Notes to Accounts of Cantabil Retail India Ltd.

Mar 31, 2025

2.21 Provisions, contingent liabilities and contingent
assets

Provisions are measured at the Present value of the
management''s best estimate (these estimated are
reviewed at each reporting date and adjusted to reflect
the current best estimate) of the expenditure required to
settle the present obligation at the end of reporting

period. Provisions involving substantial degree of
estimation in measurement are recognized when there
is a present obligation as a result of past events and it is
probable that there will be an outflow of resources.

Contingent liabilities are disclosed only 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 which is 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
estimate of the amount cannot be measured reliably.

No contingent asset is recognized but disclosed by way
of notes to accounts only when its recognition is virtually
certain.

2.22 Revenue recognition

Revenue is recognised to the extent that it is probable
that the economic benefits will flow to the Company and
the revenue can be reliably measured, regardless of
when the payment is being made. Amount of sales are
net of goods and service tax, sale returns, trade
allowances and discounts.

Revenue from contracts with customers is recognised
when control of the goods is transferred to the customer
on satisfaction of performance obligations. The
Performance obligations as per contracts with
customers are fulfilled at the time of dispatch or delivery
of goods depending upon the terms agreed with
customer.

Revenue towards satisfaction of performance
obligation is measured at the amount of transaction
price (net of variable consideration and provision for
sales returns) allocated to that performance obligation.
Amounts disclosed as revenue are net of returns and
trade discounts, rebates, incentives, etc. A receivable is
recognised where the Company''s right to consideration
is unconditional. The Company collects goods and
services tax on behalf of the government and therefore,
these are not economic benefits flowing to the
Company. Hence, these are excluded from the revenue.

Additional points:

Contract assets/contract liabilities

When either party to a contract has performed, an entity
shall present the contract in the balance sheet as
contract asset or contract liability, depending on the
relationship between the entity''s performance and the
customer''s payment.

Principal vs agent :

The Company assesses its revenue arrangement in
order to determine if its business partner is acting as a
principle or as an agent by analysing whether the
Company has primary obligation for pricing latitude and
exposure to credit / inventory risk associated with the
sale of goods. The Company has concluded that certain
arrangements are on principal to agent basis where its
business partner is acting as an agent. Hence, sale of
goods to its business partner is recognised once they
are sold to the end customer.

Rights of return :

Certain contracts provide a customer with a right to
return the goods within a specified period. The
Company uses the expected value method to estimate
the goods that will be returned because this method
best predicts the amount of variable consideration to
which the Company will be entitled. The requirements in
Ind AS 115 on constraining estimates of variable
consideration are also applied in order to determine the
amount of variable consideration that can be included in
the transaction price. For goods that are expected to be
returned, instead of revenue, the Company recognises
a refundable liability. A right of return asset and
corresponding adjustment to change in inventory is also
recognised for the right to recover products from a
customer.

Returnable assets :

Assets and liabilities arising from returns i.e. Returnable
assets represents the Company’s right to recover the
goods expected to be returned by customers. The asset
is measured at the former carrying amount of the
inventory, less any expected costs to recover the
goods, including any potential decrease in the value of
the returned goods. The Company updates the
measurement of the asset recorded for any revisions to
its expected level of returns, as well as any additional
decrease in the value of the returned products.

Refundable liabilities:

A refundable liability is the obligation to refund some or
all of the consideration received (or receivable) from the
customer and is measured at the amount the Company
ultimately expects it will have to return to the customer.
The Company updates its estimates of refundable
liabilities (and the corresponding change in the
transaction price) at the end of each reporting period.
Refer to above accounting policy on variable
consideration.

Allowance for uncollectible trade receivables:

Trade receivables do not carry any interest and are
stated at their nominal value as reduced by appropriate
allowances for estimated irrecoverable amounts.
Estimated irrecoverable amounts are based on the
ageing of the receivable balance and historical
experience. Additionally, a large number of minor
receivables is grouped into homogeneous groups and
assessed for impairment collectively. Individual trade
receivables are written off when management deems
them not to be collectible.

Other income :

Interest income

Interest income from a financial asset is recognized
when it is probable that the economic benefits will flow
to the Company and the amount of income can be
measured reliably. Interest is accrued on time
proportion basis, by reference to the principle
outstanding at the effective interest rate.

Dividends

Income from dividend on investments is accrued in the
year in which it is declared, whereby the Company’s
right to receive is established.

All other income is recognized on accrual basis when no
significant uncertainty exists on their receipt.

2.23 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 any
business combination or to an item which is recognised
directly in equity or in other comprehensive income.

a) Current tax

Current income tax assets and liabilities are
measured at the amount expected to be recovered
from or 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 statement of profit or loss is
recognized outside statement of profit or loss (either
in other comprehensive income or in equity). Current
tax items are recognized in correlation to the
underlying transaction either in OCI or directly 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.

b) Deferred tax

Deferred tax is provided using the liability method on
temporary differences between the tax bases of
assets and liabilities and their carrying amounts for
financial reporting purposes at the reporting date.

Deferred tax assets are recognized for all deductible
temporary differences, the carry forward of unused
tax credits and any unused tax losses. Deferred tax
assets are recognized to the extent that it is probable
that taxable profit will be available against which the
deductible temporary differences, and the carry
forward of unused tax credits and unused tax losses
can be utilized.

The carrying amount of deferred tax assets is
reviewed at each reporting date and reduced to the
extent that it is no longer probable that sufficient
taxable profit will be available to allow all or part of the
deferred tax asset to be utilized. Unrecognized
deferred tax assets are re-assessed at each reporting
date and are recognized to the extent that it has
become probable that future taxable profits will allow
the deferred tax asset to be recovered.

Deferred tax assets and liabilities are measured at the
tax rates that are expected to apply in the year when
the asset is realized or the liability is settled, based on
tax rates (and tax laws) that have been enacted or
substantively enacted at the reporting date.

Deferred tax relating to items recognized outside
statement of profit or loss is recognized outside
statement of profit or loss. Deferred tax items are
recognized in correlation to the underlying
transaction either in OCI or directly in equity.

Deferred tax assets and deferred tax liabilities are
offset if a legally enforceable right exists to set off
current tax assets against current tax liabilities and
the deferred taxes relate to the same taxable
Company Group and the same taxation authority.

2.24 Employee benefits

i) Short term employee benefits

Short-term employee benefit obligations are
measured on an undiscounted basis and are
expensed as the related service is provided.

A liability is recognized for the amount expected to be
paid under performance related pay if the Company
has 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.

ii) Post-employment benefits

Employee benefit that are payable after the
completion of employment are Post-Employment
Benefit (other than termination benefit). Company has
identified post employment benefits:

a) Defined contribution plans

Defined contribution plans are those plans in
which the Company pays fixed contribution into
separate entities and will have no legal or
constructive obligation to pay further amounts.
Provident Fund and Employee State Insurance
are Defined Contribution Plans in which
Company pays a fixed contribution and will have
no further obligation beyond the monthly
contributions and are recognised as an expenses
in Statement of Profit & Loss.

b) Defined benefit plans

A defined benefit plan is a post-employment
benefit plan other than a defined contribution
plan.

Company pays Gratuity as per provisions of the
Gratuity Act, 1972. The Company’s net
obligation in respect of defined benefit plans is
calculated separately for each plan by estimating
the amount of future benefit that employees have
earned in return for their service in the current
and prior periods; that benefit to employees is
discounted to determine its present value.

The calculation is performed annually by a
qualified actuary using the projected unit credit
method. The net interest cost is calculated by
applying the discount rate to the net balance of
the defined benefit obligation and the fair value of
plan assets. This cost is included in employee
benefit expense in the statement of profit and
loss. Any actuarial gains or losses pertaining to
components of re-measurements of net defined
benefit liability/(asset) are recognized in OCI in
the period in which they arise. The calculation is
performed annually by a qualified actuary using
the projected unit credit method. The net interest
cost is calculated by applying the discount rate to
the net balance of the defined benefit obligation
and the fair value of plan assets. This cost is
included in employee benefit expense in the
statement of profit and loss. Any actuarial gains
or losses pertaining to components of re¬
measurements of net defined benefit
liability/(asset) are recognized in OCI in the
period in which they arise.

c) Compensated absences

The liabilities for leave balance are not expected
to be settled wholly within 12 months after the
end of the reporting period in which the
employees render the related service. They are
therefore measured as the present value of
expected future payments to be made in respect
of services provided by employees up to the end
of the reporting period using the projected unit
credit method. The benefits are discounted using
the market yields on government bonds at the
end of the reporting period that have terms
approximating to the terms of the related
obligation. Remeasurements as a result of
experience adjustments and changes in actuarial
assumptions are recognised in statement of
profit and loss.

The obligations are presented as current

liabilities in the balance sheet if the entity does
not have an unconditional right to defer
settlement for at least twelve months after the
reporting period, regardless of when the actual
settlement is expected to occur.

2.25 Earnings per share

Basic earnings/(loss) Per Share is calculated by
dividing the net profit or loss for the period attributable
to equity shareholders by weighted average number of
equity shares outstanding during the period.

For the purpose of calculating diluted earnings/(loss)
per share, net profit after tax during the year and the
weighted average number of shares outstanding during
the year are adjusted for the effect of all dilutive potential
equity shares.

2.26 Leases
Leases

The Company assesses at contract inception whether a
contract is, or contains, a lease. That is, if the contract
conveys the right to control the use of an identified asset
for a period of time in exchange for consideration.

Company as lessee

The Company applies a single recognition and
measurement approach for all leases, except for short¬
term leases and leases of low-value assets. The
Company recognises lease liabilities to make lease
payments and right-of-use assets representing the right
to use the underlying assets.

The Company determines the lease term as the non¬
cancellable term of the lease, together with any periods
covered by an option to extend the lease if it is
reasonably certain to be exercised, or any periods
covered by an option to terminate the lease, if it is
reasonably certain not to be exercised.

Right of use assets

The Company recognises right-of-use assets at the
commencement date of the lease (i.e., the date the
underlying asset is available for use). Right-of-use
assets are measured at cost, less any accumulated
depreciation and impairment losses, and adjusted for
any measurement of lease liabilities. The cost of right-
of-use assets includes the amount of lease liabilities
recognised, initial direct costs incurred and lease
payments made at or before the commencement date
less any lease incentives received. Right-of-use assets
are depreciated on a straight-line basis over the lease
term or useful life of assets which ever is lower, if
ownership of the leased asset transfer to the Company
at the end of lease term or the cost reflects the exercise
of purchase option, depreciation is calculated using the
estimated useful life of the assets. The Right-of-use
assets are also subject to impairment.

Right of Use Assets having definite life are depreciated
on straight line method in their useful life mentioned
below:

a) Right of use assets 05-15 Years as per

term of lease

Lease liability

At the commencement date of the lease, the Company
recognises lease liabilities measured at the present
value of lease payments to be made over the lease term.
The lease payments include fixed payments less any
lease incentives receivable. Variable lease payments
that do not depend on an index or a rate are recognised
as expenses (unless they are incurred to produce
inventories) in the period in which the event or condition
that triggers the payment occurs.

In calculating the present value of lease payments, the
Company uses its incremental borrowing rate at the
lease commencement date because the interest rate
implicit in the lease is not readily determinable. After the
commencement date, the amount of lease liabilities is
increased to reflect the accretion of interest and
reduced for the lease payments made. In addition, the
carrying amount of lease liabilities is remeasured if there
is a modification, a change in the lease term, a change in
the lease payments or a change in the assessment of an
option to purchase the underlying asset.

Short term lease and leases of low value assets

The Company applies the short-term lease recognition
exemption to its short-term leases (i.e., those leases
that have a lease term of 12 months or less from the
commencement date and do not contain a purchase
option). It also applies the lease of low-value assets
recognition exemption to items that are considered to
be low value. Lease payments on short-term leases and
leases of low-value assets are recognised as expense
on a straight-line basis over the lease term.

2.27 Government grants

Grants from the Government are recognised when there
is reasonable assurance that all the underlying
conditions will be complied with and the grants will be
received.

Government Grant whose primary condition is that the
Company should purchase, construct or otherwise
acquire capital assets are presented by adding them to
the carrying value of Assets. The grant is recognized as
income over the life of depreciable asset by way of
transferring balance from deferred revenue income to
other income.

2.28 Amendments to Accounting Standards (Ind AS)
issued but not yet effective

Ministry of Corporate Affairs (“MCA”) notifies new
standards or amendments to the existing standards

under Companies (Indian Accounting Standards) Rules
as issued from time to time. There are no new Standards
that became effective during the year ended 31 March
2025 which are applicable to the Company.

2.29 Amended Accounting Standards (Ind AS) and
interpretations effective during the year

Ministry of Corporate Affairs ("MCA") notifies new
standards or amendments to the existing standards
under Companies (Indian Accounting Standards) Rules
as issued from time to time. MCA has notified below
new standards /amendments which were effective from
1 April, 2024.

a. Amendments to Ind AS 116 -Lease liability in a sale
and leaseback

The amendments require an entity to recognise lease

liability including variable lease payments which are
not linked to index or a rate in a way it does not result
into gain on Right of use asset it retains.

The amendments had no impact on the Company.

b. Introduction of Ind AS 117 - Insurance Contracts

MCA notified Ind AS 117 "Insurance Contracts", a
comprehensive standard that prescribe, recognition,
measurement and disclosure requirements, to avoid
diversities in practice for accounting insurance
contracts and it applies to all companies i.e., to all
"insurance contracts" regardless of the issuer.
However, Ind AS 117 is not applicable to the entities
which are insurance companies registered with
IRDAI.

The amendments had no impact on the Company.

(iv) Terms / rights attached to Equity Shares

The Company has only one class of equity shares having a par value of '' 2/- per share. Every holder of equity shares is
entitled to voting rights in proportion to his shares of the paid up equity share capital. The dividend, if any, proposed by the
board of directors is subject to the approval of the shareholders in the ensuing annual general meeting. The Company
declares and pay dividend in Indian rupees.

In event of liquidation of the Company, the holders of equity shares would be entitled to receive remaining assets of the
Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity
shares held by the shareholders.

(v) Split of Shares

The board of directors of the Company at their meeting held on 12 August 2023 had considered and approved the stock
split/ sub-division of every 1 equity share of the nominal/face value of '' 10/- each into 5 equity shares of the nominal/face
value of '' 2/- each and the same has been approved by the shareholders of the Company at the annual general meeting
held on 28 September 2023.

(vi) Issue of equity shares under preferential allotment :

a) On 18 January 2024, the board of directors of the Company approved a preferential issue of 2,000,000 fully paid up
equity shares of face value of ''2/- each, for cash, at '' 252/- per equity share (including a premium of ''250/- per equity
share) amounting to ''5,040 Lakhs to Think India Opportunities Master Fund LP, an exempted limited partnership
formed under the laws of Cayman Islands situated at United Kingdom by way of preferential allotment on private
placement basis in accordance with the Securities and Exchange Board of India (Issue of Capital and Disclosure
Requirements) regulations, 2018 (“ICDR Regulations”) as amended and other applicable laws.

b) The Company received the approval of the shareholders in its extra ordinary general meeting (EGM) held on 14
February 2024.

c) On 22 February 2024, the board of directors approved the allotment to the investor on receipt of consideration
aggregating to '' 5,040 Lakhs towards 20,00,000/- fully paid up equity shares.

During the year ended 31 March 2024, the Company has raised through preferential issue of 2,000,000 equity shares
of '' 2 each for cash, at '' 252/- per equity share (including a premium of '' 250/- per equity share) amounting to '' 5,040
Lakhs. As at 31 March 2024, unutilised amounts have been kept in short term investments and monitoring account.
During the current year, the unutilised amounts were applied for the working capital purposes for which the funds were
raised.

(vii) No shares have been issued by the Company for consideration other than cash, during the period of five years
immediately preceding the reporting periods. Further, no shares are reissued for use under options and contracts or
commitment for sale of shares or disinvestment.

(viii) Further, there has been no buy back of shares during the period of five years immediately preceding 31 March 2025 and 31
March 2024.

(ix) The Company has not issued any bonus shares during the financial year ended on 31 March 2025 and 31 March 2024.

Notes:

(i) Standard Chartered Bank

Interest payable @three month MIBOR 1.81% p.a. to be applied on daily balances.

Primary Security : Hypothecation of entire present and future current assets of the Company on pari passu basis with HDFC Bank, Axis
Bank and State Bank of India.

Collateral Security : On industrial land and building of the Company bearing at plot No. 359, 360 & 361 phase 4B, HSIIDC industrial
estate, Bahadurgarh (Haryana) pari passu with HDFC Bank, Axis Bank and State Bank of India by way of equitable mortgage.

Personal guarantee of Mr. Vijay Bansal (Chief Managing Director) and Mr. Deepak Bansal (Whole Time Director ) .

At 31 March, 2025, the Company has available 1,500.00 lakhs (31 March 2024 1,432.39 lakhs) of undrawn committed borrowing
facility.

(ii) State Bank of India:

Interest payable @ MCLR 8.55% 0.5%, i.e. 9.05% p.a. effectively chargeable on monthly rests, to be applied on daily balances of the
cash credit facility.

Primary Security :First pari-passu charge along with HDFC Bank, Standard Chartered Bank and Axis Bank by hypothecation over
Company''s entire current assets such as stocks of raw material, stock-in-process, Finished goods, stores & Spares of garment
manufacturing unit and book debts and other current assets lying in the factory premises and existing trading offices/ branches or
elsewhere present or Future.

Collateral Security : First pari passu Charge along with HDFC Bank, Standard Chartered Bank and Axis Bank on industrial land and
building of the Company bearing at plot No. 359, 360 & 361 Phase 4B, HSIIDC industrial estate, Bahadurgarh (Haryana) by way of
equitable mortgage.

Personal guarantee of Mr. Vijay Bansal (Chief Managing Director) and Mr. Deepak Bansal (Whole Time Director ) .

At 31 March, 2025, the Company has available 1,450.00 lakhs (31 March 2024 906.79 lakhs) of undrawn committed borrowing
facility.

(iii) HDFC Bank :

Interest payable @ 8.34% p.a. linked with 3 month Repo rate , reset on quarterly basis, chargeable on monthly rests, to be applied on daily
balances of the overdraft facility.

Primary Security : First pari passu charge on entire current assets with State Bank of India, Axis Bank and Standard Chartered Bank by
way of hypothecation.

Collateral Security : First pari passu charge along with State Bank of India, Standard Chartered Bank and Axis Bank on industrial land and
building of the Company bearing at plot No. 359, 360 & 361 Phase 4B, HSIIDC industrial estate, Bahadurgarh (Haryana) by way of
equitable mortgage.

Personal guarantee of Mr. Vijay Bansal (Chief Managing Director) and Mr. Deepak Bansal (Whole Time Director ) .

At 31 March, 2025, the Company has available 1,500.00 lakhs (31 March 2024 1,416.16 lakhs) of undrawn committed borrowing facility.

(iv) Axis Bank:

Interest payable @ REPO 2% (Presently 8.50% p.a.) chargeable on monthly rests to be applied on daily balances of the cash credit
facility.

Primary Security : First pari-passu charge on entire current assets of the Company both present and future with State Bank of India,
HDFC Bank Ltd. and Standard Chartered Bank by way of hypothecation.

52 Fair Value Disclosures
i) Fair Values Hierarchy

Financial assets and financial liabilities measured at fair value in the statement of financial position are divided into three
Levels of a fair value hierarchy. The three levels are defined based on the observability of significant inputs to the
measurement, as follows:

Level 1: Quoted prices (unadjusted) in active markets for financial instruments.

Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation
techniques which maximise the use of observable market data rely as little as possible on entity specific estimates.

Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3.

Valuation Process and Technique used to Determine Fair Value

Level 1: Quoted prices in the active market. This level of hierarchy includes financial assets that are measured by reference
to quoted prices in the active market. This category consists of mutual funds.

Level 2: Valuation techniques with observable inputs. This level of hierarchy includes items measured using inputs other
than quoted prices included within Level 1 that are observable for such items, either directly or indirectly. This level of
hierarchy consists of investment in equity shares of private limited companies.

Credit risk is the risk that a counterparty fails to discharge an obligation to the Company. The Company’s maximum
exposure to credit risk is limited to the carrying amount of following types of financial assets.

- cash and cash equivalents,

- trade receivables,

- loans and receivables carried at amortised cost, and

- deposits with banks

a) Credit Risk Management

The Company assesses and manages credit risk based on internal credit rating system, continuously monitoring
defaults of customers and other counterparties, identified either individually or by the Company, and incorporates this
information into its credit risk controls. Internal credit rating is performed for each class of financial instruments with
different characteristics. The Company assigns the following credit ratings to each class of financial assets based on
the assumptions, inputs and factors specific to the class of financial assets.

Cash and Cash Equivalents and bank deposits

Credit risk related to cash and cash equivalents and bank deposits is managed by only accepting highly rated banks
and diversifying bank deposits and accounts in different banks.

Trade receivables and other financial assets

The Company has established a credit policy under which each new customer (Business to Business sales model) is
analysed individually for creditworthiness before the payment and delivery terms and conditions are offered. The
Company’s review includes external ratings, if they are available, financial statements, credit agency information,
industry information and business intelligence. Sale limits are established for each customer and reviewed annually.
Any sales exceeding those limits require approval from the appropriate authority as per policy.

In monitoring customer credit risk, customers are grouped according to their credit characteristics, including whether
they are an individual or a legal entity, whether they are a institutional, dealers, their geographic location, industry,
trade history with the Company and existence of previous financial difficulties.

Expected credit loss for trade receivables:

The Company based on internal assessment which is driven by the historical experience/ current facts available in
relation to default and delays in collection thereof, the credit risk for trade receivables is considered low. The
Company estimates its allowance for trade receivable using lifetime expected credit loss. The balance past due for
more than 6 month, is '' 26.93 lakhs (31 March 2024: '' 45.07 lakhs).

Loan and Other financial assets measured at amortised cost includes security deposits, fixed deposits loan to related
parties and others. Credit risk related to these other financial assets is managed by monitoring the recoverability of
such amounts continuously, while at the same time internal control system in place ensure the amounts are within
defined limits.

B) Liquidity risk

Liquidity risk is the risk that the Company may encounter difficulty in meeting its present and future obligations associated
with financial liabilities that are required to be settled by delivering cash or another financial asset. The Company''s
objective is to, at all times maintain optimum levels of liquidity to meet its cash and collateral obligations . The Company
requires funds both for short term operational needs as well as for long term investment programs mainly in growth
projects. The Company closely monitors its liquidity position and deploys a robust cash management system. It aims to
minimise these risks by generating sufficient cash flows from its current operations, which in addition to the available cash
and cash equivalents, liquid investments and sufficient committed fund facilities, will provide liquidity.

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in
market prices. Market prices comprise three types of risk: interest rate risk, foreign currency risk and competition and price
risk.

a) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of
changes in market interest rates. The Company’s policy is to minimise interest rate cash flow risk exposures. The
Company is exposed to changes in market interest rates as some of the bank and other borrowings are at variable
interest rates.

The following table illustrates the sensitivity of profit and equity to a reasonably possible change in interest rates of /-
1%. These changes are considered to be reasonably possible based on management’s assessment. The calculations
are based on a change in the average market interest rate for each period, and the financial instruments held at each
reporting date that are sensitive to changes in interest rates. All other variables are held constant.

54. Capital management

For the purpose of the Company’s capital management, capital includes issued equity capital and all other equity reserves
attributable to the equity holders of the Company. The primary objective of the Company’s capital management is to ensure
that it maintains a strong credit rating and healthy capital ratios in order to support its business and maximise shareholder
value.

The Company manages its capital structure and makes adjustments to it in light of changes in economic conditions and the
requirements of the financial covenants. The Company monitors capital using a gearing ratio, which is net debt divided by total
capital plus net debt. The Company’s policy is to keep the gearing ratio optimum. The Company''s net debts includes working
capital borrowings.

57 Leases

The lease asset class primarily consists of leases for buildings with the exception of short-term leases, leases of low-value and
cancellable long-term leases underlying assets, each lease is reflected on the balance sheet as a right of use asset and a lease
liability. Lease liabilities are measured at the present value of the remaining lease payments, discounted using the incremental
borrowing rate on the date of adoption that is 9% per annuam.

Each lease generally imposes a restriction that, unless there is a contractual right to sublet the asset to another party, the right
of use asset can only be used by the Company. Leases are either non-cancellable or may only be cancelled by incurring a
substantive termination fee. Some leases contain an option to extend the lease for a further term. The Company is prohibited
from selling or pledging the underlying leased assets as security against the Company other debts and liabilities.

The Company also has certain leases of offices, store premises and warehouses with lease terms of 12 months or less. The
Company applies the ‘short-term lease’ recognition exemptions for these leases. The lease payments for such leases is being
recognised on actual basis by applying paragraph 6 of Ind AS 116.

(i) Central excise and service tax

Central excise department had raised a demand amounting to ''110.39 lakhs on the Company on 30 September 2013. The
demand order has been set aside by Central Excise and Service Tax Appellate Tribunal (CESTAT) by order dated 01 June
2017. However, the department has made an appeal before Hon''ble Delhi High Court against the order of CESTAT. In case
department succeeds in the appeal, the Company may be liable to pay the said demand of '' 110.39 lakhs along with due
interest.

(ii) Other matters

There are various labour, consumer and other cases under other acts pending against the Company, the liability of which
cannot be ascertained. However, the management does not expect significant or material liability devolving on the
Company.

Note: In respect of all litigations mentioned above, based on the opinion taken from independent consuitants/lawyers an
based on assessment, the management believes that the outcome of these cases will be favourable and does not result
into outflow of any economic resources. Accordingly, no adjustment is required in the financial statements.

(iii) Custom duty against unexecuted export obligation

In respect of pending export obligation of '' 405.08 lakhs (31 March 2024''433.92 lakhs), the Company may be required to
pay custom duty of '' 67.52 lakhs (31 March 2024''72.32 lakhs) along with interest to the custom authority if such export
obligation is not met by the Company.

(iv) Enhancement cost for industrial plot at Bahadurgarh

During the year 2019, the Company has received a demand order from Haryana State Industrial and Infrastructure
Development Corporation Ltd (HSIIDC) over land enhancement cost for Company’s Bahadurgarh industrial plot in Sector
4B, HSIIDC Industrial estate, Footwear Park, Bahadurgarh, Haryana amounting to '' 1,438.82 lakhs and 12% interest
thereon, which was upheld by the Hon''ble Punjab and Haryana High Court (""High Court"") in 2020.

The Company contested the demand before Hon’ble Supreme Court of India which passed a stay order on enhancement
demands in November 2021 and referred back the case to Hon''ble Punjab and Haryana High Court (""High Court"").
Subsequently, HSIIDC issued a show cause notice dated 12 April 2022 with a demand of '' 1,152.17 lakhs towards the land
enhancement cost of plots. High Court in June 2022, ordered a fresh hearing and restrained all demands. The matter is still
pending before Hon''ble High Court of Punjab and Haryana.

In absence of any revised order, the Company has proposed to pay an amount of '' 335.05 lakhs for the applicable
enhanced cost towards portion of the plot within sector 4B and sector 17, in line with HSIIDC’s geographical demarcation.
Accordingly, the management based on their assessment in consultation with legal counsel believes that the maximum
liability that could be devolved on the Company would be '' 335.05 lakhs. Management has recorded the liability by
capitalising the said amount under “Property, plant and equipment” and corresponding increase in “Provision for
contingencies” in the financial statements.

*Estimated amount of contracts remaining to be executed on capital account not provided for (net of advances)

The Company has saved custom duty amounting to '' 72.32 lakhs under zero duty export promotion capital goods(EPCG)
scheme on import of machinery in FY 2018-19, 2019-20 and 2022-23 . Under the said scheme the Company is required to fulfill
future export obligation amounting to ''405.08 lakhs. The Company has not received any redemption letter during the year from
relevant authorities, which makes export obligation to the extent unexecuted as on 31 March 2025 remains '' 405.08 lakhs. In
case the Company fails to fulfill the export obligation then the Company shall be liable to pay the custom duty saved related to
unexecuted export obligation along with 15% interest per annum to the customs authority.

61. Skill development program under Deen Dayal Upadhyay - Gramm Kaushal Yojna (DDU-GKY)

The Company has entered into an memorandum of understanding to implement the skill development training programs under
DDU-GKY (Deen Dayal Upadhyay - Gramin Kaushal Yojna) project funded by ministry of rural development (MoRD) and
Haryana State Rural Livelihood Mission (HSRLM) on "no profit no loss basis". The objective of the project is to work for the
empowerment of the poor and for reduction in poverty by focusing on livelihoods of the poor and vulnerable sections of the
society in rural areas. Total estimated cost of the project is '' 483.14 lakhs. Total amount spent till 31 March 2025 was '' 416.09
lakhs (31 March 2024''286.14 lakhs), out of which '' 62.11 lakhs (31 March 2024''44.59 lakhs) is receivable.

a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of
the Company (ultimate beneficiaries) or

b) provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries.

(f) The Company has not received any fund from any person(s) or entity(ies), including foreign entities (funding party) with the
understanding (whether recorded in writing or otherwise) that the Company shall :

a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of
the funding party (ultimate beneficiaries) or

b) provide any guarantee, security or the like on behalf of the ultimate beneficiaries.

(g) The Company has not undertaken any transactions which is not recorded in the books of accounts that has been
surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as,
search or survey or any other relevant provisions of the Income Tax Act, 1961) .

(h) The Company has not been declared a ''willful defaulter'' by any bank or financial Institution (as defined under the
Companies Act, 2013) or consortium thereof, in accordance with the guildlines on willful defaulter issued by the Reserve
Bank of India.

(i) The Company has duly complied with the number of layers prescribed under clause (87) of section 2 of the act read with
the Companies (restriction on number of layers) rules, 2017.

(j) The borrowings obtained by the Company from banks have been applied for the purpose for which such loans were
taken.

(k) The Company has not revalued its property, plant and equipment''s ( including right-of-use-assets) or intangible assets or
both during the current or previous year.

(l) The Company has not filed for any Scheme of Arrangements that has been approved by the Competent Authority in terms
of sections 230 to 237 of the Companies Act, 2013.

(m) The Company has not granted Loans or Advances to promoters, directors, KMPs and the related parties (as defined under
Companies Act, 2013), either severally or jointly with any other person, that are repayable on demand; or without
specifying any terms or period of repayment during the year. Also, there is no outstanding balance receivable from
promoters, directors, KMPs and the related parties as on 31 March 2025 for loan that are repayable on demand; or without
specifying any terms or period of repayment .

(n) The Company has been sanctioned working capital limits in excess of '' 500 lakhs, in aggregate, at points of time during the
year, from banks or financial institutions on the basis of security of current assets. The quarterly returns or statements filed
by the Company with such banks are in agreement with the books of account of the Company of the respective quarters .

(o) As per Section 128 of the Companies Act, 2013 read with proviso to Rule 3(1) of the Companies (Accounts) Rules, 2014
with reference to use of accounting software by the Company for maintaining its books of account, has a feature of
recording audit trail of each and every transaction, creating an edit log of each change made in the books of account along
with the date when such change were made and ensuring that the audit trail cannot be disabled is applicable with effect
from the financial year beginning on 1 April 2023. Further the audit trail shall be preserved by the Company as per the
statutory requirements for record retention.

The Company, in respect of financial year commencing on 1 April 2024, has used an accounting software for maintaining
its books of account which have a feature of recording audit trail (edit log) facility and the same have been operated
throughout the year for all relevant transactions recorded in the software except that the audit trail feature was not enabled
at the database level for accounting software to log any direct data changes, used for maintenance of all accounting
records by the Company. Further, there were no instance of audit trail feature being tampered with and the audit trail has
been preserved by the Company as per the statutory requirements for record retention, other than the consequential
impact of the exception given above.

(p) Title deeds of all immovable properties owned by the Company under Property, Plant and Equipment are held in the
Company''s name except for below mentioned property.

66 Recent pronouncements:

Ministry of Corporate Affairs (“MCA”) notifies new standards or amendments to the existing standards under Companies
(Indian Accounting Standards) Rules as issued from time to time. For the year ended March 31,2025, MCA has notified Ind AS -
117 Insurance Contracts and amendments to Ind AS 116 - Leases, relating to sale and leaseback transactions, applicable to
the Company w.e.f. April 1, 2024. The Company has reviewed the new pronouncements and based on its evaluation has
determined that it does not have any significant impact in its financial statements.

67 Previous year''s figures have been regrouped/reclassified wherever necessary to conform to current year''s grouping and
classifications. The impact of such reclassification/regrouping is not material to the financials statements.

68 The financial statements for the year ended 31 March 2025 were approved by the Board of director''s on 15 May 2025.

For Walker Chandiok & Co LLP For and on behalf of the Board of Directors

Chartered Accountants Cantabil Retail India Limited

Firm''s Registration No.: 001076N/N500013

Kartik Gogia Vijay Bansal Deepak Bansal

Partner Chairman and Managing Director Whole Time Director

Membership No.: 512371 DIN: 01110877 DIN: 01111104

Place: New Delhi Shivendra Nigam Poonam Chahal

Date: 15 May 2025 Chief Financial Officer Company Secretary

and Head Legal,
Membership No: F-9872

---

Mar 31, 2024

2.21 Provisions, Contingent Liabilities and Contingent Assets

Provisions are measured at the Present value of the management''s best estimate (these estimated are reviewed at each reporting date and adjusted to reflect the current best estimate) of the expenditure required to settle the present obligation at the end of reporting period. Provisions involving substantial degree of estimation in measurement are recognized when there is a present obligation as a result of past events and it is probable that there will be an outflow of resources.

Contingent liabilities are disclosed only 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 which is 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 estimate of the amount cannot be measured reliably.

No contingent asset is recognized but disclosed by way of notes to accounts only when its recognition is virtually certain.

2.22 Revenue Recognition

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured, regardless of when the payment is being made. Amount of sales are net of goods and service tax, sale returns , trade allowances and discounts.

To determine whether to recognize revenue, the company follows a 5-step process:

1. Identifying the contract with a customer

2. Identifying the performance obligations

3. Determining the transaction price

4. Allocating the transaction price to the performance obligations

5. Recognising revenue when/as performance obligation(s) are satisfied.

The company considers the terms of the contract and its customary business practice to determine the transaction price.

In all cases, the total transaction price is allocated amongst the various performance obligations based on their relative standalone selling price. The transaction

price excludes amounts collected on behalf of third parties. The consideration promised include fixed amounts, variable amounts, or both.

Revenue is recognised either at a point in time or over time, when (or as) the company satisfies performance obligations by transferring the promised goods or services to its customers.

For each performance obligation identified the company determines at contract inception whether it satisfies the performance obligation over time or satisfies the performance obligation at point in time. If any entity does not satisfy a performance obligation over time, the performance obligation is satisfied at a point in time.

A receivable is recognised where the company''s right to consideration is unconditional (i.e. any passage of time is required before payment if the consideration is due).

When either party to a contract has performed, an entity shall present the contract in the balance sheet as contract asset or contract liability, depending on the relationship between the entity''s performance and the customer''s payment.

While this represents significant new guidance, the implementation of this new guidance had no impact on the timing or amount of revenue recognised by the company in any year.

Company continues to account for export benefits on accrual basis.

Other Income

All other income is recognized on accrual basis when no significant uncertainty exists on their receipt.

Interest Income

Interest income from a financial asset is recognized when it is probable that the economic benefits will flow to the company and the amount of income can be measured reliably. Interest is accrued on time proportion basis, by reference to the principle outstanding at the effective interest rate.

Dividends

Income from dividend on investments is accrued in the year in which it is declared, whereby the company’s right to receive is established.

2.23 Foreign Currency Conversions/

Transactions

Foreign Currency Transactions are recorded at the exchange rates prevailing on the date of the transactions. Gains and losses arising out of subsequent fluctuations are accounted for on actual payments or realisations as the case may be. Monetary assets and liabilities denominated in foreign currency as on Balance Sheet date are translated into functional currency at the exchange rates prevailing on that date and Exchange differences arising out of such

conversion are recognised in the Statement of Profit and Loss.

2.24 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 any business combination or to an item which is recognised directly in equity or in other comprehensive income.

a) CurrentTax

Current income tax assets and liabilities are measured at the amount expected to be recovered from or paid to the tax authorities. 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 statement of profit or loss is recognized outside statement of profit or loss (either in other comprehensive income or in equity). Current tax items are recognized in correlation to the underlying transaction either in OCI or directly 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

b) Deferred Tax

Deferred tax is provided using the liability method on temporary differences between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes at the reporting date.

Deferred tax assets are recognized for all deductible temporary differences, the carry forward of unused tax credits and any unused tax losses. Deferred tax assets are recognized to the extent that it is probable that taxable profit will be available against which the deductible temporary differences, and the carry forward of unused tax credits and unused tax losses can be utilized.

The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilized. Unrecognized deferred tax assets are re-assessed at each reporting date and are recognized to the extent that it has become probable that future taxable profits will allow the deferred tax asset to be recovered.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realized or the liability is settled, based on tax rates (and tax laws) that have been enacted or substantively enacted at the reporting date.

Deferred tax relating to items recognized outside

statement of profit or loss is recognized outside statement of profit or loss. Deferred tax items are recognized in correlation to the underlying transaction either in OCI ordirectly in equity.

Deferred tax assets and deferred tax liabilities are offset if a legally enforceable right exists to set off current tax assets against current tax liabilities and the deferred taxes relate to the same taxable company Group and the same taxation authority."

2.25 Employee Benefits

i) Short Term Employee Benefits

Short-term employee benefit obligations are measured on an undiscounted basis and are expensed as the related service is provided.

A liability is recognized for the amount expected to be paid under performance related pay if the Company has 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.

ii) Post-Employment benefits

Employee benefit that are payable after the completion of employment are Post-Employment Benefit (other than termination benefit). Company has identified two types of post employment benefits:

a) Defined Contribution Plans

Defined contribution plans are those plans in which the company pays fixed contribution into separate entities and will have no legal or constructive obligation to pay further amounts. Provident Fund and Employee State Insurance are Defined Contribution Plans in which company pays a fixed contribution and will have no further obligation beyond the monthly contributions and are recognised as an expenses in Statement of Profit & Loss.

b) Defined Benefit Plans

A defined benefit plan is a post-employment benefit plan other than a defined contribution plan.

Company pays Gratuity as per provisions of the Gratuity Act, 1972. The Company’s net obligation in respect of defined benefit plans is calculated separately for each plan by estimating the amount of future benefit that employees have earned in return for their service in the current and prior periods; that benefit to employees is discounted to determine its present value.

The calculation is performed annually by a qualified actuary using the projected unit credit method. The net interest cost is calculated by applying the discount rate to the net balance of

the defined benefit obligation and the fair value of plan assets. This cost is included in employee benefit expense in the statement of profit and loss. Any actuarial gains or losses pertaining to components of re-measurements of net defined benefit liability/(asset) are recognized in OCI in the period in which they arise. The calculation is performed annually by a qualified actuary using the projected unit credit method. The net interest cost is calculated by applying the discount rate to the net balance of the defined benefit obligation and the fair value of plan assets. This cost is included in employee benefit expense in the statement of profit and loss. Any actuarial gains or losses pertaining to components of remeasurements of net defined benefit liability/(asset) are recognized in OCI in the period in which they arise.

Company provided for 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 obligation at the balance sheet date.

2.26 Borrowing Cost

Borrowing cost include interest calculated using the effective interest method, amortization of ancillary costs and other costs the company incurs in connection with the borrowing of funds. Borrowing costs directly attributable to the acquisition, construction or production of a qualifying asset are capitalized during the period of time that is necessary to complete and prepare the asset for its intended use or sale. A qualifying asset is one that necessarily takes substantial period of time to get ready for its intended use. Capitalisation of borrowing costs is suspended in the period during which the active development is delayed due to, other than temporary, interruption. All other borrowing costs are charged to the statement of profit and loss as incurred.

2.27 Earning Per Share

Basic Earning Per Share is calculated by dividing the net profit or loss for the period attributable to equity shareholders by weighted average number of equity shares outstanding during the period.For the purpose of calculating diluted earnings per share, net profit after tax during the year and the weighted average number of shares outstanding during the year are adjusted for the effect of all dilutive potential equity shares.

2.28 Leases Leases

The Company assesses at contract inception whether a contract is, or contains, a lease. That is, it the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration.

Company as Lessee

The Company applies a single recognition and measurement approach for all leases, except for shortterm leases and leases of low-value assets. The Company recognises lease liabilities to make lease payments and right-of-use assets representing the right to use the underlying assets.

The Company determines the lease term as the noncancellable term of the lease, together with any periods covered by an option to extend the lease if it is reasonably certain to be exercised, or any periods covered by an option to terminate the lease, if it is reasonably certain not to be exercised.

Right of Use Assets

The Company recognises right-of-use assets at the commencement date of the lease (i.e., the date the underlying asset is available for use). Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses, and adjusted for any measurement of lease liabilities. The cost of right-of-use assets includes the amount of lease liabilities recognised, initial direct costs incurred and lease payments made at or before the commencement date less any lease incentives received. Right-of-use assets are depreciated on a straight-line basis over the lease term or useful Iife of assets which ever is lower.

Lease Liability

At the commencement date of the lease, the Company recognises lease liabilities measured at the present value of lease payments to be made over the lease term. The lease payments include fixed payments less any lease incentives receivable. Variable lease payments that do not depend on an index or a rate are recognised as expenses (unless they are incurred to produce inventories) in the period in which the event or condition that triggers the payment occurs.

In calculating the present value of lease payments, the

Company uses its incremental borrowing rate at the lease commencement date because the interest rate implicit in the lease is not readily determinable. After the commencement date, the amount of lease liabilities is increased to reflect the accretion of interest and reduced for the lease payments made. In addition, the carrying amount of lease liabilities is remeasured if there is a modification, a change in the lease term, a change in the lease payments or a change in the assessment of an option to purchase the underlying asset."

Short Term Lease & Leases of Low Value Assets

The Company applies the short-term lease recognition exemption to its short-term leases (i.e., those leases that have a lease term of 12 months or less from the commencement date and do not contain a purchase option). It also applies the lease of low-value assets recognition exemption to items that are considered to be low value. Lease payments on short-term leases and leases of low-value assets are recognised as expense on a straight-line basis over the lease term.

2.29 Statement of Cash Flows

Statement of cash flows is prepared in accordance with the Indirect method prescribed in Ind AS-7 ‘Statement of Cash Flows''.

2.30 Government Grants

Government grants and subsidies are recognised when there is reasonable assurance that the company will comply with the conditions attached to them and the grants/subsidy will be received.

Government Grant whose primary condition is that the company should purchase, construct or otherwise aquire capital assets are presented by adding them to the carrying value of Assets. The grant is recognized as income over the life of depreciable asset by way of transferring balance from deferred revenue income to other income."

2.31 Standards issued but not yet effective

Ministry of Corporate Affairs (“MCA”) notifies new standards or amendments to the existing standards under Companies (Indian Accounting Standards) Rules as issued from time to time. There are no new Standards that became effective during the year.

(iv) Terms / rights attached to Equity Shares

The Company has only one class of equity shares having a par value of ? 2/- per share. Every member holding equity shares therein shall have voting rights in proportion to his shares of the paid up equity share capital. The Company declares and pay dividend in Indian rupees.

In event of liquidation of the Company, the holders of equity shares would be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

(v) Split of Shares

The Board of Directors of the Company at their meeting held on 12th August, 2023 had considered and approved the Stock Split/ Sub-Division of every 1 equity share of the Nominal/Face value of ? 10/- each into 5 equity shares of the Nominal/Face value of ? 2/- each and the same has been approved by the shareholders of the Company at the Annual General Meeting held on September 28,2023. Further the Board of Directors of the Company at their meeting held on 21st October, 2023 has approved the Record Date November 02, 2023, for the stock split. Post record date, equity shares increased from 1,63,27,608 shares to 8,16,38,040 shares. Accordingly Number of Equity Shares as on 31st March, 2023 has been restated.

(vi) Preferential Issue:

a) On 18th January, 2024, the Board of Directors of the Company approved a Preferential Issue of 20,00,000 fully paid up Equity Shares of face value of ?2/- each, for cash, at a price of ? 252/- per Equity Share (including a premium of ? 250/-per Equity Share) amounting to ? 5040.00 Lakhs, to Think India Opportunities Master Fund LP, an exempted limited partnership formed under the laws of Cayman Islands situated at United Kingdom by way of preferential allotment on private placement basis in accordance with the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) regulations, 2018 (“ICDR Regulations”) as amended and other applicable laws.

b) The Company received the approval of the Shareholders in its extra ordinary general meeting (EGM) held on 14th February, 2024.

c) On 22nd February, 2024, the Board of Directors approved the allotment to the Investor on receipt of consideration aggregating to? 5040 Lakhs towards 20,00,000/-fully paid up equity shares @ ?252/- each, of which ? 2/- is towards face value and ? 250/- towards premium.

(vii) No shares have been issued by the company for consideration other than cash, during the period of five years immediately preceding the reporting periods. Further, no shares are reissued for use under options and contracts or commitment for sale of shares or disinvestment.

25. Borrowings (Current) (Cont...)

(i) STANDARD CHARTERED BANK

Interest payable @three month MIBOR 1.81% p.a. to be applied on daily balances on the Overdraft Facility.

Primary Security : Hypothecation of entire Present and Future current assets of the company on Pari Passu basis with HDFC Bank, Axis Bank and State Bank of India.

Colletaral Security: On industrial Land & Building bearing at plot No. 359,360 & 361 Phase 4B, HSIIDC Industrial Estate, Bahadurgarh (Haryana) Pari Passu with HDFC Bank, Axis Bank and State Bank of India by way of Equitable Mortgage.

Personal Guarantee of Mr. Vijay Bansal (CMD) and Mr. Deepak Bansal (Whole Time Director).

(ii) STATE BANK OF INDIA

Interest payable @ MCLR (6 months) 8.40% 0.5%, i.e. 8.90% p.a. effectively chargeable on monthly rests, to be applied on daily balances of the cash credit facility.

Primary Security: First Pari-Passu Charge alongwith HDFC Bank, Standard Chartered Bank and Axis Bank by hypothecation over company''s entire current assets such as stocks of raw material, stock-in-process, Finished goods, stores & Spares of garment manufacturing unit and book debts and other current assets lying in the factory premises and existing trading offices/ branches or elsewhere present or Future.

Colletaral Security: First Pari Passu Charge alongwith HDFC Bank, Standard Chartered Bank and Axis Bank on industrial Land & Building bearing at plot No. 359,360&361 Phase 4B, HSIIDC Industrial Estate, Bahadurgarh (Haryana) by way of Equitable Mortgage.

Personal Guarantee of Mr. Vijay Bansal (CMD) and Mr. Deepak Bansal (Whole Time Director).

(iii) HDFC BANK:

Interest payable @ 8.5% p.a. linked with 3 month Treasury Bill rate, reset on quarterly basis, chargeable on monthly rests, to be applied on daily balances of the overdraft facility.

Primary Security : First Pari Passu Charge on entire current assets with State Bank of India, Axis Bank and Standard Chartered Bank by way of hypothecation.

Colletaral Security : First Pari Passu Charge alongwith State Bank of India, Standard Chartered Bank and Axis Bank on industrial Land & Building bearing at plot No. 359,360 & 361 Phase 4B, HSIIDC Industrial Estate, Bahadurgarh (Haryana) by way of Equitable Mortgage.

Personal Guarantee of Mr. Vijay Bansal (CMD) and Mr. Deepak Bansal (Whole Time Director).

(iv) AXISBANK:

Interest payable @ REPO 2.30% (Presently 8.80% p.a.) chargeable on monthly rests.

Primary Security: First Pari-Passu charge on entire current assets of the company both present and future with State Bank of India, HDFC Bank Ltd. and Standard Chartered Bank by way of hypothecation.

Colletaral Security: First Pari Passu Charge alongwith HDFC Bank, Standard Chartered Bank and State Bank of India on industrial Land & Building bearing at plot No. 359,360 & 361 Phase 4B, HSIIDC Industrial Estate, Bahadurgarh (Haryana) by way of Equitable Mortgage.

Personal Guarantee of Mr. Vijay Bansal (CMD) and Mr. Deepak Bansal (Whole Time Director).

All charges are registered with Registrar of Companies (ROC) within the statutory period.

The company has borrowed funds from banks repayable on demand for the purpose of working capital, on the basis of security of current assets and has sent quarterly returns or statements of current assets with banks which are in agreement with the books of accounts.

50 Fair Value Disclosures i) Fair Values Hierarchy

Financial assets and financial liabilities measured at fair value in the statement of financial position are divided into three Levels of a fair value hierarchy. The three levels are defined based on the observability of significant inputs to the measurement, as follows:

Level 1: Quoted prices (unadjusted) in active markets for financial instruments.

Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation techniques which maximise the use of observable market data rely as little as possible on entity specific estimates.

Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3.

ii) Risk Management

The Company’s activities expose it to market risk, liquidity risk and credit risk. The Company''s board of directors has overall responsibility for the establishment and oversight of the Company''s risk management framework. This note explains the sources of risk which the entity is exposed to and how the entity manages the risk and the related impact in the financial statements.

A) Credit Risk

Credit risk is the risk that a counterparty fails to discharge an obligation to the Company. The Company is exposed to this risk for various financial instruments, for example by granting loans and receivables to customers, placing deposits, etc. The Company’s maximum exposure to credit risk is limited to the carrying amount of following types of financial assets.

- cash and cash equivalents,

- trade receivables,

- loans & receivables carried at amortised cost, and

- deposits with banks

a) Credit Risk Management

The Company assesses and manages credit risk based on internal credit rating system, continuously monitoring defaults of customers and other counterparties, identified either individually or by the Company, and incorporates this information into its credit risk controls. Internal credit rating is performed for each class of financial instruments with different characteristics. The Company assigns the following credit ratings to each class of financial assets based on the assumptions, inputs and factors specific to the class of financial assets.

Cash & Cash Equivalents And Bank Deposits

Credit risk related to cash and cash equivalents and bank deposits is managed by only accepting highly rated banks and diversifying bank deposits and accounts in different banks.The Company invest surplus fund in highly liquid Mutual Funds which have insignificant risk of change in value.

Trade Receivables and Other Financial Assets

The Company has established a credit policy under which each new customer is analysed individually for creditworthiness before the payment and delivery terms and conditions are offered. The Company’s review includes external ratings, if they are available, financial statements, credit agency information, industry information and business intelligence. Sale limits are established for each customer and reviewed annually. Any sales exceeding those limits require approval from the appropriate authority as per policy.

In monitoring customer credit risk, customers are grouped according to their credit characteristics, including whether they are an individual or a legal entity, whether they are a institutional, dealers or end-user customer, their geographic location, industry, trade history with the Company and existence of previous financial difficulties.

Expected Credit Loss for Trade Receivables:

The Company based on internal assessment which is driven by the historical experience/ current facts available in relation to default and delays in collection thereof, the credit risk for trade receivables is considered low. The Company estimates its allowance for trade receivable using lifetime expected credit loss. The balance past due for more than 6 month (net of expected credit loss allowance), is? 45.07 lakhs (31 March 2023:? 6.84 lakhs).

Loan & Other financial assets measured at amortised cost includes security deposits, fixed deposits loan to related parties and others. Credit risk related to these other financial assets is managed by monitoring the recoverability of such amounts continuously, while at the same time internal control system in place ensure the amounts are within defined limits.

56 Leases

Company as Lessee

The Company has entered into certain lease arrangements in the form of finance leases for its company owned retail outlets. Also the company pays non-lease payments to its franchisee owned outlets which includes embedded lease payments. As per the terms, the Company’s obligation could be fixed or purely variable or variable with minimum guarantee payment for use of property.

The Company also has certain leases of offices, store premises and warehouses with lease terms of 12 months or less. The Company applies the ‘short-term lease’ and ‘lease of low-value assets’ recognition exemptions for these leases. The lease payments for such leases is being recognised on actual basis by applying paragraph 6 of Ind AS 116.

Impact on Cash Flow Statements for the year ending 31st March 2024

For the financial year ended March 31,2024, the company had cash outflows in terms of repayment of lease liability for ? 6809.82 Lakhs (PY 5856.77 Lakhs) (including finance costs) which is shown under financing activities in cash flow statement.

56 Dividends

The Company paid Final Dividend of ? 2.5/- (Rupees Two & Fifty Paise Only) per share i.e. @ 25% of face value of equity share of ? 10/- (Rupees Ten only) each fully paid up, for the financial year 2022-23, approved in AGM held on 28th September 2023.

The Company paid Interim Dividend of ? 0.40/- (Rupees Forty Paise Only) per share i.e. @20% of face value of equity share of? 2/- (Rupees Two only) each fully paid up, for the financial year 2023-24, approved in Board Meeting held on February 7, 2024.

58 Segment Reporting

The Company is primarily engaged in the business of "Retail" which constitutes a single reporting segment and the Executive Management Committee does not monitors the operating results of its business units separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit or loss and is measured consistently with profit or loss in the financial statements, therefore no additional disclosures are required under Ind AS 108 - “Segment Reporting”.

59 Contingent Liabilities and Commitments (To The Extent Not Provided For)

(a) Contingent Liabilities

1 Appeals under Tax Laws : (Claims against the company not acknowledged as debts)

(i) Central Excise Department had raised a demand amounting to ? 110.39 lakhs on the company on 30th Sep., 2013. The demand order has been set aside by Central Excise and Service Appellate Tribunal by order dated 01st June,2017. However, the department has made an appeal before Hon''ble Delhi High Court against the order of CESTAT. In case department succeeds in the appeal, the company may be liable to pay the said demand of 110.39 lakhs along with due interest.

Note: It is not possible to predict the outcome of the pending litigation with accuracy, however, the Company believes

based on the facts of the cases stated above that it has meritorious defenses to the claims. The management believe that the pending actions will not require outflow of resources embodying economic benefits and will not have a material adverse effect upon the results of the operations, cash flows or financial condition of the company.

2 Custom Duty against Unexecuted Export Obligation

In respect of pending export obligation of f 433.92 lakhs, the company may be required to pay custom duty of ?72.32 lakhs along with interest to the custom authority if such export obligation is not met by the company.

3 Enhancement Cost for Industrial Plot at Bahadurgarh

HSIIDC (Haryana State Industrial & Infrastructure Development Corporation) had raised demand of f 1438.82 Lakhs in FY 2019-20 upon company towards enhancement in cost of Industrial plot at Bahadurgarh. The demand was contested by the company as a members of association of Bahadurgarh Industrial Estate before the High Court and then the Supreme Court of India. In compliance of order issued by the Apex court, the HSIIDC has issued show cause notice dated 12.04.22 for payment of f 1152.17 lakhs towards the enhanced cost of plot no. 359, 360 & 361, Phase 4-B, Sec.-17, HSIIDC Industrial Estate, Footwear Park, Bahadurgarh, Haryana. The company has submitted application before HSIIDC that the said demand is not correct and has requested for verification of records and reduction of demand. Till demand is finally reviewed by the HSIIDC, there is a probability of future cash outflow for payment of revised enhancement cost or the original demand raised by HSIIDC which will result into corresponding increase in Fixed Assets in cost of land under the head Property, Plant and Equipment. However, it will not impact the profitability ofthe company.

(b) Estimated Amounts of Commitments of Contracts remaining to be executed (net of advances)

The company has saved custom duty amounting to f 72.32 lakhs under zero duty Export Promotion Capital Goods(EPCG) scheme on import of machinery in FY 2018-19, 2019-20 & 2022-23 . Under the said scheme the company is required to fulfill future export obligation amounting to f 433.92 lakhs. The company has not received any redemption letter during the year from relevant authorities, which makes Export obligation to the extent unexecuted as on March 31, 2024 remains f 433.92 lakhs. In case the company fails to fulfill the export obligation then the company shall be liable to pay the custom duty saved related to unexecuted export obligation along with 15% interest per annum to the customs authority.

The company has dispute with M/s Ambience Infrastructure Private Limited in arbitration regarding grant of lease retail space to the company. The arbitrator has passed an award in favour of company for f 61.72 lakhs. Out of f 61.72 lakhs, f 20.00 lakhs has been received from the M/s Ambience Infrastructure Private Limited during financial year 2019-20. However, the company has filed an application under section 35(2) of the Arnitration and Conciliation Act, 1996, Saket court, New Delhi disputing total claim amount of ?61.72 Lakhs to ?38.18 Lakhs.

61 Skill Development Program under DDU-GKY

The Company has entered into an MOU to implement the Skill Development Training Programs under DDU-GKY (Deen Dayal Upadhyay - Gramin Kaushal Yojna) Project funded by Ministry of Rural Development (MoRD) and Haryana State Rural Livelihood Mission (HSRLM) on "No Profit No Loss basis". The Objective of the project is to work for the empowerment ofthe poor and for reduction in poverty by focusing on livelihoods ofthe poor and vulnerable sections ofthe society in rural areas. Total Estimated Cost of the Project is f 483.14 Lakhs. Total amount spent till 31st March, 2024 was f 286.14 Lakhs, out of which f 44.59 Lakhs is receivable.

62 Micro, Small & Medium Enterprises

The information as required to be disclosed in relation to Micro, Small and Medium Enterprises has been determined to the extent such parties have been identified on the basis of information available with the Company.

1 The Company has received security deposits from its franchisees. In accordance with the requirements of Ind AS 32, 107 and 109, "Financial Instruments: Presentation and Disclosures", the said amount of the security deposits received has been treated as deferred income.

2 The Company was eligible and applied for the grant in FY 2016-17 for subsidy for installation and commissioning of machinery under TUFS (Technology Upgradation Fund Scheme). The same has been recognised as deferred income in accordance with the requirements of Ind AS 20, "Accounting for Government Grants and Disclosure of Government Assistance".

3 The Company also saved customs duty on import of machinery, the same has been recognised as deferred income in accordance with the requirements of Ind AS 20, "Accounting for Government Grants and Disclosure of Government Assistance".

4 A company owned running outlet was franchised to a franchisee, for which the company has received a lump sum amount of f 22.00 Lakhs towards right to use of outlet for a period of 9 years. The amount has been recognised as deferred income in accordance with the requirements of Ind AS 116 "Leases".

Note: The above reclassification in the previous year''s published numbers have been made for better presentation in the financial statements and to confirm to the current year classification/disclosure. This does not have any impact on the profit and loss, hence no change in the basic and diluted earnings per share of previous year.

67 The Parliament has approved the Code on Social Security, 2020 which would impact the contributions by the company towards Provident Fund and Gratuity. The effective date from which the changes and rules would become applicable is yet to be notified. Impact of the changes will be assessed and accounted in the relevant period of notification of relavant provisions.

68 Previous Year Figures

Previous years’ figures have been regrouped/reclassified wherever necessary to conform to the current year’s classifications).

As per our attached report of even date

For Suresh & Associates For and on behalf of the Board of Directors

Chartered Accountants FRN: 0003316N

(Vijay Bansal) (Deepak Bansal)

(CANarendraKumarArora) Chairman&ManagingDirector Director

Partner DIN:01110877 DIN : 01111104

M.No. 088256

Date: May 15,2024 (CA Shivendra Nigam) (CS Poonam Chahal)

Place: Delhi Chief Financial Officer Company Secretary &

Head Legal

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Mar 31, 2023

Provisions, Contingent Liabilities and Contingent Assets

Provisions are measured at the Present value of the
management''s best estimate (these estimated are
reviewed at each reporting date and adjusted to reflect
the current best estimate) of the expenditure required to
settle the present obligation at the end of reporting
period. Provisions involving substantial degree of
estimation in measurement are recognized when there
is a present obligation as a result of past events and it is
probable that there will be an outflow of resources.

Contingent liabilities are disclosed only 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 which is 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
estimate of the amount cannot be measured reliably.

No contingent asset is recognized but disclosed by way
of notes to accounts only when its recognition is virtually
certain.

2.22 Revenue Recognition

Revenue is recognised to the extent that it is probable
that the economic benefits will flow to the company and
the revenue can be reliably measured, regardless of
when the payment is being made. Amount of sales are
net of goods and service tax, sale returns, trade
allowances and discounts.

To determine whether to recognize revenue, the
company follows a 5-step process:

1. Identifying the contract with a customer

2. Identifying the performance obligations

3. Determining the transaction price

4. Allocating the transaction price to the performance
obligations

5. Recognising revenue when/as performance
obligation(s) are satisfied.

The company considers the terms of the contract and its
customary business practice to determine the
transaction price.

In all cases, the total transaction price is allocated
amongst the various performance obligations based on
their relative standalone selling price. The transaction
price excludes amounts collected on behalf of third
parties. The consideration promised include fixed
amounts, variable amounts, or both.

Revenue is recognised either at a point in time or over
time, when (or as) the company satisfies performance
obligations by transferring the promised goods or
services to its customers.

For each performance obligation identified the
company determines at contract inception whether it
satisfies the performance obligation over time or
satisfies the performance obligation at point in time. If
any entity does not satisfy a performance obligation
over time, the performance obligation is satisfied at a
point in time.

A receivable is recognised where the company''s right to
consideration is unconditional (i.e. any passage of time
is required before payment if the consideration is due).
When either party to a contract has performed, an entity
shall present the contract in the balance sheet as
contract asset or contract liability, depending on the
relationship between the entity''s performance and the
customer''s payment.

While this represents significant new guidance, the
implementation of this new guidance had no impact on
the timing or amount of revenue recognised by the
company in any year.

Company continues to account for export benefits on
accrual basis.

Other Income

All other income is recognized on accrual basis when no
significant uncertainty exists on their receipt.

Interest Income

Interest income from a financial asset is recognized
when it is probable that the economic benefits will flow
to the company and the amount of income can be
measured reliably. Interest is accrued on time
proportion basis, by reference to the principle
outstanding at the effective interest rate.

Dividends

Income from dividend on investments is accrued in the
year in which it is declared, whereby the company’s
right to receive is established.

2.23 Foreign Currency Conversions/Transactions

Foreign Currency Transactions are recorded at the
exchange rates prevailing on the date of the
transactions. Gains and losses arising out of
subsequent fluctuations are accounted for on actual
payments or realisations as the case may be. Monetary
assets and liabilities denominated in foreign currency as
on Balance Sheet date are translated into functional
currency at the exchange rates prevailing on that date
and Exchange differences arising out of such
conversion are recognised in the Statement of Profit
and Loss.

2.24 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 any
business combination or to an item which is recognised
directly in equity or in other comprehensive income.

a) Current Tax

Current income tax assets and liabilities are
measured at the amount expected to be recovered
from or paid to the tax authorities. 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 statement of profit or loss is recognized
outside statement of profit or loss (either in other
comprehensive income or in equity). Current tax
items are recognized in correlation to the underlying
transaction either in OCI or directly 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

b) Deferred Tax

Deferred tax is provided using the liability method on
temporary differences between the tax bases of
assets and liabilities and their carrying amounts for
financial reporting purposes at the reporting date.
Deferred tax assets are recognized for all deductible
temporary differences, the carry forward of unused
tax credits and any unused tax losses. Deferred tax

assets are recognized to the extent that it is probable
that taxable profit will be available against which the
deductible temporary differences, and the carry
forward of unused tax credits and unused tax losses
can be utilized.

The carrying amount of deferred tax assets is
reviewed at each reporting date and reduced to the
extent that it is no longer probable that sufficient
taxable profit will be available to allow all or part of the
deferred tax asset to be utilized. Unrecognized
deferred tax assets are re-assessed at each reporting
date and are recognized to the extent that it has
become probable that future taxable profits will allow
the deferred tax asset to be recovered.

Deferred tax assets and liabilities are measured at the
tax rates that are expected to apply in the year when
the asset is realized or the liability is settled, based on
tax rates (and tax laws) that have been enacted or
substantively enacted at the reporting date.

Deferred tax relating to items recognized outside
statement of profit or loss is recognized outside
statement of profit or loss. Deferred tax items are
recognized in correlation to the underlying
transaction either in OCI or directly in equity.

Deferred tax assets and deferred tax liabilities are
offset if a legally enforceable right exists to set off
current tax assets against current tax liabilities and
the deferred taxes relate to the same taxable
company Group and the same taxation authority.

2.25 Employee Benefits

i) Short Term Employee Benefits

Short-term employee benefit obligations are
measured on an undiscounted basis and are
expensed as the related service is provided.

A liability is recognized for the amount expected to be
paid under performance related pay if the Company
has 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.

ii) Post-Employment benefits

Employee benefit that are payable after the
completion of employment are Post-Employment
Benefit (other than termination benefit). Company
has identified two types of post employment benefits:
a) Defined Contribution Plans

Defined contribution plans are those plans in
which the company pays fixed contribution into
separate entities and will have no legal or
constructive obligation to pay further amounts.
Provident Fund and Employee State Insurance
are Defined Contribution Plans in which
company pays a fixed contribution and will have
no further obligation beyond the monthly

contributions and are recognised as an expenses
in Statement of Profit & Loss.
b) Defined Benefit Plans

A defined benefit plan is a post-employment
benefit plan other than a defined contribution
plan.

Company pays Gratuity as per provisions of the
Gratuity Act, 1972. The Company’s net
obligation in respect of defined benefit plans is
calculated separately for each plan by estimating
the amount of future benefit that employees have
earned in return for their service in the current
and prior periods; that benefit to employees is
discounted to determine its present value.

The calculation is performed annually by a
qualified actuary using the projected unit credit
method. The net interest cost is calculated by
applying the discount rate to the net balance of
the defined benefit obligation and the fair value of
plan assets. This cost is included in employee
benefit expense in the statement of profit and
loss. Any actuarial gains or losses pertaining to
components of re-measurements of net defined
benefit liability/(asset) are recognized in OCI in
the period in which they arise. The calculation is
performed annually by a qualified actuary using
the projected unit credit method. The net interest
cost is calculated by applying the discount rate
to the net balance of the defined benefit
obligation and the fair value of plan assets. This
cost is included in employee benefit expense in
the statement of profit and loss. Any actuarial
gains or losses pertaining to components of re¬
measurements of net defined benefit
liability/(asset) are recognized in OCI in the
period in which they arise.

Company provided for 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
obligation at the balance sheet date.

2.26 Borrowing Cost

Borrowing cost include interest calculated using the
effective interest method, amortization of ancillary costs
and other costs the company incurs in connection with
the borrowing of funds. Borrowing costs directly
attributable to the acquisition, construction or
production of a qualifying asset are capitalized during

the period of time that is necessary to complete and
prepare the asset for its intended use or sale. A
qualifying asset is one that necessarily takes substantial
period of time to get ready for its intended use.
Capitalisation of borrowing costs is suspended in the
period during which the active development is delayed
due to, other than temporary, interruption. All other
borrowing costs are charged to the statement of profit
and loss as incurred.

2.27 Earning Per Share

Basic Earning Per Share is calculated by dividing the
net profit or loss for the period attributable to equity
shareholders by weighted average number of equity
shares outstanding during the period.

For the purpose of calculating diluted earnings per
share, net profit after tax during the year and the
weighted average number of shares outstanding during
the year are adjusted for the effect of all dilutive potential
equity shares.

2.28 Leases

The Company assesses at contract inception whether a
contract is, or contains, a lease. That is, if the contract
conveys the right to control the use of an identified asset
for a period of time in exchange for consideration.
Company as Lessee

The Company applies a single recognition and
measurement approach for all leases, except for short¬
term leases and leases of low-value assets. The
Company recognises lease liabilities to make lease
payments and right-of-use assets representing the right
to use the underlying assets.

The Company determines the lease term as the non¬
cancellable term of the lease, together with any periods
covered by an option to extend the lease if it is
reasonably certain to be exercised, or any periods
covered by an option to terminate the lease, if it is
reasonably certain not to be exercised.

Right of Use Assets

The Company recognises right-of-use assets at the
commencement date of the lease (i.e., the date the
underlying asset is available for use). Right-of-use
assets are measured at cost, less any accumulated
depreciation and impairment losses, and adjusted for
any measurement of lease liabilities. The cost of right-
of-use assets includes the amount of lease liabilities
recognised, initial direct costs incurred and lease
payments made at or before the commencement date
less any lease incentives received. Right-of-use assets
are depreciated on a straight-line basis over the lease
term.

Lease Liability

At the commencement date of the lease, the Company
recognises lease liabilities measured at the present
value of lease payments to be made over the lease term.

The lease payments include fixed payments less any
lease incentives receivable. Variable lease payments
that do not depend on an index or a rate are recognised
as expenses (unless they are incurred to produce
inventories) in the period in which the event or condition
that triggers the payment occurs.

In calculating the present value of lease payments, the
Company uses its incremental borrowing rate at the
lease commencement date because the interest rate
implicit in the lease is not readily determinable. After the
commencement date, the amount of lease liabilities is
increased to reflect the accretion of interest and
reduced for the lease payments made. In addition, the
carrying amount of lease liabilities is remeasured if there
is a modification, a change in the lease term, a change in
the lease payments or a change in the assessment of an
option to purchase the underlying asset.

Short Term Lease & Leases of Low Value Assets

The Company applies the short-term lease recognition
exemption to its short-term leases (i.e., those leases
that have a lease term of 12 months or less from the
commencement date and do not contain a purchase
option). It also applies the lease of low-value assets
recognition exemption to leases of office equipment
that are considered to be low value. Lease payments on
short-term leases and leases of low-value assets are
recognised as expense on a straight-line basis over the
lease term.

2.29 Statement of Cash Flows

Statement of cash flows is prepared in accordance with
the Indirect method prescribed in Ind AS-7 ‘Statement
of Cash Flows''.

2.30 Government Grants

Government grants are recognised where there is
reasonable assurance that the grant will be received,
ultimate collection of the grant/subsidy is reasonably
certain and all attached conditions will be complied
with. When the grant relates to an expense item, it is
recognised as income on a systematic basis over the
periods that the related costs, for which it is intended to
compensate, are expensed. When the grant relates to

an asset, it is recognised as income in equal amounts
over the expected useful life of the related asset.

2.31 Segment Reporting

The company is engaged in “the business of designing,
manufacturing, branding and retailing of apparel
accessories and footwear for womens and mens which
in the context of Ind AS 108 “Operating Segment" is
considered as the only segment and the Executive
Management Committee does not monitors the
operating results of its business units separately for the
purpose of making decisions about resource allocation
and performance assessment.

2.32 Standards issued but not yet effective

Ministry of Corporate Affairs (“MCA”) notifies new
standards or amendments to the existing standards
under Companies (Indian Accounting Standards) Rules
as issued from time to time. There are no new Standards
that became effective during the year. Amendments
that became effective during the year did not have any
material effect. On March 31,2023, MCA amended the
Companies (Indian Accounting Standards) Amendment
Rules, 2023, as below

Ind AS 1— Presentation of Financial Statements

The amendments require the entities to disclose their
material accounting policies rather than their significant
accounting policies

Ind AS 8 - Accounting Policies, changes in
accounting estimates and Errors

This amendement has introduced a definition of
accounting estimates and includes amendement to IND
AS 8 to help entities distinguish changes in accounting
policies from changes in accounting estimates.

Ind AS 12 -Income Taxes

This amendment has narrowed the scope of the initial
recognition exemption so that it does not apply to
transactions that give rise to equal and offsetting
temporary differences.

The effective date for adoption of these amendments is
annual periods beginning on or after April 1,2023

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Mar 31, 2018

1 Company Overview

Cantabil Retail India Limited (‘the company’) having CIN : L74899DL1989PLC034995 is a public limited company domiciled in India and incorporated on February 9, 1989 under the provisions of the Companies Act applicable in India. The company is engaged in the business of designing, manufacturing, branding and retailing of apparel and apparel accessories through chain of retail store under the brand name “CANTABIL”, “CROZO “ & “KANESTON”. Registered office of company is situated in Delhi, India. The Company has its primary listings on the National Stock Exchange of India Limited and Bombay Stock Exchange Limited. The financial statements were authorised for issue in accordance with a resolution of the Board of Directors on 25th May, 2018.

Fair Value

The fair value of investment property as at March 31, 2018 is Rs.415 lakhs (approx) [as at March 31, 2017 Rs. 400 lakhs (approx), as at April 1,2016 Rs. 390 lakhs (approx)] after considering the relevant assumptions that market participants would use when pricing investment properties under current market conditions.

*Company is paying Minimum Alternate Tax (MAT) in accordance with the tax laws in India, which is likely to give future economic benefits in the form of availability of set off against future income tax liabilities. Accordingly, company has availed MAT Credit entitlement for the taxes paid (MAT) in earlier years as well as in current year. Also, the company is having virtual certainity with convincing evidence that sufficient future taxable income will be available to set off the unabsorbed tax losses and accordingly deferred tax assets on such losses have been created. (Read with Note no 45)

Terms / rights attached to equity shares

The company has only one class of equity shares having par value of INR 10 per share. Each holder of equity shares is entitled to one vote per share.

1 Term Loan of Rs. 300 lakhs, Tenure-60 months proportionate principal and actual interest @ Base Rate 4.00% p.a., secured against the hypothecation of Plant & Machinery at HSIIDC Bahadurgarh(Haryana). 31 installments pending.

2 Term Loan of Rs. 436.60 lakhs, Tenure-42 months including 6 months of morotorium, to be repaid in 36 equal installments payable monthly @ 1 Year MCLR is 8.20% p.a. and spread is 0.70 % p.a. repayable over the period April , 2018 to March, 2021 secured by way of company’s movable Fixed Assets including Plant & Machinery and Furniture & fixtures. Personal Guarantees which should necessarily include the guarantees of Mrs. Sushila Bansal, Mr. Deepak Bansal & Mr. Vijay Bansal. 36 installments pending.

3 Auto Loan of Rs. 35.04 lakhs, Tenure-36 months by equated monthly installment (EMI) of Rs. 1,13,460/- @10.24% p.a.repayable over the period July 15, 2014 to June 15,2017.

4 Auto Loan of Rs. 39.70 lakhs, Tenure-36 months by equated monthly installment (EMI) of Rs. 1,28,568/- @10.25% p.a.repayable over the period Jan 15,2015 to December 15,2017.

5 Loan against property of Rs. 119.50 lakhs, Tenure- 122 months by equated monthly installment (EMI) of Rs. 1,55,524/- Interest payable @ 9.75 % p.a. repayable over the period December 10, 2017 to January 10, 2028 against mortgage of Shop No GF SR 20, Ansal Plaza, Vaishali, villgae Hassanpur , Ghaziabad, Uttar Pardesh and Shop No. F07 and F08, Mittal Mall Sector 25 Part II, Panipat, Haryana-132103. 118 installments pending.

6 Loan against property of Rs. 181.50 lakhs, Tenure- 121 months by equated monthly installment (EMI) of Rs. 2,38,689/- Interest payable @ 10.00 % p.a. repayable over the period December 10, 2017 to December 10, 2027 Floating against mortgage of Plot No. J 27, Mayfield Garden, Sector 51, Gurgaon Haryana - 122001. 117 installments pending.

7 Term Loan of Rs. 200.00 lakhs, Tenure-120 months by equated monthly installment (EMI) of Rs. 3,10,533/-@14% p.a. repayable over the period July 01, 2015 to June 01, 2025 ,secured against collateral security of two plots at Mayfield Garden, Gurgaon (Haryana). Closed on August 14, 2017.

1 Interest payable @ MCLR - 6M is 8.15 % p.a. and spread is 0.70% and WCDL Interest payable @ MCLR 3M is 7.90% and spread is 0.55% to be applied on daily balances of the Facility. Pari passu charge by way of hypothecation on company entire stock of Raw Materials , processed stock , Finished Goods, consumable stores and spares situated at present and future premises of the company and such other movables including Books-debts , Bills whether documentary or clean, outstanding monies, receivables, both and future in a form and manner satisfactory to the Bank .Pari passu charge by way of equitable mortgage on residential property located at 28, Road no. 78, Punjabi Bagh (West), New Delhi, owned by Deepak Bansal.Personal Guarantees which include the guarantees of Mr. Vijay Bansal (CMD), Mr. Deepak Bansal ( Director and Guarantor) and Smt. Sushila Bansal (Guarantor).

2 Interest payable @ one month MCLR 2% p.a. (variable) to be applied on daily balances on the Overdraft Facility. Interest, commission and other charges as approriate,will be levied as stated in sanction. Secured against hypothecation on Present and Future current assets of the company. CRR on stocks and book debts post deduction on charge on current assets for ICICI Bank Ltd. and OBC. Mortgage on residential property located at 28, Road no. 78, Punjabi Bagh (West), New Delhi, owned by Deepak Bansal. Value considered post deduction of pari passu charge on the property by ICICI Bank Ltd. and Personal Guarantees which include the guarantees of of Mr. Vijay Bansal (CMD), Mr. Deepak Bansal ( Director and Guarantor) and Smt. Sushila Bansal (Guarantor).

3 Interest payable @ one year MCLR 4.00% p.a. chargeable on monthly rests, Secured Against hypothecation of stocks of raw material,stock-in-process, Finished goods,stores & Spares of garment manufacturing unit and receivables on pari-passu basis with ICICI Bank Ltd. and Standard Chartered Bank. Further secured against Equitable/Registered Mortgage of immovable properties of the company’s Land alongwith Building at Plot No. 359,360 & 361 Phase 4B, HSIIDC Industrial Estate, Bahadurgarh (Haryana) total Plot area 12150 Sq. Mtr. and further Secured against Pari-Passu charge over entire current assets and entire movable fixed assets (excluding vehicles) of the company both present and future and Personal Guarantee of Mr. Vijay Bansal (CMD), Mr. Deepak Bansal ( Director and Guarantor) and Smt. Sushila Bansal (Guarantor).

4 Interest payable @ 3M MCLR 2.95% p.a. payable monthly,Secured against First Pari Passu charge by way of hypothecation of entire Current assets of the company both present and future and First parri passu charge by way of hypothecation of entire movable fixed assets of the company both present and future excluding vehicles except immovable properties of the company specifically mortgage to other lenders and Pari passu charge (alongwith Standard Chartered Bank) by way of EM of residential property in the name of Deepak Bansal (promoter/director), situated at 28, Road no. 78, Punjabi Bagh (West), New Delhi, admeasuring 1127.50 sq. yds. The same is also secured by way of personal guarantee of Mr. Vijay Bansal (CMD), Mr. Deepak Bansal ( Director and Guarantor) and Smt. Sushila Bansal (Guarantor).

In compliance with the provisions of Ind AS 12, the company has reviewed its deferred tax assets at the balance sheet date and is having virtual certainity with convincing evidence that sufficient future taxable income will be available to set off the unabsorbed tax losses and accordingly deferred tax assets has been created.

In terms of above, Basic and diluted EPS for the year ended as on March 31, 2018 has shown exceptional improvement for the fact of recognition of taxable temporary difference arising due to deferred tax asset of Rs. 1110.14 Lakhs on brought forward unused tax losses of Rs. 4029.17 lakhs and MAT credit entitlement for Rs. 311.97 lakhs in the current financial year ending March 31, 2018.

Before recognition of this deferred tax asset on unused tax losses in the financial year ending March 31, 2018, the profit for the year from continuing operations is Rs. 888.60 lakhs and the consequential EPS without considering the above mentioned temporary tax difference is Rs. 5.44. (Read with Note no 10)

2. Sensitivity Analyses

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

III. Changes in Defined benefit obligation due to 1% Increase/Decrease in Mortality Rate, if all other assumptions remain constant is negligible.

The sensitivity analysis presented above may not be representative of the actual change in the defined benefit obligation as it is unlikely that the change in assumptions would occur in isolation of one another as some of the assumptions may be correlated.

Furthermore, in presenting the above sensitivity analysis, the present value of the defined benefit obligation has been calculated using the projected unit credit method at the end of the reporting period, which is the same as that applied in calculating the defined benefit obligation liability recognised in the statement of financial position.

Actuarial measurements may differ in future from the current measurements shown in this report due to actors such as:-

(i) Plan experience differing from that anticipated by the economic or demographic assumptions

(ii) Changes in economic or demographic assumptions

(iii) Changes in plan provisions or applicable law

(iv) Significant events since last actuarial valuation

3. Sensitivity Analyses

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

III. Changes in Defined benefit obligation due to 1% Increase/Decrease in Mortality Rate, if all other assumptions remain constant is negligible.

The sensitivity analysis presented above may not be representative of the actual change in the defined benefit obligation as it is unlikely that the change in assumptions would occur in isolation of one another as some of the assumptions may be correlated.

Furthermore, in presenting the above sensitivity analysis, the present value of the defined benefit obligation has been calculated using the projected unit credit method at the end of the reporting period, which is the same as that applied in calculating the defined benefit obligation liability recognised in the statement of financial position.

There is no change in the method of the valuation for the prior period.

4. Related party Disclosure

(i) The related parties as per terms of Ind AS-24, “ related Party Disclosure” , ( specified under section 133 of the Companies Act , 2013, read with rule 7 of (Accounts) Rule , 2015) are disclosed below :-

c) Notes to reconciliation of equity as at April 1, 2016 and March 31, 2017 and profit or loss for the year ended March 31, 2017

(i) Property Plant and Equipment

Certain machineries under Property Plant and Equipments have been reinstated as per Ind AS 20 for the amount of Government Grant receivable (net of depreciation) as on March 31,2017 as compared to being deducted from the gross value of the assets concerned under previous GAAP, to be read with Note No. 54.

(ii) Investment Property

Investment properties shown under Inventory in earlier years have been regrouped and now these properties have been reduced as per Ind AS 40 for the amount of depreciation of Rs. 6.87 lakhs, as it was not required under previous GAAP.

(iii) Financial Assets -Loans & Other Current Assets

As per previous GAAP, company recognised interest free security deposits paid for leasehold properties at transaction value. Under Ind AS 109, such security deposits are required to be amortised for deemed prepaid rent and its consequential interest income has been recognised by applying present value factor. Accordingly, prepaid rent component has been recognised in other current assets which will be amortised on straight line through rent expense over the period of lease for which security deposit is given.The cumulative amortisable prepaid rent of Rs. 148.21 lakhs (Previous Year Rs. 82.33 lakhs) has been reduced from financial assets-Loans and adjusted into Other current Assets.

(iv) Deferred Tax Assets (net)

Previous GAAP requires deferred tax accounting using the income statement approach, which focuses on differences between taxable profits and accounting profits for the period. Ind AS 12 requires accounting for deferred taxes using the Balance sheet approach, which focuses on temporary difference between the carrying amount of an asset or liability in the Balance Sheet and its tax base. The application of Ind AS 12 approach has resulted in recognition of deferred tax on account of remeasurement of post employment benefits amounting Rs. 10.52 lakhs. In addition, the various transitional adjustments lead to temporary differences and the Company has accounted for such differences amounting to Rs. 36.26 lakhs. Deferred tax adjustment are recognised in correlation to the underlying transaction in other equity.

(v) Financial Assets - Investments

As per previous GAAP, company recognised investments at transaction value. Under Ind AS 109, such investments are required to be recognised at fair market value i.e. cumulatively increased by Rs. 3.33 lakhs (Previous year Rs.2.14 lakhs) and such Fair value has been recognised in other income as FVTPL.

(vi) Other Equity

As per Ind AS 101 transitional provisions for first time adoption of Ind AS, all adjustements relating to Ind AS that have an impact on previos years , should be adjusted throuhgh retained earnings, accordingly the company has taken the cumulative impact of transitional provision of Rs.246.26 lakhs (previous year Rs.159.21 lakhs) to Ind AS through other equity, to be read with all notes to reconciliation of equity and statement of changes in equity.

(vii) Financial Liabilities - Other financial liabilities

As per previous GAAP, company recognised interest free security deposits received at transaction value. Under Ind AS 109, such security deposits are to be recognised at present value and remaining amount to be recognised as Deferred revenue amounting to Rs.165.50 lakhs (Previous year Rs.157.07 lakhs) and such revenue will be amortised on straight line over the period of agreement. Accordingly interest expense on such security deposits received have been recognised in the profit & loss by applying rate used in present value factor.

(viii) Revenue

Trade discounts allowed to an extent of Rs.444.55 lakhs shown as an expense in Previous GAAP is adjusted against revenue as per Ind -AS 18.

(ix) Excise Duty on Sale of Goods

As per Previous GAAP, excise duty should be included and shown as reduction from the gross turnover on the statement of profit and loss. However, Ind AS 18 does not specifically prescribe any guidance for inclusive presentation of excise duty. Accordingly the Company has presented revenue gross of excise duty. This resulted in increase of revenue and increase of excise duty expense to an extent of Rs.434.15 lakhs. Further, amounts collected by the seller on behalf of the government are not be included as part of the revenue as per IND-AS 18.

(x) Remeasurement of actuarial gains/ (losses):

Both under Previous GAAP and Ind AS, the Company recognised costs related to its post-employment defined benefit plan on an actuarial basis. Under Previous GAAP, the entire cost, including actuarial gains and losses, are charged to profit or loss. Under Ind AS, remeasurements comprising of actuarial gains and losses are recognised immediately in the balance sheet with a corresponding debit or credit to retained earnings through OCI. Thus, the employee benefit cost is reduced by Rs. 34.05 lakhs and remeasurement gains/ losses on defined benefit plans has been recognized in the OCI.

(xi) Other comprehensive income

As per Ind AS, the company translated Previous GAAP profit or loss to total comprehensive income .

(xii) Statement of cash flows

The transition from Indian GAAP to Ind AS does not had a material impact on the statement of cash flows.

5 Segment Reporting

The Company is primarily engaged in the business of “Retail” which constitutes a single reporting segment and the Executive Management Committee does not monitors the operating results of its business units separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit or loss and is measured consistently with profit or loss in the financial statements, thus there are no additional disclosures to be provided under Ind AS 108 - “Segment Reporting”.

* Customs Excise and Service Appellate Tribunal has passed the order in favour of the company u/s 35-C(1) of the Central Excise and salt Act , 1944. However, department Central Tax, GST appealed to the HON’BLE HIGH COURT OF DELHI

It is not possible to predict the outcome of the pending litigations with accuracy, however, the Company believes based on the facts of the cases stated above that it has meritorious defences to the claims.The management believe that the pending actions will not require outflow of resources embodying economic benefits and will not have a material adverse effect upon the results of the operations, cash flows or financial condition of the company.

(b) Capital Commitments-

Estimated amounts of contracts remaining to be executed for opening of new showrooms on capital accounts is Rs. 40 Lakhs approx.(FY Rs. 21 Lakhs approx.)

6 Government Grants

The Company was eligible for subsidy amount of Rs. 62.89 Lakhs during the financial year 2016-17 for installation and commissioning of machinery under A TUFS (Technology Upgradation Fund Scheme). According to previous GAAP the grant was shown as a deduction from the gross value of the asset concerned in arriving at its book value. Consequent to issuance of ITFG clarification Bulletin 12 dated October 24,2017 issued by ICAI, the company has recognised the asset related government grant outstanding as on March 31, 2017 as deferred income in accordance with the requirements of Ind AS 20, Accounting for Government Grants and Disclosure of Government Assistance and adjustments of grant for machiney has been added to the gross block & adjustment of depreciation have been made in retained earnings.

7 Micro, Small & Medium Enterprises :-

The Company has sent the confirmation letter to its supplier at the year end to identify the supplier registered with Disclosure as per Micro, Small and Medium Enterprises Development (MSMED) Act, 2006.As per the informatin available with the company none of its supplier has confirmed that they are registered with the Act.In view of this, the liablity of ineterst has not been provided nor is required disclosure done.

8 Financial risk management objectives and policies Financial Risk Management Framework

The Company is exposed primarily to Credit Risk, Liquidity Risk and Market risk (fluctuations in interest rate), which may adversely impact the fair value of its financial instruments. The Company assess the unpredictability of the financial environment and seeks to mitigate potential adverse effects on the financial performance of the Company.

Credit Risk

Credit risk is a risk that counterparty will not meet its obligations under a financial assets leading into a financial loss. Credit risk includes direct risk of default and risk of deterioration of creditworthiness. Credit risk is controlled by analyzing credit limits and creditworthiness of customers on a continuous basis to whom the credit has been granted. Financial assets consist of trade receivables, investments, loans, cash and cash equivalents, bank deposits and other financial assets.

Liquidity Risk

Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The Company manages liquidity risk by maintaining adequate reserves and banking borrowing facilities by continuously monitoring forecast and actual cash flows, and by matching the maturity profiles of financial assets and liabilities.

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 interest rate risk.

Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of change in market interest rates. As the Company’s debt obligation with floating interest rates are in INR which is subject to insignificant change, exposure to the risk of changes in market interest rates are substantially independent of changes in market interest rates.

9 Capital Management

For the purpose of the Company’s capital management, capital includes issued equity capital, share premium and all other equity reserves attributable to the equity holde Rs. The primary objective of the Company’s capital management is to maximise the shareholder value.

The Company manages its capital structure in consideration to the changes in economic conditions and the requirements of the financial covenants. The Company monitors capital using a gearing ratio, which is net debt divided by Equity plus net debt. Net debt consists of borrowings including interest accrued on borrowings, trade and other payables, less cash and short-term deposits.

In order to achieve this overall objective, the Company’s capital management, amongst other things, aims to ensure that it meets financial covenants attached to the interest-bearing loans and borrowings that define capital structure requirements. Breaches in meeting the financial covenants would permit the bank to immediately call loans and borrowings. There have been no breaches in the financial covenants of any interest-bearing loans and borrowing in the current period. No changes were made in the objectives, policies or processes for managing capital during the year ended March 31, 2018.

10 . Figures Relating to April 1, 2016 (date of transition) and previous year have been restated/ regrouped/ reclassified wherever necessary to make them comparable with the current year figures.

11. Figures in Balance Sheet, Statement of Profit and loss, cash flow statement, statement of changes in equity and Notes to audited financial statements have been shown in lakhs and rounded off to the nearest thousand and have been expressed in terms of decimals of thousands.

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Mar 31, 2016

1 Employee benefit plans

(a) Defined benefit plans

The Company offers the following employee benefit schemes to its employees: Gratuity

Other defined benefit plans (Leave Encashment)

Note 2 : Disclosures under Accounting Standards 32 Segment Reporting

Company’s revenue from Real Estate segment is less than minimum level required to be reported, therefore

segment results are not given as per Accounting Standard (AS) 17 “Segment Reporting” prescribed by Companies (Accounting Standard) Amendment Rules 2011.

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Mar 31, 2015

1. Corporate information : CIN L74899DL1989PLC034995

The Company was incorporated on 9th Feb,1989 and is mainly engaged in the business of designing, manufacturing, branding and retailing of apparel and apparel accessories through chain of retail store under the brand name "CANTABIL" & "Bonetti".The Company is also into the business of real estate trade.

2: Corporate Social Responsibility

Provision of corporate social responsibility as per Section 135 of Companies Act, 2013 read with schedule VII is not applicable to the company.

3. Employee benefit plans

4. (a) Defined benefit plans

The Company offers the following employee benefit schemes to its employees: Gratuity

Other defined benefit plans (Leave Encashment)

5. (a) Related Parties with whom transactions have taken place during the year :

Names of related parties Description of relationship

Mr. Vijay Bansal Key Managerial Personnel

Mr. Deepak Bansal Key Managerial Personnel

Mr. Anil Bansal Key Managerial Personnel

Mrs. Megha Bansal Key Managerial Personnel's relative

Poonam Bansal Key Managerial Personnel's relative

Rekha Bansal Key Managerial Personnel's relative

Sunil Bansal Key Managerial Personnel's relative

Anil Bansal (HUF) Enterprise in which Key Managerial Personnel has significant influence

Balaji International Clothing Enterprise in which Key Managerial Personnel has significant influence

Vardhman Enterprises Enterprise in which Key Managerial Personnel's relative has significant influence

Drishti Enterprises Enterprise in which Key Managerial Personnel's relative has significant influence

Balaji Apparel Enterprise in which Key Managerial Personnel's relative has significant influence

Akshi Marketing Private Limited Company in which Key Managerial Personnel's relative has significant influence

6. Segment Reporting

Company's revenue from Real Estate segment is less than minimum level required to be reported , therefore segment results are not given as per Accounting Standard (AS) 17 "Segment Reporting" prescribed by Companies (Accounting Standard) Rules, 2006.

Additional information to the financial statements

Note Particulars As at 31st As at 31st March, 2015 March, 2014 Rs. (In Lacs) Rs. (In Lacs)

30 Contingent liabilities and commitments (to the extent not provided for)

Contingent liabilities

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

(b) Guarantees - Corporate Guarantee Nil Nil for Subsidiary Company

(c) Other money for which the Company is contingently liable for :-

Labour Disputes 3.55 11.97

TDS demands in Dispute Nil 420.88

CENTRAL Excise Act, 1944 86.35 86.35

For Others Nil 14

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Mar 31, 2014

1. Corporate information : CIN :- L74899DL1989PLC034995

The Company was incorporated on 09th Feb,1989 and is mainly engaged in the business of designing, manufacturing, branding and retailing of apparel and apparel accessories through chain of retail store under the brand name "CANTABIL". The Company has also undertaken the buisness of real estate trade.

Note 2: Disclosures under Accounting Standards 25.1 Employee benefit plans

2.1 (a) Defined benefit plans

The Company offers the following employee benefit schemes to its employees:

Gratuity

Other Defined benefit plans (Leave Encashment)

Note 3: Disclosures under Accounting Standards

(a) Related Parties with whom transactions have taken place during the year :

Names of related parties Description of relationship

Mr. Vijay Bansal Key Management Personnel

Mr. Deepak Bansal Key Management Personnel

Mr. Anil Bansal Key Management Personnel

Mrs. Megha Bansal Key Management Personnel''s relative

Poonam Bansal Key Management Personnel''s relative

Rekha Bansal Key Management Personnel''s relative

Sunil Bansal Key Management Personnel''s relative

Anil Bansal (HUF) Enterprise in which Key Management Personnel has significant infuence.

Balaji International Clothing Enterprise in which Key Management Personnel has significant infuence.

Vardhman Enterprises Enterprise in which Key Management Personnel''s relative has significant infuence.

Akshi Marketing Private Limited Company in which Key Management Personnel''s relative has significant infuence.

Note 4: Additional information to the financial statements

Note Particulars As at 31st As at 31st march, 2014 march, 2013 Rs. In Lacs Rs. In Lacs

4.1 Contingent liabilities and commitments (to the extent not provided for)

Contingent liabilities

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

(b) Guarantees - Corporate Guarantee for Subsidiary Company Nil Nil

(c) Other money for which the Company is contingently liable for :-

Labour Disputes 11.97 21.87

VAT demands in Dispute Nil 23.65

TDS demands in Dispute 420.88 420.88

CENVAT on Service Tax Credit Show Cause Nil 110.38

CENTRAL Excise Act 1944 86.35 Nil

For Others 14.00 8.46

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Mar 31, 2013

Corporate information

The Company was incorporated on 09th Feb, 1989 and is mainly engaged in the business of designing, manufacturing, branding and retailing of apparel and apparel accessories underthe brand name of "CANTABIL''Mhe Company has also entered into the business of real estate trade.

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Mar 31, 2012

1. Corporate information

The Company is engaged in the business of designing, manufacturing, branding and retailing of apparels under the brand name of "CANTABIL".

2.1 Employee benefit plans

2.1 a Defined benefit plans

The Company offers the following employee benefit schemes to its employees:

i. Gratuity

ii. Other defined benefit plans (Leave Encashment)

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