Notes to Accounts of Vardhaman Wires & Polymers Ltd.

Mar 31, 2011

1. The figures of previous year are reclassified/regrouped / restated for consistent presentation, wherever necessary.

2. Figures in brackets represent previous year's figures.

3. Deferred Tax Assets are not recognized in books of accounts in view of absence of virtual certainty of its realization.

4. The Company has not received information from suppliers or service providers, whether they are covered under Micro, Small and Medium Enterprises (Development) Act, 2006 and hence, it has not been possible to give the required information relating to such suppliers and amounts unpaid, if any, as at year end.

5. Sundry Debit / Credit balances are subject to reconciliation and adjustment, if any.

6. In the absence of notification specifying the effective date and the applicable rate and amount of cess to be levied towards a fund to be established for rehabilitation and revival of Sick Industrial Units in terms of section 441 A of the Companies Act, 1956 as inserted by the Companies (Second Amendment) Act, 2003, no provision is made for the cess in the accounts for the year.

7. Remuneration to Directors is Rs. NIL (Rs. NIL)

8. The company did not have any employee who has completed five years or more of service during the financial year to be eligible for gratuity benefits.

9. The accounts are not signed by the Company Secretary, as the Company has no Company Secretary as on the date. However, a certificate of compliance of provisions of the Companies Act, 1956 is obtained from a practicing Company Secretary.

10. The company did not have any Contingent Liability in the financial year 2010-2011.

11. Related Party information

i) Names of related parties and nature of relationship :

Shri Chetan Shah, Director of the Company is interested in Humaid Al Matrooshi General Trading LLC.

12. Segment Information:

The Company is operating only in one business segment viz. Trading in Home Textiles.

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Mar 31, 2010

1. The figures of previous year are reclassified/regrouped / restated for consistent presentation, wherever necessary.

2. Figures in brackets represent previous year's figures.

3. Deferred Tax Assets are not recognized in books of accounts in view of absence of virtual certainty of its realization.

4. The Company has not received information from suppliers or service providers, whether they are covered under Micro, Small and Medium Enterprises (Development) Act, 2006 and hence, it has not been possible to give the required information relating to such suppliers and amounts unpaid, if any, as at year end.

5. Sundry Debit / Credit balances are subject to reconciliation and adjustment, if any.

6. In the absence of notification specifying the effective date and the applicable rate and amount of cess to be levied towards a fund to be established for rehabilitation and revival of Sick Industrial Units in terms of section 441 A of the Companies Act, 1956 as inserted by the Companies (Second Amendment) Act, 2003, no provision is made for the cess in the accounts for the year.

7. The company has filed a suit against HMP Engineers Ltd for the recovery of dues of Rs. 4.50 lacs. However, the company has not made any provision in the accounts towards doubtful debtors.

8. Remuneration to Directors is Rs. NIL (Rs. NIL).

9. The company did not have any employee who has completed five years or more of service during the financial year to be eligible for gratuity benefits.

10. The accounts are not signed by the Company Secretary, as the Company has no Company Secretary as on the date. However, a certificate of compliance of provisions of the Companies Act, 1956 is obtained from a practicing Company Secretary.

11. The company does not carry any Contingent Liability.

12. Segment Information:

The Company is operating only in one business segment viz. Home Textiles.