Notes to Accounts of Diamond Power Infrastructure Ltd.

Mar 31, 2025

3.8 Provisions, Contingent Liabilities And Contingent
Assets

Provisions

Provisions, which required a substantial degree of
estimation, are recognized when the Company has a present
obligation (legal or constructive) as a result of a past event,
it is probable that an outflow of resources embodying
economic benefits will be required to settle the obligation
and a reliable estimate can be made of the amount of the
obligation. The expense relating to a provision is recognized
in the Statement of Profit & Loss

When the Company expects some or all of a provision to be
reimbursed, the reimbursement is recognized as a separate
asset, but only when the reimbursement is virtually certain.
The expense relating to a provision is presented in the
statement of profit and loss net of any reimbursement.

I f the effect of the time value of money is material,
provisions are discounted using a current pre-tax rate that
reflects, when appropriate, the risks specific to the liability.
When discounting is used, the increase in the provision due
to the passage of time is recognized as a finance cost in
respective expense.

Contingent Liabilities and Contingent Assets

Contingent liabilities are not recognized but are disclosed
in the notes. Contingent liabilities are disclosed for possible

obligations which will be confirmed only by the future event
not wholly within the control of the Company or present
obligations arising from the past events where it is probable
that an outflow of resources will be required to settle the
obligation or a reliable estimate of the amount of the
obligation cannot be made.

Contingent Assets are neither recognized nor disclosed in
the financial statements.

3.9 Income Tax

I ncome Tax Expenses comprise the sum of Current Tax
(including past year tax difference) and Deferred Tax

Current Tax

Provision for current tax is made as per the provisions of the
Income Tax Act, 1961.

Current income tax assets and liabilities are measured at the
amount expected to be recovered from or paid to the taxation
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 recognised outside
profit or loss is recognised outside profit or loss (either in
other comprehensive income or in equity). Current tax items
are recognised 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.

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.

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 utilised.
Unrecognised deferred tax assets are re-assessed at each
reporting date and are recognised to the extent that it has
become probable that future taxable profits will allow the
deferred tax asset to be recovered.

Deferred tax relating to items recognised outside profit
or loss is recognised outside profit or loss (either in other
comprehensive income or in equity). Deferred tax items are
recognised in correlation to the underlying transaction either
in OCI or directly in equity.

Deferred tax assets and liabilities are measured at the tax
rates that are expected to apply in the year when the asset
is realised 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 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 taxation authority.

3.10Employee Benefits

Short-term Employee Benefits

Employee benefit liabilities such as salaries, wages and
bonus, etc. that are expected to be settled wholly within
twelve months after the end of the period in which the
employees render the related service are recognised in
respect of employees'' services up to the end of the reporting
period and are measured at an undiscounted amount
expected to be paid when the liabilities are settled.

Post-employment benefit plans
Defined Contribution Plans:

State governed Provident Fund Scheme and Employees
State Insurance Scheme are defined contribution plans
since eligible employees are entitled to get benefits and
both the Company and eligible employees make monthly
contributions towards the same. The contribution paid /
payable by the Company under the schemes is recognized
during the period in which the employees render the
related services.

Defined Benefit Plans:

A defined benefit plan is a post-employment benefit plan
other than a defined contribution plan. The Company''s
gratuity scheme is a defined benefit plan. The Company
recognizes the defined benefit liability in Balance sheet.
The present value of the obligation under such defined
benefit plan and the related current service cost and,
where applicable past service cost is determined based on
an actuarial valuation done using the Projected Unit Credit

Method by an independent actuary, which recognizes each
period of service as giving rise to additional unit of employee
benefit entitlement and measures each unit separately to
build up the final obligation. The obligations are measured
at the present value of the estimated future cash flows.

Re-measurements, comprising actuarial gains and losses,
the effect of the changes to the asset ceiling (if applicable)
is reflected immediately in Other Comprehensive Income
in the Statement of Profit and loss. All other expenses
related to defined benefit plans are recognized in Statement
of Profit and Loss as employee benefit expenses. Re¬
measurements recognized in Other Comprehensive Income
will not be reclassified to Statement of Profit and Loss hence
it is treated as part of retained earnings in the Statement of
Changes in Equity.

Other Long Term Employee Benefits:

Other Long Term Employee Benefits such as long term
compensated absences are measured at present value of
estimated future cash flows to be made by the company and
is measured, recognized and presented in the same manner
as the defined benefit gratuity plant narrated above.

3.11 Fair Value Measurement

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

• In the principal market for the asset or liability, or

• I n the absence of a principal market, in the most
advantageous market for the asset or Liability

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

Fair Value hierarchy

All financial instruments for which fair value is recognised
or disclosed are categorised within the fair value hierarchy,
described as follows, based on the lowest level input that is
significant to the fair value measurement as a whole;

Level 1: quoted (unadjusted) prices in active markets for
identical assets or liabilities.

Level 2: valuation techniques for which the lowest level input
that has a significant effect on the fair value measurement
are observable, either directly or indirectly.

Level 3: valuation techniques for which the lowest level input
which has a significant effect on the fair value measurement
is not based on observable market data.

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

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

3.12 Financial Instruments

A financial instrument is any contract that gives rise to a
financial asset of one entity and a financial liability or equity
instrument of another entity.

Financial Assets

Initial recognition and measurement:

All financial assets are recognised initially at fair value plus,
in the case of financial assets not recorded at fair value
through profit or loss, transaction costs that are attributable
to the acquisition of the financial asset.

Subsequent measurement:

For purposes of subsequent measurement, financial assets
are measured in their entirety at either amortised cost of fair
value depending on classification of the Financial Asset :

Financial Assets at Amortised Cost

A Financial Assets is measured at the amortised cost
if both the following conditions are met:

• The asset is held within a business model
whose objective is to hold assets for collecting
contractual cash flows, and

• Contractual terms of the asset give rise on
specified dates to cash flows that are solely
payments of principal and interest (SPPI) on the
principal amount outstanding.

After initial measurement, such financial assets are
subsequently measured at amortised cost using the
effective interest rate (EIR) method. Amortised Cost
is calculated by taking into account any discount or
premium on acquisition and fees or costs that are an
integral part of the EIR.

The EIR amortization and losses arising from
impairment are recognized in the Statement of Profit
& Loss. The amortized cost of the financial asset is also
adjusted for loss allowance, if any.

Financial Assets at Fair Value through Other
Comprehensive Income (FVTOCI)

A Financial Asset is measured at fair value through
other comprehensive income if both the following
conditions are met:

• The asset is held within a business model
whose objective is achieved by both collecting
contractual cash flows and selling financial
assets, and

• Contractual terms of the asset give rise on
specified dates to cash flows that are solely
payments of principal and interest (SPPI) on the
principal amount outstanding.

After initial measurement, such financial assets are
subsequently measured at fair value and changes
therein are recognized directly in other comprehensive
income, net of applicable taxes.

Financial Assets at Fair Value through Profit
and Loss (FVTPL)

FVTPL is a residual category for Financial Assets.

Any Financial Asset, which does not meet the criteria
for categorization as at Amortized Cost or as FVTOCI,
is classified as at FVTPL.

I n addition, the company may elect to designate a
Financial Asset, which otherwise meets amortized cost
or FVTOCI criteria, as at FVTPL. However, such election
is allowed only if doing so reduces or eliminates a
measurement or recognition inconsistency (referred
to as ''accounting mismatch'').

Financial Assets included within the FVTPL category
are measured at fair value with all changes recognized
in the Statement of Profit & Loss.

Derecognition:

The Company derecognises a financial asset when the
contractual rights to the cash flows from the financial asset
expire, or it transfers the rights to receive the contractual
cash flows in a transaction in which substantially all of
the risks and rewards of ownership of the financial asset
are transferred or in which the Company neither transfers
nor retains substantially all of the risks and rewards of
ownership and it does not retain control of the financial
asset. Any gain or loss on derecognition is recognised in the
Statement of Profit and Loss.

Impairment of financial assets:

In accordance with Ind AS 109, the company applies expected
credit loss (ECL) model for measurement and recognition of
impairment loss on the following financial assets and credit
risk exposure:

• Financial assets that are debt instruments, and
are measured at amortised cost e. g. Loans and
trade receivables.

• The company follows ''simplified approach'' for
recognition of impairment loss allowance on
Trade receivables that do not contain a significant
financing component.

The application of simplified approach does not require the
Company to track changes in credit risk. Rather, it recognises
impairment loss allowance based on lifetime ECLs at each
reporting date, right from its initial recognition.

Financial liabilities

Initial recognition and measurement:

All financial liabilities are initially recognised when the
Company becomes a party to the contractual provisions of
the instrument.

All financial liabilities are initially measured at fair value
deducted by, in the case of financial liabilities not recorded
at fair value through profit or loss, transaction costs that are
attributable to the liability.

Subsequent measurement:

Financial liabilities are classified as measured at amortised
cost using the effective interest method. The Company''s

financial liabilities include trade payables, borrowings and
other financial liabilities.

Under the effective interest method, the future cash
payments are exactly discounted to the initial recognition
value using the effective interest rate. The cumulative
amortization using the effective interest method of the
difference between the initial recognition amount and the
maturity amount is added to the initial recognition value (net
of principal repayments, if any) of the financial liability over
the relevant period of the financial liability to arrive at the
amortized cost at each reporting date. The corresponding
effect of the amortization under effective interest method
is recognized as expense over the relevant period of the
financial liability in the Statement of Profit and Loss.

Derecognition:

A financial liability is derecognized when the obligation
under the liability is discharged or cancelled or expires. When
an existing financial liability is replaced by another from the
same lender on substantially different terms, or the terms
of an existing liability are substantially modified, such an
exchange or modification is treated as the Derecognition of
the original liability and the recognition of a new liability.
The difference between the carrying amount of the
financial liability derecognized and the consideration paid is
recognized in the Statement of Profit and Loss.

Offsetting of financial instruments:

Financial assets and financial liabilities are offset and the
net amount presented in the Balance Sheet when, and only
when, the Company currently has a legally enforceable
right to set off the amounts and it intends either to settle
them on a net basis or to realise the assets and settle the
liabilities simultaneously.

3.13Investments in subsidiaries, associates and joint
ventures

Investments in Subsidiaries, Associates and Joint ventures
are carried at cost / deemed cost applied on transition to
Ind AS, less accumulated impairment losses, if any. Where
an indication of impairment exists, the carrying amount
of investment is assessed and an impairment provision
is recognised, if required immediately to its recoverable
amount. On disposal of such investments, difference
between the net disposal proceeds and carrying amount is
recognised in the statement of profit and loss.

3.14 Inventories

Inventories are stated at the lower of cost and net realisable
value. Costs comprise direct materials and, where applicable,
direct labour costs and those overheads that have been
incurred in bringing the inventories to their present location
and condition. Net realisable value is the price at which the
inventories can be realised in the normal course of business
after allowing for the cost of conversion from their existing
state to a finished condition and for the cost of marketing,
selling and distribution.

Raw Materials are valued at cost ascertained on a weighted
average basis or net realizable value, whichever is lower.

Finished goods produced by the company are valued at
lower of cost or net realizable value.

Semi-Finished goods have been valued at lower of Raw
Material cost, Direct Labour and appropriate proportion of
variable and fixed overheads, latter being allocated based
on normal operating capacity or net realizable value.

Stock of goods purchased for resale purposes are valued at
their acquisition cost inclusive of all duties and taxes or Net
Realizable Value whichever is lower.

Provisions and / or write-offs are made to cover slow-
moving and obsolete items based on historical experience of
utilisation on a product category basis and market conditions.

3.15 Cash and Cash Equivalents

Cash and cash equivalent in the balance sheet comprise
cash at banks and on hand and short- term deposits with an
original maturity of three months or less, which are subject
to an insignificant risk of changes in value.

3.16 Foreign currency

Transactions in foreign currencies are recorded at the
exchange rate prevailing on the date of transaction. Foreign
currency denominated monetary assets and liabilities are
re-measured into the functional currency at the exchange
rate prevailing on the balance sheet date.

Exchange differences arising on settlement of transactions
and translation of monetary items are recognized in the
statement of Profit or Loss except to the extent, exchange
differences which are regarded as an adjustment to interest

costs on foreign currency borrowings, are capitalized as part
of borrowing costs.

3.17 Forward contracts

The Company is exposed to foreign currency fluctuations
on foreign currency assets and forecasted cash flows
denominated in foreign currency. The Company tries to limit
the effects of foreign exchange rate fluctuations by following
risk management policies including use of derivatives. For
this the Company enters into forward exchange contracts,
where the counter-party is a Bank. Theses forward contracts
are not used for trading or speculation purpose.

I n case, of forward contracts the gain or loss arising
on exercise of option or settlement or cancellation are
recognized in the Statement of Profit & Loss for the period.

The forwards contracts outstanding as at the end of the
reporting period are recognized / restated at forward
contract rates for the end date of the contract for a period
equivalent to the balance maturity period of the contract
as at the end of the reporting period and corresponding
exchange gain or loss arising on the same is recognized in
the Statement of Profit & Loss for the period.

3.18 Revenue Recognition
Sale of Products

Revenue from Sale of Products is recognised when control
of the products or significant risks and rewards of ownership
are transferred to the buyer for a consideration. This usually
occurs when the products have been shipped or delivered
to the specific location as the case may be, the risks of
loss has been transferred, and either the customer has
accepted the products in accordance with the sales contract,
or the Company has objective evidence that all criteria for
acceptance have been satisfied. Sale of products include
related ancillary services, if any.

Domestic Sales are recognized at the transaction price of the
consideration receivable net of Sales Returns and excluding
the Goods and Service Tax (GST) element as well as net of
expected volume discounts. Export Sales are recognized at
their CIF Value charged to the Customers in Invoices.

Revenue is only recognised to the extent that it is highly
probable that a significant reversal will not occur. A liability
is recognised for expected volume discounts payable to
customers in relation to sales made until the end of the

reporting period. Any obligation to provide a refund is
recognised as a provision.

The Company considers whether there are other promises
in the contract that are separate performance obligations
to which a portion of the transaction price needs to be
allocated. In determining the transaction price, the Company
considers the effects of variable consideration, the existence
of significant financing component and consideration
payable to the customer like return and trade discounts.

Sale of Scrap

Revenue from sale of scrap is recognized as and when scrap
is sold.

Other income

I nterest Income is recognized on a time proportionate
basis including interest accrued based on the amount
outstanding and rate applicable and shown under
“Other Income". Interest income from Financial Assets is
recognized when it is probable that the economic benefits
will flow to the Company and the amount of income can be
measured reliably.

Export Benefits

The benefits accrued under the duty drawback scheme and
any other benefit scheme as per the Import and export Policy
in respect of exports under the said scheme are recognized
when there is a reasonable assurance that the benefit will
be received and the company will comply with all attached
conditions. The above benefits are included under the head
''Export Incentives.''

Dividend income

Revenue is recognized when the Company''s right to receive
the payment is established, which is generally when
shareholders approve the dividend.

Rental Income

Revenue is recognized for the period for which the Property
is given on Rental to a Lessee and right to received arises on
account thereof.

Other Items of Income :

Other items such as Insurance Claims, Commission, Misc.
Incomes etc. are accounted on accrual basis (depending

on certainty of realization) and disclosed separately as
Operational or Non-Operational Income under Other Income.

3.19 Earnings Per Share

Basic earnings per share is computed using the net profit
for the year attributable to the shareholders'' and weighted
average number of equity shares outstanding during
the year.

Diluted earnings per share is computed using the net profit
for the year attributable to the shareholders'' and weighted
average number of equity shares.

3.20 Cash Flow Statement

Cash flows are reported using the indirect method, whereby
profit for the period is adjusted for the effects of transactions
of a non-cash nature, any deferrals or accruals of past or
future operating cash receipts or payments and item of
income or expenses associated with investing or financing
cash flows. The cash flows from operating, investing
and financing activities of the Company are segregated.
Exceptional Items of Cash Flows due to peculiarity of
particular circumstances relating to the Company are
disclosed separately in the Cash Flow Statement.

3.21 Borrowing Costs

Borrowing costs attributable to the acquisition, construction
or production of qualifying assets are capitalised as part of
the cost of such assets up to the assets are substantially
ready for their intended use. A qualifying asset is an asset
that necessarily requires a substantial period of time to get
ready for its intended use. Investment income earned on
the temporary investment of specific borrowings pending
their expenditure on qualifying assets is deducted from the
borrowing costs eligible for capitalization.

All other borrowing costs are recognised in the statement
of profit and loss in the period in which they are incurred.

3.22 Segment Reporting

With respect (Ind AS - 108 Segment Reporting), the
Management of the Company is of the view that the
products offered by the Company are in the nature of Cables
and Conductors, having the same risks and returns, same
type and class of customers and regulatory environment.
Hence, the Company effectively has a single reportable
business segment only. Also all products of the Company

are sold within India having the same risks and returns and
hence the Company effectively has a single geographical
segment as well.

3.23 Government grants

Government grants are recognised at its fair value, where
there is a reasonable assurance that such grants will be
received and compliance with the conditions attached
therewith have been met.

Government grants related to expenditure on property,
plant and equipment are credited to the statement of profit
and loss over the useful lives of qualifying assets or other
systematic basis representative of the pattern of fulfilment
of obligations associated with the grant received.

Grants received less amounts credited to the statement
of profit and loss at the reporting date are included in the
balance sheet as deferred income.

3.24 Good and Services Tax

GST is a destination-based tax and is levied at the point
of supply. It is collected on sale of goods and services on
behalf of Government and is remitted by way of payment
or adjustment of credit on input goods or services. GST
input credit is accounted on an accrual basis on purchase of
eligible inputs, capital goods and services.

GST Accounts are created under Balance Sheet Groupings for
liability towards GST collected on Sales / Other Revenue and
asset towards GST paid on purchases or other expenditure
for which credit is available. For Each month the GST
liability is worked out after offsetting the credit available
against the GST collected. The Net GST Account appears in
the Balance Sheet as a Liability, if any amount is payable
as at the year-end after offsetting the available credit and

as an Asset if credits remain unutilized after adjusting the
amount payable.

The balance of GST input credit is reviewed at the end of
each year and amount estimated to be un-utilizable is
charged to the statement profit and Loss for the year.

3.25 Exceptional Items

When items of income and expense within statement of
profit and loss from ordinary activities are of such size,
nature or incidence that their disclosure is relevant to explain
the performance of the company for the period, the nature
and amount of such material items are disclosed separately
as exceptional items.

3.26 Items relating to period before takeover by New
Management

As per the Resolution Plan approved by the Hon. NCLT,
accounting effects for reduction in equity and preference
share holding and liabilities write off as per the Resolution
Plan were given with corresponding effect to Capital
Reserve (Resolution Plan) at the time of takeover by the new
Management. Similarly, write off of assets as well as any
provisioning for impartment or doubtful of recovery assets
was also done at that time with corresponding effect to
Capital Reserve (Resolution Plan)

Subsequently, any accounting effect to be given to any
liability or asset pertaining to the period prior to the takeover
by the new management shall also be done at that time
with corresponding effect to Capital Reserve (Resolution
Plan), in order to be consistent in the accounting treatment
as well as to ensure that such items do not impact financial
figures relating to the period subsequent to takeover by the
new management

As at the end of the year, the updation / preparation of Property, Plant and Equipment Register with all necessary details and
reconciliation with the books of accounts, as well as verification of amounts reflected as capital work in progress (CWIP) and giving
appropriate effect to the same continued to remain under process.

The Company has allotted the task relating to the same to an Independent Agency but the completion was taking longer time than
expected considering the huge volume of Property, Plant and Equipments and also the work was being conducted with operations
ongoing in various sections of the Company''s production plant.

As the end of the year, the Agency has completed primary Physical Verification of the Property, Plant and Equipment and reconciliation of
the same with the data available with a cut-off date of 31^st March, 2024 as also a preliminary value allocation of costs and accumulated
depreciation. However, the determination the final value-in-use of each item of Property, Plant and Equipment as also the estimated
remaining useful lives was still under process given the technicalities involved in the estimations due to Property, Plant and Equipment
having remained idle for a long period prior to takeover by new management and also limitation on availability of data in as much a
substantial documentation had been seized by CBI and ED during the course of action on erstwhile management during the pre NCLT
period. However, now the Company under the new management has been discharged from the cases and hence the documents are
expected to be received back soon which will assist in speeding up the completion of the aforesaid exercise. Consequent to the above
developments, the exercise is expected to be completed by end of the first quarter of the next fiscal year.

Consequently, for the year ended 31^st March, 2025, the Property, Plant and Equipment Block is being carried forward with balances as
appearing from the Pre-NCLT / RP period pending the exercise as aforesaid and adjustments to be made as an outcome of the same
while fresh additions made post takeover by new management have been presented under the respective blocks. Further, pending
completion of the exercise as aforesaid, the Company has continued to provide depreciation @ 20% of applicable depreciation as per
part C of Schedule II of the Companies Act, 2013 on the overall block Property, Plant & Equipments Blocks relating to period prior to
takeover by the new management. This has been done considering the estimated utilisation, given that the manufacturing operations
were still not operating at optimum capacity and estimates of normal wear and tear based on usage. Further, on new additions which
were being fully put-to-use, depreciation has been fully provided. The Management expects this to fairly represent the depreciation
charge for the year, pending completion of the exercise as aforesaid.

The Company has further appropriated and capitalised electricity, manpower and interest costs to CWIP block which are identified
and / or worked out as relating to ongoing expansion / commissioning of CWIP as well as proportionate allocation towards estimated
capacity utilisation of Property, Plant, Equipment Block. The portion of CWIP which was commissioned during the year has been duly
capitalised and appropriate deprecation is provided on the same.

Upon completion of the exercise as aforesaid in the next fiscal year, once the final value-in-use of each item of Property, Plant and
Equipment is crystallised the necessary effect of the same, including impairment, if any, shall be provided in the books in the next
fiscal year, considering that it relates to period prior to takeover by new management. Further, as the estimated remaining useful lives
are finalised, the exact amount of prospective depreciation charge will also be worked out and provided for from the next fiscal year.

(d) (i) The Company has only one class of equity share having a par value of '' 1/- per share ( previous year '' 10/- per share). Each

holder of equity share is entitled to one vote for the share. The holder of equity share are entitled to receive dividends a
declared from time to time. The dividend proposed by the Board of Directors is subject to approval of shareholder in ensuring
Annual General Meeting. In the event of liquidation of company, the holders of equity shares will be entitled to receive the
remaining assets of Company, after distribution of the all preferential amounts. The distribution shall be in proportion to the
number of equity share held by the shareholders.

(ii) The Board of Directors of Company has approved the sub-division/stock split of existing equity shares of Company such
that every existing 1(One) equity share of the Company having face value of '' 10/- (Rupees Ten only) each fully paid up be
sub-divided/stock split into 10 (Ten) equity shares of face value of '' 1/- (Rupee One only) each fully paid up. The members
of the Company in Extra Ordinary General Meeting held on Friday, 15^th November, 2024 has also approved the same. The
Board fixed Tuesday, 3^rd December, 2024 as record date for determining entitlement of equity shareholders for issuing equity
shares upon sub-division/split.

Interest Rate Risk:

The plan exposes the Company to the risk off all in interest rates. A fall in interest rates will result in an increase in the ultimate cost of
providing the above benefit and will thus result in an increase in the value of the liability (as shown in financial statements).

Liquidity Risk:

This is the risk that the Company is not able to meet the short-term gratuity pay outs. This may arise due to non-availability of enough
cash/cash equivalent to meet the liabilities or holding of illiquid assets not being sold in time.

Salary Escalation Risk:

The present value of the defined benefit plan is calculated with the assumption of salary increase rate of plan participants in future.
Deviation in the rate of increase in salary in future for plan participants from the rate of increase in salary used to determine the present
value of obligation will have a bearing on the plan''s liability.

Regulatory Risk:

Gratuity benefit is paid in accordance with the requirements of the Payment of Gratuity Act, 1972 ( as amended from time to time).
There is a risk of change in regulations requiring higher gratuity pay-outs (e.g. Increase in the maximum limit on gratuity of '' 10 lacs)

Defined Benefit : Leave Encashment

Employee who has completed 6 months with the company is eligible for earned leave. 36 earned leaves are credited to employee per
year and the maximum leave accumulation allowed is 60. Any leave in excess of 60 is automatically encashed. All encashments are at
the last drawn basic salary. The acturial valuation has been carried out for the first time during this financial year.

Note No 42 :

Corporate Social Responsibility Expenses

The provisions under section 135 and the rules thereof pertaining to Corporate Social Responsibility are not aplicable to the company
during the year.

Note No 43 :

Segment Reporting:

With respect (Ind AS - 108 Segment Reporting), the Management of the Company is of the view that the products offered by the
Company are in the nature of cables and conductors, having the same risks and returns, same type and class of customers and regulatory
environment. Hence, the Company effectively has a single reportable business segment and segment-wise disclosure of information
is not applicable.

Dues to Micro and Small Enterprises :

Trade Payables includes '' 2839.99 lacs(PY '' 94.98 lacs) outstanding to Micro and Small Enterprises. The above information has been
compiled in respect of parties to the extent they could be identified as Micro and Small Enterprises on the basis of information available
with the Company regarding the status of registration of such vendors under the said Act, as per the intimation received from them
on requests made by the Company.

The Company deals with various Micro and Small Enterprises on mutually accepted terms and conditions. Accordingly, no interest is
payable if the terms are adhered to by the Company. However provision for interest payable to such units as required under Micro,
Small and Medium Enterprises Development Act, 2006 has been made on the delayed amounts remaining outstanding during the year.

Note No 45 :

Additional Regulatory Information

i. There are no immovable properties (other than properties where the Company is a lessee and the lease agreements are duly
executed in favour of the lessee) whose title deeds are not held in the name of the Company.

ii. The Company has not revalued any of its Property, Plant and Equipment (including Right-of-Use Assets) during the year.

iii. The Company has not granted any Loans or Advances in the nature of loans to Promoters, Directors, KMPs and Related Parties
either severally or jointly with other persons that are repayable on demand or without specifying any terms or period of repayment.

iv. The Company does not have any Benami property, where any proceeding has been initiated or pending against the Company for
holding any Benami property.

Attention is invited to Note 4, As at the end of the year, the updation / preparation of Property, Plant and Equipment Register with
all necessary details and reconciliation with the books of accounts, as well as verification of amounts reflected as capital work in
progress (CWIP) and giving appropriate effect to the same continued to remain under process.

The Company has allotted the task relating to the same to an Independent Agency but the completion was taking longer time than
expected considering the huge volume of Property, Plant and Equipments and also the work was being conducted with operations
ongoing in various sections of the Company''s production plant.

As the end of the year, the Agency has completed primary Physical Verification of the Property, Plant and Equipment and
reconciliation of the same with the data available with a cut-off date of 31^st March, 2024 as also a preliminary value allocation
of costs and accumulated depreciation. However, the determination the final value-in-use of each item of Property, Plant and
Equipment as also the estimated remaining useful lives was still under process given the technicalities involved in the estimations
due to Property, Plant and Equipment having remained idle for a long period prior to takeover by new management and also
limitation on availability of data in as much a substantial documentation had been seized by CBI and ED during the course of
action on erstwhile management during the pre NCLT period. However, now the Company under the new management has been
discharged from the cases and hence the documents are expected to be received back soon which will assist in speeding up the
completion of the aforesaid exercise. Consequent to the above developments, the exercise is expected to be completed by end of
the first quarter of the next fiscal year.

Consequently, for the year ended 31^st March, 2025, the Property, Plant and Equipment Block is being carried forward with balances
as appearing from the Pre-NCLT / RP period pending the exercise as aforesaid and adjustments to be made as an outcome of
the same while fresh additions made post takeover by new management have been presented under the respective blocks.
Further, pending completion of the exercise as aforesaid, the Company has continued to provide depreciation @ 20% of applicable
depreciation as per part C of Schedule II of the Companies Act, 2013 on the overall block Property, Plant & Equipments Blocks
relating to period prior to takeover by the new management. This has been done considering the estimated utilisation, given that
the manufacturing operations were still not operating at optimum capacity and estimates of normal wear and tear based on usage.
Further, on new additions which were being fully put-to-use, depreciation has been fully provided. The Management expects this
to fairly represent the depreciation charge for the year, pending completion of the exercise as aforesaid.

The Company has further appropriated and capitalised electricity, manpower and interest costs to CWIP block which are identified
and / or worked out as relating to ongoing expansion / commissioning of CWIP as well as proportionate allocation towards
estimated capacity utilisation of Property, Plant, Equipment Block. The portion of CWIP which was commissioned during the year
has been duly capitalised and appropriate deprecation is provided on the same.

Upon completion of the exercise as aforesaid in the next fiscal year, once the final value-in-use of each item of Property, Plant
and Equipment is crystallised the necessary effect of the same, including impairment, if any, shall be provided in the books in the
next fiscal year, considering that it relates to period prior to takeover by new management. Further, as the estimated remaining
useful lives are finalised, the exact amount of prospective depreciation charge will also be worked out and provided for from the
next fiscal year.

vi. According to the information and explanations given to us and on the basis of our examination of the records of the company, the
Company had defaulted in the repayment of its borrowings and had been declared as a Wilful Defaulter which ultimately led to
institution of Corporate Insolvency Resolution Process in 2018. Subsequent, the approval of the Resolution Plan by the Hon. NCLT
in June 2022 the liabilities to the lenders have been restated as per the said approved plan upon takoever by the new management.
Post Takeover by the new management, there have been no defaults in repayment of dues to any lenders as per agreed terms

vii. The Company has not been sanctioned Working Capital Limits in excess of five crore rupees, in aggregate, from banks or financial
institutions at any point of time in previous year.

viii. The Company has not entered into any transactions with Struck-off Companies.

ix. There were several charges registered by various lenders with Registrar of Companies against the Loans granted by them to the
Company prior to 2018. Subsequently, the Company went into Corporate Insolvency Resolution Process. The Resolution was
finally approved by the Hon. NCLT wherein liabilities were reorganised as per the Resolution Plan (Refer Note 48). Pursuant to
the same, the lenders were required to approve and assist the new management for carrying out the satisfaction of all charges
with the Registrar of Companies and register charge only to the extent of amount payable as per the Resolution Plan. As of 31^st
March, 2024, charges to the tune of '' 12,55,826.81 Lacs across 21 Charge ID''s were still appearing open before the Registrar of
Companies. The Company has continued rigourously pursuing the matters with the Lenders during the year and 10 Charge ID''s
to the tune of '' 1,71,661.00 lacs were satisfied till 31^st March, 2025 (with an additional 6 Charge ID''s amounting to the tune of
'' 7,81,605 lacs being further satisfied till 29^th May, 2025). However, charges to the tune of '' 10,84,165.81 lacs across 11 Charge
ID''s were still appearing as open before the Registrar of Companies as on 31^st March, 2025 (which was reduced to '' 3,02,560.81
lacs across 5 charge ID''s till 29^th May, 2025).

x. The Company has complied with the number of layers prescribed under clause (87) of section 2 of the Companies Act 2013 read
with Companies (Restrictions on number of Layers) Rules, 2017

xi. There was no Scheme of Arrangements during the year.

xii. The Company has not advanced or loaned or invested funds to any other person(s) or entity(is), including foreign entities
(Intermediaries) with the understanding that the Intermediary shall: (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.

xiii. The Company has not received any fund from any person(s) or entity(is), 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.

xiv. The Company does not have any transaction 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.

xv. The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.

xvi. There are no amounts pending to be transferred to the Investors Education and Protection Fund as at the end of the year.

Note No 47 :

Financial risk management objectives and policies

The company''s principal financial liabilities comprise loans and borrowings, trade and other payables. The main purpose of these
financial liabilities is to finance the Company''s operations. The Company''s principal financial assets include trade and other receivables
and cash and cash equivalents that are derived directly from its operations.

The Company''s financial risk management is an internal part of how to plan and execute its business strategies. The company is exposed
to market risk, credit risk and liquidity risk.

The company senior management overseas the management of these risks. The senior Professionals working to manage the financial
risks and the appropriate financial risk governance framework for the company are accountable to the Board of Directors and Audit
Committee. This process provided assurance the Company''s senior management that the Company''s financial risk-taking activities
are governed by appropriate policies and procedures and that financial risk are identified, measured and managed in accordance with
Company policies and Company risk objectives. In the event of crises caused due to external factors such as caused by recent pandemic
“COVID 19" the management assesses the recoverability of its assets, maturity of its liabilities to factor it in cash flow forecast to
ensure there is enough liquidity in these situations through internal and external source of funds. These forecast and assumptions are
reviewed by board of directors.

1. Risk Management Framework

The Company''s board of directors has overall responsibility for establishment and Oversight of the company''s risk management
framework. The board of directors has established the processes to ensure that executive management controls risks through
the Mechanism of property defined framework.The Company''s risk management policies are established to identify and analyze
the risks faced by the company, to set appropriate risk limits and controls and to monitor risks and adherence to limits. Risk
management policies and systems are reviewed by the board annually to reflect changes in market conditions and company''s
activities. The company, through its training and management standards and procedures, aims to maintain a disciplined and
constructive control environment in which all employees understand their roles and obligations.

2. Credit Risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its
contractual obligations, and arises principally from the company''s receivables from customers. The carrying amount of financial
assets represents the maximum credit exposure. The Company monitor credit risk very closely both in domestic and export market.
The management impact analysis shows credit risk and impact assessment as low.

The Company''s exposure to credit risk is influenced mainly by the individual characteristics of each customer. However, management
also considers the factors that may influence the credit risk of its customer base, including the default risk of the industry and
country in which customers operate. The company management has established a credit policy under which each new customer is
analyzed individually for creditworthiness before the Company''s standard payment and delivery terms and conditions are offered.
The Company''s review includes market check, industry feedback, past financials and external ratings, if they are available, and in
some cases bank references. Sale limits are established for each customer and reviewed quarterly. Any sales exceeding those limits
require approval from the Directors of the company. Most of the Company''s customers have been transacting with the company
for over Five to Ten years against those customers. In monitoring customer credit risk, Customers are reviewed according to their
credit characteristics, including whether they are an individual or a legal entity, their geographic location, industry and existence
of previous financial difficulties. The company has not written off any amount in recent past for impairment in receivables. In
view of the same no provision for impairment is done in current financial year.

3. Liquidity Risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities
that are settled by delivering cash or another financial asset. The Company''s approach to managing liquidity is to ensure, as for
as possible, that it will have sufficient liquidity to meet its liabilities when they are fallen due, under both normal and stressed
conditions, without incurring unacceptable losses or risking damage to the Company''s reputation.

4. Market Risk

Market risk is the risk that the Fair value of future cash flow of a financial instrument will fluctuate because of changes in market
prices. Market prices comprise three types of risk: Currency rate risk, Interest Risk and equity price risk.

(i) 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. Since the Company has borrowings which have fixed interest rate, therefore Company is not exposed
to such risk.

(ii) Foreign Currency Risk

The company has its operations in India only and hence is not exposed to currency risk on account of receivables and payables
in foreign currency. The functional currency of the company is Indian Rupee.

(iii) Equity Price Risk

The Company has no investments in equity and hence is not susceptible to market price risk arising from uncertainties about
future values of the investment securities.

5. Capital Management

The Company''s capital management objectives are:

- To ensure the Company''s ability to continue as going concern

- To provide adequate return to shareholders through optimisation of debt and equity balance

For the purpose of the Company''s capital management, capital includes issued equity capital and other equity reserves attributable
to the equity holders of the Company.

The Company manages its capital structure and makes adjustments in light of changes in economic conditions and business
opportunities. The Company monitors capital structure using a debt equity ratio, which is debt divided by equity.

Note No 48 :

Corporate Insolvency Resolution Process, Approval and Implementation of Resolution Plan

The Hon''ble National Company Law Tribunal, Ahmedabad (NCLT) by an Order dated 24^th August, 2018 admitted the Corporate Insolvency
Resolution Process (CIRP) application filed by financial creditors of the Company and Mr. Bhuvan Madan was appointed as Resolution
Professional (RP) for the Company vide order dated 23^rd October, 2018 to conduct CIRP of the Company. Subsequently, new RP
Mr. Prashant Jain was appointed vide order dated 4^th May, 2021 to manage the affairs of the Company as per provisions of the Insolvency
and Bankruptcy Code.

After a prolonged Resolution Process, the Hon,ble NCLT vide its order dated 20^th June, 2022 approved the Resolution Plan submitted
by M/s GSEC Limited in consortium with Mr. Rakesh Shah. Thereafter, as per approved plan, a Monitoring Committee was constituted
to take necessary actions for implementation of the approved resolution plan.

On trigger date i.e. 17^th September, 2022, M/s GSEC Limited in consortium with Mr. Rakesh Shah took over charge of the company and
reconstituted the Board of Directors of the Company and new management was put in place."

As per the Resolution Plan approved, the Resolution Applicant agreed to pay '' 2,40,027.47 Lacs in total towards the liabilities of the
Company to all its financial and operational creditors against claims admitted by the RP.

Out of said amount, one block consisted of issuance of 0.001% Unsecured Redeemable Bonds repayable at the e

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Mar 31, 2024

3.8 Provisions, Contingent Liabilities And Contingent Assets Provisions

Provisions, which required a substantial degree of estimation, are recognized when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. The expense relating to a provision is recognized in the Statement of Profit & Loss

When the Company expects some or all of a provision to be reimbursed, the reimbursement is recognized as a separate asset, but only when the reimbursement is virtually certain. The expense relating to a provision is presented in the statement of profit and loss net of any reimbursement.

If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate that reflects, when appropriate, the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognized as a finance cost in respective expense.

Contingent Liabilities and Contingent Assets

Contingent liabilities are not recognized but are disclosed in the notes. Contingent liabilities are disclosed for possible obligations which will be confirmed only by the future event not wholly within the control of the Company or present obligations arising from the past events where it is probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount of the obligation cannot be made.

Contingent Assets are neither recognized nor disclosed in the financial statements.

3.9 Income Tax

Income Tax Expenses comprise the sum of Current Tax (including past year tax difference) and Deferred Tax Current Tax

Provision for current tax is made as per the provisions of the Income Tax Act, 1961.

Current income tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation 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 recognised outside profit or loss is recognised outside profit or loss (either in other comprehensive income or in equity). Current tax items are recognised 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.

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.

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 utilised. Unrecognised deferred tax assets are re-assessed at each reporting date and are recognised to the extent that it has become probable that future taxable profits will allow the deferred tax asset to be recovered.

Deferred tax relating to items recognised outside profit or loss is recognised outside profit or loss (either in other comprehensive income or in equity). Deferred tax items are recognised in correlation to the underlying transaction either in OCI or directly in equity.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realised 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 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 taxation authority.

3.10 Employee Benefits Short-term Employee Benefits

Employee benefit liabilities such as salaries, wages and bonus, etc. that are expected to be settled wholly within twelve months after the end of the period in which the employees render the related service are recognised in respect of employees'' services up to the end of the reporting period and are measured at an undiscounted amount expected to be paid when the liabilities are settled.

Post-employment benefit plans

Defined Contribution Plans:

State governed Provident Fund Scheme and Employees State Insurance Scheme are defined contribution plans since eligible employees are entitled to get benefits and both the Company and eligible employees make monthly contributions towards the same. The contribution paid / payable by the Company under the schemes is recognized during the period in which the employees render the related services.

Defined Benefit Plans:

A defined benefit plan is a post-employment benefit plan other than a defined contribution plan. The Company''s gratuity scheme is a defined benefit plan. The Company recognizes the defined benefit liability in Balance sheet. The present value of the obligation under such defined benefit plan and the related current service cost and, where applicable past service cost is determined based on an actuarial valuation done using the Projected Unit Credit Method by an independent actuary, which recognizes each period of service as giving rise to additional unit of employee benefit entitlement and measures each unit separately to build up the final obligation. The obligations are measured at the present value of the estimated future cash flows.

Re-measurements, comprising actuarial gains and losses, the effect of the changes to the asset ceiling (if applicable) is reflected immediately in Other Comprehensive Income in the Statement of Profit and loss. All other expenses related to defined benefit plans are recognized in Statement of Profit and Loss as employee benefit expenses. Re-measurements recognized in Other Comprehensive Income will not be reclassified to Statement of Profit and Loss hence it is treated as part of retained earnings in the Statement of Changes in Equity.

Other Long Term Employee Benefits:

Other Long Term Employee Benefits such as long term compensated absences are measured at present value of estimated future cash flows to be made by the company and is measured, recognized and presented in the same manner as the defined benefit gratuity plant narrated above.

3.11 Fair Value Measurement

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

• In the principal market for the asset or liability, or

• In the absence of a principal market, in the most advantageous market for the asset or Liability

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

All financial instruments for which fair value is recognised or disclosed are categorised within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole;

Level 1: quoted (unadjusted) prices in active markets for identical assets or liabilities.

Level 2: valuation techniques for which the lowest level input that has a significant effect on the fair value measurement are observable, either directly or indirectly.

Level 3: valuation techniques for which the lowest level input which has a significant effect on the fair value measurement is not based on observable market data.

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

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

3.12 Financial Instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity.

Financial Assets

Initial recognition and measurement:

All financial assets are recognised initially at fair value plus, in the case of financial assets not recorded at fair value through profit or loss, transaction costs that are attributable to the acquisition of the financial asset.

Subsequent measurement:

For purposes of subsequent measurement, financial assets are measured in their entirety at either amortised cost of fair value depending on classification of the Financial Asset :

Financial Assets at Amortised Cost

A Financial Assets is measured at the amortised cost if both the following conditions are met:

• The asset is held within a business model whose objective is to hold assets for collecting contractual cash flows, and

• Contractual terms of the asset give rise on specified dates to cash flows that are solely payments of principal and interest (SPPI) on the principal amount outstanding.

After initial measurement, such financial assets are subsequently measured at amortised cost using the effective interest rate (EIR) method. Amortised Cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR.

The EIR amortization and losses arising from impairment are recognized in the Statement of Profit & Loss. The amortized cost of the financial asset is also adjusted for loss allowance, if any.

Financial Assets at Fair Value through Other Comprehensive Income (FVTOCI)

A Financial Asset is measured at fair value through other comprehensive income if both the following conditions are met:

• The asset is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets, and

• Contractual terms of the asset give rise on specified dates to cash flows that are solely payments of principal and interest (SPPI) on the principal amount outstanding.

After initial measurement, such financial assets are subsequently measured at fair value and changes therein are recognized directly in other comprehensive income, net of applicable taxes.

Financial Assets at Fair Value through Profit and Loss (FVTPL)

FVTPL is a residual category for Financial Assets.

Any Financial Asset, which does not meet the criteria for categorization as at Amortized Cost or as FVTOCI, is classified as at FVTPL.

In addition, the company may elect to designate a Financial Asset, which otherwise meets amortized cost or FVTOCI criteria, as at FVTPL. However, such election is allowed only if doing so reduces or eliminates a measurement or recognition inconsistency (referred to as ''accounting mismatch'').

Financial Assets included within the FVTPL category are measured at fair value with all changes recognized in the Statement of Profit & Loss.

Derecognition:

The Company derecognises a financial asset when the contractual rights to the cash flows from the financial asset expire, or it transfers the rights to receive the contractual cash flows in a transaction in which substantially all of the risks and rewards of ownership of the financial asset are transferred or in which the Company neither transfers nor retains substantially all of the risks and rewards of ownership and it does not retain control of the financial asset. Any gain or loss on derecognition is recognised in the Statement of Profit and Loss.

Impairment of financial assets:

In accordance with Ind AS 109, the company applies expected credit loss (ECL) model for measurement and recognition of impairment loss on the following financial assets and credit risk exposure:

• Financial assets that are debt instruments, and are measured at amortised cost e. g. Loans and trade receivables.

• The company follows ''simplified approach'' for recognition of impairment loss allowance on Trade receivables that do not contain a significant financing component.

The application of simplified approach does not require the Company to track changes in credit risk. Rather, it recognises impairment loss allowance based on lifetime ECLs at each reporting date, right from its initial recognition.

Financial liabilities

Initial recognition and measurement:

All financial liabilities are initially recognised when the Company becomes a party to the contractual provisions of the instrument.

All financial liabilities are initially measured at fair value deducted by, in the case of financial liabilities not recorded at fair value through profit or loss, transaction costs that are attributable to the liability.

Subsequent measurement:

Financial liabilities are classified as measured at amortised cost using the effective interest method. The Company''s financial liabilities include trade payables, borrowings and other financial liabilities.

Under the effective interest method, the future cash payments are exactly discounted to the initial recognition value using the effective interest rate. The cumulative amortization using the effective interest method of the difference between the initial recognition amount and the maturity amount is added to the initial recognition value (net of principal repayments, if any) of the financial liability over the relevant period of the financial liability to arrive at the amortized cost at each reporting date. The corresponding effect of the amortization under effective interest method is recognized as expense over the relevant period of the financial liability in the Statement of Profit and Loss.

Derecognition:

A financial liability is derecognized when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the Derecognition of the original liability and the recognition of a new liability. The difference between the carrying amount of the financial liability derecognized and the consideration paid is recognized in the Statement of Profit and Loss.

Offsetting of financial instruments:

Financial assets and financial liabilities are offset and the net amount presented in the Balance Sheet when, and only when, the Company currently has a legally enforceable right to set off the amounts and it intends either to settle them on a net basis or to realise the assets and settle the liabilities simultaneously.

3.13 Investments in subsidiaries, associates and joint ventures

Investments in Subsidiaries, Associates and Joint ventures are carried at cost / deemed cost applied on transition to Ind AS, less accumulated impairment losses, if any. Where an indication of impairment exists, the carrying amount of investment is assessed and an impairment provision is recognised, if required immediately to its recoverable amount. On disposal of such investments, difference between the net disposal proceeds and carrying amount is recognised in the statement of profit and loss.

3.14 Inventories

Inventories are stated at the lower of cost and net realisable value. Costs comprise direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. Net realisable value is the price at which the inventories can be realised in the normal course of business after allowing for the cost of conversion from their existing state to a finished condition and for the cost of marketing, selling and distribution.

Raw Materials are Value at Cost ascertained on a weighted average basis.

Finished goods produced by the company are valued at lower of cost or net realizable value.

Semi-Finished goods have been valued at lower of Raw Material cost, Direct Labour and appropriate proportion of variable and fixed overheads, latter being allocated based on normal operating capacity or net realizable value.

Stock of goods purchased for resale purposes are valued at their acquisition cost inclusive of all duties and taxes or Net Realizable Value whichever is lower.

Provisions and / or write-offs are made to cover slow-moving and obsolete items based on historical experience of utilisation on a product category basis and market conditions.

3.15 Cash and Cash Equivalents

Cash and cash equivalent in the balance sheet comprise cash at banks and on hand and short- term deposits with an original maturity of three months or less, which are subject to an insignificant risk of changes in value.

3.16 Foreign currency

Transactions in foreign currencies are recorded at the exchange rate prevailing on the date of transaction. Foreign currency denominated monetary assets and liabilities are re-measured into the functional currency at the exchange rate prevailing on the balance sheet date.

Exchange differences arising on settlement of transactions and translation of monetary items are recognized in the statement of Profit or Loss except to the extent, exchange differences which are regarded as an adjustment to interest costs on foreign currency borrowings, are capitalized as part of borrowing costs.

3.17 Forward contracts

The Company is exposed to foreign currency fluctuations on foreign currency assets and forecasted cash flows denominated in foreign currency. The Company tries to limit the effects of foreign exchange rate fluctuations by following risk management policies including use of derivatives. For this the Company enters into forward exchange contracts, where the counter-party is a Bank. Theses forward contracts are not used for trading or speculation purpose.

In case, of forward contracts the gain or loss arising on exercise of option or settlement or cancellation are recognized in the Statement of Profit & Loss for the period.

The forwards contracts outstanding as at the end of the reporting period are recognized / restated at forward contract rates for the end date of the contract for a period equivalent to the balance maturity period of the contract as at the end of the reporting period and corresponding exchange gain or loss arising on the same is recognized in the Statement of Profit & Loss for the period.

3.18 Revenue Recognition

Sale of Products

Revenue from Sale of Products is recognised when control of the products or significant risks and rewards of ownership are transferred to the buyer for a consideration. This usually occurs when the products have been shipped or delivered to the specific location as the case may be, the risks of loss has been transferred, and either the customer has accepted the products in accordance with the sales contract, or the Company has objective evidence that all criteria for acceptance have been satisfied. Sale of products include related ancillary services, if any.

Domestic Sales are recognized at the transaction price of the consideration receivable net of Sales Returns and excluding the Goods and Service Tax (GST) element as well as net of expected volume discounts. Export Sales are recognized at their CIF Value charged to the Customers in Invoices.

Revenue is only recognised to the extent that it is highly probable that a significant reversal will not occur. A liability is recognised for expected volume discounts payable to customers in relation to sales made until the end of the reporting period. Any obligation to provide a refund is recognised as a provision..

The Company considers whether there are other promises in the contract that are separate performance obligations to which a portion of the transaction price needs to be allocated. In determining the transaction price, the Company considers the effects of variable consideration, the existence of significant financing component and consideration payable to the customer like return and trade discounts.

Sale of Scrap

Revenue from sale of scrap is recognized as and when scrap is sold.

Other income

Interest Income is recognized on a time proportionate basis including interest accrued based on the amount outstanding and rate applicable and shown under ''Other Income". Interest income from Financial Assets is recognized when it is probable that the economic benefits will flow to the Company and the amount of income can be measured reliably.

Export Benefits

Duty free imports of raw materials under Advance License for imports as per the Import and Export Policy are matched with the exports made against the said licenses and the net benefit/obligation is accounted by making suitable adjustments in raw material consumption. The benefits accrued under the duty drawback scheme and Merchandise Export from India Scheme (MEIS) as per the Import and export Policy in respect of exports under the said scheme are recognized when there is a reasonable assurance that the benefit will be received and the company will comply with all attached conditions. The above benefits are included under the head ''Export Incentives.''

Dividend income

Revenue is recognized when the Company''s right to receive the payment is established, which is generally when shareholders approve the dividend.

Rental Income

Revenue is recognized for the period for which the Property is given on Rental to a Lessee and right to received arises on account thereof.

Other Items of Income :

Other items such as Insurance Claims, Commission, Misc. Incomes etc. are accounted on accrual basis (depending on certainty of realization) and disclosed separately as Operational or Non-Operational Income under Other Income.

3.19 Earnings Per Share

Basic earnings per share is computed using the net profit for the year attributable to the shareholders'' and weighted average number of equity shares outstanding during the year.

Diluted earnings per share is computed using the net profit for the year attributable to the shareholders'' and weighted average number of equity shares.

3.20 Cash Flow Statement

Cash flows are reported using the indirect method, whereby profit for the period is adjusted for the effects of transactions of a non-cash nature, any deferrals or accruals of past or future operating cash receipts or payments and item of income or expenses associated with investing or financing cash flows. The cash flows from operating, investing and financing activities of the Company are segregated. Exceptional Items of Cash Flows due to peculiarity of particular circumstances relating to the Company are disclosed separately in the Cash Flow Statement.

3.21 Borrowing Costs

Borrowing costs directly attributable to the acquisition, construction or production of qualifying assets are capitalised as part of the cost of such assets up to the assets are substantially ready for their intended use. The loan origination costs directly attributable to the acquisition of borrowings (e.g. loan processing fee, upfront fee) are amortised in the year in which they occur.

Investment income earned on the temporary investment of specific borrowings pending their expenditure on qualifying assets is deducted from the borrowing costs eligible for capitalization.

All other borrowing costs are recognised in the statement of profit and loss in the period in which they are incurred.

3.22 Segment Reporting

With respect (Ind AS - 108 Segment Reporting), the Management of the Company is of the view that the products offered by the Company are in the nature of cables and conductors, having the same risks and returns, same type and class of customers and regulatory environment.Hence, the Company effectively has a single reportable business segment only. Also all products of the Company are sold within India having the same risks and returns and hence the Company effectively has a single geographical segment as well.

3.23 Government grants

Government grants are recognised at its fair value, where there is a reasonable assurance that such grants will be received and compliance with the conditions attached therewith have been met.

Government grants related to expenditure on property, plant and equipment are credited to the statement of profit and loss over the useful lives of qualifying assets or other systematic basis representative of the pattern of fulfilment of obligations associated with the grant received.

Grants received less amounts credited to the statement of profit and loss at the reporting date are included in the balance sheet as deferred income.

3.24 Good and Services Tax

GST is a destination-based tax and is levied at the point of supply. It is collected on sale of goods and services on behalf of Government and is remitted by way of payment or adjustment of credit on input goods or services. GST input credit is accounted on an accrual basis on purchase of eligible inputs, capital goods and services.

GST Accounts are created under Balance Sheet Groupings for liability towards GST collected on Sales / Other Revenue and asset towards GST paid on purchases or other expenditure for which credit is available. For Each month the GST liability is worked out after offsetting the credit available against the GST collected. The Net GST Account appears in the Balance Sheet as a Liability, if any amount is payable as at the year-end after offsetting the available credit and as an Asset if credits remain unutilized after adjusting the amount payable.

The balance of GST input credit is reviewed at the end of each year and amount estimated to be un-utilizable is charged to the statement profit and Loss for the year.

3.25 Exceptional Items

When items of income and expense within statement of profit and loss from ordinary activities are of such size, nature or incidence that their disclosure is relevant to explain the performance of the company for the period, the nature and amount of such material items are disclosed separately as exceptional items.

3.26 Items relating to period before takeover by New Management

As per the Resolution Plan approved by the Hon. NCLT, accounting effects for reduction in equity and preference share holding and liabilities write off as per the Resolution Plan were given with corresponding effect to Capital Reserve (Resolution Plan) at the time of takeover by the new Management. Similarly, write off of assets as well as any provisioning for impartment or doubtful of recovery assets was also done at that time with corresponding effect to Capital Reserve (Resolution Plan)

Subsequently, any accounting effect to be given to any liability or asset pertaining to the period prior to the takeover by the new management shall also be done at that time with corresponding effect to Capital Reserve (Resolution Plan), in order to be consistent in the accounting treatment as well as to ensure that such items do not impact financial figures relating to the period subsequent to takeover by the new management.

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Mar 31, 2023

1.1 Due to non-significant operational activities during the year, it was decided to provide 20 % of normal depreciation rate for wear and tear as depreciation. The company has yet to assess revised useful lives as specified in Schedule-II to The Companies Act, 2013 on a block of assets approach rather than individual assets.

¹.² The company is in process of updating records showing full particulars, including quantitative details and situation of fixed assets and depreciation working done based on block concepts instead individual machine wise.

1.3 To start production activities, company has carried out major repairs and renovation in fixed assets blocks from September 2022 onwards and capitalisation of Rs. 137.54 Lacs expenses.

1.4 Due to no major operational activities in the company during the entire year, no physical verification of assets done as required by the management. The above reported figures are the book value of assets only. As required under IND AS 16, Property, Pant and Equipments, no provision made as required to acertain and determination of carrying amount and impairment losses to be recognised.

Note: 1. In Current year company has written off of full amount in view of uncertainity of realisability of investments amount on account of on going liquidation process of the companies. In previsous year, Diamond Power Transformers Limited - an associate company of DPIL holding 45.32 % in DPTL. It was wholly owned subsidiary until January 2016, On 12.01.2 016, preferential allotment was made to Diamond Power Transmission Pvt. Ltd. (54.50 %)

2. In Current year company has written off of full amount in view of uncertainity of realisability of invesments amount on account of on going liquidation process of the companies. In previous year, Apex Electricals Limited- Company has applied for structuring under BIFR since 2011. The investment in Apex Electrical Limited is reflected in the books of DPIL since FY 2 007,

Note: 1 . In Current year company has done provision of full amount in view of uncertainity of realisability of unsecured loan amount on account of non availablitiy required details of DPGHL. In prevsious year, the company has given interest free loan to subsidiary, associates company and enterprises over which directors and their relatives exercise significant control for operational purpose,

Note:2. Previous periods figures have been re-arranged / re-grouped wherever considered necessary to confirm to the presentation of the current period.

Note: 1. In Current year company has done written off provision of full amount of Deffered Forward Premium Account as per approved NCLT Plan. The provision against Income Tax Assets amounting to Rs. 187.74 Lacs was made during the year and which is regrouped to Provision for Doubtful Deposits.

Note: during the current year, company has liquidated investment amount, long term capital Loss accounted of Rs. 1.57 Lacs. We had already booked unrealised Capital Gain/ Loss in respective years based on NAV as on reported date. In previous year, the NAV as per the NSDL consolidated statement as on March 31, 2022 stands to be INR 16.51 per unit.

Note: 1- In the current year, additional provision done for of old book debts, which is outstanding before trriger date, in view of non availability of details for realisability of it. During previous year, company has provided provision for doutful debts for unpaid debts above 12 months as per management view.

Note : In current year, cash balance were verified by the management of the company. We had given suitable effects in the books based on the Statement/ Balance confirmation received from respective banks. In previous year, credit balance is due to over-drawn position in current accounts as no bank statements available in previous year.

Note : In current year, company has taken BG against FD margin for GEB and provision were done for unrealisable FDs, based on the confirmation/ statement received form respective banks. For previsou year, no bank statements available, so no bank reconciliation were prepared.

Note: 1- In the current year, company has done provision for doubtful loans in view of uncertainity for realisability of loans. In previous years, the company has given interest free loan to subsidiary, associates company and enterprises over which directors and their relatives exercise significant control for operational purpose.

Note:1- In current year, company has done for provision for Advances against purchase of material/ services includes amounts given to associates entities before Trriger Date, due to uncertaininty about realisability or not and no additional information available with present management team.

14.1 Rights, preferences and restrictions attached to equity shares:

i) During the Period under review in terms of the National Company Law Tribunal, Ahmedabad bench order dated 20th June, 2022, the 269710679 Equity Shares of the Company were extinguished to the extent of 99% of the Share Capital and accordingly, the Equity Share Capital after Reduction of Share Capital is 2697106 Equity Shares ofRs. 10 each, aggregating to Rs. 269.71 Lacs. Further, 5 Cr. Equity shares ofRs. 10 each were issued to the new promoters of the Company atPAR aggregating to Rs. 50 Cr. Therefore the Total paid up share capital of the Company is 52697106 Equity shares of Rs. 10 each aggregating to Rs. 526.97 Lacs. The Preference Share capital is totally written off in terms of the NCLT order dated 20th June, 2022.

ii) The Company has a single class of equity shares. Accordingly, all equity shares rank equally with regard to dividends and share in the Company''s residual assets. The equity shares are entitled to receive dividend as declared from time to time. The voting rights of shareholders are in proportion to its share of paid up equity capital of the Company. Voting rights cannot be exercised in respect of shares on which any call or other sums presently payable have not been paid.

iii) Each holder of Equity share is entitled to one vote for each share.

14.2 Aggregate number of bonus shares issued, shares issued for consideration other than cash and shares bought back during the period of five years immediately preceding the reporting date :

During the five year period ended 31 March 2023

a) Shares have been allotted pursuant to a contract without payment being received in cash. Under “Strategic Debt Restructuring" (SDR) on 29 June 2016 under the extant of RBI guidelines. As a part of the SDR, the lenders have converted part of their dues amounting Rs. 828.43 Crores representing 74.42% into equity Shares ofRs. 10/- each at a premium ofRs. 31.28/- per equity shares and accordingly the new equity shares of the company are issued to them in January''2017 in proportion of their outstanding dues.

b) No shares have been bought back

Note : As per the NCLT resolution plan order dated 20/06/2022, company has to pay Rs. 501 Crs in the period of 5 years and Rs. 1,899 Crs at the end of 30 years in form of Unsecured redeemable bond. Out of Rs. 501 Crs., Rs. 20 Crs to meet resolution cost, Rs. 5 Crs for operational Creditors, Rs. 2.40 Crs to meet employees liabilities and Rs. 473.60 Crs to be paid over period of 5 years to financial creditors. During the year company has paid Rs. 71.70 Crs to Financial creditors and seperately created liabiltiies towards non convertible debentures of Rs. 33.16 Crs.

Note : 1 - As per the NCLT resolution plan order dated 20/06/2022, company has to pay Rs. 501 Crs in the period of 5 years and Rs. 1899 Crs at the end of 30 years. Out of Rs. 501 Crs., Rs. 20 Crs to meet resolution cost, Rs. 5 Crs for operational Creditors, Rs. 2.40 Crs to meet employees liabilities and Rs. 473.60 Crs to be paid over period of 5 years to financial creditors. During the year company has seperately accounted liabiltiies seperately towards non convertible debentures of Rs. 33.16 Crs. and Unsecured redeemable bonds amount repayble at the end of 30 years amounting to Rs. 1899.28 Crs.

2 - During the year, company has taken unsecured loan from related parties at interest rate of 10 % p.a. repayment terms yet to be finalised.

3 - Company has provided and transfered to Capital reserves account liabilities of forward premium and preference shares in compliances with NCLT approved plan order dated 20/06/2022.

Note: 1- No provision made for Grauity and leave Encashment liablility during the year as required under IND AS, as no major operation during the current year and no activities in previous year. The previsous year liabilities were provided and transfered to capital reserves account as per approved NCLT plan order dated 20/06/2022.

2 - As per approved NCLT resolution plan Rs. 2.40 Crs provided for payment of old employees dues, as due to litigation matter, no payments were made towards old employees due.

20.1 As per the NCLT resolution plan order dated 20/06/2022, company has to pay Rs. 501 Crs in the period of 5 years and Rs. 1899 Crs at the end of 30 years. Out of Rs. 501 Crs., Rs. 20 Crs to meet resolution cost, Rs. 5 Crs for operational Creditors, Rs. 2.40 Crs to meet employees liabilities and Rs. 473.60 Crs to be paid over period of 5 years to financial creditors. The liabilities accounted of Rs. 4.43 Lacs, towards CIRP Expenses unpaid to bank.

21.1 As per the NCLT resolution plan order dated 20/06/2022, company has to pay Rs. 501 Crs in the period of 5 years and Rs. 1899 Crs at the end of 30 years. Out of Rs. 501 Crs., Rs. 20 Crs to meet resolution cost, Rs. 5 Crs for operational Creditors, Rs. 2.40 Crs to meet employees liabilities and Rs. 473.60 Crs to be paid over period of 5 years to financial creditors. During the year company has paid Rs. 5 Crs to operational creditors and other outstanding liabilties provided and transfered to capital reserves.

21.2 The Company had sought confirmation from its vendors on their status under Micro, Small and Medium Enterprises Development Act, 2006 ("MSMED Act”) which came into force from 2 October 2006.

21.3 The amount due to Micro & Small Enterprises as defined in the "The Micro, Small and Medium Enterprises Development Act, 2006" has been determined to the extent such parties have been identified on the basis of information available with the company.

22.1 As per the NCLT resolution plan order dated 20/06/2022, company has to pay Rs. 501 Crs in the period of 5 years and Rs. 1899 Crs at the end of 30 years. Out of Rs. 501 Crs., Rs. 20 Crs to meet resolution cost, Rs. 5 Crs for operational Creditors, Rs. 2.40 Crs to meet employees liabilities and Rs. 473.60 Crs to be paid over period of 5 years to financial creditors. During the year company has provided interest liabilties and other liabilties and transfered to capital reserves.

23.1 1 -No provision made for Grauity and leave Encashment liablility during the year, as no major operation during the current year and no activities in previous year. The previsous year liabilities were provided and transfered to capital reserves account as per approved NCLT plan order dated 20/06/2022

2 - As per approved NCLT resolution plan Rs. 2.40 Crs provided for payment of old employees dues, as due to litigation matter, no payments were made towards old employees due.

3- all unclaimed statutory payments unpaid since trrigered date onwards as reported, it was written off in complainces with approved resolution NCLT order.

24.1 1-No provision made for Grauity and leave Encashment liablility during the year as required under IND As, as no major operation during the current year and no activities in previous year. The previsous year liabilities were provided and transfered to capital reserves account as per approved NCLT plan order dated 20/06/2022.

31.1 1- The new management has taken over management of the company from triger date 17/09/2022 as per the NCLT approved resolution plan order dated 20/06/2022 and incurred expenditures for repairs and maintenance of fixed assets for starting of operational activities in the company. All major repairs expenditure were capitalised.

2 - During the previous year, accounting of expenses for CIRP process, it was started from 24th August 2018 onwards.

313 Details of CSR expenditure

The provisions under section 135 and the rules thereof pertaining to Corporate social responsibility are not applicable to the Company during the year.

32.1 During the Period under review in terms of the National Company Law Tribunal, Ahmedabad bench order dated 20th June, 2022, the 269710679 Equity Shares of the Company were extinguished to the extent of 99% of the Share Capital and accordingly, the Equity Share Capital after Reduction of Share Capital is 2697106 Equity Shares of Rs. 10 each, aggregating to Rs. 269.71 Lacs. Further, 5 Cr. Equity shares of Rs. 10 each were issued to the new promoters of the Company at PAR aggregating to Rs. 50 Cr. Therefore the Total paid up share capital of the Company is 52697106 Equity shares of Rs. 10 each aggregating to Rs. 526.97 Lacs. The Preference Share capital is totally written off in terms of the NCLT order dated 20th June, 2022.

34)	CONTINGENT LIABILITIES AND COMMITMENTS
	Contingent liabilities	March 31,2023	March 31,2022
	(A) Contingent Liabilities
	(a) Claims against the Company not acknowledged as debts represents : i) Suits filed against the Company by M/s. Sardar Sarovar Nigam Limited		6,301,659
	ii) Disputed demand of sales tax against which the Company has preferred an appeal	-	324,412,920
	iii) Demand of sales tax against order and Show Cause Notice	-	4,083,085,182
	iv) Disputed demand of excise and service tax against which the Company has	-	25,231,546
	v) Demand of excise and service tax against Order Received dated 28.02.2019	-	970,302,331
	vi) DPIL V/s. Minar Prefab Private Limited (Regular civil appeal No. /2008)	-	51,700
	vii) CBI, Jammu V/s. DPIL & Ors. ( Chargesheet No. 1/2012, case No. 5(A)/2011	*	*
	viii) Petition filed u/s 561-A of Cr. PC. Filed by DPIL & Ors. (Hon''able high court of J&K)	*	*
	ix) ''Chandrasingh Rathod & Ors. V/s DPIL (Misc. Application No. 2549/2016)		24,500,000
	x) ''M/s Agrawal Metal Work Private Limited V/s. DPIL (Company Petition No. 19/2016)		42,854,698
	xi) ''Canbank factor V/s Accrod Industries Limited & Ors. (Commercial Suit No. 53/2017)	95,000,000	95,000,000
	xii) Demand of excise and service tax against SCN No.: DGGSTI/SZU/36-01/2017-18	-	7,145,667
	xiii) Demand of excise and service tax against SCN No.: DGGSTI/SZU/36-04/2017-18	-	166,977,240
	xiv) Demand of excise and service tax against SCN No.: DGGSTI/SZU/36-13/2017-18	-	218,697,155
	xv) Demand of excise and service tax against SCN No.: DGGSTI/SZU/36-29/PET/2017-18	-	40,327,593
	(b) Gurantees i) Guarantees given to third parties ii) Corporate guarantees given on behalf of Diamond Power Transformers Limited		1,200,000,000
	iii) Corporate guarantees given on behalf of Diamond Infosystem Limited	-	40,000,000
* The judicial process is ongoing and financial liabilties amount can not be workable. Note : Details reported as above are prepared by the management of the company.

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Mar 31, 2016

Note : Nature of security interest rate, repayment terms and other information for secured long term borrowings

Note : Nature of security, interest rate, repayment terms and other information for secured short-term borrowings

With effect from 1 April 2014, cosidering the requirements of Schedule II of the Act, the management has reassessed the remaining useful life of its fixed assets Accordingly additional depreciation charge on account of this change amounts to Rs. 1,793 lakhs on assets whose life has been reassessed. Further as requirec by Note 7(b) to Part C of Schedule II, amount of Rs. 6.11 lakhs representing the carrying amount of the assets as on 1 April 2014 where the remaining useful life of the asset is nil after retaining the residual value, is charged as depreciation expense in the Statement of profit and loss

Note a: On 12 January 2016, Company''s wholly owned subsidiary Diamond Power Transformers Limited (‘DPTL) has allotted 1 1,977,054 equity shares to Diamond Power Transmission Private Limited whereby DPTL ceases to be a wholly owned subsidiary of the Company. Post allotment of the said equity shares, the Company''s shareholding in DPTL changes from 99.60% to 45.32%.

Note b: The Company has applied for structuring under BIFR since 2011. The financial statement of the Company are not prepared post the date of filing. Considering that the Company is in possession of huge land reserves, management is of the view that no dimunution in the value of investments is required.

1. Employee benefits expenses

Disclosure pursuant to Accounting standard - 15 ''Employee Benefits''

1. General description

a) Contribution to Provident fund (defined contribution):

The Company''s provident fund scheme is a defined contribution plan. The expense charged to the Statement of profit and loss under the head contribution to provident and other funds is Rs. 86.56 lakhs (Previous year : Rs 66.16 lakhs).

b) Contribution to ESIC (defined contribution):

The Company is contributing towards Employees State Insurance Contribution Scheme in pursuance of ESI Act, 1948 (as amended). The expense charged to the statement of profit and loss is Rs. 1.35 lakhs (Previous year : Rs. 1.24 lakhs).

c) Compensated leave absences:

The leave encashment benefit scheme is a defined benefit plan and is wholly unfunded. Hence, there are no plan assets attributable to the obligation. The long term employee benefits in the form of leave encashment have been determined using the projected unit credit method as at the balance date on the basis of and actuarial valuation.

The leave wages are payable to all eligible employees at the rate of daily salary for each day of accumulated leave on death or on resignation or upon retirement

2. Related party disclosures A. Names of related parties

Related parties with whom transactions have taken place during the year

I Subsidiaries Diamond Power Global Holdings Limited

Diamond Power Transformers Limited (up to 10 January 2016)

II Associate companies Apex Electricals Limited

Diamond Power Transformers Limited (w.e.f. 11 January 2016)

III Key managerial personnel (KMP) Mr. Suresh Bhatnagar (Chairman and Director up to 31 March 2015)

Mr. Amit Bhatnagar (Managing Director)

Mr. Sumit Bhatnagar (Joint Managing Director)

VI Enterprises over which KMP and their Mayfair Spaces Limited relatives exercise significant influence Mayfair Leisure Limited

Diamond Projects Limited

Diamond Infosystems Limited

Madhuri Finserve Private Limited

Maktel Power Limited

Maktel Control & Systems Private Limited

Diamond Power Transmission Private Limited

Apex Power & Equipments Limited

Ruby Cables Limited

V Relatives of KMP Mrs. Madhurilata Bhatnagar (wife of Mr. Suresh Bhatnagar)

Mrs. Mona Bhatnagar (wife of Mr. Amit Bhatnagar)

Mrs. Richa Bhatnagar (wife of Mr. Sumit Bhatnagar)

Mr. Suresh Bhatnagar (father of Mr. Amit Bhatnagar and Mr. Sumit Bhatnagar)

Segment reporting

In accordance with its business and organization structure and internal financial reporting, the Company has concluded that Transmission and Distribution of Power (T&D) related business is its primary business segment. As the Company''s revenue is mainly from T&D business, no separate information in line with Accounting Standard (AS) 17 "Segment Reporting" is required. The performance of the Company is mainly driven by the sales made locally which is approximately 99.66% and hence, no separate geographical segment is identified. Accordingly revenue, carrying amount of segment assets and addition to fixed assets during the year are all reflected in the financial statements as of and for the year ended 31 March 2016.

3. Transfer pricing

The Company''s domestic transactions with related parties are at arm''s length as per the independent accountants report for the year ended 31 March 2015. The company is in the process of obtaining independent accountant''s report for its international transactions. Management believes that the Company''s international and domestic transactions with related parties post 31 March 2015 continues to be at arm''s length and that the transfer pricing legislation will not have any impact on these financial statements, particularly on amount of tax expense and that of provision for taxation.

4. The Company does not have system of maintaining material wise details of sales, purchases and consumption. Accordingly, breakup of amount of major sales, purchases and major raw materials consumed under broad heads is not disclosed in the financial statements as required by Schedule III of the Companies Act, 2013. Further the Company does not have system of maintaining listing of purchase order for capital goods. Accordingly, the details of capital commitment is not given.

5. In the previous year, the Company has incurred loss amounting to Rs. 3,000.00 lakhs due to flood at vadadala factory and the stock amounting to the same got destroyed. The same has been shown as exceptional loss in previous year

6. The remuneration to managing director and joint managing director was fixed at Rs. 21.78 lakhs (each) plus perquisites vide resolution passed in Annual General Meeting held on 30 September, 2015. In view of the loss incurred during the current year, the remuneration is limited to Rs. 120 lakhs p.a. (to both) under the provision of schedule XIII to the Companies Act, 2013. The excess remuneration amounting to Rs 213.01 lakhs paid to managing director and joint managing director has been shown as receivables as at the year end.

7. The Company has maintained fixed asset register up to the year 2002. Thereafter, the Company has not updated the same and assets capitalized (including the overheads and interest) as per the financial records. The breakup of the cost of each assets / component including capital work-in-progress as at the year-end as the same is under compilation. The depreciation charge is calculated on the basis of gross value of each class of assets, as per the financial statements. The depreciation so calculated could be different, if worked out on the basis of the cost of individual asset. Management is not expecting any significant impact on account of this.

8. Considering the financial stress of the company on 29 June 2016 the lenders invoked the Strategic Debt Restructuring (SDR) under the extant RBI guidelines. Now the process of implementation of SDR including the restructuring and debt re-alignment process is in progress.

9. Corporate social responsibility

The provisions under section 135 and the rules thereof pertaining to Corporate social responsibility are not applicable to the Company during the year

Prior year comparatives

Prior year figures have been audited by a firm of Chartered Accountants other than B S R & Co. LLP and ABCJPR & Company (name changed from A Yadav & Associates). The previous year figures have been regrouped / reclassified to conform current years'' classification.

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Mar 31, 2015

1. Contingent Liabilities

(a) Letter of Credit opened as on March 31 2015 is Rs 864.29 Million (Previous Year Rs. 1933.09 Million); materials under all letters of credit have been received and accounted for as Creditors. Buyer's credit opened Rs. Nil Million (Previous Year Rs. 74.76 Million) materials under all Buyers' credit have been received and accounted for as Creditors.

(b) Outstanding Inland Bank Guarantees as of March 31, 2015 is Rs. 1397.98 Million (Previous Year Rs.1403.11 Million) and outstanding Foreign Bank Guarantees as of March 31,2015 is $ 3.48 Million ( Previous Year $5.51.Million)

(c) Pending Liabilities of the company which are not acknowledge as Debt:

Income tax demands: Rs. NIL (previous year Rs nil): the company was in settlement commission till the A.Y. 2012-13 for which demand has been quantified and paid, for the A.Y. 2013-14 the regular assessment is to start.

Sales tax/CST Demands: 2007-08 Rs. 4.36 MN (Appeal Pending in tribunal), 2009-10 Rs. 10.83 MN (Appeals pending at Commissioner level). excise and Service tax Demands: 5.44 MN show Cause Notice for service tax, pending at Commissioner level

(d) There are no outstanding Claims against the Company except of Rs. 1.77 MN of Sardar Sarovar Narmada Nigam Ltd., in our opinion the companies matters are on strong ground & no financial repercussions on the company

2. Balance confirmation letters were sent out to various debtors and creditors. The confirmation of most of the Debtors and creditors is received.

3. The method of valuation of inventories adopted by the company is in accordance with the requirements of Accounting Standard 2 (Valuation of Inventories and as revised from time to time) issued by the Institute of Chartered Accountants of India.

4. In the opinion of the Management all the current assets, loans and advances and deposits are realizable at value stated in the ordinary course of the business which are at least equal to the amount at which they are stated in the books unless otherwise explicit.

5. Segmental Reporting :

The company is primarily engaged in the manufacture of conductors, cables and selling out- sourced products and EPC Contracts. As the company's manufacturing facilities are inter woven/ inter- mix due to the nature of its business with the EPC business, it is not possible to directly and specifically attribute or allocate on a reasonable basis, the expenses, assets & liabilities in different Segments. The segmental Sales product wise are as follows:

6. Share Holding in Various Companies :

The Company holds the following shares

1) Diamond Power Transformers Ltd.

99.60% shares held by DPIL.

2) Diamond Power Global Holding:

100% shares in its Subsidiary are held by DPIL

3) Maktel Power and Maktel Control & Systems Ltd.

40% Shares Held by Diamond Power Transformer Ltd., further out of the Four Directors on board of Maktel, 2 directors are common in DPIL

7. Dues to micro, small and medium enterprises

The Ministry of Micro, Small and Medium Enterprises has issued an office memorandum dated August 26, 2008 which recommends that the Micro and Small Enterprises should mention in their correspondence with its customers the Entrepreneurs Memorandum Number as allocated

After filing of the Memorandum in accordance with the 'Micro, Small and Medium Enterprises Development Act, 2006' ('the Act'). Accordingly, the disclosure in respect of the amounts payable to such enterprises as at March 31, 2011 has been made in the financial statements based on information received and available with the Company. Detail of the Small Scale Industries (SSI) units which have supplied the materials to the company and to whom the company owes a sum exceeding RS 1.00 Lacs and which is outstanding for more than 30 days is Nil

Note: The above Information regarding Small Scale Industrial undertaking has been determined to the extent such parties has been identified on the basis of information available with the company. The same has been relied upon by the Auditors. To confirm names/ figures

8. Sales include an amount of Rs Nil Million (Net of Duty) of inter-unit Transfer (Previous year Rs NIL Million).

9. Aggregate directors' remuneration is Rs. 29.67 Million (previous year Rs. 19.59 Million. The remuneration of directors is as per the approval accorded by remuneration Committee, shareholders and Central Government as per the provisions of section 311 read with Schedule XIII of the Companies Act, 1956.

10. Aggregate Auditor's remuneration is fixed at Rs. 1.62 Million (previous year Rs 1.62 Million.

Which includes Rs 1.50 Million as Audit Fees (Previous year Rs 1.50 Millions)?

11. As per Accounting Policy (10) on excise duty, the excise duty payable on finished goods in stocks at works amounting to Rs 218.9 Million (previous year Rs 7.13 Million) has been included in the expenditure and in such stocks. However, the same has no impact on the profit for the year.

12. There are no amounts due and outstanding to be credited to investor Education and Protection Fund.

13. Gratuity

The company operates one defined plans viz, gratuity for its employees. Under the gratuity plan every employee who has completed at least 5 years of services gets a gratuity on departure @ 15 days of last drawn salary for each completed year of service.

The following tables summarize the components of net benefit expenses recognized in the statement of Profit & Loss and the liability as per report shown in Balance sheet

14. Bank interest and cost includes the amounts provided towards currency fluctuation towards entire year to calculate the quarter profits such amounts of yearend adjustments are to be excluded.

15. Annual Provision and provisions of expenses related to the commencement of the production from the new facilities resulted in increase in the cost of Q-4 2014-2015, the benefits of which are expected over the next year.

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Mar 31, 2014

1.1 For the period of 5 years immediately preceding the date as at which the balance Sheet is prepared

a) Aggregate Number and Class of Shares allocated as fully paid up pursuant to contract(s) without payment have being received In cash NA

b) Aggregate Number and Class of 12402124 Equity Shares allocated as fully paid up by way of Bonus Shares in FY 2013-14 and 7015690 Equity shares allocated as fully paid up by way of bonus share in FY 2009-10

c) Aggregate Number and Class of Shares bought Back NA

1.2 The Company has one class of equity shares having a par value of Rs 10 per share & Preference Shares having per value of Rs10 per share. Each holder of equity shares is entitled to one vote per share.

1.3 Forfeited Shares

The Company had Forfeited 679750 Equity Shares on 29.04.2000 out of Issued Capital of 18250000 Equity Shares the forfeited Shares where due to Unpaid Shares calls of Rs. 7 Per.

(c) Rs Nil (Previous year Rs. 1454.52 Lacs) secured by 1st pari passu charge on all fixed assets of the company both present & future with in 60 days from the first disbursement. 2nd pari passu charge on all current assets of the company both present & future within 60 days from the 1st disbursement. The term loan is repayable in 11 equated quarterly instalment after moratorium period carries interest rate 12.25%.

(d) Rs. 10000 lacs (Previous Year Rs 10000 Lacs) (Non Convertible Debentures) secured by 1st pari passu charge on all fixed assets of the company both present & future with in 60 days from the first disbursement. 2nd pari passu charge on all current assets of the company both present & future within 60 days from the 1st disbursement repayment starting from 1st june 2014 carries interest rate 12.35%.

(e) Rs 33.04 Lacs (Previous Year Rs 73.64) Loans taken for the Vehicles the present rate of interest charged is at 10.83% PA the duration of loan are for period of 36 Months from the Date of Disbursement.

(f) Rs 50000.00 Lacs (Previous year Rs. Nil) secured by 1st pari passu charge on all fixed assets of the company both present & future with in 60 days from the first disbursement. 2nd pari passu charge on all current assets of the company both present & future within 60 days from the 1st disbursement The term loan is repayable in 11 equated quarterly instalment after moratorium period carries interest rate 12.25%.

Unsecured Loans

1. Rs 3000 Lacs (Previous Year Rs 4000 Lacs) are unsecured carrying interest rate of 12.90% and repayable within 90 days from the first Disbursement.

2. Rs 2704.20 Lacs (Previous Year Rs 15600.27) are towards contribution from the Promoters'' group for the ongoing expansion project. During the year 4392000 Warrants were issued @120 per warrants same during the year got converted into equity shares and additionally preference share of 4141500 @181 these was equally allotted to Diamond Projects Ltd and Madhuri Finserve Pvt Ltd.

2. Gratuity

The company operates one defined plans viz gratuity for its employees. Under the gratuity plan every employee who has completed at least 5 years of services gets a gratuity on departure @ 15 days of last drawn salary for each completed year of service.

The following tables summarize the components of net benefit expenses recognized in the statement of Profit & Loss and the liability as per report shown in Balance sheet.

3. Bank interest and cost includes the amounts provided towards currency fluctuation towards entire year to calculate the quarter profits such amounts of year end adjustments are to be excluded.

4. The amounts of sales and profits include the sales from the companies Manufacturing operations Branches and fully owned subsidiaries i.e Diamond Power Transformers Ltd and Diamond Power Global Holding Ltd

5. Annual Provision and provisions of expenses related to the commencement of the production from the new facilities resulted in increase in the cost of Q-4 2013-2014 the benefits of which are expected over the next year.

Previous year figures are regrouped /reclassified where ever necessary to make them comparable with the current year.

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Mar 31, 2013

1. Contingent Liabilities

a) Letter of Credit opened Rs.3879.16 Million Previous Year Rs 2001Million; materials under all letters of credit have been received and accounted for as Creditors.

(b) Outstanding Bank Guarantees as of March 31, 2013 is Rs. 1775 Million (Previous Year Rs.1226.37 Million).

(c) Income tax demands being in appeal not provided for Rs. Nil (previous year Rs Nil).

(d) There are no outstanding Claims against the Company.

(e) Corporate guarantees issued to wholly owned subsidiary – Diamond Power Transformers Ltd. In favour of Indian Overseas Bank

2. The company has been sanctioned the fund based and non-fund based working capital facilities of Rs. 1650 Millions from the Axis Bank Ltd.; Rs. 3500 Million from the Bank of India; Rs. 1980 Million from the ICICI Bank Ltd.,: Rs. 2200 Million from the Bank of Baroda, Rs. 1620 Million from Allahabad Bank & Rs. 660 Millions from Dena Bank, Rs. 552 Millions from Indian Overseas Bank & Rs. 500 Mn from State Bank of Mysore against the security of first pari passu charge on the entire current assets of the company by way of Hypothecation agreement and the second pari passu charge on the entire fixed assets of the company.

3. Balance confirmation letters were sent out to various debtors and creditors. The confirmation of most of the Debtors and creditors is received.

4. The method of valuation of inventories adopted by the company is in accordance with the requirements of Accounting Standard 2 (Valuation of Inventories and as revised from time to time) issued by the Institute of Chartered Accountants of India.

5. In the opinion of the Management all the current assets, loans and advances and deposits are realizable at value stated in the ordinary course of the business which are at least equal to the amount at which they are stated in the books unless otherwise explicit.

6. Segmental Reporting:

The company is primarily engaged in the manufacture of conductors, cables and selling out- sourced products and EPC Contracts. As the company''s manufacturing facilities are inter woven/ inter- mix due to the nature of its business with the EPC business, it is not possible to directly and specifically attribute or allocate on a reasonable basis, the expenses, assets & liabilities in different Segments. The segmental Sales product wise are as follows:

7. Share Holding in Various Companies: The Company holds the following shares

1. 99.60% in its Subsidiary Diamond Power Transformers Ltd.

2. 100% in its Subsidiary Diamond Power Global Holding Ltd. – Dubai

3. 100% in its Subsidiary Diamond Power Transmission Pvt Ltd .

8. Related Party Disclosures:

a) Particulars of Associates of the Company:

Name of the Related Party Nature of Relationship

Diamond Infosystems Ltd. Associate Company of DPIL

Diamond Projects Ltd. Associate Company of DPIL

b) Subsidiary Company:

Name of the Subsidiary Diamond Power Transformers Ltd Diamond Power Global Holding Ltd Diamond Power Transmission Pvt Ltd

c) Key Management Personnel and their Relatives:

Key Management Personnel and their Relatives Nature of Relationship

Mr. S.N.Bhatnagar Chairman

Mr. Amit Bhatnagar Managing Director

Mr. Sumit Bhatnagar Jt. Managing Director

d) Relatives of Key Management Personnel:

Key Management Relatives Smt Madhurilata Bhatnagar

Smt Mona Bhatnagar

Smt Richa Bhatnagar

e) Enterprise under Significant influence of Key Management Personnel: Not applicable

8. Dues to micro, small and medium enterprises

The Ministry of Micro, Small and Medium Enterprises has issued an office memorandum dated August 26, 2008 which recommends that the Micro and Small Enterprises should mention in their correspondence with its customers the Entrepreneurs Memorandum Number as allocated. After filing of the Memorandum in accordance with the ''Micro, Small and Medium Enterprises Development Act, 2006'' (''the Act''). Accordingly, the disclosure in respect of the amounts payable to such enterprises as at March 31, 2011 has been made in the financial statements based on information received and available with the Company. Detail of the Small Scale Industries (SSI) units which have supplied the materials to the company and to whom the company owes a sum exceeding RS 1.00 Lacs and which is outstanding for more than 30 days is Nil

Note: The above Information regarding Small Scale Industrial undertaking has been determined to the extent such parties has been identified on the basis of information available with the company. The same has been relied upon by the Auditors. To confirm names/figures

11. Sales include an amount of Rs Nil Million (Net of Duty) of inter- unit Transfer (Previous year Rs 761.92 Million).

9 Aggregate directors'' remuneration is Rs. 17.12 Million (previous year Rs. 36.85 Million. The remuneration of directors is as per the approval accorded by remuneration Committee, shareholders and Central Government as per the provisions of section 311 read with Schedule XIII of the Companies Act, 1956.

10 Aggregate Auditor''s remuneration is fixed at Rs. 1.62 Million (previous year Rs. 2.43 Million. Which includes Rs 1.62 Million as Audit Fees (Previous year Rs. 2.43 Millions).

11 As per Accounting Policy (10) on excise duty, the excise duty payable on finished goods in stocks at works amounting to Rs 104.43 Million (previous year Rs 75.87 Million) has been included in the expenditure and in such stocks. However, the same has no impact on the profit for the year.

12. There are no amounts due and outstanding to be credited to investor Education and Protection Fund.

13. Details of Licensed, Installed Capacities and Production

Previous year figures are regrouped /reclassified where ever necessary to make them comparable with the current year.

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Mar 31, 2012

1.1 For the period of 5 years immediately preceding the date as at which the balance Sheet is prepared NA

a) Aggregate Number and Class of Shares allocated as fully paid up pursuant to contract(s) without payment have being received In cash

b) Aggregate Number and Class of Shares allocated as fully paid up by way of bonus Shares

c) Aggregate Number and Class of Shares bought Back

1.2 The Company has only one class of equity shares having a par value of Rs 10 per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to approval of the shareholders in the ensuing Annual General Meeting.

Term Loans from Banks

a) Rs 12500 Lacs (Previous year Rs 15000 Lacs) Secured 1st Pari Passu Charge on the entire Fixed Assets of the company both present and Future. The Term Loan is repayable in remaining 22 equal Quaterly Installments by 30th Sep 2016 and present intrest rate is 12.90% p.a

(b) Rs 2739.41 Lacs (Previous year Nil) Secured 1st Pari Passu Charge on the entire Fixed Assets of the company both Present and Future. The Term Loan is Repayable in 26 equally quaterlly installments commencing from 30th Sep 2014 and carries Intrest rate of 12.75% pa

(c) Rs 2909.08 Lacs (Previous year Rs. 4000 lacs) secured by 1st pari passu charge on all fixed assets of the company both present & future with in 60 days from the first disbursement. 2nd pari passu charge on all current assets of the company, both present & future within 60 days from the 1st disbursement,The term loan is repayble in 11 equated quarterly installments after moratorium period carries interest rate 12.25%

(d) Rs. 10000 lacs (Previous Year 6800 Lacs) (Non Convertible Debentures)secured by 1st pari passu charge on all fixed assets of the company both present & future with in 60 days from the first disbursement. 2nd pari passu charge on all current assets of the company, both present & future within 60 days from the 1st disbursement, repayment starting from 1st June 2014, carries interest rate 12.35%

(e) Rs 121.62 Lacs (Previous Year 48.41) Loans taken for the Vehicles the present rate of interest charged is at 10.83%PA the duration of loan are for period of 36 Months from the Date of Disbursment

Unsecured Loans

1. Rs 2850 Lacs (Previous Year 3000 Lacs) are unsecured carrying interest rate of 12.90% and repayable within 90 days from the first Disbursement

2 Rs 2200 Lacs (Previous Year Nil) are towards contribution from the Promoters' group for the ongoing expansion project.

Note to Standalone

Loans repayable on Demand

Rs 36234.07 Lacs (Previous Year 15477.11 Lacs) these entire loan are secured by the first Parri Passu Charge on Entire Current Assets of the company and second pari Passu Charge on the Fixed Assets of the company and rate of Interest charged on the entire loan is @ 13.50 to 14%

1. Contingent Liabilities

(a) Letter of Credit opened Rs.2001 Million Previous Year Rs 1145.25 Million; materials under all letters of credit have been received and accounted for as Creditors.

(b) Outstanding Bank Guarantees as of March 31, 2012 is Rs.1226.37 Million (Previous Year Rs. 948.73 Million

(c) There are no outstanding income tax demands under appeals.

(d) There are no outstanding Claims against the Company.

(e) Corporate guarantees issued on behalf of wholly owned subsidiary - Diamond Power Transformers Ltd. in favour of SICOM Limited and Indian Overseas Bank

2. The company has been sanctioned the fund based and non-fund based working capital facilities of Rs. 1650 Million from the Axis Bank Ltd.; Rs. 2314 Million from the Bank of India; Rs. 1980 Million from the ICICI Bank Ltd.,: Rs. 2200 Million from the Bank of Baroda, Rs 1620 Million from Allahabad Bank & Rs 660 Million from Dena Bank and Rs 552 Million from Indian Overseas Bank against the security of first pari passu charge on the entire current assets of the company by way of Hypothecation agreement and the second pari passu charge on the entire fixed assets of the company.

3. Balance confirmation letters were sent out to various debtors and creditors. The confirmation of most of the Debtors and creditors is received.

4. The method of valuation of inventories adopted by the company is in accordance with the requirements of Accounting Standard 2 (Valuation of Inventories and as revised from time to time) issued by the Institute of Chartered Accountants of India.

5. In the opinion of the Management all the current assets, loans and advances and deposits are realizable at value stated in the ordinary course of the business which are at least equal to the amount at which they are stated in the books unless otherwise explicit.

6. Segmental Reporting:

The company is primarily engaged in the manufacture of conductors, cables, towers, transformers and selling out- sourced products and EPC Contracts. As the company's manufacturing facilities are inter woven/ inter- mix due to the nature of its business with the EPC business, it is not possible to directly and specifically attribute or allocate on a reasonable basis, the expenses, assets & liabilities in different Segments. The segmental Sales product wise are as follows:

7. Share Holding in Various Companies:

The Company holds the following shares

1. 99.60% in its Subsidiary Diamond Power Transformers Ltd

2. 100% in its wholly owned Subsidiary Diamond Power Global Holdings Ltd

Note: The above information has been determined to the extent such parties have been identified on the basis of information provided by the Company and approved by the Board of Directors of the Company, which has been relied upon by the Auditors. Enterprise under the same management include Wholly Owned Subsidiary Diamond Power Transformers Ltd.

8. Dues to micro, small and medium enterprises

The Ministry of Micro, Small and Medium Enterprises has issued an office memorandum dated August 26, 2008 which recommends that the Micro and Small Enterprises should mention in their correspondence with its customers the Entrepreneurs Memorandum Number as allocated.

After filing of the Memorandum in accordance with the 'Micro, Small and Medium Enterprises Development Act, 2006' ('the Act'). Accordingly, the disclosure in respect of the amounts payable to such enterprises as at 31st March, 2012 has been made in the financial statements based on information received and available with the Company. Detail of the Small Scale Industries (SSI) units which have supplied the materials to the company and to whom the company owes a sum exceeding RS 1.00 Lacs and which is outstanding for more than 30 days is Nil.

Note: The above Information regarding Small Scale Industrial undertaking has been determined to the extent such parties has been identified on the basis of information available with the company. The same has been relied upon by the Auditors. To confirm names/figures

9. Sales include an amount of Rs 761.92 Million (Net of Duty) of inter- unit Transfer (Previous year Rs 1121.25 Million).

10. Aggregate directors' remuneration is Rs. 36.85 Million (previous year Rs. 22.48 Million. The remuneration of directors is as per the approval accorded by remuneration Committee, shareholders and Central Government as per the provisions of Section 311 read with Schedule XIII of the Companies Act, 1956.

11. Aggregate Auditor's remuneration is fixed at Rs. 2.32 Million (previous year Rs 1.04 Million. Which includes Rs 1.02 Million as Audit Fees (Previous year Rs 1.02 Million).

12. As per Accounting Policy (10) on excise duty, the excise duty payable on finished goods in stocks at works amounting to Rs 75.87 Million (previous year Rs 18.61 Million) has been included in the expenditure and in such stocks. However, the same has no impact on the profit for the year.

13. There are no amounts due and outstanding to be credited to Investor Education and Protection Fund.

Consumption of Assorted Wire / Wire rods is not provided, as they are totally consumed in-house for manufacture of conductors. Installed capacity and capacity utilization are as certified by the management and not verified by the auditors being a technical matter. The quantity in Kms. cannot comparable as the weight per Kms of each conductor varies on the cross section area and current carrying capacity. Hence, the production has been shown in Kms. The Quantity are usually taken as per relevant IS standards.

Previous year figures are regrouped /reclassified where ever necessary to make them comparable with the current year.

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Mar 31, 2011

1. Contingent Liabilities

(a) Letter of Credit opened Rs. 1145.25 Million (Previous Year Rs 803.96 Million); materials under all letters of credit have been received and accounted for as Creditors.

(b) Outstanding Bank Guarantees as of March 31, 2011 is Rs.948.73 Million (Previous Year Rs.683.18 Million).

(c) Income tax demands being in appeal not provided for Rs. NIL (previous year Rs Nil).

(d) There are no outstanding Claims against the Company.

(e) Corporate guarantees issued to wholly owned subsidiary – Diamond Power Transformers Ltd. In favour of SICOM Limited and Indian Overseas Bank, total Rs. 600 Million.

2. Share Capital :

During the current Financial Year, the share capital of the company underwent through various changes .During the year the company has undergone increase in share capital by way of Issue of fresh equity shares under QIP and Preferential Allotment. The company allotted totally 55,93,727 shares under QIP and 8,83,217 under Preferential allotment at Rs.203.80per share; so in totality company has raised its Share Capital by 64,76, 944shares and 6,66,667 Shares were added by bonus Shares of Diamond Tele Cabs Pvt Ltd who were allotted 20,00,000 Warrants in 2009-10 .

3. Reserves and Surplus :

- Capital Reserve includes the amount of Rs. 2.5 Millions (Previous Year Rs. 2.5 Million) from State Govt. Subsidy., Rs 172.38 Millions ( Previous year Rs 172.38 Millions) from Debt Restructuring, & Rs 3.61 Millions ( Previous Year 3.61 Millions ) from Forfeited Shares

- During the year company's share premium has increased by Rs 1289.80 Million (Previous year Rs 365.43Million). The increase in Premium is due to allotment of 64,76,944 shares with premium of Rs 193.80 per share and 20,00,000 share warrant issued to group companies with premium of Rs 200 per share .

4. Secured Loans:

1 The company has availed a Term Loan of Rs. 1500 Million during the year 2010-11 from the ICICI Bank Ltd. @10.45% p.a.( Earlier Loan of Rs 1300 Million was @ 13.5% rate of interest per annum). The earlier loan was initially given by Axis Bank and others for on-going Expansion of Project. The said loan is taken over by ICICI Bank at lower rate of Interest.

2 The company availed a corporate loan of Rs 400 mn from Tata Capital Limited which was sanctioned with interest rate of 12.25% p.a.

The said loans are secured by way of First Parri- passu charge on fixed assets of the company, both present and future and second Pari Passu Charge on all Current Assets of the company, both Present and Future.

3 The Company during FY 2010-11 allotted Secured Redeemable Non-Convertible Debentures (Debentures) in form of Redeemable, Separately Transferable Redeemable Principal Parts (STRPPs) amounting to Rs 680 mn carrying an annual rate of interest of 12.25%

The said debentures are secured by First Parri- passu charge on fixed assets of the company and/ or its subsidiaries/group entities, having minimum asset cover of 1.25 times to be maintained during the tenor of the NCDs.

4 The company has been sanctioned the fund based and non-fund based working capital facilities of Rs. 1000 Millions from the Axis Bank Ltd. ; Rs. 1420 Million from the Bank of India ; Rs. 1240 Million from the ICICI Bank Ltd.,: Rs. 1340Million from the Bank of Baroda , Rs 990 Million from Allahabad Bank & Rs 400 Millions from Dena Bank and Rs 320 Millions from Indian Overseas Bank against the security of first pari passu charge on the entire current assets of the company by way of Hypothecation agreement and the second pari passu charge on the entire fixed assets of the company.

5. Balance confirmation letters were sent out to various debtors and creditors. The confirmation of most of the Debtors and creditors is received.

6. The method of valuation of inventories adopted by the company is in accordance with the requirements of Accounting Standard 2 (Valuation of Inventories and as revised from time to time) issued by the Institute of Chartered Accountants of India.

7. In the opinion of the Management all the current assets, loans and advances and deposits are realizable at value stated in the ordinary course of the business which are at least equal to the amount at which they are stated in the books unless otherwise explicit.

8. Share Holding in Various Companies :

The Company holds the following shares

1. 50% in Apex Electricals Ltd

2. 100% in its Subsidiary Diamond Power Transformer Ltd.

9. Related Party Disclosures :

A. Particulars of Associates of the Company:

Name of the Related Party Nature of Relationship

1 Diamond Infosystems Ltd. Associate Company of DPIL

2 Diamond Projects Ltd. Associate Company of DPIL

B. Subsidiary Company: Name of the Subsidiary Diamond Power Transformers Ltd

C. Key Management Personnel and their Relatives

Key Management Personnel Nature of Relationship and their Relatives

1 Mr. S.N.Bhatnagar Chairman

2 Mr.Amit Bhatnagar Managing Director

3 Mr. Sumit Bhatnagar Jt. Managing Director

D. Relatives of Key Management Personnel:

1 Smt Madhurilata Bhatnagar

2 Smt Mona Bhatnagar

3 Smt Richa Bhatnagar

E. Enterprise under Significant influence of Key Management Personnel: None

10. Dues to micro, small and medium enterprises

The Ministry of Micro, Small and Medium Enterprises has issued an office memorandum dated August 26, 2008 which recommends that the Micro and Small Enterprises should mention in their correspondence with its customers the Entrepreneurs Memorandum Number as allocated

After filing of the Memorandum in accordance with the 'Micro, Small and Medium Enterprises Development Act, 2006' ('the Act'). Accordingly, the disclosure in respect of the amounts payable to such enterprises as at March 31, 2011 has been made in the financial statements based on information received and available with the Company. Detail of the Small Scale Industries (SSI) units which have supplied the materials to the company and to whom the company owes a sum exceeding RS 1.00 Lacs and which is outstanding for more than 30 days is Nil

Note: The above Information regarding Small Scale Industrial undertaking has been determined to the extent such parties has been identified on the basis of information available with the company. The same has been relied upon by the Auditors.

11. Sales include an amount of Rs 1121.25 Million (Net of Duty) of inter- unit Transfer (Previous year Rs 1400.83 Million).

12. Aggregate directors' remuneration is Rs 22.48 Million (previous year Rs 26.68 Million. The remuneration of directors is as per the approval accorded by remuneration Committee, shareholders and Central Government as per the provisions of section 311 read with Schedule XIII of the Companies Act, 1956.

13. Aggregate Auditor's remuneration is fixed at Rs 1.04 Million (previous year Rs 1.04 Million. Which includes Rs 1.02 Million as Audit Fees (Previous year Rs 1.02 Millions).

14. As per Accounting Policy (10) on excise duty, the excise duty payable on finished goods in stocks at works amounting to Rs 18.61 Million (previous year Rs 26.61 Million) has been included in the expenditure and in such stocks. However, the same has no impact on the profit for the year.

15. There are no amounts due and outstanding to be credited to investor Education and Protection Fund.

Previous year figures are regrouped /reclassified where ever necessary to make them comparable with the current year.