OTCEI SECURITIES LIMITED
BALANCE SHEET AS AT MARCH 31, 2005
(All amounts in Indian rupees)
Current Year Previous Year
Schedule Amount Amount
SOURCES OF FUNDS
SHAREHOLDERS' FUNDS
    Share Capital 1     42,500,700     30,000,700
UNSECURED LOANS
(A)  Advances from OTC Exchange of India                       -    13,161,951
(B)  Deposits from Sub-brokers 2       9,318,190      9,479,785
  51,818,890   52,642,436
APPLICATION OF FUNDS
FIXED ASSETS 3
    Gross Block       3,653,037       3,653,037
    Less: Accumulated Depreciation       2,937,436      2,345,278
    Net Block        715,601     1,307,759
INVESTMENTS 4        304,670     8,005,927
DEFERRED TAX ASSET 5                       -
CURRENT ASSETS,LOANS AND ADVANCES
    Sundry Debtors 6       5,765,801      4,795,164
    Cash and Bank Balances 7     40,953,584     30,838,380
    Other Current Assets 8          496,788          835,532
    Loans & Advances 9      25,000,000     25,000,000
    72,216,173    61,469,076
LESS: CURRENT LIABILITIES AND PROVISIONS
     Liabilities 10     35,550,747    32,850,456
    35,550,747    32,850,456
NET CURRENT ASSETS     36,665,426    28,618,620
PROFIT AND LOSS ACCOUNT - NET LOSS     14,133,193     14,710,130
  51,818,890   52,642,436
Notes forming part of  Accounts 10
Notes forming part of  Accounts 12
As per our report                                          Dipak Shah I.D.Agarwal
Director Chairman
For K.S. Aiyar & Co.                         
Chartered Accountants
Raghuvir M. Aiyar                                                              Munesh Goel
Partner                                                                                Company Secretary & CEO (O)
Mumbai.
Dated: 01 July 2005
OTCEI SECURITIES LIMITED
PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED MARCH 31, 2005
(All amounts in Indian rupees)
Current Year Previous Year
Schedule Amount Amount
INCOME
     Brokerage        1,192,886       1,491,369
     Dividend on units of Mutual Funds              48,011           139,633
     Reduction in carrying value of Current Investment            (26,743)
     Interest from Investments in bank deposits        1,635,945           980,671
       (Tax Deducted at Source Current Year Rs. 42341)
       (Tax Deducted at Source Previous Year Rs.15249)
     Profit on Sale of Investments            290,539           243,327
     Other Income              90,195           140,020
     Penalty Income            331,350           323,920
      3,588,925      3,292,197
EXPENDITURE
    Insurance Premium              39,084             34,804
    Deputation Costs (Refer Notes 2.c)        1,295,158        1,399,037
    Asset Usage Charges  (Refer Notes 2.d)              79,665             79,665
    Other Expenses 11         1,005,923       1,435,665
    Depreciation            592,158           592,158
    Preliminary & Pre-Operative Expenses Written -Off                        -             51,798
      3,011,988      3,593,127
NET PROFIT / (LOSS) BEFORE TAX            576,937          (300,930)
    - Current                        -                       -
    - Deferred Tax Expense (Refer Notes 2.g.ii)            268,076                       -
NET PROFIT / (LOSS) AFTER TAX            308,861          (300,930)
NET (LOSS) BROUGHT FORWARD      (14,710,130)     (14,409,200)
OPENING DEFERRED TAX CREDIT RECOGNISED (Refer Notes 2.g.ii)            268,076                     -  
NET (LOSS) CARRIED FORWARD TO BALANCE SHEET    (14,133,193)   (14,710,130)
Notes forming part of  Accounts 10
Notes forming part of  Accounts 12
                                                
As per our report                                          Dipak Shah I.D.Agarwal
Director Chairman
For K.S. Aiyar & Co.                         
Chartered Accountants
Raghuvir M. Aiyar                                                              Munesh Goel
Partner                                                                                Company Secretary & CEO (O)
Mumbai.
Dated: 01 July 2005