Notes to Accounts of G M Breweries Ltd.

Mar 31, 2025

(m) Provisions, Contingent liabilities and contingent assets:

Provisions are recognised when the Company has a present legal or constructive obligation as a result of past
events, it is probable that an outflow of resources will be required to settle the obligation and the amount
can be reliably estimated. Provisions are measured at the present value of management’s best estimate of the
expenditure required to settle the present obligation at the end of the reporting period.

A contingent liability exists when there is a possible but not probable obligation, or a present obligation that
may, but probably will not, require an outflow of resources, or a present obligation whose amount cannot be
estimated reliably.

All known Liabilities, wherever material, are provided for and Liabilities, which are disputed, are referred to
by way of Notes on Accounts.

(n) Cash and cash equivalents

For the purpose of presentation in the statement of cash flows, cash and cash equivalents includes cash on
hand, deposits held at call with financial institutions, other short-term, highly liquid investments with original
maturities of three months or less that are readily convertible to known amounts of cash and which are subject
to an insignificant risk of changes in value.

(o) Earnings Per Share:

Basic earnings per share is calculated by dividing the net profit for the year attributable to equity shareholders
by the weighted average number of equity shares outstanding during the period. The weighted average number
of equity shares outstanding during the period is adjusted for events of bonus issue; bonus element in a rights
issue to existing shareholders; share split; and reverse share split (consolidation of shares).

(p) Fair value measurement:

The Company measures financial instruments at fair value at each balance sheet date. Fair value is the price
that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market
participants at the measurement date.

All assets and liabilities for which fair value is measured or disclosed in the financial statement are categorised
within the fair value hierarchy.

(q) Financial Instruments:

Financial assets and liabilities are recognised when the Company becomes a party to the contractual provisions
of the instruments. All the financial assets and liabilities are measured initially at fair value. Transaction costs
that are directly attributable to the acquisition or issue of financial asset and financial liabilities (other than
financial assets and liabilities carried at fair value through profit or loss) are added or deducted from the fair

value measured on initial recognition of financial asset or financial liability.

(r) Financial assets
Classification and Measurement

All the financial assets are initially measured at fair value. Transaction costs that are directly attributable to the
acquisition of financial asset (other than financial assets carried at fair value through profit or loss) are added
to or deducted from the fair value measured on initial recognition of financial asset.

Subsequent measurement of a financial assets depends on its classification i.e., financial assets carried at
amortised cost or fair value (either through other comprehensive income or through profit or loss). Such
classification is determined on the basis of Company’s business model for managing the financial assets and
the contractual terms of the cash flows.

The Company’s financial assets primarily consists of cash and cash equivalents, trade receivables, loans to
employees and security deposits etc. which are classified as financial assets carried at amortised cost.

Amortised cost

Assets that are held for collection of contractual cash flows where those cash flows represent solely payments
of principal and interest are measured at amortised cost. A gain or loss on a financial assets that is subsequently
measured at amortised cost is recognised in profit or loss when the asset is derecognised or impaired. Interest
income from these financial assets is recognised using the effective interest rate method.

Impairment of financial assets

The Company assesses on a forward looking basis the expected credit losses associated with its assets carried
at amortised cost. For trade receivables, the Company provides for lifetime expected credit losses recognised
from initial recognition of the receivables.

Derecognition of financial assets

A financial asset is derecognised only when the Company has transferred the rights to receive cash flows from
the financial asset or retains the contractual rights to receive the cash flows of the financial asset, but assumes
a contractual obligation to pay the cash flows to one or more recipients.

(s) Income recognition
Interest income

Interest income is recognised at contracted rate of interest.

Dividends

Dividends are recognised in profit or loss only when the right to receive payment is established, it is probable
that the economic benefits associated with the dividend will flow to the Company, and the amount of the
dividend can be measured reliably.

(t) Cash flow statement

Cash flows are reported using the indirect method, whereby profit/ loss before tax 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 flows. The cash flows from
operating, investing and financing activities of the Company are segregated

25. Investment Properties

Investment property is measured at cost.

Investment property consists of residential flats, property occupied by tenants and property occupied as tenants.
The Fair Market Value of Investment Property based on ready reckoner rates/ cost is 117.69 crores as on March
31, 2025.

In case of property occupied by tenants, rental income earned is disclosed in the accounts.

26. Clarification regarding note pertaining to “Transport Fee Liability” mentioned in earlier years.

The Company had, along with other manufacturers of Country Liquor and IMFL in the State of Maharashtra,
filed a Writ Petition in the Hon’ble Bombay High Court challenging the applicability of “Transport Fee” under
Bombay Rectified Spirit (Transport in Bond) Rules 1951.

The Hon’ble Bombay high Court by its Order and Judgment dated 6th May, 2011 had allowed the Writ
Petitions and set aside the levy of Transport Fee under the said Rules. The Hon’ble Bombay High Court has
also directed the Government of Maharashtra to Refund the “Transport Fee” Deposited pursuant to the Interim
Order. The Government is yet to Refund the deposit of “Transport Fee” made by the Company.

The State of Maharashtra has also filed a Special Leave Petition in the Hon’ble Supreme Court of India against
the said Order of the Bombay High Court which is pending for admission.

27. MVAT / Income Tax / GST

As alcoholic liquor for human consumption has been kept out of the purview of Goods and Services Tax (GST)
introduced from July 01, 2017, the company’s finished product namely country liquor continues to be taxed
under Maharashtra Value Added Tax (MVAT).

Under the MVAT Act in force from 1/4/2005 there is no procedure for assessment. The Company is filing
monthly MVAT returns on regular basis and all dues have been paid as per the returns. The MVAT department
of Government of Maharashtra has completed Audit of the company’s transactions up to the financial year
2019-20. The Company has also filed the audit report as required under the MVAT Act up to the financial year
2023-24. The GST audit is completed up to F.Y.2021-2022.

The Company has received an order dated March 28, 2025 from the MVAT department, Government of
Maharashtra for the year 2019-20 raising a total demand of Rs. 2,00,92,920/- (Comprising of Tax amount
Interest penalty)

The demand is on account of disallowance of Input Tax credit for the Rectified Spirit purchased from m/s New
Phaltan Sugar Works Distillary Division Limited as the supplier, who even though sold under MVAT, has
made tax payment under GST.

M/s New Phaltan Sugar Works Distillary Division Limited has filed a Writ petition in the Honourable Bombay
High Court seeking clarification whether Rectified Spirit is taxable under MVAT or GST and the Writ Petition
is pending for final disposal.

The Company has also filed an intervener application in the Writ Petition filed by M/s New Phaltan Sugar
Works Distillary Division Limited which is admitted by the honourable Mumbai Highcourt and as such the
matter is Sub-Judice.

The Company now proposes to file an appeal with Jt. Commissioner (Appeals) against the order within the
statutory period of 60 days from the date of the order with prayers to stay the demand till the final disposal of
the Writ Petition by the Bombay High Court.

In view of the Notification dated October 07, 2023 of the GST council, the company is confident of getting a
favourable verdict from the Bombay High Court in this regard. In any case the said demand order will not have
material impact on the financial operations of the company.

The company’s Income Tax assessment has been completed up to assessment year 2020-21 and the demands
raised by the department ( Except demands in disputes ) has already been paid by the company.

33. Deferred Tax

During the year company has created and adjusted deferred tax asset against deferred tax liability of Rs.38.24
Lakhs on account of timing difference of depreciation as per Income Tax Act, 1961 & depreciation debited in
the books of accounts as per the Company’s Act 2013.

34. Segment Reporting:

The Company at present is engaged in the business of manufacture and sale of country liquor, which constitutes
a single business segment.

36. Employees Benefits:

The company has made provisions in the accounts for gratuity base on actuarial valuation. The particulars
under the AS 15 (revised) furnished below are those which are relevant and available to company for this
year.

38. The company has invested a sum of Rs.5.11 Crores in IL&FS by way of preference shares and the company
has received dividend on these shares for the year 2017-18. Even though IL&FS is presently undergoing a
liquidity crisis, pending complete resolution of debt and clarity on rights of preference Shareholders Company
has decided to carry investment at cost.

39. Additional Regulatory Information

Additional Regulatory Information pursuant to Clause 6L of General Instructions for preparation of Balance
Sheet as given in Part I of Division II of Schedule III to the Companies Act, 2013, are given hereunder to the
extent relevant and other than those given elsewhere in any other notes to the Financial Statements.

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

b. The Company has not been declared as a willful defaulter by any lender who has powers to declare a
company as a willful defaulter at any time during the financial year or after the end of reporting period but
before the date when the financial statements are approved.

c. The Company does not have any transactions with struck-off companies.

d. The Company does not have any charges or satisfaction which is yet to be registered with the Registrar of
Companies (ROC) beyond the statutory period.

e. 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.

f. 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;

-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

-Provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

g. The Company has not received any funds from any person(s) or entity(ies), including foreign entities
(Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company
shall;

-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

- Provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

h. The Company does not have any transactions which is not recorded in the books of accounts but 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).

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

40. As per the proviso to rule 3(1) of the Companies (Accounts) Rules, 2014 for maintaining books of account
using accounting software which has a feature of recording audit trail ( Edit Log) facility is complied by the
company.

41. The figures of the previous years have been regrouped / rearranged wherever necessary.

Notes forming part of the financial statements & 1 to 41 For & on behalf of Board of Directors

Standard Accounting Policies 1 & 2 G M Breweries Limited

CIN: L15500MH1981PLC025809

As per our report of even date attached Chairman & Managing Director Jimmy Almeida Kashyap DIN 00111905

For V.P. Mehta & Co. Wholetime Director Jyoti Almeida Kashyap DIN 00112031

Chartered Accountants

Firm’s Registration Number :106326W Wholetime Director Kiran Parashare DIN 06587810

Vipul P. Mehta Chief Financial officer S Swaminathan

Proprietor

Membership No.:035722 VP- Finance & C.S. Sandeep Kutchhi

Mumbai, April 15, 2025 Mumbai, April 15, 2025

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Mar 31, 2024

33. Deferred Tax

During the year company has created and adjusted deferred tax asset against deferred tax liability of Rs.60.92 Lakhs on account of timing difference of depreciation as per Income Tax Act, 1961 & depreciation debited in the books of accounts as per the Company’s Act 2013.

34. Segment Reporting:

The Company at present is engaged in the business of manufacture and sale of country liquor, which constitutes a single business segment.

36. Employees Benefits:

The company has made provisions in the accounts for gratuity base on actuarial valuation. The particulars under the AS 15 (revised) furnished below are those which are relevant and available to company for this year.

The company has paid an amount of Rs.7,88,141/- to LIC towards all the three policies above based on actuarial valuation done by LIC.

38.    The company has invested a sum of Rs.5.11 Crores in IL&FS by way of preference shares and the company has received dividend on these shares for the year 2017-18. Even though IL&FS is presently undergoing a liquidity crisis, pending complete resolution of debt and clarity on rights of preference Shareholders Company has decided to carry investment at cost.

39.    Additional Regulatory Information

Additional Regulatory Information pursuant to Clause 6L of General Instructions for preparation of Balance Sheet as given in Part I of Division II of Schedule III to the Companies Act, 2013, are given hereunder to the extent relevant and other than those given elsewhere in any other notes to the Financial Statements.

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

b.    The Company has not been declared as a willful defaulter by any lender who has powers to declare a

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company as a willful defaulter at any time during the financial year or after the end of reporting period but

before the date when the financial statements are approved.

c.    The Company does not have any transactions with struck-off companies.

d.    The Company does not have any charges or satisfaction which is yet to be registered with the Registrar of Companies (ROC) beyond the statutory period.

e.    The Company has compiled 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.

f.    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;

-    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

-    Provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

g.    The Company has not received any funds from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall;

-    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

-    Provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

h.    The Company does not have any transactions which is not recorded in the books of accounts but 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).

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

40.    As per the proviso to rule 3(1) of the Companies (Accounts) Rules, 2014 for maintaining books of account using accounting software which has a feature of recording audit trail ( Edit Log) facility is complied by the company.

41.    The figures of the previous years have been regrouped / rearranged wherever necessary.

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Mar 31, 2023

29. In the opinion of the Board of Directors, the Current Assets, Loans and Advances are approximately of the value stated if realised in the ordinary course of business. The provision for all known liabilities is adequate and not in excess of amount reasonably necessary.

30. Micro Small and Medium Enterprises

The Company has called for complete information from all the vendors regarding their status as small-scale/ micro industrial undertaking. Based on information received regarding the status of the vendors there are no amounts outstanding for more than Rs.1,00,000/- for more than 30 days.

33. Deferred Tax

During the year company has created and adjusted deferred tax asset against deferred tax liability of Rs.52.61 Lakhs on account of timing difference of depreciation as per Income Tax Act, 1961 & depreciation debited in the books of accounts as per the Company’s Act 2013.

36. Employees Benefits:

The company has made provisions in the accounts for gratuity base on actuarial valuation. The particulars under the AS 15 (revised) furnished below are those which are relevant and available to company for this year.

38. The company has invested a sum of Rs.5.11 Crores in IL&FS by way of preference shares and the company has received dividend on these shares for the year 2017-18. Even though IL&FS is presently undergoing a liquidity crisis, pending complete resolution of debt and clarity on rights of preference Shareholders Company has decided to carry investment at cost.

39. Additional Regulatory Information

Additional Regulatory Information pursuant to Clause 6L of General Instructions for preparation of Balance Sheet as given in Part I of Division II of Schedule III to the Companies Act, 2013, are given hereunder to the extent relevant and other than those given elsewhere in any other notes to the Financial Statements.

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

b. The Company has not been declared as a willful defaulter by any lender who has powers to declare a company as a willful defaulter at any time during the financial year or after the end of reporting period but before the date when the financial statements are approved.

c. The Company does not have any transactions with struck-off companies.

d. The Company does not have any charges or satisfaction which is yet to be registered with the Registrar of Companies (ROC) beyond the statutory period.

e. The Company has compiled 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.

f. 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;

-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

-Provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

g. The Company has not received any funds from any person(s) or entity(ies), including foreign entities

A

(Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall;

-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

- Provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

h. The Company does not have any transactions which is not recorded in the books of accounts but 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).

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

40. The figures of the previous years have been regrouped / rearranged wherever necessary.

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Mar 31, 2019

1. Company overview

G. M. Breweries Limited (“the Company”) is a public company incorporated in India. The Company is primarily engaged in the manufacturing of country liquor.

1) Stock of Raw Materials and Packing Material : At cost Including Local Taxes (Net of Setoff) or net realisable value whichever is lower

2) Stock in Process : At cost or net realisable value, whichever is lower

3) Stock of Finished Goods: At cost or net realisable value, whichever is lower

a) There are No (Previous year - No) rights, preference and restriction attaching to each class of shares including restriction on the distribution of dividend and the repayment of capital.

b) There are nil number of shares (Previous year Nil) in respect of each class in the company held by its holding company or its ultimate holding company including shares held by or by subsidiary or associates of the holding company or the ultimate holding company in aggregate.

c) Shares in the company held by each shareholders holding more than 5% shares

d) There are nil number of shares ( Previous year Nil) reserved for issue under option and contracts/commitment for the sale of shares/dis-investment including the terms and amounts.

e) For the period of five years immediately preceding the date as at which the balance sheet is prepared

f) There are no securities (Previous year No) convertible into Equity/ Preferential Shares.

g) There are no calls unpaid (Previous year No )including calls unpaid by Directors and Officers as on balance sheet date.

Notes on Accounts forming part of accounts

2. Investment Properties

Investment property is measured at cost.

Investment property consists of residential flats, property occupied by tenants and property occupied as tenants. The fair Market Value of Investment Property based on ready recknor rates is 61.44 crores as on March 31, 2019.

In case of property occupied by tenants, rental income earned is disclosed in the accounts.

3. Clarification regarding note pertaining to “Transport Fee Liability” mentioned in earlier years.

The Company had, along with other manufacturers of Country Liquor and IMFL in the State of Maharashtra, filed a Writ Petition in the Hon’ble Bombay High Court challenging the applicability of “Transport Fee” under Bombay Rectified Spirit (Transport in Bond) Rules 1951.

The Hon’ble Bombay high Court by its Order and Judgment dated 6th May, 2011 had allowed the Writ Petitions and set aside the levy of Transport Fee under the said Rules. The Hon’ble Bombay High Court has also directed the Government of Maharashtra to Refund the “Transport Fee” Deposited pursuant to the Interim Order. The Government is yet to Refund the deposit of “Transport Fee” made by the Company.

The State of Maharashtra has also filed a Special Leave Petition in the Hon’ble Supreme Court of India against the said Order of the Bombay High Court which is pending for admission.

4. MVAT / Income Tax

As alcoholic liquor for human consumption has been kept out of the purview of Goods and Services Tax (GST) introduced from July 01, 2017, the company ’ s finished product namely country liquor continues to be taxed under Maharashtra Value Added Tax (MVAT).

Under the MVAT Act in force from 1/4/2005 there is no procedure for assessment. The Company is filing monthly MVAT returns on regular basis and all dues have been paid as per the returns. The MVAT department of Government of Maharashtra has completed Audit of the company’s transactions up to the financial year 201516. The Company has also filed the audit report as required under the MVAT Act up to the financial year 201718.

The company’s Income Tax assessment has been completed up to assessment year 2016-17 and the demands raised by the department has already been paid by the company.

5. In the opinion of the Board of Directors, the Current Assets, Loans and Advances are approximately of the value stated if realised in the ordinary course of business. The provision for all known liabilities is adequate and not in excess of amount reasonably necessary.

6. Micro Small and Medium Enterprises

The Company has called for complete information from all the vendors regarding their status as small-scale/ micro industrial undertaking. Based on information received regarding the status of the vendors there are no amounts outstanding for more than Rs.1,00,000/- for more than 30 days.

7. Deferred Tax

During the year company has created and adjusted deferred tax asset against deferred tax liability of Rs.50.16 Lakhs on account of timing difference of depreciation as per Income Tax Act, 1961 & depreciation debited in the books of accounts as per the Company’s act 2013.

8. Segment Reporting:

The Company at present is engaged in the business of manufacture and sale of country liquor, which constitutes a single business segment.

The company has paid an amount of Rs. 10,77,635/- to LIC towards both the above policies based on provisional actuarial valuation done by LIC. Any shortfall or excess based on final working by LIC would be dealt with on receipt of final valuation.

9. The company has invested a sum of Rs.5.11 Crores in IL&FS by way of preference shares and the company has received dividend on these shares for the year 2017-18. Even though IL&FS is presently undergoing a liquidity crisis, the government and other public sector bodies are doing their best to infuse liquidity and resolve the matter. In view of the above the company is carrying its investments at cost.

10. The figures of the previous years have been regrouped / rearranged wherever necessary. The Figures or the previous years are given in brackets.

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Mar 31, 2018

Notes on Accounts forming part of accounts

1. Investment Properties

Investment property is measured at cost.

Investment property consists of residential flats, property occupied by tenants and property occupied as tenants. The fair Market Value of Investment Property based on ready recknor rates is 41.58 crores as on March 31, 2018.

In case of property occupied by tenants, rental income earned is disclosed in the accounts.

2. Clarification regarding note pertaining to “Transport Fee Liability” mentioned in earlier years.

The Company had, along with other manufacturers of Country Liquor and IMFL in the State of Maharashtra, filed a Writ Petition in the Hon’ble Bombay High Court challenging the applicability of “Transport Fee” under Bombay Rectified Spirit (Transport in Bond) Rules 1951.

The Hon’ble Bombay high Court by its Order and Judgment dated 6th May, 2011 had allowed the Writ Petitions and set aside the levy of Transport Fee under the said Rules. The Hon’ble Bombay High Court has also directed the Government of Maharashtra to Refund the “Transport Fee” Deposited pursuant to the Interim Order. The Government is yet to Refund the deposit of “Transport Fee” made by the Company.

The State of Maharashtra has also filed a Special Leave Petition in the Hon’ble Supreme Court of India against the said Order of the Bombay High Court which is pending for admission.

3. MVAT / Income Tax

As alcoholic liquor for human consumption has been kept out of the purview of Goods and Services Tax (GST) introduced from July 01, 2017, the company’s finished product namely country liquor continues to be taxed under Maharashtra Value Added Tax (MVAT).

Under the MVAT Act in force from 1/4/2005 there is no procedure for assessment. The Company is filing monthly MVAT returns on regular basis and all dues have been paid as per the returns. The MVAT department of Government of Maharashtra has completed Audit of the company’s transactions up to the financial year 201516. No additional demands have been raised by department for these years. The Company has also filed the audit report as required under the MVAT Act up to the financial year 2016-17.

During the audit process for the financial year 2011-12 the MVAT department has raised a demand of Rs.8,24,42,800/- due to levy of tax on an inflated turnover arrived at on a presumptive basis. Legal experts have opined that the action of the MVAT department is devoid of authority and jurisdiction and the demand is certain to be quashed by the appellate authority. The company has filed an appeal challenging the demand notice and the demand has been stayed in toto. However, whatever liability that may arise out of the final outcome of the appeal will be met by the company out of its reserves.

The company’s Income Tax assessment has been completed up to assessment year 2016-17 and the demands raised by the department has already been paid by the company.

4. In the opinion of the Board of Directors, the Current Assets, Loans and Advances are approximately of the value stated if realized in the ordinary course of business. The provision for all known liabilities is adequate and not in excess of amount reasonably necessary.

5. The Company has called for complete information from all the vendors regarding their status as small-scale/ micro industrial undertaking. Based on information received regarding the status of the vendors there are no amounts outstanding for more than Rs.1,00,000/- for more than 30 days.

6. Related Party Disclosures

(a) List of Related Parties Key Management Personnel

- Jimmy Almeida - Chairman & Managing Director

- Jyoti Almeida- Whole Time Director

- Kiran Parashare - Whole time Director

- S.Swaminathan- Chief Financial Officer

- Sandeep Kutchhi- Company Secretary & Manager Accounts

7. During the year company has created and adjusted deferred tax asset against deferred tax liability of Rs.11.05 Lakhs on account of timing difference of depreciation as per Income Tax Act, 1961 & depreciation debited in the books of accounts as per the Company''s act 2013.

8 Segment Reporting:

The Company at present is engaged in the business of manufacture and sale of country liquor, which constitutes a single business segment.

The company has paid an amount of Rs.34,50,105/- to LIC towards both the above policies based on provisional actuarial valuation done by LIC. Any shortfall or excess based on final working by LIC would be dealt with on receipt of final valuation.

9. The figures of the previous years have been regrouped / rearranged wherever necessary. The Figures or the previous years are given in brackets. The company has compiled the above accounts based on the revised/ Modified schedule III applicable for the accounting period 2017-2018. The disclosure requirements are made in the notes to accounts or by way of additional statements. The other disclosures as required by the Companies Act are made in the notes to accounts.

10. The comparative financial information of the Company for the year ended March 31, 2017 and the transition date opening balance sheet as at April 1, 2016 included in these Ind AS financial statements, are based on the previously issued statutory financial statements for the years ended March 31, 2017 and March 31, 2016 prepared in accordance with the Companies (Accounting Standards) Rules, 2006 (as amended) which were audited by the predecessor auditor ( M/s. V.P.Mehta & Co.) who expressed an unmodified opinion vide reports dated April 06, 2017 and April 05, 2016 respectively. The adjustments to those financial statements for the differences in accounting principles adopted by the Company on transition to the Ind AS have been audited by M/s. Priti V Mehta & Company

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Mar 31, 2017

1. Notes on Accounts forming part of accounts

2. Clarification regarding note pertaining to "Transport Fee Liability" mentioned in earlier years.

The Company had, along with other manufacturers of Country Liquor and IMFL in the State of Maharashtra, filed a Writ Petition in the Hon''ble Bombay High Court challenging the applicability of "Transport Fee" under Bombay Rectified Spirit (Transport in Bond) Rules 1951.

The Hon''ble Bombay high Court by its Order and Judgment dated 6th May, 2011 had allowed the Writ Petitions and set aside the levy of Transport Fee under the said Rules. The Hon''ble Bombay High Court has also directed the Government of Maharashtra to Refund the "Transport Fee" Deposited pursuant to the Interim Order. The Government is yet to Refund the deposit of "Transport Fee" made by the Company.

The State of Maharashtra has also filed a Special Leave Petition in the Hon''ble Supreme Court of India against the said Order of the Bombay High Court which is pending for admission.

3. MVAT / Income Tax

Under the MVAT Act in force from 1/4/2005 there is no procedure for assessment. The Company is filing monthly MVAT returns on regular basis and all dues have been paid as per the returns. The MVAT department of Government of Maharashtra has completed Audit of the company''s transactions up to the financial year 2012-13. The Company has also filed the audit report as required under the MVAT Act up to the financial year 2015-16.

During the audit process for the financial year 2011-12 the MVAT department has raised a demand of Rs.8,24,42,800/- due to levy of tax on an inflated turnover arrived at on a presumptive basis. Legal experts have opined that the action of the MVAT department is devoid of authority and jurisdiction and the demand is certain to be quashed by the appellate authority. The company has filed an appeal challenging the demand notice and the demand has been stayed in toto. However, whatever liability that may arise out of the final outcome of the appeal will be met by the company out of its reserves.

For the year 2012-13 the audit process has been conducted by the MVAT department as in the earlier years and there has been no additional demand raised under the audit process.

The company''s Income Tax assessment has been completed up to assessment year 2014-15 and the demands raised by the department have already been paid by the company.

The information given in above table relates only for cash balance available as on closing hours of November 08, 2016. The subsequent transactions on account of cash sales, withdrawal from banks, deposits into banks are not considered for the above. The balance amount of “Other notes " as on November 08, 2016 was utilized to meet day to day expenses of the company.

4. State Excise

As per practice consistently followed, State Excise duty payable on finished goods held in works is neither included in expenditure nor included in such stocks, but is accounted for on clearance of the goods. This accounting treatment has no impact on profits.

5. In the opinion of the Board of Directors, the Current Assets, Loans and Advances are approximately of the value stated if realized in the ordinary course of business. The provision for all known liabilities is adequate and not in excess of amount reasonably necessary.

6. The Company has called for complete intimation from all the vendors regarding their status as small-scale/ micro industrial undertaking. Based on information received regarding the status of the vendors there are no amounts outstanding for more than Rs.1, 00,000/- for more than 30 days.

7. Additional information pursuant to paragraph 3, 4(C) & 4(D) OF PART II to Schedule VI of the Companies Act, 1956 have been given to the extent applicable to the Company.

8. During the year company has created deferred tax liability of Rs.42.44 Lakhs on account of different rates of depreciation as per Income Tax Act, 1961 & depreciation debited in the books of accounts as per the Company''s act 2013.

9. Segment Reporting:

The Company at present is engaged in the business of manufacture and sale of country liquor, which constitutes a single business segment. In view of above, primary and secondary reporting disclosures for business/ geographical segment as envisaged in AS -17 are not applicable to the Company.

10. Employees Benefits:

The company has made provisions in the accounts for gratuity base on actuarial valuation. The particulars under the As 15 (revised) furnished below are those which are relevant and available to company for this year.

11. The figures of the previous years have been regrouped / rearranged wherever necessary. The Figures or the previous years are given in brackets. The company has compiled the above accounts based on the revised/ modified schedule III applicable for the accounting period 2016-2017. The disclosure requirements are made in the notes to accounts or by way of additional statements. The other disclosures as required by the Companies Act are made in the notes to accounts.

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Mar 31, 2015

1. Includes 23,39,525 shares on account of bonus issue during the year

a) There are No ( Previous year - No) rights, preference and restriction attaching to each class of shares including restriction on the distribution of dividend and the repayment of capital.

b) There are nil number of shares ( Previous year Nil) in respect of each class in the company held by its holding company or its ultimate holding company including shares held by or by subsidiary or associates of the holding company or the ultimate holding company in aggregate.

c) There are NIL number of shares ( Previous year Nil) reserved for issue under option and contracts/ commitment for the sale of shares/disinvetment including the terms and amounts.

d) There are NO securities ( Previous year No) convertible into Equity/ Preferential Shares.

f) There are NO calls unpaid ( Previous year No )including calls unpaid by Directors and Officers as on balance sheet date.

2. The cost of various categories of inventory is determined as follows:

1) Stock of Raw Materials and Packing Material : At cost Including Local Taxes ( Net of Setoff) or net realisable value whichever is lower

2) Stock in Process : At cost or net realisable value, whichever is lower

3) Stock of Finished Goods: At cost or net realisable value, whichever is lower

4) Stock of Stores and Spares: At cost or net realisable value, whichever is lower

5) Stock of Scrap: At net realisable value

3. Clarification regarding note pertaining to "Transport Fee Liability" mentioned in earlier years.

The Company had, along with other manufacturers of Country Liquor and IMFL in the State of Maharashtra, filed a Writ Petition in the Hon''ble Bombay High Court challenging the applicability of "Transport Fee" under Bombay Rectified Spirit (Transport in Bond) Rules 1951.

The Hon''ble Bombay high Court by its Order and Judgment dated 6th May, 2011 had allowed the Writ Petitions and set aside the levy of Transport Fee under the said Rules. The Hon''ble Bombay High Court has also directed the Government of Maharashtra to Refund the "Transport Fee" Deposited pursuant to the Interim Order. The Government is yet to Refund the deposit of "Transport Fee" made by the Company.

The State of Maharashtra has also filed a Special Leave Petition in the Hon''ble Supreme Court of India against the said Order of the Bombay High Court which is pending for admission.

4. MVAT / Income Tax

Under the MVAT Act in force from 1/4/2005 there is no procedure for assessment. The Company is filing monthly MVAT returns on regular basis and all dues have been paid as per the returns. The MVAT department of Government of Maharashtra has completed Audit of the company''s transactions up to the financial year 2010-11. The Company has also filed the audit report as required under the MVAT Act up to the year 2013-14 and there are no over dues payables under the provisions of the MVAT Act as on March 31, 2015.

The company''s Income Tax assessment has been completed up to assessment year 2012-13 and the demands raised by the department has already been paid by the company.

5. State Excise

As per practice consistently followed, State Excise duty payable on finished goods held in works is neither included in expenditure nor included in such stocks, but is accounted for on clearance of the goods. This accounting treatment has no impact on profits.

6. In the opinion of the Board of Directors, the Current Assets, Loans and Advances are approximately of the value stated if realised in the ordinary course of business. The provision for all known liabilities is adequate and not in excess of amount reasonably necessary.

7. The Company has not received complete intimation from all the vendors regarding their status as small-scale industrial undertaking. However, where the company has received the information regarding the status of the vendors there are no amounts outstanding for more than Rs.1,00,000/- for more than 30 days.

8. During the year company has created deferred tax liability of Rs.7.53 lacs on account of different rates of depreciation as per Income Tax Act 1961 and depreciation as debited in books of accounts as per Company''s Act 2013.

9. Segment Reporting:

The Company at present is engaged in the business of manufacture and sale of country liquor, which constitutes a single business segment. In view of above, primary and secondary reporting disclosures for business/ geographical segment as envisaged in AS -17 are not applicable to the Company.

10. The figures of the previous years have been regrouped / rearranged wherever necessary. The Figures or the previous years are given in brackets. The company has compiled the above accounts based on the revised/Modified schedule III applicable for the accounting period 2014-2015. The disclosure requirements are made in the notes to accounts or by way of additional statements. The other disclosures as required by the Companies Act are made in the notes to accounts.

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Mar 31, 2013

A) There are No ( Previous year - No) rights, preference and restriction attaching to each class of shares including restriction on the distribution of dividend and the repayment of capital.

b) There are nil number of shares ( Previous year Nil) in respect of each class in the company held by its holding company or its ultimate holding company including shares held by or by subsidiary or associates of the holding company or the ultimate holding company in aggregate.

d) There are nil number of shares ( Previous year Nil) reserved for issue under option and contracts/commitment for the sale of shares/disinvetment including the terms and amounts.

f) There are no securities ( Previous year No) convertible into Equity/ Preferential Shares.

g) There are no calls unpaid ( Previous year No )including calls unpaid by Directors and Officers as on balance sheet date.

The cost of various categories of inventory is determined as follows:

1) Stock of Raw Materials and Packing Material : At cost Including Local Taxes ( Net of Setoff) or net realisable value whichever is lower

2) Stock in Process : At cost or net realisable value, whichever is lower

3) Stock of Finished Goods: At cost or net realisable value, whichever is lower

4) Stock of Stores and Spares: At cost or net realisable value, whichever is lower

5) Stock of Scrap: At net realisable value

1. Clarification regarding note pertaining to "Transport Fee Liability" mentioned in earlier years.

The Company had, along with other manufacturers of Country Liquor and IMFL in the State of Maharashtra, filed a Writ Petition in the Hon''ble Bombay High Court challenging the applicability of "Transport Fee" under Bombay Rectified Spirit (Transport in Bond) Rules 1951.

The Hon''ble Bombay high Court by its Order and Judgment dated 6th May, 2011 had allowed the Writ Petitions and set aside the levy of Transport Fee under the said Rules. The Hon''ble Bombay High Court has also directed the Government of Maharashtra to Refund the "Transport Fee" Deposited pursuant to the Interim Order. The Government is yet to Refund the deposit of "Transport Fee" made by the Company.

The State of Maharashtra has also filed a Special Leave Petition in the Hon''ble Supreme Court Of India against the said Order of the Bombay High Court which is pending for admission.

2. MVAT / Income Tax

Under the MVAT Act in force from 1/4/2005 there is no procedure for assessment. The Company is filing monthly MVAT returns on regular basis and all dues have been paid as per the returns. The MVAT department of Government of Maharashtra has completed Audit of the company''s transactions up to the financial year 2009-10. The Company has also filed the audit report as required under the MVAT Act up to the year 2011-12 and there are no dues payable under the provisions of the MVAT Act as on March 31, 2013.

The company''s Income Tax assessment has been completed upto assessment year 2010-11 and the demands raised by the department has already been paid by the company.

3. State Excise

As per practice consistently followed, State Excise duty payable on finished goods held in works is neither included in expenditure nor included in such stocks, but is accounted for on clearance of the goods. This accounting treatment has no impact on profits.

4. In the opinion of the Board of Directors, the Current Assets, Loans and Advances are approximately of the value stated if realised in the ordinary course of business. The provision for all known liabilities is adequate and not in excess of amount reasonably necessary.

5. The Company has not received complete intimation from all the vendors regarding their status as small-scale industrial undertaking. However, where the company has received the information regarding the status of the vendors there are no amounts outstanding for more than Rs.1,00,000/- for more than 30 days.

6. Additional information pursuant to paragraph 3,4(C) & 4(D) OF PART II to Schedule VI of the Companies Act, 1956 have been given to the extent applicable to the Company.

Note: Packing and other materials consumed are not considered as Raw materials and hence no separate figures are given

7. During the year company has created deferred tax liability of Rs. 32.38 lacs on account of different rates of depreciation as per Income Tax Act 1961 and depreciation as debited in books of accounts as per Company''s Act 1956.

8. Segment Reporting:

The Company at present is engaged in the business of manufacture and sale of country liquor, which constitutes a single business segment. In view of above, primary and secondary reporting disclosures for business/ geographical segment as envisaged in AS -17 are not applicable to the Company.

9. The figures of the previous years have been regrouped / rearranged wherever necessary. The Figures or the previous years are given in brackets. The company has compiled the above accounts based on the revised/Modified schedule VI applicable for the accounting period 2012-2013. The disclosure require- ments are made in the notes to accounts or by way of additional statements. The other disclosures as required by the Companies Act, are made in the notes to accounts.

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Mar 31, 2012

1. Clarification regarding note pertaining to " Transport Fee Liability" mentioned in earlier years.

The Company had, along with other manufacturers of Country Liquor and IMFL in the State of Maharashtra, filed a Writ Petition in the Hon'ble Bombay High Court challenging the applicability of "Transport Fee" under Bombay Rectified Spirit(Transport in Bond) Rules 1951.

The Hon'ble Bombay high Court by its Order and Judgement dated 6th May, 2011 had allowed the Writ Petitions and set aside the levy of Transport Fee under the said Rules. The Hon'ble Bombay High Court has also directed the Government of Maharashtra to Refund the "Transport Fee" Deposited pursuant to the Interim Order. The Government is yet to Refund the deposit of "Transport Fee" made by the Company.

The State of Maharashtra has also filed a Special Leave Petition in the Hon'ble Supreme Court Of India against the said Order of the Bombay High Court which is pending for admission.

2. MVAT / Income Tax

Under the MVAT Act in force from 1/4/2005 there is no procedure for assessment. The Company is filing monthly MVAT returns on regular basis and all dues have been paid as per the returns. The MVAT department of Government of Maharashtra has completed Audit of the company's transactions up to the financial year 2009-10. The Company has also filed the audit report as required under the MVAT Act up to the year 2010-11 and there are no dues payable under the provisions of the MVAT Act as on 31st March 2012.

The company' s Income Tax assessment has been completed up to assessment year 2009-10 and the demands raised by the department has already been paid by the company.

3. Capital Contracts

4. In the opinion of the Board of Directors, the Current Assets, Loans and Advances are approximately of the value stated if realised in the ordinary course of business. The provision for all known liabilities is adequate and not in excess of amount reasonably necessary.

5. The Company has not received complete intimation from all the vendors regarding their status as small-scale industrial undertaking. However, where the company has received the information regarding the status of the vendors there are no amounts outstanding for more than Rs. 1,00,000/- for more than 30 days.

6. Additional information pursuant to paragraph 3.4(C) & 4(D) OF PART II to Schedule VI of the Companies Act, 1956 have been given to the extent applicable to the Company.

7. During the year company has created deferred tax liability of Rs.26.34 lacs on account of different rates of depreciation as per Income Tax Act 1961 and depreciation as debited in books of accounts as per Company's Act 1956.

8. Segment Reporting:

The Company at present is engaged in the business of manufacture and sale of country liquor, which constitutes a single business segment. In view of above, primary and secondary reporting disclosures for business/ geographical segment as envisaged in AS -17 are not applicable to the Company.

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Mar 31, 2011

1. Contingent Liabilities not provided for:

The Companys basic raw material namely Rectified Spirit is purchased from various distilleries in Maharashtra on which a specific “Transport Fee” is levied by the State Excise Department , Government of Maharashtra under the Bombay Prohibition Rules. During the years 2002-03, 2003-04, 2004-05, 2005-06, 2006-07, 2007-08 ,2008-09, 2009-10 & 2010-11the Company has purchased 94.40 lacs Bulks liters (BL), 97.50 Lacs (BL), 100 Lacs (BL) , 210 Lacs (BL) 215 Lacs (BL) 241 Lacs (BL), 258 Lacs (BL), 259 Lacs (BL) & 269 Lacs (BL) of Rectified Spirit respectively.

The Company has filed along with other manufacturers of Country Liquor & IMFL a writ petition in the Bombay High Court Challenging the applicability of the Transport Fees and the High Court in an interim order has restrained the concerned authorities from collecting the Transport Fees from the Company till the final disposal of the writ petition.

Based on the modified interim orders of the Supreme Court and the Bombay High Court, in the identical cases and pending final judgement of the High Court, the Company has deposited a sum of Rs.4,12,44,400/- with the State Excise Department towards 50 % transport fees for the period 01.10.2008 to 31.03.2011.

However the Company will be in a position to meet out any additional liability that may arise out of the final judgment of the High Court out of its reserves.

2. MVAT / Income Tax

Under the MVAT Act in force from 1/4/2005 there is no procedure for assessment. The Company is filing monthly MVAT returns on regular basis and all dues have been paid as per the returns. The MVAT department of Government of Maharashtra has completed Audit of the companys transactions up to the financial year 2008-09. The Company has also filed the audit report as required under the MVAT Act up to the financial year 2009-10 and there are no dues payable under the provisions of the MVAT Act as on 31st March 2011.

The companys Income Tax assessment has been completed upto assessment year 2008-09 and the demands raised by the department has already been paid by the company.

3. Capital Contracts

Estimated amount of contracts remaining to be 2010-2011 2009-2010 Executed on capital accounts and not provided for Nil Nil

4. State Excise

As per practice consistently followed, State Excise duty payable on finished goods held in works is neither included in expenditure nor included in such stocks, but is accounted for on clearance of the goods. This accounting treatment has no impact on profits.

5. In the opinion of the Board of Directors, the Current Assets, Loans and Advances are approximately of the value stated if realised in the ordinary course of business. The provision for all known liabilities is adequate and not in excess of amount reasonably necessary.

6. There are no micro and small enterprises to which the company owes dues, which are outstanding for more than 45 days as at March 31, 2011(Rs. Nil). This information as required to be disclosed under 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.

7. Additional information pursuant to paragraph 3,4(C) & 4(D) OF PART II to Schedule VI of the Companies Act, 1956 have been given to the extent applicable to the Company.

8. During the year company has created deferred tax liability of Rs. 34.68 lacs on account of different rates of depreciation as per Income Tax Act and depreciation as debited in books of accounts as per Companys Act 1956.

9. Other Liabilities listed under the head Current Liabilities in Schedule 8(a) of the financial statements represent book over draft

10. Segment Reporting:

The Company at present is engaged in the business of manufacture and sale of country liquor, which constitutes a single business segment. In view of above, primary and secondary reporting disclosures for business/geographical segment as envisaged in AS -17 are not applicable to the Company.

11. The figures of the previous years have been regrouped/rearranged wherever necessary. The Figures or the previous years are given in brackets.

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Mar 31, 2010

A. Contingent Liabilities not provided for:

The Companys basic raw material namely Rectified Spirit is purchased from various distilleries in Maharashtra on which a specific "Transport Fee" is levied by the State Excise Department, Government of Maharashtra under the Bombay Prohibition Rules. During the years 2002-03, 2003-04, 2004-05, 2005-06, 2006-07, 2007-08 ,2008-09 & 2009-10 the Company has purchased 94.40 lacs Bulks liters (BL), 97.50 Lacs (BL), 100 Lacs (BL), 210 Lacs (BL) 215 Lacs (BL) 241 Lacs (BL), 258 Lacs (BL) & 259 Lacs (BL) of Rectified Spirit respectively.

The Company has filed a writ petition in the Bombay High Court Challenging the applicability of the Transport Fees and the High Court in an interim order has restrained the concerned authorities from collecting the Transport Fees from the Company till the final disposal of the writ petition.

Based on the modified interim orders of the Supreme Court and the Bombay High Court in identical cases, the Company has deposited a sum of Rs.2,44,03,150/- with the State Excise Department towards 50 % transport fees for the period 01.10.2008 to 31.03.2010.

However the Company will be in a position to meet out any additional liability that may arise out of the final judgment of the High Court out of its reserves.

B. (i) Under the MVAT Act in force from 1/4/2005 there is no procedure for assessment. The Company is filing monthly MVAT returns on regular basis and all dues have been paid as per the returns. The MVAT department of Go vernment of Maharashtra has completed Audit of the company s transactions up to the financial year 2007- 08. The Company has also filed the audit report as required under the MVAT Act up to the year 2008-09 and there are no dues payable under the provisions of the MVAT Act as on 31s March 2010.

(ii) The companys Income Tax assessment has been completed upto assessment year 2007-08 and the demands ] raised by the department has already been paid by the company.

C. As per practice consistently followed, State Excise duty payable on finished goods held in works is neither included in expenditure nor included in such stocks, but is accounted for on clearance of the goods. This accounting treatment has no impact on profits.

D. In the opinion of the Board of Directors, the Current Assets, Loans and Advances are approximately of the value stated if realised in the ordinary course of business. The provision for all known liabilities is adequate and not in excess of amount reasonably necessary.

E The Company has not received complete intimation from all the vendors regarding their status as small-scale industrial undertaking. However, where ever the company has received the information regarding the status of the vendors there are no amounts outstanding for more than Rs. 1,00,000/- for more than 30 days.

F. The Company has not received any intimation from suppliers regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006 and hence disclosures, if any , relating to amounts unpaid as at year end together with interest paid / payable as required under the said Act have not been given.

I. Additional information pursuant to paragraph 3.4(C) & 4(D) OF PART II to Schedule VI of the Companies Act, 1956 have been given to the extent applicable to the Company.

G. Related Party Disclosures

(a) List of Related Parties i) Associate

- Almeida Country Liquor Shop

ii) Key Management Personnel

- Jimmy William Almeida - Chairman & Managing Director

- Jyoti Jimmy Almeida- Whole Time Director

- John William Almeida- Whole Time Director

- Celina William Almeida- Director

H. During the year company has created deferred tax liability of Rs. 48.68 lacs on account of different rates of depreciation as per Income Tax Act and depreciation as debited in books of accounts as per Companys Act 1956.

I. Other Liabilities listed under the head Current Liabilities in Schedule 8(a) of the financial statements represent book over draft

J. Segment Reporting:

The Company at present is engaged in the business of manufacture and sale of country liquor, which constitutes a single business segment. In view of above, primary and secondary reporting disclosures for business/geographical segment as envisaged in AS -17 are not applicable to the Company.

Q. The figures of the previous years have been regrouped/rearranged wherever necessary. The Figures of the previous years are given in brackets.