporate Affairs. Consequently, the net incremental deferred tax (liability) / asset is charoed / credited to Statement of Profit and Loss. The Year end position of taxes on income is as under:

The net result of calculation on account of deferred tax asset / liability worts out to be Deferred Tax Asset Since the Company has accumulated losses of past years, there is no virtual certainty supported by convincing evidence as to reversal of this losses in foreseeable future. In view of this, Deferred Tax Assets have not been accounted following the principle of prudence.

Note .2 LONG TERM LOANS AND ADVANCES

Disclosure pursuant to Note No. LflL fin and fiill of Part I of Schedule VI to the Comoan let Act 1956

Note 3 CONTINGENT LIABILITIES AND COMMITMENTS

Disclosure pursuant to Note No. 6(T) of Part I of Schedule VI to the Companies Act, 1956

Particulars March 31, 2014 March 31, 2013

A. Contingent Liabilities

1) Claims against the company not acknowledged as debt - -

2) Guarantees — —

3) Other money for which the company is contingently table - -

Sub Total (A) — —

8. Commitments

1) Estimated amount of contracts remaining to be executed on capital account and not provided for — —

2) Uncalled lability on shares and other investments partly paid — —

3) Other Commitments (Specify Nature) — —

Sub Total (B) - -

Total Contingent Liabilities and Commitments (A B) - -

Note 4 CONTINGENT LIABILITIES AND COMMITMENTS

1. Disclosure pursuant to Note No. 6(U) of Part I of Schedule VI to the Companies Act, 1956

Particulars Total Per Share

Dividends proposed to be distributed to equity shareholders — —

Dividends proposed to be distributed to preference shareholders — — Arrears of fixed cumulative dividends on preference shares — —

2. Disclosure pursuant to Note No. 6(V) of Part I of Schedule VI to the Companies Act, 1956

Where in respect of an issue of securities made for a specific purpose, the whole or part of the amount has not been used for the specific purpose at the balance sheet date, Indicate below how such unutilized amounts have been used or invested.

Not Applicable

3. Disclosure pursuant to Note No. 6{W) of Part I of Schedule VI to the Companies Act, 1956

If, in the opinion of the Board, any of the assets other than fixed assets and non-current investments do not have a value on realization in the ordinary course of business at least equal to the amount at which they are stated, the fact that the Board is of that opinion, shall be stated.

Name of Assets Realisable Value Value in Balance Sheet Opinion of Board

Not Applicable

Note 5 REVENUE FROM OPERATIONS

Disclosure pursuant to Note No. 2 of Part II of Schedule VI to the Companies Act, 1956

In respect of a company other than a finance company revenue from operations shall disclose separately in the notes revenue from

2. The value on realization of current assets in the ordinary course of business would not be less than the amount at which they are stated in the Balance Sheet According to the management, provision for all the known liabilities is adequate.

3. Balances in Debtors, Creditors, loans, advances, and other current assets are subject to confirmation and reconciliation.

1. The Company is a Small and Medium Sized Company (SMC) as defined in the General Instructions in respect of Accounting Standards notified under the Companies Act, 1956. Accordingly, the Company has complied with the Accounting Standards as applicable to a Small and Medium Sized Company.

2. Related Party Disclosures, as required by AS-18 are given below :

A. Relationships:

Category I: Holding Company Nil Category II: Key Management Personnel

Mr. Rajendra Agrawal, Mr. Shiv Ratan Agarwal, Mr. Shyam Sunder Agarwal, Mr. Subhash Mittal. Category III : Others (Relatives of Key Management Personnel and Entities in which the Key Management Personnel have control or significant influence)

Systematic Steel Industries Ltd.

3. The previous year''s figures are regrouped / rearranged / reclassified wherever considered necessary to correspond with the figures of current year.

4. A show cause notice was issued by Securities and Exchange Board of India under Section 11B of SEBI ACt, 1992 and Section 12A of SCRA1956 upon the Company and its directors stating that the company is a vanishing company, and why legal consequences should not follow. The Company and its directors have filed suitable replies that the Company is not a Vanishing Company, and have provided requisite information.

5. "The Micro, Small and Medium Enterprise Development Act, 2006" has repealed the provision of interest on delayed payment to small scale and ancillary industrial undertaking Act, 1993. The management does not find it necessary to provide for interest on delayed payments to the Suppliers covered by the said Act in view of insignificant amount and probability of its outgo.

6. Other information pursuant to General Instructions for preparation of Balance Sheet and Profit & Loss Account of Schedule VI to the Companies Act, 1956 is not applicable.

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Mar 31, 2013

1) Payment to Auditors

Audit Fees - 20,000/-

2) The Company has decided to write off 1/10th of expenses incurred towards shares issue expenses and preliminiary expenses from the current year. During the year under review an amount of Rs. 9,59,158/- has been written off.

3) Contingent Liability as on 31 -03-2013 is Nil.

4) There are no receipt and payments in foreign exchange.

5) Segment Reporting :

During the year under review the company has only one segment that of packaging of goods.

6) Related Party Transaction AS 18

Name of Related Parties:

a Relatives of Key Management Personnel and their enterprises where transactions have taken place.... None.

7) In case of Investments, Loans and Advances (Assets) and Unsecured Loans the balances as on 31st March, 2013 are as certified by the management and are subject to verification and confirmation. The said balances are as per the audited balance sheet of 31 st March, 2013.

8) The market value of investments as on 31.03.2013 is not ascertainable as the list of investments is not available.

9) The balances included in Sundry debtors, Loan & Advances & Current Liabilities are subject to confirmation by the concerned parties.

10) Deferred tax provisions arising from timing differences are not recognized in the books as the management does not forsee with reasonable certainty that liability for taxes would be incurred in future.

11) Previous years figure have been rearranged, regrouped and reclassified wherever necessary, so as to make them comparable with those of current year.

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Mar 31, 2012

1) Payment to Auditors

Audit Fees - 16,854/-

2) The Company has decided to write off 1/1 Oth of expenses incurred towards shares issue expenses and preliminiary expenses from the current year. During the year under review an amount of Rs. 9,59,158/- has been written off.

3) Contingent Liability as on 31-03-2012 is Nil.

4) There are no receipt and payments in foreign exchange.

5) Segment Reporting :

During the year under review the company has only one segment that of packaging of goods.

6) Related Party Transaction AS 18

Name of Related Parties:

a Relatives of Key Management Personnel and their enterprises where transactions have taken place.... None.

7) In case of Investments, Capital Work in Progress, Loans and Advances (Assets) and Unsecured Loans the (balances as on 31st March, 2012 are as certified by the management and ire subject to verification and confirmation. The said balances are as per the audited balance sheet of 31st March, 2011.

8) The market value of investments as on 31.03.2012 is not ascertainable as the list of investments is not available.

9) The balances included in Sundry debtors. Loan & Advances & Current Liabilities are subject to confirmation by the concerned parties.

10) Deferred tax provisions arising from timing differences are not recognized in the books as the management does not forsee with reasonable certainty that liabtfty for taxes would be incurred in future.

11) Previous years figure have been rearranged, regrouped and reclassified wherever necessary, so as to make them comparable with those of current year.

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Mar 31, 2010

1) Payment to Auditors

Audit Fees - 16,545/-

2) The Company has decided to write off 1/10th of expenses incurred towards shares issue expenses and preliminiary expenses from the current year. During the year under review an amount of Rs. 9;59,158/- has been written off.

3) Contingent Liability as on 31-03-2010 is Nil.

4) There are no receipt and payments in foreign exchange.

5) Segment Reporting :

During the year under review the company has only one segment that of packaging of goods.

6) Related Party Transaction AS 18

Name of Related Parties:

Relatives of Key Management Personnel and their enterprises where transactions have taken place .... None.

7) In case of Investments, Capital Work in Progress, Loans and Advances (Assets) and Unsecured Loans the balances as on 31st March, 2010 are as certified by the management and are subject to verification and confirmation. The said balances are as per the audited balance sheet of 31st March, 2009.

8) Previous years figure have been rearranged, regrouped and reclassified wherever necessary, so as to make them comparable with those of current year.

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Mar 31, 2009

A) Previous accounting period was from 01-04-2007 to 31-03-2008 and Current Accounting period is from 01-04-2008 to 31-03-2009.