Auditor Report of Hasti Finance Ltd.

Mar 31, 2024

We have audited the accompanying Financial Statements of HASTI FINANCE LIMITED ("the
Company"), which comprise the Balance Sheet as at March 31, 2024, the Statement of Profit and
Loss (including Other Comprehensive Income), the Cash Flow Statement and the Statement of
Changes in Equity for the year then ended, and a summary of material accounting policies and
other explanatory information (herein referred to as "the standalone financial statements")

In our opinion and to the best of our information and according to the explanations given to us, the
aforesaid standalone financial statements give the information required by the Companies Act, 2013
("the Act") in the manner so required and give a true and fair view in conformity with the Indian
Accounting Standards prescribed under section 133 of the Act read with the Companies (Indian
Accounting Standards) Rules, 2015, as amended, ("Ind AS") and other accounting principles
generally accepted in India, of the state of affairs of the Company as at March 31, 2024, and its
profit, total comprehensive income, its cash flows and changes in equity for the year ended on that
date.

Basis for Opinion

We conducted our audit of Standalone Financial Statements in accordance with the Standards on
Auditing (SAs) specified under section 143(10) of the Companies Act, 2013. Our responsibilities
under those SAs are further described in the Auditor''s responsibilities for the audit of the
Standalone Financial Statements section of our report. We are independent of the Company in
accordance with the code of Ethics issued by the Institute of Chartered Accountants of India
together with the ethical requirements that are relevant to our audit of the Standalone Financial
Statements under the provisions of the Act and the Rules thereunder, and we have fulfilled our
other ethical responsibilities in accordance with these requirements and the code of Ethics. We
believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
our audit opinion on the standalone financial statements.

Emphasis of Matter

a) The company has received a bank attachment order from the Income Tax Department on 30.01.2020
in respect of Income Tax demand as on that date. As per the explanation given to us, the management
is in the process of rectifying/ payment of the said demand.

b) Non-compliance of following statutory requirements:

a. The company has not appointed Internal Auditor as required under section 138 of the
Companies act, 2013 read with Rule 13 of Companies (Accounts) Rules, 2014.

b. The company have not created Website and uploaded the required documents as specified in
SEBI (LODR) Regulation 46.

c. The company has not published its notices/advertisements in newspapers as required by SEBI
(LODR) Regulation 47.

As per the explanation given to us, the management is in process of regularization of these non¬
compliances and the penalties/late fees or any other outflow cannot be measured with sufficient reliability,
no provision/contingencies are recorded in financial statements.

Our opinion is not modified in respect of these above matters.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in
our audit of the standalone financial statements of the current period. These matters were
addressed in the context of our audit of the standalone financial statements as a whole, and in
forming our opinion thereon, and we do not provide a separate opinion on these matters. We have
determined the matters described below to be the key audit matters to be communicated in our
report:

Sr. No.	Key Audit Matter	How the Key Audit Matter was addressed in our audit
1.	Measurement of Impairment on	Assessed the appropriateness of management''s judgment
	Financial Assets - Loans	and estimates used in the impairment analysis through
	Refer Note 1(L) for material	procedures that included, but were not limited, to the
	accounting policies and Note 33 (i) for	following:
	credit risk disclosures.	• Obtained an understanding of the modelling
	The Company has reported gross loan	techniques adopted by the Company including the key
	assets of INR 19,67,72,220 against	inputs and assumptions. Since modelling assumptions
	which an impairment loss of INR	and parameters are based on historical data, we assessed
	5,23,91,662 has been recorded. The	whether historical experience was representative of
	Company recognised impairment	current circumstances and was relevant in view of the
	provision for loan assets based on the	recent impairment losses incurred within the portfolios.
	Expected Credit Loss approach laid	• Considered the Company''s accounting policies for
	down under ''Ind AS 109 - Financial	estimation of expected credit loss on loans and assessed
	Instruments''.	the compliance with the policies in terms of Ind AS 109.
	The calculation of impairment losses	• Tested the design and operating effectiveness of key

	on loans is complex and is based on	financial controls over the completeness and accuracy of
	the application of significant	the key inputs and assumptions considered for
	management judgement and the use	calculation, recording and monitoring of the impairment
	of different modelling techniques and	loss recognized.
	assumptions which are uncertain and	Also evaluated the controls over the modelling process,
	could have a material impact on	validation of data and related approvals.
	reported profits. The Company has	• Tested the assumptions underlying the impairment
	applied a three-stage approach based	identification and quantification including the forecast of
	on changes in credit quality to	future cash flows by corroborating it with the revised
	measure expected credit loss on loans	repayment schedules of the borrowers which included
	which is as follows:	the impact of the moratorium and restructuring.
	• If the loan is not credit-impaired on	Understood and challenged the aforesaid assumptions
	initial recognition, then it is classified	through our understanding of the risk profile of the
	in ''Stage 1'' and its credit risk is	customers of the Company.
	continuously monitored by the	• Reconciled the total financial assets considered for ECL
	Company i.e. the default in repayment	estimation with the books of account to ensure the
	is within the range of 0 to 30 days.	completeness.
	• If a significant increase in credit risk	• Verified, on test check basis, whether appropriate
	since initial recognition is identified, it	staging of assets have been performed basis their days
	is moved to ''Stage 2'' but is not yet	past due. Further, performed an overall assessment of the
	deemed to be credit-impaired i.e. the	ECL provision levels at each stage.
	default in repayment is within the	• Verified assets in stage 1, 2 and 3 on sample basis and
	range of 31 to 90 days.	tested that they were allocated to the appropriate stage.
	• If the loan is credit-impaired, it is	For samples of exposure, verified the appropriateness of
	then moved to ''Stage 3'' i.e. the default	determining Exposure at Default (EAD), PD and LGD.
	in repayment is more than 90 days.	• Assessed the adequacy and appropriateness of
	The Expected Credit Loss is measured	disclosures in compliance with the Ind AS 107 in relation
	at 12-month ECL for Stage 1 loan	to ECL especially in relation to judgements used in
	assets and at lifetime ECL for Stage 2 and Stage 3 loan assets. Significant management judgement and assumptions involved in measuring ECL is required with respect to: • determining the criteria for a significant increase in credit risk • factoring in future economic assumptions • techniques used to determine probability of default, loss given default and exposure at default. These parameters are derived from the Company''s internally developed statistical models and other historical data. In view of the above, the measurement of impairment loss on loans was determined to be a Key Audit Matter in our audit of the financial statements.	estimation of ECL provision.

The Company''s Board of Directors is responsible for the other information. The other information
comprises the information in the Management Discussion and Analysis, Board''s Report including
Annexure to the Board''s Report and Corporate Governance but does not include the standalone
financial statements and our auditor''s report thereon.

Our opinion on the Standalone Financial Statements does not cover the other information and we
do not express any form of assurance conclusion thereon.

In connection with our audit of the Standalone Financial Statements, our responsibility is to read the
other information and, in doing so, consider whether the other information is materially
inconsistent with the Standalone Financial Statements or our knowledge obtained in the audit or
otherwise appears to be materially misstated.

If, based on the work we have performed, we conclude that there is a material misstatement of this
other information; we are required to report that fact. We have nothing to report in this regard.

Responsibilities of Management and Those Charged with Governance for the Standalone
Financial Statements

The Company''s Board of Directors is responsible for the matters stated in section 134(5) of the Act
with respect to the preparation of these standalone financial statements that give a true and fair
view of the financial position, financial performance including other comprehensive income, cash
flows and changes in equity of the Company in accordance with the accounting principles generally
accepted in India, including the Indian Accounting Standards (Ind AS) specified under section 133
of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended. This
responsibility also includes maintenance of adequate accounting records in accordance with the
provisions of the Act for safeguarding of the assets of the Company and for preventing and
detecting frauds and other irregularities; selection and application of appropriate accounting
policies; making judgements and estimates that are reasonable and prudent; and the design,
implementation and maintenance of adequate internal financial controls, that were operating
effectively for ensuring the accuracy and completeness of the accounting records, relevant to the
preparation and presentation of the standalone financial statements that give a true and fair view
and are free from material misstatement, whether due to fraud or error.

In preparing the standalone financial statements, management is responsible for assessing the
Company''s ability to continue as a going concern, disclosing, as applicable, matters related to going
concern and using the going concern basis of accounting unless management either intends to
liquidate the Company or to cease operations, or has no realistic alternative but to do so.

The Board of Directors are also responsible for overseeing the Company''s financial reporting
process.

Our objectives are to obtain reasonable assurance about whether the Standalone Financial
Statements as a whole are free from material misstatement, whether due to fraud or error, and to
issue an auditor''s report that includes our opinion. Reasonable assurance is a high level of
assurance, but is not a guarantee that an audit conducted in accordance with SAs will always detect
a material misstatement when it exists.

Misstatements can arise from fraud or error and are considered material if, individually or in the
aggregate, they could reasonably be expected to influence the economic decisions of users taken on
the basis of these Standalone Financial Statements.

As part of an audit in accordance with SAs, we exercise professional judgment and maintain
professional skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the Standalone Financial
Statements, whether due to fraud or error, design and perform audit procedures responsive
to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis
for our opinion. The risk of not detecting a material misstatement resulting from fraud is
higher than for one resulting from error, as fraud may involve collusion, forgery, intentional
omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal financial control relevant to the audit in order to design
audit procedures that are appropriate in the circumstances. Under section 143(3)(i) of the
Act, we are also responsible for expressing our opinion on whether the Company has
adequate internal financial controls system in place and the operating effectiveness of such
controls.

• Evaluate the appropriateness of accounting policies used and the reasonableness of
accounting estimates and related disclosures made by the management.

• Conclude on the appropriateness of management''s use of the going concern basis of
accounting and, based on the audit evidence obtained, whether a material uncertainty exists
related to events or conditions that may cast significant doubt on the Company''s ability to
continue as a going concern. If we conclude that a material uncertainty exists, we are
required to draw attention in our auditor''s report to the related disclosures in the
Standalone Financial Statements or, if such disclosures are inadequate, to modify our
opinion. Our conclusions are based on the audit evidence obtained up to the date of our
auditor''s report. However, future events or conditions may cause the Company to cease to
continue as a going concern.

• Evaluate the overall presentation, structure and content of the Standalone Financial
Statements, including the disclosures, and whether the Standalone Financial Statements
represent the underlying transactions and events in a manner that achieves fair presentation.

Materiality is the magnitude of misstatements in the Standalone Financial Statements that,
individually or in aggregate, makes it probable that the economic decisions of a reasonably
knowledgeable user of the Standalone Financial Statements may be influenced. We consider
quantitative materiality and qualitative factors in (i) planning the scope of our audit work and in
evaluating the results of our work; and (ii) to evaluate the effect of any identified misstatements in
the Standalone Financial Statements.

We communicate with those charged with governance regarding, among other matters, the planned
scope and timing of the audit and significant audit findings, including any significant deficiencies in
internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with
relevant ethical requirements regarding independence, and to communicate with them all
relationships and other matters that may reasonably be thought to bear on our independence, and
where applicable, related safeguards.

From the matters communicated with those charged with governance, we determine those matters
that were of most significance in the audit of the Standalone Financial Statements of the current
period and are therefore the key audit matters. We describe these matters in our auditor''s report
unless law or regulation precludes public disclosure about the matter or when, in extremely rare
circumstances, we determine that a matter should not be communicated in our report because the
adverse consequences of doing so would reasonably be expected to outweigh the public interest
benefits of such communication.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor''s Report) Order, 2020 ("the Order"), issued by
the Central Government of India in terms of sub-section (11) of section 143 of the
Companies Act, 2013, we give in the "Annexure A" a statement on the matters
specified in paragraphs 3 and 4 of the Order, to the extent applicable.

2. (A) As required by Section 143(3) of the Act, we report that:

a) We have sought and obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of our audit;

b) In our opinion, proper books of account as required by law have been kept by the
Company so far as it appears from our examination of those books;

c) The Balance Sheet, the Statement of Profit and Loss including the Statement of
Other Comprehensive Income, the Cash Flow Statement and Statement of Changes
in Equity dealt with by this Report are in agreement with the books of account;

d) In our opinion, the aforesaid Standalone Financial Statements comply with the
Accounting Standards specified under Section 133 of the Act.;

e) On the basis of the written representations received from the directors as on March
31, 2024, taken on record by the Board of Directors, none of the directors is
disqualified as on March 31, 2024 from being appointed as a director in terms of
Section 164 (2) of the Act.

f) With respect to the adequacy of the internal financial controls over financial
reporting of the Company and the operating effectiveness of such controls, refer to
our separate Report in "Annexure B".

g) With respect to the other matters to be included in the Auditor''s Report in
accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our
opinion and to the best of our information and according to the explanations given
to us:

i. The Company does not have any pending litigations which would impact
its financial position;

ii. The Company did not have any long-term contracts including derivative
contracts, for which there were any material foreseeable losses;

iii. There were no amounts which were required to be transferred to the
Investor Education and Protection Fund by the company during the year
ended March 31, 2024.

iv. (a) The Management has represented that, to the best of its knowledge

and belief, no funds (which are material either individually or in the
aggregate) have been advanced or loaned or invested (either from
borrowed funds or share premium or any other sources or kind of
funds) by the Company to or in any other person or entity, including
foreign entity ("Intermediaries"), with the understanding, whether
recorded in writing or otherwise, that the Intermediary shall, whether,
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 on behalf of the Ultimate Beneficiaries;

(b) The Management has represented that, to the best of its knowledge
and belief no funds (which are material either individually or in the
aggregate) have been received by the Company from any person or
entity, including foreign entity ("Funding Parties''''), with the
understanding, whether recorded in writing or otherwise, that the
Company shall, whether, directly or indirectly, lend or invest in other
persons or entities identified in my manner whatsoever by or on
behalf of the Funding Party ("Ultimate Beneficiaries") or provide any
guarantee, security or the like on behalf of the Ultimate Beneficiaries;

(c) Based on the audit procedures that have been considered reasonable
and appropriate in the circumstances, nothing has come to our notice
that has caused us to believe that the representations under sub-clause
(i) and (ii) of Rule 11(e), as provided under (a) and (b) above, contain
any material misstatement.

v. The company has not declared or paid any dividend during the year
ended March 31, 2024.

vi. Based on our examination, which included test checks, the Company has
used accounting softwares for maintaining its books of accounts for the
financial year ended 31st March, 2024 which has feature of recording
audit trail (edit log) facility and the same has operated throughout the
year for all relevant transactions recorded in the softwares. Further,
during the course of our audit we did not come across any instance of the
audit trail feature being tampered with.

3. In our opinion and according to the information and explanations given to us, the
remuneration paid by the Company to its directors during the current year is in
accordance with the provisions of Section 197 of the Act. The remuneration paid to any
director is not in excess of the limit laid down under Section 197 of the Act.

For Vandana V. Dodhia & Co.

Chartered Accountants

Firm Regd. No. 117812W

CA Vandana V. Dodhia

Partner

Membership No. 104000

Place: Mumbai

Date: 30-05-2024

UDIN: 24104000BKFJGN2477

---

Mar 31, 2015

We have audited the accompanying financial statements of M/s HASTI FINANCE LIMITED ("the Company") which comprise the Balance Sheet as at 31st March 2015, the Statement of Profit and Loss, the Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information.

Management's Responsibility for the Financial Statements :

The Company's Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 ("the Act") with respect to the preparation of these financial statements that give a true and fair view of the financial position, financial performance and cash flow of the Company in accordance with the accounting principles generally accepted in India, including the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

Auditor's Responsibility :

Our responsibility is to express an opinion on these financial statements based on our audit.

We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under.

We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Company's preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on whether the Company has in place an adequate internal financial controls system over financial reporting and the operating effectiveness of such controls. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Company's Directors, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the financial statements.

Opinion :

In our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India of the of the state of affairs of the Company as at 31st March, 2015 and its Profit and its Cash Flows for the year ended on that date.

Report on Other Legal and Regulatory Requirements :

1. As required by the Companies ( Auditors Report) Order, 2015 ( the "Order") issued by the Central Government in terms of Section 143 (11) of the Act, we give in the annexure a statement on the matters specified in paragraph 3 & 4 of the Order.

2. As required by Section 143 (3) of the Act, we report that :

(a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.

(b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.

(c) The Balance Sheet, the Statement of Profit and Loss, and the Cash Flow Statement dealt with by this Report are in agreement with the books of account.

(d) In our opinion, the aforesaid financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.

(e) On the basis of the written representations received from the directors as on 31st March, 2015 taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2015 from being appointed as a director in terms of Section 164 (2) of the Act.

(f) With respect to the other matters to be included in the Auditor's Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us :

i. The Company does not have any pending litigations which would impact its financial position. ii. The Company did not have any long-term contracts including derivative contracts for which there were any material for eseeable losses. iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company Referred to in paragraph 1of the Independent Auditors Report of even date to the members of HASTI FINANCE LIMITED on the financial statements for the year ended 31st March, 2015.

1) a) The Company has maintained proper records showing full particulars including quantitative

details and situation of fixed assets.

b) The fixed assets have been physically verified by the management according to the regular programme of periodic verification in a phased manner which in our opinion is reasonable having regard to the size of the company and nature of fixed assets. The discrepancies noticed on such physical verification were not material and provided for in the books of accounts of the company.

c) During the year, the company has not disposed off any substantial part of fixed assets.

2) The company is not carrying any stock of finished goods, Stores, parts & Raw material

3) a) The company has granted loans, secured or unsecured to companies, firms or other parties covered in the register maintained under section 189 of the Companies Act, 2013, during the year.

No. of Parties Amount involved Balance as on 31.3.2015 ( Rs. In Lacs) (Rs. In Lacs)

Two 220.24 220.24

b) There is no amount overdue for more than rupees one lakh.

4) In our opinion, and according to the information and explanations given to us, there is an adequate internal control system commensurate with the size of the Company and the nature of its business for the purchase of inventory and fixed assets and for the sale of goods and services. Further, on the basis of our examination of the books and records of the Company, and according to the information and explanations given to us, we have neither come across, nor have been informed of, any continuing failur e to correct major weaknesses in the aforesaid internal control system.

5) The company has not accepted any deposits from the public within the meaning of Sections 73, 74, 75 and 76 of the Act and the rules framed there under to the extent notified.

6) The Central Government of India has not specified the maintenance of cost records under sub- section (1) of Section 148 of the Act for any of the products of the Company.

(a) According to the information and explanation given to us, except for Self Assessment Tax for A.Y. 2012-13 of Rs. 53,75,902/- and TDS payable Rs. 58,176/- there are no undisputed amounts payable in respect of Income Tax, Sales Tax, Wealth Tax, Custom Duty, Service Tax, Investor Education and Protection Fund, Excise Duty, Cess and any other statutory dues as at 31st March 2015 for a period of more than six months from the date of becoming payable

(b) There are no amount required to be transferred by the Company to the Investor Education and Protection Fund in accordance with the provision of the Companies Act, 1956 and the rules made there under.

8) The company has no accumulated losses at the end of the financial year and it has incurred cash losses in the financial year ended on that date and has not incurred cash losses in the immediately preceding financial year.

9) As the Company does not have any borrowing from any financial institution or bank nor has it issued any debentures as at the Balance Sheet date, the provision of Clause 3

(ix) of the Order are not applicable to the company.

10) In our opinion, and according to the information and explanations given to us, the Company has not given any guarantee for loans taken by others from banks or financial institutions during the year. Accordingly, the provisions of Clause 3

(x) of the Order are not applicable to the company.

11) The company has not raised any term loans. Accordingly, the provisions of Clause 3

(xi) of the Order are not applicable to the Company.

12) During the course of our examination of the books and records of the Company, carried out in accordance with the generally accepted auditing practices in India, and according to the information and explanations given to us, we have neither come across any instance of material fraud on or by the Company, notice or reported during the year, nor have we been informed of any such case by the Management.

For Sandeep Rathi & Associates

Chartered Accountants

Firm Registration No.113728 W



Sd/-

Sandeep Rathi

Proprietor

Membership No. 047377

Place: Mumbai

Date: 30.05.2015

---

Mar 31, 2014

1. We have audited the accompanying financial statements of Hasti Finance Ltd. which comprise the Balance Sheet as at 31st March 2014 and the Profit and Loss statement and Cash Flow statement for the year ended on that date and summary of significant accounting policies and other explanatory information. These financial statements are the responsibility of the company''s management. Our responsibility is to express an opinion on these financial statements based on our audit.

Management''s Responsibility for the Financial Statements :

2. Management is responsible for the preparation of these financial statements that give a true and fair view of the financial position and financial performance of the Company in accordance with the Accounting Standards referred to in sub-section (3C) of section 211 of the Companies Act,1956 ("the Act"). This responsibility includes the design, implementation and maintenance of internal control relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

Auditor''s Responsibility :

3. Our responsibility to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with the Standards on Auditing issued by the Institute of Chartered Accountants of India. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Company''s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion :

4. In our opinion and to the best of our information and according to the explanations given to us, the financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India:

a) in the case of the Balance Sheet, of the state of affairs of the Company as at March 31, 2014 and,

b) in the case of the Profit and Loss statement, of the Profit of the Company for the year ended on that date

c) in the case of the Cash Flow statement, of Cash Flows for the year ended on that date Emphasis of Matter:

5. Without qualifying, we draw attention to Note No.26 regarding the financial statements of the company.

"Out of the amount receivable a few accounts are in moratorium period, as per Agreement with the borrowers, amount of interest accrued from these accounts are recognized as income for current financial year though not received."

Report on Other Legal and Regulatory Requirements :

6. As required by the Companies (Auditor''s Report) Order, 2003 ("the Order"), as amended, issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act, 1956, we enclose in the Annexure a statement on the matters, specified in paragraphs 4 and 5 of the said Order.

7. As required by the section 227(3) of the Companies Act,1956, we report that:

i. We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose of our audit.

ii. In our opinion proper books of account as required by law have been kept by the Company so far as appears from our examination of those books;

iii. The Balance Sheet and the Profit and Loss statement and Cash Flow statement dealt with by this Report are in agreement with the books of account ;

iv. In our opinion, the Balance Sheet, Profit and Loss Statement and Cash Flow statement comply with the Accounting Standards referred to in sub-section (3C) of section 211 of the Act; and

v. On the basis of written representations received from the directors as on 31st March 2014 and taken on record by the Board of Directors, non of the directors is disqualified as on 31st March, 2014, from being appointed as a director in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956.

ANNEXURE TO THE INDEPENDENT AUDITORS'' REPORT RE: HASTI FINANCE LIMITED

Referred to in paragraph 1 of our report of even date

1 a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.

b) The fixed assets have been physically verified by the management according to the regular programme of periodic verification in a phased manner which in our opinion is reasonable having regard to the size of the company and nature of fixed assets. No material discrepancies were noticed on such verification.

c) During the year, the company has not disposed off any Fixed Assets, hence the sub clause (c ) of the clause 1 of the order is not applicable.

2 The company is not carrying any stock of finished goods, Stores, parts & Raw material.

3 a) The company has granted loans, secured or unsecured to companies, firms or other parties covered in the register maintained under section 301 of the Act.

No. of Parties Amount involved Balance as on 31.3.2014 ( Rs. In Lacs) (Rs. In Lacs)

Two 199.93 199.93

b) There is no amount overdue for more than rupees one lakh.

c) The company has not taken any loans, secured or unsecured from companies, firms or other parties covered in the register maintained under section 301 of the Act.

4 In our opinion, there were generally adequate internal control procedure commensurate with the size of the company and nature of its business for its income from operation. The management has initiated a programme to improve and rectify the internal control weaknesses noticed during the course of our audit.

5

a) In our opinion and according to the information and explanations given to us, we are of opinion that the transactions that need to be entered into the register maintained under section 301 of the Companies Act, 1956 have been so entered.

b) In our opinion and according to the information and explanations given to us, the transactions made in pursuance of contracts or arrangements entered in the register maintained Under Section 301 of the Companies Act, 1956 and exceeding the value of Rupees five lakhs in respect of any party during the year have been made at prices which are reasonable having regard to prevailing market price at the relevant time.

6 The Company has not accepted any deposits within the meaning of the Section 58A, 58AA or any other relevant provisions of the Act.

7 In our opinion, it is desirable that the Company has an internal audit system commensurate with the size and nature of its Business.

8 The Central Government has not prescribed maintenance of cost records under section 209(1)(d) of the Companies Act, 1956 for the activities of the company.

9 According to the information and explanation given to us, except for Self Assessment Tax for A.Y. 2012-13 of Rs. 53,75,902/-, TDS payable Rs. 75,030/- & Profession Tax of Rs. 28,335/- there are no undisputed amounts payable in respect of Income Tax, Sales Tax, Wealth Tax, Custom Duty, Service Tax, Investor Education and Protection Fund, Excise Duty, Cess and any other statutory dues as at 31st March 2014 for a period of more than six months from the date of becoming payable,

10 The Company has no accumulated losses at the end of the financial year and it has not incurred cash losses in the current and immediately preceding financial year.

11 During the year there were no any dues repayable to banks.

12 The Company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

13 In our opinion, the Company is not a chit fund or a nidhi/mutual benefit fund/society. Therefore, the provisions of clause 4(viii) of the companies (Auditors Report) order, 2003 are not applicable to the company.

14 The Company has maintained proper records of transaction and contracts in respect of Investments in securities and timely entries have been made therein. All Investments at the close of the year have been held in name of the company.

15 According to the information and explanation given to us, the Company has not given any guarantee for loans taken by others from banks or financial institutions.

16 During the year there were no term loans availed by the company.

17 In our opinion and according to the information and explanation given to us, the company has not raised any funds on a short-term basis, which have been used for long-term investment during the year.

18 During the year, Company has not made any preferential allotment of shares to parties and Companies covered in the register maintained under section 301 of the Companies Act, 1956.

19 There are no debentures issued and outstanding during the year and hence the provisions of clause 4(xix) of the Companies (Auditors Report) Order, 2003 are not applicable to the company.

20 The Company has not raised any money by way of public issues during the year.

21 Based upon the audit procedures performed and according to the information and explanations given to us, we report that no fraud on or by the Company has been noticed for reported during the year.

For Sandeep Rathi & Associates Chartered Accountants

Sd/- Sandeep Rathi Proprietor

Mumbai, 01st July, 2014

---

Mar 31, 2011

We have audited the attached balance sheet of Hasti Finance Limited as at 31st March 2011, Profit and Loss account annexed thereto and also the Cash Flow Statement for the year ended on that date. These financial statements are the responsibility of the company's management. Our responsibility is to express an opinion on these financial statements based on our audit.

We conducted our audit in accordance with auditing standards generally accepted in India. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

We report that:

1. As required by the Companies (Auditor's Report) Order, 2003 issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act, 1956, we have annexed a statement on the matters specified in the paragraph 4 & 5 of the said order.

2. Further to our comments in the annexure referred to in paragraph 1 above, we report that:

i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our report;

ii) In our opinion, proper books of account as required by law have been kept by the Company so far as appears from our examination of those books;

iii) The Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with by this report are in agreement with the Books of Accounts;

iv) In our opinion, the Balance Sheet and Profit and Loss Account are in compliance with the Accounting Standards referred to in sub-section (3C) of section 211 of the companies Act, 1956;

v) On the basis of written representations received from Directors as on 31st March 2011, and taken on record by the Board of Directors, we report that none of the directors is disqualified as on 31st March 2011 from being appointed as a director of the Company in terms of section 274 (1) (g) of the Act.

vi) In our opinion and to the best of our information and according the explanation given to us, the accounts and notes on accounts give the information required by the Companies Act, 1956, in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India:

a) in the case of Balance Sheet, of the state of affairs of the Company as at 31st March 2011;

b) in the case of Profit and Loss Account, of the Profit of the Company for the year ended on that date; and

c) in the case of Cash Flow Statement of the cash flows of the company for the year ended on that date.

Annexure to the Auditors' Report

Re: Hasti Finance Limited

Referred to in paragraph 1 of our report of even date

1 a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets. b) The fixed assets have been physically verified by the management according to the regular programme of periodic verification in a phased manner which in our opinion is reasonable having regard to the size of the company and nature of fixed assets. According to the information and explanation given to us, no material discrepancies were noticed on such physical verification.

c) During the year, the company has not disposed off any Fixed Assets, hence the sub clause (c ) of the clause 1 of the order is not applicable.

2 The company is not carrying any stock of finished goods, Stores, parts & Raw material.

3 a) The company has granted any loans, secured or unsecured to companies, firms or other parties covered in the register maintained under section 301 of the Act.

No. of Parties Amount involved Balance as on (Rs. In Lacs) 31.3.2011 (Rs. In Lacs)

Two 543.86 327.68

b) There is no amount overdue for more than rupees one lakh.

c) The company has not taken any loans, secured or unsecured from companies, firms or other parties covered in the register maintained under section 301 of the Act.

4 In our opinion, there were generally adequate internal control procedure commensurate with the size of the company and nature of its business for its income from operation. The management has initiated a programme to improve and rectify the internal control weaknesses noticed during the course of our audit.

5 a) In our opinion and according to the information and explanations given to us, we are of opinion that the transactions that need to be entered into the register maintained under section 301 of the Companies Act, 1956 have been so entered.

b) In our opinion and according to the information and explanations given to us, the transactions made in pursuance of contracts or arrangements entered in the register maintained Under Section 301 of the Companies Act, 1956 and exceeding the value of Rupees five lakhs in respect of any party during the year have been made at prices which are reasonable having regard to prevailing market price at the relevant time.

6 The Company has not accepted any deposits within the meaning of the Section 58A, 58AA or any other relevant provisions of the Act.

7 In our opinion, the Company has an adequate internal audit system commensurate with the size and nature of its Business.

8 The Central Government has not prescribed maintenance of cost records under section 209(1)(d) of the Companies Act, 1956 for the activities of the company.

9 According to the information and explanation given to us, there are no undisputed amounts payable in respect of Income Tax, Sales Tax, Wealth Tax, Custom Duty, Service Tax, Investor Education and Protection Fund, Excise Duty, Cess and any other statutory dues as at 31st March 2011.

10 The Company has no accumulated losses at the end of the financial year and it has not incurred cash losses in the current and immediately preceding financial year.

11 During the year there were no any dues repayable to banks.

12 The Company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

13 In our opinion, the Company is not a chit fund or a nidhi/mutual benefit fund/society. Therefore, the provisions of clause 4(viii) of the companies (Auditors Report) order, 2003 are not applicable to the company.

14 The Company has maintained proper records of transaction and contracts in respect of Investments in securities and timely entries have been made therein. All Investments at the close of the year have been held in name of the company.

15 According to the information and explanation given to us, the Company has not given any guarantee for loans taken by others from banks or financial institutions

16 During the year there were no term loans availed by the company.

17 In our opinion and according to the information and explanation given to us, the company has not raised any funds on a short-term basis, which have been used for long-term investment during the year.

18 During the year, Company has made preferential allotment of shares to parties covered in the register maintained under Section 301 of the Companies Act, 1956, and the price at which the share have been issued is not prejudicial to the interest of the company.

19 There are no debentures issued and outstanding during the year and hence the provisions of clause 4(xix) of the Companies (Auditors Report) Order, 2003 are not applicable to the company.

20 The Company has not raised any money by way of public issues during the year.

21 Based upon the audit procedures performed and according to the information and explanations given to us, we report that no fraud on or by the Company has been noticed for reported during the year.

For Sandeep Rathi & Associates

Chartered Accountants

Sd/-

Sandeep Rathi

Proprietor

Firm Registration No.113728 W

Membership No. 047377

Place: Mumbai

Date : 30th June 2011.

---

Mar 31, 2010

We have audited the attached balance sheet of Hasti Finance Limited as at 31st March 2010, Profit and Loss account annexed thereto and also the Cash Flow Statement for the year ended on that date. These financial statements are the responsibility of the companys management. Our responsibility is to express an opinion on these financial statements based on our audit.

We conducted our audit in accordance with auditing standards generally accepted in India. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

We report that:

1. As required by the Companies (Auditors Report) Order, 2003 issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Companies Act, 1956, we have annexed a statement on the matters specified in the paragraph 4 & 5 of the said order.

2. Further to our comments in the annexure referred to in paragraph 1 above, we report that:

i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our report;

ii) In our opinion, proper books of account as required by law have been kept by the Company so far as appears from our examination of those books;

iii) The Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with by this report are in agreement with the Books of Accounts;

iv) In our opinion, the Balance Sheet and Profit and Loss Account are in compliance with the Accounting Standards referred to in sub-section (3C) of section 211 of the companies Act, 1956;

v) On the basis of written representations received from Directors as on 31st March 2010, and taken on record by the Board of Directors, we report that none of the directors is disqualified as on 31st March 2010 from being appointed as a director of the Company in terms of section 274 (1) (g) of the Act.

vi) In our opinion and to the best of our information and according the explanation given to us, the accounts and notes on accounts give the information required by the Companies Act, 1956, in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India:

a) in the case of Balance Sheet, of the state of affairs of the Company as at 31st March 2010;

b) in the case of Profit and Loss Account, of the Profit of the Company for the year ended on that date; and

c) in the case of Cash Flow Statement of the cash flows for the year ended on that date.

Annexure to the Auditors Report Re: Hasti Finance Limited

Referred to in paragraph 1 of our report of even date

1 a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets. b) The fixed assets have been physically verified by the management according to are regular programme of periodic verification in a phased manner which in our opinion is reasonable having regard to the size of the company and nature of fixed assets. The discrepancies noticed on such physical verification were not material and provided for in the books of accounts of the company. c) During the year, the company has disposed off Fixed Assets which were movable and therefore do not effect going concern status.

2 The company is not carrying any stock of finished goods, Stores, parts & Raw material.

3 a) The company has not granted any loans, secured or unsecured to companies, firms or other parties covered in the register maintained under section 301 of the Act.

b) There is no amount overdue for more than rupees one lakh.

c) The company has not taken any loans, secured or unsecured from companies, firms or other parties covered in the register maintained under section 301 of the Act.

4 In our opinion, there were generally adequate internal control procedure commensurate with the size of the company and nature of its business for its income from operation. The management has initiated a programme to improve and rectify the internal control weaknesses noticed during the course of our audit.

5 There are no transactions that need to be entered into the register maintained under Section 301 of the Act.

6 The Company has not accepted any deposits within the meaning of the Section 58A, 58AA or any other relevant provisions of the Act.

7 In our opinion, the Company has an adequate internal audit system commensurate with the size and nature of its Business.

8 The Central Government has not prescribed maintenance of cost records under section

209(l)(d) of the Companies Act, 1956 for the activities of the company.

9 According to the information and explanation given to us, there are no undisputed amounts payable in respect of Income Tax, Sales Tax, Wealth Tax, Custom Duty, Service Tax, Investor Education and Protection Fund, Excise Duty, Cess and any other statutory dues as at 31st March 2010.

10 The Company has no accumulated losses at the end of the financial year and it has not incurred cash losses in the current and immediately preceding financial year.

11 During the year there were no any dues repayable to banks.

12 The Company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

13 In our opinion, the Company is not a chit fund or a nidhi/mutual benefit fund/society. Therefore, the provisions of clause 4(viii) of the companies (Auditors Report) order, 2003 are not applicable to the company.

14 The Company has maintained proper records of transaction and contracts in respect of Investments in securities and timely entries have been made therein. All Investments at the close of the year have been held in name of the company.

15 According to the information and explanation given to us, the Company has not given any guarantee for loans taken by others from banks or financial institutions

16 During the year there were no term loans availed by the company.

17 In our opinion and according to the information and explanation given to us, the company has not raised any funds on a short-term basis, which have been used for long-term investment during the year.

18 During the year, Company has not made any preferential allotment of shares to parties and Companies covered in the register maintained under section 301 of the Companies Act, 1956.

19 There are no debentures issued and outstanding during the year and hence the provisions of clause 4(xix) of the Companies (Auditors Report) Order, 2003 are not applicable to the company.

20 The Company has not raised any money by way of public issues during the year.

21 Based upon the audit procedures performed and according to the information and explanations given to us, we report that no fraud on or by the Company has been noticed or reported during the year.

For Sandeep Rathi & Associates Chartered Accountants Sd/- Sandeep Rathi

Proprietor

Firm Registration No. 113728 W

Membership No. 047377

Place: Mumbai

Date : 28th August,2010.