Notes to Accounts of BAG Films & Media Ltd.

Mar 31, 2025

(h) Provisions and Contingent Liabilities:

The Company estimates the provisions that have present
obligations as a result of past events and it is probable
that outflow of resources will be required to settle the
obligations. These provisions are reviewed at the end
of each reporting period and are adjusted to reflect the
current best estimates. The Company uses significant
judgements to assess contingent liabilities. Contingent
liabilities are recognised when there is a possible
obligation arising from past events, the existence of
which will be confirmed only by the occurrence or non¬
occurrence of one or more uncertain future events not
wholly within the control of the Company or a present
obligation that arises from past events where it is either
not probable that an outflow of resources will be required
to settle the obligation or a reliable estimate of the
amount cannot be made. Contingent assets are neither
recognised nor disclosed in the standalone financial
statements.

(i) Expenditure:

Expenses are accounted on accrual basis.

(j) Employee benefits

Employee benefits include contribution to provident
fund, superannuation fund, gratuity fund, compensated
absences, pension and employee state insurance scheme.

Short Term Employee Benefits

Short term employee benefits including salaries and
performance incentives, are charged to standalone
statement of profit and loss on an undiscounted, accrual
basis during the period of employment.

Defined Benefit Plans

Gratuity and Pension are defined benefit plans, the cost of
providing benefits is determined using the Projected Unit
Credit Method, with actuarial valuations, being carried
out at the date of each statement of financial position.
The retirement benefit obligations recognised in the
statement of financial position represents the present
value of the defined obligations reduced by the fair value
of scheme assets. Any, asset resulting from this calculation
is limited to the present value of available refunds and
reductions in future contributions to the scheme. Under
a defined benefit plan, it is the Company''s obligation to
provide agreed benefits to the employees. The related
actuarial and investment risks fall on the Company.

Defined Contribution Plans

Contributions to defined contribution plans like
provident fund and superannuation, funds are recognised
as expense when employees have rendered services
entitling them to such benefits.

Compensated absences

Compensated absences which are expected to occur
within twelve months after the end of the period in
which the employee renders the related services are
stated as undiscounted liability at the balance sheet date.
Compensated absences which are not expected to occur
within twelve months after the end of the period in which
the employee renders the related services are stated as an
actuarially determined liability at the present value of the
defined benefit obligation at the balance sheet date.

(k) Income Taxes:

Income tax expense for the year comprises of current
tax and deferred tax. It is recognised in the Statement of
Profit and Loss except to the extent it relates to a business
combination or to an item which is recognised directly in
equity or in other comprehensive income.

Current tax is the expected tax payable/ receivable on
the taxable income/ loss for the year using applicable
tax rates for the relevant period, and any adjustment
to taxes in respect of previous years. Interest expenses
and penalties, if any, related to income tax are included
in finance cost and other expenses respectively. Interest
Income, if any, related to Income tax is included in Other
Income.

Deferred tax is recognised in respect of temporary
differences between the carrying amount of assets
and liabilities for financial reporting purposes and the
corresponding amounts used for taxation purposes.

A deferred tax liability is recognised based on the
expected manner of realisation or settlement of the

the shareholders. A corresponding amount is recognised
directly in equity.

(p) Segment Reporting

Operating segments are reported in a manner consistent
with the internal reporting provided to the chief operating
decision maker. The Board of directors monitors the
operating results of all product segments separately
for the purpose of making decisions about resource
allocation and performance assessment. Segment
performance is evaluated based on profit and loss and is
measured consistently with profit and loss in the financial
statements.

The operating segments have been identified on the
basis of the nature of products/services. Further:

1. Segment revenue includes sales and other income
directly identifiable with / allocable to the segment
including inter - segment revenue.

2. Expenses that are directly identifiable with / allocable
to segments are considered for determining the
segment result. Expenses which relate to the
Company as a whole and not allocable to segments
are included under unallocable expenditure.

3. Income which relates to the Company as a whole and
not allocable to segments is included in unallocable
income.

4. Segment results includes margins on intersegment
sales which are reduced in arriving at the profit
before tax of the Company.

5. Segment assets and liabilities include those
directly identifiable with the respective segments.
Unallocable assets and liabilities represent the assets
and liabilities that relate to the Company as a whole
and not allocable to any segment.

6. Segment revenue resulting from transactions with
other business segments is accounted on the basis
of transfer price agreed between the segments.
Such transfer prices are either determined to yield a
desired margin or agreed on a negotiated business.

(q) Fair Value Measurement

The Company measures financial instruments at fair value
at each balance sheet date.

Fair value is the price that would be received to sell an asset
or paid to transfer a liability in an ordinary transaction
between market participants at the measurement date.
The fair value measurement is based on the presumption
that the transaction to sell the asset or transfer the liability
takes place either:

(i) In the principal market for asset or liability, or

(ii) In the absence of a principal market, in the most

advantageous market for the asset or liability.

The principal or the most advantageous market must be
accessible by the Company.

The fair value of an asset or liability is measured using
the assumptions that market participants would use
when pricing the asset or liability, assuming that market
participants act in their economic best interest.

A fair value measurement of a non- financial asset takes
into account a market participant''s ability to generate
economic benefits by using the asset in its highest and
best use or by selling it to another market participant that
would use the asset in its highest and best use.

The Company uses valuation techniques that are
appropriate in the circumstances and for which sufficient
data are available to measure fair value, maximising the
use of relevant observable inputs and minimizing the use
of unobservable inputs.

All assets and liabilities for which fair value is measured
or disclosed in the financial statements are categorized
within the fair value hierarchy, described as follows, based
on the lowest level input that is significant to the fair value
measurement as a whole:

Level 1- Quoted(unadjusted) market prices in active
markets for identical assets or liabilities

Level 2- Valuation techniques for which the lowest

level input that is significant to the fa ir
value measurement is directly or indirectly
observable

Level 3- Valuation techniques for which the lowest

level input that is significant to the fair value
measurement is unobservable

For assets and liabilities that are recognized in the
financial statements on a recurring basis, the Company
determines whether transfers have occurred between
levels in the hierarchy by re-assessing categorization
( based on the lowest level input that is significant to
fair value measurement as a whole ) at the end of each
reporting period.

For the purpose of fair value disclosures, the Company
has determined classes of assets and liabilities on the
basis of the nature, characteristics and risks of the asset
or liability and the level of the fair value hierarchy as
explained above.

(iv) Aggregate value of Issued, Subscribed and Paid-up Share Capital as on the Balance Sheet date for the period of
preceding five years includes:

During the current year and preceding five years, no shares were issued by the Company.

(v) Terms and rights attached to equity shares

The Company has one class of equity shares having a par value of Rs 2 per share. Each shareholder is eligible for
one vote per share held. The dividend proposed , if any, by the Board of Directors is subject to the approval of the
shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation,
the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential
amounts, in proportion to their shareholding.

(vi) The Company''s objective for capital management is to maximise shareholder value, safeguard business continuity and
support the growth of the Company. The Company determines the capital requirement based on annual operating
plans and long-term and other strategic investment plans. The funding requirements are met through equity and
operating cash flows generated. The Company is not subject to any externally imposed capital requirements.

(vii) As per the records of the Company, including its register of shareholders / members and other declaration received from
shareholders regarding beneficial interest, the above shareholding represents both legal and beneficial ownership of
shares.

(viii) The Company has not alloted any bonus share or brought back any share during the current year or a period of 5 years
immediately preciding the balance sheet date.

a) General Reserve : General reserve is created out of transfer from retained earnings and is a free reserve.General
reserve represents the statutory reserve, this is in accordance with Indian Corporate law wherein a portion of profit is
apportioned to general reserve. Under Companies Act, 1956 it was mandatory to transfer amount before a company can
declare dividend, however under Companies Act, 2013 transfer of any amount to General reserve is at the discretion of
the Company.

b) Securities Premium Account : Securities premium is used to record the premium on issue of shares. The reserve can be
utilised only for limited purposes such as issuance of bonus shares in accordance with the provisions of the Companies
Act, 2013.

c) Retained earning : Retained Earnings are profits that the Company has earned till date less transfer to General Reserve,
dividend or other distribution or transaction with shareholders.

26. EMPLOYEE BENEFITS

Disclosures pursuant to Ind AS - 19 "Employee Benefits" (notified under the section 133 of the Companies Act 2013 (the Act)
read with Companies (Indian Accounting Standards) Rule 2015 (as amended from time to time) and other relevant provision
of the Act) are given below:

Defined Contribution Plans

The Company has certain defined contribution plans. Contributions are made to provident fund, and employee''s state
insurance scheme for employees as per regulations. The contributions are made to registered funds administered by the
government. The obligation of the Company is limited to the amount contributed and it has no further contractual or any
constructive obligation.

Defined Benefit Plans:

For defined benefit plans, the cost of providing benefits is determined using the Projected Unit Credit Method, with actuarial
valuations being carried out at each balance sheet date. Remeasurement, comprising actuarial gains and losses, is reflected
immediately in the balance sheet with a charge or credit recognised in other comprehensive income in the period in which
they occur. Past service cost, both vested and unvested, is recognised as an expense at the earlier of (a) when the plan
amendment or curtailment occurs; and (b) when the entity recognises related restructuring costs or termination benefits.

The retirement benefit obligations recognised in the balance sheet represents the present value of the defined benefit
obligations. Any asset resulting from this calculation is limited to the present value of available refunds and reductions in
future contributions to the scheme.

The Company provides benefits such as gratuity, pension and provident fund (Company managed fund) to its employees
which are treated as defined benefit plans.

The gratuity plan provides for a lump sum payment to vested employees at retirement, death while in employment or on
termination of employment of an amount equivalent to 15 days basic salary payable for each completed year of service.
Vesting occurs upon completion of five continuous years of service. The gratuity fund is managed by third party fund.

Short-term employee benefits

All employee benefits payable wholly within twelve months of rendering the service are classified as short-term employee
benefits. Benefits such as salaries, wages etc. and the expected cost of ex-gratia are recognised in the period in which the
employee renders the related service. A liability is recognised for the amount expected to be paid when there is a present
legal or constructive obligation to pay this amount as a result of past service provided by the employee and the obligation
can be estimated reliably.

Compensated absences

Compensated absences which are expected to occur within twelve months after the end of the period in which the employee
renders the related services are recognised as undiscounted liability at the balance sheet date. Compensated absences which
are not expected to occur within twelve months after the end of the period in which the employee renders the related
services are recognised as an actuarially determined liability at the present value of the defined benefit obligations at the
balance sheet date using the Projected Unit Credit Method.

The following table sets out the funded status of the defined benefit schemes and the amount recognised in the financial
statements:

The sensitivity analysis above have been determined based on a method that extrapolates the impact on defined benefit
obligation as a result of reasonable changes in an assumptions occurring at the end of the reporting period while holding all
other assumption constraint. In practice it is unlikely to occur and change in some of the assumption may be correlated. When
calculating the sensitivity of the defined benefit obligation to significant actuarial assumptions the same method (present
value of the defined benefit obligation calculated with the projected unit credit method at the end of the reporting period) has
been applied as when calculating the defined benefit liability recognised in the balance sheet. Sensitivities due to mortality &
withdrawals are not material & hence impact of change due to these not calculated.

The methods and types of assumptions used in preparing the sensitivity analysis did not change compared to the prior period.
Sensitivities as rate of increase of pensions in payment, rate of increase of pensions before retirement & life expectancy are not
applicable.

Notes:

a) The current service cost recognised as an expense is included in Note 21 ''Employee benefits expense'' as gratuity. The
remeasurement of the net defined benefit liability is included in other comprehensive income.

b) The estimates of rate of escalation in salary considered in actuarial valuation, take into account inflation, seniority,
promotion and other relevant factors including supply and demand in the employment market. The above information is
certified by the Actuary.

Significant actuarial assumptions for the determination of the defined obligation are discount rate, expected salary
increase and mortality. The sensitivity analysis above have been determined based on reasonably possible changes of the
respective assumptions occurring at the end of the reporting period, while holding all other assumptions constant.

c) The obligation for leave benefits (non funded) is also recognised using the Projected Unit Credit Method and accordingly
the long term paid absences have been valued. The leave encashment expense is included in Note 21 ''Employee benefits
expense''.

27. RELATED PARTY TRANSACTIONS

The related parties as per the terms of Ind AS-24,"Related Party Disclosures", ( under the section 133 of the Companies Act 2013 (the
Act) read with Companies (Indian Accounting Standards) Rules 2015 (as amended from time to time), as disclosed below:-

Note:-

1. The All Related Party Transactions entered during the year were in ordinary course of the business and on arm''s length basis.

2. No guarantees were provided or received for any related party receivables or payables except for the one given for security. For the
year ended March 31, 2025, the Company has not recorded any impairment of receivables relating to amounts owed by related
parties. This assessment is undertaken each financial year through examining the financial position of the related party and the
market in which the related party operates.

3. The remuneration of directors and key executives is determined by the remuneration committee having regard to the performance
of individuals and market trends.

The above figures do not include provisions for encashable leave, gratuity and premium paid for group health insurance, as separate
actuarial valuation / premium paid are not available

28. SEGMENT REPORTING

The Managing Director of the Company has been identified as the Chief Operating Decision Maker (CODM) as defined by Ind
AS 108 - operating segments. The CODM evaluates the Company''s performance and allocates resources based on an analysis of
various performance indicators by industry classes. The Company has identified business segments as its primary segment. Business
segments are primarily Audio -Visual Production and Leasing. Each segment item reported is measured at the measure used to
report to CODM for the purposes of making decisions about allocating resources to the segment and assessing its performance.
Revenues and expenses directly attributable to segments are reported under each reportable segment. All other expenses which
are not attributable or allocable to segments have been disclosed as unallocable expenses. Assets and liabilities that are directly
attributable or allocable to segments are disclosed under each reportable segment. All other assets and liabilities are disclosed as
unallocable. Property, plant & equipment that are used interchangeably amongst segments are not allocated to primary segment.

Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities

Level 2 - Inputs are other than quoted prices included within Level 1 that are observable for the asset or liability, either
directly (i.e. as prices) or indirectly (i.e. derived from prices).

Level 3 - Inputs are not based on observable market data (unobservable inputs). Fair values are determined in whole or in
part using a valuation model based on assumptions that are neither supported by prices from observable current
market transactions in the same instrument nor are they based on available market data.

The investments included in Level 2 of fair value hierarchy have been valued using quotes available for similar assets and
liabilities in the active market. The investments included in Level 3 of fair value hierarchy have been valued using the cost
approach to arrive at their fair value. The cost of unquoted investments approximate the fair value because there is a range of
possible fair value measurements and the cost represents estimate of fair value within that range.

The following table provides the fair value measurement hierarchy of the Company''s assets and liabilities.

Quantative disclosures of fair value measurement hierarchy for assets and liabilities as at 31 March 2025.

The carrying value of current trade receivables, cash and cash equivalents, current loans, trade payables and other financial
assets and liabilities are considered to be the same as their fair values due to their short term nature.

d) Financial Risk Management Objectives and Policies

The Company is exposed primarily to fluctuations in credit, liquidity, interest rate risk and market risks, which may adversely
impact the fair value of its financial instruments. The Company has a risk management policy which covers risks associated with
the financial assets and financial liabilities. The risk management policy is approved by the Board of Directors. The focus of risk
management committee is to assess the unpredictability of the financial environment and to mitigate potential adverse effects
on the financial performance of the Company.

Credit risk management

Credit risk is the risk of financial loss arising from counterparty failure to repay or service debt according to the contractual
terms or obligations. Credit risk encompasses of both, the direct risk of default and the risk of deterioration of creditworthiness
as well as concentration of risks. Credit risk is controlled by analysing credit limits and creditworthiness of customers on a
continuous basis to whom the credit has been granted after obtaining necessary approvals for credit. Refer note 4 for methods,
assumptions and information used to measure expected credit losses.

Financial instruments that are subject to credit risk consist of trade receivables, loans, investments, cash and cash equivalents,
bank deposits and other financial assets.

Liquidity Risk Management

Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The objective of liquidity risk
management is to maintain sufficient liquidity and ensure that funds are available for use as per requirements. The
Company consistently generated sufficient cash flows from operations to meet its financial obligations including lease
liabilities as and when they fall due.

The tables below analyse the company''s financial liabilities into relevant maturity grouping based on their contractual
maturities.

iv. Market Risk

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes
in market prices. Such changes in the values of financial instruments may result from changes in the foreign currency
exchange rates, interest rates, credit, liquidity and other market changes. The Company''s exposure to market risk is
primarily on account of foreign currency exchange rate risk.

> Foreign Currency Risk Exposure:

The fluctuation in foreign currency exchange rates may have potential impact on the statement of profit and loss and
other comprehensive income and equity, where any transaction references more than one currency or where assets /
liabilities are denominated in a currency other than the functional currency of the Company. Considering the countries
and economic environment in which the Company operates, its operations are subject to risks arising from fluctuations in
exchange rates in those countries.

The Company does not have any exposure to foreign currency risk as at March 31,2025 (Previous year Nil).

> Interest Rate Risk

The Company''s investments are primarily in fixed rate interest bearing fixed deposits with banks. Hence the Company is
not significantly exposed to interest rate risk.

> Other Price Risk

The Company is exposed to equity price risks arising from equity investments. The Company''s equity investments are held
for strategic rather than trading purposes.

> Equity Price Sensitivity Analysis

The sensitivity analysis below has been determined based on the exposure to equity price risks at the end of the reporting
period.

31. The Indian Parliament has approved the Code on Social Security, 2020 which would impact the contributions by the company
towards Provident Fund and Gratuity. The Ministry of Labour and Employment had released draft rules for the Code on Social
Security, 2020 on November 13, 2020. The Company will assess the impact and its evaluation once the subject rules are notified.
The Company will give appropriate impact in its financial statements in the period in which, the Code becomes effective and
the related rules to determine the financial impact are published.

33. Previous year''s figures have been regrouped/reclassified to be comparable with currents year''s classification/disclosures.

34. Note No. 1 to 33 form an integral part of these financial statements.

For Joy Mukherjee & Associates For and on the behalf of Board of Directors

Chartered Accountants

ICAI Firm Registration No. 006792C

CA J. Mukherjee Anuradha Prasad Shukla Sudhir Shukla

Partner Chairperson and Managing Director Director

Membership Number 074602 DIN: 00010716 DIN : 01567595

Place : Noida Ajay Jain Ajay Mishra

Date : May 28, 2025 Chief Financial Officer Company Secretary

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Mar 31, 2024

(h) Provisions and Contingent Liabilities:

The Company estimates the provisions that have present obligations as a result of past events and it is probable that outflow of resources will be required to settle the obligations. These provisions are reviewed at the end of each reporting period and are adjusted to reflect the current best estimates. The Company uses significant judgements to assess contingent liabilities. Contingent liabilities are recognised when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or nonoccurrence of one or more uncertain future events not wholly within the control of the Company or a present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount cannot be made. Contingent assets are neither recognised nor disclosed in the standalone financial statements.

(i) Expenditure:

Expenses are accounted on accrual basis.

(j) Employee benefits

Employee benefits include contribution to provident fund, superannuation fund, gratuity fund, compensated absences, pension and employee state insurance scheme.

Short Term Employee Benefits

Short term employee benefits including salaries and performance incentives, are charged to standalone statement of profit and loss on an undiscounted, accrual basis during the period of employment.

Defined Benefit Plans

Gratuity and Pension are defined benefit plans, the cost of providing benefits is determined using the Projected Unit Credit Method, with actuarial valuations, being carried out at the date of each statement of financial position. The retirement benefit obligations recognised in the

statement of financial position represents the present value of the defined obligations reduced by the fair value of scheme assets. Any, asset resulting from this calculation is limited to the present value of available refunds and reductions in future contributions to the scheme. Under a defined benefit plan, it is the Company''s obligation to provide agreed benefits to the employees. The related actuarial and investment risks fall on the Company.

Defined Contribution Plans

Contributions to defined contribution plans like provident fund and superannuation, funds are recognised as expense when employees have rendered services entitling them to such benefits.

Compensated absences

Compensated absences which are expected to occur within twelve months after the end of the period in which the employee renders the related services are stated as undiscounted liability at the balance sheet date. Compensated absences which are not expected to occur within twelve months after the end of the period in which the employee renders the related services are stated as an actuarially determined liability at the present value of the defined benefit obligation at the balance sheet date.

(k) Income Taxes:

Income tax expense for the year comprises of current tax and deferred tax. It is recognised in the Statement of Profit and Loss except to the extent it relates to a business combination or to an item which is recognised directly in equity or in other comprehensive income.

Current tax is the expected tax payable/ receivable on the taxable income/ loss for the year using applicable tax rates for the relevant period, and any adjustment to taxes in respect of previous years. Interest expenses and penalties, if any, related to income tax are included in finance cost and other expenses respectively. Interest Income, if any, related to Income tax is included in Other Income.

Deferred tax is recognised in respect of temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the corresponding amounts used for taxation purposes.

A deferred tax liability is recognised based on the expected manner of realisation or settlement of the carrying amount of assets and liabilities, using tax rates enacted, or substantively enacted, by the end of the reporting period. Deferred tax assets are recognised only to the extent that it is probable that future taxable profits

will be available against which the asset can be utilised. Deferred tax assets are reviewed at each reporting date and reduced to the extent that it is no longer probable that the related tax benefit will be realised.

Current tax assets and current tax liabilities are offset when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle the asset and the liability on a net basis. Deferred tax assets and deferred tax liabilities are offset when there is a legally enforceable right to set off current tax assets against current tax liabilities; and the deferred tax assets and the deferred tax liabilities relate to income taxes levied by the same taxation authority.

Uncertain Tax Position

Management periodically evaluates positions taken in the tax returns with respect to situations in which applicable tax regulations are subject to interpretation and establishes provisions where appropriate. The provision is estimated based on one of two methods, the expected value method (the sum of the probability weighted amounts in a range of possible outcomes) or the single most likely amount method, depending on which is expected to better predict the resolution of the uncertainty.

(l) Foreign Currencies:

1. Functional and presentation currency

Items included in the financial statements are measured using the currency of the primary economic environment in which the entity operates (''the functional currency''). The Company''s financial statements are presented in Indian rupee (INR) which is also the Company''s functional and presentation currency.

2. Transactions and Balances

Foreign currency transactions are translated into the functional currency using the exchange rate prevailing at the date of the transaction. Foreign exchange gains and losses resulting from the settlement of such transaction and from the translation of monetary assets and liabilities denominated in foreign currencies at year end exchange rate are generally recognised in the statement of profit and loss.

Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using the exchange rates at the dates of the initial transactions. Non-monetary items measured at fair value in a foreign currency are translated using the exchange rates at the date when the fair value is determined.

3. Exchange Differences

Exchange differences arising on settlement or translation of monetary items are recognized as income or expense in the period in which they arise with the exception of exchange differences on gain or loss arising on translation of non-monetary items measured at fair value which is treated in line with the recognition of the gain or loss on the change in fair value of the item (i.e., translation differences on items whose fair value gain or loss is recognized in OCI or profit or loss are also recognized in OCI or profit or loss, respectively).

(m) Earnings Per Share:

Basic earnings per equity share is computed by dividing the net profit attributable to the equity holders of the Company by the weighted average number of equity shares outstanding during the period.

Diluted earnings per equity share is computed by dividing the net profit attributable to the equity holders of the Company by the weighted average number of equity shares considered for deriving basic earnings per equity share and also the weighted average number of equity shares that could have been issued upon conversion of all dilutive potential equity shares. The dilutive potential equity shares are adjusted for the proceeds receivable had the equity shares been actually issued at fair value (i.e. the average market value of the outstanding equity shares). Dilutive potential equity shares are deemed converted as at the beginning of the period, unless issued at a later date. Dilutive potential equity shares are determined independently for each period presented.

(n) Borrowings and Borrowing Costs

Borrowing cost includes interest and other costs incurred in connection with the borrowing of funds and charged to Statement of Profit & Loss on the basis of effective interest rate (EIR) method. Borrowing cost also includes exchange differences to the extent regarded as an adjustment to the borrowing cost.

Borrowing costs directly attributable to the acquisition, construction or production of an asset that necessarily takes a substantial period of time to get ready for its intended use or sale are capitalized as part of the cost of the respective asset. All other borrowing costs are recognized as expense in the period in which they occur.

(o) Dividend Distributions

The Company recognizes a liability to make the payment of dividend to owners of equity, when the distribution is authorised and the distribution is no longer at the discretion of the Company. As per the corporate laws in India, a distribution is authorised when it is approved by

the shareholders. A corresponding amount is recognised directly in equity.

(p) Segment Reporting

Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision maker. The Board of directors monitors the operating results of all product segments separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit and loss and is measured consistently with profit and loss in the financial statements.

The operating segments have been identified on the basis of the nature of products/services. Further:

1. Segment revenue includes sales and other income directly identifiable with / allocable to the segment including inter - segment revenue.

2. Expenses that are directly identifiable with / allocable to segments are considered for determining the segment result. Expenses which relate to the Company as a whole and not allocable to segments are included under unallocable expenditure.

3. Income which relates to the Company as a whole and not allocable to segments is included in unallocable income.

4. Segment results includes margins on intersegment sales which are reduced in arriving at the profit before tax of the Company.

5. Segment assets and liabilities include those directly identifiable with the respective segments. Unallocable assets and liabilities represent the assets and liabilities that relate to the Company as

a whole and not allocable to any segment.

6. Segment revenue resulting from transactions with other business segments is accounted on the basis of transfer price agreed between the segments. Such transfer prices are either determined to yield a desired margin or agreed on a negotiated business.

(q) Fair Value Measurement

The Company measures financial instruments at fair value at each balance sheet date.

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an ordinary transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either:

(i) In the principal market for asset or liability, or

(ii) In the absence of a principal market, in the most advantageous market for the asset or liability.

The principal or the most advantageous market must be accessible by the Company.

The fair value of an asset or liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest.

A fair value measurement of a non- financial asset takes into account a market participant''s ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use.

The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximising the use of relevant observable inputs and minimizing the use of unobservable inputs.

All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorized within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

Level 1- Quoted(unadjusted) market prices in active markets for identical assets or liabilities

Level 2- Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable

Level 3- Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable

For assets and liabilities that are recognized in the financial statements on a recurring basis, the Company determines whether transfers have occurred between levels in the hierarchy by re-assessing categorization ( based on the lowest level input that is significant to fair value measurement as a whole ) at the end of each reporting period.

For the purpose of fair value disclosures, the Company has determined classes of assets and liabilities on the basis of the nature, characteristics and risks of the asset or liability and the level of the fair value hierarchy as explained above.

c) Fair value hierarchy

The fair value hierarchy is based on inputs to valuation techniques that are used to measure fair value that are either observable or unobservable and consists of the following three levels:

Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities

Level 2—Inputs are other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).

Level 3—Inputs are not based on observable market data (unobservable inputs). Fair values are determined in whole or in part using a valuation model based on assumptions that are neither supported by prices from observable current market transactions in the same instrument nor are they based on available market data.

The investments included in Level 2 of fair value hierarchy have been valued using quotes available for similar assets and liabilities in the active market. The investments included in Level 3 of fair value hierarchy have been valued using the cost approach to arrive at their fair value. The cost of unquoted investments approximate the fair value because there is a range of possible fair value measurements and the cost represents estimate of fair value within that range.

The following table provides the fair value measurement hierarchy of the Company''s assets and liabilities.

Quantative disclosures of fair value measurement hierarchy for assets and liabilities as at March 31,2024.

d) Financial Risk Management Objectives and Policies

The Company is exposed primarily to fluctuations in credit, liquidity, interest rate risk and market risks, which may adversely impact the fair value of its financial instruments. The Company has a risk management policy which covers risks associated with the financial assets and financial liabilities. The risk management policy is approved by the Board of Directors. The focus of risk management committee is to assess the unpredictability of the financial environment and to mitigate potential adverse effects on the financial performance of the Company.

i. Interest rate risk

The Company''s investments are primarily in fixed rate interest bearing fixed deposits with banks. Hence the Company is not significantly exposed to interest rate risk.

ii. Credit risk management

Credit risk is the risk of financial loss to the Company if a customer or counterparty fails to meet its contractual obligations and arises principally from the Company''s receivables, deposits given, loans given, investments made and balances at bank.

The maximum exposure to the credit risk at the reporting date is primarily from investments made, loans given and trade receivables.

In case of trade receivables, the Company does not hold any collateral or other credit enhancements to cover its credit risks. Credit risk has always been managed by the Company through credit approvals, establishing credit limits and continuously monitoring the credit worthiness of customers to which the

Company grants credit terms in the normal course of business. On account of adoption of Ind AS 109, the Company uses expected credit loss model to assess the impairment loss or gain.

Trade receivables are non-interest bearing and the average credit period is 90 days. The Company''s exposure to customers is diversified and no customer contributes to more than 10% of outstanding trade receivables and unbilled revenue.

iii. Liquidity Risk Management

Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The objective of liquidity risk management is to maintain sufficient liquidity and ensure that funds are available for use as per requirements. The Company consistently generated sufficient cash flows from operations to meet its financial obligations including lease liabilities as and when they fall due.

The tables below analyse the company''s financial liabilities into relevant maturity grouping based on their contractual maturities.

iv. Market Risk

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency risk, interest rate risk and other price risk such as equity price risk. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimising the return.

a. Foreign Currency Risk Exposure:

The Company does not have any exposure to foreign currency risk as at March 31,2024 (Previous year Nil).

b. Interest Rate Risk

The Company''s investments are primarily in fixed rate interest bearing investments. Hence, the Company is not significantly exposed to interest rate risk.

c. Other Price Risk

The Company is exposed to equity price risks arising from equity investments. The Company''s equity investments are held for strategic rather than trading purposes.

d. Equity Price Sensitivity Analysis

The sensitivity analysis below has been determined based on the exposure to equity price risks at the end of the reporting period.

32. Previous year''s figures have been regrouped/reclassified to be comparable with currents year''s classification/disclosures.

33. Note No.1 to 32 form integral part of the balance sheet and statement of profit and loss.

For Joy Mukherjee & Associates For and on the behalf of Board of Directors

Chartered Accountants

ICAI Firm Registration No. 006792C

CA J. Mukherjee Anuradha Prasad Shukla Sudhir Shukla

Partner Chairperson and Managing Director Director

Membership Number 074602 DIN: 00010716 DIN : 01567595

Place : Noida Ajay Jain Rajeev Parashar

Date : May 29, 2024 Chief Financial Officer Company Secretary

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Mar 31, 2023

(a) Trade Receivable represents the amount of consideration in exchange for goods or services transferred to the customers that is unconditional.

(b) Trade receivables are usually non-interest bearing and are on trade terms of 30 to 60 days.

(c) Neither trade nor other receivables are due from directors or other officers of the company either severally or jointly with any other person, Nor any trade or other receivables are due from firms or private companies respectively in which any director is a partner, a director or a member.

Cash and cash equivalents are cash, balances with bank and short-term (three months or less from the date of placement), highly liquid investments that are readily convertible into cash and which are subject to an insignificant risk of changes in value.

(iv) Aggregate value of Issued, Subscribed and Paid-up Share Capital as on the Balance Sheet date for the period of preceding five years includes:

9,800,000 additional Equity shares were alloted by conversion of warratnts issued on preferential basis for the consideration of Rs. 460.60 lakhs during the preceeding five years.

(v) Terms and rights attached to equity shares

The Company has one class of equity shares having a par value of Rs 2 per share. Each shareholder is eligible for one vote per share held. The dividend proposed , if any, by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding.

(vi) The Company''s objective for capital management is to maximise shareholder value, safeguard business continuity and

support the growth of the Company. The Company determines the capital requirement based on annual operating plans and long-term and other strategic investment plans. The funding requirements are met through equity and operating cash flows generated. The Company is not subject to any externally imposed capital requirements.

(vii) As per the records of the Company, including its register of shareholders / members and other declaration received from shareholders regarding beneficial interest, the above shareholding represents both legal and beneficial ownership of shares.

(viii) The Company has not alloted any bonus share or brought back any share during the current year or a period of 5 years immediately preciding the balance sheet date.

Nature and purpose of reserves :

a) General Reserve : General reserve is created out of transfer from retained earnings and is a free reserve.General reserve represents the statutory reserve, this is in accordance with Indian Corporate law wherein a portion of profit is apportioned to general reserve. Under Companies Act, 1956 it was mandatory to transfer amount before a company can declare dividend, however under Companies Act, 2013 transfer of any amount to General reserve is at the discretion of the Company.

b) Securities Premium Account : Securities premium is used to record the premium on issue of shares. The reserve can be

utilised only for limited purposes such as issuance of bonus shares in accordance with the provisions of the Companies Act, 2013.

c) Retained earning : Retained Earnings are profits that the Company has earned till date less transfer to General Reserve, dividend or other distribution or transaction with shareholders.

*The balance above includes INR Nil (previous year Nil) due to micro and small enterprises registered under the micro, small and medium enterprises. Development Act, 2006 (MSME Act), no interest is paid/payable during the year to any miscro/ small enterprise registed under the MSME. There were no delayed payment during the year to any micro or small enterprise registered under MSME Act. The above information has been determined to the extent such parties could be identified on th basis of the information available with the Management regarding the status of supplirs under the MSME Act.

25.	CONTINGENT LIABILITIES (TO THE EXTENT NOT PROVIDED FOR)		(? in Lakhs)
	Particulars	Year ended March 31,2023	Year ended March 31,2022
	Contingent liabilities
	a) Claims against the Company not acknowledged as debt	Nil	Nil
	-on behalf of Subsidiary
	Corporate Guarantees given in favour of Yes bank by creating charge om property situated at FC-23, Sector 16A, Film City, Noida , UP	7120.00	7120.00
	-on behalf of Other
	ARVR Education Society Corporate Guarantees given in favour of Yes bank by creating charge on land situated at Plot No. HS-20, Sector-B-7, Greater Noida , UP	977.80	977.80
	b)Other money for which the Company is contingently liable	Nil	Nil

26. EMPLOYEE BENEFITS

Disclosures pursuant to Ind AS - 19 "Employee Benefits" (notified under the section 133 of the Companies Act 2013 (the Act) read with Companies (Indian Accounting Standards) Rule 2015 (as amended from time to time) and other relevant provision of the Act) are given below:

Defined Contribution Plans

The Company has certain defined contribution plans. Contributions are made to provident fund, and employee''s state insurance scheme for employees as per regulations. The contributions are made to registered funds administered by the government. The obligation of the Company is limited to the amount contributed and it has no further contractual or any constructive obligation.

Defined Benefit Plans:

The Company offers gratuity to its eligible employees under defined benefit plans.

The gratuity plan provides for a lump sum payment to vested employees at retirement, death while in employment or on termination of employment of an amount equivalent to 15 days basic salary payable for each completed year of service. Vesting occurs upon completion of five continuous years of service. The gratuity fund is managed by third party fund.

The following table sets out the funded status of the defined benefit schemes and the amount recognised in the financial statements:

Company attention was drawn to provisions of accounting standard that actuarial assumptions are an entity''s best estimates of variables that will determine the ultimate cost of providing post employment benefits and shall be unbiased & mutually compatible.

i) Economic Assumptions

The principal assumptions are the discount rate & salary growth rate. The discount rate is generally based upon the market yields available on Government bonds at the accounting date relevant to currency of benefit payments for a term that matches the liabilities. Salary growth rate is company''s long term best estimate as to salary increases & takes account of inflation, seniority, promotion, business plan, HR policy and other relevant factors on long term basis as provided in relevant accounting standard. Valuation assumptions are as follows which have been agreed by the company:

Attrition rates are the company''s best estimate of employee turnover in future determined considering factors such as nature of business & industry, retention policy, demand & supply in employment market, standing of the company , business plan, HR Policy etc as provided in the relevant accounting standard

The sensitivity analysis above have been determined based on a method that extrapolates the impact on defined benefit obligation as a result of reasonable changes in an assumptions occurring at the end of the reporting period while holding all other assumption constraint. In practice it is unlikely to occur and change in some of the assumption may be correlated. When calculating the sensitivity of the defined benefit obligation to significant actuarial assumptions the same method (present value of the defined benefit obligation calculated with the projected unit credit method at the end of the reporting period) has been applied as when calculating the defined benefit liability recognised in the balance sheet. Sensitivities due to mortality & withdrawals are not material & hence impact of change due to these not calculated.

The methods and types of assumptions used in preparing the sensitivity analysis did not change compared to the prior period.

Sensitivities as rate of increase of pensions in payment, rate of increase of pensions before retirement & life expectancy are not applicable .

Notes:

a) The current service cost recognised as an expense is included in Note 21 ''Employee benefits expense'' as gratuity. The remeasurement of the net defined benefit liability is included in other comprehensive income.

b) The estimates of rate of escalation in salary considered in actuarial valuation, take into account inflation, seniority, promotion and other relevant factors including supply and demand in the employment market. The above information is certified by the Actuary.

Significant actuarial assumptions for the determination of the defined obligation are discount rate, expected salary increase and mortality. The sensitivity analysis above have been determined based on reasonably possible changes of the respective assumptions occurring at the end of the reporting period, while holding all other assumptions constant.

c) The obligation for leave benefits (non funded) is also recognised using the Projected Unit Credit Method and accordingly the long term paid absences have been valued. The leave encashment expense is included in Note 21 ''Employee benefits expense''.

1. The All Related Party Transactions entered during the year were in ordinary course of the business and on arm''s length basis.

2. No guarantees were provided or received for any related party receivables or payables except for the one given for security. The loans by subsidiaries from Yes bank, the details of which are given elsewhere. For the year ended March 31,2023, the Company has not recorded any impairment of receivables relating to amounts owed by related parties. This assessment is undertaken each financial year through examining the financial position of the related party and the market in which the related party operates.

3. The remuneration of directors and key executives is determined by the remuneration committee having regard to the performance of individuals and market trends.

The above figures do not include provisions for encashable leave, gratuity and premium paid for group health insurance, as separate actuarial valuation / premium paid are not available

28. SEGMENT REPORTING

The Managing Director of the Company has been identified as the Chief Operating Decision Maker (CODM) as defined by Ind AS 108 - operating segments. The CODM evaluates the Company''s performance and allocates resources based on an analysis of various performance indicators by industry classes. The Company has identified business segments as its primary segment. Business segments are primarily Audio -Visual Production and Leasing

Each segment item reported is measured at the measure used to report to CODM for the purposes of making decisions about allocating resources to the segment and assessing its performance

Revenues and expenses directly attributable to segments are reported under each reportable segment. All other expenses which are not attributable or allocable to segments have been disclosed as unallocable expenses. Assets and liabilities that are directly attributable or allocable to segments are disclosed under each reportable segment. All other assets and liabilities are disclosed as unallocable. Property, plant & equipment that are used interchangeably amongst segments are not allocated to primary segment.

(d) Details of guarantees given

Corporate Guarantees given to Yes Bank Limited for credit facility availed by subsidiary companies outstanding ? 7,120 lakhs (31 March, 2022: ? 7,120 Lakhs).

31. FINANCIAL INSTRUMENTS a) Fair Value Measurements

Fair value'' is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date in the principal or, in its absence, the most advantageous market to which the Company has access at that date. The fair value of a liability reflects its non-performance risk. The best evidence of the fair value of a financial instrument on initial recognition is normally the transaction price - i.e. the fair value of the consideration given or received.

The fair value of the financial assets and liabilities is included at the amount at which the instrument could be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale.

Financial instruments measured at amortised cost.

The carrying amount of financial assets and financial liabilities measured at amortised cost in the financial statements are a reasonable approximation of their fair values since the Company does not anticipate that the carrying amounts would be significantly different from the values that would eventually be received or settled.

d) Fair value hierarchy

The fair value hierarchy is based on inputs to valuation techniques that are used to measure fair value that are either observable or unobservable and consists of the following three levels:

Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities

Level 2—Inputs are other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).

Level 3—Inputs are not based on observable market data (unobservable inputs). Fair values are determined in whole or in part using a valuation model based on assumptions that are neither supported by prices from observable current market transactions in the same instrument nor are they based on available market data.

The investments included in Level 2 of fair value hierarchy have been valued using quotes available for similar assets and liabilities in the active market. The investments included in Level 3 of fair value hierarchy have been valued using the cost approach to arrive at their fair value. The cost of unquoted investments approximate the fair value because there is a range of possible fair value measurements and the cost represents estimate of fair value within that range.

The following table provides the fair value measurement hierarchy of the Company''s assets and liabilities.

The carrying value of current trade receivables, cash and cash equivalents, current loans, trade payables and other financial assets and liabilities are considered to be the same as their fair values due to their short term nature.

e) Financial Risk Management Objectives and Policies

The Company is exposed primarily to fluctuations in credit, liquidity, interest rate risk and market risks, which may adversely impact the fair value of its financial instruments. The Company has a risk management policy which covers risks associated with the financial assets and financial liabilities. The risk management policy is approved by the Board of Directors. The focus of risk management committee is to assess the unpredictability of the financial environment and to mitigate potential adverse effects on the financial performance of the Company.

i. Interest rate risk

The Company''s investments are primarily in fixed rate interest bearing fixed deposits with banks. Hence the Company is not significantly exposed to interest rate risk.

ii. Credit risk management

Credit risk is the risk of financial loss to the Company if a customer or counterparty fails to meet its contractual obligations and arises principally from the Company''s receivables, deposits given, loans given, investments made and balances at bank.

The maximum exposure to the credit risk at the reporting date is primarily from investments made, loans given and trade receivables.

In case of trade receivables, the Company does not hold any collateral or other credit enhancements to cover its credit risks. Credit risk has always been managed by the Company through credit approvals, establishing credit limits and continuously monitoring the credit worthiness of customers to which the

Company grants credit terms in the normal course of business. On account of adoption of Ind AS 109, the Company uses expected credit loss model to assess the impairment loss or gain.

Trade receivables are non-interest bearing and the average credit period is 90 days. The Company''s exposure to customers is diversified and no customer contributes to more than 10% of outstanding trade receivables and unbilled revenue.

Trade receivable consists of a large number of customers, spread across diverse industries and geographical areas. Ongoing credit evaluation is performed on the financial condition of the accounts receivable.

Credit risk on cash and cash equivalents is limited as the Company generally invest in deposits with banks and financial institutions with high credit ratings assigned by credit-rating agencies. The credit risk on mutual funds, optionally fully convertible debentures and deposit is limited because the couterparties are generally banks and financial institutions with high credit ratings assigned by credit rating agencies.

iii. Liquidity Risk Management

Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The objective of liquidity risk management is to maintain sufficient liquidity and ensure that funds are available for use as per requirements. The Company consistently generated sufficient cash flows from operations to meet its financial obligations including lease liabilities as and when they fall due.

The tables below analyse the company''s financial liabilities into relevant maturity grouping based on their contractual maturities.

iv. Market Risk

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency risk, interest rate risk and other price risk such as equity price risk. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimising the return.

a. Foreign Currency Risk Exposure:

The Company does not have any exposure to foreign currency risk as at March 31,2023 (Previous year Nil).

b. Interest Rate Risk

The Company''s investments are primarily in fixed rate interest bearing investments. Hence, the Company is not significantly exposed to interest rate risk.

c. Other Price Risk

The Company is exposed to equity price risks arising from equity investments. The Company''s equity investments are held for strategic rather than trading purposes.

d. Equity Price Sensitivity Analysis

The sensitivity analysis below has been determined based on the exposure to equity price risks at the end of the reporting period.

33. Previous year''s figures have been regrouped/reclassified to be comparable with currents year''s classification/disclosures.

34. Note No.1 to 33 form integral part of the balance sheet and statement of profit and loss.

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Mar 31, 2018

2.4 RECENT ACCOUNTING DEVELOPMENTS

(a) Standards issued but not yet effective:

IND AS 115: Revenue from Contracts with Customers

In March 2018, the Ministry of Corporate Affairs issued the Companies (Indian Accounting Standards) (Amendments) Rules, 2017, notifying Ind AS 115, ''Revenue from Contracts with Customers''. The Standard is applicable to the Company with effect from 1st April, 2018.

Revenue from Contracts with Customers Ind AS 115 establishes a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers. Ind AS 115 will supersede the current revenue recognition standard Ind AS 18 Revenue, Ind AS 11 Construction Contracts when it becomes effective. The core principle of Ind AS 115 is that an entity should recognise revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Specifically, the standard introduces a 5-step approach to revenue recognition:

Step 1: Identify the contract(s) with a customer

Step 2: Identify the performance obligation in contract

Step 3: Determine the transaction price

(p) Operating leases

The determination of whether an arrangement is (or contains) a lease is based on the substance of the arrangement at the inception of the lease. The arrangement is, or contains, a lease if fulfillment of the arrangement is dependent on the use of a specific asset or assets and the arrangement conveys a right to use the asset or assets, even if that right is not explicitly specified in an arrangement

Operating leases (where the Company is the lessee)

Leases, where the lessor effectively retains substantially all the risks and benefits of ownership of the leased item are classified as operating leases. Operating lease payments are recognized as an expense in the statement of profit and loss on a straight-line basis over the lease term.

Operating leases (where the Company is the lessor)

Leases in which the Company does not transfer substantially all the risks and benefits of ownership of the asset are classified as operating leases.. Lease income on an operating lease is recognized in the statement of profit and loss on a straight-line basis over the lease term. Costs, including depreciation, are recognized as an expense in the statement of profit and loss. Initial direct costs such as legal costs, brokerage costs, etc. are recognized immediately in the statement of profit and loss.

(q) Taxes

Tax expense comprises current and deferred tax.

- Current income-tax

Current income-tax asset and liabilities are measured at the amount expected to be paid to the tax authorities in accordance with the Income-tax Act, 1961 enacted in India. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted, at the reporting date. Current income tax relating to items recognized outside profit or loss is recognized outside profit or loss (either in other comprehensive income or in equity). Management periodically evaluates positions taken in the tax returns with respect to situations in which applicable tax regulations are subject to interpretation and establishes provisions where appropriate.

- Deferred tax

- The Company has elected not to apply Ind AS 103 Business Combinations retrospectively to past business combinations that occurred before the transition date of April 1, 2016.

- The Company has elected to measure its investments in subsidiaries and other investment at the Previous GAAP carrying amount as its deemed cost on the date of transition to Ind AS.

- The Company has applied the impairment requirements of Ind AS 109 retrospectively; however, as permitted by Ind AS 101, it has used reasonable and supportable information that is available without undue cost or effort to determine the credit risk at the date that financial instruments were initially recognized in order to compare it with the credit risk at the transition date. Further, the Company has not undertaken an exhaustive search for information when determining, at the date of transition to Ind AS, whether there have been significant increases in credit risk since initial recognition, as permitted by Ind AS 101.

Estimates

The estimates at April 1, 2016 and at March 31, 2017 are consistent with those made for the same dates in accordance with Indian GAAP (after adjustments to reflect any differences in accounting policies) apart from Impairment of financial assets based on expected credit loss model where application of Indian GAAP did not require estimation.

The estimates used by the Company to present these amounts in accordance with Ind AS reflect conditions at April 1, 2016 (i.e. the date of transition to Ind-AS) and as of March 31, 2017.

Previous GAAP figures have been reclassified/ regrouped wherever necessary to conform with financial statements prepared under Ind AS.

Effect of the Transition to Ind AS

Reconciliations of the Company''s balance sheets prepared under Indian GAAP and Ind AS as of April 1,

2016 and March 31, 2017 are also presented in Note 3.1. Reconciliations of the Company''s income statements for the year ended March 31, 2017 prepared in accordance with Indian GAAP and Ind AS in Note 3.2.

Step 4: Allocate the transaction price to the performance obligations in the contract

Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation

Under Ind AS 115, an entity recognizes revenue when a performance obligation is satisfied, i.e. when ''control'' of the goods or services underlying the particular performance obligation is transferred to the customer. The Company has completed its evaluation of the possible impact of Ind AS 115 and will adopt the standard from 1st April, 2018.

3. FIRST TIME ADOPTION OF IND AS

These financial statements, for the year ended 31 March 2018, are the first financial statements the Company has prepared in accordance with Ind AS. For periods up to and including the year ended 31 March 2017, the Company prepared its financial statements in accordance with accounting standards notified under section 133 of the Companies Act 2013, read together with paragraph 7 of the Companies (Accounts) Rules, 2014 (Indian GAAP) and Companies Account (Amendment) rules, 2016, as amended.

Accordingly, the Company has prepared financial statements which comply with Ind AS applicable for periods ending on 31 March 2018, together with the comparative period data as at and for the year ended 31March 2017, as described in the summary of significant accounting policies. In preparing these financial statements, the Company''s opening balance sheet was prepared as at 1 April 2016, the Company''s date of transition to Ind AS. This note explains the principal adjustments made by the Company in restating its Indian GAAP financial statements, including the balance sheet as at 1 April 2016 and the financial statements as at and for the year ended 31 March 2017.

Ind AS 101 allows first-time adopters certain exemptions from the retrospective application of certain requirements under Ind AS. The Company has applied the following exemptions :

- Ind AS 16 - Property, plant and equipment are opted to be carried as recognized in its previous GAAP financials as deemed cost at the transition date. The Company has elected to continue with the carrying value as at 1st April, 2016 for all of its investment properties, Intangible assets and property plant & equipment as recognized in its Previous GAAP financial as deemed cost at the transition date.

3.3 Adjustments to Statement of Cash flows

There were no material differences between the Statement of Cash Flows presented under Ind AS and the Previous GAAP.

Notes to the reconciliation

1. Fair valuation of investments in mutual funds: Under the Ind AS, the Investments in mutual funds have been accounted at fair value through Statement of Profit and Loss instead of accounting at lower of cost and fair value under IGAAP.

2. Actuarial gain/loss on defined benefit plans: The Remeasurement cost arising primarily due to change in actuarial assumptions has been recognized in Other Comprehensive Income (OCI) under Ind AS instead of Statement of Profit and Loss under previous GAAP. However, this has no impact on total comprehensive income and total equity

3. Under Previous GAAP, deferred taxes were recognized for the tax effect of timing differences between accounting profit and taxable profit for the year using the income statement approach. Under Ind AS, deferred taxes are recognized using the balance sheet for future tax consequences of temporary differences between the carrying value of assets and liabilities and their respective tax bases. The above difference, together with the consequential tax impact of the other Ind AS transitional adjustments lead to temporary differences. Deferred tax adjustments are recognized in correlation to the underlying transaction either in retained earnings or through other comprehensive income.

4. Under Indian GAAP, the Company has not presented other comprehensive income (OCI) separately. Hence, it has reconciled Indian GAAP profit or loss to profit or loss as per Ind AS. Further, Indian GAAP profit or loss is reconciled to total comprehensive income as per Ind AS.

Rights, preferences and restrictions attached to shares Equity shares

The Company has one class of equity shares having a par value of Rs 2 per share. Each shareholder is eligible for one vote per share held. The dividend proposed , if any, by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding.

The company has not allotted any bonus shares or bought back any shares during the current year or for a period of five years immediately preceding the balance sheet date.

2) The fair values of investments in mutual fund units is based on the net asset value (''NAV'') as stated by the issuers of these mutual fund units in the published statements as at Balance Sheet date. NAV represents the price at which the issuer will issue further units of mutual fund and the price at which issuers will redeem such units from the investors.

Other financial assets and liabilities

- Cash and cash equivalents, trade receivables, investments in term deposits, other financial assets (except derivative financial instruments), trade payables, and other financial liabilities (except derivative financial instruments) have fair values that approximate to their carrying amounts due to their short-term nature.

- Loans have fair values that approximate to their carrying amounts as it is based on the net present value of the anticipated future cash flows using rates currently available for debt on similar terms, credit risk and remaining maturities.

26.9 Capital management

The Company''s capital management objectives are:

- to ensure the company''s ability to continue as a going concern

- to provide an adequate return to shareholders by pricing products and services commensurately with the level of risk.

The Company monitors capital on the basis of the carrying amount of equity less cash and cash equivalents as presented on the face of the statement of financial position.

Financial Risk Management objectives

The Company''s activities expose it to a variety of financial risks viz. credit risk, liquidity risk and market risk. In order to manage the aforementioned risks, the Company operates a risk management policy and a program that performs close monitoring of and responding to each risk factors.

Credit risk management

Credit risk arises when a counterparty defaults on its contractual obligations to pay resulting in financial loss to the Company. The Company deals with creditworthy counterparties as a means of mitigating the risk of financial loss from defaults. The Company uses publicly available financial information and its own trading records to rate its major customers. The Company''s exposure and credit ratings of its counterparties are regularly monitored and the aggregate value of transactions concluded is spread amongst counterparties.

Liquidity risk management

The responsibility for liquidity risk management rests with the Board of directors, which has an appropriate liquidity risk management framework for the management of the Company''s short-, medium- and long-term funding and liquidity management requirements. The Company manages liquidity risk by maintaining adequate reserves, banking facilities by regularly monitoring forecast and actual cash flows.

Market Risk

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency risk, interest rate risk and other price risk such as equity price risk. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimizing the return. The Company is exposed to equity price risks arising from equity investments. Equity investments are held for strategic rather than trading purposes. The Company does not actively trade these investments.

26.10 The Company has presented segment information in the consolidated financial statements which are presented in the same financial report. Accordingly, in terms of Paragraph 3 of Ind AS 108 ''Operating Segments'', no disclosures related to segments are presented in this standalone financial statements.

26.11 Previous year''s figures have been regrouped/reclassified to be comparable with currents year''s classification/disclosures.

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Mar 31, 2015

Note-1

Corporate Information

The Company was incorporated on January 22, 1993. Its is one of the largest television content houses in India under the brand name " Studio 24 ".

2. As per Accounting Standard (AS)-17 issued by the Institute of Chartered Accountants of India, segment information has been provided in the Notes to Consolidated Financial Statements.

3. Provisions, Contingent Liabilities and Contingent Assets

Provisions

A provision is recognised if, as a result of a past event, the Company has a present obligation that can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation. Provisions are recognised at the best estimate of the expenditure required to settle the present obligation at the balance sheet date. The provisions are measured on an undiscounted basis.

Contingencies

Provision in respect of loss contingencies relating to claims, litigation, assessment, fines, penalties, etc. are recognised when it is probable that a liability has been incurred, and the amount can be estimated reliably.

Contingent Liabilities and Commitments

A contingent liability exists when there is a possible but not probable obligation, or a present obligation that may, but probably will not, require an outflow of resources, or a present obligation whose amount cannot be estimated reliably. Contingent liabilities do not warrant provisions, but are disclosed unless the possibility of outflow of resources is remote. Contingent assets are neither recognised nor disclosed in the financial statements. However, contingent assets are assessed continually and if it is virtually certain that an inflow of economic benefits will arise, the asset and related income are recognised in the period in which the change occurs.

4. Export Obligation

The Company has obtained license under the Export Promotion Credit Guarantee Scheme (EPCG Scheme) for importing capital goods at a concessional rate of custom duty against submission of undertaking to custom department. Under the terms of the EPCG Scheme, the company is required to export goods or services of at least Rs. 23,15,54,713/-, (Previous Year Rs. Rs. 36,43,94,715/-) within eight years from issue of EPCG Licenses.

5. The Company is engaged in business of Media and Entertainment . Such services are not capable of being expressed in any generic unit and hence, it is not possible to give the quantitative details required under paragraphs 5(viii)(c) of general instructions for preparation of the statement of profit and loss as per Schedule III to the Companies Act, 2013.

6. Supplementary statutory information required to be given pursuant to Clause 32 of the listing agreement, in respect of the loans given Interest free Loans and Advances in the nature of Loan given to wholly owned foreign subsidiary :

7. Pursuant to Section 205C and other applicable provisions of Companies Act, 1956 (the corresponding provision in the Companies Act, 2013 have not been notified, and hence the earlier law is still applicable in respect of these provisions), Dividends that are unpaid/unclaimed for a period of seven years are required to be transferred to the Investor Education and Protection Fund administered by the Central Government and once unpaid / unclaimed dividend/application money for allotment of any securities and due for refund, is transferred to IEPF, no claim shall lie in respect thereof against the Company. To ensure maximum disbursement of unpaid/unclaimed dividend, the Company sends reminders to the concerned investors, before transfer of dividend to IEPF.

During the Year , the Company has transferred Rs. 77,879.80 (Previous Year Rs. 172,126.40) to Investor Education and Protection Fund. Unclaimed dividend of Rs 132,212.70 ( Previous Year 210,091) represent dividends not claimed for the financial year 2007-08.

8. Effective from April 1, 2014, the Company has revised useful lives of tangible fixed assets based on an independent evaluation. Accordingly , the carrying value of fixed assets as on that date, net of residual value , has been depreciated over the revised remaining useful lives. Further, an amount of Rs. 138.12 lakh representing the carrying value of assets, whose remaining useful life is Nil as at April1 2014 , has been charged to retained earning pursuant to provisions of Companies Act, 2013.

9. The Company has not received any intimation from suppliers regarding their status under the Micro, Small and Medium Enterprise Development (MSMED) Act, 2006 and hence disclosures Section 22 of The Micro, Small and Medium Enterprise Development (MSMED) Act, 2006 regarding:

(a) Amount due and outstanding to suppliers as at end of accounting year;

(b) Interest paid during the year;

(c) Interest payable at the end of the accounting year; and

(d) Interest accrued and unpaid at the end of the accounting year have not been given.

10. Schedule III of the Companies Act, 2013 has become effective from April1, 2014 for the preparation of financial statements. Previous year's figures have been regrouped/reclassified to be comparable with currents year's classification/disclosures.

---

Mar 31, 2014

1. Contingent Liabilities and Commitments

(Amount in Rs.) As at March As at March 31, 2014 31, 2013

Contingent liabilities

a) Claims against the Company Nil Nil not acknowledged as debt

b) Guarantees

- to Bank 6,06,000 6,06,000

(Guarantee given to bank amounting to Rs. 6,06,000 (Previous year Rs. 6,06,000) secured by fxed deposit.)

- on behalf of subsidiaries companies

News24 Broadcast India 27,00,000 27,00,000 Limited

(Guarantee given to The President, New Custom House EPCG Cell, New Delhi amounting to Rs. 27,00,000 (Previous year Rs. 27,00,000).

E24 Glamour Limited 9,80,00,000 9,80,00,000

(Corporate Guarantee given amounting to Rs. 9,80,00,000 to Dena Bank, M-36, Cannaught C ircus, New Delhi-110001 (Previous year Rs. 9,80,00,000).

Skyline Radio Network limited 9,90,13,000 9,90,13,000 (formerly known as Dhamaal24 Radio Network limited)

(Corporate Guarantee given amounting to Rs. 9,85,00,000 to Dena Bank, M-36, Cannaught Circus, New Delhi-110001 (Previous year Rs. 9,85,00,000) and Guarantee given to Ministry of Information and Broadcasting, New Delhi amounting to Rs. 5,13,000 (Previous year Rs. 5,13,000).

- on behalf of Other

ARVR Education Society 25,00,00,000 25,00,00,000 (Formerly Known as B.A.G. Education Society).

Corporate Guarantees given in favour of Yes bank by creating charge on land situated at Plot No. HS- 20, Sector-B-7, Greater Noida amounting to Rs. 25,00,00,000 (Previous year Rs. 25,00,00,000)

c) Other money for which the Nil Nil Company is contingently liable

2. Export Obligation

The Company has obtained license under the Export Promotion Credit Guarantee Scheme (EPCG Scheme) for importing capital goods at a concessional rate of custom duty against submission of undertaking to custom department. Under the terms of the EPCG Scheme, the company is required to export goods or services of at least Rs. 36,43,94,715/- (Previous Year Rs. 43,52,16,860/-) within eight years from issue of EPCG Licenses.

3. Employee Benefits as per Accounting Standard 15 (revised) ''Employees Benefits'', the disclosures of employee benefits are given below:

a) Defend Contribution Plans :

Contribution to Defined Contribution Plan recognized as expense for the year is as under:

Employer''s Contribution to Provident Fund : Rs. 1,87,428 (Previous Year Rs. 1,80,806)

Employer''s Contribution to ESI : Rs. 34,466 (Previous Year Rs. 39,617)

Defend Benefit Plans:

The present value of obligation is determined based on actuarial valuation using the Projected Unit Credit method, which recognizes each period of service as giving rise to additional unit of employee bereft entitlement and measures each unit separately to build up the final obligation. The obligation for leave encashment is recognized in the same manner as gratuity.

4. Previous year figures are regrouped, rearranged or recast wherever necessary to make them comparable with the current year figures.

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Mar 31, 2013

NOTE-1

Corporate Information

The Company is running its production house under the brand name of "Studio-24". Programmes like, Sapno ke bhawar me, Baba Aisa Var Dhundoo and Madhubala amongst others cover a gamut of genres in producing of television programmes. The Company continues its focus on commissioned programmes and bagged contracts from prestigious channels. The Company also plans to focus on sponsored programmes.

2. Disclosure under Chapter VII of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009 regarding Preferential Issue of Shares:

3. The fi nancial disclosures as per Accounting Standard -27 issued by Institute of Chartered Accountants of India for the 50:50 Joint venture Sieun & B.A.G. Animation Private Limited of B.A.G. Films & Media Limited with Sieun Design Co. Limited of South Korea is given below.

4. During the year B.A.G. Films & Media Limited has given loans and advances to its following subsidiaries:

i. News24 Broadcast India Limited: Rs. Nil (Maximum Amount outstanding during the year Rs. Nil) (Previous year Rs. 1,377,908,776).

ii. E24 Glamour Limited : Rs. Nil (Maximum Amount outstanding during the year Rs. Nil) (Previous year Rs. 269,403,815).

iii. Dhamaal24 Radio Network Limited : Rs. Nil (Maximum Amount outstanding during the year Rs. Nil) (Previous year Rs. 345,058,317).

iv. BAG Network Limited (Foreign subsidiary): Rs. 1,15,454 (Maximum Amount outstanding during the year Rs. 1,15,454) (Previous year Rs. Nil). The company BAG Network Limited became subsidiary of B.A.G. Films & Media Limited by virtue of control of the composition of the board of director in the company. The Company has not yet subscribed to the shares in wholly owned subsidiary i.e BAG Network Limited and there is nil transaction in this subsidiary.

v. BAG Animation Private Limited: Rs. 1,54,714 (Maximum Amount outstanding during the year Rs. 1,54,714) (Previous year Rs. Nil).

5. As per Accounting Standard (AS)-17 issued by the Institute of Chartered Accountants of India, segment information has been provided in the Notes to Consolidated Financial Statements.

6. Earlier year adjustment (net) of Rs. 9,78,250 (Previous Year Rs. 19,73,544) in Reserves and Surplus Account

7. Employee Stock Option Scheme

The Company instituted the Employee Stock option scheme – ("the BAG ESOP Scheme") to grant equity to the eligible employees of the company and its subsidiaries. "the BAG ESOP Scheme" has been approved by the Shareholders in their Extra-Ordinary General Meeting held on February 13, 2007, for grant of 10,000,000 options representing one share for each option. The equity shares covered under the scheme shall vest over a period of fi ve years. Pursuant to the scheme, the ESOP compensation committee on July 30, 2008 granted 1,150,000 options to employees of the B.A.G. Films & Media Limited and its subsidiaries.

Accordingly the Company under the intrinsic value method has recognized the excess of the market price over the exercise price of the option amounting to Rs. 49,18,928 as an expense during the year. Further, the Liability Outstanding as at March 31, 2013 in respect of Employees Stock Options Outstanding is Rs. 96,77,250. The balance deferred compensation expense Rs. 16,39,643 will be amortized over the remaining vesting period of Options.

The movement in the options granted to employees during the year ended March, 31 2013 under the "the BAG ESOP Scheme" is as below:

9. Contingent Liabilities and Commitments

(Amount in Rs.) As at March As at March 31, 2013 31, 2012

Contingent liabilities

a) Claims against the Company Nil Nil not acknowledged as debt

b) Guarantees

- to Bank 6,06,000 6,06,000

- on behalf of subsidiaries companies

10. Loans & Advances

Interest free loans or advances given to subsidiary Companies are shown under the head Loans & Advances where there is no repayment schedule and are re-payable on demand. The loans have been given to fund the fi nancial obligations for attaining the objective of media expansion plans of the Company.

11. Export Obligation

The Company has obtained license under the Export Promotion Credit Guarantee Scheme (EPCG Scheme) for importing capital goods at a concessional rate of custom duty against submission of undertaking to custom department. Under the terms of the EPCG Scheme, the company is required to export goods or services of at least Rs. 43,52,16,860 (Previous Year Rs. Rs. 43,52,16,860) within eight years from issue of EPCG Licenses.

12. Employee Benefi ts as per Accounting Standard 15 (revised) ''Employees Benefi ts'', the disclosures of employee benefi ts are given below:

a) Defi ned Contribution Plans :

Contribution to Defi ned Contribution Plan recognized as expense for the year is as under:

Employer''s Contribution to Provident Fund : Rs. 1,80,806 (Previous Year Rs. 1,87,905)

Employer''s Contribution to ESI : Rs.39,617 (Previous Year Rs. 67,704)

Defi ned Benefi t Plans:

The present value of obligation is determined based on actuarial valuation using the Projected Unit Credit method, which recognizes each period of service as giving rise to additional unit of employee benefi t entitlement and measures each unit separately to build up the fi nal obligation. The obligation for leave encashment is recognized in the same manner as gratuity.

13. Previous year fi gures are regrouped, rearranged or recast wherever necessary to make them comparable with the current year fi gures.

---

Mar 31, 2012

A. Term loan from banks:

Term Loan of Rs. 25 Crores taken from Punjab National Bank, Sector-63, Noida Branch secured by pari passu charge on Land and building of B.A.G Films & Media Limited situated at FC-23, Sector-16-A, Film City, Noida and repayble in 24 Quarters of equal instalment starting from July 01, 2012. Term Loan of Rs. 19.95 Crores taken from Punjab National Bank, Sector-63, Noida Branch secured by pari passu charge on Land and building of B.A.G Films & Media Limited situated at FC-23, Sector-16-A, Film City, Noida. and repayble in 12 Quarters of equal instalment starting from October 01, 2011.

B. Vehicle Loans from banks:

Vechicle Loan taken from ICICI Bank, HDFC Bank and Bank of India secured by vehicle financed by bank and repayble as per repayment schedule issued by the Bank.

C. Security Deposit:

Security deposit received against letting out of building premises for office use and repayment as per agreed terms of the contract.

Disclouser in relation to default in repayment of loans and interest in respect of the following:

A. Term loans from banks:

No default has been made in repayment of Principal and interest on term loan during the financial year ending 31 March 2012

B. Vehicle Loans from banks:

No default has been made in repayment of Principal and interset on vehicle loan during the financial year ending 31 March 2012

1. Guarantee given to bank amounting to Rs. 606,000 (Previous year Rs. 606,000) secured by fixed deposit.

2. Guarantee given on behalf of subsidiary company, News24 Broadcast India Limited (Formerly known as B.A.G. Newsline Network Limited) amounting to Rs. 2,700,000 (Previous year Rs. 2,700,000).

3. Guarantee given on behalf of subsidiary company, Dhamaal24 Radio Network Limited (Formerly known as B.A.G. Infotainment Limited) amounting to Rs. 513,000 (Previous year Rs. 513,000).

Corporate Information

The Company is running its production house under the brand name of "Studio-24". Programmes like Lootery Dulhan, Wanted, Sapno ke bhawar me, Baba Aisa Var Dhundoo and Madhubala amongst others cover a gamut of genres in producing of television programmes. The Company continue its focus on commissioned programmes and bagged contracts from prestigious channels. The Company also produced documentary films for various State Authorities and private organizations including Ministry of External Affairs. The Company also plans to focus on sponsored programmes.

1. Disclosure under Chapter VII of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009 regarding Preferential Issue of Shares:

During the year under review your company has received balance 75% money against 5,000,000 Lacs share warrants issued at Rs. 17.70 per share warrant amounting to Rs. 66,375,000 and 25% upfront money towards 17,500,000 share warrant issued at Rs. 7.50 per share warrant amounting to Rs 32,812,500 as per the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009.

2. The financial disclosures as per Accounting Standard - 27 issued by Institute of Chartered Accountants of India for the 50:50 joint venture Sieun & B.A.G. Animation Private Limited of B.A.G. Films & Media Limited with Sieun Design Co. Limited of South Korea is given below.

3. During the year B.A.G. Films & Media Limited has given loans and advances to its following subsidiaries:

i. News24 Broadcast India Limited (Formerly known as B.A.G. Newsline Network Limited): Rs. 1,377,908,776 (Maximum Amount outstanding during the year Rs. 1,379,099,470) (Previous year Rs. 1,157,115,126).

ii. E24 Glamour Limited (Formerly known as B.A.G. Glamour Limited): Rs. 269,403,815 (Maximum Amount outstanding during the year Rs. 374,950,288) (Previous year Rs. 436,614,013).

iii. Dhamaal24 Radio Network Limited (Formerly known as B.A.G. Infotainment Limited): Rs. 345,058,317 (Maximum Amount outstanding during the year Rs. 648,229,531) (Previous year Rs. 402,032,065).

4. As per Accounting Standard (AS)-17 issued by the Institute of Chartered Accountants of India, segment information has been provided in the Notes to Consolidated Financial Statements.

5. Earlier year adjustment (net) of Rs. 1,973,544 (Previous Year Rs. 1,860,726) in Reserves and Surplus Account

6. Employee Stock Option Scheme

The Company instituted the Employee Stock option scheme - ("the BAG ESOP Scheme") to grant equity to the eligible employees of the company and its subsidiaries, "the BAG ESOP Scheme" has been approved by the Shareholders in their Extra-Ordinary General Meeting held on February 13, 2007, for grant of 10,000,000 options representing one share for each option. The equity shares covered under the scheme shall vest over a period of five years. Pursuant to the scheme, the ESOP compensation committee on July 30, 2008 granted 1,150,000 options to employees of the B.A.G. Films & Media Limited and its subsidiaries.

Accordingly the Company under the intrinsic value method has recognized the excess of the market price over the exercise price of the option amounting to Rs. 5,983,305 as an expense during the year. Further, the Liability Outstanding as at March 31, 2012 in respect of Employees Stock Options Outstanding is Rs. 9,677,250. The balance deferred compensation expense Rs. 6,558,571 will be amortized over the remaining vesting period of Options.

a) Guarantee given to bank amounting to Rs. 6,06,000 (Previous year Rs. 6,06,000) secure by fixed deposit.

b) Guarantee given on behalf of subsidiaries:

i) Guarantee given on behalf of subsidiary company, News24 Broadcast India Limited (Formerly known as B.A.G. Newsline Network Limited) amounting to Rs. 2,700,000 (Previous year Rs. 2,700,000).

ii) Guarantee given on behalf of subsidiary company, Dhamaal24 Radio Network Limited (Formerly known as B.A.G. Infotainment Limited) amounting to Rs. 513,000 (Previous year Rs. 513,000).

iii) Guarantee given on behalf of subsidiary company, News24 Broadcast India Limited (Formerly known as B.A.G. Newsline Network Limited) amounting to Rs. 50,000,000 (Previous year Rs. 50,000,000)

- by pledging 514,286 shares held by B.A.G. Films & Media Limited in the News24 Broadcast India Limited (Formerly known as B.A.G. Newsline Network Limited).

iv) Guarantee given on behalf of subsidiary company, E24 Glamour Limited (Formerly known as B.A.G. Glamour Limited) amounting to Rs. 4,00,00,000 (Previous year Rs. 4,00.00,000) by pledging 411,430 shares held by B.A.G. Films & Media Limited in the E24 Glamour Limited (Formerly known as B.A.G. Glamour Limited).

c) Corporate Guarantees given in favour of bank by creating charge on land situated at Plot No. HS-20, Sector-B-7, Greater Noida amounting to Rs.25.00.00.000 (Previous year Rs. 18,00,00,000) on behalf of ARVR Education Society(Formerly Known as B.A.G. Education Society).

d) During the year Canara bank took over the Cash credit facility, limit of Rs. 12,00,00,000 from State bank of India. The facility was sanctioned by the bank on the basis of 1 st charge on Land and Building of B.A.G Films & Media limited situated at FC-23, Sector-16-A, Film City, Noida.

e) During the year B.A.G Films & Media limited availed facility of Rs. 19,95.28,900 (Previous Year Rs.25.00.00.000 from Punjab National Bank) from Punjab. National Bank Limited in the form of term loan. The sanction given by bank on the basis of pari passu charge on Land and

building of B.A.G Films & Media Ltd. situated at FC-23, Sector-16-A, Film City, Noida.

7. Loans & Advances

Loans or advances given to subsidiary Companies are shown under the head Loans & Advances where there is no repayment schedule and are re-payable on demand, Interest has been charged from the subsidiaries against loans given. The loans have been given in the best interest of the Company to fund the financial obligations for attaining the objective of media expansion plans of the Company.

8. Export Obligation

The Company has obtained license under the Export Promotion Credit Guarantee Scheme (EPCG Scheme) for importing capital goods at a concessional rate of custom duty against submission of undertaking to custom department. Under the terms of the EPCG Scheme, the company is required to export goods or services of at least Rs. 43,52,16L,860 (Previous Year Rs. 43,52,16,860) within eight years from issue of EPCG Licenses.

9. Employee Benefits as per Accounting Standard 15 (revised) 'Employees Benefits', the disclosures of employee benefits are given below:

a) Defined Contribution Plans :

Contribution to Defined Contribution Plan recognized as expense for the year is as under:

Employer's Contribution to Provident Fund : Rs. 1,87,905 (Previous Year Rs. 210,938)

Employer's Contribution to ESI : Rs. 67,704 (Previous Year Rs.86,216)

Defined Benefit Plans:

The present value of obligation is determined based on actuarial valuation using the Projected Unit Credit method, which recognizes each period of service as giving rise to additional unit of employee benefit entitlement and measures each unit separately to build up the final obligation. The obligation for leave encashment is recognized in the same manner as gratuity.

The estimated rate of escalation in salary considered in actuarial valuation, takes into account inflation, seniority, promotion and other relevant factors including supply and demand in the employment market The ahovo information is certified by the actuary.

10. Additional information required to be given pursuant to Part II of Schedule VI of the Companies Act, 1956 is as follows:-

i. The aggregate managerial remuneration under section 198 read with section 309 of the Companies Act. 1956 to the directors:

iii. The Company is in the business of media and entertainment, which is not subject to any license; hence licensed capacity is not given.

11. There is no amount outstanding to be credited to Investor Education and Protection Fund.

Note: The above information regarding the small scale undertakings and Micro, Small and Medium Enterprise has been determined to the extent such parties have been identified on the basis of the information available with the Company.

2. The Company has not made any provision for cess payable u/s 441A of the Companies Act, 1956. The said provision shall be made as and when the requisite notification is issued by the Central Government in this regard.

3. Earnings Per Share (EPS) is Computed in Accordance with Accounting Standard-20:-

12. Previous year figures are regrouped, rearranged or recast wherever necessary to make them comparable with the current year figures.

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Mar 31, 2011

1. The Company has valued its investment in equity shares of Mukta Arts Limited at cost. The current market price of the said shares is Rs. 171,500 (Previous year Rs. 172,500). This being a long-term investment, the Company considers this fall in value as temporary.

2. Disclosure under Chapter XIII of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009 regarding Preferential Issue of Shares:

During the year under review company has converted 7,860,000 warrants at a price of Rs. 17.30 each including a premium of Rs. 15.30 per warrant into equity shares. These equity shares allotted by above conversion have been listed for trading on the stock exchanges.

During the year under review your company has issued 5,000,000 warrants at a price of Rs 17.70 each including premium of Rs 15.70 per warrant pursuant to Section 81(1A) of the Companies Act, 1956 as per the approval accorded by the Members of the Company at the Annual General Meeting dated September 4, 2010 to ARVR Communications Private Limited (Formerly known as Anu Films and Communications Private Limited), a promoter group company on Preferential Basis with an option to get allotted one equity share per equity warrant before expiry of eighteen months from the date of allotment. The Company received 25% application money against the same as per the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009 mentioned above amounting to Rs. 22,125,000.

3. During the year under review the Company has discharged its liability towards the guarantee given to IDBI for its subsidiary B.A.G. Infotainment Limited for buying back the investment into equity of the amount of Rs 20,000,000/- at the discounted yield of 13.50% per annum by making a payment of Rs 3,37,59,534/-. The stake of the company into its subsidiary B.A.G Infotainment Limited increases by 20,00,000 equity shares to 1,22,00,000 equity shares.

4. During the year B.A.G. Films & Media Limited has given loans and advances to its following subsidiaries:

i) B.A.G. Newsline Network Limited: Rs. 1,140,229,590 (Maximum Amount outstanding during the year Rs. 1,157,115,126) (Previous year Rs. 560,871,911).

ii) B.A.G. Glamour Limited: Rs. 370,050,287 n(Maximum Amount outstanding during the year Rs. 436,614,013) (Previous year Rs. 230,583,520).

(iii) B.A.G. Infotainment Limited: Rs. 370,050,287 (Maximum Amount outstanding during the year Rs. 402,032,065) (Previous year Rs. 170,196,904).

6. The unsecured loan of Rs. 35,773,974 given to its subsidiary company B.A.G Infotainment Limited along with interest as at March 31, 2011 has been converted into share application account for proposed investment in equity share of B.A.G. Infotainment limited.

7. As per Accounting Standard (AS)-17 issued by the Institute of Chartered Accountants of India, segment information has been provided in the Notes to Consolidated Financial Statements.

8. Earlier year adjustment (net) of Rs. 1,860,726 (Previous Year Rs. 2,672,974) in Reserves and Surplus Account includes:-

i) Rs. 2,012,376 on account of short provisioning of Fringe Benefit Tax and unclaimed dividend.

ii) Rs.151, 650 on account of excess provisioning of Income Tax.

9. Employee Stock Option Scheme

The Company instituted the Employee Stock option scheme - ("the BAG ESOP Scheme") to grant equity to the eligible employees of the company and its subsidiaries. "the BAG ESOP Scheme" has been approved by the Shareholders in their Extra-Ordinary General Meeting held on February 13, 2007, for grant of 10,000,000 options representing one share for each option. The equity shares covered under the scheme shall vest over a period of five years. Pursuant to the scheme, the ESOP compensation committee on July 30, 2008 granted 1,150,000 options to employees of the B.A.G. Films & Media Limited and its subsidiaries.

Accordingly the Company under the intrinsic value method has recognized the excess of the market price over the exercise price of the option amounting to Rs.2,707,500 as an expense during the year. Further, the Liability Outstanding as at March 31, 2011 in respect of Employees Stock Options Outstanding is Rs.8,664,000. The balance deferred compensation expense Rs. 6,091,876 will be amortized over the remaining vesting period of Options.

11. Commitments & Contingent Liabilities

a) Guarantee given to bank amounting to Rs. 6,06,000 (Previous year Rs. 6,06,000) secure by fixed deposit.

b) Guarantee given on behalf of subsidiaries:

i) Guarantee given on behalf of subsidiary company, B.A.G. Newsline Network Limited amounting to Rs. 27,00,000 (Previous year Rs. 27,00,000).

ii) Guarantee given on behalf of subsidiary company, B.A.G. Infotainment Limited amounting to Rs. 5,13,000 (Previous year Rs. 5,13,000).

iii) Guarantee given on behalf of subsidiary company, B.A.G. Newsline Network Limited amounting to Rs. 5,00,00,000 (Previous year Rs. 5,00,00,000) by pledging 514,286 shares held by B.A.G. Films & Media Limited in the B.A.G. Newsline Network Limited.

iv) Guarantee given on behalf of subsidiary company, B.A.G. Glamour Limited amounting to Rs. 4,00,00,000 (Previous year Rs. 4,00,00,000) by pledging 411,430 shares held by B.A.G. Films & Media Limited in the B.A.G. Glamour Limited.

c) Corporate Guarantees given in favour of bank by creating charge on land situated at Plot No. HS- 20, Sector-B-7, Greater Noida amounting to Rs. 180,000,000 (Previous year Rs. 132,500,000) on behalf of B.A.G. Education Society.

d) During the year B.A.G Films & Media Limited. availed facility of Rs.25,00,00,000 (Previous Year Rs. 19,00,00,000 from State Bank of India) from Punjab National Bank Limited in the form of term loan. The sanction given by bank on the basis of proposed pari passu charge on Land and building of B.A.G Films & Media Limited situated at FC- 23, Sector-16-A, Film City, Noida.

12. Loans & Advances

Loans or advances given to subsidiary Companies are shown under the head Loans & Advances where there is no repayment schedule and are re-payable on demand. Interest has been charged from the subsidiaries against loans given. The loans have been given in the best interest of the Company to fund the financial obligations for attaining the objective of media expansion plans of the Company.

13. Export Obligation

The Company has obtained license under the Export Promotion Credit Guarantee Scheme (EPCG Scheme) for importing capital goods at a concessional rate of custom duty against submission of undertaking to custom department. Under the terms of the EPCG Scheme, the company is required to export goods or services of at least Rs. 43,52,16,860 (Previous Year Rs. Rs. 43,52,16,860) within eight years from issue of EPCG Licenses.

14. Operating Lease

The Company has given broadcasting equipments under operating leases. These lease agreements are normally renewable on expiry. The rental income on operating leases is credited to profit and losses account

15. Employee Benefits as per Accounting Standard 15 (revised) 'Employees Benefits', the disclosures of employee benefits are given below:

a) Defined Contribution Plans :

Contribution to Defined Contribution Plan recognized as expense for the year is as under:

Employer's Contribution to Provident Fund : Rs. 210,938 (Previous Year Rs. 236,893)

Employer's Contribution to ESI : Rs. 86,216 (Previous Year Rs. 24,472)

Defined Benefit Plans:

The present value of obligation is determined based on actuarial valuation using the Projected Unit Credit method, which recognizes each period of service as giving rise to additional unit of employee benefit entitlement and measures each unit separately to build up the final obligation. The obligation for leave encashment is recognized in the same manner as gratuity.

16. Additional information required to be given pursuant to Part II of Schedule VI of the Companies Act, 1956 is as follows: -

iii) The Company is in the business of media and entertainment, which is not subject to any license; hence licensed capacity is not given.

iv) Activity in Foreign Currency

vi) Information pursuant to other provisions of Part -II of Schedule -VI to The Act, is either nil or not applicable to the Company for the year.

17. There is no amount outstanding to be credited to Investor Education and Protection Fund.

18. Related Parties Disclosures as per Accounting Standard (AS-18) are as follows: 1. List of Related Parties

Name Relationship

Ms.Anurradha Prasad Chairperson cum Managing Director

Mr.Rajiv Shukla Relative of Chairperson cum Managing Director

Mr.Rajeev Shankar Relative of Chairperson cum Managing Director

B.A.G. Infotainment Limited Subsidiary

B.A.G. Newsline Network Limited Subsidiary

B.A.G. Glamour Limited Subsidiary

B.A.G Animation Private Limited Subsidiary

Sieun and B.A.G. Animation Private Limited Joint Venture

B.A.G. Business Ventures Limited Associates

Approach Films & Television Enterprises over which KMP Limited are able to exercise significant influence

ARVR Communications Private Limited Promoter Company

19. a). There are no dues to small scale industrial undertakings (SSI) outstanding for more than 30 days.

b). Amount overdue as on March 31, 2011 to Micro, Small and Medium Enterprise on account of principle account, together with interest aggregates to Rs. Nil. (Previous year Rs.Nil).

Note: The above information regarding the small scale undertakings and Micro, Small and Medium Enterprise has been determined to the extent such parties have been identified on the basis of the information available with the Company.

20. The Company has not made any provision for cess payable u/s 441A of the Companies Act, 1956. The said provision shall be made as and when the requisite notification is issued by the Central Government in this regard.

21. Previous year figures are regrouped, rearranged or recast wherever necessary to make them comparable with the current year figures.

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Mar 31, 2010

1. Pursuant to the resolution passed by the Members of the Company at the Extraordinary General Meeting dated December 11, 2009 Company increased the Authorized Share Capital from Rs. 300,000,000 to Rs. 400,000,000.

2. The Company has valued its investment in equity shares of Mukta Arts Limited at cost. The current market price of the said shares is Rs. 290,750 (Previous year Rs. 172,500). This being a long-term investment, the Company considers this fall in value as temporary.

3. Disclosure under Chapter XIII of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009 regarding Preferential Issue of Shares:

a) During the year under review your Company had issued and allotted 15,000,000 convertible warrants at a price of Rs. 17.30 each including a premium of Rs. 15.30 per warrant pursuant to Section 81(1A) of the Companies Act, 1956 as per the approval accorded by the Members of the Company at the Annual General Meeting dated August 26, 2009 to M/s ARVR Communications Private Limited (Formerly known as Anu Films and Communications Private Limited), a promoter group Company on Preferential Basis with an option to get allotted one equity share per equity warrant before expiry of eighteen months from the date of allotment. The Company received 25% upfront money against the same as per the SEBI (Issue of Capital and Disclosure

Requirements) Regulations, 2009 mentioned above amounting to Rs. 64,875,000.

Out of total 15,000,000 Convertible warrants, 7,140,000 warrants have been converted into equity shares during the financial year 2009-10 dated November 28, 2009. The equity shares issued by above conversion have been listed for trading on the Stock Exchanges

b) The Company Issued 3,700,000 GDR at a price of USD 4.71 each convertible into 37,000,000 Equity Shares of Rs. 2 each aggregating to USD 17,427,000. One GDR represents 10 fully paid equity shares and number of outstanding GDR as on March 31, 2010 was 3,700,000.

4. Loans and Advances to others include :- During the year B.A.G. Films & Media Limited has given loans and advances to its following subsidiaries:

a) B.A.G. Infotainment Limited: Rs.170,198,537 (Maximum Amount outstanding during the year Rs. 170,198,537) (Previous year Rs. 137,196,904).

b) B.A.G. Newsline Network Limited: Rs. 560,871,911 (Maximum Amount outstanding during the year Rs. 560,871,911) (Previous year Rs. 273,499,586).

c) B.A.G. Glamour Limited: Rs. 230,583,520 (Maximum Amount outstanding during the year Rs. 230,583,520) (Previous year Rs. 113,152,793).

5. As per Accounting Standard (AS)-17 issued by the Institute of Chartered Accountants of India, segment information has been provided in the Notes to Consolidated Financial Statements.

6. Earlier year adjustment (net) of Rs. 2,672,974 (Previous Year Rs. 5,961,230) in Reserves and Surplus Account includes:- a) Rs. 2,604,720 on account of excess provisioning of Income Tax & Wealth Tax.

b) Rs. 68,254 on account of prior period adjustment for unclaimed Dividend.

7. Commitments & Contingent Liabilities

a) Guarantee given to bank amounting to Rs. 606,000 (Previous year Rs. 68,576,000) secure by fixed deposit.

b) Guarantee given on behalf of subsidiaries:

i) Guarantee given on behalf of subsidiary Company, B.A.G. Newsline Network Limited amounting to Rs. 2,700,000 (Previous year Rs. 2,700,000).

ii) Guarantee given on behalf of subsidiary Company, B.A.G. Infotainment Limited amounting to Rs. 513,000 (Previous year Rs. 513,000).

iii) Guarantee given on behalf of subsidiary Company, B.A.G. Newsline Network Limited amounting to Rs. 50,000,000 (Previous year Rs. 50,000,000) by pledging 514,286 shares held by B.A.G. Films & Media Limited in the B.A.G. Newsline Network Limited.

iv) Guarantee given on behalf of subsidiary Company, B.A.G. Glamour Limited amounting to Rs. 40,000,000 (Previous year Rs. 40,000,000) by pledging 411,430 shares held by B.A.G. Films & Media Limited in the B.A.G. Glamour Limited.

c) Corporate Guarantees given to bank by creating charge on land situated at Plot No. HS-20, Sector-B-7, Greater Noida amounting to Rs. 132,500,000 (Previous year Rs. 132,500,000) on behalf of B.A.G. Films Education Society.

d) During the year B.A.G Films & Media Limited availed facility of Rs.190,000,000 (Previous Year Rs. NIL.) from State Bank of India in the form of cash credit and term loan. The sanction given by bank on the basis of creating charge on Land and Building of B.A.G Films & Media Limited situated at FC-23, Sector-16-A, Film City, Noida.

e) Liability in respect of bills discounted with banks is Rs. Nil (Previous Year Rs. 22,686,256).

Employee Stock Option Scheme

The Company instituted the Employee Stock option scheme - ("the BAG ESOP Scheme") to grant equity to the eligible employees of the Company and its subsidiaries. "the BAG ESOP Scheme" has been approved by the Shareholders in their Extra-Ordinary General Meeting held on February 13, 2007, for grant of 10,000,000 options representing one share for each option. The equity shares covered under the scheme shall vest over a period of five years. Pursuant to the scheme, the ESOP compensation committee on July 30, 2008 granted 1,150,000 options to employees of the B.A.G. Films & Media Limited and its subsidiaries.

Accordingly the Company under the intrinsic value method has recognized the excess of the market price over the exercise price of the option amounting to Rs.2,707,500 as an expense during the year. Further, the Liability Outstanding as at March 31, 2010 in respect of Employees Stock Options Outstanding is Rs.11,642,250. The balance deferred compensation expense Rs. 8,799,376 will be amortized over the remaining vesting period of Options.

8. Loans & Advances

Loans or advances given to subsidiary Companies are shown under the head Loans & Advances where there is no repayment schedule and are re-payable on demand. Interest has been charged from the subsidiaries against loans given. The loans have been given in the best interest of the Company to fund the financial obligations for attaining the objective of media expansion plans of the Company.

9 . Export Obligation

The Company has obtained license under the Export Promotion Credit Guarantee Scheme (EPCG Scheme) for importing capital goods at a concessional rate of custom duty against submission of bank guarantee and bonds. Under the terms of the EPCG Scheme, the Company is required to export goods or services of at least Rs. 435,216,860 (Previous Year Rs. 435,216,860) within eight years from issue of EPCG License.

10. Operating Lease

The Company has given broadcasting equipments under operating leases. These lease agreements are normally renewable on expiry. The rental income on operating leases is credited to profit and losses account

11. Employee Benefits

As per Accounting Standard 15 (revised) Employees Benefits, the disclosures of employee benefits are given below:

a) Defined Contribution Plans :

Contribution to Defined Contribution Plan recognized as expense for the year is as under:

Employers Contribution to Provident Fund : Rs. 236,893 (Previous Year Rs. 301,750)

Employers Contribution to ESI : Rs. 24,472/- (Previous Year Rs. 27,883)

Defined Benefit Plans:

The present value of obligation is determined based on actuarial valuation using the Projected Unit Credit method, which recognizes each period of service as giving rise to additional unit of employee benefit entitlement and measures each unit separately to build up the final obligation. The obligation for leave encashment is recognized in the same manner as gratuity.

12. There is no amount outstanding to be credited to Investor Education and Protection Fund.

13. Related Parties Disclosures as per Accounting Standard (AS-18) are as follows:

i) List of Related Parties:

Name Relationship

Ms. Anurradha Prasad Chairperson cum Managing Director

Mr. Rajiv Shukla Relative of Chairperson cum Managing Director

Mr. Rajeev Shankar Relative of Chairperson cum Managing Director

B.A.G. Infotainment Limited Subsidiary

B.A.G. Newsline Network Limited Subsidiary

B.A.G. Glamour Limited Subsidiary

B.A.G Animation Private Limited Subsidiary

Sieun and B.A.G. Animation Private Limited Joint Venture

B.A.G. Business Ventures Limited Associates

Approach Films & Television Limited Enterprises over which KMP are able to exercise significant influence

ARVR Communications Private Limited Promoter Company (Formerly known as Anu Films and Commun- ications Private Limited )

14. a). There are no dues to small scale industrial undertakings (SSI) outstanding for more than 30 days.

b). Amount overdue as on March 31, 2010 to Micro, Small and Medium Enterprise on account of principle account, together with interest aggregates to Rs. Nil. (Previous year Rs.Nil).

Note: The above information regarding the small scale undertakings and Micro, Small and Medium Enterprise has been determined to the extent such parties have been identified on the basis of the information available with the Company.

15. The Company has not made any provision for cess payable u/s 441A of the Companies Act, 1956. The said provision shall be made as and when the requisite notification is issued by the Central Government in this regard.

16. Previous year figures are regrouped, rearranged or recast wherever necessary to make them comparable with the current year figures.