Accounting Policies of Ajcon Global Services Ltd. Company

Mar 31, 2025

Note 2: Significant Accounting Policies & Notes to Accounts

• Basis of Preparation of Financial Statements

The financial statements of the Company comply in all material aspects with Indian Accounting Standards (Ind AS)
notified under Section 133 of the Companies Act, 2013 ("the Act") read with Companies (Indian Accounting Standards)
Rules, 2015 and other relevant provisions of the Act.

• Use of Estimates :

The preparation of financial statements requires the management of the Company to make estimates and
assumptions that affect the reported balances of assets and liabilities and disclosures relating to the contingent
liabilities as at the date of the financial statements and reported amounts of income and expense during the year. The
estimates and assumptions used in the accompanying financial statements are based on management''s evaluation of
the relevant facts and circumstances as at the date of the financial statements. Future results could differ due to
changes in these estimates and the difference between the actual result and the estimates are recognized in the
period in which the results are known / materialized.

• Property, plant and equipment:

Property, plant and equipment are stated at cost of acquisition less accumulated depreciation. Cost includes
expenditure that is directly attributable to the acquisition and installation of the assets. Subsequent costs are included
in the asset''s carrying amount or recognized as a separate asset, as appropriate, only when it is probable that future
economic benefits associated with the item will flow to the Company and the cost of the item can be measured
reliably. The carrying amount of any component accounted for as a separate asset is derecognized when replaced. All
other repairs and maintenance are charged to Statement of profit and loss during the reporting period in which they
are incurred.

• Depreciation & Amortization:

In respect of fixed assets (other than freehold land and capital work-in-progress) acquired during the year,
depreciation/amortization is charged on a straight line basis so as to write-off the cost of the assets over the useful
lives and for the assets acquired prior to April 1, 2014, the carrying amount as on April 1, 2014 is depreciated over the
remaining useful life based on an evaluation.

• Non-Current Investments:

Non-Current Investments are treated as strategic long-term investments and the same are stated at the cost without
considering any increase or erosion in the value.

• Inventories:

Inventories are consisting of stocks and securities and the same are accounted at market value as per Ind AS 2.

• Cash and Cash Equivalents:

Cash and Cash equivalents for the purpose of Cash Flow Statement comprise cash and cheques in hand, bank
balances, demand deposits with banks where the original maturity is 3 months or less and other short term highly
liquid investments that are readily convertible into knows amount of cash and which are subject to insignificant risk of
change in value.

• Revenue Recognition:

Revenue is measured at fair value of the consideration receivable or received. Ind AS 115, Revenue from contracts
with customers, outlines a single comprehensive model of accounting for revenue arising contracts with customers.
The company recognises revenue from customers based on a five -step modal set out in Ind AS 115:

• Identify contact(s) with a customer.

• Identify performance obligation in the contract

• Determine the transaction price

• Allocate the contract price to the performance obligations in the contract

• Revenue Recognise
Revenue includes the following:

• Brokerage income

It is recognized on settlement date basis and is exclusive of goods and service tax and securities transaction tax
(STT) wherever applicable.

• Advisory Fees

Fees based income on services are recognised as earned on a pro-rata basis over the term of the contract.

• Depository income

Income from services rendered on behalf of depository is recognised upon rendering of the services, in
accordance with the terms of contract.

• Interest income

Interest income is recognized on accrual basis in Statement of profit and loss for all financial instruments
measured at amortised cost.

• Dividend income

Dividend income is recognized in the statement of profit or loss on the date that the Company''s right to receive
payment is established

• Employee Benefits:

Short term employee benefits are recognised as an expense at the undiscounted amount in the Statement of
Profit and Loss of the year in which the related service is rendered. The contributions remitted to government
administered Provident and Pension Fund on behalf of its employees in accordance with the relevant statute are
charged to the Statement of Profit and Loss as and when due. The Company has no further obligations for future
Provident/ Pension fund benefits other than its monthly contributions. Post-employment and other long term
employee benefits are recognised as an expense in the Statement of Profit and Loss for the year in which the
employee has rendered services. The expenses are recognised at the present value of the amount payable.
Provision for gratuity amount is made as per the actuarial valuation.

• Borrowing Cost:

Borrowing cost are includes interest, amortization of ancillary costs incurred in connection with the
arrangement of borrowings. Borrowing cost that are attributable to the acquisition of qualifying assets are
capitalised as part of the cost of such assets. A qualifying asset is one that necessarily takes substantial period of
time to get ready for its intended use. All other borrowing costs are charged to the Statement of Profit & Loss in
the period in which they are incurred.

• Segment Reporting:

The Company business is to provide stock broking services and corporate advisory services to its clients, in the
capital market in India. All other activities of the company are ancillary to the main business. As such, there are
no reportable segments that need to be reported separately as defined in Ind AS 108, Operating Segment.

• Lease accounting:

Ind AS 116 defines a lease as a contract, or part of a contract, that conveys the right to use an asset (the
underlying asset) for a period of time in exchange for consideration. Under Ind AS 116 lessees have to recognize
a lease liability reflecting future lease payments and a ''right-of-use asset'' for almost all lease contracts

• Earnings Per Share (E.P.S.):

- Basic earnings per share

Basic earnings per share is calculated by dividing the net profit for the period (excluding other comprehensive
income) attributable to equity shareholders of the Company by the weighted average number of equity shares
outstanding during the financial year, adjusted for bonus element in equity shares issued during the year.

- Diluted earnings per share

Diluted earnings per share is computed by dividing the net profit for the period attributable to equity
shareholders by the weighted average number of shares outstanding during the period as adjusted for the
effects of all diluted potential equity shares except where the results are anti-dilutive.

• Income Tax

The income tax expense or credit for the period is the tax payable on the current period''s taxable income based
on the applicable income tax rate for each jurisdiction adjusted by changes in deferred tax assets and liabilities
attributable to temporary differences and to unused tax losses. Current and deferred tax is recognized in profit
or loss, except to the extent that it relates to items recognized in other comprehensive income or directly in
equity. In this case, the tax is also recognized in other comprehensive income or directly in equity, respectively.

Current Tax

Current tax is measured at the amount of tax expected to be payable on the taxable income for the year as
determined in accordance with the provisions of the Income Tax Act, 1961.

Current tax assets and current tax liabilities are off set when there is a legally enforceable right to set off the
recognized amounts and there is an intention to settle the asset and the liability on a net basis.

Deferred Tax

Deferred tax is provided in full, using the liability method, on temporary differences arising between the tax bases of
assets and liabilities and their carrying amounts in the financial statements. Deferred tax is determined using tax rates
(and laws) that have been enacted or substantially enacted by the end of the reporting period and are expected to
apply when the related deferred income tax asset is realized or the deferred income tax liability is settled.

Deferred tax assets are recognized for all deductible temporary differences and unused tax losses only if it is probable
that future taxable amounts will be available to utilize those temporary differences and losses.

Deferred tax liabilities are not recognized for temporary differences between the carrying amount and tax bases of
investments in subsidiaries where the Company is able to control the timing of the reversal of the temporary
differences and it is probable that the differences will not reverse in the foreseeable future.

Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets and
liabilities and when the deferred tax balances relate to the same taxation authority.

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Mar 31, 2024

Note 1: Corporate Information

Ajcon Global Services Limited ("AGSL" or ''the Company'') is a public limited company and incorporated on 19^th December, 1986 having CIN L74140MH1986PLC041941 under the provisions of Companies Act, 1956.

The Company is registered with Securities and Exchange Board of India (''SEBI'') under the Stock brokers and sub-brokers Regulations, 1992 and is a member of NSE and BSE. The Company acts as a stock broker to execute trades on behalf of its clients. These Clients Category comprises of Retail (including high net worth individuals), financial institutions, Insurance Companies and Corporate Clients and company also undertakes proprietary trades. It is registered with SEBI as the Depository Participant (DP) of Central Depository Services (India) Limited.

The Company is also registered with SEBI in the capacity of Research Analyst and Merchant Banker and also provides Corporate Advisory Services to various clients including corporate clients.

As at March 31, 2024, The Promoters and Promoter Group hold 40,82,202 (66.74%) of the Company''s equity share capital and has the ability to control its operating and financial policies. The Company''s Registered Office is in Mumbai and it has one subsidiary and two wholly owned subsidiaries in India.

Note 2: Significant Accounting Policies & Notes to Accounts• Basis of Preparation of Financial Statements

The financial statements of the Company comply in all material aspects with Indian Accounting Standards (Ind AS) notified under Section 133 of the Companies Act, 2013 ("the Act") read with Companies (Indian Accounting Standards) Rules, 2015 and other relevant provisions of the Act.

• Use of Estimates :

The preparation of financial statements requires the management of the Company to make estimates and assumptions that affect the reported balances of assets and liabilities and disclosures relating to the contingent liabilities as at the date of the financial statements and reported amounts of income and expense during the year. The estimates and assumptions used in the accompanying financial statements are based on management''s evaluation of the relevant facts and circumstances as at the date of the financial statements. Future results could differ due to changes in these estimates and the difference between the actual result and the estimates are recognized in the period in which the results are known / materialized.

• Property, Plant and Equipment:

Property, plant and equipment are stated at cost of acquisition less accumulated depreciation. Cost includes expenditure that is directly attributable to the acquisition and installation of the assets. Subsequent costs are included in the asset''s carrying amount or recognized as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured reliably. The carrying amount of any component accounted for as a separate asset is derecognized when replaced. All other repairs and maintenance are charged to Statement of profit and loss during the reporting period in which they are incurred.

• Depreciation & Amortization:

In respect of fixed assets (other than freehold land and capital work-in-progress) acquired during the year, depreciation/amortization is charged on a straight line basis so as to write-off the cost of the assets over the useful lives and for the assets acquired prior to April 1, 2014, the carrying amount as on April 1, 2014 is depreciated over the

remaining useful life based on an evaluation.

Type of Asset	Life of asset
Office Premises	40 Years
Office Equipment''s	5 Years
Furniture Fixtures	10 Years
Motor Vehicles	8 Years
Air Conditioners	5 Years
Electronic Installations	10 Years
Computers & Peripherals	3 Years
Computer Servers & Peripherals	6 Years

• Non-Current Investments:

Non-Current Investments are treated as strategic long-term investments and the same are stated at the cost without considering any increase or erosion in the value.

• Inventories:

Inventories are consisting of stocks and securities and the same are accounted at market value as per Ind AS 2.

• Cash and Cash Equivalents:

Cash and Cash equivalents for the purpose of Cash Flow Statement comprise cash and cheques in hand, bank balances, demand deposits with banks where the original maturity is 3 months or less and other short term highly liquid investments that are readily convertible into knows amount of cash and which are subject to insignificant risk of change in value.

• Revenue Recognition:

Revenue is measured at fair value of the consideration receivable or received. Ind AS 115, Revenue from contracts with customers, outlines a single comprehensive model of accounting for revenue arising contracts with customers. The company recognises revenue from customers based on a five -step modal set out in Ind AS 115:

• Identify contact(s) with a customer.

• Identify performance obligation in the contract

• Determine the transaction price

• Allocate the contract price to the performance obligations in the contract

• Revenue Recognise

Revenue includes the following:• Brokerage income

It is recognized on settlement date basis and is exclusive of goods and service tax and securities transaction tax (STT) wherever applicable.

• Advisory Fees

Fees based income on services are recognised as earned on a pro-rata basis over the term of the contract.

• Depository income

Income from services rendered on behalf of depository is recognised upon rendering of the services, in accordance with the terms of contract.

• Interest income

Interest income is recognized on accrual basis in Statement of profit and loss for all financial instruments measured at amortised cost.

• Dividend income

Dividend income is recognized in the statement of profit or loss on the date that the Company''s right to receive payment is established

• Employee Benefits:

Short term employee benefits are recognised as an expense at the undiscounted amount in the Statement of Profit and Loss of the year in which the related service is rendered. The contributions remitted to government administered Provident and Pension Fund on behalf of its employees in accordance with the relevant statute are charged to the Statement of Profit and Loss as and when due. The Company has no further obligations for future Provident/ Pension fund benefits other than its monthly contributions. Post-employment and other long term employee benefits are recognised as an expense in the Statement of Profit and Loss for the year in which the employee has rendered services. The expenses are recognised at the present value of the amount payable. Provision for gratuity amount is made as per the actuarial valuation.

• Borrowing Cost:

Borrowing cost are includes interest, amortization of ancillary costs incurred in connection with the arrangement of borrowings. Borrowing cost that are attributable to the acquisition of qualifying assets are capitalised as part of the cost of such assets. A qualifying asset is one that necessarily takes substantial period of time to get ready for its intended use. All other borrowing costs are charged to the Statement of Profit & Loss in the period in which they are incurred.

• Segment Reporting:

The Company business is to provide stock broking services and corporate advisory services to its clients, in the capital market in India. All other activities of the company are ancillary to the main business. As such, there are no reportable segments that need to be reported separately as defined in Ind AS 108, Operating Segment.

• Lease Accounting:

Ind AS 116 defines a lease as a contract, or part of a contract, that conveys the right to use an asset (the underlying asset) for a period of time in exchange for consideration. Under Ind AS 116 lessees have to recognize a lease liability reflecting future lease payments and a ''right-of-use asset'' for almost all lease contracts

• .Earnings Per Share (E.P.S.):- Basic earnings per share

Basic earnings per share is calculated by dividing the net profit for the period (excluding other comprehensive income) attributable to equity share holders of the Company by the weighted average number of equity shares outstanding during the financial year, adjusted for bonus element in equity shares issued during the year.

- Diluted earnings per share

Diluted earnings per share is computed by dividing the net profit for the period attributable to equity shareholders by the weighted average number of shares outstanding during the period as adjusted for the effects of all diluted potential equity shares except where the results are anti-dilutive.

• Income Tax

The income tax expense or credit for the period is the tax payable on the current period''s taxable income based on the applicable income tax rate for each jurisdiction adjusted by changes in deferred tax assets and liabilities attributable to temporary differences and to unused tax losses. Current and deferred tax is recognized in profit or loss, except to the extent that it relates to items recognized in other comprehensive income or directly in equity. In this case, the tax is also recognized in other comprehensive income or directly in equity, respectively.

Current Tax

Current tax is measured at the amount of tax expected to be payable on the taxable income for the year as determined in accordance with the provisions of the Income Tax Act, 1961.

Current tax assets and current tax liabilities are off set when there is a legally enforceable right to set off the recognized amounts and there is an intention to settle the asset and the liability on a net basis.

Deferred Tax

Deferred tax is provided in full, using the liability method, on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements. Deferred tax is determined using tax rates (and laws) that have been enacted or substantially enacted by the end of the reporting period and are expected to apply when the related deferred income tax asset is realized or the deferred income tax liability is settled.

Deferred tax assets are recognized for all deductible temporary differences and unused tax losses only if it is probable that future taxable amounts will be available to utilize those temporary differences and losses.

Deferred tax liabilities are not recognized for temporary differences between the carrying amount and tax bases of investments in subsidiaries where the Company is able to control the timing of the reversal of the temporary differences and it is probable that the differences will not reverse in the foreseeable future.

Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets and liabilities and when the deferred tax balances relate to the same taxation authority.

• Provisions, Contingent Liabilities and Contingent Assets

A provision is recognized in the accounts when there is a present obligation as a result of past event(s) and it is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions are determined based on best management estimate required to settle the obligation as on the date of balance sheet. These are reviewed at each balance sheet date and adjusted to reflect the current best management estimates. Contingent Liabilities are not recognised but are disclosed in the Notes. Contingent Assets are neither recognised nor disclosed in the financial statements.

• Impairment of Financial Assets

Investment in Subsidiary:

The core principle in IAS 36 is that an asset must not be carried in the financial statements at more than the highest amount to be recovered through its use or sale. If the carrying amount exceeds the recoverable amount, the asset is described as impaired. The entity must reduce the carrying amount of the asset to its recoverable amount, and recognise that difference as an impairment loss.

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Mar 31, 2015

A) Basis of Preparation of Financial Statements:

These financial statements have been prepared to comply with the Accounting Standards specified under Section 133 of the Companies Act, 2013, read with Rule 7 of the Companies (Accounts) Rules, 2014 and the relevant provisions of the Companies Act, 2013. The financial statements have been prepared under the historical cost convention and on accrual basis, unless otherwise expressly mentioned in the notes.

b) Use of Estimates :

The preparation of financial statements requires the management of the Company to make estimates and assumptions that affect the reported balances of assets and liabilities and disclosures relating to the contingent liabilities as at the date of the financial statements and reported amounts of income and expense during the year. The estimates and assumptions used in the accompanying financial statements are based on management's evaluation of the relevant facts and circumstances as of the date of the financial statements. Future results could differ due to changes in these estimates and the difference between the actual result and the estimates are recognised in the period in which the results are known / materialised.

c) Fixed Assets :

Tangible Assets : Tangible Assets are stated at cost net of recoverable taxes, trade discounts and rebates and include amounts added on revaluation, less accumulated depreciation and impairment loss, if any. The cost of tangible assets comprises its purchase price, borrowing cost and any cost directly attributable to bringing the asset to its working condition for its intended use, net charges on foreign exchange contracts and adjustments arising from exchange rate variations attributable to the assets.

Subsequent expenditures related to an item of tangible asset are added to its book value only if they increase the future benefits from the existing asset beyond its previously assessed standard of performance.

Intangible Assets: Intangible Assets are stated at cost of acquisition net of recoverable taxes, trade discounts and rebates less accumulated depreciation and impairment loss, if any. The cost of intangible assets comprises its purchase price, borrowing cost and any cost directly attributable to bringing the asset to its working condition for its intended use and net charges on foreign exchange contracts and adjustments arising from exchange rate variations attributable to the assets.

d) Depreciation & Amortization :

Tangible Assets: Depreciation on Fixed Assets is provided to the extent of depreciable amount on the Straight Line Method (SLM). Depreciation is provided based on useful life of the assets as prescribed in Schedule II of Companies Act, 2013. Depreciation on additions to assets or on sale/disposal of assets is calculated, based on the above principle, from the date of such additions, or up to the date of sale/disposal, as the case may be.

Intangible Assets: Intangible assets are amortized based on its useful life without considering its scrap value.

Impairment of Assets: Impairment of Assets, if any, is recognized in accordance with AS-28.

e) Non-Current Investments:

Non-Current Investments are treated as strategic long-term investments and the same are stated at the cost without considering any increase or erosion in the value.

f) Inventories:

Inventories are consisting of stocks and securities and the same are accounted at cost and any decline in the carrying value other than temporary in nature is provided for.

g) Equity Index/Stock Futures/Currency Futures:

i. "Initial Margin- Equity Derivative Instrument", representing the initial margin paid for entering into contracts for Equity Index/Stock Futures/Currency Futures which are released on final settlement/squaring-up of underlying contracts is classified under Loans and Advances.

ii. Equity index/Stock Futures/Currency Futures for arbitrage purposes are Marked-to-Market on a daily basis. Debit or credit balance disclosed under Loans and Advances or Current Liabilities, respectively, in the "Mark-to-Market Margin- Equity Index/Stock Futures/Currency Futures Account", represents the net amount paid or received on the basis of movement in the prices of Index/Stock Futures/Currency Futures till the Balance Sheet date.

iii. As on the Balance Sheet date, profit/loss on open positions in Equity index/Stock Futures/Currency Futures are accounted for as follows:

a) Credit balance in the "Mark-to-Market Margin- Equity index/Stock Futures/Currency Futures Account, being the anticipated profit, is ignored and no credit for the same is taken in the statement of Profit and Loss Account.

b) Debit balance in the "Mark-to-Market Margin- Equity index/Stock Futures/Currency Futures", being anticipated loss, is adjusted in the statement of Profit and Loss Account.

iv. On final settlement or squaring-up of contracts for Equity index/Stock Futures/Currency Futures, the profit or loss is calculated as the difference between the settlement/squaring-up price and the contract price. Accordingly, debit or credit balance pertaining to the settled/squared-up contract in "Mark-to-Market Margin- Equity index/Stock Futures/Currency Futures Account" after adjustment of provision for anticipated losses is recognized in the statement of Profit and Loss Account.

v. When more than one contract in respect of the relevant series of Equity index/Stock Futures/Currency Futures contract to which the squared-up contract pertains is outstanding at the time of the squaring-up of the contract, the contract price of the contract so squared-up is determined using the weighted average cost method for calculating the profit/loss on squaring-up.

h) Revenue Recognition:

i. Revenue is recognized where there is reasonable certainty of its ultimate realization.

ii. Consultancy and Advisory fees are accounted on accrual basis depending on the progress of the assignment.

iii. Brokerage on stock market operations is recognized on completion of settlement period of respective segments & Stock Exchanges,

iv. Dividend income, if any, is recognised on the basis of actual receipt irrespective of the right to received is established,

v. The Annual Maintenance charges in respect of depository account holders are accounted at the time of opening the account or on completion of the year irrespective of the period they pertain to.

vi. Interest income is recognized on time proportionate basis taking into account the amount outstanding and the rate applicable,

vii. Income other than above is accounted on accrual basis,

viii. Service tax is accounted on the basis of services provided and in line with the Point of Taxation Rules, 2011 (as amended) under service tax law.

i) Employee Benefits:

Short term Employee Benefits: The undiscounted amount of short term employee benefits expected to be paid in exchange for the services rendered by employees are recognised as an expense during the period when the employee render the services. These benefits include performance incentive and compensated absences.

Post-employment Benefits: Contributions to defined contribution retirement benefit schemes are recognised as expense when employees have rendered services entitling them to such benefits.

The Company's contribution towards Provident Fund is charged against revenue on actual basis. The Provisions for liability on account of other benefits including Gratuity & Leave encashment are made on accrual basis.

I) Borrowing Cost:

Borrowing cost that are attributable to the acquisition of qualifying assets are capitalised as part of the cost of such assets. A qualifying asset is one that necessarily takes substantial period of time to get ready for its intended use. All other borrowing costs are charged to the Statement of Profit & Loss in the period in which they are incurred.

k) Segment Reporting:

The Company operates in single business segment i.e. financial services and therefore segment information as per Accounting Standard 17 is not required to be disclosed.

I) Earnings Per Share (E.P.S.):

The Company reports Basic and Diluted Earnings per Share in accordance with Accounting Standard 20 issued by The Institute of Chartered Accountants of India.

The basic earnings per share are computed by dividing the net profit attributable to equity shareholders for the year by the weighted average number of Equity Shares outstanding during the reporting year. Diluted earning per share is computed using the weighted average number of equity share and dilute potential equity share outstanding during the period.

m) Provision for Taxation:

Current Tax: Provision for current year taxation is determined as the tax payable in respect of taxable income for the year and is computed in accordance with provisions of Income Tax Act, 1961. Advance taxes and provisions for current income taxes are presented in the balance sheet without off-setting advance tax paid and income tax provision. The same are netted off only after completion of the assessment of the relevant year. Short or excess provision of earlier years are charged/ transferred to Statement of Profit & Loss after completion of the assessment, if any.

Deferred Tax: The Company provides for deferred tax liability in accordance with Accounting Standard 22 - "Accounting for Taxes on Income" issued by The Institute of Chartered Accountants of India and Companies (Accounting Standard) Rules, 2006. In accordance with transition provision of AS-22, the Company has adjusted the opening deferred tax liability against opening revenue reserves.

Deferred tax resulting from timing difference between accounting income and taxable income is accounted for at the current tax rate/substantively enacted tax rate, as applicable, to the extent that the timing differences are expected to crystallize. The Company offsets deferred tax assets and deferred tax liabilities as it has a legally enforceable right and these relate to taxes on income levied by the same governing taxation law.

n) Provisions, Contingent Liabilities and Contingent Assets.

A provision is recognized in the accounts when there is a present obligation as a result of past event(s) and it is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions are determined based on best management estimate required to settle the obligation as on the date of balance sheet. These are reviewed at each balance sheet date and adjusted to reflect the current best management estimates.

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Mar 31, 2014

A) Basis of Accounting:

The financial statements have been prepared as a going concern basis under historical cost convention; on an accrual basis and in accordance with the Accounting Standards notified under Companies (Accounting Standards) Rules, 2006 and the relevant provisions of the Companies Act, 1956. Accounting policies, not stated explicitly otherwise, are consistent with generally accepted accounting principles.

b) Use of Estimates :

The preparation of the financial statements in conformity with the generally accepted accounting principles requires the management to make estimates and assumptions that affect the reported amount of assets, liabilities, revenues and expenses and disclosure of contingent assets and liabilities. The estimates and assumptions used in the accompanying financial statements are based on management''s evaluation of the relevant facts and circumstances as of the date of the financial statements. Actual results may differ from the estimates and assumptions used in preparing the accompanying financial statements. Any differences of actual results to such estimates are recognized in the period in which the results are known materialized.

c) Fixed Assets :

Tangible Assets are stated at cost net of recoverable taxes, trade discounts and rebates and include amounts added on revaluation, less accumulated depreciation and impairment loss, if any. The cost of tangible assets comprises its purchase price, borrowing cost and any cost directly attributable to bringing the asset to its working condition for its intended use, net charges on foreign exchange contracts and adjustments arising from exchange rate variations attributable to the assets.

Subsequent expenditures related to an item of tangible asset are added to its book value only if they increase the future benefits from the existing asset beyond its previously assessed standard of performance.

d) Depreciation:

Depreciation on all fixed assets is provided on Straight Line Method at the rates prescribed in Schedule XIV of the Companies Act, 1956.

Depreciation on additions to assets or on sale/disposal of assets is calculated on pro-rata from the date of such additions, or up to the date of sale/disposal, as the case may be.

e) Non Current Investments:

Non Current Investments are treated as strategic long-term investments and the same are stated at the cost without considering any increase or erosion in the value.

f) Inventories/Current Investments:

Inventories/Current Investments are consisting of stocks and securities and the same are accounted at cost and any decline in the carrying value other than temporary in nature is provided for.

g) Equity Index/Stock Futures/Currency Futures:

i. "Initial Margin- Equity Derivative Instrument", representing the initial margin paid for entering into contracts for Equity Index/Stock Futures/Currency Futures which are released on final settlement/squaring-up of underlying contracts, are disclosed under Loans and Advances.

ii. Equity index/Stock Futures/Currency Futures for arbitrage purposes are Marked-to-Market on a daily basis. Debit or credit balance disclosed under Loans and Advances or Current Liabilities, respectively, in the "Mark-to-Market Margin- Equity Index/Stock Futures/Currency Futures Account", represents the net amount paid or received on the basis of movement in the prices of Index/Stock Futures/Currency Futures till the Balance Sheet date.

iii. As on the Balance Sheet date, profit/loss on open positions in Equity index/Stock Futures/Currency Futures are accounted for as follows:

a) Credit balance in the "Mark-to Market Margin- Equity index/Stock Futures/Currency Futures Account, being the anticipated profit, is ignored and no credit for the same is taken in the statement of Profit and Loss Account.

b) Debit balance in the "Mark-to-Market Margin- Equity index/Stock Futures/Currency Futures", being anticipated loss, is adjusted in the statement of Profit and Loss Account.

iv. On final settlement or squaring-up of contracts for Equity index/Stock Futures/Currency Futures, the profit or loss is calculated as the difference between the settlement/squaring-up price and the contract price. Accordingly, debit or credit balance pertaining to the settled/squared-up contract in "Mark-to- Market Margin- Equity index/Stock Futures/Currency Futures Account" after adjustment of provision for anticipated losses is recognized in the statement of Profit and Loss Account.

v. When more than one contract in respect of the relevant series of Equity index/Stock Futures/Currency Futures contract to which the squared-up contact pertains is outstanding at the time of the squaring-up of the contract, the contract price of the contract so squared-up is determined using the weighted average cost method for calculating the profit/loss on squaring-up.

h) Revenue Recognition:

i. Revenue is recognized where there is reasonable certainty of its ultimate realization.

ii. Consultancy and Advisory fees are accounted on accrual basis depending on the progress of the assignment.

iii. Brokerage on stock market operations is recognized on completion of settlement period of respective segments & Stock Exchanges.

iv. Dividend income has been treated as stipulated in AS-13 issued by ICAI. The same has not been treated as exempted income for the purpose of calculating taxable income. v. The Annual Maintenance charges in respect of depository account holders are accounted at the time of opening the account or on completion of the year irrespective of the period they pertain to.

vi. Interest income is recognized on time proportionate basis taking into account the amount outstanding and the rate applicable.

vii. Income other than above is accounted on accrual basis.

viii. Service tax is accounted on the basis of services provided and in line with the point of taxation rules 2012 under service tax law.

i) Retirement Benefits:

The Company''s contribution towards Provident Fund is charged against revenue on actual basis. The Provisions for liability on account of other benefits including Gratuity & Leave encashment are made on accrual basis.

j) Segment Reporting:

The Company operates in single business segment i.e. financial services and therefore segment information as per Accounting Standard 17 is not required to be disclosed.

k) Earnings Per Share (E.P.S.):

The Company reports Basic and Diluted Earnings per Share in accordance with Accounting Standard 20 issued by The Institute of Chartered Accountants of India.

The basic earnings per share are computed by dividing the net profit attributable to equity shareholders for the year by the weighted average number of Equity Shares outstanding during the reporting year. Diluted earning per share is computed using the weighted average number of equity share and dilute potential equity share outstanding during the period.

l) Provision for Taxation:

- Current Tax

Provision for current year taxation is determined as the tax payable in respect of taxable income for the year and is computed in accordance with provisions of Income Tax Act, 1961.

- Deferred Tax

The Company provides for deferred tax liability in accordance with Accounting Standard 22 - "Accounting for Taxes on Income" issued by The Institute of Chartered Accountants of India and Companies (Accounting Standard) Rules, 2006. In accordance with transition provision of AS-22, the Company has adjusted the opening deferred tax liability against opening revenue reserves.

Deferred tax resulting from timing difference between book profit and tax profit is accounted for at the current tax rate/substantively enacted tax rate, as applicable, to the extent that the timing differences are expected to crystallize.

m) Impairment of Assets.

Impairment of Assets, if any, is recognized in accordance with AS-28.

n) Provisions, Contingent Liabilities and Contingent Assets.

A provision is recognized when an enterprise has a present obligation as a result of past event and it is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions are determined based on best management estimate required to settle the obligation as on the date of balance sheet. These are reviewed at each balance sheet date and adjusted to reflect the current best management estimates.

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Mar 31, 2013

A) Basis of Accounting:

The financial statements are prepared as a going concern under historical cost convention on an accrual basis and in accordance with the Companies Act, 1956. Accounting policies not stated explicitly otherwise are consistent with generally accepted accounting principles.

b) Use of Estimates :

The preparation of the financial statements in conformity with the generally accepted accounting principles requires the management to make estimates and assumptions that affect the reported amount of assets, liabilities, revenues and expenses and disclosure of contingent assets and liabilities. The estimates and assumptions used in the accompanying financial statements are based upon management''s evaluation of the relevant facts and circumstances as of the date of the financial statements. Actual results may differ from the estimates and assumptions used in preparing the accompanying financial statements. Any differences of actual results to such estimates are recognized in the period in which the results are known materialized.

c) Fixed Assets :

Fixed Assets are stated at cost less accumulated depreciation and impairment loss.

d) Depreciation:

Depreciation on all fixed assets is provided on Straight Line Method at the rates prescribed in Schedule XIV of the Companies Act, 1956.

Depreciation on additions to assets or on sale/disposal of assets is calculated on pro-rata from the date of such additions, or upto the date of sale/disposal, as the case may be.

e) Non Current Investments:

Non Current Investments are treated as strategic long-term investments and the same are stated at the cost, without considering any increase or erosion in the value.

f) Inventories/Current Investments:

Inventories/Current Investments are consisting of stocks and securities and the same are accounted at cost and any decline in the carrying value other than temporary in nature is provided for.

g) Equity Index/Stock Futures/Currency Futures:

i. "Initial Margin- Equity Derivative Instrument", representing the initial margin paid for entering into contracts for Equity Index/Stock Futures/Currency Futures which are released on final settlement/squaring-up of underlying contracts, are disclosed under Loans and Advances.

ii. Equity index/Stock Futures/Currency Futures for arbitrage purposes are Marked-to-Market on a daily basis. Debit or credit balance disclosed under Loans and Advances or Current Liabilities, respectively, in the "Mark-to-Market Margin- Equity Index/Stock Futures/Currency Futures Account", represents the net amount paid or received on the basis of movement in the prices of Index/Stock Futures/Currency Futures till the Balance Sheet date.

iii. As on the Balance Sheet date, profit/loss on open positions in Equity index/Stock Futures/Currency Futures are accounted for as follows:

- Credit balance in the "Mark-to Market Margin- Equity index/Stock Futures/Currency Futures Account, being the anticipated profit, is ignored and no credit for the same is taken in the statement of Profit and Loss Account.

- Debit balance in the "Mark-to-Market Margin- Equity index/Stock Futures/Currency Futures", being anticipated loss, is adjusted in the statement of Profit and Loss Account.

iv. On final settlement or squaring-up of contracts for Equity index/Stock Futures/Currency Futures, the profit or loss is calculated as the difference between the settlement/squaring-up price and the contract price. Accordingly, debit or credit balance pertaining to the settled/squared-up contract in "Mark-to-Market Margin- Equity index/Stock Futures/Currency Futures Account" after adjustment of provision for anticipated losses is recognized in the statement of Profit and Loss Account.

v. When more than one contract in respect of the relevant series of Equity index/Stock Futures/Currency Futures contract to which the squared-up contact pertains is outstanding at the time of the squaring-up of the contract, the contract price of the contract so squared-up is determined using the weighted average cost method for calculating the profit/loss on squaring-up.

h) Revenue Recognition:

i. Revenue is recognized where there is reasonable certainty of its ultimate realization.

ii. Consultancy and Advisory fees are accounted on accrual basis depending on the progress of the assignment.

iii. Brokerage on stock market operations is recognized on completion of settlement period of respective segments & Stock Exchanges.

iv. Dividend income has been treated as stipulated in AS-13 issued by ICAI. The same has not been treated as exempted income for the purpose of calculating taxable income.

v. The Annual Maintenance charges in respect of depository account holders are accounted at the time of opening the account or on completion of the year irrespective of the period they pertain to.

vi. Interest income is recognized on time proportionate basis taking into account the amount outstanding and the rate applicable.

vii. Income other than above is accounted on accrual basis.

i) Retirement Benefits:

The Company''s contribution towards Provident Fund is charged against revenue on actual basis. The Provisions for liability on account of other benefits including Gratuity & Leave encashment are made on accrual basis.

j) Segment Reporting:

The Company operates in single business segment i.e. financial services and therefore segment information as per Accounting Standard 17 is not required to be disclosed.

k) Earnings Per Share (E.P.S):

The Company reports Basic and Diluted Earnings per Share in accordance with Accounting Standard 20 issued by The Institute of Chartered Accountants of India.

The basic earning per share is computed by dividing the net profit attributable to equity shareholders for the year by the weighted average number of Equity Shares outstanding during the reporting year. Diluted earning per share is computed using the weighted average number of equity share and dilute potential equity share outstanding during the period.

l) Provision for Taxation:

- Current Tax

Provision for current year taxation is determined as the tax payable in respect of taxable income for the year and is computed in accordance with provisions of Income Tax Act, 1961.

- Deferred Tax

The Company provides for deferred tax liability in accordance with Accounting Standard 22 - "Accounting for Taxes on Income" issued by The Institute of Chartered Accountants of India and Companies (Accounting Standard) Rules, 2006. In accordance with transition provision of AS-22, the Company has adjusted the opening deferred tax liability against opening revenue reserves.

Deferred tax resulting from timing difference between book profit and tax profit is accounted for at the current tax rate/substantively enacted tax rate, as applicable, to the extent that the timing differences are expected to crystallize.

m) Impairment of Assets.

Impairment of Assets, if any, is recognized in accordance with AS-28. n) Provisions, Contingent Liabilities and Contingent Assets.

A provision is recognized when an enterprise has a present obligation as a result of past event and it is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions are determined based on best management estimate required to settle the obligation as on the date of balance sheet. These are reviewed at each balance sheet date and adjusted to reflect the current best management estimates.

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Mar 31, 2012

A) Basis of Accounting:

The financial statements are prepared as a going concern under historical cost convention on an accrual basis and in accordance with the Companies Act, 1956. Accounting policies not stated explicitly otherwise are consistent with generally accepted accounting principles.

b) Use of Estimates :

The presentation of financial statements in conformity with generally accepted accounting principles requires estimates and assumption to be made that affect the reported amount of assets and liabilities on the date of financial statement and the reported amount of revenue and expenses during the year. Difference between actual results and estimates are recognized in the year in which the results are known / materialized.

c) Fixed Assets :

Fixed Assets are stated at cost less accumulated depreciation and impairment loss.

d) Depreciation:

Depreciation on all fixed assets is provided on Straight Line Method at the rates prescribed in Schedule XIV of the Companies Act, 1956.

Depreciation on additions to assets or on sale/disposal of assets is calculated on pro-rata from the date of such additions, or upto the date of sale/disposal, as the case may be.

e) Non Current Investments:

Non Current Investments are treated as strategic long-term investments and the same are stated at the cost, without considering any increase or erosion in the value.

f) Inventories/Current Investments:

Inventories/Current Investments are consisting of stocks and securities and the same are accounted at cost and any decline in the carrying value other than temporary in nature is provided for.

g) Equity Index/Stock Futures/Currency Futures:

i. "Initial Margin- Equity Derivative Instrument", representing the initial margin paid for entering into contracts for Equity Index/Stock Futures/Currency Futures which are released on final settlement/squaring-up of underlying contracts, are disclosed under Loans ad Advances.

ii. Equity index/Stock Futures/Currency Futures for arbitrage purposes are Marked-to-Market on a daily basis. Debit or credit balance disclosed under Loans and Advances or Current Liabilities, respectively, in the "Mark-to-Market Margin- Equity Index/Stock Futures/Currency Futures Account", represents the net amount paid or received on the basis of movement in the prices of Index/Stock Futures/Currency Futures till the Balance Sheet date.

iii. As on the Balance Sheet date, profit/loss on open positions in Equity index/Stock Futures/Currency Futures are accounted for as follows:

- Credit balance in the "Mark-to Market Margin- Equity index/Stock Futures/Currency Futures Account, being the anticipated profit, is ignored and no credit for the same is taken in the statement of Profit and Loss Account.

- Debit balance in the "Mark-to-Market Margin- Equity index/Stock Futures/Currency Futures", being anticipated loss, is adjusted in the statement of Profit and Loss Account.

iv. On final settlement or squaring-up of contracts for Equity index/Stock Futures/Currency Futures, the profit or loss is calculated as the difference between the settlement/squaring-up price and the contract price. Accordingly, debit or credit balance pertaining to the settled/squared-up contract in "Mark-to-Market Margin- Equity index/Stock Futures/Currency Futures Account" after adjustment of provision for anticipated losses is recognized in the statement of Profit and Loss Account.

v. When more than one contract in respect of the relevant series of Equity index/Stock Futures/Currency Futures contract to which the squared-up contact pertains is outstanding at the time of the squaring-up of the contract, the contract price of the contract so squared-up is determined using the weighted average cost method for calculating the profit/loss on squaring-up.

h) Revenue Recognition:

i. Revenue is recognized where there is reasonable certainty of its ultimate realization.

ii. Consultancy and Advisory fees are accounted on accrual basis depended on the progress of assignment.

iii. Brokerage on stock market operations is recognized on completion of settlement period of respective segments & Stock Exchanges.

iv. Dividend income has been accounted on receipt basis.

v. The Annual Maintenance charges in respect of depository account holders are accounted at the time of opening the account or on completion of the year irrespective of the period they pertain to.

vi. Interest income is recognized on time proportionate basis taking into account the amount outstanding and the rate applicable.

vii. Income other than above is accounted on accrual basis.

i) Retirement Benefits:

The Company's contribution towards Provident Fund is charged against revenue on actual basis. The Provisions for liability on account of other benefits including Gratuity & Leave encashment are made on accrual basis.

j) Segment Reporting;

The Company operates in single business segment i.e. financial services and therefore segment information as per Accounting Standard 17 is not required to be disclosed.

k) Earnings Per Share (E.P.S):

The Company reports Basic and Diluted Earnings per Share in accordance with Accounting Standard 20 issued by The Institute of Chartered Accountants of India.

The basic earning per share is computed by dividing the net profit attributable to equity shareholders for the year by the weighted average number of Equity Shares outstanding during the reporting year. Diluted earning per share is computed using the weighted average number of equity share and dilute potential equity share outstanding during the period.

l) Provision for Taxation:

- Current Tax

Provision for current year taxation is determined as the tax payable in respect of taxable income for the year and is computed in accordance with provisions of Income Tax Act, 1961.

- Deferred Tax

The Company provides for deferred tax liability in accordance with Accounting Standard 22 - "Accounting for Taxes on Income" issued by The Institute of Chartered Accountants of India. In accordance with transition provision of AS-22, the Company has adjusted the opening deferred tax liability against opening revenue reserves.

Deferred tax resulting from timing difference between book profit and tax profit is accounted for at the current tax rate/substantively enacted tax rate, as applicable, to the extent that the timing differences are expected to crystallize.

- Security Transaction Tax (STT)

The STT on Proprietary trades are treated as expenses for determining the Profit /Loss from such activity. m) Impairment of Assets.

Impairment of Assets, if any, is recognized in accordance with AS-28.

n) Provisions, Contingent Liabilities and Contingent Assets.

A provision is recognized when an enterprise has a present obligation as a result of past event and it is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions are determined based on best management estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to reflect the current best management estimates.

---

Mar 31, 2011

A) Basis of Accounting:

The financial statements are prepared as a going concern under historical cost convention on an accrual basis and in accordance with the Companies Act, 1956. Accounting policies not stated explicitly otherwise are consistent with generally accepted accounting principles.

b) Use of Estimates:

The presentation of financial statements in conformity with generally accepted accounting principles requires estimates and assumption to be made that affect the reported amount of assets and liabilities on the date of financial statement and the reported amount of revenue and expenses during the year. Difference between actual results and estimates are recognized in the year in which the results are known / materialized.

c) Fixed Assets:

Fixed Assets are stated at cost less accumulated depreciation and impairment loss except Stock Exchange Card which has been stated at acquisition cost.

d) Depreciation:

No depreciation is provided on the acquisition of Stock Exchange Card. Depreciation on all other assets is provided on Straight Line Method at the rates prescribed in Schedule XIV of the Companies Act1956. Depreciation on additions to assets or on sale/ disposal of assets is calculated pro-rata from the date of such additions, or up to the date of sale/ disposal, as the case may be.

e) Investments:

Investments are treated as strategic long-term investments and the same are stated at the cost, without considering any increase or erosion in the value.

f) Inventories:

Inventories consisting of stocks and securities are stated at cost without considering any increase or erosion in value there of, as per the practice followed by the Company right since the beginning.

g) Revenue Recognition:

i. Revenue is recognized where there is reasonable certainty of its ultimate realization.

ii. Consultancy and Advisory fees are accounted on accrual basis depended on the progress of assignment.

iii. Brokerage on stock market operations is recognized on completion of settlement period.

iv. Dividend income has been accounted on receipt basis.

v. The Annual Maintenance charges in respect of depository account holders are accounted at the time of opening the account or on completion of the year irrespective of the period they pertain to.

vi. Interest income is recognized on time proportionate basis taking into account the amount outstanding and the rate applicable.

vii. Income other than above is accounted on accrual basis.

h) Retirement Benefits:

The Company's contribution towards Provident Fund is charged against revenue on actual basis. The Provisions for liability on account of other benefits including Gratuity & Leave encashment are made on accrual basis.

i) Segment Reporting:

The Company operates in single business segment i.e. financial services.

j) Earnings Per Share (E.P.S):

The Company reports Basic and Diluted Earnings per Share in accordance with Accounting Standard 20 issued by The Institute of Chartered Accountants of india.

The basic Earnings Per Share is computed by dividing the net profit attributable to equity shareholders for the year by the weighted average number of Equity Shares outstanding during the reporting year. Diluted Earnings Per Share is computed using the weighted average number of Equity Shares and dilute potential Equity Shares outstanding during the period.

k) Provision for Taxation:

- Current Tax

Provision for current year taxation is determined as the tax payable in respect of taxable income for the year and is computed in accordance with provision of relevant statute.

- DeferredTax

The Company provides for deferred tax liability in accordance with Accounting Standard 22-"Accounting for Taxes on Income" issued by The Institute of Chartered Accountants of India. In accordance with transition provision of AS- 22,theCompanyhasadjustedtheopeningdeferred tax liability against opening revenue reserves.

Deferred tax resulting from timing difference between book profit and tax profit is accounted for at the current tax rate/substantively enacted tax rate, as applicable, to the extent that the timing differences are expected to crystallize.

- Security Transaction Tax(STT)

The STT on Proprietary trades are treated as expenses for determining the Profit/Loss from such activity.

---

Mar 31, 2010

A) Basis of Accounting:

The financial statements are prepared as a going concern under historical cost convention on an accrual basis and in accordance with the companies Act, 1956. Accounting policies not stated explicitly otherwise are consistent with generally accepted accounting principals.

b) Use of Estimates:

The presentation of financial statements in conformity with generally accepted accounting principles requires estimates and assumption to be made that affect the reported amount of assets and liabilities on the date of financial statement and the reported amount of revenue and expenses during the year. Difference between actual results and estimates are recognized in the year in which the results are known / materialized.

c) Fixed Assets:

Fixed Assets are stated at cost less accumulated depreciation and impairment loss except one-time Membership fees and Stock Exchange Card. Registration fees and Stock Exchange Card have been stated at their cost of acquisition.

d) Depreciation:

No depreciation is provided on Membership fees and Stock Exchange Card. Depreciation on all other assets is provided on Straight Line Method at the rates prescribed in Schedule XIV of the Companies Act, 1956.

Depreciation on additions to assets or on sale/disposal of assets is calculated pro-rata from the date of such additions, or upto the date of sale/disposal, as the case may be.

e) Investments:

Investments are treated as strategic long-term investments and the same are stated at the cost, without considering any increase or erosion in the value.

f) Inventories:

Inventories consisting of stocks and securities are stated at cost without considering any increase or erosion in value thereof, as per the practice followed by the Company right since the beginning.

g) Revenue Recognition:

i. Revenue is recognized where there is reasonable certainty of its ultimate realization.

ii. Consultancy and Advisory fees are accounted on accrual basis depended on the progress of assignment.

iii. Brokerage on stock market operations is recognized on completion of settlement period.

iv. Dividend income has been accounted on receipt basis.

v. The Annual Maintenance charges in respect of depository account holders are accounted at the time of opening the account or on completion of the year irrespective of the period they pertain to.

vi. Income other than above is accounted on accrual basis.

h) Retirement Benefits:

The Companys contribution towards Provident Fund is charged against revenue on actual basis. The Provisions for liability on account of other benefits including Gratuity & Leave encashment are made on accrual basis.

i) Segment Reporting:

The Company operates in single business segment i.e. financial services.

j) Earning Per Share (E.P.S):

The Company reports Basic and Diluted Earning Per Share in accordance with Accounting Standard 20 issued by The Institute of Chartered Accountants of India.

The basic earning per share is computed by dividing the net profit attributable to equity shareholders for the year by the weighted average number of Equity Shares outstanding during the reporting year. Diluted Earning Per Share is computed using the weighted average number of equity share and dilute potential equity share outstanding during the period.

k) Provision for Taxation:

- Current Tax

Provision for current year taxation is determined as the tax payable in respect of taxable income for the year and is computed in accordance with provision of relevant statute.

- Deferred Tax

The Company provides for deferred tax liability in accordance with Accounting Standard 22 – “Accounting for Taxes on Income” issued by The Institute of Chartered Accountants of India. In accordance with transition provision of AS-22, the Company has adjusted the opening deferred tax liability against opening revenue reserves.

Deferred tax resulting from timing difference between book profit and tax profit is accounted for at the current tax rate/substantively enacted tax rate, as applicable, to the extent that the timing differences are expected to crystallize.

- Security Transaction Tax (STT)

The STT on Proprietary trades are treated as expenses for determining the Profit / Loss from such activity.