POLYOLEFINS RUBBER CHEMICALS LIMITED

ACCOUNTS

FOR THE PERIOD ENDED

28th FEBRUARY, 2002

 POLYOLFFINS RUBBER CHEMICALS LIMITID
BALANCE SHEET AS AT 28th FEBRUARY. 2002
Sch*- A§«t
clulc Rupees Rupee* 31.03.2001
Rnaeai

SOURCES OF FUNDS:
(I) Shareholders'Funds:
Capital 900 900

Tote)

IL APPLICATION OF FUNDS :
(I) Current Assets, Loans and
Advances:
Cash and Bank Uuhutces 55,970 3U.V70
30,970
Less: Current Liabilities and Provisions:
Liabilities 274.000 221.2 SO
221,250
Net Current Assets (218.030; (190,280

(2) Miscellaneous Expenditure(U) the

extent not written off or adjusted):
Preliminary Expenses 94,340 94.340

(3) Profit and Loss Account 124,390 96.640

Total

Significuai Accounting Policies and

Notes on Accounts

As per our attached report of even date

For C.C.CHOKSHIftCO., H.A.MAFA'

Chartered Accountants Chairman

V.R.OWTE U.M.KARN1K
A. SIDDHARTH Director Director
'ARTNER

C.R.OUPTE
Director

riumbai Mumbni
Duled: 1,1 AUG 200!
1 AUG 2002
 POLYOLEFINS RUBBER CHEMICALS LIMITED
BALANCE SHEET AS AT 28th FEBRUARY. 2602
Scbe- As •(
dulc Rupees Rupees 31.03.2801
Rupeoi

SOURCES OF FUNDS:
(1) Shareholders'Funds:
Capital 900 980

Total Jft

IL APPLICATION OF FUNDS:
(I) Current Assets, Loans and
Advances:
Cash ami Bank Balances 55,970

Less: Current Liabilities and Provisions:

Liabilities 274j008

Net Current Assets (21«,030

(2) Miscellaneous Expenditure(to the

extent not written off or adjusted):
Preliminary Expenses 94.540 94.540

(3) Profit and Loss Account 124,390 96,640

Total JfiO

Significant Accounting Policies and

Notes on Accounts

As per our attached report of even date

&$&&£y.
For C.C. CHOKSm * CO., H.A.MAFA V N.M.DHIJLDHOYjr
Chartered Accountants Chairman Director

V.R.GUPTE U.M.KARNDC
A. SJDDHARTH Director Director
'ARTNER

C.R.OUPTE
Director

Duled: 1 AUG 2002

1 AUG 200?
 POLYOLEFINS RUBBER CHEMICALS LIMITED
Profit' And Lost ArcAunt far the neriad *V

Schedules Previous Year

Rupees Rupees

INCOME ; NIL NIL

EXPENDITURE;

Audit Fees 25,000 25,000

Service Tax on Audit Fees 1,250 1,250
Filing Fees 1,500 1,000

Total 27.750 27.250

Loss for the period/year 27,750 27,250

Deficit brought forward from previous year 96,640 69,390

Deficit carried to Balance Sheet J8J40

Earnings per share (basic/diluted) Rs. (308.33) (302,71)

(Refer Note 3 of Schedule 4)
Significant Accounting Policies and
Notes on Accounts

As per our attached report of even date

For C.C. CHOKSHI ^ CO., H.A.MAFATLAL

Chartered Accountants Chairman Director

V.R.GUPTE U.M.KARNDC
A. SIDDHARTH Director Director
PARTNER

T.R.GUPTE
t

.Director

Muinbai Mumbai
Dated: Dated: I 2002
\ AUG 2002
 POLYOLEFINS RUSHER CHEMICALS LIMITED
SCHEDULES FORMING PART OF Tlfg BALANCE SHEET

An At
SCHEDULE- 1 31.03.2001
Rupet* RupeM
CAPITAL

Authorised: •
IO.OO.OM Equity Shares of Rii.10/-each

bMued , Subscribed and PaU-up:

90 Kquiry Share* ol'R«. IO/- each •aft 900
Total

SCHEDULE-2

CASH AND BANK BALANCES:

R«l«noe with • Scheduled Rank in Currant Aoeounl 55.970 30.070

Total

SCHEDULE-3

•LIABILITIES:

Sundry Creditors:
Total outstanding dues of ftmall wale induRtrial
undertaking*
Total ouMtaiiding due* ol'Credikmi other than
wnall ncale induMrial undertaking* 26,250 26.250
26^50 26^50
Other Liabilities 27.7SO
Advance from National Organic Chemical Industrie* Ud. 22fl.OOO 195.000
Total JIB.
 POLYOKEFINS RUBBER CHEMICALS LIMITED
SCHEDULE - -I

SIGNIFICANT ACCOUNTING POLICIES AND NOTES ON ACCOUNT* i-

A. SIGNIFICANT ACCOUNTING POLICIES :

1 Contingent LUMHtkc:

These, if any, aw diwloeed io the Notes on Aooeunb. FtaviiKM ii made in ft*

whkfa M« Ulaly to mafcrialiae into liabililMt altar MM yaar «nd till «w approval bytttBaariofDmctanaod
which have material affect on <be position stattd in to Balance Steel.

2 Preliminary Expenses:

Preliminary Expenses will be amortiMd Ihom die yev.te company catuncnoei camnMrcial opmlicm.

NOTES ON ACCOUNTS:

capital 10 comply wifc Mi now mpiMMMtf.

tonpM. PantHMte Uu Onft

ReotbKtatoi SdieaM (DKS) of» rf(MIL),i
of the Boafd for todutkbl mA Fwaneal Rmottuetia^ <wOMiiicalDMakM«rM
ahall ve»t in te Company wi* «|ftet ftoM to appoiataddaM (in Manh, MI3). a« a
• ^^^~.^ J .—.t^-- -^ . ^ ^• , A-linf, I-
VWB|PtpmBiM pEMR§flOmMm OMH| WIMM m
dependent upon to final outoone, nnOinn tad uonnqaaiHly, indn^emeniatiaaar*ii«DRSorMIL.

3. Eamingf per ahare

Ewninaa par aten (ne«ativ«) if caloulatad by 4hMh« *• IOM anr^ulaU* k> «M I

r of equity ahiwM ouMMdiaf dHrint te period/year w i

1 AM anir tut (to Kuftaw)

-._^_^t j g_
W«igt«ad av^a* mMbar of Bq
w «
Batic/DiluMd Pm>hni par Am (In kupaw) (Ml33; (38171
Nominal V*hM Mr ahm (in Rupta*) 10.00 10.00
 BALANCE SHEET ABSTRACT AND COMFANVS GENERAL, BUSINESS PROFILE
I Registration No. 11-3499 Stale Code: 11
Balance Sheet Data 28.02.2002

II Capital rawed during the year (Amount in Rs. Thousand*)

Public Issue Rights Issue
NIL NIL
Bonus Issue Private Placement
NIL NIL

HI Powlion of Mobilisation and Deployment of Funds

(Amount in Rs. Thousands)
Total Liabilities Total Assets
275 275

Sources of Funds:

Paid up Capital Reserves and Surplus

NIL
Secured Loan* ! Unsecured Loans
NIL NIL

Application of Funds

Net Fixed Assets Investments

NIL NIL
Net Current Assets ram
-21S 95
Accumulated Losses
124

IV Performance of Company (Amount in Rs. Thousands)

Turnover
NIL 2S
Loss bafcrs Tax < Loe. after Tax
as 21
Earnings per sham in Rs. Dividend*
(Refer note 3 of Schedule 4) NIL

Generic Names of Three Principal Products / Services of Company

(as par monetary terms)

Item Code No. (ITC CODE) NX

KA.

Figures of thb current year an for a period of 11 M i or UM ydviotts yiv MM

and hence an not comparable. Figurae of the
of the currant year.

Signatures to Schedules 1 to 4

As per our attached report of ev*a date

For C.C.CHOKSHIACO. H.A.MAF,

Chartered Accountant* Chairman Director

V.R.OUPTE U.M.KARNIK
A. SIDDHARTH Director Director
PARTNER

C.R.OUPTE
Diracior

Mumbai
1 AUG 2002 Dated:
1 AUG 2002
•FINS RUI

ACCOUNTS
FOR THE YEAR ENDED

31st MARCH 2001

 POLYOLEFINS RUBBER CHEMICALS UNITED.

BALANCE SHEET AS AT 31st MARCH, 2001

Schedule As at
31-3-2000
No. Rupees Rupees Rupees

SOURCES OF FUNDS

1. Shareholders'funds :

Capital 900 900

TOTAL 900 900

APPLICATION OF FUNDS

1 Current Assets, Loans and Advances

Cash and bank balances 30,970 8,220

30,970 8,220
Less:
Current Labilities and Provisions:
Liabilities 221,250 171,250

221,250 171,250

Net Current Assets (190,280) (163,030)

2 Miscellaneous expenditure (to the

•extent not written off or adjusted):
Preliminary Expenses 94,540 94,540

t .3lPro$t and Loss Account 96,640 69,390

TOTAL 900" 900

fr 'As per our attached report of even date

i .
. ( For C. 9Xhokshi & Co.
', Chartered*Accountants
• " » *V ' V A '

P, B . PARDlWALiA H. A . WAFATLAL N. M. DHULDHOYA

Partner • Chairman Doctor

V. R . GUPTE R. S . DESA1
Director Director

U. M. KARNIK C. R . QUPT1
Director Director
Mumbai, Dated:
 POLYOLEFINS RUBBER CHEMICALS LIMITED.

PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31st MARCH, 2001

Forth* period
1stApriM999to
31st March 2000
Rupees Rupees Rupees

INCOME NIL NIL

EXPENDITURE

Audit Fees 26,250 26,250

Legal and Professional Charges 1,000 1,490
Bank Charges 900
27,250

Loss before tax (27,250) (28,640)

Loss brought forward from previous year (69,390) (40,750)

Balance carried to Balance Sheet (86.640) (69.390)

As per our attached report of even date

For C. C. Chokshi & Co.

Chartered Accountants

P. B . PARDIWALLA H. A . MAFATLAL N. M . DHULDHOYA

Partner Chairman Director

V. R. GUPTE R. S . DE8AI
Director Director

U. M. KARNIK C. R. OUPTE
Director Director
Mumbai, Dated:
 POLYOLEFINS RUBBER CHEMICALS LIMITED.

SCHEDULES FORMING PART OF BALANCE SHEET

AS AT 31 st MARCH, 2001

As at
31-03-2000
SCHEDULE 1 : SHARE CAPITAL Rupees Rupees

Authorised :

10,00,000 equity shares of Rs.10 each 10,000,000

Issued & subscribed :

90 equity shares of Rs.10 each,

fully paid-up 900 900

TOTAL 900 JOO

SCHEDULE 2 : CASH AND BANK BALANCES

Bank balance with a Scheduled Bank in current account. 30,970 8,220

TOTAL 1220

SCHEDULE 3 : CURRENT LIABILITIES

Sundry creditors 26,250 26,250

Advance from National Organic Chemical Industries Ltd. 195,000 145,000

TOTAL 221.250 171.250

 SCHEDULES ATTACHED TO AND POMMNO PART OF IALANCE SHEET AS AT Mat MARCH. 1001

ACCOUNTING POLICIES AMD NOTES TO ACCOUNTS

I Accounting Policy
Puouarrt to a pnipoeadscherMoidaHiwfDat of National CWoanfcC^^ OwWon of NCX3L ,wM
be tranatanad to Itn company wtji affect ncm 1*October 19M. Ai the neceiaary appro** *or ImptementiBon of the achama to* net ye'.: • rtcefcad by NOCtt..
the accaunta (or»* year have been prepared wthout gMng efl<^- -o th« da-merger prepoaal. Can*tqu*nt «dju«0i»i«» In the accounts at tno company wtl tw mad*
»fl»f the nttvtrt appfBMla am omaln»d by NOOL and the de-mfiflw »cnem« H Implementxl

II Prallmlnaiy Exp*nm
Preliminary anpances wW be arncrtind from the year me company commence* < rcMpradu

Payment to AudNan

Rl^WM

I Audit Fees 26,250 M.250

II AiaoVkjer, or tn any other capacty In raapact of:

0 Company law mattan
I) In any other manner^ caiUnualMi Hork)

ct and Company t Oe

I KaoMnlla

1 I 1 I • I 4 I • I 1. J. 1
gdaLMI)
Balance SheatDate I t I 1 I | 0 |^» I 0 I 1 I

«pNal Haloed durtnfl«ia Year (Amount Hi Ha. Tnousand*)

PuMfclaauo
I I - I - I
Bonoato

ML PoaHlon 01 MooHiaflltofi and Daptoynont of Punda

(Amount m Ra. Thouaanda)
Total UabHBaa Total Aaaen
JJL
Soumaa of Funda

I I

I I
Application of Funda
NetF>»dAaaa<a
i r
Mat Currant
1 I « I 0 111

I I
IV. Paiionnanoa of Coiiipwy (AejieMfii HI na> inouaanda}

Turnover ToWE.

Tax
1
JLJ* .' !
(Piaaaa'DckAopnpnaiaboK **» PtaH-lor Law)
i. " i
Earning Par Stiare to Ra.
I I I * I * I
V. Oanana Maaiea of T»ree PrUnfral Produata/i-arrteei t» Company
(4M pf HMMRMy IMinel)

Kama Co*(ITC Coda) I M I I

ZEU

1TO 3)
Aa per our attachod report otevwi data

ForC.C. ChokaN4Co.
Chartered Accountanti

P.a PAROfWALLA KAMAFATLAL M. M. OHULDHC3YA

V. R.OUPTE R.S.DMA!

0. M. KARMK C R.OUPTE
Onctor
Humbal, Datad :
ACCOUNTS
3RTHEYEARENDB

31st MARCH 2000

CCChokthlftCo.
Charwnd Accountants

Baekbay Acclamation,
Mumbai-400020.
India.

T«t: +91(22)2854330
Fax: +91(22)2024499
CCChokrfhi

Auditors' Report to the Shareholders

We have audited the attached Balance Sheet of Polyolefins Rubber Chemicals
Limited as at 31st March, 2000 and also the Profit and Loss Account of the company
for the year ended on that date, annexed thereto, and report mat:

1. As required by the Manufacturing and Other Companies (Auditor's Report)

Order, 1988, issued by the Central Government in terms of Section 227 (4A)
of the Companies Act, 1956, we give in the Annexure, a statement on the
matters specified in paragraphs 4 and 5 of the Order.

2. Further to our comments in the Annexure referred to in paragraph 1 above, we

report that:

a) we have obtained all the information and explanations which to the

best of our knowledge and belief were necessary for the purposes of
our audit;

b) in our opinion, proper books of account as required by law have been

kept by the company so far as appears from our examination of the
books;

c) the Balance Sheet and Profit and Loss Account dqalt with by this
report are in agreement with the above books of account;

d) in our opinion, the Balance Sheet and Profit and Loss Account comply
with the Accounting Standards referred to in sub section (3C) of
Section 211 of the Companies Act, 1956;
I
e) in our opinion and to best of our information and according to the
explanations given to us, the said accounts read with the accounting
policies and notes thereon, give the information required by the
Companies Act, 1956, in the manner so required, and give a true and
fair view:

(i) in the case of the Balance Sheet, of state of affairs of the

company as at 31 "March, 2000, and

(ii) in the case of the Profit and Loss Account, of the loss for the
year ended on that date.

For C. C. Chokshi & Co.

Chartered Accountants

P. B. Pardiwalla
Partner
Mumbai, dated: u. 1
 CCChokshi
&Co.
Annexure to the Auditors' Report
Referred to in paragraph I of our report of even date

1. The company does not have any fixed assets and hence items (i) and (ii) of
clause A of paragraph 4 of the Oder are not applicable.

2. The company has no stocks of finished goods, stores, spare parts and raw
materials and hence items (iii), (iv), (v) and (vi) of clause A of paragraph 4 of
the Order are not applicable.

3. The company has not taken any loans, secured or unsecured, from companies,
firms or other parties listed in the register maintained under Section 301 of the
Companies Act, 1956, and/or from companies under the same management
within the meaning of sub-section (1B) of Section 370 of the Companies Act,
1956.

4. The company has not granted any loans, secured or unsecured, to companies,
firms or other parties listed in the register maintained under Section 301 of the
Companies Act, 1956, and/or to companies under the same management
within the meaning of sub-section (IB) of Section 370 of the Companies Act,
1956.

5. The company has not given any loans, or advances in the nature of loans to
any party.

6. The company has not purchased stores, raw materials including components,
plant and machinery, equipment and other assets, and it has not sold any
goods. Hence items (x), (xi) and (xii) of clause A of paragraph 4 of the Order
are not applicable.

7. The company has not accepted any deposits from the public.

8. The company has not commenced manufacturing activities and hence the
question of complying with item (xiv) of clause A of paragraph 4 of the Order
as regards maintenance of records for sale and disposal of realisable by-
products and scraps does not arise.

9. As the paid up capital of the company did not exceed Rs. 25 lacs at the
commencement of the financial year, and as the question of an average annual
turnover exceeding Rs. 2 crores lor a period of three consecutive years does
not arise, this being the second financial year, item (xv) of clause A of
paragraph 4 of the Order is not applicable.

10. The company has not carried out any manufacturing activities and hence
requirement of item (xvi) of clause A of paragraph 4 of the Order as regards
maintenance of cost records is not applicable to the company.
 C.CChokshi
*Co.
11. The company does not have any employees and hence the requirement of item
(xvii) of clause A of paragraph 4 of the Order as regards depositing of
Provident Fund and Employees' State Insurance dues with the appropriate
authority is not applicable to the company.

12. According to the information and explanations given to us, no undisputed

amounts payable in respect of income tax, wealth tax, sales tax, custom duty
and excise duty were outstanding as at 31st March, 2000, for a period of more
than six months from the date they become payable.

13. According to the information and explanations given to us, no personal

expenses of employees or directors have been charged to revenue account.
' • ' '
14. The company is not a sick industrial company within the meaning of clause
(o) of sub-section (1) of Section 3 of the Sick Industrial Companies (Special
Provisions) Act, 1985.

For C. C. Chokihi & Co.

Chartered Accountants

P. B. Pardiwalla
Partner
Mumbai, dated: <+) '
POLYOLEFINS RUBBER CHEMICALS LIMITED
Plot No. C-37, Off Thane Belapur Road, Turbhe, Navi Mumbai - 400 705
Tel. No.: 767 2735; 767 2789

DIRECTORS' REPORT
t

The Directors present to you the Second Report of the Company for the year ended 31" March,
2000

FINANCIAL RESULTS
During the year under review the Company has incurred expenses of Rs.28,640/- towards audit
fees, bank charges and legal charges. As the Company has not yet started either trading or
manufacturing activities, the Directors do not recommend any dividend for the year.

DEPOSITS
The Company has not accepted any deposits and hence there were no outstanding deposits as on
31 "March, 2000.

CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN

EXCHANGE EARNINGS AND OUTGO.
As the Company has not started manufacturing activities, there are no particulars to be published
in this report as required by section 217 (1) (e) of the Companies Act, 1956 relating to
conservation of energy and technology absorption. There was no foreign earning or outgo during
the year.

PARTICULARS OF EMPLOYEES
As there were no employees drawing any salary, the provisions of section 217 (2A) of the
Companies Act, 19S6 are not applicable to the Company.

DIRECTORS
At the forthcoming Annual General Meeting Dr. Narayan M. Dhuldhoya and Mr. Ramesh S.
Desai will retire by rotation pursuant to Article 127 of the Articles of Association. Being eligible,
they offer themselves for re-appointment.

AUDITORS
The term of Messers C.C. Chokshi & Co. as Auditors, expires at the conclusion of this Annual
General Meeting and they are eligible for re-appointment. The Auditors have given a Certificate
to the effect that the re-appointment, if made, will be within the prescribed limits specified under
section 224 (IB) of the Companies Act, 1956.
For and on behalf of the Board

HrishikeslTA. Mafatlal
Chairman
Mumbai
4lh September, 2000
*6:\prcl\prcUgm'OO.doc
 POLYOLEFIN3 RUBBER CHEMICALS UNITED.

BALANCE SHEET AS AT 31st MARCH, 2000

Schedule As at
31-3-1999
No. Rupees Rupees Rupees

SOURCES OF FUNDS

1. Shareholders'funds :

Capital 900 900

TOTAL too 900

APPLICATION OF FUNDS

1 Current Assets, Loans and Advances:

Cash and bank balances 2 8,220 1,360

•,220 . 1,360
Currant Liabilities and Provisions.
Liabilities 171,250 135,750

171,250 135,750

Nat Current Assets (183,030) (134,390)

2 Miscellaneous expenditure (to the

extent net written off or adjust*!):
Preliminary Expenses 94,540 94,540

3 Profit and Loss Account 69,390 40,750

TOTAL 900 loo"

As per our attached report of even date

For C. C. Chokshi & Co.

Chartered Accountants

P. B. PARDIWALLA H. A . MAFATLAL
Partner . Chairman

CERTIFIED TRUE COPY

V. R. OUPTE R. S.DCSAI
RUBBER CHEMICALS Director Director

U. M. KARNIK R. GUPTE
Director Director
Mumbai, Dated : ieo
 POLYOLEFIN8 RUBBER CHEMICALS LIMITED.

PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31«t MARCH, 2000

For the period

25th June 1998 to

Rupees Rupees Rupees

INCOME NIL NIL

EXPENDITURE

Audit Fees 26,250

Legal and Professional Charges 1,400 40,750 —
Bank Charges 900
28,640

Loss before tax (28,640) (40,750)

Loss brought forward from previous year (40,750)

Balance carried to Balance Sheet ffli.300) (40.780)

As per our attached report of even date

For C. C. Chokshi & Co.

Chartered Accountants

P. 8 . PARDIWALLA H. A . MAFATLAL M. DHUti

Partner Chairman Director

CBRTIFJBD T&UB COPY

V. R . QUPTE R. S. DESA!
Director Director
RUBBEI

U. M . KARNIK C. R. QUPTE
Director Director
Mumbai, Dated :
 POLYOLEFINS RUBBER CHEMICALS LIMITED.

SCHEDULES FORMING PART OF BALANCE SHEET

AS AT 31*1 MATCH, MOO

As Bt
31-83-1089
SCHEDULE 1 : SHARE CAPITAL Rupees Rupees

Authorised :

10,00,000 equity shares of Rs. 10 each 10.000.000

Issued & subscribed :

90 equity shares of Rs. 10 each,

fully paid-up 900 900

TOTAL joo

SCHEDULE 2 : CASH AND BANK BALANCES

Bank balance with a Scheduled Bank in current account. 8,220 1,360

TOTAL

SCHEDULES : CURRENT LIABILITIES

Sundry creditors 26,250 40,750

Advance from National Organic Chemical Industries Ltd. 145,000 95,000

TOTAL 171.280
 •CHCDUUH ATTACHID TO AND POMMM MUT OP MLAHCIMHT At AT tM MMCM. MM
pouum AMD norta TO *ecomrr»
I Pumimt«otp«B|»«»diu»i»m»«»di until a NOOL.tl*

HHrt» nHnM iniimuli ii» uttttat »f MOOL Mdt» <

H B» iiminiMi] trocn m» y««Hh«

CB1TIEIBD TEOB COPY

I AuoMFoM 26,290 jjooo ft* KH.YOLEF1NS RUC..,t CHEMICALS

II MMMnr,or n Miy otiwr ap*c<y n mptct oi
OCornpinriMiMttin 2S.OOO
i) M my Mw IMMWT( MrtflnMn iwrk)

No I 1 I 1 I i I 4 I t I • I ri i i
•CMttMl)
* ' I -»
ee>1.1 I • I 0 I

n. CI»MI *•!•«« daunt an YMrlAiimiimii Hi.

(Amount to R». Thowntt)

<*»»»
I I I T I 7 |7 i »

trtl«IAl»
i i i .T -
rrrrr
IV.

at
»nd pa »

NKMCixli(fFCCod*) i I N I r~nr
« * MMM «M « • »Me<in«l|)«r « 1t I

At p« our MMM* IMMM «• WKll •*•

ForC.C. ChoM«40o.

<^^Y
P.K PAMOMMUA KAIMmTUi ^,

fr£—ai V.ROUPTC . I
/2&
HAM*

V—«^ &%£-*££
U.ULKAMMK
OMeMr
-V€^|-
feUOUWt
j-^ ^QlMBiir' '