Turbotech Engineering Ltd

To,

The Members,

TURBOTECH ENGINEERING LIMITED

Your Directors present their 29TH Annual Report and Audited Statement of Accounts forthe year ended 31st March 2011.

BUSINESS OPERATIONS:

The has incurred Loss of Rs. 1, 45,748/- after tax of the Company during the year. Ascompared to loss of Rs. 1,61,841/- of the last year.

DIVIDEND:

Your Directors do not recommend any Dividend.

APPOINTMENT OF AUDITORS:

M/s. Y. D. & Co., Chartered Accountants, Ludhiana, are proposed to be re-appoint asauditor of the company for the financial year 2011-2012. The auditors of the Companyretire at the forthcoming Annual General Meeting. The board will fix the remuneration ofnewly appointed auditors of the company. The necessary certificate under section 224(1B)of the Companies Act, 1956 has been received from the auditor.

The Statutory Auditors of the Company have submitted auditor’s report on theaccounts of the Company for the accounting year ended 31st March, 2011 which isself-explanatory and needs no comments.

DIRECTORS:

The Board of Directors of the Company is properly constituted and Mr. Shankar PrasadBhagat, Director of the Company was liable to retire by rotation and being eligible, offerhimself for re-appointment.

PUBLIC DEPOSIT:

Your Company has not accepted any deposit within the meaning of section 58-A of theCompanies Act, 1956.

PREFERENTIAL ISSUE:

During the year Convertible Warrants are fully paid up and converted into Equity Sharesafter receiving last call amount towards the 1st preferential issue of 40,00,000 and 2 ndpreferential issue of 1,92,00,000. Both Convertible warrants are converted into equityshares of 40,00,000 and 1,92,00,000 respectively. Company has received listing and tradingapproval for total 2,32,00,000.

PARTICULARS OF EMPLOYEES:

There are no employees of the Company whose particulars are required to be reportedunder Section 217 (2A) of the Companies Act, 1956 and the rules there under.

DIRECTORS’ RESPONSIBILITY STATEMENT:

In Compliance with the provisions of Section 217(2AA) of the Companies Act, 1956 theDirectors of your Company confirm that:

1. In the preparation of the Annual Accounts, the applicable accounting standards havebeen followed and no material departures have been made from the same;

2. they have selected such accounting policies and applied them consistently and madejudgments and estimates that are responsible and prudent so as to give a true and fairview of the state of affairs of the Company at the end of the Financial Year and Loss ofthe Company for that year;

3. they have taken proper and sufficient care for the maintenance of adequateaccounting records in accordance with the provisions of the Act for safeguarding theassets of the Company for preventing and detecting fraud and other irregularities;

4. They have prepared the annual accounts on a going concern basis.

A) CONSERVATION OF ENERGY, RESEARCH AND DEVELOPMENT AND TECHNOLOGY ABSORPTION, ADOPTIONINNOVATION:

The Disclosure of particulars with respect to conservation of energy pursuant to theprovisions of Section 217(1)(e) of the Companies Act, 1956 read with the Companies(Disclosure of particulars in the Report of Board of Directors) Rules 1988, are notapplicable to the Company. However, the Company makes its best efforts for conservation ofenergy. The Company has not carried out any specific research and development activities.

The Company has not imported or absorbed any new Technology during the year underreview.

B) FOREIGN EXCHANGE EARNINGS AND OUTGO:

The information regarding Foreign Exchange Earnings and out go is as follows:

ACKNOWLEDGEMENTS:

Your Directors take this opportunity to thanks all the shareholders of the Company fortheir continued support.