DIRECTORS' REPORT

To,                                                                          

The Members,

We have pleasure in submitting our Eleventh Annual Report together with the Audited Statements of Accounts for the year ended 31st March 2014.

FINANCIAL RESULTS:

The results for the year as compared to previous year is as below

ACTIVITIES:

The Company is engaged in real estate development projects such as Special Economic Zone (SEZ), Information Technology Parks, Malls and other commercial segments. The Company has its projects in Airoli, Navi Mumbai and Hyderabad for development of commercial, wherein some of the buildings have started generating rental income during the year under review.

DEPOSITS:

The Company has not accepted any deposits from the public.

PARTICULARS OF EMPLOYEES

During the year under review, the Company had no employee in receipt of remuneration attracting the provisions of Section 217 (2A) of the Companies Act, 1956.

DIRECTORATE:

Mr. Arvind D. Prabhu and Mr. Sunil M. Hingorani were appointed as Additional Directors of the Company on 4th February, 2014. In terms of Section 161 of the Companies Act, 2013, they hold office of Director up to the date of the forthcoming Annual General Meeting and are eligible for re-appointment. Mr. Ravi C. Raheja and Mr. Neel C. Raheja have resigned from Directorship of the Company w.e.f. 10th February, 2014. The Board appreciated the valuable contribution made by them as Directors of the Company.

Mr. Vinod N. Rohira continues to be Director of the Company.

DIRECTORS' RESPONSIBILITY STATEMENT:       

In terms of Section 217(2AA) of the Companies Act 1956, we, Directors of the Company, state in respect of the year ended 31st March 2014 that:

(i)      In the preparation of the annual accounts, the applicable accounting standards have been followed, along with proper explanation relating to material departures, wherever applicable.

(ii)   The Directors have selected such accounting policies and applied them consistently and made judgments and estimates that are reasonable and prudent, so as to give a true and fair view of the state of affairs of the Company at the end of the financial year and of the profit of the Company for that year;

(iii)  The Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 1956 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities;

(iv)  The Directors have prepared the annual accounts on a going concern basis.         

AUDITORS:

M/s. B S R & Co. LLP, the present Auditors of the Company retire at the ensuing Annual General Meeting and being eligible, offer themselves for reappointment.

PARTICULARS OF CONSERVATIONS OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EARNINGS AND OUTGO:

The foreign exchange expenditure during the year is Rs. 33,077,178 towards purchase of fixed asset (previous year Rs. 103,312,316), Rs. 7,544,104 towards purchase of building material (previous year Rs. 20,893,446), Rs. Nil towards travelling (previous year Rs. 184,174) and Rs. 2,928,993 towards interest expense (previous year Rs. 2,516,604). Since, the Company does not own any manufacturing facility, the other particulars relating to conservation of energy and technology absorption stipulated in the Companies (Disclosures of particulars in the Report of the Board of Directors) Rules, 1988 are not applicable.