Competencias mediáticas

Outstanding Litigations / Disputes/ Defaults

 Except for an appeal filed against our Company by the Income Tax Authorities for the Assessment Years 2000-01 and 2001-02 and appeals filed by our Company against the Income Tax Authorities for the Assessment Years 2002-03 and 2003-04 there are no criminal, securities, statutory or other litigations against our Company or against any other company having a material adverse effect on the position of our Company. Details of said matters are appearing hereunder:

Appeals filed by Income Tax Authorities against CIT Orders:

Sr. No. Assessment Year Appeal No. Authority Amount

(Rs in Lakhs)

1 2000-01 5293/Mum/2004 Income Tax Appellant Tribunal 7.45 2 2001-02 5294/Mum/2004 Income Tax Appellant Tribunal 6.34

Background:

Assessment Year 2000-01 and 2001-02:

The Income Tax Authority has disallowed depreciation on the premium paid by us for acquiring membership rights for NSE. The matter was decided in our favour and the Department has gone into appeal against the said Orders. The matter is pending for hearing.

Appeals filed by our Company with CIT:

Sr.No. Assessment Year Appeal No. Authority Amount (Rs in Lakhs)

1 2002-03 281/04-05 Commissioner 2.82

of Income Tax, Mumbai

2 2003-04 126/05-06 Commissioner of Income Tax, 27.62 Mumbai

Background:

Assessment Year 2002-03:

The Income Tax Authority has disallowed depreciation on the premium paid by us for acquiring membership rights for NSE and disallowance of software expenses incurred during the year. The matter is awaited for hearing.

Assessment Year 2003-04:

The I.T Authority has disallowed depreciation on the premium paid by us for acquiring membership rights for NSE, disallowance of bad debts, set-off of loss on sale of investment against share trading gain. The matter is awaited for hearing.

 Further no proceeding has been initiated for economic offences against Emkay Share and Stock Brokers Limited and is not a sick company within the meaning of Sick Industrial Companies (Special Provisions) Act, 1985.

 There are no other pending litigations against the Company.

 There are no outstanding litigations, defaults etc pertaining to matter likely to affect operations and finances of our Company including prosecution under any enactment in respect of Schedule XIII of the Companies Act 1956 (1 of 1956) and disputed tax liabilities.

 There are no such cases of pending litigations, defaults etc in respect of companies/firms/ventures with which the promoters were associated in the past but are no longer associated, and their names continue to be associated with particular litigation.

 No disciplinary action/ investigation has been taken by Securities and Exchange Board of India (SEBI)/ Stock Exchanges against the Company, its directors, promoters and their other business ventures (irrespective of the fact whether or not they fall under the purview of section 370(1B) of the Companies Act 1956 except the following: Our Company had received a Show Cause Notice from NSE dated January 3, 2006 for effecting change in Shareholding Pattern without prior approval of NSE.

Our Company has vide letter dated January 10, 2006 advised NSE that though there has been an increase in Share Capital from Rs. 3.5 Crores to Rs. 17.5 Crores due to issue of Bonus shares to the existing shareholders, there has been no change in shareholding pattern of the company. Thus, we were of opinion that since there was no change in pattern of holdings, there was no need for any prior permission from the Exchange. NSE vide its letter dated February 24, 2006 has noted the submission and vide its Debit Note dated February 23, 2006 has debited our account with Rs. 11,000/- as the penalty and the matter is settled.

 There are no cases against the Company or its Promoters or Directors of economic offences in which penalties were imposed on them or any of them. There are no cases in which defaults were committed or statutory dues remained to be paid or proceedings were initiated for economic or civil offences in the past in which the Company or its directors were found guilty of any disciplinary action taken by SEBI or the stock exchanges..

 The Company, confirms that there are no pending litigations, defaults, non payment of statutory dues, or violation of statutory regulations proceedings initiated for economic offences/civil offences/ criminal offences, any disciplinary action taken by the Board /Stock Exchanges against the Company/Promoters and their business ventures/Directors and that no litigations have arisen after the issue of SEBI’s Observation letter and the Company and its Directors take full responsibility of the information mentioned in the Offer Document.

Litigations against the Promoters/ Directors

There are no outstanding litigations, disputes, defaults, non-payment of statutory dues, overdues to banks and/or FIs, defaults against banks and/or FIs, proceedings initiated for economic/civil/any other offences (including past cases where penalties may /may not have been awarded and irrespective of whether they are specified under paragraph (1) of Part (1) of schedule XIII of Companies Act 1956 against Promoters/ Directors of Emkay Share and Stock Brokers Limited.

Litigations against Group Companies / Associate Concerns

There are no criminal, securities, statutory or other litigations against any of the Group/Associate Companies. There are no outstanding litigations, disputes, penalties including tax liabilities economic offence, criminal/civil prosecutions for any offence irrespective of whether or not specified under any enactment in paragraph (1) of Part (1) of schedule XIII of Companies Act 1956 against the Group Companies / Associate concerns promoted by the Promoters.

There are no outstanding litigations, defaults, etc., pertaining to matters likely to affect operations and finances of the Company including disputed tax liabilities, prosecution under any enactment in respect of Schedule XIII to the Companies Act, 1956 (1 of 1956).

The promoters, their relatives (as per Companies Act, 1956), issuer, group Companies, associate companies are not detained as willful defaulters by RBI/ Government authorities and there are no violations of securities laws committed by them in the past or pending against them.

Amounts due to Small Scale Undertakings

There are no amounts due by our Company to any small scale undertaking. Also three are no amounts due to individual creditors in excess of a sum of Rs. 1,00,000/- which are outstanding for more than 30 days.

Material Developments

To the knowledge of the Board of Directors of the Company, there have not arisen, since the date of the last financial statements disclosed in this Red Herring Prospectus, any circumstances that materially or adversely affect or are likely to affect the profitability of the Company or the value of its assets or its ability to pay its liabilities within the next twelve months.

GOVERNMENT APPROVALS AND LICENCING ARRANGEMENTS

The Company has received necessary licenses, permissions and approvals from the Central and State Governments and other government agencies/certification bodies required for its business and no further material approvals are required by the company for carrying on the present business activities of the Company. It must, however, be distinctly understood that in granting the above approvals, the Government and other authorities do not take any responsibility for the financial soundness of the Company or for the correctness of any of the statements or any commitments made or opinions expressed.

In view of the approvals listed below, the Company can undertake its current business activities and no further material approvals are required from any statutory authority to continue such activities.

The following statement sets out the details of licenses, permissions and approvals taken by the Company under various Central and State Laws for carrying out its business:

Sr. No. Nature of Registration /License Issuing

Registration/License No. Authority Date Validity

1 Incorporation of the Company 11-84899 Registrar of Companies 24.01.2005 -

2 PAN Number AAACE0994L Income Tax Department 24.01.1995 -

3 TAN Number E-02239-G/BBY Income Tax Department 6.11.1995 -

4 Sales Tax Registration 1/1/21/28145 Sales Tax Officer (10), 24.05.1996 -

Regional Branch, Mumbai

5 Service Tax Registration SB/MI/1116 Central Excise Department 27.03.1996 -

of Service Tax

6 Professional Tax Registration 1/1/21/18/11519 Professional Tax Office (2), 27.05.1996 -

Mumbai

7 Registration under Employees

Provident Fund legislations MH/44417/O/H/Zones/97 Regional Provident 13.04.2000 -

Fund Commissioner

8 Registration under shop and

Establishment Act

i) Lower Parel, Mumbai GS-11/009245 Bombay Municipal 31.03.2001 31.12.2006

Corporate Office) Corporation

ii) Mulund, Mumbai T-II/004737 Bombay Municipal 04.01.2006 31.12.2006

Corporation

iii) Versova, Mumbai KW-11/009980 Bombay Municipal 05.09.2003 31.12.2006

Corporation

iv) Goregaon, Mumbai PS-11/012103 Bombay Municipal 25.10.2005 31.12.2006

Corporation

v) Malad, Mumbai A-II/021762 Bombay Municipal 04.02.1999 31.12.2006

(Registered Office) Corporation

vi) Malad, Mumbai PN-II/006963 Bombay Municipal 03.04.2003 31.12.2006

Corporation

vii) Andheri, Mumbai KW-II/009731 Bombay Municipal 29.04.2003 31.12.2006

Corporation

9 Membership of BSE INB010901838 SEBI 13.03.1996 -

10 Trading and clearing Member INF010901838 SEBI 02.06.2000 -

of BSE (F & O)

Sr. No. Nature of Registration /License Issuing

Registration/License No. Authority Date Validity

12 Trading and clearing INF230901838 SEBI 19.06.2001 - Member of NSE ( F & O)

13 Portfolio Manager* INP000000779 SEBI 16.03.2003 15.03.2006 14 Depository Participant-CDSL IN-DPCDSL-58-2000 SEBI 09.02.2005 08.02.2010

15. OTCEI INB200901834 SEBI 07.07.1999 -

16. Registration with Association ARN 1563 Association Mutual

Mutual Funds of India Funds of India 21.02.2003 - 17. Copyright of ‘EMKAY’ A-74274/05 Dy. Registrar of 19.09.05 -

Copyrights * Applied for renewal.

Our Company has applied for registration under Shop and Establishment Act for our branches located at Delhi, Punjab, Karnataka, Tamil Nadu, Kerala, West Bengal and Gujarat under respective state legislations. Registration Certificates are awaited.