URANIUM CORPORATION OF INDIA LIMITED - (UCIL).....

6. The balances of Debtors, Creditors and Advances are subject to confirmation by the concerned parties
and reconciliation on confirmation is under process.
7. Arising out of change in the Accounting Policy on prior period adjustments and pre-paid expenses, current
year adjustment/expenses are increased by Rs. NIL lakh and Rs. 4.11 lakh respectively.
8. An amount of Rs. 73,64,810/- (P.Y. Rs. 17,14,276/-) on account of excess provision made during earlier
years now written back and recognised as Income. The details are as under :
2006-07 2005-06
(Rupees)
(Rupees)
Obsolete Stores 58,81,454 16,78,171
Stale cheque 7,34,801 35,665
O&M Expenditure 7,47,127 —
Others 1,428 440
9. a) In the year 1996 the company had transferred the assets of closed Turamdih Project to Central Reserve
Police Force (CRPF) at a consideration of Rs. 2322 lakh. On reopening of the Turamdih mine, the
assets have been taken back As against total claim of Rs. 3467 lakh made by CRPF, Rs. 2500 lakh has
already been paid and balance Rs. 967 lakh has been provided in the accounts.
b) The company is using Land and other assets of closed Turamdih Project amounting to Rs. 1110.60
lakh (P.Y. 1110.60 lakh) belonging to the Government of India. Provision of Rs.1110.60 lakh (P.Y.
1110.60 lakh) has been made in the accounts based on the value communicated by the Govt. of
India. The company will issue shares to the Govt. of India to the extent assets are taken as directed
by the Govt. of India vide their letter No. 20/12(1)/95-PSU/180 dated 18 th June 2003.
10. The company has issued shares worth Rs. 31.05 crore received in previous year. The Govt. of India has further
released Rs. 21.705 crore for equity in the year 2006-07 for ongoing projects which is shown under “Share
Capital Pending Allotment”.
11. a) Company has assessed recoverable value of cash generating units (CGU) based on value in use
method. The value in use of each CGU worked out to much higher than corresponding net book
value of assets, thereby no provision is required against impairment loss (Refer: Point No.17 of
Significant Accounting Policies).
b) CGU includes Jaduguda Mine, Narwapahar Mine, Bhatin Mine and Turamdih Mine.
12. Inventory valuing Rs. 163.06 lakh arising out of non-posting/mis-posting of Issue/Receipt Vouchers in
the Stores Ledgers of earlier years, is adjusted in the current year as Prior Period Adjustment.
13. a) The value of stores as on 31.3.2007 amounting to Rs. 179.17 lakh (P.Y. : Rs. 181.48 lakh) with respect
to closed Turamdih Project, which is in the possession of the company, has not been accounted for
as the same belongs to the Government of India. As per directives of the Govt. of India, the proceeds
from sale of these stores will be deposited to Government Account as and when realized.
b) Out of the opening stock of Rs. 181.48 lakh (P.Y. : Rs. 207.33 lakh), company has consumed stores
amounting to Rs. 2.31 lakh (P.Y. : Rs. 25.85 lakh) and liability has been provided to that extent on
Govt. of India Account.
14. Incidental Expenditure during construction :-
2006-07 2005-06
(Rs. in Lakh) (Rs. in Lakh)
a) Turamdih Mill Project 281.68 220.66
b) Banduhurang Mine Project 657.16 473.60
c) Bagjata Mine Project 502.39 263.25
d) Mohuldih Mine Project 1.32 —
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