31St March, 2014

FORT MAHODADHINIVASPALACEPRIVATE LIMITED

R,EGD. OFFICE:70:C. NEI:lRUR.04J:). VI.LE PARLE(EAST), MUMBAI - 400099.

4 t h ANNUAL REPORT

STATEMENT OF AUDITED ACCOUNTS

FOR THE YEAR ENDED

31'" MARCH 2014

AUDITORS: MESSRS J. P. CHATURVEDI & CO

Chartered Accountants

H:

FORT MAHODADHINIVAS PALACE PRIVATE LIMITED Registered Office: '70-C, Nehru Road, VileParle (East), Mumbai ~ 400099

BALANCE SHEET AS AT 31ST MARCH, 2014

PARTICULARS

EQUITY AND LIABILITIES:

Shareholder's Funds:

(a) Share Capital (b) Reserves and Surplus

Non-Current Liabilities:

(a) Other Long Term Liabilities

Current Liabilities:

(a) Other Current Liabilities

TOTAL

ASSETS:

~on.Current Assets:

(a) Fixed Assets: (i) Tangible Assets (ii) Intangible Assets (iii) Capital Work-in-Progress

(b) Deferred Tax Asset (Net) (c) Long Term Loans & Advances (d) Other Non-Current Assets

Current Assets:

(a) Trade Receivables (b) Cash and Cash Equivalents (c) Short Term Loans & Advances (d) Other Current Assets

TOTAL

Summary of significant accountlng policies

The accompanying notes are an integral part of the financial statements

Amount in Rs.

As at 31st As at 31st

NOTE March,2014 March,2013

2 100,000 100,000 3 (2,492,648) (49,723)

4 201,733,266 200,901,646

5 186,395 2,809

199,527,013 200,954,732

6 194,734,756 199,201,236 6 20,750 24,764 6 ,1,569,193 832,725

7 1,110,405 8 243,273 9' 11,889 14,267

10 859,596 11 83,173 105,362 12 110,000 13 783,976 776,378

199,527,013 200,954,732

1

1 to 19

For and on behalf of the board of directors of

FORT MAHODADHINIVAS PALACE PRIVATE LIMITED

""~~~

FORT MAHODADHINIVAS PALACE PRIVATE LIMITED Registered Office:70-C,'Nehru Road, VileParle (East), Mumbai - 400099

STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED 31ST MARCH, 2014

Amount in Rs. YEAR ENDED

PARTICULARS NOTE 31ST MARCH,

2014 31ST MARCH,

2013

INCOME:

Income 14 2,432,736

Total Revenue 2,432,736

EXPENSES:

Other Expenses 15 1,41B,490 34,540

Total Expenses 1,418,490 34,540

Profit before Depreciation and Tax 1,014,246 (34,540)

Less: Depreciation 4,567,578

Profit/(Loss) Before Tax (3,553,330) (34,540)

Less: Tax Expenses: Current Tax Deferred Tax (1,110,405)

--~~~ . Profit/(Loss) for the year (2,442,925) (34,540)

EARNINGS PER EQUITY SHARE:

Equity shares of par value Rs. 10/- each

Basic and Diluted 16 (244.29) (3.45)

Summary of significant accounting policies

The accompanying notes are an int ral part of the financial statements 1 to 19

For and on behalf of the board of directors of FORT MAHODADHINIVAS PALACE PRIVATE LIMITED

Dr. VITHAL • KAMATl· G'~--t=Directorector

FORT MAHODADHINIVAS PALACE PRIVATE LIMITED Registered Office: 10-C, Nehru Road, Vile Parle (East), Mumbai - 400099

CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH 2014 (Amount in Rs)

2013-14 2012·13

A. CASH FLOW FROM OPERATING ACTIVlTlliS

Net Profit / (Loss) after tax and before adjustments (2,442,925) (34,540) Adjusted for: Depreciation 4,567,576 Deferred Tax (1,110,405) Preliminary Expenses 2,378 2,378

Operating Profit before workingcapitalchanges 1,016,624 (32,162)

Trade and other Payables 183,586

Trade and other receivables (977,196) (774,001)

Income Tax Paid (243,273)

Net cash from Operating Activities 59 (806,163) ___-"(2""0"',2"':L. -----'=="­)

B. CASH FLOW I'ROM INVESTING ACTIVITIES Purchase ofEixed Assets (Including Capital Work in progress) (833,550) (199,226,000)

Net cash (used) in Investing activities (199,226,000)__--'(""83"'3"',5:::,:50:1...) _--"",-,-,=-,-,-",,­

C CASH FLOW FROM FINANCING ACTIVITIES

Proceed from Long term Borrowing 831,620 200,038,000

Net cash (used in) I from Financing activities 831,620 200,038,000

NET INCREASE I (DECREASE) IN CASH AND CASH EQUIVALENTS: (22,189) 5;837

Opening Balance of CASH & CASH EQUIVALENTS 105,362 99,525

CASH & CASH EQUIVALENTS AS AT 31.03.2014 (Note 11) 83,173 105.362

FORAND ON BElIALI' OF THE BOARD OF DIRECTORS OF FORT MAHODADHINIV PALACE PRIVATE LIMITED

~Dr. VUHA V. KAMAT G.N.SHE~

pi rector Director /

FORT MAHODADHINIVAS PALACE PRIVATE LIMITED Regislered Office: 70-C, Nehru Road, Vile Parle (East), Murnbai - 400099

NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2014

I SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: 1,1 Basis of Accounting:

The financial statements are prepared under historical cost-convention on accrual basts and are in accordance with accounting principles generally accepted in India and are in compliance with the Accounting Standards as notified by the Companies (Accounting Standards) Rules, 2006. .

1.2 Investments: Non-current investments are valued at cost

1.3 Prior Period Adjustments, Extraordinary items and Changes in Accounting Policlesc

Income andexpenditure pertaining to prior period and extraordinary it~ms and changes in accounting policies, where material are disclosed separately.

1.4 Revenue Recognition:

Revenue is recognised as per Accounting Standard 9 "Revenue Recognition" notified by the Companies (Accounting Standards) Rules, 2006. Revenue from service transactions is recognized as,the service is performed and completed. Dividends are recorded when the right 10receive payment is established.

1.5 Taxes on Income:

Taxon income for the current period is determined on the basis of taxable income and tax credits computed in accordance with the provisions of the income Tax Act, 1961. Deferred tax is recognised on timing differences between the accounting income and the taxable income for the year, and quantified using the tax rates and' laws enacted as on the Balance sheet date. Deferred tax assets are recognised and carried forward to the extent that there is a reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be 'realised.

1.6 Preliminary Expenditure Preliminary Expenditure is carried as an asset and amortised over a period of 10 years.

1.7 Fixed Assets Fixed Assets are stated at cost of acquisition Including related expenses Jessaccumulated depreciation.

2 SHARE CAPITAL, Amount in Rs. AS AT 31ST AS AT 31ST

MARCH,2014 MARCH, 2013 AUTHORISED:

50,000 Equity Shares of Rs.10/- each 500,000 500,000 (Previous year 50,000 Equity Shares of Rs. 10/- each).

500,000 500,000

ISSUED ,SU8SCRI.8ED AND FULLY PAID UP,

10,000 Equity Shares of Rs. 10/- each, fully paid up 100,000 100,000 (Previous year 10,000 Equity Shares of Rs. 10/-each).

Total 100,000 100,000

Notes: 2.1 Terms! rights attached to equity shares

The Company has only class of equity shares having a par value of Rs. 10 per share. Each holder of equity share is entined to one vote per share. The Company declares and pays dividend in Indian rupees

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution wlll be in proportion to the number of equity share held by the shareholders.

FORT MAHODADHINIVAS PALACE PRIVATE LIMITED Registered Office: 70-C, Nehru Road, VileParle (Easl), Murnbat • 400099

NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2014. ,

22 Details of Shareholders holding more than 5% shares in the Company,-. AS AT 31STMARCH 2014 AS AT 31STMARCH 2013

~ame of Shareholders Number % holdll:lQ in the Number % holdlfl9 In the class class

KamatHotels (India) Limited 10,000 100% 10000 100%-

3 RESERVES AND SURPLUS:

Amount in Rs. AS AT 31ST AS AT 31ST

MARCH,2014 MARCH,2013

Surplus/{Peficit) in the statement of profit and loss Balance as per lastfinancial statements (49,723) (15,183)

(Loss) for the year (2,442,925) (34,540)

Tolal (2,492,848) (49,723)

4 OTHER LONG-TERM BORROWINGS

From a Company Dr. Vithal V. Kamat

201,733:266 19,380

200,882,266 19,380

Tolal 201,752,646 200,901,646

5 OTHER CURRENT LIABILITIES

Other payables Audit fees

.FftnessCorner Government Dues

2,809 1,500

182,086

2,809

Tolal 186,395 2,809

FORT MAHODADHINIVAS PALACE PRIVATE LIMITED

NOTES TO FINANCIAL STATEMENTS FOR-THE YeAR ENDED 31st March,2014

6 FiXED ASSETS:

GROSS BLOCK (AT COST) DEPRECIATION NET BLOCK AS AT DEDUCTIONS f AS AT UPTO ·FORTHE DEDUCTIONS I AS AT AS AT AS AT

PARTICULARS Rate 01.04.2013 ADDITIONS DEMERGER 31.03.2014 01.04.2013 YEAR DEMERGER 31.03.2014 31.03.2014 31.03.2013

TANGIBLE ASSI:.T$; Building Leasehold 2,17 192.926.762 42482 192,969,244 - 4.186,968 4,186,968 168}82,276 192,926,762

Purinlture & Fixture. 9.5 901.252 901.252 - 85,619 85,619 815,633 901,252

OfficeEquipment Office Equipment 4.75 7,894 7,894 375 375 7,519 7,894 Computer 16.21 53.665 53,665 8,699 8,699 44.966 53,665

Plant & Machinery AC. Plant & Air Conditioners 5.28 784,861 784,861 - 41,441 41,441 743,420 784,861 AuclioNideo, TV & Music Systems 5.28 239,356 2'3'9,356 12,638 12,638' 226,718 239,356 Diesel Generator Set 5.28 575,964 575,964 - 30,411 30,411 545,553 575,964 Electrical Eqaiprnent& Installation 5.28 2,824.174 2,624,1..14 - 138,556 138,556 2,485,618 2,624,174 Fire Fighting Equipmenls 5.28 30,089 30,089 - 1,589 1,589 28,500 30,089 snc-ren Equlprnents 5.28 30,095 30,095 1,589 . 1,589 28,506 30,095 Miscellaneous & General Equipments 528 705,284 705,284 37,239 37,239 668,045 705,284 Refrigeration& Cold Storage 5.28 231,116 23U16 - 12,203 12,203 218,913 231,115 'telephone Equipments& Installation 5.28 70,387 70,387 - 3,716 3,716 66,671 70,387 Wamr Pumps 5.28 20,337 20,337 - 1,074 1,074 19,263 20,337 Health Club Equiprnents 5.28 54600 54,600 1.445 1,445 53,155 -

Total 199,201,236 97,082 - 199,298,318 - 4,563,562 - 4,563,562 194,734,756 199,201,236

Previous Year Total - 199,201,236 - 199,201,236 . - . - 199,201,236

INTANGIBLE ASSETS Cornputer Software 16.21 24,764 I 24,764 \ - I 4,0141

I 4,014 20,750 24,764 1

Total 24,7.64 - - I 24,764 I - I 4,014 I - 4,014 20,750 24,764

srevtcus Year. Total - 24,764 - 24,764 - - 24,764 .

Ca ital Work. in Proeress - 832,725 736,468.00 - I 1 569,193 - 1,569193 Previous Year Total 832,725 - - 832,725 - - - 832,725

$-­

FORT MAHODADHINIVAS PALACE PRIVATE LIMITED . Registered Office:'70-C, Nehru Road, Vile Parle (East), Murnbai- 400099

NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2014

INCOME

14 INCOME

Amount in Rs. YEAR ENDED

31ST MARCH. 31ST MARCH, 2014 2013

Roya!ly Income 2,432,736

Total 2,432,736

15 OTHER EXPENSES Auditors Remuneration (Refer Note 14.1) Bank Charges

Credit Card Charges Conveyance, Lease Rent Legal & Prefessional Fees Miscellaneous Expenses Postage & Telegram Prelrminary Expenses W/aff Rent, Rates & Taxes ROC Fee Sundry Balance W/o!f

Total 15.1 Payment to Auditor

Audit Fee Service Tax

Total

16 Earning Per Share ,(E:P.S.) under Accounting Standard

(Loss) after Tax as per accounts No. of Shares Issued Nominal Value of Share Basic and Diluted E.P,S.

FORT MAHODADHINIVAS PALACE PRIVATE LIMITED Registered Office: 70-C, Nehru Road, Vile Parle (East), Mumbai - 400099

NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2014

17 Related Party' Disclosures:

Related Parties where controrexists: (a) Holding Company: Kamal Hotels (India) Ltd (a) Subsidiary-Company: None (b) Individual/Enterprises having significant influence over the Company: None (c) Key Management Personnel: None (d) Other related parties with wnom transactions have taken place during the year; Dr, Vithal V. Kamal

(e) Summaryof'trausactions during the'year with Related Parties entered into on conuuercialbasis in the interest of the Company and approved by the Board and status of outstanding balances as on 31stMarch, 2014:

Amount in Rs. Name of Related Party YEAR ENDED

31ST MARCH, 31STMARCH, 2014 2013

Holding Company Kamat Hotels (India) Ltd Royally Income 2,432,736 Nil Purchase of Fixed Assets Nil 200,000,000 Amount Receivable ~ year end balance 859,596 Nil Corporate Guarantee given to bankers for Credit Facility availed by Kamat Hotels (India) Ltd 3,858,300,000

Other related parties with whom transactions have taken place during the year Dr. Vithal V. Kamat Amount repaid 19380 Amount payable - year.end balance 19,380

18 There were no amounts due and remaining unpaid to suppliers covered under Micro, Small & Medium Enterprises Development Act, 2006 (MSM Act) on account of principal and/or interest as at the close of the financial year. This disclosure is based on the information available with the Company regarding the status of the suppliers as defined under the MSM Act, 2006.

19 Additional Information: Amount in Rs. YEAR ENDED

31ST MARCH, 31STMARCH, Particulars 2014 2013

a) Value of Imports (C.I.F.Value): Nil Nil b) Expenditure ill Foreign Currencies: (on accrual basis) Nil Nil c) Earning in foreign exchange: Nil Nil d) Number of non-resident shareholders: Nil Nil

e) lnformatlon on other matters as required in Part I and Part [J of Schedule VI to the Companies Act, 1956 not been given as the relevant mailers were not ap icable to the Company and I or did not exist during the year.

Forand on behalfof the board of directors of FORTMAHODADHINI iIILACE PRIVATE LIMITED

Mumbai: