Notes to Accounts of Industrial & Prudential Investment Company Ltd.

Mar 31, 2025

16.2 Terms and Right attached to equity shareholders

The Company has only one class of equity share having par value of Rs. 10 per share. Each holder of equity share is entitled to one vote per share. The dividend proposed by the Board of Directors is subject to the approval of the Shareholders in the ensuing Annual General Meeting, except in case of interim dividend. The Shareholders have all other rights as available to equity Shareholders as per the provisions of the Companies Act, 2013, read together with the Memorandum and Articles of Association of the Company, as applicable.

16.3 Holding Company

In accordance with Section 2(87) (i) of the Companies Act, 2013 Paharpur Cooling Towers Limited is a Holding Company as it is deemed to control the Composition of the Board of Directors.

16.5 In respect of the year ended 31st March 2025, the Board of Directors has proposed a final dividend of Rs.110 per share to be paid on fully paid equity shares. This equity dividend is subject to approval by shareholders at the Annual General Meeting and has not been included as a liability in these standalone financial statements. The proposed equity dividend is payable to all holders of fully paid equity shares.

16.7 The company is an investment and credit company, the objective of the Company is to invest in long term investments, provide loan and distributing the profits of Company by way of dividends in a way that shareholders can participate equitably in the Company’s growth, while maintaining the financial foundation of the Company and ensure sustainable growth. Accordingly, the Company has framed various policies such as investment policy, dividend distribution policy which lays down the framework of company’s capital management.

16.8 For the period of five years immediately preceding the date as at which the Balance Sheet is prepared: - Aggregate of 69,500 equity shares bought back by the Company during the financial year 2020-2021.

Special Reserve (in terms of Section 45-IC of Reserve Bank of India Act, 1934)

Special Reserve represents the reserve created pursuant to the Reserve Bank of India Act, 1934 (the "RBI Act") and related regulations applicable to those companies. Under the RBI Act, a Non Banking Financial Company is required to transfer an amount not less than 20% of its net profit to a reserve fund before declaring any dividend. Appropriation from this reserve fund is permitted only for the purposes specified by the RBI.

Capital Reserve

Capital Reserve is a reserve which is not free for distribution. The balance in this reserve has been created long ago.

Capital Redemption Reserve

Capital redemption reserve has been created consequent to buy back of equity shares. This reserve shall be utilised in accordance with the provisions of the Act.

General Reserve

The General Reserve is created from time to time by appropriating profits from Retained Earnings. The general reserve is created by a transfer from one component of equity to another. Accordingly, it is not reclassified to the statement of profit and loss.

Retained Earnings

Retained earnings represents the undistributed profits/ amount of accumulated earnings of the Company.

Other Comprehensive Income

This reserve represents the cumulative gains and losses arising on the revaluation of equity instruments measured at fair value through other comprehensive income. The Company transfers amounts from this reserve to retained earnings when the relevant equity instruments are de-recognised as per the policy.

25. Tax Expense

Reconciliation of Income tax expense for the year with accounting profit is as follows:

Taxable Income differs from ‘profit before tax’ as reported in the statement of profit and loss because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. Details in this respect are as follows:

Fair Valuation Techniques

The fair values of the financial assets and liabilities are included at the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

The following methods and assumptions were used to estimate the fair values:

The fair value of cash and cash equivalents, trade payables, financial liabilities and assets approximate their carrying amount largely due to the short-term nature of these instruments. The management considers that the carrying amounts of financial assets and financial liabilities recognised at nominal cost/amortised cost in the financial statements approximate their fair values.

Investments traded in active market are determined by reference to the quotes from the Stock exchanges as at the reporting date. Investments in mutual funds have been valued based on their respective net asset value as on the reporting date.

Fair value hierarchy

The following table presents fair value hierarchy of assets and liabilities measured at fair value on a recurring basis as at balance sheet date:

Measurement of fair values

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

Level II : other techniques for which all inputs which have a significant effect on the recorded fair value are observable either directly or indirectly.

Level III : techniques which use inputs that have a significant effect on the recorded fair value that are not based on observable market data.

(i) The management assessed that fair value of cash and cash equivalents, trade receivables, trade payables, and other financial assets and liabilities approximate their carrying amounts largely due to the shortterm maturities of these instruments.

(ii) Financial assets and liabilities are stated at carrying value which approximates their fair value.

(iii) The fair values of the equity investment which are quoted, are derived from quoted market prices in active markets.

(iv) The fair value of the financial instruments that are not traded in an active market is determined using valuation techniques. The Company uses its judgment to select a variety of methods and make assumptions that are mainly based on market conditions existing at the end of each reporting period

(v) During the year ended 31^st March 2025 there were no transfers between Level 1, Level 2 and Level 3. Financial Risk Management

The Company''s activities are exposed to variety of financial risks. The key financial risks includes market risk, credit risk and liquidity risk. The Company''s focus is to foresee the unpredictability of financial markets and seek to minimize potential adverse effects on its financial performance. The Board of Directors reviews and approves policies for managing these risks. The risks are governed by appropriate policies and procedures and

accordingly financial risks are identified, measured and managed in accordance with the Company’s policies and risk objectives.

Market Risk

Market risk is the risk or uncertainty arising from possible market fluctuations resulting in variation in the fair value of future cash flows of a financial instrument. The major components of Market risks are currency risk, interest rate risk and other price risk. Financial instruments affected by market risk includes investments and trade and other payables.

Interest rate risk

The company doesn''t have exposure in market risk relating to change in interest rate as it doesn''t have any borrowed funds whether in fixed rate or floating rate.

Price risk

(a) Exposure

The Company is exposed to price risk arising from investments in Equity Shares held by the company and is classified in the balance sheet as fair value through Other Comprehensive Income. The Company is also exposed to price risk arising from investments in Mutual Funds, Preference Shares and Debentures held by the company and is classified in the balance sheet as fair value through profit or loss. To manage its price risk arising from investments, the Company diversifies its portfolio.

(b) Sensitivity analysis- Equity price risk

The table below summaries the impact of increases/decreases of the index on the Company’s equity and profit for the year. The analysis is based on the assumption that the equity/index had increased by 2% or decreased by 2% with all other variables held constant, and that all the Company’s investments in equity instruments moved in line with the index.

Profit for the period would increase/decrease as a result of gains/losses on exchange traded funds equity securities classified as fair value through profit or loss, if any. Other components of equity would increase/ decrease as a result of gain/losses on equity securities classified as fair value through other comprehensive income.

Credit Risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss.

Financial assets that are neither past due nor impaired

Cash and cash equivalents, investment and deposits with banks are neither past due nor impaired. Cash and cash equivalents with banks are held with reputed and credit worthy banking institutions.

Liquidity Risk

Liquidity risk is defined as the risk that the Company will not be able to settle or meet its obligations on time or at a reasonable price. The Company''s objective is to maintain optimum level of liquidity to meet it''s cash and collateral requirements at all times. The company relies on internal accruals to meet its fund requirement.

Capital Management

The primary objective of the Company’s capital management is to ensure that it maintains a healthy capital ratio in order to support its business and maximise shareholder value. The Company’s objective when managing capital is to safeguard their ability to continue as a going concern so that they can continue to provide returns for shareholders and benefits for other stake holders. The Company is focused on keeping strong total equity base to ensure independence, security, as well as a high financial flexibility for potential future borrowings, if required without where the risk profile of the Company.

Since at present there is no borrowings obtained by the Company so Capital Gearing Ratio is not disclosed hereunder.

28. Ind AS 108 establishes standards for the way that public business enterprises report information about operating segments and related disclosures about products and services, geographic areas, and major customers.

The Company is mainly engaged in the investing and credit business and all other activities revolve around the main business of the Company. Further, all activities are conducted within India and as such there is no separate reportable segment, as per the Ind AS 108 - “Operating Segments” specified under Section 133 of the Act.

29. Contingent Liabilities and Commitments:

		(Rs in thousand)
Particulars	As at	As at
	31st March 2025	31st March 2024
Investments partly paid - 2,56,500 Equity Shares of Rs.5 each in	10,29,21	10,29,21
Bharti Airtel Ltd (Rs. 1.25 per share paid up)

(e) Intra group Exposures

The Company has investment in group companies as disclosed in Note 8.1 of the notes to financial statements as at 31 March, 2025 and 31 March, 2024.

(f) Unhedged foreign currency exposure

The Company does not have any unhedged foreign currency exposures as at 31 March, 2025 and 31 March, 2024.

(g) Related Party Disclosures

For related party disclosures refer to Note 31 of the notes to standalone financial statements.

(h) Disclosure of Complaints

There are no complaints received by the NBFCs from customers and from the Offices of Ombudsman during the year ended 31 March, 2025 and 31 March, 2024.

38 Other RBI disclosures :

(i) Penalties imposed by RBI and Other Regulators: No penalties have been imposed by RBI and Other Regulators during current year.

(ii) Disclosure on frauds pursuant to RBI Master direction: No frauds were detected and reported for the current year and previous year.

(iii) Overseas assets: There are no overseas asset owned by the Company.

(iv) Drawdown from Reserves: The Company has not made any drawdown from existing reserves.

(v) Registration under Other Regulators: The Company is not registered under any other regulator other than Reserve Bank of India.

39 Other Statutory Information:

i) The Company does not own any immovable property as on the reporting date. Accordingly, the requirement of disclosure regarding title deeds held in the name of the Company is not applicable.

ii) The Company does not have any investment property; hence, the disclosure regarding valuation by a registered valuer is not applicable.

iii) The Company has not revalued its Property, plant and equipment during the year as well as in previous year.

iv) The Company does not have any intangible assets; hence, the disclosure regarding revaluation is not applicable.

v) The Company has not given any loans and advances to the KMP, promoters or related parties, either severally or jointly with another person, that are (i) repayable on demand or (ii) without specifying any terms or periods of repayment.

vi) The Company does not have any CWIP and Intangible asset under development.

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

viii) The Company has not been sanctioned any working capital limits from banks or financial institutions; hence, the disclosure is not applicable.

ix) The Company has not been declared willful defaulter by any bank or financial institution or government or government authority.

x) The Company does not have any transactions with companies struck off.

xi) The Company does not have any charge or satisfaction pending registration with ROC beyond the statutory period.

xii) The Company has complied with the number of layers prescribed under clause (87) of Section 2 of the Act read with Companies (Restriction on number of Layers) Rules, 2017.

xiii) The required analytical ratios, including CRAR, Tier I and Tier II CRAR, and Liquidity Coverage Ratio, have been disclosed in Note 35(a) to the financial statements.

xiv) No Scheme of Arrangement under sections 230 to 237 of the Companies Act, 2013 has been approved or implemented during the year; hence, this disclosure is not applicable.

xv) During the financial year ended 31 March 2025, other than the transactions undertaken in the normal course of business and in accordance with extant regulatory guidelines as applicable:

(i) 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.

(ii) 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 any 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."

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

xvii) The Company does not have any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments under the

Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961.

40 Previous year''s figures have been regrouped and rearranged wherever necessary to make them comparable with those of the current year''s figures.

41 The standalone financial statements have been approved by the Board of Directors of the Company on 27th May 2025 for issue to the shareholders for their adoption.

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Mar 31, 2024

3.8 Provisions, Contingent Liabilities and Contingent Assets

Provisions involving substantial degree of estimation in measurement are recognized when there is a legal or constructive obligation as a result of past events and it is probable that there will be an outflow of resources and a reliable estimate can be made of the amount of obligation. Provisions are not recognised for future operating losses. The amount recognized as a provision is the best estimate of the consideration required to settle the present obligation at the end of the reporting period, taking into account the risks and uncertainties surrounding the obligation.

Contingent liabilities are not recognized and are disclosed by way of notes to the standalone financial statements when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company or when there is a present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle the same or a reliable estimate of the amount in this respect cannot be made

Contingent assets are not recognised but disclosed in the standalone financial statements by way of notes to accounts when an inflow of economic benefits is probable.

3.9 Employee Benefits

"Employee benefits are accrued in the year in which services are rendered by the employees. Short term employee benefits are recognized as an expense inthe statement of profit and loss for the year in which the related service is rendered. "

3.10 Revenue

Revenue is recognised to the extent it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured.

Dividend income (including from FVOCI investments) is recognised when the Company’s right to receive the payment is established.

Under Ind AS 109 interest income is recorded using the Effective Interest Rate (EIR) method for all financial instruments measured at amortised cost, debt instrument measured at FVOCI and debt instruments designated at FVTPL. The EIR is the rate that exactly discounts estimated future cash receipts through the expected life of the financial instrument or, when appropriate, a shorter period, to the net carrying amount of the financial asset.

The EIR (and therefore, the amortised cost of the asset) is calculated by taking into account any discount or premium on acquisition, fees and costs that are an integral part of the EIR.

3.11 Taxes on Income

Income tax expense representing the sum of current tax expenses and the net charge of the deferred taxes is recognized in the Statement of Profit or Loss except to the extent that it relates to items recognized directly in equity or other comprehensive income.

Current tax is provided on the taxable income and recognized at the amount expected to be paid to or recovered from the tax authorities, using the tax rates and tax laws that have been enacted or substantively enacted by the end of the reporting period.

Deferred tax is recognized on temporary differences between the carrying amounts of assets and liabilities in the standalone financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognized for all taxable temporary differences. Deferred tax assets are generally recognized for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible temporary differences can be utilized.

Deferred tax liabilities and assets are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realized, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period.

The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the deferred tax asset to be utilized.

3.12 Earnings Per Share

Basic earnings per share are computed by dividing the net profit attributable to the equity holders of the company by the weighted average number of equity shares outstanding during the period. Diluted earnings per share is computed by dividing the net profit attributable to the equity holders of the company by the weighted average number of equity shares considered for deriving basic earnings per share and also the weighted average number of equity shares that could have been issued upon conversion of all dilutive potential equity shares.

4 Critical accounting judgments, assumptions and key sources of estimation and uncertainty

The preparation of the standalone financial statements in conformity with the measurement principle of Ind AS requires management to make estimates, judgments and assumptions. These estimates, judgments and assumptions affect the application of accounting policies and the reported amounts of assets and liabilities, the disclosures of contingent assets and liabilities at the date of the standalone financial statements and reported amounts of revenues and expenses during the period. Accounting estimates could change from period to period. Actual results could differ from those estimates. Appropriate changes in estimates are made as management becomes aware of changes in circumstances surrounding the estimates. Differences between the actual results and estimates are recognized in the year in which the results are known / materialized and, if material, their effects are disclosed in the notes to the standalone financial statements.

Application of accounting policies that require significant areas of estimation, uncertainty and critical judgments and the use of assumptions in the standalone financial statements have been disclosed below. The key assumptions concerning the future and other key sources of estimation uncertainty at the balance sheet date, that have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities within the next financial year are discussed below:

4.1 Current Tax and Deferred Tax

Significant judgment is required in determination of taxability of certain income and deductibility of certain expenses during the estimation of the provision for income taxes.

Deferred tax is recognized on temporary differences between the carrying amounts of assets and liabilities in the standalone financial statements and the corresponding tax bases used in the computation of taxable profit. 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.

4.2 Provisions and Contingencies

"Provisions and liabilities are recognized in the period when it becomes probable that there will be a future outflow of funds resulting from past operations or events and the amount of cash outflow can be reliably estimated. The timing of recognition and quantification of the liability requires the application of judgement to existing facts and circumstances, which can be subject to change. Management judgment is required for estimating the possible outflow of resources, if any, in respect of contingencies/claim/litigations/ against the Company as it is not possible to predict the outcome of pending matters with accuracy.

The carrying amounts of provisions and liabilities and estimation for contingencies are reviewed regularly and revised to take account of changing facts and circumstances."

16.2 Terms and Right attached to equity shareholders

The Company has only one class of equity share having par value of Rs. 10 per share. Each holder of equity share is entitled to one vote per share. The dividend proposed by the Board of Directors is subject to the approval of the Shareholders in the ensuing Annual General Meeting, except in case of interim dividend. The Shareholders have all other rights as available to equity Shareholders as per the provisions of the Companies Act, 2013, read together with the Memorandum and Articles of Association of the Company, as applicable.

16.3 Holding Company

In accordance with Section 2(87) (i) of the Companies Act, 2013 Paharpur Cooling Towers Limited is a Holding Company as it is deemed to control the Composition of the Board of Directors.

16.5 In respect of the year ended 31^st March 2024, the Board of Directors has proposed a final dividend of Rs. 90 per share to be paid on fully paid equity shares. This equity dividend is subject to approval by shareholders at the Annual General Meeting and has not been included as a liability in these standalone financial statements. The proposed equity dividend is payable to all holders of fully paid equity shares.

16.7 The company is an investment and credit company, the objective of the Company is to invest in long term investments, provide loan and distributing the profits of Company by way of dividends in a way that shareholders can participate equitably in the Company’s growth, while maintaining the financial foundation of the Company and ensure sustainable growth. Accordingly, the Company has framed various policies such as investment policy, dividend distribution policy which lays down the framework of company’s capital management.

16.8 For the period of five years immediately preceding the date as at which the Balance Sheet is prepared: - Aggregate of 69,500 equity shares bought back by the Company during the financial year 2020-2021.

17.1 Nature and purpose of reserves :

Special Reserve (in terms of Section 45-IC of Reserve Bank of India Act, 1934)

Special Reserve represents the reserve created pursuant to the Reserve Bank of India Act, 1934 (the "RBI Act") and related regulations applicable to those companies. Under the RBI Act, a Non Banking Financial Company is required to transfer an amount not less than 20% of its net profit to a reserve fund before declaring any dividend. Appropriation from this reserve fund is permitted only for the purposes specified by the RBI.

Capital Reserve

Capital Reserve is a reserve which is not free for distribution. The balance in this reserve has been created long ago.

Capital Redemption Reserve

Capital redemption reserve has been created consequent to buy back of equity shares. This reserve shall be utilised in accordance with the provisions of the Act.

General Reserve

The General Reserve is created from time to time by appropriating profits from Retained Earnings. The general reserve is created by a transfer from one component of equity to another. Accordingly, it is not reclassified to the statement of profit and loss.

Retained Earnings

Retained earnings represents the undistributed profits/ amount of accumulated earnings of the Company. Other Comprehensive Income

This reserve represents the cumulative gains and losses arising on the revaluation of equity instruments measured at fair value through other comprehensive income. The Company transfers amounts from this reserve to retained earnings when the relevant equity instruments are de-recognised as per the policy.

Fair Valuation Techniques

The fair values of the financial assets and liabilities are included at the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

The following methods and assumptions were used to estimate the fair values:

The fair value of cash and cash equivalents, trade payables, financial liabilities and assets approximate their carrying amount largely due to the short-term nature of these instruments. The management considers that the carrying amounts of financial assets and financial liabilities recognised at nominal cost/amortised cost in the financial statements approximate their fair values.

Measurement of fair values

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

Level II : other techniques for which all inputs which have a significant effect on the recorded fair value are observable, either directly or indirectly.

Level III : techniques which use inputs that have a significant effect on the recorded fair value that are not based on observable market data.

(i) The management assessed that fair value of cash and cash equivalents, trade receivables, trade payables, and other financial assets and liabilities approximate their carrying amounts largely due to the shortterm maturities of these instruments.

(ii) Financial assets and liabilities are stated at carrying value which approximates their fair value.

(iii) The fair values of the equity investment which are quoted, are derived from quoted market prices in active markets.

(iv) The fair value of the financial instruments that are not traded in an active market is determined using valuation techniques. The Company uses its judgment to select a variety of methods and make assumptions that are mainly based on market conditions existing at the end of each reporting period

(v) During the year ended 31st March 2024 there were no transfers between Level 1, Level 2 and Level 3. Financial Risk Management

The Company''s activities are exposed to variety of financial risks. The key financial risks includes market risk, credit risk and liquidity risk. The Company''s focus is to foresee the unpredictability of financial markets and seek to minimize potential adverse effects on its financial performance. The Board of Directors reviews and approves policies for managing these risks. The risks are governed by appropriate policies and procedures and

accordingly financial risks are identified, measured and managed in accordance with the Company’s policies and risk objectives.

Market Risk

Market risk is the risk or uncertainty arising from possible market fluctuations resulting in variation in the fair value of future cash flows of a financial instrument. The major components of Market risks are currency risk, interest rate risk and other price risk. Financial instruments affected by market risk includes investments and trade and other payables.

Interest rate risk

The company doesn''t have exposure in market risk relating to change in interest rate as it doesn''t have any borrowed funds whether in fixed rate or floating rate.

Price risk

(a) Exposure

The Company is exposed to price risk arising from investments in Equity Shares held by the company and is classified in the balance sheet as fair value through Other Comprehensive Income. The Company is also exposed to price risk arising from investments in Mutual Funds, Preference Shares and Debentures held by the company and is classified in the balance sheet as fair value through profit or loss. To manage its price risk arising from investments, the Company diversifies its portfolio.

(b) Sensitivity analysis- Equity price risk

The table below summaries the impact of increases/decreases of the index on the Company’s equity and profit for the year. The analysis is based on the assumption that the equity/index had increased by 2% or decreased by 2% with all other variables held constant, and that all the Company’s investments in equity instruments moved in line with the index.

Profit for the period would increase/decrease as a result of gains/losses on exchange traded funds equity securities classified as fair value through profit or loss, if any. Other components of equity would increase/ decrease as a result of gain/losses on equity securities classified as fair value through other comprehensive income.

Credit Risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss.

Financial assets that are neither past due nor impaired

Cash and cash equivalents, investment and deposits with banks are neither past due nor impaired. Cash and cash equivalents with banks are held with reputed and credit worthy banking institutions.

Liquidity Risk

Liquidity risk is defined as the risk that the Company will not be able to settle or meet its obligations on time or at a reasonable price. The Company''s objective is to maintain optimum level of liquidity to meet it''s cash and collateral requirements at all times. The company relies on internal accruals to meet its fund requirement.

Capital Management

The primary objective of the Company’s capital management is to ensure that it maintains a healthy capital ratio in order to support its business and maximise shareholder value. The Company’s objective when managing capital is to safeguard their ability to continue as a going concern so that they can continue to provide returns for shareholders and benefits for other stake holders. The Company is focused on keeping strong total equity base to ensure independence, security, as well as a high financial flexibility for potential future borrowings, if required without where the risk profile of the Company.

Since at present there is no borrowings obtained by the Company so Capital Gearing Ratio is not disclosed hereunder.

38 Other RBI disclosures :

(i) Penalties imposed by RBI and Other Regulators: No penalties have been imposed by RBI and Other Regulators during current year..

(ii) Disclosure on frauds pursuant to RBI Master direction: No frauds were detected and reported for the current year and previous year..

(iii) Overseas assets: There are no overseas asset owned by the Company..

(iv) Drawdown from Reserves: The Company has not made any drawdown from existing reserves.

(v) Registration under Other Regulators: The Company is not registered under any other regulator other than Reserve Bank of India.

39 Disclosure pursuant to Reserve Bank of India Circular DOR.No.BPBC.63/21.04.048/2020-21 dated 17 April 2020 pertaining to Asset Classiication and Provisioning in terms of COVID19 Regulatory Package and Circular DOR.No.BP BC/3/21.04.048/2020-21 dated 06 August 2020 pertaining to (Prudential Framework for Resolution of Stressed Assets) Directions 2019 is not applicable to the Company..

40. Other Statutory Information:

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

ii) The Company has not been declared willful defaulter by any bank or financial institution or government or government authority.

iii) The Company does not have any transactions with companies struck off.

iv) The Company does not have any charge or satisfaction pending registration with ROC beyond the statutory period.

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

vi) The Company has not advanced or given loan or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

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

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

viii) The Company does not have any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961.

41. Previous year''s figures have been regrouped and rearranged wherever necessary to make them comparable with those of the current year''s figures.

42. The standalone financial statements have been approved by the Board of Directors of the Company on 2^nd May 2024 for issue to the shareholders for their adoption.

As per our report of the even date attached For and on behalf of Board of Directors of

Industrial and Prudential Investment Company Limited

For S. Jaykishan

Chartered Accountants

Firm’s ICAI Registration No: 309005E

Ritesh Agarwal Gaurav Swamp Devina Swarup

Partner Chairman & Managing Director Director

M No: 062410 DIN: 00374298 DIN: 06831620

UDIN: 24062410BKCYMN8751 Arun Kumar Singhania Shilpishree Choudhary

Place: Kolkata Chief Financial Officer Company Secretary

Date: 2^nd May, 2024 ACS No.: 39659

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Mar 31, 2023

National Company Law Tribunal (‘NCLT’), Kolkata Bench, vide its Order dated 22 August 2022, approved the Scheme of Amalgamation (‘the Scheme’) between Industrial and Prudential Investment Company Limited (‘the Company’ or ‘the Transferee Company’) and New Holding and Trading Company Limited (‘the Transferor Company’), a wholly owned subsidiary of the Company, with effect from the ‘Appointed Date’ of ‘1 April 2021’. The aforesaid order of NCLT has been considered to give effect in the audited Standalone financial statements for year ended 31 March 2022, by transferring the carrying amount of assets and liabilities pertaining to the Transferor Company with effect from the Appointed Date. (Refer Note 40 for details).

Terms and Right attached to equity shareholders

The Company has only one class of equity share having par value of Rs. 10 per share. Each holder of equity share is entitled to one vote per share. The dividend proposed by the Board of Directors is subject to the approval of the Shareholders in the ensuing Annual General Meeting, except in case of interim dividend. The Shareholders have all other rights as available to equity Shareholders as per the provisions of the Companies Act, 2013, read together with the Memorandum and Articles of Association of the Company, as applicable.

Holding Company

In accordance with Section 2(87) (i) of the Companies Act, 2013 Paharpur Cooling Towers Limited is a Holding Company as it is deemed to control the Composition of the Board of Directors.

In respect of the year ended 31^st March 2023, the Board of Directors has proposed a final dividend of Rs. 60 per share to be paid on fully paid equity shares. This equity dividend is subject to approval by shareholders at the Annual General Meeting and has not been included as a liability in these standalone financial statements. The proposed equity dividend is payable to all holders of fully paid equity shares.

The company is an investment and credit company, the objective of the Company is to invest in long term investments, provide loan and distributing the profits of Company by way of dividends in a way that shareholders can participate equitably in the Company’s growth, while maintaining the financial foundation of the Company and ensure sustainable growth. Accordingly, the Company has framed various policies such as investment policy, dividend distribution policy which lays down the framework of company’s capital management.

For the period of five years immediately preceding the date as at which the Balance Sheet is prepared: - Aggregate of 69,500 equity shares bought back by the Company during the financial year 2020-2021.

Pursuant to clause 19 of the Scheme of Amalgamation, the authorized share capital (ASC) of transferee Company increased from Rs. 2,00,00,000 to Rs. 2,10,00,000/- (Rupees two crore ten lakhs) divided into 21,00,000 (twenty-one lakh) equity shares of Rs. 10/- (Rupees ten) each.

17.1 Nature and purpose of reserves :

Special Reserve (in terms of Section 45-IC of Reserve Bank of India Act, 1934)

Special Reserve represents the reserve created pursuant to the Reserve Bank of India Act, 1934 (the "RBI Act") and related regulations applicable to those companies. Under the RBI Act, a Non Banking Financial Company is required to transfer an amount not less than 20% of its net profit to a reserve fund before declaring any dividend. Appropriation from this reserve fund is permitted only for the purposes specified by the RBI.

Capital Reserve

Capital Reserve is a reserve which is not free for distribution. The balance in this reserve has been created long ago.

Capital Redemption Reserve

Capital redemption reserve has been created consequent to buy back of equity shares. This reserve shall be utilised in accordance with the provisions of the Act.

General Reserve

The General Reserve is created from time to time by appropriating profits from Retained Earnings. The general reserve is created by a transfer from one component of equity to another. Accordingly, it is not reclassified to the statement of profit and loss.

Retained Earnings

Retained earnings represents the undistributed profits/ amount of accumulated earnings of the Company. Other Comprehensive Income

This reserve represents the cumulative gains and losses arising on the revaluation of equity instruments measured at fair value through other comprehensive income. The Company transfers amounts from this reserve to retained earnings when the relevant equity instruments are de-recognised as per the policy.

Fair Valuation Techniques

The fair values of the financial assets and liabilities are included at the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

The following methods and assumptions were used to estimate the fair values:

The fair value of cash and cash equivalents, trade payables, financial liabilities and assets approximate their carrying amount largely due to the short-term nature of these instruments. The management considers that the

carrying amounts of financial assets and financial liabilities recognised at nominal cost/amortised cost in the financial statements approximate their fair values.

Investments traded in active market are determined by reference to the quotes from the Stock exchanges as at the reporting date. Investments in mutual funds have been valued based on their respective net asset value as on the reporting date.

Fair value hierarchy

The following table presents fair value hierarchy of assets and liabilities measured at fair value on a recurring basis as at balance sheet date:

Measurement of fair values

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

Level II: other techniques for which all inputs which have a significant effect on the recorded fair value are

observable, either directly or indirectly.

Level III: techniques which use inputs that have a significant effect on the recorded fair value that are not based

on observable market data.

(i) The management assessed that fair value of cash and cash equivalents, trade receivables, trade payables, and other financial assets and liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.

(ii) Financial assets and liabilities are stated at carrying value which approximates their fair value.

(iii) The fair values of the equity investment which are quoted, are derived from quoted market prices in active markets.

(iv) The fair value of the financial instruments that are not traded in an active market is determined using valuation techniques. The Company uses its judgment to select a variety of methods and make assumptions that are mainly based on market conditions existing at the end of each reporting period

(v) During the year ended 31^st March 2023 there were no transfers between Level 1, Level 2 and Level 3.

Financial Risk Management

The Company’s activities are exposed to variety of financial risks. The key financial risks includes market risk,

credit risk and liquidity risk. The Company’s focus is to foresee the unpredictability of financial markets and seek to minimize potential adverse effects on its financial performance. The Board of Directors reviews and approves policies for managing these risks. The risks are governed by appropriate policies and procedures and accordingly financial risks are identified, measured and managed in accordance with the Company’s policies and risk objectives.

Market Risk

Market risk is the risk or uncertainty arising from possible market fluctuations resulting in variation in the fair value of future cash flows of a financial instrument. The major components of Market risks are currency risk, interest rate risk and other price risk. Financial instruments affected by market risk includes investments and trade and other payables.

Interest rate risk

The company doesn’t have exposure in market risk relating to change in interest rate as it doesn’t have any borrowed funds whether in fixed rate or floating rate.

Price risk

(a) Exposure

The Company is exposed to price risk arising from investments in Equity Shares held by the company and is classified in the balance sheet as fair value through Other Comprehensive Income. The Company is also exposed to price risk arising from investments in Mutual Funds, Preference Shares and Debentures held by the company and is classified in the balance sheet as fair value through profit or loss. To manage its price risk arising from investments, the Company diversifies its portfolio.

(b) Sensitivity analysis- Equity price risk

The table below summaries the impact of increases/decreases of the index on the Company’s equity and profit for the year. The analysis is based on the assumption that the equity/index had increased by 2% or decreased by 2% with all other variables held constant, and that all the Company’s investments in equity instruments moved in line with the index.

Profit for the period would increase/decrease as a result of gains/losses on exchange traded funds equity securities classified as fair value through profit or loss, if any. Other components of equity would increase/ decrease as a result of gain/losses on equity securities classified as fair value through other comprehensive income.

Credit Risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss.

Financial assets that are neither past due nor impaired

Cash and cash equivalents, investment and deposits with banks are neither past due nor impaired. Cash and cash equivalents with banks are held with reputed and credit worthy banking institutions.

Liquidity Risk

Liquidity risk is defined as the risk that the Company will not be able to settle or meet its obligations on time or at a reasonable price. The Company''s objective is to maintain optimum level of liquidity to meet it''s cash and collateral requirements at all times. The company relies on internal accruals to meet its fund requirement.

Capital Management

The primary objective of the Company’s capital management is to ensure that it maintains a healthy capital ratio in order to support its business and maximise shareholder value. The Company’s objective when managing capital is to safeguard their ability to continue as a going concern so that they can continue to provide returns for shareholders and benefits for other stake holders. The Company is focused on keeping strong total equity base to ensure independence, security, as well as a high financial flexibility for potential future borrowings, if required without where the risk profile of the Company.

Since at present there is no borrowings obtained by the Company so Capital Gearing Ratio is not disclosed hereunder.

28. The Company has Ind AS 108 establishes standards for the way that public business enterprises report information about operating segments and related disclosures about products and services, geographic areas, and major customers. The Company is mainly engaged in the investing and credit business and all other activities revolve around the main business of the Company. Further, all activities are conducted within India and as such there is no separate reportable segment, as per the Ind AS 108 - “Operating Segments” specified under Section 133 of the Act.

29 Contingent Liabilities and Commitments:			(Rs in thousand)
	Particulars	As at 31st March 2023	As at 31st March 2022
	Investments partly paid - Equity Shares of Rs.5 each in Bharti Airtel Ltd (Rs. 1.25 per share paid up)	5,13,59	5,13,59

31.2 National Company Law Tribunal (‘NCLT’), Kolkata Bench, vide its Order dated 22 August 2022, approved the Scheme of Amalgamation (‘the Scheme’) between Industrial and Prudential Investment Company Limited (‘the Company’ or ‘the Transferee Company’) and New Holding and Trading Company Limited (‘the Transferor Company’), a wholly owned subsidiary of the Company, with effect from the ‘Appointed Date’ of ‘1 April 2021’. The aforesaid order of NCLT has been considered to give effect in the audited Standalone financial statements for year ended 31 March 2022, by transferring the carrying amount of assets and liabilities pertaining to the Transferor Company with effect from the Appointed Date. (Refer Note 40 for details).

35 The following additional information, to the extent applicable, (other than what is already disclosed elsewhere) is disclosed in terms of Master Direction DNBR. PD. 007/03.10.119/2016-17 dated September 01, 2016, as amended. Further additional disclosures in terms of Scale Based regulation framework (Circular No. RBI/2021-22/112 DOR.CRE.REC.No.60/03.10.001/2021-22 October 22, 2021) are also disclosed below”

(f) Unhedged foreign currency exposure

The Company does not have any unhedged foreign currency exposures as at 31 March, 2023 and 31 March, 2022.

(g) Related Party Disclosures

For related party disclosures refer to Note 31 of the notes to standalone financial statements.

(h) Disclosure of Complaints

There are no complaints received by the NBFCs from customers and from the Offices of Ombudsman during the year ended 31 March, 2023 and 31 March, 2022.

36 Disclosure pursuant to Reserve Bank of India notification DOR (NBFC).CC.PD.No.109/22.10.106/2019-20 pertaining to Asset Classification as per RBI Norms:

38 Other RBI disclosures :

(i) Penalties imposed by RBI and Other Regulators: No penalties have been imposed by RBI and Other Regulators during current year.

(ii) Disclosure on frauds pursuant to RBI Master direction: No frauds were detected and reported for the current year and previous year.

(iii) Overseas assets: There are no overseas asset owned by the Company.

(iv) Drawdown from Reserves: The Company has not made any drawdown from existing reserves.

(v) Registration under Other Regulators: The Company is not registered under any other regulator other than Reserve Bank of India.

39 Disclosure pursuant to Reserve Bank of India Circular DOR.No.BP.BC.63/21.04.048/2020-21 dated 17 April 2020 pertaining to Asset Classiication and Provisioning in terms of COVID19 Regulatory Package and Circular DOR.No.BP BC/3/21.04.048/2020-21 dated 06 August 2020 pertaining to (Prudential Framework for Resolution of Stressed Assets) Directions 2019 is not applicable to the Company.

40. Business Combination- Scheme of Amalgamation

(a) National Company Law Tribunal (‘NCLT’), Kolkata Bench, vide its Order dated 22 August 2022, approved the Scheme of Amalgamation (‘the Scheme’) between Industrial and Prudential Investment Company Limited (‘the Company’ or ‘the Transferee Company’) and New Holding and Trading Company Limited (‘the Transferor Company’), a wholly owned subsidiary of the Company, with effect from the ‘Appointed Date’ of ‘1 April 2021’. The aforesaid order of NCLT has been considered to give effect in the audited

Standalone financial statements for year ended 31 March 2022, by transferring the carrying amount of assets and liabilities pertaining to the Transferor Company with effect from the Appointed Date.

(b) Accrodingly, the audited Standalone financial statements for the year ended 31 March 2022, have been restated by the Company after recognising the effect of the merger from the appointed date by transferring at their book value as per the Order, as appearing in the books of the Transferor Company. The details of assets and liabilities transferred to the Transferree Company are as under:

(d) Pursuant to the Scheme, all equity shares of the transferor company held by the transferee company shall stand cancelled without any further application, act or deed. Further, no new shares shall be issued, or payment made in cash whatsoever by the transferee company in lieu of shares of the transferor company.

(e) The transactions pertaining to the transferred business from the appointed date upto the effective date of the scheme have been deemed to be made by the transferee company.

(f) As per scheme, with effect from the appointed date and upon the scheme becoming effective, all debts, liabilities, contingent liabilities, duties and obligations shall be deemed to be the debts, liabilities, contingent liabilities, duties and obligations of transferee company.

41 Other Statutory Information:

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

ii) The Company has not been declared willful defaulter by any bank or financial institution or government or government authority.

iii) The Company does not have any transactions with companies struck off.

iv) The Company does not have any charge or satisfaction pending registration with ROC beyond the statutory period.

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

vi) The Company has not advanced or given loan or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

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

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

viii) The Company does not have any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961.

42 Previous year’s figures have been regrouped and rearranged wherever necessary to make them comparable with those of the current year’s figures.

43 The standalone financial statements have been approved by the Board of Directors of the Company on 18^th May 2023 for issue to the shareholders for their adoption.

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Mar 31, 2018

Notes Forming Part of the Financial Statements for the year ended 31st March, 2018

2.8 OTHER NON CURRENT ASSETS		In Rs. thousand
Particulars		As at
	31st March 2018	31st March 2017
Security deposit	7	7
	7	7

2.9 CASH AND CASH EQUIVALENTS

Particulars		As at
	31st March 2018	31st March 2017
Cash and Cash Equivalents In current account with Banks	41,92	1,84,31
Cash on Hand (Previous Year denotes balance less than ? 500)	-	0
Earmarked balance with Banks in Dividend Accounts	77,27	65,41
	1,19,19	2,49,72

2.10 SHORT TERM LOANS AND ADVANCES

Particulars		As at
	31st March 2018	31st March 2017
UNSECURED (CONSIDERED GOOD)
Advance Income Tax (Net of Provision)	17,05	-
MAT Credit Entitlement	46	20,78
Balances with Government Authorities	-	29
Others	35,65	-
	53,16	21,07

2.10.1. Entitlement credit in respect of Minimum Alternate Tax (MAT) amounting to Rs. 40,00 thousand (Previous year Rs. 31,00 thousand) has not been recognised in these financial statements considering the concept of prudence and convincing evidence of realisation thereof during the specified period.

2.11 OTHER CURRENT ASSETS		In Rs. thousand
Particulars		As at
	31st March 2018	31st March 2017
UNSECURED (CONSIDERED GOOD) Dividend Receivable		1,49
	-	1,49

2.12 REVENUE FROM OPERATIONS
Particulars	For the year ended
	31st March 2018	31st March 2017
Dividend Income
- Long Term	6,32,46	5,91,53
Income from Mutual Fund	-	4,97
Interest Income on debenture	22	22
Profit on sale of Long Term Investments	2,31,87	2,11,45
Provision for diminution in the value of Investments written back	49,98	-
Sale of right entitlements (Refer Note No: 2.1 2.1)	4,94	-
	9,19,47	8,08,17

2.12.1: represents proceeds from sale of entitlements of equity shares in The Indian Hotels Company Limited and Tata Steel Limited.

2.13 OTHER INCOME
Particulars	For the year ended
	31st March 2018	31st March 2017
Miscellaneous Income	1,05	5,96
	1,05	5,96

2.14 OTHER EXPENSES

Particulars	For the year ended
	31st March 2018	31st March 2017
Repair & Maintainence	2,34	2,44
Rates & Taxes	2,88	2,73
Directors'' Fees	2,15	3,00
Commission to Directors	6,00	6,00
Corporate Social Responsiblity	13,25	11,00
Expense of Mutual Fund Scheme	-	8,20
Service charges and fees	12,90	16,11
Priniting & Stationery	2,32	3,25
Miscellaneous expenses	16,15	18,77
	57,99	71,50

Notes forming part of then financial statements for the Financial Year ended 31st March 2018 Note No 2.15: Contingent Liabilities and commitments (to the extent not provided for)

Claim against the Company not acknowledged as debt: NIL Note No 2.16: Proposed Dividend

In respect of the year ended March 31,2018, the Board of Directors has proposed a final dividend of Rs 25.00 per share be paid on fully paid equity shares. This equity dividend is subject to approval by shareholders at the Annual General Meeting and has not been included as a liability in these financial statements. The proposed equity dividend is payable to all holders of fully paid equity shares. The total estimated equity dividend to be paid is Rs. 4,36,33 thousand and the dividend distribution tax thereon amounts to Rs. 88,83 thousand.

Note No 2.17: Segment Reporting

The investment activity is considered as a single activity in accordance with the Accounting Standard (AS-17) "Segment Reporting"

Note No 2.18: Related Party Disclosure

A. Name of the related party and nature of relationship where control exists:

Name of the Related Party	Nature of Relationship
Paharpur Cooling Towers Limited	Holding Company
New Holding &Trading Company Limited	Subsidiary Company
Key Managerial Personnel	Mr Gaurav Swarup - Managing Director Mr A K Singhania - Chief Financial Officer Mr Ayan Datta - Company Secretary
Mrs. Gyan Mahendra Swarup Mrs Bindu Swarup Mrs Parul Swarup MrVikram Swarup Ms Devina Swarup Mr Varun Swarup	Relatives of Key Management Personnel
KSB Pumps Limited	Associate Company
Paharpur Corporation Limited Melvin Powell Vanaspati & Engineering Industries Limited.	Enterprise over which Key Managerial Personnel having significant influence

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Mar 31, 2017

1: Contingent Liabilities and commitments (to the extent not provided for)

Claim against the Company not acknowledged as debt: NIL

2: Proposed Dividend

The Board of Directors, for the current year has recommend a Dividend of Rs.25 per share.

3: Segment Reporting

The investment activity is considered as a single activity in accordance with the Accounting Standard (AS-17) “Segment Reporting”

4. There is no provision for doubtful debts as at the end of the year in respect of related parties.

5. There are no amounts written off or written back during the year in respect of debts due from or to related parties.

c) Previous year figures are shown within brackets.

6: Earning per Share

7. The amount used as the numerator in calculating basic and diluted earnings per share is the Net Profit for the year disclosed in the Profit and Loss account.

8. The weighted average number of equity shares used as denominator in calculating both basic and diluted earnings per share is 17,45,340 (Previous Year 5,81,780)

9: Employee Benefits

Employee Benefits expenses includes provision for gratuity Rs. 3,68.80 (Previous Year Rs. 4,91.00)

10. Corporate Social Responsibility

The Company had provided Rs. 11,00 (Previous Year Rs. 11,25) towards expenditure on Corporate Social Responsibility Activities.

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Mar 31, 2016

(b) Terms and Rights attached to equity shareholders

The Company has only One class of Equity Shares having par value of Rs. 10/- per share. Each holder of equity shares is entitled to one vote per share. The dividend proposed by the Board of Directors is subject to the approval of the Shareholders in the ensuing Annual General Meeting, except in case of interim dividend. The Share holders have all other right as available to Equity Shareholders as per the provisions of the Companies Act, 2013, read together with the Memorandum and Articles of Association of the Company, as applicable.

(c) Holding Company

In accordance with Section 2(87) (i) of the Companies Act, 2013 Paharpur Cooling Towers Limited is a Holding Company as it is deemed to control the Composition of the Board of Directors.

NOTE - 1 — PROPOSED DIVIDEND

The Board of Directors for the current year recommend a Dividend of Rs. 100 per share including Rs.45 per share as jubilee dividend (Previous years Rs. 55 per share).

NOTE - 2

The investment activity is considered as a single segment in accordance with the Accounting Standard (AS-17) “Segment Reporting”.

NOTE - 3 Earnings per Share

(a) The amount used as the numerator in calculating basic and diluted earnings per share is the Net Profit for the year disclosed in the Profit and Loss Account.

(b) The weighted average number of equity shares used as the denominator in calculating both basic and diluted earnings per share is 5,81,780 (Previous year 5,81,780).

NOTE - 4

Employee benefits expenses includes Rs.9,000 (Previous year Rs.9,000) incurred on staff welfare and provision for gratuity Rs. 4,91,000 (Previous year Rs. 18,46,000)

NOTE - 5

The Company has provided Rs. 11,25,000 (Previous year Rs. 10,00,000) towards expenditure on Corporate Social Responsibility Activities.

NOTE - 6

Previous year figures have been regrouped wherever necessary to conform current year classification.

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Mar 31, 2015

1. SHARE CAPITAL

(a) Terms and Rights attached to equity shareholders

The Company has only One class of Equity Shares having par value of Rs. 10/- per share. Each holder of equity shares is entitled to one vote per share. The dividend proposed by the Board of Directors is subject to the approval of the Shareholders in the ensuing Annual General Meeting, except in case of interim dividend. The Share holders have all other right as available to Equity Shareholders as per the provisions of the Companies Act, 2013, read together with the Memorandum and Articles of Association of the Company, as applicable.

(b) Holding Company

In accordance with Section 2(87) (i) of the Companies Act, 2013 Paharpur Cooling Towers Limited is a Holding Company as it is deemed to control the Composition of the Board of Directors.

2. CONTINGENT LIABILITIES AND COMMITMENTS As on As on 31-03-2015 31-03-2014

Contingent liabilities not provided for fixed asset (Net of Advances): 90 — Commitments:

Other Commitments — —

TOTAL 90 —

3.The Board of Directors for the current year recommend a Dividend of Rs.55 per share (Previous year Rs. 55 per share).

4.The investment activity is considered as a single segment in accordance with the Accounting Standard (AS-17) "Segment Reporting."

5.Related Party Disclosures:

A. Name of the related party and nature of relationship where control exists:

Name of the Party Nature of Relationship

Paharpur Cooling Towers Ltd. (Refer Note Holding Company No 2(c))

New Holding and Trading Company Limited Subsidiary Company

NOTES: (i) There is no provision for doubtful debts as at the end of the year in respect of related parties.

(ii) There are no amounts written off or written back during the year in respect of debts due from or to related parties.

(iii) Previous Year figures are shown within Brackets.

(iv) The related parties included in the various categories above, where transactions have taken place are given below:

Holding Company Paharpur Cooling Towers Limited

Key Management Personnel Mr. Gaurav Swarup - Managing Director Mr. A. Singhania - Chief Financial Officer Mr. Hirak Ghosh - Company Secretary

Relatives of Key Mrs. Bindu Swarup Management Personnel Mrs. Gyan Swarup Mrs. Parul Swarup Mr. Vikram Swarup

Associate Company KSB Pumps Limited

Enterprises over which Paharpur Corporation Limited Key management personnel Melvin Powell Vanaspati & Engineering having significant influence Industries Limited over the reporting enterprise exercise significant influence.

6.Earnings per Share

(a) The amount used as the numerator in calculating basic and diluted earnings per share is the Net Profit for the year disclosed in the Profit and Loss Account.

(b) The weighted average number of equity shares used as the denominator in calculating both basic and diluted earnings per share is 5,81,780.

7.Employee benefits expenses includes Rs.9/- (Previous year Rs. 7/-) incurred on staff welfare and provision for gratuity Rs.1846 (Previous year Rs. Nil).

8.The Company has provided Rs. 1000 thousands (Previous year Nil) towards expenditure on Corporate Social Resposibility Activities.

9.Previous year figures have been regrouped wherever necessary to conform current year classification.

---

Mar 31, 2014

1. Terms and Rights attached to equity shareholders

The Company has only One class of Equity Shares having par value of Rs. 10/- per share. Each holder of equity shares is entitled to one vote per share. The dividend proposed by the Board of Directors is subject to the approval of the Shareholders in the ensuing Annual General Meeting, except in case of interim dividend. The Share holders have all other right as available to Equity Shareholders as per the provisions of the Companies Act, 1956, read together with the Memorandum and Articles of Association of the Company, as applicable.

NOTE - 2 - CONTINGENT LIABILITIES As at As at AND COMMITMENTS 31-03-2014 31-03-2013

Contingent liabilities not provided for: --- --- Commitments:

Purchase of Units of Mutual Fund --- 6,000

Other Commitments --- ---

TOTAL --- 6,000

NOTE - 3 Earnings per Share

(a) The amount used as the numerator in calculating basic and diluted earnings per share is the Net Profit for the year disclosed in the Profit and Loss Account.

(b) The weighted average number of equity shares used as the denominator in calculating both basic and diluted earnings per share is 5,81,780.

NOTE - 4

Employee benefits expenses includes Rs. 9 thousand (Previous year Rs. 7 thousand) Incurred on staff welfare.

NOTE - 5

During the previous year, the Company has settled a claim for fraudulent transfer of shares of the Company.

NOTE - 6

The Company has recognised the MAT Credit during the year to the extent of virtual certainity of taxable income in accordance with the prevailing tax laws.

NOTE - 7

Disclosures as per the revised Schedule VI has been given to the extent those are applicable to the Company.

NOTE - 8

Previous year figures have been regrouped wherever necessary to conform current year classification.

---

Mar 31, 2013

As at As at 31-03-2013 31-03-2012

NOTE - 1

CONTINGENT LIABILITIES AND COMMITMENTS

Contingent liabilities not provided for:

Commitments:

Purchase of Units of Mutual Fund 6,000

TOTAL 6,000

NOTE - 2

The investment activity is considered as a single segment in accordance with the Accounting Standard (AS-17) "Segment Reporting."

NOTE - 3

Earnings per Share

(a) The amount used as the numerator in calculating basic and diluted earnings per share is the Net Profit for the year disclosed in the Profit and Loss Account.

(b) The weighted average number of equity shares used as the denominator in calculating both basic and diluted earnings per share is 5,81,780.

NOTE - 4

Employee benefits expenses includes Rs. II- (Previous year Rs. 7/-) Incurred on staff welfare.

NOTE - 5

During the year, the Company has settled a claim for fraudulent transfer of shares of the Company.

NOTE - 6

The Company has recognised the MAT Credit during the year to the extent of virtual certainity of taxable income in accordance with the tax laws.

NOTE - 7

Disclosures as per the revised Schedule VI has been given to the extent those are applicable to the Company.

NOTE - 8

Previous year figures have been regrouped wherever necessary to conform current year classification.

---

Mar 31, 2012

NOTE - 1

Earnings per Share

(a) The amount used as the numerator in calculating basic and diluted earnings per share is the Net Profit for the year disclosed in the Profit and Loss Account.

(b) The weighted average number of equity shares used as the denominator in calculating both basic and diluted earnings per share is 581780.

NOTE - 2

Employee benefits expenses includes Rs. 7 Incurred on staff welfare.

NOTE - 3

Previous year figures have been regrouped wherever necessary to conform current year classification in accordance with revised Schedule VI to the Companies Act, 1956.

---

Mar 31, 2011

1. Contingent liabilities not provided for in respect of:

(i) Disputed Taxation Matters Rs. Nil (Previous year Rs. NIL ).

(ii) In respect of Shares partly paid-up Rs. 8,34,000 (Previous year Rs. 52,500/-)

(iii) Liability in respect of disputed property tax levied by Brihanmumbai Mahanagarpalika on the Society where in the Company is a member, the amount of which is not ascertainable.

2. The investment activity is considered as a single segment in accordance with the Accounting Standard (AS-17) "Segment Reporting".

3. Related Party Disclosure :

A. Name of the related party and nature of relationship where control exists : (As certified by the management.)

Name of the Party Nature of Relationship

New Holding and Trading Company Limited Subsidiary Company

Subsidiary Company New Holding And Trading Company Limited

Key Management Personnel Mr. A. V. Setalvad

Mr. A. R. Broacha

Relatives of Key Management Personnel. Mr. H. V. Setalvad Mrs. J. A. Setalvad

Individuals having significant influence over the enterprise. Mr. V. C. Vaidya Mr. Gaurav Swarup Mr. Vikram Swarup

Relatives of individual having significant influence over the enterprise. Mr. Mahendra Swarup Mrs. Bindu Swarup Mr. Gyan Swarup Mr. Parul Swarup

Enterprise over which key Management Personnel exercise significant influence. KSB Pumps Limited

Enterprises over which Individuals having significant influence over the reporting enterprise exercise significant influence. Paharpur Cooling Towers Limited

Paharpur Corporation Limited

Melvin Powell Vanaspati & Engineering Industries Limited

4. Earnings per Share

(a) The amount used as the numerator in calculating basic and diluted earnings per share is the Net Profit for the year disclosed in the Profit and Loss Account.

(b) The weighted average number of equity shares used as the denominator in calculating both basic and diluted earnings per share is 581780.

5. Previous year figures have been regrouped wherever necessary to conform current year classification.

---

Mar 31, 2010

1. Contingent liabilities not provided for in respect of:

(I) Disputed Taxation Matters Rs.Nil (Previous year Rs. 8,50,373/-). (ii) In respect of Shares partly paid-up Rs. 47,250/- (Previous year Rs. Nil)

2. The investment activity is considered as a single segment in accordance with the Accounting Standard (AS-17) "Segment Reporting".

3. Related Party Disclosures:

A. Name of the related party and nature of relationship where control exists:

Name of the Party Nature of Relationship

New Holding and Trading Company Limited Subsidiary Company

4. Earnings per Share

(a) The amount used as the numerator in calculating basic and diluted earnings per share is the Net Profit for the yeardisclosed in the Profit and Loss Account.

(b) The weighted average number of equity shares used as the denominator in calculating both basic and diluted earnings per share is 581780.

5 Previous years figures have been regrouped wherever necessary to conform current years classification.