25-27, N. S.
Road, Kolkata 700 001
NOTICE
Notice is hereby given that the Forty- Fifth Annual General Meeting
of the Members of TANTIA CONSTRUCTIONS LTD will be held
at Bharatiya Bhasha Parishad, 36A, Shakespeare Sarani, Kolkata-
700017, on Wednesday, the 15th day of September, 2010 at 3:00
p.m. for the transaction of following businesses:
ORDINARY BUSINESS
1. To receive, consider and adopt the Profit and Loss Account for
the year ended 31st March, 2010 and Balance Sheet as at that
date and the Reports of Auditors and the Directors thereon.
2. To declare Dividend.
3. To appoint Sri H. S. Sinha who retires by rotation and being
eligible, offers himself for re-appointment.
4. To appoint Sri Sarit Kumar Bose, who retires by rotation and
being eligible, offers himself for re-appointment.
5. To appoint Auditors and to authorised the Board of Directors to
fix their remuneration. In this connection, to consider and, if
thought fit, to pass, with or without modification(s), the following
resolution as an Ordinary Resolution:
RESOLVED THAT M/s. Konar Mustaphi & Associates, Chartered
Accountants, Kolkata having FRN-314125E be and are hereby
appointed as Statutory Auditors of the Company in place of M/s. S.
M. Bengani & Co. to hold office until the conclusion of the next
Annual General Meeting of the Company on such remuneration as
may be fixed by the Board of Directors.
SPECIAL BUSINESS
6. To consider and, if thought fit, to pass, with or without
modification(s), the following resolution as Special Resolution:
RESOLVED that in accordance with the provisions of sections 198,
269, 309 read with Schedule XIII, as amended up to date, and all
other applicable provisions, if any, of the Companies Act, 1956 (the
Act) including any statutory modification or re-enactment thereof
and subject to such consent and approvals as may be necessary, the
Company hereby approves the terms of re-appointment of and
remuneration payable to Sri I. P. Tantia as Chairman & Managing
Director of the Company for a period of three years with effect from
1st April, 2010 on terms set out in the explanatory statement with
liberty to the Board of Directors (hereinafter referred to as the
Board which term shall be deemed to include any Committee which
the Board may constitute) to alter and vary the terms and conditions
of reappointment and/or remuneration so as not to exceed the
overall ceiling as stipulated in Schedule XIII appended to the Act and
as may be agreed to by and between the Board and Sri I. P. Tantia.
RESOLVED FURTHER that where in any financial year, the Company
has no profits or its profits are inadequate, the remuneration paid
to Sri I. P. Tantia, as Chairman and Managing Director of the
Company shall be treated as minimum remuneration as provided
under the Act.
RESOLVED FURTHER that for the purpose of giving effect to above
resolutions, the Board of Directors be and is hereby authorised to
do all such acts, deeds, matters and things as may be, in their
absolute discretion, deemed necessary, expedient, usual or proper
in the best interest of the Company.
7. To consider and, if thought fit, to pass, with or without
modification(s), the following resolution as Special Resolution:
RESOLVED that in accordance with the provisions of sections 198,
269, 309 read with Schedule XIII, as amended up to date, and all
other applicable provisions, if any of the Companies Act, 1956 (the
Act) including any statutory modification or re-enactment thereof
and subject to such consent and approvals as may be necessary, the
Company hereby approves the terms of re-appointment of and
remuneration payable to Sri Banwari Lal Ajitsaria, as Director
(Business Development) of the Company for a period of three years
with effect from 1st April, 2010 on terms set out in the explanatory
statement with liberty to the Board of Directors (hereinafter
referred to as the Board, which term shall be deemed to include any
Committee which the Board may constitute) to alter and vary the
terms and conditions of reappointment and/or remuneration so as
not to exceed overall ceiling as stipulated in Schedule XIII appended
to the Act, as may be agreed to by and between the Board and Sri
Banwari Lal Ajitsaria.
RESOLVED FURTHER that where in any financial year, the Company
has no profits or its profits are inadequate, the remuneration paid
to Sri Banwari Lal Ajitsaria, as Director (Business Development) of
the Company shall be treated as minimum remuneration as
provided under the act .
1
 RESOLVED FURTHER that for the purpose of giving effect to above
resolutions, the Board of Directors be and is hereby authorised to
do all such acts, deeds, matters and things as may be, in their
absolute discretion, deemed necessary, expedient, usual or proper
in the best interest of the Company.
8. To consider and, if thought fit, to pass, with or without
modification(s), the following resolution as Special Resolution:
RESOLVED that in accordance with the provisions of sections 198,
269, 309 read with Schedule XIII, as amended up to date, and all
other applicable provisions, if any of the Companies Act, 1956 (the
Act) including any statutory modification or re-enactment thereof
and subject to such consent and approvals as may be necessary, the
Company hereby approves the terms of re-appointment of and
remuneration payable to Sri Rahul Tantia, as Director (Operations)
of the Company for a period of three years with effect from 1st April,
2010 on terms set out in the explanatory statement with liberty to
the Board of Directors (hereinafter referred to as the Board which
term shall be deemed to include any Committee which the Board
may constitute) to alter and vary the terms and conditions of
Notes:
1. A Member entitled to attend and vote at the Annual General
Meeting (AGM) is entitled to appoint a proxy to attend and vote
on a poll instead of himself and the proxy need not be a Member
of the Company. In order to be effective, the Instrument
appointing proxy must be received at the Registered Office of
the Company not less than 48 hours before the commencement
of the AGM.
2. An Explanatory Statement pursuant to Section 173(2) of the
Companies Act, 1956(the Act) relating to the special business set
out at item Nos. 6-8 above is annexed hereto.
3. Corporate Members intending to send their authorised
representatives are requested to send a certified copy of Board
Resolution, pursuant to section 187 of the Companies Act, 1956,
authorizing their representative to attend and vote on their behalf
at the AGM, preferably before 48 hours from the time of AGM for
making necessary arrangement.
4. Members who hold shares in dematerialized form are requested
to write their Client ID and DP ID Numbers and those who hold
shares in physical form are requested to write their Folio Number in
the attendance slip for attending the AGM to facilitate identification
of their membership at the AGM.
5. Members are requested to bring their attendance slip along with
their copy of Annual Report at the AGM.
6. Incase of joint holders attending the AGM, only such joint holder
who is first in the order of names will be entitled to vote.
2
reappointment and/or remuneration so as not to exceed overall
ceiling as stipulated in Schedule XIII appended to the Act, as may be
agreed to by and between the Board and Sri Rahul Tantia.
RESOLVED FURTHER that where in any financial year, the Company
has no profits or its profits are inadequate, the remuneration paid
to Sri Rahul Tantia, as Director (Operations) of the Company shall be
treated as minimum remuneration as provided under the Act.
RESOLVED FURTHER that for the purpose of giving effect to above
resolutions, the Board of Directors be and is hereby authorised to
do all such acts, deeds, matters and things as may be, in their
absolute discretion, deemed necessary, expedient, usual or proper
in the best interest of the Company.
By Order of the Board of Directors
Place: Kolkata Md. Jamshed Alam
Date: 29th May, 2010 Company Secretary
7. The Register of Members and Share Transfer Books of the
Company shall remain closed from 8th September, 2010 to 15th
September, 2010 (both days inclusive).
8. Dividend on Equity Shares as recommended by the Board, if
declared at the meeting will be paid-
a. to those Members whose name appears in the Register of
Members of the Company after giving effect to all valid share
transfers in physical form lodged with the Company on or before 7th
September, 2010.
b. In respect of shares held in electronic form, to those deemed
members, whose names appear on the statements of beneficial
ownership furnished by National Securities Depository Limited
(NSDL) and Central Depository Services (India) Limited (CDSL) at the
end of business hours on 14th September, 2010.
9. In order to provide protection against fraudulent encashment of
dividend warrants, Members who hold shares in physical form are
requested to intimate the Companys Registrar and Share Transfer
Agents, M/s. Maheshwari Datamatics Pvt. Limited (the RTA )under
the signature of the Sole/ First joint holder, the following
information to be incorporated on dividend warrants:
(i) Name of Sole/First holder and the Folio Number
(ii) Particulars of Bank Account viz.:
a) Name of Bank
b) Name of Branch
c) Complete Address of Bank with Pin Code Number
 d) Account Type, whether Savings Account or Current Account
e) Bank Account Number
10. Members may kindly note that the bank account details as
furnished by them or by NSDL / CDSL to the Company, for shares
held in the physical form and in the dematerialised form,
respectively, will be printed on their dividend warrant(s) as a
measure of protection against fraudulent encashment.
11. Non-Resident Indian Members are requested to inform the
Companys RTA immediately of :
a) the change in Residential Status on return to India for
permanent settlement.
b) the particulars of the Bank Account maintained in India with
complete name, branch, account type, account number and
address of Bank with Pin Code Number, if not furnished
earlier.
12. Members desirous of obtaining any information/ clarification(s)
concerning the accounts and operation of the company or intending
to raise any query at the Meeting, are requested to send their query
at least 10 days prior to the date of AGM to the Company Secretary
at the registered office of the Company.
13. Members are advised to refer to the General Shareholder
Information provided in the Annual Report.
14. The Companys Equity Shares are listed on the Bombay Stock
Exchange Limited (BSE) and National Stock Exchange of India
Limited (NSE).
15. Pursuant to provisions of section 109A of the Companies Act,
1956, members can avail of the nomination facility in respect of
shares held by them in physical form by submitting Form No. 2B of
the Companies (Central Govt.s) General Rules and Forms, 1956 to
the Company or RTA.
Explanatory Statement pursuant to Section 173(2) of the
Companies Act, 1956 in respect of Special Business at Item No 6
to 8 of the Notice dated 29th May, 2010 sets out all material
facts as required is annexed and forming part of notice
Item No. 6
Tenure of Sri I. P. Tantia, Chairman & Managing Director of the
Company expired on 31st March, 2010. However, the Board of
Directors, based on recommendations of the Remuneration
Committee, at their meeting held on 29th January 2010, have re-
appointed him as the Chairman & Managing Director of the
Company for a further period of 3 (three years) from 1st April 2010,
pursuant to applicable provisions of the Companies Act, 1956, on
the following remuneration recommended by the Remuneration
Committee.
a) Salary : Rs. 5,00,000/- per month. (To increase by
Rs. 1,00,000/- per month every year effective from 1st April
None of the Directors other than Sri I. P. Tantia and Sri Rahul Tantia
of respective financial year).
b) Perquisites : Perquisites applicable to the Chairman &
Managing Director are as follows:-
i) House Rent Allowance- Rs. 50,000/- per month.
ii) Reimbursement of actual Medical Insurance Premium
paid for self and family subject to maximum limit
provided under Income Tax Act, 1961 from time to time.
iii) Leave Travel Concession/Allowance for self and family,
in accordance with the rules of the Company.
iv) Fees of Clubs (subject to maximum of 2 clubs).
v) Personal Accident Insurance Premium subject to
maximum of Rs. 10,000.
vi) Companys contribution to provident fund and Gratuity
which shall not be included in the computation of limits
for remuneration or perquisites.
vii)Annual 30 days Leave with full pay and allowances and
right to accumulate and encashment as per the rules of
the Company.
c) Commission
In addition to salary, allowances and perquisites, he will be
entitled to a commission of such amount that total
remuneration package shall not exceed five percent of the
Net Profit for one Managerial Person as provided in the
Companies Act, 1956 and/or any other regulations.
d) Minimum Remuneration
Where in any financial year during the currency of the
tenure of Sri I. P. Tantia, the Company has no profits or its
profits are inadequate, the company will consider the
remuneration by way of salary, perquisites as minimum
Remuneration, subject to the ceiling limits prescribed under
Schedule XIII and other applicable provisions of the
Companies Act, 1956.
e) General
i) He shall not be paid any sitting fee for attending meeting
of the Board or Committee(s) thereof.
ii) Subject to the superintendence, control and direction of
the Board, he shall exercise substantial managerial
powers in general and specific powers as may from time
to time be lawfully entrusted to and conferred upon him
by the Board.
iii) Basic Salary or part thereof shall be paid directly to him,
after all statutory deductions, in India as required to
meet his personal maintenance expenses.
iv) The appointment is terminable by either party giving the
other six months notice in writing without assigning any
reason and without liability to pay any compensation.
 are either directly or indirectly, concerned or interested in passing
of proposed resolution.
This explanation together with the proposed resolution is and
should be treated as an abstract under Section 302 of the
Companies Act, 1956.
Item No. 7
Tenure of Sri Banwari Lal Ajitsaria, Director (Business Development)
of the Company expired on 31st March 2010. However, the Board of
Directors, based on recommendations of the Remuneration
Committee, at their meeting held on 29th January 2010, have re-
appointed him as the Director (Business Development) of the
Company for a further period of 3 (three years) from 1st April 2010,
pursuant to applicable provisions of the Companies Act, 1956, on
the following remuneration recommended by the Remuneration
Committee.
a) Salary : Rs. 2,50,000/- per month. (To increase by
Rs. 50,000/- per month every year effective from 1st April
of respective financial year)
b) Perquisites : Perquisites applicable to the Director
(Business Development) are as follows:-
i) House Rent Allowance- Rs. 50,000/- per month.
ii) Reimbursement of actual Medical Insurance Premium
paid for self and family subject to maximum limit
provided under Income Tax Act, 1961 from time to time.
iii) Leave Travel Concession/Allowance for self and family,
in accordance with the rules of the Company.
iv) Fees of Clubs (subject to maximum of 2 clubs).
v) Personal Accident Insurance Premium subject to
maximum of Rs. 10,000.
vi) Companys contribution to provident fund and Gratuity
which shall not be included in the computation of limits
for remuneration or perquisites.
vii)Annual 30 days Leave with full pay and allowances and
right to accumulate and encashment as per the rules of
the Company.
c) Minimum Remuneration
Where in any financial year during the currency of the
tenure of Sri Banwari Lal Ajitsaria, the Company has no
profits or its profits are inadequate, the company will
consider the remuneration by way of salary, perquisites as
minimum Remuneration, subject to the ceiling limits
prescribed under Schedule XIII and other applicable
provisions of the Companies Act, 1956.
d) General
4
i) He shall not be paid any sitting fee for attending meeting
of the Board or Committee(s) thereof.
ii) Subject to the superintendence, control and direction of
the Board, he shall exercise substantial managerial
powers in general and specific powers as may from time
to time be lawfully entrusted to and conferred upon him
by the Board.
iii) Basic Salary or part thereof shall be paid directly to him,
after all statutory deductions, in India as required to
meet his personal maintenance expenses.
iv) The appointment is terminable by either party giving the
other six months notice in writing without assigning any
reason and without liability to pay any compensation.
None of the Directors other than Sri Banwari Lal Ajitsaria himself is,
either directly or indirectly, concerned or interested in the proposed
resolution.
This explanation together with the proposed resolution is and
should be treated as an abstract under Section 302 of the
Companies Act, 1956.
Item No. 8
Tenure of Sri Rahul Tantia, Director (Operations) of the Company
expired on 31st March 2010. However, the Board of Directors, based
on recommendations of the Remuneration Committee, at their
meeting held on 29th January 2010, have re-appointed him as the
Director (Operations) of the Company for a further period of 3 (three
years) from 1st April 2010, pursuant to applicable provisions of the
Companies Act, 1956, on the following remuneration recommended
by the Remuneration Committee.
a) Salary : Rs. 2,50,000/- per month. (To increase by
Rs. 50,000/- per month every year effective from 1st April
of respective financial year)
b) Perquisites : Perquisites applicable to the Director
(Operations) are as follows:-
i) House Rent Allowance- Rs. 50,000/- per month.
ii) Reimbursement of actual Medical Insurance Premium
paid for self and family subject to maximum limit
provided under Income Tax Act, 1961 from time to time.
iii) Leave Travel Concession/Allowance for self and family,
in accordance with the rules of the Company.
iv) Fees of Clubs (subject to maximum of 2 clubs).
v) Personal Accident Insurance Premium subject to
 maximum of Rs. 10,000.
vi) Companys contribution to provident fund and Gratuity
which shall not be included in the computation of limits
for remuneration or perquisites.
vii)Annual 30 days Leave with full pay and allowances and
right to accumulate and encashment as per the rules of
the Company.
c) Minimum Remuneration
Where in any financial year during the currency of the
tenure of Sri Rahul Tantia, the Company has no profits or its
profits are inadequate, the company will consider the
remuneration by way of salary, perquisites as minimum
Remuneration, subject to the ceiling limits prescribed under
Schedule XIII and other applicable provisions of the
Companies Act, 1956.
d) General
after all statutory deductions, in India as required to
meet his personal maintenance expenses.
iv) The appointment is terminable by either party giving the
other six months notice in writing without assigning any
reason and without liability to pay any compensation.
None of the Directors other than Sri I. P. Tantia and Sri Rahul Tantia
are either directly or indirectly, concerned or interested in the
proposed resolution.
This explanation together with the proposed resolution is and
should be treated as an abstract under Section 302 of the
Companies Act, 1956.
INFORMATION ON DIRECTORS SEEKING RE-APPOINTMENT/
APPOINTMENT AT THE ANNUAL GENERAL MEETING (PURSUANT
TO CLAUSE 49 OF THE LISTING AGREEMENT)
Sri H. S. Sinha

i) He shall not be paid any sitting fee for attending meeting Sri H. S. Sinha is an independent director of the Company. He is Ex-

of the Board or Committee(s) thereof.
ii) Subject to the superintendence, control and direction of
the Board, he shall exercise substantial managerial
powers in general and specific powers as may from time
to time be lawfully entrusted to and conferred upon him
by the Board.
iii) Basic Salary or part thereof shall be paid directly to him,
General Manager, Kolkata Metro Railway and advises the entire
Tantia team not only in matters of railway engineering but also
administration, organization and monitoring.
Sri Sarit Kumar Bose
Sri Sarit Kumar Bose is an independent director of the Company. He
possesses wide experience and rich knowledge on managing power
transmission projects.

Name of the Director Sri H. S. Sinha Sri Sarit Kumar Bose

Date of birth 06.10.1928 03.02.1935

Expertise in specific functional area Railway Engineering Power Transmission

Shareholding in the Company Nil Nil

Name of the Companies in which directorship held GPT Infraprojects Ltd None
GPT Healthcare Pvt Ltd
Premco Rail Engineers Ltd
Alvari Systems Pvt Ltd

Name of the Companies in which Chairman / GPT Infraprojects Ltd None

Membership of the Committees of the Board
of Directors of the Company

a) Audit Committee Member -

b) Share Transfer & Investor Grievance Committee Chairman -

5
6
 25-27, N. S. Road, Kolkata 700 001

ATTENDANCE SLIP
PLEASE FILL THIS ATTENDANCE SLIP AND HAND IT OVER AT THE ENTRANCE OF THE MEETING HALL

Joint shareholders may obtain additional Attendance Slip at the venue of the meeting

DP. Id* Master Folio No.

Client Id* No. of Shares

NAME AND ADDRESS OF THE SHAREHOLDER

I hereby record my presence at the 45th ANNUAL GENERAL MEETING of the Company held on Wednesday, 15th September, 2010 at 3:00 p.m. at Bharatiya
Bhasha Parishad, 36A, Shakespeare Sarani, Kolkata 700 017.

* Applicable for investors holding shares in dematerialized form. Signature of the Shareholder/Proxy

25-27, N. S. Road, Kolkata 700 001

PROXY FORM
DP. Id* Master Folio No.

Client Id* No. of Shares

I/We......................................................................................................................................... of .................................................................being a member/members of

Tantia Constructions Limited hereby appoint ...............................................................................................................................................................of ................ or

failing him .. of .. as my/our proxy to vote for me/us and on my/our behalf at the 45th ANNUAL GENERAL MEETING of the Company to be held on Wednesday,

15th September, 2010 at 3:00 p.m. at Bharatiya Bhasha Parishad, 36A, Shakespeare Sarani, Kolkata 700 017 or at any adjournment thereof.

Signed this day of 2010

Affix
* Applicable for investors holding shares in dematerialized form. Revenue
Stamp
NOTE: RE. 1
1. The proxy in order to be effective should be duly stamped, completed and signed and must be deposited at the Registered Office of the Company
not less than 48 hours before the time for holding the aforesaid meeting. The Proxy need not be a member of the Company.

2. Members holding shares under more than one folio may use photocopy of this Proxy Form for other folios. The Company shall provide additional
forms on request.
Values lead to
VALUE
Tantia Constructions Lim ited |AnnualReport,2009-10
 Disclaim er
In this annualreportwe have disclosed forward-
looking inform ation to enable investors to
com prehend ourprospects and take inform ed
investm entdecisions.This reportand other
statem ents written and oral thatwe
periodically m ake,contain forward-looking
statem ents thatsetoutanticipated results based
on the m anagem ent s plans and assum ptions.W e
have tried whereverpossible to identify such
statem ents by using words such as anticipates ,
estim ates , expects , projects , intends ,
plans , believes and words ofsim ilar
substance in connection with any discussion of
future perform ance.
Contents
W e cannotguarantee thatthese forward-looking
statem ents willbe realised,although we believe
we have been prudentin assum ptions.The
achievem entofresults is subjectto risks,
uncertainties and even inaccurate assum ptions.
Should known orunknown risks oruncertainties
m aterialise,orshould underlying assum ptions
prove inaccurate,actualresults could vary
m aterially from those anticipated,estim ated or
projected.
W e undertake no obligation to publicly update
any forward-looking statem ents,whetheras a
resultofnew inform ation,future events or
otherwise.

Corporate identity 2
Highlights 4 Tantia’s strengths 6
Chairm an s review 14 Industry review 16 Sectoralperform ance 22
Corporate scocial
Risk m anagem ent 28 responsibiity 30 Corporate inform ation 31 Directors Report 32
M anagem entdiscussion
and analysis 36 Corporate Governance 39 Shareholderinform ation 44 Auditors Report 51

Balance Sheet 54 Profitand Loss Account 55 Cash Flow Statem ent 56

Schedules and Notes 58 Balance SheetAbstract 72

A num ber ofpeople
believe that
organisationalvalue
in the challenging
construction business
is derived from
equipm ent,project
sizes and genre
presence.
Our conviction is that
value is derived from
justone source.
Values.

1
 Corporate identity

AtTantia Constructions,the term

values refers to a num ber of
things.
Refers to integrity.
Refers to caring for stakeholders.
Refers to enduring client
relationships.
Refers to rich m anagem ent
experience.
Annualreport,2009-10

Refers to doing better than what

custom ers expect.
Refers to com m unity building in
the areas ofour presence.
Refers to sm iles thatwe bring to
Tantia Constructions Lim ited

the faces ofour custom ers.

This is the result:we have grown ourrevenues every yearin the last10 years across the
following construction verticals railways,bridges,roads and highways,powertransm ission,
pipelines,aviation,m arine and urban developm ent.

2

The value ofour vision
To becom e the forem ostcontractorin eastern India
To achieve long-term goodwillthrough:
M axim isation ofshareholders profit
Custom ersatisfaction
Enthusiasm withoutego in self
Training colleagues and co-workers
Clarity with vendors and sub-contractors
The value ofour m ission
Outperform the infrastructure sector railways,
roads,urban developm ent,powertransm ission,
m arine,aviation infrastructure,industrialfabrication
and engineering growth
Surpass com petitors
Expand to a Rs.10-billion com pany
Contribute 0.25% ofprofitto free vocationaland
construction training ofthe unskilled and unem ployed
Tantias rich pool
46 600 50 650 25 92
years ofindustry com pleted projects custom ers
experience
Lineage
Tantia Construction was established in 1964 with the
objective ofproviding construction services to
strengthen Indias railway infrastructure.
The Com pany now possesses close to five decades of
rich experience across diverse terrains.
The Com pany is now respected forits ability to deliver
challenging projects on schedule across diverse
infrastructuralspaces.
The Com pany was one ofthe firstIndian com panies to
be accredited forthe ISO 9001:2000 certificate from
DNV,The Netherlands (2001).
Presence
The Com pany is headquartered in Kolkata,W est
Bengal,with regionaloffices in New Delhi,Guwahatiand
Aizawl.
The Com pany m anages projects concurrently across 40
locations in India and the world.
em ployees alliances
Rs.
crore ofowned
equipm ent
3
 Accom plishm ents The value ofour enduring alliance
CAGR of36.36% (fouryears)in revenues leading to partnerships
2009-10 ContinentalConstruction Infrastructure Lim ited (CCIL)
CAGR of21.76% (fouryears)in profitaftertax leading Jiangsu ProvincialTransportation Engineering Group
to 2009-10 Co.Ltd (JTEG)
AnnualReport2009-10

Growth in m arketcapitalisation from ourofferprice Road BuilderSdn Berhad,M alaysia (RBM )

ofRs.50 pershare in 2006 to Rs.195.66 crore,as on IVRCL Infrastructure and Projects Lim ited,India
31 M arch 2010 (BSE)
BSBK Lim ited,India
Uninterrupted dividend payoutfor11 years
Som a Enterprise Lim ited,India
Basic Engineering Lim ited,Bangladesh
OTBL,Bangladesh
JM C Projects (India)Lim ited,India
Tantia Constructions Lim ited

Values lead to value.

Incom e from EBIDTA (Rs.cr) PAT (Rs.cr) Cash profit(Rs.cr)
operations (Rs.cr)
561.17

25.37
18.55
71.59

23.81
17.26
59.88

20.74
449.45

15.39
13.22

16.76
45.13
362

30.21
246

8.34
5.83
162

18
2006-07

2006-07

2006-07

2006-07
2008-09

2008-09

2008-09

2008-09
2005-06

2005-06

2005-06

2005-06
2007-08

2007-08

2007-08

2007-08
2009-10

2009-10

2009-10

2009-10

4
 Clientele Railways Housing Infrastructure Developm entCorporation
Eastern Railway (HIDCO)
East-CentralRailway Kolkata M unicipalCorporation (KM C)
W estern Railway Kolkata M unicipalDevelopm entAssociation (KM DA)
North-Eastern Railway Kolkata Environm entalIm provem entProject(KEIP)
South-Eastern Railway DelhiState IndustrialDevelopm entCorporation
North-EastFrontierRailway (DSIDC)

Kolkata M etro Railway DelhiDevelopm entAuthority (DDA)

IRCON InternationalLtd
Auxiliaries
RITES
North-Eastern Electric PowerCorporation (NEEPCO)
Northern Railway
NationalTherm alPowerCorporation (NTPC)
South CentralRailway
Assam State Electricity Board (ASEB)
Roads and highways CentralPublic W orks Departm ent
NationalHighways Authority ofIndia (NHAI) Indian OilCorporation (IOC)
Punjab,M izoram ,Karnataka and W estBengalstate Airports Authority ofIndia (AAI)
Public W orks Departm ents Public Health and Engineering
CentralPublic W orks Departm ent DelhiM etro Railway Corporation (DM RC)
H.P.Infrastructure Developm entBoard
Urban developm ent ChennaiM etro Rail
Hooghly RiverBridge Com m issioners (HRBC)

Gross block (Rs.cr) Dividend payout Order backlog Earnings per

(% ) (Rs.cr) share (Rs.)
2,064.41
102.69

20

13.49
96.70
88.52

1,699.78
1,664.63

11.33
11.07
15

15

15

9.88
1,222.82

8.57
57.54

10

788.32
36.94

2006-07

2006-07

2006-07

2006-07
2008-09

2008-09

2008-09

2008-09
2005-06

2005-06

2005-06

2005-06
2007-08

2007-08

2007-08

2007-08
2009-10

2009-10

2009-10

2009-10

5
 Geographic presence
Even as we started ouroperations from eastern
Bringing our India,we are now a pan-India infrastructure
com pany with a growing presence overseas.

values to work.

Caring
AnnualReport2009-10

W e are notjusta business-focused organisation.

W e genuinely care.Result:attrition was a low
2.5% in 2009-10.
Tantia Constructions Lim ited

Experience
No terrain is too challenging forTantia.W e
possess an experience ofhaving worked in
differentterrains close to five decades.
Result:we readily acceptprojects thatintim idate
a num berofourcom petitors.

6
Portfolio
Itis rare foran infrastructure com pany ofour
size to specialise in as wide an infrastructure
portfolio railways,bridges,roads and
highways,powertransm ission,aviation,m arine,
urban developm ent,pipelines,hospitals and
superstructures.
Intellectualm anpower
W e representa prudentbalance ofhands-on prom oters
with engineering com petence and experience on the one
hand and a com petentworkforce on the other.W e enrich
this poolthrough lateralhires and the recruitm entof
engineers from renowned institutes.
Prestigious projects
W e have a track record ofhaving been associated
with showpiece infrastructure projects thatwere
eitherchallenging,urgentorrem ote.These
com prise the following:highway im provem enton
the Aizawl-Thenzawl-Lungleiroad,Dibrugarh
airportterm inalbuilding,Kosirailbridge and the
DelhiM etro Railproject.
Brand-enhancing clientele
The depth ofourcapability is reflected in the quality of
ourclients (large,leading and growing) Indian Railways,
NationalHighway Authority ofIndia,NEEPCO,NTPC,
NHPC,SAIL,NBCC and IOC;state PSUs and departm ents,
city developm entPSUs like Kolkata M unicipal
Corporation,Kolkata M etropolitan Developm ent
Authority and Airports Authority ofIndia.
Equipm ent
Overthe years,we have invested in the ownership of
criticalinfrastructure building equipm ent,liberating us
from a com plete dependence on externalrenting
agencies.Result:tim ely projectcom pletion and cost
advantage.
Quality excellence
Ourproductquality is derived from ourprocess
discipline.W e adhere to internationalquality standards
and practices.W e received the ISO 9001:2000
certification from DNV,the Netherlands,in 2001.
Result:quality consistency.
7
 V A LU ES A T W O R K

Experie
8
 Tantia Constructions values base,along with intellectual,m anagerial
and sectoralcom petencies,has driven its growth fornearly five
decades.

The overarching values thatguide the organisations working are a

c
reflection ofthe m anagem ents rich experience and foresight.

en e
The Com pany com prises hundreds ofperson-years ofindustry
experience reinforced through regulartraining in best-in-class
technology and construction practices,the recruitm entofm em bers
from engineering institutes and adequate em powerm entaround a
culture ofurgency.

The result:a growing presence in seven infrastructure

verticals and with strong foothold in the core
segm ents ofroads,railways and urban infrastructure
and profitable extension in the exciting segm ents of
power transm ission,aviation and m arine
infrastructure.

9
 V A LU ES A T W O R K

Spirit
10
Tantia Constructions values help itaddress challenges.This has
becom e ourbrand,translated into clientrespectand generated
m ore business.
The assignm entto build a 1.8-km railbridge overRiverKosi
atthe pointwhere five tributaries converged into a single river
was fraughtby locationalchallenges.W hen the Com pany
com pleted the 36-m onth assignm enton schedule,itwas
delighted to discoverthatan entire sub-econom y had em erged
around its site and thata conventional480-m inute journey for
citizen com m uters now took m erely 30 m inutes.
The firstcontinuous type bridge in India to replace the Jubilee
Bridge,builton the m odelofthe Sydney HarbourBridge,
com prised a num berofengineering challenges.The contractwas
won againststiffcom petition and the bridge,underconstruction,
is expected to be com pleted on schedule in three years.
The assignm ent(single tenderbasis)to build a flyoverforthe
DelhiM etro Railway atDhaula Kuan in New Delhi,cutting across
seven roads and one railway track overcongested vehicular
throughput.The Com pany responded with an engineering
solution the firstsuch pre-structure in India thatcircum vented
traffic disruption and delivered the projecton schedule in a m ere
10 m onths.
Result:the Com pany has com pleted 600 projects
tilldate and its order book has been steadily
increased over the years.
11
 V A LU ES A T W O R K

12
 n
Cari g
One ofTantia’s principalvalues is to fulfillallshareholderresponsibilities and this ithas done diligently
overthe years.
Enhanced a Rs.1,000-investm entin its share in 2006 to Rs.3,180 in 2010
Undertook investor-friendly m easures com prising consistentdividends
Earm arked Rs.20 lakhs forcorporate socialresponsibility
Ensured adequate infrastructure,effective health and safety m easures forem ployees
Em barked on projects in rem ote areas in nationalinterest,bridging the ruraldivide in term s of
transportand com m unication and enhancing living conditions in those areas
Im plem ented green initiatives by adopting go green cam paigns atselectlocations in the state

Result:Responsibility to shareowners.Responsibility to society.Responsibility to

our people.Responsibility to the environm ent.Responsibility to stakeholders.

13
 Tantia Constructions Lim ited
Chairm ans review
How would you rate the Com panys perform ance
Q in 2009-10?
Iwas happy with the Com panys perform ance in
A 2009-10 as we dem onstrated ourresilience ata tim e of
econom ic slowdown.W e posted a topline of
Rs.561.71 cr,an increase of25% over2008-09.
W e also achieved a com m endable increase in our
operating and pre-tax profit 20% and 38%
respectively.Ourbottom line increased from Rs.17.26
crin 2008-09 to Rs.18.55 crin 2009-10 (the PAT
m argin was low due to the m odification in the tax
structure)and we finished the yearwith a peak order
AnnualReport2009-10
book Rs.2,064.41 cr.Consequently,we were ranked
am ong the fastestgrowing Indian com panies in the
Rs.500-crbracket.
Q W hatfactors led to this superior growth?
This growth was largely attributed to ourrobust
A business m odel:a presence across seven verticals
leading to orderbook acceleration and enriching
expertise.Consequently,ourordersize increased
from Rs.1,700 crin 2008-09 to Rs.2,064.41 crin
Tantia Constructions Lim ited
2009-10 and we com pleted 17 projects during 2000-10
(12 in 2008-09).
W hatwere the Com panys achievem ents
Q in 2009-10?
There were a num berofachievem ents thatcontributed
A to oursuperiorperform ance:
W e established a wagon fabrication unitand com pleted 284
wagons in 2009-10.
W e com pleted the construction ofthe Cooch Beharairportin
record tim e,a showpiece bringing internationalairport
standards to Indias hinterland.
14
W e com pleted the DelhiM etro flyoverin a record ten m onths
withoutcom m uterinconvenience.
W e were awarded a projectto constructa new railbridge,
replacing the legacy Jubilee Bridge across the Hooghly River,
the firstcontinuous type steelgirderbridge in India builton
the m odelofthe Sydney HarbourBridge,420 m long and
37 m high atthe centre.
OurRM C division posted a record-breaking 2009-10.It
produced over11,000 cu.m ofconcrete in a single m onth
(M arch 2010)and around 70,000 cu.m ofconcrete in
2009-10,the highesteveratany single Tantia site.W e are
also setting up a second RM C unitin Kolkata.
W e received a certificate ofappreciation from the M ayorof
Kolkata forapplying unique Germ an technology,which used
foam -bitum en as a binderforthe redevelopm entof
distressed roads.
W e com pleted a groundwater-based pipeline watersupply
projectin ruralBengal,addressing the needs of720,000
residents.
W hatgives you optim ism regarding the Com panys
Q growth?
Ouroptim ism stem s from the following m acro-
A econom ic realities:
Infrastructure:India is expected to need an
investm entofoverone trillion dollars (aboutRs.40.99
lakh crore)forinfrastructure developm entin the
Twelfth Plan (2012-17),twice the am ountlikely to be
achieved in the currentplan [Source:Planning
Com m ission].This indicates thatthere willbe a
significantopportunity growth in ourexisting business.
Urban infrastructure:The JNNURM focuses on 65
cities.So far,projects worth Rs.503 billion have been
sanctioned,ofwhich projects worth Rs.185 billion

pertain to watersupply,Rs.129 billion to sewage,
Rs.71 billion to storm waterdrainage,Rs.55 billion to
urban transport,Rs.34 billion to roads and flyovers,
Rs.22 billion to waste waterm anagem entand
Rs.7 billion to otherprojects,giving a jum p startto
investm ents in the urban sectorwith a focus on basic
services.
Roads and highways:In Budget2010-11,the allocation
forroad transportincreased by over13% from
US$3.8 billion to US$4.3 billion.M oreover,as perthe
Econom ic Survey,the M inistry ofRoad Transportand
Highways,with a view to expedite NHDP progress,seta
targetforthe com pletion of20 km ofnational
highways construction daily (35,000 km atthe rate of
7,000 km peryear)across 2009-14.Additionally,
highway projects worth around US$23.8 billion are
expected to be executed in the country overthe next
three years.
In Decem ber2009,the governm entapproved four-
laning 384 km ofhighways atUS$669.2-m illion
investm ent.M oreover,in January 2010,the
governm entapproved road projects worth US$1.4
billion in five states forupgrading nearly 562 km of
four-lane highways to six lanes [Source:Press
Inform ation Bureau].The W orld Bank agreed to provide
a US$3 billion loan fordeveloping nationalhighways
and its assistance willbe utilised forconverting
6,372 km ofone-lane highways to two-lane highways,
outofa totalof19,702 km ofsingle lane highways in
the country.
Railways:The Indian railways proposed a plan of
Rs.41,426 crore,the highestever,in Budget2010-11
This growth was largely attributed to
ourrobustbusiness m odel:a
presence across seven verticals
leading to orderbook acceleration
and enriching expertise.
(Rs.1,142 crore overthe 2009-10 plan allocation).
Aviation:Dom estic airtraffic could reach 160-180
m illion passengers whereas itis currently around 44
m illion perannum .As such,investm entopportunities
ofUS$110 billion are being envisaged up to 2020,with
US$80 billion towards new aircrafts and US$30 billion
towards airportinfrastructure developm ent[Source:
Investm entCom m ission ofIndia].
Ports:Around US$19.6 billion is likely to be invested in
Indias portsectorduring the Eleventh Plan (2007-
2012),as perthe Planning Com m ission.
Power:As perPowerM inistry estim ates,the
governm entis targeting an addition of1,00,000
m egawattpowergeneration capacity underthe Twelfth
Plan (2012-17)to m eetgrowing electricity dem and.The
governm entseta challenging revise targetof92,000
M W underthe Eleventh Plan.
W e expectm ostofthese industry developm ents to
translate into enhanced business forourCom pany.
How does the Com pany expectto enhance
Q shareholder value?
The Com pany plans to enhance shareholdervalue
A through various initiatives:enhanced proportion of
BOT,BOOT and DBOT projects,internationalpresence,
use ofthe latestequipm entand a graduation to big
ticketprojects.In view ofthese strategic plans,the
Com pany expects to generate a topline ofRs.675 cr
and increase its orderbook to Rs.4,000 crby 2011,
which willtranslate into enhanced value forallour
stakeholders.
15
 IN D U STR Y R EV IEW

India is changing.Roads are wider,

sm oother.Power projects bigger.
Sewerage system s better.Airports
swankier.
Tantia Construction is one ofthe
com panies m aking this happen.

Indian econom y Optim ism

AnnualReport2009-10

India registered a strong com eback in 2009-10 following a
difficultperiod,dem onstrating its ability to withstand
adversities.Indias GDP was worth US$1,217 billion or1.96%
ofthe world econom y lastyear.GDP growth was 7.4% in
2009-10 against6.7% in 2008-09 [Source:W orld Bank],the
rebound largely owing to the tim ely econom ic stim ulus in the
country to counterthe slowdown.
Infrastructure
In line with the countrys rebound,infrastructure services
grew 5.5% in 2009-10[Source:Indian Industry Trackers],
Tantia Constructions Lim ited
In the Budget2010-11,infrastructure allocation was
Rs.1,73,552 crore (US$38.5 billion),or46% ofthe totalPlan
outlay.Besides,Rs.10,000 crore was allocated towards
Indira Awaas Yojna,Rs.48,000 crore towards BharatNirm an
and 25% ofthe planned allocation towards rural
infrastructure.The required investm entforthe entire Twelfth
Five YearPlan (2012-2017)was pegged atRs.41 lakh crore,
m ore than double thatofthe Eleventh Plan.Private sector
participation in the totalinfrastructure was 36% in the
Eleventh Plan com pared with 25% in the Tenth Plan and is
expected to increase to 50% in the Twelfth Plan,focusing on

catalysed by the growth in private sectorinvestm ents from the growing role ofprivate players in this industry.
20% in the Tenth Plan to a projected 30% in the Eleventh
Plan (Rs.6,19,591 crore/US$154.90 billion).

16
 Roads
I ndia has the world’s second largest
road network (3.34 m illion kilom eters).
This sectorwas Indias firstinfrastructure
segm entto gain serious attention from
the governm ent.The road freight
industry grew ata com pound annual
growth rate (CAGR)of9.9% from 2007-
08 to 2007-12.A targetof
Road investm entcom parison across Tenth and Eleventh Plans
Program m e Eleventh Five-Year Plan 2007-2012
Length
(km ) (Rs.billion)
NHDP 39,720
SARDP NE 3,557
State roads
Ruralroads
Total 43,277
Source:M inistry ofRoads,Transportand Highways
Optim ism
The governm entplans to award US$50
billion ofroad projects in the fiscalyear
ending M arch 2011;the private sectors
participation is expected to be around
70% .
India is likely to build 2,500 kilom etres
ofroads in 2010-11 (6.8 km a day)as per
the Planning Com m ission;highway
projects worth aboutUS$23.8 billion are
expected to be executed in the country
1,231 billion tonne km (BTK)was
estim ated forroad freightfor2011-12.
Severalroad projects were undertaken
on PPP m odel 48 projects valued at
US$2.1 billion on a build,operate and
transfer(BOT)basis (23 com plete and 25
underprogress)[Source:IBEF].
The density ofIndias highway network at
Cost Private sector
(Rs.billion)
1,815 973
56 11
1,365 351
433
3,668 1,335
overthe nextthree years.
The sectors potentialis estim ated at
US$107 billion between 2009-10 and
2013-14 [Source:CrisilResearch].
The W orld Bank has agreed to provide
a US$3 billion loan to convert6,372 km
ofone-lane highways to two-lane outof
the totalof19,702 km ofsingle lane
highways in India today.
The SpecialAccelerated Road
0.66 km ofhighway persquare kilom eter
ofland is sim ilarto thatofthe United
States (0.65)and m uch greaterthan
China’s (0.16)orBrazil’s (0.20).However,
m osthighways in India are narrow and
congested,with poorsurface quality,and
40% ofIndias villages do nothave access
to all-weatherroads [Source:
cistup.iisc.ernet.in].
Tenth Five-Year Plan 2002-2007
Length Cost Private sector
(km ) (Rs.billion) (Rs.billion)
13,364 680 148
563
206
13,364 1,449 148
Developm entProgram m e forthe North
East(SARDPNE)envisions the two-to
four-laning ofabout5,184 km ofnational
highways and two-laning im provem entof
about4,756 km ofstate roads,ensuring
connectivity of85 districtheadquarters
in the northeastern states [Source:Indian
Budget2009-10].
The Indian governm entwilldevelop
around 53,000 km ofroads foraround
US$62 billion in ten years.
17
 Phases Description Length Estim ated cost Financed Com pletion
(km ) (US$ billion) date
Phase I Golden Quadrilateral 5,846 EPC 2007
Phase II NSEW 7,300 16.46 BOT toll 2009
Phase IIIA Connecting state capitals and
places ofeconom ic interest 4,815 8.37 BOT toll 2009
Phase IIIB Four-laning 6,000 km roads 7,294 12.04 BOT toll 2012
Phase IV Two-laning single lane roads 20,000 7.04 BOT toll/annuity 2015
Phase V Six-laning high density 6,500 10.43 BOT toll 2012
Four-laning roads
Phase VI Expressways 1,000 4.22 2015
Phase VII Ring roads,bypasses and
service roads 4.22 2014
Total 52,755 62.78 2015

Railways
AnnualReport2009-10

the world undera single m anagem ent.It the Eleventh Plan was Rs.3,035 billion

T he Indian Railways is the backbone

ofthe US$18 billion Indian transport
system ,the third largestrailnetwork in
covers 63,140 route km and carries
20 m illion passengers a day on about
com pared with Rs.1,196 billion in
the Tenth Plan (laterrevised to
18,000 trains.The sectoraloutlay for Rs.2,580 billion).

Railways totalannualinvestm entoutlay (before 15% cut) (Rs.billion)

2007-08 2008-09 2009-10 2010-11 2011-12 Total
Rolling stock 81 93 107 123 141 545
Capacity augm entation and developm ent 77 102 134 177 235 725
Tantia Constructions Lim ited

Safety and otherworks 163 189 219 254 295 1,119

Investm entin PSUs 19 20 22 24 26 110
Dedicated freightcorridor 13 24 44 74 145 300
M etro railprojects 37 42 47 51 59 235
Total 391 470 572 703 900 3,035
Source:Planning Com m ission

Optim ism increased from Rs.2,848 crore to The totalaverage annuallength of

The Indian railways proposed a plan of Rs.4,411 crore forcom pletion of1,021 railway lines being added in India
Rs.41,426 crore,the highesteverin its lines between 1950 and 2010 was 180 km .Itis
Budget2010-11 (Rs.1,142 crore m ore An estim ated 800 km ofgauge expected that2,500 km oftotalaverage
than the plan for2009-10). conversion and 700 km ofdoubling was annuallength willbe added by 2020.

Allocation fornew lines construction targeted.

18
 Urban infrastructure
40 years (between 1971 and 2008)for average 105 litres to only 65 litres per

I ndias urban population grew from

290 m illion (2001)to an estim ated
340 m illion in 2008 and is projected to
Indias population to rise by 230 m illion.It
could take only halfthe tim e to add the
day,with a large section ofthe
population having no access to potable

reach 590 m illion by 2030.Ittook nearly next250 m illion.W atersupply forthe wateratall.Indian cities could leave
average citizen could drop from an between 70-80% ofsewage untreated.

The currentperform ance ofIndias cities is poor across key indicators oflife quality
Current Basic Standard
W atersupply quantity (litres percapita perday) 105 150 220
Share ofpublic transportation (% ,totaltrips) 30 50 82
Parks and open space (square m etres percapita) 2.7 9 16
Sewage treated (% ,sewage generated) 30 100 100
Solid waste connected (% ,totalwaste generated) 72 100 100
Slum pollution (% ,totalpopulation in city) 24 0 0

[Source:United Nations;press search;City developm entPlans;The Energy and Resource Institute;Planning Com m ission;Census
2001;CentralPollution ControlBoard;M ckinsey GlobalAnalysis]

Optim ism
In percapita term s,Indias annualcapitalspending ofUS$17 is only 14% ofChinas US$116 and 4% ofUnited Kingdom s US$391.Itis
estim ated thatIndia needs to investUS$1.2 trillion (Rs.53.1 trillion)in urban capitalexpenditure over20 years,equivalentto US$134
percapita peryear alm osteighttim es the levelofspending today in percapita term s,and represents an increase in urban
infrastructure spending from an average 0.5% ofGDP today to 2% annually.

19
 Power
foreign directinvestm ent(FDI)worth Chinas losses ofjust8% and OECD of7% .

I ndia’s totalcapacity was 159,398.49

M W as on M arch 31,2010.A totalof34
projects were com m issioned during
US$1.34 billion between Apriland
February,2009-10.India suffers a peak
The percapita consum ption ofelectricity
in India was around 631 kW h in 2009-10

2009-10 with a totalcapacity of shortage of17% with the highest com pared with the world percapita

9,585 M W .The powersectorattracted transm ission and distribution losses in consum ption of2,873 kW h.
the world ofaround 25% as against

India has the highestpopulation withoutelectricity (in m illion):

India 404.5
Indonesia 81.1
Pakistan 70.4
China 8.0
Thailand 0.4
[Source:Open]

Optim ism The totaloutlay forthe Restructured villages were electrified and connections
The governm enttargeted a total Accelerated PowerDevelopm entand were released to 91.2 lakh BPL
AnnualReport2009-10

capacity addition of78,700 M W in the Reform s Program m e (RAPDRP)increased households up to 31stJanuary,2010.The

Eleventh Five YearPlan.The governm ent
expects to strengthen the nationalpower
grid by adding m ore than 60,000 circuit
kilom eters ofnew transm ission lines by
2012.
Plan allocation forthe powersector
(excluding RGGVY)was doubled from
Rs.2,230 crore in 2009-10 to Rs.5,130
crore in 2010-11.
Tantia Constructions Lim ited
from Rs.20.8 billion in 2009-10 to
Rs.37 billion for2010-11.Underthis
program m e,the governm entplans to
electrify 15,000 un-electrified villages
and offerelectricity connections to
around 46 lakh BPL households,which
have an outlay ofRs.5,500 crore.
Underthe Rajiv GandhiGram een
Vidyutikaran Yojana (RGGVY),71,793
targetfor2010-11 is forthe electrification
of15,000 un-electrified villages and
offering electricity connections to around
46 lakh BPL households with an outlay of
Rs.5,500 crore [Source:M inistry of
Power].FourUM PPs,nam ely Sasan in
M P,M undra in Gujarat,Krishnapatnam in
Andhra Pradesh and Tilaiya in Jharkhand
have already been awarded.

Aviation
Overview
The Indian aviation industry is one ofthe fastestgrowing aviation sectors in the world.W ith a CAGR of18% and 454 airports and
airstrips in the country,ofwhich 16 are designated as internationalairports,the aviation sectoris expected to rebound in 2011
[Source:IBEF,April2010].

20
Optim ism
Investm entopportunities of
US$110 billion are being envisaged up to
2020,ofwhich US$30 billion is expected
to be dedicated to the developm entof
airportinfrastructure [Source:The
Investm entCom m ission ofIndia]
AAIplans to constructgreenfield
airports in north-eastern India with
budgetary support.Construction
Ports infrastructure
I ndia is populated by 12 m ajorand 200
non-m ajorports.Ofthe non-m ajor
ports,about66 handle traffic.According
to the Indian Ports Association,the m ajor
ports handled a totalof560.96 m illion
tonnes (M T)ofcargo i.e.aboutthree-
fourths ofthe totaltraffic in 2009-10,
an increase of5.74% over530.53 M T
handled in 2008-09.The annual
aggregate cargo-handling capacity ofthe
m ajorports increased from 532.07 M T
annually in 2007-08 to 574.77 M T
annually in 2008-09.
Issues in the portsector
Currently,operationalissues such as
land acquisition,environm ental
clearances and tim e consum ing inter-
m inisterialconsultations forthe approval
ofportprojects continue to im pactthe
growth ofthe overallsector.
The draughtatallm ajorports ranges
9-12 m eters,which is insufficientto
handle largervessels,im pacting
accessibility and the am ountofcargo
carried (as wellas associated turn-
around tim e).
Indian ports have inadequate
connectivity through roads and rails.This
com m enced atPekyong Airport(Sikkim )
ata costofRs.309.46 crore and is likely
to be com pleted by January 2012.
Approvalis being obtained forthe
construction ofgreenfield airports at
Cheitu (Nagaland)and Itanagar
(ArunachalPradesh).The Kolkata airport
developm entwas taken up by the
Airports Authority ofIndia (AAI)atthe
approved costofRs.1,942 crore.
stops Indian ports from being perceived
as integrated logistics solutions
providers.M oreover,this leads to
operationalinefficiency,increasing
logistic costand turn-around tim e.
Traffic levels atIndian ports have been
consistently indicating the need for
urgentcapacity expansion plans ofports.
During the lastfive years,m ajorports
have been operating ata utilisation rate
ofover90% .This,coupled with traffic
growth atCAGR ofover9% ,presents a
case forcapacity expansion.
However,the governm entstarted
introducing prelim inary changes to
ensure easy awarding ofportprojects.
Forexam ple,to expedite PPP projects,
the Shipping M inistry authorised port
authorities to award contracts withoutits
priorapprovalin 2009.
Further,the governm entplans to invest
aboutUS$19 billion to increase the cargo
handling capacity ofports by 2012.Of
this,aboutUS$11.7 billion is expected
from private sources through PPPs in the
developm entofberths,container
term inals and warehousing/storage
facilities.
The Airports Authority ofIndia (AAI)is
setto investoverUS$1.02 billion in 2010
towards the m odernisation ofnon-m etro
airports.
The AAIem barked on the developm ent
of35 non-m etro airports atan estim ated
costofRs.4,662 crore.Ofthem ,nine
have been com pleted and are operative.
The otherprojects are expected to be
com pleted by 2010-11.
To reduce congestion atports,50 new
ports willbe builtoverthe nextfour
years.
Optim ism
Around US$19.6 billion is likely to be
invested in Indias ports sectorduring the
Eleventh Plan (2007-2012)as perthe
Planning Com m ission.
According to the Union M inistry for
Shipping,the annualcapacity ofthe
m ajorand non-m ajorports willbe
1.5 billion tonnes by 2012,with an
increase of74% in case ofm ajorports to
reach 1 billion tonnes,while the capacity
ofthe non-m ajorports willreach 580 M T
by the end ofthe Eleventh Plan in 2012.
The M inistry ofShipping awarded 10
projects worth overUS$494 billion in
Novem ber2009.
The Public Private Partnership
AppraisalCom m ittee (PPPAC)agreed to
the proposed US$811.7 m illion m ega
containerterm inalatthe Chennaiportin
January 2010.
The governm entannounced thatit
would award 21 portexpansion projects
worth US$3.13 billion underthe PPP
m ode in 2010-11.
21
 Oursectoralperform ance#1

Roads and flyovers

A word from our m anagem ent
In accordance to the M inistry ofSurface
Transports specifications,Tantia
ventured into advanced m echanised
road construction in 1990.A num ber of
roadways projectundertakings and on-
schedule deliveries across diverse
terrains like the hills ofM izoram ,
coastalareas ofKerala,plains ofPunjab
and the rugged plateau ofKarnataka,
saw the Com pany firm ly establish its
reputation in the sector.Today,the
Com panys expertise extends from
construction,widening,conversion,
m aintenance,strengthening and
beautification ofroadways to road
The year gone by (2009-10)
bridges,highways and flyovers,testified
by the rich track record in each field. Com pleted five Added four Revenue Contribution to Orderbook as
The Com panys tim ely resource
AnnualReport2009-10

projects worth projects worth the total(% ) on 31stM arch

m obilisation leads to scheduled
com pletion,ultim ately leading to client Rs. Rs. Rs. Rs.
value enhancem ent.Over the years,the
164.68 75.47 210.44 37.50 559.77
Com pany graduated to a larger average crore crore crore crore
ticketsize ofprojects.

Scope ofwork certification from DNV,the Netherlands. Steelgirder fabrication:The Com pany
Double-levelinterchange of owns steelstructure fabrication facilities
M echanisation:The captive ownership
expressway thatcatalyse projectcom pletion.Itwas
Tantia Constructions Lim ited

ofequipm entatprojectsites and a high

Road widening and strengthening
Four-laning ofroads and flyovers
Our forte
Turnkey solutions:The Com pany
provides end-to-end solutions rightfrom
conceptto execution,leading to tim ely
projectdelivery.
Quality com m itm ent:The Com panys
internationally benchm arked quality and
safety practices leading to quality
consistency.Itenjoys the ISO 9001:2000
the only Indian com pany to fabricate a
m echanisation ofproject-related
100-m etre span steelgirderon-site
operations accelerate projectexecution.
(4,000 m etres above sea level).
Troubleshooting:The Com panys
Resource m obilisation:The Com panys
dedicated Claim s and Contract
strong resource m obilisation equipm ent
M anagem entteam addresses project
and individuals in diverse terrains helps
hindrances arising from delays in land
delivertim ely results.
acquisition and design bottlenecks.
Intellectualcapital:The division recruits
Brand:The Com pany enjoys a track
engineers with diplom a and graduate
record ofsuccessfulprojectexecution
degrees,reinforcing intellectualcapital
across rem ote and challenging terrains
leading to superiorprojectexecution.
like Assam and M izoram ,prone to heavy
rain and landslides.

22
 Average
projectsize
(Rs.40 cr),
2009-10

Significantprojects com pleted in 2009-10

Nam e and nature ofwork Contractvalue (Rs.in crore)
Im provem entand upgradation ofAizawl-Thenzawl-LungleiRoad Phase -I
(52-98.2 km ),M izoram 49.83
Rehabilitation road works ofM DR-154 from Jagdishpurto nearGauriganj
(length 40,000 Km )underUttarPradesh State Roads Project 36.66

Significantprojectsin progress
Nam e and nature ofwork Contractvalue
(Rs.in crore)
Construction ofroad underbridge,Delhi 34.62
Construction ofPSC concrete bridge overRiverTlawng,M izoram 6.99
Construction ofPSC concrete bridge overriverTut,M izoram 10.80
Construction ofRUB atrailway crossing No.7 between Shalim arBagh
and AzadpurFruitM andi,Delhi 52.72
Construction ofbridge underM unicipalCorporation ofDelhi(M CD) 20.75
Im provem entofBilkhawthlir-Saiphai-Natasura Road (length 20.50 Km )under
centrally sponsored schem e ofInter-State Connectivity (ISC),M izoram 9.57
Developm entofstate highways underRSVY-Package No.19B,Bihar 64.84
Developm entofstate highways underRSVY,Package No.16A,Bihar 113.45

23
 Oursectoralperform ance#2

Urban infrastructure
A word from our m anagem ent
AtTantia,we are ideally positioned to
capitalise on urban infrastructure
segm entopportunities.The Com panys
sectoralcom petence is reflected in its
presence in urban im provem entprojects
in Kolkata. Today,the Com pany looks to
address the residential,com m ercialand
public utility buildings dem and as wellas
provide m ass rapid transportsystem s
solutions.W e are also reputed for our
com petence in the com m issioning and
tim ely com pletion ofurban projects
am ong large m unicipalcorporations for
m axim ising public convenience during
construction tenures.

The year gone by (2009-10)

Com pleted two Added six Revenue Contribution to Orderbook as
AnnualReport2009-10

Participated in m edium and large

projects worth projects worth the total(% ) on 31stM arch
watersupply schem e in Africa and
Kam pala
Rs. Rs. Rs. Rs.
Participated in sewerage projects in
M uscat(Om an)
5.76 158.27 156.01 27.80 706.85
crore crore crore crore
Entered the watertreatm entsegm ent

Scope ofwork m anufacturers leading to tim ely project finished stages).

Display halls,tram lines,sewerage com pletion.
Safety standards:The Com panys
and drainage projects
Tantia Constructions Lim ited

End-to-end solution:The Com panys adequate safety procedures (including

Construction ofhospitaland college
buildings
W atertreatm ent
Our forte
Portfolio:The Com panys portfolio is
expanding.In addition to the
construction ofdisplay halls,tram lines,
sewerage,drainage projects,hospitals
and superstructures,the Com pany
entered the watertreatm entand
m icro-tunnelling segm ents.
Procurem ent:The Com pany enjoys
alliances with reputed raw m aterial
strong concept-to-com m issioning training)helped m inim ise on-site
capability resulted in shrinking project accidents.
tenures,a big value-add in congested
High projectcom m itm ent:The
urban landscapes.The Com panys
Com panys proactive assetinvestm ents
custom ised coded projectm anagem ent
and allocation across differentprojects
m ethod,used in urban developm ent
have enhanced on-tim e project
projects,catalysed tim ely project
com pletion.
delivery.
Extended presence:The Com panys
Quality adherence:The Com panys
presence extended from eastern India to
delivered productm ustendure decades
southern India to South Africa,the
ofuse,necessitating use ofthe best
M iddle Eastand GCC countries,enriching
m aterials,checked across stages atthe
its experience.
projectsite (in-com ing,processed and

24
 Average
projectsize
(Rs.40 cr),
2009-10

Significantprojectscom pleted in 2009-10

Nam e and nature ofwork Contractvalue (Rs.in crore)
Construction offlyoveron SaltLake Bypass nearthe intersecting point
ofJ.K.Saha / W IPRO,W estBengal 29.54
Construction ofleftturning flyoverat AJC Bose Road atKolkata,W estBengal 27.99
Erection and com m issioning ofground water-based piped watersupply schem es
in arsenic afflicted areas,W estBengal 33.19
W aterand sewerage underKEIP,W estBengal 192.12
Construction of(i)TunnelNo.18,Km .135.890 to Km .136.306,(ii)TunnelNo.19,Km .
136.703 & (iii)TunnelNo.20,Km .139.323 to 139.920 (New Chainage)forsingle line BG,
between Dam cherra-Bandarkhalstations 24.40
NFR tunnelwork atBandarkhal 33.72

Significantprojectsin progress
Nam e and nature ofwork Contractvalue (Rs.in crore)
Construction ofclearwaterpum ping system package,Shillong 51.40
Civiland structural works ofECU unitforBrahm aputra Petrochem icalCom plex,Assam 47.19
Construction of1.80 km long tunnelon realigned path and carrying outre-profiling work in
balance length ofexisting tunnel,including blanketing,earthwork and construction ofside drain
etc.between Tunnelno.1 Katra end to road overbridge Sam balon Udham pur-Katra section in
connection with Udham pur-Srinagar-Baram ulla RailLink 91.74
14 M LD sewerage treatm entplant turnkey,W estBengal 13.50
Erection and com m issioning ofground waterbased piped watersupply schem es in arsenic area
in M urshidabad,W estBengal 67.87
Erection and com m issioning ofground water-based piped watersupply schem es in arsenic are
a North 24 Pargana,W estBengal 32.08
Upgradation and strengthening oftwo hospitals in M izoram 42.32
W aterand sewerage treatm entunderKEIP Borough XV,M etiaburuj,Kolkata 85.03

25
 Oursectoralperform ance#3

Railway infrastructure
A word from our m anagem ent
Tantia Construction has been associated
with India Railways for close to five
decades and is am ong the only five
Indian com panies capable ofproviding
the foundation-to-finish proposition for
m ega railway bridges.

The year gone by (2009-10)

Scope ofwork
Com pleted one Added four Revenue Contribution to Orderbook as
Core infrastructure
AnnualReport2009-10

projectworth projects worth the total(% ) on 31stM arch

Survey,fixing ofalignm entand
designing oftrack Rs. Rs. Rs. Rs.
Em bankm entand cuttings 52.69 309.64 121.04 21.57 589.57
Bridges and tunnels crore crore crore crore
Steelgirderfabrication and erection

Track laying
Laying ofballastand concrete
sleepers
Laying ofrails and fittings,flash butt
Tantia Constructions Lim ited
Our forte Quality m andate:The Com pany
Tim ely projectexecution:The Com pany possesses laboratories (com prising
possesses com prehensive project world-class testing equipm ent)across all

W elding forlong rails m apping,planning and im plem entation sites.This m akes itpossible to check
Signalling and electrification com petencies thataccelerate project quality standards across the project
delivery. cycle.Besides,various engineering
M aintenance ofrailroads and rail
procedures are checked and approved as
Infrastructure Efficientequipm entutilisation:The
perclientspecifications.
Value-addition Com panys robustequipm entallocation
flexibility across sites ensure on-call Extensive experience:The Com panys
Buildings,railway stations and
equipm entavailability,derived from rich,four-decade experience in railway
term inals
strong vendoroutsourcing relationships. infrastructure resulted in superior
Lightrailand m ass rapid transport projectm anagem entskills and tim ely
As an extension,owned assets are
system delivery.
deployed across rem ote projectsites,
Infrastructure
while hired equipm entis deployed across
BOT/ BOOT projects urban locations.

26
 Average
projectsize
(Rs.41cr),
2009-10

Significantprojectscom pleted in 2009-10

Nam e and nature ofwork Contractvalue (Rs.in crore)
Construction ofM etro RailW ork,New Delhi 45.16
Construction ofECR Gandak railbridge,Bihar 64.83
Construction offoundation and substructure ofrailbridge across RiverKosi, Bihar 61.78
Construction new bridge No.26 (4x76.2+2x30.5m through girderand wellfoundation)at
Km .16.848,Bridge No.27 (5x30.5 underslung girderand bored castin situ piles)at
Km .17.140 and Bridge No.28 (5x18.30m com posite girderand bored castin situ piles)
atKm .18.240 overTilaiya Reservoirbetween Koderm a and Hazaribagh in connection with
new BG Railline between Koderm a and Ranchi. 35.24
Construction ofreinforced cem entconcrete boxes behind abutm ents,ground im provem ent
including earthwork in filling form ain railway form ation atapproaches,across RiverBarak
between Badarpur-Sukritipurstation with allotherancillary works in connection with gauge
conversion work ofthe Lum ding -Silcharsection 19.04

Significantprojectsin progress
Nam e and nature ofwork Contractvalue (Rs.in crore)
Construction ofJubilee railbridge across RiverHooghly between Naihatiand Bandel,W estBengal 140.24
Construction ofa bridge overRiverDam odarin Bowichandi-Khana section,W estBengal 58.16
Assem bly,erection/launching of(18 x 123 m )+ (1 x 64 m )span triangulated steelgirders for
new rail-cum -road bridge across RiverGanga atPatna from Pahlejaghatend including
transportation offabricated com ponents of(18 x 123 m )span and (1 x 64 m )span ,
including casting ofbed blocks and finalcoatofpainting. 91.63

27
 Risk m anagem ent

M itigation
The governm entannounced an investm entofRs.1,73,552 crore (US$37.57 billion)in
Econom y risk
1 The infrastructure industry
is dependenton econom ic
growth.Any slowdown can
infrastructure developm entin the Union Budget2010-11,accounting forover46% of
the totalPlan allocation.
The governm entincreased the participatory scope ofthe private sectorthrough the
public-private partnership m odel.
im pactsectoralearnings.
The globalfinancialcrisis m ay have reduced the country’s GDP growth to 7.4% in
2009-10,buta revivalto 8.5% is expected in 2011-12.
AnnualReport2009-10

M itigation
The Com pany is one ofthe few to caterto alm ostallcivilengineering verticals (roads
Com petition risk
2 Growing com petition can
affectthe Com panys order
book
and highways,bridges,railway,aviation,powertransm ission,m arine,urban
infrastructure developm entand superstructures).
The Com pany possesses a rich terrain experience close to five decades with
on-tim e delivery.
The Com pany entered into strategic partnerships with internationalplayers like TSO
(France)and Road BuilderSdn (M alaysia).
The Com panys orderbook,as on 31stM arch,2010,com prised 90% repeatbusiness.
Tantia Constructions Lim ited

M itigation
The Com pany m aintains an average inventory age between 80 and 110 days which
Raw m aterialrisk
3 Non-availability ofraw
m aterials atthe adequate
tim e from the suppliers
varies from projectto project.
The Com pany executes allprojects itselfwithoutsubcontracting,facilitating a com plete
knowledge ofthe exactquantity ofraw m aterials required atany pointoftim e.
The Com pany strengthened its fabrication capacity in 2009-10,resulting in increased
could lead to tim e overruns
railgirderprojects being captively supplied with m aterial.
The Com pany strengthened its logistics forthe tim ely and continuous supply of
m aterial.

28
 M itigation
The Com pany bid fora num berofprojects outside eastern India.
Geographical
4 concentration risk
High dependence on
eastern and north-eastern
Ofthe num berofconcurrentlocations m anaged by the Com pany in 2009-10,fourwere
outside eastern India.

India could brand the

Com pany as regional

M itigation
The Com pany bids only forgovernm ent-sanctioned,W orld Bank and Asian
W orking capital
5 risk
Slowdown in the working
capitalcycle can affectthe
Developm entBank-funded projects.
The Com pany bid forprojects with attractive returns.
The Com pany structured rem uneration around m ilestone paym ents resulting in a
periodic cash inflow.
Com panys liquidity and
reputation The Com pany funded working capitalneeds through a consortium ofsix bankers.

M itigation
The Com pany appoints projectm anagers to stream line processes and identify project
Im plem entation
6 risk
Inefficientproject
m anagem entcould affect
deliverables.
The Com pany chalks outa plan to identify resource requirem entand availability,
fund-flow,vendorand equipm entarrangem entto ensure sm ooth project
im plem entation and optim alresource utilisation.
projectdelivery
The Com pany dedicated projectm anagem entteam ,atits corporate office,m anages
projectcycle co-ordination,ensuring thatdeliveries m atch internaland externalclient
expectations.

M itigation
The Com pany recruits engineers with diplom a and graduate degrees from reputed
M anpower risk
7 Dearth oftrained
m anpowercould stagger
growth
engineering colleges.
The Com pany benchm arks em ployee rem uneration in line with industry standards and
plans to issue ESOPs to retain perform ers.
The Com pany provides accom m odation across allprojectsites,equipped with 24x7
electricity and watersupply to workers.
The Com pany is planning to launch a feedback platform fora fasterredressalof
em ployee-related issues.
The Com panys retention ratio in 2009-10 was 2% ,higherthan industry standards.

29
 Bringing value to the society
Corporate socialresponsibility
The Com pany believes in inclusive growth and these are som e ofits initiatives thathave m ade itso:
Assisted the construction ofa schooloffice and building atthe Hualliana High Schoolin Hm untha,M izoram
Donated towards the rehabilitation ofAila victim s in the Sunderbans
Sponsored the Diego M aradona footballm atch in Kolkata
Sponsored a nationalsem inaron governance in watersupply and sanitation m anagem ent
Sponsored a culturalprogram m e forsocialwelfare organisation called Bandhan
Helped conserve paperuse in the office
Initiated a students awareness program m e ongoing project site visitforthe departm entofCivilEngineering ofGeorge
Telegraph Institute
Supported Hope,the child welfare organisation,by participating in the AirtelM arathon 2010
AnnualReport2009-10
Tantia Constructions Lim ited

30
 Corporate Inform ation
Board ofDirectors Statutory Auditor
SriI.P.Tantia,Chairm an & M anaging Director S.M .Bengani& Co.
Chartered Accountants
SriB.L.Ajitsaria,Director(Business Developm ent)
FRN-305075E
SriRahulTantia,Director(Operations) 187,Rabindra Sarani,Kolkata-700007
SriM .P.Agarwall,IndependentDirector
InternalAuditor
SriH.S.Sinha,IndependentDirector KonarM ustaphi& Associates
SriU.S.Agarwal,IndependentDirector Chartered Accountants
FRN-314125E
SriP.K.Chattaraj,IndependentDirector
P-113,CIT Road,Kolkata-700014
SriS.K.Bose,IndependentDirector
Registrar and share transfer agent(RTA)
SriShaleen Khem ani,IndependentDirector
M aheshwariDatam atics Private Lim ited
6,M angoe Lane,2nd Floor,Kolkata 700001
Com pany Secretary
TelNo:+ 91 33 2243 5029/5809,2248 2248
M d.Jam shed Alam
Fax:+ 91 33 2248 4787
Solicitor E m ail:m dpl@ cal.vsnl.net.in
SriSanjay Baid
Registered office
PrincipalBankers 25/27,NetajiSubhas Road,Kolkata-700001
State Bank ofIndia Tel:+9133 2230 1896/7300/6284
Fax:+9133 2230 7403
Allahabad Bank
Andhra Bank
Corporate Office
Axis Bank Ltd. DD-30,Sector-1,SaltLake City
IDBIBank Ltd Kolkata-700064
OrientalBank ofCom m erce Tel:+9133 4019 0000
Fax:+9133 4019 0001

31
 Directors Report

As a pre-em inentIndian Infrastructure Com pany,established over four decades ago,Tantia Constructions Lim ited has,over the years,
strongly anchored itself to Indias developm ent effort.Today,it is acknowledged by alland Sundry as a Com pany that continues to
em powerIndia,enabling the nation to surge ahead in differentcore sectors.Atthe heartofallourdevelopm entefforts is the attem ptto
touch and im prove the quality oflife ofpeople across the country.

Tantia,even as you read this report,is bringing to bear its wealth ofengineering and construction expertise to develop infrastructure
aim ed atfurtherpropelling the nation forward,into the 21stcentury and beyond.

W e are delighted to presentourreporton the Com panys business and operations forthe yearended 31stM arch,2010.

FinancialResults
The salientfeatures ofthe Com panys financialresults forthe yearunderreview are as follows:

(Rs.in thousands)

Perform ance for the year ended 31stM arch 2010 2009
Incom e from operations 56,11,729 44,94,510
Operating profit(before interest,depreciation and taxation) 7,15,887 5,98,787
AnnualReport2009-10

Interestand financialexpenses 3,66,950 3,29,431

Profitbefore depreciation and taxation 3,48,937 2,69,356
Depreciation 68,166 65,540
Profitbefore Taxation (PBT) 2,80,771 2,03,816
Provision fortaxation 98,085 33,673
Profitafter Taxation(PAT) 1,85,523 1,72,586
Provision fordeferred tax liability forthe year 6,489 9,041
Profitbroughtforward 4,20,996 2,88,937
Tantia Constructions Lim ited

Profitavailable for appropriation 6,06,519 4,61,523

Appropriation
Transferto GeneralReserve 18,500 13,000
Dividend on Cum ulative Pref.Shares 147 147
Proposed Dividend on Equity Shares 24,560 23,360
Dividend Tax on Proposed Dividend 4,199 4,020
Balance Carried Forward 5,59,113 4,20,996

32
OperationalPerform ance
Detailed discussion in relation to the
Com panys operations is given in the
M anagem ent Discussion and Analysis
Report under the heading Financial
Perform ance.
Order Book Position as on
31stM arch,2010
The totalorder book position as on 31st
M arch,2010 was Rs.2,064.41 cr.
Conversion of8,00,000
Convertible W arrants into
Equity Shares
During the year under review, the
Com pany has allotted 8,00,000 Equity
Shares of Rs.10/- each at a prem ium of
Rs. 79.12 per share to the prom oters,
pursuantto Conversion ofW arrants as per
term s of issue of Convertible W arrants
which were approved by the Shareholders
at the Annual General M eeting held on
24th Septem ber, 2008. The paid-up
Equity Share Capital of the Com pany as
on 31st M arch,2010 stands increased to
Rs.163,730,660.
Dividend
The Board ofDirectorsatthe M eeting held
on 29th M ay,2010 recom m ended a final
dividend ofRs.1.50 per Equity Share (i.e.
15% ) after giving dividend of Rs. 1.05
(i.e.10.50% ) on the cum ulative
redeem able preference shares ofRs.10/-
each, subject to the approval of the
Shareholders.The distribution tax on the
both equity dividend and preference
dividend is being borne by the Com pany
and appropriated accordingly.
Fixed Deposit
The Com pany has not accepted any
deposits from the public during the
financialyearended 31stM arch,2010.
ClientRelationship
The Com pany enjoys excellent business
relations with existing clients,resulting in
repeatorders ofsim ilar nature,extension
ofprojects ofa higher value and a listing
am ong preferred partners.The Com panys
custom er base is spread across the
country and includes reputed dom estic
corporates nam ed as follows:
Railways
ZonalRailways
DelhiM etro RailCorporation
IRCON,HRBC
Roads and Highways
NationalHydroelectric Power
Corporation Ltd
Kolkata M etropolitan Developm ent
Authority
Kolkata M unicipalCorporation
M izoram ,UttarPradesh and W est
Bengalstate PW Ds
Urban Developm ent
Hooghly RiverBridge Com m ission
Kolkata M unicipalCorporation
Kolkata M unicipalDevelopm ent
Association
Public Health Engineering
Jawaharlal Nehru National Urban
RenewalM ission
Outlook
The Union Budget2010-11continued to lay
stress on infrastructure developm ent,
citing it as one of the key catalysts in
m aintaining the econom ic growth rate.
The Finance M inister (FM ) provided 46%
(Rs.1,73,552 Cr)ofthe totalPlan allocation
for Infrastructure Developm ent in line
with the yearly targets.Allocation forRoad
Transport was raised by over 13% to
Rs.19,894 Cr, whereas allocation for
im proving Railway Infrastructure was
increased by 6% .
In the light of the pivotal role that the
Infrastructure Sector plays in enabling
future growth, we believe that the
governm ent will continue to focus on
infrastructure developm entin the country
as was witnessed in the recent Budget.
M oreover, in the long run, with the
econom y on a roll (India has annual
average 8-9% growth in the last 4-5
years),we expectthe Infrastructure Sector
to attract m ore funds not only from the
dom estic m arket, but also from the
international m arket. Other factors
including politicalintent,liquidity position,
com m odity and crude prices, structural
and procedural reform s at various
governm ent body levels (like NHAI) are
also well-placed to roll out the Indian
33
 infrastructure growth story ahead.
Disclosures
i) Conservation ofEnergy
Form A appended to the Com panies
(Disclosure of Particulars with Report of
Board of Directors) Rules, 1988 is not
applicable to the Com pany as the industry
to which your Com pany belongs is not
included therein.However the Com panys
core activity being in the area of civil
construction, which is not a power-
intensive industry,the Com pany is m aking
every effortto conserve the use ofpower.
Critical natural resources like diesel,
petrolare consum ed efficiently to ensure
properenergy utilisation and conservation
and the im pactofsuch m easures are not
identifiable.
ii) Technology Absorption
The Com pany did not undertake
any research and developm ent activity
during 2009-10, which needed to be
absorbed oradapted.
iii)Foreign Exchange Earnings and
Outgo (Rs.in thousands)
Foreign Exchange Earnings 457.00
Foreign Exchange Outgo 9,300.00
Directors
Tenure ofSriI.P.Tantia,the Chairm an and
M anaging Director, Sri Rahul Tantia, the
Director (Operations) and Sri B. L.
Ajitsaria, the Director (Business
Developm ent)ended on 31stM arch,2010
and the Board of Directors, based on
34
recom m endations of the Rem uneration
Com m ittee,attheir m eeting held on 29th
January, 2010 re-appointed them for a
further period of 3 years w.e.f 1st April,
2010.
SriSarit Kum ar Bose and SriH.S.Sinha,
the Independent Directors, retire by
rotation and being eligible, offer
them selves forre-appointm ent.
As required underClause 49 ofthe Listing
Agreem ent with the Stock Exchange(s),
the particulars of Directors seeking
appointm ent/ re-appointm ent at the
ensuing Annual General M eeting is
annexed to and form spartofthe Notice of
the AGM .
Em ployee Relation
During the year under review, a cordial
relation was m aintained with the
em ployees.The Directors wish to place on
record their sincere appreciation in
respectofthe services rendered by allthe
em ployees ofthe Com pany.
Particulars ofEm ployees
In term s ofprovisions ofSection 217 (2A)
ofthe Com panies Act,1956,read with the
Com panies (Particulars of Em ployees)
Rules,1975 as am ended,the nam es and
otherparticulars ofthe em ployees are set
out in the Annexure to the Directors
Report.Having regard to the provisions of
Section 219(1)(b)(iv)ofthe said Act,the
Annual Report excluding the aforesaid
inform ation is being sent to all the
m em bers of the Com pany and others
entitled thereto. Any m em ber interested
in obtaining such particular m ay write to
the Com pany Secretary at the Registered
Office of the Com pany at 25/27, Netaji
Subhas Road,Kolkata 700 001.
Auditors
M /s. S. M . Bengani & Co., Chartered
Accountants, Kolkata, Statutory Auditors
of the Com pany will retire at the
forthcom ing AnnualGeneralM eeting and
have expressed their unwillingness to be
re-appointed for further period.
Accordingly, your Directors recom m end
that M /s. Konar M ustaphi & Associates,
Chartered Accountants,Kolkata,who have
signified their willingness in writing, be
appointed as Statutory Auditors of your
Com pany at the forthcom ing Annual
GeneralM eeting and theirappointm ent,if
m ade,willbe within the lim its prescribed
under Section 224 (1B) of the Com panies
Act,1956.
Auditors Observation
The observation of the Auditors in this
report read with notes on accounts are
self explanatory and do not call for any
furtherexplanation.
Corporate Governance
The fundam ental objective of Corporate
Governance is to enhance shareholders’
value and protect the interests of other
stakeholders by im proving the corporate
perform ance and accountability in a
transparentm anner.
Your Com pany reaffirm s its com m itm ent
to Corporate Governance and it adheres
with the provisions of Corporate
Governance as stipulated in Clause 49 of
the Listing Agreem ent with the Stock
Exchange(s). A separate section on
Corporate Governance practices,
M anagem entDiscussion and Analysis and
Shareholders Inform ation are given as
annexure to this report.
The Auditors Certificate confirm ing
com pliance with the provisions of
Corporate Governance as stipulated under
the Clause 49 ofthe Listing Agreem entis
annexed to the AnnualReport.
Directors Responsibility
Statem ent
Pursuant to the provisions of Section 217
(2AA) of the Com panies Act, 1956, the
Board ofDirectors hereby state that:
a) in the preparation of the annual
accounts for the year ended 31st M arch,
2010,the applicable accounting standards
read with requirem ents set out under
Schedule VIto the Com panies Act,1956,
have been followed and there are no
m aterialdepartures from the sam e;
b) we selected such accounting policies
and applied them consistently and m ade
judgm ents and estim ates that were
reasonable and prudent, so as to give a
true and fairview ofthe state ofaffairs of
the Com pany asat31stM arch 2010,and of
the profit/loss for the year ended on that
date;
c) we took proper and sufficient care to
m aintain adequate accounting records in
accordance with the provisions of the
Com paniesAct,1956,forsafeguarding the
Com panys assets and for preventing and
detecting fraud and other irregularities ;
and
d) the accounts for the year ended 31st
M arch, 2010 were prepared on a going
concern basis.
Acknowledgem ents
The Directorswish to place on record their
sincere appreciation for the valuable
support from the Com panys bankers,
financial institutions, Central and State
Governm ent authorities, clients,
consultants, suppliers, Stock
Exchange(s)and m em bersofthe Com pany
and look forward to a greater m easure of
the sam e in the com ing years.
The Board ofDirectors also wish to place
on record its deep appreciation for the
services of the devoted executives,staffs
m em bers and workers whose hard work,
solidarity, cooperation and support
contributed to its efficient and successful
m anagem ent and in achieving this years
results.
AnnualReport2009-10
Forand on behalfofthe Board
I.P.Tantia
Chairm an and
M anaging Director
Date:29th M ay,2010 Registered office:
25-27,NetajiSubhas Road,
Kolkata 700 001
Tantia Constructions Lim ited
35
 M anagem entDiscussion
and Analysis Report

The Business Overview
Tantia Constructions Lim ited is one of
the oldest general civil infrastructure
solution providers in India. It was
incorporated in the year 1964 and is a
profit m aking com pany since inception
and a dividend paying Com pany over
twenty five yearsbarring forfinancialyear
1998-99. It began operations in the
railways segm ent and over the years
extended its activities to seven core
infrastructure segm ents being railways,
roads, urban developm ent, industrial,
power,m arine and aviation.
AnnualReport2009-10
client, com m unity in general and the construction of term inal buildings,
country. addressal system s and control system s
am ong others.The Com pany specialisesin
Tantia is the only Indian com pany to have
executing aviation infrastructure projects
fabricated a 100 m etre span steelgirder
on a turnkey basis, offering a one-stop,
onsite,4,000 m etres above sea-level.
custom ised and com plete solution for the
Urban Infrastructure custom ers.
Tantias Urban Infrastructure Division has
M arine Infrastructure
established its credentials through its
Tantia ventured into the m arine
presence in Kolkata im provem ent
infrastructure sector in 2003. The
projects,its expertise com prising soil,re-
Com pany now possesses proven
engineering, m echanised earthwork,
capabilities in building tunnels,jetties and
hauling for large-scale land developm ent,
steelgirders along rivers.
allied works of roads and pipelines,
electrification and lighting system s. The Quality Control

Industry Structure and
Developm ent
Railways
Today,Tantia is one ofthe oldestrailway
contractors in India with the experience of
having com pleted assignm ents across
diverse terrainsforEastern Railway,North
Eastern Railway, South Eastern Railway
and North EastFrontier Railway.Som e of
its Joint Venture partners com prised
Tantia Constructions Lim ited
Com pany also caters to the robust realty
dem and for residential, com m ercial and
public utility buildings as wellas solutions
form ass rapid transportsystem s.
Power
India has taken giantstrides in the field of
power since independence. Power
generation projects,be they in coal,gasor
hydro,are extrem ely capitalintensive.The
Governm enthas laid down targets for the
Tantia m aintains quality control system ,
which is the result of the tradition of
its founders and the priorities placed by
the m anagem ent evolved to m eet
day-to-day needs, size and operational
necessities. The Com pany obtained the
ISO 9001 :2000A certificate in June 2002
and since then, regular internal quality
audits are being conducted by qualified
professionals both atzonaloffices as well

reputed international nam es like Road
BuilderSdn,Berhad,M alaysia.
Roads and bridges
Tantia established its credentials in the
field of construction, widening,
conversion, m aintenance, strengthening
and beautification of roadways, roads,
bridges, highways and flyovers. The
Com panysexpertise in the m aintenance of
roads infrastructure will translate into
com plete solutions for the benefit of the
as projectsites to ensure com pliance with
sector power availability for allby 2012
internationalstandards.
and access to electricity forallhouseholds
by that tim e.Your Com pany has already Infrastructure Developm entin India
putits presence in this sector. India is one of the fastest growing
econom iesin the world.Consequently,the
Aviation Infrastructure
need for infrastructure facilities is ever
Tantia ventured into the aviation
growing across various sectors.Im proving
infrastructure sector in 2005 through the
infrastructure is the key to Indias
Dibrugarh Airportproject.The Com pany is
developm ent.One ofthe key priorities of
now attractively positioned to service the
Indias growth is infrastructure,
aviation boom in the Northeast. Tantias
governm entspending on which has nearly
portfolio of services com prises the
doubled in the pastdecade.India currently

36
has 3.3 m illion kilom etres of roads the
second largestsuch network in the world.
The Eleventh Five Year Plan envisages
a total investm ent of US$514 billion in
infrastructure sector for bridging the
infrastructure deficit and for sustaining
a growth m om entum of 9% per annum .
Presently, the infrastructure sector
in India accounts for 26.70% of India’s
industrial output and is therefore
an effective toolto balance the econom y.
Opportunities and Threats
The Union Budget2010-11continued to lay
stress on developm ent of infrastructure,
citing it as one of the key catalysts in
m aintaining the econom ic growth rate.
The Finance M inister (FM ) provided 46%
(Rs.1,73,552 cr)ofthe totalPlan allocation
forinfrastructure developm entin line with
the yearly targets. Allocation for Road
Transport was raised by over 13% to
Rs. 19,894cr, whereas allocation for
im proving Railway Infrastructure was
increased by 6% .
The shortage of highways has been a
m ajor hurdle for attracting foreign
investm ent.The lack ofroads rem ains the
greatest challenge. Although there are
71,000 kilom etres of national highways,
16,000 are single lane roads.To em brace
the challenge ofbuilding 20 kilom etres of
road perday,the governm entofIndia has
em barked on one of the largest public-
private partnership schem es in history.
The cost will am ount to US$20 billion,
60% ofwhich willbe raised by the private interest rate risk,liquidity risk and credit
sector. One m ajor concern is the risk, risks associated with the econom y,
acquisition ofland,which often results in regulations,com petition,etc.These risks
prolonged court battles that reach upto are m anaged through risk m anagem ent
the Suprem e Court.Another issue is that policies thatare designed to m inim ise the
estim ates are often m uch lower than the potentialadverse effects ofthese risks on
actualcostofthe project,resulting in the financial perform ance. The policies are
contractor bearing the additional costs. reviewed and approved by the Board.
The governm ent is initiating steps for
The Risk M anagem ent fram ework of the
addressing the challenge of land
Com pany ensures, am ongst others,
acquisition forhighway construction.
com pliance with the requirem ents of
Clause 49 of the Listing Agreem ent.The
Outlook
fram ework establishes risk m anagem ent
In the light of the pivotal role that the
across all service areas and functions of
Infrastructure Sector plays in enabling
the Com pany, and has in place, the
future growth, we believe that the
procedures to inform the Board M em bers
governm ent will continue to focus on
about the risk assessm ent and
infrastructure developm entin the country
m inim isation process.These processesare
as was witnessed in the previous Budget.
periodically reviewed to ensure that the
M oreover, in the long run, with the
m anagem ent of the Com pany controls
econom y on a roll (India has averaged
risks through a defined fram ework.
8-9% growth in the last 4-5 years), we
expectthe Infrastructure Sector to attract
Incom e Accounting M ethod
m ore funds not only from the dom estic
Tantia preparesitsfinancialstatem entson
m arket, but also from the international
accrual basis in com pliance with the
m arket. Other factors including political
requirem ent of the Com panies Act,1956,
intent, liquidity position, com m odity and
the Listing Agreem ent with Stock
crude prices, structural and procedural
Exchange(s) and Generally Accepted
reform s at various governm ent body
Accounting Principles as applicable in
levels (like NHAI) are also well-placed to
India (Indian GAAP). The Com panys
roll out the Indian infrastructure growth
businessoperationsfallunderthe purview
story ahead.
of civil construction. W herever the
treatm ent of accounts requires
Risks and Concerns
interpretation,the Com pany haspreferred
In the norm al course of business, the
to be cautious and conservative.
Com pany is exposed to certain financial
risks, principally foreign exchange risk,
InternalControlSystem and
37
 their Adequacy
Tantia m aintains a strong system of
Internal Control to safeguard the
Com panys assets against loss from
unauthorised use and ensures proper
authorisation offinancialtransactions.
The m anagem ent of the Com pany duly
considers and takes appropriate action on
the recom m endations m ade by the
InternalAuditors,Statutory Auditors and
Independent Audit Com m ittee of the
Board of Directors. Audit Com m ittee
Reviews the Internal Control System on
regularbasis.
FinancialPerform ance
The perform ance of the Com pany in the
previous financial year was m ore
satisfying when viewed in the lightofthe
challenging business environm ent of the
Construction Industry. A com parative
study ofthe financialperform ance ofthe
Com pany as com pared to the previous
yearis given here-under:
Turnover
The turnover of a construction com pany
depends on the orders in hands
and projectsprocured.The turnoverofthe
current year 2009-10 was Rs. 56,11,729
thousand as com pared to the
previous years Rs. 44,94,510 thousand.
The incom e from other sources has also
increased from Rs. 16,758 thousand to
38
Rs. 23,055 thousand during the sam e
period.
Reserves and Surplus
The balance of reserves and surplus
increased from Rs. 9,45,449 thousand
as on 31st M arch, 2009 to Rs. 11,65,362
thousand as on 31stM arch,2010.
M argins
The Com panys operating profit increased
from Rs. 5,98,787 thousand in the
previous year to Rs.7,15,887 thousand as
on 31stM arch,2010.
Interestand FinancialCharges
The Com panys interest and financial
expenses increased from Rs. 3,29,431
thousand as on 31st M arch, 2009 to
Rs.3,66,950 thousand as on 31st M arch,
2010.
Gross Block and NetBlock
The Com panys gross block of assets
increased from Rs.9,67,026 thousand as
on 31st M arch, 2009 to Rs. 10,26,874
thousand ason 31stM arch,2010.W hereas
the net block increased from Rs.6,75,191
thousand as on 31st M arch, 2009 to
Rs. 6,91,957 thousand as on 31st M arch,
2010.
Debtors
As a business policy, the Com pany
executes infrastructure assignm ents
m ainly com m issioned by governm ent
bodies. The Com panys sundry debtors
exceeding six m onths increased from
Rs. 1,95,595 thousand as on 31st M arch,
2009 to Rs.2,12,682 thousand as on 31st
M arch, 2010 and adequate steps have
been initiated forrecovery ofthe sam e.
Inventories
The Com panys inventories increased from
Rs.14,46,524 thousand as on 31stM arch,
2009 to Rs. 16,18,375 thousand as on
31stM arch,2010.
Hum an Capital
Our Em ployees are the biggest and m ost
valuable assets.W e have staffstrength of
about 650 persons which com prises
professionals from diverse backgrounds
like engineering, finance, taxation,
m anagem ent, business, supervisors,
operators and sub-staff.
Cautionary Statem ent
Certain statem ents provided above
describing the Com panys objectives,
projections, estim ates, expectations or
predictions m ay be forward looking
statem ents within the m eaning of the
applicable laws and regulations. Actual
results could differ from those expressed
orim plied.
Corporate Governance Report
1. Com panys Philosophy on
Corporate Governance
Corporate Governance is the set of
processes, custom s, policies, laws and
institutions,affecting the way a com pany
is directed, adm inistered or controlled.
Corporate Governance also includes the
relationships am ong the m any
stakeholders involved and the goals for
which the corporation is governed. Key
elem ents of good Corporate Governance
principles include honesty, trust and
integrity, transparency and openness,
perform ance orientation, responsibility
and accountability, m utual respect, and
com m itm entto the organisation.
Your Com panys Corporate Governance
philosophy encom passes not only
regulatory and legal requirem ents,
such as the term s of the Listing
Your Com pany is com m itted to following
bestCorporate Governance Practicesin all
its pursuits and is constantly striving to
better them and adopt em erging best
practices.
2.Board ofDirectors
Com position and size:
The Com position ofthe Board ofDirectors
of Tantia Constructions Lim ited is
governed by the Com paniesAct,1956,and
the provisions of the Listing Agreem ent
with the Stock Exchange(s) where the
securities of the Com pany are listed.The
Board consists of em inent persons with
considerable professional expertise and
experience in Business M anagem ent,
Engineering, Railways,
Technology,and otherrelated fields.
Director, Sri Rahul Tantia, Director
(Operations) and Sri B. L. Ajitsaria,
Director (Business Developm ent).
SriRahulTantia isthe son ofSriI.P.Tantia
while other 6 (six) are Non-Executive
IndependentDirectors.
Non-Executive Independent Directors do
not have any pecuniary relationship
and/or transaction with your Com pany
otherthan paym entofsitting feeswhich is
within the lim it prescribed under the
Com panies Act,1956 read with Articles of
Association ofthe Com pany.
The Directors ofthe Com pany m et5 (five)
tim es during the year on 30th M ay,2009,
30th July, 2009, 12th October, 2009,
Finance, 31st October, 2009 and 29th January,
2010. Details on the com position of the

AnnualReport2009-10
Board, num ber of Board M eetings,
Agreem ent with Stock Exchange(s), but As on date, the Com pany has 9 (nine)
also severalvoluntary practicesaim ed ata attendance of Directors, other
Directors of which 3 (three) are
high level of business ethics, effective Directorshipsand com m ittee position held
M anaging/W hole-tim e Directors viz.
supervision and enhancem ent of value by them on 31st M arch, 2010 were as
Sri I. P. Tantia, Chairm an and M anaging
forallstakeholders. follows:

Nam e of Category No.ofBoard Attendance No of TotalNo.

the Directors ofDirectors M eetings atthe LastAGM Directorship Com m ittee
Attended held on 9th held outside* m em berships held
Septem ber,2009 outside**
As m em ber As Chairm an Tantia Constructions Lim ited
SriIP Tantia Chairm an and 5 Yes - - -
M anaging Director
SriB L Ajitsaria Director(Business 1 No 1 - -
Developm ent)
SriRahulTantia Director 3 No 3 - -
(Operations)
SriH S Sinha Non-Executive (Independent) 5 Yes 4 1 1
SriU S Agarwal Non-Executive (Independent) 5 Yes 2 - -
SriM P Agarwall Non-Executive (Independent) 1 No 20 - -
SriS K Bose Non-Executive (Independent) 4 Yes - - -
SriP K Chattaraj Non-Executive (Independent) 4 Yes 6 2 1
SriShaleen Khem ani Non-Executive (Independent) 5 Yes 8 - -

* This includes directorship held in private com panies.** As perinform ation received,none ofthe directors ofthe Com panys Board is Mem berofm ore than 10 com m ittees or
Chairm an of5 Com m ittees.Mem bership/Chairm anship in com m ittees ofDirectors includes AuditCom m ittee and Shareholders/InvestorGrievance Com m ittee ofDirectors only.

39
 3.Board M eetings
The Board M eetings of the Com pany are
decided in advance and tentative dates of
Board M eetings, in which quarterly /
annual results are to be discussed are
given in the General Shareholder
Inform ation.
Preparation of agenda and
schedules ofBoard M eetings:
The Chairm an ofthe board in consultation
with the Com pany Secretary draws the
agenda for each m eeting, along with
explanatory notes and distributes these in
advance to the directors.The Board m eets
atleastonce afterclosure ofeach quarter
to review the financialperform ance ofthe
Com pany.Additionalm eetings are held as
and when considered necessary.
Inform ation placed before the
Board:
The Board has unfettered and com plete
access to any inform ation within the
AnnualReport2009-10
Clause 49 of the Listing Agreem ent, the
m inutes of the Com m ittee m eetings are
placed at subsequent m eetings of the
Board of Directors. Recom m endations of
the com m ittees are subm itted to the
Board fortheirapproval.
The quorum for the m eeting of the
com m itteesiseithertwo m em bersorone-
third of the m em bers of the com m ittee,
whicheveris higher.
The Com pany Secretary acts as a
Secretary to all the Com m ittees of the
Board.
A. AuditCom m ittee
Com position and size:
The com m ittee consists of Executive and
Non-Executive Directors.Allthe m em bers
of Com m ittee are financially literate and
have accounting or related financial
m anagem ent expertise. The Board has
constituted the Audit Com m ittee in
com pliance with allthe applicable laws.
M em ber Position M eetings
attended
SriU S Agarwal Chairm an 4
SriRahulTantia M em ber 3
SriH S Sinha M em ber 4
SriP K Chattaraj M em ber 3
The Chairm an of the Audit com m ittee was
present at the previous Annual General
M eeting held on 9th Septem ber,2009.
B.Rem uneration Com m ittee
Com position and size:
The Rem uneration Com m ittee consists of3
(three)IndependentDirectors nam ely SriP.
K.Chattaraj,SriH.S.Sinha and SriShaleen
Khem ani along with Sri Rahul Tantia, the
Executive Director of the Com pany. M d.
Jam shed Alam ,the Com pany Secretary,is
the Secretary to the Com m ittee.
Term s ofReference:
The purpose of the Rem uneration
Com m ittee of the Board of Directors,

Com pany, and to any of our em ployees.
The Board M eetings welcom e the
presence of the Vice-Presidents, General
M anagers and M anagers,who can provide
additional insight into the item s being
discussed.
The required inform ation as enum erated
in Annexure IA to the Clause 49 of the
Listing Agreem ent with the Stock
Exchange(s)and the m aterials required to
Tantia Constructions Lim ited
interalia,is to discharge the responsibilities
The AuditCom m ittee consists of3 (three)
on behalf of Board of Directors and on
Independent Directors nam ely Sri U. S.
behalf of Shareholders, related to any
Agarwal, Sri H. S. Sinha and Sri P. K.
com pensation paym ent to the
Chattaraj along with Sri Rahul Tantia,
M anaging/Executive Directors of the
the Executive Director of the Com pany.
Com pany and/or to recom m end
M d. Jam shed Alam , the Com pany
rem uneration package including
Secretary, is the Secretary to the
perquisites payable by the Com pany on
Com m ittee.
their appointm ent and/or re-appointm ent.
Term s ofReference: The com m ittee has the overall
The Board ofDirectorsofthe Com pany has responsibility of approving and evaluating

be placed before the Board asprovided in constituted an Audit Com m ittee of perform ance appraisals for the
the Com panies Act, 1956 are m ade Directorto exercise powers and discharge M anaging/Executive Directors of the
available to the Board M em bers for functions as stipulated in Section 292A of Com pany.
discussion, consideration and doing the the Com panies Act,1956,Clause 49 ofthe M eeting held during the year:
needfulatits M eetings. Listing Agreem ent with the Stock The Rem uneration Com m ittee m et once
Exchange(s) and other relevant during the yearon 29th January,2010.
4.Com m ittees ofthe Board statutory/regulatory provisions,asm ay be
There are 4 (Four) com m ittees of the Details on the com position of the
applicable.
Board nam ely- Audit Com m ittee, com m ittee and attendance are given below:
Rem uneration Com m ittee,Share Transfer M eetings held during the year:
M em ber Position M eetings
and Investor Grievances Com m ittee and The Audit Com m ittee m et 4 (four) tim es
attended
Treasury M anagem ent Com m ittee. The during the year on 30th M ay, 2009,
SriP K Chattaraj Chairm an 1
term s of reference of Com m ittees of 30th July,2009,31st October,2009 and
29th January, 2010. Details on the SriH S Sinha M em ber 1
Board are determ ined by the Board from
tim e to tim e. com position of the com m ittee and SriShaleen Khem aniM em ber 1
attendance are given below: SriRahulTantia M em ber 1
In conform ity with Annexure IA to the

40
The rem uneration paid to each ofthe Directors is given in the table below: (Rs.In thousands)

Nam e Salary and other benefits Sitting Fees Stock Option,

ofDirectors ifany (No.)
Salary (including Com m ission Contributions Other Board M eeting/
House Rent to Provident Perquisites Com m ittee
Allowance) Fund M eetings
SriIP Tantia 5,400 9,197 50 - - Nil
SriB L Ajitsaria 3,000 - 9 - - Nil
SriRahulTantia 3,000 - - - - Nil
SriH S Sinha - - - - 51 Nil
SriU S Agarwal - - - - 46 Nil
SriP K Chattaraj - - - - 30 Nil
SriS K Bose - - - - 20 Nil
SriM P Agarwall - - - - 5 Nil
SriS Khem ani - - - - 30 Nil

i. Service Contract:The service contracts ofallM anaging /Executive Directors were for3 years (Effective from 1stApril,2007 to 31st
M arch,2010).Appointm enthas been extended forfurtherperiod of3 years w.e.f.1stApril,2010,subjectto approvalofshareholders
and such otherauthorities,as m ay be required.
ii.Notice Period:6 m onths Notice by eitherparty.
iii.Severance Fees:No fees payable by eitherparty.

C.Share Transfer and
Investors Grievance
Com m ittee
Com position and size:
The com m ittee consists of 2 (two)
Independent Directors nam ely Sri H. S.
Sinha and SriShaleen Khem anialong with
SriRahulTantia,the Executive Director of
the Com pany. M d. Jam shed Alam ,
Com pany Secretary,isthe Secretary to the
Com m ittee.
Term s ofreference:
As per requirem ent of Clause 49 of the
Listing Agreem ent with the Stock
Exchange(s), com m ittee under the
chairm anship ofNon-Executive Director is
form ed to specially look into the redressal
of shareholder and investors com plaints
relating to transfer / transm ission /
consolidation /splitofshares,non-receipt
ofAnnualReport,non-receiptofdeclared
dividends etc.
M d. Jam shed Alam , the Com pany transm ission are approved by the Registrar
Secretary is the Com pliance Officer ofthe and Share TransferAgentand ratified by the
Com pany. Board. Status of com plaints of
shareholders/investors is as under:
M eetings held during the year:
The Share Transfer and Investors Num berofCom plaints pending
Grievance Com m ittee m et 4 (four) tim es on 1stApril,2009 0
during the year on 30th M ay, 2009, Num berofCom plaints received
30th July,2009,31st October,2009 and during the year 1
29th January, 2010. Details on the Num berofCom plaints redressed
com position of the com m ittee and during the year 1
attendance are given below:
Num berofCom plaints pending
M em ber Position M eetings on 31stM arch, 2010 0
attended
SriH S Sinha Chairm an 4
D.Treasury M anagem ent
Com m ittee
SriRahulTantia M em ber 3
Com position and size:
SriShaleen Khem ani M em ber 4 The Treasury M anagem ent Com m ittee
consists of 2 (two) Independent Directors
The Com pany has a share departm entunder
nam ely Sri U. S. Agarwal, Sri H. S. Sinha
the Com pany Secretary, who m onitors the
along with Sri Rahul Tantia, the Executive
activities of Registrar and Share Transfer
Directorofthe Com pany.M d.Jam shed Alam ,
Agentand looks into the m atters relating to
the Com pany Secretary,is the Secretary to
the shareholders. Share transfer /
the Com m ittee.

41
 Term s ofReference: d.Carry out any other function as m ay be attendance are given below:
The purpose of the Treasury M anagem ent delegated by the Board of Directors from
M em ber Position M eetings
Com m ittee of the Board of Directors, tim e to tim e.
attended
interalia,is to discharge the responsibilities e.Delegate authorities to the Executives
on behalfofBoard ofDirectors relating to: SriU S Agarwal Chairm an 9
and/orotherAuthorised Representatives to
a.Exercise allpowers to borrow m oneys for im plem ent the decisions of the Com m ittee SriH S Sinha M em ber 9
the Com panys requirem ents (otherwise from tim e to tim e. SriRahulTantia M em ber 8
than by issue of debenture) and taking
necessary actions connected therewith. M eetings held during the year: 4.GeneralBody M eetings
b. Review entire Banking arrangem ents The Treasury M anagem ent Com m ittee i. Location and tim e of previous 3
from tim e to tim e. m et 9 (nine) tim es during the year ended (three) Annual General M eetings
31st M arch, 2010. Details on the held are given below :
c. Approve opening/m odifications/closure
com position of the com m ittee and
ofBank Accounts from tim e to tim e.

FinancialYear Venue Day & Date Tim e

2008-09 Bharatiya Bhasha Parishad,36A Shakespeare Sarani,Kolkata 700 017 W ednesday,09.09.2009 3.00 P.M .
2007-08 Bharatiya Bhasha Parishad,36A Shakespeare Sarani,Kolkata 700 017 W ednesday,24.09.2008 3.00 P.M .
2006-07 Bharatiya Bhasha Parishad,36A Shakespeare Sarani,Kolkata 700 017 M onday,03.09.2007 3.00 P.M .

ii. SpecialResolutions passed atprevious three AnnualGeneralM eetings

The following specialresolutions were passed by the m em bers during the previous 3 (three)AnnualGeneralM eetings:

FinancialYear SpecialResolutions
AnnualReport2009-10

2008-09 None
2007-08 To issue 8,00,000 Convertible W arrants on PreferentialBasis to the Prom oters ofthe Com pany as per section 81(1A)of
the Com panies Act,1956.
2006-07 To apply for voluntary delisting ofequity shares ofthe Com pany from The Calcutta Stock Exchange Association Lim ited
and The DelhiStock Exchange Association Lim ited.

iii.PostalBallot
No resolution was passed through postalballotduring the previous financialyearended 31stM arch,2010.
Atthe ensuing AnnualGeneralM eeting there is no resolution proposed to be passed by way ofPostalBallot.

5.M eans ofcom m unication

Tantia Constructions Lim ited

i. Quarterly Results The quarterly results of the Com pany are being announced within 45 days of the
com pletion ofthe quarterand audited annualresultsare announced within two m onths
ofthe end oflastquarterand Stock Exchange(s)are im m ediately intim ated.
ii. Newspapers where English
norm ally results are M int(Alleditions)
published in Business Line (Alleditions)
Bengali
Arthik Lipi(Kolkata)
iii. Nam e ofW ebsites where www.tantiagroup.com ,www.nseindia.com
results are displayed www.bseindia.com ,www.corpfiling.co.in

iv. W hetherW ebsite also displays

officialnews releases,ifany. Yes

v. W hetherpresentations m ade to
institutionalinvestors orto the analyst. None

42
6.Disclosures
a.A Statem ent in sum m ary form of
transactions with related party in the
ordinary course of business is placed
periodically before the Audit Com m ittee.
The particulars of transactions between
the Com pany and itsrelated partiesasper
Accounting Standard (AS-18 which deals
with Related Party Disclosures) are
disclosed in Notes of Accounts (Note
No.17) of Schedule 23 to accounts in the
AnnualReport.
b.The Com pany did not have any
m aterially significant related party
transactions, which m ay have potential
conflictwith the interestofthe Com pany.
c.The Com pany has duly com plied with
the requirem ents of the regulatory
authoritieson CapitalM arkets.There were
no strictures or penalties im posed by
either the Securities and Exchange Board
of India (SEBI),Stock Exchange(s) or any
statutory authority for non-com pliance of
any m atter related to capital m arkets
during previous 3 years.
d.The Com pany does not have a W histle
Blower Policy. It is confirm ed that no
personnelhas been denied access to the
AuditCom m ittee.
e.The Com pany follows Accounting
Standards issued by the Institute of
Chartered Accountants ofIndia (ICAI)and
while preparation of financialstatem ents
for the year ended 31st M arch 2010,the
Com pany has not adopted a treatm ent
different from those prescribed in an
Accounting Standard.
f. The Board has received disclosures
from senior m anagem ent personnel
relating to m aterial financial and
com m ercial transaction in which they
and/or their relatives have personal
interest and have entered into no
transactions other than those reported in
the Related Party Transactions as
disclosed in Notes of Accounts (Note
No.17) of Schedule 23 to accounts in the
AnnualReport.
g.Allm andatory requirem ents have been
appropriately com plied with the Com pany
and with regard to Non-M andatory
requirem ents; the Com pany has set
up a Rem uneration Com m ittee. The
Rem uneration Com m ittee has the overall
responsibility ofapproving and evaluating
perform ance appraisals for the
M anaging/Executive Directors of the
Com pany.The Com pany doesnothave any
qualification pertaining to the Financial
Statem entsofthe yearunderreview in the
AuditReport.
h.There was no pecuniary relationship or
transactions between the Com pany and
Non-Executive Directors other than
paym entofsitting fees.
i. No shares and/or convertible
instrum ents held by Non-executive
IndependentDirectors ofthe Com pany.
j. The Com pany does not have any
Subsidiary Com pany.
k.In accordance with the requirem ent of
Corporate Governance, the Board of
Directors has form ulated a code of
conduct for Directors and Senior
M anagem ent Personnel of the Com pany
and the com pliance thereof has been
confirm ed by allconcerned.The code of
conduct has also been posted on
Com panys website.In addition to this,as
per requirem ent of SEBI (Prohibition of
Insider Trading) Regulations, 1992, the
Board ofDirectorshasform ulated another
Code ofConductfor prevention ofInsider
Trading in Equity Shares ofthe Com pany.
l. The Com pany laid down the procedures
to inform the Board M em bers about the
risk assessm ent and m inim isation
procedure. These procedures are
periodically reviewed to ensure that
executive m anagem ent control risks
through m eans of a properly defined
fram ework.
m . Details of Directors seeking
appointm ent /reappointm ent at the
ensuing Annual General M eeting, as
required under Clause 49 of the Listing
Agreem ent are annexed to the Notice
convening the 45th Annual General
M eeting.
n.A M anagem entDiscussion and Analysis
Report is given separately which form s
partofthis AnnualReport.
7.Auditors Certificate on
Corporate Governance
The Com pany has obtained certificate
from Statutory AuditorsM /s.S.M .Bengani
& Co. on com pliance of Corporate
Governance. Auditors certificate on
Corporate Governance form s part of
AnnualReport.
43
 GeneralShareholder Inform ation

1. AGM Details
Date : 15th Septem ber,2010

Tim e : 3:00 pm

Venue : Bharatiya Bhasha Parishad,36A Shakespeare Sarani,Kolkata 700 017

Book Closure Dates : 8th Septem ber,2010 to 15th Septem ber,2010 (Both days inclusive)

Dividend Paym entDate : Subjectto Shareholders Approval,on orafter15th Septem ber,2010

2.FinancialCalendar
Financialreporting forthe Year2010-11 (tentative and subjectto change)

Particulars Quarter/halfyear/ year ending Tentative Schedule*

Unaudited FinancialResults (1stQuarter) Q.E.30.06.2010 Second week ofAugust,2010
Unaudited FinancialResults (2nd Quarter) Q.E.30.09.2010 Second week ofNovem ber,2010
Unaudited FinancialResults (3rd Quarter) Q.E.31.12.2010 Second week ofFebruary,2011
AnnualReport2009-10

Audited FinancialResults (Annual) Y.E.31.03.2011 LastW eek ofM ay,2011

*Actualdates m ay vary.

3.Listing on Stock Exchanges and Codes

S.N Nam e ofStock Exchange(s) Code
1 The Bom bay Stock Exchange Lim ited (BSE),Phiroze Jeejeebhoy Towers, 532738
DalalStreet,M um bai 400 001.
Ph:+91-022-2272 1234/33.Fax:+91-022-2272 3121 W eb:www.bseindia.com

2 NationalStock Exchange ofIndia Lim ited(NSE) TANTIACONS

Tantia Constructions Lim ited

Exchange Plaza,Bandra Kurla Com plex,

Bandra (E),M um bai 400 051.
Ph:+91-022-26598100,Fax:+91-022-26598120
W eb:www.nseindia.com

3 Singapore Exchange Securities Trading Lim ited Shortnam e:

2 Shentonway,# 19-00 SGX Centrel Tantia cb1% 120718S
Singapore 068804 Abbreviated Nam e:
Ph:(65)62368888;Fax:(65)65356994 TANTCB12
W eb:www.sgx.com ISIN Code:
XS0310744106

The Listing fees forFinancialYear2010-11 have already been paid forallthe above Stock Exchanges.

44
4.Details ofPrice M ovem enton Stock Exchanges
The m onthly high and low quotations,aswellasthe volum e ofEquity Sharestraded atthe BSE and the NSE are provided in the following
tables:

Sl.No. M onth Bse Nse

High (Rs.) Low (Rs.) Volum e (No.) High (Rs.) Low (Rs.) Volum e (No.)
1 April-2009 42.20 33.00 1,71,298 42.55 33.15 1,35,904
2 M ay-2009 61.50 34.80 3,23,338 59.70 34.60 3,93,554
3 June-2009 70.90 54.50 3,68,747 71.00 54.50 3,95,899
4 July-2009 98.90 57.60 5,93,359 99.00 57.60 7,25,129
5 August-2009 100.90 85.65 3,53,253 100.70 85.20 3,95,651
6 Septem ber-2009 117.65 95.35 11,34,664 116.80 94.00 11,93,465
7 October-2009 127.25 93.50 13,42,397 127.90 95.00 14,50,774
8 Novem ber-2009 131.10 90.40 16,00,506 132.00 91.00 20,39,254
9 Decem ber-2009 125.80 107.00 15,15,337 126.40 107.25 16,80,898
10 January-2010 159.00 120.00 50,48,450 158.80 116.90 78,83,084
11 February-2010 142.00 110.00 7,57,901 141.70 117.50 9,55,404
12 M arch-2010 137.70 115.50 6,47,712 137.00 115.10 8,40,913

5.Registrar & Share
Transfer Agent(RTA)
The Com pany has appointed M /s.
M aheswariDatam atics Pvt.Ltd.,to actas
Registrar and Share Transfer Agent(RTA)
w.e.f. 17th M arch, 2007. Shareholders/
Investors are requested to send share
transferrelated docum entsdirectly to our
RTA whose address is given under the
heading Address forCorrespondence.The
Com pany has a Shareholders/Investors
Grievance Com m ittee to look into various
issues relating to the investors including
share transfers.
6.Dem aterialisation of
Shares and Liquidity
The Shares of the Com pany are
com pulsorily traded in dem aterialised
form on Bom bay Stock Exchange Lim ited
(BSE) and National Stock Exchange
ofIndia Lim ited (NSE),RTA are entrusted
with the responsibility of
dem aterialisation of Com panys Shares.
Shares held in dem atand physicalm odes
as at31stM arch,2010 are as follows:

Category Num ber of % oftotalEquity

Shareholders Shares
Dem aterialised M ode
a)NSDL 7,356 1,42,53,038 87.0517
b)CDSL 3,429 12,26,369 7.4902
Sub Total 10,785 1,54,79,407 94.5419
PhysicalM ode 35 8,93,659 5.4581
Total 10,820 1,63,73,066 100.00

The InternationalSecurities Identification Num ber(ISIN)allotted to ourEquity Shares underthe Depository System is INE388G01018.

45
 7.Share Transfer/ sam e,in case the application is otherwise with professional qualifications and
Transm ission / in order. There are no pending share advanced com puter system s for speedy
Consolidation/ SplitSystem transfers as on 31.03.2010. redressalof the investor grievances.The
The exercises of share totalprocess ofsettlem entofa com plaint
transfer/transm ission/consolidation/split
8.Investor Grievance right from its receipt to disposalis fully
are handled by the Com panys RTA and
RedressalSystem com puterised to ensure tim ely
The investor grievances are handled by settlem ent.Itnorm ally takes15 daysfrom
after com pleting the procedural
the Com panys RTA in consultation with the date of receipt of the com plaint for
form alities of share transfer, the share
the Shareholders/Investors Grievance disposalofinvestorgrievances.There are
certificates are returned to the
Com m ittee of the Com pany.The RTA,to no pending grievances as on 31.03.2010.
transferees within a m axim um period of
ourinform ation has adequate skilled staff
21 days from the date of lodgm ent of

9.Distribution ofShareholding as on M arch 31,2010

Range ofEquity Shares held:

No.ofshares No.of Percentage Num ber Percentage

(share range) shareholders (% ) ofshares (% )
1 500 9,976 92.1996 11,47,381 7.0077
501 1000 437 4.0388 3,64,901 2.2287
1001 2000 194 1.7930 2,89,505 1.7682
2001 3000 59 0.5453 15,367 0.9306
AnnualReport2009-10

3001 4000 28 0.2588 1,00,512 0.6139

4001 5000 27 0.2495 1,28,235 0.7832
5001 10000 30 1.2773 2,28,346 1.3946
10000 and above 69 0.6377 1,39,61,819 85.2731
Total 10,820 100.00 1,63,73,066 100.00

Shareholding Pattern
Shares held by Totalshares Percentage (% )
Tantia Constructions Lim ited

Indian Prom oters 88,01,498 53.76

Foreign Prom oters 0 0
Persons acting in concert 0 0
Totalshareholding ofProm oter and Prom oter Group (A) 88,01,498 53.76
Public shareholding
M utualfunds and UTI 10,18,900 6.22
Banks,FinancialInstitutions,Insurance Com panies,Non-Governm entInstitutions 3,39,182 2.07
Foreign InstitutionalInvestors(FIIs) 10,63,688 6.50
Private Corporate Bodies 22,63,675 13.82
Indian Public 28,30,232 17.28
NRI/OCBs/Foreign National 54,891 0.34
Trusts 1,000 0.01
Grand Total 1,63,73,066 100.00

46
10.Perform ance Chartin com parison to BSE Sensex
Tantia Share Price

11.Outstanding GDRs/ADRs/
W arrants or any Convertible
Instrum ents,Conversion Date
and likely Im pacton Equity
The Com pany has issued on 17th July,
2007, 7500 1% Foreign Currency
Convertible Bonds (FCCBs) due 2012
at 100% of US$1000 each aggregating
to US$7.5 m illion. The bondholders have
option of converting these bonds into
shares at an initial conversion price of
Rs. 140.00 per share(including the
prem ium of Rs. 130/-each) with a fixed
rate of conversion of US$1=Rs. 40.38
atany tim e on orafter17th July,2007 upto
5th July, 2012. If at any tim e during
the conversion period, the bondholders
exercises the conversion option,the paid
up equity share capital of the Com pany
willincrease accordingly.
BSE (Sensex)
12.SecretarialAuditby
Practicing Com pany
Secretary
The Com pany has received Quarterly
SecretarialAudit Report from a qualified
Practicing Com pany Secretary, who has
carried out SecretarialAudit to reconcile
the total adm itted capital with National
Securities Depository Lim ited (NSDL) and
CentralDepository Services(India)Lim ited
(CDSL) and the total issued and Listed
Capital. The Secretarial Audit confirm s
that the total issued/ paid up capital is
equalwith the aggregate totalnum ber of
shares in physical form and the total
num ber of dem aterialised shares held
with NSDL and CDSL.
13.Designated E-m ail
Address for Investor
Relations
As per Clause 47(f) of the Listing
Agreem ent with the Stock Exchange(s),
the designated e-m ailaddressforInvestor
Relations is:E-m ail:cs@ tantiagroup.com
14.Unclaim ed Dividend
Pursuantto section 205A read with section
205C of the Com panies Act, 1956, all
unclaim ed/ unpaid dividend pertaining to
the Com pany rem aining unpaid or
unclaim ed fora period ofseven years from
the date they becam e due for paym ent,
have been transferred to the Investor
Education and Protection Fund (IEPF)
established by the Central Governm ent.
Following table gives inform ation relating
to outstanding dividend accountsand dates
when due fortransferto IEPF.

FinancialYear Date ofDeclaration ofDividend Due date for transfer to IEPF

2002-03 30.08.2003 30.08.2010
2003-04 24.08.2004 24.08.2011
2004-05 24.09.2005 24.09.2012
2005-06 04.09.2006 04.09.2013
2006-07 03.09.2007 03.09.2014
2007-08 24.09.2008 24.09.2015
2008-09 09.09.2009 09.09.2016

15.Address for correspondence b. Registrar and Share Transfer Agent(RTA)

a. SecretarialDepartm ent: M aheshwariDatam atics Private Lim ited
Tantia Constructions Lim ited 6,M angoe Lane,2nd Floor,Kolkata 700001
25-27,NetajiSubhas Road,Kolkata 700 001 TelNo:+ 91 33 2243 5029/5809;2248 2248
Phone:+9133-2230 1896/6284 Fax:+ 91 33 2248 4787
Fax:+9133-2230 7403 E m ail:m dpl@ cal.vsnl.net.in

47
 Auditors Certificate
on Corporate Governance
To,the M em bers of
Tantia Constructions Lim ited

W e have exam ined the com pliance ofconditions ofCorporate Governance by Tantia Constructions Ltd.(the Com pany)for
the year ended on 31stM arch,2010,as stipulated in Clause 49 ofthe Listing Agreem entofthe Com pany with the Stock
Exchange(s).

The com pliance ofconditionsofCorporate Governance isthe responsibility ofthe Com panysm anagem ent.Ourexam ination
was lim ited to procedures and im plem entation thereof, adopted by the Com pany for ensuring the com pliance of the
conditions ofthe Corporate Governance.Itis neither an auditnor an expression ofopinion ofthe financialstatem ents of
the Com pany.

In ouropinion and to the bestofourknowledge and according to the inform ation and explanations given to us,we certify
that Com pany has com plied with the conditions of Corporate Governance in totalas stipulated in the above m entioned
Listing Agreem ent.

W e state thatas per the certificate given by the Registrar and Share Transfer Agentofthe Com pany and as per relevant
records m aintained by the Com pany,we reportthatno Investor Grievance was pending againstthe Com pany for a period
exceeding one m onth.
AnnualReport2009-10

W e further state that our report is neither an assurance as to the future viability of the Com pany nor the efficiency or
effectiveness with which the m anagem enthas conducted the affairs ofthe Com pany.

Forand on behalfof
ForS.M .BENGANI& CO.
Firm Registration No.305075E
Chartered Accountants
Tantia Constructions Lim ited

Hira LalBengani
Place: Kolkata Proprietor
Date:29th M ay,2010 M .No.07867

48
CEO and CFO Certification to the Board
To,
The Board ofDirectors,
Tantia Constructions Lim ited

W e,I.P.Tantia,Chairm an and M anaging Director and RohiniSureka,Vice-President (Finance & Accounts),responsible for the finance
function certify that:

(a) W e have reviewed financialstatem ents and the cash flow statem entforthe yearended 31stM arch,2010 and thatto the bestofour
knowledge and belief:

i) These statem ents do notcontain any m aterially untrue statem entorom itany m aterialfactorcontain statem ents thatm ightbe
m isleading;

ii) These statem ents together presenta true and fair view ofthe Com panys affairs and are in com pliance with existing accounting
standards,applicable laws and regulations.

(b) There are,to the bestofourknowledge and belief,no transactions entered into by the Com pany during the yearended 31stM arch,
2010 fraudulent,illegalorviolative ofthe Com panys code ofconduct.

(c) W e accept responsibility for establishing and m aintaining internal controls for financial reporting and we have evaluated the
effectiveness ofthe internalcontrolsystem s ofthe Com pany pertaining to financialreporting and we have disclosed to the auditors and
the AuditCom m ittee,deficiencies in the design or operation ofsuch internalcontrols,ifany,ofwhich we are aware and the steps we
have taken orpropose to take to rectify these deficiencies.

(d) W e have indicated to the Auditors and the Auditcom m ittee;

i. Significantchange in internalcontroloverfinancialreporting during the year.

ii. Significant change in accounting policies during the year and that the sam e have been disclosed in the notes to the financial
statem ents;and

iii. Instances of significant fraud of which we have becom e aware and the involvem ent therein, if any, of m anagem ent or an
em ployee having a significantrole in the Com panys internalcontrolsystem overfinancialreporting.

Place:Kolkata I.P.Tantia RohiniSureka

Date:29th M ay,2010 Chairm an and M anaging Director Vice-President(Finance & Accounts)

AnnualCertificate underClause 49(I)(D)ofthe Listing

Agreem entwith the Stock Exchange(s)
Allthe m em bers ofthe Board and Senior M anagem entPersonnelofthe Com pany have confirm ed due observance ofthe said Code of
Conductin so faras itis applicable to them and there is no non-com pliance thereofduring the yearended 31stM arch,2010 in term s of
certificates received.

Place:Kolkata I.P.Tantia
Date:29th M ay,2010 Chairm an & M anaging Director

49
50
Tantia Constructions Lim ited AnnualReport2009-10

Financialsection
Auditors Report
To
The M em bers of
Tantia Constructions Lim ited
1. W e have audited the attached balance sheet of TANTIA
CONSTRUCTIONS LIM ITED,KOLKATA as at31stM arch,2010,the
profitand loss accountand the cash flow statem entfor the year
ended on thatdate annexed thereto.These financialstatem ents
are the responsibility of the Com panys m anagem ent. Our
responsibility is to express an opinion on these financial
statem ents based on ouraudit.
2. W e conducted our audit in accordance with auditing standards
generally accepted in India.Those standards require thatwe plan
and perform the audit to obtain reasonable assurance about
whether the financial statem ents are free of m aterial m is-
statem ents.An auditincludesexam ining,on a testbasis,evidence
supporting the am ounts and disclosures in the financial
statem ents. An audit also includes assessing the accounting
principles used and significantestim ates m ade by m anagem ent,
aswellasevaluating the overallfinancialstatem entpresentation.
W e believe that our audit provides a reasonable basis for our
opinion.
3. As required by the Com panies (Auditors Report)Order 2003 (as
am ended)issued by the CentralGovernm entofIndia in term s of
sub-section (4A) of Section 227 of the Com panies Act,1956,we
enclose in the Annexure a statem enton the m atters specified in
paragraphs 4 and 5 ofthe said Order.
4. Further to our com m ents in the Annexure referred to above,we
reportthat:
a) W e have obtained allthe inform ation and explanations,which
to the best ofour knowledge and beliefwere necessary for
the purposes ofouraudit;
b) In our opinion,proper books of account as required by law
have been keptby the Com pany so far as appears from our
exam ination ofthose books;
c) The balance sheet, profit and loss account and cash flow
statem entdealtwith by this reportare in agreem entwith the
books ofaccount;
d) In ouropinion,the balance sheet,profitand loss accountand
cash flow statem entdealtwith by this reportcom ply with the
accounting standards referred to in sub-section 3(c) of
Section 211 ofthe Com panies Act,1956;
e) On the basis ofthe written representation received from the
directors and taken on record by the Board ofDirectors,we
report that none of the directors is disqualified as on 31st
M arch,2010 from being appointed as a director in term s of
AnnualReport2009-10
clause (g)of sub section (1)ofSection 274 ofthe Com panies
Act,1956;
f) In our opinion and to the best of our inform ation and
according to the explanations given to us,the said financial
statem ents give the inform ation required by the Com panies
Act,1956,in the m annerso required and give a true and fair
view in conform ity with the accounting principles generally
accepted in India.
i) in the case ofthe balance sheet,ofthe state ofaffairs of
the Com pany as at31stM arch,2010,
ii) in the case ofthe profitand lossaccount,ofthe profitfor Tantia Constructions Lim ited
the yearended on thatdate;and
iii) in the case ofcash flow statem ent,ofthe cash flows for
the yearended on thatdate.
ForS.M .Bengani& Co
Firm s Registration No.305075E
Chartered Accountants
Room No.57,1 1/2 floor
187,Rabindra Sarani CA.HiralalBengani
Kolkata -700 007 Proprietor
Dated :29th M ay,2010 M em bership No.07867
51
 Annexure to Auditors Reportforthe yearended on 31stM arch,2010

(Referred to in paragraph 3 ofourreportofeven date.)

i) a) The Com pany has m aintained properrecords showing full
particulars including quantitative details and situation of
fixed assets.
b) The Com pany has a regular program m e of physical
verification ofits fixed assets by which allfixed assets are
verified in a phased m annerovera period ofthree years.
In our opinion,this periodicity of physicalverification is
reasonable having regard to the size ofthe Com pany and
the nature ofits assets.W e are inform ed thatno m aterial
discrepancies were noticed during such verification.
c) Fixed assets disposed of during the year were not
substantial,and therefore,do notaffectthe going concern
assum ption.
ii) a) The inventory has been physically verified by the
m anagem ent during the year. In our opinion the
frequency ofverification is reasonable.
b) In our opinion,the procedures ofphysicalverification of
inventories followed by the m anagem ent are reasonable
and adequate in relation to the size ofthe Com pany and
the nature ofits business.
c) On the basis ofourexam ination ofthe inventory records,
in ouropinion,the Com pany ism aintaining properrecords
ofinventory and the discrepancies noticed on verification
between the physical stock and book records were not
m aterial.
iii) a) As inform ed, the Com pany has not granted any loans,
secured orunsecured to com panies,firm sorotherparties
covered in the register m aintained under section 301 of
the Com panies Act,1956.
b) As inform ed, the com pany has not taken any loans,
secured or unsecured from Com panies, firm s or other
parties covered in the register m aintained under section
301 ofthe Com panies Act,1956.
iv) In ouropinion and according to the inform ation and explanation
given to us, there is adequate internal control system
com m ensurate with the size ofthe Com pany and the nature of
its business for the purchase ofinventory,fixed assets and for
the sale ofgoodsand services.During the course ofourauditwe
have not observed any continuing failure to correct m ajor
weaknesses in internalcontrol.
v) a) In our opinion and according to the inform ation and
explanationsgiven to us,and based on ourverification,we
are of the opinion that the particulars of contracts or
arrangem ents referred to in register m aintained, under
section 301 of the Com panies Act, 1956, have been
entered in the register required to be m aintained under
thatSection.
b) In our opinion and according to the inform ation and
explanationsgiven to us,and based on ourverification,we
report that the transactions m ade in pursuance of such
contracts or arrangem ents entered in the register
m aintained undersection 301ofthe Com paniesAct,1956,
and exceeding the value ofRupees five lakh in respectof
any party during the yearhave been m ade atpriceswhich
are reasonable having regard to prevailing m arketprices
atthe relevanttim e.
vi) The Com pany has not accepted any deposits under the
provisionsofSections58A and 58AA ofthe Com paniesAct,1956
and the rules fram ed there under.
vii) In our opinion, the Com pany has internal audit system
com m ensurate with the size and nature ofits business.
viii) According to the records produced and inform ation given to us,
the Central Governm ent has not prescribed any rules for
m aintenance ofcostrecords and accounts underSection 209 (i)
(d)ofthe Com panies Act,1956.
ix) a) The Com pany is regular in depositing with appropriate
authority undisputed statutory dues including Provident
Fund,InvestorEducation and Protection Fund,Em ployees
State Insurance, Incom e-tax, Sales Tax, W ealth Tax,
Service Tax, Custom duty, Excise duty, Cess and other
m aterialstatutory duesasapplicable with the appropriate
authority.
b) According to the inform ation and explanationsgiven to us,
no undisputed am ounts payable in respectofIncom e Tax,
W ealth Tax,SalesTax,Custom sDuty,Excise Duty And Cess
were in arrears,as at 31st M arch,2010 for a period of
m ore than six m onthsfrom the date they becam e payable.
c) According to the inform ation and explanationsgiven to us,
details of dues of sales tax,incom e tax,excise duty and
service tax which has not been deposited on account of
any dispute are given below

52
 (Rs.in Lakhs)
Nam e ofthe Statue Nature ofDues Am ountin Rs. Periods to which Forum where
the am ountrelates dispute is pending
W estBengal AppealDem and 210.32 2005-06 Revisionary Board
W estBengal Norm alAssttDem and 343.31 2006-07 JointCom m issioner(Appeal)
W estBengal Penalty UnderW BVAT Act2003 384.82 2008-09 JointCom m issionerCentralSection

x) The Com pany has no accum ulated losses at the end of the
financialyear and ithas notincurred cash losses in the current
and im m ediately preceding financialyear.
xi) According to the records ofthe Com pany exam ined by us and
the inform ation and explanations given to us,the Com pany has
not defaulted in repaym ent of dues to financialinstitutions or
bank.
xviii) According to the inform ation and explanations given to us,the
com pany has notm ade any preferentialallotm entofshares to
partiesand com paniescovered in the registerm aintained under
section 301 ofthe Com panies Act,1956.
xix) In our opinion and according to the inform ation and
explanations given to us, the Com pany has not issued any
secured debentures during the period covered by ourreport.

xii) The com pany has notgranted loans and advances on the basis xx) The Com pany has not raised any m oney by way of any public

AnnualReport2009-10
of security by way of pledge of shares,debentures and other issue during the period covered by ouraudit.
securities.
xxi) During the course ofour exam ination ofthe books and records
xiii) The provisions of any special statute applicable to Chit of the Com pany,carried out in accordance with the generally
Fund/Nidhi/M utualBenefitFund/Societies are notapplicable to accepted auditing practices in India, and according to the
the Com pany. inform ation and explanationsgiven to us,we have neithercom e
across any instance offraud on orby the Com pany,nornoticed
xiv) In ouropinion,the com pany is nota dealerin shares,securities
orreported during the year,norhave we been inform ed ofsuch
and otherinvestm ents.
case by the m anagem ent.
xv) In ouropinion and according to the inform ation and explanation
ForS.M .Bengani& Co
given to us,the Com pany has not given guarantees for loans
Firm s Registration No.305075E
taken by others,from banks orfinancialinstitutions.
Chartered Accountants
xvi) The Com pany has not taken any term loan from banks during Tantia Constructions Lim ited
the year.However,the equipm ent finance loans taken during
Room No.57,1 1/2 floor
the year from the financial institutions have been applied
187,Rabindra Sarani CA.HiralalBengani
towards the purchase ofequipm ents financed underthe loan.
Kolkata -700 007 Proprietor
xvii) According to the inform ation and explanations given to us and Dated :29th M ay,2010 M em bership No.07867
an overall exam ination of the balance sheet and cash flow
statem entofthe Com pany,there are no funds raised on short
term basis thathave been used forlong term investm ent.

53
 Balance SheetAsat31stM arch,2010
(Rs.in Thousands)
Schedule 31stM arch,2010 31stM arch,2009
I. SOURCES OF FUNDS
1) Shareholders’Fund
Share Capital 1 165,131 157,131
Share W arrant 7,130
Reserves & Surplus 2 1,165,362 945,449
1,330,493 1,109,710
2) Loan Funds
Secured Loans 3 1,997,930 1,363,073
Unsecured Loans 4 1,906,663 1,714,979
3,904,593 3,078,052
3) Deferred Tax Liabilities 49,707 43,218
Total 5,284,793 4,230,980
II. APPLICATION OF FUNDS
1) Fixed Assets 5
Gross block 1,026,874 967,026
Less:Depreciation 342,170 275,069
Netblock 684,704 691,957
Plant& M achinery in Stock 487
684,704 692,444
2) Investm ents 6 18,380 139,060
3) CurrentAssets,Loans & Advances
Inventories 7 1,618,375 1,446,524
Sundry debtors 8 1,943,450 1,240,790
Cash & bank balances 9 368,067 249,543
OtherCurrentAssets 10 6,168 8,739
Loans and Advances 11 1,421,396 1,063,077
5,357,456 4,008,673
Less:CurrentLiabilities and Provisions
Liabilities 12 595,780 501,436
Provisions 13 179,967 107,761
775,747 609,197
NetCurrentAssets 4,581,709 3,399,476
Total 5,284,793 4,230,980
Accounting Policies & Notes to Accounts 23

The Schedules referred to above form an integralpartofthe Balance Sheet

In term s ofourreportofeven date
ForS.M .Bengani& Co.
Firm s Registration No.305075E
Chartered Accountants

CA.HiralalBengani I.P.Tantia B.L.Ajitsaria

Proprietor Chairm an & M anaging Director Director(Business Developm ent)
M em bership No.07867

Place :Kolkata RahulTantia M d.Jam shed Alam

Dated :29th M ay,2010 Director(Operations) Com pany Secretary

54
Profitand Loss AccountForthe period ended 31stM arch,2010
(Rs.in Thousands)
Schedule 31stM arch,2010 31stM arch,2009
I. INCOM E
Incom e From Operation 14 5,611,729 4,494,510
Increase/Decrease in W ork in Progress 15 91,655 156,412
OtherIncom e 16 23,055 16,758
Total 5,726,439 4,667,680
II. EXPENDITURE
M aterialConsum ption 17 2,402,350 1,665,352
ContractOperating Expenses 18 2,312,865 2,141,605
Paym ents to & Provisions forEm ployees 19 133,259 113,149
Adm inistrative & OtherExpenses 20 162,078 148,787
Total 5,010,552 4,068,893
III.PROFIT
Profitbefore Interest,Depreciation & Tax 715,887 598,787
Interest& FinancialExpenses 21 366,950 329,431
Profitbefore Depreciation & Tax 348,937 269,356
Depreciation/Am ortisation 68,166 65,540
Profitbefore Taxation 280,771 203,816
Provision forTaxation 22 98,085 33,673
182,686 170,143
ProfitofJointVenture (NetofTax) 2,837 2,443
ProfitAfterTax 185,523 172,586
Profitbroughtforward 420,996 288,937

AnnualReport2009-10
ProfitforAppropriation 606,519 461,523
IV.APPROPRIATION
GeneralReserve 18,500 13,000
Dividend on Cum ulative Preference Share 147 147
Proposed Dividend on Equity shares 24,560 23,360
Incom e Tax on Proposed Dividend 4,199 4,020
Balance Carried Forward 559,113 420,996
606,519 461,523
V Earnings PerShare
Basic (Rs.) 11.33 11.07
Diluted (Rs.) 10.14 9.61
Num berofshares forcalculating EPS
Basic 16,373,066 15,573,066
Tantia Constructions Lim ited
Diluted 18,540,352 18,282,831
Accounting policies & Notes to Accounts 23

The Schedules referred to above form an integralpartofthe Profitand Loss Account

In term s ofourreportofeven date
ForS.M .Bengani& Co.
Firm s Registration No.305075E
Chartered Accountants

CA.HiralalBengani I.P.Tantia B.L.Ajitsaria

Proprietor Chairm an & M anaging Director Director(Business Developm ent)
M em bership No.07867

Place :Kolkata RahulTantia M d.Jam shed Alam

Dated :29th M ay,2010 Director(Operations) Com pany Secretary

55
 Cash Flow Statem entForthe period ended 31stM arch,2010
(Rs.in Thousands)
2009-10 2008-09
A. CASH FLOW FROM OPERATING ACTIVITIES
NetProfitbefore Tax and extra ordinary item 280,771 203,816
Add/(Less) Adjustm entfor:
Depreciation 68,166 65,540
(Profit)/Loss on sales ofFixed Assets 528 304
Foreign Exchange Fluctuation (820) 19,830
InterestIncom e (16,168) (13,427)
Intereston Borrowings 366,950 418,656 329,432 401,678
Operating Profitbefore working Capitalchanges 699,427 605,494
Add/(Less) (Increase)/decrease in Assets/Liabilities :
Debtors (702,660) 18,545
Loans & advances (358,319) (283,058)
OtherCurrentassets 2,571 1,169
Inventories (171,851) (320,772)
Advances from custom ers 10,014 (195,252)
Trade payables,Liabilities & Provisions 166,550 (1,053,696) (21,773) (801,142)
Cash Generated from Operations (354,268) (195,648)
DirectTaxes paid (91,595) (24,632)
Cash Flow before extraordinary item s (445,864) (220,279)
Extra-Ordinary item s
NetCash From Operating Activities (445,864) (220,279)
B. CASH FLOW FROM INVESTING ACTIVITIES
Add/(Less) (Increase)/decrease in Assets/Liabilities :
Additions ofFixed Assets (net) (62,566) (82,764)
Sale/discard ofFixed Assets 1,612 240
InterestIncom e 16,168 13,427
Investm entin JointVentures & others 123,518 78,732 41,218 (27,879)
NetCash used in investing Activities. 78,732 (27,879)
C. CASH FLOW FROM FINANCING ACTIVITIES
Add/(Less) (Increase)/decrease in Assets/Liabilities :
Share Capitalissue 870 7,130
Share Prem ium Account 63,296
Secured Loans (3,341) 243,549
Unsecured Loans 181,669 (32,746)
InterestPaid (366,950) (329,432)
Dividend Paid (24,707) (23,507)
Tax on Dividend (4,199) (153,363) (4,020) (139,025)
NetCash from financing Activities. (153,363) (139,025)
D Netincrease/(Decrease)in Cash and Cash equivalent(A+B+C) (520,495) (387,183)

56
Cash Flow Statem ent(Contd...)
(Rs.in Thousands)
As on 31stM arch,2010 As on 31stM arch,2009
E. CASH AND CASH EQUIVALENT
Cash In Hand 32,653 41,111
Cash atBank 335,414 208,432
Dem and Loan from Schedule Banks (1,939,826) (1,301,628)
Foreign Exchange Fluctuation A/c (820) 19,830
(1,572,579) (1,032,254)

As on 31stM arch,2009 As on 31stM arch,2008

Cash In Hand 41,111 29,931
Cash atBank 208,432 384,596
Dem and Loan from Schedule Banks (1,301,628) (1,059,598)
(1,052,085) (645,071)
Difference (520,495) (387,183)

In term s ofourreportofeven date

ForS.M .Bengani& Co.
Firm s Registration No.305075E
Chartered Accountants

AnnualReport2009-10
CA.HiralalBengani I.P.Tantia B.L.Ajitsaria
Proprietor Chairm an & M anaging Director Director(Business Developm ent)
M em bership No.07867

Place :Kolkata RahulTantia M d.Jam shed Alam

Dated :29th M ay,2010 Director(Operations) Com pany Secretary

Tantia Constructions Lim ited

57
 Schedules form ing partofthe Balance SheetAs at31stM arch,2010
(Rs.in Thousands)
31stM arch,2010 31stM arch,2009
1 SHARE CAPITAL
Authorised
290,00,000 Equity Shares (Prev.Yr.290,00,000)ofRs.10/-each 290,000 290,000
10,00,00010.5% Cum ulative Preference Shares (Prev.Yr.10,00,000)ofRs.10/-each 10,000 10,000
300,000 300,000
Issue,Subscribed and paid up
1,63,73,066 nos.ofEquity Shares (Prev.Yr.1,55,73,066 nos.)ofRs.10/-each 163,731 155,731
(Note:The above shares include 33,60,000 Equity shares issued as fully paid up Bonus shares by way of
capitalisation ofaccum ulated General Reserve)
1,40,000nos.of10.5% Cum ulative Preference Shares (Prev.Yr.1,40,000)ofRs 10/-each fully
paid up (ReferNote :B(2)ofSchedule 23) 1,400 1,400
165,131 157,131

2 RESERVES & SURPLUS

CapitalReserve 10,000 10,000
(ReferNote :B(3)ofSchedule 23)
Securities Prem ium Account 494,749 431,453
GeneralReserve
Balance as perlastaccount 83,000 70,000
Add :Transferfrom Profit& Loss Account 18,500 13,000
101,500 83,000
Balance in Profit& Loss Account 559,113 420,996
1,165,362 945,449

3 SECURED LOANS
(ReferNote:B(4)ofSchedule 23)
W orking CapitalLoans in the form ofCash Creditfrom Scheduled Banks 1,939,826 1,301,628
Term Loans from Non-Banking Finance Com panies 58,104 61,445
1,997,930 1,363,073

4 UNSECURED LOANS
From Bodies Corporates 158,558 255,628
From Non-Banking Finance Com panies 80,000
ShortTerm Loans from Scheduled Banks 532,382 333,642
Advance againstm aterials 117,391 174,657
Advance againstcontracts 715,332 648,052
Foreign Currency Convertible Bonds (ReferNote:B(5)ofSchedule 23) 303,000 303,000
1,906,663 1,714,979

58
Schedules form ing partofthe Balance SheetAs at31stM arch,2010
(Rs.in Thousands)
5 FIXED ASSETS
GROSS BLOCK DEPRECIATION/AM ORTISATION NET BLOCK
Particulars Costas at Additions Sales / Adj. Costas at As on Forthe W ithdrawn/ Totalupto As at As at
31stM arch, during during 31stM arch, 31stM arch, year written 31stM arch, 31stM arch,31stM arch,
2009 the year the year 2010 2009 back during 2010 2010 2009
the year
A)Tangible Assets
Land & Shed 2,500 2,500 2,500 2,500
W ork shop & Office Shed 10,342 10,342 632 340 972 9,370 9,710
Plant& M achinery 873,420 47,940 1,838 919,522 246,330 59,595 189 305,736 613,786 627,090
Vehicles 46,955 7,965 1,367 53,553 16,198 4,282 876 19,604 33,949 30,757
Office Equipm ents 2,844 701 3,545 351 143 494 3,051 2,493
Com puterEquipm ents 8,939 2,308 11,247 4,634 1,445 6,079 5,168 4,305
Testing & Survey Equipm ents 11,332 1,381 12,713 2,657 559 3,216 9,497 8,675
AirConditioner 921 1,814 2,735 185 73 258 2,477 736
Furniture & Fixtures 1,773 944 2,717 882 129 1,011 1,706 891
Sub TotalA 959,026 63,053 3,205 1,018,874 271,869 66,566 1,065 337,370 681,504 687,157
B)Intangible Assets
Software 8,000 8,000 3,200 1,600 4,800 3,200 4,800
Sub TotalB 8,000 8,000 3,200 1,600 4,800 3,200 4,800
GRAND TOTAL (A+ B) 967,026 63,053 3,205 1,026,874 275,069 68,166 1,065 342,170 684,704 691,957
Previous Year 885,193 82,849 1,016 967,026 210,002 65,540 473 275,069 691,956 675,191

31stM arch,2010 31stM arch,2009

6 INVESTM ENTS
(Unquoted,Trade,Long Term atCost)

AnnualReport2009-10
Investm entin Associate Com panies
InfraVision Developers (P)Ltd.
4,95,000 Equity Shares (P.Yr.-4,95,000 shares)ofRs.10/-each,fully paid up 4,950 4,950
Androm eda Com m unications (P)Ltd.
7,000 Equity Shares (P.Yr.-7,000 shares)ofRs.10/-each,fully paid up 2,962 2,962
Investm entin Shares
UniversalRealtors (P)Ltd.
40,000 Equity shares (P.Yr.40,000 shares)ofRs.10/-each,fully paid up 400 400
Investm entin Governm entSecurities
NationalSaving Certificate,Deposited with Sales tax Authorities,M izoram 1
Investm entin JointVentures 10,067 130,748
18,380 139,060
Tantia Constructions Lim ited
7 INVENTORIES
(As taken,valued and certified by the m anagem ent)
Construction ContractW ork-in-progress 908,507 816,853
Raw M aterials 561,767 473,761
Stores & Spares 64,439 61,393
Loose Tools 83,662 94,517
1,618,375 1,446,524

8 SUNDRY DEBTORS
(Unsecured,considered good)
Exceeding Six M onths 212,682 195,595
OtherDebts 1,730,768 1,045,195
1,943,450 1,240,790

59
 Schedules form ing partofthe Balance SheetAs at31stM arch,2010
(Rs.in Thousands)
31stM arch,2010 31stM arch,2009
9 CASH AND BANK BALANCES
Cash-in-hand 32,653 41,111
Balances with scheduled banks;
In currentAccounts 70,938 5,211
In DepositAccounts 264,476 203,221
(Pledged with Bank as M argin m oney forBG Lim it& Lien with Clientforearnestm oney deposit
368,067 249,543

10 OTHER CURRENT ASSETS

Interestaccrued butnotdue on Bank deposits 6,168 8,739
6,168 8,739

11 LOANS AND ADVANCES

(Unsecured,considered good)
Advance to Associate Com panies,(Refer:Note B(7)ofSchedule 23) 56,794 56,794
Advances recoverable in cash orin kind orforvalue to be received 546,588 384,176
Incom e Tax Advance (including Incom e Tax Deducted atSource) 256,630 190,729
Security Deposits & EarnestM oney 383,907 300,947
W orks ContractTax receivable 177,477 130,431
1,421,396 1,063,077

12 CURRENT LIABILITIES
Sundry Creditors (ReferNote B(8)ofSchedule-23) 502,056 412,363
OtherLiabilities (ReferNote B(9)ofSchedule -23) 92,651 88,303
Interestaccrued butnotdue 1,073 770
595,780 501,436

13 PROVISIONS
Proposed Dividends
Equity Shares 24,560 23,360
Cum ulative Preference Shares 147 147
24,707 23,507
Provision for
Tax on Dividends 4,199 3,995
Incom e Taxes 138,821 71,533
Retirem entBenefits 12,240 8,726
179,967 107,761

60
Schedules form ing partofthe Profitand Loss AccountForthe yearended 31stM arch,2010
(Rs.in Thousands)
31stM arch,2010 31stM arch,2009
14 INCOM E FROM OPERATION
ContractReceipts (Gross) 5,013,448 4,112,875
(TDS-Rs.99,766,Previous YearRs.86,587)
ContractReceipts ofJointVenture 595,689 379,645
M isc.Business incom e 2,592 1,990
5,611,729 4,494,510

15 INCREASE/DECREASE IN W ORK IN PROGRESS

Closing work in progress 908,507 816,852
Less:Opening work in progress 816,852 660,440
91,655 156,412

16 OTHER INCOM E
Intereston Fixed Deposits (Gross) 8,428 11,759
(TDS-Rs.2,664,Previous YearRs.2,170 )
M iscellaneous Incom e 6,067 3,330
Intereston Fixed Deposits (USD)(TDS -Nil) 457 1,669
Gain from Foreign Exchange Fluctuations 820
Interestfrom others (TDS Rs.730,Previous YearNil) 7,283
23,055 16,758

17 M ATERIALS CONSUM PTION

AnnualReport2009-10
Raw M aterials 2,139,702 1,405,882
Consum able M aterials 132,186 163,260
Stores & Spares 36,386 20,107
M aterialRe-handling 46,816 30,235
Tools & Tackles 47,260 45,868
2,402,350 1,665,352

18 CONTRACT OPERATING EXPENSES

ContractExecution Expenses 1,220,404 1,363,167
ContractOperating expenses ofJ.V. 595,690 379,645
Carriage Inwards 37,147 35,107
Equipm entM aintenance 66,469 54,183 Tantia Constructions Lim ited
M achinery Repairing Charges 98,304 56,705
OtherRepairs & M aintenance 12,661 10,295
Power& Fuel 132,481 136,009
Site Expenses 3,399 6,763
W orks ContractTax & OtherTaxes 88,356 74,438
Consultancy Fees 47,126 22,720
Testing Expenses 9,583 1,473
Survey & Inspection Expenses 1,245 1,100
2,312,865 2,141,605

19 PAYM ENTS TO AND PROVISIONS FOR EM PLOYEES

Salary and Bonus 113,700 97,904
Contribution towards Em ployees ProvidentFund,ESIC and otherfunds 4,331 4,146
StaffW elfare Expenses 11,541 11,389
Em ployees Retirem entBenefits 3,687 (290)
133,259 113,149

61
 Schedules form ing partofthe Profitand Loss AccountForthe yearended 31stM arch,2010
(Rs.in Thousands)
31stM arch,2010 31stM arch,2009
20 ADM INISTRATIVE & OTHER EXPENSES
Rent 15,559 12,421
Rates and Taxes 30,613 17,072
Service Tax 898 1,045
Insurance 6,589 5,682
Printing & Stationery 3,484 3,132
Directors’Rem uneration (Refer:Note B(10)ofSchedule 23) 20,656 17,414
Directors’Fee 182 170
Auditor’s Rem uneration
AuditFees 200 140
Tax AuditFees 25 25
OutofPocketExpenses 15 15
Certificates 67 63
LightVehicles Running Expenses 3,290 3,280
InternalAudit& OtherCertificate Fees 473 611
Travelling & Conveyance 27,902 24,023
Loss on Sale ofFixed Assets (Net) 528 304
Advertisem ent 4,018 1,524
Com puterM aintenance 628 647
LegalExpenses 3,909 4,010
Security Guard Expenses 10,492 5,044
Telephone Expenses 6,391 6,630
SAP M aintenance 1,259 940
M iscellaneous Expenses 24,900 22,699
Donation 2,066
Foreign Exchange Fluctuation 19,830
162,078 148,787

21 INTEREST & FINANCIAL EXPENSES

To Banks on W orking CapitalLoan 179,002 126,172
To Bank on Term Loan 36,135 44,024
To Non-Banking Finance Com panies on Equipm entFinance Loan 7,818 11,282
To Others 87,384 104,753
Intereston FCCB 3,651 3,597
Bank Com m ission & OtherCharges 52,960 39,603
366,950 329,431

22 PROVISION FOR TAXATION

Incom e tax forthe year 89,763 23,093
Incom e tax forearlieryear 1,683 18
Deferred taxes 6,489 9,041
W ealth tax 150 125
Fringe Benefittax 1,396
98,085 33,673

62
Schedules form ing partofthe AccountForthe yearended 31stM arch,2010
23 ACCOUNTING POLICY AND NOTES TO ACCOUNTS
A. SIGNIFICANT ACCOUNTING POLICY
1. Nature ofOperations
Tantia Constructions Lim ited (The Com pany)is one ofthe oldestgeneralcivilinfrastructure solutions providers in India.Incorporated
as a private lim ited Com pany in 1964 which becam e public lim ited Com pany in 1982,the Com pany is engaged in executing critical
infrastructure projects.Itbegan operations in the railways segm entand overthe years extended to seven core infrastructure segm ents
ofrailways,roads,urban developm ent,industrial,power,m arine and aviation.

2. Basis ofPreparation ofFinancialStatem ents

The FinancialStatem entshave been prepared and presented underthe historicalcostconvention on the accrualbasisofaccounting and
in accordance with Generally Accepted Accounting Principles (Indian GAAP) and com ply with the applicable accounting standards
notified under Section 211(3C) of the Com panies Act, 1956, and the relevant provisions of the Com panies Act, 1956 except where
otherwise stated.
Forrecognition ofIncom e and Expenses m ercantile system ofaccounting is followed exceptin case ofinsurance claim s.
The accounting policies have been consistently applied by the Com pany unless otherwise stated.

3. Use ofEstim ates

The preparation of financialstatem ents requires estim ates and assum ptions to be m ade that affect reported am ount of assets and
liabilitieson the date offinancialstatem entsand the reported am ountofrevenuesand expensesduring the reporting period.Difference
between the actualresults and estim ates are recognised in the period in which the results are known.

4. Inventories
a) Stock ofraw m aterials,stores and spares,otherconstruction m aterials and fuelare valued atcost(weighted average basis)ornet
realisable value whicheveris lower.
b) W ork-in-progress is valued atcostand reflects the work done butnotcertified.

5. Depreciation / Am ortisation
Depreciation on fixed assets acquired upto the year ended on Diwali2040 S.Y.(Corresponding to 3rd Novem ber,1983)is provided by

AnnualReport2009-10
applying the rates specified in Schedule-XIV ofthe Com panies Act,1956 and calculated on written down value m ethod.
In respectofthe otherassetsacquired thereafterdepreciation ischarged on the straightline m ethod atthe ratesprescribed in Schedule-
XIV ofthe Com paniesAct,1956.
Intangible Assets are recorded at the consideration paid for acquisition of such assets and are carried at cost less accum ulated
Am ortisation.

6. Revenue Recognition
On Construction Contracts:
• The contract revenue is recognised by reference to the stage ofcom pletion ofthe contract activity at the reporting date ofthe
financialstatem ents on the basis ofpercentage com pletion m ethod.
• The stage ofcom pletion ofcontractsism easured by reference to the proportion thatthe contractcostsincurred forwork perform ed
upto the reporting date bearto the estim ated totalcontractcosts foreach contract.
• Losses on contracts are fully accounted for as an expense,im m ediately when itis certain thatthe totalcontractcosts willexceed
Tantia Constructions Lim ited
the totalcontractprice.
• Price escalation claim s and otheradditionalclaim s including those underarbitration are recognised as revenue when:
i. They are realised orreceipts thereofare m utually settled orreasonably ascertained.
ii. Negotiations with the clienthave reached such an advanced stage such thatthere is reasonable certainty thatthe clientwill
acceptthe claim .
iii. Am ountthatis probable,ifaccepted by the client,to be m easured reliably by the Com pany.

7. Fixed Assets
Fixed Assets are stated atcostofacquisition together with any incidentalcosts for bringing the assetto its working condition for its
intended use less accum ulated depreciation and im pairm entlosses,ifany.
Capitalwork in progress is stated atam ountspentup to the date ofthe Balance Sheet.
Intangible assets com prise of License fees and other im plem entation cost of software (SAP) acquired for in-house use is net off
am ortization,ifany.

8. Foreign Currency Transactions

Transactions in foreign currency are recorded using the exchange rate prevailing atthe date oftransactions.Atthe Balance Sheetdate
m onetary assets and liabilities denom inated in foreign currency are recorded using the closing exchange rates. Allother foreign

63
 Schedules form ing partofthe AccountForthe yearended 31stM arch,2010
23 ACCOUNTING POLICY AND NOTES TO ACCOUNTS (CONTD...)
currency assets and liabilities are stated atthe rates ruling atthe year end other than those covered by forward contracts,which are
stated atthe contracted rate.Exchange differencesarising on foreign currency transactionsare recognised in the Profit& LossAccount.

9. Investm ent
Long-term investm ents are stated atcost,provision is m ade to recognise a decline,other than tem porary,in the value oflong term
investm ents.
Currentinvestm ents are carried atcostorm arketrate whicheveris less,on individualinvestm entbasis.Investm ents in JointVentures
are stated atcost.

10. Em ployee Benefit(Retirem entand PostEm ploym entBenefit)

Contribution to defined benefitschem essuch asProvidentFund,ESI,M edicalre-im bursem entetc.are charged to profitand lossaccount
asincurred.The contributionsare m ade to Governm entadm inistered ProvidentFund and ESItowardswhich the Com pany hasno further
obligationsbeyond itsm onthly contributions.Those em ployeeswho are notcovered underESIschem e (asstated in the Act)getm edical
re-im bursem entas perthe HR policy ofthe Com pany.
The Com pany also provides forretirem entbenefits in the form ofgratuity and leave encashm ent.Such benefits are provided for,based
on the valuation as atthe balance sheetdate m ade by independentactuaries.
The com pany has taken policy ofGroup Gratuity Schem e from LICI.In respectofGratuity,the com pany provides in its books ofaccount
the shortfallin the fund balance as per and independentactuary valuation subjectto m inim um ofthe prem ium claim ed by LICI(as on
31stM arch).

11. Borrowing Costs

Borrowing costs thatare attributable to the acquisition or construction ofqualifying assets are capitalised as partofthe costofsuch
assets.A qualifying assetisone thatnecessarily takessubsequentperiod oftim e to getready forintended use.Allotherborrowing costs
are charged to Profitand Loss account.

12. Earnings PerShare

Basic earning pershare iscalculated by dividing the netProfitorLossforthe period attributable to equity shareholdersby the weighted
average num berofequity shares outstanding during the year.
Forthe purpose ofcalculating diluted earning pershare,the netProfitorLoss forthe yearattributable to the equity share holders and
weighted average num berofshare outstanding ifany are adjusted forthe effects ofalldilutive potentialequity shares.

13. Taxation
Tax expenses com prise ofcurrenttax,deferred tax and fringe benefittax.
i) Current tax is determ ined in respect oftaxable incom e for the year based on applicable tax rates and laws.On the basis ofthe
opinion taken from an Expertthe Com pany is continuing to availofthe benefitofdeductions u/s 80IA ofthe Incom e Tax Act,1961
forthe eligible projects.
ii) Deferred tax is recognised,subjectto consideration ofprudence,on tim ing difference being the difference between taxable incom e
and accounting incom e that originates in one period and are capable of being set off in one on m ore subsequent years and is
m easured using tax rates and laws thathave been enacted orsubstantively enacted by the balance sheetdate. Deferred tax assets
are reviewed ateach balance sheetdate to and are recognised only ifthere is reasonable certainty thatthey willbe realised.

14. Accounting ofJointVenture contracts

a) The contracts executed in Joint Venture under work sharing arrangem ent (consortium ) are accounted in accordance with the
accounting policy followed by the Com pany as thatofan independentcontractto the extentwork is executed.

b) In joint venture contracts under profit sharing arrangem ents,services rendered to joint ventures are accounted as incom e on
accrualbasis,profitorlossisaccounted aswhen determ ined by the jointventure and NetInvestm entin the jointventure isreflected
as investm ents or loans and advances or currentliabilities.The proportionate contractreceipts ofjointventures are reflected as
contractreceipts ofjointventures and the sam e has been shown as expenses ofjointventure as a conservative approach.

15. Im pairm entofAssets

On annualbasis the Com pany m akes an assessm ent of any indicator that m ay lead to im pairm ent of assets.An asset is treated as
im paired when the carrying costofthe assetisexceedsthe recoverable value.Ifany indication ofsuch im pairm entexists,the reasonable
am ounts of those assets are estim ated and im pairm ent loss is recognised, if the carrying am ount of those assets exceeds their
recoverable am ount.The im pairm entloss recognised in prioraccounting period is adjusted ifthere has been a change in the estim ate
ofrecoverable am ount.

16. Provision,ContingentLiabilities & Contingentassets

Provisions involving substantialdegree ofestim ation in m easurem entare recognised when there is a presentobligation as a resultof

64
Schedules form ing partofthe AccountForthe yearended M arch 31,2010
23 ACCOUNTING POLICY AND NOTES TO ACCOUNTS (CONTD...)
pasteventsand itisprobable thatthere willbe an outflow ofresources.Contingentliabilitiesare notrecognised butare disclosed in the
notes to accounts.Disputed dem ands in respectofIncom e Tax,Sales Tax are disclosed as contingentliability.Paym ents in respectof
such dem ands,if any,are shown as advance,tillthe finaloutcom e.Contingent Assets are neither recognised nor disclosed in the
financialstatem ents.

B. NOTES OF ACCOUNTS
(Am ounts are presented in Rs.in Thousands,exceptforpershare data and as otherwise stated)

1. ContingentLiabilities (Rs.in Thousands)

Sl. Particulars M arch 31,2010 M arch 31,2009
1 Counterguarantees given to Consortium Banks in respectofContracts in India.
Rs.1,53,324 (Previous year1,19,285)are held by banks as m argin m oney againstthe
guarantees given by them in addition to the counterguarantees offered by the com pany
forthe totalnon-fund based lim itforBank guarantee ofRs..47,83,900. 47,83,900 23,10,214
2 Sale tax liability / works contracttax liability forwhich the com pany has preferred an appeal
before the appellate authority. 93,845 46,418
3 The dem and,ifany,thatm ay arise outofsearch and seizure proceedings initiated by the Am ountnot
Incom e tax authority ascertainable
4 The com pany had issued in 2007-08 the 7500,1% Foreign Currency Convertible Bond of
USD $ 1000 each due 2012 @ 100% ,redeem able only ifthere is no pre-m ature conversion.
The paym entofprem ium on redem ption ofRs.59,303 (Previous year 42,401)is therefore
contingentin nature as the outcom e ofwhich depends on uncertain future events and so
notprovided for.

2. The Com pany has issued and allotted on 8th January,2005,10.50% 1,40,000 cum ulative redeem able preference shares ofRs.10 each
fully paid up,redeem able atthe option ofthe shareholderwith 90 daysnotice oratthe option ofthe Com pany with 30 daysnotice within

AnnualReport2009-10
a m axim um period of10 (ten)years.There was no redem ption during the year.

3. Issue ofShare W arrants

The Com pany had received Rs.10,000 being 10% value againstfuture calloption of7,14,285 Share warrants ata price ofRs.140/-each
(including the prem ium ofRs.130/-each)convertible on orbefore 31stAugust,2008.The callwas notexercised by the applicants and
as perthe term ofthe issue ofwarrant,the said am ountwas forfeited and credited to CapitalReserve during the year2008-09.
During the year 2008-09,the com pany has m ade fresh issue of8,00,000 shares warrants @ Rs.89.12/-each (including prem ium of
Rs.79.12/-each).The Allottees ofShare warrants issued on Septem ber29,2008 have paid the totalvalue.The option was exercised by
the applicants and 8,00,000 Equity shares are issued @ Rs.89.12/-each (including prem ium ofRs.79.12/-each)during the year.

4. Secured Loans
From Banks & FinancialInstitutions:
The Com pany has availed ofvarious creditfacilities,fund and non-fund based,under consortium arrangem entwith banks and are
secured on pari-passu basis am ong the consortium m em bers prim arily by hypothecation of entire stock,book debts and other Tantia Constructions Lim ited
currentassets ofthe Com pany both present& future.
These facilities are collaterally secured
• By way ofcharge on the fixed assets ofthe com pany excluding the equipm ents,m achinery and vehicles thatare hypothecated
to various Non-Banking Finance Com panies.
• PersonalGuarantees ofthe Chairm an cum M anaging Directorand the Director(Operations)
From Non-Banking Finance Com panies:
Term Loans taken from the Equipm ent Finance Com panies and NBFC s towards the purchase of equipm ents,m achineries and
vehicles are secured by way ofhypothecation ofassets financed by them .(Am ountdue within one year Rs.50,300 (Previous Year:
Rs.58,961)

5. The com pany has issued on 17th July, 2007, 7500, 1% Foreign Currency Convertible Bonds due 2012 at 100% of US $1000 each
aggregating to US $7.5 m illion to finance capitalexpenditure.The bondholders have an option ofconverting these bonds into shares at
an initialconversion price ofRs.140.00 pershare (including the prem ium ofRs.130/-each)with a fixed rate ofconversion ofRs.40.38
perUS $ atany tim e on orafter17th July,2007 up-to 5th July,2012.The bonds are also redeem able atthe option ofthe Com pany ata
m inim um rate of 130 % in case of early redem ption on any date after 24 m onths from the issue date and up to 5th July,2012.If
redeem ed, converted or repurchased and cancelled as on 31st M arch, 2010, it would have redeem ed at Rs. 3,96,016 being the
intrinsic/book value.Unless previously redeem ed,converted or repurchased and cancelled,the bonds willbe redeem ed at137.92% of

65
 Schedules form ing partofthe AccountForthe yearended 31stM arch,2010
23 ACCOUNTING POLICY AND NOTES TO ACCOUNTS (CONTD...)
itsprincipalam ounton the m aturity date.No conversion,redem ption,re-purchasesand cancellation hasbeen exercised by eitherparty
during the year.
Outofthe above proceeds and in term s ofthe objects ofthe issue,the Com pany has utilised Rs.2,81,200 (Pr.Year Rs.2,81,200)for
financing capital expenditure and Rs 11,513 for FCCB issue expenses. The am ount of foreign exchange fluctuation and FCCB issue
expenseshave been charged to profitand lossaccount.The balance am ountofRs.29,339 (Pr.YearRs.21,801)hasbeen keptin current
accountand depositaccountwith State Bank ofIndia,London Branch

6. Intangible asset,shown underFixed Assets (Schedule 5)include the ERP Im plem entation Expenses (SAP)ofRs.8,000 which has been
am ortised as depreciation overa period offive years,being the estim ated life.

7. Loans & Advances includes advances given to the Associate Com panies as follows: (Rs.in Thousands)
Group Com panies M axim um Balance Balance
2009-10 2008-09 2009-10 2008-09
Infra Vision Developers (P)Ltd. 56,794 81,294 56,794 56,794
Nigolice Trading (P)Ltd (7,465) 8,305

8. Based on the inform ation received from the vendors the Com pany has notcom e across any vendor who is covered under the M icro,
Sm alland M edium Enterprise Developm entAct2006 and hence disclosure,ifany,relating to am ountunpaid asatthe yearend together
with interestpaid/payable as required underthe said acthave notbeen given.

9. CurrentLiabilities (others)includes Unclaim ed Dividend and Unclaim ed Share Application am ounting to Rs.378 (Pr.Year Rs.283)and
Rs.144 (Pr.Year Rs.144)respectively atthe end ofthe financialyear and the corresponding am ountare lying in the designated bank
accounts.

10. M anagerialRem uneration: (Rs.in Thousands)

Sl. Particulars 2009-10 2008-09
1 Salary paid to Chairm an & M anaging Directorand W hole tim e Directors 9,600 10,550
2 HRA paid to Chairm an & M anaging Directorand W hole tim e Directors 1,800 1,800
3 ProvidentFund -Chairm an & M anaging Directorand W hole tim e Directors 59 46
4 M edicalReim bursem entto Chairm an & M anaging Directorand W hole tim e Directors 00 31
5 Com m ission to Chairm an & M anaging Director 9,197 4,987
Total: 20,656 17,414

Com putation ofNetProfitin accordance with Section 309(5)ofthe Com panies Act,1956 (Rs.in Thousands)
2009-10 2008-09
Profitbefore Taxation and ExceptionalItem s 2,80,771 2,03,816
Add:
Loss on sale ofFixed assets (Net)underSection 349 ofthe Com panies Act,1956 528 304
Depreciation / Am ortization provided in books 68,166 65,540
Directors Rem uneration 11,460 12,427
DirectorSitting Fees 182 170
Less:
Depreciation as persection 350 ofCom panies Act,1956 (Including am ortization ofIntangibles)
(Rate specified in Schedule XIV) 68,166 65,540
Profiton sale ofFixed assets (Net)underSection 349 ofthe Com panies Act,1956
NetProfitas perSection 349 ofthe Com panies Act,1956 2,92,941 2,16,717
M anagerialRem uneration to M D -M axim um of5% ofNetProfit 14,647 10,837
Rem uneration Paid to CM D 5,450 5,850
Com m ission Payable forthe year 9,197 4,987

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Schedules form ing partofthe AccountForthe yearended 31stM arch,2010
23 ACCOUNTING POLICY AND NOTES TO ACCOUNTS (CONTD...)
11. Since the business ofthe Com pany is construction activities,quantitative data as required by PartII,Para -ii4c,4d ofSchedule VIof
the Com panies Act,1956 is notfurnished.
Additionalinform ation pursuantto the provisions ofpartIIofSchedule VIto the Com panies Act,1956 (W hereverapplicable)
(Rs.in Thousands)
2009-10 2008-09
A Value ofim ports calculated on CIF Basis:
i) CapitalGoods 1,576
B Expenditure in foreign currencies:
i) Travelling expenses 597 302
ii) Consultancy Charges 8,688
iii) TenderApplication expenses 9
iv) Books and Periodicals 6
C Value ofRaw M aterials consum ed:
i) Im ported
ii) Indigenous 24,02,350 100.00% 16,65,352 100.00%
D Value ofSpare Parts & Com ponents consum ed:
i) Im ported
ii) Indigenous
E Earnings in foreign currency (on accrualbasis) 457 1,669
Exportofgoods orservices on F.O.B.basis and
work bills realised on contracts 1,478

12. Currenttax is determ ined in respectoftaxable incom e forthe yearbased on applicable tax rates and Laws.

13. The contract awarded to the Com pany by the Bihar State Governm ent for developm ent and widening of roads in Patna has been
prem aturely term inated by the Govt.ofBihar on 30th ofApril,2008.The com pany has taken necessary rem edialm easure through

AnnualReport2009-10
Honorable High Court ofKolkata.Arbitrator has been appointed in the m atter to adjudicate the claim filed by the Com pany and the
hearings are in process.

14. Disclosure in accordance with Accounting Standard 7 (Revised 2002)on Accounting forConstruction Contract issued by The Institute
ofChartered Accountants ofIndia is as under: (Rs.in Thousands)
Particulars 2009-10 2008-09
ContractRevenue 1,70,45,489 1,14,33,760
ContractCosts incurred 1,53,13,604 1,03,03,870
recognised Profits/ Losses 17,31,885 11,29,890
Advances received 8,32,724 8,22,709
Retention M oney 3,44,821 2,77,542
Gross am ountdue from Custom erforContractwork 14,24,742 1,640,967
Gross am ountdue to Custom erforContractwork Tantia Constructions Lim ited
15. As required by Accounting Standard 15 (Revised)the following table sum m aries the com ponents ofnetexpense recognised in the Profit
and Loss Accountand the funded status and am ounts recognised in the Balance Sheetforthe respective plans.
(Rs.in Thousands)
Particulars M arch 31,2010 M arch 31,2009
Defined Contribution Plan
Com pany has recognised the following am ounts in the Profit& Loss Accountforthe year.
Contribution to em ployees Providentfund - 2,204 2,336
Contribution to Em ployees State Insurance 162 146

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 Schedules form ing partofthe AccountForthe yearended 31stM arch,2010
23 ACCOUNTING POLICY AND NOTES TO ACCOUNTS (CONTD...)
(Rs.in Thousands)
Gratuity Leave encashm ent
(Funded) (Non Funded)
M arch 31,2010 M arch 31,2009 M arch 31,2010 M arch 31,2009
Reconciliation ofopening and closing balances ofthe
presentvalue ofthe Defined benefitobligation
Obligation atthe period beginning (April1) 8,617 7,726 3,180 2,880
CurrentService Cost 889 870 1,381 1,648
InterestCost 689 581 233 205
Actuarial(gain)/loss 888 42 (294) (1,553)
Benefits paid (146) (142)
Obligation atthe yearend (M arch 31) 10937 8,617 4499 3,180
Change in Plan Assets
Plan assets atperiod beginning,atfairvalue 3,070 2,949
Expected return on plan assets 272 264
Actuarial(gain)/loss NA NA
Contributions
Benefits paid (146) (143)
Plan Assets atthe yearend,atfairvalue 3196 3,070
Reconciliation ofpresentvalue ofthe obligation and
the fairvalue ofplan assets.
Fairvalue ofplan assets atthe end ofthe year 3,196 3,070 Nil Nil
Presentvalue ofthe defined benefitobligations
atthe end ofthe year 10,937 8,617 4,499 3,180
Liability/(Assets)recognised in the Balance Sheet 7,740 5,547 4,499 3,180
Costforthe year
Currentservice cost 889 870 1,381 1,648
Interestcost 689 581 233 205
Expected return on plan assets (272) (263) 000
Actuarial(gain)/loss 42 (294) (1,553)
NetCostrecognized in the Profitand Loss Account 2,194 1230 1,319 300
Assum ptions used to determ ine the benefitobligations:
Interestrate 8.00% 8.00% 8.00% 7.12%
Estim ated rate ofreturn on plan assets 8.94% 8.94% NA NA
Expected rate ofincrease in Salary 4.00% 5.00% 5.00% 5.00%
16. The Com pany operatesundera single segm entnam ely Core Infrastructure .Therefore,reporting underAS-17 on Segm entReporting
has not been m ade. During the year under report the com pany has engaged in business in India hence it is treated as a single
geographicalsegm ent.
17. Disclosure on Related Party Transactions as per AS 18 on Related party disclosures issued by The Institute ofChartered Accountants
ofIndia:
Related Parties with whom transactions have taken place during the year:-
A Associate Com panies and Enterprises over Negolice Trading (P)Ltd.
which the key m anagem entpersonnelis Infra Vision Developers (P)Ltd.
able to exercise significantinfluence: M onobalVayapar(P)Ltd.
CastalExtrusion Private Lim ited
Alvary System s (P)Ltd.
Androm eda Com m unications (P)Ltd
Harsh Leisure (P)Ltd.
B JointVentures: RBM Tantia (JV)
Tantia BSBK (JV)
JM C Tantia (JV)
Tantia DBC (JV)
Tantia Sim plex (JV)
Tantia Som a (JV)
Tantia Nayak (JV)
Tantia TBL (JV)
Tantia SPM L (JV)
Tantia Freyssinet Gilcon (JV)
Tantia Gondwana (JV)
Tantia CCIL (JV)
Tantia EDCL (JV)

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Schedules form ing partofthe AccountForthe yearended 31stM arch,2010
23 ACCOUNTING POLICY AND NOTES TO ACCOUNTS (CONTD...)
C Key M anagem entPersonneland Relatives: SriI.P.Tantia (Chairm an & M anaging Director)
SriB.L.Ajitsaria (Director Business Developm ent)
SriRahulTantia (Director-Operations)
M s RohiniSureka (Vice PresidentFinance & Accounts)

Particulars ofTransactions during the year: (Rs.in Thousands)

Nature ofTransactions Year Fellow / Joint Key M anagem ent
Com pany Venture Personnel Total
Rendering ofServices 2009-10 30 80,992 81,022
2008-09 85 2,48,566 2,57,066
Rem uneration Paid/payable 2009-10 12,000 12,000
2008-09 13,111 13,111
Purchase ofGoods 2009-10
2008-09 1,184 1,184
Rentpaid 2009-10 3,236 3,236
2008-09 825 825
Re-im bursem entofexpenses 2009-10 1,918 1,918
2008-09 4,921 4,921
Dividend Paid 2009-10
2008-09 5,591 446 6,037
Advances given 2009-10 18,667 18,667
2008-09 1,64,959 1,64,959
Refund ofAdvances 2009-10 18,667 18,667
2008-09 1,79,522 1,79,522
M D Com m ission 2009-10 9,197 9,197

AnnualReport2009-10
2008-09 4,987 4,987
Investm entin JointVentures 2009-10 8,495 8,495
2008-09 1,28,995 1,28,995
Outstanding balances receivable 2009-10 74,256 1,03,951 1,214 1,79,421
2008-09 77,996 1,94,936 564 2,73,496
Outstanding balance payable 2009-10 5 1,350 734 2,089
2008-09 940 722 1,662

18. The earnings pershare (Basic & Diluted,com puted as perthe requirem entunderAccounting Standard 20 on Earnings perShare .

(Rs.in Thousands)
Particulars M arch 31,2010 M arch 31,2009
BASIC
Tantia Constructions Lim ited
NetProfitaftertax forthe yearattributable forequity shareholders 1,85,522 1,72,414
W eighted num berofshares forEPS com putation 1,63,73,066 1,55,73,066
Earnings PerShare 11.33 11.07
DILUTED
NetProfitaftertax forthe year 1,85,522 1,72,586
Expenses on FCCB (netoftax) 2,410 3,190
Adjusted profitaftertax forthe yearavailable forequity shareholders 1,87,932 1,75,776
W eighted average num berofshares forEPS com putation 1,85,40,352 1,82,82,831
Diluted Earnings PerShare 10.14 9.61

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 Schedules form ing partofthe AccountForthe yearended 31stM arch,2010
23 ACCOUNTING POLICY AND NOTES TO ACCOUNTS (CONTD...)
19. Disclosure on Deferred tax as perAS 22 on Accounting forTaxes on Incom e . (Rs.in Thousands)
Particulars M arch 31,2010 M arch 31,2009
Deferred Tax Liability
Fixed Assets as perAccounts 6,84,704 6,91,956
Fixed Assets As PerIncom e Tax 5,19,561 5,51,220
Deferred Tax Liability (Tim ing Difference) 1,65,143 1,40,736
Deferred Tax Asset
-Provisions forEm ployee benefits 12,240 8,727
-Bonus Provision 6,664 4,860
Deferred Tax Asset(Tim ing Difference) 18,904 13,586
NetDeferred Tax Liability 1,46,240 1,27,150
Tax Im pactOn NetLiability @ 33.99% 49,707 43,218
Deferred Tax Liability 49,707 43,218

20.JointVenture Disclosure as perAccounting Standard 27 on Financialreporting on interests in JointVenture :

i. Details ofJointVentures entered into by the Com pany
Sl. Investm ent Investm ent
No. Nam e ofJV Description ofInterest % ofShare M arch 31,2010 M arch 31,2009
1 RBM Tantia (JV) Jointly Controlled Entity 99.999% (1,350) 1,15,012
2 Tantia BSBK (JV) Jointly Controlled Operation 50% (431) 1,162
3 JM C Tantia (JV) Jointly Controlled Operation 50% 3,594 3,470
4 Tantia DBC (JV) Jointly Controlled Operation 75% 321 250
5 Tantia Sim plex (JV) Jointly Controlled Operation 88.43% 106 45
6 Tantia Som a (JV) Jointly Controlled Operation 50% 1,876 4,558
7 IVRCL Tantia (JV) Jointly Controlled Operation 50% 206 217
8 Tantia TBL (JV) Jointly Controlled Operation 50% 2,264 2,506
9 Tantia Freyssinet Gilcon (JV) Jointly Controlled Operation 50% 1,611 1,475
10 Tantia Nayak (JV) Jointly Controlled Operation 51% - -
11 Tantia SPM L (JV) Jointly Controlled Operation 50% 298 298
12 Indu Tantia (JV) Jointly Controlled Operation 47.50% - -
13 Satish Tantia (JV) Jointly Controlled Operation 49%
14 Tantia Gondwana (JV) Jointly Controlled Operation 99.80% 269 1,753
15 Tantia CCIL (JV) Jointly Controlled Operation 74% 906 -
16 Tantia EDCL (JV) Jointly Controlled Operation 51% 397 -
TotalInvestm entin JointVenture 10,067 1,30,748

ii. Financialinterestin the Jointly controlled Entities

Nam e ofthe JV Year Assets Liabilities Turnover OtherIncom e Expenses
RBM Tantia (JV) 2009-10 NA NA NA NA NA
2008-09 2,80,134 1,28,513 3,44,849 - 3,39,111
Pending finalisation ofthe JV partners account,currentyears figures are notgiven.

21. The Com pany hasreviewed the possibility ofany im pairm entofthe fixed assetsofthe Com pany in term softhe Accounting Standard AS
28 Im pairm entofAssets as atthe balance sheetdate and is ofthe opinion thatno such provision forim pairm entis required.

70
Schedules form ing partofthe AccountForthe yearended 31stM arch,2010
23 ACCOUNTING POLICY AND NOTES TO ACCOUNTS (CONTD...)
22. Disclosure pertaining to Accounting Standard 29 Provisions,ContingentLiabilities and ContingentAssets issued by The Institute of
Chartered Accountants ofIndia are given below.

Dividend including
Corporate Tax
on Dividend
(Including Preference Em ployee
Particulars shares) benefits
Balance as on 1.4.2009 27,525 8,727
Balance as on 1.4.2008 27,477 9,205
Add:Provisions m ade (2009-10) 28,906 3,513
(2008-09) 27,575 (478
Less:Paym ents (2009-10) 27,501
(2008-09) 27,502
Less:Adjustm ents (2009-10) 24
(2008-09) 25
Closing Balance as on 31.03.2010 28,906 12,240
Closing Balance as on 31.03.2009 27,525 8,727

23. Previous years figure have been re-grouped and rearranged wherevernecessary.

In term s ofourreportofeven date

ForS.M .Bengani& Co.
Firm s Registration No.305075E
Chartered Accountants

AnnualReport2009-10
CA.HiralalBengani I.P.Tantia B.L.Ajitsaria
Proprietor Chairm an & M anaging Director Director(Business Developm ent)
M em bership No.07867

Place :Kolkata RahulTantia M d.Jam shed Alam

Dated :29th M ay,2010 Director(Operations) Com pany Secretary

Tantia Constructions Lim ited

71
 Balance SheetAbstract
Balance SheetAbstract& Com pany’s GeneralBusiness Profile
I. Registration Details
Registration No. 2 6 2 8 4 State Code 2 1

Balance Sheetas at 3 1 0 3 2 0 1 0 (Refercode list)

Date M onth Year
II. Capitalraised during the year(Am ountin Rs.Thousand)
Public Issue Rights Issue
N I L N I L
Bonus Issue Private Placem ent
N I L 8 0 0 0
III. Position ofM obilisation and Deploym entofFunds(Am ountin Rs.Thousand)
TotalLiabilities TotalAssets
5 2 8 4 7 9 3 5 2 8 4 7 9 3

Sources ofFunds
Paid-up Capital Reserves & Surplus
1 6 5 1 3 1 1 1 6 5 3 6 2
Secured Loans Unsecured Loans
1 9 9 7 9 3 0 1 9 0 6 6 6 3
Share CapitalPending Allotm ent Deferred Tax Liability
N I L 4 9 7 0 7
Application ofFunds
NetFixed Assets Investm ents
6 8 4 7 0 4 1 8 3 8 0
NetCurrentAssets M isc.Expenditure
4 5 8 1 7 0 9 N I L
Accum ulated Losses
N I L
IV. Perform ance ofCom pany (Am ountin Rs.Thousand)
Turnover TotalExpenditure
5 6 3 4 7 8 4 5 3 5 4 0 1 3
+ Profit/ (Loss)Before Tax + Profit(Loss)AfterTax
+ 2 8 0 7 7 1 + 1 8 2 6 8 6
(Please tick Appropriate box+forProfit,-forLoss)

Earning perShare in Rs.:

Basic Dividend Rate %
1 1 . 3 3 1 5
Diluted
1 0 . 1 4
V. Generic nam e ofthree PrincipalProduct/Service ofthe Com pany (as perm onetary term s)
Item Code no.(ITC Code) N I L
Service Description C I V I L C O N S T R U C T I O N

In term s ofourreportofeven date

ForS.M .Bengani& Co.
Firm s Registration No.305075E
Chartered Accountants

CA.HiralalBengani I.P.Tantia B.L.Ajitsaria

Proprietor Chairm an & M anaging Director Director(Business Developm ent)
M em bership No.07867

Place :Kolkata RahulTantia M d.Jam shed Alam

Dated :29th M ay,2010 Director(Operations) Com pany Secretary

72
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