Notes To Accounts : Sep 2000

1. The Company, consequent to threat conveyed by workmen to managerial staff and to companys property at Vadodara has on 27th August 2000 placed a notice preventing their entry. Hence accounts for the period ending 31st March 2000 could not be audited and Annual General Meeting has not been convened for shareholders approval. Accordingly the above unaudited provisional financial results have also been complied based on available information.
2. The Shareholders in the Extra-ordinary General Meeting held on 2nd November 2000, unanimously passed the Resolution pursuant to the provisions of Sec 293(1)(a) of Companies Act,1956 for sale, transfer or disposal by way of granting development rights or otherwise the companys land admeasuring approximately 27587 sq mtr situated at L.B.S. Marg Mulund West, Mumbai- 400 080 along with buildings and structures thereon to M/s. Runwal Developers Pvt. Ltd for a consideration of Rs 13.75 crores, subject to 1.5% per month deduction for delay in possession of land from 1.11.2000. However consideration will not be less than Rs 12.25 crores even if possession is delayed beyond 31.3.2001. The Company under the existing circumstances proposes to hand over possession of the said land sometimes in June 2001. However profit on sale of the said property amounting to approximately Rs 11.61 crores on a consideration of Rs 12.25 Crores will be accounted during the period ending March 2001.
3. Actual Income tax liability, if any, can be ascertained only at the end of the year.
4. The above results were taken on record by the Board of Directors at their meeting held on 29th November, 2000.