Notes to Accounts of Nath Bio-Genes (India) Ltd.

Mar 31, 2025

R PROVISION AND CONTINGENT LIABILITIES

Provisions: Provisions are recognised when there is a present obligation as a result of a past event, it is probable that an outflow of
resources embodying economic benefits will be required to settle the obligation and there is a reliable estimate of the amount of
the obligation. Provisions are measured at the best estimate of the expenditure required to settle the present obligation at the
Balance sheet date and are not discounted to its present value.

Contingent Liabilities: Contingent liabilities are disclosed when there is a possible obligation arising from past events, the
existence of which will be confirmed only by the occurrence or non occurrence of one or more uncertain future events not wholly
within the control of the company or a present obligation that arises from past events where it is either not probable that an
outflow of resources will be required to settle or a reliable estimate of the amount cannot be made.

S CASH AND CASH EQUIVALENTS

In the Statement of Cash Flow, cash and cash equivalents includes cash in hand, demand and short term deposits with banks, other
short-term highly liquid investments with original maturities of three months or less.

T FINANCIAL ASSETS AT AMORTISED COST

Financial assets are subsequently measured at amortised cost if these financial assets are held within a business whose objective
is to hold these assets in order to collect contractual cash flows and contractual terms of the financial asset give rise on specified
dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

U FINANCIAL ASSETS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME

Financial assets are measured at fair value through other comprehensive income if these financial assets are held within a
business whose objective is achieved by both collecting contractual cash flows and selling financial assets and a contractual terms
of the financial assets give rise on the specified dates to cash flows that are solely payment of the principal and interest on the
principal amount outstanding._

V FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS

Financial assets are measured at fair value through profit or loss unless it is measured at amortised cost or at fair value through
other comprehensive income on initial recognition. The transaction costs directly attributable to the acquisition of assets and
liabilities at fair value through profit and loss are immediately recognised in the statement of profit and loss.

W FINANCIAL LIABILITIES

Financial liabilities are measured at amortised cost using the effective interest method, if tenure repayment of such liability
exceeds one year.

X EQUITY INSTRUMENTS

An equity instrument is a contract that evidences residual interest in the assets of the company after deducting all of its liabilities.
The Company recognises equity instruments at proceeds received net off direct issue cost.

Y RECLASSIFICATION OF FINANCIAL ASSETS

The Company determines classification of the financial assets and liabilities on initial recognitions. After initial recognition, no
reclassification is made for financial assets which are equity instruments and financial liabilities. For financial assets which are debt
instruments, a reclassification is made only if there is a change in the business model for managing those assets. Changes to the
business model are expected to be infrequent. The Company''s senior management determines change in the business model as a
result of external or internal changes which are significant to the company''s operations. Such changes are evident to external
parties. A change in the business model occurs when a company either begins or ceases to perform an activity that is significant to
its operations. If the Company reclassifies financial assets, it applies the reclassification prospectively from the reclassification
date which is the first day of the immediately next reporting period following the change in business model. The Company does not
restate any previously recognized gains, losses (including impairment gains and losses) or interest.

Z OFFSETTING OF FINANCIAL INSTRUMENTS

Financial assets and liabilities are offset and the net amount is reported in the Balance Sheet if there is currently enforceable legal
right to offset the recognized amounts and there is on intention to settle on a net basis, to realize the assets and settle the liabilities
simultaneously.

Note No. 32 FAIR VALUE MEASUREMENT

The management assessed that the fair values of short term financial assets and liabilities significantly approximate their carrying
amounts largely due to the short term maturities of these instruments. The fair value of financial assets and liabilities is included at
the amount at which the instrument could be exchanged in a current transaction among willing parties, other than in a forced or
liquidation sale.

The Company determines fair values of financial assets and financial liabilities by discounting contractual cash inflows/ outflows
using prevailing interest rates of financial instruments with similar terms. The fair value of investment is determined using quoted net
assets value from the fund. Further, the subsequent measurement of all finance assets and liabilities (other than investment in
mutual funds) is at amortized cost, using the effective interest method.

Discount rates used in determining fair value

The interest rate used to discount estimated future cash flows, where applicable, are based on the incremental borrowing rate of the
borrower which in case of financial liabilities is the weighted average cost of borrowing of the Company and in case of financial assets
is the average market rate of similar credits rated instrument.

The Company maintains policies and procedures to value financial assets or financial liabilities using the best and most relevant data
available. In addition, the Company internally reviews valuation, including independent price validation for certain instruments.

Fair value hierarchy

All financial instruments for which fair value is recognized or disclosed are categorized within the fair value hierarchy described as
follows, based on the lowest level input that is significant to the fair value measurement as a whole.

Level-1 : Quoted (unadjusted) price is active market for identical assets or liabilities

Level-2 : Valuation technique for which the lowest level input that has a significant effect on the fair value measurement are
observed, either directly or indirectly.

Level-3 : Valuation technique for which the lowest level input has a significant effect on the fair value measurement is not based on
observation market data.

Note No. 33 FINANCIAL INSTRUMENTS AND RISK REVIEW

i) Capital Management

The Board policy is to maintain a strong capital base so as to maintain inventory, creditors and market confidence and to future
development of the business. The Board of Directors monitors return on capital employed.

The Company manages capital risk by maintaining sound/optimal capital structure through monitoring of financial ratios, such as
debt-to-equity ratio and net borrowings to- equity ratio on a monthly basis and implements capital structure improvement plan
when necessary.

The Company uses debt ratio as a capital management index and calculates the ratio as Net debt divided by total equity. Net debt and
total equity are based on the amounts stated in the financial statements.

ii) Credit Risk

Credit risk is the risk of financial loss arising from counter-party failure to repay or service debt according to contractual terms or
obligations. Credit risk encompasses both, the direct risk of default and the risk of deterioration of credit worthiness as well as
concentration of risks. Credit risk is controlled by analysing credit limit and creditworthiness of customers on a continuous basis to
whom the credit has been granted.

Financial instruments that are subject to concentration of credit risk principally consists of trade receivable investments, derivative
financial instruments and other financial assets. None of the financial instruments of the Company results in material concentration
of credit risk.

Exposure to credit risk

The carrying amount of financial assets represents the maximum credit exposure. The maximum exposure to credit risk is as under,
being the total of the carrying amount of balances with trade receivables and advances for seed production.

Trade receivables

Ind AS requires expected credit losses to be measured through a loss allowance. The Company assesses at each date of financial
statement whether a financial asset or group of financial assets is impaired. The Company recognizes lifetime expected losses for all
contract assets and / or all trade receivables that do not constitute a financing transaction. For all other financial assets, expected
credit losses are measured at an amount equal to 12 months expected credit losses or at an amount equal to the life time expected
credit losses, if the credit risk on the financial asset has increased significantly since initial recognition.

Before accepting any new customer, the Company uses an external/internal credit scoring system to access potential customer''s
credit quality and defines credit limits by customer. Limits and scoring attributed to customer are reviewed yearly basis

iii) Liquidity Risk

a) Liquidity risk management

Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The objective of liquidity risk management is to
maintain sufficient liquidity and ensure that funds are available for use as per requirements. The Company manages liquidity risk by
maintaining adequate reserves, banking facilities and reserve borrowing facilities, by continuously monitoring forecast and actual
cash flows, and by matching the maturity profiles of financial assets and liabilities.

b) Maturities of financial liabilities

The following table details the remaining contractual maturities for its financial liabilities with agreed repayment period. The
amount disclosed in the table has been drawn up based on the undiscounted cash flow of financial liabilities based on the earliest
date on which the Company can be required to pay. The table includes both interest and principal cash flows.

Note No. 44 In the opinion of the Board, Property, Plant and Equipments have been stated at cost, which is at least equal to or less
than the realizable value if sold in the ordinary course of business. Consequently, the management is of the opinion that there is no
impairment of assets.

Note No. 45 I) The company is engaged in agricultural activities of production of seeds on lease hold land situated at various part of
India.

ii) The company has entered into agreements with various farmers/growers for cultivation and production of agricultural produce in
view of the fact that the company itself is unable to carry on such activities which are spread over various parts of India. The company
has compensated the production expenses (Refer Note No .25) based upon the agreements entered into with the farmers/ growers.

NOTE NO. 63.UTILISATION OF BORROWED FUNDS AND SHARE PREMIUM:

The company has not advanced or loaned or invested funds (either borrowed funds or share premium or any other sources or
kind of funds) to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding (whether
recorded in writing or otherwise) that the Intermediary shall

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

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

NOTE NO.64. UNDISCLOSED INCOME

There is no case of search or survey of any other cases related to income surrendered or disclosed in any tax assessments under
the Income Tax Act, 1961.

Note No. 65. The company has not invested in Crypto Currency or Virtual Currency, hence related details are not provided

Jeevanlata Kagliwal Satish Kagliwal Amol Gupta Dhiraj Rathi

^Director Managing Director Chief Financial Officer Company Secretary

^{DIN Na: 02057459} DIN No.: 00119601

Place: Chhatrapati Sambhajinagar

Date: 29-04-2025

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Mar 31, 2024

4.1 The joint venture company in the name of JV Nath Bio-Genes CA LLC with 90% shareholding is setup at NMTP Hududi, Qurbon, Rajabov, Paxtachi District Samarkand redion, Uzbekistan with a view to carry out research & development, production, processing of agricultural seeds activities.

4.2 The investment in Paithan Mega Food Park Pvt Ltd holding 19.97% has been valued at fair value based upon the last audited balance sheet.

5.1 Loan is granted to the JV carrying interest at 10.09% pa and repayable in 3 years from the date of each disbursement.

5.2 Loan is granted to a related party carrying interest at 10.09% and repayable in 5th year from year of disbursement.

6.2 Agreement to purchase entered into with a related party for purchase of agriculture land has been cancelled and Capital advance given to the tune of Rs. 1950.00 Lakhs has been received back.

6.3 Advance given to a related party of Rs. 100.00 Lakhs in the earlier year have been appropriated as capital advance during the year.

8.3 The Company maintains a provison for doubtful debts based on ageing of receivable as tool to determine the degree of liquidity. Undisputed receivable due for more than three years along with those which are disputed and referred for recovery through legal proceeding are considered for provision.

9.1 Bank Balances in current accounts include Rs. 27.16 Lakhs as are earmarked and kept in separate bank accounts with scheduled bank on account of unclaiimed dividend for the financial year 2020-21,2021-22 and 2022-23.

The Company has one class of equity shares having a par value of Rs. 10 per share. Equity shareholder is eligible for one vote per share held. They are eligible for dividend on the basis oftheir shareholding. In the case of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, if any, in proportion to their shareholding.

17.1 Secured by way of hypothecation of stock and trade receivables; collaterally secured by way of mortgage of land admeasuring 20503.544 Sq. meter and building thereupon situated at Gut No 64/2 (part) Itkeda, Chhatrapati Sambhajinagar. Also personally guaranteed by two promoters of the Company.

32 Fair Value Measurement

The management assessed that the fair values of short term financial assets and liabilities significantly approximate their carrying amounts largely due to the short term maturities of these instruments. The fair value of financial assets and liabilities is included at the amount at which the instrument could be exchanged in a current transaction among willing parties, other than in a forced or liquidation sale

The Company determines fair values of long term financial assets and financial liabilities by discounting contractual cash inflows/ outflows using prevailing interest rates of financial instruments with similar terms. The fair value of investment is determined using quoted net assets value from the fund. Further, the subsequent measurement of all finance assets and liabilities (other than investment in mutual funds) is at amortized cost, using the effective interest method.

Discount rates used in determining fair value

The interest rate used to discount estimated future cash flows, where applicable, are based on the incremental borrowing rate of the borrower which in case of financial liabilities is theweighted average costofborrowing ofthe Company and in case offinancial assets is the average market rate of similar credits rated instrument.

The Company maintains policies and procedures to value financial assets or financial liabilities using the best and most relevant data available. In addition, the Company internally reviews valuation, including independent price validation for certain instruments.

Fair value hierarchy

All financial instruments for which fair value is recognized or disclosed are categorized within the fair value hierarchy described as follows, based on the lowest level input that is significant to the fair value measurement as a whole.

Level -1

Quoted (unadjusted) price is active market for identical assets or liabilities Level 2:

Valuation technique for which the lowest level input that has a significant effect on the fair value measurement are observed, either directly or indirectly.

Level 3

Valuation technique for which the lowest level input that has a significant effect on the fair value measurement is not based on observable market data.

33 Financial Instruments and Risk Review

i) Capital Management

The Company''s capital management objectives are:-

The Board policy is to maintain a strong capital base so as to maintain investor, creditors and market confidence and to support future development of the business. The Board of Directors monitors return on capital employed.

The Company manages capital risk by maintaining sound/optimal capital structure through monitoring offinancial ratios, such as debt-to-equity ratio and net borrowings-to-equity ratio on a monthly basis and implements capital structure improvement plan when necessary.

The Company uses debt ratio as a capital management index and calculates the ratio as Net debt divided by total equity. Net debt and total equity are based on the amounts stated in the financial statements.

* Net Debts includes Non-Current borrowings, Current borrowings, Current Maturities of non current borrowing net off Current Investment and cash and cash equivalent

** Equity Include Paid up Share Capital and Other Equity.

ii) Credit Risk

Credit risk is the risk of financial loss arising from counter-party failure to repay or service debt according to contractual terms or obligations. Credit risk encompasses both, the direct risk of default and the risk of deterioration of credit worthiness as well as concentration of risks. Credit risk is controlled by analysing credit limit and creditworthiness of customers on a continuous basis to whom the credit has been granted.

Financial instruments that are subject to concentration of credit risk principally consists of trade receivable investments, derivative financial instruments and other financial assets. None of the financial instruments of the Company results in material concentration of credit risk.

Exposure to credit risk

The carrying amount of financial assets represents the maximum credit exposure. The maximum exposure to credit risk is as under, being the total of the carrying amount of balances with trade receivables and advances for seed production

As on Rs in Lakhs

31st March, 2024 34,006.78

31 st March, 2023 32,683.03

Trade receivables

Ind AS requires expected credit losses to be measured through a loss allowance. The Company assesses at each date of financial statement whether a financial asset or group of financial assets is impaired. The Company recognizes lifetime expected losses for all contract assets and / or all trade receivables that do not constitute a financing transaction. For all other financial assets, expected credit losses are measured at an amount equal to 12 months expected credit losses or at an amount equal to the life time expected credit losses, if the credit risk on the financial asset has increased significantly since initial recognition

Before accenting any new customer, the Company uses an external/internal credit scoring system to asses potential customer''s credit quality and defines credit limits by customer. Limits and scoring attributed to customer are reviewed on periodic basis.

iii) Liquidity Risk

a) Liquidity risk management

Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The objective of liquidity risk management is to maintain sufficient liquidity and ensure that funds are available for use as per requirements. The Company manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities, by continuously monitoring forecast and actual cash flows, and by matching the maturity profiles of financial assets and liabilities.

b) Maturities of financial liabilities

The following table details the remaining contractual maturities for its financial liabilities with agreed repayment period. The amount disclosed in the table has been drawn up based on the undiscounted cash flow offinancial liabilities based on the earliest date on which the Company can be required to pay. The table includes both interest and principal cash flows.

c) Maturities of financial assets

The expected maturity for financial assets of the company are all current.

iv) Market Risk

Market risk is risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in the market prices. Such changes in the value offinancial instruments may result from changes in the foreign currency exchange rate, interest rate, credit, liquidity and other market changes.

34	Contingent liabilities not provided for in respect of:-		Current Year Rs. in Lakhs	Previous Year Rs. in Lakhs
	a)	Claims against the Company not acknowledged as debts in respect of legal cases including consumer cases.	404.69	145.08
	b)	Corporate Guarantee given in favour of IDBI Bank and Janakalyan Sahakari Bank towards term loan taken by Paithan Mega Food Park Pvt Ltd, (PMFPPL) a related company. The liability of the PMFPPL is Rs. 1825.00 Lakhs as on the year end. Further, promotors of PMFPPL have pledged their equity shares in favour of the company securing the above corporate guarantee.	4,360.00	4,360.00
	c)	Demand of Income tax for disallowing agricultural income for the assessment year 2017-18, 2018-19, 2020-21 and 2023-24 against which the company has preferred appeals before the Commissioner of Income tax (Appeal), Chhatrapati Sambhajinagar MH).	4,474.98	2,679.70
35	Estimated value of contract remaining to be executed on capital account and not provided for (Net of advances of Rs. 4,804.62 Lakhs; Previous year Rs. 2,150.00 Lakhs)		716.35	725.00

36 In the opinion of the Board, Current and Non-current Assets, Loans and Advances are approximately of the value stated, if realized in the ordinary course of the business.

37 i) Certain accounts of Trade Receivable, Trade Payable, Unsecured Loans, Employees, Loans and Advances (including advances given to growers and inter party transfer &

balances) are subject to confirmations and reconciliations, if any. The difference as may be noticed on reconciliation will be duly accounted for on completion thereof. In the opinion of the management, the ultimate difference will not be material.

ii) Detailed transaction confirmation in respect of certain parties including employees of the company asked for by the auditors could not be produced for their verification for want of their receipt from the respective parties.

38 In view of agriculture income earned by the company, which in exempt from Income Tax, provisioning of sundry advance and trade receivables, the company has not recognised deferred tax assets, as a matter of prudence.

41 Capital Management

Equity share capital and otherequity are consideredforthe purpose of Company’s capital management. The Company manages its capital so asto safeguard its abilityto continue as a going concern and to optimise returns to shareholders. The capital structure of the Company is based on management’s judgement of its strategic and day-to-day needs with a focus on total equity so as to maintain investor, creditors and market confidence. The management and the Board of Directors monitors the return on capital as well as the level of dividends to shareholders. The Company may take appropriate steps in order to maintain or if necessary adjust its capital structure.

44 In the opinion of the Board, Property, Plant and Equipments have been stated at cost, which is at least equal to or less than the realizable value if sold in the ordinary course of business. Consequently, the management is of the opinion that there is no impairment of assets.

45

i The company is engaged in agricultural activities of production of seeds on lease hold land situated at various part of India.

ii The company has entered into agreements with various farmers/growers for cultivation and production of agricultural produce in view of the fact that the company itself is unable to carry on such activities which are spread over various parts of India. The company has compensated the production expenses (Refer Note No .25) based upon the agreements entered into with the farmers/ growers.

Defined Benefit Plans

The company has neither created fund nor contributed to Scheme framed by the Insurance Company for the defined benefit plans for the qualifying employees. The present value of the defined benefit obligation and the related current service cost were measured using the Projected Unit credit method with actuarial valuations being carried out at each balance sheet date.

50 OPERATING LEASE

The Company’s significant leasing arrangements are in respect of operating leases for lands and premises (Agricultural lands, office, stores, godown etc.). These leasing arrangements which are in cancellable range and are usually renewable by mutual consent on mutually agreeable terms. The aggregate lease rentals payable are charged as rent in the Statement of Profit and Loss.

63 Utilisation of Borrowed funds and share premium: The company has not advanced or loaned or invested funds (either borrowed funds or share premium or any other sources or kind offunds) to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding (whether recorded in writing or otherwise) that the Intermediary shall (i) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalfof the company (Ultimate Beneficiaries) or (ii) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries

64 Undisclosed income - There is no case of search or survey of any other cases related to income surrendered or disclosed in any tax assessments under the Income Tax Act, 1961.

65 The company has not invested in Crypto Currency or Virtual Currency, hence related details are not provided

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Mar 31, 2018

Notes:

1. The Company has acquired Gene Development know How (Cotton Seed) from a related party at a consideration of Rs. 4,00,00,000. The company would amortized the same in 10 equal installments from the year in which economic benefit starts arising.

2. Freehold land purchased from a related party, admeasuring 57.77 Hectares is yet to be registered in the name of Company with the Sub-Registrar of the land registry.

* The company has issued, allotted 30,00,000 equity shares to the Qualified Institutional Buyers on 31.01.2018 with rights, preferences, and restrictions ranking parri passu with existing equity shareholders. These shares have been listed on the Bombay Stock Exchange and National Stock Exchange on 06th February 2018.

(b) Rights, Preferences and Restrictions attached to Shares

The Company has one class of equity shares having a par value of Rs. 10 per share. Equity shareholder is eligible for one vote per share held. They are eligible for dividend on the basis of their shareholding. In the case of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, if any, in proportion to their shareholding.

31 First Time adoption of Ind AS Transition to Ind AS .

These are the Company''s first financial statement prepared in accordance with Ind AS.

The accounting policies set out in Note 1, have been applied in preparing the financial statements for the year ended March 31, 2018, the comparative information presented in these financial statements for the year ended March 31, 2017 and in the preparation of opening Ind AS balance sheet as at April 1, 2016. In preparing its opening balance sheet, the Company has adjusted the amounts reported previously in financial statements prepared in accordance with accounting standards notified under Companies (Accounting Standards) Rules, 2006 (as amended) and other relevant provisions of the Act (previous GAAP or Indian GAAP). An explanation of how the transition from from previous GAAP to Ind AS has affected the Company''s financial position, financial performance and cash flows is set out in the following tables and notes

29.1 emptions and exceptions availed Ind AS optional exemptions cost.

29.1.1. Deemed cost:- Ind AS 101 permits a first-time adopter to elect to continue with the carrying value for all of its property, plant and equipment as recognized in the financial statements as at the date of transition to Ind AS, measured as for the previous GAAP and use that as its deemed cost as at date of transition after making necessary adjustments for decommissioning liabilities. The exemption can also be used for intangible assets covered by Ind -38 Intangible Assets. Accordingly, the Company has elected to measure all of its property, plant and equipment and intangible assets at their previous GAAP carrying values as at April 1, 2016.

29.1.2 Leases: Appendix -C to Ind AS 17 requires an entity to assess whether a contract or arrangement contains a lease. In accordance with Ind AS 17, this assessment should be carried out at the inception of the contract or arrangement. Ind AS 101 provides an option to make this assessment on the basis of facts and circumstances existing at the date of transition to Ind AS, except where the effect is expected not to be material. The Company has elected to apply this exemption for such contracts / arrangements, wherever applicable.

29.1.3. Decomissioning liability included in the cost of property, plant and equipment: An entity need not to comply with the requirements of Appendix A of Ind AS -16 changes in Existing Decommissioning, Restoration similar liabilities for liabilities occured before the date of transition to Ind AS. An entity can measure the liability as at the date transition. The Company has elected to measure such liabilities as on the date of transition and on the basis of such evaluations no liabilities need to be recognized, wherever applicable.

29.2. Ind AS mandatory exceptions

29.2.1. De-recognition of financial assets and liabilities: Ind As 101 requires a first time adopter to apply the de-recombination provisions of Ind AS 109 prospectively for transactions occurring on or after the date of transition to Ind AS. However, Ind AS 101 allows a first-time adopter to apply the de-recognition requirements in Ind AS 109 retrospectively from a date of the entity''s choosing, provided that the information needed to apply AS 109 to financial assets and Financial liabilities de-recognized as a result of past transactions was obtained at the time of initially accounting for those transactions. The Company has elected to apply the de-recognition provisions of Ind AS 109 prospectively from the date of transition to Ind AS, wherever applicable.

29.2.2 Classification and measurement of financial assets: Ind AS 101 requires an entity to assess classification and measurement of financial assets (investment in debt instruments) on the basis of the facts and circumstances that exist at the date transition to Ind AS.

29.2.3. Impairment of financial assets: An entity shall determine the approximate credit risk at the date that financial instruments were initially recognized and compare that to the credit risk at the date of transition to Ind. This should be based on reasonable and supportable information that is available without undue cost or efforts. If any entity is unable to make this determination without undue cost or effort, it shall recognize a loss allowance at an amount equual to lifetime expected credit losses at each reporting date until that financial instrument is de-recognized. The Company has this exception to analyse credit risk of the financial assets as the date of transition instigated of the date of initial recognition.

Notes to the reconciliations

(i) These financial statements of Company for the year ended March 31, 2018 have been prepared in accordance with Ind AS. For the purposes of transitions to the Ind AS, the company has followed the guidance prescribed in AS 101, First time adoption of Indian Accounting Standards, with April 1, 2016 as the transition date and IGAAP as per previous GAAP.

(ii) The Company has elected to measure its land and plant & machinery at fair value at the date of transition to Ind AS. Gain on such fair valuation has been recognized in the opening retained earnings as at April 01, 2016. The Company has depreciated the fair value of plant and machinery over the technically assessed useful lives of the assets which is reflected in the Statement of Profit and Loss

The management assessed that the fair values of short term financial assets and liabilities significantly approximate their carrying amounts largely due to the short term maturities of these instruments. The fair value of financial assets and liabilities is included at the amount at which the instrument could be exchanged in a current transaction among willing parties, other than in a forced or liquidation sale

The Company determines fair values of financial assets and financial liabilities by discounting contractual cash inflows/ outflows using prevailing interest rates of financial instruments with simile terns. The fair value of investment is determined using quoted net assets value from the fund. Further, the subsequent measurement of all finance assets and liabilities (other than investment in mutual funds) is at amortized cost, using the effective interest method.

Discount rates used in determining fair value

The interest rate used to discount estimated future cash flows, where applicable, are based on the incremental borrowing rate of the borrower which in case of financial liabilities is the weighted average cost of borrowing of the Company and in case of financial assets is the average market rate of similar credits rated instrument.

The Company maintains policies and procedures to value financial assets or financial liabilities using the best and most relevant data available. In addition, the Company internally reviews valuation, including independent price validation for certain instruments.

Fair value of financial assets and liabilities is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, regardless of whether that price is directly observable or estimated using another valuation technique.

The following methods and assumptions were used to estimate fair value:-

a) Fair value of short term financial assets and liabilities significantly approximate their carrying amounts largely due to the short term maturities of these instruments.

b) The fair value of the Company''s interest borrowing received are determined using discount rate reflects the entity''s borrowing rate as at the end of the reporting period. The own nonperformance risk as at the end of reporting period was assessed to be insignificant.

Fair value hierarchy

All financial instruments for which fair value is recognized or disclosed are categorized within the fair value hierarchy described as follows, based on the lowest level input that is significant to the fair value measurement as a whole.

Level -1

Quoted (unadjusted) price is active market for identical assets or liabilities Level 2:

Valuation technique for which the lowest level input that has a significant effect on the fair value measurement are observed, either directly or indirectly.

Level 3

Valuation technique for which the lowest level input has a significant effect on the fair value measurement is not based on observation market data.

i) Capital Management

The Company''s capital management objectives are:-

The Board policy is to maintain a strong capital base so as to maintain inventor, creditors and market confidence and to future development of the business. The Board of Directors monitors return on capital employed.

The Company manages capital risk by maintaining sound/optimal capital structure through monitoring of financial ratios, such as debt-to-equity ratio and net borrowings-to-equity ratio on a monthly basis and implements capital structure improvement plan when necessary.

The Company uses debt ratio as a capital management index and calculates the ratio as Net debt divided by total equity. Net debt and total equity are based on the amounts stated in the financial statements.

* Net Debts includes Non-Current borrowings, Current borrowings, Current Maturuities of non-current borrowing net off Current Investment and cash and cash equivalent

** Equity Include Paid up Share Capital and Other Equity.

ii) Credit Risk

Credit risk is the risk of financial loss arising from counter-party failure to repay or service debt according to contractual terms or obligations. Credit risk encompasses both, the direct risk of default and the risk of deterioration of credit worthiness as well as concentration of risks. Credit risk is controlled by analyzing credit limit and creditworthiness of customers on a continuous basis to whom the credit has been granted offer necessary approvals for credit.

Financial instruments that are subject to concentration of credit risk principally consists of trade receivable investments, derivative financial instruments and other financial assets. None of the financial instruments of the Company results in material concentration of credit risk

Exposure to credit risk

The carrying amount of financial assets represents the maximum credit exposure. The maximum exposure to credit risk is as under, being the total of the carrying amount of balances with trade receivables.

Trade receivables

Ind AS requires expected credit losses to be measured through a loss allowance. The Company assesses at each date of financial statement whether a financial asset or group of financial assets is impaired. The Company recognizes lifetime expected losses for all contract assets and / or all trade receivables that do not constitute a financing transaction. For all other financial assets, expected credit losses are measured at an amount equal to 12 months expected credit losses or at an amount equal to the life time expected credit losses, if the credit risk on the financial asset has increased significantly since initial recognition

Before accenting any new customer, the Company uses an external/internal credit scoring system to asses potential customer''s credit quality and defines credit limits by customer. Limits and scoring attributed to customer are reviewed periodic basis

iii) Liquidity Risk

a) Liquidity risk management

Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The objective of liquidity risk management is to maintain sufficient liquidity and ensure that funds are available for use as per requirements. The Company manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities, by continuously monitoring forecast and actual cash flows, and by matching the maturity profiles of financial assets and liabilities.

b) Maturities of financial liabilities

The following tables detail the remaining contractual maturities for its financial liabilities with agreed repayment period. The amount disclosed in the tables have been draw up based on the undiscounted cash flow of financial liabilities based on the earliest date on which the Company can be required to pay. The table includes both interest and principal cash flows.

c) Maturities of financial assets

The following table details the Company''s expected maturity for financial assets. The table has been drawn up on based on the undiscounted contractual maturities of the financial assets including interest that will be earned such assets.

iv) Market Risk

Market risk is risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in the market prices. Such changes in the value of financial instruments may result from changes in the foreign currency exchange rate, interest rate, credit, liquidity and other market changes.

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Mar 31, 2017

NOTE NO - 1

Capital commitment for land purchase - 340,49,357

NOTE NO - 2

In the opinion of the Board, Current and Non-current Assets, Loans and Advances are approximately of the value stated, if realized in the ordinary course of the business.

NOTE NO - 3

Certain accounts of Trade Receivable, Trade Payable, Unsecured Loans, Employees, certain current account balances with banks, Loans and Advances (including advances given to growers and inter party transfer & balances) are subject to confirmations and reconciliations, if any. The difference as may be noticed on reconciliation will be duly accounted for on completion thereof. In the opinion of the management, the ultimate difference will not be material.

NOTE NO - 4

The Information related to Segmental Reporting as required to be disclosed in accordance with the accounting standard: ‘AS 17-Segment Reporting’ are as under:-

(A) Broadly the activity of the company falls within Two segments (c ) CY denotes current year and PY denotes previous year.

(d ) The allocation of other expenses as mentioned in (B) (b) above, which are not directly relating to specific activity of production or trading, have been made by the management in the ratio of turnover and relied upon by the auditors.

NOTE NO - 5

In the opinion of the Board, fixed assets have been stated at cost, which is at least equal to or less than the realizable value if sold in the ordinary course of business. Consequently, the management is of the opinion that there is no impairment of assets.

NOTE NO - 6_

i The company is engaged in agricultural activities of production of seeds on lease hold land situated at various part of India.

ii The company has entered into agreements with various growers for cultivation and production of agricultural produce in view of the fact that the company itself is unable to carry on such activities which are spread over various parts of India. The company has reimbursed the cultivation expenses based upon the agreements entered into with the growers.

The company has classified the various benefits provided to employees as under Defined Contribution Plans :

During the year, the Company has recognized the following amounts in the Profit & Loss Account

Defined Benefit Plans

The company has neither created fund nor contributed to Scheme framed by the Insurance Company for the defined benefit plans for the qualifying employees. The present value of the defined benefit obligation and the related current service cost were measured using the Projected Unit credit method with actuarial valuations being carried out at each balance sheet date.

In accordance with accounting Standard 15, actuarial valuation was done in respect of the aforesaid defined benefit plan of gratuity based on the following assumptions: -

g) Expected contributions to Gratuity Fund next year Rs. NIL (Previous Year Rs. NIL)

h) The liability for leave encashment and compensated absences as at year end is Rs. 71,96,431 (Previous year liability Rs. 65,49,693) NOTE NO - 39

Related parties disclosure as per Accounting Standard - 18:

List of related parties

a) Associates:-

i) Global Transgenes Ltd.

ii) Agri Tech (India) Ltd.

iii) Nath Biotechnologies Ltd.

iv) Nath Royal Seed Ltd

b) Relatives

i) Ms. Soniya Kagliwal

c) Key Management Personnel:-

Mr. Satish Kagliwal (Managing Director)

NOTE NO - 7

The Company is in the process of reconciling its subsidiary ledgers with the control accounts maintained in the General Ledger. In the opinion of the management, the difference, if any, would not be material, which will be adjusted appropriately in the due course of time.

NOTE NO - 8

Previous year’s figures have been regrouped / rearranged wherever necessary to conform to the current year’s presentation.

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Mar 31, 2016

NOTE NO - 1.

In the opinion of the Board, fixed assets have been stated at cost, which is at least equal to or less than the realizable value if sold in the ordinary course of business. Consequently, the management is of the opinion that there is no impairment of assets.

NOTE NO - 2.

i The company is engaged in agricultural activities i.e. production of seeds on lease hold land situated at various part of India.

Ii The company has entered into agreements with various growers for cultivation and production of agricultural produce in view of the fact that the company itself is unable to carry on such activities which are spread over various parts of India. The company has reimbursed the cultivation expenses based upon the agreement entered into with the growers.

NOTE NO - 3. :

Employee Benefits

The company has classified the various benefits provided to employees as under

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Mar 31, 2015

NOTE NO - 1 Current Year Previous Year Rs. Rs. Contingent liabilities not provided for in respect of:-

a)Claims against the Company not acknowledged as debts in respect of legal cases including consumer cases.

8,520,880 4,064,600

b)The liability on account of damages u/s 14B of the Employees Provident Fund and Misc Provisions Act, 1952, which is being contested by the Company in appeal. 2,545,425 2,545,425

c)Corporate Guarantee 300,000,000 300,000,000 given in favour of ICICI Bank towards crop loan taken by the seed growers of the company

d) Income tax demand for the Assessment year 2012-13, which is being contested by the Company 17,291,980 NIL

NOTE NO - 2

Capital Commitments for land purchase 64,658,077 80,291,554

NOTE NO - 3

In the opinion of the Board, Current and Non-current Assets, Loans and Advances are approximately of the value stated, if realized in the ordinary course of the business.

NOTE NO - 4

Certain accounts of Sundry Debtors, Creditors, Unsecured Loans, Employees Account, certain current account balances with banks, Loans and Advances (including advances given to growers and inter party transfer & balances) are subject to confirmations and reconciliation's, if any. The difference as may be noticed on reconciliation will be duly accounted for on completion thereof. In the opinion of the management, the ultimate difference will not be material.

NOTE NO - 5

The Company has dispatched letters to certain vendors to ascertain their status under the Micro, Small and Medium Enterprises Development Act, 2006. Based upon the confirmation received from the following parties, the principal dues and interest worked out @36% p.a. thereon is as under:-

(c ) Figures given in the brecket are related to previous year.

(d ) The allocation of other expenses as mentioned in (b) B above, which are not directly relating to specific activity of prouction or trading have been made by the mangement in the ratio of turnover and relied upon by the auditors.

NOTE NO - 6

i In the opinion of the Board, fixed assets have been stated at cost, which is at least equal to or less than the realizable value if sold in the ordinary course of business. Consequently, the management is of the opinion that there is no impairment of assets.

ii Pursuant to the notification of Schedule II of the Companies Act, 2013, (the Act) by the Ministry of Corporate Affairs effective from 01.04.2014, the management has internally reassessed based upon the technical evaluation and changed, wherever necessary, the useful life to compute depreciation to confirm the requirement of the Act. Accordingly, the carrying amount as at 01.04.2014 is being depreciated over the revised useful life of the assets. In case of assets with NIL revised remaining useful life as at 01.04.2014 is reduced after tax adjustment from the retained earning as at such date in the financial results. Further, had the company continued with the previously assessed useful life the charge of depreciation for the year ended 31.03.2015 would have been lower by Rs. 71,91,410 and the profit before tax would also have been higher by such amount in financial results as also fixed assets as on 31.03.2015 would have been higher to that extent.

NOTE NO - 7

The company is engaged in agricultural activities of production of seeds on lease hold land situated at various part of India.

ii .The company has entered into agreements with various growers for cultivation and production of agricultural produce in view of the fact that the company itself is unable to carry on such activities which are spread over various parts of India. The company has reimbursed the cultivation expenses based upon the agreement entered into with the growers.

NOTE NO - 8 :

Employee Benefits

The company has classified the various benefits provided to employees as under Defined Contribution Plans :

During the year, the Company has recognized the following amounts in the Profit & Loss Account

Defined Benefit Plans

The company has neither created fund nor contributed to Scheme framed by the Insurance Company for the defined benefit plans for the qualifying employees. The present value of the defined benefit obligation and the related current service cost were measured using the Projected Unit credit method with actuarial valuations being carried out at each balance sheet date.

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Mar 31, 2014

NOTE NO - 1 Current Year Previous Year

Contingent liabilities not provided for in respect of:- Rs. Rs.

a) Claims against the Company not acknowledged as debts in respect of consumer legal cases. 4064600 864500

b) The liability on account of damages u/s 14B of the Employees Provident Fund and Misc 2545425 2545425 Provisions Act, 1952, which is being contested by the Company in appeal.

c) Corporate Guarantee given in favour of ICICI Bank towards crop loan taken by the seed 300000000 200000000 growers of the company

d) Income tax demand for the Assessment year 2010-11, which is being contested by the 32827050 NIL Company

NOTE NO 2

Capital Commitment for land purchase and construction of building 80291554 NIL

NOTE NO 3

In the opinion of the Board, Current and Non-current Assets, Loans and Advances are approximately of the value stated, if realized in the ordinary course of the business.

NOTE NO 4

Certain accounts of Sundry Debtors, Creditors, Unsecured Loans, Employees Account, certain current account balances with banks, Loans and Advances (including advances given to growers and inter party transfer & balances) are subject to confirmations and reconciliation''s, if any. The difference as may be noticed on reconciliation will be duly accounted for on completion thereof. In the opinion of the management, the ultimate difference will not be material.

NOTE NO 5

In the opinion of the Board, fixed assets have been stated at cost, which is at least equal to or less than the realizable value if sold in the ordinary course of business. Consequently, the management is of the opinion that there is no impairment of assets.

NOTE NO 6

i The company is engaged in agricultural activities of production of seeds on lease hold land situated at various part of India.

ii The company has entered into agreements with various growers for cultivation and production of agricultural produce in view of the fact that the company itself is unable to carry on such activities which are spread over various parts of India. The company has reimbursed the cultivation expenses based upon the agreement entered into with the growers.

NOTE NO - 7 : Employee Benefits

The company has classified the various benefits provided to employees as under

Defined Contribution Plans :

During the year, the Company has recognized the following amounts in the Profit & Loss Account

Defined Benefit Plans

The company has neither created fund nor contributed to Scheme framed by the Insurance Company for the defined benefit plans for the qualifying employees. The present value of the defined benefit obligation and the related current service cost were measured using the Projected Unit credit method with actuarial valuations being carried out at each balance sheet date.

NOTE NO - 8 :

Previous year''s figures have been regrouped / rearranged wherever necessary to conform to the current year''s presentation.

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Mar 31, 2013

NOTE NO - 1

Contingent liabilities not provided for in respect of:- Current Year Previous year

a) Claims against the Company not acknowledged as debts in respect of consumer legal Rs. 8,64,500 Amount cases. unascertain able

b) The liability on account of damages u/s 14B of the Employees Provident Fund and Misc Rs. 25,45,425 Rs. 25,45,425 Provisions Act, 1952, which is being contested by the Company in appeal.

NOTE NO - 2

In the opinion of the Board, Current and Non-current Assets, Loans and Advances are approximately of the value stated, if realized in the ordinary course of the business.

NOTE NO - 3

Certain accounts of Sundry Debtors, Creditors, Unsecured Loans, Employees Account, certain current account balances with banks, Loans and Advances (including advances given to growers and inter party transfer & balances) are subject to confirmations and reconciliation''s, if any. The difference as may be noticed on reconciliation will be duly accounted for on completion thereof. In the opinion of the management, the ultimate difference will not be material.

NOTE NO - 4 :

In the opinion of the Board, fixed assets have been stated at cost, which is at least equal to or less than the realizable value if sold in the ordinary course of business. Consequently, the management is of the opinion that there is no impairment of assets.

NOTE NO - 5:

i The company is engaged in agricultural activities of production of seeds on lease hold land situated at various part of India.

ii The company has entered into agreements with various growers for cultivation and production of agricultural produce in view of the fact that the company itself is unable to carry on such activities which are spread over various parts of India. The company has reimbursed the cultivation expenses based upon the agreement entered into with the growers.

Defined Benefit Plans

The company has neither created fund nor contributed to Scheme framed by the Insurance Company for the defined benefit plans for the qualifying employees. The present value of the defined benefit obligation and the related current service cost were measured using the Projected Unit credit method with actuarial valuations being carried out at each balance sheet date.

g) Expected contributions to Gratuity Fund next year Rs. NIL (Previous Year Rs. NIL)

h) The liability for leave encashment and compensated absences as at year end is Rs. 55,70,000 (Previous year liability Rs. 4620,000)_

NOTE NO - 6:

Related parties disclosure as per Accounting Standard - 18:

List of related parties_

a) Associates:-

i) Global Transgenes Ltd.

ii) Agri Tech (India) Ltd.

iii) Nath Biotechnologies Ltd.

iv) Nath Seeds Ltd.

v) Nath Royal Seed Ltd

b) Relatives

Ms. Soniya Kagliwal_

c) Key Management Personnel:-

Mr. Satish Kagliwal (Managing Director)

Mr. S. U. Baig, (Technical Director)_

d) Subsidiary Company Paithan Mega Food Park Pvt Ltd

NOTE NO - 7 :

Previous year''s figures have been regrouped / rearranged wherever necessary to conform to the current year''s presentation.