Accounting Policies of Nahar Capital & Financial Services Ltd. Company

Mar 31, 2025

2. Summary of significant accounting policies

The financial statements have been prepared using the significant accounting policies and measurement bases
summarised as below. These policies are applied consistently for all the periods presented in the financial
statements, except where the Company has applied certain accounting policies and exemptions upon transition to
Ind AS.

a) Basis of preparation

(i) Statement of compliance with Indian Accounting Standards (Ind AS)

These standalone financial statements (“the Financial Statements”) have been prepared in accordance with
the Indian Accounting Standards (''Ind AS'') as notified by Ministry of Corporate Affairs (''MCA'') under Section
133 of the Companies Act, 2013 (''Act'') read with the Companies (Indian Accounting Standards) Rules, 2015,
as amended and other relevant provisions of the Act. The Company has uniformly applied the accounting
policies for the periods presented in this financial statements.

The financial statements for the year ended March 31,2025 were authorized and approved for issue by the
Board of Directors on 28May 2025.

(ii) Accounting Convention

The financial statements have been prepared on going concern basis in accordance with accounting
principles generally accepted in India. Further, the financial statements have been prepared on historical cost
basis except for certain financial assets and financial liabilities and share based payments which are
measured at fair values as explained in relevant accounting policies.

(iii) Rounding of amounts

All amounts disclosed in the financial statements and notes have been rounded off to the nearest lakhs as per
the requirement of the schedule III unless otherwise stated.

b) Property, plant and equipment
Recognition and initial measurement

Property, plant and equipment are stated at their cost of acquisition. The cost comprises purchase price including
any import duties and other taxes (non refundable), freight, borrowing cost if capitalization criteria are met and
directly attributable cost of bringing the asset to its working condition for the intended use. Any trade discount and
rebates are deducted in arriving at the purchase price. Subsequent costs are included in the asset''s carrying
amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits
associated with the item will flow to the Company and the cost of the item can be measured reliably. All other repair
and maintenance costs are recognised in statement of profit or loss as incurred.

Subsequent measurement (depreciation method, useful lives and residual value)

Property, plant and equipment are subsequently measured at cost less accumulated depreciation and impairment
losses. Cost of acquisition is inclusive of freight, duties, taxes (non refundable) and other incidental expenses.
Depreciation on property, plant and equipment is provided on the straight-line basis as per the rates specified in
Schedule II of the Companies Act, 2013.

Depreciation is calculated on pro rata basis from the date on which the asset is ready for use till the date the asset
is sold or disposed.

The residual values, useful lives and method of depreciation are reviewed at the end of each financial year.

The Company fully depreciates the assets having individual value of Rs. 5,000 or less in the year of acquisition.
De-recognition

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

Capital work-in-progress

Capital work-in-progress are carried at cost, comprising direct cost, related incidental expenses and advances
paid to acquire property, plant and equipment. Assets which are not ready to use are also shown under capital
work-in-progress.

Transition to Ind AS

The Company had elected to measure all its property, plant and equipment at the previous GAAP carrying amount
as its deemed cost on the date of transition of Ind AS i.e. April 1,2017.

c) Investment Property

Properties held to earn rentals or / and for capital appreciation or both but not for sale in the ordinary course of
business, use in the production or supply of goods or services or for administrative purposes, are categorized as
investment properties. These are measured initially at cost of acquisition, including transaction costs and other
direct costs attributable to bringing asset to its working condition for intended use. Subsequent to initial
recognition, investment properties are stated at cost less accumulated depreciation and accumulated impairment
loss, if any. The cost shall also include borrowing cost if the recognition criteria are met. Said assets are
depreciated on straight line basis based on expected life span of assets which is in accordance with Schedule II of
the Act. However, as per Ind AS 40, there is a requirement to disclose fair value as at the balance sheet date.

d) Intangible assets

Recognition and initial measurement

Intangible assets are stated at their cost of acquisition. The cost comprises purchase price including any import
duties and other taxes (non refundable), borrowing cost if capitalization criteria are met and directly attributable
cost of bringing the asset to its working condition for the intended use.

Subsequent measurement (amortisation method, useful lives and residual value)

Intangible assets are amortised over a period of 3 years from the date when the assets are available for use. The
estimated useful life (amortisation period) of the intangible assets is arrived basis the expected pattern of
consumption of economic benefits and is reviewed at the end of each financial year and the amortisation period is
revised to reflect the changed pattern, if any.

Transition to Ind AS

The Company had elected to measure all its intangible assets at the previous GAAP carrying amount as its
deemed cost on the date of transition of Ind AS i.e. April 1,2017.

e) Inventories

Inventories represent Real Estate Properties held for trading and these are measured at Fair Value in the books of
accounts.

f) Revenue recognition
Interest income

Interest income is recorded on accrual basis using the Effective Interest Rate (EIR) method. Additional
interest/overdue interest/penal charges, if any, are recognised only when it is reasonable certain that the ultimate
collection will be made.

Dividend income

Dividend income is recognised at the time when the right to receive is established by the reporting date.
Investment Income

Profit/Loss on Sale of investments is recognised at the time of sale/redemption.

Rental income

Rental Income is accounted for on accrual basis.

Commission income

Income from business correspondent services is recognised as and when the services are rendered as per agreed
terms and conditions of the contract.

Miscellaneous income

All other income is recognized on an accrual basis, when there is no uncertainty in the ultimate
realization/collection.

g) Borrowing costs

Borrowing costs that are directly attributable to the acquisition and/or construction of a qualifying asset, till the time
such qualifying assets become ready for its intended use, are capitalised. Borrowing cots consists of interest and
other cost that the Company incurred in connection with the borrowing of funds. A qualifying asset is one that
necessarily takes substantial period of time to get ready for its intended use. All other borrowing costs are charged
to the Statement of Profit and Loss as it is incurred basis using the effective interest rate method.

h) Taxation

Tax expense recognized in Statement of Profit and Loss comprises the sum of deferred tax and current tax except
to the extent it is recognized in other comprehensive income or directly in equity.

Current tax comprises the tax payable or receivable on taxable income or loss for the year and any adjustment to
the tax payable or receivable in respect of previous years. Current tax is computed in accordance with relevant tax
regulations. The amount of current tax payable or receivable is the best estimate of the tax amount expected to be
paid or received after considering uncertainty related to income taxes, if any. Current income tax relating to items
recognised outside profit or loss is recognised outside profit or loss (either in other comprehensive income or in
equity).

Current tax assets and liabilities are offset only if there is a legally enforceable right to set off the
recognisedamounts, and it is intended to realise the asset and settle the liability on a net basis or simultaneously.
Minimum alternate tax (''MAT'') credit entitlement is recognised as an asset only when and to the extent there is
convincing evidence that normal income tax will be paid during the specified period. In the year in which MAT credit
becomes eligible to be recognised as an asset, the said asset will be created by way of a credit to the Statement of
Profit and Loss and shown as MAT credit entitlement. This is reviewed at each balance sheet date and the carrying
amount of MAT credit entitlement is written down to the extent it is not reasonably certain that normal income tax
will be paid during the specified period.

Deferred tax is recognised in respect of temporary differences between carrying amount of assets and liabilities for
financial reporting purposes and corresponding amount used for taxation purposes. Deferred tax assets are
recognised on unused tax loss, unused tax credits and deductible temporary differences to the extent it is probable
that the future taxable profits will be available against which they can be used. This is assessed based on the
Company''s forecast of future operating results, adjusted for significant non-taxable income and expenses and
specific limits on the use of any unused tax loss. Unrecognised deferred tax assets are re-assessed at each
reporting date and are recognised to the extent that it has become probable that future taxable profits will allow the
deferred tax asset to be recovered.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the
asset is realised or the liability is settled, based on tax rates (and tax laws) that have been enacted or substantively
enacted at the reporting date. The measurement of deferred tax reflects the tax consequences that would follow
from the manner in which the Company expects, at the reporting date to recover or settle the carrying amount of its
assets and liabilities. Deferred tax assets and liabilities are offset only if there is a legally enforceable right to set off
the recognised amounts, and it is intended to realise the asset and settle the liability on a net basis or
simultaneously. Deferred tax relating to items recognised outside statement of profit and loss is recognised
outside statement of profit or loss (either in other comprehensive income or in equity).

i) Employee benefits
Short-term employee benefits

Liabilities for wages and salaries, including non-monetary benefits, if any, that are expected to be settled wholly

within 12 months after the end of the period in which the employees render the related service are recognised in
respect of employees services up to the end of the reporting period and are measured at the amounts expected to
be paid when the liabilities are settled.

Other long term employee benefit obligations:

The liabilities, if any, which needs to be settled after 12 months from the end of the period in which the employees
render the related services are measured as the present value of expected future payments to be made in respect
of services provided by employees up to the end of reporting period using the projected unit credit method.

Post-employment obligations:

The liability or asset recognised in the balance sheet in respect of defined benefit gratuity plans is the present
value of the defined benefit obligations at the end of the reporting period less the fair value of plan assets. The
defined benefit obligation is calculated annually by actuaries using the projected unit credit method.
Re-measurement gains and losses arising from experience adjustments and changes in actuarial assumptions
are recognised in the period in which they occur, directly in other comprehensive income. They are included in
retained earnings in the statement of changes in equity and in the balance sheet.

Defined contribution plans

Contribution to Provident Fund is made in accordance with the provisions of the Employees Provident Fund and
Miscellaneous Provisions Act, 1952 and is charged to the Statement of Profit and Loss.

j) Impairment of non-financial assets
Loan Assets

At each reporting date, the Company assesses whether there is any indication that an asset may be impaired. If
any such indication exists, the Company estimates the recoverable amount of the asset. Recoverable amount is
higher of an asset''s net selling price and its value in use. If such recoverable amount of the asset or the recoverable
amount of the cash generating unit to which the asset belongs is less than its carrying amount, the carrying amount
is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recognised in the
Statement of Profit and Loss. If at the reporting date there is an indication that if a previously assessed impairment
loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount.
Compensation for impairment

Compensation from third parties for items of property, plant and equipment that were impaired, lost or given up are
recognised in statement of profit and loss when the compensation becomes receivable.

k) Impairment of financial assets
Loan assets

The Company follows a ''three-stage'' model for impairment based on changes in credit quality since initial
recognition as summarised below:

• Stage 1 includes loan assets that have not had a significant increase in credit risk since initial recognition or that
have low credit risk at the reporting date.

• Stage 2 includes loan assets that have had a significant increase in credit risk since initial recognition but that do
not have objective evidence of impairment.

• Stage 3 includes loan assets that have objective evidence of impairment at the reporting date.

• The Expected Credit Loss (ECL) is measured at 12-month ECL for Stage 1 loan assets and at lifetime ECL for
Stage 2 and Stage 3 loan assets ECL is the product of the Probability of Default, Exposure at Default and Loss
Given Default, defined as follows:

Probability of Default (PD) - The PD represents the likelihood of a borrower defaulting on its financial obligation
(as per “Definition of default and credit-impaired” above), either over the next 12 months (12 months PD), or over
the remaining lifetime (Lifetime PD) of the obligation.

Loss Given Default (LGD) - LGD represents the Company''s expectation of the extent of loss on a defaulted
exposure. LGD varies by type of counterparty, type and preference of claim and availability of collateral or other
credit support.

Exposure at Default (EAD) - EAD is based on the amounts the Company expects to be owed at the time of
default. For a revolving commitment, the Company includes the current drawn balance plus any further amount
that is expected to be drawn up to the current contractual limit by the time of default, should it occur.

Forward-looking economic information (including management overlay) is included in determining the 12-month
and lifetime PD, EAD and LGD. The assumptions underlying the expected credit loss are monitored and reviewed
on an ongoing basis.

Other financial assets

In respect of its other financial assets, the Company assesses if the credit risk on those financial assets has
increased significantly since initial recognition. If the credit risk has not increased significantly since initial
recognition, the Company measures the loss allowance at an amount equal to 12-month expected credit losses,
else at an amount equal to the lifetime expected credit losses. The Company have not traded or invested in Crypto
Currency or virtual currency during the financial year.

When making this assessment, the Company uses the change in the risk of a default occurring over the expected
life of the financial asset. To make that assessment, the Company compares the risk of a default occurring on the
financial asset as at the balance sheet date with the risk of a default occurring on the financial asset as at the date
of initial recognition and considers reasonable and supportable information, that is available without undue cost or
effort, that is indicative of significant increases in credit risk since initial recognition. The Company assumes that
the credit risk on a financial asset has not increased significantly since initial recognition if the financial asset is
determined to have low credit risk at the balance sheet date.

Write-offs

Financial assets are written off either partially or in their entirety only when the Company has stopped pursuing the
recovery. Any subsequent recoveries are credited to impairment on financial instrument on statement of profit and
loss.

l) Cash and cash equivalents

Cash and cash equivalents comprise cash in hand (including imprest), demand deposits and short-term highly
liquid investments that are readily convertible into known amount of cash and which are subject to an insignificant
risk of changes in value.

---

Mar 31, 2024

Notes forming part of Financial Statement for the year ending 31st March 2024

1. Company overview/Corporate information

Nahar Capital & Financial Services Limited (''the Company'') is a public limited company and incorporated under the provisions of Companies Act. The Company is a non-deposit accepting Non-Banking Financial Company (''NBFC-ND'') and is registered as a Non-deposit taking Non-Banking Financial Company (''NBFC-ND'') with the Reserve Bank of India ("RBI”) in January 2008. The Company has been placed in Base Layer and categorized as Non-Banking Financial Company - Base Layer (''NBFC-BL'') having asset size bellow Rs. 1000.00 Crore as per Master Directions - Reserve Bank of India (Non-Banking Financial Company - Scale Based Regulation) Direction,2023. The main business activity of the Company is to carry on the business of investment in shares, debentures, stock, bonds and securities of all kinds, Real Estate Activities and other businesses generally carried on by finance and investment companies. The company is domiciled in India and has its registered office at Ludhiana, Punjab, India. The CIN No of the Company is L45202PB2006PLC029968 and RBI Registration no is N-06.00588. The Company has its primary listings on the BSE Limited and National Stock Exchange of India Limited. Summary of significant accounting policies and other explanatory information for the year ended 31st March 2024

2. Summary of significant accounting policies

The financial statements have been prepared using the significant accounting policies and measurement bases summarised as below. These policies are applied consistently for all the periods presented in the financial statements, except where the Company has applied certain accounting policies and exemptions upon transition to Ind AS.

a) Basis of preparation

i) Statement of compliance with Indian Accounting Standards (Ind AS)

These standalone financial statements ("the Financial Statements”) have been prepared in accordance with the Indian Accounting Standards (''Ind AS'') as notified by Ministry of Corporate Affairs (''MCA'') under Section 133 of the Companies Act, 2013 (''Act'') read with the Companies (Indian Accounting Standards) Rules, 2015, as amended and other relevant provisions of the Act. The Company has uniformly applied the accounting policies for the periods presented in this financial statements.

The financial statements for the year ended March 31, 2024 were authorized and approved for issue by the Board of Directors on 29 May 2024.

ii) Accounting Convention

The financial statements have been prepared on going concern basis in accordance with accounting principles generally accepted in India. Further, the financial statements have been prepared on historical cost basis except for certain financial assets and financial liabilities and share based payments which are measured at fair values as explained in relevant accounting policies.

iii) Rounding of amounts

All amounts disclosed in the financial statements and notes have been rounded off to the nearest lakhs as per the requirement of the schedule III unless otherwise stated.

b) Property, plant and equipment Recognition and initial measurement

Property, plant and equipment are stated at their cost of acquisition. The cost comprises purchase price, borrowing cost if capitalization criteria are met and directly attributable cost of bringing the asset to its working condition for the intended use. Any trade discount and rebates are deducted in arriving at the purchase price. Subsequent costs are included in the asset''s carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured reliably. All other repair and maintenance costs are recognised in statement of profit or loss as incurred.

Subsequent measurement (depreciation method, useful lives and residual value)

Property, plant and equipment are subsequently measured at cost less accumulated depreciation and impairment losses. Cost of acquisition is inclusive of freight, duties, taxes and other incidental expenses. Depreciation on property, plant and equipment is provided on the straight-line basis as per the rates specified in Schedule II of the Companies Act, 2013.

Depreciation is calculated on pro rata basis from the date on which the asset is ready for use or till the date the asset is sold or disposed.

The residual values, useful lives and method of depreciation are reviewed at the end of each financial year.

The Company fully depreciates the assets having individual value of Rs. 5,000 or less in the year of acquisition. De-recognition

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

Capital work-in-progress

Capital work-in-progress are carried at cost, comprising direct cost, related incidental expenses and advances paid to acquire property, plant and equipment. Assets which are not ready to intended use are also shown under capital work-in-progress.

Transition to Ind AS

The Company had elected to measure all its property, plant and equipment at the previous GAAP carrying amount as its deemed cost on the date of transition of Ind AS i.e. April 1,2017.

c) Investment Property

Properties held to earn rentals or / and for capital appreciation or both but not for sale in the ordinary course of business, use in the production or supply of goods or services or for administrative purposes, are categorized as investment properties. These are measured initially at cost of acquisition, including transaction costs and other direct costs attributable to bringing asset to its working condition for intended use. Subsequent to initial recognition, investment properties are stated at cost less accumulated depreciation and accumulated impairment loss, if any. The cost shall also include borrowing cost if the recognition criteria are met. Said assets are depreciated on straight line basis based on expected life span of assets which is in accordance with Schedule II of the Act. However, as per Ind AS 40, there is a requirement to disclose fair value as at the balance sheet date.

d) Intangible assets

Recognition and initial measurement

Intangible assets are stated at their cost of acquisition. The cost comprises purchase price including any import duties and other taxes (other than those subsequently recoverable from taxation authorities), borrowing cost if capitalization criteria are met and directly attributable cost of bringing the asset to its working condition for the intended use.

Subsequent measurement (amortisation method, useful lives and residual value)

Intangible assets are amortised over a period of 3 years from the date when the assets are available for use. The estimated useful life (amortisation period) of the intangible assets is arrived basis the expected pattern of consumption of economic benefits and is reviewed at the end of each financial year and the amortisation period is revised to reflect the changed pattern, if any.

Transition to Ind AS

The Company had elected to measure all its intangible assets at the previous GAAP carrying amount as its deemed cost on the date of transition of Ind AS i.e. April 1,2017.

e) Inventories

Inventories represent Real Estate Properties held for trading and also property held for Joint Development agreement for construction of Residential cum Commercial Complex and these are measured at Fair Value in books of accounts.

f) Revenue recognition Interest income

Interest income is recorded on accrual basis using the Effective Interest Rate (EIR) method. Additional interest/overdue interest/penal charges, if any, are recognised only when it is reasonable certain that the ultimate collection will be made.

Dividend income

Dividend income is recognised at the time when the right to receive is established by the reporting date. Profit/Loss

on Sale of investments is considered at the time of sale/redemption.

Rental income

Rental Income is accounted for on accrual basis.

Commission income

Income from business correspondent services is recognised as and when the services are rendered as per agreed terms and conditions of the contract.

Miscellaneous income

All other income is recognized on an accrual basis, when there is no uncertainty in the ultimate realization/collection.

g) Borrowing costs

Borrowing costs that are directly attributable to the acquisition and/or construction of a qualifying asset, till the time such qualifying assets become ready for its intended use sale, are capitalised. Borrowing cots consists of interest and other cost that the Company incurred in connection with the borrowing of funds. A qualifying asset is one that necessarily takes substantial period of time to get ready for its intended use. All other borrowing costs are charged to the Statement of Profit and Loss as incurred basis the effective interest rate method.

h) Taxation

Tax expense recognized in Statement of Profit and Loss comprises the sum of deferred tax and current tax except to the extent it is recognized in other comprehensive income or directly in equity.

Current tax comprises the tax payable or receivable on taxable income or loss for the year and any adjustment to the tax payable or receivable in respect of previous years. Current tax is computed in accordance with relevant tax regulations. The amount of current tax payable or receivable is the best estimate of the tax amount expected to be paid or received after considering uncertainty related to income taxes, if any. Current income tax relating to items recognised outside profit or loss is recognised outside profit or loss (either in other comprehensive income or in equity).

Current tax assets and liabilities are offset only if there is a legally enforceable right to set off the recognised amounts, and it is intended to realise the asset and settle the liability on a net basis or simultaneously.

Minimum alternate tax (''MAT'') credit entitlement is recognised as an asset only when and to the extent there is convincing evidence that normal income tax will be paid during the specified period. In the year in which MAT credit becomes eligible to be recognised as an asset, the said asset is created by way of a credit to the Statement of Profit and Loss and shown as MAT credit entitlement. This is reviewed at each balance sheet date and the carrying amount of MAT credit entitlement is written down to the extent it is not reasonably certain that normal income tax will be paid during the specified period.

Deferred tax is recognised in respect of temporary differences between carrying amount of assets and liabilities for financial reporting purposes and corresponding amount used for taxation purposes. Deferred tax assets are recognised on unused tax loss, unused tax credits and deductible temporary differences to the extent it is probable that the future taxable profits will be available against which they can be used. This is assessed based on the Company''s forecast of future operating results, adjusted for significant non-taxable income and expenses and specific limits on the use of any unused tax loss. Unrecognised deferred tax assets are re-assessed at each reporting date and are recognised to the extent that it has become probable that future taxable profits will allow the deferred tax asset to be recovered.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realised or the liability is settled, based on tax rates (and tax laws) that have been enacted or substantively enacted at the reporting date. The measurement of deferred tax reflects the tax consequences that would follow from the manner in which the Company expects, at the reporting date to recover or settle the carrying amount of its assets and liabilities. Deferred tax assets and liabilities are offset only if there is a legally enforceable right to set off the recognised amounts, and it is intended to realise the asset and settle the liability on a net basis or simultaneously. Deferred tax relating to items recognised outside statement of profit and loss is recognised outside statement of profit or loss (either in other comprehensive income or in equity).

i) Employee benefits Short-term employee benefits

Liabilities for wages and salaries, including non-monetary benefits, if any, that are expected to be settled wholly

within 12 months after the end of the period in which the employees render the related service are recognised in respect of employees services up to the end of the reporting period and are measured at the amounts expected to be paid when the liabilities are settled.

Other long term employee benefit obligations:

The liabilities, if any, which needs to be settled after 12 months from the end of the period in which the employees render the related services are measured as the present value of expected future payments to be made in respect of services provided by employees up to the end of reporting period using the projected unit credit method. Post-employment obligations:

The liability or asset recognised in the balance sheet in respect of defined benefit gratuity plans is the present value of the defined benefit obligations at the end of the reporting period less the fair value of plan assets. The defined benefit obligation is calculated annually by actuaries using the projected unit credit method. Re-measurement gains and losses arising from experience adjustments and changes in actuarial assumptions are recognised in the period in which they occur, directly in other comprehensive income. They are included in retained earnings in the statement of changes in equity and in the balance sheet.

Defined contribution plans

Contribution to Provident Fund is made in accordance with the provisions of the Employees Provident Fund and Miscellaneous Provisions Act, 1952 and is charged to the Statement of Profit and Loss.

j) Impairment of non-financial assets Loan Assets

At each reporting date, the Company assesses whether there is any indication that an asset may be impaired. If any such indication exists, the Company estimates the recoverable amount of the asset. Recoverable amount is higher of an asset''s net selling price and its value in use. If such recoverable amount of the asset or the recoverable amount of the cash generating unit to which the asset belongs is less than its carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recognised in the Statement of Profit and Loss. If at the reporting date there is an indication that if a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount. Compensation for impairment

Compensation from third parties for items of property, plant and equipment that were impaired, lost or given up are recognised in statement of profit and loss when the compensation becomes receivable.

k) Impairment of financial assets Loan Assets

The Company follows a ''three-stage'' model for impairment based on changes in credit quality since initial recognition as summarised below:

Stage 1 : Includes loan assets that have not had a significant increase in credit risk since initial recognition or that have low credit risk at the reporting date.

Stage 2 : Includes loan assets that have had a significant increase in credit risk since initial recognition but that do not have objective evidence of impairment.

Stage 3 : Includes loan assets that have objective evidence of impairment at the reporting date The Expected Credit Loss (ECL) is measured at 12-month ECL for Stage 1 loan assets and at lifetime ECL for Stage 2 and Stage 3 loan assets ECL is the product of the Probability of Default, Exposure at Default and Loss Given Default, defined as follows:

Probability of Default (PD) - The PD represents the likelihood of a borrower defaulting on its financial obligation (as per "Definition of default and credit-impaired” above), either over the next 12 months (12 months PD), or over the remaining lifetime (Lifetime PD) of the obligation.

Loss Given Default (LGD) - LGD represents the Company''s expectation of the extent of loss on a defaulted exposure. LGD varies by type of counterparty, type and preference of claim and availability of collateral or other credit support.

Exposure at Default (EAD) - EAD is based on the amounts the Company expects to be owed at the time of default. For a revolving commitment, the Company includes the current drawn balance plus any further amount that is expected to be drawn up to the current contractual limit by the time of default, should it occur.

Forward-looking economic information (including management overlay) is included in determining the 12-month and lifetime PD, EAD and LGD. The assumptions underlying the expected credit loss are monitored and reviewed on an ongoing basis.

Other Financial Assets

In respect of its other financial assets, the Company assesses if the credit risk on those financial assets has increased significantly since initial recognition. If the credit risk has not increased significantly since initial recognition, the Company measures the loss allowance at an amount equal to 12-month expected credit losses, else at an amount equal to the lifetime expected credit losses. The Company have not traded or invested in Crypto Currency or virtual currency during the financial year.

When making this assessment, the Company uses the change in the risk of a default occurring over the expected life of the financial asset. To make that assessment, the Company compares the risk of a default occurring on the financial asset as at the balance sheet date with the risk of a default occurring on the financial asset as at the date of initial recognition and considers reasonable and supportable information, that is available without undue cost or effort, that is indicative of significant increases in credit risk since initial recognition. The Company assumes that the credit risk on a financial asset has not increased significantly since initial recognition if the financial asset is determined to have low credit risk at the balance sheet date.

Write-offs

Financial assets are written off either partially or in their entirety only when the Company has stopped pursuing the recovery. Any subsequent recoveries are credited to impairment on financial instrument on statement of profit and loss.

l) Cash and cash equivalents

Cash and cash equivalents comprise cash in hand (including imprest), demand deposits and short-term highly liquid investments that are readily convertible into known amount of cash and which are subject to an insignificant risk of changes in value.

m) Provisions, contingent assets and contingent liabilities

Provisions are recognized only when there is a present obligation, as a result of past events, and when a reliable estimate of the amount of obligation can be made at the reporting date. These estimates are reviewed at each reporting date and adjusted to reflect the current best estimates. Provisions are discounted to their present values, where the time value of money is material.

Contingent liability is disclosed for:

• Possible obligations which will be confirmed only by future events not wholly within the control of the Company or

• Present obligations arising from past events where it is not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount of the obligation cannot be made.

Contingent assets are neither recognised nor disclosed except when realisation of income is virtually certain, related asset is disclosed.

n) Financial instruments

A Financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity.

Initial recognition and measurement

Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the financial instrument and are measured initially at fair value adjusted for transaction costs. Subsequent measurement of financial assets and financial liabilities is described below.

Non-derivative financial assets Subsequent measurement i) A Financial assets carried at amortised cost

A financial asset is measured at the amortised cost if both the following conditions are met:

• The asset is held within a business model whose objective is to hold assets for collecting contractual cash flows, and

• Contractual terms of the asset give rise on specified dates to cash flows that are solely payments of principal and

interest (SPPI) on the principal amount outstanding.

• After initial measurement, such financial assets are subsequently measured at amortised cost using the effective interest rate (EIR) method. Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortisation is included in interest income in the Statement of Profit and Loss.

ii) Investments in equity instruments

Investments in equity instruments which are held for trading are classified as at fair value through profit or loss (FVTPL). For all other equity instruments, the Company makes an irrevocable choice upon initial recognition, on an instrument by instrument basis, to classify the same either as at fair value through other comprehensive income (FVOCI) or fair value through profit or loss (FVTPL). Amounts presented in other comprehensive income are not subsequently transferred to profit or loss. However, the Company transfers the cumulative gain or loss within equity. Dividends on such investments are recognised in profit or loss unless the dividend clearly represents a recovery of part of the cost of the investment.

iii) Investments in mutual funds/venture capital funds/alternative investment funds (AIF)

Investments in mutual funds, venture capital funds and AIF are measured at fair value through profit and loss (FVTPL).

iv) Investments held for trading purposes

The Company has investments in equity instruments, mutual funds, debentures, bonds etc. which are held for trading purposes and therefore, classified as at fair value through profit or loss (FVTPL).

De-recognition of financial assets

Financial assets (or where applicable, a part of financial asset or part of a group of similar financial assets) are derecognised (i.e. removed from the Company''s balance sheet) when the contractual rights to receive the cash flows from the financial asset have expired, or when the financial asset and substantially all the risks and rewards are transferred. Further, if the Company has not retained control, it shall also derecognise the financial asset and recognise separately as assets or liabilities any rights and obligations created or retained in the transfer. Non-derivative financial liabilities Subsequent measurement

Subsequent to initial recognition, all non-derivative financial liabilities are measured at amortised cost using the effective interest method.

De-recognition of financial liabilities

A financial liability is de-recognised when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognised in the Statement of Profit and Loss.

Offsetting of financial instruments

Financial assets and financial liabilities are offset and the net amount is reported in the balance sheet if there is a currently enforceable legal right to offset the recognised amounts and there is an intention to settle on a net basis, to realise the assets and settle the liabilities simultaneously.

o) Earnings per share

Basic earnings per share is calculated by dividing the net profit or loss for the period attributable to equity shareholders (after deducting attributable taxes) by the weighted average number of equity shares outstanding during the period. The weighted average number of equity shares outstanding during the period is adjusted for events including a bonus issue.

For the purpose of calculating diluted earnings per share, the net profit or loss (interest and other finance cost associated) for the period attributable to equity shareholders and the weighted average number of shares outstanding during the period are adjusted for the effects of all dilutive potential equity shares.

p) Segment Reporting

The Company identifies segment basis the internal organization and management structure. The operating segments are the segments for which separate financial information is available and for which operating profit/loss amounts are regularly by the executive committee (''chief operating decision maker'') in deciding how to allocate

resources and in assessing performance. The accounting policies adopted for segment reporting are in line with the accounting policies of the Company. Segment revenue, segment expenses, segment assets and segment liabilities have been identified to segments on the basis of their relationship with the operating activities of the segment.

q) Significant management judgement in applying accounting policies and estimation uncertainty

The preparation of the Company''s financial statements requires management to make judgements, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the related disclosures. Actual results may differ from these estimates.

Significant Management Judgements

Recognition of deferred tax assets - The extent to which deferred tax assets can be recognized is based on an assessment of the probability of the future taxable income against which the deferred tax assets can be utilized. Evaluation of indicators for impairment of assets - The evaluation of applicability of indicators of impairment of assets requires assessment of several external and internal factors which could result in deterioration of recoverable amount of the assets.

Provisions - At each balance sheet date basis the management judgment, changes in facts and legal aspects, the Company assesses the requirement of provisions against the outstanding contingent liabilities. However, the actual future outcome may be different from this judgement.

Significant Estimates

Useful lives of depreciable/amortisable assets - Management reviews its estimate of the useful lives of depreciable/amortisable assets at each reporting date, based on the expected utility of the assets. Uncertainties in these estimates relate to technical and economic obsolescence that may change the utility of assets.

Defined benefit obligation (DBO) - Management''s estimate of the DBO is based on a number of underlying assumptions such as standard rates of inflation, mortality, discount rate and anticipation of future salary increases. Variation in these assumptions may significantly impact the DBO amount and the annual defined benefit expenses.

Fair value measurements - Management applies valuation techniques to determine the fair value of financial instruments (where active market quotes are not available). This involves developing estimates and assumptions consistent with how market participants would price the instrument.

---

Mar 31, 2023

2. Summary of significant accounting policies

The financial statements have been prepared using the significant accounting policies and measurement bases summarised as below. These policies are applied consistently for all the periods presented in the financial statements, except where the Company has applied certain accounting policies and exemptions upon transition to Ind AS.

a) Basis of preparation

(i) Statement of compliance with Indian Accounting Standards (Ind AS)

These standalone financial statements (“the Financial Statements”) have been prepared in accordance with the Indian Accounting Standards (''Ind AS'') as notified by Ministry of Corporate Affairs (''MCA'') under Section 133 of the Companies Act, 2013 (''Act'') read with the Companies (Indian Accounting Standards) Rules, 2015, as amended and other relevant provisions of the Act. The Company has uniformly applied the accounting policies for the periods presented in this financial statements.

The financial statements for the year ended March 31, 2023 were authorized and approved for issue by the Board of Directors on 30 May 2023.

(ii) Accounting Convention

The financial statements have been prepared on going concern basis in accordance with accounting principles generally accepted in India. Further, the financial statements have been prepared on historical cost basis except for certain financial assets and financial liabilities and share based payments which are measured at fair values as explained in relevant accounting policies.

(iii) Rounding of amounts

All amounts disclosed in the financial statements and notes have been rounded off to the nearest lakhs as per the requirement of the schedule III unless otherwise stated.

b) Property, plant and equipment Recognition and initial measurement

Property, plant and equipment are stated at their cost of acquisition. The cost comprises purchase price, borrowing cost if capitalization criteria are met and directly attributable cost of bringing the asset to its working condition for the intended use. Any trade discount and rebates are deducted in arriving at the purchase price. Subsequent costs are included in the asset''s carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured reliably. All other repair and maintenance costs are recognised in statement of profit or loss as incurred.

Subsequent measurement (depreciation method, useful lives and residual value)

Property, plant and equipment are subsequently measured at cost less accumulated depreciation and

impairment losses. Cost of acquisition is inclusive of freight, duties, taxes and other incidental expenses. Depreciation on property, plant and equipment is provided on the straight-line basis as per the rates specified in Schedule II of the Companies Act, 2013.

Depreciation is calculated on pro rata basis from the date on which the asset is ready for use or till the date the asset is sold or disposed.

The residual values, useful lives and method of depreciation are reviewed at the end of each financial year.

The Company fully depreciates the assets having individual value of Rs. 5,000 or less in the year of acquisition. De-recognition

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

Capital work-in-progress

Capital work-in-progress are carried at cost, comprising direct cost, related incidental expenses and advances paid to acquire property, plant and equipment. Assets which are not ready to intended use are also shown under capital work-in-progress.

Transition to Ind AS

The Company had elected to measure all its property, plant and equipment at the previous GAAP carrying amount as its deemed cost on the date of transition of Ind AS i.e. April 1,2017.

c) Investment Property

Properties held to earn rentals or / and for capital appreciation or both but not for sale in the ordinary course of business, use in the production or supply of goods or services or for administrative purposes, are categorized as investment properties. These are measured initially at cost of acquisition, including transaction costs and other direct costs attributable to bringing asset to its working condition for intended use. Subsequent to initial recognition, investment properties are stated at cost less accumulated depreciation and accumulated impairment loss, if any. The cost shall also include borrowing cost if the recognition criteria are met. Said assets are depreciated on straight line basis based on expected life span of assets which is in accordance with Schedule II of the Act. However, as per Ind AS 40, there is a requirement to disclose fair value as at the balance sheet date.

d) Intangible assets

Recognition and initial measurement

Intangible assets are stated at their cost of acquisition. The cost comprises purchase price including any import duties and other taxes (other than those subsequently recoverable from taxation authorities), borrowing cost if capitalization criteria are met and directly attributable cost of bringing the asset to its working condition for the intended use.

Subsequent measurement (amortisation method, useful lives and residual value)

Intangible assets are amortised over a period of 3 years from the date when the assets are available for use. The estimated useful life (amortisation period) of the intangible assets is arrived basis the expected pattern of consumption of economic benefits and is reviewed at the end of each financial year and the amortisation period is revised to reflect the changed pattern, if any.

Transition to Ind AS

The Company had elected to measure all its intangible assets at the previous GAAP carrying amount as its deemed cost on the date of transition of Ind AS i.e. April 1,2017.

e) Inventories

Inventories represent Real Estate Properties held for trading and also property held for Joint Development agreement for construction of Residential cum Commercial Complex and these are measured at Fair Value in books of accounts.

f) Revenue recognition Interest income

Interest income is recorded on accrual basis using the Effective Interest Rate (EIR) method. Additional interest/overdue interest/penal charges, if any, are recognised only when it is reasonable certain that the ultimate collection will be made.

Dividend income

Dividend income is recognised at the time when the right to receive is established by the reporting date. Profit/Loss on Sale of investments is considered at the time of sale/redemption.

Rental income

Rental Income is accounted for on accrual basis.

Commission income

Income from business correspondent services is recognised as and when the services are rendered as per agreed terms and conditions of the contract.

Miscellaneous income

All other income is recognized on an accrual basis, when there is no uncertainty in the ultimate realization/collection.

g) Borrowing costs

Borrowing costs that are directly attributable to the acquisition and/or construction of a qualifying asset, till the time such qualifying assets become ready for its intended use sale, are capitalised. Borrowing cots consists of interest and other cost that the Company incurred in connection with the borrowing of funds. A qualifying asset is one that necessarily takes substantial period of time to get ready for its intended use. All other borrowing costs are charged to the Statement of Profit and Loss as incurred basis the effective interest rate method.

h) Taxation

Tax expense recognized in Statement of Profit and Loss comprises the sum of deferred tax and current tax except to the extent it is recognized in other comprehensive income or directly in equity.

Current tax comprises the tax payable or receivable on taxable income or loss for the year and any adjustment to the tax payable or receivable in respect of previous years. Current tax is computed in accordance with relevant tax regulations. The amount of current tax payable or receivable is the best estimate of the tax amount expected to be paid or received after considering uncertainty related to income taxes, if any. Current income tax relating to items recognised outside profit or loss is recognised outside profit or loss (either in other comprehensive income or in equity).

Current tax assets and liabilities are offset only if there is a legally enforceable right to set off the recognised amounts, and it is intended to realise the asset and settle the liability on a net basis or simultaneously.

Minimum alternate tax (''MAT'') credit entitlement is recognised as an asset only when and to the extent there is convincing evidence that normal income tax will be paid during the specified period. In the year in which MAT credit becomes eligible to be recognised as an asset, the said asset is created by way of a credit to the Statement of Profit and Loss and shown as MAT credit entitlement. This is reviewed at each balance sheet date and the carrying amount of MAT credit entitlement is written down to the extent it is not reasonably certain that normal income tax will be paid during the specified period.

Deferred tax is recognised in respect of temporary differences between carrying amount of assets and liabilities for financial reporting purposes and corresponding amount used for taxation purposes. Deferred tax assets are recognised on unused tax loss, unused tax credits and deductible temporary differences to the extent it is probable that the future taxable profits will be available against which they can be used. This is assessed based on the Company''s forecast of future operating results, adjusted for significant non-taxable income and expenses and specific limits on the use of any unused tax loss. Unrecognised deferred tax assets are re-assessed at each reporting date and are recognised to the extent that it has become probable that future taxable profits will allow the deferred tax asset to be recovered.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the

asset is realised or the liability is settled, based on tax rates (and tax laws) that have been enacted or substantively enacted at the reporting date. The measurement of deferred tax reflects the tax consequences that would follow from the manner in which the Company expects, at the reporting date to recover or settle the carrying amount of its assets and liabilities. Deferred tax assets and liabilities are offset only if there is a legally enforceable right to set off the recognised amounts, and it is intended to realise the asset and settle the liability on a net basis or simultaneously. Deferred tax relating to items recognised outside statement of profit and loss is recognised outside statement of profit or loss (either in other comprehensive income or in equity).

i) Employee benefits Short-term employee benefits

Liabilities for wages and salaries, including non-monetary benefits, if any, that are expected to be settled wholly within 12 months after the end of the period in which the employees render the related service are recognised in respect of employees services up to the end of the reporting period and are measured at the amounts expected to be paid when the liabilities are settled.

Other long term employee benefit obligations:

The liabilities, if any, which needs to be settled after 12 months from the end of the period in which the employees render the related services are measured as the present value of expected future payments to be made in respect of services provided by employees up to the end of reporting period using the projected unit credit method.

Post-employment obligations:

The liability or asset recognised in the balance sheet in respect of defined benefit gratuity plans is the present value of the defined benefit obligations at the end of the reporting period less the fair value of plan assets. The defined benefit obligation is calculated annually by actuaries using the projected unit credit method.

Re-measurement gains and losses arising from experience adjustments and changes in actuarial assumptions are recognised in the period in which they occur, directly in other comprehensive income. They are included in retained earnings in the statement of changes in equity and in the balance sheet.

Defined contribution plans

Contribution to Provident Fund is made in accordance with the provisions of the Employees Provident Fund and Miscellaneous Provisions Act, 1952 and is charged to the Statement of Profit and Loss.

j) Impairment of non-financial assets Loan Assets

At each reporting date, the Company assesses whether there is any indication that an asset may be impaired. If any such indication exists, the Company estimates the recoverable amount of the asset. Recoverable amount is higher of an asset''s net selling price and its value in use. If such recoverable amount of the asset or the recoverable amount of the cash generating unit to which the asset belongs is less than its carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recognised in the Statement of Profit and Loss. If at the reporting date there is an indication that if a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount.

Compensation for impairment

Compensation from third parties for items of property, plant and equipment that were impaired, lost or given up are recognised in statement of profit and loss when the compensation becomes receivable.

k) Impairment of financial assets Loan assets

The Company follows a ''three-stage'' model for impairment based on changes in credit quality since initial recognition as summarised below:

• Stage 1 includes loan assets that have not had a significant increase in credit risk since initial recognition or that have low credit risk at the reporting date.

• Stage 2 includes loan assets that have had a significant increase in credit risk since initial recognition but

that do not have objective evidence of impairment.

• Stage 3 includes loan assets that have objective evidence of impairment at the reporting date.

The Expected Credit Loss (ECL) is measured at 12-month ECL for Stage 1 loan assets and at lifetime ECL for Stage 2 and Stage 3 loan assets ECL is the product of the Probability of Default, Exposure at Default and Loss Given Default, defined as follows:

Probability of Default (PD) - The PD represents the likelihood of a borrower defaulting on its financial obligation (as per “Definition of default and credit-impaired” above), either over the next 12 months (12 months PD), or over the remaining lifetime (Lifetime PD) of the obligation.

Loss Given Default (LGD) - LGD represents the Company''s expectation of the extent of loss on a defaulted exposure. LGD varies by type of counterparty, type and preference of claim and availability of collateral or other credit support.

Exposure at Default (EAD) - EAD is based on the amounts the Company expects to be owed at the time of default. For a revolving commitment, the Company includes the current drawn balance plus any further amount that is expected to be drawn up to the current contractual limit by the time of default, should it occur. Forward-looking economic information (including management overlay) is included in determining the 12-month and lifetime PD, EAD and LGD. The assumptions underlying the expected credit loss are monitored and reviewed on an ongoing basis.

Other financial assets

In respect of its other financial assets, the Company assesses if the credit risk on those financial assets has increased significantly since initial recognition. If the credit risk has not increased significantly since initial recognition, the Company measures the loss allowance at an amount equal to 12-month expected credit losses, else at an amount equal to the lifetime expected credit losses. The Company have not traded or invested in Crypto Currency or virtual currency during the financial year.

When making this assessment, the Company uses the change in the risk of a default occurring over the expected life of the financial asset. To make that assessment, the Company compares the risk of a default occurring on the financial asset as at the balance sheet date with the risk of a default occurring on the financial asset as at the date of initial recognition and considers reasonable and supportable information, that is available without undue cost or effort, that is indicative of significant increases in credit risk since initial recognition. The Company assumes that the credit risk on a financial asset has not increased significantly since initial recognition if the financial asset is determined to have low credit risk at the balance sheet date. Write-offs

Financial assets are written off either partially or in their entirety only when the Company has stopped pursuing the recovery. Any subsequent recoveries are credited to impairment on financial instrument on statement of profit and loss.

l) Cash and cash equivalents

Cash and cash equivalents comprise cash in hand (including imprest), demand deposits and short-term highly liquid investments that are readily convertible into known amount of cash and which are subject to an insignificant risk of changes in value.

---

Mar 31, 2018

1.SIGNIFICANT ACCOUNTING POLICIES

i) The Company is in the business of Investment and Finance.

The Company is a Public Limited Company incorporated and domiciled in India and has its Registered Office at Ludhiana, Punjab, India. The CIN No of the Company is L45202PB2006PLC029968 and RBI Registration no is N-06.00588.The Company has its primary listings on the BSE Limited and National Stock Exchange of India Limited.

The Financial Statements are approved for issue by the Company’s Board of Directors on May 30, 2018.

ii) ACCOUNTING CONVENTION

The financial statements are prepared under the historical cost convention, in accordance with applicable accounting standards and relevant presentation requirements of the Companies Act, 2013.

iii) INVESTMENTS

a) Investments are classified into Current Investments and long-term investments.

b) Current Investments are valued category wise at book value or fair value, whichever is lower.

c) Long Term Investments are stated at cost. Diminution in value of investments which are of temporary nature, is not considered.

iv) STOCK-IN-TRADE

Stock in Trade is valued category wise at cost or fair value, whichever is lower.

v) REVENUE RECOGNITION Income from Investments

Dividend Income is recognized when the company’s right to receive payment is established. Profit/Loss on Sale of investments is considered at the time of sale/redemption.

Interest Income

Interest Income is recognized on a time proportion basis taking into account the amount outstanding and the rate applicable.

Rental Income

Rental Income is accounted for on accrual basis.

vi) FIXED ASSETS AND DEPRECIATION

(a)Tangible assets are stated at cost less accumulated depreciation. Cost of acquisition is inclusive of freight, duties, taxes and other incidental expenses. Depreciation is charged on straight line basis as per the rates specified in Schedule- II of the Companies Act, 2013.

(b)Borrowing costs that are directly attributable to the acquisition, construction or production of a qualifying asset are capitalized as cost of relevant fixed asset. Other borrowing costs are recognized as an expense in the period in which they are incurred.

vii) ACCOUNTING FOR TAXES ON INCOME

Provision for Taxation for the year comprises of current taxes and deferred tax. Current Taxes consists of Income Tax payable on the current year income. Deferred Tax is calculated for timing differences.

viii) IMPAIRMENT OF ASSETS

At each Balance Sheet date, an assessment is made whether any indication exists that an asset has impaired. If any such indication exists, an impairment loss i.e. the amount by which that carrying amount of an asset exceeds its recoverable amount in provided in the books of account.

ix) PROVISIONS AND CONTINGENT LIABILITIES

a) Provisions are recognized for liabilities that can be measured by using a substantial degree of estimation,if:

- The company has a present obligation as a result of a past event,

- A probable outflow of resources embodying economic benefits is expected to settle the obligation and

- The amount of the obligation can be reliably estimated

b) Contingent liability is disclosed in the case of:

- A present obligation arising from a past event when it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation or

- A possible obligation, unless the probability of outflow in settlement is remote.

c) Re-imbursement expected in respect of expenditure required to settle a provision is recognized only when it is virtually certain that the re-imbursement will be received.

x) RETIREMENT BENEFITS Gratuity

The Company has taken a Group Gratuity Policy from LIC of India to discharge its liability of Gratuity. The calculation of premium under the policy is made on the basis of actuarial valuation done by LIC.

xi) Material events occurring after the balance sheet date are taken into cognizance.

xii) The accounts of the Company have been prepared on going concern basis.

xiii) Prior period extraordinary changes in accounting policies, having material effect on the financial affairs of the company (if any) are disclosed.

Note 2.5

(a) The Company has not issued any shares in pursuance to contract(s) without payment being received in cash during five years immediately preceding the date as at which the Balance Sheet is prepared.

(b) The Company has not issued any fully paid up Bonus Shares during five year immediately preceding the date as at which Balance Sheet is prepared.

(c) The Company has not bought back any shares during five years immediately preceding the date as at which the Balance Sheet is prepared.

There are no Micro & Small enterprises covered under Micro, Small and Medium Scale Development Act 2006, to whom the Company owes dues, which are outstanding for more than 45 days, hence no disclosure has been given. This information has been determined to the extent such parties, which have been identified by the company.

---

Mar 31, 2016

i) ACCOUNTING CONVENTION

The financial statements are prepared under the historical cost convention, in accordance with applicable accounting standards and relevant presentation requirements of the companies Act, 2013.

ii) INVESTMENTS

a) Investments are classified into Current Investments and long-term investments.

b) Current Investments are valued category wise at book value or fair value, whichever is lower.

c) Long Term Investments are stated at cost. Diminution in value of investments which are of temporary nature, is not considered.

iii) STOCK-IN-TRADE

Stock in Trade is valued category wise at cost or fair value, whichever is lower.

iv) REVENUE RECOGNITION

Income from Investments

Dividend Income is recognized when the company’s right to receive payment is established. Profit/Loss on Sale of investments is considered at the time of sale/redemption.

Interest Income

Interest Income is recognized on a time proportion basis taking into account the amount outstanding and the rate applicable.

v) FIXED ASSETS AND DEPRECIATION

(a)Tangible assets are stated at cost less accumulated depreciation. Cost of acquisition is inclusive of freight, duties, taxes and other incidental expenses. Depreciation is charged on straight line basis as per the rates specified in Schedule- 11 of the Companies Act, 2013.

(b)Borrowing costs that are directly attributable to the acquisition, construction or production of a qualifying asset are capitalized as cost of relevant fixed asset. Other borrowing costs are recognized as an expense in the period in which they are incurred.

vi) ACCOUNTING FOR TAXES ON INCOME

Provision for Taxation for the year comprises of current taxes and deferred tax. Current Taxes consists of Income Tax payable on the current year income. Deferred Tax is calculated for timing differences.

vii) IMPAIRMENT OF ASSETS

At each Balance Sheet date, an assessment is made whether any indication exists that an asset has impaired. If any such indication exists, an impairment loss i.e. the amount by which that carrying amount of an asset exceeds its recoverable amount in provided in the books of account.

viii) PROVISIONS AND CONTINGENT LIABLITIES

a) Provisions are recognized for liabilities that can be measured by using a substantial degree of estimation, if:

- The company has a present obligation as a result of a past event,

- A probable outflow of resources embodying economic benefits is expected to settle the obligation and

- The amount of the obligation can be reliably estimated

b) Contingent liability is disclosed in the case of:

- A present obligation arising from a past event when it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation or

- A possible obligation, unless the probability of outflow in settlement is remote.

c) Re-imbursement expected in respect of expenditure required to settle a provision is recognized only when it is virtually certain that the re-imbursement will be received.

ix) RETIREMENT BENEFITS

Gratuity

The Company has taken a Group Gratuity Policy from LIC of India to discharge its liability of Gratuity. The calculation of premium under the policy is made on the basis of actuarial valuation done by LIC.

x) Material events occurring after the balance sheet date are taken into cognizance.

xi) The accounts of the Company have been prepared on going concern basis.

xii) Prior period extraordinary changes in accounting policies, having material effect on the financial affairs of the company (if any) are disclosed.

---

Mar 31, 2015

I) Accounting Convention

The financial statements are prepared under the historical cost convention, in accordance with applicable accounting standards and relevant presentation requirements of the companies Act, 2013.

ii) Investments

a) Investments are classified into Current Investments and long-term investments.

b) Current Investments are valued category wise at book value or fair value, whichever is lower.

c) Long Term Investments are stated at cost. Diminution in value of investments if any is not considered because of temporary nature.

iii) Stock-in-trade

Stock in Trade is valued category wise at cost or fair value, whichever is lower.

iv) Revenue Recognition

Income from Investments

Dividend Income is recognized when the company's right to receive payment is established. Profit/Loss on Sale of investments is considered at the time of sale/redemption.

Interest Income

Interest Income is recognized on a time proportion basis taking into account the amount outstanding and the rate applicable.

v) Fixed Assets And Depreciation

(a) Tangible assets are stated at cost less accumulated depreciation. Cost of acquisition is inclusive of freight, duties, taxes and other incidental expenses. Depreciation is charged on straight line basis as per the rates specified in Schedule- II of the Companies Act, 2013.

(b) Borrowing costs that are directly attributable to the acquisition, construction or production of a qualifying asset are capitalized as cost of relevant fixed asset. Other borrowing costs are recognized as an expense in the period in which they are incurred.

(c) Effective from April 1, 2014, the useful life of Fixed Assets have been revised in accordance with Schedule II to The Companies Act,2013. Further, based on the transitional provisions provided in Note 7(b) of Schedule - II to the act, and amount of Rs. 12138 has been reduced from retained earning in respect of assets having no useful life as on Ist April 2014 and is included in the figure of depreciation during the year and is not shown seprately in the above chart.

vi) Accounting for Taxes on Income

Provision for Taxation for the year comprises of current taxes and deferred tax. Current Taxes consists of Income Tax payable on the current year income. Deferred Tax is calculated for timing differences.

vii) Impairment of Assets

At each Balance Sheet date, an assessment is made whether any indication exists that an asset has impaired. If any such indication exists, an impairment loss i.e. the amount by which that carrying amount of an asset exceeds its recoverable amount in provided in the books of account.

viii) Provisions and Contingent Liabilities

a) Provisions are recognized for liabilities that can be measured by using a substantial degree of estimation, if:

- The company has a present obligation as a result of a past event,

- A probable outflow of resources embodying economic benefits is expected to settle the obligation and

- The amount of the obligation can be reliably estimated

b) Contingent liability is disclosed in the case of:

- A present obligation arising from a past event when it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation or

- A possible obligation, unless the probability of outflow in settlement is remote.

c) Re-imbursement expected in respect of expenditure required to settle a provision is recognized only when it is virtually certain that the re-imbursement will be received.

ix) Retirement Benefits

Gratuity

The Company has taken a Group Gratuity Policy from LIC of India to discharge its liability of Gratuity. The calculation of premium under the policy is made on the basis of actuarial valuation done by LIC.

x) Material events occurring after the balance sheet date are taken into cognizance.

xi) The accounts of the Company have been prepared on going concern basis.

xii) Prior period extraordinary changes in accounting policies, having material effect on the financial affairs of the company (if any) are disclosed.

---

Mar 31, 2014

I) Accounting Convention

The financial statements are prepared under the historical cost convention, in accordance with applicable accounting standards and relevant presentation requirements of the companies Act, 1956.

ii) Investments

a) Investments are classified into Current Investments and long-term investments.

b) Current Investments are valued category wise at book value or fair value, whichever is lower.

c) Long Term Investments are stated at cost. Diminution in value of investments if any is not considered because of temporary nature.

iii) Stock-in-trade

Stock in Trade is valued category wise at cost or fair value, whichever is lower.

iv) Revenue Recognition Income from Investments

Dividend Income is recognized when the company''s right to receive payment is established. Profit/Loss on Sale of investments is considered at the time of sale/redemption.

Interest Income

Interest Income is recognized on a time proportion basis taking into account the amount outstanding and the rate applicable.

v) Fixed Assets And Depreciation

(a) Tangible assets are stated at cost less accumulated depreciation. Cost of acquisition is inclusive of freight, duties, taxes and other incidental expenses. Depreciation is charged on straight line basis as per the rates specified in Schedule- XIV of the Companies Act, 1956.

(b) Borrowing costs that are directly attributable to the acquisition, construction or production of a qualifying asset are capitalized as cost of relevant fixed asset. Other borrowing costs are recognized as an expense in the period in which they are incurred.

vi) Accounting for Taxes on Income

Provision for Taxation for the year comprises of current taxes and deferred tax. Current Taxes consists of Income Tax payable on the current year income. Deferred Tax is calculated for timing differences.

vii) Impairment of Assets

At each Balance Sheet date, an assessment is made whether any indication exists that an asset has impaired. If any such indication exists, an impairment loss i.e. the amount by which that carrying amount of an asset exceeds its recoverable amount in provided in the books of account.

viii) Provisions and Contingent Liabilities

a) Provisions are recognized for liabilities that can be measured by using a substantial degree of estimation, if:

* The company has a present obligation as a result of a past event,

* A probable outflow of resources embodying economic benefits is expected to settle the obligation and

* The amount of the obligation can be reliably estimated

b) Contingent liability is disclosed in the case of:

* A present obligation arising from a past event when it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation or

* A possible obligation, unless the probability of outflow in settlement is remote.

c) Re-imbursement expected in respect of expenditure required to settle a provision is recognized only when it is virtually certain that the re-imbursement will be received.

ix) Retirement Benefits Gratuity

The Company has taken a Group Gratuity Policy from LIC of India to discharge its liability of Gratuity. The calculation of premium under the policy is made on the basis of actuarial valuation done by LIC.

x) Material events occurring after the balance sheet date are taken into cognizance.

xi) The accounts of the Company have been prepared on going concern basis.

xii) Prior period extraordinary changes in accounting policies, having material effect on the financial affairs of the company (if any) are disclosed.

---

Mar 31, 2013

I) Accounting Convention

The financial statements are prepared under the historical cost convention, in accordance with applicable accounting standards and relevant presentation requirements of the companies Act, 1956.

ii) Investments

a) Investments are classified into Current Investments and long-term investments.

b) Current Investments are valued category wise at bookvalueorfairvalue, whicheveris lower.

c) Long Term Investments are stated at cost. Diminution in value of investments if any is not considered because of temporary nature.

iii) Stock-in-trade

Stock in Trade is valued category wise at cost or fair value, whichever is lower.

iv) Revenue Recognition

Income from Investments

Dividend Income is recognized when the company''s right to receive payment is established. Profit/Loss on Sale of investments is considered at the time of sale/redemption.

Interest Income

Interest Income is recognized on a time proportion basis taking into account the amount outstanding and the rate applicable.

v) Fixed Assets And Depreciation

(a) Tangible assets are stated at cost less accumulated depreciation. Cost of acquisition is inclusive of freight, duties, taxes and other incidental expenses. Depreciation is charged on straight line basis as per the rates specified in Schedule- XIV of the Companies Act, 1956.

(b) Borrowing costs that are directly attributable to the acquisition, construction or production of a qualifying asset are capitalized as cost of relevant fixed asset. Other borrowing costs are recognized as an expense in the period in which they are incurred.

vi) Accounting for Taxes on Income

Provision for Taxation for the year comprises of current taxes and deferred tax. Current Taxes consists of Income Tax payable on the current year income. Deferred Tax is calculated for timing differences.

vii) Impairment of Assets

At each Balance Sheet date, an assessment is made whether any indication exists that an asset has impaired. If any such indication exists, an impairment loss i.e. the amount by which that carrying amount of an asset exceeds its recoverable amount in provided in the books of account.

viii) Provisions and Contingent Liabilities

a) Provisions are recognized for liabilities that can be measured by using a substantial degree of estimation, if:

- The company has a present obligation as a result of a past event,

- A probable outflow of resources embodying economic benefits is expected to settle the obligation and

- The amount of the obligation can be reliably estimated

b) Contingent liability is disclosed in the case of:

- A present obligation arising from a past event when it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation or

- A possible obligation,unless the probability of outf low in settlement is remote.

c) Re-imbursement expected in respect of expenditure required to settle a provision is recognized only when it is virtually certain that the re-imbursement will be received.

ix) Retirement Benefits

Gratuity

The Company has taken a Group Gratuity Policy from LIC of India to discharge its liability of Gratuity. The calculation of premium under the policy is made on the basis of actuarial valuation done by LIC.

x) Material events occuring afterthe balance sheet date are taken into cognizance.

xi) The accounts of the Company have been prepared on going concern basis.

xii) Prior period extraordinary changes in accounting policies, having material effect on the financial affairs of the company (if any) are disclosed.

---

Mar 31, 2012

I) Accounting Convention

The financial statements are prepared under the historical cost convention, in accordance with applicable accounting standards and relevant presentation requirements of the companies Act, 1956.

ii) Investments

a) Investments are classified into Current Investments and long-term investments.

b) Current Investments are valued category wise at book value or fair value, whichever is lower.

c) Long Term Investments are stated at cost. Diminution in value of investments if any is not considered because of temporary nature.

iii) Stock-in-trade

Stock in Trade is valued category wise at cost or fair value, whichever is lower.

iv) Revenue Recognition Income from Investments

Dividend Income is recognized when the company's right to receive payment is established. Profit/Loss on Sale of investments is considered at the time of sale/redemption.

Interest Income

Interest Income is recognized on a time proportion basis taking into account the amount outstanding and the rate applicable.

v) Fixed Assets And Depreciation

(a) Tangible assets are stated at cost less accumulated depreciation. Cost of acquisition is inclusive of freight, duties, taxes and other incidental expenses. Depreciation is charged on straight line basis as per the rates specified in Schedule- XIV of the Companies Act, 1956.

(b) Borrowing costs that are directly attributable to the acquisition, construction or production of a qualifying asset are capitalized as cost of relevant fixed asset. Other borrowing costs are recognized as an expense in the period in which they are incurred.

vi) Accounting for Taxes on Income

Provision for Taxation for the year comprises of current taxes and deferred tax. Current Taxes consists of Income Tax payable on the current year income. Deferred Tax is calculated for timing differences.

vii) Impairment of Assets

At each Balance Sheet date, an assessment is made whether any indication exists that an asset has impaired. If any such indication exists, an impairment loss i.e. the amount by which that carrying amount of an asset exceeds its recoverable amount in provided in the books of account.

viii) Provisions and Contigent Liablities

a) Provisions are recognized for liablities that can be measured by using a substantial degree of estimation, if:

- The company has a present obligation as a result of a past event,

- A probable outflow of resources embodying economic benefits is expected to settle the obligation and

- The amount of the obligation can be reliably estimated

b) Contigent liability is disclosed in the case of:

- A present obligation arising from a past event when it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation or

- A possible obligation, unless the probability of outflow in settlement is remote.

c) Re-imbursement expected in respect of expenditure required to settle a provision is recognized only when it is virtually certain that the re-imbursement will be received.

ix) Retirement Benefits Gratuity

The Company has taken a Group Gratuity Policy from LIC of India to discharge its liability of Gratuity. The calculation of premium under the policy is made on the basis of actuarial valuation done by LIC.

x) Material events occuring after the balance sheet date are taken into cognizance.

xi) The accounts of the Company have been prepared on going concern basis.

xii) Prior period extraordinary changes in accounting policies, having material effect on the financial affairs of the company (if any) are disclosed.

---

Mar 31, 2011

I. ACCOUNTING CONVENTION

The financial statements are prepared under the historical cost convention, in accordance with applicable accounting standards and relevant presentation requirements of the Companies Act, 1956.

ii. INVESTMENT

a) Investments are classified into Current Investments and long-term investments.

b) Current Investments are valued category wise at book value or fair value, whichever is lower.

c) Long Term Investments are stated at cost. Diminution in value of investments if any is not considered because of temporary nature.

iii. STOCK-IN-TRADE

Stock in Trade is valued category wise at cost or fair value, whichever is lower.

iv. REVENUE RECOGNITION Income from Investments

Dividend Income is recognized when the company's right to receive payment is established. Profit/Loss on Sale of Investments is considered at the time of sale/redemption.

Interest Income

Interest Income is recognized on a time proportion basis taking into account the amount outstanding and the rate applicable.

v. FIXED ASSETS AND DEPRECIATION

Tangible assets are stated at cost less accumulated depreciation. Cost of acquisition is inclusive of freight, duties, taxes

and other incidental expenses.

Depreciation is charged on Straight Line basis, as per rates specified in Schedule XIV of the Companies Act, 1956.

vi. ACCOUNTING FOR TAXES ON INCOME

Provision for Taxation for the year comprises of current taxes and deferred tax. Current Taxes consists of Income Tax payable on the current year income. Deferred Tax is calculated for timing differences.

vii. IMPAIRMENT OF ASSETS

At each balance sheet date, an assessment is made whether any indication exists that an asset has been impaired. If any such indication exists, an impairment loss i.e. the amount by which the carrying amount of an asset exceeds its recoverable amount is provided in the books of account.

viii.PROVISIONS AND CONTIGENT LIABLITIES

a) Provisions are recognized for liabilities that can be measured by using a substantial degree of estimation, if:

- The company has a present obligation as a result of a past event,

- A probable outflow of resources embodying economic benefits is expected to settle the obligation and

- The amount of the obligation can be reliably estimated

b) Contingent liability is disclosed in the case of:

-A present obligation arising from a past event when it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation or -A possible obligation, unless the probability of outflow in settlement is remote.

c) Re-imbursement expected in respect of expenditure required to settle a provision is recognized only when it is virtually certain that the re-imbursement will be received

ix. RETIREMENT BENEFITS Gratuity

The Company has taken a Group Gratuity Policy from LIC of India to discharge its liability for Gratuity. The calculation of premium under the policy is made on the basis of actuarial valuation done by LIC.

x. Material events occurring after the balance sheet date are taken into cognizance.

xi. The accounts of the Company have been prepared on going concern basis.

xii. Prior period extraordinary changes in accounting policies, having material effect on the financial affairs of the Company (if any) are disclosed.

---

Mar 31, 2010

I. ACCOUNTING CONVENTION

The financial statements are prepared under the historical cost convention, in accordance with applicable accounting standards and relevant presentation requirements of the Companies Act, 1956.

ii. INVESTMENT

a) Investments are classified into Current Investments and long-term investments.

b) Current Investments are valued category wise at book value or fair value, whichever is lower.

c) Long Term Investments are stated at cost. Diminution in value of investments if any is not considered because of temporary nature.

iii. STOCK-IN-TRADE

Stock in Trade is valued category wise at cost or fair value, whichever is lower.

iv. REVENUE RECOGNITION Income from Investments

Dividend Income is recognized when the companys right to receive payment is established. Profit/Loss on Sale of Investments is considered at the time of sale/redemption.

Interest Income

Interest Income is recognized on a time proportion basis taking into account the amount outstanding and the rate applicable.

v. FIXED ASSETS AND DEPRECIATION

Tangible assets are stated at cost less accumulated depreciation. Cost of acquisition is inclusive of freight, duties, taxes and other incidental expenses.

Depreciation is charged on Straight Line basis, as per rates specified in Schedule XIV of the Companies Act, 1956.

vi. ACCOUNTING FOR TAXES ON INCOME

Provision for Taxation for the year comprises of current taxes and deferred tax. Current Taxes consists of Income Tax payable on the current year income. Deferred Tax is calculated for timing differences.

vii. IMPAIRMENT OF ASSETS

At each balance sheet date, an assessment is made whether any indication exists that an asset has been impaired. If any such indication exists, an impairment loss i.e. the amount by which the carrying amount of an asset exceeds its recoverable amount is provided in the books of account.

viii.PROVISIONS AND CONTIGENT LIABLITIES

a) Provisions are recognized for liabilities that can be measured by using a substantial degree of estimation, if:

-The company has a present obligation as a result of a past event,

-A probable outflow of resources embodying economic benefits is expected to settle the obligation and

-The amount of the obligation can be reliably estimated

b) Contingent liability is disclosed in the case of:

-A present obligation arising from a past event when it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation or -A possible obligation, unless the probability of outflow in settlement is remote. C) Re-imbursement expected in respect of expenditure required to settle a provision is recognized only when it is virtually certain that the re-imbursement will be received

ix. RETIREMENT BENEFITS Gratuity

The Company has taken a Group Gratuity Policy from LIC of India to discharge its liability for Gratuity. The calculation of premium under the policy is made on the basis of actuarial valuation done by LIC. x Material events occurring after the balance sheet date are taken into cognizance. xi The accounts of the company have been prepared on going concern basis. xii Prior period extraordinary changes in accounting policies, having material effect on the financial affairs of the Company (if any) are disclosed.