Notes to Accounts of Hemo Organic Ltd.

Mar 31, 2024

14. Provisions & contingent liabilities

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is
probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable
estimate can be made of the amount of the obligation. When the Company expects some or all of a provision to be reimbursed, for
example, under an insurance contract, the reimbursement is recognised as a separate asset, but only when the reimbursement is
virtually certain. The expense relating to a provision is presented in the statement of profit and loss net of any reimbursement.

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

Contingent liability arises when the Company has:

a) a possible obligation that arises from past events and whose existence will be confirmed only by the occurrence or non¬
occurrence of one or more uncertain future events not wholly within the control of the entity; or

b) a present obligation that arises from past events but is not recognised because:

(i) it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation; or

(ii) the amount of the obligation cannot be measured with sufficient reliability.

Contingent liabilities are not recorded in the financial statement but, rather, are disclosed in the Balance sheet but are disclosed in
the note to the financial statement.

(B) Key accounting estimates

1. Fair value measurement of financial instruments

When the fair values of financial assets and financial liabilities recorded in the balance sheet cannot be measured based on quoted
prices in active markets, their fair value are measured using valuation techniques. The inputs to these models are taken from
observable markets where possible, but where this is not feasible, a degree of judgment is required in establishing fair values.
Judgments include considerations of inputs such as liquidity risk, credit risk and volatility. Changes in assumptions relating to
these factors could affect the reported fair value of financial instruments. See Note 16 for further disclosures.

2. Impairment of non-financial assets

Impairment exists when the carrying value of an asset or cash generating unit exceeds its recoverable amount, which is the higher
of its fair value less costs of disposal and its value in use. The fair value less costs of disposal calculation is based on available data
from binding sales transactions, conducted at arm''s length, for similar assets or observable market prices less incremental costs
for disposing of the asset. The value in use calculation is based on a discounted cash flow (DCF) model. The cash flows are derived
from the budget and do not include restructuring activities that the Company is not yet committed to or significant future
investments that will enhance the asset''s performance of the CGU being tested. The recoverable amount is sensitive to the
discount rate used for the DCF model as well as the expected future cash-inflows and the growth rate used for extrapolation
purposes. There is no losses due to impairment of asset.

3. Taxes

Deferred tax assets are recognised for unused tax credits to the extent that it is probable that taxable profit will be available
against which the losses can be utilised. Significant management judgment is required to determine the amount of deferred tax
assets that can be recognised, based upon the likely timing and the level of future taxable profits together with future tax planning
strategies.

The Company has Rs. NIL as at March 31, 2024 (Rs. NIL as at March 31, 2023) of tax credits carried forward. These credits can be
utilised over the period of 15 years. The Company has taxable temporary difference and tax planning opportunities available that
could support the recognition of these credits as deferred tax assets. On this basis, the Company has determined that it can
recognise deferred tax assets on the tax credits carried forward.

4. Property, Plant and Equipment

The carrying values of Property, plant and equipment have been disclosed in Note 2.

5. Intangible assets

There is no intangible asset in the company.

6. Allowance for doubtful trade receivables

Trade receivables do not carry any interest and are stated at their nominal value as reduced by appropriate allowances for
estimated irrecoverable amounts.

Estimated irrecoverable amounts are derived based on a provision matrix which takes into account various factors such as
customer specific risks, geographical region, product type, currency fluctuation risk, repatriation policy of the country, country
specific economic risks, customer rating, and type of customer, etc. The allowances for doubtful trade receivables were NIL as at
March 31, 2024 (as at March 31, 2023: Rs. NIL ).

Individual trade receivables are written off when the management deems them not to be collectable.

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Mar 31, 2015

1. The Company has only one class of equity share having par value of Rs. 10 per share. Each holder of equity share is entitle to one vote per share. In the event of liquidation of the Company, the holder of the equity share will be entitle to receive remaining assets of the Company. The distribution will be in proportion to the number of equity shares held by the share holders.

2. RELATED PARTY DISCLOSURE

Related Party disclosure as required by AS-18, are given below:

I Relationship:

a Subsidiary of the Company Nil

b Associates and Joint Ventures Nil

c Individual having control / Dr. Dinesh S. Patel ( Managing significant influence Director)

d Key Managerial Personnel Dr. Dinesh S. Patel ( Managing Director) & Relative thereof

Mrs. Sonal D. Patel ( Managing Director)

e Enterprises over which Nil (c), (d] & (e) above have

3. As The Company's business activity, in the opinion of the management, falls within a single primary segment subject to the same risk and return, the disclosure requirement of Accounting Standard AS-17 "Segment Reporting" issued by the Institute of Chartered Accountants of India are not applicable.

4. CONTINGENT LIABILITIES AND COMMITMENTS 31.03.2015 31.03.2014

i Contingent Liabilities

a Claims against the Company/disputes & - - liabilities

b Guarantee - -

c Letter of Credit - -

ii Commitments

a Estimated amt. of contract remaining to be executed on capital - -

b Other commitments - -

5. The Company has accumalated losses and its Networth has been substantially eroded. Furthure the Company has incurrred a net cash loss during the current year. However the accounts are prepared on going concern basis.

6. PREVIOUS YEAR FIGURES

Previous year figures are regrouped, rearranged and recast wherever required to make them comparable with those of year under review.

7. Notes 1 to 31 form an integral part of the financial statements.

HEMO ORGANIC LIMITED (formerly known as Dinesh Allorga Limited)

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Mar 31, 2013

1.1Secured by hypothecation of all machineries & equipments purchased out of bank finance & further secured by quitable mortgage of a residential plot R S no.1240/5 situated At: Jitodia Ta- Dist:Anand admeasuring 11.5 gunthas in the name of Shri Ashwinbhai R. Patel & personal guarantee of Dr Dinesh S.Patel Chairman & Managing Director, Sonal D. Patel Director, & Ashwinbhai R. Patel.

Note 2 Related Party Disclosure: Related Party disclosure as required by AS-18, are given below: I) Relationship:

a) Subsidiary of the Company: -Nil

b) Associates and Joint Ventures: -Nil

c) Individual having control / significant influence -Mr. Dr.Dinesh Patel (Managing Director)

d) Key Managerial Personnel - Mr.Dr.DineshS. Patel (Managing Director)

e) Relatives of Key Managerial Personnel -Sonal D. Patel (Spouse)

f) Enterprises over which (c), (d) & (e) above have significant influence : -Nil

Note 3

As The Company''s business activity, in the opinion of the management, falls within a single primary segment subject to the same risk and return, the disclosure requirement of Accounting Standard AS-17 “Segment Reporting'' issued by the Institute of Chartered Accountants of India are not applicable.

Note 4

CONTINGENT LIABILITIES AND COMMITMENTS

2012-13 2011-12

(i) Contingent Liabilities

(a) Claims against the ---- ----

Company/disputes & liabilities not acknowledge against debt

(b) Guarantee ---- ----

(II) Commitments

(a) Estimated amt. of contract ---- ---- remaining to be excecuted oncapital advance (b) Other commitments ---- ----

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Mar 31, 2012

1.1 Secured by hypothecation of all machineries & equipments purchased out of bank finance & further secured by quitable mortgage of a residential plot R S no.1240/5 situated At: Jitodia Ta- Dist:Anand admeasuring 11.5 gunthasIn the name of Shri Ashwinbhai R. Patel& personal guarantee of Dr Dinesh S.Patel Chairman & Managing Director,Sonal D. Patel Director, & Ashwinbhai R. Patel.

2.1 Working capital loans are secured by hypothecation of present and future stock of raw materials, stock-in-process, finished goods, stores and spares (not relating to plant and machinery), book debts& it is further secured by regesterd mortagae of factory land & building situated at village :Lunej Ta: Cambay R S no.328/1 admeasuring 8925 Sq.mtrs. & personal guarantee of Dr Dinesh S.Patel Chairman & Managing Director, Sonal D. Patel Director, & Ashwinbhai R. Patel.

Note 3 Related Party Disclosure

Related Party disclosure as required by AS-18, are given below:

I) Relationship:

a) Subsidiary of the Company

-Nil

b) Associates and Joint Ventures

- Nil

c) Individual having control / significant influence

- Mr. Dr.Dinesh Patel (Managing Director)

d) Key Managerial Personnel

- Mr.Dr.DineshS. Patel (Managing Director)

e) Relatives of Key Managerial Personnel

-Sonal D. Patel (Spouse)

f) Enterprises over which (c), (d) & (e) above have significant influence

- Nil

III) Disclosure in Respect of Material Related Party Transactions during the year

1. Loan & Advance given during the year to Dinesh Allorga Ltd. Rs.3,96,709 (Previous Year Rs. 59,525)

2. Payment to key Management Personal includes to Dr Dinesh S. Patel Rs. 2,12,500.(Previous Year Nil)

3. Payment to Relatives includes to Sonal D. Patel Rs.2,13,000 (Previous year Nil)

Note 4

As The Company's business activity, in the opinion of the management, falls within a single primary segment subject to the same risk and return, the disclosure requirement of Accounting Standard AS-17 "Segment Reporting" issued by the Institute of Chartered Accountants of India are not applicable.

Note 5

CONTINGENT LIABILITIES AND COMMITMENTS

2011-12 2010-11

(i) Contingent Liabilities

(a) Claims against the - - Company/disputes & liabilities not acknowledge against debt

(b) Guarantee - -

(II) Commitments

(a) Estimated amt. of contract - - remaining to be excecuted on capital advance

(b) Other commitments - -

Note 6 Previous Year Figures

During the year ended 31st March, 2012, the Revised Schedule VI notified under The Companies Act, 1956 has become applicable to the company for preparation and presentation of its financial statement. The adoption of revised Schedule VI dose not impact recognition and measurement principles followed for preparation of financial statements. However, it has significant impact on presentation and disclosure made in the financial statement. The company has also reclassified the previous year figure in accordance with the requirement applicable in the current year. In view of this reclassification, certain figures of current year are not strictly comparable with those of the previous year.

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Mar 31, 2010

1. The Previous years figures have been reworked,regrouped, rearranged and reclassified wherever necessary.

2. The schedules- referred to in the Balance Sheet and Profit and Loss Account form an integral part of the accounts.

3. Contingent liabilities not provided for in respect of:

Current Year Rupees Previous Year Rupees

I Bank Guarantees Nil Nil

II Letter of Credit Nil Nil

III Claims not acknow ledged as debt: Nil Nil

4. In the opinion of the Board of Directors, the current assets, loans and advances are approximately of the value stated, if realized in the ordinary course of business except the following , which in the opinion of the board is not recoverable now, for which no provision is made in the accounts.

5. Related Party Transactions: Related Party disclosure as required by AS-18, are given below:

I) Relationship:

a) Subsidiary of the Company - Nil

b) Associates and Joint Ventures - Nil

c) Individual having control / significant influence

- Mr. Dr.Dinesh Patel (Managing Director)

- Mrs. Sonal patel ( Director)

d) Key Managerial Personnel

- Mr.Dr.Dinesh Patel (Managing Director)

- Mrs. Sonal patel (Director)

e) Relatives of Key Managerial Personnel

- Upasi Patel (Daughter of Dr. Dinesh Patel & Sonal Patel)

f) Enterprises over which (c), (d) & (e) above have significant influence > Nil

6. Segment Reporting:

As the Companys business activity, in the opinion of the management, falls within a single primary segment subject to the same risk and returns, the disclosure requirements of Accounting Standard AS- 17 "Segment Reporting" issued by the Institute of Chartered Accountants of India are not applicable.

7. There are no Micro and Small Enterprise, to whom company owes dues, which are outstanding for more then 45 days as at 31s! March, 2010. This information as required to be disclosed under the Micro, Small and Medium Enterprise Development Act (MSMED Act), 2006 has been determined to the extent such parties have been identified on the basis of information available with the company.

8. Additional information pursuant to the provisions of paragraphs 3 and 4 of Part II of Schedule VI of the Companies Act, 1956 .

(a) Particulars of Licenced and installed Capacity and Actual Production ( as certified by the management and accepted b the auditors without verification being a technical