Accounting Policies of Gowra Leasing & Finance Ltd. Company

Mar 31, 2025

i. Background:

Gowra Leasing & Finance Limited (‘The Company'') is a company domiciled in India, with its registered office situated at
501, 5^th Floor, Gowra Grand, Behind Gowra Plaza, 1-8-384 & 385, S.P Road, Begumpet, Secunderabad, Telangana-
500003..The Company has been incorporated under the provisions of Companies Act applicable in India and its equity
shares are listed on the BSE Ltd. in India. The Company is primarily involved in the business of leasing and finance.

ii. Basis of preparation

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies
have been consistently applied to all the years presented, unless otherwise stated.

The Financial Statements are presented in Rupees, which is also the Company''s functional currency.

iii. Compliance with Ind AS

The Financial statements have been prepared in accordance with Indian Accounting Standards (“Ind AS”) notified under
the Companies (Indian Accounting Standards) Rules, 2015 (as amended from time to time) and other relevant provisions
of the Act.

iv. Method of Accounting

a. The Financial statements have been prepared under the historical cost convention in accordance with the generally
accepted accounting principles and provisions of the Companies Act, 2013.

a. The company generally follows mercantile system of accounting and recognizes significant items of income and
expenditure on accrual basis.

The Company complies in all material aspects, with the prudential norms relating to income recognition, asset
classification and provisioning for bad and doubtful debts and other matters, specified in the directions issued by the
Reserve Bank of India in terms of Non-Banking Financial Companies Prudential Norms (Reserve Bank) Directions, 2007,
as applicable to it.

Property, Plant and Equipment

Property, Plant and Equipment are initially recognized at cost. Cost comprises the purchase price and any directly
attributable cost to bring the asset to its working condition for its intended use.

Depreciation is calculated using the straight-line method to write down the cost of property, plant and equipment to their
residual value over their estimated useful lives. Land is not depreciated. Changes in the expected useful life are
accounted for by changing the amortization period or methodology, as appropriate, and treated as changes in accounting
estimates.

All assets are depreciated on a straight-Line Method (SLM) of depreciation, over the useful life of assets as prescribed
under schedule II of the Companies Act,2013 other than assets specified in a para below.

An item of property, plant and equipment and any significant part initially recognized is derecognized upon disposal or
when no future economic benefits are expected from its use or disposal. Any gain or loss arising on derecognition of the
asset (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included in
the income statement when the asset is derecognized.

The residual values, useful life and methods of depreciation of property, plant and equipment are reviewed at each
financial year and adjusted prospectively, if appropriate.

On transition to Ind AS, the Company has elected to continue with the carrying value of its property, plant and equipment
recognized as of April 1,2019 measured as per the previous GAAP and use that carrying value as its deemed cost as of
the transition date.

Intangible Assets:

The useful life of Intangible assets is assessed to be either finite or indefinite.

Intangible assets with finite useful life that are acquired separately are carried at cost less accumulated amortization and
accumulated impairment losses. Amortization is recognized on a straight- line basis over their estimated useful life. The

estimated useful life and amortization method are reviewed at the end of each reporting period, with the effect of any
changes in estimate being accounted for on a prospective basis.

An intangible asset is derecognized on disposal, or when no future economic benefits are expected from use or disposal.
Gains or losses arising from derecognition of an intangible asset, measured at the difference between the net disposal
proceeds and the carrying amount of the asset, and are recognized in profit or loss when the asset is derecognized.

On transition to Ind AS, the Company has elected to continue with the carrying value of its property, plant and equipment
recognized as of April 1,2019 measured as per the previous GAAP and use that carrying value as its deemed cost as of
the transition date.

Impairment of Tangible and Intangible Assets other than goodwill

The company assesses at each balance sheet date whether there is any indication that an asset may be impaired. If any
such indication exists, the company estimates the recoverable amount of the asset. If such recoverable amount of the
asset is less than the carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated
as an impairment loss and is recognised in the profit and loss account. If at the balance sheet date there is an indication
that a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is
reflected at the recoverable amount subject to a maximum of depreciable historical cost.

Revenue Recognition

Revenue (other than for those items to which Ind AS 109 Financial Instruments are applicable) is measured at fair value
of the consideration received or receivable. Revenue is recognised when (or as) as the Company satisfies a performance
obligation by transferring a promised service (i.e., an asset) to a customer. An asset is transferred when (or as) the
customer obtains control of that asset. When (or as) a performance obligation is satisfied, the Company recognizes as
revenue the amount of the service rendered (excluding estimates of variable consideration) that is allocated to that
performance obligation.

The Company applies the five-step approach for recognition of revenue:

a. Identification of contract(s) with customers;

b. Identification of the separate performance obligation in the contract;

c. Determination of transaction price;

d. Allocation of transaction price to the separate performance obligation; and

e. Recognition of revenue when (or as) each performance obligation is satisfied.

Interest Income

The Company recognizes interest income/expense using a rate of return that represents the best estimate of a constant
rate of return over the expected behavioral life of loans given/taken and recognizes the effect of potentially different
interest rates at various stages and other characteristics of the product life cycle (including prepayments and penalty
interest and charges).

Dividend Income

Dividend income (including from FVOCI investments) is recognized when the Company''s right to receive the payment is
established, it is probable that the economic benefit associated with the dividend will flow to the entity and the amount of
the dividend can be measured reliably. This is generally when the shareholders approve the dividend.

Investment Income

The gain/losses on sale of investments are recognized in the Statement of Profit and Loss.

Sale of Services

Revenue from services is recognized as per the terms of the contract and on rendering of services.

Investment Property

Investment Properties are properties held to earn rentals and/or for capital appreciation (including property under
construction for such purposes). Investment properties are measured initially at cost, including transaction costs.

Depreciation is recognized using straight line method so as to write off the cost of the investment property less their
residual values over their useful life specified in schedule II to the Companies Act, 2013 or in case of assets where the
useful life was determined by technical evaluation, over the useful life so determined.

An investment property is derecognized upon disposal or when the investment property is permanently withdrawn from
use and no future economic benefits are expected from the disposal. Any gain or loss arising on derecognition of the

property (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is
included in the profit or loss in the period when the asset is derecognized.

On transition to Ind AS, the Company has elected to continue with the carrying value of its investment property recognized
as of April 1,2019 measured as per the previous GAAP and use that carrying value as its deemed cost as of the transition

Employee Benefits:

a. Defined Contribution Plans: The company has defined contribution plans for employees, comprising of Government
administered Employees Provident Fund. The contribution paid/payable to this plan during the year is charged to the
Profit & Loss Account for the year.

b. Defined Benefit Plans:

Gratuity: Provision for gratuity is made on accrual basis, on the basis of completed years of service as prescribed
under the payment of Gratuity Act.

c. Short term Employee Benefits:

All Employee benefits which are wholly due within twelve months of rendering the services are recognised in the
period in which the employee rendered the related services.

Investments

All Investments have been stated at Market value.

Financial Instruments
Recognition of Financial Instruments

Financial assets and financial liabilities are recognized, with exception of borrowing when the Company becomes a
party to the contractual provisions of the financial instruments. Loans and advances and all other regular way
purchases or sales of financial assets are recognized and derecognized on the trade date. Regular way purchases or
sales of financial assets that require delivery of assets within the time frame established by regulation or convention in
the marketplace. The Company recognizes borrowings when funds reach the Company.

Financial Liabilities

A financial liability is any liability that is :

• Contractual Obligation;

• To deliver cash or another financial asset to another entity; or

• To exchange financial assets or financial liabilities with another entity under conditions that are potentially
unfavourably to the entity; or

• A contract that will or may be settled in the entity''s own equity instruments

All financial Liabilities are subsequently measured at amortised cost using the effective interest method or at FVTPL.
Company has not designated any financial liabilities at FVTP.

Derecognition of Financial Liabilities

The Company derecognises financial liabilities when, and only when, the company''s obligations are discharged,
cancelled or have expired. Where an existing financial liability is replaced by another from the same lender on
substantially different terms, or the terms of an existing financial liability are substantially modified, such an exchange
or modification is treated as a derecognition of the original financial liability and the recognition of a new financial
liability. The difference between the carrying value of the original financial liability and the consideration paid, including
modified contractual cash flow recognised as new financial liability, would be recognised in profit or loss.

Taxation

Provision for current tax is made on the basis of tax payable in respect of taxable income for the period in accordance
with the provisions of the Income Tax Act, 1961. The deferred tax is calculated for timing difference between the book
profit and tax profit for the year which is accounted for using the tax rates and tax laws that have been enacted or
substantively enacted as at the Balance Sheet date. Deferred Tax Asset arising from the timing difference is
recognized to the extent that there is virtual certainty that the asset will be realized in future.

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Mar 31, 2024

NOTE 25: SIGNIFICANT ACCOUNTING POLICIESi. Background:

Gowra Leasing & Finance Limited (‘The Company'') is a company domiciled in India, with its registered office situated at 501, 5^th Floor, Gowra Grand, Behind Gowra Plaza, 1-8-384 & 385, S.P Road, Begumpet, Secunderabad, Telangana-500003..The Company has been incorporated under the provisions of Companies Act applicable in India and its equity shares are listed on the BSE Ltd. in India. The Company is primarily involved in the business of leasing and finance.

ii. Basis of preparation

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

The Financial Statements are presented in INR, which is also the Company''s functional currency.

iii. Compliance with Ind AS

The Financial statements have been prepared in accordance with Indian Accounting Standards (“Ind AS”) notified under the Companies (Indian Accounting Standards) Rules, 2015 (as amended from time to time) and other relevant provisions of the Act.

iv. Method of Accounting

a. The Financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles and provisions of the Companies Act, 2013.

b. The company generally follows mercantile system of accounting and recognizes significant items of income and expenditure on accrual basis.

The Company complies in all material aspects, with the prudential norms relating to income recognition, asset classification and provisioning for bad and doubtful debts and other matters, specified in the directions issued by the Reserve Bank of India in terms of Non-Banking Financial Companies Prudential Norms (Reserve Bank) Directions, 2007, as applicable to it.

Property, Plant and Equipment

Property, Plant and Equipment are initially recognized at cost. Cost comprises the purchase price and any directly attributable cost to bring the asset to its working condition for its intended use.

Depreciation is calculated using the straight-line method to write down the cost of property, plant and equipment to their residual value over their estimated useful lives. Land is not depreciated. Changes in the expected useful life are accounted for by changing the amortization period or methodology, as appropriate, and treated as changes in accounting estimates.

All assets are depreciated on a straight-Line Method (SLM) of depreciation, over the useful life of assets as prescribed under schedule II of the Companies Act,2013 other than assets specified in a para below.

An item of property, plant and equipment and any significant part initially recognized is derecognized upon disposal or when no future economic benefits are expected from its use or disposal. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included in the income statement when the asset is derecognized.

The residual values, useful life and methods of depreciation of property, plant and equipment are reviewed at each financial year and adjusted prospectively, if appropriate.

On transition to Ind AS, the Company has elected to continue with the carrying value of its property, plant and equipment recognized as of April 1,2019 measured as per the previous GAAP and use that carrying value as its deemed cost as of the transition date.

Intangible Assets:

The useful life of Intangible assets is assessed to be either finite or indefinite.

Intangible assets with finite useful life that are acquired separately are carried at cost less accumulated amortization and accumulated impairment losses. Amortization is recognized on a straight- line basis over their estimated useful life. The estimated useful life and amortization method are reviewed at the end of each reporting period, with the effect of any changes in estimate being accounted for on a prospective basis.

An intangible asset is derecognized on disposal, or when no future economic benefits are expected from use or disposal. Gains or losses arising from derecognition of an intangible asset, measured at the difference between the net disposal proceeds and the carrying amount of the asset, and are recognized in profit or loss when the asset is derecognized.

On transition to Ind AS, the Company has elected to continue with the carrying value of its property, plant and equipment recognized as of April 1,2019 measured as per the previous GAAP and use that carrying value as its deemed cost as of the transition date.

Impairment of Tangible and Intangible Assets other than goodwill

The company assesses at each balance sheet date whether there is any indication that an asset may be impaired. If any such indication exists, the company estimates the recoverable amount of the asset. If such recoverable amount of the asset is less than the carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recognised in the profit and loss account. If at the balance sheet date there is an indication that a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount subject to a maximum of depreciable historical cost.

Revenue Recognition

Revenue (other than for those items to which Ind AS 109 Financial Instruments are applicable) is measured at fair value of the consideration received or receivable. Revenue is recognised when (or as) as the Company satisfies a performance obligation by transferring a promised service (i.e., an asset) to a customer. An asset is transferred when (or as) the customer obtains control of that asset. When (or as) a performance obligation is satisfied, the Company recognizes as revenue the amount of the service rendered (excluding estimates of variable consideration) that is allocated to that performance obligation.

The Company applies the five-step approach for recognition of revenue:

a. Identification of contract(s) with customers;

b. Identification of the separate performance obligation in the contract;

c. Determination of transaction price;

d. Allocation of transaction price to the separate performance obligation; and

e. Recognition of revenue when (or as) each performance obligation is satisfied.

Interest Income

The Company recognizes interest income/expense using a rate of return that represents the best estimate of a constant rate of return over the expected behavioral life of loans given/taken and recognizes the effect of potentially different interest rates at various stages and other characteristics of the product life cycle (including prepayments and penalty interest and charges).

Dividend Income

Dividend income (including from FVOCI investments) is recognized when the Company''s right to receive the payment is established, it is probable that the economic benefit associated with the dividend will flow to the entity and the amount of the dividend can be measured reliably. This is generally when the shareholders approve the dividend.

Investment Income

The gain/losses on sale of investments are recognized in the Statement of Profit and Loss.

Sale of Services

Revenue from services is recognized as per the terms of the contract and on rendering of services.

Investment Property

Investment Properties are properties held to earn rentals and/or for capital appreciation (including property under construction for such purposes). Investment properties are measured initially at cost, including transaction costs.

Depreciation is recognized using straight line method so as to write off the cost of the investment property less their residual values over their useful life specified in schedule II to the Companies Act, 2013 or in case of assets where the useful life was determined by technical evaluation, over the useful life so determined.

An investment property is derecognized upon disposal or when the investment property is permanently withdrawn from use and no future economic benefits are expected from the disposal. Any gain or loss arising on derecognition of the property (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included in the profit or loss in the period when the asset is derecognized.

On transition to Ind AS, the Company has elected to continue with the carrying value of its investment property recognized as of April 1,2019 measured as per the previous GAAP and use that carrying value as its deemed cost as of the transition date.

(Rs. In Lacs)
Particulars	FY 2023-24	FY 2022-23
Amount at the beginning of the year	340.95	340.95
Addition-from acquisitions	-	-
Addition- from subsequent expenditure recognized as an asset	-	-
Additions - from acquisitions through business combinations;	-	-
Less: Depreciation	-	-
Impairment losses recognized	-	-
The net exchange differences arising on the translation of the financial statements into a different presentation currency, and on translation of a foreign operation into the presentation currency of the reporting entity
Transfers to and from inventories and owner-occupied property	-	-
other changes	40.95	-
Amount at the ending of the year	300.00	340.95

Employee Benefits:

a. Defined Contribution Plans: The company has defined contribution plans for employees, comprising of Government administered Employees Provident Fund. The contribution paid/payable to this plan during the year is charged to the Profit & Loss Account for the year.

b. Defined Benefit Plans:

Gratuity: Provision for gratuity is made on accrual basis, on the basis of completed years of service as prescribed under the payment of Gratuity Act.

c. Short term Employee Benefits:

All Employee benefits which are wholly due within twelve months of rendering the services are recognised in the period in which the employee rendered the related services.

Investments

All Investments have been stated at book value.

Financial Instruments Recognition of Financial Instruments

Financial assets and financial liabilities are recognized, with exception of borrowing when the Company becomes a party to the contractual provisions of the financial instruments. Loans and advances and all other regular way purchases or sales of financial assets are recognized and derecognized on the trade date. Regular way purchases or sales of financial assets that require delivery of assets within the time frame established by regulation or convention in the marketplace. The Company recognizes borrowings when funds reach the Company.

Financial Liabilities

A financial liability is any liability that is :

• Contractual Obligation;

• To deliver cash or another financial asset to another entity; or

• To exchange financial assets or financial liabilities with another entity under conditions that are potentially unfavourably to the entity; or

• A contract that will or may be settled in the entity''s own equity instruments

All financial Liabilities are subsequently measured at amortised cost using the effective interest method or at FVTPL. Company has not designated any financial liabilities at FVTP.

Derecognition of Financial Liabilities

The Company derecognises financial liabilities when, and only when, the company''s obligations are discharged, cancelled or have expired. Where an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing financial liability are substantially modified, such an exchange or modification is treated as a derecognition of the original financial liability and the recognition of a new financial liability. The difference between the carrying value of the original financial liability and the consideration paid, including modified contractual cash flow recognised as new financial liability, would be recognised in profit or loss.

Taxation

Provision for current tax is made on the basis of tax payable in respect of taxable income for the period in accordance with the provisions of the Income Tax Act, 1961. The deferred tax is calculated for timing difference between the book profit and tax profit for the year which is accounted for using the tax rates and tax laws that have been enacted or substantively enacted as at the Balance Sheet date. Deferred Tax Asset arising from the timing difference is recognized to the extent that there is virtual certainty that the asset will be realized in future.

Basic and Diluted EPS
Particulars	FY2023-24	FY2022-23
Total Comprehensive Income for the period (Comprising profit (Loss) and Other Comprehensive Income for the period)	221.10	103.09
Earning per equity share	7.37	3.44
Number of shares used in computing earnings per share	30,00,300	30,00,300

Provisions, Contingent Liabilities and Contingent Assets

The company creates a provision when there is a present obligation as a result of past events and it is probable that there will be outflow of resources and a reliable estimate of the obligation can be made of the amount of the obligation.

Contingent liabilities are not recognised but are disclosed in the notes to the financial statements. A disclosure for a contingent liability is made when there is a possible obligation or a present obligation that may, but probably will not, require an outflow of resources.

Provisions are reviewed at each balance sheet date and adjusted to reflect the current best estimate. If it is no longer probable that the outflow of resources would be required to settle the obligation, the provision is reversed.

Contingent assets are neither recognised nor disclosed in the financial statements.

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Mar 31, 2015

I. Method of Accounting

a. The Financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles and provisions of the Companies Act, 2013.

b. The company generally follows mercantile system of accounting and recognizes significant items of income and expenditure on accrual basis.

The Company complies in all material respects, with the prudential norms relating to income recognition, asset classification and provisioning for bad and doubtful debts and other matters, specified in the directions issued by the Reserve Bank of India in terms of Non-Banking Financial Companies Prudential Norms (Reserve Bank) Directions, 2007, as applicable to it.

ii. Fixed Assets

Fixed Assets are stated at cost, less accumulated depreciation and impairment loss, if any. All costs which are incidental to the acquisition/installation of the fixed assets are capitalized.

a. Intangible Assets: Intangible assets are stated at cost of acquisition less accumulated amortization and accumulated impairment, if any. Intangible assets are amortised over their estimated useful lives subject to a maximum period of ten years on straight line basis, commencing from the date, asset is available for its use.

b. Depreciation:Depreciation on fixed assets is provided on straight line method at the rates and in the manner as specified in Schedule II of the Companies Act, 2013.

iii. Impairment of Assets

The company assesses at each balance sheet date whether there is any indication that an asset may be impaired. If any such indication exists, the company estimates the recoverable amount of the asset. If such recoverable amount of the asset is less than the carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recognised in the profit and loss account. If at the balance sheet date there is an indication that a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount subject to a maximum of depreciable historical cost.

iv. Income Recognition

a. Interest is recognized when no significant uncertainty as to its realization exists.

b. Income from services is recognized as they are rendered based on agreements/arrangements with concerned parties.

c. Dividend Income on Investments is accounted for when the right to receive the income is established.

v. Employee Benefits:

a. Defined Contribution Plans: The company has defined contribution plans for employees, comprising of Government administered Employees Provident Fund. The contribution paid/payable to this plan during the year is charged to the Profit & Loss Account for the year. There are no other obligations other than the contribution payable to P.F.

b. Defined Benefit Plans:

Gratuity: Provision for gratuity is made on accrual basis, on the basis of completed years of service as prescribed under the payment of Gratuity Act.

c. Short term Employee Benefits:

All Employee benefits which are wholly due within twelve months of rendering the services are recognized in the period in which the employee rendered the related services.

vi. Investments

Investments are held for Long Term and are stated at cost. However diminution in the value of investments is provided to recognize a decline other than temporary in nature in the opinion of the management.

vii. Taxation

Provision for current tax is made on the basis of tax payable in respect of taxable income for the period in accordance with the provisions of the Income Tax Act, 1961. The deferred tax is calculated for timing difference between the book profit and tax profit for the year which is accounted for using the tax rates and tax laws that have been enacted or substantively enacted as at the Balance Sheet date. Deferred Tax Asset arising from the timing difference is recognized to the extent that there is virtual certainty that the asset will be realized in future.

viii. Provisions, Contingent Liabilities and Contingent Assets

The company creates a provision when there is a present obligation as a result of past events and it is probable that there will be outflow of resources and a reliable estimate of the obligation can be made of the amount of the obligation.

Contingent liabilities are not recognised but are disclosed in the notes to the financial statements. A disclosure for a contingent liability is made when there is a possible obligation or a present obligation that may, but probably will not, require an outflow of resources. Provisions are reviewed at each balance sheet date and adjusted to reflect the current best estimate. If it is no longer probable that the outflow of resources would be required to settle the obligation, the provision is reversed.

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Mar 31, 2014

I. Method of Accounting

a. The Financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles and provisions of the Companies Act, 1956.

b. The company generally follows mercantile system of accounting and recognizes significant items of income and expenditure on accrual basis.

The Company complies in all material respects, with the prudential norms relating to income recognition, asset classification and provisioning for bad and doubtful debts and other matters, specified in the directions issued by the Reserve Bank of India in terms of Non-Banking Financial Companies Prudential Norms (Reserve Bank) Directions, 2007, as applicable to it.

ii. Fixed Assets

Fixed Assets are stated at cost, less accumulated depreciation and impairment loss, if any. All costs which are incidental to the acquisition/installation of the fixed assets are capitalized.

a. Intangible Assets: Intangible assets are stated at cost of acquisition less accumulated amortization and accumulated impairment, if any. Intangible assets are amortised over their estimated useful lives subject to a maximum period of ten years on straight line basis, commencing from the date asset is available for its use.

b. Depreciation: Depreciation on fixed assets is provided on straight line method at the rates and in the manner as specified in Schedule XIV of the Companies Act, 1956.

iii. Impairment of Assets

The company assesses at each balance sheet date whether there is any indication that an asset may be impaired. If any such indication exists, the company estimates the recoverable amount of the asset. If such recoverable amount of the asset is less than the carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recognised in the Statement of Profit and Loss. If at the balance sheet date there is an indication that a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount subject to a maximum of depreciable historical cost.

iv. Income Recognition

a. Interest is recognized when no significant uncertainty as to its realization exists.

b. Income from services is recognized as they are rendered based on agreements/arrangements with concerned parties.

c. Dividend Income on Investments is accounted for when the right to receive the income is established.

v. Employee Benefits:

a. Defined Contribution Plans: The company has defined contribution plans for employees, comprising of Government administered Employees Provident Fund. The contribution paid/payable to this plan during the year is charged to the Statement of Profit & Loss for the year. There are no other obligations other than the contribution payable to P.F.

b. Defined Benefit Plans:

Gratuity: Provision for gratuity is made on accrual basis, on the basis of completed years of service as prescribed under the payment of Gratuity Act.

c. Short term Employee Benefits:

All Employee benefits which are wholly due within twelve months of rendering the services are recognised in the period in which the employee rendered the related services.

vi. Investments

Investments are held for Long Term and are stated at cost. However diminution in the value of investments is provided to recognize a decline other than temporary in nature in the opinion of the management.

vii. Taxation

Provision for current tax is made on the basis of tax payable in respect of taxable income for the period in accordance with the provisions of the Income Tax Act, 1961. The deferred tax is calculated for timing difference between the book profit and tax profit for the year which is accounted for using the tax rates and tax laws that have been enacted or substantively enacted as at the Balance Sheet date. Deferred Tax Asset arising from the timing difference is recognized to the extent that there is virtual certainty that the asset will be realized in future.

viii. Provisions, Contingent Liabilities and Contingent Assets

The company creates a provision when there is a present obligation as a result of past events and it is probable that there will be outflow of resources and a reliable estimate of the obligation can be made of the amount of the obligation.

Contingent liabilities are not recognised but are disclosed in the notes to the financial statements. A disclosure for a contingent liability is made when there is a possible obligation or a present obligation that may, but probably will not, require an outflow of resources.

Provisions are reviewed at each balance sheet date and adjusted to reflect the current best estimate. If it is no longer probable that the outflow of resources would be required to settle the obligation, the provision is reversed.

Contingent assets are neither recognised nor disclosed in the financial statements.

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Mar 31, 2013

I. Method of Accounting

a. The Financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles and provisions of the Companies Act, 1956.

b. The company generally follows mercantile system of accounting and recognizes significant items of income and expenditure on accrual basis.

The Company complies in all material respects, with the prudential norms relating to income recognition, asset classification and provisioning for bad and doubtful debts and other matters, specified in the directions issued by the Reserve Bank of India in terms of Non-Banking Financial Companies Prudential Norms (Reserve Bank) Directions, 2007, as applicable to it. (Updated vide RBI Cir.No.DNBS(PD)CC No.225/03.02.001/2011-12 dated 1-7-2011)

c. During the year ended March 2013, the revised Schedule VI notified under the Companies Act, 1956 has become applicable to the Company for presentation of its financial statements. The revised Schedule VI has a significant impact on the presentation and disclosure made in the financial statements. The company has also reclassified the previous year figures in accordance with the requirements applicable in the current year.

ii. Fixed Assets

Fixed Assets are stated at cost, less accumulated depreciation and impairment loss if any. All costs which are incidental to the acquisition/installation of the fixed assets are capitalized.

a. Intangible Assets: Intangible assets are stated at cost of acquisition less accumulated amortization and accumulated impairment, if any. Intangible assets are amortised over their estimated useful lives subject to a maximum period of ten years on straight line basis, commencing from date the asset is available for its use.

b. Depreciation: Depreciation on fixed assets is provided on straight line method at the rates and in the manner as specified in Schedule XIV of the Companies Act, 1956.

iii. Impairment of Assets

The company assesses at each balance sheet date whether there is any indication that an asset may be impaired. If any such indication exists, the company estimates the recoverable amount of the asset. If such recoverable amount of the asset is less than the carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recognised in the Statement of Profit and Loss . If at the balance sheet date there is an indication that a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount subject to a maximum of depreciable historical cost.

iv. Income Recognition

a. Interest is recognized when no significant uncertainty as to its realization exists.

b. Income from services is recognized as they are rendered based on agreements/arrangements with concerned parties.

c. Dividend Income on Investments is accounted for when the right to receive the income is established.

v. Employee Benefits:

a. Defined Contribution Plans: The company has defined contribution plans for employees, comprising of Government administered Employees Provident Fund. The contribution paid/payable to this plan during the year is charged to the Statement of Profit & Loss for the year. There are no other obligations other than the contribution payable to P.F.

b. Defined Benefit Plans:

Gratuity: Provision for gratuity is made on accrual basis, on the basis of completed years of service as prescribed under the payment of Gratuity Act.

c. Short term Employee Benefits:

All Employee benefits which are wholly due within twelve months of rendering the services are recognised in the period in which the employee rendered the related services.

vi. Investments

Investments are held for Long Term and are stated at cost. However diminution in the value of investments is provided to recognize a decline other than temporary in nature in the opinion of the management.

vii. Taxation

Provision for current tax is made on the basis of tax payable in respect of taxable income for the period in accordance with the provisions of the Income Tax Act, 1961. The deferred tax is calculated for timing difference between the book profit and tax profit for the year which is accounted for using the tax rates and tax laws that have been enacted or substantively enacted as at the Balance Sheet date. Deferred Tax Asset arising from the timing difference is recognized to the extent that there is virtual certainty that the asset will be realized in future.

viii. Provisions, Contingent Liabilities and Contingent Assets

The company creates a provision when there is a present obligation as a result of past events and it is probable that there will be outflow of resources and a reliable estimate of the obligation can be made of the amount of the obligation.

Contingent liabilities are not recognised but are disclosed in the notes to the financial statements. A disclosure for a contingent liability is made when there is a possible obligation or a present obligation that may, but probably will not, require an outflow of resources.

Provisions are reviewed at each balance sheet date and adjusted to reflect the current best estimate. If it is no longer probable that the outflow of resources would be required to settle the obligation, the provision is reversed. Contingent assets are neither recognised nor disclosed in the financial statements.

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Mar 31, 2012

I. Method of Accounting

a. The Financial Statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles and provisions of the Companies Act, 1956.

b. The company generally follows mercantile system of accounting and recognizes significant items of income and expenditure on accrual basis.

The Company complies in all material respects, with the prudential norms relating to income recognition, asset classification and provisioning for bad and doubtful debts and other matters, specified in the directions issued by the Reserve Bank of India in terms of Non-Banking Financial Companies Prudential Norms (Reserve Bank) Directions, 2007, as applicable to it.

c. During the year ended March 2012, the revised Schedule VI notified under the Companies Act, 1956 has become applicable to the Company for presentation of its financial statements. The revised Schedule VI has a significant impact on the presentation and disclosure made in the financial statements. The company has also reclassified the previous year figures in accordance with the requirements applicable in the current year.

ii. Fixed Assets

Fixed Assets are stated at cost, less accumulated depreciation and impairment loss if any. All costs which are incidental to the acquisition/installation of the fixed assets are capitalized.

a. Intangible Assets: Intangible assets are stated at cost of acquisition less accumulated amortization and accumulated impairment, if any. Intangible assets are amortised over their estimated useful lives subject to a maximum period of ten years on straight line basis, commencing from date the asset is available for its use.

b. Depreciation: Depreciation on fixed assets is provided on straight line method at the rates and in the manner as specified in Schedule XIV of the Companies Act,1956.

iii. Impairment of Assets

The company assesses at each balance sheet date whether there is any indication that an asset may be impaired. If any such indication exists, the company estimates the recoverable amount of the asset. If such recoverable amount of the asset is less than the carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recognised in the profit and loss account. If at the balance sheet date there is an indication that a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount subject to a maximum of depreciable historical cost.

iv. Income Recognition

a. Interest is recognized when no significant uncertainty as to its realization exists.

b. Income from services is recognized as they are rendered based on agreements/arrangements with concerned parties.

c. Dividend Income on Investments is accounted for when the right to receive the income is established.

v. Employee Benefits:

a. Defined Contribution Plans: The company has defined contribution plans for employees, comprising of Government administered Employees Provident Fund. The contribution paid/payable to this plan during the year is charged to the Statement of Profit& Loss for the year. There are no other obligations other than the contribution payable to P.F.

b. Defined Benefit Plans:

Gratuity: Provision for gratuity is made on accrual basis, on the basis of completed years of service as prescribed under the payment of Gratuity Act.

c. Short term Employee Benefits:

All Employee benefits which are wholly due within twelve months of rendering the services are recognised in the period in which the employee rendered the related services.

vi. Investments

Investments are held for Long Term and are stated at cost. However diminution in the value of investments is provided to recognize a decline other than temporary in nature in the opinion of the management.

vii. Taxation

Provision for current tax is made on the basis of tax payable in respect of taxable income for the period in accordance with the provisions of the Income Tax Act, 1961. The deferred tax is calculated for timing difference between the book profit and tax profit for the year which is accounted for using the tax rates and tax laws that have been enacted or substantively enacted as at the Balance Sheet date. Deferred Tax Asset arising from the timing difference is recognized to the extent that there is virtual certainty that the asset will be realized in future.

viii. Provisions, Contingent Liabilities and Contingent Assets

The company creates a provision when there is a present obligation as a result of past events and it is probable that there will be outflow of resources and a reliable estimate of the obligation can be made of the amount of the obligation.

Contingent liabilities are not recognised but are disclosed in the notes to the financial statements. A disclosure for a contingent liability is made when there is a possible obligation or a present obligation that may, but probably will not, require an outflow of resources.

Provisions are reviewed at each balance sheet date and adjusted to reflect the current best estimate. If it is no longer probable that the outflow of resources would be required to settle the obligation, the provision is reversed.

Contingent assets are neither recognised nor disclosed in the financial statements.

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Mar 31, 2011

I. Method of Accounting

a. The Financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles and provisions of the Companies Act, 1956.

b. The company generally follows mercantile system of accounting and recognizes significant items of income and expenditure on accrual basis.

The Company complies in all material respects, with the prudential norms relating to income recognition, asset classification and provisioning for bad and doubtful debts and other matters, specified in the directions issued by the Reserve Bank of India in terms of Non-Banking Financial Companies Prudential Norms (Reserve Bank) Directions, 2007, as applicable to it.

ii. Fixed Assets: Fixed Assets are stated at cost, less accumulated depreciation and impairment loss if any. All costs which are incidental to the acquisition/installation of the fixed assets are capitalized.

iii. Intangible Assets: Intangible assets are stated at cost of acquisition less accumulated amortization.

iv. Depreciation: Depreciation on fixed assets is provided on straight line method at the rates and in the manner as specified in Schedule XIV of the Companies Act,1956.

v. Impairment of Assets:

The company assesses at each balance sheet date whether there is any indication that an asset may be impaired. If any such indication exists, the company estimates the recoverable amount of the asset. If such recoverable amount of the asset is less than the carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recognised in the profit and loss account. If at the balance sheet date there is an indication that a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount subject to a maximum of depreciable historical cost.

vi. Income Recognition

1. Interest is recognized when no significant uncertainty as to its realization exists.

2. Income from services is recognized as they are rendered based on agreements/ arrangements with concerned parties.

3. Dividend Income on Investments is accounted for when the right to receive the income is established.

vii. Employee Benefits:

a. Defined Contribution Plans: The company has defined contribution plans for employees, comprising of Government administered Employees Provident Fund. The contribution paid/ payable to this plan during the year is charged to the Profit & Loss Account for the year. There are no other obligations other than the contribution payable to P. F.

b. Defined Benefit Plans:

Gratuity: Provision for gratuity is made on accrual basis, on the basis of completed years of service as prescribed under the payment of Gratuity Act.

c. Short term Employee Benefits:

All Employee benefits which are wholly due within twelve months of rendering the services are recognised in the period in which the employee rendered the related services.

viii. Investments: Investments are held for Long Term and are stated at cost. However diminution in the value of investments is provided to recognize a decline other than temporary in nature in the opinion of the management.

ix. Taxation: Provision for current tax is made on the basis of tax payable in respect of taxable income for the period in accordance with the provisions of the Income Tax Act, 1961. The deferred tax is calculated for timing difference between the book profit and tax profit for the year which is accounted for using the tax rates and tax laws that have been enacted or substantively enacted as at the Balance Sheet date. Deferred Tax Asset arising from the timing difference is recognized to the extent that there is virtual certainty that the asset will be realized in future.

x. Provisions, Contingent Liabilities and Contingent Assets: The company creates a provision when there is a present obligation as a result of past events and it is probable that there will be outflow of resources and a eliable estimate of the obligation can be made of the amount of the obligation.

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Mar 31, 2010

I. Method of Accounting

a. The Financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles and provisions of the Companies Act, 1956.

b. The Company generally follows mercantile system of accounting and recognizes significant items of income and expenditure on accrual basis.

The Company complies in all material respects, with the prudential norms relating to income recognition, asset classification and provisioning for bad and doubtful debts and other matters, specified in the directions issued by the Reserve Bank of India in terms of Non-Banking Financial Companies Prudential Norms (Reserve Bank) Directions, 2007, as applicable to it.

ii. Fixed Assets: Fixed Assets are stated at cost, less accumulated depreciation

and impairment loss if any. All costs which are incidental to the acquisition/ installation of the fixed assets are capitalized.

iii. Intangible Assets: Intangible assets are stated at cost of acquisition less accumulated amortization.

iv. Depreciation: Depreciation on Fixed Assets is provided on straight line method at the rates and in the manner specified in Schedule XIV of the Companies Act, 1956.

v. Impairment of Assets:

The Company assesses at each balance sheet date whether there is any indication that an asset may be impaired. If any such indication exists, the Company estimates the recoverable amount of the asset. If such recoverable

amount of the asset is less than the carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recognised in the profit and loss account. If at the balance sheet date there is an indication that a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount subject to a maximum of depreciable historical cost.

vi. Income Recognition

i. Interest is recognized when no significant uncertainty as to its realization exists.

ii. Income from services is recognized as they are rendered based on agreements/arrangements with concerned parties.

iii. Dividend Income on Investments is accounted for when the right to receive the income is established.

vii. Employee Benefits:

a. Defined Contribution Plans : The company has defined contribution plans for employees, comprising of Government administered Employees Provident Fund. The contribution paid/payable to this plan during the year is charged to the Profit & Loss Account for the year. There are no other obligations other than the contribution payable to P.F

b. Defined Benefit Plans:

Gratuity: Provision for gratuity is made on accrual basis, on the basis of completed years of service as prescribed under the payment of Gratuity Act.

c. Short term Employee Benefits:

All Employee benefits which are wholly due within twelve months of rendering the services are recognised in the period in which the employee rendered the related services.

viii. Investments: Investments are held for Long Term and are stated at cost. However diminution in the value of investments is provided to recognize a decline other than temporary in nature in the opinion of the management.

ix. Taxation: Provision for current tax is made on the basis of tax payable in respect of taxable income for the period in accordance with the provisions of the Income Tax Act, 1961. The deferred tax is calculated fortiming difference between the book profit and tax profit for the year which is accounted for using the tax rates and tax laws that have been enacted or substantively enacted as at the Balance Sheet date. Deferred Tax Asset arising from the timing difference is recognized to the extent that there is virtual certainty that the asset will be realized in future.

x. Provisions, Contingent Liabilities and Contingent Assets: The Company creates a provision when there is a present obligation as a result of past events and it is probable that there will be outflow of resources and a reliable estimate of the obligation can be made of the amount of the obligation.

Contingent liabilities are not recognised but are disclosed in the notes to the financial statements. A disclosure for a contingent liability is made when there is a possible obligation or a present obligation that may, but probably will not, require an outflow of resources.

Provisions are reviewed at each balance sheet date and adjusted to reflect the current best estimate. If it is no longer probable that the outflow of resources would be required to settle the obligation, the provision is reversed.

Contingent assets are neither recognised nor disclosed in the financial statements.